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STATE OF OKLAHOMA
1st Session of the 59th Legislature (2023)
COMMITTEE SUBSTITUTE
FOR ENGROSSED
SENATE BILL NO. 952 By: Kidd of the Senate
and
Sims of the House
COMMITTEE SUBSTITUTE
An Act relating to county surplus equipment; amending
19 O.S. 2021, Section 421, which relates to
disposition of certain county property to be ent ered
in minutes; raising value of certain equipment that
is entered into certain meeting minutes; amend ing 19
O.S. 2021, Section 421.1, which relates to sale of
certain county property; raising value of equipment
and adding equipment eligible to be sold or traded in
using certain procedures; and providing an effective
date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 19 O.S. 2021, Section 421, is
amended to read as follows:
Section 421. From and after the effective date of this act
After November 1, 2009, each board of county commissioners of the
several counties in the state shall within thirt y (30) days after
the disposition of a ny tools, apparatus, machine ry, and equipment
belonging to the county or leased or otherwise let to it or any
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department thereof, the original cost of which is more than Five
Hundred Dollars ($500.00) One Thousand Dollars ($1,000.00), whether
sold, exchanged, junked, leased or let where authorized by statute,
shall enter, or cause to be entered, in the minutes of the
proceedings of the board the fact of such disposition, including
complete description of ite m, serial number, the date property was
acquired, the name and address of the person or firm from whom
property was acquired, the cost price at time of acquisit ion or
contract price if acquired under lease -rental agreement, the date of
disposition, the nam e and address of the person or firm to whom
property transferred, the price received therefor and the reason f or
disposition.
SECTION 2. AMENDATORY 19 O.S. 2021, Section 421.1, is
amended to read as follows:
Section 421.1. A. The board of county commissioners is hereby
authorized to use any tools, apparatus, machinery or equipment
belonging to the county, the original cost of which ex ceeded Five
Hundred Dollars ($500.00) One Thousand Dollars ($1,000.00), as a
trade-in on a cash purchase or lease purchase of any other tools,
apparatus, machinery or equipment.
B. To establish an appraised value for an item to be sold at
public auction or traded in, the purchasing agent may refer to an
industry-recognized appraisal manua l for used construction equipment
to estimate the value of the item being sold, or obtain appraisal
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quotes from at least two vendors in the business of selling items
like the one being sold.
C. Except when such items are disposed of pursuant to
subsection E, F or I of this section, the following procedures shall
be used for the sale, by the board of county commi ssioners, of any
tools, apparatus, machinery or equipment, the original cost of which
exceeded Five Hundred Dollars ($500.00) One Thousand Dollars
($1,000.00) or any information technology hardware or software
having an original cost of Five H undred Dollars ($500.00) or more,
belonging to the county:
1. The board of county commissioners shall give notice of such
sale by publication in a newspaper of general paid circulati on in
the county for two successive weekly issues;
2. Bids for such tool s, apparatus, machinery or equipment on
sale shall be in writing, sealed and delivered to the county clerk
of such county;
3. At the next regular meeting of the board of county
commissioners after the expiration of fifteen (15) days from the
date of first publication of notice of the sale, the board of county
commissioners shall open such bids and award such tools, apparatus,
machinery or equipment to the highest and best bidder with the
option of rejecting all bids; and
4. The board of county commissione rs may hold a public auction
or use an Internet auction, which may include o nline bidding, in
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lieu of advertising for sealed bids as provided above . Such auction
shall be advertised as provided herein.
D. A board of county commissioners may sell any mate rials,
tools, apparatus, machinery or equipment to a tribal governmental
entity or state agency, if the agency is subject to the Oklahoma
Central Purchasing Act. The board of county commissioners may
purchase materials, tools, apparatus, machinery or equi pment from a
state agency, if the agency is subject to the Oklahoma Central
Purchasing Act.
E. The board of county commissioners may, by resolutio n, enter
into an agreement with any tribal governmental entity or other
county or political subdivision for t he purpose of selling,
transferring, trading or otherwise disposing of equip ment or
materials at a price agreed upon by both governing bodies.
Transactions made pursuant to this subs ection shall not be subject
to the requirements in subsection C of this s ection.
