Chapter 3.22
DISPOSITION OF SURPLUS PROPERTY

Sections:

3.22.010    Disposition of surplus personal property.

3.22.020    Sealed bid or public auction.

3.22.030    Record of disposition of property.

3.22.040    Sale, donation, or exchange of City real property.

3.22.010 Disposition of surplus personal property.

A.    Definitions. For purposes of this section, “surplus personal property” shall mean any personal property or equipment owned by the City of Galt which a department head determines is no longer needed or used for City purposes or which has become obsolete, worn out or past its useful life. “Market value” is the value estimated by the City Manager or his/her designee at which the property would sell if offered at auction or other open competitive bid sale. “City Manager” shall mean the City Manager or his/her designee.

B.    Surplus personal property of the City shall be disposed of in the following manner:

1.    The City Manager may authorize the sale or disposition of surplus personal property which has a market value equal to or less than his/her contracting authority.

2.    The City Council may authorize the sale or disposition of surplus personal property which has a market value in excess of the City Manager’s contracting authority.

3.    Any surplus personal property within the City Manager’s contracting authority may be sold or disposed of by the City Manager as follows:

a.    Surplus personal property with an estimated market value of greater than five thousand dollars ($5,000.00) per individual item of property shall be sold under sealed bid or by public auction. Public auctions may include electronic bidding or auction services.

b.    Surplus personal property with an estimated market value of less than five thousand dollars ($5,000.00) per individual item of property may be sold or disposed of by any method the City Manager, or his/her designee, determines to be most advantageous to the City considering the value and nature of the property and the cost of sale, including, but not limited to, sale by salvage, recycling or disposal.

c.    Disposition of surplus personal property pursuant to this section shall be “as is” without warranty, express or implied, and the buyer shall agree to pay applicable sales or transfer taxes.

d.    Notwithstanding other provisions in this section, the City Manager is authorized to sell surplus personal property to another public entity for market value or trade for market value equivalent property or services to another public entity, within the City Manager’s contracting authority.

e.    Notwithstanding other provisions in this section, the City Manager is authorized to trade surplus personal property in consideration toward the acquisition of other personal property needed by the City, within the City Manager’s contracting authority.

f.    Notwithstanding other provisions in this section, surplus personal property of any value may be transferred to other City departments without consideration, as approved by the City Manager.

4.    Surplus personal property which the City Manager deems unacceptable for sale to the public and which has a market value equal to or less than his/her contracting authority may be disposed of in the manner deemed appropriate by the City Manager. Examples of such property include: police K-9s, City-owned animals, law enforcement equipment and property which may pose a hazard to the general public.

C.    The City Council may, by resolution, authorize the donation of surplus personal property, if the City Council finds that such donation serves a public purpose and/or benefit. All donations pursuant to this section shall be “as is” without warranty, express or implied, and the transferee shall agree to defend, indemnify and hold harmless the City, its officers and employees from any claim, cause of action, damage, loss or liability arising out of the condition of the property or its use by the organization or subsequent transferee.

(Ord. 2010-13, Repealed and Replaced, 01/18/2011)

3.22.020 Sealed bid or public auction.

In cases where a sealed bid or public auction is required for the sale of surplus property, reasonable notice to prospective bidders of such sale by sealed bid or public auction shall be given, as determined by the City Manager or his/her designee, taking into account the circumstances and the item(s) to be sold.

(Ord. 2010-13, Repealed and Replaced, 01/18/2011)

3.22.030 Record of disposition of property.

A.    Any department disposing of surplus personal property shall document the disposition and provide, in writing, to the City Clerk or his/her designee, and to the finance director or his/her designee, who shall keep a record of sales, exchanges or other disposition of any surplus property disposed of pursuant to the provisions of this chapter, at least the following information:

1.    A description of the property transferred;

2.    The name of the transferee;

3.    The date of transfer;

4.    The gross receipts, net receipts and/or transaction costs; and

5.    A description, including the value of any personal property received in exchange for the property transferred.

B.    Such records shall be kept consistent with the City’s records retention policy and shall be a public record.

(Ord. 2010-13, Repealed and Replaced, 01/18/2011)

3.22.040 Sale, donation, or exchange of City real property.

A.    Except as provided herein, all transfers, sales, donations, exchanges or other disposition of real property interests in City property shall be approved by the City Council.

B.    All City real property which is deemed surplus property by the City Council may be approved for sale or disposition by the City Council.

C.    The City Council may authorize the method for disposition of real property interests by request for proposal, auction, sealed bid, open public sale process or other means it deems appropriate. The City Council may set conditions or parameters which the buyer must meet. When the City Council elects to proceed with a request for proposal, price is given strongest consideration, but the City Council may also consider other factors, including permissible uses, experience required by the potential buyer, compatibility of a proposed development in the vicinity of the project, and other criteria as described in any offer for sale or request for proposal.

D.    Subject to the requirements of state law, authority for the transfer, sale, donation or disposition of easements may be delegated to the City Manager by resolution of the City Council.

(Ord. 2010-13, Repealed and Replaced, 01/18/2011)