Explanation
BACKGROUND: This ordinance is for the option to purchase On-Line Surplus Auction Services from AssetNation, Inc. the State Contract Vendor and authorized fiscal agent by the Columbus Depository Commission. The term of the proposed option contract would be through March 31, 2014 with an option to extend for two (2) one year periods contingent on the extension of the Ohio Department of Administrative Services (DAS) Cooperative Contract (RS902612).
Columbus City Code Section 329.30 provides for the sale of city-owned personal property and authorizes the Finance and Management Director to sell surplus property. The Purchasing Office conducted research regarding on-line auctions and has determined that the use of the services offered by AssetNation, Inc. is in the best interests of the City. This replaces a similar contract authorized by Ordinance #0201-2010 which produced positive results of revenue exceeding $750,000 to the City in 2011 and expired on March 31, 2012.
The Purchasing Office recommends a contract be established with AssetNation, Inc. based on the State's cooperative contract (RS902612) currently in place for on-line auction services. This contract is in effect until March 31, 2014 and may be extended at the discretion of DAS. City Ordinance #582-87 authorizes the use of DAS cooperative contracts by the City.
This contract is not exclusive. Therefore, the City can purchase similar services from other providers.
AssetNation, Inc. CC# 943345105 Expires August 31, 2012
Estimated Annual Expenditure: There is no annual expenditure to use this service.
This company is not debarred according to the Federal Excluded Parties Listing or the State Auditor's Findings For Recovery Database.
This ordinance is being submitted as an emergency because, without emergency action the disposition of city assets via this mechanism will be significantly reduced. Keeping the continuity of this mechanism in place will allow the city to continue this program. The purchasing office could not present an ordinance earlier as the office needed to wait for the State to award this contract.
FISCAL IMPACT: Funding to establish this option contract is budgeted in the Mail, Print Services and UTC Fund.
Title
To authorize the Finance and Management Director to enter into a contract for an option to purchase On-Line Auction Services with AssetNation, Inc., to authorize the expenditure of one dollar to establish the contracts from the Mail, Print Services, and UTC Fund, and to declare an emergency. ($1.00).
Body
WHEREAS, the Finance and Management Director is authorized to sell city-owned surplus property to the highest bidder; and
WHEREAS, City Ordinance #582-1987 authorizes the Purchasing Administrator to participate in Ohio Department of Administrative Services (DAS) Cooperative Purchasing contracts; and
WHEREAS, the DAS established a Cooperative Purchasing contract with AssetNation. Inc. for on-line auction services. and
WHEREAS, this ordinance addresses the Purchasing Office objective of maximizing the use of City resources by selling surplus at the highest prices; and
WHEREAS, an emergency exists in the usual daily operation of the Purchasing Office in that it is immediately necessary to enter into a contract for an option to purchase On-Line Auction Services, and keeping the continuity of this mechanism in place will allow the city to continue this program, thereby preserving the public health, peace, property, safety, and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director be and is hereby authorized to enter into a contract for an option to purchase on-line auction services with AssetNation, Inc. for a period ending March 31, 2014 with the option to extend for an additional two (2) one year periods contingent upon the extension of the Ohio Department of Administrative Services (DAS) cooperative contract (RS902612) as follows
AssetNation, Inc; On-Line Auction Services: Amount $1.00
SECTION 2. That the expenditure of $1.00 is hereby authorized from the Mail, Print Services, and UTC Fund , Organization Level 1: 45-01, Fund: 05-517, Object Level 3: 2270, OCA: 451130, to pay the cost thereof.
SECTION 3. That for the reason stated in the preamble here to, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.