Item 3.4 Adopt Fleet Management Policy0
0tSTe F o
MINNESOTA V
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT
REQUESTOR:
MEETING DATE:
Streets
Street Operations Manager Kevin Lamson
March 8, 2021
PRESENTER(s)
REVIEWED BY:
ITEM #:
Consent
City Administrator/Finance Director Flaherty
3.4 Fleet Management
Policy
STRATEGIC VISION
MEETS:
I THE CITY OF OTSEGO:
X
Is a strong organization that is committed to leading the community through innovative
communication.
No
Has proactively expanded infrastructure to responsibly provide core services.
BACKGROUND/JUSTIFICATION:
Is committed to delivery of quality emergency service responsive to community needs and
expectations in a cost-effective manner.
was approved by the City Council on April 24, 2006 (previously titled City Vehicle Use Policy).
Is a social community with diverse housing, service options, and employment opportunities.
recommended that the City prepare and adopt a Fleet Management Policy. A policy such as this ensures
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff is recommending that the City Council adopt the fleet management policy.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
No
No
BACKGROUND/JUSTIFICATION:
It is important that the City periodically review existing policies. The City's existing fleet management policy
was approved by the City Council on April 24, 2006 (previously titled City Vehicle Use Policy).
In a recent meeting with a representative from the League of Minnesota Cities Loss Control, it was
recommended that the City prepare and adopt a Fleet Management Policy. A policy such as this ensures
the safety and well-being of City employees, facilitates the efficient and effective use of City resources,
minimizes the City's exposure to liability, monitors the use of City -owned vehicles and assists in complying
with regulations relating to City vehicle usage.
This draft policy was presented and reviewed with the Public Works Sub -Committee on February 17. There
was concurrence for the draft revised fleet management policy to be placed on the agenda for a future City
Council meeting, pending review by the City Attorney Kendall, whom subsequently reviewed and provided
recommendation to proceed with approval.
SUPPORTING DOCUMENTS ATTACHED:
• Loss Control Visit Summary
• Draft Fleet Management Policy
• Resolution 2021-12
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE ITTO APPEAR IN THE MINUTES:
Motion to approve Resolution 2021-12 adopting a fleet management policy.
RI IIVl.FT INFORMATION
FUNDING: BUDGETED:
N/A N/A
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ol
LMC MEINNESOTA
CITIES
October 15, 2020
Adam Flaherty — aflaherty(�Dci.otsego.mmus
City Administrator
City of Otsego
13400 90th St
Otsego, MN 55330
Re: Fleet Survey Conducted on October 6, 2020
Dear Adam,
It was a pleasure speaking with you, Kurt Neidermeier, Utility Manager, Ross Demant, Park &
Rec Director, and Kevin Lamson, Streets Operations Manager, pertaining to the fleet safety
program at the City of Otsego. This was in conjunction with your participation in the League of
Minnesota Cities Insurance Trust (LMCIT) property, automobile, liability and/or workers'
compensation program.
Purpose of Visit
The primary purpose of my visit was to discuss your fleet program and complete a basic review of
key provisions. Operating motor vehicles is integral to virtually every department of municipal
government and has become an essential element in the delivery of most, if not all, municipal
services. We are not different in that aspect. For many of our employees this accounts for a
considerable amount of their overall daily work schedule. The potential for loss is significant.
Besides the obvious damage to the vehicle other costs, some easily measured and others not,
could include but are not limited to:
• Workers Compensation claim costs if the employee is injured;
• Costs involved if a member(s) of the public are injured;
• Disruption of operations;
• Equipment loss, or loss of use;
• Shaken public confidence;
• Impact on our department budget;
• Increased insurance premiums, which could be both in auto and workers' compensation.
The potential for loss is significant. Additionally, negligent operation of motor vehicles is one of the
few general exceptions to governmental immunity. This is an exception that can also expose your
city to civil liability and losses of greater severity.
Survey Overview
We discussed fleet programs and the importance of a fleet management policy endorsed by
145 University Avenue West PH: (651) 281-1200 FX: (651) 281-1299
St. Paul, Minnesota 55103 T F: (800) 925-1122 www.Imc.org
senior management, driving history records pulled at time of hire and annually, and who is
responsible for overseeing the whole program. There are many key elements to any fleet
program. An example of these could include:
• Management Policy;
• Driver Selection;
• Driver Training;
• Driver Supervision;
• Distracted driving;
• Home vehicle use;
• Accident Reporting and review;
• Vehicle Procurement;
• Vehicle Inspection and Maintenance; and
• Recordkeeping.
