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10.13.01 Surplus Property CITY OF BOYNTON BEACH, FLORIDA ADMINISTRATIVE POLICY MANUAL CHAPTER: 10 Purchasing Policy No. 10.13.01 SECTION: 13 Surplus Property Page: 1 of 3 SUBJECT: 01 Disposition of Surplus and Obsolete Property PURPOSE: This policy establishes responsibilities and implements procedures to be followed in the disposition of obsolete and surplus City personal property. These same procedures apply to the disposition of lost, stolen, and abandoned property and confiscated property obtained by the Police Department. PROCEDURE: Release of Custody/Transfer. When property is no longer of use to a custodian department, the following procedures shall apply: 1. The custodian department shall complete and sign a "Fixed Asset Transfer/Disposition Request” and submit the form to the Warehouse. 2. Warehouse shall so note the condition and disposition of the property on the "Fixed Asset Transfer/Disposition Request”. 3. If the property is in usable condition, it shall be placed on a list of currently available surplus property and circulated to all City departments. This list shall be circulated prior to the sale of surplus equipment. 4. Prior to the actual transfer of any surplus property to storage, the requesting department shall obtain approval from the City Manager and Finance Department. Removal from City Asset Inventory List of property is to be auctioned, sold by formal bid, sold for scrap, or thrown away, the following will apply: 1. Prior to the disposition of surplus property, a list of all inventoried property shall be submitted to the City Manager, or his designee, for approval. The Purchasing Division will include the recommended method of disposal which is considered to bring the highest return to the City. 2. The City Manager, or his designee, shall have the authority to dispose of the following property without City Commission approval: Policy No. 10.13.01 -Disposition of Surplus and Obsolete Property Page: 2 of 3 1. All abandoned or unclaimed property coming into the possession of the City. 2. All vehicles and equipment of the City which are scheduled for replacement in the annual budget. 3. All other tangible personal property other than the above with an original purchase price of less than $500. Vehicles Disposal: All surplus City vehicles designated for disposition will be turned into the Vehicle Service Department. Vehicle Service Department will: 1. Verify that the vehicle is no longer in usable condition to the City and should be released. 2. Prepare a list of vehicles which will include year of vehicle, make, model, vehicle identification number (VIN), and vehicle number (City assigned number). 3. Verify the title work prior to submitting the list to the Purchasing Division. 4. Complete the processing for disposal utilizing one of the approved disposal methods. 5. Send a completed copy of the "Fixed Asset-Transfer /Disposition Request" to Finance Department for removal of the asset from the inventory records. Approved Disposal Methods: Public City Auction: If the public City auction method of disposal is utilized the auction shall be in compliance with Florida State Statute, City Ordinance, Resolution and/or established City Policies. Selection of an auctioneer shall be accomplished through a competitive bid process. If titled vehicles are being auctioned, on the day of the auction, an authorized representative from the Vehicle Service Department shall be present to transfer vehicle registration to the new owner. Vehicle transfer can only take place if the buyer has paid in cash, cashiers check or certified check. In order to obtain a title for any vehicle that does not have a current valid Emissions Inspection Certificate each bidder/purchaser must: Policy No. 10.13.01 -Disposition of Surplus and Obsolete Property Page: 3 of 3 1. Show positive proof that they reside in a county that does not have a Motor Vehicle Inspection Program (MVIP). 2. Purchase a vehicle without a title as "Parts Only" or "Junk" and perform the necessary repairs to qualify and obtain a "rebuilt' title from the State of Florida. All property sold shall be properly identified by the City's fixed asset tag number. One copy of the property disposition shall be submitted to the Finance Department for their records. The City may cooperatively hold auctions with other cities and county governments when such is determined to be in the best interest of the city. -Auction House: If considered to be in the best interest of the City, the City Manager may choose to have vehicles and other items sold to the highest bidder at an auction house. Vehicle sales must comply with "Item a" above. Sale by Formal Sealed Bid: If the Purchasing Division utilizes this method, it shall be in compliance with with the City's Purchasing policies and with respect to the procedures to be followed. Sold for Scrap: If the Purchasing Division utilizes this method, it shall be by competitive quotations and in compliance with the City's Purchasing Ordinance with respect to the procedures to be followed. Thrown Away: If the Purchasing Division utilizes this method, it shall first be approved by the City Manager after the Director of Finance certifies that the property has no recoverable value. The property shall be loaded onto a City truck and taken directly to the County dump. Other Disposition: The City Manager has the authority to approve any other method of disposition of surplus property. DEVELOPED BY: Purchasing Division EFFECTIVE DATE: February 1, 1998 Kerry Willis City Manager