REGULAR MEETING
June 13, 1977
The Regular Meeting of Council was held on June 13, 1977 at 7:30 P.M. with Vice-Mayor Muir presiding. Members present were Messrs. McDonough, Weyandt, Hardcastle, Carey, Witt, Carson and Bewick. Mayor Legates was absent.
In the absence of Reverend J.H. Williams, Council Chaplain, Councilman Hardcastle offered the invocation.
AGENDA ADDITIONS
Item #20
Mr. James requested an additional agenda item relating to an update on the Downtown Revitalization.
Item #21
Mr. James requested an Executive Session to discuss certain litigations in the case of Jones vs. the City of Dover.
Item #19 (d)
Mr. James requested an agenda addition under Correspondence, Item (d) to present a letter from Berry Van Lines concerning a request for a temporary office trailer.
MINUTES - MAY 23, 1977
Mr. McDonough requested a correction in the Minutes of May 23, 1977, under the heading “General Fund Budget for the Months of January, February and March”. In the Minutes it was sated that Mr. McDonough moved to return to the Quarterly Report format for the General Fund Budget. He requested that this be corrected to read, “Mr. McDonough moved to return to the monthly report format for the General Fund Budget Report”.
Mr. Bewick referred to the heading in the Minutes of May 23, 1977 relating to the acceptance of the Peterseil property for annexation. The Minutes reflected that Mr. Bewick stated that the State is now involved in a Court case with the rendering plant in that area due to the odor. (The City Clerk monitored the tape of May 23, 1977 and found the following statements relating to the above.
Mr. McDonough: “Why hasn’t the State or County done something about the odor by now?”
Mr. Bewick: “I think they are in Court now and have been for a long period of time.”
The Minutes of the Regular Council Meeting of May 23, 1977 were accepted as amended by motion of Mr. Weyandt, seconded by Mr. Bewick and bore the written approval of Vice-Mayor Muir.
RESOLUTION - HATTYE MAE BIDDLE
By motion of Mr. McDonough, seconded by Mr. Witt, Council unanimously adopted the following resolution.
WHEREAS, Mrs. Hattye Mae Biddle was Chairwoman of the Dover Days activities for the Friends of Old Dover and other civic organizations.
WHEREAS, Mrs. Hattye Mae Biddle is an active member of the Friends of Old Dover and other civic organizations.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
That the Mayor and Council wish to commend Mrs. Hattye Mae Biddle for the excellent job done by both her and the Friends of Old Dover in presenting Dover to its many visitors and celebrities during the most recent Dover Days, held May 14 and 15, 1977.
ADOPTED JUNE 13, 1977
RESOLUTION - LAWRENCE GINSBURG
By motion of Mr. Witt, seconded by Mr. Carey, Council unanimously adopted the following resolution.
WHEREAS, Larry Ginsburg was hired by the City of Dover in 1968 as a part time Recreation Director to implement the first City-sponsored Recreation Department; and
WHEREAS, in this capacity, Larry Ginsburg was given full responsibility to organize a recreation program that would provide leisure time activities for people of all ages; and
WHEREAS, Larry Ginsburg met this requirement extremely well by initiating and organizing a summer playground activities program for school age children, a softball league, a basketball league, a slimnastics exercise program and open gyms for free play; and
WHEREAS, Larry Ginsburg found it necessary to resign as part time Recreation Director at the end of 1975 to make way for a full time Recreation Director.
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 deep appreciation to Larry Ginsburg, not only in their own behalf, but in behalf of the citizens of Dover, for devoting his time, attention and efforts to developing a recreation program that has been well accepted by the citizens of Dover.
2. The Mayor and Council express their regret that Larry Ginsburg will be moving from the Dover area and wish him happiness and success at all future endeavors.
3. 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 Larry Ginsburg.
ADOPTED JUNE 13, 1977
UTILITY COMMITTEE REPORT
The Utility Committee met on June 6, 1977 at 7:00 p.m. with Chairman Bewick presiding.
Delaware Teleservice - Proposed Rate Increase
The Utility Committee discussed a proposed rate increase by Delaware Teleservice with Mr. Lloyd Smith and Mr. James Faucette present.
