LEGISLATIVE AND FINANCE COMMITTEE

The Legislative and Finance Committee met on March 27, 1990, at 8:15 p.m., with Chairman Weyandt presiding. Members present were Councilmen Lynn and Christiansen and Mr. Townsend. Other members of Council present were Mrs. Legates, Mr. Hall, Mr. Daisey and Mr. Salters.

AGENDA ADDITIONS/DELETIONS

Mr. Weyandt requested the addition of item #1A, to consider Records Management Legislation, the deletion of item #3, to consider the closing of 1988 General Obligation Bond Fund, the addition of #3A regarding the vendor policy, and the addition of #4A for consideration of Articles of Incorporation.

Mr. Lynn moved to accept the agenda as amended, seconded by Mr. Townsend and unanimously carried.

RECORDS MANAGEMENT LEGISLATION - SENATE BILL #332

Mrs. Debrah Boaman, City Clerk, received a letter from the State of Delaware Local Records Management, informing that they have submitted legislation, S.B. #332, to the General Assembly and are requesting support from local governments. The legislation points out the need for records management in local government and provides for the creation of a special fund to support an ongoing program of assistance and services concerning the management and preservation of the records of Delaware's local governments. Funding would be provided through the imposition of a $1 fee to be collected by the County Recorder of Deeds at the time a document is recorded.

Mrs. Boaman explained that the State of Delaware Department of Archives has worked closely with the City of Dover (at no charge to the City), helping to coordinate a Records Management program within the City.

Mr. Howard P. Lowell, Chairman and Secretary of the Delaware Local Records Commission, requested that the City of Dover go on record as supporting Senate Bill #332.

Mr. Lynn moved to recommend that a letter be sent in support of Senate Bill #332, seconded by Mr. Townsend and unanimously carried.

CLOSING OF 1985 GENERAL OBLIGATION BOND FUND

In 1985, the City issued general obligation bonds in the amount of $665,000 which included library renovation, three storm sewer projects and the Silver Lake project. The library project was completed and closed in 1987. The storm sewer project included Bradford/Wyoming/Governors Avenue project, Walker Road to Woodcrest Drive and West Tax Ditch project. Storm sewer projects were completed in 1988. The last invoice on the Silver Lake project was paid in February 1990.

Mr. Mike Karia, Finance Director, requested the transfer of the available balance of $19,801, together with the accrued interest, to the General Fund in a separate escrow account for the Silver Lake project and the closing of the 1985 G.O. Bond Fund.

Responding to Mr. Weyandt, Mr. Karia said that the money can be placed back in the General Fund and may be designated for any project. Mr. Weyandt suggested that the money be designated for the Silver Lake project.

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Commenting, Mr. Townsend said the City is currently applying for grant money for Silver Lake and if approved, the City must match the grant and believes it would be best if this money was designated for such.

Mr. Christiansen moved to recommend that the available balance of $19,801, and accrued interest, be transferred to the General Fund, in an escrow account for Silver Lake, and that the 1985 General Obligation Bond Fund be closed. The motion was seconded by Mr. Lynn and unanimously carried.

VENDOR POLICY - CITY OWNED PROPERTY

Letters of request from vendors were considered during the past Legislative and Finance Committee meeting of February 27, 1990. The matter was tabled to allow staff the opportunity to obtain information on the vendor located in the Municipal Lot at the present time.

Mr. Cregar, City Planner, has met with a selected number of Council members, along with Gary Patterson and Larry McAllister, in which it was recommended that a position/recommendation paper be drafted that would supply the City with information such as location and the description of items which would be sold by the vendors prior to approval. The draft has been submitted to the City Solicitor for review.

Information obtained by the Planning Office finds the operations of the current vendor in the Municipal Lot to be legal and recommends the permission of continuing service.

Due to safety reasons, Mr. Cregar stated that permitting additional vendors in the Municipal Lot would not be in the best interest of the City; however, there are various areas within the City that would allow for vendors to locate such as the Silver Lake Recreation Area, Dover Park, softball fields, etc. Mr. Cregar said that the City should adopt a policy to allow utilization of these properties. In addition to that policy, Mr. Cregar stated that the Planning Department would include questions on the business license application which would identify areas where the vendor will operate and the type of operation at the time of the request.

The Planner recommends that Council consider allowing these facilities to be utilized for fixed vendor sites. Once a policy is adopted to permit such uses and designated areas established, the approval or written permission would come from the City Manager's Office. Such approval would be on a first come, first permitted policy.

Responding to questions by members, Mr. Knox stated that in the past, the City let bids for a vendor at Silver Lake (the City took a percentage of the profits). With the condition of the Lake and the fluctuation of users, the profit margin decreased causing the vendor to close.

Mr. Christiansen moved to recommend that Council accept the recommendation of the City Planner and the draft Vendor Policy (Attachment #1), to govern vendors in the City of Dover, seconded by Mr. Townsend and unanimously carried.

Mr. Christiansen stated that the Planner and City Manager's Office should consider all possibilities to control the volume of vendors within the City.