F. Advertisement of surplus property consigned to sell at a
Circuit Engineering District auction shall be provided by the
auction company under contract to conduct the sale. Advertising
shall be provided to attract the most potential buyers. Adv ertising
media may include, but not be limited to, sale flyers, newspapers,
radio, television, and Internet postings.
G. Pursuant to the authority of Section 1 of this title, boards
of county commissioners shall have authority, under such statute and
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in consideration of the procedures in this section to sell real
property belonging to the county without declaring such property
surplus under the foll owing conditions:
1. A certified appraisal of the county property shall be
performed to determine the market value of the property and accepted
by the board of county commissioners;
2. After acceptance of the certified appraisal, the board of
county commissioners shall, pursuant to the req uirements of this
section, give notice of such sale by publication in a n ewspaper of
general paid circulation in the county for two successive weekly
issues;
3. Bids for the real property shall be in writing, sealed and
delivered to the county clerk of su ch county;
4. At the next regular meeting of the board of county
commissioners after the expiration of fifteen (15) days from the
date of first publication of notice of sale, the board of county
commissioners shall open such bids;
5. A successful bid mus t be no less than the market value of
the real property to be considered by the board of county
commissioners for acceptance. The board of county co mmissioners
reserves the right to reject any and all bids;
6. If more than one bid is above the market val ue of the real
property, the board of county commissioners shall have the right to
compel the potential buyers of the real property who have bid abov e
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the market amount to enter into public auction conducted by the
chairman of the board of county commissio ners after the opening of
such bids, to establish the highest bid for the property in order to
assure that the county is receiving adequate considera tion for the
property;
7. A majority vote of the board of county commi ssioners shall
be required to determ ine the successful bidder of the real property.
Upon awarding the bid, e ither through sealed bid or by conducting a
public auction of those bidders who bid more than the market value
of the real property, the board of c ounty commissioners shall have
the right to pledge the occupied property, using an irrevocable bond
or letter of credit, as provided for in paragraph 10 of this
subsection, as collatera l in order to finance bonds to purchase
other real property or build a replacement building, or both;
8. If the sale price is less than the estimated cost of new
land purchase or construction, then said sales contract shall be
contingent upon the public a pproval of bond funding or other
authorized funding to allow the comple te payment of the contemplated
project;
9. The board of county commissioners shall have authority
pursuant to paragraphs 5 and 6 of Section 1 of this title to make
any order concerning the sale of such property contingent upon a
closing date in the future in order to continue to use said re al
property until a replacement building is completed. Upon completion
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of the replacement building, the board of county commissioners shall
execute all documents and title transfers pertaining to said real
property to the successful bidder;
10. The successful bidder shall execute an irrevocable bond or
letter of credit with a surety company or bank licensed to do
business in the State of Oklahoma and organized under the corporate
laws of the State of Oklahoma and regist ered with the Secretary of
State of Oklahoma equal to the amount of the purchase price of the
real property within fifteen (15) days of awarding of the bid.
Failure to provide either a n irrevocable bond or letter of credit in
favor of the board of county commissioners within said time
limitation shall act as a rejection and cancellation by the board of
the award of bid and said board may, at that point, enter into a
contract with any se condary or subsequent bidder that meets the
aforementioned qualificatio ns without further notice; and
11. If there are no bids submitted or all submitted bids are
less than the market value of the real property after the expiration
of fifteen (15) days fr om the date of first publication of notice of
sale, the board of county commissioners shall publish the not ice of
sale and accept bids for a second time complying with the
requirements of paragraphs 2 through 4 of this subsection. If there
are no bids submitted or all submitted bids are less than the market
value of the real property after the expiration of fi fteen (15) days
from the date of second publication of notice of sale, th e board of
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county commissioners shall have the right to sell real property,
upon majority vote, without any bidding procedure or auction,
directly to any person or entity for an amoun t that is not less than
the highest bid previously submitted through any previous bidding
procedures provided in this subsection.
H. The board of county commissioners may solicit telephone bids
for the removal of recycl able materials.
I. The board of cou nty commissioners shall have the authority
to trade in equipment to a ven dor or on statewide contract by
acquiring used equipment values pursuant to subsection B of this
section.
SECTION 3. This act shall become effective November 1, 2023.
59-1-8179 MAH 04/10/23