Provisions in the franchise contract between the City of Dover and Delaware Teleservice direct that before a rate increase can be considered certain financial information must be submitted to the City of Dover. The City Manager informed the Committee that this information had not been received by his office.
The Committee directed the Company to produce a balance sheet outlining a rate of return verses expenses encountered on the basic system. The balance sheet would include financial data for the past two years and will be presented to the Committee during their meeting of July 5th.
The City Manager also questioned the practice of Delaware Teleservice negotiating commercial rates for businesses within the City of Dover and Dover Air Force Base proper, stating that this is in direct violation of the franchise which states that all rates must be approved by Council.
Trash Pickup - Capital School District
Dr. Edward Powell, Superintendent of the Capital School District, addressed the Committee requesting that they reconsider the notification to him that the City will limit trash pickup to two cubic yards per school location.
Dr. Powell was informed that anything in excess of two cubic yards is in direct violation of the City ordinance. After a lengthy discussion, Dr. Powell withdrew his request, stating that his main interest in this matter is the conceptual relationship between the City and school district.
The Committee suggested that the Public Works Department conduct a study of commercial, industrial and institutional facilities within the City to determine the feasibility of purchasing equipment to serve same, charging a fee that would make this service self-supporting.
Proposed Grass Ordinance
Mr. Lockwood Emmert presented a proposed grass ordinance that would amend the present ordinance.
After reviewing the proposal it was suggested that Mr. Rodriguez contact Nimlo for sample ordinances from other cities in the country for the purpose of review and recommendations by the Committee.
By motion of Mr. Hardcastle, seconded by Mr. Weyandt, Council unanimously accepted the report of the Utility Committee as submitted.
LEGISLATIVE AND FINANCE COMMITTEE REPORT
The Legislative and Finance Committee met on June 8, 1977 at 4:45 p.m. with Chairman Muir presiding.
Revenue Sharing Applications
The Committee reviewed applications for Revenue Sharing funds from the following organizations.
(1) Dover Little League (2) Geriatric Services (3) Modern Maturity Center (4) Kent-Sussex Industries, Inc. (5) YMCA (6) Delaware Disadvantaged Foundation (7) Del-Tech Kent Campus (8) Harvest Years Senior Center (9) City of Dover General Fund
Change of Municipal Election Date Legislation
Mr. James informed the Committee that the bill to change the Municipal Election date has been challenged on the Senate floor as unconstitutional. State law prohibits a legislative body from extending the term of office of an elected official.
Following a meeting with Senator Zimmerman and Senate attorneys it was recommended that the bill be rewritten in the following manner.
“The Mayor will be elected in January of 1978 for a term of two years and three months, said terms expiring on May 1980 as will four Councilmen whose terms will expire in 1978.
The four Councilmen elected in 1977 whose terms expire in 1979 will be elected in 1979 for a period of two years and three months, said terms expiring in 1981 and thereafter each term of office will then be two years.”
Mr. Witt moved to adopt the bill as rewritten by Senate attorneys to change the Municipal Election Date. The motion was seconded by Mr. Weyandt and unanimously carried.
Employee Insurance Contract
The City Manager presented to the Committee his proposals for employee insurance from Aetna Insurance Company and Blue Cross. It was his recommendation that the City of Dover accept the proposal of Blue Cross for fiscal year 1977-78. The Committee voted for the recommendation of the City Manager.
Mr. Weyandt reminded Council that this would be an additional expenditure of $39,000 out of the General Fund.
Mr. Witt moved for the recommendation of the Committee, seconded by Mr. Weyandt and unanimously carried.
By motion of Mr. Witt, seconded by Mr. Hardcastle, Council approved the Legislative and Finance Committee report as submitted.
PUBLIC HEARING - GENERAL FUND BUDGET FOR FISCAL YEAR 1977-78 & REVISED BUDGET FOR 1976-77
A public hearing was duly advertised for this time and place to consider the adoption of the General Fund Budget for fiscal year 1977-78 and the Revised Budget for fiscal year 1976-77. Vice-Mayor Muir declared the hearing open.
