HomeMy WebLinkAboutTR 19/98
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REPORT TO COUNCIL
FROM:
Gillis Paterson
Director of Finance
DATE: May 28, 1998
REPORT NUMBER: TR 19/98
SUBJECT: Provision of Vehicle
Mayor's Office
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RECOMMENDATION:
It is recommended that this Report No TR 19/98 be received by Council and that:
1. The Mayor and the appropriate staff or the Town of Pickering be authorized to lease a new
vehicle, to replace the current one.
ORIGIN:
Director of Finance
AUTHORITY:
Council Policy
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FINANCIAL IMPLICATIONS:
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While it is difficult to be certain at this time, it is felt that the lease cost on a new vehicle should
more or less equal the total repair, maintenance, depreciation and carrying costs over the next
while on the existing vehicle, and avoid any capital outlay.
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EXECUTIVE SUMMARY: Not Applicable
BACKGROUND:
The Town currently provides the Mayor with a 1995 vehicle. The automobile has approximately
86,000 km. on it, is three years old and will be needing some expenditures in the near future to
extend its life, such as new tires, exhaust system, major tune-up etc. It was thought advisable to
consider acquiring a new vehicle before spending any money on the existing one, however, budget
constraints in 1998 will probably prohibit the capital outlay of approximately $30,000 to replace
this vehicle. It is, therefore, recommended that, in order to provide the Mayor with a newer
vehicle, a car be leased at a cost not exceeding $700 per month, including all applicable taxes.
The existing car will be traded in to reduce montWy payments. Appropriate provisions are
included in the Mayor's 1998 operating budget.
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ATTACHMENTS: Not Applicable
Prepared By:
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Gillis Paterson
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Copy: General Manager