HomeMy WebLinkAboutPR 24962 CONTRACT WITH RENE BATER AUCTIONEERS F
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INTEROFFICE MEMORANDUM
Office of the Finance Department
Date: July 26,2026
To: The Honorable Mayor and City Council
Through: Ronald Burton, CPM, City Manager
From: Clifton Williams, Purchasing Manager
RE: PR 24962 Authorization for City Manager to enter into a Contract with Rene Bates,
Auctioneers,to conduct online auctions.
Nature of the request:
The Purchasing Division requests City Council approval to authorize the City Manager to execute a
contract with Rene Bates Auctioneers, Inc., of McKinney, Texas, through BuyBoard Cooperative
Contract No.708-23,to provide online auction services on an as-needed basis for the sale of surplus City
property.
The City periodically accumulates personal property, including office furniture, computers, office
equipment, vehicles, equipment, and heavy equipment, that has become surplus, obsolete, non-
functional, or no longer necessary for municipal operations. Utilizing an online auction platform
provides the City with an efficient and transparent method of disposing of surplus property while
maximizing public exposure and competitive bidding opportunities. Online auctions are accessible
twenty-four (24) hours per day, seven (7) days per week, and allow prospective bidders to preview
available property for an extended period prior to the auction closing, thereby increasing the likelihood
of obtaining fair market value for the property.
Rene Bates Auctioneers, Inc. will conduct online auctions at the City's request in accordance with the
terms and conditions of BuyBoard Cooperative Contract No. 708-23. As outlined in Exhibit "A" to the
contract, the auctioneer will market the surplus property, conduct the online auction, collect payment
from successful bidders, and remit the appropriate proceeds to the City's designated representative after
deducting only those fees authorized under the contract.
Approval of this contract does not authorize the sale of any specific City property. Pursuant to the City
Charter and applicable law, all City-owned property proposed for disposition must first be declared
surplus and approved by the City Council through the adoption of an ordinance before being offered for
sale through the online auction process.
Recommendation:
The City has previously authorized participation in the BuyBoard Cooperative Purchasing Program
through Resolution No. 02-341. Utilizing this cooperative purchasing contract satisfies applicable
procurement requirements and provides the City with a competitively procured auction services
provider.
Budget Consideration:
The agreement provides these services at no direct cost to the City,with compensation derived from
the auction transactions as provided in the contract.
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P.R. NO.24962
07/26/2026 CEW-TNR
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO ENTER INTO A CONTRACT WITH RENE BATES
AUCTIONEERS, INC. OF MCKINNEY, TEXAS,
THROUGH BUYBOARD CONTRACT 708-23 TO
PROVIDE ONLINE AUCTION SERVICES ON AN AS-
NEEDED BASIS FOR THE SALE OF SURPLUS CITY
PROPERTY, INCLUDING FURNITURE, MINOR
EQUIPMENT, VEHICLES, EQUIPMENT, AND HEAVY
EQUIPMENT,AT NO DIRECT COST TO THE CITY
WHEREAS, the City of Port Arthur periodically identifies personal property, including
furniture, office equipment, computers, vehicles, equipment, and heavy equipment, that has become
surplus, obsolete,worn, or no longer needed for municipal purposes; and
WHEREAS,the Purchasing Division has recommended that the City utilize the services of Rene
Bates Auctioneers, Inc., of McKinney, Texas, through BuyBoard Cooperative Contract No. 708-23, to
conduct online auctions on an as-needed basis for the sale of surplus City property; and
WHEREAS, pursuant to the City Charter, surplus City-owned property proposed for sale shall
first be presented to the City Council and authorized for disposition by ordinance prior to being offered
for sale at auction; and
WHEREAS, conducting online auctions provides the City with access to a significantly larger
pool of prospective purchasers, allows property to be marketed continuously twenty-four(24)hours per
day, seven (7) days per week, and maximizes competition by permitting bidders to preview available
property for up to two (2)weeks before the auction closes; and
WHEREAS,the City Council previously authorized participation in the BuyBoard Cooperative
Purchasing Program by adopting Resolution No. 02-341, thereby permitting the City to procure goods
and services through competitively awarded cooperative purchasing contracts; and
WHEREAS, pursuant to the proposed contract and as further described in Exhibit "A," Rene
Bates Auctioneers,Inc.will conduct online auctions at the request of the City,collect purchase proceeds
from successful bidders, deduct only those fees authorized by the contract, and remit the remaining
proceeds to the City's designated representative; and
WHEREAS, the Purchasing Division recommends approval of the contract, and the City
Council finds that utilizing Rene Bates Auctioneers,Inc.is in the best interest of the City of Port Arthur.