Council first considered the Revenue Sharing allocations, as recommended by the Legislative and Finance Committee.
Mr. Hardcastle asked for a review of the methods used to determine the amount of allocations in revenue sharing to the General Fund, stating that only 11% or 12% of the grant is being recommended to other agencies. He noted that throughout the Country questions are being raised concerning certain minority groups only getting small grants. He did not want the City to get in a bind in that area.
Dover Little League - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application by the Dover Little League. Mr. Weyandt questioned the Committee’s recommendation to grant the League $2,000 with the stipulation that the sum be used to pay interest on their outstanding debt to the City and the remainder be applied to the principle. Council, in a previous meeting, waived the principle and interest payment for fiscal year 1976-77.
Mr. James explained that the $2,000 grant would be paid July 1st, for the purpose of subsidizing the League’s 1977 budget. The waiver granted by Council is related to the 1976 payment of principle and interest which is due on June 30, 1978.
Mr. Witt moved, seconded by Mr. Carey, that $2,000 be allocated to the Dover Little League, stipulating that this sum be used to pay principle and interest payments to the City on their outstanding debt. The motion was unanimously carried.
Geriatric Services - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application by Geriatric Services for an allocation of $10,000. There was no one present to speak for or against the application. Vice-Mayor Muir declared the hearing closed.
Mr. Hardcastle moved for approval of a $10,000 grant to the Geriatric Services, seconded by Mr. Weyandt. The motion was carried by a vote of six (6) yes, one (1) not voting - Mr. McDonough.
Modern Maturity Center - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open to consider the application of the Modern Maturity Center for Revenue Sharing funds. There was no one present to speak for or against the application. Vice-Mayor Muir declared the hearing closed.
The Committee recommended that $7,000 be allocated to the Modern Maturity Center and $7,000 to that organization’s MANNA Program.
Mr. McDonough asked if the MANNA Program is completely funded by federal funds, and if so fr what purpose is the $7,000 being utilized.
Mr. Bewick moved that $7,000 be allocated to the Modern Maturity Center and that $7,000 to the MANNA Program be allocated only if it is needed to match funds from the federal government or other agencies, otherwise the request be denied. The motion was seconded by Mr. McDonough and unanimously carried.
Kent-Sussex Industries, Inc. - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application of Kent-Sussex Industries, Inc., for an allocation of $17,500. There was no one present to speak for or against the allocation. Vice-Mayor Muir declared the hearing closed.
Mr. Weyandt moved to approval of the $17,500 grant, seconded by Mr. Hardcastle and unanimously carried.
YMCA - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application of the YMCA for Revenue Sharing funds. Mr. David Dougherty, representing the YMCA, was present stating that although the Committee did recommend an allocation of $3,000 to the YMCA for their day camp program, they did not consider a $5,000 request to convert an auxiliary parking lot into two tennis courts. He asked for consideration of this request.
Questioned by Mr. Witt, Mr. Dougherty stated that the courts would be open to members and non-members on a pay as you go basis for lessons. It was his feeling that the courts on the YMCA property would alleviate some crowded conditions at other courts.
Mr. McDonough pointed out that the YMCA’s application was filed beyond the deadline of May 15th and other organizations had been refused because of this.
Vice-Mayor Muir declared the hearing closed.
Mr. Witt moved, seconded by Mr. Carey, that the YMCA be granted $3,000 to fund their day camp program. The motion was unanimously carried.
Delaware Disadvantaged Foundation - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application of the Delaware Disadvantaged Foundation.
Mr. Wallace Waite, President of the organization, and Mrs. Virginia Carson, an instructor, were present to address Council. Mr. Waite outlined other grants which incorporated $12,000 from the United Methodist Church, $2,000 and one worker from the Kent County Levy Court and the recommended $2,000 from the City of Dover. Since he had cut his budget to $22,615 Mr. Waite requested an additional $6,615.
Mrs. Virginia Carson, a certified instructor in secondary and adult education, addressed Council explaining that the pre-GED education furnished DDF is necessary to help non-readers to function in society.
