Discussion and possible action to authorize the Purchasing Agent to order forty (40) lease vehicles in order to flip existing lease units at a lower monthly payment with Enterprise Fleet Management, Inc. for a renewed term of forty-eight (48) months for a projected annual savings of $40,770.00 and any other matters incident thereto.
Issue: The current market for used vehicles is up allowing Enterprise to sell their vehicles at a higher price than the purchase price at time Webb County leased them, in turn the equity from the sale will help lower our monthly rates on a newer version of the flips for the same make / model.
Solution: Consider authorizing the Purchasing Agent to order the new units (flips) at a lower cost for same make / model. Monthly savings is estimated at $3,397.56 with an annual projected savings of $40,770.72.
Result: If approved, orders will be done immediately and estimated delivery date for flips is late September to early October.