18South Miami
To: The Honorable Mayor & Members of the City mmission
Via: Hector Mirabile, PhD, City Manager
From: Alfredo Riverol, CPA, Cr.FA, Chief Fi ancial Officer
Date: April 04, 2011 Agenda Item No.:
Subject: A Resolution of the Mayor and City Commission of the City of South Miami,
Florida, authorizing the City Manager to execute a contract agreement with
PropertyRoom.com, Inc. for auctioning of surplus municipal property; and
providing for an effective date.
Background: The departments within the city, at times, hold surplus items of value that are
eligible for auction. These items may deteriorate and /or decrease in value while
awaiting a traditional on site City auction.
PropertyRoom.com, Inc. is a national company that has multiple programs,
which include pick up actionable items from the City on scheduled pick up dates,
and offers them for auction on the internet. The proceeds paid to the City will
vary depending upon the auction program chosen, which consists of Portables
Auction Program, Gold Auction Service, and Platinum Auto Auction Service.
The City reviewed the services of three other agencies:
• Govdeals
• Gov- Auction
• Public Surplus.
After review, the City has determined that PropertyRoom.com, Inc. is a full
service company, which is most complete and provides the greatest rate of
return. Furthermore, the City of South Miami Police Department, since 2002,
has used PropertyRoom.com, Inc. for the auction of the confiscated /abandoned
items.
Attachments: ■ PropertRoom.com, Inc. Property Disposition Agreement
■ Addendum to Property Disposition Services Agreement
■ Letter regarding free towing with the use of the Platinum Service for
auctioning of vehicles and heavy equipment.
■ Other vendors reviewed
1 RESOLUTION NO:
2 A Resolution of the Mayor and City Commission of the City of South
3 Miami, Florida, authorizing the City Manager to execute a contract
4 agreement with PropertyRoom.com, Inc. for auctioning of surplus
5 municipal property; and providing for an effective date.
6
7 Whereas, the departments within the city, at times, hold surplus items of value that are
8 eligible for auction; and
9 Whereas, these items may deteriorate and /or decrease in value while awaiting a
10 traditional on site City auction; and
11 Whereas, PropertyRoom.com, Inc. is a national company that has multiple programs,
12 which include pick up actionable items from the City on scheduled pick up dates, and offers
13 them for auction on the internet.
14
15 Whereas, the proceeds paid to the City will vary depending upon the auction program
16 chosen, which consists of Portables Auction Program, Gold Auction Service and Platinum Auto
17 Auction Service; and
18 Whereas, This Agreement will become effective as of the start date and will continue for
19 an initial term of one (1) year following the launch date, and will automatically renew for
20 consecutive one (1) year terms, for a maximum of 5- years, unless written notice of non - renewal
21 is provided by either party to the other at least sixty (60) days prior to the expiration of the then
22 current term.
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NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF SOUTH MIAMI THAT:
Section 1: The Mayor and City Commission authorize the City Manager to execute the
contract agreement with PropertyRoom.com, Inc. for auctioning of surplus municipal property.
Section 2: This resolution shall be effective immediately upon adoption.
PASSED AND ADOPTED this
ATTEST:
CITY CLERK
day of , 2011.
APPROVED:
MAYOR
I READ AND APPROVED AS TO FORM
2 AND SUFFICIANCY
El
6 CITY ATTORNEY
COMMISSION VOTE:
Mayor Stoddard:
Vice Mayor Newman:
Commissioner Palmer:
Commissioner Beasley:
Commissioner Harris:
PROPERTY DISPOSITION SERVICES AGREEMENT
PropertyRoom.com, Inc., a Delaware corporation ( "PropertyRoom" or "PRC" ), enters into this agreement (the
"Agreement "), with the client identified below (the "Owner ") for the auction and disposition of personal property
(the 'Disposition Services "), in accordance with the Terms and Conditions and Addenda, if any, attached hereto and
listed below. Beginning (the "Start Date "), Owner engages the Services of PRC.
City of South Miami
Owner Name
6130 Sunset Drive
Address
South Miami, FL 33143
City, State Zip Code
305- 663 -6343
Phone
pvelez(@southmiamifl.gov
Email
Mark included attachments:
Terms and Conditions
Addendums:
Yes
This Agreement, including all of the terms and conditions set forth in the attached Terms and Conditions as well as
all other attachments indicated in the box above, comprises the entire Agreement between the Parties. This
Agreement cannot be modified except in writing by the duly authorized representatives of both parties.
Owner
Hector Mirabile, PhD
Signor Name
City Manager
Signor Title
PropertyRoom.com
Signor Name
Signor Title
Signature Signature
Signature Date Signature Date
PropertyRoom.com Inc.
26421 Crown Valley Parkway, Ste 200
Mission Viejo, California 92691
kl (949) 282 -0121
Federal Tax ID 86- 0962102
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PROPERTY DISPOSITION SERVICES AGREEMENT
TERMS AND CONDITIONS
1. Property to be Sold. From time to time, Owner will designate items of personal property (the "Property ") that
it desires to provide to PRC for Disposition Services. PRC retains the right to accept or reject certain items in its
sole discretion.
2. Title. Owner shall retain legal title to the Property until it is purchased by auction or otherwise disposed of in
accordance with this Agreement at which time Owner will be deemed to have transferred title to the purchaser
or other acquirer of the item of Property (the "Buyer "), Owner appoints PRC as its attorney -in -fact to sign any
and all documents necessary to assign to Buyers all of Owners right, title and interest in and to Property sold or
disposed. Cash receipts, accounts receivable, contract rights, notes, general intangibles, and other rights to
payment of every kind, arising out of the sales and dispositions of Property (collectively the "Proceeds ") belong
to Owner, subject to PRO's right to PRC's Net Proceeds and funds attributable to credit card processing costs
and other transaction costs. Owner's Property shall, at all times before sale or disposition, be subject to the
direction and control of Owner.
3. Method of Selling Property.
a. Portable Property Items. PRC will, on Owners behalf, pick -up, store and list Property for sale by auction
to the public on the internet on one or more domain names selected by PRC. To the extent that any Property
is not sold by auction, PRC may, in any commercially reasonable manner selected by PRC, dispose of
Property. PRC will determine all aspects, terms and conditions of auctions of Property and dispositions of
Property not purchased at auction, subject to the ultimate control of Owner. PRC will be responsible for all
phases of submitting the Property for auction, including, but not limited to, determining when Property will
be auctioned, setting the opening and reserve prices of Property, if any; determining the selling price,
setting the length of time Property will be auctioned; creating text and graphics to describe and depict
Property submitted for auction; collecting Buyer information (such as name, billing address, shipping
address, and credit card information); approving Buyer credit card purchase transactions; and collecting
auction proceeds for completed sales from Buyers. PRC shall use reasonable commercial efforts in
auctioning and selling the Property on the Internet and disposing of Property that does not sell at auction.
PRC shall sell and dispose of all Property "as is" without any liability to the Owner. PRC is solely
responsible for identifying and resolving sales and use tax collection issues arising from Property sales,
including the necessity of charging and collecting such taxes.
b. Large Property Items. PRC will, at Owner's request and on Owner's behalf, list physically large Property
("Large- Items") for sale by auction, including but not limited to cars, trucks, boats, planes and bulk lots of
bicycles. For Large - Items, PRC offers Owner different selling options ( "Gold," "Portable" and
"Platinum "), each with different service components and associated pricing.
(1) In -Place Options. For Gold, PRC will auction Large -Items in- place, and in this context, "in- place"
means that PRC will not pick -up and store these specific Items but rather Owner will maintain physical
control until transfer of Items to Buyers.
(2) Haul -away Option. For Platinum, PRC will, in conjunction with a partner and to the extent practical,
pick -up and haul -away Large- items, selling via online auction and transferring title and physical
possession to Buyers as described in Portable Property Items.
(3) Large -Item Service Summary. The Large -Item Auction Services Option Table below depicts service
components associated with each option.
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PROPERTY DISPOSITION SERVICES AGREEMENT
n4 ..4h A ..P C.dlr,... pr, n t 7 perm -rfam A prtinp Qer6res Option Table
Service Component
Res onsible Par if applicable) '
Gold
Platinum
1. List Large-Item for In -Place online auction
PRC
2. Checklist review and coordination
PRC
PRC
3. Listing write-up and marketing
PRC
PRC
4. Auction and auction technology management
PRC
PRC
5, Customer Support to Bidders
PRC
PRC
6. Coordinate Buyer payment and Large-Item pick-up
PRC
PRC
7. Transaction (payment) processing
PRC
PRC
8. Photographing, vehicle review, equipment descri tion
Owner
PRC
9. Provide or procure asset title, as applicable
Owner
Owner*
10. Pick-up and haul-away off -premises o remises online auction
NA
PRC
* At Owner request, PRC will acquire title through its partner and pass - through title acquisition cost.
