(b) The agency shall determine what commodities or expendable commodities should be disposed of and make disposition in the manner which will be most advantageous to the state. The disposition may include:

1. (1) Transferring the particular commodities or expendable commodities between departments, after consultation with any relevant spending units, and recording the transfer in accordance with governmental accounting standards;
2. (2) Selling the commodities to county commissions, county boards of education, municipalities, public service districts, county building commissions, airport authorities, parks and recreation commissions, nonprofit domestic corporations qualified as tax exempt under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended, or volunteer fire departments in this state when the volunteer fire departments have been held exempt from taxation under Section 501(c) of the Internal Revenue Code 1986, as amended;
3. (3) Trading in the commodities as a part payment on the purchase of new commodities;
4. (4) Cannibalizing the commodities pursuant to procedures established under §5A-3-45(g) of this code;
5. (5) Properly disposing of the commodities as waste;
6. (6) Selling the commodities to the general public at the posted price or to the highest bidder by means of public auctions or sealed bids, after having first advertised the time, terms, and place of the sale as a Class II legal advertisement in compliance with the provisions of §59-3-1 et seq. of this code. The publication area for the publication is the county in which the sale is to be conducted. The sale may also be advertised in other advertising media that the agency considers advisable. The agency may sell to the highest bidder or to any one or more of the highest bidders, if there is more than one, or, if the best interest of the state will be served, reject all bids; or
7. (7) Selling the commodities to the highest bidder by means of an internet auction site approved by the director, as set forth in a legislative rule pursuant to the provisions of §29A-3-1 et seq. of this code.

(g)

1. (1) For purposes of this section, “cannibalization” means the removal of parts from one commodity to use in the creation or repair of another commodity.
2. (2) The Director of the Purchasing Division shall propose for promulgation legislative rules to establish procedures that permit the cannibalization of a commodity when it is in the best interests of the state. The procedures shall require the approval of the director prior to the cannibalization of the commodity under such circumstances as the procedures may prescribe.

3. (3)

   1. (A) Under circumstances prescribed by the procedures, state agencies shall be required to submit a form, in writing or electronically, that, at a minimum, elicits the following information for the commodity the agency is requesting to cannibalize:

      1. (i) The commodity identification number;
      2. (ii) The commodity’s acquisition date;
      3. (iii) The commodity’s acquisition cost;
      4. (iv) A description of the commodity;
      5. (v) Whether the commodity is operable and, if so, how well it operates;
      6. (vi) How the agency will dispose of the remaining parts of the commodity; and
      7. (vii) Who will cannibalize the commodity and how the person is qualified to remove and reinstall the parts.

   2. (B) If the agency has immediate plans to use the cannibalized parts, the form shall elicit the following information for the commodity or commodities that will receive the cannibalized part or parts:

      1. (i) The commodity identification number;
      2. (ii) The commodity’s acquisition date;
      3. (iii) The commodity’s acquisition cost;
      4. (iv) A description of the commodity;
      5. (v) Whether the commodity is operable;
      6. (vi) Whether the part restores the commodity to an operable condition; and
      7. (vii) The cost of the parts and labor to restore the commodity to an operable condition without cannibalization.
   3. (C) If the agency intends to retain the cannibalized parts for future use, it shall provide information justifying its request.
   4. (D) The procedures shall provide for the disposal of the residual components of cannibalized property.

(h)

1. (1) The Director of the Purchasing Division shall propose for promulgation legislative rules to establish procedures that allow State agencies to dispose of commodities in a landfill, or by other lawful means of waste disposal, if the value of the commodity is less than the benefit that may be realized by the state by disposing of the commodity using another method authorized in this section. The procedures shall specify circumstances where the State agency for surplus property shall inspect the condition of the commodity prior to authorizing the disposal and those circumstances when the inspection is not necessary prior to the authorization.
2. (2) Whenever a State agency requests permission to dispose of a commodity in a landfill, or by other lawful means of waste disposal, the state agency for surplus property has the right to take possession of the commodity and to dispose of the commodity using any other method authorized in this section.
3. (3) If the State agency for surplus property determines, within 15 days of receiving a commodity, that disposing of the commodity in a landfill or by other lawful means of waste disposal would be more beneficial to the state than disposing of the commodity using any other method authorized in this section, the cost of the disposal is the responsibility of the agency from which it received the commodity.