COUNCIL COMMITTEES
The Council Committees Meeting was held on January 10, 2000 at 6:00 p.m., with Council President Christiansen presiding. Members of Council present were Mr. Lambert, Mr. Pitts, Mr. Truitt, Mr. Leary, Mr. Carey, Mrs. Malone, Mr. Salters, Mr. Weller and Mayor Hutchison.
AGENDA ADDITIONS/DELETIONS
Mr. Carey moved for approval of the agenda, seconded by Mr. Truitt and unanimously carried.
LEGISLATIVE AND FINANCE COMMITTEE
The Legislative and Finance Committee met with Chairman Salters presiding. Members present were Councilwoman Malone, Councilman Leary, Mr. Gorman and Mr. Merritt.
Request to Allow Commercial Vending on Residential Property Adjacent to Dover Downs During NASCAR Events - Carl Moore
During their Regular Meeting of June 8, 1998, Council considered the rezoning request of Mr. Carl Moore for property located at 190 Old Leipsic Road. Mr. Moore requested the rezoning to allow commercial vending on his property during race weekends. Council denied the rezoning request and referred consideration of alternatives that would allow for vendors on residential property located near Dover Downs during race weekends to the Legislative and Finance Committee for further review and recommendation. As a result, during the Regular Council Meeting of July 27, 1998, members of Council considered the establishment of a Commercial Vendor Policy During Race Weekends. However, after much discussion, no further action was taken regarding this matter.
At the Open Forum Segment of the Regular Council Meeting of September 13, 1999, Mr. Michael Malkiewicz of Barros, McNamara, Scanlon, Malkiewicz & Taylor addressed members on behalf of his client, Mr. Carl Moore, requesting that members consider an amendment to the current policy that would allow commercial vending on residential property. He explained that the request is for such an amendment to be limited to Old Leipsic Road, for those properties located immediately adjacent to Dover Downs, and to be permitted six (6) days of the year - Friday, Saturday, and Sunday during Nascar races. It was suggested at that time, that a letter be submitted to the Legislative and Finance Committee to consider legislation that would provide the relief as requested. As suggested, Mr. Malkiewicz submitted a letter on behalf of Mr. Moore, requesting that the City permit commercial vending on his residential property adjacent to Dover Downs during Nascar events.
Mr. DePrima reminded members that during previous consideration regarding this issue, Council agreed with the recommendations of the Planning and Police Departments not to allow commercial vendors on residentially zoned property and took no action to amend City ordinances or to establish a policy. He stated that it has been the practice of Council not to create any special exceptions to the zoning ordinances other than those currently provided and outlined in the Dover Code (i.e. variances, code amendments, and rezoning approval). It was his opinion that such exceptions are unlawful under the Code since they circumvent the formal public hearing process established to allow such changes. Mr. DePrima also noted that it has been the practice of Council to take steps to eliminate any past exceptions that were previously granted. Since there have been no substantial changes in circumstances that would warrant reconsideration, staff recommended that the request be denied.
Responding to Mr. Salters, Police Chief Faulkner stated that Old Leipsic Road is not completely closed to motorists during the Nascar events. Motorists may make a left or right turn at the intersection in front of Mr. Moore’s property, although the road is blocked at each end. As the parking lots in the area fill, the roads are closed and then re-opened once traffic settles. He stated that the Police Department has not changed their position on this matter, feeling that an increase in pedestrian traffic will increase the risk of accidents.
Mr. Salters asked if they had surveyed the neighbors to determine their position on the commercialization of the property. Mr. DePrima reminded members that the Planning Department had conducted a survey which was previously considered by members in formulating their decision to deny the request Mr. Moore. He stated that the last action taken on this issue was to codify the policy to allow for commercial parking on residentially zoned property and noted that he was not directed to investigate alternatives.
Although he could empathize with Mr. Moore’s situation, Council President Christiansen expressed his support of the rules and regulations and of the zoning codes that the City of Dover has adopted. He stated that Mr. DePrima and his staff vehemently enforce those codes for the benefit of all citizens.
Mr. Leary questioned why the matter was before them again instead of being handled by staff as a rezoning request. Responding, Mr. DePrima explained that relief could be provided by rezoning of the property or the applicant could request a zoning text amendment.
With regard to the survey of neighboring residents, Mr. Malkiewicz advised members that they conducted a recent survey, which indicated that none of the residents are opposed to Mr. Moore having commercial vendors on his property. He stated that City ordinances allow commercial activities on residential property during race weekend, excluding commercial vendors. Although the City has granted authority for numerous people around Dover Downs to benefit from the race traffic, Mr. Moore has been prohibited from utilizing his property in this same manner. Mr. Malkiewicz felt that allowing commercial vending on Mr. Moore’s property would not cause an increase in vehicular traffic since race fans are parking behind and walking past his property to get to Dover Downs.
