UTILITY COMMITTEE

The utility Committee meeting was held on October 16, 1991, at 8:24 p.m., with Chairman Levitt presiding. Members present were Councilmen Salters and Daisey. Other members of Council present were Mr. Weyandt, Mr. Hare, Mr. Pitts, Mr. Lambert, Council President Christiansen and Mayor Richter.

AGENDA ADDITIONS/DELETIONS

Mr. Levitt requested that item #2 be considered prior to item #1 and the addition of item #7 - Additional Repairs to Unit #3 and item #8 - Purchase of Vehicles. Mr. Weyandt requested an Executive Session to discuss personnel matters.

Mr. Salters moved to accept the agenda as amended, seconded by Mr. Daisey and unanimously carried.

CHANGE IN FRANCHISE LANGUAGE, - STORER CABLE COMMUNICATIONS

Mr. Jeff Carlson, Manager of Storer Cable, notified members of their intent to change their corporate name. He explained that this change is a provision of the 1989 Franchise Renewal with the Public Service Commission (PSC) . It is proposed to merge General Television Incorporated and General Television of Delaware into one corporate entity named Storer Communications of Delaware, Inc. Since this change will require an amendment to the Franchise Agreement, permission is required from the City. He stated that he wanted to advise the City prior to submitting a formal letter of intent and Resolution.

Mr. Worley stated that action on the matter will be taken when the formal letter of intent is submitted.

HEARING - VONDAWAY DRIVE - ASSESSMENTS

in accordance with Sectior 18.7-2 of the Dover Code, the property owners of land adjacent to the proposed Vondaway Drive Water and Sewer Main Extensions have been notified of the proposed project and that their property will be assessed as a result of the construction.

A map was given to members depicting the affected properties and a list of property owners. Mr. Worley advised members that staff has met with residents of the area and that it is their desire that the project be constructed as soon as possible. Although there are several properties which are currently outside the City limits, these properties would be served by the new sewer main upon annexation and would be assessed for the sewer niain at that time. Mr. Braun stated that the estimated water assessment is $15.80 per front foot and that the estimated sewer assessment is over the maximum set by ordinance which is $40.00 per front foot, totalling $353,238 for the water and sewer main project.

Mr. Mike Keller, R.D. *4 Box 432-E-1, relayed his concern with delaying the project and requested the actual assessments per front foot for the project.

Responding to Mr. Keller, Mr. Worley explained that the actual front foot charge will not be known until after bids are received and that it is staff's estimate that the project will cost $55.80 per front foot. He also stated that property owners will be notified of the actual cost prior to the inception of the project. Mr. Worley stated that it was planned to include the project in the 1992 Water/Wastewater Revenue Bond Issue, which would sche(iule the project for completion by September 30, 1992. In order to accelerate the project, he stated that other possibilities of funding the project are being explored.

2

Mr. Greg Scott, Karins & Associates, addressed members on behalf of the developer of Acorn Lane Apartments, which has not been developed. He advised members that the new By-Pass is located on the eastern side of the Acorn Lane Apartments, which has impacted the developer's ability to develop that portion of the property. Mr. Scott explained that in the late 1970's, the developer installed adequate sewer facilities to serve property known as Independence Village as well as the undeveloped property (Acorn Lane Apartments). Since the original sewer main was installed to serve the entire site and the proposed sewer line would be of no benefit to the owner of the properties, Mr. Scott relayed the owner's objections to the project and any assessments that may be levied against him.

Responding to Council President Christiansen, Mr. Braun stated that the front footage of those properties referred to by Mr. Scott consists of 482 feet. Council President Christiansen questioned if there has been other circumstances where property owners are assessed for the installation of sewer when the properties are not connected to the City's sewer system. Staff responded by stating that the matter would need to be researched.

Mr. Daisey moved to recommend that staff be authorized to proceed with the design and bidding of the Vondaway Drive Water and Sewer Project and that staff research the possibility of extenuating circumstances that would justify making an exception to assessing property owners when City sewer is not needed. The motion was seconded by Mr. Salters and unanimously carried.

By questions of Mr. Weyandt, Mr. Braun stated that there is a total of 4,900 assessable feet of which 2,200 feet is currently in the City limits; therefore, the City would bear the costs for 2,700 feet until those properties are annexed.

C.G.W. ENTERPRISE, INC. - REQUEST FOR UTILITIES

C.G.W. Enterprises has requested that a 1985 agreement be modified to allow the company to receive city water and sewer to land fronting South Governors Avenue. located behind Wendy's restaurant.

