Internal Policy and Procedures

Vehicle Purchases Process

POLICY:

The UW-Madison Fleet Program Officer is responsible for the coordinated management of UW-Madison Vehicles. The Fleet Program Officer works with UW System Administration and the Wisconsin Department of Administration (DOA) in the development of vehicle use, procurement, and disposal standards, including reporting requirements. All data on vehicles must be current and maintained by the Department in cooperation with the Fleet Program Officer. All data must be recorded in the State Fleet Database. The Fleet Program Officer will work with UW-Madison departments requiring vehicles to carry out department programs to ensure needs are met, vehicle use is in compliance with the established standards, and the most efficient use is made of each vehicle.

DEFINITIONS:
DOA=Department of Administration
DVC=Department Vehicle Coordinator
FLT=FP&M Car Fleet
FP&M=Facilities Planning & Management
PIM=DOA Procurement Information Memo
PO=Purchase Order
PRF=means Purchase Request Forms
PURCH=In the context of this IPP “PURCH” refers to the Purchasing Office of FP&M
PURCHASING SERVICES=the central purchasing department located in the Division of Business Services
RPA=Request for Purchasing Authority to DOA
VIN=Vehicle Identification Number

DEPARTMENT VEHICLE COORDINATOR.
A Department Vehicle Coordinator (DVC) is appointed for each division, college, or school to work with the Fleet Program Officer on all vehicle related issues. The DVC’s assist in developing and reviewing UW-Madison Central Fleet (UW-Fleet) policies and facilitate the implementation of those policies. The DVCs are also a resource to explore opportunities for sharing vehicles, rotating vehicles to ensure maximum usage, and providing information as needed to the Fleet Program Officer.

VEHICLE DEFINITION.
Any automobile, truck, motor bus, motorcycle, self-propelled, motor-driven vehicle. Donated vehicles and/or vehicles required by grants or gifts are not exempt from these policies and procedures.

VEHICLE PURCHASING STANDARDS.
A vehicle replacement request may be made when it meets any of the following criteria.

1. Unsafe and/or uneconomical to operate.

2. Estimated repair cost exceeds fifty percent (50%) of the current book value used by UW Madison Risk Management.

3. Current DOA standards for miles/age are met.

In addition to the minimum replacement standards, custom-equipped vehicles require a special replacement justification. The justification must include the following elements: specific service performed by the vehicle, special requirement related to materials and/or tools transported by the vehicle, estimated annual mileage, estimated annual number of hours in service, and feasibility of contracting for the service associated with the vehicle.

Estimates and/or other written proof is required. Digital photos are recommended.

VEHICLE LEASING OR RENTALS.
A vehicle lease is a contract between the University and a vendor to provide a required vehicle for 30 days or more. A vehicle rental is a short-term contract of 29 days or less. Leasing from outside vendors may be requested when:
1) a UW-Fleet Vehicle is not available; and/or
2) Federal funds are used that specifically prohibit purchasing a vehicle; or
3) funds available are insufficient for purchasing a vehicle.
Leases for more than 30 days require DOA review and approval per the current Procurement Information Memos (PIM). DOA purchasing guidelines prohibit sequential thirty (30) day leases. Contact the Fleet Program Officer to obtain DOA approval. All reporting and record keeping requirements as if the vehicle is owned will apply.

The authority to rent a vehicle for less than thirty (30) days has been delegated to the University Fleet Program Officer and routine purchasing procedures should be followed. Renting should only be done when University and DOA fleet vehicles are not available.

UW-Madison Risk Management will provide the appropriate insurance coverage for all leased vehicles. For leases of 30 days or more Risk Management and the Fleet Program Officer must receive the following information before the lease begins:

Copy of the contract with all terms and conditions completed.

Vehicle Year, Make, Model, Color, Warranty, Fuel Type, Engine Description, Transmission Description, Vehicle identification number, Delivery Date, Miles at Delivery.

VEHICLES PURCHASED OUT-OF-STATE AND IN FOREIGN COUNTRIES.
Vehicles purchased for use out-of-state and in foreign countries are not exempt from these polices and procedures. Vehicles acquired for specific research projects or programs used in other U.S. states will be purchased and titled through UW Fleet and transported to its use location. Acquisition and disposal of these vehicles must comply with state regulations and the project sponsor When UW-Madison has title to a vehicle, at the completion of the project the vehicle will be declared surplus and disposed of through grant requirements, special agreements, or state procedures per DOA Procurement Manual Section PRO-F-1. Special insurance must be acquired for foreign based vehicles. Call Risk Management at 262-0375 for additional assistance.

VEHICLE DATA BASE.
A data base has been created and will be maintained by UW Fleet as an adjunct to records placed on the University's capital equipment inventory management system maintained by Property Control. DVC’s will supply data and verify the accuracy of records for all vehicles. In addition to this, departments are responsible to comply with DOA reporting requirements for the state fleet database.

Administrative Fees.
DOA and UW Fleet assess administrative fees. Consult with the UW Fleet Program Officer as these fees change from year to year.

PROCEDURES:

1. FP&M Car Fleet (FLT). Fleet Program Officer receives the PIM’s from DOA (on a sporadic annual basis) and will interpret and apply the PIM to the campus car fleet inventory master plan.

1.1 Notify DVC coordinators that PIM’s are issued and of the deadlines, requesting details of vehicle requirements and all necessary justification letters.

1.2 Create all DOA3016 forms, sort by vehicle type as required by PIM, verify accuracy of VIN numbers, and completion of all required information.

1.3 Coordinate campus vehicle needs and submit internal FP&M Purchase Request Forms (PRFs) to FP&M Purchasing office. Fleet will fund all vehicle purchases with fund transfers later if a department is going to own the vehicle or develop lease terms if fleet will own it. Brand new vehicles are to be leased from FLT unless they agree to allow purchase by a department. Used vehicles may be purchased by departments with FLT assistance.

2. PURCH
Complete RPA process with final signatures and deliver to DOA.

3. FLT/DOA
Work together to resolve denials and questions on submission prior to bid process (by DOA).

4. DOA
Bids are processed and awarded by DOA

5. DOA
Bulletins will be issued by DOA

6. FLT
Contact all departments to confirm that funding is available for orders that were requested months earlier. This must be done immediately upon receipt of bulletins; if we miss deadlines for issuing orders, we risk no vehicles purchases for the current year.

Provide a copy of all PO’s to FP&M Fleet Accountant.

7. FLT/PURCH
If financing is required through DOA Capital Finance FLT will coordinate with the department, Accounting, and Purchasing Services as required.

8. PURCH
Will develop final purchase order referencing correct bulletin #, Commodity Code (specification #), the vehicle description will consist of a copy of the Bulletin specification, the color of the vehicle – both interior and exterior, as well as the order message “CAR” (which discusses delivery instructions). The Vendor Copy of all PO’s must be sent to DOA for counter-signature prior to being mailed to vendors. A copy of all PO’s and attachments will be prepared for FLT.

REFERENCES:
PRO F 1, State Statute 20.915 Vehicle Disposal
PRO-D-16 State Procurement Manual Vehicle Purchases
PPP17 Vehicle Purchases
Form DOA 3016
ss. 20.915(1). Wisc State Statute