Vice-Mayor Muir declared the hearing closed. Mr. McDonough moved to allocate $2,000 to Delaware Disadvantaged Foundation as recommended by the Committee. The motion was seconded by Mr. Carey.
Mr. Hardcastle moved to amend the motion allocating $4,000 to Delaware Disadvantaged Foundation. The motion was seconded by Mr. Bewick. A vote on the amendment resulted in six (6) yes, one (1) no - Mr. McDonough. The amendment was carried.
Council voted six (6) yes, one (1) no - Mr. McDonough on the motion as amended. The motion was carried.
Del Tech - Kent Campus - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on application by Del Tech - Kent Campus for a grant of $15,000. There was no one present to speak for against the grant. Vice-Mayor Muir declared the hearing closed.
Mr. Witt moved for denial of the application for $15,000 as recommended by the Committee, seconded by Mr. Bewick. The motion was unanimously carried.
Harvest Years Senior Center - Revenue Sharing Grant
Vice-Mayor Muir declared the hearing open on the application of Harvest Years Senior Center for a Grant of $1,000. There was no one present to speak for or against the grant. Vice-Mayor Muir declared the hearing closed.
By motion of Mr. Hardcastle, seconded by Mr. Witt, Council unanimously granted approval of the request.
City of Dover General Fund Grant
Vice-Mayor Muir declared the hearing open for a grant of $700,000 to the General Fund of the City of Dover.
The Legislative and Finance Committee recommended an allocation of $700,000 and that the remainder of the funds be used in allowable categories, setting aside an amount to purchase an additional Senior Surrey during the fiscal year 1977-78.
In a discussion by Council, Mr. Weyandt expressed the necessity of purchasing a Senior Surrey to begin the replacement rotation of the older units. He suggested including this purchase in the motion to allocate $700,000 to the General fund, using unallocated funds permissible for the expenditure.
Mr. James informed Council of a requirement that necessitates equipment with the capability of loading and unloading wheel chairs, which increases the cost of the Surrey by a substantial sum.
Mr. David Perman of 860 Wilson Drive, addressed Council stating that in the last five years the Police Department’s budget has grown over 60%. He did not feel that the crime rate of Dover warranted this expenditure and suggested spending this money in other areas.
Vice-Mayor Muir declared the hearing closed. Mr. Hardcastle moved for the recommendation of the Legislative and Finance Committee, which allocated $700,000 to the City of Dover General Fund with the remainder to be used in allowable categories, setting aside an amount to purchase an additional Senior Surrey during the fiscal year 1977-78. The motion was seconded by Mr. Carey and unanimously carried.
Adoption of the General Fund Budget 1977-78 & Revised Budget 1976-77
Vice-Mayor Muir declared the hearing open to consider the adoption of the General Fund Budget for fiscal year 1977-78 and revised budget for fiscal year 1976-77. There was no one present to speak for or against the adoption of the budgets.
Mr. Hardcastle moved to adopt the General Fund Budget for fiscal year 1977-78 and revised budget for fiscal year 1976-77 as submitted. The motion was seconded by Mr. McDonough.
Mr. McDonough asked if the budget provided for the funds needed to pay the County for back landfill charges in case the Court rules against the City.
Mr. James stated that this was considered under Capitol Expenditures. The County charges would amount to approximately $24,000 per year, for use of the landfill. If the budget could not provide this amount a user fee could be a possibility.
By a unanimous roll call vote, Council approved the General Fund Budget for fiscal year 1977-78 and the Revised Budget for fiscal year 1976-77 and adopted the following ordinance.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. The amounts hereinafter named, aggregating Five Million Three Hundred Eleven Thousand, Two Hundred Dollars ($5,311,200) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use of the several departments of the Municipal Government for the fiscal year beginning July 1, 1977 and ending June 30, 1978.
