Anexo

FY 2012 – 2013 DRAFT BUDGET WITH 2013 – 2017 CAPITAL INVESTMENT PLANS

DRAFT ANNUAL OPERATING BUDGET FOR FISCAL YEAR JULY 1, 2012 – JUNE 30, 2013 “COMMUNITY EXCELLENCE THROUGH QUALITY SERVICE”

TABLE OF CONTENTS INTRODUCTION GENERAL Letter of Introduction General Fund Draft Budget Review City of Dover Vision Mayor Organizational Chart City Council City Manager FUND SUMMARIES & RESERVE ACCOUNTS City Clerk All Fund Summary Presentation Customer Services All Fund Summary Fiscal Year 2013 Draft Budget - Meter Reading General Fund Cash Receipt Summary Finance and Central Services General Fund Expense Summary - Procurement & Inventory Governmental Capital Projects Fund Summary Fire Water/Wastewater Fund Summary Human Resources Water/Wastewater I & E Fund Summary Information Technology Electric Revenue Fund Summary Parks and Recreation Electric I & E Fund Summary - Library Police COMPARISON OF DEPARTMENTAL EXPENSES BY FUND Tax Assessor Comparison of Departmental Expenses by Fund Planning and Inspections Summary of Departmental Expenses by Fund - Organization Chart Fiscal Year 2013 Proposed Budget - Planning Summary of Departmental Expenses by Fund - Life Safety 2012 Amended Budget - Code Enforcement - Inspections CHARTER & FINANCIAL POLICIES - Community Development Charter Article IV, Section 44 - Economic Development Financial Policies Public Works - Organization Chart PERSONNEL INFORMATION - Administration Personnel Table Fiscal Year 2013 Proposed Budget - Facilities Management Personnel Changes Fiscal Year 2013 Proposed Budge - Fleet Maintenance Projected Personnel Budget by Fund - Grounds Overtime Comparison Fiscal Years 2010 through 2013 - Sanitation - Streets FIVE-YEAR FORECAST SUMMARY General Fund Updated Financial Projections PUBLIC UTILITIES Water and Wastewater Fund Updated Financial Public Works Water/Wastewater Fund Projections - Organization Chart Electric Revenue Fund Updated Financial Projections - Water Treatment Plant - Water Management CAPITAL INVESTMENTS PLAN - Water Construction 2013-2017 Draft Capital Investments Plan - Wastewater Management General Fund - Water/Wastewater Engineering Water and Wastewater Fund Electric Electric Fund - Organization Chart Vehicle Replacements - Electric Administration - Electric Engineering DEBT SERVICE - System Operations Debt Limit - Electric Transmission & Distribution General Fund Projected Debt Service - Power Plant Operations Water/Wastewater Revenue Bonds Projected - Power Supply Debt Service Electric Revenue Fund Projected Debt Service OTHER FUNDS Municipal Street Aid Fund Workers Compensation Fund Community Transportation Improvement Fund Library Grants

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INTRODUCTION CONTAINS THE FOLLOWING: – CITY MANAGER’S LETTER – CITY OF DOVER VISION – CITY ORGANIZATIONAL CHART

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE VISION The City of Dover is a place where people want to live! Through the team effort of its elected officials, employees, and citizens, Dover is a clean and safe community, with a future of balanced growth and opportunity where all citizens are heard, enjoy a high quality of life, and diversity is valued.

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FUND SUMMARIES & RESERVE ACCOUNTS CONTAINS THE FOLLOWING SUBSECTIONS: – ALL FUNDS SUMMARY – GENERAL FUND – WATER/WASTEWATER FUND – ELECTRIC FUND – COMPARISON OF DEPARTMENTAL EXPENSES BY FUND – CHARTER ARTICLE IV SEC44 & FINANCIAL POLICIES

City of Dover Fiscal Year 2013 Proposed Budget Highlights of Overall Budget

Financial Policies • All budgets balanced with current revenues equal to or greater than the current expenses as per the policy, except Electric. • The Electric policy allows for use of the Rate Stabilization Reserve for power cost adjustments and we are following that process in the proposed budget. • We are recommending a change in the Transfer policy for the Utilities to a fixed dollar amount from the previous methodology of transferring a percentage of revenue. • The General Fund Capital Asset Reserve minimum balance of $500,000 is achieved through a transfer of $39,100 from sale of disposed assets in FY12 as will be 2 included in a budget revision for FY12.

Applicable to All Funds • Health Care Premiums – The proposed budget includes a change in the cost sharing allocation for health care premiums to 15% of the premium for all active employee plans effective July 1, 2012.  Savings – General Fund $206,600  Savings – Water/Wastewater Fund $23,600  Savings – Electric Fund $29,800  Reduction in annual cost of unfunded liability with phase in $61,000 • Pay rates remain the same for all employee’s except those who have contracts with progression steps. • Continues bonus payments for Interim Directors/Supervisors for 3 months. • Pension & OPEB cost are calculated on actuarial percentages • Worker’s Compensation cost are increased since they were not included in the FY12 Budget $626,900 • Removes all vacation sell-back and retirement payouts from Department/Division budgets by transferring estimated cost to a fund expense.  Savings – General Fund $122,800  Savings – Water/Wastewater Fund $27,200 3  Increase – Electric Fund $93,500 attributed to planned retirements

General Fund • Factors impacting General Fund Budget Property Taxes Sanitation Fees Economic Development Parks & Recreation Sales of Existing Library or Weyandt Hall Debt Service Long-Term Forecast 4

General Fund Factors • Impacting the FY2013 budget are – • Continuation of stagnate revenues  Capital School District increased payment for School Resources Offices by $26,500 • Wage increases for the F.O.P. employees as a result of the Arbitrator’s decision • Pension & OPEB percentages per actuary percentages • Worker’s Compensation funding • Gasoline expenses • Annual increases in service contracts • Retiree health care cost • Debt service for streets and Garrison Farm • Headcount reductions were minimized by the effects of reduced revenues and increased benefit cost; Also reduced were the internal service charges to the Utility Funds 5

Property Taxes PROPERTY ASSESSMENT PROJECTION TAXABLE ASSESSED VALUE AS OF DECEMBER 31, 2011 $3,148,284,460 Filed Tax Exemption Requests (scheduled for Annual Appeals) (584,200) Supplemental Billing (April) 2,949,100 Estimate of April Appeals (5,000,000) TOTAL ASSESSED VALUE $3,145,649,360 PROJECTED PROPERTY TAX RECEIPTS ACCRUAL METHOD OF ACCOUNTING 7/01/12 - 6/30/13 Current Rate $0.3378 per $100 of assessment; Estimated 7/1/12 Billing $ 10,626,000 Rate increase = $0.01; Equates to a 3% rate increase 314,600 Penalties 70,000 Estimated Quarterly Billing 20,000 PROJECTED PROPERTY TAX RECEIPT SUBTOTAL $ 11,030,600 Pay In Lieu of Taxes State of Delaware, Luther Towers, Housing Authority. 281,400 Farmland Roll Back Taxes - TOTAL PROJECTED PROPERTY TAX RECEIPTS FOR FY 2013 $ 11,312,000 6

Sanitation Operations 7

Economic Development • Inter Agency agreements with Kent County Economic Development Office with an annual contribution of $35,000 and Downtown Dover Partnership with an annual contribution of $80,000; FY13 pro-rated for 9 months; • Creates efficiencies and eliminates redundant services • A step towards addressing the long-term budget shortfalls 8

Parks & Recreation • Proposal to close the White Oak Park facility effective 10/1/12 • The White Oak facility is utilized for staff offices, some classes and space rental for private parties such as Baby & Bridal Showers; No Afterschool programs are conducted at White Oak; Mr. Carter explained he recently cancelled a class for the White Oak facility due to only 5 registrations, only to have 35 sign up for the same class at the Pitts Center. • The facility is open 8:30 a.m. – 5:00 p.m. except Holidays • In 2011 it was used 1075 hours for after hours classes and rentals. • Rentals comprise most of the hours and can be accommodated at the Pitts Center or at the new Library depending on the function. • Approximately $25,000 of personnel, building maintenance, and utility savings could be realized in the first year. Future reductions of capital and operating cost can be realized by synergies realized with combining staff. • This proposal is another step towards addressing the long-term budget shortfalls, however no savings are yet reflected in the FY13 9 Proposed Budget.

Sale of Current Library or Weyandt Hall • State of Delaware has informed the City that the purchase and refurbishment of the Library facility does not meet their budget guidelines. • The City is budgeting $130,000 annually for Weyandt Hall Maintenance and utilities. The HVAC system, roof and elevator maintenance continue to create challenges with unbudgeted repairs. Current estimate to refurbish Weyandt Hall is $1,650,000. • Note - Weyandt Hall is an asset of the Electric Utility, not General Fund. • In reviewing the alternative of selling Weyandt Hall we considered  Space needs  Customer service floor layout and accessibility  Security of undeposited receipts  Drive through window  Risk Assessment conducted by Dover Police Department • It is our opinion that the best alternative is to sell the current Library facility. • Staff would recommend using the same firm for appraisal services to modify the State appraisal and list the property. The State has provided their appraisal to the City. The proceeds of which would pay down the 10 debt service on the new Library.

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General Fund Projected Debt Service 12

General Fund – Long Term Forecast • Later in the Budget Hearings we will be reviewing the Long-Term Forecast for all three major funds. Fiscal Year 2014 (and onward) is positioned to present greater challenges to the General Fund. All the factors impacting FY13 as outlined on page 5 will continue into forecasted years. Revenue growth is not projected to increase at the same rate. • Steps have been taken in the FY13 Budget to reduce headcount where believed possible. • Steps have been take to reduce Health Care cost and long-term liabilities. • Steps have been taken to start towards reducing some services where alternatives are available while maintaining General Fund core community, public safety and public health services. • Unless we experience economic gains through growth in housing, permits, taxes etc… in FY13 serious decisions will be needed over the next year for  New revenue sources  Increases in current revenue sources  Further reductions in staff and discretionary services  Defer all or significant capital acquisitions until they can be afforded  Sale of assets 13

Water/Wastewater Fund • Water/Wastewater Fund incorporates all the provisions on page 3 of this presentation. • Fiscal Year 2013 includes a change to the Transfer Policy for a fixed amount of $250,000 each Water & Wastewater. • Fiscal Year 2012 includes a budget amendment to transfer debt service savings to the Improvement & Extension Fund to finance capital projects included in the five year forecast.  The transfer of these funds ($1 million water & $1 million wastewater) will greatly reduce the amount of debt service needed in the future. 14

Electric Fund • Electric Fund incorporates all the provisions on page 3 of this presentation. • Includes a policy change for the Transfer to the General Fund from a percentage of revenue to a fixed $8.0 million per year. • Includes a policy change to increase the Insurance Deductible Reserve from $350,000 to $700,000  This reserve is required by Debt Covenant. The amount is set by City Council. We are requesting this change due to difficulties with obtaining quotes on the plant assets and believe this change will assist us in the number of quotes as well as reducing the annual cost of insurance. The proposed budget increases this reserve balance by a transfer from operations of $237,400 and a transfer from the Contingency Reserve of $172,500. 15

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover All Funds Summary Fiscal 2013 Draft Budget Fund or Beginning Revenues/ Expenses/ Ending Reserve Account Balances Transfers In Transfers Out Balances General Fund Operating Fund $ 2,666,600 $ 35,503,500 $ (35,330,700) $ 2,839,400 Contingency Account 711,700 800 - 712,500 Capital Project Fund 574,400 5,231,200 (5,724,500) 81,100 Capital Asset Reserve 500,000 - - 500,000 Parkland Reserve 197,300 - - 197,300 Total General Fund 4,650,000 40,735,500 (41,055,200) 4,330,300 Water/Wastewater Fund Water Operating Fund 768,500 5,441,400 (5,739,800) 470,100 Contingency Account 109,500 1,400 - 110,900 I & E Fund 3,071,800 3,962,500 (5,378,800) 1,655,500 Capital Asset Reserve 425,800 75,300 - 501,100 Impact Fee Reserve 417,400 5,200 (250,000) 172,600 Total Water Fund 4,793,000 9,485,800 (11,368,600) 2,910,200 Wastewater Operating Fund 301,600 8,555,600 (8,158,600) 698,600 Contingency Account 180,000 2,000 - 182,000 I & E Fund 1,013,600 3,612,500 (4,001,000) 625,100 Capital Asset Reserve 473,000 28,000 - 501,000 Impact Fee Reserve 3,258,300 40,700 (300,000) 2,999,000 Total Wastewater Fund 5,226,500 12,238,800 (12,459,600) 5,005,700 Electric Fund Operating Fund 7,184,000 91,631,300 (90,983,200) 7,832,100 Contingency Account 1,072,700 16,100 (172,500) 916,300 Insurance Reserve 339,400 415,000 - 754,400 Rate Stabilization Reserve 10,252,600 153,800 (5,000,000) 5,406,400 I & E Fund 2,714,600 4,090,700 (3,970,000) 2,835,300 Depreciation Reserve 10,068,400 151,000 - 10,219,400 Future Capacity Reserve 9,886,500 140,000 (550,000) 9,476,500 Total Electric Fund 41,518,200 96,597,900 (100,675,700) 37,440,400 Less: Interfund Transfers (8,500,000) 8,500,000 Interfund Allocations 4,097,600 (4,097,600) Subtotal Major Operating Funds 56,187,700 159,058,000 (165,559,100) 49,686,600 Worker's Compensation 722,600 677,200 (581,000) 818,800 Community Transportation Fund 1,622,200 502,800 (1,303,400) 821,600 Police Grants - 490,000 (490,000) - Library Grants - 280,500 (280,500) - CDBG - 235,400 (235,400) - Total All Funds & Reserves $ 58,532,500 $ 161,243,900 $ (168,449,400) $ 51,327,000 Note: Special Revenue Funds that receipts pass over to the General Fund are not included. These are Municicpal Street Aid, Civil Traffic Penalties, and Transfer Taxes.

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE GENERAL FUND CASH RECEIPT SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED RECEIPTS BEGINNING BALANCE 2,655,562 3,322,305 3,561,837 2,754,300 2,666,600 (895,237) -25.1% FINES AND POLICE REVENUE 772,022 712,500 639,000 715,500 668,000 29,000 4.5% INVESTMENT INCOME 49,779 215,900 80,000 75,000 75,000 (5,000) -6.3% LIBRARY REVENUES 53,593 44,100 64,200 50,000 66,200 2,000 3.1% KENT COUNTY BOOK REIMBURSEMENT 390,862 390,900 385,800 405,900 405,900 20,100 5.2% BUSINESS LICENSES 1,467,382 1,523,675 1,475,000 1,455,000 1,455,000 (20,000) -1.4% PERMITS AND OTHER FEES 949,982 934,000 1,370,300 963,000 1,053,300 (317,000) -23.1% MISCELLANEOUS CHARGES 197,585 165,750 165,750 165,800 55,500 (110,250) -66.5% POLICE EXTRA DUTY 334,023 300,000 300,000 574,400 494,400 194,400 64.8% PROPERTY TAXES 10,855,007 11,133,367 10,983,400 11,200,000 11,312,000 328,600 3.0% BID REVENUE 49,902 51,821 51,800 50,000 51,600 (200) -0.4% RECREATION REVENUE 144,114 152,000 130,000 132,000 130,000 - 0.0% FRANCHISE FEE 549,353 520,000 540,000 550,000 550,000 10,000 1.9% SANITATION FEES 2,031,798 2,050,000 1,966,000 1,851,600 2,537,100 571,100 29.0% DSWA TRASH FEE REBATE 141,635 - - - - - 0.0% RENT REVENUE - GARRISON FARM 64,217 87,000 62,000 75,000 62,000 - 0.0% COURT OF CHANCERY FEES 766,340 690,000 819,800 756,000 753,800 (66,000) -8.1% RECEIPTS SUBTOTAL 18,817,594 18,971,013 19,033,050 19,019,200 19,669,800 636,750 3.3% INTERFUND SERVICE RECEIPTS INTRAFUND SERVICE RECEIPTS W/WW 892,538 988,393 930,000 836,500 888,600 (41,400) -4.5% INTRAFUND SERVICE RECEIPTS ELECTRIC 3,150,761 3,370,778 3,270,800 2,909,500 3,078,200 (192,600) -5.9% INTERFUND SERVICE RECEIPTS SUBTOTAL 4,043,299 4,359,171 4,200,800 3,746,000 3,966,800 (234,000) -5.6% GRANTS: POLICE RELATED/EXTRA DUTY 83,114 60,000 60,000 85,000 85,000 25,000 41.7% POLICE PENSION GRANT 538,136 620,000 593,500 620,000 500,000 (93,500) -15.8% GREEN ENERGY GRANT - - - - 98,500 98,500 0.0% RECREATION GRANTS 58,550 - 35,383 - - (35,383) -100.0% MISC GRANT REVENUE 21,978 - 79,873 - 25,000 (54,873) -68.7% HOMELAND SECURITY GRANT 187,874 - 104,676 - - (104,676) -100.0% GRANTS SUBTOTAL 889,652 680,000 873,432 705,000 708,500 (164,932) -18.9% TRANSFERS FROM: TRANSFER TAX 1,462,154 900,000 1,229,500 1,200,000 1,370,000 140,500 11.4% MUNICIPAL STREET AID 527,226 526,814 659,200 527,000 527,400 (131,800) -20.0% CIVIL TRAFFIC PENALTIES 967,020 1,000,000 720,000 1,000,000 750,000 30,000 4.2% WATER/WASTEWATER - 424,508 424,508 626,700 500,000 75,492 17.8% ELECTRIC 8,856,000 7,876,288 7,876,288 7,394,400 8,000,000 123,712 1.6% VERIZON AND CI RESERVES 4,679 - - - 11,000 11,000 0.0% LIBRARY RESERVE 46,355 - - - - - 0.0% TRANSFERS FROM SUBTOTAL 11,863,434 10,727,610 10,909,496 10,748,100 11,158,400 248,904 2.3% TOTAL REVENUES 35,613,979 34,737,794 35,016,778 34,218,300 35,503,500 486,722 1.4% TOTAL BEGINNING BALANCE & REVENUE 38,269,541 38,060,099 38,578,615 36,972,600 38,170,100 (408,515) -1.1%

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE GENERAL FUND EXPENSE SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED DEPARTMENT EXPENSES: CITY CLERK 268,348 296,393 296,393 364,000 337,000 40,607 13.7% COUNCIL 115,379 120,699 120,699 114,300 114,200 (6,499) -5.4% TAX ASSESSOR 270,570 213,175 213,175 187,300 187,500 (25,675) -12.0% FIRE 654,036 684,725 684,725 666,100 688,300 3,575 0.5% GROUNDS MAINTENANCE 983,732 979,922 979,922 997,900 993,300 13,378 1.4% LIBRARY 1,033,149 1,159,087 1,159,087 1,236,500 1,236,200 77,113 6.7% RECREATION 795,672 789,701 823,144 819,300 700,900 (122,244) -14.9% LIFE SAFETY 517,806 449,226 473,096 470,500 469,900 (3,196) -0.7% CODE ENFORCEMENT 280,350 284,489 284,489 293,400 293,100 8,611 3.0% PLANNING 403,328 422,781 422,781 457,300 410,300 (12,481) -3.0% INSPECTIONS 541,987 553,907 553,907 592,600 592,200 38,293 6.9% ECONOMIC DEVELOPMENT 219,854 223,717 223,717 230,600 138,500 (85,217) -38.1% POLICE 12,220,661 12,955,807 12,955,807 13,090,500 13,195,200 239,393 1.8% POLICE EXTRA DUTY 562,448 430,600 430,600 579,400 579,400 148,800 34.6% STREETS 835,415 782,810 914,055 756,600 756,700 (157,355) -17.2% SANITATION 2,181,006 2,330,976 2,410,849 2,199,000 2,140,700 (270,149) -11.2% CITY MANAGER 574,437 622,127 622,127 458,800 420,000 (202,127) -32.5% INFORMATION TECHNOLOGY 674,316 685,871 685,871 642,600 642,700 (43,171) -6.3% FINANCE 798,185 852,283 852,283 908,200 879,500 27,217 3.2% PUBLIC SERVICES - ADMINISTRATION 388,662 472,692 472,692 425,800 468,600 (4,092) -0.9% FACILITIES MANAGEMENT 910,730 952,693 952,693 678,700 678,800 (273,893) -28.7% CENTRAL SERVICES 645,888 693,339 693,339 581,100 576,900 (116,439) -16.8% FLEET MAINTENANCE 706,270 695,422 695,422 715,800 712,700 17,278 2.5% CUSTOMER SERVICE 852,059 928,112 928,112 901,400 901,200 (26,912) -2.9% HUMAN RESOURCES 331,227 384,758 384,758 305,800 319,700 (65,058) -16.9% MAYOR 85,673 81,154 81,154 80,000 82,400 1,246 1.5% DEPARTMENT SUBTOTALS 27,851,188 29,046,466 29,314,897 28,753,500 28,515,900 (798,997) -2.7% OTHER EXPENDITURES: DEBT SERVICE 335,225 327,270 327,270 455,800 624,200 296,930 90.7% MISCELLANEOUS GRANT RELATED EXPENSES - - - - 25,000 25,000 0.0% INSURANCE 529,537 550,000 550,000 600,000 600,000 50,000 9.1% RETIREES HEALTH CARE 1,297,509 1,374,709 1,374,709 1,620,600 1,620,600 245,891 17.9% OTHER EMPLOYMENT EXPENSES - - - 624,000 463,400 463,400 0.0% GENERAL PENSION UNFUNDED LIABILITY 1,449,978 1,450,000 1,450,000 1,310,500 1,310,500 (139,500) -9.6% POLICE PENSION FUND - STATE GRANT 538,136 620,000 620,000 500,000 500,000 (120,000) -19.4% POLICE PENSION UNFUNDED LIABILITY 95,000 95,000 95,000 95,000 95,000 - 0.0% UNCOLLECTIBLES - TRASH AND OTHER 110,000 10,000 10,000 10,000 10,000 - 0.0% OPEB UNFUNDED LIABILITY - - 239,532 - - (239,532) -100.0% STREET LIGHTS 968,562 960,000 960,000 990,000 985,700 25,700 2.7% OTHER EXPENSE SUBTOTAL 5,323,947 5,386,979 5,626,511 6,205,900 6,234,400 607,889 10.8% TRANSFERS TRANSFER TO CAPITAL ASSET RESERVE - 200,000 200,000 39,000 - (200,000) -100.0% TRANSFER TO CAPITAL FUND - PROJECTS 1,354,194 623,847 770,607 1,000,000 580,400 (190,207) -24.7% TRANSFER TO CONTINGENCY 172,061 - - - - - 0.0% TRANSFER TO CDBG FUND 6,314 - - - - - 0.0% TRANSFERS SUBTOTAL 1,532,569 823,847 970,607 1,039,000 580,400 (390,207) -40.2% TOTAL EXPENDITURES 34,707,704 35,257,292 35,912,015 35,998,400 35,330,700 (581,315) -1.6% BUDGET BALANCE 3,561,837 2,802,807 2,666,600 974,200 2,839,400 172,800 6.5% TOTAL BUDGET BALANCE & EXPENDITURES 38,269,541 38,060,099 38,578,615 36,972,600 38,170,100 (408,515) -1.1% EXCEEDS/(REMAINS)TO MEET REQUIREMENT 712,719 23,783 (134,742) (1,763,264) - (158,526) -666.5% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS RESERVE BALANCES ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED POLICY CONTINGENCY 711,747 725,554 711,747 684,400 712,500 753 2% OF REVENUE

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE GOVERNMENTAL CAPITAL PROJECTS FUND SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE - PROJECTS 262,175 195,191 357,353 574,400 574,400 217,047 60.7% REVENUES STATE GRANTS - Library 2,016,321 5,597,505 6,559,900 800,000 1,267,500 (5,292,400) -80.7% STATE GRANTS - Other - - - - 108,000 108,000 0.0% LIBRARY FOUNDATION 76,355 2,334,889 1,665,500 - 67,500 (1,598,000) -95.9% INCOME FROM SALE OF ASSETS 26,100 - 41,700 1,200,000 1,200,000 1,158,300 2777.7% PROPOSED BOND/BANK PROCEEDS - Library - - 1,500,000 - - (1,500,000) -100.0% PROPOSED BOND/BANK PROCEEDS - Street - 2,000,000 2,000,000 - 2,000,000 - 0.0% KENT COUNTY CONTRIBUTION - - 1,045,000 - - (1,045,000) -100.0% DEMEC GRANT - - 215,000 - - (215,000) -100.0% BTTOP & GREENHOUSE GRANTS - - 90,000 - - (90,000) -100.0% MISCELLANEOUS RECEIPTS - DEVEL CONTRIB 5,745 - - - - - 0.0% POLICE GRANTS 20,000 - - - 33,800 33,800 0.0% INTEREST EARNINGS 2,243 10,900 10,919 10,900 - (10,919) -100.0% TRANSFER FROM GENERAL FUND 1,307,839 623,847 623,847 1,000,000 580,400 (43,447) -7.0% TRANSFER FROM PARKLAND RESERVE 28,629 - - - - - 0.0% TRANSFER FROM LIBRARY RESERVE 683,187 3,262,615 2,590,800 - - (2,590,800) -100.0% TRANSFER FROM COM TRANSP FUND 120,000 - - - - - 0.0% TOTAL REVENUES 4,286,419 13,829,756 16,342,666 3,010,900 5,257,200 (11,085,466) -67.8% TOTAL BEGINNING BALANCE & REVENUES 4,548,594 14,024,947 16,700,019 3,585,300 5,831,600 (10,868,419) -65.1% EXPENDITURES FIRE 223,399 244,820 244,820 238,500 238,500 (6,320) -2.6% GROUNDS MAINTENANCE 46,549 - - 112,000 112,000 112,000 0.0% LIBRARY 2,829,484 11,195,009 13,767,100 2,000,000 2,535,000 (11,232,100) -81.6% RECREATION 38,453 30,000 - 30,000 30,000 30,000 0.0% POLICE 301,818 65,000 65,000 253,600 197,000 132,000 203.1% STREETS 454,599 1,230,027 230,000 112,000 2,024,000 1,794,000 780.0% SANITATION 212,446 136,500 136,500 250,000 150,000 13,500 9.9% INFORMATION TECHNOLOGY 6,680 6,400 6,400 - 57,000 50,600 790.6% FACILITIES MANAGEMENT - - - 220,000 381,000 381,000 0.0% MAYOR 52,198 - - 33,000 - - 0.0% DEPARTMENT SUBTOTAL 4,165,626 12,907,756 14,449,820 3,249,100 5,724,500 (8,725,320) -60.4% TRANSFERS & MISCELLANEOUS EXPENSES BOND/LOAN ISSUANCE COST - - 30,000 - 26,000 (4,000) -13.3% TRANSFER TO CAPITAL ASSET RESERVE - - 39,100 - - (39,100) -100.0% TRANSFER TO LIBRARY RESERVE 615 - - - - - 0.0% TRANSFER TO COMMUNITY TRANS FUND 25,000 - 1,606,700 - - (1,606,700) -100.0% TRANSFERS & MISCELLANEOUS SUBTOTAL 25,615 - 1,675,800 - 26,000 (1,649,800) -98.4% TOTAL EXPENDITURES 4,191,241 12,907,756 16,125,620 3,249,100 5,750,500 (10,375,120) -64.3% BUDGET BALANCE - BOND PROCEEDS - 1,000,000 288,000 - - (288,000) -100.0% BUDGET BALANCE -PROJECTS 357,353 117,191 286,399 336,200 81,100 (205,299) -71.7% TOTAL BUDGET BALANCE & EXPENDITURES 4,548,594 14,024,947 16,700,019 3,585,300 5,831,600 (10,580,419) -65.1% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS RESERVE BALANCES ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED POLICY CAPITAL ASSET RESERVE 253,420 464,145 500,000 500,000 500,000 - See note LIBRARY RESERVE 2,575,784 - - - - - N/A PARKLAND/RECREATION 196,672 197,272 197,300 197,300 197,300 - N/A Note - Policy for Capital Asset Reserve is $200,000 per year if less than minimum balance of $500,000

