Title
FY15 GRU Surplus Property Sales (B)
Explanation
Throughout the year, obsolete, scrap and surplus materials are identified as surplus property by GRU departments. Examples of recent surplus property sales include conveyer belts, electronics, generators and other unusable equipment or materials. Staff is seeking approval to sell surplus property with a value of greater than $25,000 in FY15. This will allow GRU to respond quickly and efficiently to opportunities in the utility market place. Staff will provide a report to the City Commission at the end of the fiscal year for all surplus sales.
The City Purchasing Policy states that the sale of surplus property shall be through the method appropriate to reaching prospective buyers. All GRU surplus property is reviewed and approved for disposition by GRU's Investment Recovery Committee which is comprised of staff from Finance, Environmental, Utilities Stores and Purchasing. Disposition methods include transfer to other City departments, competitive bidding, public auction or donation to a nonprofit or government agency. The public auction used is specifically for public agencies, allowing items to be sold with no expense to GRU. All sales are handled by GRU Purchasing to adhere to purchasing policies and procedures and ensure a fair and competitive process that garners the greatest return.
Fiscal Note
The sale of all surplus material will be applied to GRU's general fund as required by auditing requirements.
Recommendation:
The City Commission: 1) declare GRU's obsolete, scrap and surplus materials as surplus property; and 2) authorize staff to sell or dispose of such property for FY15 in a manner which generates the greatest benefit through established procedures.