From
Bryce Davis, Purchasing Manager
Title
Contract for auctioneering services with Rene Bates Auctioneers, through a national interlocal agreement with BuyBoard, and authorize the vendor to charge a 10% Buyer's Premium on all City property auctioned off (anticipated between $50,000 - $70,000 annually) for one year with the option to renew for two additional one-year periods and authorize the City Manager to execute the renewal options
Presenter
Bryce Davis, Purchasing Manager
Recommended Action
Approve
Analysis
Rene Bates Auctioneers has been utilized by the City since 2004 for auctioning city-wide surplus property, seized and abandoned property, and retired fleet vehicles and equipment through their cooperative contract. Auctions are conducted through the internet and live auction. This contract would allow Rene Bates Auctioneers to charge a 10% Buyer's Premium that is passed off onto the successful buyer resulting in zero cost to the City. Anticipated gross profits off commission for Rene Bates averages about $50,000-$70,000 annually, depending on the quantity of surplus being auctioned each year.
Chapter 271.102 of the Local Government Code authorizes local governments to participate in a cooperative purchasing program with another local government or local cooperative organizations for the performance of governmental functions or services including administrative functions normally associated with the operations of governments. The competitive bid process is conducted by the sponsoring entity or agency such as the State of Texas, BuyBoard entities, etc. and saves money by pooling the impressive purchasing power numbers of their members (school districts, municipalities, counties, other local governments, and non-profits across Texas).
BuyBoard contract 620-20 was effective 09/01/2020 and set to expire 08/31/2021 with two possible one-year renewals.
Financial Consideration
No cost to the City. Rene Bates Auctioneers will charge a 10% Buye...
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