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE WATER/WASTEWATER FUND SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE - WATER 1,236,546 2,385,027 2,567,172 2,738,400 768,500 (1,798,672) -70.1% BEGINNING BALANCE - WASTEWATER 912,803 1,741,242 1,929,346 1,855,130 855,100 (1,074,246) -55.7% BEGINNING BALANCE - KCSA (1,872,081) (1,757,484) (1,243,243) (365,400) (553,500) 689,743 -55.5% TOTAL BEGINNING BALANCES 277,268 2,368,785 3,253,275 4,228,130 1,070,100 (2,183,175) -67.1% BASE REVENUE: WATER FEES 4,945,385 4,603,400 4,700,000 4,484,300 4,730,700 30,700 0.7% WASTEWATER FEES 3,694,020 3,756,700 3,756,700 3,813,350 3,834,600 77,900 2.1% WASTEWATER ADJUSTMENT FEES 3,058,656 3,090,900 3,050,700 3,140,500 3,090,800 40,100 1.3% GROUNDWATER INFLOW ADJUSTMENT 1,171,376 1,386,900 1,239,000 1,407,300 1,257,600 18,600 1.5% WATER TANK SPACE LEASING 300,137 307,600 307,600 325,500 313,500 5,900 1.9% SEWER IMPACT FEES 354,825 323,000 323,000 323,000 317,000 (6,000) -1.9% WATER IMPACT FEES 393,750 357,000 357,000 357,000 350,000 (7,000) -2.0% INTEREST - WATER 4,904 10,600 10,600 5,000 8,700 (1,900) -17.9% INTEREST - WASTEWATER 4,904 17,200 17,200 5,000 17,100 (100) -0.6% MISCELLANEOUS SERVICE FEE 83,056 58,000 58,000 65,000 77,000 19,000 32.8% TOTAL REVENUES 14,011,013 13,911,300 13,819,800 13,925,950 13,997,000 177,200 1.3% TOTAL BEGINNING BALANCE & REVENUES 14,288,281 16,280,085 17,073,075 18,154,080 15,067,100 (2,005,975) -11.7% DIRECT EXPENSES: ENGINEERING & INSPECTION 488,090 622,230 622,230 571,300 597,900 (24,330) -3.9% WATER CONSTRUCTION 389,807 440,088 409,988 346,100 345,700 (64,288) -15.7% WATER DEPARTMENT 379,271 382,655 382,655 408,900 408,200 25,545 6.7% WATER TREATMENT PLANT 1,457,505 1,543,114 1,543,114 1,525,800 1,522,600 (20,514) -1.3% WASTEWATER DEPARTMENT 909,547 959,735 959,735 994,100 993,000 33,265 3.5% DIRECT EXPENDITURE SUBTOTAL 3,624,220 3,947,822 3,917,722 3,846,200 3,867,400 (50,322) -1.3% OTHER EXPENSES: DEBT SERVICE - WATER 318,897 320,853 320,853 461,100 532,100 211,247 65.8% DEBT SERVICE - WASTEWATER 295,086 416,083 416,083 660,500 731,500 315,417 75.8% RETIREES HEALTH CARE 177,427 190,830 190,830 220,000 220,000 29,170 15.3% OTHER EMPLOYMENT EXPENSES - - - 31,831 16,200 16,200 0.0% OPEB UNFUNDED LIABILITY - - 372,417 - - (372,417) -100.0% PENSION UNFUNDED LIABILITY 372,000 228,400 228,400 309,800 309,800 81,400 35.6% KENT COUNTY TREATMENT CHARGE 3,601,194 4,235,400 3,600,000 3,600,000 3,600,000 - 0.0% INTRAFUND SERVICE FEES 1,042,762 1,228,596 1,228,596 836,500 1,019,400 (209,196) -17.0% UNCOLLECTIBLES 71,000 5,000 5,000 5,000 5,000 - 0.0% INVENTORY/FIXED ASSET WRITEOFFS - 10,000 10,000 - 5,000 (5,000) -50.0% OTHER EXPENSES SUBTOTAL 5,878,366 6,635,162 6,372,179 6,124,731 6,439,000 66,821 1.0% TRANSFER TO: GENERAL FUND FROM WATER - 238,842 238,842 234,200 250,000 11,158 4.7% GENERAL FUND FROM WASTEWATER - 185,666 185,666 392,500 250,000 64,334 34.7% WATER IMP AND EXT 500,000 750,000 2,750,000 3,000,000 1,700,000 (1,050,000) -38.2% WASTEWATER IMP AND EXT 500,000 1,000,000 2,000,000 2,200,000 1,300,000 (700,000) -35.0% SEWER IMPACT FEE RESERVE 178,796 - - - - - 0.0% WATER IMPACT FEE RESERVE 133,456 36,147 36,147 - - (36,147) -100.0% TRANSFER TO CONTINGENCY WASTEWATE 18,000 8,000 8,000 - - (8,000) -100.0% CAPITAL ASSET RESERVE WATER 100,000 100,000 100,000 85,000 70,000 (30,000) -30.0% CAPITAL ASSET RESERVE WASTEWATER 100,000 300,000 300,000 32,000 22,000 (278,000) -92.7% TRANSFER TO SUBTOTAL 1,530,252 2,618,655 5,618,655 5,943,700 3,592,000 (2,026,655) -36.1% TOTAL EXPENSES 11,032,838 13,201,639 15,908,556 15,914,631 13,898,400 (2,010,156) -12.6% BUDGET BALANCES BUDGET BALANCE WATER 2,567,172 2,738,400 768,500 1,146,350 470,100 (298,400) -38.8% BUDGET BALANCE WASTEWATER 1,931,514 1,855,130 855,130 1,093,099 698,600 (156,530) -18.3% BUDGET BALANCE KCSA (1,243,243) (1,515,084) (553,543) - - 553,543 -100.0% BUDGET BALANCE SUBTOTALS 3,255,443 3,078,446 1,070,087 2,239,449 1,168,700 98,613 9.2% TOTAL BUDGET BALANCES & EXPENSES 14,288,281 16,280,085 16,978,643 18,154,080 15,067,100 (1,911,543) -11.3% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS RESERVE BALANCES ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED POLICY CONTINGENCY - WATER 106,352 106,352 109,543 108,800 110,900 1,357 2% OF REVENUE CONTINGENCY - WATER/WASTEWATER 175,160 175,160 179,975 84,100 182,000 2,025 2% OF REVENUE

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE WATER/WASTEWATER IMPROVEMENT & EXTENSION FUND SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE - WATER 1,590,874 1,139,872 1,537,774 1,071,800 3,071,800 1,534,026 99.8% BEGINNING BALANCE - WASTEWATER (45,665) 303,476 339,673 13,600 1,013,600 673,927 198.4% TOTAL BEGINNING BALANCES 1,545,209 1,443,348 1,877,447 1,085,400 4,085,400 2,207,953 117.6% REVENUES BOND PROCEEDS - WATER - 2013 ISSUE - - - - 2,000,000 - 0.0% BOND PROCEEDS - WASTEWATER - 2013 ISSUE - - - - 2,000,000 - 0.0% STATE LOAN FUND - WATER - 2010 ISSUE 480,528 - 1,923,489 - - (1,923,489) -100.0% STATE LOAN FUND - WASTEWATER - 2009 ISSUE 3,976,684 1,800,000 1,259,850 - - (1,259,850) -100.0% STATE LOAN FUND - WASTEWATER - 2011 ISSUE - - 765,060 - - (765,060) -100.0% TRANS FR OPERATING FUND FOR WATER 500,000 750,000 2,750,000 3,000,000 1,700,000 (1,050,000) -38.2% TRANS FR OPERATING FUND FOR WASTEWATER 500,000 1,000,000 2,000,000 2,200,000 1,300,000 (700,000) -35.0% TRANSFER FR WATER IMPACT FEE RESERVE - - - - 250,000 250,000 0.0% TRANSFER FR WASTEWATER IMPACT FEE RES - 262,840 867,032 - 300,000 (567,032) -65.4% FEDERAL/STATE GRANTS 28,877 - - - - - 0.0% PROCEEDS FROM SALE OF ASSETS 11,529 - - - - 0.0% INTEREST INCOME 26,620 - - 25,000 25,000 25,000 0.0% TOTAL REVENUES 5,524,238 3,812,840 9,565,431 5,225,000 7,575,000 (1,990,431) -20.8% TOTAL BEGINNING BALANCES & REVENUES 7,069,447 5,256,188 11,442,878 6,310,400 11,660,400 217,522 1.9% EXPENSES WATER 1,052,703 766,240 3,086,468 3,480,400 5,140,000 2,053,532 66.5% WASTEWATER 4,139,297 3,404,900 4,217,976 2,031,800 3,817,300 (400,676) -9.5% WATER TREATMENT PLANT - 22,900 22,900 24,100 24,100 1,200 5.2% WATER CONSTRUCTION - 30,100 30,100 31,000 31,000 900 3.0% ENGINEERING & INSPECTION - - - 23,400 23,400 23,400 0.0% BOND ISSUANCE COST & DEBT SERVICE RESRV - - - - 344,000 344,000 0.0% TOTAL EXPENSES 5,192,000 4,224,140 7,357,444 5,590,700 9,379,800 2,022,356 27.5% BUDGET BALANCE - WATER 1,537,774 1,070,632 3,071,795 537,100 1,675,500 (1,396,295) -45.5% BUDGET BALANCE - WASTEWATER 339,673 (38,584) 1,013,639 182,600 605,100 (408,539) -40.3% TOTAL ENDING BUDGET BALANCES 1,877,447 1,032,048 4,085,434 719,700 2,280,600 (1,804,834) -44.2% TOTAL BUDGET BALANCES & EXPENSES 7,069,447 5,256,188 11,442,878 6,310,400 11,660,400 217,522 1.9% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS RESERVE BALANCES ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED POLICY CAPITAL ASSET RESERVE-WATER 315,694 452,146 425,800 500,700 501,100 75,300 $500,000 CAPITAL ASSET RESERVE-WASTEWATER 167,965 473,524 473,000 500,000 501,000 28,000 $500,000 IMPACT FEE RESERVE - WATER 380,200 - 417,400 - 172,600 (244,800) 20% of Rev. IMPACT FEE RESERVE - WASTEWATER 4,074,400 - 3,258,300 - 2,999,100 (259,200) 20% of Rev.

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE ELECTRIC REVENUE FUND SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED AMENDED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE 13,537,864 11,867,003 12,292,573 12,225,200 7,184,000 (5,108,573) -41.6% BASE REVENUE: DIRECT SALES TO CUSTOMER 99,859,602 95,675,500 95,674,800 96,904,000 96,672,000 997,200 1.0% PURCHASE POWER ADJUSTMENT (2,290,989) (6,012,000) (6,011,300) (6,012,000) (8,217,100) (2,205,800) 36.7% UTILITY TAX 1,944,543 1,966,100 1,700,000 1,600,000 1,682,500 (17,500) -1.0% MISCELLANEOUS REVENUE 1,029,887 919,000 850,700 919,000 850,700 - 0.0% RENT REVENUE 215,248 225,000 225,000 225,000 225,000 - 0.0% GREEN ENERGY 136,165 129,000 129,000 129,000 129,000 - 0.0% INTEREST EARNINGS 12,662 264,900 150,000 264,900 158,400 8,400 5.6% TRANSFER FROM RATE STABILIZATION - 1,000,000 1,000,000 - - (1,000,000) -100.0% INTRAFUND SERVICE RECEIPTS W/WW 171,646 240,203 240,200 - 130,800 (109,400) -45.5% TOTAL REVENUES 101,078,764 94,407,703 93,958,400 94,029,900 91,631,300 (2,327,100) -2.5% TOTAL BEGINNING BALANCE & REVENUES 114,616,628 106,274,706 106,250,973 106,255,100 98,815,300 (7,439,800) -7.0% EXPENSES: POWER SUPPLY 47,543,983 42,047,430 42,047,430 40,883,416 39,468,900 (2,578,530) -6.1% SOLAR ENERGY - 1,618,924 1,618,924 - 1,414,500 (204,424) POWER SUPPLY MANAGEMENT 2,355,630 1,170,000 1,170,000 996,000 996,000 (174,000) -14.9% PJM CHARGES - LOAD 15,051,912 13,424,472 13,424,472 17,508,305 17,508,300 4,083,828 30.4% CAPACITY CHARGES 12,344,169 8,506,512 8,506,512 12,056,075 12,564,800 4,058,288 47.7% SUB-TOTAL POWER SUPPLY 77,295,694 66,767,338 66,767,338 71,443,796 71,952,500 5,185,162 7.8% PLANT OPERATIONS 6,262,014 5,964,817 5,964,817 5,893,750 5,914,900 (49,917) -0.8% GENERATIONS FUELS 3,685,199 664,641 664,641 6,114,039 586,000 (78,641) -11.8% PJM SPOT MARKET ENERGY - - - - (772,700) (772,700) PJM CREDITS (6,834,780) (1,285,675) (1,285,675) (441,647) (427,000) 858,675 -66.8% CAPACITY CREDITS (11,407,201) (7,388,283) (7,388,283) (14,318,588) (14,318,600) (6,930,317) 93.8% GENERATION SUBTOTAL (8,294,768) (2,044,500) (2,044,500) (2,752,446) (9,017,400) (6,972,900) 341.1% POWER SUPPLY & GENERATION SUBTOTAL 69,000,926 64,722,838 64,722,838 68,691,350 62,935,100 (1,787,738) -2.8% DIRECT EXPENDITURES TRANSMISSION/DISTRIBUTION 2,986,828 3,162,026 3,162,026 3,192,900 3,223,600 61,574 1.9% ELECTRICAL ENGINEERING 1,514,558 1,177,060 1,177,060 1,151,500 1,163,900 (13,160) -1.1% ADMINISTRATION 942,672 602,715 602,715 501,300 501,200 (101,515) -16.8% METER READING 204,351 215,208 215,208 212,600 212,500 (2,708) -1.3% SYSTEMS OPERATIONS 486,894 473,895 473,895 518,300 517,600 43,705 9.2% DIRECT EXPENDITURE SUBTOTALS 6,135,303 5,630,904 5,630,904 5,576,600 5,618,800 (12,104) -0.2% OTHER EXPENSES: UTILITY TAX 1,944,543 1,966,100 1,700,000 1,600,000 1,682,500 (17,500) -1.0% ALLOW FOR UNCOLLECTIBLES 310,000 150,000 150,000 150,000 150,000 - 0.0% CONTRACTUAL SERVICES - RFP'S - 115,000 75,000 - 190,000 115,000 153.3% RETIREES HEALTH CARE 639,110 646,510 646,510 696,500 696,500 49,990 7.7% OTHER EMPLOYMENT EXPENSES - - - 237,400 157,900 157,900 0.0% TRANSFER TO PENSION UNFUNDED LIABILITY 1,110,477 1,110,500 1,110,500 1,074,200 1,074,200 (36,300) -3.3% OPEB UNFUNDED LIABILITY 1,200,000 1,115,300 1,688,847 - - (1,688,847) -100.0% GREEN ENERGY PAYMENT TO DEMEC 136,165 129,000 129,000 129,000 129,000 - 0.0% INTRAFUND SERVICE FEES 3,150,761 3,370,778 3,270,800 2,909,500 3,078,200 (192,600) -5.9% INTEREST ON DEPOSITS 25,389 54,500 54,500 35,000 35,000 (19,500) -35.8% INVENTORY WRITE OFFS 175,000 175,000 175,000 175,000 175,000 - 0.0% DEBT SERVICE 3,590,381 3,336,800 3,336,800 3,315,600 3,323,600 (13,200) -0.4% OTHER EXPENSES SUBTOTAL 12,281,826 12,169,488 12,336,957 10,322,200 10,691,900 (1,645,057) -13.3% TRANSFER TO: IMPROVEMENT & EXTENSION 3,500,000 3,500,000 3,500,000 4,050,000 3,500,000 - 0.0% GENERAL FUND 8,856,000 7,876,288 7,876,288 7,394,400 8,000,000 123,712 1.6% TRANSFER TO DEPRECIATION RESERVE 1,250,000 - - - - - 0.0% TRANSFER INSURANCE RESERVE - - - - 237,400 237,400 0.0% RATE STABILIZATION RESERVE 1,300,000 - 5,000,000 - - (5,000,000) -100.0% TRANSFER TO SUBTOTAL 14,906,000 11,376,288 16,376,288 11,444,400 11,737,400 (4,638,888) -28.3% TOTAL EXPENSES 102,324,055 93,899,518 99,066,987 96,034,550 90,983,200 (8,083,787) -8.2% BUDGET BALANCE - WORKING CAPITAL 12,292,573 12,375,188 7,183,986 10,220,550 7,832,100 648,114 9.0% TOTAL BUDGET BALANCE & EXPENSES 114,616,628 106,274,706 106,250,973 106,255,100 98,815,300 (7,435,673) -7.0% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS RESERVE BALANCES ACTUAL APPROVED AMENDED PRELIMINARY PROPOSED FY12 REVISED POLICY CONTINGENCY RESERVE 1,056,788 1,072,700 1,088,800 916,300 (156,400) 1% Revenues INSURANCE RESERVE 403,334 339,400 754,500 754,500 415,100 $350K Min. RATE STABILIZATION RESERVE 6,160,167 10,252,600 4,088,300 5,406,400 (4,846,200) 3%-10% of PP

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE ELECTRIC IMPROVEMENT & EXTENSION FUND SUMMARY 3/26/2012 5/1/2012 $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE 3,845,209 2,561,096 3,175,375 2,728,000 2,714,600 (460,775) -14.5% REVENUES TRANSFER FROM ELECTRIC 3,500,000 3,500,000 3,500,000 4,050,000 3,500,000 - 0.0% TRANSFER FROM DEPRECIATION RESERVE - 300,000 300,000 - - (300,000) -100.0% TRANSFER FROM FUTURE CAPACITY RESERVE - - - - 550,000 550,000 0.0% TRANSFER FROM INSURANCE STABILIZATION - 70,730 70,730 - - (70,730) -100.0% STATE REIMBURSEMENT FOR GOVS AVE 260,441 - - - - - 0.0% STATE GRANTS 306,457 - - - - - 0.0% INSURANCE CLAIM PROCEEDS 274,954 - - - - - 0.0% INCOME FROM SALE OF ASSETS 11,494 - - - - - 0.0% INTEREST EARNINGS 7,802 38,400 25,000 20,500 40,700 15,700 62.8% TOTAL REVENUES 4,361,148 3,909,130 3,895,730 4,070,500 4,090,700 194,970 5.0% TOTALS 8,206,357 6,470,226 7,071,105 6,798,500 6,805,300 (265,805) -3.8% EXPENSES ELECTRIC GENERATION 1,967,543 1,810,410 1,897,455 1,511,300 1,441,300 (456,155) -24.0% TRANSMISSION AND DISTRIBUTION 692,823 648,337 648,337 741,700 596,000 (52,337) -8.1% ELECTRICAL ENGINEERING 1,370,616 1,790,716 1,790,716 2,132,300 1,932,700 141,984 7.9% METER READING - 20,000 20,000 - - (20,000) -100.0% TOTAL EXPENSES 5,030,982 4,269,463 4,356,508 4,385,300 3,970,000 (386,508) -8.9% BUDGET BALANCE 3,175,375 2,200,763 2,714,597 2,413,200 2,835,300 120,703 4.4% TOTAL BUDGET BALANCE & EXPENSES 8,206,357 6,470,226 7,071,105 6,798,500 6,805,300 (265,805) -3.8% 3/26/2012 5/1/2012 $ DIFFERENCE 2010/11 2011/12 2011/12 2012/13 2012/13 FY 13 PP VS ACTUAL APPROVED REVISED PRELIMINARY PROPOSED FY12 REVISED POLICY RESERVE BALANCES DEPRECIATION RESERVE 10,412,221 10,018,155 10,068,400 10,412,200 10,219,400 151,000 $10Million Min. FUTURE CAPACITY RESERVE 9,178,771 10,073,428 9,886,500 9,178,800 9,476,500 (410,000) $10Million Min.

COMPARISON OF DEPARTMENTAL EXPENSES BY FUND CONTAINS THE FOLLOWING SUBSECTIONS: – FY 2012 AMENDED V. FY 2013 PROPOSED – FY 2013 PROPOSED BUDGET – FY 2012 AMENDED BUDGET

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover Comparison of Departmental Expenses by Fund FY2012 Amended v. FY2013 Proposed WATER ELECTRIC COMMUNITY SUBSTANCE GENERAL WASTE/WATER REVENUE LIBRARY DEVELOPMENT ABUSE POLICE TITLE FUND FUND FUND (1) GRANT BLOCK GRANT GRANT GRANTS TOTAL Salaries & Wages $ (414,100) $ (48,300) $ (136,100) $ - $ (16,700) $ - $ - $ (615,200) Vacation Sell Back & Retirement Payouts (122,800) (27,200) 93,500 - - - - (56,500) Overtime Wages 68,100 7,400 35,900 - - - - 111,400 Temporary Help Wages/Council/Extra Duty 233,700 - - - - - - 233,700 FICA Taxes (105,600) (4,200) (1,500) - (1,300) - - (112,600) Health Insurance (312,100) (50,200) (47,200) - (7,600) - - (417,100) LID Insurance (3,000) 100 (500) - - - - (3,400) Workers Compensation 470,000 54,100 102,400 - 200 200 - 626,900 Educational Assistance (26,600) (900) - - 2,300 - - (25,200) Pension (56,600) (2,100) (11,300) - (3,300) - - (73,300) OPEB 161,900 18,800 20,600 - (300) - - 201,000 Total Personnel Costs (107,100) (52,500) 55,800 - (26,700) 200 - (130,300) Budget FTE Headcount (12.5) - (2.0) - (0.5) - - (15.0) Budget PP/TEMP/Council/Committees 1.0 - - - - - - 1.0 Total Headcount (11.5) - (2.0) - (0.5) - - (14.0) Wages & Benefits per full time employee $2,600 ($1,500) $5,100 n/a n/a n/a n/a $2,500 Wages per employee (10-11 account) $1,000 ($1,300) ($400) n/a n/a n/a n/a $600 Materials & Supplies (180,900) 8,300 38,900 36,900 (600) - (151,000) (248,400) Administrative Expenditures (47,500) 10,100 51,000 (15,300) (100,200) - (24,200) (126,100) Total Materials & Admin. (228,400) 18,400 89,900 21,600 (100,800) - (175,200) (374,500) Total Departmental Expenses - Operating Funds (335,500) (34,100) 145,700 21,600 (127,500) 200 (175,200) (504,800) Capital Project Funds Vehicles & Equipment (59,600) 379,300 (75,300) 20,000 - - (110,500) 153,900 Projects (6,207,600) 4,432,400 (224,100) - - - - (1,999,300) Total Departments with Project Funds $ (6,602,700) $ 4,777,600 $ (153,700) $ 41,600 $ (127,500) $ 200 $ (285,700) $ (2,350,200) (1) Electric Revenue Fund does not include Plant Operations under the NAES Contract. Does include Plant CIP Projects.

