The Car and Truck Fleet and Leasing Management Magazine

MI & KY Cut Fleets To Save Money

March 3, 2003

In an executive order issued in December by Kentucky Gov. Paul Patton, the state’s Transportation Cabinet will trim the state’s motor vehicle fleet by 500 vehicles in order to help make up the state’s budget shortfall for fiscal 2003, according to the Lexington Herald-Leader. At an auction held in Frankfort, KY, the state’s Transportation Cabinet earned $722,275 from auctioning 250 vehicles that were cut from the state’s fleet. On average, each vehicle brought in around $3,000, the paper reports. Jim Covany, director of the state’s Division of Fleet Management, told the paper that reducing the fleet will save the state $225,000 in year maintenance costs; $125,000 in insurance premiums; and $612,000 in reduced fuel expenditures.Another 250 vehicles will be auctioned off in about four weeks.In related news, the Battle Creek Enquirer reports that Michigan Gov. Jennifer Granholm will reduce the state’s vehicle fleet by 1,000 vehicles in an attempt to ensure the public’s money is spent frugally and wisely. Granholm announced the reduction in her first State of the State address in early February. Among other immediate cost-cutting items are banning color copying and cutting state contracts.
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