OPEN SPACE COMMITTEE

PARKS AND RECREATION

The Parks and Recreation Open Space Committee met on July 29, 1999 at 4:00 p.m. with Chairwoman Malone presiding. Members present were Councilman Truitt and Ms. Moerschel. Councilman Pitts and Mr. von Reider were absent. Others present were Mr. O'Connor, Mr. Carter, Mr. DePrima, Mr. Klein, and Ms. McDowell.

Request for Waiver - Payment in Lieu of Parkland - Klein Development Minor Subdivision (North Street)

Mr. Roy Klein of Klein Development Corporation submitted a request for waiver of the payment in lieu of parkland for the minor subdivision located on North Street. Article 5, Section 10.5 of the Dover Code provides for an exemption to recreation area and open space dedication requirements. However, in accordance with Subsection 10.511, residential developments with less than 5 acres of land and less than 10 dwelling units shall be required to provide a full cash donation in lieu of a dedication of land.

Mr. DePrima stated that the minor subdivision proposed by Mr. Klein qualifies for an exemption of the land donation due to the size of the property; however, payment in lieu of parkland in the amount of 10% of the value of the property is required. According to Mr. Lucas, City Assessor, the current value of the property is $54,000, which will require a $5,400 donation in lieu of parkland.

Mr. Klein advised members that by utilizing funding programs provided by the State of Delaware and the City of Dover, he is proposing the development of quality, affordable housing in the downtown area. According to the contract with the Delaware State Housing Authority, the maximum amount that can be charged for the homes is $85,900. The Dover First Start Program will provide $5,000 to the home-buyer to assist in the down payment or closing costs. There are no sales commissions involved in the marketing of the properties. He assured members that Klein Development is only recovering overhead costs for this project and that no sales commissions, impact fees, or open space fees were included in the budget. Since they are operating under such tight financial constraints, Mr. Klein requested a waiver of the payment in lieu of parkland.

Mrs. Malone, noting that the property was not large enough to provide open space, stated that this subdivision would impact the City-owned properties downtown that are providing recreational services to the youth. Although she supports downtown revitalization and this project, she does not support a waiver of the $5,400 since that money would be used for the creation and maintenance of recreational areas.

Mr. DePrima reminded members that the City has been encouraging construction of detached, single-family housing. In cooperation with the City, Mr. Klein, who originally planned to construct five townhouses on this lot, agreed to build detached, single-family homes.

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Responding to Ms. Moerschel, Mr. DePrima felt that a waiver or reduction in the required payment could be granted since all land dedications, parklands, and/or payment in lieu of parkland must be presented to City Council for final review and approval.

Mrs. Malone moved to recommend denial of the request of Mr. Klein for waiver of payment in lieu of parkland for the minor subdivision located on North Street and that a cash donation, in the amount of $5,400 be made for payment in lieu of parkland. The motion was seconded by Ms. Moerschel.

Mr. Truitt suggested that the motion be amended to include a review of the code for the possibility of supporting waivers in the future.

Mr. O'Connor indicated that although downtown redevelopment is necessary, locating citizens in the City may not be prudent if they cannot afford to pay for City services. He suggested that the $5,000 available through the First Start Program be reduced to $4,000 in order to meet the payment in lieu of parkland requirement. Mr. DePrima suggested that the payment in lieu of parkland be included in the closing costs.

Responding to Ms. Moerschel, Mr. O'Connor explained that the amount of $5,000 for the First Start Program is from federal monies received by the City. He suggested that the amount for the First Start Program be increased to $6,350 to allow for the inclusion of the payment in lieu of parkland fee. Mr. Klein agreed that this would be a possible solution.

The motion to deny the request for waiver of the payment of $5,400 for payment in lieu of parkland was unanimously carried.

Mr. Truitt moved for adjournment, seconded by Ms. Moerschel and unanimously carried.

Meeting Adjourned at 4:35 P.M.

Respectfully submitted,

Holly L. Malone Chairwoman

HLM/tam