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE City of Dover Summary of Departmental Expenses by Fund 2013 Proposed Budget WATER ELECTRIC COMMUNITY SUBSTANCE GENERAL WASTE/WATER REVENUE LIBRARY DEVELOPMENT ABUSE POLICE TITLE FUND FUND FUND (1) GRANT BLOCK GRANT GRANT GRANTS TOTAL Salaries & Wages $ 14,892,000 $ 1,572,500 $ 2,666,000 $ - $ 38,300 $ - $ - $ 19,168,800 Vacation Sell Back & Retirement Payouts 463,400 16,200 157,900 - - - - 637,500 Overtime Wages 661,300 70,300 185,500 - - - - 917,100 Temporary Help Wages/Council/Extra Duty 396,700 - - - - 30,400 - 427,100 FICA Taxes 1,159,100 124,000 213,800 - 2,900 2,400 - 1,502,200 Health Insurance 2,375,600 380,300 454,100 - - - - 3,210,000 LID Insurance 74,300 8,800 12,700 - - - - 95,800 Workers Compensation 470,000 54,100 102,400 - 200 200 - 626,900 Educational Assistance 17,600 5,100 - - 2,300 - - 25,000 Pension 1,331,200 78,200 128,800 - - - - 1,538,200 OPEB 1,215,400 106,900 167,000 - 3,300 - - 1,492,600 Total Personnel Costs 23,056,600 2,416,400 4,088,200 - 47,000 33,000 - 29,641,200 Benefit % of all salaries & wages 40.5% 45.7% 35.8% 40.1% % of Total Departmental Expenses 79.6% 62.2% 70.8% 74.6% Budget FTE Headcount 265.5 36.0 45.0 - 0.5 - - 347.0 Budget PP/TEMP/Council/Committees 55.0 - - - - 12.0 - 67.0 Total Headcount 320.5 36.0 45.0 - 0.5 12.0 - 414.0 Wages, OT, & Benefits per full time employee $85,348 $67,122 $90,849 n/a n/a n/a n/a $84,190 Wages per full-time employee (10-11 account) $56,090 $43,681 $59,244 n/a n/a n/a n/a $55,241 Materials & Supplies 1,342,600 332,700 671,000 252,100 - 55,100 135,000 2,788,500 Administrative Expenditures 4,580,100 1,134,500 1,017,500 8,400 188,300 31,800 355,000 7,315,600 Total Materials & Admin. 5,922,700 1,467,200 1,688,500 260,500 188,300 86,900 490,000 10,104,100 Total Departmental Expenses - Operating Funds 28,979,300 3,883,600 5,776,700 260,500 235,300 119,900 490,000 39,745,300 Capital Project Funds Vehicles & Equipment 399,900 524,500 146,000 20,000 - - - 1,090,400 Projects 6,240,600 8,511,300 3,824,000 - - - - 18,575,900 Total Departments with Project Funds $ 35,619,800 $ 12,919,400 $ 9,746,700 $ 280,500 $ 235,300 $ 119,900 $ 490,000 $ 59,411,600 (1) Electric Revenue Fund does not include Plant Operations under the NAES Contract. Does include Plant CIP Projects.

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover Summary of Departmental Expenses by Fund 2012 Amended Budget WATER ELECTRIC COMMUNITY SUBSTANCE GENERAL WASTE/WATER REVENUE LIBRARY DEVELOPMENT ABUSE POLICE TITLE FUND FUND FUND (1) GRANT BLOCK GRANT GRANT GRANTS TOTAL Salaries & Wages $ 15,306,100 $ 1,620,800 $ 2,802,100 $ - $ 55,000 $ - $ - $ 19,784,000 Vacation Sell Back & Retirement Payouts 586,200 43,400 64,400 - - - - 694,000 Overtime Wages 593,200 62,900 149,600 - - - - 805,700 Temporary Help Wages/Council/Extra Duty 163,000 - - - - 30,400 - 193,400 FICA Taxes 1,264,700 128,200 215,300 - 4,200 2,400 - 1,614,800 Health Insurance 2,687,700 430,500 501,300 - 7,600 - - 3,627,100 LID Insurance 77,300 8,700 13,200 - - - - 99,200 Workers Compensation - - - - - - - - Educational Assistance 44,200 6,000 - - - - - 50,200 Pension 1,387,800 80,300 140,100 - 3,300 - - 1,611,500 OPEB 1,053,500 88,100 146,400 - 3,600 - - 1,291,600 Total Personnel Costs 23,163,700 2,468,900 4,032,400 - 73,700 32,800 - 29,771,500 Benefit % of all salaries & wages 39.1% 43.0% 33.7% 0.0% 34.0% 7.9% 0.0% 38.6% % of Total Departmental Expenses 79.0% 63.0% 71.6% 0.0% 20.3% 27.4% 0.0% 74.0% Budget FTE Headcount 278.0 36.0 47.0 - 1.0 - - 362.0 Budget PP/TEMP/Council/Committees 54.0 - - - - 12.0 - 66.0 Total Headcount 332.0 36.0 47.0 - 1.0 12.0 - 428.0 Wages, OT, & Benefits per full time employee $82,736 $68,581 $85,796 n/a $73,700 n/a n/a $81,707 Wages per full-time employee (10-11 account) $55,058 $45,022 $59,619 n/a $55,000 n/a n/a $54,652 Materials & Supplies 1,523,500 324,400 632,100 215,200 600 55,100 286,000 3,036,900 Administrative Expenditures 4,627,600 1,124,400 966,500 23,700 288,500 31,800 379,200 7,441,700 Total Materials & Admin. 6,151,100 1,448,800 1,598,600 238,900 289,100 86,900 665,200 10,478,600 Total Departmental Expenses - Operating Funds 29,314,800 3,917,700 5,631,000 238,900 362,800 119,700 665,200 40,250,100 Capital Project Funds Vehicles & Equipment 459,500 145,200 221,300 - - - 110,500 936,500 Projects 12,448,200 4,078,900 4,048,100 - - - - 20,575,200 Total Departments with Project Funds $ 42,222,500 $ 8,141,800 $ 9,900,400 $ 238,900 $ 362,800 $ 119,700 $ 775,700 $ 61,761,800 (1) Electric Revenue Fund does not include Plant Operations under the NAES Contract. Does include Plant CIP Projects.

CHARTER ARTICLE IV, SEC 44 AND FINANCIAL POLICIES

Municode Page 1 of 1 Sec. 44. - Annual budget. On or before the second Monday of May of each year, the city manager shall prepare and submit to the council, a budget, presenting a financial plan for conducting the affairs of the city for the ensuing fiscal year. The total of proposed expenditures shall not exceed the total of anticipated income. The budget shall include the following information: 1. A detailed statement showing the expenses of conducting each department and office of the city for the current year and last preceding fiscal year. 2. A detailed estimate of the expenses of conducting each department and office of the city for the ensuing fiscal year with reasons for the increases and decreases recommended. 3. The amount of the debt of the city together with a schedule of maturities of bond issues. 4. A statement showing the amount required for interest on the city debt and for paying off any bonds maturing during the year and the amount required for the sinking fund. 5. An itemized statement of all anticipated income of the city with a comparative statement of the amounts received by the city from each of the same or similar sources for the last preceding and current fiscal years. 6. An estimate of the amount of money to be received from taxes. 7. Such other information as the city manager may think desirable or as may be required by the council. The council shall on or before the second Monday in the month of June in each year adopt a budget for the succeeding fiscal year. The council shall, so far as possible, adhere to the budget so adopted in the making of appropriations. (Amd. of 7-12-2005 (S.B. 126)) http://library.municode.com/print.aspx?clientID=13910&HTMRequest=http%3a%2f%2flibrary.m... 5/16/2012

CITY OF DOVER FINANCIAL POLICIES 09/26/11

CITY OF DOVER, DELAWARE FINANCIAL POLICIES The purpose of these policies is to present a standardized set of principles that the City follows in managing its financial and budgetary affairs. These are general statements of policies, which represent long-standing principles, traditions, and practices that will be used to guide the City in maintaining financial stability. It will be the responsibility of the Finance Department to ensure the financial objectives of these policies are maintained. Revenue Policy 1. The City will strive to maintain a broad and diversified revenue base that will equitably distribute the burden of supporting City services and will protect the City from short-term fluctuations in any one revenue source. 2. The City will actively support economic and industrial development recruitment and retention efforts to provide for a solid revenue base. 3. The City will maintain timely collection systems and implement necessary enforcement strategies to collect revenues from available sources. 4. The City will establish user fees and charges for services, when feasible, at levels related to the cost of providing the services. The City will review the fees and charges every three to five years to determine modifications needed to keep pace with the cost of providing the services. Property Tax Rates are set annually 5. The City will review its incentive programs every three years and provide City Council with the amount of foregone revenues and any recommended changes. 6. The City will establish, when feasible, self-supporting enterprise funds and intergovernmental service funds in which a relationship between revenues and expenditures clearly exists. 7. The City will project current revenues on a conservative basis so the actual revenues will consistently meet or exceed budgeted revenues. Revenues greater or less than the original budget will flow through to the audited Ending Budget Balance. 8. The City will maintain a budgetary control system and will prepare reports, which compare actual revenues to budgeted amounts. 9. The City will limit the designation of General Fund revenues for specified purposes to maximize flexibility in budgeting and revenue utilization. 10. The City will review annually and revise, where necessary, its cost allocation formulas, i.e. internal service departments. 2

11. Upon satisfying all rate covenants the City will provide operating transfers to the General Fund. From the Water/Wastewater Utility no greater than 4.5% of operating revenues and from the Electric Utility no greater than 8.0% of operating revenues. Both transfer calculations will exclude the carry forward budget balance, County Sewer Fees, and State Utility Tax. The Utility transfers will not exceed 25% of the General Fund Revenues. Expenditure Policy 1. Basic and essential services provided by the City will receive first priority for funding, i.e. Public Safety & Health, Utilities, Streets, & Sanitation. The City will establish performance measurements for all program areas, when feasible. These measures will reflect the demand, workload capability, and projected outcomes for the program to accomplish its objectives. 2. The City will adopt a balanced budget, by fund, for all funds maintained by the City, in which total anticipated revenues must equal or exceed the budgeted expenditures for each fund. The Beginning Budget Balance will not be considered a revenue source. 3. The City will maintain a budgetary control system to ensure adherence to the original adopted budget and will prepare reports, which compare actual expenditures to budgeted amounts. Expenditures greater or less than the original adopted budget will flow through the audited Ending Budget Balance. 4. The City will refrain from budgeting revenues derived from infrequent and unanticipated transactions for ongoing expenses. These revenues will be set aside for asset replacement or as otherwise directed by Mayor and Council. 5. The City will provide access to medical, dental, vision, life, AD & D, and short-term disability insurance for its employees. The cost for these benefits will be a shared responsibility between the City and its employees as outlined in the City Personnel Handbook or collective bargaining agreements 6. The City will provide access to medical and dental insurance for its retirees and their families. The cost for these benefits will be a shared responsibility between the City and its retirees as outlined in the City Personnel Handbook or collective bargaining agreements. 7. The City will provide access to appropriate retirement plans for its employees. The City will make contributions for eligible employees at the actuarial determined percentage defined for each of the respective retirement plans. 8. The City will establish an Other Post-Employment Benefit Fund (OPEB) and provide available funding for early implementation of a new accounting standard promulgated by the Government Accounting Standards Board. The City will make contributions for eligible employees and retirees at the actuarial determined rates or percentages to fund future retiree medical benefits. 3

Debt Policy 1. The City will maintain a debt management policy and full disclosure on financial reports. 2. The City will maintain communications with bond rating agencies and continue to strive for improvements in the City’s bond rating. 3. The City will adhere to its debt covenants. 4. The City will review its debt capacity every three years. 5. The City will pay for all capital projects and capital improvements on a pay-as-you-go basis using current revenues whenever possible. If a project or improvement cannot be financed with current revenues, long-term debt or use of reserves will be recommended. 6. The City will refrain from issuing long-term debt for a period in excess of the expected useful life of the capital project. 7. The City will use special assessment revenue or other self-supporting bonds instead of general obligation bonds, when practical. 8. The City will seek refinancing of outstanding debt if it is determined that the City will benefit by reduced interest expense over the remaining life of the bonds. Budget Balance/Reserve Policy – General Fund 1. The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 12% of the current year operating revenues for the General Fund, excluding the carry forward balance. The purpose of the budget balance is to meet temporary fluctuations in cash flows and to provide a cushion for loss of revenues until operating changes can be implemented. If the final Budget Balance exceeds the amount as approved in the budget ordinance, such funds shall be used to provide for unfunded retirement liabilities or as otherwise designated by City Council. The City may use monies in the Budget Balance only in times of fiscal and economic hardship. 2. Once achieved, at no time should the City’s budget balances fall below their specified percentages. If a shortfall occurs in the budget balance and immediately restoring the balances to the specified percentage would cause an extreme burden on the taxpayers, the budget balance may, with the Mayor’s and City Council’s approval, be restored to the specified percentage within one year, but in any case, no longer than three years. 3. The City will maintain a minimum reserve, in a contingency account, of at least 2% of the current year operating revenues for the General Fund. The City may only use monies in the contingency accounts to cover emergencies of a non-recurring nature that are over and above the normal course of operations. Examples are uninsured losses, storms or hurricane damages. The Contingency Reserve will not be used to balance the operating budget. 4

4. The total of the General Fund budget and contingency balances shall not exceed 17% (~ 2 months) of Budgeted Operating Revenues. 5. The City will create a Capital Asset Replacement account for Governmental Fund asset procurements. Optimally, the amount set aside for future asset replacements should equal the annual depreciation of the current assets. The City will appropriate excess (amounts greater than budgeted) revenues to fund this account, or if the balance is less than the $500,000 minimum, $200,000 per annum until such time the minimum balance is replenished. 6. The City will create a General Capital Project Fund to account for all General Government asset procurements and projects. The City will provide operating fund transfers and/or debt proceeds for each fiscal year’s Capital Investment Plan. All vehicle and equipment purchases under $25,000 will be budgeted on a pay as you go basis. Budget Balance/Reserve Policy – Water/Wastewater Fund 1. The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 17% (two months) of the current year operating revenues for each of the Water & Wastewater Utility Funds, excluding the carry forward balance. The purpose of the budget balance is to meet temporary fluctuations in cash flows and to provide a cushion for loss of revenues until operating changes can be implemented. If the final Budget Balance exceeds the amount as approved in the budget ordinance, such funds shall be used to provide for unfunded retirement liabilities or as otherwise designated by City Council. The City may use monies in the Budget Balance only in times of fiscal and economic hardship. 2. Once achieved, at no time should the City’s budget balances fall below their specified percentages. If a shortfall occurs in the budget balance and immediately restoring the balances to the specified percentage would cause an extreme burden on the ratepayers, the budget balance may, with the Mayor’s and City Council’s approval, be restored to the specified percentage within one year, but in any case, no longer than three years. 3. The City will maintain a minimum reserve, in a contingency account, of at least 2% of the current year operating revenues for each the Water & Wastewater Fund. The City may only use monies in the contingency accounts to cover emergencies of a non-recurring nature that are over and above the normal course of operations. Examples are uninsured losses, storms or hurricane damages. The Contingency Reserve will not be used to balance the operating budget. 4. The total of the combined Water & Wastewater Fund budget and contingency balances shall not exceed 25% (3 months) of Budgeted Operating Revenues. 5. The City will maintain a Capital Asset Replacement account to cover replacement or procurement of assets of the utility. Optimally, the amount set aside for future asset replacements should equal the annual depreciation of the current assets. The City will maintain a minimum balance of $500,000 for each utility for Capital Asset Replacements. The City will appropriate excess revenues to fund this account, or if the balance is less than the minimum $100,000 per annum for each utility until such time the minimum balance is achieved. 5

6. The City established by ordinance on December 17, 1996 the Wastewater Impact Fee Reserve to provide for future expansion of the City’s wastewater system due to increased demand. The ordinance further provides for debt service payments attributed to wastewater expansion projects to be funded by the current year’s collection of Impact Fees and the remainder to be deposited into the reserve account. The City shall maintain a minimum of 20% of wastewater revenues in the Impact Fee Reserve account. Amounts used to finance projects shall be replenished by the operating revenues of the Wastewater Fund over the succeeding seven years of any project completion. 7. The City established by ordinance on February 1, 2008 the Water Impact Fee Reserve to provide for future expansion of the City’s water system due to increased demand. The ordinance further provides for debt service payments attributed to water expansion projects to be funded by the current year’s collection of Impact Fees and the remainder to be deposited into the reserve account. The City shall maintain a minimum of 20% of water revenues in the Impact Fee Reserve account. Amounts used to finance projects shall be replenished by the operating revenues of the Water Fund over the succeeding seven years of any project completion. 8. The Water & Wastewater Improvement & Extension Fund budget balance shall be no less than $200,000 of the current fiscal year’s appropriation for water and wastewater projects to allow for project variances and change orders; a 10% contingency shall be included in project budgets greater than $250,000 if the Department Head determines it to be appropriate. All vehicle and equipment purchases under $25,000 will be budgeted on a pay as you go basis. The City Manager shall make the necessary budget amendments in accordance with the City of Dover Purchasing & Budget Amendment Policies. Budget Balance/Reserve Policy – Electric Revenue Fund 1. The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 12% (45 days) of the current year operating revenues for the Electric Revenue Fund, excluding the carry forward balance and power cost adjustments. The purpose of the budget balance is to meet temporary fluctuations in cash flows and to provide a cushion for loss of revenues until operating changes can be implemented. If the final Budget Balance exceeds the amount as approved in the budget ordinance, such funds shall be used to provide for unfunded retirement liabilities or as otherwise designated by City Council. The City may use monies in the Budget Balance only in times of fiscal and economic hardship. 2. Once achieved, at no time should the City’s budget balances fall below their specified percentages. If a shortfall occurs in the budget balance and immediately restoring the balances to the specified percentage would cause an extreme burden on the taxpayers, the budget balance may, with the Mayor’s and City Council’s approval, be restored to the specified percentage within one year, but in any case, no longer than three years. 3. The City will maintain a minimum reserve, in a contingency account, of at least 1% of the current year operating revenues for the Electric Revenue Fund. The City may only use monies in the contingency accounts to cover emergencies of a non-recurring nature that are over and 6

above the normal course of operations. Examples are uninsured losses, storms or hurricane damages. The Contingency Reserve will not be used to balance the operating budget. 4. The total of the combined Electric Revenue Fund budget and contingency balances shall not exceed 25% (3 months) of Budgeted Operating Revenues. 5. The City has established by bond covenant an account to cover insurance deductibles on the electric transmission and distribution system or the generating plants. The City shall maintain a minimum balance of $350,000 to cover various deductibles. 6. Recognizing price fluctuations in the wholesale power markets the City has established a rate stabilization reserve. The purpose of using such a reserve is to level off the fluctuations in the wholesale power supply market and in turn provide stable rates to our customers. In those instances where the actual cost of power supply and generation are less/more than the budgeted cost of power supply and generation, the City will transfer the difference to/from the Rate Stabilization Reserve. The balance shall be maintained at a minimum of 3% not to exceed 10% of the purchase power cost in any given year. If the reserve balance exceeds the 10% maximum, a credit will be applied to the power cost adjustment. 7. The Electric Improvement & Extension Fund budget balance shall be no less than $200,000 of the current fiscal year’s appropriation for electric system projects to allow for project variances and change orders; a 10% contingency shall be included in project budgets greater than $250,000 if the Department Head determines it to be appropriate. All vehicle and equipment purchases under $25,000 will be budgeted on a pay as you go basis. The City Manager shall make the necessary budget amendments in accordance with the City of Dover Purchasing & Budget Amendment Policies. 8. The City has established an account to provide for capital financing of Future Capacity or system expansion. The City shall maintain a balance equivalent to the value of 10% growth in capacity at any given time, or no less than $10,000,000. Amounts used to finance projects shall be replenished by the operating revenues of the Electric Revenue Fund over the succeeding seven years of any project completion. 9. The City has established an account to provide for replacement or procurement of utility system assets, otherwise known as Depreciation Reserve. Optimally, the amount set aside for future asset replacements should equal the annual depreciation of the current assets. The City will maintain a minimum balance of $10,000,000. The primary purpose of this account is to provide partial or all financing of major capital projects and minimize debt service payments. The account is also intended to cover unforeseen capital replacements due to equipment breakdowns, storms or hurricane damages. Amounts used to finance projects shall be replenished by the operating revenues of the Electric Revenue Fund over the succeeding seven years of any project completion 10. The total of the combined Electric Revenue and Electric Improvement & Extension Fund budget and reserve balances shall be benchmarked at 50% Budgeted Operating Revenues. Operating Fund Budget Balance and Reserves shall be adjusted to appropriate levels through adjustments 7

in the operating budget. Improvement & Extension Fund Budget Balance and Reserves shall be adjusted in accordance with the Capital Improvement Plan. Investment and Cash Management Policy 1. The City will deposit all receipts on a timely basis in interest bearing accounts. 2. The City will strive to maximize the return on its investment portfolio without jeopardizing principal amounts. 3. The City will limit its investments to the types of securities provided for by Delaware statutes. 4. The City will diversify its investments by maturity date to protect against market fluctuations. 5. The City will purchase securities from qualified institutions based on competitive bids in an effort to obtain the highest available rates. 6. The City will maintain an Investment Policy based on prudent investment practices and will monitor all investment managers’ compliance with policy objectives. Capital Improvement Policy 1. The City will prepare and update, as needed a five-year Capital Improvements Program (CIP) which will provide for the orderly maintenance, replacement, and expansion of capital assets. 2. The CIP will identify long-range capital projects and capital improvements of all types, which will be coordinated with the annual operating budget to maintain full utilization of available revenue sources. 3. When preparing the CIP, the City will seek to identify all viable capital projects and capital improvements required during the subsequent five-year period. These projects and improvements will be prioritized by year and by funding source. 4. Every attempt will be made to match projects and improvements with available funding sources. Future operating costs and savings associated with a project or an improvement will also be given consideration in the establishment of priorities. 5. The City will seek Federal, State, and other funding to assist in financing capital projects and capital improvements. 6. The City will incorporate the reasonable findings and recommendations of other cities’ Boards, Commissions, Committees, and Citizen Task Forces, as they relate to capital projects and improvements. 7. The City will seek input from the public by holding public hearings in relation to the establishment of projects and project priorities. 8

Financial Reporting Policy 1. The City’s accounting system will maintain records in accordance with accounting standards and principles outlined by the Governmental Accounting Standards Board (GASB), Financial Accounting Standards Board (FASB), and the State of Delaware. 2. The City will employ an independent accounting firm to perform an annual audit of the City’s finances and make the annual audit available to all required and interested parties. 3. The City will produce monthly and quarterly financial statements reporting the current periods’ activity for all funds maintained by the City. 4. The City will prepare an annual budget document that provides a basic understanding of the City’s planned financial operations for the coming fiscal year. Copies of the proposed and final budget will be made available to all interested parties and opportunities will be provided for citizen input prior to final decisions on the budget. 5. The City will place continued emphasis on review and maintenance of an accounting system which provides strong internal budgetary and accounting controls designed to provide reasonable assurance, but not absolute, assurance regarding: (a) the safeguarding of assets against loss from unauthorized use or disposition and, (b) the reliability of financial records for preparing financial statements and reports, and the maintaining accountability for assets. 6. The City will seek annual renewal of the Government Finance Officers Association’s (GFOA) Certificate of Achievement for Excellence in Financial Reporting and the Distinguished Budget Presentation Award. Adoption: 1. Approval by City Council: January 28, 2002 2. Amended by City Council: November 25, 2002 3. Amended by City Council: May 10, 2004 4. Amended by City Council: February 26, 2007 5. Amended by City Council: July 28, 2008 6. Amended by City Council: February 14, 2011 7. Amended by City Council: June 27, 2011 8. Amended by City Council: September 26, 2011 9

PERSONNEL INFORMATION CONTAINS THE FOLLOWING: – PERSONNEL TABLE – PERSONNEL CHANGES – PERSONNEL COST SUMMARY – OVERTIME TRENDS

