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HomeMy WebLinkAbout2001-12-11; City Council; 16463; Disposal Of Surplus City Property ProceduresCITY OF CARLSBAD - AGENDA BILL \B # /6j 4b3 TITLE: /a-//d INTRODUCTION OF ORDINANCE TO AMEND SECTION 3.29 dTG. OF THE CARLSBAD MUNICIPAL CODE TO REVlSE THE IEPT. PCH PROCEDURES FOR THE DISPOSAL OF SURPLUS CITY PROPERTY IECOMMENDED ACTION: .- . - introduce Ordinance No. r\JS -6 I?$ amending Section 3.29 of the Carlsbad Municipal Code to revise the procedures for the disposal of surplus of City property. ITEM EXPLANATION: In June 1995, the City Council last amended the disposal of surplus City property section of the Carlsbad Municipal Code to authorize the Purchasing Officer to dispose of surplus items that are scrap or items that have no value, in any appropriate manner and to keep records of the disposition on file. Since that time, Carlsbad has participated in the San Diego County’s Cooperative Auction to dispose of the City’s surplus property. Recently, the space that is available for the County’s Cooperative Auctions has been reduced considerably and the County has limited the types of items that agencies can send to their auctions. Due to these restrictions, there is a need to develop alternative methods of disposing of the City’s surplus property. Presently, Chapter 3.29 of the Carlsbad Municipal Code does not allow for the electronic auction or sale of surplus property by consignment. With the increased use of electronic commerce by both the public and private sectors, staff feels it appropriate to provide for the possibility of electronically auctioning, or selling by consignment, surplus City property. The surplus City property includes supplies and equipment, not real property. Currently, when an item of surplus City property has an estimated market value of more than twenty-five thousand dollars, the request to dispose of the item requires City Council approval. With the recommended amendment, the estimated market value of surplus property that requires City Council approval will be consistent with the City Managers authority to award contracts as set forth in the Purchasing Ordinance. The recommended changes to the Carlsbad Municipal Code will expand the methods of disposing of surplus City property to include the use of the electronic auctions and the selling of surplus property by consignment and expedite the sale of surplus City property. FISCAL IMPACT: If the recommended amendments are adopted, there will be no additional costs to the City. It is not known if there will be an increase in revenues, but the recommended changes will give the City more options for disposing of surplus City property. EXHIBITS: 1. Ordinance No. NS-d I.!!) 2. Redline copy of Carlsbad Municipal Code Section 3.29, “Disposal of Surplus City Property 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE NO. NS- 613 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING TITLE 3, CHAPTER 3.29 OF THE CARLSBAD MUNICIPAL CODE TO REVISE THE PROCEDURES FOR DISPOSAL OF SURPLUS CITY PROPERTY. The City Council of the City of Carlsbad, California, does ordain as follows: WHEREAS, Chapter 3.29 of the Carlsbad Municipal Code provides for the disposition of surplus City property; and WHEREAS, Chapter 3.29 of the Carlsbad Municipal Code does not currently allow for the electronic auction or sale of surplus property by consignment; and WHEREAS, recent restrictions enacted by the San Diego County Cooperative Auction have limited the City’s ability to send surplus items to the County’s auction; and thereby, have limited the City’s access to a traditional market for the sale of surplus items; and WHEREAS, with the increased use of electronic commerce by the public and private sectors, and the increasing value of access to electronic market places, the City Council desires to provide for the electronic auction and sale of surplus property by consignment; . . . . . . . . . . . . . . . . 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 NOW THEREFORE, BE IT ORDAINED by the City Council of the City of Carlsbad, California as follows: SECTION 1: That the above recitations are true and correct. SECTION 2: That Chapter 3.29 of the Cartsbad Municipal Code is amended in its entirety to read as follows: “3.29.010 - Duty to report surplus supplies and equipment A. All departments shall supply to the purchasing officer, at such times and in such forms as prescribed, reports showing all supplies and equipment which are no longer used or which .have become obsolete or worn out or otherwise surplus to the needs of the City. The purchasing officer shall have authority to exchange for or trade in such property on new supplies and equipment in accordance with this chapter. 3.29.020 - Disposal required A. The purchasing officer shall determine if any surplus supplies or equipment can be used by any other agency in the city. If such supplies or equipment cannot be used or are unsuitable for city use, the purchasing officer shall, in the manner provided in this chapter, dispose of such supplies and equipment that cannot be exchanged for or traded in on new supplies or equipment. 3.29.030 - Authority A. The purchasing officer is authorized to sell or dispose of surplus personal property having a salvage value in the open market by public auction, through electronic auctions or sales including internet based market places, by consignment, by competitive sealed bids, by negotiated sale to other public or quasi-public agencies or by exchange or trade in for new goods. 