The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Transportation
BILL: CS/SB 906
INTRODUCER: Transportation Committee and Senator Brandes
SUBJECT: Fleet Management
DATE: February 2, 2022 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Proctor Vickers TR Fav/CS
2. AEG
3. AP
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/SB 906 requires the Department of Management Services (DMS) to prepare an inventory of
all state-owned vehicles, maintenance facilities, and fuel depots and submit it to the Governor,
President of the Senate, and Speaker of the House of Representatives by December 31, 2022.
The bill creates the Fleet Operations Management Pilot Program within the DMS to assess the
potential for cost savings through a contract for privatizing the management and operation of
state-owned vehicles, vehicle acquisitions and disposition, maintenance facilities, and fuel
operations.
By October 1, 2023, the DMS and 3 state entities selected by DMS must use a competitively
procured contract for privatization. By October 1, 2024, the DMS must select ten additional state
entities to use the same contract, and by October 1, 2025, the DMS must direct all state entities
to utilize the same contract. Annually, beginning September 1, 2024, the DMS must compile a
report, to include its findings and recommendations of the pilot program, and submit the report to
the Governor, the President of the Senate, and the Speaker of the House of Representatives.
The DMS may incur indeterminate costs associated with the preparation of the inventory, along
with the process of privatizing select state management and operation activities. See Section V.
Fiscal Impact Statement.
The bill takes effect upon becoming law.
BILL: CS/SB 906 Page 2
II. Present Situation:
Acquisition, Assignment, and Use of Motor Vehicles and Watercraft
The DMS has the authority to adopt and enforce rules for the efficient and safe use, operation,
maintenance, repair, disposal, and replacement of all state-owned or state-leased aircraft,
watercraft and motor vehicles assigned.1 Rules 60B-1.001–1.013, F.A.C., provide for the
acquisition, assignment, and use of motor vehicles owned by the state.2
No state agency can purchase, lease, or acquire any motor vehicle, watercraft, or aircraft of any
type unless prior approval from the DMS. The DMS approval is not required for the short-term
lease of motor vehicles by state agencies.3 Special authorization, with approval from the DMS, is
given to the Department of Children and Families, the Agency for Persons with Disabilities, and
the Department of Corrections to secure motor vehicles for use at residential facilities, centers,
and county health departments.4
All state-owned or leased vehicles will be assigned to and operated in conformance with the
regulations pertaining to one of the following classes of assignment:
 Class A – Pool assignment,5
 Class B – Limited use assignment,6 and
 Class C – Special assignment.7
Except when otherwise specifically authorized by law, all state-owned vehicles are required to
carry an official state license plate.8
Bureau of Fleet Management and Federal Property Assistance
The Bureau of Fleet Management (Bureau) within the Division of Specialized Services provides
oversight responsibility for the state’s fleet of motor vehicles and mobile equipment, along with
the federal surplus property program. The Bureau’s programs include fleet management, federal
property assistance, and aircraft operations.9
1
Section 287.16(6), F.S. establishes rule making authority for the Department of Management Services.
2
Rules 60B-1.001 – 60B-1.013, F.A.C.
3
Section 287.15, F.S.
4
Section 287.155, F.S.
5
Rule 60B-1.006, F.A.C., defines “pool vehicle assignment” to mean vehicles which are centrally controlled and made
available for specific trips and returned to the pool upon completion of the trips.
6
Rule 60B-1.007, F.A.C., defines “limited use assignment” to mean State-owned or leased passenger vehicles required by an
employee or position to conduct official state business and which are required for use 15 or more work days per month but do
not classify as special assignment vehciles.
7
Rule 60B-1.008, F.A.C., defines “special assignment” to mean vehicles which are state-owned or leased vehicles and are: 1)
officially authorized as a prerequisite by the Department of Management Services, 2) required by an employee after normal
duty hours to perform duties of the position to which he is assigned, or 3) assigned to an employee whose home is his official
base of operation
8
Section 287.16, F.S.
