Assembly Bill No. 407

Assembly Bill No. 407-Committee on Government Affairs

(On Behalf of the Purchasing Division of the
Department of Administration)

April 24, 1997
____________

Referred to Committee on Government Affairs

SUMMARY--Revises provisions governing state purchasing. (BDR 27-492)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.

AN ACT relating to public purchasing; requiring a state agency to report the receipt of forfeited personal property on the monthly inventory list submitted to the purchasing division of the department of administration; revising the method for the sale of surplus property of using agencies; providing the purchasing division with the authority to refurbish surplus property before its sale; conforming the method for the sale of surplus personal property of the department of transportation to that used for the sale of surplus personal property of other using agencies; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1 NRS 333.220 is hereby amended to read as follows:
333.220 1. The chief shall:
(a) Provide for classification of the [fixed properties and movable equipment] personal property of the state in the possession of the using agencies.
(b) Establish a [scheme] process for identification of all such property . [and equipment.]
(c) Maintain records of [the equipment and] such property.
(d) Except as otherwise provided in this paragraph, determine which items of such property [and equipment] must be listed by each using agency pursuant to subsection 4. Any item which had an original cost of $500 or more and which has a useful life of more than 2 years must be included on the list.
2. Each using agency shall submit to the purchasing division a list on or before the last day of each month [to the purchasing division] of all [equipment] personal property for which it is responsible which was lost, stolen, exchanged or deemed excess . The list must include all forfeited personal property which was received by the using agency and all personal property which was donated to the using agency within the previous month. The list must be prepared by the officer entrusted with custody of the [equipment] property and be approved by the officer's supervisor or the head of his department or agency. A monthly physical count is not required for the preparation of the list.
3. The chief may transfer any [tool, implement, machinery or other equipment] personal property or forfeited personal property in the possession of [any] a using agency [,] to another governmental agency within the state, if that [equipment] property is not necessary for the use of the agency . [, to another agency.]
4. The records of personal property [and equipment] of the state must be maintained at all times to show the officers entrusted with the custody thereof and transfers of such property between those officers. Each using agency shall conduct an annual physical count of all personal property [and equipment] charged to it and reconcile the results of the annual physical count with the records of inventory maintained by the chief. The chief shall maintain the current records of inventory for each state agency.
5. The chief shall adopt regulations which:
(a) Prescribe the procedure by which [supplies, materials and equipment] personal property may be condemned and disposed of, if of no further use to the state.
(b) [Except as otherwise provided in subsection 6, provide that property may be sold only to the highest bidder after every effort has been made to secure at least three competitive bids.
(c)] Provide that condemned property [with] which the chief has not transferred to another governmental entity and which has an appraised value over $1,000 may be sold [only through a notice] at a public auction. At least once within 15 days before the auction, the chief shall publish or cause to be published in a newspaper circulated in the area in which the sale is made [.
6. Before accepting other bids, the chief shall:
(a) Offer a used vehicle of the highway patrol to the using agencies and sell the vehicle to the highest bidder, if any, from the using agencies.
(b) Offer any used vehicle of the highway patrol which was not purchased by a using agency pursuant to paragraph (a) to the office of the sheriff of each county and to the police department of each city in the state and sell the vehicle to the highest bidder, if any, from those offices or departments.
A bid and acceptance thereof must be made in accordance with regulations adopted by the chief.] a notice of the auction and a description of the property to be sold.
6. For the purposes of sale, the chief or his designated agent shall determine the value of personal property which is of no further use to the state. The chief may request the assistance of any department or officer having technical expertise regarding any such property to determine the value of the property.
7. The chief may elect to refurbish, in whole or in part, personal property which is of no further use to the state if the chief determines that refurbishment will enhance the value of the property. The purchasing division is entitled to reimbursement for the cost of refurbishment from the proceeds of the sale of the property.
Sec. 2 NRS 333.462, 333.463, 333.4635, 333.464, 333.465, 333.466, 333.467 and 333.468 are hereby repealed.

LEADLINES OF REPEALED SECTIONS

333.462 Sales to general public, counties, cities, volunteer fire departments, Civil Air Patrol and Indian tribes.
333.463 Notice of availability.
333.4635 Notice of public sale.
333.464 Conditions of acceptance of bids.
333.465 Opening of bids.
333.466 Priority of bids.
333.467 Notice to department of transportation of acceptance of bid.
333.468 Deposit of money received in state highway fund.