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The following methods of disposition may be used for departmental surplus items.

(a) Transfer. An acceptable method of disposition is transferring to another department. Both the transferring and receiving departments’ inventory records must be updated to document the disposition of such item.

(b) Sale. There are various methods of selling excess property and surplus items as outlined below:

(1) Auction. The Town may auction to sell items to the highest bidder at advertised public auctions.

(2) Sealed bids. The Finance Department may offer surplus items for purchase by sealed bid. The items shall be advertised locally, by posting at the Town offices, on the Town of Telluride Web Site or by publishing in a local newspaper.

(3) Scrap. Some items are of no use but may have a residual value. Department heads may arrange for the sale of scrap items with the money returned to the Town’s General Fund.

(4) Posted prices. When there is no regular market and demand is erratic, an item may be marked with a pre-established price and sold to the public on a first-come basis.

(c) Trade-in. The Town Manager or the department head may determine that it is advantageous to the Town to seek bids on replacement items with the bidders offering trade allowance and no trade allowance pricing. Award may be made in the manner that is most advantageous to the Town.

(d) Cannibalization. Disassembling an item to use its components for repair or maintenance of a similar item is authorized only if cannibalization has more value and benefit than disposal or trade-in of the item. The Town Manager or the department head must grant approval prior to cannibalizing an item.

(e) Donation. Only the Town Council may dispose of an item by donation to a qualifying entity if the item has a value in excess of ten thousand dollars ($10,000.00). Items donated with a value of less than ten thousand dollars ($10,000.00) may be approved by the Town Manager. (Prior code 17.04.020)