4. Term and Termination.
a. This Agreement will become effective as of the Start Date and will continue for an initial term of one (1)
year (the "Initial Term ") following the "Launch Date" (as defined herein) and thereafter will automatically
renew for consecutive one (1) year terms, for a maximum of 5- years, unless written notice of non- renewal
is provided by either party to the other at least sixty (60) days prior to the expiration of the then current
term.
b. As used herein, "Launch Date" shall mean the date on which PRC completes the first auction of Owner
Property.
c. This Agreement may be terminated if there is a breach by either party of any obligation, representation or
warranty contained in this Agreement, upon thirty (30) days prior written notice to the other party unless
the breach is cured within the thirty (30) day period, provided, however, if the breach is not capable of
being cured within thirty (30) days, the breaching party will have a reasonable amount of time to cure the
breach if it begins to cure during the thirty (30) day period and proceeds diligently thereafter. The written
notice will specify the precise nature of the breach.
d. The rights of the parties to terminate this Agreement are not exclusive of any other rights and remedies
available at law or in equity, and such rights will be cumulative. The exercise of any such right or remedy
will not preclude the exercise of any other rights and remedies.
e. Notwithstanding any termination by either party of this Agreement, PRC will continue to remit amounts
due to Owner under this Agreement in connection with any sales made before the effective date of the
termination. At the time of termination, any unsold inventory shall continue to be auctioned by PRC or
returned to Owner, at Owner's election and cost.
5. Allocation of Sales Proceeds.
a. Portable Property Items
(1) Sales Price. The total amount paid by Buyer shall be called the "Sales Price." The Sales Price shall
include the winning bid amount (the "Winning Bid ") and all costs, shipping and handling charges,
taxes, and insurance costs associated with the transaction and paid by Buyer.
(2) The Split. For each item of Property, Owner will be credited with 50% of the first $1,000 of the
Winning Bid and 75% of the Winning Bid portion, if any, that exceeds $1,000. From this amount, the
Owner's pro rata share of transaction fees (the "Processing Costs "), if any, will be deducted.
(3) Processing Costs. Credit card processing costs ( "Credit Card Cost") and affiliate processing fees (the
"Affiliate Fees," which include commissions and processing costs paid to third parties IF they sent the
winning bidder to the website), will be borne by Owner and PRC in proportion to the percentage of the
revenue credited to the parties for each underlying transaction.
(4) Net Proceeds. Amounts received by the Owner will be called "Owner's Net Proceeds ".
Portable Item Example. The following example illustrates allocation of proceeds from a Portable Property
Item sale. Assume an item of Property sells at auction for a $100 Winning Bid; the Buyer pays shipping
and handling of $10, insurance of $2, and sales tax of $6. The Buyer pays the Sales Price of $118.00 ($100
+ $10 + $2 + $6) by credit card, and the Credit Card Cost is 3% of the Sales Price or $3.54 (0.03 x $118)
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PROPERTY DISPOSITION SERVICES AGREEMENT
and the Affiliate Fee is 4.8% or $4.80 (0.048 x $100). The Owner and PRC each share 50% of the
underlying Winning Bid, therefore Credit Card Costs and Affiliate Fees are also shared equally, $1.77 each
($3.54 _ 2) for Credit Cost and $2.40 each ($4.80 + 2) for Affiliate Fees. The Owner's Net Proceeds are
$45.83 ($50.00 less $4.17). Note: less than 1 out of 10 transactions include Affiliate Fees.
(5) Fuel Surcharge. The Company does NOT charge pick -up fees. Instead, a fuel surcharge applies per
Portable Item manifest when diesel prices rise above a specific level as shown in the Fuel Surcharge
Schedule below. The Company benchmarks average diesel retail prices as published online by the
Energy Information Administration of the US Department of Energy and resets its fuel surcharge
quarterly based on pricing from the prior quarter. Fuel surcharges, if any, deduct from monthly
Owner's Net Proceeds.
Fuel Surcharge Schedule
Retail Diesel
er; al
Fuel Surcharge*
Less than $2.50
$
0.00
$ 2.50 to
$ 2.99
$
12.40
$ 3.00 to
$ 3.49
$
24.80
$ 3.50 to
$ 3.99
$
37.20
$ 4.00 to
$ 4,49
$
49.60
$ 4.50 to
$ 4.99
$
62.00
$ 5.00 to
$ 5.49 **
$
74.40
' Divides across locations and /or sub- accounts picked -up same day
** Table continues upward at same rate
(6) To the extent that Property is not sold by Auction and PRC disposes of Property in a commercially
reasonable manner (see "Method of Selling Property" section), including, but not limited to, sending to
a charity, recycling center, landfill, or scrap metal processor, Owner understands and agrees to the
following.
(a) When Property is not sold by Auction, PRC disposition activities create additional PRC
processing costs (the "Disposal Costs ") and potentially a disposition Sales Price (the "Disposition
Proceeds").
(b) Disposal Costs include, but are not limited to, labor cost of reloading Property onto a truck, labor
and vehicle costs associated with transporting Property for disposition, and third -party fees, such
as landfill, recycling, and hazardous material disposal fees.
(c) Disposition Proceeds include, but are not limited to, a Sales Price obtained for scrap metal.
(d) PRC will bear the burden of Disposal Costs.
(e) PRC will retain Disposition Proceeds, if any, as an offset to Disposal Costs, except if Disposition
Proceeds for an item of Owner Property exceed $250, in which case PRC will credit Owner a
portion of Disposition Proceeds per "The Split" and "Example" above.
b. Large- Items.
(1) Sales Price, Processing Costs and Net Proceeds. Calculated in a manner directly analogous to
Portable Items.
(2) The Split. For each Large -Item of Property, Owner will be credited with a percent of the Winning Bid
which varies according to the Large -Item service option employed.
(a) Gold. Owner will be credited with 95% of the Winning Bid and from this amount, the Owner's
pro rata share of the Processing Costs, if any, will be deducted. PRC will charge Buyer a 15%
Buyer's Premium.
(b) Platinum. Owner will be credited with 87.5% of the Winning Bid less any title pass- Through fees
from PRC partner.
Large -Item Example. Assume a Large -Item sells at auction for a Winning Bid of $1,000.00, and with no
shipping or handling charges yields a $1,000.00 Sales Price. For the Gold option, PRC collects and retains
a 15% Buyer's Premium, $150.00 (0.15 x $1,000), from Buyer. With regard to collecting the Sales Price
and sharing proceeds, the approach differs by option:
Gold. PRC completes the sale by collecting the $1,000.00 Sales Price from Buyer. The
underlying Winning Bid is shared 95% by Owner, $950 (0.95 x $1,000) and 5% by PRC, therefore
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PROPERTY DISPOSITION SERVICES AGREEMENT
a 3% ($30.00) Credit Card Cost is split 95% by Owner, $28.50 (0.95 x $30) and 5% by PRC,
$1.50 (0.05 x $30). The Owner's Net Proceeds are $921.50 ($950.00 less $28.50).
Platinum. PRC complete the sale as described in Gold, but with a 87.5 -12.5 Split and with a
deduction of any title acquisition pass- through fees.
6. Payment Terms. Once every month, PRC will pay to Owner the amount of Owner's Net Proceeds payable for
completed sales during the preceding month. Sales are deemed completed when all items comprising a line item
on the original manifest or other list of Property are sold. With each payment of Owner's Net Proceeds, PRC
will make available to Owner a detailed report setting forth the following information for the immediately
preceding month:
a. The completed sales during the prior month, including the total amount of related proceeds collected,
Owner and PRC share of Processing Costs, and the Owners Net Proceeds;
b. Other dispositions of Property during the month; and
c. The Property, if any, inventoried by PRC at the end of the month.
PropertyRoom's Obligations Concerning Property in Its Possession. With respect to Property in PRC's
possession:
a. PRC will exercise due care in the handling and storage of any Property;
b. PRC shall keep the Property free of liens, security interests, and encumbrances, and shall pay when due all
fees and charges with respect to the Property;
c. PRC shall sign and deliver to Owner any UCC -1 financing statements or other documents reasonably
requested by Owner; and
d. PRC shall obtain and maintain insurance in an amount (determined by PRC) not less than the replacement
value of Property in its possession. The insurance will cover the Property against fire, theft, and extended
coverage risks ordinarily included in similar policies. PRC shall give Owner a certificate or a copy of each
of the above upon Owner's request.
8. Owner Obligations. Owner will use its best efforts to provide to PRC such Property as becomes available for
sale to the public. Owner will complete paperwork reasonably necessary to convey custodial possession of the
item of Property to PRC, including a written manifest or list that describes the item of Property in sufficient
detail for identification. Owner agrees that it will not provide Property that is illegal or hazardous, including but
not limited to explosives, firearms, counterfeit or unauthorized copyrighted material ( "knock- offs "), poisons or
pharmaceuticals. In addition, to help comply with public notification statutes as well as to support internet
traffic flow to the PRC auction website, Owner agrees to try to create a permanent clickable link (the "Link")
to www.Pi,oDei*tvRoom.com on one or more Owner websites. PRC will supply Link technical requirements,
text and images to Owner.
9. Restrictions on Bidding. PRC and its employees and agents may not directly or indirectly bid for or purchase
auctioned Property on the PRC web site.
10. Representations and Warranties of Owner. Owner hereby represents, warrants and covenants as follows:
a. Property delivered to PRC is available for sale to the general public without any restrictions or conditions
whatever; and
b. Owner has taken all required actions under applicable law that are conditions precedent to Owner's right to
transfer title to the Property to Buyers (the "Conditions Precedent "),
11. Books and Records. PRC will keep complete and accurate books of account, records, and other documents
with respect to this Agreement (the "Books and Records ") for at least three (3) years following expiration or
termination of this Agreement. Upon reasonable notice, the Books and Records will be available for inspection
by Owner, at Owner's expense, at the location where the Books and Records are regularly maintained, during
normal business hours.
