REGULAR COUNCIL MEETING
The Regular Council Meeting was held on December 18, 1989 at 7:30 p.m. with Mayor Richter presiding. Members present were Councilmen Hall, Daisey, Legates, Lynn, Christiansen, Levitt, Salters, VanSant and Weyandt.
Council staff members present were Chief Hutchison, Mr. Lucas, Ms. Swain, Mr. Cregar, Mrs. Boaman and Mr. Rodriguez.
The invocation was given by Pastor Doreina Miles, followed by the Pledge of Allegiance.
AGENDA ADDITIONS/DELETIONS
Mayor Richter requested that agenda item #8B be moved to #6A. He also requested the addition of a letter from McGinnis Commercial Real Estate Co. and an executive session to discuss personnel matters.
Mr. VanSant moved for approval of the agenda as amended, seconded by Mr. Lynn and unanimously carried.
ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF DECEMBER 4, 1989
The Minutes of the Regular Council Meeting of December 4, 1989 were unanimously approved by motion of Mr. VanSant, seconded by Mrs. Legates and bore the written approval of Mayor Richter.
REZONING REQUEST - LOTS 37 - 40 ON CARVER ROAD - RACHEL WHITE
A rezoning request was received to rezone property located on Carver Road (lots 37, 38, 39 & 40), located west of West Dover Elementary School and the William Henry Middle School, owned by Rachel White.
Prior to amending the zoning ordinances and zoning map of the City of Dover, a public hearing is required.
By motion of Mr. VanSant, seconded by Mrs. Legates, Council unanimously referred the rezoning request to the Planning Commission and adopted the following Resolution:
A RESOLUTION SETTING FORTH TIME AND PLACE OF PUBLIC HEARING ON A PROPOSED AMENDMENT TO THE ZONING MAP FOR THE CITY OF DOVER AND DIRECTING THAT NOTICE OF SAID HEARING BE PUBLISHED IN ACCORDANCE WITH THE PROVISIONS OF THE DELAWARE CODE.
WHEREAS, certain lands located on Carver Road, west of West Dover Elementary School and the William Henry Middle School with approximately 0.9994+/- acres. are presently zoned for RG-1 use; and
WHEREAS, it is necessary to hold a public hearing prior to amending the zoning map and zoning ordinance of the City of Dover.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. That a public hearing be held in City Hall on February 12, 1990 at 7:30 p.m. on a proposed amendment to the zoning map that would rezone from RG-1 to RG-2 that property located Carver Road, owned by S. Lowan Pitts Day Care Center.
2. That notice of the Public hearing be given in accordance with the provisions of the Delaware Code.
ADOPTED: December 18, 1989
RESOLUTION - LESTER G. MONISMITH
By motion of Mr. VanSant, seconded by Mr. Levitt, Council unanimously adopted the following Resolution which was read into the record by Mayor Richter:
WHEREAS, Lester Monismith, after serving the City of Dover for 35 years, has chosen to retire on December 23, 1989; and
WHEREAS, as Line Crew Leader in the Electric Department, Lester Monismith has gained the respect of the entire line crew with his positive attitude and genuine helpfulness, and in May 1989 he was selected as the City of Dover Employee of the Month; and
WHEREAS, the performance of his duties and responsibilities, and his working relationships, were always characterized by an obvious dedication to getting the job done right which has benefited the City of Dover for many years.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. The Mayor and Council extend their sincere gratitude to Lester Monismith for his contributions to the community, and highly commends him for the manner in which he has carried out his responsibilities and duties as an employee of the City of Dover.
2. The Mayor and Council wish Lester Monismith and his family a happy and peaceful retirement.
3. In appreciation of the many years of dedicated service, the Mayor and Council hereby present the Dover Cup to Lester Monismith.
4. The Mayor and Council direct the City Clerk to make this Resolution a part of the permanent records of the City of Dover in expression of their appreciation to Lester Monismith.
ADOPTED: December 18, 1989
Mr. Monismith was presented with the Resolution, a City of Dover Cup and City plaque by Mayor Richter, who expressed his sincere best wishes to Mr. Monismith during his retirement.
