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Cairo council debates fleet leasing vs. purchase, tables decision to Nov. 10

City of Cairo City Council
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Summary

Council members debated whether to buy, lease or use a fleet-management service for 11 replacement vehicles after staff cited high maintenance costs and competing bids; the council voted to table the decision until Nov. 10 pending written legal guidance about using splash/SPLOST funds for leases.

City of Cairo officials spent a large portion of Monday’s meeting weighing options for replacing aging municipal vehicles and whether to contract with a fleet-management firm.

City Manager Gail presented the analysis, telling the council the five-year total cost from one vendor was “that total 5 year cost is $557,871.” She said the city budgeted $300,000 for vehicle purchases in fiscal 2025–26, had spent $165,000 so far and that departments recorded $424,095.75 in maintenance costs over the past three years.

A representative from Enterprise (fleet management) described the company’s services and emphasized the strategic value of fleet-management oversight, including mileage-based replacement recommendations: “If you guys have a goal of trying to be 5 to 7 years, we can help you do that,” the representative said.

Council members split on trade-offs. Supporters of fleet management and lease options cited predictable annual costs and reduced surprise repair bills; critics warned of higher long-term payments and urged the city to buy locally when possible. One council member noted the city’s traditional practice of keeping vehicles long-term and questioned whether a lease would be cost-effective.

Legal and budget questions proved decisive. Several members asked whether splash (SPLOST) funds could be used to make lease payments. The council moved and seconded to table action until Nov. 10 and asked City Attorney Bass to provide written guidance on whether splash funds may cover lease agreements. The motion to table passed on a voice vote.

Next steps: staff will return with the attorney’s written guidance and any recommended ordinance or procurement language for a future council vote.