12. Indemnification. Subject to the limitations specified in this Indemnification section of this Agreement, each
party will indemnify, hold harmless and defend the other party and its agents and employees from and against
any and all losses, claims, damages, liabilities, whetherjoint or several, expenses (including reasonable legal
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PROPERTY DISPOSITION SERVICES AGREEMENT
fees and expenses), judgments, fines and other amounts paid in settlement, incurred or suffered by any such
person or entity arising out of or in connection with
a. the inaccuracy of any representation or warranty made by the party hereunder,
b. any breach of this Agreement by the parry, or
a any negligent act or omission by the party or its employees or agents in connection with the performance
by the party or its employees or agents of obligations hereunder, provided the negligent act or omission was
not done or omitted at the direction of the other party.
11 Limitations on Liability. UNDER NO CIRCUMSTANCES WILL EITHER PARTY BE LIABLE TO THE
OTHER PARTY FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL OR EXEMPLARY
DAMAGES (EVEN IF THAT PARTY FIAS BEEN ADVISED OF THE POSSIBILITY OF SUCH
DAMAGES), ARISING FROM BREACH OF THE AGREEMENT, THE SALE OF PROPERTY, OR
ARISING FROM ANY OTHER PROVISION OF THIS AGREEMENT, SUCH AS, BUT NOT LIMITED TO,
LOSS OF REVENUE OR ANTICIPATED PROFITS OR LOST BUSINESS (COLLECTIVELY,
"DISCLAIMED DAMAGES "); PROVIDED THAT EACH PARTY WILL REMAIN LIABLE TO THE
OTHER PARTY TO THE EXTENT ANY DISCLAIMED DAMAGES ARE CLAIMED BY A THIRD
PARTY AND ARE SUBJECT TO INDEMNIFICATION PURSUANT TO SECTION 12. LIABILITY
ARISING UNDER THIS AGREEMENT WILL BE LIMITED TO DIRECT, OBJECTIVELY MEASURABLE
DAMAGES. THE MAXIMUM LIABILITY OF ONE PARTY TO THE OTHER PARTY FOR ANY CLAIMS
ARISING IN CONNECTION WITH THIS AGREEMENT' WILL NOT EXCEED TIE AGGREGATE
AMOUNT OF PAYMENT OBLIGATIONS OWED TO THE OTHER PARTY HEREUNDER IN THE YEAR
IN WHICH LIABILITY ACCRUES; PROVIDED THAT EACH PARTY WILL REMAIN LIABLE FOR THE
AGGREGATE AMOUNT OF ANY PAYMENT OBLIGATIONS OWED TO THE OTHER PARTY
PURSUANT TO THE AGREEMENT. NOTWITHSTANDING ANYTHING HEREIN TO THE CONTRARY,
OWNER'S LIABILITY IS NOT LIMITED UNDER THIS AGREEMENT WITH RESPECT TO LIABILITY
ARISING FROM OWNERS FAILURE TO SATISFY TIMELY ALL CONDITIONS PRECEDENT.
14. Assignment. This Agreement may not be assigned, in whole or in part, by either of the parties without the prior
written consent of the other party (which consent may not be unreasonably withheld or delayed).
Notwithstanding the foregoing, an assignment of this Agreement by either party to any subsidiary or affiliate or
a third party acquisition of all or substantially all of the assets of such party will not require the consent of the
other party, so long as such subsidiary, affiliate or acquiring entity assumes all of such party's obligations under
this Agreement. No delegation by PRC of any of its duties hereunder will be deemed an assignment of this
Agreement, nor will any change in control nor any assignment by operation of law by either party. Subject to
the restrictions contained in this section, the terms and conditions of this Agreement will bind and inure to the
benefit of each of the respective successors and assigns of the parties hereto.
15. Notices. Any notice or other communication given under this Agreement will be in writing and delivered by
hand, sent by facsimile (provided acknowledgment of receipt thereof is delivered to the sender), sent by
certified, registered mail or sent by any nationally recognized overnight courier service to the addresses
provided on the signature page of the Agreement. The parties may, from time to time and at any time, change
their respective addresses and each will have the right to specify as its address any other address by at least ten
(10) days written notice to the other parry.
16. Severability. Whenever possible, each provision of this Agreement will be interpreted in such a manner as to
be effective and valid under applicable law, but if any provision of this Agreement is held to be prohibited by or
invalid under applicable law, such provision will be ineffective only to the extent of such prohibition or
invalidity, without invalidating the remainder of such provision or the remaining provisions of this Agreement.
17. Complete Agreement. This Agreement and any related documents delivered concurrently herewith, contain the
complete agreement between the parties relating to the subject of this Agreement and supersede any prior
understandings, agreements or representations by or between the parties, written or oral, which may be related
to the subject matter hereof in any way.
18. Attorneys' Fees and Legal Expenses. If any proceeding or action is brought to recover any amount under this
Agreement, or for or on account of any breach of, or to enforce or interpret any of the terms, covenants, or
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PROPERTY DISPOSITION SERVICES AGREEMENT
conditions of this Agreement, the prevailing party will be entitled to recover from the other party, as part of the
prevailing party's costs, reasonable attorneys' fees, the amount of which will be fixed by the court, and will be
made a part of any judgment rendered.
19. Further Assurances. PRC and Owner will each sign such other documents and take such actions as the other
may reasonably request in order to effect the relationships, services and activities contemplated by this
Agreement and to account for and document those activities.
20. Governing Law. The internal law, and not the law of conflicts, of the state in which the Owner is located will
govern all questions concerning the construction, validity and interpretation of this Agreement and the
performance of the obligations imposed by this Agreement. The proper venue for any proceeding at law or in
equity will be the state and county in which the Owner is located, and the parties waive any right to object to the
venue.
21. Relationship of the Parties. The relationship created hereunder between Owner and PRC will be solely that of
independent contractors entering into an agreement. No representations or assertions will be made or actions
taken by either party that could imply or establish any agency, joint venture, partnership, employment or trust
relationship between the parties with respect to the subject matter of this Agreement. Except as expressly
provided in this Agreement, neither parry will have any authority or power whatsoever to enter into any
agreement, contract or commitment on behalf of the other, or to create any liability or obligation whatsoever on
behalf of the other, to any person or entity. Whenever PRC is given discretion in this Agreement, PRC may
exercise that discretion solely in any manner PRC deems appropriate.
22. Force Majeure. Neither party will be liable for any failure of or delay in the performance of this Agreement for
the period that such failure or delay is due to acts of God, public enemy, war, strikes or labor disputes, or any
other cause beyond the parties' reasonable control (each a "Force Majeure "), it being understood that lack of
financial resources will not to be deemed a cause beyond a party's control. Each party will notify the other party
promptly of the occurrence of any Force Majeure and carry out this Agreement as promptly as practicable after
such Force Majeure is terminated. The existence of any Force Majeure will not extend the term of this
Agreement.
23. Counterparts. This Agreement may be signed in any number of counterparts.
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Addendum to Property Disposition Services Agreement
This addendum is attached to and made part of The City of South Miami's Property Disposition
Services Agreement dated (the "Agreement "). In the event of a conflict between
the provisions of the main body of the Agreement and this Addendum, this Addendum
will govern.
The Agreement is modified as follows:
The attached Free Tow Letter dated March 16, 2011 shall become a part of the contract.
Paragraph 5: Allocation of Sales Proceeds:
Sub Section 6: Disposal of Un -sold Property:
It is fully understood and agreed upon by both parties, that the City of
South Miami, will NEVER incur any Fees, Bills or additional costs for the Disposal of unsold
property that was to be auctioned by Propertyroom.com.
The following language is struck from the contract
Paragraph 13: Limitations on Liability:
The following sentences or parts of sentences from Paragraph 13: The sentence
beginning with the phrase "THE MAXIMUM LIABILITY" and ending with the
word "ACCRUES ". The sentence beginning with "NOTWITHSTANDING" and
ending with the word "PRECEDENT ".
The following sentences or parts of sentences from Paragraph 14: The sentence
beginning with "Notwithstanding" and ending with the word "Agreement" shall be
deleted. The sentence beginning with "No delegation..." and ending with "...either
party" the words "nor will any change in control nor any assignment by operation
of law by either party" shall be deleted.
Paragraph 18: Attorney's Fees and Legal Expenses: This Paragraph is deleted in
its entirety.
Date
for "Owner"
Date
for PropertyRoom.com Inc
PROPERTY
P'g 'Gam
26421 Crown Valley parkway 1 Suite 200 1 Mission Viejo, CA 92691
P11 949.262.0121 f 800.799.2+90 1 rX 949-282.01,36
March 16, 2011
The City of South Miami, Florida
6130 Sunset Drive
South Miami, Fl, 33141
To Whom It May Concern:
This letter will serve as'clarification that if the City of South Miami
utilizes the Propertyroom.com's Platinum Service for auctioning of Vehicles and Heavy
Equipment, that there will no extra tow charge incurred to the City for same as there is
Free Towing as part ofthis Service for up to 30 miles from the Auction Facility and the
nearest Facility to the City of South Miami is in South Miami, approximately 14 miles
away.
For Propertyroom.c In
Larry Lesnick
Business Development
GoIdAuction Service
PropertyRoom.com's Gold auction program specializes in setting abandoned, seized,
and forfeiture vehicles as well as fleet vehicles and other large pieces of property
which do not lend themselves to truck transport to our processing centers.
