City Council

H. APPROVAL OF A VEHICLE LEASE AND REPLACEMENT PROGRAM BY\nENTERING INTO A MASTER EQUITY LEASE AGREEMENT WITH\nENTERPRISE FLEET MANAGEMENT AND APPROVAL FOR THE LEASE OF\nFOUR PATROL VEHICLES\nThe Police Department purchases needed replacement police vehicles annually\nwith City funds and utilizes them until their end-of-service lifecycle. Approval\nof this Master Equity Lease Agreement through Enterprise Fleet Management\n(EFM) will implement a Vehicle Lease and Replacement Program for the Police\nDepartment. The program will allow the Police Department to lease and trade\nin aging fleet vehicles every three to five years, and to be sold by EFM to offset\nthe costs of the leasing program. The Police Department is also seeking\napproval to lease four vehicles scheduled and budgeted for fleet replacement\nin Fiscal Year 2024-2025 under this agreement. Over the 36-month lease period,\nthe total lease payments for the four vehicles are $295,425. The estimated\ntrade-in value of the vehicles at the end of the lease term is $88,000.\nCalifornia Environmental Quality Act (CEQA) Determination: Not a Project as\ndefined in Section 15378 of the State CEQA Guidelines.\nRecommended Action:\nStaff recommends that the City Council authorize the City Manager to:\n1. Execute the Master Equity Lease Agreement with Enterprise Fleet\nManagement (EFM) for the leasing of new police fleet vehicles and\nProfessional Consulting Services Agreement;\n2. Execute an Assignment to Sell Agreement with EFM for the sale of City-\nowned vehicles replaced through the lease program.\n3. Add, remove, or trade-in fleet vehicles as appropriate with surplus to be sold\nby EFM pursuant to the Assignment Agreement; and\n4. Approve the leasing of four front-line patrol vehicles and disposition of old\npolice fleet vehicles at the City Manager’s discretion consistent with\noperational needs and budget allocation.