§ 2-1332. Disposition of surplus supplies.

(a)

Generally. Unless otherwise provided in this article, the chief procurement officer shall dispose of any supplies owned by the city, upon the recommendation of and after consultation with the using agency, as provided in this division. Surplus supplies that have an estimated value in excess of $500.00 shall be offered through competitive sealed bids and public auction. Surplus supplies that have an estimated value of $500.00 or less may be offered by established markets, posted prices or by any other means advantageous to the city. The chief procurement officer shall determine the estimated value of the surplus property to be sold. Notwithstanding this subsection, the chief procurement officer may exchange or trade in surplus supplies with another property owner if such exchange or trade is deemed to be in the best interests of the city.

(b)

Competitive sealed bidding.

(1)

Solicitation and opening. When making sales of surplus supplies by competitive sealed bidding, notice of the sale shall be given by advertisement in a newspaper of general circulation at least once no less than 15 nor more than 60 days before the date set for receipt of bids. Notice may also be given by mailing an invitation for sale bids to prospective offerors, including those offerors on lists maintained for this purpose, and by making invitation for sale bids publicly available. The invitation for sale bids shall list the supplies offered for sale, designate their location and how they may be inspected and state the terms and conditions of sale and instructions to offerors, including the place, date and time for bid opening. Bids shall be opened publicly.

(2)

Award. Award shall be made in accordance with the provisions of the invitation for sale bids to the highest responsible offeror, provided that the price offered by such offeror is acceptable to the chief procurement officer. If such price is not acceptable, the chief procurement officer may reject the bids in whole or in part and negotiate the sale, provided the negotiated sale price is higher than the highest responsive and responsible offeror's price, or the chief procurement officer may resolicit bids.

(c)

Auctions. Supplies may be sold at public auction. Notice of such auction shall be given by advertisement in a newspaper of general circulation at least once no less than 15 nor more than 60 days before the day of the auction. When appropriate, an experienced auctioneer should be used to cry the sale and assist in preparation of the sale. The notice shall contain a general description of the property to be sold, all the terms and conditions of the sale, that a deposit may be required in order to participate in the bidding, that the purchaser must remove within a stated time all surplus supplies purchased and that the city retains the right to reject any and all bids.

(d)

Established markets, posted prices and trade-in. Surplus supplies which have an estimated value of $500.00 or less may be sold in established markets where such supplies, including but not limited to livestock and produce, are regularly sold in wholesale lots and prices are set by open competition. Surplus supplies may be sold at posted prices as determined by the chief procurement officer, provided that such prices are based on fair market value and the sale is conducted pursuant to procedures established under this division. Surplus supplies may be traded in only when the chief procurement officer determines that the trade-in value is expected to exceed the value estimated to be obtained through the sale or other disposition of such supplies.

(e)

Payment for surplus supplies. Only United States postal money orders, certified checks and cashier's checks shall be accepted for sales of surplus property, except cash or a personal check may be accepted for petty cash sales of less than $100.00. A copy of all sales notices or invoices shall be sent to the chief financial officer.

(Ord. No. 2009-78(09-O-1876), § 8, 12-15-09)