Our Gold program service inciudes uptoading up to ten digital photographs and a
vehicle description from your staff; describing and listing your vehicles or other
equipment in our online auction catalogue; conducting an online auction that reaches
our more than 1.2 million registered and verified bidders; setting your property to
the highest bidder; collecting the successful bid payment; and remitting the proceeds
due to your agency. We also provide a detailed audit trait for all property provided to
us for sale that records all bids received; the successful bidder and the payment
terms. These reports are available to you via an online access into our servers we
provide for your account, so you always have the latest data available for your own
internal reporting and accountability requirements.
Once the auction is completed and we have collected the funds, we put the successful
bidder in touch with your agency to facilitate title and registration transfer and
delivery of the item.
The benefits of using our services are: ease of use; reduction in staff time spent on
routine processing and redeployment to higher value assignments, higher returns on
vehicle sales from attracting more and better bidders making more and higher
bids; and our
ability ondthe aossests tat #youhare responsible{ tight
tinge
g.
Your agency gets 95% of safes proceeds
4D We retain 51M of sales proceeds
PROPERTY
"'IRflOM.COM
d,
Platm M Auto Auction Service
PropertyRoom.com and Copart, Inc., both leaders in entire auctions, have joined
forces to create a full - service solution for the public sector marketplace. We specialize
in selling abandoned, seized, and forfeiture vehicles as wetlas fleet vehicles.
Our Platinum program service includes towing vehicles from either your agency storage
location or from your contract local tow companies; cleaning and photographing your
vehicles; describing and listing your vehicles in our online auction catalogue; conduct-
ing public inspection periods; conducting, an online auction that reaches a local as
welt as national and international audience of bidders; selling your vehicles to tine
highest bidder; collecting the successful bid payment; facilitating title and registration
transfer; delivering the vehicle to the successful bidder; and remitting the proceeds
due to your agency. We also provide a detailed audit trail. We record all bids received,
the successful bidder, the payment terms, and the title transfer information. These
reports are sent to your agency at the conclusion of each sale week so you always Have the
latest data available for your own internal reporting and accountability requirements.
Our towing services are free for automobiles and small trucks if your pick -up
location is within 30 nautical miles of our local yard facility. Heavy equipment
towing is charged at our cost.
r �~
F
�Y
0 Your agency gets 87.5`Y of sales proceeds
We retain 12.5% of sales proceeds
PROPERTY
R0QOM.COM
PropertyRoom.com's Portable Items auction program specializes in selling abandoned,
seized, and recovered property as well as evidence items no longer required to be
retained by your department. We also accept items of surplus municipal property that
can easily be transported by our trucks back to our processing centers.
Our Portable Items Program service includes: supplying you manifest forms and bar code
labels; regularly scheduling pick up dates from our fleet of trucks; photographing,
cleaning, sorting, and assessing the condition of the items you send us; reasonable
repairs of items; research and evaluation of items to enhance their salability; appraisals
or certification when we feet that would increase bidding interest; listing your property
in our online auction catalogue; exposing your property to our more than 1.2 million
registered and verified bidders; conducting the online auction using our proprietary
technology; processing payments from successful bidders either by credit card or PayPal
accounts; shipping items to purchasers; providing 24x7x365 email support to customers;
maintaining live customer support facilities for your agency to contact us during business
hours; remitting payments to you each month. We also provide a detailed audit trail for
alt property provided to us for sate that records all bids received, the successful bidder
and the payment terms. These reports are available to you via an online access into our
servers we provide for your account so you always have the latest data available for your
own internal reporting and accountability requirements.
We provide an exclusive, free service to the public for return of their lost or stolen
items. If a citizen can prove any item on our site is rightfully theirs we wilt - after
consultation with your staff - arrange to return the property to them free of all charges.
using our services are: ease of use; a reliable process for
!odic purges of your property and evidence rooms; reduction
in staff time spent on routine processing and redeployment
to higher value assignments; higher returns on property
sates from attracting more and better bidders making more
and higher bids; and our detailed reports that help you
maintain tight accountability on the assets you are respon-
sible for protecting.
:ee Structure:
Your agency gets 50% of the first $1,000 of sales
receipts for each item.
Plus
Your agency gets 75% of all sates receipts exceeding
$1,000 per item.
PROPERTY ;- f
RQ
,OM•COM a
Guidelines for Item Pick -up & Processing
This document is intended to help PropertyRoom.com clients better understand our
procedures for the pick up and processing of the following item groups:
1. Items we will not accept.
2. Items, if received, we will dispose of without attempting to sell.
3. Items we will accept and apply the listed guidelines when selling.
Items we will not accept:
• Drugs — Narcotics and paraphernalia
• Firearms — We do sell holsters, stocks, scopes and all other accessories
• Hazmat — Hazardous /flammable materials
• Monitors — CRT monitors (we do take newer, flat screen monitors)
• Office Furniture — Desks, filing cabinets, chairs, etc (please note these items can be sold under our Gold
Program, please contact client services for more details)
• Used Tires — Used tires without rim (we will accept used tires on rims)
2. Items, if received, we will dispose of without attempting to sell:
• Airbags
• Airsoft, BB and pellet guns
• Body armor, with or without inserts and bullet proof vests
• Cable TV decoder boxes
Counterfeit items from name brands - Rolex, Gucci and LV. If you are unsure if an item is a knock -off, please
send it and let our on -site experts make the determination. If the property is a knock -off it will be destroyed and
noted in the system. If you are unsure if an item is a knock -off, please send it and let our on -site experts make the
determination. Please use a separate line and barcode on your manifest.
Endangered species parts or by- products such as Ivory or Tortoise shell
• Food
• Jimmies, Slim -Dims or dent pullers used to break into cars
Lock pick sets
• Lottery tickets
Medicine
• Military decoration approved by Congress such as Distinguished Service Medal, Medal of Honor, Silver Star and
Purple Heart
• Pirated (copied /burned) CDs /DVDs or other media
• Police batons and taser, squad car dividers (cages) and sirens — we will sell most other surplus items
• Project® ChildSafe Gun Locks (we do sell other brands of gun locks)
• Sexually explicit or hate materials
• Used Infant/toddler car seats
Used motorcycle and bicycle helmets
VHS /cassette tapes
3. Items we will accept and apply the listed guidelines when selling:
• Bicycles — Rusted, damaged and missing parts may be disposed
• Hazmat Tanks — We do sell empty tanks such as CO2, 02, NO2 tanks
• Knives — We will sell all except switchblades, butterfly knives and concealed blade canes
• Legacy Electronics — CRT monitors, computers and printers > 3 years old will be recycled if determined to have
no resale value
• Recalls — We will sell recalled items if the recall can be repaired and documented
Used Apparel — We do sell good condition leather jackets / fur coats as well as ski boots and snowboard boots
Please contact Client Services at 866.799.3551 X83 with questions or concerns
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OTHER VENDORS REVIEWED
Page 1 of I
Thank you for your interest in GovDeals.
For more detailed information about our online auction service and how to dispose of your surplus
equipment, please review the attached documents:
GovDeals Memo of Understanding (Sample MOU)
Why document
Flexible Pricing Options' Talking Points
After you have reviewed these documents, simply complete the "GovDeals Introduction" form and fax it
back to my attention.
The attached documents are in Adobe PDF format, if you do not Have Acrobat Reader it is available as a free
download at: http: / /www.adobe.com/ products /acrobat /ieadstep2.litml. If you have any additional questions,
do not hesitate to contact me.
Your Representative is
.Jonathan Neeley
Sales Representative Florida Region
GovDeals, Inc.
Redington Shores, FL
Phone: 407- 462 -5955
Fax (334) 387 -0519
jneeley. @gnvdeals.ppm
Www..Govpeal -corn
Facebook - Twitter - YOUTube
Sales Support
GovDaals, Inc.
5907 Carmichael P1
Montgomery, AL 36117
Phone: (866) 377 -1494
Fax: (334) 387 -0519
Sales Support@GovDeals. com
www.GovDeals.com.
Facebook - Twitter - YouTube
1/20/2011
Ni
GovDeals Introduction nnurnu
GovDeals
Thank you for your interest in GovDeals, Completing this document will start the process of your
entity joining thousands of other governments nationwide who have embraced the GovDeals
solution. We have worked with many different clients from the largest to the smallest in their
adoption of GovDeals and can offer advice and guidance if you desire it. We are only a phone call
away.
Please review the attached sample Memo of Understanding, which is non- exclusive.
Once you have reviewed the Memo of Understanding (MOU); fill in the information requested
below. This information will be included in the Memo of Understanding and submitted for
review. Simply have the appropriate persons sign the finalized document and fax the signature
page to Sales Support at 334- 387 - 051.9. For any questions or assistance, please feel free to contact
us. We look forward to serving you.
Name of Governmental Organization
Mailing /Physical Address
City, State Zip
Name /Title of person that will approve and sign MOU
Contact Information:
Name /Title:
Phone: Fax: _
E -mail Address:
Additional. Contact (If Applicable)
Phone: e- mail:_
Send logo /seal to salgssu)port(ojLovdeals corn
Are you a member of county association or municipal league?
