Poole Council operates a fleet of around 250 vehicles, of which more than half needs replacing in the next three financial years.
The Borough of Poole has approved the replacement schedule, which will cost an estimated £6.97 million.
Financial services are now considering how best to fund it - through operating leases or borrowing.
Cllr Don Collier, portfolio holder for the environment, said in his report that they would probably use a mix of buying and leasing with internal and external maintenance.
"Whilst it is often advantageous to purchase and maintain specialist vehicles it is likely that the private sector will offer better value for small vans and cars," he said.
The vehicles range from refuse collection wagons and mechanical sweepers, tippers and gritters to cars and people carriers.
And they range across all departments from leisure to legal and democratic services, revenues and benefits to social services.
Of the 150 plus vehicles scheduled to be replaced before December 2010, 12 need replacing immediately, including two 4x4s, two people carriers and a variety of vans large and small.
Both cabinet and council have unanimously approved the replacement programme.
In his report Shaun Robson, head of environmental and consumer protection services, said where possible tenders would go through Yorkshire Purchasing Organisation, an approved supplier to public bodies.
"Discounts received through purchasing organisations are proven to exceed any arranged locally by authorities tendering to market alone," he said.
"Any vehicle which cannot be supplied via a purchasing organisation will be subject to the council's traditional procurement standing order," he added.
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