LEGISLATIVE AND FINANCE COMMITTEE

The Legislative and Finance Committee met on January 23, 1990 at 7:50 p.m. . with Chairman Weyandt presiding. Members present were Councilmen Christiansen, Lynn and Mr. Townsend. Other Council members present were Councilmen Legates, Daisey, Salters and VanSant.

AGENDA ADDITIONS/DELETIONS

Alisa Swain, Acting City Manager, requested the addition of item #2A to discuss Block Grant Availability. Mr. Christiansen requested the addition of item #8A to discuss a covered truck ordinance.

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

ALTERNATIVE INVESTMENT OPTIONS - DEFERRED COMPENSATION PLAN

Mr. Mike Karia explained that at the present time, the City of Dover offers a deferred compensation plan to its employees. This plan provides a means for employees to defer a portion of their income for retirement and offers tax advantages.

The current plan is administered by the International City Manager's Association. The plan works with employee's contributions only, at no cost to the City. The amounts are deducted from employees' gross salaries and sent to the plan manager as per the employees' instructions.

An additional option is the United States Conference of Mayors' which has a deferred compensation plan for public entities. They also offer a variety of investment vehicles for the funds deferred by the employees. Many cities offer both I.C.M.A. and U.S.C.M. plans to their employees, so the employees have a wider range of options for their investments.

Staff recommended that the City offer the United States Conference of Mayors' Plan to its employees. Staff also recommended that Council adopt a resolution and agreement which have been reviewed by the City Solicitor (Attachment lA and 1B).

Mr. Lynn moved to recommend approval of the request as recommended by staff, seconded by Mr. Townsend and unanimously carried.

EMERGENCY SHELTER GRANT PROGRAM FUNDS

A letter was received from the Delaware State Housing Authority, regarding the availability of emergency shelter grant program funds, stating that the U.S. Department of Housing and Urban Development administers the program at the federal level and has allocated $37,000 in ESGP funds to the State of Delaware. This limited amount of funds must be awarded and obligated at the local level within a limited period of time. Ms. Swain explained that if the City wishes to apply for funds through this program, the application deadline is March 30, 1990. Ms. Swain also noted a request from the Ruth N. Dorsey Shelter for additional emergency shelter grant funds. Ms. Swain requested that staff be permitted to draft an application and submit it by the March 30, 1990 deadline to receive such funds.

Mrs. Daniels stated that the City applied for $23,000 for the Ruth N. Dorsey Shelter last year and upon completion of the work, it was determined through the

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Delaware State Housing Authority that there is additional work that must be completed. Mrs. Daniels said that the Ruth N. Dorsey Shelter is the only shelter located in Dover, noting that Shephard Place is located in the County.

Mr. Townsend moved to recommend that staff be permitted to apply for the Emergency Shelter Grant Program Funds for the Ruth N. Dorsey Shelter as recommended by staff, seconded by Mr. Lynn and unanimously carried.

CONSTITUTION PLACE FUND - CLOSING OF ACCOUNT

The City initiated the Constitution Place project in March 1987. A final bill was received and paid in December 1989. The total project revenue was $2,621,137 and the total expenditure was $2,540,992. This has left a balance of $80,145 as of December 31, 1989.

It is requested by staff that the Constitution Place Fund be closed and that the balance of $80,145, including the interest to the date of closing, be transferred to the special escrow account set up in the General Fund.

Mr. Lynn moved to recommend acceptance of the request as presented by staff, seconded by Mr. Christiansen and unanimously carried.

FINANCIAL REPORT - SILVER LAKE DAM

In 1985, the City issued General Obligation Bonds for four projects. The Silver Lake project was the last one, which was completed in November/December 1989. The status of this fund, as of December 31, 1989, is as follows:

The final bill has not been received from the contractor. The funds will continue to earn interest.

Mr. Karia stated that the final status report will be presented and the closing of the fund will be requested in March, after all bills have been paid.

The committee took no action at this time.

MODERN MATURITY CENTER - REQUEST FOR FUNDS UPDATE

During the Legislative and Finance Committee meeting of December 5, 1989, staff was asked to contact Nick Brown in Senator Roth's office in search of funding for the new Modern Maturity Center facility. Mr. Brown contacted Ms. Nancy Anderson, the grants specialist in Washington D.C., who researched the availability of funding for this program. Ms. Anderson noted that other than the Community Development Block Grant Program which had already been researched, there are no programs available to fund this type of project.

Mr. Brown had no recommendations for staff other than seeking funds from Grantin-Aid through the State Legislature. Mr. Brown also suggested the possibility of tax-exempt bonds which could be investigated through the attorney for the Modern Maturity Center.

