UTILITY COMMITTEE

The Utility Committee Meeting was held on January 24, 2011 at 4:30 p.m. with Chairman Ruane presiding. Members present were Mr. Bonar, Mr. McGiffin, Major Kosior, and Mr. Snaman. Members of Council present were Council President Hogan and Mr. Leary. Mayor Carey (arrived at 4:39 p.m.) was also present.

AGENDA ADDITIONS/DELETIONS

By unanimous consent, the agenda was approved, as presented.

Request for Alley Abandonment (Improved) - Adjacent to 514 Loockerman Street and 222 S. DuPont Highway - HUB Associates, LLC and A & G Kramedas Associates

Members reviewed a request received from HUB Associates, LLC and A & G Kramedas Associates for abandonment of an improved alley adjacent to 514 Loockerman Street and 222 S. DuPont Highway.

Mr. Scott Koenig, Public Services Manager/Director of Public Works, advised members that the applicants requested the City to abandon a segment of an alley approximately 220 feet in length that runs parallel to Loockerman Street, east of Bayard Avenue. He stated that the request is a precursor to redevelopment of the property, which is owned by HUB Associates, LLC and A & G Kramedas Associates. Mr. Koenig stated that the subject property consists of a 15-foot wide alley, bounded on the south by lands owned by A & G Kramedas Associates and bounded on the north by three parcels, two (2) of which are owned by HUB Associates, LLC and one owned by Thelma F. Johnson. He indicated that the alley is partially improved with paving that serves as the fire lane for the hotel on the property, which is owned by A & G Kramedas Associates.

Mr. Koenig noted that a map depicting the alley was provided to members. He stated that the Planning Commission reviewed the alley abandonment request on December 20, 2010 and recommended its approval, provided that all necessary easements related to City utilities are in place.

Responding to Mr. Ruane, Mr. Koenig indicated that the City Clerk’s Office would notify all adjacent property owners prior to the required public hearing before City Council. Mrs. Ann Marie Townshend, Director of Planning and Community Development, explained that the procedure for notification of adjacent property owners is in accordance with Appendix B - Article 10, Section 5 of the Dover Code; however, she stated that she and Mrs. Traci McDowell,  City  Clerk, recommended that the City’s procedure be improved and incorporated into the City Code.

As suggested by Mr. Ruane, it was the consensus of members that staff should take administrative measures to notify adjacent property owners of such requests in the future until a procedure is codified.

Ms. Thelma Johnson, 512 E. Loockerman Street (adjacent property owner), indicated that her back yard is adjacent to the Comfort Inn. She stated her interest in the plans for the alley and how these plans would affect the property line.

Responding to Mr. Ruane, Mr. Koenig stated that if the Committee recommends approval of the abandonment and Council approves the Committee’s recommendation, a public hearing will be set before City Council, at which time adjacent property owners will be notified. If 220 feet of the alley is abandoned, he stated that the current procedure requires the alley to be split equally between each adjacent property; however, each property owner would be required to amend their deed to reflect ownership of a portion of the alley and deeds would have to be recorded.

Mr. Koenig stated his understanding that, if the abandonment is successful, the applicant wishes to re-form their property lines, re-create a deed, assemble a number of properties, and re-record this subdivision of the properties of HUB Associates, LLC and A & G Kramedas Associates for a future land development application. He stated that, at this point, staff is not aware of a final application being presented to the City for consideration, although a draft land development application has been received. Reminding members that there are setback requirements based on the zoning classification of the property, Mr. Koenig noted that, if abandoned, the north property line has the potential to move 7½ feet closer to Ms. Johnson, and she would have the potential to move her southern property line 7½ feet to the HUB Associates, LLC property.

Ms. Johnson stated that Mr. Kramedas indicated to her a desire to build stores at this location. She questioned how close these establishments would be to her property line and, being a senior citizen, relayed concerns regarding visitors loitering in front of the stores near her property. Ms. Johnson advised members that she has had no problems with the Comfort Inn as a neighbor during the last 14 years. She requested an assurance of peace and safety and, if the applicants build, that they be required to construct a fence at least six (6) feet in height.

In response to Mr. Bonar, Mrs. Townshend stated that conditions, such as the erection of a fence, would not be necessary at this time unless members chose to include this requirement. She noted that if the applicants submit a Site Plan in the future, the Site Plan would be presented to the Planning Commission and there would be public notice of this meeting. Mrs. Townshend stated that the Zoning Ordinance requires buffering between residential and non-residential uses; therefore, the applicants would be required to erect an opaque, six (6) foot fence and landscaping on the residential side of the fence, unless the Planning Commission waives this requirement. Mrs. Townshend assured members that staff would notify the Planning Commission that the adjacent property owner desires a fence and Ms. Johnson would have the opportunity to speak before the Planning Commission. She noted that many residential property owners have concerns related to being situated adjacent to commercial properties; however, she explained that these locations often improve when the property is redeveloped since redevelopment must conform to current standards.

Responding to Mr. Bonar, Mr. Koenig stated the cost to property owners to re-record deeds is estimated to be $125 per property.