Summary of Solutions
For fleet programs to be successful, managers and supervisors must direct it properly and be held
accountable for consistently implementing the elements set forth in this guide. Your fleet
represents a considerable investment of your city's tax dollars. Successfully managing the fleet
also means you are effectively managing the resources that your tax dollars are applied to. But
fleet management is not just about managing tax dollars. The most important result of managing
our fleet is to keep your employees and the public safe.
Conclusions
• Otsego has many key elements to meet a successful fleet program including, full driver
history prior to employment, assigned fleet responsibilities, reporting structure for accidents,
reviewing of accidents, and documented maintenance and inspection schedules.
• Taking additional steps will strengthen the city's efforts to meet a successful fleet program.
• Areas we discussed for an improvement include reviewing current fleet policy and
registering and complying with the FMCSA Drug & Alcohol Clearinghouse if it hasn't been
done already.
Resources
LMCIT Webinar: Federal Motor Carrier Safety Act Clearinghouse
Federal Motor Carrier Safety Administration (FMCSA) Entry -Level Driver Training Final Rule
FMCSA CDL Updates — LMCIT Pipeline Blog
CDL Overview of SLDT Program Changes — MN State Transportation Center of Excellence
DMV.orq Driving Records in Minnesota
Snowplow Driver Training - MNDOT
Driver Safety Training - St. Cloud State University
Roadway Training - Dakota Technical College
Target Solutions Driver Training
National Safety Council Online Driver Safety
Suggestions
I've included loss control suggestions to strengthen your fleet program for your consideration in
the appendix.
Recommendations and comments are provided for loss control and risk exposure improvement pun poses only. They
are not made for the pun pose of complying with the requirements of any law, rude or regulation. Yi'e do not infer or
imply in the making of these recommendations and comments that all sites were reviewed or that all possible hazards
were noted. The final responsibility for conducting loss control and risk management programs rests with the member.
2
Thanks again for the time and courtesy extended to me during my visit. I will plan to contact you
in approximately one year to schedule the next loss control meeting. As always, if you have safety
or loss control related questions, please do not hesitate to contact me.
Sincerely,
Julie Jelen, CLCP Loss Control Consultant
Tel: (651) 268-6992 Cell: (612) 723-9217 1 Fax: (651) 281-1296
of Ilelen(a)-lmc.org I www.Imc.org
League of Minnesota Cities
145 University Ave. West I St. Paul, MN 55103
Cc: Ross Demant, Park & Rec Director, rdemant(cDci.otsego.mn.us
Kevin Lamson, Streets Operations Manager, klamson(cDci.otsego.mn.us
Kurt Neidermeier, Utility Manager, kneidermeier(cD-ci.otsego.mn.us
Resources left at time of visit:
LMCIT 5 -yr Claims Trends for the City of Otsego
Resources attached:
• Fleet Management Program for Cities
• LMCIT Public Works and Park & Rec Resources Flyer
Recommendations and comments are provided for loss control and risk exposure improvement purposes only. They
are not made for the ptapose of complying with the requirements of any lmv, rule or regulation. N"e do not infer or
imply in the making of these recommendations and comments that all sites were reviewed or that allpossible hazards
were noted The final responsibility for conducting loss control and risk management programs rests with the member.
3
Suggestion Appendix
Below are areas involving fleet we discussed and/or viewed during my visit to the City of Otsego.
The City should take a closer look at these areas, using the tools referenced in this letter,
attached, and listed below, to identify deficiencies and to use as a guide for improvements.
Suggestions generated from visit:
1-10/20: Consider reviewing your current City Fleet Management Program. Developing a
written program will help ensure a safe work environment for employees as well as help protect
against liability from vehicle accidents (See Fleet Program for the Cities). The City should be
identifying every employee who gets behind the wheel and ensuring every employee is aware of
the City Fleet Management Program.
