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Situation

TxDOT’s existing fleet consists of 16,000 vehicles and other equipment. Analysis across multiple variables, including fuel usage and supply-demand, indicates an opportunity to maintain existing operational capabilities while reducing the size of the fleet.

Solution

TxDOT recently launched an initiative to identify and retire approximately 6,000 pieces of equipment, a 37 percent reduction in fleet size, in an effort to maximize utilization. In addition to the reductions resulting decreased capital costs and preventative maintenance requirements, improved procurement and maintenance strategies will result in substantial cost savings.

Cost Savings

TxDOT is poised to save an estimated $50 million a year on its fleet by shrinking the size from 16,000 to 10,000 vehicles and pieces of equipment, improving procurement strategies and lowering operating and maintenance costs.