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HomeMy WebLinkAboutItem 4.3 Sale of Police Vehicles (2) CITY OF DUBLIN AGENDA STATEMENT Meeting Date: November 23 , 1992 SUBJECT SALE OF POLICE VEHICLES (Report prepared by Norman Gomes, Acting Captain) EXHIBITS ATTACHED A. Resolution Authorizing Sale of Police Vehicles B. Bid submitted by First Capitol Auction Company C. Bid submitted by Nationwide Companies D. Bid submitted by Ernst & Associates RECOMMENDATIONS) 1 . Adopt Resolution declaring the police vehicles as surplus property 2. Approve the sale of the surplus vehicles 3 . Direct the Finance Department to work with First Capitol Auction Company of Benicia to auction all-six(6) surplus patrol vehicles FINANCIAL STATEMENT: The City will not incur any out-of-pocket costs. It is estimated that the net return to the City for five police vehicles will be approximately $2,000.00 per vehicle and $1 ,000.00 for vehicle number D-7 which is inoperable. The actual amounts received will be based on the market value at the time of the auction. DESCRIPTION The City Police Department replaced six (6) vehicles this fiscal year. The new vehicles are now in the police fleet and are fully functional which means that the older vehicles can be identified as surplus property to be disposed of by auction. The vehicles proposed to be auctioned include: DESCRIPTION VIN NUMBER MILEAGE 1989 Ford Crown Victoria Sedan 2FABP72G8KX217687 (D-1) 91 ,757 1989 Ford Crown Victoria Sedan 2FABP72G5KX217688 (D-3) 82 , 503 1989 Ford Crown Victoria Sedan 2FABP72G3KX217690 (D-5) 811982 1989 Ford Crown Victoria Sedan 2FABP72G7KX217689 (D-6) 78 ,400 1989 Ford Crown Victoria Sedan 2FABP72G5KX217691 (D-8) 75,747 1990 Ford Crown Victoria Sedan 2FACP72F1MX152918 (D-7) 51481* *This vehicle was involved in an accident on January 23 , 1991 , and was deemed a total loss due to the extensive damage. ----------- --------------------------------------------------- ITEM No. COPIES TO: CITY CLERK FILE J!- 0 19 In October 1992 , Staff requested information concerning costs associated with selling six(6) police vehicles from three auctioneers. First Capitol Auction responded with the lowest overall fees for the auction. First Capitol Auction Company charges a commission of 80 on the sale price of all vehicles. The company also charges $10 .00 per/car to pick-up all driveable vehicles. They will charge $65.00 to pick-up vehicle D-7 as it requires a flatbed truck to remove it due to prior damage. There is no charge for removal of decals. Staff recommends that the City Council adopt the Resolution declaring the vehicles as surplus property and approve the sale of the six(6) vehicles identified above, using First Capitol Auction Company. RESOLUTION NO. A RESOLUTION OF THE _CITY COUNCIL OF THE CITY OF DUBLIN DECLARING PROPERTY SURPLUS RECITALS WHEREAS, the City Manager has determined that certain police vehicles described more particularly in Exhibit B attached hereto and incorporated herein by reference are no longer needed for City purposes; and WHEREAS, the most effective method of disposing of such police vehicles is by auction; and WHEREAS, independent auctioneers are available to auction such police vehicles to the highest bidder; and WHEREAS, the City is authorized to dispose of personal property pursuant to Government Code S 37350. NOW, THEREFORE, BE IT RESOLVED that the police vehicles described in Exhibit B are declared surplus property, to be sold by the City Manager; BE IT FURTHER RESOLVED that the City Manager of his designee is authorized to enter into a contract with an independent auctioneer selected by the City Manager to sell the police vehicles listed on Exhibit B to the highest bidder. The proceeds of the sale, less the cost of sale, shall be deposited into the Internal Service Fund. PASSED, APPROVED AND ADOPTED this day of 1992 . AYES: NOES: ABSENT: Mavor ATTEST: City Clerk EAHIBIT FIRST CAPITOL A UCTION CO. 966 ADAMS STREET, BENICIA, CA. 707 - 746-1844 CSL #1621 City Of Dublin Attn: Sgt . Masterson P . O . Box 2340 Dublin, Cal . 