3-10/20: FMCSA Clearinghouse. As the city has equipment requiring operators with a CDL
license the city needs to comply with the FMCSA Drug and Alcohol Clearinghouse
Guidelines that went into effect January 6th, 2020. The city needs to register with the FMCSA
Drug and Alcohol Clearinghouse for CDL Drivers, obtain written consent from the CDL drivers for
the Clearinghouse inquiry, and meet the Query and Reporting requirements. Please refer to these
hyperlinks for additional information and support:
• LMCIT Webinar: Federal Motor Carrier Safety Act Clearinghouse
• Federal Motor Carrier Safety Administration (FMCSA) Entry -Level Driver Training Final
Rule
• FMCSA CDL Updates — LMCIT Pipeline Blog
Recommendations and comments are provided for loss control and risk exposure improvement purposes only. They
are not made for the pun pose of complying with the requirements of any 1mv, rule or regulation. YI'e do not infer or
imply in the malting of these recommendations and continents that all sites were reviewed or that allpossible hazards
were noted. The final responsibilityfor conducting loss control and risk management programs rests with the member.
4
CITY OF
se o
MINNESOTA
FLEET MANAGEMENT POLICY
ADOPTED: Draft for City Council (3/8/2021)
POLICY
To ensure the safety and well-being of City employees; facilitate the efficient and effective use
of City resources; minimize the City's exposure to liability; monitor the use of City -owned
vehicles and to comply with regulations relating to City vehicle usage.
2. USE OF CITY VEHICLES
A. Only City employees are authorized to operate City vehicles.
B. All employees that hold a commercial driver's license as part of their employment are
required to be registered with Federal Motor Carrier Safety Administration (FMCSA) CDL Drug
& Alcohol Clearinghouse.
C. Gasoline for City vehicles must be obtained from the Public Works Department facility.
D. City vehicles are to be used as necessary to conduct business of the City and its operations.
E. Employees shall not operate City vehicles for personal use.
F. The use of City vehicles for overnight and out-of-town travel shall be allowed pending a
supervisor's approval and if the purpose is related to City business.
G. All drivers and passengers must wear seat belts and obey traffic laws.
H. When cargo, materials, or tools are being transported, the vehicle operator is responsible for
assuring that all items are properly secured.
I. Employees are strictly prohibited from operating a City vehicle while under the influence of
alcohol and are likewise prohibited from using prescription or over the counter medication
which may impair their ability to safely operate a motor vehicle.
J. Vehicles interiors shall be kept free of litter and debris. The physical appearance of the
vehicle must create a good impression.
K. The use of tobacco products is not permitted in City vehicles.
L. Employees must comply with any preventative maintenance programs which may be
required by the City.
3. TAKE-HOME VEHICLE
A. The operations of a take-home vehicle to and from work does not constitute work time and
the employee is considered off the clock until they arrive at an approved work assignment.
B. All employees assigned take-home vehicles will live within 30 minutes of their assigned
reporting work location. Exceptions can be granted in writing by the supervisor.
C. Any employee on vacation, leave, or suspension is not authorized a take-home vehicle.
D. Supervisor approval is required before an employee can take a vehicle home.
E. When assigning a take home vehicle, the supervisor shall note that one of the following two
criteria are met:
a. Vehicle is equipped with tools or instrumentation that are essential in an emergency
response situation. The employee responds directly to the scene of a time sensitive
situation and is trained to use the tools and equipment.
b. An employee's responsibilities require that they perform certain job functions on a
regular basis outside of their normal assigned schedule.
4. PASSENGERS AND ANIMALS
A. City vehicles are permitted to transport non -employees for City business or when attending
training, conferences or a City sanctioned event.
B. No one under the age of 16 is permitted to ride in a City vehicle unless necessary as a direct
result of the job.
C. Elected and appointed officials, volunteers, interns, and part-time employees are permitted
to ride in City vehicles.
D. Transport of animals' is prohibited.
5. CITATIONS
A. Any employee receiving a traffic or parking citation while operating a City vehicle shall
immediately notify their supervisor.
B. The City assumes no responsibility or obligation to pay for any citations issued for a moving or
parking violation(s). All fines and costs associated with the citation are the responsibility of
the employee.
C. The Fleet Committee shall be provided a copy of all citations regarding equipment or safety
violations from the employee's supervisor/ department head.
6. OPERATING LICENSING
A. Employees operating a City vehicle shall possess a valid driving license during times of
operations.
B. Operators of vehicles or equipment requiring a special class license (CDL) and/or
endorsement, shall possess the same prior to operating such vehicles or equipment.
7. ALTERING VEHICLES
A. City vehicles will not be altered in any.
B. No City vehicle shall have any personal stickers, signs, flags, or any other similar
attachment placed on or affixed to the vehicle.
C. Vehicles must be affixed with the City or Department logo.
8. VEHICLE INSPECTION
A. All employees will perform a "walk -around" of the vehicle to see if there are any visible
problems prior to it being driven each day.