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SENIOR CITIZEN PROPERTY TAX DISCOUNT ADJUSTMENT

At the present time, the City of Dover offers qualifying senior citizens a property tax discount of up to $15,500. To qualify, a single individual cannot earn in excess of $7,000, or a couple in excess of $12,000 (not including Social Security) during the previous calendar year.

As requested by the Legislative and Finance Committee, the City Assessor, Mr. Chappy Lucas, contacted the surrounding tax entities to request their senior citizen discount qualifications. The City of Dover follows closely with the Kent County limitations.

Responding to Mr. Townsend, Mr. Lucas said that income limits are based on total income, less social security.

Mr. Lucas recommended the increase of exemptions as follows:

Mr. Christiansen moved to recommend approval of the increase in Senior Citizen Property Tax Discount figures as proposed by the Assessor, seconded by

Mr. Townsend and unanimously carried.

Mr. Lucas stated that this increase requires an ordinance change which must be read before Council twice before final approval. It was the consensus of present Council members, that an ordinance be prepared to go before Council, and that the Assessor have the necessary documents printed (Attachment #2).

ARTICLES OF INCORPORATION

The Downtown Development Committee submitted the Articles of Incorporation for the Dover Development Corporation.

Mr. Frank Fantini stated that the purpose of the corporation is to help promote, guide and assist in the economic and physical development of the Central Dover area for the benefit of all citizens. The Corporation will provide services and take action necessary or appropriate to assist the City of Dover, or any agency, in carrying out the powers of the City. The Corporation will also carry out projects which promote the public welfare by revitalizing the economy of the central Dover area.

If the Corporation is approved, members will consist of two (2) persons who own and operate businesses located in the central Dover area; one (1) person with legal background; one (1) person with commercial real estate background; one (1) person with finance background; one (1) representative from the Dover Parking Authority; three (3) private citizens; three (3) members of City Council; one (1) City Planner and one (1) City Manager, which would be appointed by the Mayor and confirmed by Council; and one (1) person from State Government with a background in economic and urban development to be appointed by the Governor.

Mr. Lynn questioned Article IX of page 11, where it states, "the corporation reserves the right to amend, change or repeal any of the provision contained in the certificate of incorporation....", stating that the corporation can change the articles if desired, without approval of Council.

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Responding, Mr. Weyandt said there is a safety shield as there are members of Council and members of staff appointed to serve on the corporation.

Responding to Mrs. Legates, Mr. Fantini stated that they are comfortable being a corporation and not an authority. Mr. Fantini said there is no reason for the corporation to have power of condemnation and feels the corporation could accomplish a great deal.

Raising a concern of the corporation's actions, Mr. Daisey feels Council should give approval of deletions and additions to the Articles of Incorporation.

Mr.' Hall stated his reluctance in giving power to any committee or corporation. Council is elected by the citizens of Dover and he felt that it is Council's responsibility to work with the citizens to resolve problems.

Mr. Salters responded to Mr. Hall, stating that Council cannot handle all responsibilities of the City, feeling that utilization of committees and corporations within the City assist Council members in accomplishing more goals.

Mr. Lynn moved to table the Articles of Incorporation, pending consideration by the City Solicitor of Article IX, seconded by Mr. Christiansen and unanimously carried.

REPORT OF HEALTH CARE COMMITTEE

On August 18, 1989, Ms. Swain appointed an Employee Health Insurance Advisory Committee to investigate the health insurance market to determine if health insurance premiums could be reduced while maintaining the current level of health care benefits.

The Health Care Committee suggested the following recommendations to Council:

The Wellness Program should be included in all future annual budgets for the City of Dover.

Staff should advertise for the services of a health insurance professional as soon as possible.

Based on the advice and direction of the health insurance professional, implement the "Section 125" plan and "Self-Insurance" program as soon as reasonably possible.

Responding to Mr. Weyandt, Mr. Les Blakeman, City of Dover Electric Department and Chairman of the Health Insurance Committee, said the committee has reviewed the amount of payments by the current Insurance Company over a period of one year for services to the employees of the City. Mr. Blakeman stated that with self insurance, there would be an individual cap and a group cap to limit exposure to the City. Supplemental insurance would be purchased for expenditures exceeding the amount of the cap.

Mr. Blakeman reported the options and savings stating that no matter what the Committee decides, costs for health insurance will continue to rise regardless of the type or amount of coverage.

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Mr. Weyandt suggested that the City of Dover's current broker (Blue Cross Blue Shield) be contacted for an opinion and further information pertaining to self insurance.

The Committee took no further action and commended the Health Care Committee on their work and dedication.

PROPOSED TEXT AMENDMENTS - CITY ZONING ORDINANCE

During their January 23, 1990, Legislative and Finance Committee meeting, staff was requested to submit a final draft of the proposed amendments to the; Committee after review from the City Solicitor and the Planning Commission. (It is noted by the City Clerk's Office that Zoning Text Amendments require a public hearing.)

