SB 510 — Surplus Equipment Auctions.

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2017 S 21 SENATE BILL 510 Second Edition Engrossed 4/26/17 Short Title:

Rules and Operations of the Senate March 30, 2017 A BILL TO BE ENTITLED AN ACT TO DIRECT THE STATE SURPLUS PROPERTY AGENCY TO ESTABLISH A PILOT PROGRAM AND ENTER INTO A REQUEST FOR PROPOSAL TO CONDUCT AUCTIONS FOR SURPLUS EQUIPMENT FOR THE DEPARTMENT OF TRANSPORTATION AND OTHER STATE AGENCIES.

SECTION 1.(a)1. Pilot Program to Reduce Inventory of State Surplus Property.

–G.S. No later than July 1, 2017, the State Surplus Agency shall establish a pilot program for disposing of state surplus property, including motor vehicles and equipment, by public auction in accordance with Section 1 of this act.

In143-64.03 implementingreads thisas pilotrewritten: program, the State Surplus Agency shall prepare a request for proposals pursuant to Section 1.(b) and Section 1.(d), for three (3) public auctions during this pilot program.

The"§ pilot143-64.03. program shall terminate on July 1, 2019.

SECTIONPowers 1.(b)and Byduties Octoberof 1, 2017, the State Surplusagency Property Agency shall issue a request for proposal (RFP) for the sale of surplus titledproperty. and nontitled equipment, not owned by the Department of Transportation, at public auction.

(a) The State Surplus Property Agency is authorized and directed to:

(1) Sell all State owned supplies, materials, and equipment that are surplus, obsolete, or unused and sell all seized vehicles and other conveyances that the State Surplus Property Agency is authorized to sell;

(2) Warehouse such property;

and (3) Distribute such property to tax-supported or nonprofit tax-exempt organizations.

(b) The State Surplus Property Agency is authorized and empowered to act as a clearinghouse of information for agencies and private nonprofit tax-exempt organizations, to locate property available for acquisition from State agencies, to ascertain the terms and conditions under which the property may be obtained, to receive requests from agencies and private nonprofit tax-exempt organizations, and transmit all available information about the property, and to aid and assist the agencies and private nonprofit tax-exempt organizations in transactions for the acquisition of State surplus property.

(c) The State agency for surplus property, in the administration of Part 1 of this Article, shall cooperate to the fullest extent consistent with the provisions of Part 1 of this Article, with the departments or agencies of the State.

(d) The State agency for surplus property may sell or otherwise dispose of surplus property, including motor vehicles,vehicles and equipment through an a public auction or electronic auction service." SECTION 2.(a) By October 1, 2017, the State Surplus Property Agency shall issue a request for proposal (RFP) for the sale of surplus titled and nontitled equipment, not owned by the Department of Transportation, at public auction.

*S510-v-1* General Assembly Of North Carolina Session 2017 (1) Must offer the equipment via live simulcast with live, interactive bidding in real time and provide a minimum of seven days pre-bidding prior to the live simulcast.

*S510-v-2* General Assembly Of North Carolina Session 2017 (5) Must have a minimum coverage of two million dollars ($2,000,000) in commercial general liability insurance.

SECTION 1.(c)2.(b) By March 1, 2018, the State Surplus Property Agency shall review the proposals submitted and shall enter into a contract with the lowest responsible bidder who provides evidence satisfactory to the Agency that it meets the requirements of this section.

SECTION 1.(d)3.(a) By October 1, 2017, the State Surplus Property Agency shall issue a request for proposal (RFP) for the sale of surplus titled and nontitled equipment owned by the Department of Transportation at public auction.

Page 2 Senate Bill 510-First Edition General Assembly Of North Carolina Session 2017 (5) Must have a minimum coverage of two million dollars ($2,000,000) in commercial general liability insurance.

SECTION 1.(e)3.(b) By March 1, 2018, the State Surplus Property Agency shall review the proposals submitted and shall enter into a contract with the lowest responsible bidder who provides evidence satisfactory to the Agency that it meets the requirements of this section.

Page 2 Senate Bill 510-Second Edition General Assembly Of North Carolina Session 2017 SECTION 24. No later than October 1, 2019, the State Surplus Agency shall report to the Joint Legislative Transportation Oversight Committee on the public auction of state surplus property pursuant to the pilot program established pursuant to Section 1 of this act.

At a minimum, this report shall include information on the following:

(1) The quantity and type of properties offered as part of each request for proposal.

(2) The details of each request for proposal and award of contract pursuant to each request for proposal.

(3) The results of the state surplus property public auctions, including information details of each public auction, the identity of the purchaser, and the average ratio of sale price to estimated state surplus property value.

(4) Other information the State Surplus Agency deems necessary.

SECTION 3.

Senate Bill 510-Second510-First Edition Page 3