A. General Authority: The city manager may sell or issue authorization for the sale or disposal of surplus or obsolete supplies, materials and equipment, subject to the provisions of state law and this article.
B. When Council Action Required: No surplus or obsolete supplies, materials or equipment of a value of more than fifteen thousand dollars ($15,000.00) may be sold or donated as authorized under state statutes until the council shall have declared them obsolete or surplus.
C. When Competitive Bidding Required:
1. Before the city manager sells or disposes of any surplus or obsolete supplies, materials or equipment, except as otherwise provided in subsection D, he shall advertise in a newspaper of general circulation in the city or give notice in such other manner as he deems necessary to adequately reach prospective buyers. Selling or disposal of any surplus or obsolete supplies, materials, or equipment shall be allowed as follows:
a. Sealed Bid: The city manager may authorize the sale through sealed bidding. All bids shall be sealed and shall be opened in public at a designated time and place, except when the sale is by auction. The city manager may repeatedly reject all bids and advertise or give notice again. He may sell such supplies, materials, or equipment only to the highest responsible bidder for cash. In case of a tie, he may sell to either of the bidders tying, or may divide the sale among two (2) or more tying, always selling to the highest responsible bidder or bidders for cash.
b. Auction: The city manager may authorize the sale through city run auctions, local auctions, internet auctions, or other electronic means. Advertisement shall provide the listings of where the items are available for viewing and bidding by prospective buyers.
c. Third Party Contract: The city manager may transfer property, either specialized or not suitable for general public use, to a third-party agent under contract with the city to sell specialty surplus, obsolete supplies, materials or equipment. Upon the property being transferred to a third party agent, the agent shall be responsible for advertising and reaching prospective buyers according to the terms of the contract.
D. When Competitive Bidding Not Required: The city manager may sell or dispose of the following without giving an opportunity for competitive bidding:
1. Surplus or obsolete supplies, materials, or equipment the total value of which does not exceed five hundred dollars ($500.00) in a single transaction.
2. Supplies, materials, or equipment when sold at a price at least as great as that paid by the city for the same.
3. Surplus supplies, materials, or equipment pursuant to an agreement approved by the city council and providing for due consideration. (2002 Code § 3.04.060; amd. 2013 Code; Ord. 819, 1-2-2024)