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover Fiscal Year 2013 Proposed Budget Personnel Table 2010‐2011 2011‐2012 2012‐2013 DEPT/DIVISION BUDGET BUDGET PROPOSED CENTRAL SERVICES 6.0 6.0 4.0 CITY CLERK 4.0 4.0 4.0 CITY MANAGER 5.0 5.0 3.0 CODE ENFORCEMENT 4.0 4.0 4.0 COMMUNITY DEVELOPMENT (GRANT FUND) 1.0 1.0 0.5 CUSTOMER SERVICES 15.0 14.0 14.0 ECONOMIC DEVELOPMENT 3.0 3.0 0.0 FACILITIES MANAGEMENT 13.0 12.0 9.0 FINANCE 8.0 8.0 8.0 FIRE 6.0 6.0 6.0 FLEET MAINTENANCE 6.0 6.0 6.0 GROUNDS 16.0 14.0 14.0 HUMAN RESOURCES 3.0 3.0 3.0 INFORMATION TECHNOLOGY 7.0 5.0 5.0 INSPECTIONS 7.0 7.0 7.0 LIBRARY 13.0 12.0 13.0 LIFE SAFETY 4.0 3.0 3.0 MAYOR 1.0 1.0 1.0 PARKS AND RECREATION 6.0 6.0 5.0 PLANNING 5.0 5.0 4.5 POLICE – TOTAL* 120.0 122.0 122.0 PUBLIC WORKS ADMINISTRATION 4.0 5.0 6.0 SANITATION 12.0 13.0 11.0 STREETS 11.0 11.0 10.0 TAX ASSESSOR 3.0 3.0 3.0 GENERAL FUND & CDBG TOTAL 283.0 279.0 266.0 ELETRIC ADMINISTRATION 4.0 4.0 3.0 ELECTRIC SYSTEM OPERATIONS 5.0 5.0 5.0 ELECTRIC ENGINEERING 11.0 10.0 10.0 ELECTRIC T & D 25.0 25.0 24.0 METER READING ‐ CUSTOMER SERVICE 3.0 3.0 3.0 ELECTRIC FUND TOTAL 48.0 47.0 45.0 WATER/WASTEWATER ENGINEERING 7.0 6.0 6.0 WATER CONSTRUCTION 6.0 6.0 5.0 WATER MANAGEMENT 5.0 4.0 5.0 WASTEWATER MANAGEMENT 10.0 10.0 10.0 WATER TREATMENT PLANT 10.0 10.0 10.0 WATER/WASTEWATER FUND TOTAL 38.0 36.0 36.0 TOTAL FULL‐TIME PERSONNEL 369.0 362.0 347.0 * 93 Officers; 29 Civilians = 122 Total Employees 2010‐2011 2011‐2012 2012‐2013 DEPT/DIVISION BUDGET BUDGET PROPOSED PART‐TIME PERSONNEL FIRE n/a 1.0 1.0 PARKS AND RECREATION n/a 10.0 10.0 LIBRARY n/a 10.0 13.0 FINANCE n/a 1.0 0.0 FACILITIES MANAGEMENT n/a 1.0 0.0 SUBSTANCE ABUSE GRANT n/a 12.0 12.0 TOTAL PART‐TIME PERSONNEL 35.0 36.0 TOTAL PERSONNEL 369.0 397.0 383.0 CITY COUNCIL COMMITTEES n/a 17.0 17.0 PLANNING COMMISSION n/a 14.0 14.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE City of Dover Fiscal Year 2013 Proposed Budget The proposed budget reflects the following personnel changes: DEPT/DIVISION POSITION CHANGE COMMENTS FTE Central Services Material Expeditor Removed (1.0) Central Services Administrative Assistant Transfer To Public Works - Admin (1.0) City Manager Senior City Administrator Removed (1.0) City Manager Administrative Assistant Removed (1.0) Community Development Community Development Mgr. Transfer To Split with Planning (0.5) Economic Development Administrative Assistant Removed (1.0) Economic Development Downtown Coordinator Removed Effective 10/1/12 (1.0) Economic Development Economic Development Dir. Removed (1.0) Facilties Management Central Services Director Removed (1.0) Facilties Management Building Maintenance Craftperson Removed (1.0) Facilties Management Custodian I Transfer To Police - Civilian (1.0) Fleet Maintenance Mechanic I Removed Replace vacant position with (1.0) Fleet Maintenance Field Supervisor II Addition upgraded position 1.0 Library Library Clerk II - Vacant Addition 1.0 Parks & Recreation Parks & Recreation Director Removed (1.0) Planning Planner II Removed (1.0) Planning Planner I Transfer From Community Development 0.5 Police - Civilian Police Clerk Removed (1.0) Police - Civilian Custodian I Transfer From Facilities Management 1.0 Public Works - Administration Administrative Assistant Transfer From Central Services 1.0 Sanitation Motor Equipment Operator Removed (2.0) Streets Field Supervisor I Removed (1.0) GENERAL FUND & CDBG (13.0) Electric - Administration Budget & Support Supervisor Removed (1.0) Electric - T & D Lineman 1st Class Removed (1.0) ELECTRIC FUND (2.0) Water Construction Heavy Construction Operator Removed (1.0) Water Management Motor Equipment Operator I Addition 1.0 WATER/WASTEWATER FUND 0.0 The following Departments have vacant positions budgeted with request to fill: (City Manager Tier III) DEPT/DIVISION POSITION COMMENTS # Human Resources Human Resources Coordinator 1.0 Fleet Maintenance Field Supervisor II Included above - addition 1.0 Library Library Clerk II and various part-time positions Clerk II above - addition 4.0 Police Patrolman I 1.0 Sanitation Motor Equipment Operatior 1.0 Public Works - Administration Public Works Director or W/WW Mananger Bonus budgeted at 3 months 1.0 Electric Administration Electric Director or Engineer for Interim Directors 1.0 The following Departments have planned retirements: DEPT/DIVISION POSITION CHANGE COMMENTS # Information Technology 2.0 Library 2.0 Police - Uniform Officers 3.0 Electric - Systems Opertors 1.0 Electric - T & D 2.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover Projected Personnel Budget Fiscal Year 2013 Total City by Fund Dept/Div # of Division Base Pay Bonus/Allow./SD Overtime Part Time/Temp Total Total Total Number Positions Title 10-11 On Call 10-11 10-12 10-13 Wages Benefits Personnel 1100-511 4 City Clerk $214,700 $0 $0 $0 $214,700 $85,000 $299,700 1200-512 - City Council $0 $0 $0 $84,300 $84,300 $6,800 $91,100 1300-513 3 Assessor $123,000 $0 $0 $0 $123,000 $44,900 $167,900 1400-514 7 Fire $246,700 $4,500 $44,900 $12,800 $308,900 $97,500 $406,400 1500-522 14 Grounds $564,400 $500 $15,000 $0 $579,900 $255,100 $835,000 1500-523 26 Library $585,300 $0 $3,500 $167,200 $756,000 $241,800 $997,800 1500-525 15 Recreation $209,000 $0 $0 $115,300 $324,300 $111,500 $435,800 1600-531 3 Fire Marshal $143,500 $5,700 $7,000 $0 $156,200 $53,300 $209,500 1600-532 4 Code Enforcement $172,300 $2,600 $3,000 $0 $177,900 $90,100 $268,000 1600-533 5 Planning $297,200 ($38,300) $1,800 $17,100 $277,800 $96,000 $373,800 1600-534 7 Building Inspections $298,300 $600 $0 $0 $298,900 $125,100 $424,000 1600-535 0 Economic Development $33,750 $0 $0 $0 $33,750 $12,700 $46,450 1700-542 29 Civilian Police $1,247,100 $19,400 $55,000 $0 $1,321,500 $510,200 $1,831,700 1700-543 93 Law Enforcement $6,391,300 $201,400 $500,000 $0 $7,092,700 $3,283,800 $10,376,500 1700-544 0 Police Extra Duty $514,900 $0 $0 $0 $514,900 $64,500 $579,400 1800-554 10 Streets $384,900 $0 $9,000 $0 $393,900 $184,400 $578,300 1800-555 11 Sanitation $411,700 $0 $15,000 $0 $426,700 $201,200 $627,900 2100-515 3 City Manager $192,800 $19,200 $0 $0 $212,000 $69,500 $281,500 2200-516 5 Information Technology $265,400 $0 $0 $0 $265,400 $105,800 $371,200 2300-517 8 Finance $481,500 $0 $1,800 $0 $483,300 $195,700 $679,000 2400-551 6 Public Services Admin $314,700 $3,800 $600 $0 $319,100 $117,600 $436,700 2500-552 9 Facilities $369,700 $500 $800 $0 $371,000 $171,600 $542,600 2700-571 4 Central Services $176,800 $6,000 $400 $0 $183,200 $72,000 $255,200 2800-572 6 Fleet Maintenance $266,200 $3,000 $3,500 $0 $272,700 $138,800 $411,500 2900-529 14 Customer Service $543,300 $0 $0 $0 $543,300 $227,400 $770,700 3100-518 3 Human Resources $169,600 $0 $0 $0 $169,600 $70,600 $240,200 3200-519 1 Mayor $45,000 $0 $0 $0 $45,000 $10,300 $55,300 Total General Fund $14,663,050 $228,900 $661,300 $396,700 $15,949,950 $6,643,200 $22,593,150 Count 290 Divisions = 26; Library 13 part-time/temp; Recreation 10 part-time/temp; Fire 1 part-time/temp Dept/Div # of Division Base Pay Bonus/Allow./SD Overtime Part Time/Temp Total Total Total Number Positions Title 10-11 On Call 10-11 10-12 10-13 Wages Benefits Personnel 2600-553 6 Engineering $394,800 $2,200 $600 $0 $397,600 $151,800 $549,400 5600-556 5 Construction $182,800 $5,300 $12,500 $0 $200,600 $93,000 $293,600 6800-568 9 Water $314,900 $6,800 $23,300 $0 $345,000 $172,200 $517,200 6900-569 6 Wastewater $230,000 $6,700 $15,400 $0 $252,100 $116,100 $368,200 7600-576 10 Water Treatment $427,400 $1,600 $18,500 $0 $447,500 $224,300 $671,800 Total Water/Wastewater Fund $1,549,900 $22,600 $70,300 $0 $1,642,800 $757,400 $2,400,200 Count 36 Divisions = 5 Dept/Div # of Division Base Pay Bonus/Allow./SD Overtime Part Time/Temp Total Total Total Number Positions Title 10-11 On Call 10-11 10-12 10-13 Wages Benefits Personnel 8200-562 24 T&D $1,426,700 $28,900 $127,800 $0 $1,583,400 $613,300 $2,196,700 8300-563 10 Engineering $591,300 $13,100 $7,800 $0 $612,200 $218,400 $830,600 8400-564 3 Administration $148,600 $0 $0 $0 $148,600 $52,300 $200,900 8500-565 3 Meter Reading $121,000 $3,700 $6,000 $0 $130,700 $53,800 $184,500 8600-526 5 System Operators $323,200 $9,500 $43,900 $0 $376,600 $141,000 $517,600 Total Electric Fund $2,610,800 $55,200 $185,500 $0 $2,851,500 $1,078,800 $3,930,300 Count 45 Divisions = 5 Dept/Div # of Division Base Pay Bonus/Allow./SD Overtime Part Time/Temp Total Total Total Number Positions Title 10-11 On Call 10-11 10-12 10-13 Wages Benefits Personnel 9900-581 12 Substance Abuse Grant $0 $0 $0 $30,400 $30,400 $2,600 $33,000 Total Grant Funds $0 $0 $0 $30,400 $30,400 $2,600 $33,000 Count 383 GRAND TOTAL $18,823,750 $306,700 $917,100 $427,100 $20,474,650 $8,482,000 $28,956,650 Full-Time 347 Divisions = 37 w/o CDBG PP/TEMP 36 Count does not include Council Members or Committee/Commission Members

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE CITY OF DOVER OVERTIME COMPARISON FISCAL YEAR 2010 THROUGH 2013 2010 2011 2012 THROUGH MARCH (75.0%) 2013 DEPARTMENT Orig. Budget Actual Variance Orig. Budget Actual Variance Orig. Budget Actual Variance % To Date Proposed CITY CLERK - - - - - - - 73 (73) --- - FIRE 8,000 50,658 (42,658) 38,365 42,260 (3,895) 39,148 34,432 4,716 88.0% 44,900 GROUNDS 15,000 37,891 (22,891) 17,000 21,565 (4,565) 15,300 11,045 4,255 72.2% 15,000 LIBRARY - 4,209 (4,209) 3,500 3,766 (266) 3,600 2,676 924 74.3% 3,500 LIFE SAFETY 13,000 14,994 (1,994) 10,000 6,859 3,141 8,000 4,783 3,217 59.8% 7,000 CODE ENFORCEMENT 4,702 1,370 3,332 3,000 2,370 630 1,570 2,557 (987) 162.9% 3,000 PLANNING 3,606 3,034 572 3,606 3,946 (340) - - - --- 1,800 PUBLIC INSPECTIONS 2,500 67 2,433 1,500 - 1,500 - - - --- - POLICE CIVILIAN - 47,534 (47,534) 50,000 53,246 (3,246) 45,000 46,664 (1,664) 103.7% 55,000 POLICE LAW ENFORCEMENT 459,946 526,581 (66,635) 450,000 482,449 (32,449) 450,000 366,605 83,395 81.5% 500,000 STREET 13,200 19,474 (6,274) 13,200 6,187 7,013 11,880 3,723 8,157 31.3% 9,000 SANITATION 18,000 36,329 (18,329) 18,000 20,411 (2,411) 16,200 11,194 5,006 69.1% 15,000 CITY MANAGER - 1,538 (1,538) - - - - - - --- - FINANCE - - - 3,000 3,179 (179) - - - --- 1,800 PW ADMINISTRATION 500 1,967 (1,467) 500 - 500 - 560 (560) --- 600 FACILITIES MANAGEMENT 300 1,127 (827) 300 314 (14) 450 985 (535) 218.9% 800 CENTRAL SERVICES - 616 (616) 350 322 28 700 361 339 51.6% 400 VEHICLE MAINTENANCE 13,989 19,731 (5,742) 5,976 5,985 (9) 1,350 305 1,045 22.6% 3,500 HUMAN RESOURCES - - - 1,000 - 1,000 - - - --- - WATER ENGINEERING 3,120 3,856 (736) 3,120 460 2,660 900 695 205 77.3% 600 CONSTRUCTION & MAINT 5,000 19,362 (14,362) 5,000 10,462 (5,462) 4,500 7,128 (2,628) 158.4% 12,500 METERING 2,603 3,902 (1,299) - - - - - - --- - WATER 7,000 16,212 (9,212) 3,500 10,682 (7,182) 9,900 6,031 3,869 60.9% 23,300 WASTE-WATER 27,000 25,175 1,825 57,500 24,882 32,618 24,300 17,360 6,940 71.4% 15,400 WATER TREATMENT PLANT 25,880 24,537 1,343 25,880 18,291 7,589 23,300 12,118 11,182 52.0% 18,500 TRANSMISSION/DISTRIBUTION 110,074 112,288 (2,214) 110,074 121,397 (11,323) 99,074 92,971 6,103 93.8% 127,800 ELECTRIC ENGINEERING 47,320 12,074 35,246 47,320 6,234 41,086 20,250 6,296 13,954 31.1% 7,800 ELECTRIC ADMINISTRATION - 945 (945) - - - - 237 (237) --- - ELECTRIC METERING 12,100 13,610 (1,510) 6,352 5,694 658 12,250 5,550 6,700 45.3% 6,000 ELECTRIC SYSTEMS OPERATIONS 61,350 64,891 (3,541) 61,350 52,681 8,669 18,000 31,805 (13,805) 176.7% 43,900 TOTAL 854,190 1,063,972 (209,782) 939,393 903,642 35,751 805,672 666,154 139,518 82.7% 917,100 ELECTRIC PLANT OPERATIONS 172,498 191,236 (18,738) 179,816 209,636 (29,820) 172,800 118,134 54,666 68.4% 182,200

FIVE YEAR FORECAST SUMMARY CONTAINS THE FOLLOWING SUBSECTIONS: – GENERAL FUND – WATER/WASTEWATER FUND – ELECTRIC REVENUE FUND

GENERAL FUND

City of Dover General Fund Updated Financial Projections 2013 – 2017 Legislative, Finance & Administrative Committee May 2012 Prepared by Finance Department

2 Included in Current Forecast Projection • Current forecast includes continuation of FY13 Proposed rate and fee increases  Property Tax $.01  Sanitation fees - average $19.68  Fixed amounts for General Fund Transfers of $8.5 million  Capital School District School Resource Officer $26,500 annually  Green Energy Grant receipt for Library $98,500 annually • Revenue growth projections as follows –  Property taxes .5% annually  Licenses, permits and code enforcement fees 1.0% annually  Sanitation fees .5% annually  Library receipts .5% annually  Interfund Service Charges 2.0% annually  All other revenues remain flat • Operating Expense growth projections are as follows –  Salaries & Wages, FICA & Worker’s Compensation 1.0% annually for 2014 – 2017  Health Insurance premiums 6.0% annually  Pension & OPEB 2.0% annually  Operating materials and administrative expenses 1.0%  City property reassessment (Range from $60,000 to $130,000); Projected $95,000

3

4 Presentation of Forecast Model • The forecast model for the General Fund will be available for review and discussion during the Budget meetings. As you can see from the previous page, the steps taken this year to balance the budget only take care of FY13 as a short-term fix. Some graphs of the more significant areas are included on pages 5 -11. • Personnel, operating and capital cost continue to grow at higher rate than revenues. • The Sanitation Fee increases are an attempt to cover cost of service, however we will need to continue to increase these fees to maintain the same gap between revenue and expenses as in the FY13 proposal. • Maintaining current service levels for public safety, public health, and community services will require significant increases in revenues or new revenue sources.

5 01-PROPERTY TAXES $14,000 $12,000 $ THOUSANDS $10,000 $8,000 $6,000 $4,000 $2,000 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F 01-PROPERTY TAXES $9,558 $10,075 $10,030 $10,905 $11,035 $11,364 $11,420 $11,478 $11,535 $11,593 12-TRANSFERS IN-ELECTRIC FUND (480) - ANNUAL % CHANGE 50.0% 40.5% 40.0% 31.0% 30.0% 20.0% 10.0% 2.4% 0.0% 1.6% 0.0% 0.0% 0.0% 0.0% 0.0% 2008A 2009A 2010A 2011A 2012R -11.1% 2013P 2014F 2015F 2016F 2017F -10.0% -20.0%

6 12-TRANSFERS IN-ELECTRIC FUND (480) $10,000 $9,000 $8,000 $ THOUSANDS $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F 12-TRANSFERS IN-ELECTRIC FUND (480) $6,601 $6,758 $6,758 $8,856 $7,876 $8,000 $8,000 $8,000 $8,000 $8,000 12-TRANSFERS IN-ELECTRIC FUND (480) - ANNUAL % CHANGE 50.0% 40.5% 40.0% 31.0% 30.0% 20.0% 10.0% 2.4% 0.0% 1.6% 0.0% 0.0% 0.0% 0.0% 0.0% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F -11.1% -10.0% -20.0%

7 12-TRANSFERS IN-REALTY TRANSFER TAX $4,000 $3,500 $ THOUSANDS $3,000 $2,500 $2,000 $1,500 $1,000 $500 $- 2008 2009 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F A A 12-TRANSFERS IN-REALTY TRANSFER $3,526 $1,198 $868 $1,462 $1,230 $1,370 $1,370 $1,384 $1,404 $1,426 TAX 12-TRANSFERS IN-REALTY TRANSFER TAX - ANNUAL % CHANGE 80.0% 68.5% 60.0% 40.0% 17.2% 20.0% 11.4% 0.0% 1.0% 1.5% 1.5% 0.0% -15.9% 2008A 2009A 2010A -27.6% 2011A 2012R 2013P 2014F 2015F 2016F 2017F -20.0% -40.0% -66.0% -60.0% -80.0%

8 08-FINES $1,400 $1,200 $ THOUSANDS $1,000 $800 $600 $400 $200 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F 08-FINES $1,118 $1,016 $1,045 $1,033 $939 $1,162 $1,162 $1,162 $1,162 $1,162 08-FINES - ANNUAL % CHANGE 30.0% 23.8% 25.0% 20.0% 15.0% 10.0% 2.9% 5.0% 0.0% 0.0% 0.0% 0.0% -1.3% -1.2% 0.0% -5.0% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F -9.1% -9.1% -10.0% -15.0%

9 06-SANITATION FEES AND REBATES $3,000 $2,500 $ THOUSANDS $2,000 $1,500 $1,000 $500 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F 06-SANITATION FEES AND REBATES $1,333 $1,397 $1,341 $2,173 $1,966 $2,537 $2,550 $2,563 $2,575 $2,588 06-SANITATION FEES AND REBATES - ANNUAL % CHANGE 70.0% 62.1% 60.0% 50.0% 40.0% 29.0% 30.0% 20.0% 10.0% 3.1% 4.8% 0.5% 0.5% 0.5% 0.5% 0.0% -4.0% -9.5% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F -10.0% -20.0%

10 Police Department 1700 POLICE $16,000 $14,000 $ THOUSANDS $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F SOURCES $- $- $- $- $- $- $- $- $- $- USES $12,169 $12,800 $12,795 $13,082 $13,451 $13,972 $14,257 $14,421 $14,644 $14,856 USES - ANNUAL % CHANGE 6.0% 5.2% 5.0% 4.0% 3.9% 4.0% 2.8% 3.0% 2.2% 2.0% 2.0% 1.5% 1.5% 1.1% 1.0% 0.0% 0.0% -1.0% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F

11 Public Works – Streets & Sanitation 1800 PUBLIC WORKS $6,000 $ THOUSANDS $5,000 $4,000 $3,000 $2,000 $1,000 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F SOURCES $- $- $- $- $- $- $- $- $- $- USES $5,108 $4,791 $4,273 $4,714 $4,671 $4,138 $5,533 $5,165 $4,922 $4,614 USES - ANNUAL % CHANGE 40.0% 33.7% 35.0% 30.0% 23.4% 25.0% 20.0% 15.0% 10.3% 10.0% 5.0% -0.9% 0.0% -4.7% -6.2% -6.6% -6.3% -5.0% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F -10.8% -11.4% -10.0% -15.0%

12 Planning & Inspections 1600 INSPECTIONS AND PLANNING $2,500 $2,000 $ THOUSANDS $1,500 $1,000 $500 $- 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F SOURCES $- $- $- $- $- $- $- $- $- $- USES $1,492 $1,742 $1,937 $1,963 $1,958 $1,904 $1,993 $2,037 $2,071 $2,052 USES - ANNUAL % CHANGE 20.0% 16.7% 15.0% 11.2% 10.0% 4.7% 5.0% 2.0% 2.2% 1.3% 1.7% -0.3% -0.9% 0.0% -2.8% 2008A 2009A 2010A 2011A 2012R 2013P 2014F 2015F 2016F 2017F -5.0%

WATER/WASTEWATER FUND

City of Dover Water and Wastewater Fund Updated Financial Projections 2013 – 2017 Budget Meetings May 2012 Prepared by Finance Department

2 Key Assumptions • T/Gallons Growth ▫ 2012 Projection -4.7% under FY11 ▫ 2013 – 2014 Level with 2012 ▫ 2015 – 2017 .50% each year • Water rate increase at 2.0% ($95,000 in revenue) is projected for FY15 • Continues the groundwater inflow surcharge to cover cost of increases in treatment fees and ongoing capital projects to reduce the inflow/infiltration.  Note – The annual amount budgeted to cover the treatment fees may increase and therefore the amount we have forecasted to cover project cost may need to be reduced. Approximately $700,000. • Continues prior level of capital improvements to replace failing infrastructure • Projected Operating Expenses reported at same level as FY12 with the following exceptions:  Currently no pay increases for 2013  Growth in Division expenses 2014 – 2107 at 3% per year for anticipated  General increases in materials and supplies  Increased wages  Increased health insurance premiums 6%  Increased Pension Normal Cost 2%  Increased OPEB normal cost with continuation of phase-in plan 1.6%  Pension contribution for unfunded liability as per previous actuary analysis • County Treatment Fee Expenses projections kept level with previous year and forecasted growth • General Fund transfer is proposed to change to a fixed dollar amount for all forecasted periods with $250,000 each water and wastewater • Impact Fees are projected to be used to pay debt service and project financing • Includes transfers to Capital Project Fund each year for water quality and inflow/infiltration projects

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4

5

6

7

8 Reserve Accounts

ELECTRIC FUND

City of Dover Electric Revenue Fund Updated Financial Projections 2013 - 2017 Budget Meetings May 2012 Prepared by Finance Department

2 Key Assumptions • kWh demand forecast for FY12 down 3.3% versus FY11  Aligned with FY10 and FY11 original budget  FY11 actual was higher due to high seasonal heat rate • kWh demand for FY13 – FY17 kept flat • FY13 PCA credit currently at 8.5%; FY14 – 15.5%; FY15 17.5%; • Final results of rate study and presentation planned for May 29, 2012  Preliminary results included on a later page. • Interest rates lowered to 1.25% • Maintains $8.0 million General Fund Transfer throughout forecast • Forecasted Operating Expenses reported at FY12 level with the following exceptions:  Currently no pay increases for 2013  Growth in Division expenses 2014 – 2017 at 3% per year for anticipated  General increases in materials and supplies  Increased wages  Increased health insurance premiums 6.0% (including retirees)  Increased Pension normal cost 2%  Increased OPEB normal cost 1.3%  Pension contribution for unfunded liability as per previous actuary analysis • No new debt issuance; Compliant with debt covenants after adjusting for use of Rate Stabilization Reserve • Adjustments to the previous annual appropriation to I & E Fund for CIP • Use of some reserves to partially fund CIP

3 Net Margins

4 Projected Energy & Supply Requirements

5 Projected Purchased Power Expense

6 Capital Investment Plan 2013 – 2017

7 Capital Investment Plan 2013 – 2017 continued

8 Reserve Accounts

9 Cost of Service Rate Review • On the next page we are providing preliminary results of the Electric Cost of Service Analysis. • The previous pages based on the City forecast indicated a 8.5% overall cost of service reduction. • The preliminary results of the Burns & McDonnell analysis reflects a 12.0% overall cost of service reduction attributed to including $5.0 million from the Rate Stabilization Reserve. • Greater detail will be provided by Burns & McDonnell upon completion of the analysis. • Burns & McDonnell is fine tuning the financial model however we don’t anticipate any significant changes. • While the financial model includes a five year forecast the City requested the consultant to only provide rates adjustments through FY15 in correlation with the PJM market.