94568 Dear Sgt . Masterson This letter is in responce to our telephone conver- sation October twenty first reguarding services pro- vided and fees charged . All sedans both two door and four door are subject to a ten dollar per unit moving fee . Stripe and Logo removal is a service provided free of charge . Any vehicle which requires towing service will be sub- ject to A sixty five dollar per unit service charge . While First Capitol Auction will not guarantee prices or sell vehicles with minimum bids it has been our expierence that said vehicles (1.987-1989 Crown Vict- orias) should fetch anywhere from tv-;er_ty fine hundred to three thousand dollars . We are looking foward to working with The City Of Dublin and forming a positive working relationship . Respectively ; Brian Mckissack First Capitol Auction _ EXHIBNT 1 FIRST CAPITOL A UCTION CO. ,� 966 ADAMS STREET, BENICIA, CA. 707 - 746-1844 CSL #1621 CITY OF DUBLIN Phil Molina P.O. BOX 2340 Dublin, Ca. 94568 Dear Phil, As per our phone conversation I would like to provide you with a brief description of First Capitol Auction Company services provided and a list of references. First Capitol "Auction Co. is fully bonded and licensed with the State of California. We are a full service Auction Company providing commercial liquidations and appraisals. The majority of auctions are conducted at our bonded warehouse facilities, centrally located between the two major metropolitan areas of Northern California, San Francisco and Sacramento. For the past 5 years successful auctions have been held for the U.S. Bankruptcy Courts, Counties and Municipalities, Banks, Contractors, Whole- salers and private individuals. COMMISSION RATE First Capitol Auction Company will sell at public auction surplus equipment at the following rates: 1 ) 20% Commission rate for all personal, unclaimed and stolen property. 2) 8% Commisison rate for all vehicles and construction equipment. Enclosed is a list of services provided by First Capitol Auction as well as past auction brochures and references. If we may be of furt her service or answer any questions, please feel free to contact our staff at any time. Sincerely d� Brian McKissack SERVICES PROVIDED BY FIRST CAPITOL AUCTION COMPANY 1 . FIRST CAPITOL AUCTION COMPANY shall conduct a public auction of property in-pursuant to Section 535 of the Penal Code and the provision of the California Auctioneer and Licensing Act. First Capitol Auction Company is fully licensed and bonded with the State of California (see enclosure). 2. FIRST CAPITOL AUCTION COMPANY will provide insurance. The comprehen- sive general liability insurance shall be not less than $1 ,000,000. 3. FIRST CAPITOL AUCTION COMPANY will provide security, and Loomis pickup. 4. FIRST CAPITOL AUCTION COMPANY and its consignors shall indemnify and hold harmless County, its boards, commissions, officers and employees in performance of its services here under. 5. FIRST CAPITOL AUCTION COMPANY will design, print and distribute brochures throughout the major metropolitan areas of Northern California (see enclosure). 6. FIRST CAPITOL AUCTION COMPANY will promote sales advertisement in newspapers and journals (see enclosures). 7. FIRST CAPITOL AUCTION COMPANY will coordinate sales site incuding alignment of equipment, and equipment identification. 8.' FIRST CAPITOL AUCTION COMPANY will oversee the orderly dispersement•of equipment upon completion of sale. 9. FIRST CAPITOL AUCTION COMPANY will process all DMV filings and provide copies to County. 