Mr. Malkiewicz requested an amendment to the zoning ordinance adopted October 12, 1998 to include “Except on Old Leipsic Road, commercial parking does not include parking commercial vehicles for use by commercial vendors and sales representatives”. He stated that this amendment would grant relief to Mr. Moore and the other property owners on Old Leipsic Road.
Mr. Leary moved to recommend that consideration of an ordinance amendment that would provide an exemption for commercial vendors on Old Leipsic Road during Nascar events be referred to staff for preparation, without prejudice, to be referred back to the committee for their review and recommendation. The motion was seconded by Mrs. Malone and unanimously carried. It is noted that Mr. Leary and Mrs. Malone both noted reservation regarding the reconsideration of this request.
Mr. Leary requested that the Police Department be actively involved in the preparation of the amendment.
Request for Tax Abatement - Lowe’s Companies, Inc.
Members considered an application submitted by Lowe’s Home Centers, Inc. for property tax incentive in accordance with Section 19.5-34 of the Dover Code. The request is for a phased-in 10 year tax abatement on their new store located at 1450 N. DuPont Highway Companies, Inc.
Mr. Lucas, City Assessor, advised members that although the request meets the spending and hiring requirements of the ordinance, the application was submitted after the permitted time for submission. In accordance with Section 19.5-34(b), “Applications may be made at any time prior to the issuance of a Certificate of Occupancy for the subject property. Applications for tax abatement received after the Certificate of Occupancy for a subject property has been issued will be rejected.” Mr. Lucas stated that the Certificate of Occupancy for Lowe’s was issued November 17, 1999 and that the application for property tax incentives was dated November 23, 1999. Upon being notified that the ordinance specifies that no abatement requests will be honored after a Certificate of Occupancy has been issued, the applicants submitted a letter requesting special consideration due to relying on an outside consulting firm to make all the proper applications.
Mr. Chris Conner addressed members on behalf of Lowe’s and noted that there was a six (6) day difference in the submission of the application and certificate. He stated that Lowe’s Companies, Inc. has 600 stores located in 35 states and rely on an outside consulting firm to make timely applications for property tax abatements and tax incentives. Although the firm was provided with the appropriate information to complete the application, it was not filed on time. Once Lowe’s was informed of the situation, they worked diligently with a new consulting firm to make a timely filing of the application. Lowe’s requested special consideration due to the mishandling of the application process by the outside consulting firm.
Mr. Conner suggested that members consider that the Certificate of Occupancy that was issued was temporary, pending minor finishing work, and that a final certificate will be issued on January 17, 2000, after submission of the application.
Responding to Mr. Truitt regarding the possibility of Lowe’s having recourse against the consulting firm for failure to file the application in a timely manner, Mr. O’Connor stated that most contracts with consulting firms have disclaimers since there is a substantial amount of money involved. In this case, the loss to Lowe’s will be approximately $20,000 per year, for 10 years. Mr. Truitt expressed concern with approving this request, since there would be the possibility of setting a precedent for future applicants.
Mr. Leary moved to recommend denial of the request of Lowe’s Companies, Inc. for tax abatement, seconded by Mrs. Malone.
Mayor Hutchison reminded members that there is a distinct difference between a temporary and a permanent Certificate of Occupancy. Should Lowe’s fail to comply with the conditions of the temporary certificate, the City would have the right to close the building.
On a call for the question, the motion to reject the request for tax abatement failed by a vote of two (2) yes and three (3) no (Mr. Salters, Mr. Gorman, and Mr. Merritt).
Mr. Salters moved to recommend approval of the request of Lowe’s Companies, Inc. for tax abatement, based on the fact that it was a temporary Certificate of Occupancy that was issued prior to the deadline for application for tax abatement. The motion was seconded by Mr. Gorman and carried by a vote of three (3) yes and two (2) no (Mr. Leary and Mrs. Malone).
$750,000 Water and Sewer Revenue Borrowing
During the last fiscal year, the City completed the replacement of the Leipsic Road sewage pumping station. The City’s 1999 Budget included a loan from the Delaware Water Pollution Control Revolving Fund in the amount of $750,000, which was planned to partially finance this project.