Ms. Johnson advised members that she does not object to the abandonment request.

Mr. Garth Jones, Becker Morgan Group, representing Mr. Tom Kramedas, advised members that it is planned to redevelop the site by demolishing two (2) hotel buildings and building a new hotel with a retail component on the property; therefore, the setbacks are important as they relate to the reconfiguration of the property for construction. He advised members that Becker Morgan Group has been working with Mr. Kramedas since 2005 on a development plan and noted the importance of the additional 7½ feet to the development application. Although the abandonment would move the property lines 7½ feet closer to Mrs. Johnson’s residential property, Mr. Jones stated his understanding that the building setback requirement for zoning is 30 feet for both the rear and side yards. He stated that the retail component would not be located behind Ms. Johnson’s property, since that area would not be visible from the street.

Mr. McGiffin moved to recommend approval of the request for abandonment of the improved alley located adjacent to 514 Loockerman Street and 222 S. DuPont Highway, as recommended by the Planning Commission, with the condition that the City retain all necessary easements related to City utilities. The motion was seconded by Mr. Bonar and unanimously carried. (City Clerk’s Note: In accordance with the City’s Procedure for Alley Abandonments, Resolution No. 2011-02 setting the Public Hearing (Attachment #1) will be presented to Council for consideration for adoption.)

Proposed Ordinance #2011-01 - Amendment to Appendix B - Zoning, Article 5 - Supplementary Regulations, (New) Section 20 - Solar and Small Wind Energy Systems (Deferred by Committee on 01/10/2011)

During their meeting of January 10, 2011, members considered Proposed Ordinance #2011-01 - Amendment to Appendix B - Zoning, Article 5 - Supplementary Regulations, (New) Section 20 - Solar and Small Wind Energy Systems. The proposed ordinance would add solar energy systems and small wind energy systems as accessory uses within all zoning districts; set standards for these systems to ensure protection of the character of the zones, as well as for public health, safety and welfare; and add definitions for such systems to the Zoning Ordinance. After much discussion, members deferred action until the next Committee meeting to allow time for staff to address the concerns relayed.

Referring to the proposed ordinance provided to members, Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that the red text reflects the revised version provided to members at the previous meeting and that the blue text was added to address concerns relayed at that time.

Mr. Phil McGinnis, McGinnis Commercial Real Estate Company, 555 E. Loockerman Street, indicated support for the proposed ordinance, including the additional amendments, as presented.

Mr. John Paradee, Prickett, Jones, and Elliott, 11 North State Street, thanked members of the Committee and City staff for making the changes suggested during the previous Committee meeting. He indicated full accord and agreement with the proposed ordinance, as presented, and requested the Committee’s support.

Council President Hogan relayed concern regarding the phrase “visually screened,” which appears several times in the proposed ordinance. Recalling a previous situation, he questioned the definition of this term and felt that the City should be clear in this regard. Responding, Mrs. Townshend referred to the definition provided in Lines 17 and 18 and suggested that the ordinance be amended to incorporate this language in other areas within the ordinance that include the term “visually screened.” Members of the Committee, Mr. McGinnis, and Mr. Paradee relayed no objections to the additional amendments.

Mr. Bonar moved to recommend adoption of Proposed Ordinance #2011-01, as amended (Attachment #2). The motion was seconded by Mr. McGiffin and unanimously carried.

Annual Engineering Consultant’s Report on the Operation and Maintenance of the Electric System - Fiscal Year 2010 (Deferred by Committee on 1/10/2011)

Members were provided the Annual Engineering Consultant’s Report on the Operation and Maintenance of the Electric System for Fiscal Year 2010. Mrs. Donna Mitchell, Controller/Treasurer, reviewed highlights of the Report with members, including Conclusions of the Executive Summary (Page ES-6).

Mr. Bonar moved to recommend acceptance of the Annual Engineering Consultant’s Report on the Operation and Maintenance of the Electric System for Fiscal Year 2010. The motion was seconded by Mr. McGiffin and unanimously carried.

Annualized Comparison of Utility Rates (Deferred by Committee on 1/10/2011)

Mr. Anthony DePrima, City Manager, reviewed the Residential Rate Comparison Annualized at 1,000 kWh Per Month as of November 23, 2010. He advised members that the information is produced by the Delaware Municipal Electric Corporation (DEMEC) on a monthly basis.

Mr. McGiffin moved for acceptance of the Residential Rate Comparison Annualized at 1,000 kWh Per Month as of November 23, 2010, as presented. The motion was seconded by Mr. Bonar and unanimously carried.

Development Projects - Performance and Maintenance Bonding Concerns

During their meeting of January 10, 2011, members were advised that, as part of a shared performance goal, the City Manager, the Public Services Manager, and the Director of Planning and Community Development conducted a series of four (4) internal meetings to brainstorm various ideas to address concerns raised about performance and maintenance bonding in subdivisions, site plan compliance, ensuring the functionality of homeowners’ associations (HOAs), and other development project issues. As a result of these meetings, which were held in October, November, and December of 2010, he stated that eight (8) specific issues/concerns were identified. Members requested that staff provide the list of Development Projects to members for their review and prioritization to be considered by the Committee during their next meeting.