RETIREMENT - EARL G. PRICE
By motion of Mr. Lynn, seconded by Mr. Hall, Council unanimously adopted the following Resolution which was read into the record by Mayor Richter:
WHEREAS, Earl Price has been a faithful employee of the City of Dover Public Works Department since October 22, 1968; and
WHEREAS, Earl Price began his employment with the City as an Equipment Operator; in 1973 he was promoted to Foreman for Street Maintenance, Leaf Collection, and Street Sweeping; and in 1988 was promoted to Supervisor II. in charge of Streets and Sanitation; and
WHEREAS, Earl Price has contributed endless hours to the City of Dover, and his efforts to perform every job to the best of his ability has resulted in an excellent image for the City; and
WHEREAS, after 21 years of dedicated service, Earl Price has chosen to retire effective December 30, 1989.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. The Mayor and Council express their sincere appreciation to Earl Price, for the endless hours he contributed and for the manner in which he carried out his responsibilities and duties as a City employee.
2. The Mayor and Council wish Earl Price and his family a happy and peaceful retirement.
3. In recognition of the many years of dedicated service, the Mayor and Council hereby present the Dover Cup to Earl Price.
4. The Mayor and Council direct the City Clerk to make this Resolution a part of the permanent records of the City of Dover in expression of their appreciation to Earl Price.
ADOPTED: December 18, 1989
On behalf of the City of Dover, Mayor Richter presented Mr. Price with the Resolution, a City of Dover Cup and City plaque. wishing Mr. Price and his family a wonderful retirement.
PRESENTATION OF COMMEMORATIVE PLAQUE - DELAWARE STATE FIRE SCHOOL
On behalf of the City of Dover, Mrs. Legates presented to Mayor Richter a commemorative plaque for the 25th Anniversary of the Delaware State Fire School. The plate is one of only 100 that was presented by the Delaware State Fire School in appreciation of the service and cooperation that the City has offered to the Fire School over the past 25 years. Mrs. Legates stated that Dover was the only city in the State of Delaware to receive this honor.
LEGISLATIVE AND FINANCE COMMITTEE REPORT
The Legislative and Finance Committee met on December 5, 1989 with Chairman Weyandt presiding.
Request for Donation - Modern Maturity Center
The committee continued to review a request by the Modern Maturity Center for a commitment of $75,000 towards their new facility. During a previous committee meeting, staff was directed to investigate the possibility of securing funds that could be brought into the City and designated for the Modern Maturity Center.
After researching this matter, staff could find no funding sources that could be used for this purpose.
The committee directed that staff continue to investigate other sources of funding, suggesting that Senator Roth's office be contacted for assistance.
Paramedic Charges - Smyrna Fire Company - Councilman Christiansen
Due to an accident involving the Smyrna Fire Company the City of Dover submitted a paramedic bill for services rendered. Mr. Christiansen requested that this bill be forgiven, feeling that the City of Dover should not charge neighboring communities for paramedic service when an injury occurs while responding to an emergency. He reminded the committee that other communities offer mutual aid to Dover when needed.
The committee recommended that the paramedic bill sent to the Citizens Hose Company of Smyrna be forgiven, along with a letter of explanation from the City Manager expressing our apologies and our best wishes for those injured. It was further moved that future billings of this nature be brought before the Legislative and Finance Committee for review prior to customer billing.
Mr. Weyandt moved for approval of the committee's recommendations, seconded by Mr. Lynn and unanimously carried.
Banking Service Arrangement
Every two years, the City invites proposals for banking services. In September 1989, the City sent RFP's to nine banks which have facilities in Dover. Out of the nine banks, five proposals were received. Financial comparisons were made, with evaluation results showing the highest net revenue from Delaware Trust Company.
As recommended by the Finance Director, the committee recommended approval of Delaware Trust Company as the primary banking institution for the City of Dover and as the carrier of the City's bank accounts for two years beginning March 1, 1990 and that the Bank of Delaware, Beneficial National Bank, Wilmington Savings Fund Society, Wilmington Trust Company, Second National Bank, Artisans Savings Bank, Sussex Trust Company, and Mellon Bank be accepted as the official Depositories for the City of Dover.
By motion of Mr. Weyandt, seconded by Mr. Lynn. Council approved the committee's recommendation by a unanimous roll call vote.
Electric Revenue Bonds - 1990 Series
In October 1989, Council approved the purchase of a turbine for the Electric Utility. Estimated total cost for the project is $17,230,000. A bond issue in the amount of $18,000,000 is proposed.
