Posting Language
Title
Authorize two contracts for online auction services to sell City surplus vehicles and equipment, office furniture, small tools, power tools, electronics, computers and other miscellaneous items for the Fleet Mobility Services Department and the Financial Services Department with Liquidity Services Operations, LLC d/b/a Govdeals and Gaston & Sheehan Auctioneers d/b/a Gaston & Sheehan Auctioneers & Real Estate, each for an initial seven-month term with up to four one-year extension options and one five-month extension option for an estimated revenue amount of $10,000,000. Funding: Estimated net revenue will be allocated to Fleet Mobility Services Department’s Operating Budget. Net revenue for the remaining contract terms will be available in future budgets.
Body
Lead Department
Financial Services Department.
Client Department(s)
Fleet Mobility Services Department, Financial Services Department.
Fiscal Note
Estimated net revenue will be allocated to the Fiscal Year 2024-2025 Operating Budget of Fleet Mobility Services.
Net revenue for the remaining contract terms will be available in future budgets.
Purchasing Language:
Multiple cooperative purchase programs were reviewed for these services. The Financial Services Department and Fleet Mobility Services have determined these contractors best meet the needs of Fleet Mobility Services to provide these services required for the City.
MBE/WBE:
Cooperative Agreement contracts are exempt from the City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program); therefore, no subcontracting goals were established.
For More Information:
Direct questions regarding this Recommendation for Council Action to the Financial Services Department - Central Procurement at FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500.
Additional Backup Information:
These contracts are for online auction services to sell the City’s surplus vehicles and equipment, office furniture, small tools, power tools, electronics, computers, and other miscellaneous items.
Liquidity Services Operations, LLC d/b/a Govdeals is a leading platform for selling surplus materials, equipment and vehicles for government entities. It provides a means for government entities to list items for sale and for potential buyers to bid upon those items via an online auction system. This contractor will research and assist in determining comparable fair market values and provide marketing of on-line auction services to potential buyers.
Gaston & Sheehan Auctioneers d/b/a Gaston & Sheehan Auctioneers & Real Estate provides online auctioneering services for the sale of abandoned or unclaimed property received from the Austin Police Department, Austin Convention Center Department, Austin Public Library, Department of Aviation, and City surplus property.
Each contractor’s auction services attract different audiences, allowing departments to choose the contractor that best meets their needs based on the items offered for auction. The contractors collect the purchase price and remit payment to the City weekly, minus applicable service fees. This keeps any liability for fraudulent payments or chargebacks on the contractors.
This contract will replace existing contracts which expire on January 31, 2025. The recommended contractors are the current providers for these services.
The Texas Association of School Boards, Inc. (BuyBoard) and Omnia Partners purchasing cooperatives are cooperative purchasing associations recognized under Texas procurement statutes. Cooperative associations, themselves or using a lead government, competitively solicit and award contracts that are eligible for use by other qualified state and local governments. Due to their substantial volumes, larger than any one government could achieve independently, cooperative contracts routinely include superior terms, conditions, and pricing. Use of cooperative contracts also results in lower administrative costs and time savings.
If a contract is not secured, the City risks losing potential revenue from auctioning surplus vehicles, equipment, and other materials.