Title
Auctioneering Services (Ordinance S-44835)
Description
Request to authorize the City Manager, or his designee, to allow the use of the State of Arizona contract with Sierra Auction Management, Inc. Authorization is also requested for the City Treasurer to accept and and the City Controller to disburse funds for the life of the contract.
Report
Summary
Auction services are needed to meet the administrative controls required by Administrative Regulation 5.13, to protect the City's investments in fixed, sensitive and low-value property. Fleet vehicles; obsolete computers, office furniture, appliances, and lawn equipment; and confiscated and unclaimed property are among the types of products auctioned. City departments will transfer the property to the Contractor for auction and the Contractor will collect auction proceeds and in turn remit the proceeds to the City.
This contract will be paid through proceeds received from the sale of the City's property and revenue will be deposited to the City's General and Enterprise Fund accounts.
Procurement Information
By utilizing the cooperative contract, the City benefits from the State of Arizona cooperative contract rates.
Contract Term
The contract will begin on or around Sept. 1, 2018 and will expire after five years.
Financial Impact
The aggregate contract value of the revenue generated for the City of Phoenix is approximately $9,500,000, with estimated annual revenues of $1,900,000.
Department
Responsible Department
This item is submitted by City Manager Ed Zuercher and the Finance Department.