Bond Issue Authorization - The committee recommended that City staff be authorized to proceed with the issuance of the bond issue in the approximate amount of $18,000,000. By motion of Mr. Weyandt, seconded by Mr. Lynn, Council unanimously approved the committee's recommendation.
Refunding of Existing Bond - At the present time, the City has $12,895,000 in electric bonds outstanding. The bonds can be refunded by borrowing at a lower interest rate, with an estimated savings of $1,300,000 and a savings of $560,000 in present value dollars.
The committee recommended that staff be authorized to Proceed with the refinancing of existing bonds. Mr. Weyandt moved for approval of the committee's recommendation, seconded by Mr. Lynn and unanimously carried.
Appointment of Bond Counsel - The committee recommended the appointment of Potter Anderson and Corroon as the bond counsel for the bond issue at a maximum fee of $22,500 for the Turbine Project Bond Issue, $15,000 for the Refunding Bonds Issue, and reimbursement of actual out of pocket expenses not to exceed $2.000.
Mr. Weyandt moved for approval of the committee's recommendation, seconded by Mr. Lynn and unanimously carried.
Appointment of Financial Advisor - The committee recommended the appointment of Public Financial Management as the financial advisors for the Bond Issue at a maximum fee of $18,000 for the Turbine Project Bond Issue, a maximum fee of $12,000 for the Refunding Bond Issue, and reimbursement of actual out of pocket expenses not to exceed $1,500.
Mr. Weyandt moved for approval of the committee's recommendation. seconded by Mr. Lynn and unanimously carried.
Vehicle Repair and Maintenance Costs
The Pubic Works Department informed Council that maintenance costs have risen dramatically and recommended that an additional $50,000 be added to the Truck Repair/Maintenance line items in the Sanitation Budget.
Although the committee took no formal action, Mr. Weyandt stated his feeling that faulty equipment, improper use, or improper maintenance could be the reasons for the high costs. He will continue to review this matter with staff.
Automobile Pool Study
The committee was advised that the idea of an automobile pool study will be performed by Alisa Swain by way of personal observation while traveling and observing City vehicles in use.
Parkland Assessment - Response from City Solicitor
City Solicitor was requested to render an opinion regarding the attempt to collect cash donations under Article VI, Section F for developments, which have been approved by the Planning Commission in the past, where no park land or cash donation was required by the Commission. On the question of the Planning Commission's ability to go back and require the developer to make a cash donation. Mr. Rodriguez stated that the City would be absolutely prohibited from attempting to assess the subdivider "after the fact".
As requested by Mr. Weyandt, the Solicitor submitted an amendment to the current Land Subdivision Regulations which would make it mandatory for the Planning Commission to require dedication of land or receipt of money in lieu thereof for parks and playgrounds, and that all decisions of the Commission shall be subject to final review and approval of Council.
The committee recommended adoption of the amendment to Article VI, Section F, as submitted by the Solicitor.
By motion of Mr. Weyandt, seconded by Mr. Lynn, Council adopted the following ordinance by a unanimous roll call vote, effective December 1, 1989.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
The Land Subdivision Regulations of the City of Dover shall be amended by deleting Article VI, Sec. F, Subsection 1 and 2, and by inserting the following in place thereof, effective December 1, 1989.
F. Parks, Open Space, School Sites, and Natural Features.
1.Parks and Playgrounds Shown on City Development Plan. Where a proposed park or playground shown on the City Development Plan is located in whole or in part in a subdivision, the Commission shall require the dedication or reservation of area within the subdivision for a park or playground or shall require a cash donation to be made by the subdivider in lieu of a dedication of land as hereinafter provided.