Sales Support
Phone: (856) 377 -1494
Fax: (334) 387 -0519
salessup po rt(ia7govdeals.com
GovDeah Memo of Understanding— V2 8 -10 -10 — SAMPLE -
Online Auction Memo of Understanding (SAMPLE)
This Online Auction Memo of Understanding (MOU) is between GovDeals, Inc. ( "GovDeals "), a
Delaware corporation having its principal place of business at 5907 Carmichael Place,
Mnntaomerv_ Alabama. 36117 and ,Ulierit<'l�a'r'aie .(`,` Ulient"), liavng,tts,px'riicrpal , place'bf
1.0 Description of Services: GovDeals provides a means for Client to post assets for sale
and for potential buyers to bid on these assets via an online auction system. Although
GovDeals provides system access for Client to list assets, GovDeals is not a party to the
actual sale and has no control over the listed information or the ability of the buyer and
Client to complete 'the transaction.
2.0 GovDeals' Responsibilities - In addition, to maintaining and operating an online auction
system, GovDeals will provide Client with the following services for the period agreed to
in 6.0 below:
2.1 Access to a GovDeals online "Client Asset Server" (CAS), which will allow Client to
load assets to the online auction system, maintain information about assets and view
and run reports. The CAS will provide Client with the following capabilities:
0 Accept descriptive information concerning an asset including unli nited photos
® Allow different auction phases based upon dates and times
® .Allow Client to set minimum starting prices, bid increments and reserves
2.2 Training and support services' to assist Client in implementing the GovDeals online
auction system, which will include:
0 Familiarization with the nature and operation of CAS
0 Guidance in the posting of assets and provide ongoing support
o Procedures for taking and posting pictures of assets
W Based on mutual agreement between GovDeals and Client, training and support
services will be provided on -site or via telephone or Internet
2.3 Help Desk support available via telephone or email during normal business hours,
except announced holidays.
2.4 Provide marketing of assets posted to the online auction site and promote use of the
site to potential buyers.
• work with Client to identify items that may benefit from marketing attention.
• Provide documented proof of all marketing efforts made on behalf of Client.
• Assist in determining values and starting prices for unique and high dollar assets.
3.0
4.0 Pavment:
4.1 If Client elects to collect auction proceeds, GovDeals will invoice Client for fees on
the first business day of the month following the month assets are sold. Client agrees to
remit payment to GovDeals within thirty (30) calendar days from receipt of invoice,
unless an applicable prompt payment act or similar legislation specifies a different
time period.
GovDeals Memo of Understanding — V2 8 -10 -10 — SAMPI.X - 1
4.2 Client shall promptly, but no more than fifteen (15) business days after the auction end
date, notify GovDeals of any transaction that was not completed. The fees for said
transaction shall be credited to Client during the next invoice period.
4.3 If Client elects GovDeals to collect auction proceeds electronically via PayPal, credit
card or wire transfer please review and complete Exhibit B.
5.0 Term of MOU: This TMOU shall commence on the date it is signed by the second party
and will continue for a period of twelve months unless otherwise terminated upon sixty
days written notice by either party. This MOU shall automatically extend for additional
one -year periods, unless either party notifies the other in writing of its intent not to renew
at least sixty days prior to the anniversary date.
6.0 Terms and Conditions: Please find Exhibit C attached as an example of suggested
Client Terms and Conditions. At any time during the term of this MOU, Client may
modify the Terms and Conditions. Any substitutions or modification must be submitted
to GovDeals in writing before posting assets to the GovDeals auction site.
7.0 Governance: This MOU will be governed, interpreted; construed and enforced in
accordance with the laws of the State of Client State.'
8.0 Non - Exclusive Engagement: This MOU is not exclusive. Client may utilize other
approaches, including traditional auctioneer services or sealed bids. However, it is
understood and agreed that Client will not utilize other disposal, approaches for an asset
at the same time the asset is listed on the GovDeals online auction site or sell by some
other means to a prior bidder any item currently or previously listed on the GovDeals site
for the purpose of avoiding payment of the GovDeals fee. Client agrees to not
manipulate or interfere with the bidding process on the GovDeals site.
This online auction memo of understanding is agreed to by:
GovDeals, Inc Client:; SAMPLE DOCUMENT
Signature:
Print Name: Robert L. DeBardelaben
Title: President
Date:
Memo of Understanding Contact:
Attention: Sale's Support
5907 Carmichael Place
Montgomery, AL 36117
Telephone Number: 866.377.1494
Fax Number: 334.387.051.9
Email: salessupport @govdeals.com
GovlDals Memo of Understanding— V2 3 -10 -10 —
Signature: SAMPLE DOCUMENT
Print Name: SAMPLE DOCUMENT
Title: SAMPLE DOCUMENT
Date: SAMPLE DOCUMENT
Flexible Pricing Options (FPO)
Solact one from options descritxd in Gin-Deals NJtino
of Undcrstanding- L:xbibitA
Client Colleds Proceeds
130ptionAl (7.5% Seller- 0 % Buyer)
0 Option A2 (0% Seller- 7.5% Buyer)
Client elects £ SS (GovDeals collects Proceeds)
l Option B I (7.5% Seiler- 5% Buyer)
0- Option B2 (5ofo Seller- 7.5% Buyer)
0Option B3 (2.5% Seller - 10% Buyer)
0Option B4 (0% Seller- 12.5% Buyer)
a
3.
EXHIBIT A - Online Auction Memo of Understanding
Flexible Pricing Options (FPO)
The Client has the option to choose from the following alternative plans:
A - Client Collects Proceeds
Option Al: The Client pays a 7.5 %* fee which will be reduced according to the "Tiered. Fee
Reduction Schedule (described below). GovDeals will invoice the client each month for fees on
items sold in the previous month. The client is allowed thirty (30) calendar days from date of
invoice receipt to remit payment.
Option A2: The Client pays a 7.5 %n* fee but is given the capability to easily pass the entire fee on
to the winning bidder as an Administrative Fee. The client is only allowed to pass on to the
winning bidder the amount charged to therm based on the tiered pricing schedule above. The
amount invoiced to the winning bidder will include the gross sale amount of the item, the
administrative fee, any special fees and sales taxes, if any. By passing this fee on to the winning
bidder, the client's effective fee is zero percent (0 1/o). GovDeals will invoice the client each month
for fees on items sold in the previous month. The client is allowed thirty (30) calendar days from
date of invoice receipt to remit payment.
B Client Elects GovDeals Financial Settlement Services (FSS) allowing GovDeals to Collect
Proceeds. only one option below can be used and once this option is chosen, it cannot be
changed for twelve (12) months.
Option Bl: The Client pays a 7.5 %* fee and the winning bidder pays a 5% Buyers Premium. **
Option 732: The Client pays a 5 %* fee and the winning bidder pays a 7.5% Buyers Premium.
Option B3: The Client pays a 2.5 %* fee and the winning bidder pays a 1.0% Buyers Premium..
Option 104: The Client pays zero percent fees (0 %) and the winning bidder pays a 12.50% Buyers
Premium.
Tiered Fee Reduction Schedule
GovDeals' Tiered Fee Reduction Schedule below explains how the base auction fee of 7.5% is
reduced for assets that sell in excess of $100,000 on www.govdeakeom..
When an asset sells for up to $100,000 in a winning bid, the GovDeals fee is seven and one-
half percent (7.5%*) of the winning bid„ but not less than $5.00.
Where an asset sells for more than $100,000, but less than $500,000 the GovDeals fee is seven and
one -half percent (7.5 %) of the winning bid up to $100,000, plus five and one -half percent (5.5 %)
of the winning bid for auction proceeds in excess of $100,000 up to $500,000.
Where an asset sells for greater than $500,000 the GovDeals fee is seven and one -half percent
(7.5 %) of the first $100,000 of the winning bid, plus a fee of five and one -half percent (5.5 %) of
the next $400,000 of the winning bid, plus a fee of three and one -half percent (3,50/o) of the bid
amount in excess of $500,000.
*subject to a minimum per asset /lot fee of $5.00.
* *If the Client chooses to pay the full 7.5 % fee, they will have access to the Tiered Fee Reduction
Schedule.
GovDeals Memo of Understanding — V2 8 -10- 10 — SAMPLE -
EXHIBIT B - Online Auction Memo of Undeastanding
Financial Settlement Services (FSS)
It is understood the Client elects GovDeals to collect all proceeds due the Client from the winning bidder
and remit the proceeds to the Client less the GovDeals fee. Optionally, the Client may elect to not have
GovDeals withhold the fee by electing the appropriate section on the following page of this exhibit.
GovDeals will charge the winning bidder a "Buyer's Premium ", therefore, the Client is not allowed to charge
the winning bidder an additional "Buyer's Premium ".
GovDeals will collect all proceeds from the winning bidder, including the "Buyer's Premium" through PayPal,
credit card or wire transfer, This is the only means of payment by the bidder,
The Client will not release an asset to the winning bidder until the Client has received verification from
GovDeals that payment has been received from the winning bidder. Prior to an item being released to the
winning bidder, the Client will ensure the winning bidder or his /her agent has signed a 'Bill of Sale'
containing the following notation: "Asset is sold as is, where is and without warranty. Once the asset is
removed from the seller's premises there is no refund of monies previously paid ". The Bill of Sale must be
printed from the Client Asset Server (CAS). Any other "Bill of Sale" used by the Client must be submitted to
GovDeals for approval.
No proceeds will be remitted to the Client for any asset sold without verification of payment from GovDeals
and verification from the Client the item has been picked up by the winning bidder. Approved payment from
the winning bidder through PayPal, credit card or wire transfer will be noted in CAS. It is the Client's
responsibility to notify GovDeals when an item has been picked up, which is accomplished by the Client
accessing CAS and selecting the "Picked Up" option from the "Paid, not picked up" report.