9
The Department of Management Services, Fleet Management and Federal Property Assistance, available at
https://www.dms.myflorida.com/business_operations/fleet_management_and_federal_property_assistance (last visited,
January 28, 2022).
BILL: CS/SB 906 Page 3
The Bureau oversees fleet management, which manages the purchase, operation, maintenance,
and disposal of the state’s fleet of motor vehicles and watercraft. The state’s fleet currently
includes approximately 25,000 assets of 30 agencies.10 The fleet includes automobiles, light
trucks, heavy trucks, aircraft, construction and industrial equipment, trailers, tractors,
motorcycles, all-terrain vehicles, boats, airboats, and boat engines. The Bureau is responsible for
four areas of fleet management which include: the purchase of mobile equipment, the Fleet
Information Management System (FIMS), the disposal of mobile equipment, and the surplus
state vehicles and equipment auctions.11
The FIMS, is used to provide management and cost information required to effectively manage
the state’s fleet. The FIMS also provides accountability of equipment use and expenditures. The
system requires agencies to keep records and provide reports regarding the effective use,
operation, maintenance, repair, and replacement of motor vehicles. The system also assures the
safe use of motor vehicles and their used solely for state business.12 The FIMS system does not
account for maintenance facilities and fuel depots.
State Agency Fleets
Table 1 provides the total fleet count of state agencies.
Table 1. Agency Fleets
Agency Total Fleet
Count
Agriculture and Consumer Services 3,676
Agency for Health Care Administration 2
Agency for Persons with Disabilities 316
Business and Professional Regulation 705
Citrus Commission 2
Children and Families 598
Economic Opportunities 7
Environmental Protection 1,706
Financial Services 754
Juvenile Justice 771
Law Enforcement 1,156
Military Affairs 118
Management Services 82
Education 62
Health 496
Lottery 267
Revenue 23
10
The Department of Management Services, Fleet Management, available at
https://www.dms.myflorida.com/business_operations/fleet_management_and_federal_property_assistance/fleet_management
(last visited January 28, 2022).
11
Ibid.
12
The Department of Management Services, The Fleet Information Management System, available at
https://www.dms.myflorida.com/business_operations/fleet_management_and_federal_property_assistance/fleet_management
/fleet_management_information_system, (last visited January 28, 2022).
BILL: CS/SB 906 Page 4
Agency Total Fleet
Count
State 27
Transportation 3,716
Veterans’ Affairs 33
Executive Office of the Governor 53
Florida Commission on Offender Review 3
Corrections 3,949
Fish and Wildlife Conservation Commission 3,533
Highway Safety and Motor Vehicles 4,273
Justice Administration Commission 798
Office of the Attorney General 200
Public Service Commission 33
School for the Deaf and Blind 58
TOTALS 27,41713
Business Case for Outsourcing Projects
Section 287.0571, F.S., provides that an agency should complete a business case for any
outsourcing projects that have an expected cost in excess of $10 million within a single fiscal
year. The business case should be available for solicitation and must include the following:
 A detailed description of the service or activity for which the outsourcing is proposed;
 A description and analysis of the state agency’s current performance, based on existing
performance metrics if the state agency is currently performing the service or activity;
 The goals desired to be achieved through the proposed outsourcing and the rationale for such
goals;
 A citation to the existing or proposed legal authority for outsourcing and the rationale for
such goals;
 A description of available options for achieving the goals. If state employees are currently
performing the service or activity, at least one option maintain state provision of the service
or activity must be included;
 An analysis of the advantages and disadvantages of each option, including, at a minimum,
potential performance improvements and risks;
 A description of the current market for the contractual services that are under consideration
for outsourcing;
 A cost-benefit analysis documenting the direct and indirect specific baseline costs, savings,
and qualitative and quantitative benefits involved in or resulting from the implementation of
the recommended option or options;
 A description of differences among current state agency policies and processes and, as
appropriate, a discussion of options for or a plan to standardize, consolidate, or revise current
policies and processes, if any, to reduce the customization of any proposed solution that
would otherwise be required;
13
Email from Sam Kerce, Deputy Director of Legislative Affairs, Department of Management Services, Fleet Data
(September 3, 2021) (on file with the Senate Committee on Transportation).