10. FIRST CAPITOL AUCTION COMPANY will provide a complete accounting and settlement statement within fifteen (15) working days after the auction. 11 . FIRST CAPITOL AUCTION COMPANY will provide bonded storage. 19:'_1;,,.,-/27 15: 02 a NATI1)N!dT.DEN0RCAL F.9 )vie A #AM�A'� AN AW® W yam, AV/� 26M � M'A�AW AIWA AW" AW46PIIW AMW Aw mmaW al�AMW AW 1W AF 1W OF AF Co��E�CrAt,�uCr/orvsrsrEir�s �°� �'4NIAES October 21 , 1992 Sgt . Masterson City of Dublin Police Dept , x.00 Civic Plaza Dublin, Ca. 94568 Dear Sgt. Masterson ; As per our telephone conversation and faxed communication, please be. informed that based on our auction of Oct , 10, 1992 , the 1989 Ford -Crown Victoria ex-police cars brought anywhere from $1 , $00 , 00 to $2, 500 . 00 . We are confident that the above prices will remain stable for our Nov . 14 , 1992 auction and we expect your city to realize basically the same auction results , however, as an auction cotrlpany that do not have "minimums" , we cannot guarantee those prices . Based on our reputation among consigners and buyers alike, we know more or less how much prices those vehicles bring at our auction. Thank you very much for the opportunity of serving the auctioneering needs of the city in the past and we look forward to serving you again soon . Very truly yours , NATIOI�1 IDE COMPANIES E RODA Vi e P esident--Division Mgr , ry C Southern CA Fuolllly 1300;, U:St Temple P.O. BOX 2447 "Uty of Industry, CA 91746 (818)968-3110 Fax(818)968-7703 Northern CA Facility 1010 Kaiser Road Napa, CA 94558 ;(707)255-5850 Fax (707) 255-2384 EXHIBIT "A" COMPENSATION TO AUCTIONEER A. COMMISSION (Selling fees) ; I . Motor Vehicles and Off Road Velii.cles; Ten Percent ( 10%) of tIC- Gross Sala Price , 2 . Miscellaneous Property (Non Motor Or Off Road Vehicles) . TWENTY Percent ( 20%) of tiie Gross Sale Price . 3. Non Running Vehicles and Off Road Vehicles. FIFTEEN Percent ( 15% ) of Gross Sale Price . B. TRANSPORTATION CHARGES AND OTHER SERVICES: 1 . Standard Towing: Single Running & Non Ops Unita. $60.00 Per Unit Towing Rates are for passenger C-ArS , full size pick-ups , tip to a one ton . 2. Standard Towing: Running Vehicles: $50.00 Per Unit Towing Rates are for passenger cars , mini pick-ups tip to a 3/4 ton . Minimum of 8 to 10 per Transport . 3. Lowbed Trailer Service: $55.00 Per Hour Construction machinery , two ton trucks , manlifts forklift , backhoes , sweepers loaders , flat bed rates available upon request . 4 . Surplus Personal Property (Miscellaneous) $50.00 Per Dour No charge , if loaded by the City and transported at ttie same time of vehicles and equipment . 5. Detail Service: $75.00 Per Unit Includes Buff and wax exterior , indoor shampoo , and engine steam cleaning . 6. De-Identification of County and City Units : $50.00 Per Unit Process: would include removal of county logos , police 10906 , lettering . and repainting areas as necessary as not to be identifiable as and active police unit . 6. Police logos or Numbers on roof removed $35. 00 Per Unit no paint. . 7. Construction Equipment De—logo no Paint : $20.00 Per Unit 8. Exempt Plates ; Processing "E" plates, $10.00 '1'er Unit C. All . charges for services will be advanced by auction and deducted from Proeeede after the rule automatically , unless request direct billing,. City or County may handle t-h•ox own Transportation . This is an option . 10/2'1/92 ONWIPENORCAL P. 9` f ' employees , and servants , shall be primary insurance to the full limits of liability of the policy , and that if the City or its officers and employees have other insurance against a loss cov- cred by such poa icy , such other insurance ohall he. exceoa ; 11t�ur- ence only . 