GovDeals will remit all proceeds collected, less the ".Buyer's Premium" and the GovDeals fee to the Client
on a weekly basis for all assets marked in CAS as'Picked Up'. However, if you choose to be invoiced for
the GovDeals' fee, GovDeals will remit all proceeds collected, less the "Buyer's Premium" only. All proceeds
will be remitted electronically by Automatic Clearing House (ACH) unless elected on the following page of
this exhibit to receive a paper check. Whether proceeds are remitted electronically via ACH or via paper
check, a detailed backup will be submitted to the Client to support the amount remitted.
Under no circumstance will the Client collect any proceeds directly from the winning bidder and if requested
to do so, the Client should refer the winning bidder directly to GovDeals for payment instructions.
GovDeals will absorb all costs of Charge Backs by PayPal or a credit card company where an item is
released to the winning bidder after the Client receives proper payment notification from GovDeals;
GovDeals receives proper pickup notification from the Client and the Client obtained and retained a signed
"Bill of Sale" from the winning bidder.
GovDeals will refund proceeds collected to the winning bidder in those rare occasions where the winning
bidder pays for an asset but never picks it up and subsequently convinces PayPal or the credit card
company to withdraw the amount from GovDeals' bank account. It is the Client's responsibility to request a
credit on the asset paid for but not picked up as soon as the allowable pick up time passes. By taking the
credit, it insures GovDeals will not charge the Client a fee and will allow the Client to resell the asset. If the
asset is mistakenly placed in 'picked up' status by the Client and GovDeals has remitted payment, the
Client agrees to refund this amount back to GovDeals.
A GovDeals' Client Services Representative or a GovDeals Help Desk Representative will train the Client
on how to effectively use the Financial Settlement Services feature and provide ongoing support as needed.
There are no additional costs to the Client for training and support.
GovDeals is covered by a Crime Insurance Policy with a limit of $5,000,000, which will protect the Client
against any loss of funds.
GovDeals Memo of Understanding— V2 8 -10 -10 — SAMPLE - 4
Financial Settlement Services (ESS) Election and Information
Please complete payment instructions below:
Ifciient,elects FSS; thissection must be completed when sUbmitting the signed Mou back to GovDeals:
Accounting Contact:
(Person to receive checks and invoices) Name and Title
E -Mail .Address:
Phone Number:
If payment will be made. by ACH, please provide the follovAng information:
on
Account Number
If payment will be made by paper check, please provide the following information:
Make check payable to:
Client's Legal Name
Mail check to:
Street Address / P.O. Box Number
City; State and Zip Code
Y.--� Please check here only if Client elects to NOT allow GovDeals to deduct the GovDeals fees from proceeds
due the client.
GovDeals Menlo of Understanding— V2 8 -10 -10 —SAMPLE -
EXHIBIT Online Auction Memo of
q
.'
C�tAt�xe
Online Sales - Terms and Conditions
All bidders and other participants of this service agree they have read and fully understand
these terns and agree to be bound thereby.
Guaranty Waiver. All assets are offered for sale "AS IS, WHE' RE, IS _Ghent Naive
(Seller) makes no warranty, guaranty or representation of any kind, expressed or implied, as to the
merchantability or fitness for any purpose of the property offered for sale. The Buyer is not
entitled to any payment for loss of profit or any other money damages — special, direct, indirect or
consequential.
Description Warranty. Seller warrants to the Buyer the property offered for sale will conform to
its description. Any claim for misdescription must be made prior to removal of the property. If
Seller confirms the property does not conform to The description, Seiler will keep the property and
refund any money paid. The liability of the Seller shall not exceed the actual purchase price of the
property. Please note upon removal of the property, all sales are final.
Personal and property risk. Persons attending during exhibition; sale or removal of goods
assume all risks of damage of or toss to person and property and specifically release the seller and
GovDeals from liability therefore.
Inspection. Most assets offered for sale are used and may contain defects not immediately
detectable. Bidders may inspect the property prior to biddine. Bidders must adhere to the
inspection dates and times indicated in the asset description. See special instructions on each asset
page for inspection details.
Consideration of Bid. Seller reserves the right to reject any and all bids and to withdraw from
sale any of the assets listed.
Buyer's Certificate. Successful bidders will receive a Buyer's Certificate by email from
GovDeals.
GovDeals Memo of Understanding — V2 8 -10 -10 — SAMPLE -
Buyers Premium. If a Buyers Premium is shown on the auction page bidder box, then that
amount (expressed as a percentage of the final selling price) will be added to the final
selling price of all items in addition to any taxes imposed.
Payment. Payment in full is due not later than 5 business days from the time and date of the
Buyers Certificate. Payment must be made electronically through the GovDeals Website.
Acceptable forms of payment are:
• PayPa)
• Wire Transfer
• Visa
• MasterCard
• American Express
• Discover
PayPa) and Credit Card purchases are limited to below $5,000.00. If the winning bid plus
applicable taxes, if any indicated, and the buyer's premium, equals more than $4,999.99, PayPal
and Credit Cards may not be used. If Wire Transfer is chosen, a Wire Transfer Transaction
Summary page will provide payment and account information. The Wire Transfer must be
completed within 5 days.
*The next section is used if the client collects the proceeds and may be modified to reflect
exact forms of payment accepted by the client. The Buyers Premium and Payment section
(above) is used only when GovDeals collects proceeds,
Payment. Payment in full is due no later than rive (5) business days from the time and date of
the Buyer's Certificate; Acceptable forms oayment are:
• U.S. Currency
• Certified Cashiers Check
• Money Order
• Company Check (with Bank Letter guaranteeing funds — mandatory)
_Gent i�Iauie�. Payments shall be made at the location
Checks shall be made payable to
listed in the Buyer's Certificate.
Removal. All assets must be removed within ten (10) business days from the time and date of
issuance of the Buyer's Certificate. Purchases will be released only upon receipt of payment as
specified. Successful bidders are responsible for loading and removal of any and all property
awarded to them from the place where the property is located as indicated on the website and in
the Buyer's Certificate. The Buyer will make all arrangements and perform all work necessary,
including packing, loading and transportation of the property. Under no circumstances will Seller
assume responsibility for packing, loading or shipping. See special instructions on each asset page
for removal details. A daily storage fee of $10.00 may be charged for any item not removed within
the ten (10) business days allowed and stated on the Buyer's Certificate.
Vehicle Titles. Seller will issue a title or certificate upon receipt of payment; Titles may be
subject to restrictions as indicated in the asset description on the website.
GovDeals Memo of Understanding— V2 8 -10 -10 —SAMPLE -
Default. Default shall include (1) failure to observe these terms and conditions; (2) failure to
make good and timely payment; or (3) failure to remove all assets within the specified time.
Default may result in termination of the contract and suspension from participation in all future
sales until the default has been cured. If the Buyer fails, in the performance of their obligations,
Seller may exercise such rights and may pursue such remedies as are provided by law. Seller
reserves the right to reclaim and resell all items not removed by the specified removal date.
Acceptance of Terms and Conditions. By submitting a bid, the bidder agrees they have read,
fully understand and accept these Terms and Conditions, and agree to pay for and remove the
property, by the dates and times specified. nese Terms and Conditions are displayed at the top of
•�r
State /Local Sales andlor Use Tax. Buyers may be subject to payment of State and /or local sales
and /or use tax. Buyers are responsible for contacting seller or the appropriate tax office,
completing any forms and paying any taxes that may be imposed.
Sales to Employees. Employees of the Seller may bid on the property listed for auction, so long
as they do NOT bid while on duty. (This may be modified to not allow employees to bid.)
GovDeals Memo of Understanding — V2 8-10-10— SAMPLE
Why do Florida governments utilize GovDeals?
GovDeals is a highly efficient, proven system that produces higher prices for clients.
Other Florida governments are using GovDeals with great success.
2) Bartow, FL
41) Monticello
3) Belle Glade
42) Naples
4) Belleau
43) Neptune Beach
5) Belleview
44) North Miami Beach
6) Brooksville
45) North Port
7) Callaway
46) Ocala
8) Cape Coral
47) Oldsmar
9) City of Lake Mary, FL
48) Ormond Beach
10) Clearwater
49) Palatka
11) Clermont
50) Palm Bay
12) Cocoa
51) Palm Coast
13) Delray Beach
52) Pensacola
14) Deltona
53) Pinellas Park
15) Dunedin
54) Plantation
16) Fernandina Beach
55) Punta Gorda
17) Florida League of Cities
56) Safety Harbor
18) Fort Pierce
57) Sanibel
19) Fort Walton Beach
58) Sebring
20) Freeport
59) Shalimar
21) Gretna
60) St. Augustine
22) Groveland
61) St. Cloud
23) Gulfport
62) St. Pete Beach
24) Hallandale Beach
63) St. Petersburg
25) Hawthorne
64) Sunny Isles Beach
26) Holly Hill
65) Sweetwater
27) Indian Rocks Beach
66) Tallahassee
28) Isiamorada Village of Islands
67) Tamarac
29) Lady Lake.