10 Preliminary Net Margins

CAPITAL INVESTMENTS PLAN CONTAINS THE FOLLOWING SUBSECTIONS: – REVENUE SOURCES AND FUNDS – TOTAL CITY SUMMARY – GENERAL – WATER/WASTEWATER – ELECTRIC – VEHICLE REPLACEMENTS

GENERAL FUND

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Customer Services Customer Notification by E-IVR Automated Dialing CU1301 2 30,000 30,000 Customer Services Total 30,000 30,000 Facilities Management City Hall - Fire Suppression System FC1302 1 288,000 288,000 City Hall Emergeny Generator FC1303 n/a 93,000 93,000 Facilities Management Total 381,000 381,000 Library New Dover Public Library LB0901 1 2,535,000 2,535,000 Library Total 2,535,000 2,535,000 Parks and Recreation Dover Park - Roof Replacement PR1301 1 30,000 30,000 Schutte Park Land Improvements PR1402 5 100,000 100,000 Pathway at Schutte Park PR1403 6 120,000 120,000 Splash Pad at Schutte Park PR1501 3 150,000 150,000 300,000 Skate Parks PR1601 4 10,000 300,000 310,000 Tennis Courts at Schutte Park PR1701 7 160,000 160,000 Parks and Recreation Total 30,000 220,000 150,000 160,000 460,000 1,020,000 Police Police Station Main Electric Breaker Replacement PD1301 1 33,800 33,800 Repair/Micro Seal Police Station Parking Lots PD1302 2 25,300 25,300 Police Total 59,100 59,100 Public Works - Streets Street and Alley Program ST1201 1 856,000 1,300,000 1,300,000 1,300,000 4,756,000 Concrete Construction and Replacement Program ST1202 2 60,000 70,000 75,000 80,000 285,000 Garrison Farm Improvements ST1302 1 2,000,000 2,000,000 Silver Lake Revitalization Project ST1401 5 50,000 250,000 100,000 100,000 500,000 Public Works - Streets Total 2,916,000 1,420,000 1,625,000 1,480,000 100,000 7,541,000 GRAND TOTAL 5,921,100 1,670,000 1,775,000 1,640,000 560,000 11,566,100 Monday, May 14, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 FUNDING SOURCE SUMMARY Source FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 2,000,000 2,000,000 Community Transportation Fund 756,000 1,120,000 1,250,000 1,000,000 4,126,000 General Fund 503,300 550,000 395,000 480,000 410,000 2,338,300 Homeland Security Grant 126,800 126,800 Other 1,267,500 1,267,500 Parkland Reserve Fund 160,000 160,000 State Grant 1,267,500 130,000 150,000 1,547,500 GRAND TOTAL 5,921,100 1,670,000 1,775,000 1,640,000 560,000 11,566,100 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # CU1301 Project Name Customer Notification by E-IVR Automated Dialing Type Improvement Department Customer Services Useful Life 5-10 years Contact Customer Service Manager Category General Priority 2 New Project: Account Number: Time-Line: Description Total Project Cost: $30,000 One of the most popular and cost effective uses of IVR Technology involves automating the out-dialing process Another use is to add the feature of customer alerts and notifications. This automation can take a variety of forms and functionality. E-IVR automated features include the ability to broadcasting a huge number of calls to deliver a pre-recorded message or alert, targeting a specific list to be called to relay individualized information, and to automate the dialing process as an efficient and management tool for staff. It is critical to maximize the use of communication resources, advance with technology and offer features similar to local utilities and municipalities. Our existing phone system provides the foundation to add beneficial enhancements. Justification The E-IVR notification system gets the word out fast for emergency notification, road closures, power outages, alerts customer of electric and water disconnections that are scheduled due to nonpayment of utility account, upcoming events. The Customer Service department is submitting the request for consideration. This system should benefit City departments and Officials city wide. The phone system broadcasts from our data base, when answered the IVR plays a prerecorded message. Unsuccessful calls are noted and can be broadcast again. The benefit to the customer is to receive critical notifications and become better informed. Since the calls are automated staff, may be utilized in other functions. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Other 30,000 30,000 Total 30,000 30,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 30,000 30,000 Total 30,000 30,000 Budget Impact/Other Estimated annual maintenance fees. This type of notification system is already used by other utilities and municipalities in Delaware. In conjunction with electric disconnects for nonpayment, the customer would receive an automated call two days prior to the scheduled disconnection date. This serves as a reminder to remit the payment and allows the customer to prepare for the interruption of service in the event payment is not received. A customer may chose to expedite payment by using the recently implemented credit card online processing system. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # FC1302 Project Name City Hall - Fire Suppression System Type Improvement Department Facilities Management Useful Life 20-25 years Contact Public Works Director Category General Priority 1 New Project: Yes Account Number: Time-Line: Description Total Project Cost: $288,000 This project will be divided into two parts. Part one is for the City Hall, single story, Administrative will and will begin in Fiscal 2013, with the second part is for the City Hall, two story, Executive wing of City Hall will begin in Fiscal 2014. All work must be concluded by the en of Fiscal 2014. Final acceptance of the Library project is contingent on the installation of sprinklers in City Hall by the end of Fiscal 2014. Justification The building of the Library located on the east side of City Hall removed the fire access to City Hall on the east side. Designers were given two opetion from the Fire Marshal's Office, as approval for the project. Option I was to place a 16 foot wide sidewalk, designed to hold the weight of fire equipment, to run along the east side of City Hall 10' from the building. The would still allow for fire equipment to have the same amount of access to the east side of the building. Option II was to install sprinklers in City Hall. By doing so the required perimeter access to the building is cut in half and the east access would no longer be needed. The designers and City staff chose option II. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Other 288,000 288,000 Total 288,000 288,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 288,000 288,000 Total 288,000 288,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # FC1303 Project Name City Hall Emergeny Generator Type Improvement Department Facilities Management Useful Life Unknown Contact Mayor Carey Category General Priority n/a New Project: Account Number: Time-Line: Description Total Project Cost: $93,000 Installation of an emergency back-up generator at City Hall. This project will be funded by a DEMA Homeland Security Grant. Currently, City Hall is not operational during a power outage. This project will be completed in Fiscal 2013. Justification This generator installation will provide City Hall the ability to stay operational in the event of a major power outage and act as a hub for communications with the general public and coordination of city services. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 93,000 93,000 Total 93,000 93,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Homeland Security Grant 93,000 93,000 Total 93,000 93,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # LB0901 Project Name New Dover Public Library Type Improvement Department Library Useful Life 25+ years Contact Library Director Category General Priority 1 New Project: No Account Number: Time-Line: Description Total Project Cost: $21,937,396 The Dover Public Library, built in 1961, no longer meets the needs of the current population of the Dover Public Library's service area (56,000+). A new 46,000 square foot library facility is being constructed on Loockerman Street next to the City Hall building. Until completion of the project, library customers will continue to receive very limited library services due to space and other deficiencies in the current facility. State funding has been obtained; and the capital campaign has almost met its goals. This project fulfills the requirements of the DE Division of Libraries' Statewide Master Plan. Justification In 2004, library facilities planners, Robert H. Rohlf Associates conducted a library facilities plan and recommended that the City of Dover build a 39,000-50,000 square foot library in the downtown area because the current library is insufficient to meet the needs of citizens. The study concluded that the current library does not provide enough parking, shelving, programming areas, quiet study rooms, sufficient office space; and that there are ADA issues throughout the building. The study compared the Dover Public Library to libraries in similar-sized communities and services are lacking in many areas, including collection and reference. The benefit of replacing the current library is that the community will have access to a library with sufficient space for collections and computers, lighting, parking, quiet study areas, and programming space. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 19,402,396 Planning/Design 50,000 50,000 Construction/Maintenance 2,235,000 2,235,000 Total Equip/Vehicle/Furnishings 225,000 225,000 Other 25,000 25,000 Total 2,535,000 2,535,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 19,402,396 Other 1,267,500 1,267,500 Total State Grant 1,267,500 1,267,500 Total 2,535,000 2,535,000 Budget Impact/Other A larger library will require more maintenance, increased operational funding for heating and cooling, increased janitorial services, and at least 2.5 additional full-time library staff. Budget Items FY 13 FY 14 FY 15 FY 16 FY 17 Total Other (Insurance, Utilities) 169,579 174,666 344,245 Total 169,579 174,666 344,245 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1301 Project Name Dover Park - Roof Replacement Type Maintenance Department Parks and Recreation Useful Life 15-20 years Contact Parks & Recreation Director Category General Priority 1 New Project: Yes Account Number: Time-Line: August - September 2010 Description Total Project Cost: $30,000 This project will see the replacement of the roof at the Dover Park Administration Building. Consequences of delaying or elminating this project will result in the continued repair of the interior ceiling of the Dover Park Administrative Building due to water leakage. Justification Heavy rain or snow has caused water to leak into the building. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 30,000 30,000 Total 30,000 30,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 30,000 30,000 Total 30,000 30,000 Budget Impact/Other The roof on the Dover Park Adminstration Building was replaced in 1990. The present roof is 19 years old and in need of replacement. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1402 Project Name Schutte Park Land Improvements Type Improvement Department Parks and Recreation Useful Life 50 years Contact Parks & Recreation Director Category General Priority 5 New Project: Account Number: Time-Line: Description Total Project Cost: $100,000 This project involves the probable land donation from a local developer. Wyoming Mill Road will be reconfigured to intersect the Villiage of Westover entrance. The price listed is for grading and seeding the donated land, which will become athletic fields. The consequences of delaying or elminating this project will be the lack of outdoor athletic field space. Justification Increased acreage for outdoor athletic fields. Construction to be complete in the same time frame as the new Boys & Girls Club Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 100,000 100,000 Total 100,000 100,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 100,000 100,000 Total 100,000 100,000 Budget Impact/Other Construction to be complete in the same time frame as the new Boys & Girls Club. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1403 Project Name Pathway at Schutte Park Type Improvement Department Parks and Recreation Useful Life 20-25 years Contact Parks & Recreation Director Category General Priority 6 -- New Project: Account Number: Time-Line: Description Total Project Cost: $120,000 This project would involve the continuation of the 10-foot wide multi-use pathway at Schuttee Park. Consequences of delaying or eliminating this project are that park users will not have a trail system that connects from beginning to end. Applications for State Grants from the Delaware Land, Water & Trust Fund will be completed to pay for 50% of the project costs. Justification The completion of the path will create a loop for path users. The existing path begins at the parking lot and ends at Wyoming Mills Road. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 120,000 120,000 Total 120,000 120,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Community Transportation Fun 120,000 120,000 Total 120,000 120,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1501 Project Name Splash Pad at Schutte Park Type Improvement Department Parks and Recreation Useful Life 15-20 years Contact Parks & Recreation Director Category General Priority 3 New Project: Yes Account Number: Time-Line: April - June 2011 Description Total Project Cost: $300,000 This project will construct a ground-level splash pad at Schutte Park. Consquences of delaying or eliminating this project include not meeting the needs our residents who depend on Silver Lake for outdoor recreation. Justification This project would improve the quality of life for families in Dover. It would be an enhancement to our summer outdoor camp and sport activities and provide outdoor water activities during the summer months. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 150,000 150,000 Construction/Maintenance 150,000 150,000 Total 150,000 150,000 300,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 20,000 20,000 Parkland Reserve Fund 150,000 150,000 State Grant 130,000 130,000 Total 150,000 150,000 300,000 Budget Impact/Other Increased Water Usage Budget Items FY 13 FY 14 FY 15 FY 16 FY 17 Total Other (Insurance, Utilities) 17,000 18,000 19,000 20,000 74,000 Total 17,000 18,000 19,000 20,000 74,000 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1601 Project Name Skate Parks Type Improvement Department Parks and Recreation Useful Life 10-15 years Contact Parks & Recreation Director Category General Priority 4 New Project: No Account Number: Time-Line: Description Total Project Cost: $340,000 This project will construct a skating area at Schutte Park. Consequences of delaying or elminating this project will result in the continual lack of meeting the needs of youth population, more destruction and problems with business property. Justification Many youth and their parents have approached the City to build a skateboard park. Area business owners have complained about skateboarders damaging their property. This park would give the youth a designated area to use their skateboards. To meet the need for a designated skating area at Schutte Park. In addition, while working with the State Park Committee and Kent County Levy Court, develop plans and construct a Skate Park in Fiscal 2015 for area youth. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 30,000 Planning/Design 10,000 10,000 Construction/Maintenance 300,000 300,000 Total Total 10,000 300,000 310,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 30,000 General Fund 150,000 150,000 Total Parkland Reserve Fund 10,000 10,000 State Grant 150,000 150,000 Total 10,000 300,000 310,000 Budget Impact/Other Budget Items FY 13 FY 14 FY 15 FY 16 FY 17 Total Maintenance 2,500 2,500 3,000 8,000 Total 2,500 2,500 3,000 8,000 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PR1701 Project Name Tennis Courts at Schutte Park Type Improvement Department Parks and Recreation Useful Life 10-15 years Contact Parks & Recreation Director Category General Priority 7 -- New Project: No Account Number: Time-Line: March - May 2016 Description Total Project Cost: $160,000 This project will construct tennis courts at Schutte Park. Consequences of delaying or eliminating this project are that there are no tennis courts on the west side of Dover for resident use. Justification There are no public tennis courts on the West side of Route 13 in Dover. The Parks and Recreation department has received several requests for the addition of tennis courts at Schutte Park. This project is a part of the master plan for Schutte Park that was developed by Sasaki Associates, Inc in 1991. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 160,000 160,000 Total 160,000 160,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 160,000 160,000 Total 160,000 160,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PD1301 Project Name Police Station Main Electric Breaker Replacement Type Improvement Department Police Useful Life Unknown Contact Police Chief Category General Priority 1 New Project: Yes Account Number: Time-Line: Description Total Project Cost: $33,800 The main circuit breaker in the Police Station must be replaced. The breaker failed twice already, the first time was during June 2010 and again in August 2011. The breaker was removed and tested in 2010 by EnergTest, a company that specializes in the testing and overhaul of building electrical equipment; however the breaker passed all tests. During the interim period when the breaker was removed and sent away for testing, Tudor Electric loaned us a breaker until the testing was completed because the breaker model is obsolete. The loaner breaker was returned to Tudor Electric when our original breaker was returned and reinstalled in the electrical panel. However, the breaker failed again in August 2011 and was removed again. The same breaker from Tudor Electric is now being rented on a monthly basis until the main electrical box can be modified to accommodate a new breaker. Since we do not know what caused the breaker to fail, a comprehensive review of the building’s electrical systems is needed to determine the actual loads on all circuits and whether there are any faults in any of the circuits. The study was contracted and should be completed during Fiscal 2012. The results of this study are needed before the main breaker project can be started in Fiscal 2013. Square D is the brand for our power panel and mixing brands within the same electrical panel is not an option so this is a sole vendor project. United Electric is the vendor/distributor for our area. In addition, when the breaker fails, operations in the whole building are disrupted. Although the building generator automatically starts up in a power failure, the whole building does not resume power. The generator cannot accommodate all the power requirements in the building, so during power outages, only Dispatch and the Executive Staff are 100% powered. Administrative functions such as Records and other support areas not on generator power, so personnel in those functions are left idle and unable to perform their normal work Justification This is a key system in maintaining public safety operations both within the Police Station and to our officers in the community serving the public. Although we can maintain basic operations using the emergency power generator, its use is inefficient since only a few functions can be sustained while the building’s power is disabled. In addition, we are currently renting an older model used breaker on a recurring basis until this project is approved and implemented. We do not know how much useful life actually remains on the rented breaker since it is old and has no warranty. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Equip/Vehicle/Furnishings 33,800 33,800 Total 33,800 33,800 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Homeland Security Grant 33,800 33,800 Total 33,800 33,800 Budget Impact/Other Fiscal 2009 Repairs cost $4,980.75 and FY12 costs are estimated at $8,255.75 and include a $300 monthly rental fee for the old breaker in place until it is replaced with the new breaker on this project. Once the project is completed, there should be no additional costs to the budget. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # PD1302 Project Name Repair/Micro Seal Police Station Parking Lots Type Maintenance Department Police Useful Life Unknown Contact Police Chief Category General Priority 2 New Project: Account Number: Time-Line: Description Total Project Cost: $25,300 The southeast and southwest lots have several cracks that need to be filled and micro-sealed. If this is done during FY13, there should be no need to completely redo the station lots (milling down, repaving, and restriping of the parking lots) for another five to ten years. The city crews came over and put cold patches down on the southwest side during FY08, but the current cracks need to be addressed to prevent further damage to department vehicles as well as the vehicles owned by department personnel and visitors who use those lots. Justification If the repair isn’t completed, the additional cracks & potholes that develop over the winter could cause damage to department and personal vehicles and become a liability issue to the city. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 25,300 25,300 Total 25,300 25,300 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 25,300 25,300 Total 25,300 25,300 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # ST1201 Project Name Street and Alley Program Type Improvement Department Public Works - Streets Useful Life 20-25 years Contact Public Works Director Category General Priority 1 New Project: Account Number: Time-Line: Description Total Project Cost: $9,406,000 This project will rehabilitate approximately three to five percent (3-5%) of the street and alley network each year. The estimated capital maintenance costs are $33.7 million over a 20-year planning horizon in Fiscal Year 2005 dollars. This estimate is based on the needs survey conducted by Public Services in Fiscal year 2004. Continuous maintenance on these assets will prevent more costly reconstruction in the future. This project combines the former Street Resurfacing Program, the Alley Program and the Barrier Free Access Ramp Program Justification The program identifies maintenance costs for 84.79 miles of streets and 15.24 miles of alleys as of June 30, 2010. Replacement of deteriorated curbs, gutters, and sidewalks provides improved use, drainage, and the appearance of the pavement section. The Street and Alley Program schedule is driven by funding and road ratings. Total street mileage is growing each as more roads and alleys are dedicated for public maintenance due to growth. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 4,650,000 Construction/Maintenance 856,000 1,300,000 1,300,000 1,300,000 4,756,000 Total Total 856,000 1,300,000 1,300,000 1,300,000 4,756,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 4,650,000 Community Transportation Fun 756,000 1,000,000 1,000,000 1,000,000 3,756,000 Total General Fund 100,000 300,000 300,000 300,000 1,000,000 Total 856,000 1,300,000 1,300,000 1,300,000 4,756,000 Budget Impact/Other The improvement schedule is based on the Fiscal Year 2004 ratings and Community Transportation Funds committed by area legislators. The annual funding split is proposed to be $700,000 from the General Fund and $1,000,000 from Community Transportation Funds in Fiscal year 2012. NOTE: Before the issue of the General Obligation Bonds an affordability study will be conducted. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # ST1202 Project Name Concrete Construction and Replacement Program Type Maintenance Department Public Works - Streets Useful Life 30+ years Contact Public Works Director Category General Priority 2 New Project: No Account Number: Time-Line: Continuous Description Total Project Cost: $365,000 This program replaces and rehabilitates deteriorated sidewalks and curbs throughout the City using in-house labor and private contractors. This is in accordance with the ADA. Delaying or eliminating the project will result in continued complaints and insurance claims from citizens and visitors. In addition, further deterioration of the sidewalk network will occur. Justification This program promotes the interconnection of the sidewalk network to conform to ISTEA (Intermodal Surface Transportation Efficiency Act) and rehabilitates sidewalks that have root damage from City street trees. This program also facilitates compliance with the Americans with Disabilities Act as it relates to the pedestrian network as well as improving localized drainage issues. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 80,000 Construction/Maintenance 60,000 70,000 75,000 80,000 285,000 Total Total 60,000 70,000 75,000 80,000 285,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 80,000 General Fund 60,000 70,000 75,000 80,000 285,000 Total Total 60,000 70,000 75,000 80,000 285,000 Budget Impact/Other There is no impact on the operating budget as reduction in insurance claims and improved pedestrian mobility is difficult to financially quantify. The Department of Public Services maintains a prioritization list that outlines the categories of replacement. Complaints are entered on the list as they are received and prioritized by City staff. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # ST1302 Project Name Garrison Farm Improvements Type Improvement Department Public Works - Streets Useful Life Unknown Contact Public Works Director Category General Priority 1 New Project: Account Number: Time-Line: Description Total Project Cost: $2,000,000 Justification Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 1,974,000 1,974,000 Other 26,000 26,000 Total 2,000,000 2,000,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 2,000,000 2,000,000 Total 2,000,000 2,000,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # ST1401 Project Name Silver Lake Revitalization Project Type Improvement Department Public Works - Streets Useful Life 20-25 years Contact Public Works Director Category General Priority 5 New Project: Yes Account Number: Time-Line: Description Total Project Cost: $600,000 The proposed project will remove all of the old pavement and parking areas and construct a new central parking lot and access to the boat ramp area as well as access from Kings Highway. The existing pavement condition is in poor quality, and the parking pods create a public perception problem. This project will plant trees, flowers, and shrubs below the dam on Silver Lake to Court Street along the St. Jones River in order to improve water quality and protect the stream bank. This will be a multi-year project. The department continues to receive complaints regarding the parking pods, the further deterioration of the existing pavement sections and parking areas, lack of stormwater management practices, bank erosion related to stormwater runoff and, poor site lighting. Justification Currently there are no stormwater management practices being implemented on this site, and the location adjacent to the St. Jones River causes direct stormwater discharge to an environmentally sensitive area. The proposed reconstruction and relocation of the loaded parking lot will allow for best management practices regarding stormwater management to be implemented at this site. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Planning/Design 50,000 50,000 100,000 Construction/Maintenance 250,000 250,000 Total Miscellaneous 100,000 100,000 200,000 Total 50,000 250,000 100,000 100,000 500,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Community Transportation Fun 250,000 250,000 100,000 General Fund 50,000 100,000 100,000 250,000 Total Total 50,000 250,000 100,000 100,000 500,000 Budget Impact/Other The proposed project includes parking reconstruction, planning and design, and ultimately landscaping for this section of the St. Jones River. Monday, May 14, 2012

