(A) The city may transfer surplus supplies among the several departments of the city.
(B) Surplus supplies must be offered to the public through competitive sealed bids, public auction, established markets or posted prices.
(1) It is recognized, however, that some types and classes of items can be sold or disposed of more readily and advantageously by other means, including barter.
(2) In such cases and also where the nature of the supply or unusual circumstances call for its sale to be restricted or controlled, the city may employ such other means, including appraisal, if the city makes a written determination that such procedure is advantageous to the city.
(3) On sales greater than $300, only United States postal money orders, certified checks, cashier’s checks or business checks may be accepted.
(C) Competitive sealed bidding:
(1) If a sale is to be made by competitive sealed bidding, notice of the sale must be given at least ten days before the date set for opening bids by:
(a) Mailing a request for sale bids to prospective bidders, including those bidders on lists maintained at the property and supply bureau for this purpose; and
(b) Newspaper advertisement may also be used.
(2) The request for sale bids must list the supplies offered for sale; designate their location and how they may be inspected; and state the terms and conditions for bid opening. Bids shall be opened publicly.
(3) Award must be made in accordance with the provisions of the request for sale bids to the highest responsive and responsible bidder, if the price offered by such bidder is acceptable to the city. If the price is not acceptable, the city may:
(a) Reject the bids in whole or in part and negotiate the sale, but the negotiated sale price must be higher than the highest responsive and responsible bidder’s price; or
(b) Resolicit bids.
(D) When appropriate, an experienced auctioneer should be used to cry the sale and assist in preparation of the sale. The solicitation to bidders should stipulate all the terms and conditions of any sale.
(E) Established markets are places where supplies such as livestock and produce are regularly sold in wholesale lots, and prices are set by open competition. Surplus supplies may be sold in established markets for such supplies.
(F) Surplus supplies may be sold at posted prices as determined by the city when such prices are based on fair market value and the sale is conducted pursuant to written procedures established by the city.
(G) Surplus supplies may be traded-in only if the city determines the trade-in value is expected to equal or exceed the value estimated to be obtained through the sale or other disposition of the supplies.
(H) The city may permit other government units, non-profit organizations or private businesses to participate in an auction or other appropriate marketing methods.
(Ord. 173, passed 9-10-2001)