68) Tampa
30) Lake Alfred
69) Tarpon Springs
31) Lake City
70) Tavares
32) Lake Placid
71) Temple Terrace
33) Leesburg
72) Trenton
34) Madeira Beach
73) Valparaiso
35) Madison
74) Vernon
36) Melbourne
75) Wilton Manors
37) Mexico Beach
76) Winter Park
38) Miami Shores Village
77) Zolfo Springs
39) Milton
2) Chadolte County
9) Leon County Board of County Commissioners
3) Citrus County Board of County Commissioners
10) Marion County Board of County Commissioners
4) Collier County Board of Commissioners
11) Martin County
5) DeSoto County
12) Pinellas County Board of Commissioners
6) Hendry County Board of County Commissioners
13) Polk County Board of Commissioners, FL
7) Highlands County Board of County Commissioners (HCSCC)
2) USPS Sarasota 5) USPS Tampa P &DC
3) USPS South Florida District
2) Delray Beach Fire Department 5) Pinellas Suncoast Fire and Rescue District
3) Englewood Area Fire Control District
2) Lively Technical Center 5) University of Central Florida
3) St. Johns River Community College
1) District School Board or Vasco Uou
2) Hillsborough County School District
3) Lee County School District
4) Leon County School Board
5) Martin County Schools
6) Pinellas County Schools
2) Collier County Sheriffs Office, FL
3) Eatonville Police Department
Al Pscamhia County Sheriff
8) School Board of Alachua County
9) School Board of Indian River County
10) School Board of Polk County
11) The School Board of Osceola County
7) Oak Hill Police Department
8) Pinellas County Sheriff
9) Walton County Sheriffs Office
2) Lakeland Area Mass Transit District c) sarasma- rvimia.cc nu'�' ,'—.-.,y
3) Lee County Port Authority 6) South Florida Regional Transportation Authority
2) Englewood Water District
3) Okaloosa Gas District
5) South Florida Water Management District
6) Tampa Bay Water
FPO - Flexible Pricing Options talking points
Since 1999 GovDeals has offered the same 7.5% fee to its clients and remains strongly committed to this
pricing today. This consistent and transparent pricing allows clients to choose GovDeals knowing they have
the best rate available. The 7.5% fee allows GovDeals to provide difference - making services that produce
the time proven best results, NET of fee, when compared to any other company or method of disposition. In
2004 GovDeals began reducing the 7.5% fee charged when an individual item sold for more than $100,000,
thus providing an instant discount on such items.
In November 2008 GovDeals introduced Financial Settlement Services (FSS). This is an optional service
where the buyer pays GovDeals by credit card or wire transfer with a 5 % premium charged to the buyer.
GovDeals remits the winning bid amount and any taxes charged to the seller. At the seller's option,
GovDeals can withhold its 7.5% fee when remitting. The vast majority of our new clients elect to use FSS
and have their fees withheld, reducing the client's expense of approving and remitting fees back to
GovDeals.
Some sellers choose or would like the option to pass fees on to the buyer to reduce or totally offset our fee.
Before now, GovDeals did not provide a method for our system to support this, therefore our sellers had to
collect such fees from buyers outside the transparency and all important audit trail built into the GovDeals
system.
We now have system features in place to facilitate and manage distribution of our 7.5% fee, with or without
the 5% FSS buyer premium, between you as seller and the winning bidder. Based on your choice, this will
result in your fee being from 0 to 7.5% with your buyer paying from 0 to 12 „5 %0. Bidders will clearly see any
fees that will be added to a winning bid amount. Of course, any applicable taxes will also be displayed.
f ,,cexls setter Pee- Admin Pee /Guyer Premium btstribution OPBons
P
2. wa. Ndsr M Fee Ctpttads - 7.R °le tetat fca or edMtpistratiue fee
Winning bidders have paid a 5% Buyer Premium for FSS transactions with little or no apparent reduction in
net auction results since we introduced the FSS program in November 2008. We believe there are positive
factors at play here: many buyers enjoy the convenience of paying online; GovDeals attracts a large
targeted, focused bidder base that recognizes the value in the items sold on the site; and, the highly
competitive end of auction activity GovDeals generates and promotes bidding above and beyond
competitive results elsewhere. Therefore, when evaluating comparative solutions, it remains critical that you
continue to focus on the net funds flowing back into your entity's account, as well as consider the costs
associated with factors such as high bidder default rates. Subjectively, one might expect that bidders may
take any buyer premium amount into account when bidding to win your items on GovDeals. Given the
positive effect of the remarkably competitive bidder climate we continue to create, your results should remain
far ahead of any other solution. GovDeals will continue to deliver the absolute best net results for your
surplus and confiscated item sales, regardless of fee and fee structure. So, no matter how you distribute
your surplus program's fees, the most important decision you make will to be to choose GovDeals.
Page I of I
Riverol, Alfredo
From: customerservice @gov - auctions.org
Sent: Sunday, February 06, 2011 10:53 AM
To: Riverol, Alfredo
Subject: Reply From Gov - Auctions
Hello Alfredo,
Thank you for contacting Gov - Auctions.org - the #1 US Government Car Auction Service.
The nature of our product is such that telephone support is not necessary, nor offered. Our product is a
fully electronic, web based information service. Our focus is on making sure that our quality product is
always deliverable and accessible online. We find that our customers, who are online themselves by
necessity, are very happy with, and prefer, the quality of customer support we offer online.
Please let me explain our service. A membership with Gov - Auctions.org gives you access to details of
more than 4,000 live Government and public auctions across the US, NOT searchable elsewhere on the
Web. The information we offer will save you many hours of research in locating reputable'offline /live" and
"online" Government related auctions relevant to and available in your area. As a Member you have
access to specific locations, times and contact details for all the auctions in our directory.
Our directory also provides a large number of online Government related vehicle auctions as well as
online Federal auto auctions, ALL accessible via direct links in our Member's Area. These online auctions
usually display all their current vehicle listings /cars online and show where these vehicles are located.
These listings are usually searchable by manufacturer and state.
A membership with Gov - Auctions.org is valid for two (2) full years, or is unlimited if you purchase our
Smart Lifetime membership. Importantly, you will never be rebilled as membership is a one -time fee only
(i.e. no subscription).
We offer free value packed auction tutorials at www .gov- auctions.org /tutorial.php. This will provide you
with a thorough understanding of what to expect from our service, how the auction process works and
how to proceed with confidence in securing the best deal at any vehicle auction of your choice. We highly
recommend that you view these tutorials.
We also provide fast and friendly customer service 7 days per week.
To register as a member with our site simply follow the quick registration process at the bottom of
www.aov- auctions.orq /loin. php.
Please contact us again via email should you have any further questions
Kind regards,
Michelle
Member Services
Gov - auctions.org
YOUR QUESTION: Evening, we are a small municipality in Miami -Dade, can you please contact
me so that we may discuss the services provided by your company.We are looking to begin
using online auctions and we would like to discuss pricing and procedure. My number is 305-
663- 6343.Thank you
3/18/2011
Page 1 of 1
Riverol, Alfredo
From: Fred Hogan [fredh @thepublicgroup.comj
Sent: Monday, February 07, 2011 9:48 AM
To: Riverol, Alfredo
Subject: Public Surplus Information
Attachments: Public Surplus Basic lnformation(FH).pdf; ATT00001..htm
Alfredo,
I have attached a brief document for you that highlights the features of our service and gives
basic information on pricing and everything. We also have a 30 minute webinar demo that we
do for agencies every week day at 11:00 and 3:00 which is well worth the time as we do a
demonstration o f the system and answer any questions that you have.
The good thing about Public Surplus is that the 7% fee is paid for by the buyer in the form of
buyers premium. We also offer a collection service (we accept credit cards) which we add to the
premium and make it a total of 10 %. The agency never has to pay any listing fees or other fees
of any kind. We have a large buyers base with hundreds of thousands of registered buyers. We
have a buyer contact department that can help promote interest in your auctions. When you see
the demo, we will talk about all of these things and the best features of our site. It truly is the
easiest system to use and gives you a 7 year audit on all of your auctions.
I have been talking to Miami Dade County about at least trying some items Public Surplus on a
pilot basis. They already have their own website and it does well for them because you have a
big population in the area. If they try out Public Surplus on some items, they will even better
because of the large amount of buyers we have, nationwide and even outside of the US.
Some other agencies near you that are using Public Surplus include Margate, Green Acres, New
Smyrna Beach, and the utility authority for New Smyrna Beach, Keys Energy and Sarasota
County.
I will be glad to invite you and anyone on your team to the demo. My contact information is
below. Feel free to call or email me any time.
Regards,
Fred Hogan
The Public Group
PH: 1-800-591-5546 x155
Fax:1-800- 932 -7001
fredh2thepublicgroup.com
3/18/2011
2326 Addison Lane John's Creek GA 30005 800 -591 -5546 x155
PtIblic I Surplus4
Thank you for your interest in Public Surplus. Over the past 10 years, our online auction system has helped thousands of
public agencies realize tremendous success in selling their surplus online. As the leader in this industry we invite you to
learn more about us. When reviewing the best methods of surplus disposal, Public Surplus deserves your consideration.
1. Significant revenue increase: By listing on Public Surplus, you give your community instant access to your
auctions and also reach many more across the country. Additionally, our strong buyer base and aggressive Buyer
Contact Department can give your auctions national attention. These and other factors explain why our users are
generating 30 -60% more net revenue over any other surplus disposal system.
2. 7 -year audit trails: Everything that happens on our site is automatically recorded and saved for 7 years. We give
you the ability to instantly download and print a variety of reports for audit purposes. This feature is especially
critical today in light of heightened homeland security threats, to track whom is purchasing your surplus.
