investment analysis tool to make
critical repair-or-replace decisions.
By documenting fl eet condition, establishing
the likely end of service
life, and highlighting areas that will
require capital investment to reach
the service life goal, an agency can
make informed choices. Th e resulting
data feeds the fi nancial analysis
28 | Mass Transit | MassTransitmag.com | JUNE 2017
to compare the cost of overhaul versus
the cost of buying new.
5. Purchase New
or Overhaul
In some cases, vehicles will have
reached a severe level of deterioration
or obsolescence, and it
makes more sense to buy new
A FINANCIAL analysis can
determine which way an
agency should go with its fleet.
vehicles rather than further invest
in failing equipment. A normal
procurement becomes the next
step. If, however, the fi nancial
analysis indicates that overhaul
is best for the existing fl eet, then
the next step is to generate a detailed
overhaul. Any components
determined to have a predicted
life less than the service life goal
will be incorporated into a systematic
plan to renew the fl eet.
A fl eet assessment should be
conducted on every vehicle type
when it reaches its midlife. Th e
assessment will help to identify
hidden issues with the vehicles,
increase effi ciency and reliability
and allow agency planning efforts
to proceed with confi dence.
A fl eet assessment led by experts
can help agencies extend their
fl eets’ lifespans and provide signifi
cant cost savings versus new
car procurement. Even if the fl eet
assessment leads to the conclusion
that overhaul is not advisable,
the agency will still have
gained a realistic timeline to use
for planning a new car procurement
and solid fi nancial data to
support the recommendation.
Daniel Lang, P.E., is an engineer with
LTK Engineering Services.
For more information, visit www.MassTransitmag.com/10658396