SURPLUS PROPERTY The City disposes of a surplus property item with an estimated net auction value greater than $500 through a public auction or internet sale to the highest bidder. For heavily damaged or items with an estimated net auction value less than $500, the City may donate the item to a nonprofit organization, utilize a recycler, or dispose of the item. The storage for these items and the personnel time required to manage the auction items, including meeting the highest bidder, is significantly more than the net proceeds and therefore, not cost effective. Departments coordinates disposal of property through Finance. When a Department identifies an item for disposal, they complete the Auction Form with an uploaded picture of the item. The link to the auction form is on the Finance intranet page. Finance sends an email to all Department Purchasing Liaisons notifying them that an item slated for disposal is available if their department could use it. If another department determines they can use it, they email Finance. Finance coordinates the transfer of the item between departments and notes the transfer on the Auction Smartsheet. If no other department can use the item, Finance determines the estimated net auction value. If the estimated net auction value is less than $500, Finance determines if there is a nonprofit organization or recycler the City partners with that will take the item and coordinates the transfer of the item. If no City partner desires the item, Finance reaches out to other non-profit organizations in the area and coordinates the transfer. If the City is unable to locate a non-profit organization that desires the item, the City disposes of the item. Finance records how an item was disposed of on the Auction Smartsheet. If the estimated net auction value is greater than $500, Finance shall complete the required documentation to post the item to the auction site. During the auction process, the Department retains most items at their location. Vehicles and equipment are stored at the Public Works Operations facility. Payments for auctioned items are made directly to the auctioneer, which forwards the net proceeds with documentation of items sold to Finance. After the item sells, Finance coordinates the pickup with the Department and the buyer.
22
CITY OF SOUTHLAKE | P U R C H A S I N G P L A Y B O O K
