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Edwardsville staff outline vehicle purchases and a lease option after supply and resale challenges
Summary
Staff told council the vehicles for 2025 are budgeted and presented leasing as the likely path to acquire them, citing municipal lease offers from two lenders and an illustrative annual payment of about $119,000 over three years; councilors asked about procurement via cooperative contracts and resale of retired vehicles.
Staff told the council that vehicle purchases included in the 2025 budget are ready for the acquisition phase and that the city has two municipal lease providers that supply competitive pricing. The presenter said the city has the option to pay cash or to finance the purchases through a municipal lease; under one illustration staff cited an annual payment of about $119,000 for three years for the lease structure before the city would obtain title.
The presentation noted recent supply and delivery delays have affected the market for used vehicles and that the city has sometimes advertised retired vehicles to municipalities in neighboring jurisdictions to improve resale outcomes. Council members questioned why the city commonly orders through cooperative contracts (for example, the Mid America purchasing cooperative) that often award fleet business to Mission Ford rather than sourcing through a local dealer. Staff replied that cooperative bids are competitive and that running a separate procurement would require substantial staff effort and resources.
Council members also asked staff to revisit policies on vehicle‑replacement miles and thresholds and how those policies influence resale values. Staff said they would return with more detail and that the next formal step for lease financing is a resolution authorizing the city manager to enter into a lease‑purchase agreement if the council approves moving forward.
No formal financing resolution or vote was recorded in the provided transcript segments.
