OPEN TOWN MEETING
The Open Town Meeting of City Council was held on March 4, 2002 at 7:00 p.m. with Mayor Hutchison presiding. Council members present were Council President McGlumphy, Mr. Ritter, Mr. Pitts, Mr. Truitt, Mr. Carey, Mr. Speed, and Mr. Ruane. Mr. Gorman and Mr. Salters were absent.
Council staff members present were Mr. DePrima, Mr. Petit de Mange, Mr. Cooper, and Mrs. McDowell.
The invocation was given by Chaplain Dixon, followed by the Pledge of Allegiance.
AGENDA ADDITIONS/DELETIONS
Mr. Carey moved for approval of the agenda, seconded by Mr. Speed and unanimously carried.
GARRISON OAK PROJECT - CENTRAL DELAWARE ECONOMIC DEVELOPMENT COUNCIL
Mr. Dan Wolfensberger, Director of the Central Delaware Economic Development Council, provided an overview of the Technology Park at Garrison Oak and stressed the importance of taking proactive measures to promote this site for development. He stated that the State has allocated another $500,000 in this fiscal year’s bond bill for infrastructure improvements, bringing the State’s investment in this property to $2.5 million. It was Mr. Wolfensberger’s feeling that the property has tremendous potential and should be marketed aggressively by producing a new City of Dover brochure highlighting the park, placing advertisements in economic development publications, and sending direct mailings to targeted industry consultants. He noted that many companies utilize consultants to find new locations for their expansion plans.
Mr. Wolfensberger introduced Mr. Dan McNulty, State of Delaware Economic Development Office, who was instrumental in working with the State and the City in securing the funds for the purchase of Garrison Oak. Mr. McNulty stated that there are two (2) shortcomings in the marketing of Kent County; lack of opportunity and adequate inventory of sites and buildings. It was his feeling that the creation of good industrial parks would attract high tech industry. Mr. McNulty stated that they have identified the top ten (10) site selection consultants out of 250. He noted that the top ten (10) consultants performed 80% of 950 major relocations in the country and he felt that was where their focus should be.
Mr. McNulty emphasized the importance of making the site “travel ready”, including having the infrastructure in place, prior to beginning an aggressive marketing campaign. Mr. DePrima, City Manager, reported that the CIP includes three (3) projects related to Garrison Oak; re-routing the main 69kv line to provide electricity to the site, extending water further into the site, and providing sewer. He also noted that the lease contract for the farm was renegotiated and the City is now receiving $28,500 per year on a three (3) year contract.
Noting that their original intention was to target specific industries, such as life sciences, information technology, semi-conductor fabrication, high technology manufacturing, corporate headquarters, and research and development companies, and to prohibit residential development, warehouse distribution, low-skilled manufacturing, or call centers unless accompanied by a significant component of information technology for headquarter positions, with those restrictions remaining in effect until January 1, 2010, Mr. Ruane questioned whether it was time to revisit the list or continue to adhere to the original targets.
Responding, Mr. Wolfensberger stated that those industries were targeted in the plan and that is still a sound target market. The main objective is to attract higher paying jobs in whatever manner they present themselves. He indicated that any pay scale that exceeds the prevailing wage would be considered “high paying” and any company that paid its employees an annual salary in excess of $18,000 would be a worthwhile company to pursue. Mr. Ruane noted that the marketing effort, although emphasizing Garrison Oak, is geared toward the entire City of Dover, including other private and public industrial parks.
Mr. Wolfensberger stated that Delaware provides a tremendous tax advantage for the microchip industry because it does not levy a tax on equipment and the microchip manufacturing industry utilizes millions of dollars worth of equipment.
High Technology Research Incubator Facility - Delaware State University
Dr. Hazel Showell, Assistant Dean of the School of Graduate Studies Research and Continuing Education, informed members that Delaware State University, in partnership with the Delaware Economic Development Office and the Central Delaware Economic Development Council has undertaken the development of a high technology research incubator. She stated that Dr. DeLauder appointed a 15-member task force, composed of the leadership from the local business community, DAFB, State Government, and University Research Scientists and Administrators, to establish criteria for observation and visitation of high tech incubator facilities in the region. The Task Force recommended, with financial support from the State and the Central Delaware Economic Development Council, that a high tech facility be established at Delaware State University. The recommended focus is on applied optics, biotechnology, information technology, and seafood safety.