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Staff contacted Ms. Carolyn Thompson of the Modern Maturity Center with

Mr. Brown's suggestion. Ms. Thompson informed staff that they have been informed that the Grant-in-Aid funds must be used strictly for streets.

Mr. Weyandt stated the City has researched every possible area to help the Modern Maturity Center. Committee members felt that State of Delaware Senators and Representatives may be able to assist the Modern Maturity Center's funding. The Committee took no further action.

PROPOSED TEXT AMENDMENTS - CITY ZONING ORDINANCE

Mr. Cregar submitted three draft zoning ordinance amendments for consideration by the Committee, stating that the drafts have also been submitted to the City Solicitor for review.

The first amendment is a change dealing with Group Homes and Halfway Houses. This proposed ordinance amendment would provide for Group Homes and Halfway Houses, requiring Conditional Use Approval in proposed residential districts except the Mobile Home Park District. The proposed amendment offers a list of required conditions which would be imposed in every case in addition to any other conditions that the Planning Commission might impose as part of an approval. An amendment to the Definitions Section of the Zoning Ordinance is included which defines the terms "Group Home" and "Halfway House".

Mr. Cregar stated that it is the belief of the Planning Commission that a deficiency currently exists in the City's Zoning Ordinance regarding Group Homes and Halfway Houses and that this amendment should give the City a procedure on how to proceed with the establishment of such facilities.

Responding to Mr. Lynn, Mr. Cregar explained that all residential structures require two off-street parking spaces.

The second amendment is a recommendation by the Board of Adjustments which modifies the number of stories permitted for Garden Apartments from two stories to three stories in the RM-2 District.

Under application #40-89, the Board of Adjustment has determined that the permitted number of stories for Garden Apartment Dwellings of "two", shown in Article 4, Section 4.8 of the Zoning Ordinance, is a typographical error which should read "three" stories. In making this interpretation, the Board of Adjustment recommended that the Zoning Ordinance be amended to correct this error.

The third amendment deals with Day Care Facilities. Currently, Day Care is only recognized in residential zones as a conditional use. The Planning Commission has worked with the State's Department of Services for Children to establish definitions and standards consistent with their licensing requirements.

The purpose of this amendment is to define Day Care Facilities in the City of Dover and to treat such facilities in a manner consistent with State licensing requirements. This amendment further permits family day care homes with six or fewer children as permitted accessory uses and exempt from conditional use requirements.

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Day Care Centers, either residential or otherwise, with seven or more children shall be required to obtain conditional use approval by the Planning Commission.

Currently, Day Care Centers have only been permitted in residential zones or limited commercial zones. It was Mr. Cregar's opinion that given today's environment, day care facilities should be allowed in other than just residential zones. This amendment will allow Day Care Centers in any zone where a need has been determined. The main concern of the Planning Commission is that they have an opportunity to review those facilities so that the City can provide life safety.

Responding to Mr. Weyandt, Mr. Cregar said Kent General Hospital is in a residential zone as a conditional use.

Mr. VanSant raised concern of the proposed sign size of nine square feet permitted in a residential area. Mr. Cregar will suggest that the final proposal be submitted as two square feet.

Mr. Cregar stated that the Planning Commission does not review all signs in the historical area and that the ordinance could require that "at the time of conditional use approval for the Day Care Facility, information must be provided for the proposed sign". At the time that the Planning Commission grants approval for the Day Care Center, they would grant approval for the sign.

Mr. Weyandt asked Mr. Cregar to submit a final draft of the three proposals to the Committee after review from the City Solicitor and the Planning Commission.

STREET PAVING/CURB/PATCHING COSTS - 1989/90

Mr. Karia, City Finance Director, reported that the total money spent in the bond issue will be $1,848,104. At the present time $47,700, including estimated interest, remains in this account along with $30,000 for patching repairs.

Responding to Mr. VanSant, Mr. Scrafford replied that during 1988/89, the Public Works Department was involved in the assembly of containers for the automated collection system. Street Patching was not done until the latter part of that year.

Mr. Weyandt commended the Public Works Department on the patching work performed on New Street.

The committee took no action.

TWO READINGS OF ORDINANCES PRIOR TO ADOPTION

As requested by Mayor Richter, the City Clerk submitted a letter to City Solicitor Rodriguez regarding the consideration of a requirement to have two readings, during Council Meetings, of ordinances prior to their adoption.

Mr. Rodriguez stated that this requirement would allow additional time for Council consideration of an ordinance prior to its adoption and would provide publicity to the public of proposed ordinances. In researching this procedure by other cities, the City Clerk reported that most cities do not read an ordinance in its entirety, but rather reads a synopsis of the proposal unless Council requests that the ordinance be read in its entirety.

