§ 2-348. Sale of surplus material.

(a)

A department head having charge of any surplus, obsolete or unused supplies, materials or equipment, which may include vehicles, may request that the property be disposed of according to the provision of this section. City council authorization shall be required for the disposal or sale of any work of art, piece of furniture, decorative object, vehicle or the like, which is seventy (70) years or older.

(b)

The designee appointed by the city manager is authorized to sell the property in any form in the most advantageous manner. The designee may set a minimum sale price and may reject any formal or informal bid that, in his/her judgement is not a fair sale price. Property may be disposed of in the following manner:

(1)

Sale by auction;

(2)

Sale by sealed bid;

(3)

Solicitation of offers to purchase the asset. Such solicitations shall be on the condition that no offer less than the expected sale price carried on the item, as approved by the city manager;

(4)

Sales based upon a negotiated agreement with a particular vendor, provided that such vendor must be selected according to an established written procedure which provides a mechanism for all interested parties to make proposals in a fair and even manner. Direct negotiations as provided in this subsection may only be used if deemed to be in the best interest of the City of Owosso and facts set forth as to why other means are less desirable;

(5)

Sales by a third party selected according to the city's standard procedures for selecting providers of services;

(6)

Transferred, with or without compensation, to any government entity, or other organization designated as a 501(c)(3) by the Internal Revenue Service; or

(7)

If the property has been designated in a nonusable state by the designee appointed by the city manager, it may be disposed of, consistent with the public interest, in any manner as deemed appropriate by the city.

(c)

Any compensation resulting from the disposal of surplus property belonging to the City of Owosso shall be transferred to the fund from which the property was acquired or most likely acquired.

(d)

The designee appointed by the city manager is authorized to act as the agent for the city in the collection, disposal, and execution of agreements for the disposal of surplus property as authorized by the City of Owosso or the city manager.

(e)

The designee shall forward any funds collected along with written information to allow the correct allocation of the funds and the removal from fixed assets or inventory.

(Ord. No. 786, § 2, 7-17-17)