Car Wars
A local car dealer is formally protesting the city of Indianapolis’ decision to purchase 85 hybrid vehicles from a Japanese automaker.
In an e-mail sent Monday to the Mayor and City-County Council, Mike Chaney of Penske Chevrolet said DPS awarding of $2 million contract to Andy Mohr Toyota for the hybrid vehicles was $184,000 more than what Chevy would have charged them. Chaney says Toyota charged the city approximately $25,000 per hybrid when Penske would have only charged $24,000.
Chaney also says they could have delivered the vehicles between April and June of 2009 while Toyota’s would have been staggered over a six month period and disputed the gas savings of the Toyota Hybrid. Chaney also says in his e-mail that Toyota is making a profit of $197,000 while Penske would have made a profit of $4,400.
In his complaint, Chaney also accuses the city of giving Andy Mohr Toyota preferential treatment and accused Public Safety Director Scott Newman of having inappropriate contact with Toyota.
City officials say they followed all standard bidding practices and stand by their decision to purchase the Toyota hybrids.
December 2nd, 2008 at 8:04 am
I guess if you can’t sell someone what they want, try to sue them into buying your product.
December 2nd, 2008 at 8:09 am
Identical vehicles? Therefore, identical gas mileage & repair records, or not? Buying Japanese when you could have bought American manufacturing? I’m in search of more info.
December 2nd, 2008 at 10:08 am
This is just an example of the very unethical and corrupt practices/profit taking being actively pursued by the political insiders of the Greg Ballard Administration. Scott Newman has his hands in several pockets. Had Enough?
December 2nd, 2008 at 10:23 am
I’m not ready to agree with Robert yet, but:
Why are we buying foreign vehicles at all? I drive an American-made hybrid and get excellent mileage. It cost about $22,300 a year ago, with no rebates or group discounts.
Here’s another tidbit: why not save a lot more money, and pay mileage to most employees who are on city biz? Most of this is in-city short-drive business. We’d be better off to pay the going IRS-allowed reimbursement rate, and not buying as many cars.
There are entirely too many take-home cars in city govt. Even after the bruhaha a couple of years ago, it’s typical government: once the hype dies down, it’s back to normal business.
December 2nd, 2008 at 10:46 am
most of you need to get the facts. these cars are gonna be driven by IMPD detectives. replacing large crown vic’s that detectives don’t need. and old chev impala’s (which in my opinion are junk). Penske could have made a bid that would beat toyota but they didn’t. those toyotas are made right here in indiana.
think again. No insurance company in the world is gonna insure a private citizen’s vehicle being drien as a police vehicle. the rates would be sky high. who’s gonna pay that? the city? city vehicles are self-insured by the city.
December 2nd, 2008 at 11:36 am
I believe in buying American, in theory. I believe keeping the money in America keeps the wheel turning for our mutual, economic, community benefit. However, after grudgingly preparing to pay approx 2K more for a car with lesser gas mileage and a poorer repair record, I finally passed on buying American because the sales process was too fraught with shell games and sticking me with a car full of accessories I didn’t want. “Made in Indiana”, isn’t ideally enough to satisfy the economic notion of keeping the money here, but I didn’t believe it enough to avoid being a hypoocrite.
December 2nd, 2008 at 1:14 pm
babyD–you’re wrong about the insurance, but that’s OK.
I was not aware the cars were strictly IMPD. I think the bid specs called for multiple cars for multiple department.s Certainly n emergency resposne vehicle should be a citizen’s mileage-paid car.
No hybrids are made in Indiana by Toyota, according to their own website.
December 2nd, 2008 at 1:53 pm
What models did they buy?
Where are these going to be built? Kentucky perhaps?
http://alternativefuels.about.com/b/2008/08/07/see-the-toyota-camry-hybrid-on-the-assembly-line.htm
The last two ‘American’ GM cars I bought were made in Canada.
December 2nd, 2008 at 1:55 pm
Perhaps they’ll be built in Mississippi if the are Prius’:
http://www.huffingtonpost.com/steve-parker/next-prius-built-in-us-ka_b_112073.html
December 2nd, 2008 at 6:16 pm
toyota corollas. my mistake on built in indiana. they are made in an american factory at least. i still would like to knew what insurance co is gonna insure a privately owned vehicle as a vehicle being used mainly in as a police vehicle. if one does i couldn’t imagine the rates.
December 2nd, 2008 at 7:22 pm
“Even after the bruhaha a couple of years ago, it’s typical government: once the hype dies down, it’s back to normal business.” — Think Again, Post #4
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WOW!! We agree on something! Is it snowing in Hell ??
December 2nd, 2008 at 7:35 pm
While everyone is looking one way, no one asks the big question: why is the City of Indianapolis buying cars from dealers outside of Marion County? I’m pretty sure we have Chevy and Toyota dealers right here in Indy.
December 2nd, 2008 at 9:17 pm
babyD, I don’t know the component content of those Toyotas made in America…because the Toyota folks bribed enough Members of Congress to effectively kill Content Legislation. I’m betting the components are largely foreign, and assembled here. That’s better than assembling them overseas, but not by a lot.