Mr. Karia, Finance Director/Treasurer, explained that since the project was completed very quickly, there was not sufficient time to apply for the loan during construction. For this reason, the bills for this project were paid from the Impact Fee Reserve account. The total project cost is $1,563,000, of which an amount of $813,000 would be financed by the City’s Water Sewer Improvement Fund and $750,000 would be financed by a loan from the Delaware Revolving Fund. Mr. Karia indicated that the loan would be for 20 years, at an estimated interest rate of 3.7%, with interest and principal payable every six (6) months beginning August 1, 2000, and will be used to replenish the Impact Fee Reserve account. He noted that water sewer revenues are pledged for this loan rather than the City’s full faith and credit.
Mr. Karia stated that the City’s Bond Counsel, Potter Anderson and Corroon, has prepared the legal documents at an estimated fee of $6,000. The fees for the State’s bond counsel is estimated at $3,000, which will also be paid by the City.
Staff recommended adoption of a Resolution authorizing the issuance of $750,000 Water and Sewer Revenue Bonds of the City of Dover for the reconstruction and/or replacement of Wastewater Pump Station No. 7 and that the Mayor and Treasurer be authorized to sign all documents related to this borrowing.
Mr. Leary moved to recommend approval of staff’s recommendation (Attachment #1), seconded by Mrs. Malone and unanimously carried.
Firing Range Equipment
The Police Department’s Firing Range needs renovation and upgrading to meet standards. Funding has been provided in this year’s budget for upgrade of the air handling system and associated range equipment in order to complete the project. Placing the range back in service is expected to save several hundred man-hours per year by allowing on-site training to be performed.
The first phase of the project included the upgrading of the air handling system in order to make it environmentally safe which was previously approved by Council. The final phase is for the purchase and installation of range control equipment which involves the installation of a computerized target control system, a target retrieval system, and shooting stall dividers.
In seeking recommended vendors, it was determined that there were only two (2) possible suppliers identified for this highly specialized equipment. Caswell Detroit Armor of Minneapolis, Minnesota, offered the required equipment for $36,191, and Mancom Manufacturing of Dundas, Ontario (Canada) offered a price of $50,735 for similar equipment. Due to the fact that only two (2) recommended vendors have been identified, staff requested that this purchase be classified as a Sole Vendor/Specialty Supplier and recommended that the contract be awarded to Caswell Detroit Armor for the purchase and installation of range control equipment at the price of $36,191.
Mr. Leary moved to recommend approval of staff’s recommendation, seconded by Mrs. Malone and unanimously carried.
Proposal - Police Motorcycles
The City of Dover Police Department was recently contacted by Mike’s Famous Harley Davidson of New Castle, Delaware, with a proposal to participate in a Police Motorcycle Exchange Program. Chief Faulkner advised members that the program would greatly enhance the motorcycle section of the Police Department. He explained that the Police Department would enter into an agreement with Mike’s Famous Harley Davidson whereby the Police Department would be provided five (5) new police motorcycles annually in exchange for five (5) used motorcycles.
Chief Faulkner stated that during the first year, Mike’s would provide the Police Department with five (5) new police motorcycles in exchange for three (3) 1995 and two (2) 1997 Harley Davidson police motorcycles and $10,176, which would compensate for the older 1995 motorcycles and would not be a factor in the future. The exchange would greatly enhance the image of the motorcycle section by having new motorcycles annually and since the motorcycles are under warranty in the first year of ownership, it will save the Police Department money by eliminating maintenance costs. It will also eliminate the need to purchase motorcycles in the future, saving the City $63,000 under the current five year purchase plan. In addition, this program will eliminate downtime and increase reliability since the motorcycles will always be less than one year old. Chief Faulkner indicated that each year, there will be a cost to the City in the amount of $1,500 for the transfer of equipment from the older motorcycles to the new motorcycles. However, he stated that this cost will be offset by the savings on maintenance costs which exceed $5,400 in less than one year and would continue to escalate as the motorcycles age.
Staff recommended approval of the motorcycle exchange program and to authorize the Chief of Police to enter into an agreement with Mike’s Famous Harley Davidson.
Mr. Leary moved to recommend that the Chief of Police be authorized to enter into an agreement with Mike’s Famous Harley Davidson to participate in the Police Motorcycle Exchange Program. The motion was seconded by Mr. Gorman and unanimously carried.
Land Transfer - Civic Center
A proposed Civic Center in Dover has been under consideration for many years. The Delaware Civic Center Corporation has requested that the City of Dover donate the land known as Frazier’s Pit for the development of a Central Delaware Civic Center. The facility would be built by the State and operated by the Delaware Civic Center Corporation.