CITY CLERK’S AND TREASURER’S OFFICE
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
CITY MANAGER’S OFFICE-ADMINISTRATION
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
AMBULANCE SERVICES
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
$ 28,120
3,950
6,300
200
37,930
3,925
89,370
465
112,300
1,050
600
27,900
$ 38,570
131,690
141,850
SENIOR SURREY
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
ENGINEERING OFFICE
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
FINANCE DEPARTMENT - COMPUTER CENTER
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
FINANCE OFFICE
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
FIRE DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
FIRE MARSHAL’S OFFICE
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
66,670
1,820
1,520
12,850
66,640
950
530
1,725
31,420
5,360
420
14,100
84,780
2,550
35,530
1,200
47,270
6,700
12,900
20,610
12,490
950
2,200
1,020
82,860
69,845
51,300
124,060
87,480
16,660
EMERGENCY OPERATIONS
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
HEALTH INSPECTION DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
PUBLIC INSPECTION DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
OFFICE OF MAYOR AND COUNCIL
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
PARKS AND RECREATION DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
Construction & Other Capital Expenditures
TOTAL
PLANNING COMMISSION
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
- -
100
- -
- -
10,250
280
250
600
74,510
3,400
10,300
2,200
2,290
1,600
12,740
- -
90,100
18,590
37,260
850
4,000
1,430
1,800
3,960
- -
100
11,380
90,140
16,630
150,800
7,190
POLICE DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
Construction & Other Capital Expenditures
TOTAL
PUBLIC WORKS-ADMINISTRATION
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
BUILDING AND GROUNDS
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
MAINTENANCE SHOP
Personnel
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
STREET DEPARTMENT
Personnel
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
TRASH DEPARTMENT
Personnel
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
1,090,600
47,000
37,550
144,500
5,000
45,270
1,680
1,600
2,700
130,390
15,080
26,940
9,350
52,740
8,350
16,000
1,200
168,850
38,200
2,600
41,600
173,800
2,600
4,750
40,150
1,324,650
51,250
181,760
78,290
251,250
221,300
STORES DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
TAX ASSESSOR’S OFFICE
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
WATER DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
SEWER DEPARTMENT
Personnel Services
Materials, Supplies & Maintenance
Administrative & Other Expenses
Vehicles & Equipments
TOTAL
OTHER BUDGETARY ITEMS
Parking Authority
Contribution to Pension Fund
Debt Service
Health & L.I.D. Insurance Reserve
Transfer to Capital Improvement Fund
TOTAL
GRAND TOTAL
22,070
800
3,650
175
50,180
200
680
750
81,150
54,950
96,750
11,300
80,150
14,850
462,050
4,400
15,000
50,000
1,081,000
35,000
116,770
26,695
51,810
244,150
561,450
1,297,770
5,311,200
2. The City Manager is hereby authorized without further approval of the City Council to make interdepartmental transfers of up to 10% of the amount herein appropriated to any department.
ADOPTED JUNE 13, 1977
ROBBINS HOSE COMPANY - PROPOSAL TO PURCHASE FIRE TRUCK
Mr. James reported a proposal from Robbins Hose Company, dated April 27, 1977 to purchase a new fire apparatus at a total cost of $94,800. He reminded Council that he was directed to set aside certain sums of money in the Capital Improvement Budget over a four year period for this purpose. This sum of money is not included in the 1977-78 budget and Mr. James has informed officials of the Robbins Hose Company to this fact.
Considering the date of April 27, 1977 on the proposal from the Robbins Hose Company, Mr. Witt asked why it was not submitted prior to April 1st. Mr. James answered that the proposal had been in his hands approximately two to three weeks.
Mr. Hardcastle moved to refer the proposal to the Legislative and Finance Committee, seconded by Mr. Witt and unanimously carried.
PUBLIC HEARING - ELECTRIC FUND BUDGET 1977-78 & REVISED BUDGET 1976-77
A public hearing was duly advertised for this time and place to consider the adoption of the Electric Fund Budget for the fiscal year 1977-78 and Revised Budget for fiscal year 1976-77. Vice-Mayor Muir declared the hearing open.
Mr. Perman, of 860 Wilson Drive, addressed Council with four items of concern and requested an explanation. The questions were as follows:
1. The very large increase in expenditures for materials and supplies.
2. The low cost or power to PJM verses high cost to Dover users, and consideration of an increase in rates to PJM to help decrease Dover rates.
