Higher Gas Prices Stinging Fleet Operators

For every penny gas prices increase at the pumps, it costs the City of Henderson, NV $6,000 more a year. That means that with prices up about seventeen cents per gallon since the new year, it's costing $102,000 extra to fill up its fleet of about 1,000 vehicles.

"It's been an upward climb, it's been a drop. Unfortunately, the climb has been more than the drop," said NAFA Member Joe Rajchel, Public Works Support Services with the City of Henderson. According to Rajchel, when the city was making its fuel cost forecast for 2012, the indicators were there that prices would increase, and it was factored in. "Obviously, if it gets to $4 or $5 per gallon range, which most people are predicting, we're going to have to look at alternative ways of doing things," he said.

The city has taken steps to try and reduce the pain at the pumps, namely buying more hybrid vehicles and using alternative fuels where and when possible. It's also reduced its fleet by between 200 and 300 vehicles over the past few years. Rajchel said that while they are trying to control the higher costs, in the interest of public safety the city's fleet of police, fire trucks, and ambulances will remain the same.

NAFA Fleet Management Association
125 Village Blvd., Suite 200
Princeton, NJ 08540

Telephone: 609.720.0882 Fax: 609.452.8004