Chapter 3.04
DISPOSITION OF PROPERTY – OTHER THAN REAL ESTATE
Sections:
3.04.010 Purpose.
This chapter establishes procedures for disposition of property, other than real estate, which is surplus to the needs of the city. It is the intention of the city council that the procedures set forth in this chapter are preferred over others; therefore, special procedures called for under other legislation are to be deemed exceptions to this chapter and their use is to be limited accordingly. (Ord. 2018-01 § 1, 2018).
3.04.020 Procedures.
The procedures for the identification and proper disposal of surplus property as established by this chapter are as follows:
A. Responsibility for Administration. The city’s finance department is responsible for the administration of this chapter. The finance director shall arrange for the disposition of surplus property and shall assist the council in determining the best method of disposal. All departments of the city shall cooperate with the finance director to ensure the most efficient and beneficial disposition of surplus property.
B. Surplus Property Schedule. A list of surplus property shall be generated semi-annually or more frequently if needed by the finance director. The finance director shall periodically check with all department heads to determine when there are sufficient items to publish a surplus property list. When requested to do so by the finance director, departments wishing to dispose of surplus property shall submit a listing of all property surplus to their department with sufficient information to properly describe the items. The listing shall contain a detailed description of the property, its location and condition.
C. Determination of Value. When requested by the coordinator to submit a listing of the surplus property, the department shall make an estimate of the reasonable market value in “as-is, where-is” condition, to be submitted to the finance director with the surplus property listing. If the department responsible for the property cannot make the estimate, the finance director shall determine the reasonable market value.
D. Determination of City Use. Before completing the property listing, the finance director shall determine whether any other department of the city has a use for the property. If such a use is found, the finance director shall transfer ownership and shall ensure that, if appropriate, the fund disposing of the property is reimbursed for its reasonable market value.
E. Report to City Council. The finance director shall compile a listing of all surplus property of the city and submit for city council review at a regular meeting.
F. Council Action. Disposition of surplus property must be approved by a majority of the city council. The procedure is as follows:
1. The council shall examine the report of the finance director at a public meeting and may, by majority vote, declare property as surplus to the needs of the city and available for disposition.
2. The council shall direct the finance director to carry out their directions for disposal of the surplus property with the assistance of the department owning the property.
3. In certain situations a public hearing may be required before city council action or the city council may hold one at their discretion.
G. Guidelines for Decision of the Council. The council shall direct the finance director to dispose of surplus property in the manner deemed to be in the best interest of the city. Considerations for such disposition shall include, but are not limited to:
1. Possible future requirements of the city;
2. Present value of the property;
3. Likelihood of locating a buyer;
4. Intergovernmental cooperation;
5. The general welfare of the citizens of the city.
H. Method of Disposition. If the estimated value of the surplus property is $2,500 or less, the city manager may dispose of the property by informal procedures in any manner deemed to be in the city’s best interests. If the surplus property has an estimated value greater than $2,500, it may be disposed of in one of the following methods:
1. Public auction;
2. Solicitation of written bids;
3. Negotiated sale to one or more designated buyers;
4. Transfer to another agency of government;
5. Trade-in upon the purchase of a like article; or
6. Donation to a charitable or nonprofit organization. (Ord. 2018-01 § 1, 2018).