WATER/WASTEWATER FUND

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Wastewater Management Inflow/Infiltration Removal WW1201 1 1,000,000 1,013,800 1,264,500 1,200,000 1,207,500 5,685,800 SCADA Equipment Technology Upgrade WW1202 2 29,300 29,300 Baltray Pump Station Replacement WW1204 4 100,000 100,000 Dover Brook Gardens Pump Station Upgrade WW1205 5 50,000 50,000 Brandywine Pump Station Replacement WW1206 3 350,000 350,000 McKee Road Pump Station Communator Replacement WW1207 6 45,000 45,000 Hazlettville Road Interceptor WW1301 8 30,000 740,000 770,000 Lakeview Drive Pump Station Replacement WW1302 9 52,000 450,000 502,000 Westover Pump Station and Force Main Upgrade WW1303 7 65,000 703,800 768,800 Garrison Farm Improvements WW1304 3 2,000,000 2,000,000 Retreat Pump Station Replacement WW1401 5 52,000 360,500 412,500 Rolling Acres Pump Station Replacement WW1501 3 52,000 360,500 412,500 Lepore Road Sanitary Sewer Main Upgrade WW1601 3 50,000 275,000 325,000 Delaware Tech Pump Station Replacement WW1602 4 52,000 403,000 455,000 Silver Lake Pump Station Replacement WW1701 4 52,000 52,000 Wastewater Management Total 3,721,300 2,959,600 1,677,000 1,662,500 1,937,500 11,957,900 Water Management Wellhead Redevelopment Program WD1203 1 70,000 75,000 80,000 82,500 85,000 392,500 Piney Point Well WD1301 4 450,000 450,000 1.0 MG Elevated Water Storage Tower WD1302 5 2,000,000 390,000 2,390,000 Future Columbia Well Installation WD1304 7 55,000 98,800 153,800 Garrison Farm Improvements WD1305 3 2,000,000 2,000,000 Emergency Generators WD1306 4 80,000 80,000 Water Quality Improvements WQ1201 2 479,000 905,000 960,000 950,000 1,600,000 4,894,000 Water Treatment Plant Process Improvements WQ1303 5 150,000 350,000 550,000 1,050,000 Water Management Total 5,134,000 1,520,000 1,390,000 1,582,500 1,783,800 11,410,300 GRAND TOTAL 8,855,300 4,479,600 3,067,000 3,245,000 3,721,300 23,368,200 Monday, May 14, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 FUNDING SOURCE SUMMARY Source FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 2,080,000 1,310,000 975,000 4,365,000 Impact Fee Reserve 550,000 1,317,000 165,000 165,000 119,800 2,316,800 Water/Wastewater Fund 6,225,300 3,162,600 1,592,000 2,105,000 3,601,500 16,686,400 GRAND TOTAL 8,855,300 4,479,600 3,067,000 3,245,000 3,721,300 23,368,200 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1201 Project Name Inflow/Infiltration Removal Type Improvement Department Wastewater Management Useful Life 50 years Contact Public Works Director Category Water/Wastewater Priority 1 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $8,835,800 This project identifies and corrects areas in the sanitary sewer collection system that are deteriorating and allowing groundwater to enter the sanitary sewer system through cracked pipes and/or joints. Video investigations of the lines are performed by in-house crews to determine the condition of subject pipes which may also help with the identification of sump pumps and other illicit connections to the system which will have to be removed by individual property owners. Investigations are occurring systematically through the sewer basins to establish projects for the following year. Sanitary sewer lines are also being inspected in conjunction with water quality improvement project areas to determine main condition. Smoke testing, pipe relining and or replacement are to occur each year. The wet weather which was experienced in both 2003 and 2009/2010/2011, exemplified the fact that the aging and deteriorating sanitary sewer system allows groundwater and rain water to enter the system. This in turn results in higher treatment charges from Kent County. In FY 2011 a new groundwater inflow adjustment charge was established as a result. It is critical to continue making improvements on a regular and planned basis to improve the integrity of the wastewater system. Weather occurs in a cyclical fashion and discrepancies between fees collected and charges received will likely happen again when groundwater and precipitation levels rise. Anticipated areas that will be rehabilitated include City of Dover maintained infrastructure that contributes to the following pump stations; Schoolview, Brandywine, Lafferty Lane and Dover East. Justification The wet weather experienced in both 2003 and 2009/2010/2011, highlighted the fact that we have an aging wastewater system that requires more attention to the condition of the old pipe network and more monitoring of illicit connections to the system. Inflow and infiltration are problems that all customers pay for since they are costs that are not assigned to an individual customer. Therefore, all customers are affected by expenses related to inflow and infiltration. Delaying or eliminating this project will result in continued higher treatment charges for wastewater flow to Kent County than is necessary. In addition, the reduction in available capacity in the City and county systems due to inflow and infiltration will reduce the capacity available for future growth. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 1,900,000 Construction/Maintenance 1,000,000 1,013,800 1,264,500 1,200,000 1,207,500 5,685,800 1,250,000 Total Total 1,000,000 1,013,800 1,264,500 1,200,000 1,207,500 5,685,800 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 1,900,000 Water/Wastewater Fund 1,000,000 1,013,800 1,264,500 1,200,000 1,207,500 5,685,800 1,250,000 Total Total 1,000,000 1,013,800 1,264,500 1,200,000 1,207,500 5,685,800 Total Budget Impact/Other The project will reduce the operating budget over time due to the reduction in costs for sewage treatment paid to Kent County. All savings are cumulative. Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1202 Project Name SCADA Equipment Technology Upgrade Type Improvement Department Wastewater Management Useful Life 10-12 years Contact Public Works Director Category Water/Wastewater Priority 2 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $196,300 This project involves the replacement of antiquated and/or obsolete remote terminal units (RTUs) at sewage pumping stations with new up-to- date serviceable SCADA equipment. Microwave radios, antennas, and enclosures would be upgraded as needed. The RTU and radio are the reporting equipment for the SCADA system (Supervisory Control and Data Acquisition) which reports, on a constant basis, the status of alarms at the City's pumping stations. The RTUs that are being replaced are outdated and unable to be repaired. Most of the equipment is installed in two steel cabinets mounted outside and are corroding. The new equipment is installed within a single fiberglass NEMA 4 enclosure. Each Year: order equipment and construct cabinets and back-plates by December; complete installation by June. Stations being completed in Fiscal 2013: University South, Maureen and Nottingham. Justification Replace failing antiquated equipment with completely new alarm reporting equipment to provide reliable SCADA system reporting and to prevent the need for costly non budgeted emergency repairs. Lack of alarms resulting in costly sewer backup claims. An RTU or radio failure would provide no advance warning of a failure and could result in costly sewer backup claims or sewage overflows into waterways. Equipment would become old, not supported, and obsolete. This an ongoing project that started in Fiscal 2008 and will be continued in Fiscal 2013. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 167,000 Miscellaneous 29,300 29,300 Total Total 29,300 29,300 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 167,000 Water/Wastewater Fund 29,300 29,300 Total Total 29,300 29,300 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1204 Project Name Baltray Pump Station Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 4 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $125,000 The proposed project includes the in kind replacement of the grinder pumping station installed with the construction of the Baltray Subdivision in 1988. The station is approaching its anticipated life expectancy of 20-25 years. The grinder pumps, rail system, and electric controls and comminutor will be replaced. Grinder pumps require periodic repairs and replacement to maintain efficient operation. During previous pump removal, staff has noticed leaking seals and instability in the rail system for the pumps due to corrosion. Although grinder pumps are less costly than standard pumps used elsewhere, they are only appropriate under certain conditions. As a grinder pump is still effective at this location, it will be replaced in kind. Justification Replace the aging station with new components to prevent the need for costly non budgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterways or backup in a residence. Because of the age of the pump station, certain parts are no longer obtainable, and replacement of equipment is costly. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Construction/Maintenance 100,000 100,000 Total Total 100,000 100,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Water/Wastewater Fund 100,000 100,000 Total Total 100,000 100,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1205 Project Name Dover Brook Gardens Pump Station Upgrade Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 5 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $65,000 This project would construct a force main priming loop to insure that adequate back pressure is provided to the check valves to maintain prime on the vacuum primed Smith & Loveless pumps and upgrade to maintain or increase capacity, which may be accomplished by installing new pumps. The loop is to create a high point in the force main above the pumps to provide a column of water against the check valves. The existing force main was originally installed with a constant slope away from the station to the receiving gravity sewer manhole. The force main drains by gravity away from the check valves providing very little static water pressure to hold check valves closed. Staff has observed numerous high wet well alarms due to pump loss of prime. Construction to be provided by in-house crew. Justification Reduce maintenance time of cleaning check valves weekly and on-call or overtime pay when the pumps lose prime. Pump prime failure could result in a sewage spill into waterways or backup in a residence. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 15,000 Construction/Maintenance 50,000 50,000 Total Total 50,000 50,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 15,000 Water/Wastewater Fund 50,000 50,000 Total Total 50,000 50,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1206 Project Name Brandywine Pump Station Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 3 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $402,000 The proposed project includes the replacement of the Smith & Loveless package pumping station installed in 1977. The station has exceeded its life anticipated expectancy of 20-25 years and is in need of a capacity upgrade due to the increased growth in the basin. This station was installed for the Dover Country Club Apartments when City sewer was made available to this area. The site was previously outside the City's service area and had its own onsite sewer treatment system. Over the life span of this station, it has seen increased flows with the construction of Mallard Pond, Marsh Creek, and Westwind Meadows, and the extension of service to Fox Hall Drive and possible infiltration. Based on the monthly runtime hours, the station is currently operating at 130 percent of desired capacity. Staff has observed numerous pump clogs and failures in the past years. The Dover Country Club and Brandywine Condo sewer lines are old and possibly influenced by infiltration. Justification Replace the aged station with a completely new station to prevent the need for costly non budgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterways or backup in a residence. Because of the age of the pump station, certain parts are no longer obtainable, and replacement of equipment is costly. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 52,000 Construction/Maintenance 350,000 350,000 Total Total 350,000 350,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 52,000 Impact Fee Reserve 211,000 211,000 Total Water/Wastewater Fund 139,000 139,000 Total 350,000 350,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1207 Project Name McKee Road Pump Station Communator Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 6 -- New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $55,000 The proposed project includes the replacement of the comminutor at the influent line to the pumping station installed in 1995. This acts as a screen/grinder at the influent side of the station, cutting or stopping large debris from entering the wet well and clogging the pumps. The comminutor motor has run 24/7 since the initial startup of the pumping station. Justification Replace the aging equipment to prevent the need for costly unbudgeted repairs to maintain operation. Unbudgeted costly repairs to comminutor and damage to a pump when failure occurs. Pump failure resulting in a sewage spill into waterway or backup in a residence. Due to the age of the station, certain parts are no longer obtainable, and replacement of equipment is costly. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 10,000 Construction/Maintenance 45,000 45,000 Total Total 45,000 45,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 10,000 Water/Wastewater Fund 45,000 45,000 Total Total 45,000 45,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1301 Project Name Hazlettville Road Interceptor Type Improvement Department Wastewater Management Useful Life 90+ years Contact Public Works Director Category Water/Wastewater Priority 8 -- New Project: No Account Number: 417-6900-569.40-35 Time-Line: Description Total Project Cost: $770,000 This project, identified in the 2009 Wastewater Master Plan, identified sections of 15" gravity wastewater main as being overloaded in peak conditions, due to a negative slope in the pipe. This project calls for the upgrade of roughly 1,320 linear feet of wastewater main. The proposed upgrade will install 21" main at proper slope to provide adequate capacity and allow for future growth in the basin. Justification This project has been identified by the 2009 Wastewater Master Plan that the section of pipes is flowing nearly full, due to negative slope. This project will allow for proper capacity to handle current flow as well to allow for growth. Delaying or eliminating this project would result in overflow of wastewater material. In-house design in Fiscal 2013; construction in Fiscal 2014. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 30,000 30,000 Construction/Maintenance 740,000 740,000 Total 30,000 740,000 770,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Impact Fee Reserve 24,000 592,000 616,000 Water/Wastewater Fund 6,000 148,000 154,000 Total 30,000 740,000 770,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1302 Project Name Lakeview Drive Pump Station Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 9 -- New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $502,000 This project calls for replacement of the Smith & Loveless package pumping station installed in 1971. The station has exceeded its life anticipated expectancy of 20-25 years and is need of a capacity upgrade due to high peak inflow rates. This station is located within the roadway of Lakeview Drive. The design portion of this project is to address the relocation of this station. Justification Replace the aged station with a completely new station to prevent the need for costly unbudgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterway or backup in a residence. Due to the age of the station, certain parts are no longer obtainable and replacement of equipment is costly. Design and bid in Fiscal 2013; construction in Fiscal 2014. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 52,000 52,000 Construction/Maintenance 450,000 450,000 Total 52,000 450,000 502,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Water/Wastewater Fund 52,000 450,000 502,000 Total 52,000 450,000 502,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1303 Project Name Westover Pump Station and Force Main Upgrade Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 7 -- New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $768,800 The proposed project includes the upgrade of the Smith & Loveless pumping station and force main installed in 1994. The pump station's available capacity will be consumed with the build out of the Village of Cannon Mills and will be in need of additional capacity in order to be able receive additional flow from the west, specifically, the new Dover High School. The project will include replacement of interior six-inch suction and discharge piping with eight-inch pipe and upgrade 1,400 feet of six-inch force main to 12-inch diameter pipe from the station to Electric Avenue. Justification Provide adequate capacity to receive additional sewage flow from the immediate vicinity due to development and annexation. Pump failure resulting in a sewage spill into waterways or backup in a residence. Design and bid in Fiscal 2013; construction in Fiscal 2014. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 65,000 65,000 Construction/Maintenance 703,800 703,800 Total 65,000 703,800 768,800 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Impact Fee Reserve 65,000 703,800 768,800 Total 65,000 703,800 768,800 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1304 Project Name Garrison Farm Improvements Type Improvement Department Wastewater Management Useful Life Unknown Contact Public Works Director Category Water/Wastewater Priority 3 New Project: Account Number: Time-Line: Description Total Project Cost: $2,000,000 Justification Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 1,828,000 1,828,000 Other 172,000 172,000 Total 2,000,000 2,000,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 2,000,000 2,000,000 Total 2,000,000 2,000,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1401 Project Name Retreat Pump Station Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 5 New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $412,500 The proposed project includes the replacement of the Smith & Loveless package pumping station installed in 1978. The station has exceeded its life expectancy of 20-25 years and is in need of a capacity upgrade due to the increased growth in the basin, specifically the proposed development at the Maple Dale Country Club, which had provided a cash-in-lieu contribution for upgrading the station proportional to the amount of flow they will be contributing to the pump station. Justification Replace the aged station with a completely new station to prevent the need for costly non budgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterways or backup in a residence. Because of the age of the pump station, certain parts are no longer obtainable and replacement of equipment is costly. Design in Fiscal 2014; construction in Fiscal 2015. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 52,000 52,000 Construction/Maintenance 360,500 360,500 Total 52,000 360,500 412,500 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Impact Fee Reserve 20,800 144,200 165,000 Water/Wastewater Fund 31,200 216,300 247,500 Total 52,000 360,500 412,500 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1501 Project Name Rolling Acres Pump Station Replacement Type Improvement Department Wastewater Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 3 New Project: No Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $412,500 This project calls for replacement of the Smith & Loveless package pumping station installed in 1973 in order to handle the commercial areas from Harrington Realty Shopping Center to the Howard Johnson Hotel. The station has exceeded its life anticipated expectancy of 20-25 years and is in need of a capacity upgrade due to the high peak inflow rates. This station experiences periods of high inflow rates due to the hotel occupancy and is susceptible to possible inflow/infiltration. Staff has observed numerous pump high wet well alarms due to high inflows and increased runtimes during wet months. Justification Replace the aged station with a completely new station to prevent the need for costly unbudgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterway or backup in a residence. Due to the age of the station, certain parts are no longer obtainable, and replacement of equipment is costly. Design and bid in Fiscal 2015; construction in Fiscal 2016. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 52,000 52,000 Construction/Maintenance 360,500 360,500 Total 52,000 360,500 412,500 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Impact Fee Reserve 20,800 144,200 165,000 Water/Wastewater Fund 31,200 216,300 247,500 Total 52,000 360,500 412,500 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1601 Project Name Lepore Road Sanitary Sewer Main Upgrade Type Improvement Department Wastewater Management Useful Life 90+ years Contact Public Works Director Category Water/Wastewater Priority 3 New Project: Yes Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $325,000 This project calls for the replacement of approximately 374 linear feet of 8 inch gravity sewer main. Currently, the sewer main operates in a reverse slope condition, which overloads the pipe. The proposed upgrade will provide slope and adequate capacity for current flow to be carried to discharge. Justification This project will allow for proper capacity and slope to handle the current flow. Delaying or eliminating this project could result in overflow of wastewater material. Design and bid in Fiscal 2016; construction in Fiscal 2017. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 50,000 50,000 Construction/Maintenance 275,000 275,000 Total 50,000 275,000 325,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Impact Fee Reserve 20,800 21,000 41,800 Water/Wastewater Fund 29,200 254,000 283,200 Total 50,000 275,000 325,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1602 Project Name Delaware Tech Pump Station Replacement Type Improvement Department Wastewater Management Useful Life Unknown Contact Public Works Director Category Water/Wastewater Priority 4 New Project: Yes Account Number: 417-6900-569.40-31 Time-Line: Description Total Project Cost: $455,000 This project calls for replacement of the Smith & Loveless package pumping station installed in 1975 in order to handle the increased flows from the area. The station has exceeded its life anticipated expectancy of 20-25 years and is in need of a capacity upgrade due to anticipated increase flow. Justification Replace the aged station with a completely new station to prevent the need for costly unbudgeted repairs to maintain operation. Pump failure resulting in a sewage spill into waterway or backup in a residence. Due to the age of the station, certain parts are no longer obtainable, and replacement of equipment is costly. Design and bid in Fiscal 2016; construction in Fiscal 2017. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 52,000 52,000 Construction/Maintenance 403,000 403,000 Total 52,000 403,000 455,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Water/Wastewater Fund 52,000 403,000 455,000 Total 52,000 403,000 455,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WW1701 Project Name Silver Lake Pump Station Replacement Type Improvement Department Wastewater Management Useful Life Unknown Contact Public Works Director Category Water/Wastewater Priority 4 New Project: Yes Account Number: 147-6900-569.40-31 Time-Line: Description Total Project Cost: $427,000 This project calls for replacement of the Smith & Loveless package pumping station installed in 1982 in order to handle development in the area, as well as completely rehabilitate the wet well side of the pump station using the poly-triplex system liner. The station has exceeded its life expectancy of 20-25 years and is in need of a capacity upgrade to handle anticipated growth in the basin. Justification Replace the aged station with a completely new station to prevent the need for costly unbudgeted repairs to maintain operation. The wet well has deteriorated due to age and is subject to groundwater infiltration. Pump failure resulting in a sewage spill into waterways or backup in a residence. Because of the age of the pump station, certain parts are no longer obtainable and replacement of equipment is costly. Design and bid in Fiscal 2017; construction in Fiscal 2018. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Planning/Design 52,000 52,000 375,000 Total 52,000 52,000 Total Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Water/Wastewater Fund 52,000 52,000 375,000 Total 52,000 52,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1203 Project Name Wellhead Redevelopment Program Type Improvement Department Water Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 1 New Project: No Account Number: 417-6800-568.40-34 Time-Line: Description Total Project Cost: $940,962 This project will provide for rehabilitation and repair of each deep wellhead in an effort to maintain operations and/or increase/maintain the yield of each well as it relates to the permitted allocation. FY 2008; total well inspection and testing performed. FY 2009: Motors at Wells #6A and #9 were rebuilt, and wells #13R and #15 were redeveloped. FY 2010: Well #10. FY 2011: Well #4 redevelopment and well piping improvements at various well locations, as well as continued well testing. FY 2012: Well #1 redevelopment. FY2013: Work will be determined following the testing in FY2012. Justification The well screening and gravel pack requires cleaning over time due to a buildup of mineral deposits and foreign materials such as clay and silt. This maintenance effort is critical to ensure that production can continue to meet demand. It is also necessary to maintain the operational aspects of each well and provide repairs as needed to minimize downtime to maintain system capacity. Delaying or eliminating this project would result in the continued deterioration of the well screen, gravel pack, and well yield over time. It would also result in increased well downtime, emergency repairs, and decreased capacity. These issues can lead to increased flow pattern changes and water quality concerns. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 460,962 Construction/Maintenance 70,000 75,000 80,000 82,500 85,000 392,500 87,500 Total Total 70,000 75,000 80,000 82,500 85,000 392,500 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 460,962 Water/Wastewater Fund 70,000 75,000 80,000 82,500 85,000 392,500 87,500 Total Total 70,000 75,000 80,000 82,500 85,000 392,500 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1301 Project Name Piney Point Well Type Improvement Department Water Management Useful Life 50 years Contact Public Utilities Director Category Water/Wastewater Priority 4 New Project: No Account Number: 417-6800-568.40-31 Time-Line: Description Total Project Cost: $645,000 This project, identified by staff and confirmed by the 2006 Water Master Plan Update, proposes the drilling of a new Piney Point Aquifer Production Well to increase production capacity up to our current permitted allocation as well as increase system pressure and stabilize the chlorine residuals of the City. The proposed wellhead is planned to be located in Schutte Park. It is intended that the yield from a new production well will allow us to abandon one of our poorly performing wells. Planning started in Fiscal 2009. Design continued between 2010 and 2012. Construction to be completed in Fiscal 2013. Justification A reduction in long-term yield from our Piney Point Well is causing a greater reliance on our more costly aquifers. Delaying or eliminating this project would result in the continued reduction in our production capabilities under our permitted allocation, as well as our ability to meet projected demand increases. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 195,000 Construction/Maintenance 450,000 450,000 Total Total 450,000 450,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 195,000 Impact Fee Reserve 250,000 250,000 Total Water/Wastewater Fund 200,000 200,000 Total 450,000 450,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1302 Project Name 1.0 MG Elevated Water Storage Tower Type Improvement Department Water Management Useful Life 90+ years Contact Public Works Director Category Water/Wastewater Priority 5 New Project: No Account Number: 417-6800-568.40-31 Time-Line: Description Total Project Cost: $3,085,000 The proposed project, identified by staff and confirmed by the 2006 Water Master Plan Update, will construct a new 1.0 million gallon elevated storage tank within the distribution system. The planning, site selection and land acquisition was conducted between Fiscal 2009 and Fiscal 2012. For bonding purposes, the construction of the tank has been divided between two fiscal years. Construction is planeed for Fiscal 2013 and 2014. Justification This project was determined necessary by the 2006 Water Mater Plan Update in order to meet future storage volume requirements based upon demands and to aid in reducing low pressure areas and enhance fire suppression capability. Delaying or eliminating this project will result in preventing growth within the system, particularly; fire suppression measures will be compromised. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 695,000 Construction/Maintenance 2,000,000 390,000 2,390,000 Total Total 2,000,000 390,000 2,390,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 695,000 Water/Wastewater Fund 2,000,000 390,000 2,390,000 Total Total 2,000,000 390,000 2,390,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1304 Project Name Future Columbia Well Installation Type Improvement Department Water Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 7 -- New Project: No Account Number: 417-6800-568.40-31 Time-Line: Description Total Project Cost: $562,700 This project, identified by staff and confirmed by the 2006 Water Master Plan Update, proposes the drilling of new shallow well to increase production capacity at the Water Treatment Plant to design levels of 5.0 million gallons per Day. This project is to be completed in conjunction with the Water Treatment Plant Process Improvements. The specific location of a proposed wellhead has not been determined at this time. The location will be selected in the planning and design phase. In addition, the yield from a new production well may allow us to abandon some of our poorly performing wells. Land costs are based upon the need of 1/4 acre of land for the project. This project will be designed in Fiscal 2013 to coincide with the Water Treatment Plant Process Improvements Design, Construction is planned for Fiscal 2018. Justification To meet increased water demand and fire suppression requirements. Delaying or eliminating this project would result in the continued reduction in our production capabilities under our permitted allocation, as well as limiting the City’s growth. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Planning/Design 55,000 48,800 103,800 408,900 Land Acquisition 50,000 50,000 Total Total 55,000 98,800 153,800 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Impact Fee Reserve 98,800 98,800 408,900 Water/Wastewater Fund 55,000 55,000 Total Total 55,000 98,800 153,800 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1305 Project Name Garrison Farm Improvements Type Improvement Department Water Management Useful Life Unknown Contact Public Works Director Category Water/Wastewater Priority 3 New Project: Account Number: Time-Line: Description Total Project Cost: $2,000,000 Justification Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 1,828,000 1,828,000 Other 172,000 172,000 Total 2,000,000 2,000,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Water/Wastewater Fund 2,000,000 2,000,000 Total 2,000,000 2,000,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WD1306 Project Name Emergency Generators Type Improvement Department Water Management Useful Life Unknown Contact Public Utilities Director Category Water/Wastewater Priority 4 New Project: Account Number: Time-Line: Description Total Project Cost: $80,000 This project, identified in the 2006 Water Master Plan Update, would provide emergency generators for large production wells. Due to the inability of obtaining a homeland security grant, staff will pursue a partial grant from the Drinking Water State Revolving Fund (DWSRF). All generators purchased will be permanent fixtures at each site. Generator purchased in FY 2012 will support Well #2, FY 2013 will support Well #6 and FY 2014 will support Well #10. Currently, a portable generator is stationed at Well #10, after installation of permanent generator at Well #10; the portable generator will be used at medium sized production wells as needed. Justification This project will provide emergency power to wells for continued water production and reliability in the event of power disruptions or other emergencies. Delaying or eliminating this project would result in reduced or suspended water service in the event of power disruptions or other emergencies. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Equip/Vehicle/Furnishings 80,000 80,000 Total 80,000 80,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 80,000 80,000 Total 80,000 80,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WQ1201 Project Name Water Quality Improvements Type Improvement Department Water Management Useful Life 90+ years Contact Public Works Director Category Water/Wastewater Priority 2 New Project: No Account Number: 417-6800-568.40-31 Time-Line: Description Total Project Cost: $6,994,000 This project was first identified by staff and the 2006 Water Master Plan Update, and has since become further refined with the FY 2006 Water Quality Evaluation. Projects to be included under this category primarily consist of replacement or relining of old unlined cast iron water main within the City’s water distribution system; system upgrades to improve system control; and utilization of a consultant to provide additional design and evaluation services, as needed. Recent research and data collection has produced a Water Main Rehabilitation Priority List, based on several criteria to identify water mains that are in need of replacement or relining. Pipes will be upgraded according to the severity of the pipe condition, as well as coordination with the City of Dover’s Public Services Street Rehabilitation Program. Timeline/Current Status:between FY 2008 and FY 2010, the deep well contact chambers were designed and installed. Between FY 2008 and FY 2011 the water mains that were replaced include, Washington Street, Pennsylvania Avenue, South Street, Pear Street, West Street, Hazel Road, Maryland Avenue, American Avenue, Bayard Avenue, Greenhill Avenue, Bayard Avenue Alley and Loockerman Street. Operational efforts, such as flushing, will continue to occur on a routine basis. FY 2012 improvements include, N. Pennsylvania Ave., American Ave. Ext., Madison St., Rodney Rd., New Street, Ross Street and Bradford Street (near Wesley College). As part of the Water Main Rehabilitation Priority List, water lines were identified throught the City that require replacing/relining. The following water line rehab projects are scheduled for FY2013: William Street, West Street & Alley. As part of the Water Main Rehabilitation Priority List, water lines were identified throughout the City that requires replacement/relining. Using this as a guide the following water line rehabilitation projects are scheduled for FY 2013: William Street, West Street West Alley and West Street East Alley. Justification Water quality complaints have eroded consumer confidence in the City’s water supply as the water is perceived to be aesthetically unpleasant. In order to reduce complaints and potentially alleviate this problem, it is necessary to implement the improvements identified by staff, the 2006 Water Master Plan Update, and the FY 2006 Water Quality Evaluation. Delaying or eliminating this project will prolong customer dissatisfaction and further erode confidence in the City’s water supply. In addition, main rehabilitation and replacement, ensuring pipes do not significantly exceed the expected life cycle, is critical to provide a reliable supply of water for our customers and for fire suppression. Water leaks and breaks on older lines can have a significant impact on our ability to serve over time. Addressing the brown water and associated water quality concerns of the City’s water system will not only require capital improvements to the system but also operational changes. Some operation changes will result in no net effect on the operating budget, while others will need to be addressed in the development of future operating budgets. Such items include tools and supplies necessary to improve system sampling and monitoring as well as tools and supplies necessary to improve system-wide flushing operations. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 500,000 Construction/Maintenance 479,000 905,000 960,000 950,000 1,600,000 4,894,000 1,600,000 Total Total 479,000 905,000 960,000 950,000 1,600,000 4,894,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 500,000 Bond Proceeds 960,000 950,000 1,910,000 1,600,000 Total Water/Wastewater Fund 479,000 905,000 1,600,000 2,984,000 Total Total 479,000 905,000 960,000 950,000 1,600,000 4,894,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # WQ1303 Project Name Water Treatment Plant Process Improvements Type Improvement Department Water Management Useful Life 20-25 years Contact Public Works Director Category Water/Wastewater Priority 5 New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $1,050,000 This project, identified in the 2006 Water Master Plan Update, proposes process improvements to the existing Water Treatment Plant. Due to limitations with the Ozone Contactors, the capacity at the Water Treatment Plant is limited to 4.0 million gallons per day, as opposed to 5.0 million gallons per day, as originally designed. A consultant will be utilized to determine the best means and improvements necessary to increase the capacity. This project is to be performed in conjunction with the future Columbia Well installation. Planning is proposed for Fiscal 2013. Construction to begin in Fiscal 2015. Justification Process improvements will allow for capacity enhancements as well as improved ability to meet regulatory requirements. Delaying or eliminating this project can result in production capacity decreases, which could limit growth, and/or cause regulatory incompliance. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 150,000 150,000 Construction/Maintenance 350,000 550,000 900,000 Total 150,000 350,000 550,000 1,050,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Bond Proceeds 350,000 25,000 375,000 Water/Wastewater Fund 150,000 525,000 675,000 Total 150,000 350,000 550,000 1,050,000 Budget Impact/Other Monday, May 14, 2012

ELECTRIC FUND

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric Engineering Distribution Upgrades EE1200 1 400,000 400,000 400,000 400,000 400,000 2,000,000 Lighting Project and Rehabilitation EE1202 4 100,000 50,000 50,000 50,000 50,000 300,000 Frazier Substation Reliability Upgrade EE1205 9 610,200 610,200 Distribution Feeder Replacement Program EE1206 8 277,500 277,510 120,510 277,510 277,510 1,230,540 Distribution Capacitors and Controls EE1207 10 125,000 60,000 50,000 50,000 50,000 335,000 Transmission Line Maintenance Program EE1208 7 75,000 75,000 75,000 75,000 75,000 375,000 SCADA Master Hardware Replacement EE1209 6 75,000 75,000 69 kV Substation Switch Replacement EE1301 n/a 55,000 80,000 135,000 Horsepond Substation Reliability Upgrade EE1302 n/a 170,000 591,812 761,812 Division Street Substation Fence EE1304 n/a 70,000 70,000 General Scott Switchgear EE1400 n/a 50,000 800,000 300,000 1,150,000 Horsepond to Cartanza 69 kV Rebuild EE1500 n/a 330,467 330,467 69 kV Cable Replacement North Street EE1502 n/a 85,000 480,710 565,710 System Operations Monitoring EE1503 n/a 30,000 30,000 College Road to McKee Substation Feeders EE1504 n/a 307,000 307,000 McKee Run Yard Rebuild EE1600 n/a 450,000 700,000 1,150,000 Electric Engineering Total 1,932,700 2,334,322 1,747,977 1,783,220 1,627,510 9,425,729 Electric T & D New Developments EE1212 1 450,000 450,000 450,000 450,000 450,000 2,250,000 Electric T & D Total 450,000 450,000 450,000 450,000 450,000 2,250,000 Power Plant Units 1 & 2 Cooling Tower Repairs EG1102 8 37,300 37,300 McKee Run Unit 3 Boiler Systems EG1202 2 129,000 144,000 344,000 617,000 McKee Run Unit 3 Auxillary System Components EG1203 4 55,000 188,500 45,000 6,000 34,000 328,500 Van Sant Unit 11 Component Replacements EG1207 4 75,000 75,000 143,000 78,000 371,000 McKee Run & VanSant Preservation of Structures EG1209 n/a 42,000 165,000 142,000 349,000 McKee Run Unit 3 Turbine Repairs EG1212 1 115,000 1,031,000 10,000 1,156,000 McKee Run Units 1 & 2 Component Repairs EG1304 4 52,000 100,000 44,000 172,000 234,000 602,000 McKee Run Turbine Level Window Modification EG1306 6 85,000 85,000 McKee Run Unit 3 Air Heater Expansion Joint EG1307 7 80,000 80,000 McKee Run Unit 3 Stack Repairs EG1309 9 27,000 50,000 77,000 McKee Run Units 1 & 2 Stack Repairs EG1310 10 75,000 75,000 Van Sant Capacity Increase EG1311 n/a 550,000 550,000 McKee Run Unit 3 Generator Repairs EG1312 1 236,000 236,000 Units 1 & 2 Boiler Repairs EG1401 2 18,000 20,000 29,000 67,000 Unit 3 Cooling Tower Repairs EG1402 1 571,000 52,000 138,000 761,000 Unit 3 Cooling Water Line Repairs EG1403 n/a 240,000 240,000 McKee Run High Energy Piping Repairs EG1406 1 80,000 80,000 Metering System Upgrades EG1407 6 25,000 125,000 150,000 McKee Run Building Equipment Replacement EG1601 n/a 110,000 50,000 160,000 Van Sant Unit 11 Major Overhaul/Inspection EG1701 3 900,000 900,000 Monday, May 14, 2012

Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Power Plant Total 1,441,300 1,849,500 1,024,000 677,000 1,930,000 6,921,800 GRAND TOTAL 3,824,000 4,633,822 3,221,977 2,910,220 4,007,510 18,597,529 Monday, May 14, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 FUNDING SOURCE SUMMARY Source FY 13 FY 14 FY 15 FY 16 FY 17 Total Depreciation Reserve 250,000 250,000 250,000 750,000 Electric I & E Fund 3,274,000 4,383,822 2,971,977 2,660,220 4,007,510 17,297,529 Future Capacity Reserve Fund 550,000 550,000 GRAND TOTAL 3,824,000 4,633,822 3,221,977 2,910,220 4,007,510 18,597,529 Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1200 Project Name Distribution Upgrades Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority 1 New Project: No Account Number: 487-8300-563.90-25 Time-Line: Description Total Project Cost: $4,554,000 This project involves the systemic replacement of overhead lines with underground lines whenever services are being moved, wire is damaged, trees cause a high number of outages, or development is in progress, and when it is beneficial to the Utility to convert to underground. This can involve a single line section or an entire residential neighborhood. Annual outage records are reviewed and selected areas are scheduled for upgrade to underground service. Additionally, this program funds the replacement of existing underground conductors and equipment that have reached their useful life and have started failing and require replacement. This account is used to upgrade any trouble areas during the year. The following developments are to be upgraded in FY2013: Capitol Park, Dover East, and Morris Estates II. Justification The number of storm and tree-related outages have been greatly reduced under this program and further improvements can be made to insure the most reliable electric service possible. Reliability has become one of most important factors to electric customers, second only to safety. The utility has responded by attempting to provide the most reliable system possible. Underground cable replacements are necessary as the useful, reliable, life of the original underground cable was 20-30 years. By proactively replacing this cable we will minimize outages and improve system reliability. In addition to cable replacement, overhead lines are replaced with underground to minimize outages caused by tree growth or animal contact. Lastly, overhead lines that have reached the end of their useful life are replaced with underground instead of rebuilding the overhead. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Continued outages lead to increased complaints from our customers and will lead to customer dissatisfaction. There will be increased costs for repairs made under outage conditions as well as loss of electric revenue. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 400,000 400,000 400,000 400,000 400,000 2,000,000 Total 400,000 400,000 400,000 400,000 400,000 2,000,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Depreciation Reserve 250,000 250,000 250,000 750,000 Electric I & E Fund 400,000 150,000 150,000 150,000 400,000 1,250,000 Total 400,000 400,000 400,000 400,000 400,000 2,000,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1202 Project Name Lighting Project and Rehabilitation Type Maintenance Department Electric Engineering Useful Life 10-12 years Contact Electric Director Category Electric Priority 4 New Project: No Account Number: 487-8300-563.50-76 Time-Line: Description Total Project Cost: $750,000 This fund was developed to replace and repair existing street lights or install new lights upon customer request. COMMENTS: This fund will remain active as long as there are improvements to be made. Private area lighting requests are a source of revenue for the City. Areas completed are White Oak Apartments, Westfield, Fairview, Cranberry Run, Millcreek, Independence Village and Governors Avenue (South 100 Block), Deerfield, Central Middle School, Fox Hall, Hidden Oaks, a portion of North Governors Ave, The Meadows, Turnberry, Baltray, and Bicentennial. Areas to be completed this budget year include Old Mill Acres, Overlook, Fox Hall West, and Woodcrest. $50,000 was added to FY2013 to include lights on the north bound side of Route 13. Justification The Electric Division receives numerous requests for lighting improvements. These requests are due to the lights aging, and as they age they put out less light and become unreliable. There are many developments that are in need of street light improvements. This fund would also provide funding for new private security light requests. ONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Constant complaints of poor street lighting and multiple failures due to antiquated lights. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 450,000 Construction/Maintenance 100,000 50,000 50,000 50,000 50,000 300,000 Total Total 100,000 50,000 50,000 50,000 50,000 300,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 450,000 Electric I & E Fund 100,000 50,000 50,000 50,000 50,000 300,000 Total Total 100,000 50,000 50,000 50,000 50,000 300,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1205 Project Name Frazier Substation Reliability Upgrade Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority 9 -- New Project: No Account Number: 487-8300-563.70-27 Time-Line: Description Total Project Cost: $765,200 The high side of the substation will be upgraded to include transmission line protection breakers as well as the transformer breaker. TIME-LINE/CURRENT STATUS: The design began in July 2011; materials will be ordered in July 2012 and construction to be completed by February 2013. COMMENTS: The completion date is dependent on material lead times, such as steel. Winter weather could also be a factor, if the above lead times cause a late fall start. Justification When the transmission line experiences a fault this substation loses power until the short circuit is found and the appropriate switching is accomplished. With the installation of the two new line breakers the faulted transmission line will be isolated from the substation and the customers will not experience an interruption of service. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Accepting the outages in the northwest section of the system during transmission line faults. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 155,000 Construction/Maintenance 610,200 610,200 Total Total 610,200 610,200 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 155,000 Electric I & E Fund 610,200 610,200 Total Total 610,200 610,200 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1206 Project Name Distribution Feeder Replacement Program Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority 8 -- New Project: No Account Number: 487-8300-563.90-25 Time-Line: Description Total Project Cost: $1,608,050 Substation feeders are defined as the three-phase lines that carry the load from the substations to the customers’ neighborhood. They interconnect to other substations to provide load redundancy should there be a failure of an adjacent substation. Many of the older substation feeders have smaller conductors that cannot carry the load that is required during system peaks and emergency situations. This project would systematically upgrade these conductors to increase the capacity of the feeders as well as ultimately reducing system losses. Lastly, many of the feeder components have reached the end of their useful life and require substantial maintenance. COMMENTS: The average cost to run one mile of underground equates to $135,400 per mile; the average cost to run one mile of overhead equates to $21,342. It is the departments’ goal to run two miles of underground and five miles of overhead per year. The project began by increasing the capacity from College Road Substation to General Scott Substation. Feeders to be upgraded in FY13 include sections of Route 9 and Persimmon Tree Road. Justification These lines are typically older, smaller, and are reaching the end of their life. This program will provide the needed systematic maintenance to the conductors, cross arms, switches, insulators, and related components as well as increasing system capacity hence resulting in more efficient operations by reducing line losses. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Due to the age and condition of the current feeders, delaying this systematic maintenance/upgrade program will result in reduced system utilization as well as detrimentally impacting future reliability. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 377,510 Construction/Maintenance 277,500 277,510 120,510 277,510 277,510 1,230,540 Total Total 277,500 277,510 120,510 277,510 277,510 1,230,540 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 377,510 Electric I & E Fund 277,500 277,510 120,510 277,510 277,510 1,230,540 Total Total 277,500 277,510 120,510 277,510 277,510 1,230,540 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1207 Project Name Distribution Capacitors and Controls Type Improvement Department Electric Engineering Useful Life 15-20 years Contact Electric Director Category Electric Priority 10 -- New Project: No Account Number: 480-8300-563.60-82 Time-Line: Description Total Project Cost: $899,995 Install distribution capacitors throughout the system to correct poor power factor on distribution circuits. Install capacitor controllers capable of two-way communication to provide real-time monitoring and remote control operation. These controllers will be capable of switching the capacitors on and off to comply with system requirements. This project will also replace outdated substation equipment, capable of advanced metering such as power factor and harmonics to further analyze system performance remotely. Lastly, distribution line recorders will be purchased and installed to provide power factor recordings to fine tune this operation. COMMENTS: The required substation equipment installation will be completed in two phases. FY2013 will upgrade the required communication equipment installed 20 years ago. FY2014 will install equipment capable of extracting system data, for enhanced performance analyzing. The completion of these two phases will ultimately reduce engineering time and costs because of remote access to all substations. In addition to this advanced metering, event report extraction and analysis, relay settings review and installation, and advancements to our 24 hour system operation center will be also be realized. FY2015 -FY2017 will be the addition of capacitor banks and controllers into the distribution system. Justification Additional capacitance is required in order to meet system power factor requirements at the Delmarva Power and Light interchange point. This was substantiated through a load-flow study conducted by Shaw in early 2004 and distribution study by Wilson & Wilson in 2006. The current capacitor controls are not providing the granularity required to turn them off and on as required to meet both the power quality requirements of our customers and DP&L requirements. Additional controls are required to fine tune the systems operation. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Without the additional capacitor banks and more importantly controls, the City may experience a low/high voltage problem at the customer level and/or the possibility of having to pay power factor penalties to Delmarva Power and Light. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 564,995 Construction/Maintenance 125,000 60,000 50,000 50,000 50,000 335,000 Total Total 125,000 60,000 50,000 50,000 50,000 335,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 564,995 Electric I & E Fund 125,000 60,000 50,000 50,000 50,000 335,000 Total Total 125,000 60,000 50,000 50,000 50,000 335,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1208 Project Name Transmission Line Maintenance Program Type Maintenance Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority 7 -- New Project: No Account Number: 487-8300-563.70-35 Time-Line: Description Total Project Cost: $450,000 Replace aging porcelain insulators and related components on the transmission system with new polymer insulators and components. COMMENTS: 69kV transmission line segments Horsepond Road to Lafferty Lane and the NRG leased line (from North Street substation to DP&L’s Kent substation) are scheduled for FY13. Justification Insulators have a defined equipment life due to sun and weather conditions breaking down the porcelain and base bonding cement. Insulators installed in 1960's and 1970's are due for replacement because of this deterioration. We have experienced several transmission outages due to insulator failure. Replacing the insulators should extend the life an additional 30 years. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Outages may occur if insulators are not replaced and fail due to deterioration. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 75,000 Construction/Maintenance 75,000 75,000 75,000 75,000 75,000 375,000 Total Total 75,000 75,000 75,000 75,000 75,000 375,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 75,000 Electric I & E Fund 75,000 75,000 75,000 75,000 75,000 375,000 Total Total 75,000 75,000 75,000 75,000 75,000 375,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1209 Project Name SCADA Master Hardware Replacement Type Improvement Department Electric Engineering Useful Life 5 years Contact Electric Director Category Electric Priority 6 -- New Project: Yes Account Number: 487-8300-563.80-38 Time-Line: Description Total Project Cost: $75,000 This project will replace the Master Station hardware. The Master Station receives all the analog data, alarms and control for all electrical substations and wastewater lift stations. The Master Station in comprised of Dual Host Servers, Dual Operator consoles, paging system, web server, 2-Firewalls for DMZ and One remote access/support firewall. TIME-LINE/CURRENT STATUS: Equipment will be ordered and replaced during the FY 17 budget year. Justification The equipment will reach the end of its expected life. It should be noted that this computer system operates 24/7. The additional firewalls are required to meet required NERC CIP Cyber Security Standards. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: If the system fails we will not be able to monitor or control electrical substations and we will not be able to view alarms for wastewater lift stations. This failure could result in electrical outages or wastewater overflows. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 75,000 75,000 Total 75,000 75,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 75,000 75,000 Total 75,000 75,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1301 Project Name 69 kV Substation Switch Replacement Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: 487-8300-563.70-35 Time-Line: Description Total Project Cost: $135,000 This project will be replacing obsolete 69kV switches in the substation/transmission system. COMMENTS: The substations to be completed in FY13 are Danner and Lebanon and FY2014 is the Dover Air Force Base. Justification The new switches will be gang operated switches which provide more system stability when operated and more importantly increase operator safety. The switches to be replaced have reached the life expectancy and the utility has started to experience several switch failures each year over the past few years due to component fatigue. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: The majority of the switches in the older substations are showing signs of fatigue resulting in difficult operation (failure to open or close when required), frequent maintenance, and component obsolescence. Delaying this program will result in continued switch failure possibly resulting in wide-spread power outages. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 55,000 80,000 135,000 Total 55,000 80,000 135,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 55,000 80,000 135,000 Total 55,000 80,000 135,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1302 Project Name Horsepond Substation Reliability Upgrade Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: 487-8300-563.70-27 Time-Line: Description Total Project Cost: $761,812 The high-side of the substation will be upgraded to include two transmission line protection breakers. The design and long lead time materials will be completed in FY 2013 and the majority of the materials will be purchased and construction completed in FY 2014. Justification When the transmission line experiences a fault this substation loses power until the short circuit is found and the appropriate switching is accomplished. With the installation of the line breakers the faulted transmission line will be isolated from the substation and the customers will not experience an interruption of service. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Accepting the outages in the southeast section of the system during transmission line faults. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 70,000 60,000 130,000 Construction/Maintenance 100,000 531,812 631,812 Total 170,000 591,812 761,812 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 170,000 591,812 761,812 Total 170,000 591,812 761,812 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1304 Project Name Division Street Substation Fence Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: 487-8300-563.70-27 Time-Line: Description Total Project Cost: $70,000 Replace the existing fence at Division Street Substation. TIME-LINE/CURRENT STATUS: FY 2013 COMMENTS: The existing fence does not meet the National Electric Safety Code (NESC) and is in poor condition. Division Street substation is located in a populated area with heavy foot traffic. As this structure continues to deteriorate, the safety concern steadily increases. Entrance into the substation by an unauthorized person, can be deadly! Justification This project will replace the existing fence at Division Street Substation with a decorative fence, similar to the fence that was erected at St. Jones Substation. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Existing structure does not meet the National Electric Safety Code (NESC). Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 70,000 70,000 Total 70,000 70,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 70,000 70,000 Total 70,000 70,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1400 Project Name General Scott Switchgear Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: Time-Line: Description Total Project Cost: $1,150,000 This project will replace the metal clad switchgear and replace the distribution breakers as they have reached the end of their useful life. Justification This station carries the industrial and residential load on the west side of Dover. The station distribution switch gear was installed in 1985. Additionally, the breakers have numerous moving parts, including plastic components that tend to fail with age resulting in mis-operation of the breaker. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: General Scott’s switchgear is aging and replacing it will reduce the possibility of outages due to aged equipment failure. Additionally, another feeder will be added to the substation to provide a 12 kV feed to a large commercial customer. Due to the rate tariffs, this 12kV feed will increase revenue should it become the primary feed, which is currently in discussion. TIME-LINE/CURRENT STATUS: Engineering will be completed in FY13. Construction of the new metal clad switchgear in FY14. Installation and commissioning completed in FY 2015. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 50,000 50,000 Construction/Maintenance 800,000 300,000 1,100,000 Total 50,000 800,000 300,000 1,150,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 50,000 800,000 300,000 1,150,000 Total 50,000 800,000 300,000 1,150,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1500 Project Name Horsepond to Cartanza 69 kV Rebuild Type Improvement Department Electric Engineering Useful Life 20-25 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $330,467 Replace the poles, conductor, and insulators from Horsepond Substation to Long Point Road. COMMENTS: Alternative pole materials will be explored to minimize future woodpecker damage to the new segment. Justification Currently, the conductor size from Horsepond substation to Long Point Road limits the capacity that can be carried on Feeder 4. Upgrading the existing 636 ACSR to 795 ACSR will increase the capacity and result in a standard conductor size from Cartanza Substation to Horsepond Substation. Additionally the poles have nearly reached the life expectancy due to numerous problems with woodpecker destruction. The annual pole testing program has noted deficiencies in the above ground condition of this line segment. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Aging poles and hardware may fail causing outages in east Dover. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 75,000 75,000 Construction/Maintenance 255,467 255,467 Total 330,467 330,467 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 330,467 330,467 Total 330,467 330,467 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1502 Project Name 69 kV Cable Replacement North Street Type Improvement Department Electric Engineering Useful Life 30+ years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $565,710 Replace the aging 69 KV underground cables from North Street switching yard to Kraft’s and Proctor & Gamble’s (customer owned) substations. COMMENTS: Proactively replacing cables that have reached their anticipated life. Justification Proctor & Gamble and Kraft are two (2) of the City of Dover’s 69 KV customers and it is our obligation to provide them with adequate and reliable service. The cables were installed in 1973 and have had two repairs. The first repair was in 1986 and the second repair was in 1992. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: Customer outages due to failing conductor. Additionally, the limited capacity of a single circuit could restrict the possible generation of NRG and the production of Proctor & Gamble and Kraft Foods. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 85,000 85,000 Construction/Maintenance 480,710 480,710 Total 85,000 480,710 565,710 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 85,000 480,710 565,710 Total 85,000 480,710 565,710 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1503 Project Name System Operations Monitoring Type Improvement Department Electric Engineering Useful Life 5 years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: Time-Line: Description Total Project Cost: $30,000 Replace the system operations monitoring screens. Justification This project replaces the existing monitoring screens in system operations, with projection screens. City staff uses an array of these devices to view and operate the electric system and the lift stations. Additionally, the Public Utilities recently added 6 security cameras surrounding its facility and 2 security cameras at the interconnecting substation, which is our connection to the bulk electric system. These monitoring screens are also utilize in these security hardening measures. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Equip/Vehicle/Furnishings 30,000 30,000 Total 30,000 30,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 30,000 30,000 Total 30,000 30,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1504 Project Name College Road to McKee Substation Feeders Type Maintenance Department Electric Engineering Useful Life Contact Category Electric Priority n/a New Project: Yes Account Number: Time-Line: Description Total Project Cost: $307,000 PROJECT DESCRIPTION: This project will be constructed in conjunction with the water main upgrade planned for this section of Walker Road. The Electric Division will install conduit, cable and equipment, as the Water Division installs the new water main. CONSEQUENCES OF DELAYING OR ELIMINATING THIS PROJECT: The aging pole line will require the replacement of overhead wire. Leaving the overhead line in service increases the chances of weather related damages. Additionally, if this project isn’t constructed in conjunction with the water main upgrade, the cost of installation significantly increases. TIME-LINE/CURRENT STATUS: Design will be completed in FY 2014. Material procurement and construction will be completed FY 2015. COMMENTS: This project will be in conjunction with the water main project. Therefore, if the water main is delayed this project will also be delayed. Justification NEED, JUSTIFICATION, BENEFIT: The installation of the new power lines will provide McKee Run power with improved reliability, because of the decreased exposure of the feeder to weather events. THIS PROJECT IS RELATED TO THE FOLLOWING: Walker Road Water Main Upgrade (Water Division) Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 307,000 307,000 Total 307,000 307,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 307,000 307,000 Total 307,000 307,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1600 Project Name McKee Run Yard Rebuild Type Improvement Department Electric Engineering Useful Life 25+ years Contact Electric Director Category Electric Priority n/a New Project: No Account Number: TBD Time-Line: Description Total Project Cost: $1,150,000 Refurbish McKee Run switching yard. TIME-LINE/CURRENT STATUS: The purchase of equipment with long lead times and engineering will be completed in FY 2016. Construction will be the following year, FY 2017. Justification The City of Dover’s electrical system has undergone a complete conversion to a 69KV transmission network. Hence, eliminating the old 22KV transmission network. Therefore, the 22KV system located at McKee Run Generating Plant should also be eliminated and a second 12470/69 KV step-up transformer should be installed, provided that Units 1 & 2 are still in operation. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 250,000 250,000 Construction/Maintenance 200,000 700,000 900,000 Total 450,000 700,000 1,150,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 450,000 700,000 1,150,000 Total 450,000 700,000 1,150,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EE1212 Project Name New Developments Type Improvement Department Electric T & D Useful Life 30+ years Contact Electric Director Category Electric Priority 1 New Project: No Account Number: 4878200-562.Several Time-Line: Description Total Project Cost: $4,484,800 This project purchases materials and equipment that are used to provide electric service to new housing developments, businesses, and industrial developments. Additionally, a portion of this expense is offset by the extension payments whereby new developers pay a $1,100 per residential lot connection fee, or business and industrial developers pay the total material expense for line extensions. This is an ongoing project and affects three separate accounts: 487-8200-562.60-31 - $ 70,536 487-8200-562.60-34 - $ 479,464 487-8200-562.60-46 - $ 500,000 COMMENTS: Not all new development projects are known, as some will arise during the year. Village of Maple Dale, Clearview Meadows, M&L Ventures Storage, Bayard Plaza, Nottingham Meadows, Brentwood Place, 215 Walker Rd, and Bayhealth are project known to be moving forward in FY13. Justification During the course of each budget year, new developers request line extensions for new electric projects. Some are new projects, while other projects may have received plan approval previously but were not completed for any number of reasons. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 450,000 450,000 450,000 450,000 450,000 2,250,000 Total 450,000 450,000 450,000 450,000 450,000 2,250,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 450,000 450,000 450,000 450,000 450,000 2,250,000 Total 450,000 450,000 450,000 450,000 450,000 2,250,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1102 Project Name Units 1 & 2 Cooling Tower Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 8 -- New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $389,440 This project was developed to repair mechanical and structural components of the Units 1 and 2 cooling tower. The project scope has been developed through inspections performed in 2009 & 2010, and represents a systematic approach to maintaining the reliability and efficiency of the tower components. Specific activities scheduled for Fiscal 2013 include the replacement of the towers structural support members located at the base of the tower. Justification This project is needed to maintain the structural integrity of the cooling tower and the continued reliability of the cooling systems mechanical components. Also, the continued deterioration of the cooling towers performance will lead to load reductions on the unit during periods of high ambient temperatures. This will occur during the time period when generation costs are at their peak. Additonally, this will aid in meeting the discharge temperature limitation that is being required by the DRBC (Delaware Rivier Basin Commission) Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 199,140 Miscellaneous 37,300 37,300 153,000 Total Total 37,300 37,300 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 199,140 Electric I & E Fund 37,300 37,300 153,000 Total Total 37,300 37,300 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1202 Project Name McKee Run Unit 3 Boiler Systems Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 2 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $1,049,000 This fund was developed to perform inspections and repairs to the Unit 3 boiler on a predetermined frequency based on unit operating hours, required regulatory inspection intervals, and known equipment condition. In general, most work activities are those requiring planned outages and therefore will be scheduled to coincide with planned outages. Work identified includes the following: 2013 - Boiler safety valve refurbishment and adjustments, Forced draft fan and motor refurbishments, Induced draft fan motor refurbishment 2015 - Boiler safety valve refurbishment and adjustments, Forced draft and induced draft fan and motor refurbishments, feedwater heater repairs 2017 - Major boiler repairs to waterwall, superheater, and reheater tubes, air heater steam coil replacement Justification Critical system equipment represents components that, if they fail, will result in loss of generation and or capacity. Routine evaluation of the condition of critical components will allow for proper prioritization of maintenance activities and resources. Delaying this project could result in the failure of critical unit equipment and subsequent loss of generation and or capacity. More importantly, component failure could also result in safety risk to personnel. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 130,000 Construction/Maintenance 129,000 144,000 344,000 617,000 302,000 Total Total 129,000 144,000 344,000 617,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 130,000 Electric I & E Fund 129,000 144,000 344,000 617,000 302,000 Total Total 129,000 144,000 344,000 617,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1203 Project Name McKee Run Unit 3 Auxillary System Components Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 4 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $772,500 This project will perform inspections and repairs of unit 3 auxillary system components that have been identified as critical through the plant life assessment study. Critical auxillary sysem components are those that could result in unit load reduction or outage with consequential loss of capacity and/or generation although they would not individually affect the long range financial viability of the unit. Components identified will be addressed in 2013 inlcude the 3B condensate pump and motor. Components scheduled for 2014 include boiler feed pumps and motors, condenser circulator pumps and motors Components scheduled for 2015 include condensate pump and motor. Components scheduled for 2016 include service water pump. Components scheduled for 2017 include circulating water booster pump and motor. Justification Critical system components that, if they fail, will result in the loss of generation and/or capacity. Addressing these assets in a systematic fashion will result in minimize forced outages and eliminate major maintenance expenses associated with component failure. Performing work as scheduled will also levelize maintenance expenditures. Delaying this project could result in the failure of critical unit equipment and subsequent loss of generation and/or capacity. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 113,000 Construction/Maintenance 55,000 188,500 45,000 6,000 34,000 328,500 331,000 Total Total 55,000 188,500 45,000 6,000 34,000 328,500 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 113,000 Electric I & E Fund 55,000 188,500 45,000 6,000 34,000 328,500 331,000 Total Total 55,000 188,500 45,000 6,000 34,000 328,500 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1207 Project Name Van Sant Unit 11 Component Replacements Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 4 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $821,000 This fund was developed to perform inspections and repairs to the VanSant Unit 11 auxiliary equipment on a predetermined frequency based on unit operating hours, required regulatory inspection intervals, and known equipment condition. Work to be performed to include the following equipment: 2014 - Refurbish Exhaust frame blower B and motor, B Cooling Water pump and motor, B injection water pump motor 2015 - Replace inlet guide vanes 2016 - Generator inspection and repair 2017 - Injection water pump and motor refurbishment, A Exhaust frame blower and motor refurbishment Justification This project is required to fund the replace of capital items that are expected to reach their useful life and will need to be replaced or refurbished to maintain plant system and unit reliability. Extended equipment and /or unit outage time will result from lack of funding this project. This will have a direct effect on the cost of energy during the extended outage time as well as increase future energy capacity charges. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 50,000 Construction/Maintenance 75,000 75,000 143,000 78,000 371,000 400,000 Total Total 75,000 75,000 143,000 78,000 371,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 50,000 Electric I & E Fund 75,000 75,000 143,000 78,000 371,000 400,000 Total Total 75,000 75,000 143,000 78,000 371,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1209 Project Name McKee Run & VanSant Preservation of Structures Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority n/a New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $527,000 This project involves the preservation of plant structures in order to prevent deterioration of building structural steel and equipment subject to corrosion due to the working environment. Included will be the sandblasting and painting of identified structures and equipment along with the removal of equipment that has been retired in place. This work is an ongoing effort spanning multiple years. Work identified includes the following: 2014 - Paint the radiator support structure and diesel cooling water tank at VanSant, Repair and paint the exterior of the circulating water piping at the base of the Unit 3 condenser, Paint all structural steel bolted connections at grade on Unit 3 boiler. 2016 - Paint Unit 3 stack, replace portions of the stack grounding system 2017 - Paint city water and outside demineralized water storage tank Justification Structural steel painting is needed in various areas throughout the plant proper as well as various outbuildings on the plant property to maintain the physical building structures and equipment in an acceptable condition and prevent further deterioration. This project represents a minimum preservation and maintenance of structures consistent with the expected life of the station. Consequences of delaying or eliminating this project will result in the acceleration of deterioration of plant structures and larger future costs associated with structural repairs. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 38,000 Construction/Maintenance 42,000 165,000 142,000 349,000 140,000 Total Total 42,000 165,000 142,000 349,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 38,000 Electric I & E Fund 42,000 165,000 142,000 349,000 140,000 Total Total 42,000 165,000 142,000 349,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1212 Project Name McKee Run Unit 3 Turbine Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 1 New Project: Account Number: Time-Line: Description Total Project Cost: $1,760,000 This project will inspect the Unit 3 turbine and auxiliary equipment to determine repairs needed to keep the unit reliable and to assess remaining life of the unit. This project will be completed in two phases, an initial limited inspection followed by an extensive detailed inspection and repair planned outage. The first phase that will be completed in 2012 under Project EG1212 and will utilize borescope equipment to determine condition of components that can be observed through limited access locations along the turbine casing and through turbine inlet valves. This inspection will provide a general condition assessment of a portion of the highly stress components of the turbine and may provide insight into the extent of replacement parts needed to successfully execute phase 2. Phase 2 to be completed later in 2014 will include a full disassembly and inspection of the turbine and auxiliary equipment. Expenditures in 2013 are for long lead material procurement. Phase 2 costs have been revised to reflect the need to replace 9th stage blading on the turbine. Justification An assessment of the unit needs to be performed to determine condition of the highly stressed turbine components to assure continued reliability. Documented condition of rotor blading during last inspection noted deterioration of 9th stage blades and temporary repairs performed. A significant probability that the blades should be replaced. Consequences of delaying or eliminating this project include possible catastrophic equipment failure and indefinite loss of unit availability. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 348,000 Construction/Maintenance 115,000 1,031,000 10,000 1,156,000 256,000 Total Total 115,000 1,031,000 10,000 1,156,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 348,000 Electric I & E Fund 115,000 1,031,000 10,000 1,156,000 256,000 Total Total 115,000 1,031,000 10,000 1,156,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1304 Project Name McKee Run Units 1 & 2 Component Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 4 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $3,116,500 This project will inspect and repair capital equipment associated with the Units 1 and 2 turbine generator and Boiler equipment. Components identified that will be addressed include the following: 2013- Refurbishment of 2A condensate pump and motor and replacement of heater exchanger level controllers. 2014 - Inspection of turbine nozzles 2015 - Unit 2 boiler feed pump and motor refurbishments 2016 - Major boiler component inspections and repairs. 2017 - Replacement of boiler feed recirculation valves, circulating water pump refurbishment, replacement of steam air heater coils Justification This project is required to fund the repair and /or replace of capital items that are expected to reach their useful life and will need to be repaired or replaced to maintain plant system and unit reliability. Extended equipment and /or unit outage time will result from lack of funding this project. This will have a direct effect on the cost of energy during the extended outage time as well as increase future energy capacity charges. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 364,000 Construction/Maintenance 52,000 100,000 44,000 172,000 234,000 602,000 2,150,500 Total Total 52,000 100,000 44,000 172,000 234,000 602,000 Total Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future 364,000 Electric I & E Fund 52,000 100,000 44,000 172,000 234,000 602,000 2,150,500 Total Total 52,000 100,000 44,000 172,000 234,000 602,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1306 Project Name McKee Run Turbine Level Window Modification Type Improvement Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 6 -- New Project: Yes Account Number: Time-Line: Description Total Project Cost: $85,000 PROJECT DESCRIPTION: Install equipment for safety of plant personnel and to maintain reliability of plant equipment in the event of an explosion at the McKee Run switchyard. Equipment includes the following: System Design (2013) - $5k Purchase of window blocking materials (2013) - $20k Purchase of Fire Shutters for windows (2013) - $20k Installation (2013) - $40k Justification This project is a result of an insurance inspection and recommendation to install equipment or window blocking materials for the protection of plant personnel and plant equipment in the event of an explosion of electrical distribution equipment in the McKee Run switchyard. Consequences of delaying or eliminating this project will be the continued risk of personal injury or damage to electrical distribution equipment. In addition, no benefit to, or even an increase of, insurance company premium costs could result due to not acting on insurance company recommendations. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 5,000 5,000 Construction/Maintenance 80,000 80,000 Total 85,000 85,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 85,000 85,000 Total 85,000 85,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1307 Project Name McKee Run Unit 3 Air Heater Expansion Joint Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 7 -- New Project: Yes Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $215,000 This project will replace the Unit 3 boiler air heater, hot air outlet expansion joint closest to the air heater which has reached the end of its’ useful life. This replacement is the last expansion joint to be replaced in the hot gas duct from the boiler to the air heater. The work is scheduled to be completed in the fall of 2013. This work was previously scheduled for 2017 but was accelerated due to its’ deteriorated condition. Justification This expansion joint has failed in multiple locations, allowing hot air to escape from the ductwork exiting the boiler. This has a direct impact on the performance of the Unit, limiting capacity and reducing efficiency. Replacement of this expansion joint is necessary in order to recover unit efficiency. This project will be completed in 2013. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 135,000 Construction/Maintenance 80,000 80,000 Total Total 80,000 80,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 135,000 Electric I & E Fund 80,000 80,000 Total Total 80,000 80,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1309 Project Name McKee Run Unit 3 Stack Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 9 -- New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $102,000 An inspection and assessment will be made to determine the condition of the stack and also provide cost of any repairs required to extend the life of the stack for 15 to 20 yrs. Repairs to the stack lining and exterior will be made in order to allow continued operation of Unit 3. A determination for the necessity of repairs to Unit 3 stack will be performed on an annual basis. An internal and external inspection will be performed by outside consultant in 2012. Justification Current plans are to contract for an external and internal inspection in 2013 to develop an action plan to extend the life of the stack as well as develop costs for the repairs of the stack by outside contractors. We will contract for needed repairs as determined by the 2013 and subsequent yearly inspections. Delaying necessary repairs could lead to more costly repairs in the future, unplanned forced outage on Unit 3, fall out of internal material upon the surrounding community and potential injury to employees. Earnings from the sale of capacity may also be affected. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Miscellaneous 27,000 50,000 77,000 Total Total 27,000 50,000 77,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Electric I & E Fund 27,000 50,000 77,000 Total Total 27,000 50,000 77,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1310 Project Name McKee Run Units 1 & 2 Stack Repairs Type Maintenance Department Power Plant Useful Life 10-15 years Contact Electric Director Category Electric Priority 10 -- New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $75,000 Repairs to the stack lining and exterior will be made in order allow continued operation of these units. In addition, an assessment will be made to determine the remaining life of the stack and also provide cost of any repairs required to extend the life of the stack for another 10 to 15 yrs. The current expectation is to perform limited repairs in fiscal year 2013. An evaluation of future repairs will also be made. Justification This stack has been in service past its expected life and repairs are needed to ensure continued operation for the remaining life of the Units. Should this stack need to be taken out of service, it will necessitate taking both Units 1 and 2 offline. Delaying necessary repairs could lead to more costly repairs in the future, simultaneous unplanned forced outages on both Units 1 & 2, fall out of internal material upon the surrounding community and potential injury to employees. Earnings from the sale of capacity will also be affected. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Miscellaneous 75,000 75,000 Total 75,000 75,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 75,000 75,000 Total 75,000 75,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1311 Project Name Van Sant Capacity Increase Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority n/a New Project: Yes Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $550,000 This project will increase the electric generation output of the VanSant Unit 11 gas turbine generator by installing technology specifically designed to decrease the air inlet temperatures to the gas turbine during high ambient air temperature days. This project is dependent on obtaining favorable payback as determined by an evaluation of available technologies conducted as part of a strategically budgeted initiative that will determine the most cost effective technology to utilize. This initiative is contained in the 2012 Strategic level of the Power Plant O&M budget. The project is estimated to be completed in 2013. Multiple technologies to achieve the increased generator output will be evaluated in 2012. Justification This project will provide a positive cash flow within 5 years of installation as the City of Dover will benefit through additional capacity and generation sales. Each year this project is delayed will result in lost revenue opportunity to the City of Dover. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 75,000 75,000 Construction/Maintenance 475,000 475,000 Total 550,000 550,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Capacity Reserve Fund 550,000 550,000 Total 550,000 550,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1312 Project Name McKee Run Unit 3 Generator Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 1 New Project: No Account Number: Time-Line: Description Total Project Cost: $236,000 This project will inspect the Unit 3 turbine generator, and auxiliary equipment to determine repairs needed to keep the generator operational and to assess remaining life of the unit. This project will include a full disassembly and inspection of the generator and auxiliary equipment. Extensive electrical testing of the generator will be performed. Justification An assessment of the generator needs to be performed to determine mechanical and electrical condition of the internal turbine components to assure continued reliability. This unit has not been inspected since 2000 and Industry maintenance practices recommend inspection intervals not exceeding 10 years. Consequences of delaying or eliminating this project include a possible equipment failure and extended or indefinite loss of unit availability. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Construction/Maintenance 236,000 236,000 Total 236,000 236,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 236,000 236,000 Total 236,000 236,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1401 Project Name Units 1 & 2 Boiler Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 2 New Project: Yes Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $407,000 This fund was developed to perform inspections and repairs to the Units 1 and 2 boilers on a predetermined frequency based on unit operating hours, required regulatory inspection intervals, and known equipment condition. In general, most work activities are those requiring planned outages and therefore will be scheduled to coincide with planned outages. Work scheduled includes the following: 2014 - Boiler safety valve refurbishment and inspections. 2015 - Boiler air heater inspection and repair 2016 - Boiler safety valve refurbishment and inspections Justification This project is required to fund the repair/replacement of capital items that are expected to reach their useful life. Critical system equipment represents components that, if they fail, will result in loss of generation and or capacity. Routine evaluation of the condition of critical components will allow for proper prioritization of maintenance activities and resources. Delaying this project could result in the failure of critical unit equipment and subsequent loss of generation and or capacity. More importantly, component failure could also result in safety risk to personnel. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Construction/Maintenance 18,000 20,000 29,000 67,000 340,000 Total 18,000 20,000 29,000 67,000 Total Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Electric I & E Fund 18,000 20,000 29,000 67,000 340,000 Total 18,000 20,000 29,000 67,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1402 Project Name Unit 3 Cooling Tower Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 1 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $1,159,338 This project was developed to repair mechanical and structural components of the Unit 3. The project scope has been developed through inspections performed in 2009 and 2010 and represents a systematic approach to maintaining the reliability and efficiency of the tower components. Specific activities scheduled for 2015 include installing new tower fill which will recover or improve the heat transfer efficiency of the tower and assure that the discharge temperature of the cooling tower continues to meet regulatory requirements. Work scheduled for 2016 includes cooling fax gear box refurbishments. Work scheduled for 2017 includes replacing cooling fan motors and replacing tower wall casing. Justification This project is needed to maintain the structural integrity of the cooling tower and the continued reliability of cooling system mechanical components. Also continued deterioration of the cooling tower performance will lead to load reductions on the unit during periods of high ambient temperatures. This will occur during the time period when generation costs are at their peak. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 398,338 Construction/Maintenance 571,000 52,000 138,000 761,000 Total Total 571,000 52,000 138,000 761,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 398,338 Electric I & E Fund 571,000 52,000 138,000 761,000 Total Total 571,000 52,000 138,000 761,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1403 Project Name Unit 3 Cooling Water Line Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority n/a New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $265,000 This project will inspect and repair the underground cooling water line from the Unit 3 condenser to the cooling tower. An inspection of the pipe condition will be performed on this pipe in the fall of 2013 to develop a repair/replace action plan to address the suitability for continued operation as well as extending the life of the piping beyond 2013. The actual repairs will be completed in the spring of 2014.. Completion of the project as scheduled will eliminate the need to add additional O&M funding for emergency repairs in future years. The budgeted costs assume only repairs of the lines (2) from the cooling tower to the plant exterior wall. Justification The condition of the underground cooling water line has required numerous repairs over the life of the plant and is expected to reach its useful life in the 2015-2020 time period. It is expected that the repair frequency will accelerate over the next several years as the internal pipe coating continues to degrade. Delaying this project beyond 2014 will increase the risk of a failure causing an extended unit outage to repair or replace the failed pipe as well incur water spillage to the surrounding ground. Additional budget dollars will need to be allocated to make the repairs of the failed piping. Prior Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Miscellaneous 240,000 240,000 Total Total 240,000 240,000 Prior Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total 25,000 Electric I & E Fund 240,000 240,000 Total Total 240,000 240,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1406 Project Name McKee Run High Energy Piping Repairs Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority 1 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $80,000 This project will address deficiencies in highly stressed piping systems at the McKee Run Generating Station found during inspections conducted on those piping systems. The inspections are scheduled for early 2013. Included will be the main steam, hot and cold reheat lines as well as feed water and condensate piping of all units. This work is intended to repair or replace piping and pipe supports that are found to be defective before any long term stress or flow induced pipe failures occur. Justification High energy piping systems are subject to service related structural failure due to the high temperature service under which they operate. Additionally, lower temperature piping systems are subject to accelerated corrosion rates due to flow characteristics. Identifying and correcting any such piping degradation before failures occur will prevent extended forced outages to make emergency repairs/replacement. Delaying this project could result in the failure of critical piping systems and subsequent loss of generation and or capacity. Most importantly, component failure could also result in serious safety risk to personnel. This project is one that is required to meet insurance company recommendations. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 80,000 80,000 Total 80,000 80,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 80,000 80,000 Total 80,000 80,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1407 Project Name Metering System Upgrades Type Maintenance Department Power Plant Useful Life Unknown Contact Electric Director Category Electric Priority 6 -- New Project: Yes Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $150,000 This project involves the replacement of all the meters (15) in the COD system that are currently tied to the metering computer at McKee Run Generating Station. In addition, costs associated with the replacement of the Metering computer (PC) at McKee Run and an alternate demark for the telephone line that the NRG meter uses to communicate data to the McKee Run computer is included in this project. A metering computer would also be installed at the City of Dover dispatch center for use. At the present time, there are annual maintenance costs associated with keeping the reliability of the meters and the metering software current. In addition, a software maintenance fee is included in the annual budget. Activities scheduled for 2014 include planning and design. Installation and purchase to be completed in 2015. Justification The meters are 14 years old and the metering computer is 4 years old and nearing the end of their recommended service life. The metering system provides the City of Dover, T.E.A, NAES, PJM, NRG and Delmarva Power with accurate data for revenue metering, cost metering, load scheduling and forecasting and for generator capacity rating verification purposes. Submission of this data/information is also an important part of compliance with various NERC standards. Non-compliance with NERC Standards could result in fines and other penalties. Delaying or eliminating this project could have a substantial effect on the City of Dover electric bill. Failures to the meters or computers would force the City of Dover to rely on DPL metering, NRG metering and/or other methods of determining load usage costs and generation revenues. In addition, costs associated with the manual documentation and submission of the information would be labor intensive and could become extremely costly. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Planning/Design 25,000 25,000 Construction/Maintenance 125,000 125,000 Total 25,000 125,000 150,000 Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric I & E Fund 25,000 125,000 150,000 Total 25,000 125,000 150,000 Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1601 Project Name McKee Run Building Equipment Replacement Type Maintenance Department Power Plant Useful Life Unknown Contact Plant Manager Category Electric Priority n/a New Project: Yes Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $330,000 This project includes the replacement of certain building support systems that are expected to reach their useful life. The specific building systems to be addressed include: Supervisors Office Roof top Air Conditioners – 2016-$30,000 #3 elevator refurbishment- 2016- $60,000 Turbine roof exhaust fans- 2016 - $20,000 Control Room rooftop air Conditioning Unit – 2017 - $50,000 Justification This project is required to fund the replacement of roof top air conditioners and exhaust fans starting in 2016. In addition, the #3 elevator is expected to require significant rebuilding to maintain its reliability. Major maintenance was performed last in 1999. Continuing increase in the costs to maintain this equipment will result from the lack of funding this project. In addition, critical temperature control is necessary to keep plant instrumentation located in the control room at acceptable operating conditions. Allowing the temperature to exceed design conditions could contribute to reduced control equipment life and possible reduced unit reliability. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Construction/Maintenance 110,000 50,000 160,000 170,000 Total 110,000 50,000 160,000 Total Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Electric I & E Fund 110,000 50,000 160,000 170,000 Total 110,000 50,000 160,000 Total Budget Impact/Other Monday, May 14, 2012