Mr. Scott Koenig, Public Services Manager/Director of Public works, advised members that he, Mr. Ruane, Mr. McGiffin, Mrs. Townshend, and Mr. DePrima ranked the projects and written comments were submitted by Major Kosior. He stated that the highest-ranked projects are as follows:

1)Problem #2 - Some projects are partially built and the construction or the site work has been abandoned.

2)Problem #5 - Nuisance issues such as maintenance of buildable lots with homes, partially complete homes, partially complete subdivisions, roll-off trash containers for construction debris, soil stockpiles, and material storage areas are degrading the overall quality of various subdivisions (in both dedicated and undedicated subdivisions).

3)Problem #4 - Stormwater / Passive Open Space – Not Being Maintained.

Mr. Koenig stated that these three (3) problems ranked significantly higher than the others, based on the feedback received.

Staff recommended that a timeline be developed to begin resolving the three (3) highest-ranked problems and that recommendations be developed in the form of proposed ordinances or procedural amendments to be presented to the Committee for review.

Responding to Mr. Ruane, Mr. Koenig advised members that administrative action is being taken on all problems and assured members that the goal is to resolve them. With regards to snow removal (Problem #7) at Nottingham Meadows, Mr. Koenig stated that the bank has hired a contractor to oversee both the “punch list items” and snow removal for this season at Nottingham Meadows. He stated that the developers or the banks are hiring contractors for removal of snow in other abandoned areas; therefore, he assured members that, to his knowledge, all undedicated developments have some method of snow removal in place during the current winter season.

At the request of Mr. Ruane, Mr. Koenig read the comments submitted by Major Kosior in response to Mr. Koenig’s memorandum of January 3, 2011, Subject: Development Projects - Performance and Maintenance Bonding Concerns (Attachment #3 - Major Kosior’s comments are depicted in red font).

Council President Hogan stated that he had prepared a ranking, apologized for not submitting it to staff, and noted that he also ranked Problem #2 as the top priority.

Mr. McGiffin moved to recommend acceptance of the designation of Problems #2, #5, and #4 as the highest-ranked concerns related to Development Projects - Performance and Maintenance Bonding, with the expectation that a timeline would be developed to begin resolving these problems, as recommended by staff. The motion was seconded by Mr. Snaman and unanimously carried.

Review of Utility Related Capital Investment Plan (CIP) (Electric and Water/Wastewater) (November) (Deferred by Committee on 1/10/2011)

Members were provided Project Tracking Reports, as of November 30, 2010, for the Utility (Electric and Water/Wastewater) Related Capital Investment Plan (CIP).

Mr. Anthony DePrima, City Manager, advised members that the City has received permits from the Delaware Department of Transportation (DelDOT) to begin work in the Route 13 area. He noted that because the project involves Route 13, it will create significant problems; however, he assured members that actions will be taken to minimize the problems, such as conducting work during evening hours.

Responding to Mr. Ruane regarding the Bayard Avenue Project, Mr. Ron Lunt, Public Utilities Director, indicated that there has been no change on this project. He advised members that soil sampling at the location resulted in the discovery of contamination, which is currently being resolved with the Department of Natural Resources and Environmental Control (DNREC). He assured members that when the project begins, notification will be sent to the neighbors and that standard practice requires members of Council to be included in this notification.

Although not included on the CIP Report, Mr. Ruane requested that staff provide members with an update on the Garrison Tract. Mr. DePrima stated that the January 23, 2011 edition of the Delaware State News featured an article about the progress of the Garrison Tract. He noted that construction of the parking lot is underway and that the opening of the power plant, including the operation and generation of power supply, was anticipated by July 2011.

Mr. Bonar moved to recommend acceptance of the Utility Related Capital Investment Plan (CIP) Reports for November 2010, seconded by Mr. McGiffin and unanimously carried.

PACE/NAES Monthly Report (November 2010)

The PACE/NAES Monthly Report for November 2010 was provided to members to enable them to monitor electric sales and revenues received, which will provide a better understanding of any fluctuations that occur and allow the opportunity to make improvements if deemed necessary.

Major Kosior moved to recommend acceptance of the PACE/NAES Monthly Report for November 2010, seconded by Mr. Snaman and unanimously carried.

By unanimous consent, the meeting adjourned at 5:29 p.m.

                                                                                    Respectfully submitted,

Eugene B. Ruane

Chairman

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Attachments

Attachment #1 -   Proposed Resolution No. 2011-02 Setting a Public Hearing for Alley Abandonment - Adjacent to 514 Loockerman Street and 222 S. DuPont Highway

Attachment #2 -   Revised Proposed Ordinance #2011-01 - Amendment to Appendix B - Zoning, Article 5 - Supplementary Regulations, (New) Section 20 - Solar and Small Wind Energy Systems, as Amended

Attachment #3 -Comments Submitted by Major Kosior in Response to Mr. Scott Koenig’s Memorandum of January 3, 2011, Subject: Development Projects - Performance and Maintenance Bonding Concerns