1. If the surplus property which is not required for city use has an estimated value of more than the amount established as the city managers authority for awarding procurement contracts for goods and services, the city manager shall dispose of the property as provided by resolution of the city council. 3.29.040 - Propertv with no salvage value or unable to be sold A. Surplus property that is determined to be “unable to be sold” or items having no estimated or appraisal value, may be disposed of by the purchasing officer in any manner deemed appropriate, keeping full records of such disposition. 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 3.29.050 - Records A. The purchasing officer shall provide regular reports to the city manager which indicate surplus property disposed of, the method of disposal, and the amounts recovered from such disposal efforts. The city manager shall send to the city council regular reports of all surplus property that has been disposed of, including the amounts received for the sale of surplus property. 3.29.060 - Donations A. In addition to the methods of disposal listed,in Section 3.29.030, the city manager may authorize the disposal of surplus property through donation of such property to a governmental, public or quasi-public agency, charitable or non-profit organization. Upon approval in advance in writing by the city manager, surplus personal property may be donated to governmental, public or quasi-public agencies, charitable or non-profit organizations. 3.29.070 - Proceeds of Sale A. Proceeds from the sale of surplus personal property shall be deposited into the appropriate fund, as determined by the finance director. 3.29.080 - City personnel prohibited A. No city officer or employee shall purchase surplus city property sold in accordance with this chapter.” EFFECTIVE DATE: This ordinance shall be effective thirty days after its adoption, and the City Clerk shall certify the adoption of this ordinance and cause it to be published at least once in a newspaper of general circulation in the City of Carlsbad within fifteen days after its adoption. INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council on the 11th day of DECEMBER ,200l. and thereafter. . . . . . . . . 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 PASSED AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad on the day of , 2001, the following vote, to wit: AYES: NOES: ABSENT: APPROVED AS TO FORM AND LEGALITY RONALD A. BALL, City Attorney CLAUDE A. LEWIS, Mayor ATTEST: LORRAINE M. WOOD, City Clerk (SEAL) Chapter 3.29 DISPOSAL OF SURPLUS CITY PROPERTY Sections: . 3.29.010 Duty to report surplus -lies and equipment- . 3.29.020 Disposal required. 3.29.030 I . . AuthorityP;hl . 3.29.040 Manner of disposal. 3.29.050 Records . 3.29.060 Domrons 9.070 Proceeds of Sale 3.29.Oa5OCity personnel prohibited. . 3.29.010 Duty to report surplus uplies an&equipment- . All deoartments w shall supply to the purchasing officer, at such times and in such forms as prescribed, reports showing all supplies and equipment which are no longer used or which have become obsolete or worn out or otherwise surplus to the needs of the mageney. The purchasing officer shall have authority to exchange for, or trade in, such property on new supplies and equipment in accordance with this chapter. @rd. ! ?S38 5 ? (part), ?SSj 3.29.020 Disposal required. The purchasing officer shall determine if any surplus supplies or equipment can be used by any agency of the city. If such supplies or equipment cannot be used or are unsuitable for city use, the purchasing officer shall, in the manner provided in this 1 chapter, dispose of such supplies and equipment that cannot be exchanged for or traded in on new subplies or equipment-. (CM. ? ?m 9 I 3.29.030 . . &thoritv& A. ersonal grooertv having a salvage value in the open market bv oublic auction. throuah electronic auctions or sales including internet based market olaces. by c a sealed bids, by neaotiated sale to other public or onsi nment b corn etitive . v D auasi-bublic aaencies or by exchanae or trade in for new aoods. 1. If the surplus orooerty which is not required for citv use has an / manaaer’s authoritv for awarding orocurement contracts for aoods and services. the city manaaer shall dispose of the property as orovided by resolution of the city council. 6 l 3.29.040 Manner of disposal. A. Surolus oropertv that is determined to be “unable to be sold” or items having noestimated in anv manner deemed aoorooriate. keepina full records of such disDosition. 4\ “U . * . L , 329.050 - Records A. Th e manager which indicate surplus orooertv disoosed of. the method of disoosal. and the amounts recovered from such disposal efforts. The citv manager shall send to the citv council reaular reports of all surplus property that has been disposed of. including the amounts received for the sale of surplus orooertv. 3.29.060 - DonatIons . A ods of disposal listed in Section 3.29.030. the citv . In addition to the meth manaaer mav authorize the disposal of surplus orooettv throuah donation of such orooertv to a governmental. public or auasi-public aaency. charitable or non-orofit oraanization. Uoon aooroval in advance in writina bv the citv manaaer. surplus personal orooertv may be donated to aovernmental. public or quasi-public aaencies. charitable or non-profit oraanizations. 3.29.070 - Proceeds of Sale A. Proceeds from the sale of surolus oersonal orooertv shall be deposited into the aporopriate fund. as determined bv the finance director. 3.29.OwO City personnel prohibited. No city officer or employee shall purchase surplus city property sold in accordance with this chapter. (4%CM98 5 1 (part), ?9Wj I 7 ,