Title
Staff Report for the Resolution Declaring as Surplus Six (6) Vehicles, Two (2) Motorcycles, One (1) Piece of Equipment and Authorizing the Sale of Said Vehicles at Public Auction
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff recommends Council declare certain vehicles and equipment surplus and authorize sale of said vehicles and equipment at public auction.
BACKGROUND
There are nine (9) pieces of City equipment ready for sale via public auction. Currently out-of-service, the items are being stored at the Public Works Service Center.
All vehicles recommended for surplus have reached the end of their useful lives and meet the criteria of the City's vehicle replacement policy. This includes the number of miles on each vehicle, increasing maintenance costs, and other factors. In addition, each unit is fully depreciated. Based on discussions with both school districts over the past few years about their vehicle needs, the Public Works Director determined that these vehicles would not be of interest to either district.
Section 1-6-500 of the San Leandro Municipal Code authorizes the purchasing agent to sell surplus items at public auction. If staff's recommendation is approved, said vehicles will be sold at public auction by First Capitol Auctions in Vallejo, CA on December 14, 2013. Public notice of the auction and auction preview will be posted on the City's web site.
FISCAL IMPACT
The sale of these items at auction generates a moderate amount of one-time revenue. Although there is no guarantee on the revenues that an auction can generate, prior auctions of similar size have seen returns in the range of $35,000 to $65,000.
ATTACHMENTS
ยท List of vehicles (6), motorcycles (2) and piece of equipment (1)
PREPARED BY: David Baum, Director, Finance