Dr. Showell stated that the mission statement of the Incubator Facility focuses on economic development in Kent County, creation and retention of high value jobs for the people of Kent County, and to work in the synergy of the capabilities of Delaware State University and its ability to be responsive in exploring and exploiting opportunities in those areas. To date, the foundation has been formed, by-laws have been established, the 501C-3 status has been applied for, a location has been identified, and civil engineers and an architect have been contracted. The initial development and construction funding has been secured and ground-breaking occurred February 1, 2002.
Dr. Gordon Carlisle, Executive Director of the High Technology Research Foundation, stated that their first project will be a 40,000 square foot, two-story, incubator facility. He stated that 4.7 acres have been designated for the incubator site and two (2) buildings are planned for construction. Dr. Carlisle noted that their goal is to attract start-up companies and spin-off companies from larger corporations that will compliment the research capabilities of the University, strengthening it and serving to stimulate the local economy.
Responding to Mr. Ruane, Dr. Carlisle stated that an incubator is an economic development tool that accelerates the growth and success of entrepreneurial companies through business support resources and services. A high-tech research incubator is a business incubator focused on advancements in technology development and is tied to the programs, people, and facilities at a research university. Its purpose is to create job opportunities, commercializes new technologies, stimulates the local economy and strengthens the university by identifying and orchestrating business financial marketing and management resources and provides access for entrepreneurs to appropriate rental space with flexible lease terms, shared services and equipment, technical support, and assistance in obtaining financing.
Mayor Hutchison, referring to the success of the Delaware Technology Park at the University of Delaware, stated that he was very excited about this opportunity for Delaware State University.
Presentation - City Property Assessment
During their Regular Meeting of November 27, 2000, City Council authorized the City Assessor to conduct an in-house property revaluation to include exempt, residential, and commercial properties, excluding 25-30 of the largest commercial properties, which will be completed by Cole, Layer, and Trumble. A property revaluation has not been accomplished since 1990.
Mr. Jerome Cooper, City Tax Assessor, stated that the reassessment is being conducted by the Tax Office staff in consultation with Mr. Paul Miller of Cole, Layer, and Trumble. He indicated that properties located within the City of Dover are currently assessed at 60% of the 1990 market value and the purpose of the reassessment is to reestablish an equitable tax share of all the properties located within the City of Dover.
Mr. Cooper noted that the critical stage of the reassessment was inspecting and photographing over 9,000 parcels, verifying the information on the property cards, and updating the database. Once the inspection and verification process is complete, the new values, which are derived using sales from the past three (3) years, examination of the sales to eliminate sheriff sales and family sales, which are customarily lower than market value, will be put into effect.
Mr. Miller informed members that the definition of “market value” is a willing buyer and a willing seller coming to an agreed price on an open market, neither of which are under duress, both of which are well informed. Any sales that do not meet those criteria, such as purchases by family members, sheriff sales, estate sales, sales that were not exposed to the market, etc., are not factored in to the market values.
Responding to Mr. Ritter, Mr. DePrima stated that there is a cap on the budget of 2% of the taxable value of all the property in the City. The City is currently at approximately half of that amount. Mr. DePrima stated that he has requested the City Solicitor to research State Statutes that may limit the actions of a municipality during a reassessment.
Mr. Cooper stated that a reassessment will be conducted every three (3) years, with every third reassessment being conducted by an outside appraiser.
Subject Matter Presented from the Floor by Citizens
There was no one present wishing to address members of City Council.
Mr. Speed moved for adjournment, seconded by Mr. Truitt and unanimously carried.
Meeting Adjourned at 7:56 P.M.
TRACI A. MCDOWELL
ASSISTANT CITY CLERK
All orders, ordinances and resolutions adopted by City Council during the Open Town Meeting of March 4, 2002, are hereby approved.
JAMES L. HUTCHISON
MAYOR
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