10 . ASSIGNMENT OF AGREEMENT Auctioneer shall not asi;ign the Agreement or any purtion to a third party without the prior written consent of City , and any attempted assignment without much Prior written consent in vir,l P- t 1.on of this Section automatically shall terminate this Agree- ment . 11 . NON--DISCRIMINATION Auctioneer shall comply wi th the "City of Uublin" non- diseriminatory Emp1oyruetit Practices Provision" and "Special Affirmative Action Provision for Supply and Service Contracts . 12. TERMINATION . This Agreement shall continue in force for 24 mouths from acceptance: or until termination by either party by giving, the other party thirty (30) days notice in advance of th(-: termina- tion date . 13. AMENDMENTS No amendments to this Agreement shall be effective unless it in in writing and signed by the Director of Purchasing Services . 14. COMPLETE AGREEMENT This Agreement includes Exhibit "A" and represents the entire Agreement between Auctioneer and City of Dubljn with respe-et to the sale of Surplus Persona3 Property , All prior agreements , representations , statements , negotiations and uiidertakings wheth- er oral or written are superseded hereby . - 15. APPLXCAHLE LAW The Agreement will be governed by and construed in accord- ance with laws of. the State of California . 4 r�OV 05 .92 13:42-' 239-54c-5` P.�/? ASSOCIATES AUCTION E-HERS Movember 3, 1992 Attn: Sgt Masterson Dublin Police Department P. O. Box 2340 Dublin, Ca 94568 Dear Sgt Masterson, Per your -telephone conversation today with Roger, enclosed you will find an auction agreement between the Dublin Police Department/City of Dublin and Ernst and Associates Auctioneers. I have revised our original agreement to fit your needs, if everything is agreeable to you, please have this agreement signed and mail it back to me, I then will sign it and mail back the original to you. if you have any further questions regarding this matter, feel free to give me a Call at (209) 527 -7399. Tha k You, Juli Hunt Ernst & Associates JH/encl P.O. Box 3251 Modesto, CA 95353 (20.9) 527.7399 S.. NOV 05 '9 2 1 43 209-545-1d5,8 F.3/3 r T. AUCTION AGREEMENT (S U R P L U S P R O P E R T Y ) IT IS HEREBY mutually agreed between ERNST & ASSOCIATES (P. O. Box 3251, Modesto, Ca. 95353) and the CITY OF DUBLIN/DUBLIN POLICE DEPARTMENT ( 100 Civic Plaza Dublin, Ca 94568) that the following property be sold at Public Auction at a date to be determined by both parties. Owner alleges that all property is free of mortgage or encumbered as follows: ALL FREE AND CLEAR. Description of said property: See inventory sheet to be filled out at time of release of property to Ernst & Associates. Ernst & Associates to conduct the sale for which the owner agrees to pay a sum equal to 10% (ten percent) on all vehicles and rolling stock and 25% (twenty-five percent) on all tangible items offered for sale, to be deducted from the sale. proceeds. Ernst & Associates to absorb all costs of sale to include transporting of items for sale to sale site, advertising- newspaper and direct mail flyers. Ernst and Associates Will be responsible of removing of decals from vehicles at no extra charge. Total proceeds to be delivered within 15 banking days of sale. Ernst and Associates will protect these vehicles from not selling at less that $1800. 00 thereby netting to the city over $1600. 00 per vehicle. If such vehicles do not bring the desired amount, Ernst and Associates will hold item until following sale. Ernst & Associates to provide the CITY OF DUBLIN/DUBLIN POLICE DEPARTMENT Certificate of Liability Insurance for $1, 000, 000. 00 for any auction related business. AGENCY ERNST AND ASSOCIATES DATE DATE Auctioneer License #C2696 California Auctioneer Commission P. O. Box 511 Sacramento, Ca. 95803 P.O. Box 3251 Modesto, CA 95353 0 (249) 527.7399