Mr. O’Connor advised members that the City has no proposed use for the site. It was staff’s feeling that a State funded and operated civic center, designed to promote tourism and attract major conferences, would be an asset to the community. Staff requested authorization to proceed with negotiations on a land transfer contractual agreement for Frazier Pit, in consultation with Deputy City Solicitor Pepper and Mr. Mike Parkowski, an environmental attorney.
Mr. Leary moved to recommend that the City Manager, Mr. O’Connor, be authorized to proceed with negotiations for the transfer of Frazier Pit, seconded by Mrs. Malone.
Mrs. Malone reminded Mr. O’Connor of Council’s concerns regarding negotiations and requested that Council President Christiansen be present to represent Council during negotiations.
In response to Mr. Carey, Mr. O’Connor stated that the right-of-way easement goes back to the City substation and would not be included in the transfer. Staff recommended that provisions be included in the contract that would allow the City to modify or enlarge the substation if necessary, and to reclaim the property if it is not developed as a civic center.
Mr. Salters suggested that a representative of Delaware State University be involved in the negotiations. Responding, Mr. O’Connor stated that the athletic director for the University is their official representative on the civic center committee and is advised of all meetings.
In order to begin the negotiation process immediately, staff requested that this matter be considered during the Council Meeting later this evening for final approval.
On a call for the question by Mr. Salters, the motion was unanimously carried.
Meeting Adjourned at 7:15 P.M.
UTILITY COMMITTEE
The Utility Committee met with Chairman Lambert presiding. Members present were Councilmen Carey and Weller, and Mr. Nichols. Councilwoman Malone was deputized to serve in the absence of Mr. Kramedas.
Bid - Replacement of Vehicle #774 (1981 Digger Derrick Truck - Electric Department)
The Electric Department has a 1981 International Digger Derrick Truck (Vehicle #774) which was purchased in 1981/82. This truck was used continuously to set poles throughout the City. Due to age and continuous use, it is no longer operable. The cost to refurbish the vehicle has been estimated at $38,000 to $40,000. It was staff’s feeling that the refurbishment would not be beneficial, since it would only extend the life of the vehicle three to four (3-4) years. Bids to replace the digger truck were solicited and received as follows:
Company Total Bid
Altec Industries, Inc. $148,975 (did not meet specifications)
Lift-All East, Inc. $189,000
Eclipse Leasing Corporation $191,500
Funding for the purchase of this vehicle is available in the Transmission and Distribution budget in the Electric Improvement and Extension Fund.
Staff recommended awarding the bid to the lowest bidder that met the specifications, Lift-All East, Inc., in the amount of $189,000, for the purchase of the new International Digger Derrick Truck.
Noting that a replacement truck is currently being leased for $2,300 per month, staff requested that this matter be considered during the Council Meeting later this evening for final approval.
Mr. Weller moved to recommend approval of staff’s recommendation, seconded by Mrs. Malone and unanimously carried.
Mr. Leary moved to recess the committees meeting in order to convene into the Regular Council Meeting. The motion was seconded by Mrs. Malone and unanimously carried.
Meeting recessed at 7:25 p.m. and reconvened at 8:25 p.m.
Annexation/Rezoning Request - 3282 N. DuPont Highway - First United Pentecostal Church of Dover (Wilmington College)
An annexation and rezoning request was received for property located at 3282 N. DuPont Highway, owned by First United Pentecostal Church of Dover. Mr. DePrima advised members that the sale of this property has been finalized and that Wilmington College is now the owner of the property. The property is currently zoned BG - General Business, RM-H - Mobile Home, and A-R - Agricultural and Residential (Kent County zoning classifications) and is currently used for a school. The proposed zoning is I/O - Institutional/Office (City of Dover zoning classification), the proposed use for the property is to remain as a school.
The City Planner, Mr. DePrima, explained that to the north of this site is Scarborough Road that is in the unincorporated portion of the County. To the east is SR-1 that is zoned A (Agricultural). To the south is property located in the unincorporated portions of the County, including Kentwood Mobile Home Park, which is zoned RMH (Residential Mobile Home) and various businesses, which are zoned BG. The properties to the west and across Route #13 are businesses in the City and zoned C-4 (Highway Commercial). Mr. DePrima stated that the Comprehensive Plan did not contemplate areas outside the boundaries; however, in the general discussion of the Institutional Uses zoning classification, it was recommended that all public school buildings and churches in the residential zone should be changed to the I/O zoning classification.
The Interim Annexation Policy considers the area potentially desirable for annexation. These areas should be considered for annexation after an analysis by staff on the impact on existing City services, facilities, utilities, and fiscal vitality. Also to be considered is the goal of the annexation policy which is to avoid the premature annexation of lands that, if developed, would run counter to the goal directing development toward existing infrastructure, and of not lowering the current levels of services provided to the existing population.