The first amendment is a change dealing with Group Homes and Halfway Houses. The Planning Office believes that a deficiency currently exists in the City's Zoning Ordinance regarding Group Homes and Halfway Houses and this amendment should give the City a method to proceed with the establishment of such facilities.

Mr. Weyandt stated that he has a problem with the concept of the proposal, stating that residents residing near a Halfway House would not know who resides at the facility. Mr. Weyandt stated that everyone needing help deserves to receive help, but he will not support the amendment under the condition that the Halfway House can be placed as a conditional use in a residential area.

Mr. Christiansen, concurring with Mr. Weyandt, stated that there is a need for this facility; however, there is no control over who goes into the house. Mr. Christiansen stated that his concern is having no control over the concentration of the conditional uses in one particular area of the City.

Responding to Mr. Daisey, Mr. Cregar stated that due to the fair housing amendments, the Federal Government has mandated that Group Homes and Halfway Houses, dealing with handicapped and mentally ill persons, be treated no differently than single family residences. Mr. Cregar stated that as a City, he feels we should provide living opportunities for others such as this amendment would allow.

Mr. Daisey felt that there could be a large number of facilities in one area of the City which would not allow for equal distribution and the City should have control over the number of homes permitted in an area. Mr. Cregar stated that many studies show that group homes show no impact on residential land values.

After much discussion, Mr. Christiansen moved to table the amendment dealing with Group Homes and Halfway Houses, seconded by Mr. Townsend and carried with Mr. Lynn voting no.

The second amendment was recommended by the Board of Adjustment which modifies the number of stories permitted for garden apartments from two (2) stories to three (3) stories in the RM2 district.

Mr. Townsend moved to recommend approval of the amendment as recommended by the Board of Adjustments and that a public hearing be set for May 14, 1990 at

7:30 p.m. The motion was seconded by Mr. Lynn and unanimously carried.

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The third amendment deals with Day Care Facilities. The Planning Commission has worked with the State's Department of Services for Children to establish definitions and standards consistent with their licensing requirements. In addition, the Commission has also permitted Day Care Centers in all zones where a need has been determined.

Mr. Townsend moved to recommend the approval of the Day Care Facility amendment and that a public hearing be set for May 14, 1990, at 7:30 p.m. The motion was seconded by Mr. Lynn and unanimously carried.

The final amendment is a draft for a new Central Area District (A) overlay, not unlike the Historic District, to serve as a guide for the Planning Commission and Council for considering the development of projects in the downtown development area. It is Mr. Cregar's opinion that this formalizes the study limits and lends credibility to the district.

Mr. Townsend moved to recommend the acceptance of a new Central Area District (A) overlay as recommended by the City Planner and that a public hearing be set for May 14, 1990 at 7:30 p.m. The motion was seconded by Mr. Lynn and unanimously carried.

SOLICITOR'S REVIEW OF 1987 AND 1988 SIDEWALK PROGRAM - TREE PRUNING COSTS

Mr. Rodriguez, City Solicitor, submitted a letter regarding the action taken by Council during their Regular Meeting of March 12, 1990, to reimburse residents who completed their own tree pruning work. Mr. Rodriguez stated that the letter to property owners offering to reimburse them for tree pruning expenses incurred by them in the 1989 Sidewalk Program was fair and accurate, since the City decided not to bill property owners for tree pruning actually done by the City.

Mr. Townsend moved to acknowledge receipt of the City Solicitor's letter of opinion, seconded by Mr. Lynn and unanimously carried.

Meeting Adjourned at 10:10 p.m.

Respectfully submitted,

Francis R. Weyandt Chairman

FRW/dkh

VENDOR POLICY

The City Council has determined that the existing vendor, located in the municipal parking lot east of City Hall, adjacent to the United States Post Office, is legal and should be allowed to continue the present operation at the current location. Further, it is the recommendation of the City Council that any expansion of vendors on the parking lot not be authorized due to the concern for public safety and welfare of vehicular and pedestrian traffic. Additional vending carts at this location would not be in harmony with or appropriate in this portion of the institutional/office zone and may be detrimental to the purpose for which the zone was to be utilized, in this case, for the purpose of a municipal parking lot.

The Council believes that there are other properties under City ownership which would offer the opportunity to establish a fixed vending operation where the assembly of persons connected with and who would utilize the service, would not be hazardous, inconvenient, or in conflict with the normal traffic of the area. Three such areas have been identified: the Silver Lake recreational area, the Dover Park on White Oak Road and the ball-fields used for the City's Softball League. Sites may be expanded with the approval of Council

The Council has determined that these sites should be allowed for fixed vendor locations and directs the City Manager's Office to review such applications for permission to use these sites and where appropriate grant approval. Such approval shall be on a first come, first permitted policy.

Vendor Policy

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In order that the permitting process can be clear and to assure that there is no misunderstanding as to the nature of the type of vending operation being applied for (fixed position vs. mobile conveyance from place to place), the Department of Licensing would institute an additional form that would be an attachment to the license application currently used. It is envisioned that this supplement attachment would require information such as the proposed location of the vending stand, a signature block with a