2.Parks and Playgrounds Not Shown on City Development Plan. The Commission shall require the dedication or reservation of sites of a character, extent, and location suitable to the needs created by a development for playgrounds or parks. In no case shall the Commission require that more than ten (10) percent of the gross area of the subdivision be so dedicated or reserved. The Commission shall give due credit for the provision of open spaces reserved for the common use of all property owners within the proposed subdivision by covenants in the deeds. Generally, the minimum area of contiguous open space acceptable for dedication for public use shall be at least three (3) and preferably five (5) acres. Open spaces with a lesser area may be approved by the Commission whenever it deems that the difference between the area offered and three (3) acres may be made up in connection with the future subdivision of adjacent land or added to an existing recreation area. If the Commission determines that a dedication of land in the subdivision is not practical or feasible as far as the City is concerned from a standpoint of establishment and maintenance of park land and recreational facilities or will not benefit the occupants of the subdivision, the Commission shall require a cash donation to be made by the subdivider in lieu of a dedication of land. This cash donation shall be equivalent to the appraised value of ten (10) percent of the gross land area in the proposed subdivision. The appraised value shall be the fair market value of the land determined as of the date of approval of the subdivision plan. If the City and the subdivider cannot agree upon the appraised value, then they shall have the same appraised by three (3) qualified real estate appraisers, one of whom shall be selected by the City; one of whom shall be selected by the subdivider; and the third shall be selected by the two (2) appraisers previously selected by the parties. The determination of fair market value made by these three (3) appraisers shall be final and binding upon the City and the subdivider. The fees of all three (3) appraisers shall be paid by the subdivider. The cash donation shall be deposited in a separate account to be used for parks, playgrounds or recreational purposes which will serve and act as benefit to the future property owners of the subdivision.
3.Council Approval Required. All decisions of the Commission under subparagraph 1 and 2 of this Section F shall be submitted to Council and shall be subject to final review and approval by Council. (The remaining subsections of Section F would be renumbered to subsection 4. 5, and 6 respectively).
ADOPTED: December 18, 1989
Status Report - Records Management Plan
The City Clerk presented a status report on a Records Management Plan. Goals for the program include fewer and better records, orderly disposition of noncurrent records and preserving valuable records by identifying those which have significant administrative, financial, legal, or research value. A short term goal is to reorganize the City Warehouse storage area and to work with all City departments on record retention schedules and to set a standard for each record. Long term goals include creation of a Disaster Plan for off-site storage of duplicated vital records to allow for continuity of City operations in the event of a disaster that could destroy original documents necessary to the operation of our City.
The City Clerk will continue to work on a Records Management Plan and will keep members of Council abreast of progress.
Proposal of Enhancement of City Council Chambers Sound System
The committee recommended that staff be authorized to issue a purchase order to Vincent Polo in the amount of $3,960 for installation of eight (8) new microphones and gooseneck stands in the City Hall Council Chambers.
By motion of Mr. Weyandt, seconded by Mr. Lynn. Council unanimously approved the committee's recommendation to authorize staff to issue a purchase order in the amount of $3.960 to Vincent Polo for installation of new microphones and stands in the City Hall Council Chambers.
Implementation of Wellness Program
An ad hoc employee health advisory committee has reviewed the City's overall health care system and associated costs. It has become evident that initiation of a Wellness Program could almost immediately reduce health care related costs for employees and the City. Total estimated costs for the program is $6,120 for a six month program (January - June 1990). The proposed budget includes a health risk survey an cholesterol screening for approximately 360 employees as well as quarterly health education meetings, wellness literature and office supplies/materials. Funding for the program would come from the beginning fund balance.
The committee recommended that staff be authorized to implement a Wellness Program to be effective January - June 30, 1990, at an estimated cost of $6,120.
Mr. Weyandt moved for approval of the committee's recommendation, seconded by Mr. Hall and unanimously carried.
By motion of Mr. VanSant, seconded by Mr. Christiansen, Council unanimously approved the Legislative and Finance Committee Report as submitted.
ELECTRIC REVENUE BONDS - 1990 SERIES - AUTHORIZING RESOLUTION
By motion of Mr. Weyandt, seconded by Mr. Christiansen, Council adopted the following Resolution by a unanimous roll call vote:
A RESOLUTION AUTHORIZING THE SALE OF UP TO $32,000.00o ELECTRIC REVENUE BONDS OF THE CITY OF DOVER.
