Title
Award Contract for Collection, Transportation, Storage and Auction Services to Weeks Auction Company, Inc. (B)
This is a request for City Commission approval to establish a contract with Weeks Auction Company for collection, transportation, storage and auction services to dispose of surplus property items as needed.
Explanation
Every year, there are approximately 2,500 surplus property items stored at the City’s Surplus Lot located at the Public Works Compound on NW 39th Avenue. These surplus items consist of office equipment and furniture, construction and yard equipment, vehicles, abandoned and unclaimed property and miscellaneous items. In the past five years, the City has reduced storage costs and increased revenues by using an auctioneer service monthly, bi-monthly or quarterly to dispose of surplus property items. All surplus property items are transported to the auctioneer’s site in Ocala. This process has increased the cash flow for the surplus process; as well as, reduced storage and personnel costs.
On February 20, 2013, the General Government Purchasing Division issued a Request for Proposal (RFP) through Demand Star for collection, transportation, storage and auction services. The Purchasing Division received one response. The Finance Department, Regional Transit and General Services Department staff reviewed the RFP and recommend awarding a contract to Weeks Auction Company, Inc.
The contract covers a three (3) year period and provides for two (2) additional one-year extensions. The vendor is required to conduct monthly, bi-monthly or quarterly auctions at their site.
Fiscal Note
The City expects to generate revenues in excess of $250,000 annually as a result of monthly, bi-monthly or quarterly auctions. At the $250,000 level, the cost to the City would be $20,000 based on the 8% bid rate.
Recommendation
The City Commission: 1) award the contract for collection, transportation, storage and auction services to Weeks Auction Compa...
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