(A) Finance Director notified. Department heads are to notify the Finance Director of surplus property that needs to be disposed. Departments may transfer property to other departments if the Finance Director and the City Manager have been notified and the City Manager has approved the transfer. The Council (except as delegated otherwise to the City Manager) shall declare any identified property as surplus.
(B) Sale of personal property (less than $30,000).
(1) The City Manager is authorized by the Council, pursuant to G.S. § 160A-266(c), to dispose of any surplus personal property owned by the city whenever he or she determines, in his or her discretion, that:
(a) The item or group has a fair market value of less than $30,000;
(b) The personal property is no longer necessary for the conduct of public business; and
(c) Sound property management principles and financial consideration indicate that the interests of the city would best be served by disposing of the personal property.
(2) The City Manager may dispose of any such surplus personal property by any means, which are judged responsibly calculated to yield the highest attainable sale price in money or other consideration, including but not limited to the methods of sale provided in Article 12 of G.S. §§ 160A-267, 160A-268, and 160A-270. Such sale may be public or private, and with or without notice and minimum waiting period.
(3) The surplus property shall be sold to the party who tenders the highest offer, or exchanged for any property or services useful to the city if greater value may be obtained in that manner, and the City Manager is hereby authorized to execute and deliver any applicable title documents. If no offers are received within a reasonable time, the City Manager may retain the property, obtain any reasonable salvage value, or cause it to be disposed of as waste material. No surplus may be donated to any individual or organization except by resolution of the City Council.
(4) The City Manager shall, on or before the first day of February, report in writing to the City Council on any property disposed of under these provisions from January 1 through December 31 of the previous year. The written report shall generally describe the property sold or exchanged, to whom it was sold, or with whom exchanged, and the amount of money or other consideration received for sale or exchange since the last such report was submitted.
(C) Sale of real property or personal property (greater than $30,000).
(1) The City Manager, with the authorization of the City Council, may dispose of any surplus real property or surplus personal property valued at greater than $30,000 owned by the city. Private negotiation and sale may be used only with regards to personal property valued at less than $30,000 for any one item or group of similar items. Real property, of any value, and personal property valued at $30,000 or more for any one item or group of similar items may be sold as permitted by any method in the disposal statutes other than private negotiation and sale or exchanged as provided in G.S. § 160A-271. Procedures for sale of land to volunteer fire departments, volunteer rescue squads or other entities carrying out a public purpose are specified in G.S. § 160A-277 and G.S. § 160A-279 respectively.
(2) The sale of property by advertisement for sealed bids shall be conducted in the manner prescribed for the purchase of property except that real property bids must be advertised 30 days in advance. See G.S. § 160A-268 for further details. Other methods for disposition of personal property are through private negotiation and sale as directed in G.S. § 160A-267 and public auction as directed in G.S. § 160A-270.
(D) Property declared surplus. Property subject to disposal under the procedures mentioned above must be recommended by the Finance Director and declared surplus by the City Council or City Manager (personal property under $30,000). Officials selling such property must obtain their market value in exchange for the property and must provide to the City Manager in writing, a report that generally describes the property sold or exchanged and to whom it was sold or exchanged.
(E) Employee purchases/sales. The city will not purchase items and/or services from its governing Council members or employees. Likewise, when the city has surplus property to be sold, the practice of selling such property to employees by private negotiation is prohibited. Employees can participate in sale of surplus property where the manner of sale is through the use of public auction or sealed bids.
(F) Donation of property. In accordance with G.S. § 160-280 the city may donate to another governmental unit within the United States or a nonprofit organization, incorporated within any of the United States, any personal property, including supplies, materials and equipment that the Council deems to be surplus, obsolete or unused. The Council shall post a public notice at least five days prior to the adoption of a resolution approving the donation. The resolution shall be adopted prior to making any donation of surplus, obsolete, or unused personal property.
(Ord. passed 11-14-2016)