COUNCIL COMMITTEES
The Council Committees Meeting was held on November 12, 2002, at 6:00 p.m., with Council President Carey presiding. Members of Council present were Mr. Ritter, Mr. Pitts, Mrs. Williams, Mr. Truitt, Mr. McGlumphy, Mr. Speed, Mr. Salters, Mr. Ruane, and Mayor Hutchison.
AGENDA ADDITIONS/DELETIONS
Mr. Speed moved for approval of the agenda, seconded by Mr. McGlumphy and unanimously carried.
LEGISLATIVE AND FINANCE COMMITTEE
The Legislative and Finance Committee met with Chairman Salters presiding. Members present were Mrs. Williams, Mr. McGlumphy, Mrs. Street, and Mr. Shelton.
Review of Financial Policies
Members were provided the revised City of Dover Financial Policies with additions noted in italics and deletions noted with strikeouts. Mrs. Mitchell, Finance Director, briefly highlighted the proposed changes.
With reference to “uninsured capital losses”, Mrs. Mitchell clarified that the only vehicles that have physical damage insurance are the police cars and electric line crew trucks. The value of those vehicles is $2.8 Million and the annual premium is $9,300. The cost to insure all of the City’s vehicles would be .35 cents per hundred dollars of the value of the vehicle.
Mrs. Mitchell noted that the Mayor requested that “Mayor and Council” be inserted wherever “Council” is referred to in the policy.
Mr. Ruane suggested inserting a provision that “The City would refrain from budgeting non-recurring or one-time revenue or expenses”. It was Mrs. Williams’ feeling that the wording of the policy should be as global in nature as possible. She recommended that Mr. Ruane’s suggestion could be made a part of the procedure, not the policy.
Mr. McGlumphy moved to recommend approval of the Financial Policies, as revised (Attachment #1). The motion was seconded by Mrs. Williams and unanimously carried.
Proposed Amendments - Purchasing Policy
Members were provided the revised City of Dover Purchasing Policy with additions noted in italics and deletions noted with strikeout. Mrs. Mitchell briefly highlighted the proposed changes.
Mrs. Mitchell noted that Mr. Speed requested that #3.1 on page 2 of 10 be revised by striking “less” and inserting “fewer”. He also requested that #9.3 on page 10 of 10 be deleted and the following inserted in lieu thereof: “The names of persons authorized to make purchases are to be submitted to the Finance Department along with a copy of each authorized person’s signature”.
Mrs. Williams moved to recommend approval of the Purchasing Policy, as revised (Attachment #2). The motion was seconded by Mr. Speed and unanimously carried.
Proposed Policy - Delinquent Tax Accounts
During their meeting of October 28, 2002, members suggested that the City Assessor develop a written policy for the collection of delinquent property tax accounts. Mr. Cooper, Tax Assessor, briefly explained the proposed policy, noting that it formalizes the current practice for collecting unpaid property taxes.
It was Mr. Speed’s feeling that the policy presented was a report on the procedure followed. He did not think the implementation of a policy should be approved or disapproved by Council. Mr. Speed recommended accepting it as a report rather than a policy.
Responding to Mr. Ruane, Mr. Speed stated that a title search, including a search of property taxes due, is conducted prior to the transfer of any property. If taxes are due, the attorney is required to escrow the money for payment of the taxes at the time of settlement.
With reference to bankruptcy, Mr. Cooper stated that he would have to consult with the City Solicitor regarding the handling of delinquent accounts belonging to bankrupt individuals. Mr. Ruane requested that a procedure be developed for handling accounts in bankruptcy.
Mr. McGlumphy moved to recommend approval of the Delinquent Accounts Policy, as written (Attachment #3). The motion was seconded by Mrs. Williams and unanimously carried.
Evaluation of Bids - 2002 Underground Wire Puller (S&R Air Duct Dawg)
The underground line crews of the Electric Transmission and Distribution Division use the Air Duct Dawg (Underground Wire Puller) for pulling underground conductors. This equipment was included in the Vehicle Replacements Section on page 106 of the Capital Investments Plan. Staff recommended purchasing a 7,500 lb. capacity self-contained underground puller with 175 CFM compressor, complete with a 2,000 ft., 3/8" diameter wire rope and hose reel with 50 ft., 3/4" heavy duty air hose retractable reel. Staff proposed trading in two (2) units: one (1) 1993 Sherman & Reilly Under Dawg and one (1) 2000 Sherman & Reilly Duct Dawg. Bids were solicited and received as follows:
Vendor Bid Trade In Total
Sherman & Reilly $72,000 $28,000 $44,000
Atlantic Southern $76,440 $28,560 $47,880
Utiliserve, Inc. $73,469 $28,571 $44,898
Hagemeyer $75,789 $29,473 $46,316
Special Fleet Services No Bid
Sherman & Reilly, the low bidder, agreed to deduct a $9,000 air blowing kit which is not needed at this time, bringing the final price down to $35,000.