3. Consideration of a monthly publication of the fuel adjustment and its calculations, pointing out an error in the fuel adjustment.
4. Consider a fund to eliminate or attenuate the environmental problems resulting from Unit #3.
Reviewing his questions in the order given, Mr. Perman stated that the request for funds for materials and supplies in the Electric Budget for 1977-78 was in the amount of $492,000. This is a $217,000 increase over the previous year or 78%. He asked for an explanation of the large increase in materials and supplies.
Referring to item #2, Mr. Perman stated that the average cost per kilowatt hour to the PJM Pool is 2.1¢ per kilowatt hour, compared to 5.2¢ average cost to the normal consumer. He suggested increasing the cost to the PJM Pool with a possibility of charging a lesser rate to the consumer. He pointed out the additional fuel necessary to produce power for the PJM Pool which is then sold back to northern Delaware, stating that the City gets a small return from the PJM Pool which adds approximately three million pounds of pollutant to the atmosphere.
Speaking of item #3 he thought that it would be worthwhile to publish, on a monthly basis, the fuel adjustment so that the public has a better understanding of its calculations. Additionally, he said the City for many years used a base calculation of 35¢ per million BTUs. Recently it was changed to .35¢ per kilowatt hour. Based on recent efficiencies for the month of March at the Power Plant and according to Mr. Perman’s figures the .35¢ is actually too low and is off by .03¢. Over a years period of time, this would amount to an overcharge to the consumer of approximately $107,000. He felt that the ongoing efficiencies should be adjusted to the actual cost of production.
He spoke of the additional environmental problems of Unit #3, such as noise, air pollution and odors and stated that there are no funds allocated in the budget for the elimination of these items. Past efforts to solve these problems have been unsuccessful. He thought that the City has an obligation to its citizens to correct the aforementioned.
Speaking in answer to Mr. Perman’s remarks, the City Manager pointed out that it was necessary to perform a major overhaul on unit #3 and a five year overhaul on Unit #1. Unit #3 also required extensive work on the boiler to replace faulty tubes and a loss of $230,000 that occurred on Unit #3, which is in litigation involving a suit against the insurance carrier. These items would amount to approximately 99% of the increase.
Referring to power purchased and sold to the PJM Pool, Mr. James explained that this is controlled by a written contract. The concept of the interconnection is economy energy. The efficiency of a plant dictates the cost of energy and the City of Dover is competitive in this area, proven by the demand of the pool for McKee Run’s energy. The operation and rates of the PJM Pool are controlled by the Federal Power Commission.
Relating to the publication of the fuel adjustment calculation, Mr. James stated that this could be done if it is the desire of Council, but felt that it would accomplish very little in helping understand the basis for the charge.
Referring to the subject of noise pollution, Mr. James said that a wall has been built to buffer a portion of the noise from McKee Run. Consultants have sated that if the City built a complete building around the present plant site, it still would not come within the standards of the City ordinance. Representatives from the EPA office have stated that the City noise ordinance is not representative of today’s world.
Mr. Witt moved for adoption of the Electric Fund Budget for fiscal year 1977-78 and the Revised Budget for fiscal year 1976-77. The motion was seconded by Mr. Carey and unanimously carried by a roll call vote.
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. The amount hereinafter named aggregating Eighteen Million, Eight Hundred Seventy One Thousand, Five Hundred Dollars ($18,871,500) or so much thereof as may be necessary, are hereby appropriated from current revenues of the Electric Department, estimated from current revenues for Eighteen Million, Nine Hundred Sixty One Thousand, One Hundred Forty Dollars ($18,961,140) for the use of the several divisions of the Electric Department and for the purpose hereinafter mentioned for the fiscal year beginning July 1, 1977 and ending June 30, 1978, as follows:
RECEIPTS
Electric Sales $18,851,140
Meter Deposits 50,000
Miscellaneous Electric 60,000
TOTAL $ 18,961,140
APPROPRIATIONS FOR CURRENT EXPENSES
Production
Personnel Services 691,000
Materials & Supplies 517,000
Water