Mr. Worley advised members that this is an old issue beginning with a lawsuit in the 1960's whereby the City was required by court order to extend utility services to parcels of land outside the city limits on South Governors Avenue. The interpretation of the court's decision is that it only applies to lots abutting South Governors Avenue. Therefore, when Wendy's was constructed in 1985, an agreement was made whereby Wendy's remained on a single lot between Route *13 and South Governors Avenue creating eligibility for utility service. Now C.G.W. Enterprises wants to develop the land behind Wendy's but needs utility services to do so. The only way this can be accomplished is by modifying the 1985 agreement.

As an alternative, staff considered annexation of the property. Mr. Worley stated that annexation of Wendy's would create an island of city land surrounded by unincorporated land. He stated that an island could be prevented if a portion of Route #13 were annexed at the same time that Wendy's and the adjacent lot were annexed. Mr. Worley explained that this would require the property owners to approach the State of Delaware to receive permission for annexation for that portion of Route #13. Staff recommended that annexation of the area be explored.

3

Mr. Glen Hitchens was present representing C.G.W. Enterprises. He explained that although an on-site water and sewer system could be installed, it would be impractical and wasteful to do so when water and sewer lines are located a few feet away from the property line.

Council President Christiansen advised members that the property is located within the Camden Fire District. He reminded members of past problems created when land located in another fire district was annexed into the City and urged staff to investigate alternatives to avoid a conflict between Fire Companies.

Mr. Salters moved to recommend that staff be authorized to explore the possibility of annexation, seconded by Mr. Daisey aiid unanimously carried.

ACCEPTANCE OF DEDICATION OF RIGHTS-OF-WAY AND UTILITIES - NO.RTHWES.TDOVE.R HEIGHTS: ANN AVENUE/_ALONZO DRIVE,

The developer of Northwest Dover Heights has requested that the streets and utilities be accepted for maintenance and ownership by the City. After construction was completed, staff inspected the improvements and provided the developer with a list of repairs to be made to meet City standards. That work has been completed and a one-year maintenance agreement bond and a release of liabilities have all been submitted.

Staff recommended acceptance of the dedication of Northwest Dover Heights.

Mr. Salters moved to recommend acceptance of staff's recommendation, seconded by Mr. Daisey and unanimously carried.

TRANSFORMER TESTING

In accordance with Federal Law, the City is required to test all of its overhead transformers and dispose of those with PCB's. Staff developed a plan to test all transformers over a two year period. It was estimated to cost $25,000 for this testing in each year. In May 1991, a contract was issued to the low bidder, William Linton at a rate of $40.00 per hour.

Mr. French advised members that a total of $21,160 has been issued to Mr. Linton. He stated that the number of contaminated transformers has been significantly less than expected and that it has been discovered that the testing can be completed this year for a total of approximately $35,000. Mr. French stated that this would require an additional expenditure in the amount of $13,840. Staff recommended that the program be continued with Mr. William Linton for the testing of PCB's up to a total cost of $35,000.

Mr. Salters moved to recommend acceptance of staff's recommendation, seconded by Mr. Daisey and unanimously carried.

PURCHASE ADDITIONAL REPAIRS - UNIT #3

Mr. French advised members that the inspection of Unit #3 is complete and the costs for repairs estimated. It was indicated that a new gth row of blades plus diaphragms, shell cracks and bearing are in need of repairs. Mr. French stated that East Coast Management has agreed to perform the work at a cost not-to-exceed $550,000 in addition to the $301,000 previously authorized.

4

Mr. Saiters moved to recommend that staff be authorized to issue a purchase order to East Coast Management for a not-to-exceed cost of $550,000 for the additional repairs to Unit #3. The motion was seconded by Mr. Daisey and unanimously carried.

Noting that electric equipment has been damaged recently due to lightning, it was suggested that staff research the City's insurance coverage for possible reimbursement of damages.

PURCHASE OF VEHICLES

The Electric Department budgeted for the purchase of three 4-door sedans, to be assigned as follows:

DivisionVehicle

Production#8

Engineering*780

Metering#793

Mr. Worley advised members that the State of Delaware recently issued their contract for passenger cars and that Townsend Brothers is the vendor for the Chevrolet Corsica at a cost of $9,997.

Staff recommended that a purchase order in the amount of $29,991 be issued to Townsend Brothers for the purchase of three Corsicas.

Mr. Salters moved to recommend acceptance of staff's recommendation, seconded by Mr. Daisey and unanimously carried,

Mr. Salters moved to adjourn into executive session to discuss personnel matters, seconded by Mr. Daisey aiid unanimously carried.

Meeting Adjourned at 9:17 P.M.

Respectfully submitted,

Irving S. Levitt

Chairman

ISL/jg