Funding in the amount of $30,000 was approved for the purchase of this equipment, as identified in the Annual Operating Budget on page 219 of the CIP section and on page 383 under Other Equipment – Purchase. This figure was estimated in an attempt to maintain the most accurate budget figure. However, the budget was underestimated by $5,000. The $5,000 will be transferred from Trucks - Purchase, where a truck previously purchased came under budget by $5,600. Delivery is expected 60 days from the date of order.
Staff recommended issuing a purchase order to Sherman & Reilly, in the amount of $35,000, for the purchase of a 2002 S&R Air Duct Dawg, as specified, and that one (1) 1993 Sherman & Reilly Under Dawg and one (1) 2000 Sherman & Reilly Duct Dawg be traded-in for the purchase.
Responding to Mr. McGlumphy, Mr. DePrima, City Manager, stated that the 2000 Sherman & Reilly Duct Dawg is actually two (2) pieces of equipment; the wire puller and a trailer that is pulled behind a truck. It is being traded in on a more efficient model which provides the compressor and the Duct Dawg on one (1) trailer, eliminating the need for two (2) trucks. Mr. Blakeman, Generation Manager, noted that much of the responsibility for underground wire pulling has been transferred to developers, thereby eliminating the need for two (2) Duct Dawgs. He estimated that the new equipment would reduce the hours required per job by approximately one-third.
It was Mr. Ritter’s feeling that, although the equipment would decrease the need for several pieces of equipment, the purchase was a luxury item. He also thought that a better price could be obtained for the 2000 Duct Dawg than what would be received for it as a trade-in and relayed concern that negotiating with the low bidder was unfair to the other bidders.
Mr. Shelton stated that he was in the purchasing business for approximately 18 years and assured members that it is common practice to negotiate with the low bidder.
Mr. McGlumphy moved to recommend approval of staff’s recommendation to issue a purchase order to Sherman & Reilly, in the amount of $35,000, for the purchase of a 2002 S&R Air Duct Dawg, as specified, and that one (1) 1993 Sherman & Reilly Under Dawg and one (1) 2000 Sherman & Reilly Duct Dawg be traded-in for the purchase. The motion was seconded by Mr. Speed and unanimously carried.
Evaluation of Bids - Cooper Road Water Main Extension (Materials Only)
The Department of Public Works proposes to extend the City's water distribution system approximately 500 linear feet south on South State Street and westerly along Cooper Road by approximately 2,000 linear feet, as detailed on page 87 of the 2003-2007 Capital Investments Plan. This project will interconnect the City's water distribution system with Woodbrook Road and McDaniel Drive, in addition to expanding the City's ability to serve new customers along South State Street. Construction of the water main extension will be completed by the Construction Division of the Department of Public Works. Bids for materials necessary to construct the improvements were solicited and received as follows:
Dover Plumbing Supply Dover, DE $33,130.95
Hughes Supply Aberdeen, MD $34,414.10
US Filter Smyrna, DE $35,350.60
The estimated budget for this project is $30,000, as detailed in the 2003 Annual Operating Budget on page 200 of the CIP section and on page 390 in the Water Management section. Since the cost of materials exceeded the estimated budget for the project, the Department of Public Works has submitted an internal budget amendment to increase the project budget for the Cooper Road Water Main Extension from $30,000 to $40,000. The increase of $10,000 will be covered by a reduction in the project budget for the Dead End Water Main Removal from $50,000 to $40,000. Funding for both of the referenced projects is available in the Water Lines Account listed on page 393 of the Budget.
Staff recommended awarding a purchase order to Dover Plumbing Supply Co. in the amount of $33,190.95 for the purchase of the necessary material to construct the Cooper Road Water Main Extension.
Mr. McGlumphy moved to recommend approval of staff’s recommendation, seconded by Mrs. Williams and unanimously carried.