WHEREAS, pursuant to the City Charter (Chapter 158. Volume 36, Laws of Delaware, as amended) and Chapter ill, Volume 52, Laws of Delaware as amended by Chapter 340, volume 57, Laws of Delaware, The City of Dover (the "City"), to provide funds to finance a portion of the City's Electric system, adopted a Resolution on December 23, 1985 (the "Bond Resolution") providing for the issuance of its electric revenue bonds and pursuant to the Bond Resolution it has issued and there remain outstanding $12,625,000 of its Electric Revenue Bonds (Series 1985) (the "Series 1985 Bonds");
WHEREAS, the City has approved certain capital improvements to its Electric System and it desires to issue additional revenue bonds pursuant to the Bond Resolution to pay a portion of the costs of said improvements;
WHEREAS, the City desires to issue additional revenue bonds pursuant to the Bond Resolution to refund some portion or all of the Series 1985 Bonds in order to realize debt service savings;
NOW, THEREFORE. BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, DELAWARE, IN COUNCIL MET:
1. The Council authorizes the sale of the City's revenue bonds pursuant to the Bond Resolution in the aggregate original principal amount of up to $32,000,000 (the "Series 1990 Bonds") for the following purposes:
Estimated Uses of Funds
New Money Refunding
40 mw turbine unit $17,230,000
Refund Series 1985 Bonds $11,070,000
Debt Service Reserve Fund 1,870,000 1,200,000
Underwriter's Discount/Costs
of Issuance 380,000 250,000
$19,480,000 $12,520,000
2. The Series 1990 Bonds shall be sold in a public or privately negotiated sale in such manner, subject to such terms and at such price as the Mayor shall determine shall be in the best interest of the City provided that the true interest costs shall not exceed 8.0% per annum and provided further that bonds for refunding purposes shall not be sold unless the City realizes a present value savings from the resulting debt service. The Series 1990 Bonds shall bear interest at such rates, shall be payable and shall mature at such times, shall contain such provisions for optional and mandatory redemption, shall be in such form, certificated or book entry, and shall contain such other terms and conditions as the Mayor shall determine shall be in the best interest of the City.
3. The Mayor and finance Director are authorized to prepare and distribute a Preliminary Official Statement and an Official Statement in connection with the offering and sale of the Series 1990 Bonds.
4. The Mayor is authorized to enter into a contract with one or more purchasers of the Series 1990 Bonds providing for the City to issue and sell said bonds in accordance with the terms of said contract and this Resolution. In connection with the issuance of bonds for refunding purposes the Mayor is authorized to retain accountants or other consultants to perform verification calculations as well as an escrow agent to act on behalf of the owners of the refunded bonds.
5. Upon entering into a contract to issue and sell the Series 1990 Bonds the Mayor shall promptly inform Council of the terms thereof whereupon Council shall adopt a Resolution confirming the terms thereof.
6. The City Clerk shall forthwith cause to be published once in a newspaper published in the City a notice in substantially the following form:
"NOTICE
"NOTICE IS HEREBY GIVEN that the City Council of The City of Dover., Delaware, on December 18, 1989, pursuant to Chapter 111, Volume 52, Delaware Laws, as amended, adopted a resolution entitled as follows:
'A RESOLUTION AUTHORIZING THE SALE OF UP TO $32,000,000 ELECTRIC REVENUE BONDS OF THE CITY OF DOVER.'
The purpose of the issuance of said bonds is to provide funds (approximately $19,480,000 of bonds) to pay a portion of the cots of certain improvement to the City's Electric System and to provide funds (approximately $12,520,000 of bonds) to refund some portion or all of the City's Electric Revenue Bonds (Series 1985) which currently remain outstanding.
"Any action or proceeding to contest the validity of said resolution or any of its provisions must be commenced within thirty (30) days after the publication of this notice. After the expiration of such period of limitation, no right of action or defense founded upon the invalidity of said resolution or any of its provisions shall be asserted, nor shall the validity of said resolution or any of its provisions be open to question in any court upon any ground whatever, except in an action or proceeding commenced within such period.
"By order of the City Council of The City of Dover, Delaware.
“
City Clerk
7. The Mayor, Finance Director and Clerk of Council are hereby authorized and directed to take all action deemed by them as necessary and appropriate to carry out the intent of this resolution.
8. This resolution shall take effect immediately upon its passage and approval by the Mayor.
PASSED AND ADOPTED an the 18th day of December, 1989.
APPROVED:
Mayor
Attest:
City Clerk
UTILITY COMMITTEE REPORT
The Utility Committee met on December 12, 1989 with Chairman VanSant presiding.
