SUBJECT/RECOMMENDATION:
Title
Declare as surplus obsolete gas appliances to the needs of the City, authorize disposition through sale to the highest bidder through open market and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
Clearwater Gas System (CGS) has numerous inventory gas appliances ready for disposition. These items consist of 24 gas water heaters, two outdoor grill sets, one vent hood and one miscellaneous valve cover. These appliances are no longer needed because they are outdated and CGS Sales Representatives have been unsuccessful in selling them to potential customers. Most of these obsolete appliances are over 10 years old.
It is no longer policy to inventory quantities of appliances. CGS now orders appliances as required by signed customer orders, therefore, the Department should not have to dispose of appliances in this fashion in the future.
The intent is to sell all surplus designated equipment to the highest bidder. The selected bidder(s) will be responsible for pick-up and transportation of the equipment from their locations. The service/repair items are located at the Gas Administration Warehouse on Myrtle Avenue.
Pursuant to City of Clearwater Code of Ordinances, Section 2.622, surplus sales of common bulk items of an estimated value greater than $5,000 shall be through public auction or open market, following authorization by the City Council. The inventory book value of the surplus appliances is $22,907.39. The open market bid opportunity will be handled in accordance with code and purchasing policy, Division 4, Sale of Surplus Personal Property, and managed by the Purchasing Division.
APPROPRIATION CODE AND AMOUNT: N/A
USE OF RESERVE FUNDS: N/A