Hillsboro moves forward with Enterprise Fleet Management

The City Council voted to use Enterprise Fleet Management for city car replacement and management on Tuesday, April 2.

The council had been discussing the potential agreement for several meetings. They charged City Administrator Matt Stiles with scheduling a meeting with the two local dealerships and Enterprise Fleet Management.

“I had the opportunity to speak with both Gabe Goering, the General Manager at Midway and Michael Hagen and Terry Hagen of Hillsboro Ford. Midway has extensive experience working with Enterprise and had no issue if the city chose to use them. Hillsboro Ford had similar experiences in working with Enterprise. Their only concern was making sure that the city was not taken advantage of in the system,” said Stiles.

He explained that for both dealerships, taking delivery and making sure they marked the vehicles was important to them.

“In most cases when the dealerships bid on public business they do not make much money on the initial sale. Prices are so competitive in public bidding that they may end up losing money on a transaction to get the business. Maintenance and warranty work will be where they make money in this situation,” said Stiles.

Stiles said both dealerships understood this could be a viable option for the city and would not harbor ill will against the city for choosing a relationship with Enterprise.

“Approval of the initial agreements really starts the identification process of car replacement in earnest. The actual vehicles and replacement schedule would need to be determined once an agreement is in place. If approved staff would begin identifying the replacement vehicles and schedule for replacement. Actual payments would not begin until the vehicles were delivered, likely sometime in summer,” said Stiles.

The council also approved the replacement of two umbrellas, called Funbrellas, at the Delores Dalke Family Aquatic Center.

“The Funbrellas were destroyed in the windstorms last summer. The damage was caused by the wind, but we opted not to file an insurance claim because we initially thought we would not meet the $10,000 wind damage deductible. The Funbrellas were pulled for the remainder of last swim season and scheduled for a spring replacement. We need to replace them before the season starts again to avoid disruptions during operating hours,” said Stiles.

Stiles told the council that Anchor Industries was the original supplier of the structures and would be for the new ones.

“We were able to reuse the existing ground sleeves saving some cost. The colors will be Aquatic Blue or Turquoise and the Natural white color to match the existing shades,” said Stiles. “The cost for two Funbrellas is $11,054. The quote will change once the freight is added in. It was not available until a delivery date could be established. Funds for the replacement would come from the capital outlay in the local option sales tax. We’ve traditionally paid for pool-related capital items from that fund since the sales tax was established to pay for the pool.”

In other business, the council:

*learned that Gorges Dairy will no longer have a lease with the city for the AMPI building as of Sept. 1. At that time, the city’s sanitation department will take over the space for operations.

*heard that at the encouragement of Grace Green from Congressman LaTurner’s office, Stiles submitted an $8 million funding allocation request for the fire station project. “It’s unclear if and when we’d have information on the request, but we are planning on moving forward with getting an official design completed. We have met with a new architect and a local builder, Cody Nelson, to discuss the project. I hope to have a formal proposal for the next steps to bring to council in the next few weeks,” said Stiles.

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