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Alamogordo staff and Enterprise propose leasing plan to replace roughly 70 city vehicles
Summary
Staff presented a plan to replace about 70 aging city vehicles using an open‑ended equity lease with Enterprise Fleet Management; Enterprise said the move could cut the fleet life cycle from ~14 years to about five and reduce maintenance costs, with an initial push funded across several city funds.
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City staff asked the commission Tuesday for direction on a citywide vehicle replacement program designed around an open‑ended equity lease with Enterprise Fleet Management.
Evelyn Huff introduced the item and said the current fleet is old and costly. Lisa Varum of Enterprise told commissioners 47% of the city's fleet is over 10 years old, with many units lacking modern safety features. "We're looking at can we get that closer to 5 years working within that current budget," Varum said, explaining Enterprise's proposed model would use the salvaged equity from older vehicles to help fund replacements.
Varum said the plan would replace roughly 68–74 vehicles in the first year, leverage about $286,000 in salvaged equity and reduce average maintenance per vehicle from about $184 to $92 per month; she estimated a potential 10‑year savings in excess of $200,000 from the program. City staff said they currently plan to target about 70 vehicles (a mix of general fund and enterprise funds), with specific fund‑level upfront estimates provided during the meeting (for example, utilities: $305,910 for 13 vehicles; general fund: $468,242 for 33 vehicles).
Commissioners asked whether insurance and maintenance would remain city responsibilities; Enterprise said vehicles operate "just as if they're your own vehicles," and that the city could retain its current insurance program. Questions about heavy equipment and CDL vehicles were deferred — speakers said the current proposal covers units up to 26,000 GVWR and that a separate heavy‑equipment plan may return later.
Staff sought consensus to move forward with finalizing a vehicle list and bringing a budget revision back to the commission; commissioners indicated support for continuing work toward a contract and budget amendment.