District Heating Proposal
In February 1988, the City received a report on District Heating Feasibility by Dr. I. Oliker and Burns & Roe Company. The report indicated that a district heating system could be built to provide cost savings to large institutional and commercial customers, and additional income to the City. Eventually the system could use some waste heat from the McKee Run Power Plant. Staff has interviewed consultants and recommended that Joseph Technology Corporation, Inc. be utilized to prepare rates and terms of sale, and to prepare specifications. Although the project may be profitable to the City, it will require a substantial investment. Ms. Swain reported that the project has been given low priority and that staff will recommend financing for the project in the 1990/91 budget.
Revised Sidewalk Policy
A proposed revision to the City's sidewalk program was reviewed by the committee. The changes made to the current policy are as follows:
Page 2 - Trees - Alternatives
3. Bow the sidewalk around tree to avoid pruning the roots.
4. Ramp over roots with a maximum sidewalk slope of 1:12.
Page 3 - Billing
Any work done on trees, whether it is pruning or removal, shall be paid for by the City. The property owner shall pay for the straight, flat sidewalk to be installed. If the sidewalk is to be ramped or bowed due to the decision by the City to save the tree, the extra cost of doing so will be borne by the City.
It was suggested by staff that the question of retroactivity for pruning assessments for 1987 and 1988 be considered separately.
The committee recommended approval of the Sidewalk Program Rules and Regulations (as amended), beginning December 12, 1989, with no retroactivity.
As Chairman of the committee, Mr. VanSant offered the following motion. explaining that he would not support the motion since he objects to the provision of no retroactivity.
Mr. VanSant moved for approval of the amended Sidewalk Program Rules and Regulations, beginning December 12, 1989, with no retroactivity (as on file in the Office of the City Clerk), seconded by Mr. Hall.
Questioned by members of Council, Ms. Swain explained that the 1989 Sidewalk Program was approved by Council which excluded $3,125 assessed to property owners for the pruning of tree roots. (It is noted by staff that this did not include reimbursement to property owners that hired a private contractor to perform root removal.)
Mr. Christiansen objected to approval of the amended policy without retroactivity of the changes for the two previous years that the policy was implemented.
On a call for the question on the motion by Mr. Salters, the motion was carried with Mr. VanSant voting no.
Mr. Christiansen moved that the newly adopted policy be retroactive for the 1987 and 1988 Sidewalk Program assessments. The motion was seconded by Mr. VanSant.
Questioned by Mayor Richter on the financial impact of such action, Ms. Swain stated that she did not currently have this data. She felt that much of this information would have to come from the affected property owners.
Noting that the financial impact of such action cannot be determined at this time, Mr. Lynn moved to table the motion for further review by the Utility Committee. The motion was seconded by Mr. VanSant and unanimously carried.
Quarterly Fuel Adjustment Review
The City reviews its fuel adjustment projections at least quarterly and modifies its fuel adjustment in December on a levelized basis for the next calendar year. The 1989 fuel adjustment was set at -$0.01 based on a fuel cost of 35 cents per gallon for the year. This negative fuel adjustment has allowed the City to return an estimated total of $2,318,171.60 to the customer. All excess money has been refunded and it is necessary to raise the fuel adjustment to meet today's cost of fuel.
Staff recommended that the fuel adjustment for January 1990 to December 1990 be set at $0.00210 cents per kilowatt-hour. This would result in an increase of $12.10 on a residential bill for 1,000 kilowatt hours. A typical residential bill of 750 kilowatt hours would increase by $9.07.
Since the fuel adjustment was set at -$0.01 for 1989, customers received a $7.50 credit for a residential bill of 750 kilowatt hours. Mr. VanSant explained that by eliminating the -$0.01 credit, the proposed fuel adjustment of $0.00210 actually only increases the bill by $1.57.
The committee recommended that the fuel adjustment for January 1990 to December 1990 be set at $0.00210 per kilowatt hour, subject to quarterly review for adjustment.
For the benefit of the citizens, Mr. Vansant reiterated that the City has given back close to $5M over the last two and one-half years, in the form of a customer rebate at one cent per kilowatt hour consumed. With only a balance of approximately $40,000 remaining in the fuel adjustment fund, the rebate has been terminated. In the interim, the per gallon purchase cost of fuel has increased to approximately 45 cents per gallon. With termination of the rebate program and the increased cost of fuel, it is necessary to increase the fuel adjustment rate.
