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Mount Holly council approves lease‑purchase for two sanitation trucks to stabilize costs
Summary
Mount Holly City Council voted March 23 to approve a lease‑purchase option for two additional sanitation trucks after hearing Public Works’ presentation on high maintenance costs for the aging fleet and the budget benefits of leasing with full‑term coverage.
Mount Holly City Council approved a lease‑purchase option for two sanitation trucks on March 23 after the city’s public‑works staff presented a cost comparison and recommended spreading capital costs over time.
Public Works representative Jason Green told council the department needs one additional automated side‑loader and one rear‑loader to complete existing routes. He said the city previously purchased two trucks with preventive‑maintenance services bundled and that maintenance costs for older vehicles have driven high variability in the sanitation budget: "In 2025 alone, we spent $221,000 in maintenance on our garbage trucks... currently this year, we're only at $68,000," Green said, attributing the reduction to preventive service arrangements on newer trucks.
Green described tradeoffs between buying and leasing: leases carry higher total cost because of finance charges but offer bumper‑to‑bumper coverage, predictable payments, reduced downtime, and less need for in‑house heavy diesel mechanics. He cited example figures in the packet: a rear‑loader purchase price listed at about $357,000 with a lease payment example of $6,900 per month and an automated side loader lease example of $7,400 per month; he also said the lease coverage includes cab, chassis and body for the lease term.
Council members discussed resale or trade options for the oldest trucks, mileage allowances and what wear‑and‑tear coverage would mean in practice. A Peterbilt representative present described the lease as a vocational lease with normal wear‑and‑tear coverage included in the lease price, excluding crash damage.
Councilmember Brooks moved to approve the lease‑purchase option; the motion was seconded by Mr. Reeves and the mayor announced the motion passed.
The city manager and finance staff will continue to work through contract details and trade‑in or disposition options for the older trucks; Jason Green said proceeds from selling obsolete units could be marketed through govdeals or similar auction channels.
Next steps include final contract terms with the vendor and incorporation of the payments into multi‑year budgeting.
