Materials Management

Effective Date: 03/01/2000

Policy Statement 68: Motor Vehicle Acquisition

Motor Vehicle Fleet

The University owns and operates a motor vehicle fleet consisting of all trucks, vans, buses, and various other service vehicles.

The University also operates a motor vehicle fleet consisting exclusively of passenger vehicles which are owned by the State Motor Fleet Management Division.

Vehicle Purchase Contracts

The State enters into annual contracts with certain truck and automobile manufacturers for furnishing the State's requirements of trucks, buses, etc. All requirements for new vehicles must be in compliance with these contracts. Vehicles must be selected from the approved models listed on the annual contract. Requests for non-contract models must be accompanied by satisfactory justification for deviating from the contract. If approved, bids will be solicited for special requirements.

Additions to Fleet

Additions to the University-owned fleet (trucks, vans, buses, etc.) will require the approval of the Vice Chancellor for Administration and Finance. Passenger vehicles generally cannot be purchased by the University and must be secured from Motor Fleet Management. University departments desiring to purchase a vehicle must send a justification memorandum to the Department of Materials Management explaining the need for additional vehicle. Departments desiring assignment of a Motor Fleet vehicle must forward a written request to the Central Motor Pool Office located at Parking and Traffic Services, phone 328-6962.

Replacement Policy

The University vehicle replacement policy is that vehicles generally can be replaced when they attain 60,000 miles, regardless of age. The Motor Fleet vehicle replacement policy is determined by MFM itself; generally, cars and station wagons must have 80,000+ miles to be approved for replacement by the State Motor Fleet Management Division. Exceptions may be made by either the University or Motor Fleet if the repair of a wrecked vehicle or major mechanical repairs would not be justified.

Scheduled Replacement

Vehicles purchased from University funds are generally replaced on the above referenced schedule. When a vehicle is scheduled for replacement, the Department of Materials Management and the using department establish the type of vehicle and the other options required. A purchase requisition for replacement vehicles should then be created and forwarded to the Department of Materials Management. The vehicle to be replaced should be listed on the purchase requisition, giving the vehicle number and a description of the vehicle.

General Use Policy

When travel by car is determined to be feasible, Motor Fleet or University-owned vehicles, when available, should be used instead of a private car. Procedures for using vehicles owned by the University and State are set forth herein. The following laws and regulations apply to University and State vehicles:

Official Business

State-owned/University-owned vehicles shall be used for official State business only. G.S. 14-247, Private use of publicly owned vehicles: "It shall be unlawful for any officer, agent, or employee of the State of North Carolina, or any county or any institution or agency of the State, to use for any private purpose whatsoever any motor vehicle of any type or description whatsoever belonging to the State."

Driver Violations

Drivers shall observe all local and State ordinances pertaining to the operation of motor vehicles. Any fine imposed for any violation which was under the control of the driver shall be the responsibility of the driver. Towing charges as a result of a violation are the responsibility of the driver.

Liability Insurance

G.S. 58-194.1, Liability insurance required for State-owned vehicles: "Every department, agency, or institution of the State shall acquire motor vehicle liability insurance on all State-owned vehicles under its control."


To achieve economy in providing insurance coverage for State-owned vehicles, blanket policies have been obtained; premiums on these policies are paid by the University agencies on a pro rata basis. Insurance policies for all vehicles having liability limits of $100,000/$500,000,000. Any employee desiring additional protection may purchase it as an "extended non-owned coverage" or "broad for use of other automobiles" endorsement on his personal or basic automobile liability insurance policy. Any department desiring collision, comprehensive, etc., coverage should contact the Office of University Property Management.

Travel Logs

For all assigned Motor Fleet vehicles, a log will be kept in the vehicle and should be kept current by the assigned drivers. All logs are subject to audit and pink copies should be retained for two (2) years. For Motor Fleet vehicles, the logs are to be verified, totaled, and forwarded to the Central Motor Pool Office on the first of each month.

Hitchhikers, Passengers

Hitchhikers are not permitted to ride in Motor Fleet/University-owned vehicles. Wives or husbands and children of State employees may accompany them in State cars, if ample space is available and all travel is strictly for official State business.

Operators, Drivers

Non-State employees may accompany State employees in Motor Fleet cars when they have a business interest in the travel. Non-State employees may not operate University-owned or Motor Fleet cars. Students of the State universities and colleges may be passengers in State cars to attend activities officially sanctioned by the institution. Students may drive State-owned vehicles if employed by the University part-time and on official business.

Parking, Storage, Tolls, Etc.

When a Motor Fleet/University-owned vehicle is used for official travel, parking, storage fees, and tolls are legitimate charges to the State, provided necessary receipts are obtained. Reimbursement of expenses for airport parking for Motor Fleet or University-owned vehicles is limited to forty-eight (48) hours, with a receipt required.

Motor Fleet Travel Policies

At the employee's destination, Motor Fleet vehicles may be used prudently to obtain meals, but not for private purposes or for entertainment. No common carrier or public transportation fares are reimbursable on a trip on which an employee uses a Motor Fleet vehicle, unless it is shown that such transportation was more economical in a particular situation.

Cost of Operation - University Owned Vehicles

Each department shall be responsible for operating costs for University-owned vehicles in their custody. This includes, but is not limited to, gas, tires, oil, services, insurance, etc. The required mileage for Motor Fleet vehicles is 1,050 miles per month. Monthly charges for MFM vehicles are set by Motor Fleet according to the size and type of vehicle, and the 1,050 miles is included in this charge. (Mileage above 1,050 is charged an additional amount per mile, above the minimum charge.) The individual department to which the vehicle is assigned is responsible for all monthly charges.

Gasoline and Service Credit Cards

The Department of Materials Management provides commercial gasoline credit cards to Motor Fleet vehicles as required. Although gasoline companies may promote the use of their cards for such charges as meals, motel rooms, or other services, it is not permissible for the University-held cards to be used for any service other than those associated with the operation of State-owned vehicles.

Commercial credit cards are not to be used when the necessary services are available from State or University-operated facilities. Gasoline and oil should be obtained from the University service pumps whenever possible. Charges for gasoline from local service stations will require an explanation for not using University pumps.

Motor Fleet vehicles assigned to departments also have gasoline credit cards in each vehicle. These cards must only be used in the vehicle to which the cards are assigned. The State Motor Fleet Management Division assumes financial responsibility for purchases on these cards as long as they are justifiable and reasonable.


Reporting of accidents shall be in compliance with all local and State ordinances. For Motor Fleet vehicles, accident reporting procedures are detailed in the Motor Fleet Management handbook.


Consult the Motor Fleet handbook in the glove compartment of each vehicle for additional information on policies and procedures.

Additional Information

Additional information on University-owned vehicle insurance, accident reporting, and claims filing is contained in the "Guide to Insurance and Risk Management at East Carolina University."