March (pdf) - New York Power Authority

March 29, 2011
SUMMARY
f. Annual Review and Approval of Guidelines
and Procedures for and Annual Report of
the Disposal of Personal Property
The President and Chief Executive Officer submitted the following report:
“The Trustees are requested to review and approve the Guidelines and Procedures for the Disposal of
Personal Property (‘Personal Property Guidelines’), which address the disposal of Authority-owned materials, tools,
equipment and vehicles with a value in excess of $5,000, in compliance with the Public Authorities Accountability
Act (‘PAAA’) of 2005 and the Public Authorities Law (‘PAL’), as set forth in Exhibit ‘1f-A’ and attached hereto.
The Trustees are also requested to review and approve the 2010 Annual Report of the Disposal of Personal Property,
as set forth in Exhibit ‘1f-A-1’ and attached hereto.
BACKGROUND
“On January 13, 2006, Governor Pataki signed the PAAA into law, codifying the Model Governance
Principles established for public authorities in 2004 by the Governor’s Advisory Committee on Authority
Governance. Among its provisions, the PAAA established rules for the disposal of public authority personal
property. The law also required each authority to draft guidelines consistent with the legislation dealing with these
issues, to review and approve such guidelines annually and to prepare an annual report of the disposal of personal
property (including the full description, name of the purchaser and price received for all such property disposed of
by the authority during such period). Such Guidelines were initially approved by the Trustees at their meeting of
March 28, 2006 and have been reviewed annually and amended as deemed advisable and necessary since then.
“Chapter 506 of the Laws of 2009 made substantial amendments to the PAL, including changes to certain
procedures governing the disposal of personal property that were incorporated in the Authority’s Personal Property
Guidelines. Such Guidelines, as last amended and presented to the Authority’s Governance Committee on February
23, 2010, were reviewed and approved by the full Board of Trustees at their meeting of the same date.
DISCUSSION
“The Personal Property Guidelines set forth the methodology detailing the Authority’s policy regarding the
use, award, monitoring and reporting of contracts for the disposal of personal property and designate a Contracting
Officer responsible for the Authority’s compliance with, and enforcement of, such Guidelines.
“Staff has reviewed the Personal Property Guidelines and recommends additional changes to make them
more consistent with the law, to clarify or improve the Authority’s disposal process, and also to reflect titular or
organizational changes in the Authority. The most significant of such changes, as reviewed by the Governance
Committee on March 14, 2011, are highlighted below:
Changes the designated title of the Contracting Officer to account for organizational changes, as more fully
described in II.A and revised throughout the document, and of the Director – Site Purchasing & Materials
Management as set forth in V.B and changed throughout the document.
Modifies the procedure for disposal of Property from soliciting proposals from ‘at least three’ bidders to
‘qualified’ bidders to reflect realistic market conditions while still encouraging full and adequate
competition, as more fully set forth in Article VI.
Clarifies that the methods by which all bids shall be publicly disclosed include posting to the Authority’s
internet website to formalize current Authority practice, as further set forth in VI.A.3.c.
Expands on and clarifies disposal options where no bids or no acceptable bids are received by the
Authority, as further described in VI.B.
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