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HomeMy WebLinkAboutItem 4.10 SurplusPrtyDisposal ~ CITY CLERK File # D~~[Q]-~[QJ ... . AGENDA STATEMENT CITY COUNCIL MEETING DATE: (November 14,1995). SUBJECT: Disposal of Surplus Property ~Report Prepared by: Paul S. Rankin, Assistant City Manager ExmBITS ATTACHED: Resolution Declaring Surplus Property RECOMMENDATION~#, Adopt the Resolution and authorize Staff to proceed with transfer of \ property to Nationwide Companies (Commercial Auction Systems) pursuant to their current agreement with the City. FINANCIAL STATEMENT: Proceeds from the sale of the vehicles will be collected as revenue in the Internal Service Fund. Pursuant to Dublin Municipal Code 2.40.080 proceeds from the sale of unclaimed property will accrue in the General Fund. DESCRIPTION: Police Services recently put into service three replacement patrol i.vehicles. The City has three 1992 Crown Victoria Police Vehicles which can now be declared surplus. In the past the City has used professional auction services to dispose surplus equipment. In addition the City has other unclaimed property and surplus items which can be disposed of. In addition to the Police Vehicles , Police Services has identified various items of unclaimed property which can be disposed of at this time. The need for storage space requires the City to periodically dispose items stored at City facilities. Currently there are approximately 64 bicycles and various items of unclaimed property currently held in the evidence room. The City Municipal Code Section 2.40.070 provides for auctioning bicycles held at least three months and other items which have been held at least four months. The Police Services Staffhave verified that all items to be auctioned exceed the minimum hol<ljpg periods. In addition the City has some furniture and old equipment which could be disposed of at the auction. The Auction Company is responsible for grouping the items and preparing the lots to be sold. In 1993 all items including non-functioning equipment were successfully sold by the auctioneers. On November 8, 1993 the City entered into an agreement with Nationwide Companies to auction various items including surplus vehicles. The agreement provided that it would remain in effect unless either party gave 30 notice of termination. Staffhas contacted Nationwide and they have indicated that they will continue to honor the terms of the 1993 agreement for their next auction on December 9, 1995. Nationwide conducts auctions from their northern California facility located in Napa. The firm arranges for the pick up of all items and transportation to their facility. They are also responsible for marketing the sale. :.. .- ------------------------------------------------------------------- COPffiS TO: ITEMNO.~ In order to determine that the Agreement with Nationwide was still competitive Staff did request proposal information from other auction firms in the area. Based on the overall types of items to be auctioned the Nationwide services continue to be competitive. .. Nationwide will retain a 10% commission on all items sold. They will not charge any fee for the transportation of the vehicles or other items to their facility in Napa California. The cost t<? remove logos and spot painting if necessary was competitive with the other proposals. Painting is only required if after the removal of the logo the vehicle is still identifiable as a police vehicle. The firm also handles all DMV paperwork on the transfer of the vehicles. ...:.. " Although one of the other proposal received charged a slightly lower commission rate on the vehicles (8%) the commission on other items was 20%-25%.. The City has bad good experience with the prices received on items auctioned by Nationwide in the past. Although past sales prices can not be a guarantee of what our future experience will be, NationWide appeared to obtain higher sales prices in recent auctions. This would more than offset any savings obtained by a slightly lower commission. Staff would request that the City Council adopt the attached resolution which declares the police vehicles as surplus and authorize the use of Nationwide Auction Services for all appropriate surplus and unclaimed property currently held by the City. ."\" .' .... .. RESOLUTION NO. - 95 .. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* DECLARING SURPLUS PROPERTY " WHEREAS, the City Manager has determined that certain police vehicles and miscellaneous property are no longer needed for City purposes; and WHEREAS, the most effective method of disposing of such items is by auction; and WHEREAS, independent firms are available to publicly auction items to the highest bidder; and WHEREAS, the Police Department also has various items of unclaimed property which under state an-d local laws may be auctioned; and WHEREAS, the City also has miscellaneous surplus property which pursuant to the local purchasing ordinance may be disposed of at an auction; and WHEREAS, consolidating the sale of all items at one time is a cost effective means to obtain auction services. NOW, THEREFORE, BE IT RESOLVED that the following police vehicles are declared surplus property to be sold at auction: C1u:1t MODEL YEAR MILEAGE CONDITION Dl Ford 1992 75,126 Operable Crown Victoria D5 Ford 1992 67,234 Operable . Crown Victoria D7 Ford 1992 67,635 Inoperable Crown Victoria BE IT FURTHER RESOLVED that the City Manager and/or his designee shall also be authorized to arrange for the auction of other unclaimed property as well as surplus City property in accordance with state and local laws and regulations. BE IT FURTHER RESOLVED that that the City Manager and/or his designee shall be authorized to make any and all necessary arrangements to transfer the property to be auctioned to a Nationwide Companies pursuant to an agreement with the City of Dublin dated November 8, 1993. PASSED, APPROVED AND ADOPlED this 14th day of November, 1995. AYES: NOES: ABSENT: ABSTAIN: Mayor ATlEST: . City Clerk