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Responding to questions of the committee, Mrs. Boaman stated that the City does not advertise proposed ordinances due to the high costs involved; however, copies are given to the press along with Council Press Packets. Mr. Lynn suggested that copies of proposed ordinances be made available to the public at the time of the meeting in case detailed information, not stated in the synopsis, is desired.

Mr. Christiansen moved to recommend that the City Solicitor prepare an ordinance on the reading of ordinances prior to adoption for review by the Committee at its next meeting. The motion was seconded by Mr. Lynn and unanimously carried.

COVERED TRUCK ORDINANCE

Regarding the Route 13 by-pass, Mr. Christiansen feels that a Covered Truck Ordinance should be considered due to the access roads within the City for the bypass. White Oak Road, Division Street, S. Little Creek Road, Leipsic Road, and Lafferty Lane will be used to get to bypass construction areas. An average of 200-300 trucks would use this route on a daily basis over a period of 465 construction days.

Mr. Christiansen suggested that a letter be submitted to the State Legislature for action before the bypass is scheduled to begin.

Mr. Weyandt informed Mr. Christiansen that he believes the Delaware Motor Truck Association is currently working with the Department Of Transportation on a method such as this and suggested that before contacting the State Legislature, the Department of Transportation be contacted for their response.

The Committee requested that Chief Hutchison research the state regulations regarding this issue and report back to the Committee at their February meeting.

QUARTERLY UNCOLLECTIBLES REPORT - AMBULANCE - ELECTRIC

A list for uncollectible ambulance and electric bills for the third quarter of FY90 was submitted for the committee's review. The bills have been pursued by the collections office and an independent collections agency, and have had no action in over one year. Although the bills are written off, collection attempts are continued.

Ambulance Ms. Swain explained that most of the write-offs on this quarterly report, is due to the acceptance of assignment to Medicaid. Ms. Swain stated that the City has a contract with the State which reads that if the City accepts the assignment, the City cannot make any efforts to collect additional amounts from those Medicaid participants. The report also shows deceased patients which have left no estate resulting in the City not being able to collect the fee.

Mr. Lynn moved to recommend that $5,410.00 in ambulance fees be written off, seconded by Mr. Townsend and unanimously carried.

Electric This list consists of accounts which have shown no collection activity for a period of one year or longer. This list has also been screened to insure that no one listed is currently a utility customer.

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Mr. Townsend questioned why the list of uncollectibles only covers the letters A through F. Mrs. Tieman stated that it was her understanding that the uncollectibles were being done alphabetically.

Responding to Mr. Weyandt, Mrs. Tiernan noted that uncollectibles for 1985, 1986, and 1987 are now being written off due to the additional assistance by a full time person recently assigned to these files.

Mr. Christiansen moved to recommend that $1,984.47 in electric fees be written off, seconded by Mr. Lynn and unanimously carried.

FISCAL YEAR 1990 COMMUNITY DEVELOPMENT APPLICATION SCHEDULE

On December 1, 1989 the State of Delaware Development Office/Division of Housing Community Development notified the City of Dover of the availability of Community Development Block Grant funds for FY 90. According to the notice, the deadline for submitting a completed application is March 31, 1990. The funds are made available to the State through a 1.4 million dollar grant received from the U.S. Department of Housing and Urban Development. As in the past, the funds may be used for a number of eligible activities designed to induce community development and revitalization. If it is the intent of the City to participate in this year's program, staff recommended that the proposed schedule be used as a guide in preparing the application.

Mrs. Daniels commented that in the past, the City has been able to rehabilitate 11 houses from demolition. An amount of $300,000 may be requested in this application.

Responding to Mr. Weyandt, Mrs. Daniels stated that the City requested $200,000 last year in which the City was allotted $133,000 towards the rehabilitation of houses.

It is recommended that staff be permitted to use the schedule below as a guide in preparing the FY90 Community Development Block Grant application, understanding that certain dates given may be changed at the discretion of Council.

FY-90 CDBG APPLICATION SCHEDULE

1. FY90 CDBG FINAL POLICY STATEMENT

RECEIVED December 1, 1989

2. LEGISLATIVE & FINANCE COMMITTEE MEETING -review of FY89 CDBG Policies

-acceptance of proposed application schedule -request for setting public hearing date

January 23, 1990

3. COUNCIL MEETING February 12, 1990 -Vote on Committee Action issues

4. ADMINISTRATIVE PUBLIC HEARING February 15, 1990

5. LEGISLATIVE & FINANCE COMMITTEE MEETING February 27, 1990 -review of public hearing comments and

staff recommendation for use of FY90 CDBG funds

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