D and M Leasing urges Weslaco to fix flawed fleet data and consider leasing to refresh aging vehicles

A D and M Leasing team presented the results of department interviews and a fleet assessment to the Weslaco City Commission on Nov. 4, 2025, and urged the city to fix data gaps before budgeting for replacements. The company recommended a lease program to accelerate vehicle turnover and lower operating and maintenance costs.

The presenters told commissioners they interviewed all 12 departments and reviewed spreadsheets the city provided, but found “a lot of disparity” across records. A lead presenter said, “For us, data is everything. You cannot manage what you cannot measure,” and noted missing VINs, inconsistent mileage reporting and decommissioned units that still appeared in inventory lists.

Why it matters: D and M said inaccurate records make it impossible to assess which vehicles are past useful life and therefore how many replacements are required. The firm’s analysis flagged roughly 161 listed units more than 10 years old and said 62% of the units in the spreadsheets had no mileage recorded, a gap that prevents reliable rotation and resale planning.

What the company proposed: Presenters described a leasing model that treats the city’s fleet as an evergreen program. For police units the firm recommended a 36-month turn; for low-use "white fleet" vehicles it suggested terms up to 84 months and said some heavy equipment might be carried longer. Using sample terms and the items the city had approved for replacement, the presenters estimated total lease payments of about $742,000 per year when two large fire pumpers were included. They said removing the pumpers from the lease package would reduce the annual payment to roughly $480,000, creating an estimated $277,000 difference in the first-year payment totals.

Cost example and assumptions: In a Tahoe example the firm showed a capitalized cost of roughly $91,000 on a three-year lease and cited a monthly payment figure given in the presentation; the presenters projected an expected resale value at lease-end and said that projected resale proceeds would offset the net capital cost. The presenters emphasized that quoted interest rates are fixed for the lease term but set based on the vehicle delivery date rather than the order date, and that incentives or government concessions are applied to reduce the capitalized cost at delivery.

Data and disposal work: The firm offered to clean and reconcile the city’s inventory — verifying VINs, mileage and engine hours — and to provide a Fleet 56 software subscription (the company quoted $7.50 per vehicle per month) to collect maintenance and usage data and provide dashboards to authorized city staff. Presenters also discussed surplus/decommissioned units in the city yard; they said several units had been sent to auction without buyers and recommended further disposition or junking where items were beyond useful life.

Timing and next steps: Presenters warned that manufacturer order banks open and close at different times and urged early decisions to secure allocations and favorable delivery windows; typical lead times cited were months (presenters said Tahoes might take about six months). They offered to return with refined cost models once the commission set a tentative budget and to coordinate ordering, upfits and delivery to shorten update times.

Commission action: At the end of the workshop the commission voted to enter an executive session; the commission recessed for executive session and later returned and adjourned the workshop to proceed to the regular meeting.

The city will decide whether to pursue a leasing package and whether to authorize staff to work with D and M Leasing to reconcile fleet records and return with a final recommendation and contract terms.