In addition, the foreign automakers have reached into 19 states with plants…that employ locals. Their influence is now extremely strong.
babyD, I don’t advocate using private cars for most police duties. Ever. But if you did, I’m sure most domestic casualty insurers would issue routine work-related policies. If I’m a DMD inspector, using my own car, and I’m injured, it’s a workman’s comp claim, anyway…regardless who insured the car. And if it’s someone else’s fault (*not the city’s), CIty Legal would go after that driver.
Oops. I forgot. We have on-the-job training at City Legal-Corp Counsel now. Nincompoops all. But I’m talking “ideal situation” here.
December 2nd, 2008 at 9:27 pm
The real profit isn’t up front, its in the parts and service that is attached to the contract.
These hybreds will have to be in service ten years for the city to break even.
This is crazy.
December 2nd, 2008 at 10:06 pm
I concur with thundermutt.
.
Oh and BabyD is right. No insurer would sanely insure a private vehicle that is to be used as a police vehicle and if they did the rates would be insanely high!
December 2nd, 2008 at 11:53 pm
LOL, Ive heard the republican whine commercial on the radio about the 500 using ethanol from Brazil,then Ballard turns around and buys 85 TOYOTAS, what a hoot.Maybe Brazil makes better ethanol, isnt that the arguement by the right about American cars?
December 2nd, 2008 at 11:57 pm
>LOL, Ive heard the republican whine commercial on the radio about the 500
.
Republican? I thought it was a corn/ethanol association of some sort pushing the commercial. But the commercial is funny. The IRL has foreign drivers whose names people can’t even pronounce properly and they want us to be upset that ethanol is coming from Brazil? LOL…okay.
December 3rd, 2008 at 12:06 am
I kinda think Mitch owns the ethanol debacle,but your right , foreign drivers, Honda engines,Brazilian ethanol,85 Toyotas,and Ballard on his way to China.LOL
December 3rd, 2008 at 2:43 am
If the city really wants to save bucks, then they should look into NGV(natural gas) vehicles manufactured by GM, FORD, CHRYSLER,and HONDA(here in Indiana). They are just barely more expensive that regular gas vehicles and their maintenance records are much better especially engine maintenance.
December 3rd, 2008 at 4:02 am
I own a 2008 Camry Hybrid, only to save on gas and when it was $2 a gallon, and it was made in Kentucky. The 10 year payoff statement from Ernie is silly. My first foreign car, with much reluction. The majority of the parts were also made in the US, which you can’t say about the big three.
December 3rd, 2008 at 9:19 am
‘Imports’ seem to have higher resale values, too.
December 3rd, 2008 at 10:59 am
As someone who has worked in law enforcement, I can tell you that I would _never_ use my personal vehicle for anything department related, even if they paid me. Sometimes the process of being covered under your employer’s insurance policy can be a pain. Plus, if I have a good deal on a car, I lose that as soon as it gets totaled. So while my employer would likely pay out, they are only going to pay out book value if the other driver is uninsured and has no money. Unless I get a written contract with a set price I would get if the vehicle is totaled, I am not driving it for official duties. This is why government provide vehicles to employees. I do agree that sometimes this is abused: Buying of SUVs when there is no need for such a vehicle, buying them and letting people take them home, etc..
December 3rd, 2008 at 12:34 pm
Silly I don’t think so. Jerry you paid a premium and didn’t get much if any discount in the sticker price of that Hybrid. You probably paid over sticker just to get it. At four dollars a gallon it will take years to offset the premium what you paid. At two dollars a gallon it will take twice as long. Don’t get me wrong hybrids are OK its just that the new car buyer pays through the nose and the resale isn’t that much higher five years down the road than the gas burner.
Silly or not 25 yrs in the business has taught me to look at every aspect of the purchase, but you believe what ever makes you happy.
December 3rd, 2008 at 9:48 pm
Exactly who’s going to be driving these 85 new cars?
December 4th, 2008 at 3:11 am
1) We’re going in the wrong direction.
2) Public safety is job #1.
3) I like the friends I have now.
4) The Burmese are migrating to MY city so we need to fill the refrigerators in their apartments until their foodstamps kick-in, so we need YOUR food.
http://www.usatoday.com/news/nation/2007-10-16-burma-refugee_N.htm
http://www.wthr.com/global/story.asp?s=8974960
http://weekendamerica.publicradio.org/programs/2007/10/13/one_thing_from_burma.html
4) I’d like to have little China town’s around Indianapolis….
5) I’m going to China to look for more Asians to exploit MY city.
“In Germany, they came first for the Communists, And I didn’t speak up because I wasn’t a Communist;
And then they came for the trade unionists, And I didn’t speak up because I wasn’t a trade unionist;
And then they came for the Jews, And I didn’t speak up because I wasn’t a Jew;
And then . . . they came for me . . .
And by that time there was no one left to speak up.”
WAKEUP Indianapolis, extreme partisianship, racial segregation and elitism makes it easy for politicians to abuse us! We’ve got three LONG years to go!