Title
Staff Report for Resolution Declaring Fourteen (14) Vehicles, Twelve (12) Pieces of Equipment, and Other Miscellaneous Items as Surplus and Authorizing the Sale of Said Surplus Assets at a Public Auction.
Staffreport
SUMMARY AND RECOMMENDATION
Staff recommends the City Council declare certain assets surplus and authorize sale of said items at a public auction.
BACKGROUND
San Leandro Unified School District receives the first offer of the city’s surplus assets. Based on recent discussions between the Public Works Director and the School District, the Public Works Director has determined there is no interest in purchasing any of the vehicles. 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.
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 a public auction by U.S. Auctions on November 2, 2018. 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 of the revenues that an auction can generate, prior auctions of similar size have seen returns in the range of $118,000 to $124,000.
ATTACHMENT TO RESOLUTION
• List of vehicles (14), equipment (12) and miscellaneous items
PREPARED BY: David Baum, Finance Director, Finance Department