Maximizing value and enhancing sustainability of surplus inventory

Every corporate department has them. Those ‘extra’ items sitting in a back room, taking up space and collecting dust. The City of Lethbridge is taking that ‘stuff’ and turning it into real money.

That’s the idea behind GovDeals. The site helps municipalities maximize value for surplus inventory. The City of Lethbridge uses the online platform to sell all kinds of stock.

“We want to think of what the return will be,” says Supply Chain Manager Tyler Kacsor. “That could be anything from large, fully depreciated capital assets to things like stretchers, pumps, motors and desks. People look to buy City assets because they are, generally, well taken care of.”

The City has been using GovDeals since 2014. In those 10 years, the corporation has seen more than $3 million in investment recovery. The largest (and perhaps most unusual) sale happened in January of 2024. The airport pavement rehabilitation project resulted in a stockpile of 25,000 metric tonnes of milled asphalt. It sold on GovDeals for $300,000.

But it’s not only big-ticket, expensive items up for grabs. The City posts goods that appeal to a wide audience.

"It's one of the tenets of procurement," says Kacsor. "We keep things open, transparent and fair. We also want to have that same level of transparency when it comes to the ethical disposal of goods. We want to make sure everyone has access."

The process also fulfills another City goal: environmental sustainability. Approximately 80 per cent of City of Lethbridge items posted on GovDeals are either sold or ethically disposed. It may be more cost-effective to haul things to the landfill. But as a leader in the community, the City of Lethbridge strives to reduce waste. GovDeals supports that initiative while also providing an economic incentive, with funds credited back to the departments.  

“We’re seeing items be repurposed and recouping some profit on the back end,” notes Kacsor. “If you make the capital acquisition up front, why wouldn’t you want to try to get something on the back? It’s really a win-win situation.”

Kacsor adds departments with larger assets typically have a better understanding of their residual value. Looking ahead, he’s excited to see more City units leverage GovDeals to manage and sell surplus items. 

“Regardless of the department you’re in, take a look around. There’s value in a lot of things.”

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