Evaluation of Bids - Meter Reading Technology Upgrade Project
In conjunction with the City's effort to improve the efficiency of it’s Water & Wastewater utility, the Department of Public Works prepared technical specifications to procure the necessary equipment to upgrade the current meter reading system to an automated meter reading system which uses radio frequency communication technology. The goal of the project is to reduce water meter reading costs, improve meter reader safety, eliminate estimated meter readings, and reduce the chances of customer billing errors. All units will be installed by Water/Wastewater staff. The specification package requested unit prices on an as-needed basis based on an estimated usage of 200 Sensus/Invensys Remote ERT’s to be installed at locations where the existing water meter is located inside of a building and 600 Sensus/Invensys Pit ERT’s to be installed at locations where the water meter is located outside of the building in a meter pit. The specification package was publicly advertised, in addition to being mailed to specific vendors. This equipment is not available through State contract.
Bids were requested and one (1) bid was received from Computer Software, Inc., Chalfont, Pennsylvania as follows:
200 Sensus/Invensys Remote ERT’s - $66.75 per Inside ERT*
600 Sensus/Invensys Pit ERT’s - $96.00 per Pit ERT*
*Requires order to be in 100-unit blocks
Funding for the above-referenced project in the amount of $100,000 ($50,000 from the Water Fund and $50,000 from the Wastewater Fund--a 50/50 split) is identified on page 390 of the 2003 Annual Operating Budget and on page 98 of the 2003-2007 Capital Investments Plan. City Council recently approved the purchase of a 2003 Sewer Cleaner which was underbudgeted in Water. This purchase altered the funding level of this project for FY 2003. Funding for this project totaling $32,492 was removed from Wastewater. To maintain the 50/50 split, the project account only has authorization to expend $35,016 ($17,508 from the Water Fund and $17,508 from the Wastewater Fund). The Department of Public Works is proposing to transfer $32,492 from various segments of the operating budget to restore this project to its original funding level. A budget amendment will be submitted to the City Manager's Office as funding availability is determined.
Mr. Koenig, Public Works Director, stated that the automated meter reading system was tested in Cranberry Run and St. Jones Commons. He noted that they plan to adopt the technology by July 1, 2002 as the standard for the City and developers would be required to install them in new construction.
Staff recommended awarding a purchase order to Computer Software, Inc. in the amount of $96.00 per Pit ERT and $66.75 per Inside ERT, not to exceed budget amounts as approved or amended in accordance with the Financial Policy.
Mr. McGlumphy moved to recommend approval of staff’s recommendation, seconded by Mrs. Williams and unanimously carried.
Evaluation of Bids - Loockerman Street & Millennium Park Brick Paver Project
In conjunction with the City's effort to improve the Downtown Business District and with requests from Wesley United Methodist Church and the Millennium Fountain Committee, various legislators agreed to fund brick sidewalks on the south side of The Plaza and around the Millennium Fountain using their discretionary Community Transportation Fund money. The Department of Public Works prepared plans and specifications to remove approximately 4,900 square feet of existing concrete sidewalk. Once the concrete is removed, new brick pavers will be installed to continue the Constitution Place theme along the south side of Loockerman Street and the west side of Federal Street over to North Street. In addition, this project will install brick pavers around the Millennium Fountain. Overall, approximately 5,300 square feet of pavers will be installed. Members were provided a plan identifying the areas of the proposed construction. Bids were requested and received as follows:
The Brick Doctor, Inc. Dover, DE $ 55,442.70
Falasco Masonry, Inc. Camden, DE $119,683.50
D. Gingerich Concrete & Masonry, Inc. Dover, DE $128,148.00
Noting the significant difference in the bids, Mr. DePrima stated that Mr. Koenig has verified with The Brick Doctor, Inc. that the bid is correct.
Funding for the above referenced work has been provided by area legislators in the amount of $104,600. These projects are part of the Street & Alley Program (Project #ST0302) identified on page 365 of the 2003 Annual Operating Budget and on page 80 of the 2003-2007 Capital Investments Plan.
Since area legislators are providing 100% of the funding for these projects from their Community Transportation Funds and the low bid was significantly below the project estimate, the Department of Public Works intends to expand the quantity of work to include sidewalks on the north side of Loockerman Street from State Street to the entrance of PNC Bank. The Department will work within the requirements of the City's purchasing policy to extend this project.
Staff recommended awarding a purchase order to The Brick Doctor, Inc. in the amount $55,442.70, with the understanding that the Department of Public Works may expand the scope of work using the unit prices in the low bid to include areas on the north side of Loockerman Street or re-bid the extension, whichever is determined to be most cost effective.
Mr. McGlumphy moved to recommend approval of staff’s recommendation, seconded by Mr. Shelton and unanimously carried.
Mr. Speed moved for adjournment, seconded by Mr. McGlumphy and unanimously carried.
Meeting Adjourned at 7:08 P.M.
Respectfully submitted,
Carleton E. Carey, Sr.
Council President
CEC/tam