What is a characteristic of a public auction method of disposal?

A public auction method of disposal is characterized by its nature of encouraging competitive pricing among bidders. This method allows multiple potential buyers to openly compete for items or property, which often leads to higher bids and better financial returns for the agency conducting the auction. The competitive environment is essential as it enables all interested parties to bid against one another, driving the price upward based on demand.

Engaging in public auctions helps ensure that the disposal process is transparent and fair, as it is conducted in a public setting where all participants can see the bids being placed. This element of public observation helps to build trust in the process. In contrast, secret bidding would not promote the same competitive atmosphere. Furthermore, governmental units do not hold exclusive rights to participate; anyone can join as long as they adhere to the auction's rules. Lastly, public auction is a well-recognized method, as opposed to it being unrecognized, reinforcing the established procedures within public procurement practices.