3.20.120 Surplus supplies and equipment.
All department heads of the city shall submit to the finance director, at such times and in such form as he or she shall prescribe, reports showing stock, materials and equipment on hand not then in use in the department. When a surplus of stock, materials or equipment exists in any department, the finance director may transfer the same to any other department or departments having a need for such stock or any portion thereof on approval of the city manager. When it is found by the finance director that a surplus of stock, materials and/or equipment exists which is not needed for use by any city department, the city manager may authorize the sale thereof by the finance director, and the proceeds from any such sale or sales shall be deposited in the city treasury. Such sale or sales shall be conducted in any manner approved by city council or in the following manner:
A. Upon authorization of the city manager, the finance director shall obtain competitive and formal quotations for the sale of surplus stock, materials or equipment, when any one item or group of items offered for sale amounts to more than one thousand dollars in appraised resale value.
B. When items offered for sale amount to more than one thousand dollars in appraised resale value, the finance director shall cause notice of sale to be published at least five days before the sale, in the official newspaper, giving a general description of the items to be sold, where bids are to be received, and the time and place of sale. The finance director shall, in addition, solicit sealed quotations from prospective buyers, by telephone or by sending them copies of newspaper notices, or other methods designed to reach the greatest number of prospective buyers.
C. When any separate item or items of such surplus stock, material or equipment to be offered for sale amounts to one thousand dollars or less, the finance director may accept informal written bids or quotations for the sale of such item or items, without causing a notice of sale to be published in a newspaper.
D. At the time and place of sale of such surplus stock, material or equipment, oral bids may be considered by the finance director, after giving proper notice of such fact, provided such oral bids shall be at least ten percent higher than the highest written bid received at the time of opening of bids.
E. The finance director may, at his or her discretion, require cash or a cashiers check in an amount equal to ten percent of the price bid to be deposited by the bidder at the time of making or submitting his or her bid. The person to whom any bid is awarded shall consummate the purchase within five days from then, excluding the day of the award of such bid.
F. Whenever another governmental entity or a nonprofit organization having tax exempt status as determined under Section 501(c) Internal Revenue Code has requested the opportunity to purchase surplus stock, materials or equipment, the finance director may, without complying with other provisions of this section, negotiate with such governmental entity or nonprofit organization for the price to be charged for such surplus stock, materials or equipment. Any sale to a governmental entity or nonprofit organization shall be subject to confirmation and approval by the city council which, in its discretion, may authorize or reject such sale. If the sale is rejected, the property will be disposed of as surplus stock, materials or equipment as provided by the provisions of this chapter.
G. When surplus stock, material or equipment is unique (e.g., refuse truck, fire truck, street sweeper) and does not lend itself to disposal by the aforementioned procedures, the finance director may retain the services of an equipment broker to dispose of said surplus items if the use of said broker would, in the opinion of the finance director, allow the city to receive the maximum market value for the equipment. (Ord. 3590 § 1, 1994; Ord. 3373 § 1, 1991; Ord. 3114 § 1, 1987; Ord. 3055 § 1, 1986; Ord. 3006 § 6, 1985; prior code § 5.20.120)