Finance committee recommends council consider 10‑vehicle leasing pilot with Enterprise to refresh city fleet

The Salinas Finance Committee voted to recommend the City Council consider a 10-vehicle pilot leasing agreement with Enterprise that would replace aging vehicles, increase electrification and provide fleet-management services.

David Jacobs (Fleet) and Daniel Manning of Enterprise presented the proposal on Aug. 12. Jacobs described the city fleet as more than 300 vehicles and equipment with model years ranging up to 20+ years on some units and uneven purchase patterns. The Enterprise proposal identified 188 target vehicles and proposed an initial 10-unit pilot at an estimated $105,600 per year for the selected units; Enterprise proposed 7 of the 10 pilot vehicles as electric.

The nut graf: proponents said leasing could reduce long‑term maintenance and fuel costs by maintaining a newer, standardized fleet and by shortening replacement cycles from roughly 12–13 years to a five‑year rotation; committee members supported a pilot but noted the city would be committing to recurring lease payments rather than the city’s historical buy-and-run model.

Enterprise’s presentation projected long-term savings driven by better resale equity and reduced maintenance exposure and cited aggregated fleet-management tools: consolidated invoicing, maintenance tracking, recall alerts and a client portal. Daniel Manning said the firm can provide local account management and quarterly strategic check-ins and that Enterprise participates on cooperative purchasing vehicles such as a Sourcewell contract.

Committee members asked about risks and duration. Jacobs explained that leasing creates a recurring payment model and that lease pricing is locked when an agreement is signed; replacement every five years means the city would not be able to “run vehicles until the wheels fall off.” Margaret (Councilmember) said a pilot made sense and supported testing the approach; another committee member asked whether staff should present a firm recommendation rather than a staff‑neutral approach. The committee signaled support for a pilot size flexibility (some members suggested 15–20 units if finance staff endorse a larger number).

Formal action: a motion to forward the leasing pilot recommendation to the City Council passed by recorded vote. The committee did not finalize a contract at the meeting; staff said financing and final pricing would be confirmed if the council approves a pilot and enters negotiations with Enterprise.

Ending: staff will prepare the item for City Council consideration, including estimated costs, procurement authority and the proposed pilot scope. If Council approves, Enterprise will lock pricing and begin sourcing the pilot units.