Published on November 28, 2007
State of Minnesota Executive Order 04-10 and Vehicle Acquisition Contracts: State of Minnesota Executive Order 04-10 and Vehicle Acquisition Contracts Tim Morse & Jackie Finger Department of Administration How do we carry out the Executive Order 04-10?: How do we carry out the Executive Order 04-10? We need to purchase vehicles that use less petroleum fuel. We need to do this and, at the same time, remain cost effective. The Admin Materials Management Division (MMD) is responsible for establishing vehicle contracts. There is a cooperative effort between MMD, MnDOT, DNR, and TMD. What is going on with vehicle acquisition contracts as a result of the Executive Orders? : What is going on with vehicle acquisition contracts as a result of the Executive Orders? Vehicle acquisition contracts are affected in some important ways.: Vehicle acquisition contracts are affected in some important ways. Contracts are focusing on vehicles that are capable of using cleaner fuels. Contacts are focusing on vehicles that achieve higher fuel economy ratings What exactly does that mean for state agencies and political subdivisions? : What exactly does that mean for state agencies and political subdivisions? Flex-fuel vehicles are available – vehicles that can run on gasoline or E85 fuel. Hybrid vehicles are becoming available, offering increased fuel economy. Fuel economy is improving, especially in the smaller passenger car categories. Vehicle Contracts: Vehicle Contracts What was different in the 2006 contracts? Which passenger vehicles were offered, and why? What changed? : What changed? All passenger cars needed to be flex-fuel or meet certain fuel efficiency criteria City mileage rating of 28 MPG or Highway rating of 33 MPG What vehicles were on the 2006 contract?: What vehicles were on the 2006 contract? Automobiles: Automobiles Ford Focus (gasoline) $11,398 Dodge Status (flex-fuel) $12,592 Ford Taurus (flex-fuel) $12,671 Chevrolet Cobalt (gasoline) $13,347 Chevrolet Impala (flex-fuel) $15,643 Station Wagons: Station Wagons Ford Focus Wagon (gasoline) $12,912 Pontiac Vibe (gasoline) $15,250 Mini-Vans: Mini-Vans Dodge Caravan (flex-fuel) $15,821 Dodge Grand Caravan (flex-fuel) $18,078 Sport Utility Vehicles: Sport Utility Vehicles Dodge Durango (flex-fuel) $20,248 – $22,263 Ford Escape (gasoline-electric hybrid) $24,516 - $25,946 GMC Yukon XL (flex-fuel) $26,773 – $29,483 Passenger Vans: Passenger Vans Ford E150 – 8 pass. (gasoline) $15,849 Chevrolet Express – 8 pass. (gasoline) $16,762 Ford E350 – 12 pass. (gasoline) $17,598 Was any of this controversial? : Was any of this controversial? Decreased variety of vehicle selection has not been popular with some agencies and some political subdivisions. Will this change help the State comply with Executive Order 04-10?: Will this change help the State comply with Executive Order 04-10? Yes, it is much more difficult to choose a vehicle that is not fuel efficient or not capable of using E85 fuel. Vehicle selections will be refined in response to available vehicles as changes happen in future years. Are we moving in the right direction? : Are we moving in the right direction? Yes. Acquisitions for the TMD fleet moved from an average of 60% flex fuel to 77% flex fuel in 2006. There is a long and challenging road ahead of us. However, we have made a significant start and we will continue moving forward. Thank you very much! : Thank you very much!