P.R.NO. 24962
07/26/2026 CEW-TNR
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR,TEXAS:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. The City Council hereby authorizes the City Manager to execute a contract with
Rene Bates Auctioneers, Inc., of McKinney, Texas, through BuyBoard Cooperative Contract No. 708-
23, to provide online auction services on an as-needed basis for the sale of surplus City property,
including furniture,minor equipment,vehicles,equipment,and heavy equipment,at no direct cost to the
City, in substantially the form attached hereto.
Section 3. Nothing in this Resolution authorizes the sale of any specific item of City property.
Each item proposed for disposition shall be declared surplus and approved for sale by the City Council
in accordance with the requirements of the City Charter prior to being offered at auction.
Section 4. That a copy of the caption of this Resolution be spread upon the Minutes of the
City Council.
READ,ADOPTED,AND APPROVED,this day of August 2026,A.D., at a
Regular Meeting of the City Council of the City of Port Arthur, Texas by the following Vote: AYES:
Mayor:
Councilmembers:
NOES:
Charlotte M. Moses,Mayor
P.R.NO 24962
07/26/2026 CEW
PAGE 3OF3
ATTEST:
Christe Whitley Ned, City Secretary
APPROVE
Roxann Pais Cotroneo, City Attorney
APPROVED F ADMINISTRATION:
Ronald B , P ity Manager
Cliff n Williams, Purchasing Manager
APPROVED AS TO AVAILABILITY OF FUNDS:
Lynda Bo e jDirector of Finance
. - _. .... _.
"EXHIBIT A"
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PENt filliES ffllCTIONEions senotiffRame
1650 W.Virginia St.,Suite 104,McKinney,TX 75069
(972)548-9636 • www.renebates.com
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Rene Bates Auctioneers, Inc. (hereinafter referred to as RBAI) proposes to conduct Online
Auctions for the City of Port Arthur,Texas on an as needed basis under the following terms and
conditions:
Rene Bates Auctioneers, Inc:s Responsibilities:
1. Conduct online auctions for the City of Port Arthur,Texas at their request.
2. Set starting prices for each online auction item or coordinate with your designee to set
starting prices for each online auction item, if so desired.
3. Post all online auction information on www.renebates.com.
4. Conduct and monitor auction items for approximately two weeks prior to the closing
date of each online auction conducted.
5. Generate and send a minimum of two email blast notices to our entire email database
when your auction has been posted.
6. Invoice all successful bidders once your auction has closed.
7. Collect all auction proceeds including any applicable sales tax from the successful
bidder(s).
8. Generate paid receipts to the buyer with a copy to your approved distribution list.
9. Balance all auction payments received with actual sales results.
10. Remit all monies, less commission and sales tax,to your designee.
11. Remit all sales tax collected to the State of Texas Comptroller under our Texas Sales and
Use Tax Permit#17517183822 on a monthly basis.
12. Maintain all documentation for exemptions, resale certificates, and export certifications
for sales tax for the State of Texas.
13. Maintain records of all your auctions for three years.
City of Port Arthur,Texas Responsibilities:
,.-
1. Provide a list of all items to be sold and gather information on all auction items and take
digital photographs of each auction and send to RBAI.
2. Have auction contact person (Fleet Manager or designee) complete Vehicle Information
Sheets on all vehicles and heavy equipment and forward to RBAI.
3. Conduct onsite viewing of all auction items before the closing of each online auction in
order for bidders to physically inspect auction items.
4. Prepare and submit all legal advertising as required by the City of Port Arthur, Texas.
Provide a link on your website to www.renebates.com to direct potential buyers to your
auction, if so desired.
5. Transfer all titles to successful buyers after the City of Port Arthur,Texas has received an
electronic paid receipt from RBAI.
6. Oversee removal and checkout of all paid auction items.
Rene Bates Auctioneers, Inc. proposes to conduct Online Auctions for the City of Port Arthur,
Texas for a 10% Buyer's Premium to be charged to the Buyer at NO cost to the client. The
Buyer's Premium will be retained by RBAI for the services provided. These auctions will be
conducted on an as needed basis for the City of Port Arthur, Texas. This contract is being
conducted under Buyboard Contract for Auctioneer Services#708-23.
Date:4/9/2026
Sheryl Bates, President
Rene Bates Auctioneers, Inc.
Date:
City of Port Arthur,Texas
Authorized Signer*
*Any items submitted for public auction via this contract have been declared surplus through
the appropriate channels of the selling entity.
Sheryl Bates Texas Auctioneer License#15025
Michelle Bates Texas Auctioneer License#12100
All auctioneers are licensed and regulated by the Texas Department of Licensing and Regulation
and are covered by a Recovery Fund administered by the Department. Licensure with the
Department does not imply approval or endorsement by the State of Texas. If you have an
unresolved complaint it should be directed to:Texas Department of Licensing and Regulation,
P.O. Box 12157,Austin,Texas 78711, (512)463-2906,www.tdlr.texas.gov.