Hoovey689

iTrader: (16)

City of Detroit paying $608 per month to lease 2004 Dodge Intrepid

What can you even say to defend a financial decision like this one? According to a report by Detroit's WXYZ television news team, the City of Detroit has been leasing a 2004 Dodge Intrepid since September 2003, over six years after the original two-year-lease expired. Since the City did not return the car, it has continued to make the $608 per month lease payments, even as it racked up miles well beyond the 40,000 in the original agreement, for which it now must pay 15 cents per mile. According to the report, the City has spent over $65,000 for the car, which it doesn't even own.

But that's not all. WXYZ says that Detroit has 110 of these expired lease agreements on 2004 through 2007 models, and all of the cars are still on the road, wasting money with every tick of the odometer. And remember, the City still has to turn in all 110 cars, and pay for excess wear and tear. An estimate of the city's losses incurred by this leasing scheme is well over $4 million, according to the report. The cars are all being used by the Detroit Police Department, and though they're not quite full-zoot police cruisers like the 2002 Intrepid pictured above, they see action for undercover work. That means it's not just the taxpayers who are getting a bad deal here, but the cops themselves, as we're pretty sure none of them are particularly happy to be out risking their lives in an eight-year-old Dodge.

If we can attempt to find the faintest silver lining to this epic thunderstorm of mismanagement, it would be that perhaps in the publicity sure to follow, a few of Detroit's residents might better understand why and how leasing can cost more than financing a new car purchase. And at least the City of Detroit has been using these cars, rather than leaving them in a parking structure to sit and rot (http://www.autoblog.com/2012/04/25/h...miami-that-we/).

http://www.autoblog.com/2012/05/08/c...-dodge-intrep/

xsh0tya

Why they didn`t go with a 2 year lease or something is beyond me... As if Detroit didn`t have enough problems with out wasting 4 million in tax money.

LexFather

Someone got a nice contract

I8ABMR

obvious corruption of some type here. Some one got greased to look the other way. Perhaps a new ride. lol.

bagwell

it boggles me how in this ****ty ecomony and hard times....especially in Detroit....how Government can still manage to waste so much money....its really sad IMO.

M K S

Perhaps an '03 Dodge Intrepid LOL!

I8ABMR

T0ked

iTrader: (2)

Government at its finest...

gengar

Stories like these always leave me wondering why more people don't just oppose tax increases on principle... while legislators bemoan deficits and the "need" to cut essential services, waste abound.

While corruption is always possible, I also wouldn't put this beyond typical government incompetence. Legislators have no profit motive, so their actions can make absolutely no sense to reasonable people.

GS3Tek

iTrader: (8)

Wait, you mean the gov't is not in the best interest of saving money and watch what they're spending??? I find that hard to believe

(that was sarcasm.......mmmmkay? )

S2000toIS350

I would argue against the corruption idea and l lobby for my ongoing view that driving a Chrysler (expanded to being involved with a Chrysler related transaction) lowers mental acuity
Latest example: at work yesterday a guy in a new Ram truck blocked the corporate shuttle
The driver refused to move until Security was called

caddyowner

LOL Google "Detroit corruption" or "Kwame Kilpatrick".

xsh0tya

LOL was just about to mention that! I believe he would have been in office at that time.

T0ked

iTrader: (2)

I think you underestimate the upper echelon of government. Yes, we tend to view the common civil servant has mindless drones, but those in upper levels of government are quite the sneaky sons of *****es. They play up the public expectation of them not knowing what the hell is going on and perpetuate the dumb civil servant stereotype. Corruption and their desire to line their own pockets is what drives them all. There is no other reason for this. Someone (not just the obvious dealer) profited from the tax payers and don't think for a second that someone somewhere did not know what was going on.