Mr. DePrima stated that staff recommended approval of the annexation request. The annexation of an existing school in an urbanized area is in conformance with the Interim Annexation Policy and the Comprehensive Plan. This property is a very visible part of the gateway into the City from SR-1 and Route #13 North. Having this property developed under the guidelines of the City would help insure that it maintains a very high quality appearance.
Considering the above, Mr. DePrima advised members that the Planning Commission recommended approval of the annexation with a zoning classification of I/O.
Mrs. Malone moved to recommend approval of the Planning Commission's recommendation for annexation of property located at 3282 North DuPont Highway, with a zoning classification of I/O (Institutional and Office). The motion was seconded by Mr. Carey and unanimously carried.
Acceptance of Dedication of Rights-of-Way and Utilities - Maggies Way (Bryan Business Park)
The developer of the Bryan Business Park has requested that the street and utilities be accepted for maintenance and ownership by the City of Dover. Members were provided a map depicting the general location and configuration of the subject rights-of-way. After construction was completed, City staff inspected the public improvements and provided the developer with a list of repairs to be made to meet City standards and specifications. All work has been completed and a one year maintenance agreement and bond, and a release of liabilities have been submitted by the developer. The developer has also provided as-built drawings for City records. The following is a list of all public improvements which are to be accepted:
Utilities
8” PVC Sanitary Sewer Main - 410 l.f.
6” PVC Sanitary Sewer Laterals - 215 l.f. (5 laterals)
4’ Diameter Sanitary Sewer Manholes - 2 each
10” Ductile Iron Water Main - 840 l.f.
8” Ductile Iron Water Main - 110 l.f.
6” Ductile Iron Water Main - 35 l.f.
10” Gate Valves - 2 each
8” Gate Valves - 5 each
6” Hydrant Valves - 2 each
Fire Hydrants - 2 each
Roads
Maggies Way - Station 0 + 00 to Station 4 + 80
It was noted that the dedication excludes the private pump station on the property.
Staff recommended acceptance of the dedication of the Bryan Business Park Subdivision with the above referenced public improvements to be included in the acceptance of the dedication.
Mrs. Malone moved to recommend approval of staff’s recommendation, seconded by Mr. Carey and unanimously carried.
Bid - Boring for Electric Utility at Various Locations Throughout the City
The City’s electric utility has an ongoing program in which overhead lines are converted into underground lines. This conversion to underground lines increases the reliability of service and voltage for our residential, business, and institutional customers. The electric distribution lines are put underground through directional boring. The boring work is contracted out by the City.
Mr. O’Connor stated that the current contract for boring ended on December 31, 1999. Bids for directional boring at various locations in the City, based on the cost per foot for boring, were solicited for the period of January 25, 2000 through June 30, 2003. The sole bid was received from Joseph R. Smith, in the amount of $7.75 per linear feet for a 2” single bore with a minimum 100 feet per location. Although the City typically uses 2” bore, charges for other sizes and quantities were provided to members.
Funding for this project is through the Engineering Budget, in the Improvement and Extension Fund.
Staff recommended awarding the contract to Joseph R. Smith, Inc. for directional boring at various locations in the City for an amount not to exceed $350,000, in accordance with the bid received.
Mr. Carey moved to recommend approval of staff’s recommendation, seconded by Mrs. Malone and unanimously carried.
Breaker Replacement (69KV)
The City’s electric utility has a 69KV system with breakers at various substations. Since the breakers were originally installed in 1970, they have exhausted their life cycle. Replacement parts are not obtainable since the original manufacturer has discontinued making this model. The City has adopted new SFG gas-type breakers to be used as the standard for our utility. Currently, there are two (2) breakers that need to be replaced, one at McKee Run and the other at DAFB. The replacement will reduce the prolonged outages and also help Unit #3 to come online to support the electric system.
Bids were solicited for SFG gas type breakers. The sole bid was received from Wesco (Richmond, Virginia) in the amount of $106,845 for the purchase of three (3) breakers. It was noted that the installation of the breakers will be accomplished by City crews.
Funding for this purchase is available through the City’s 1999/2000 Improvement and Extension Fund Budget.
Mr. Carey moved to recommend approval of staff’s recommendation, seconded by Mrs. Malone and unanimously carried.
Mr. Weller moved to adjourn, seconded by Mr. Leary and unanimously carried.
Meeting Adjourned at 8:35 P.M.
Respectfully submitted,
Robin R. Christiansen
Council President
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