3. Extendable auction feature: Our unique extendable auction feature significantly increases the revenue on your
surplus sales. As long as there is bidding activity, your auction will extend for 5 minutes indefinitely. This feature
makes Public Surplus one of the only true online auctions and assures compliance with state, local, and federal
regulations.
4. Compliance with state, local, and federal regulations: Everything about our system is designed to keep public
agencies in compliance with surplus disposal regulations. This includes free internal reallocation, 7 -year audit
trails, a hold harmless clause, and extendable auctions. Having worked with the public sector for the past 8 years,
we offer vast experience in successful surplus management and disposal.
5. Free registration, listing, or re- listing: Our goal is to make you successful. We make no exaggerated claims,
require no contracts, and have no hidden fees. We are successful only when our system and service are better than
any alternative available to you. To register as a seller with us, simply go to http:Hwelcome.publicsurolus.com.
6. Comprehensive surplus management system: Public Surplus is a comprehensive system to help you organize,
automate, and manage your entire surplus inventory operations. We have significantly streamlined the process for
you, to reduce the hassle required selling surplus. Listing an auction takes only 2 -3 minutes. Our users
consistently comment on how easy -to -use our system is.
7. No commitments required: The only way to really seethe success of the system is to try it out. In that vein we
require no contracts or commitments and charge you nothing unless your surplus sells. Public Surplus continually
strives to be the best auction venue available and is dedicated to helping you succeed in selling your surplus.
I invite you to explore the benefits of our online system through a free, 30- minute online presentation. This presentation
will take you behind the scenes to learn about our service and system. I will be contacting you soon to see if you have any
questions and when you would like to view one of our free online seminars. Thanks again for your time and I look
forward to discussing this with you in the near future.
Fred Hogan
South East Sales Rep.
The Public Group
800 -591 -5546 x155
fredhna the publiceroup.corn
'. if=
Frequently Asked Questions
1. Are Internet auctions legal?
Yes. In fact, online auctions are often the most legal method for public agencies to sell surplus. Because Public
Surplus reaches more people in your community, you have greater community involvement, which increases your
revenue. Our system also offers all of the critical components of a public auction including extendable auctions
(ensuring a "true" auction), equal access, full disclosure, and surplus hacking tools.
2. How much does your system cost?
Everything about our system is free to the seller. Not only can you register and list for free, but we provide all the
tools needed for successful surplus operations, including internal reallocation, 7 year audit trails, picture uploads,
training, and support. Once an item sells, your buyer will pay a 10% premium.
3. How do I get started?
Registration is simple and only takes a few minutes. Go to httro ://welcome.publicsurplus.com to set up an
account. You will be contacted by your support representative who will train you on the system and help you
begin listing.
4. Who can buy and sell on Public Surplus?
Only public agencies can sell on our site, although anybody can register as a buyer. This establishes an exclusive
and legal setting for public auctions while inviting a large buyer base to bid on your surplus.
5. What can I sell on your site?
You will have the most success on our site in selling vehicles, heavy equipment, and specialty items. However,
Public Surplus has and can facilitate the sale of just about anything imaginable.
6. Can I set a minimum bid or a reserve price?
Yes. Both a minimum bid and reserve price are available to you. We also bring you expert advice and training on
how to ensure success in listing and selling on Public Surplus. Although we cannot control the market, we can
bring the best market price to you through our vast buyer base. Our objective is to help you be successful.
7. How often /how much am I required to sell on your site?
We do not require you to sell a certain quota of surplus on our site. We also do not require contracts. One of the
major advantages to selling with us is that you can list surplus whenever it becomes available. This has been a
successful model from the state level all the way down to the smallest county or school district.
8. Do I have to ship my item?
No. In fact, we encourage agencies to leave the item on site and have the buyer arrange to pick it up.
9. Who handles payment?
Public Surplus handles all payments for your agency. We make it easy for the buyers to pay for your items via
credit card and wire transfers. We take the stress out of payment collections. We even remind the buyers of the
deadlines for making payment and mark them default and offer it to the next highest bidder automatically if they
should not come through.
10. Is there a contract in place that we can use?
Yes. I£ your agency sells enough surplus on our site to require an agreement, we have national piggyback able
contracts available to you. Each of these national contracts results from an extensive RFP processes. Additionally,
we can provide you with a scope of work agreement to simplify your procurement process.
11. Who is using your service?
We have over 2000 public agencies that actively list on Public Surplus. You are welcome to visit our website at
http://www.publicsurplus.com to see who is currently listing surplus in your area. We work with states,
counties, cities, school districts, educational institutions, and many other types of agencies and have helped them
realize tremendous success in selling surplus. The next few pages contain references of public agencies who list
on our site. Please feel free to contact them and inquire about their experience with Public Surplus.
MIAMI DAILY BUSINESS REVIEW
Published Daily except Saturday, Sunday and
Legal Holidays
Miami, Miami -Dade County, Florida
STATE OF FLORIDA
COUNTY OF MIAMI -DADE:
Before the undersigned authority personally appeared
V. PEREZ, who on oath says that he or she is the
LEGAL CLERK, Legal Notices of the Miami Daily Business
Review f /k/a Miami Review, a daily (except Saturday, Sunday
and Legal Holidays) newspaper, published at Miami in Miami -Dade
County, Florida; that the attached copy of advertisement,
being a Legal Advertisement of Notice in the matter of
CITY OF SOUTH MIAMI
PUBLIC HEARING & DATE CHANGE - APRIL 4, 2011
in the XXXX Court,
was published in said newspaper in the issues of
03/25/2011
Affiant further says that the said Miami Daily Business
Review is a newspaper published at Miami in said Miami -Dade
County, Florida and that the said newspaper has
heretofore been continuously published in said Miami -Dade County,
Florida, each day (except Saturday, Sunday and Legal Holidays)
and has been entered as second class mail matter at the post
office in Miami in said Miami -Dade County, Florida, for a
period of one year next preceding the first publication of the
attached copy of advertisement; and affiant further says that he or
she has neither paid nor promised any person, firm or corporation
any discount, rebate, commission or refund for the purpose
of securing this adver iseme r publication in the said
newspaper. ,71
Sworn to and subscribed before me this
25 dayo MARCH ,A.D. 2011'_
(SEAL)
V. PEREZ personally known to me
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CITY MSOUTN'MIAN�1
NOTICE OFPUBLIC` , ING'
AND DATE GNANOE "
NOTICE IS HEREBY given that the City Commission of the City of South
Miami, Florida will conduct Public Hearings at its esgularCity Commission
meeting scheduled for MondaJ Aorff 4.2011-. beginning°at 7:30 p.m., in
the City Commission Chambers, 6130 Sunset Drive, to consider the fok'
lowing item(s):
A Resolution of the Mayorand City Commission of the City of South
Miami, relating to a requestpursuant to Section 20 4A(J) of the Land
and providing an effective date.f s -
An Ordinance of the Mayor and City Commission of the.City of South
Amt i Phnm. amandina the Land Deis 106ment 1 Ce to place in
Boartl Establishment and Membership' in order to require that one
member be a licensed affomey;'and by creating now Article. XI,
Historic Preservation Regulations" including: Section, 20 -11,1 to be
.,...:eww .u,. «:,.. o:e�nm�ei�o-:Rranrlards "• Section 20 -11.2 to be
M
A Ordinance of the Mayor and the City Commission`.of the City,n%
South Miami, Florida amentlmg1 0', vision PIar1 p)gvidmg foriatj�
amendment of Sec 16- 37:Powars of Board provtdmgfor severab�iity;:
conflict and an effective date.
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager, to execute a contract
agreement with PropertyRoom.com, Inc for auctioning of surplus
municipal p7operty; andprovidmg fOr an;effecbve date `q
A Resolution,of the Mayor and City Commission of the City of South
Miami; Fionda, relating to contracts; authorizing the City Manager to
execute an, inter -Ipedi �Agreemehf6etween Miami -Dade County;
Miami -Dade Police Department, and the City Of -South Miami for
' School Crossing Guard Services in FY 201111/2012; providing for an
effective date. -
A Resolution of the Mayor and City Commission of the City of South
Miami,. Florida, authorising "4he'Cify Manager to execute `a
multi- annual service agreement with MacMillan Oil. Company of
Florida, Inc, for in'e purchase and delivery of'66lk fuel gasoline anc
diesel for the CIty's:behicie IOWA eat and �egwpment in the amount of
$110,111.00; to be charged to Departmental Fuel Account'Numbere
001 -1320- 513 - 5230, 001- 1340 -513- 5230, 001 -1640. 524 -5230, 001
1910 -521 -5230 and 001 - 2000 -572 -5230; providing, for an effective
date.
ALL interested . parties are invited to attend and will be heard.
For further mfornJation pTeasg contact the City Clerk's Office-aLi
305- 663 6340 ., .. _ ..
Maria M. Menendez, CMC
City Clerk
Pursuant to Florida Statutes 266,0105,. the City hereby advises the public!
that if a person decides to appeal any decision made by this Board,!
Agency or Commission, with respect Jo any matter considered at its
meeting or hearing, he or she will need a record of the proceedings, and,
that for such purpose; affected person may need to ensure that a verbatim'
record of the proceedings . is made which record includes the testimony
and evidence upon which the appeal is to be based. -
3/25, 1 . ".11- 3- 130/1671473M
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