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News Release
Oct. 26, 2009
STATE FLEET CHANGES SINCE 2005 SAVING MILLIONS OF DOLLARS Governor says more must be done to improve state fleet management
Contact: Matt Turner, 304-558-2000
CHARLESTON, W.Va. – Changes made to the state’s vehicle fleet management since 2005 will save West Virginia taxpayers millions of dollars, according to information gathered by the state Department of Administration in follow up to a legislative audit concluded earlier this month.
The Department of Administration provided information about fleet efficiency initiatives that have taken place in the last few years, including the downsizing of 547 passenger cars and police cruisers, as well as a 10 percent reduction in the number of state employees permitted to commute to and from work in state cars. The report also shows the state fleet has been decentralized mainly through legislative action since 1990.
“We’ve taken dramatic steps in the last few years to maximize the efficiency of our state vehicle fleet,” Manchin said. “Since 2005 we’ve cut the number of state vehicle commuters by 10 percent and downsized 547 cars – action that is already saving taxpayers millions of dollars, but more must be done.”
As another step toward running a responsible government, Gov. Joe Manchin has created a state Fleet Management Task Force charged with presenting recommendations to him for more efficient and accountable state vehicle fleet management. The task force, comprising members from representative state agencies and the administration, will study best practices in fleet management and evaluate fleet inventory control measures. The governor expects to use the committee’s recommendations as part of new fleet management legislation he will propose for the 2010 Regular Session of the West Virginia Legislature.
“Once we’ve allowed the task force time to develop its recommendations, I will call on our legislators to pass a bill that incorporates those recommendations, allowing us to improve the way we manage our state fleet,” Manchin said. “I want to take the advice of experts in this field and use best practices to determine how our state cars are used.”
Following the Oct. 14 report by the Office of the Legislative Auditor, the governor directed the Department of Administration to gather additional information about the size of the state’s vehicle fleet and to find out why only a fraction of state cars are managed by that agency.
In surveying state agencies, the administration found that the state owns or leases 4,083 passenger vehicles and, since 1990, the Legislature has passed bills that have exempted 2/3 of the state-owned vehicle fleet from Department of Administration regulation since the rules were first established.
“We have immediately addressed concerns pointed out in a recent legislative audit and we are going to take our plan to the Legislature in January to go beyond the efficiencies we’ve already enacted and make our system even better,” Manchin said.
The Department of Administration today sent the “Supplemental Report on Statewide Vehicle Use” to the state auditor and the legislative auditor.
The report outlined past cost-saving measures and steps in efficiency that the Manchin administration has taken in regards to state’s fleet, including:
• The number of vehicles employees are able to use for commuting to/from work has been reduced by 10 percent since 2005.
• Since 2005, the state has switched 547 state-owned passenger vehicles and police cruisers to smaller vehicles, resulting in lower operating and maintenance costs, without compromising the safety of state employees. Those downsizing efforts continue.
• In April 2008, using the standard set forth by Fortune 500 companies best management practices, the Manchin administration issued a policy that promotes the efficient use of state vehicles by requiring state agencies to use a formula to determine whether it is more cost effective to reimburse employees for personal vehicle mileage or use a state-owned vehicle or rental car.
• As part of a pilot project to provide significant cost savings to taxpayers while still meeting agency needs for transportation, the administration this year began purchasing and leasing quality used automobiles.
The report discusses the Fleet Management Task Force and administration policies that addressed concerns in the legislative audit, including those listed below:
• Effective immediately, the administration is requiring all state vehicle users to maintain a logbook that clearly indicates personal usage versus business usage. The Governor’s Office will distribute these policy goals and guidance to cabinet secretaries and department heads.
• Effective immediately, the administration is reminding all employees who use state vehicles for commuting to seek appropriate tax reporting information and assistance to ensure proper documentation and withholding per IRS guidelines.
The governor added, “West Virginians deserve a system that ensures our state fleet is safe, efficient and more accountable to taxpayers. Working with the Legislature, I am confident that we will find a solution during the next session.”
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