1. FASTER National Conference High Tech – High Touch New Initiatives at Loudoun County Virginia By: Kent Carneal, Fleet Maintenance Supervisor and John Mercer, Fleet Account Clerk

2. A little about Loudoun County The Consolidated Fleet numbers as of June 30, 2008 Consolidated Fleet Size 2,364 Employee Count 60 Fleet Usage (miles) 25,116,464 Fleet Availability 96% Production Hrs Billed 61,940 or 84% Scheduled vs. Unscheduled Hours 75 / 25 Billing (including $8M in fuel)$15,368,782 Inventory Value $478,579 Physical Inventory Turns 3.4 Inventory Net-Value Turns 4.9 Warranty Recovery $331,800

3. Loudoun has been in the Top 5 Fastest Growing US Jurisdictions since 1996 What does that mean? In 12 years from 1996 to 2008 Fleet Growth 814 to 2,364 Fleet Miles 9.6M to 25M Fuel Gallons 720K to 2.75M Employees 20 to 60

4. Fleet Growth Chart

5. Organizational Growth As demand increases 814 1812 1208 2364 You Must Change!

6. A Period of Fast Paced Change In a 16 month period from Aug 06 to Dec 07 Implement Faster Payment Module, 8/06 Began Heavy Shop Second Shift, 8/06 Implement Automated Payment Transfer, 11/06 Implement Core & Credit Demand Tracking, 3/07 Opened 10,000 sq/ft Addition at our Main Facility including a relocation of our Tire Shop, 8/07 Began operating a Radio Shop, 9/07 Began Light Vehicle Shop Second Shift, 12/07 Began Imaging Work Orders and Payments,12/07

7. Two New Initiatives Implementation of the FASTER Payment Module & Core and Credit Demand Tracking

9. Invoices are Pulled into Payment Table Payment Records Sublet Invoices Part Receipts Credit Invoices

14. So what? Before Payment Module  Invoices keyed for Parts & Sublets  Invoices keyed again in the Business Office  Invoices keyed a third time at Accounting With Payment Module (& transfer utility)  Invoice Information keyed one time!  Every dollar is accounted for (paid or unpaid)  Because we have the data reporting is possible

18. Core and Credit Demand Tracking Prior to Payment Module  We did not receive cores and returns into inventory  Part Issue Returns were returned to inventory then the receipt record was deleted to remove it from inventory  The original invoice would be held until a credit was received then both were processed for payment  If a credit never came through, the invoice would eventually be paid  I assumed a 95 to 98 percent recovery with this process

19. Have you ever heard the phrase, ‘Trust but verify?’ NOW  We receive all parts and cores into inventory  Part returns and Cores are in inventory until they leave the building  All Returned items are Transferred to Vendor and a Pending Credit is created in FASTER  Once a credit invoice is received a Credit Record is created and the associated Pending Credit is deleted  Actual Credit Recovered is much higher than before

22. New Part Generator

32. Process Review  Receive Cores into Inventory  Attach the Barcode Label to a Core Tag and record the Vendor #, Invoice # and Amount  Attach the Tag to the Part  Issue Part (We don’t issue the core, but probably should)  Core is returned to Parts by Technician  Transfer the Core to Vendor  Create a Pending Credit  Post Actual Credit & Delete Pending Credit  Check Your Work (Accuracy is Everything)

36. WHY DO ALL THAT WORK?!!!

38. The Results

39. The Difference is…  $44,000 or a 46% increase in credits recovered during FY/08  That’s a lot more than a new pair of shoes  100% Credit Recovery Rate  Short $0 out of $140,000 requested for FY08

40. The Difference in a Nutshell We know where all our valuables are!  All Items of Value (physical inventory on hand) are received into the FASTER Inventory Control System  There is a record of every item that leaves the inventory (Part Issues and Transfers to Vendor)  Credit Demands and Credits are posted  All other Invoiced Items (+/-) are transacted in FASTER and therefore in the Payment Module

41. QUESTIONS ?  Loudoun County Central Garage  703-771-6485  Position Justification  Job Description  Process Cheat Sheet  Pending Credit Report (Crystal XI)  http://www.ccgsystems.com/notes08

42. Do you know where your valuables are?