BILL: CS/SB 906 Page 5
 A description of the specific performance standards that must, at a minimum, be met to
ensure adequate performance;
 The projected timeframe for key events from the beginning of the procurement process
through the expiration of a contract;
 A plan to ensure compliance with the public records law;
 A specific and feasible contingency plan addressing contractor nonperformance and a
description of the tasks involved in and costs required for its implementation;
 A state agency’s transition plan for addressing changes in the number of agency personnel,
affected business processes, employee transition issues, and communication with affected
stakeholders, such as agency clients and the public. The transition plan must contain a
reemployment and retraining assistance plan for employees who are not retained by the state
agency or employed by the contractor; and
 A plan for ensuring access by persons with disabilities in compliance with applicable state
and federal law.14
Business cases to outsource should be evaluated for feasibility, cost-effectiveness, and efficiency
before a state agency proceeds with any outsourcing of services.15
2019-2020 Government Efficiency Task Force
Approved by voters in 2006 by an amendment to the Florida Constitution, the Government
Efficiency Task Force was required to meet, no later than January of 2007, and every four years
thereafter for the purpose of developing recommendations to improve governmental operations
and reduce costs.16
As recommended by Governor Ron DeSantis, Senate President Bill Galvano, and Speaker of the
House Jose Oliva, the 2019-20 Task Force, established in September 2019, focused on
efficiencies that can be gained through leveraging technology to better serve Floridians.17
The 2019-20 Task Force had numerous recommendations for the Legislature to consider. Such
as, consolidating management of all state agency vehicles into one statewide fleet program under
one state agency (either the DMS or the Department of Transportation) or third-party vendor
with uniform standards for procurement, assignment utilization, maintenance, and disposal of
fleet vehicles to reduce cost.18 In addition, to explore usage patterns to identify where fleet
vehicles could be best replaced by private industry alternatives, like state rental contracts, and to
develop future plans for procurement and retention with a focus on reducing the cost of initial
procurement, maintenance, use, and disposal.19
14
Section 287.0571(3)(a-o), F.S.
15
Section 287.0571(2), F.S.
16
FLA. CONST. art. III, s. 19(i).
17
Florida Government Efficiency Task Force, 2019-20 Final Recommendations (September 30, 2020) (on file with the
Senate Committee on Transportation).
18
Ibid, p. 6.
19
Ibid, p. 22.
BILL: CS/SB 906 Page 6
The states of Michigan, Massachusetts, Minnesota, and Tennessee are examples of states which
have a centralized fleet management program, with some aspects outsourced to third parties.20
Fleet Management Business Case
In 2013 the DMS contracted for a Fleet Management Business Case to be completed by Mercury
Associates, Inc. The recommendations in the study presented to the DMS included:
 Centralization of Fleet Management:
o The DMS should assume the primary role for managing fleet related activities across the
enterprise (state), such as planning, coordination, analysis and reporting, and
establishment of programs that make it easier for fleet users to operate their fleets (such
as enterprise-wide systems, tools, contracts, etc.).
 Improve Planning and Funding Levels for Fleet Replacement:
o The State should centralize fleet replacement planning in the DMS, develop a multi-year
recurring spending plan to smooth out inherent peaks and valleys in funding
requirements, and explore alternative financing approaches (including leasing) to spread
capital costs over the useful lives of fleet assets.
 Right-size the Fleet (reduce fleet size by five to ten percent due to consolidation); and
 Improve Fleet Maintenance:
o All state-owned shops should be open to all agencies;
o Shops located in close proximity to each other should be consolidated;
o Operation of the largest shops should be outsourced to on-site contractors;
o Smaller state run shops should continue to operate only if they meet rigorous standards
for facility condition and management practices;
o A single contractor should be used to manage all ad hoc vendor maintenance; and
o All maintenance and repair activities should be coordinated under DMS’ oversight
through the FIMS.21