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Public Information Release
This is another news release from the Port Authority.
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HEATH-NEWARK-LICKING COUNTY PORT AUTHORITY
PUBLIC INFORMATION PROGRAM
FOR IMMEDIATE RELEASE CONTACT:
July 26, 2004 Rick Platt, 740-788-5500 ext. 35
ONLINE AUCTIONS PROVE TO BE WINNER FOR PORT AUTHORITY
High Tech Move Results in Increased Revenue, Improved Efficiencies
HEATH – The Heath-Newark-Licking County Port Authority went high tech in a way to
increase revenue and improve efficiency, and it’s worked. According to a report
on the move to online auctions as a way to sell excess government property, the
Port Authority has increased auction sales revenue by 340%, opened more space for
leasing, and reduced manpower dedicated to property sales.
One of the duties of the Port Authority, as property manager of the Base Campus
of the Central Ohio Aerospace and Technology Center, includes disposing of
property no longer needed by Boeing, Bionetics, and other tenants. In the full
year since implementation of online auctions, the Port Authority has sold a total
of 155 items and collected over $46,000 in net sales revenue.
The Port Authority, among the first governments in Ohio to use online auctions at
GovDeals.com, first tested web-based auctions in July 2003. Previously, the Port
Authority had an annual on-site, absolute auction that averaged $13,595 a year
over four years.
“Unlike most port authorities, we do not receive any government subsidy. That
means, just like any small business, we have to be constantly looking for ways
to increase revenue through innovation and productivity,” said Rick Platt,
Executive Director. “Small businesses have found online sales as a way to
increase income. Why shouldn’t government too?”
In addition to increasing revenue from sales, the Port Authority has realized
benefits from improved efficiency. Online sales have reduced the manpower
dedicated to property sales. Also, building space previously dedicated to
warehousing excess property for on-site auctions have been leased out to paying
customers.
“Two small businesses are now paying to lease space that was previously used
for warehousing items for an on-site auction,” said Platt. “Plus, now, our
staff can post items for sale and arrange hand over to the buyer without ever
taking possession of the item from our tenants. Before, we had to move the
item, store it, and then move it again in order to arrange for its sale. The
efficiency improvements are easy to see.”
The report concludes that revenue from online sales have been boosted by
making the items available to be sold greater distances and selling items that
were once considered unsellable. Additionally, the Port Authority’s Auction
Alert, an online mailing list, boosts sales through electronic notices to
regular bidders. Bidders can automatically subscribe at hnlcpa.com/auction.
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