B. The employee shall check to make certain that all vehicle safety equipment including
headlights, turn signals, brake lights, and windshield wipers are functioning properly.
C. Any vehicle damage beyond normal wear and tear or that includes defects affecting the
safe operation of the vehicle must be documented and reported to the employee's
supervisor.
D. Employees must comply with any preventative maintenance programs.
9. VEHICLE ACCIDENTS
A. In the case of an accident or incident involving any level of damage and no other parties
were involved, the employee driving the City vehicle or equipment shall immediately
notify their supervisor and fill out a City of Otsego Accident Report Form.
B. When the accident involves another vehicle or an injury, the appropriate Law
Enforcement Department shall be notified to obtain a full accident report.
a. The employee must not admit fault for the accident, and defer all legal questions
to their supervisor, the City Administrator, or the City Attorney.
b. Also, the involved employee will need to fill out the (League of Minnesota Cities)
Vehicle Accident Report Form.
c. That employee's supervisor will need to then need to fill out the Supervisor's
Report of Accident form.
d. If the employee is injured in the accident, First Report of Injury forms will need to
be completed and submitted to Human Resources.
e. Any employee involved in an accident while driving a City vehicle must submit to a
drug and alcohol test, as provided for in relevant provisions of the applicable City Drug
and Alcohol Testing Policy.
C. All appropriate paperwork must be completed by the employee involved in the accident
and submitted to the Fleet Committee for review whenever there is damage to a vehicle
or equipment owned by the City.
D. If the City employee is determined to be at fault, disciplinary actions may be taken.
E. The City shall not be responsible for any increase in the employee's automobile insurance
premium because of an accident or fine.
10. USE OF ELECTRONIC DEVICES
A. Employees shall follow the State of Minnesota Hands Free Law.
11. USE OF PRIVATELY OWNED VEHICLES
A. There are times in which the use of an employee's personal vehicle is preferable because
either a City vehicle is not available or because the useof a privately owned vehicle is
deemed more efficient.
B. The use of a personal vehicle to conduct official City business shall be reimbursed at the
established IRS mileage rate.
C. Travel considerations must be approved prior to conducting travel and in accordance with
the travel policy.
D. Drivers using a personal vehicle for City business shall carry adequate personal vehicle
liability insurance as required under Minnesota law.
E. The City assumes no responsibility for damages to privately owned vehicles.
12. SAFEGUARDING ISSUED EQUIPMENT
A. Employees are responsible for safeguarding City -issued equipment associated with their
assigned vehicles. This includes (but is not limited to) issued equipment which is normally
left in the assigned vehicles. The employee shall ensure that all equipment is safeguarded
prior to parking/leaving the vehicle.
B. The City will assume no responsibility for personal property stored or left in a City
vehicle.
13. REPORTING REQUIREMENTS
A. Employees must forward a copy of their driver's license to the Human Resources
Department and/or their supervisor as requested or when there is a change to their
license. In the event of a license suspension, vehicle use privileges will be terminated.
B. Employees who operate any City vehicle are responsible for notifying their immediate
supervisor of any restrictions, limitations, or other change intheir driving status.
14. POLICY HISTORY
This is the current and most recent version of the Uniform Policy. Previously:
Adopted
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2021-12
ADOPTING A FLEET MANAGEMENT POLICY
WHEREAS, the City previously adopted a City Vehicle Use policy on April 24, 2006; and
WHEREAS, the City has made certain revisions at the recommendation of the League of Minnesota Cities;
and
WHEREAS, the City has changed the title of the policy to Fleet Management policy; and
WHEREAS, a policy such as this ensures the safety and well-being of City employees, facilitates the efficient
and effective use of City resources, minimizes the City's exposure to liability, monitors the use of City -
owned vehicles and assists in complying with regulations relating to City vehicle usage; and
WHEREAS, the City Council has met to discuss and review the Fleet Management policy; and
WHEREAS, the City Council has determined that the Fleet Management policy shall be in force and effect
upon the date of adoption of this resolution.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
That the Fleet Management Policy as attached hereto is hereby adopted effective immediately.
That the following City policies previously adopted are no longer in force and effect:
a. City Vehicle Use Policy; adopted April 24, 2006
ADOPTED by the Otsego City Council this 8th day of March, 2021.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
2
CITY OF OTSEGO
Jessica L. Stockamp, Mayor
ATTEST:
Audra Etzel, City Clerk