Mr. VanSant moved that effective January 1, 1990 the fuel adjustment for January 1990 to December 1990 be set at $0.00210 per kilowatt hour and that the rebate of one cent per kilowatt hour be terminated. The motion was seconded by Mr. Salters and carried by a unanimous roll call vote.
Mayor Richter reminded the public that the City will continue to review the fuel adjustment on a quarterly basis in an attempt to keep the fuel adjustment account at a zero balance.
Request for Acceptance of Streets and Utilities - Baltray
During previous committee meetings, concern was expressed regarding the street grade and manholes in Baltray and the committee deferred action on acceptance of Baltray streets and utilities for further investigation by staff.
Staff reported that the necessary work in adjusting two manholes and the paving at Baltray has been completed. The committee recommended acceptance of dedication of rights-of-way and utilities for Baltray, noting that a one year maintenance agreement and bond have been submitted.
Mr. VanSant moved for acceptance of the streets and utilities in Baltray as recommended by the committee, seconded by Mr. Hall and carried by a unanimous roll call vote.
Electric Relocation Agreement - S. State Street, from Webbs Lane to Route #10
The Department of Transportation has presented the Electric Department with prints of S. State Street Extended and requested that all existing equipment be accurately located.
The Relocation Agreement is a standard Letter Agreement which indicates the compliances, preparations, and financial commitments of both the State and the City. Specifically, the City is responsible for drawings, specifications, and estimates. The City will see that the work is performed in accordance with the appropriate laws, rules and regulations. The City will be reimbursed for all costs attributable to the relocation; however, it does not include betterment and salvage values. The committee recommended acceptance of the Letter Agreement with the State of Delaware, Department of Transportation. for relocation and adjustment to all existing equipment located on S. State Street Extended, from Webbs Lane to Route #10.
By motion of Mr. VanSant, seconded by Mr. Hall, Council accepted the committee's recommendation by a unanimous roll call vote.
Bids - Transformer Purchases
The supply stock of three phase transformers is low. Bids were solicited, received, and evaluated by the Electric Engineering Department. The committee recommended that the bids be awarded to the lowest bidder, AJP Electric, as follows: 1) Six - 500 KVA, 12470 GRDY/7200 volt primary, 208/120 volt secondary, three phase pad mounted, in the amount of $49,254; 2) Six - 500 KVA, 12470 GRDY/7200 volt primary, 480/277 volt secondary, three phase pad mounted, in the amount of $49,212: and 3) Six - 300 KVA, 12470 GRDY/7200 volt primary, 208/120 volt secondary, three phase pad mounted, in the amount of $37,320.
Mr. VanSant moved to authorize that three purchase orders be issued to AJP Electric in the amounts of $49,252, $49,212 and $37,320 for the purchase of 18 three-phase transformers. The motion was seconded by Mr. Hall and carried by a unanimous roll call vote.
12kV Relocation - Coopers Corner
Bids were solicited for the relocation of the 12kV distribution lines along a portion of State Street. This is to include all poles and equipment, adjustment of service lines and for the intersection of State Street, Wyoming Avenue and Roosevelt Avenue to be converted to underground. The State will reimburse the City for the cost of this contract. The engineer's estimate was $163,666. The low bid was received from Alfred J. Fry in the amount of $92,990.
Work was scheduled for January 2, 1990 but has been delayed until the State completes all right-of-way agreements. Once the project begins, it will take approximately three months for completion.
The committee recommended that a purchase order be issued to Alfred J. Fry III, Inc. for the sum of $92,990 for the relocation of the 12kV distribution lines along a portion of State Street.
Mr. VanSant moved for approval of the committee's recommendation, seconded by Mr. Hall and carried by a unanimous roll call vote.
Impact Fee - Enterprise Business Park
The committee was advised that during site plan reviews over the last month, an unusually high impact fee was determined for one of the sites at Enterprise Business Park. The impact fee ordinance states "No EDU's (Equivalent Dwelling Units) shall be transferred from one property to another property whether or not such properties are owned by the same person."
With the ongoing development of Enterprise Business Park parcels, staff proceeded to conduct an analysis of the ordinance to determine the rationale behind the restriction on transfer of EDU's, and has concluded that there is no compelling reason to continue enforcement of the provision as written in the ordinance. Staff recommended that property owners be allowed to transfer EDU's from one property to another, providing that the original property must pay the full impact fee for any future development, as if there had been no previous use of the site. Staff does feel that this should be