Disposition of City’s Surplus or Obsolete Items and Equipment

Every year, the City of Los Angeles disposes of thousands of items it no longer needs-in most cases by selling them at public auction. Because these items retain some residual value, salvaging them earns the City more than $3 million per year. Sales of used vehicles account for most of these proceeds. But the City also sells a wide variety of other items, ranging from furniture to firehoses.

An audit I am releasing today finds that the City could do better. The audit, which focuses on the salvage operations of the City’s nonproprietary departments, points to a lack of effective management controls: No City-wide inventory of equipment is available, nor does anyone systematically keep track of what is sold.