In an innovative effort to enhance fleet management and reduce costs, the Amarillo Fire Department (AFD) has proposed a significant shift from purchasing fire trucks to leasing them. Presented at a recent city council meeting, the plan aims to modernize the department’s fleet, improve reliability, and ensure long-term financial sustainability.
Rationale Behind the Proposal
Assistant Fire Chief David Kouba highlighted the potential benefits of leasing fire trucks during his presentation.
“We’re proposing to change the way we do business by leasing our fire trucks instead of purchasing and keeping them forever,” Kouba stated. “This approach is expected to save money through increased reliability and more frequent vehicle rotation, ultimately reducing downtime and maintenance costs.”
Leasing would allow the department to replace vehicles on a consistent 10-year cycle, addressing challenges that have plagued the current system, including aging equipment and mounting repair costs.
Challenges with Current Fleet Management
For the past 13 years, AFD has struggled to maintain its fleet under a traditional ownership model. Fire engines and ladder trucks have followed a replacement cycle leaving reserve vehicles in service for up to seven years. Compounding these challenges, the department missed scheduled replacements in Fiscal Year (FY) 2022/23 due to budget constraints, further straining resources.
In FY23/24, a detailed evaluation of the fleet revealed inefficiencies, including significant downtime. Approximately 20% of AFD’s vehicles are out of service for repairs at any given time, a figure well above the national average.
Economic Pressures and Industry Realities
Escalating costs and delays in manufacturing have exacerbated fleet management difficulties. AFD reports that fire truck prices have surged by 30-40% annually, more than doubling since the department’s last purchase. Build times for new vehicles, once less than a year, have stretched to as long as five years due to industry-wide supply chain challenges.
“This has been a project that’s been ongoing for us to think outside the box and be professional problem solvers,” Fire Chief Jason Mays explained. “For 16 months, we’ve been evaluating this due to the exponential price increases and extended build times we’ve experienced compared to previous years.”
Benefits of Leasing
Under the leasing proposal, AFD would transition to a 10-year vehicle rotation cycle. This plan aims to ensure modern, reliable equipment while spreading costs over time through manageable annual payments.
“By leasing vehicles, we can avoid the hefty upfront costs associated with purchasing fire trucks,” Kouba noted. “Instead, we allocate funds to annual payments, which can be more easily budgeted and managed.”
The shift would also improve fleet reliability, reducing repair costs and ensuring operational readiness. Fire Chief Mays emphasized the importance of choosing dependable vendors to support the department’s mission.
“Our mission is to protect our community with reliable and safe equipment,” Mays said. “This leasing method allows us to spread our dollars more effectively, acquiring much-needed vehicles without compromising our financial stability.”
Looking Ahead
If approved, the transition to leasing will begin in early 2025, with the first leased vehicles arriving mid-year. The department plans to replace all fire engines and ladders by 2039, revolutionizing its fleet management strategy and enhancing emergency response capabilities.
“Our primary responsibility is to protect and serve the community,” Kouba affirmed. “By enhancing the reliability of our fleet, we can better fulfill that mission, providing timely and efficient responses to emergencies.”