Fiscal 2013 DRAFT Capital Investment Pla FY 13 thru FY 17 City of Dover, Delaware Project # EG1701 Project Name Van Sant Unit 11 Major Overhaul/Inspection Type Improvement Department Power Plant Useful Life 20 years Contact Electric Director Category Electric Priority 3 New Project: No Account Number: 487-8101-591.40-31 Time-Line: Description Total Project Cost: $1,941,000 This project will perform a major overhaul on the turbine generator based on Original Equipment Manufacturer (OEM) recommended repair frequency which is based on factored starts of the unit from first commissioning and from last inspection/repair interval. This project will be implemented in 2017 with long lead material purchases and installation in 2018. Justification This project is required to fund the purchase of all parts needed to perform a major overhaul on the unit based on estimated factored starts since unit was first commissioned and since last the Hot Gas Path inspection. This project will span the course of three years. In Year 1, the majority of the long lead parts will be purchased. Services will be identified in year 2 and the actual installation will be performed in Year 2. Extended equipment and /or unit outage time will result from lack of funding this project. This will have a direct effect on the cost of energy during the extended outage time as well as increase future energy capacity charges. In addition, gradual degradation of the unit’s output could occur which would have a negative effect on the capacity rating of the unit and could result in catastrophic failure of the unit. Expenditures FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Construction/Maintenance 900,000 900,000 1,041,000 Total 900,000 900,000 Total Funding Sources FY 13 FY 14 FY 15 FY 16 FY 17 Total Future Electric I & E Fund 900,000 900,000 1,041,000 Total 900,000 900,000 Total Budget Impact/Other Monday, May 14, 2012

VEHICLE REPLACEMENT

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Code Enforcement 2002 Dodge Pick Up 14Veh #18 n/a 15,000 15,000 2001 Dodge Pick Up 14Veh# 16 n/a 15,000 15,000 2007 Dodge Pick Up 16Veh# 17 n/a 17,000 17,000 Code Enforcement Total 30,000 17,000 47,000 Facilities Management 1996 Dodge B2500 (438) 14Veh# 438 n/a 16,100 16,100 1996 Ford E350 (436) 15Veh# 436 n/a 16,100 16,100 1999 Dodge RMV Van (435) 16Veh# 435 n/a 16,100 16,100 Facilities Management Total 16,100 16,100 16,100 48,300 Life Safety (Fire Marshal) 2003 Ford Expedition 15Veh# 23 n/a 27,500 27,500 2005 Ford Expedition 16Veh# 28 n/a 28,500 28,500 2008 Dodge Durango 17Veh# 12 n/a 29,500 29,500 Life Safety (Fire Marshal) Total 27,500 28,500 29,500 85,500 Parks and Recreation 2002 Dodge Van (590) 14-Veh# 590 n/a 17,400 17,400 Parks and Recreation Total 17,400 17,400 Permtting and Inspections 2005 Ford F150 15Veh# 13 n/a 16,000 16,000 2005 Ford Crown Victoria 15Veh# 25 n/a 16,000 16,000 2001 Dodge Pick Up 16Veh# 19 n/a 17,000 17,000 2001 Dodge Pick Up 16Veh# 22 n/a 17,000 17,000 Permtting and Inspections Total 32,000 34,000 66,000 Planning 2004 Ford Station Wagon 15Veh# 3 n/a 16,000 16,000 Planning Total 16,000 16,000 Police 2007 Ford Crown Victoria (201) 13Veh# 201 n/a 23,800 23,800 1999 Ford Taurus (204) 13Veh# 204 n/a 18,900 18,900 2007 Ford Crown Victoria (216) 13Veh# 216 n/a 23,800 23,800 2007 Ford Crown Victoria (220) 13Veh# 220 n/a 23,800 23,800 2006 Ford Crown Victoria (232) 13Veh# 232 n/a 23,800 23,800 2007 Ford Crown Victoria (236) 13Veh# 236 n/a 23,800 23,800 2006 Ford Crown Victoria (217) 14Veh# 217 n/a 23,800 23,800 Thursday, May 10, 2012

Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total 2007 Ford Crown Victoria (228) 14Veh# 228 n/a 23,800 23,800 2007 Ford Crown Victoria (238) 14Veh# 238 n/a 23,800 23,800 2008 Ford Crown Victoria (239) 14Veh# 239 n/a 23,800 23,800 2000 Ford Taurus (241) 14Veh# 241 n/a 18,900 18,900 2000 Ford Taurus (242) 14Veh# 242 n/a 18,900 18,900 2008 HD Motorcycle FHP (256) 14Veh# 256 n/a 18,800 18,800 2008 HD Motorcycle FHP 14Veh# 257 n/a 18,800 18,800 2008 Ford Crown Victoria (258) 14Veh# 258 n/a 23,800 23,800 2007 Ford Crown Victoria (278) 14Veh# 278 n/a 23,800 23,800 2007 Ford Crown Victoria (292) 14Veh# 292 n/a 23,800 23,800 2008 Ford Crown Victoria (293) 14Veh# 293 n/a 23,800 23,800 2002 Ford Taurus (206) 15Veh# 206 n/a 18,900 18,900 2007 Ford Crown Victoria (227) 15Veh# 227 n/a 23,800 23,800 2000 Ford Crown Victoria (234) 15Veh# 234 n/a 23,800 23,800 2009 HD Motorcycle FHP (266) 15Veh# 266 n/a 18,800 18,800 2005 Ford Crown Victoria (277) 15Veh# 277 n/a 23,800 23,800 2005 Ford Crown Victoria (279) 15Veh# 279 n/a 23,800 23,800 2007 Ford Crown Victoria (280) 15Veh# 280 n/a 23,800 23,800 2005 Ford Crown Victoria (288) 15Veh# 288 n/a 23,800 23,800 2007 Ford Crown Victoria (290) 15Veh# 290 n/a 23,800 23,800 2008 Ford Crown Victoria (291) 15Veh# 291 n/a 23,800 23,800 2010 Ford Crown Victoria (202) 16Veh# 202 n/a 23,800 23,800 2010 Ford Crown Victoria (203) 16Veh# 203 n/a 23,800 23,800 1998 Ford E250 (207) 16Veh# 207 n/a 17,300 17,300 2000 Ford Taurus (210) 16Veh# 210 n/a 23,800 23,800 2005 Ford F150 Pick Up (245) 16Veh# 245 n/a 18,400 18,400 2008 Ford Crown Victoria (259) 16Veh# 259 n/a 23,800 23,800 2007 HD FHC Motorcycle 16Veh# 267 n/a 18,800 18,800 2009 HD Motorcycle FHP (268) 16Veh# 268 n/a 18,800 18,800 2002 Dodge Ram 1500 (296) 16Veh# 296 n/a 18,400 18,400 2001 Ford E350 SD (299) 16Veh# 299 n/a 46,600 46,600 2010 Dodge Charger (209) 17Veh# 209 n/a 18,900 18,900 2010 Ford Crown Victoria (243) 17Veh# 243 n/a 23,800 23,800 2011 Ford Crown Victoria 17Veh# 251 n/a 23,800 23,800 2007 Ford Fusion (260) 17Veh# 260 n/a 18,900 18,900 2010 Ford Crown Victoria (271) 17Veh# 271 n/a 23,800 23,800 2010 Ford Crown Victoria (273) 17Veh# 273 n/a 23,800 23,800 2010 Ford Crown Victoria (275) 17Veh# 275 n/a 23,800 23,800 2010 Ford Crown Victoria (285) 17Veh# 285 n/a 23,800 23,800 2010 Ford Crown Victoria (289) 17Veh# 289 n/a 23,800 23,800 2005 Ford E250 (295) 17Veh# 295 n/a 17,300 17,300 Police Total 137,900 265,800 228,100 233,500 221,700 1,087,000 Public Works - Grounds 1995 Ford Crew Cab Dump Truck (552) 13Veh# 552 5 47,000 47,000 2002 Toro Wing Mower (562) 13Veh# 562 2 65,000 65,000 2002 Dodge Pick Up (550) 14Veh# 550 3 17,000 17,000 2001 Dodge Pick Up (553) 14Veh# 553 2 17,000 17,000 1999 Dodge Pick Up (558) 14Veh# 558 2 17,000 17,000 1999 Chevy Dump Truck (554) 15Veh# 554 3 54,500 54,500 1998 Vermeer Stump Grinder (566) 15Veh# 566 3 44,000 44,000 1998 X-Mark Mower (568) 15Veh# 568 3 14,300 14,300 2001 Kubota Tractor (569) 15Veh# 569 3 29,100 29,100 1998 Chevy Crew Cab Dump Truck (551) 16Veh# 551 4 59,000 59,000 2006 X-Mark Mower (573) 16Veh# 573 4 15,500 15,500 1991 International Utility Trailer (578) 16Veh# 578 4 14,000 14,000 Thursday, May 10, 2012

Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total 2002 Bean 300 Gallon Sprayer (585) 16Veh# 585 4 22,100 22,100 1990 FMC 300 Gallon Sprayer (565) 17Veh# 565 5 23,800 23,800 1999 Bandit Chipper (579) 17Veh# 579 5 46,100 46,100 1994 Vermeer Chipper (588) 17Veh# 588 5 46,000 46,000 Public Works - Grounds Total 112,000 51,000 141,900 110,600 115,900 531,400 Public Works - Sanitation 2004 Peterbilt Automated Trash Truck (442) 13Veh# 442 2 253,900 253,900 2003 Peterbilt 320 Automated Trash Truck (444) 13Veh# 444 1 150,000 150,000 2004 Peterbilt Automated Trash Truck (443) 14Veh# 443 2 253,900 253,900 2002 Int'l Rear Loader (449) 14Veh# 449 2 129,400 129,400 2003 Peterbilt 320 Automated Trash Truck (450) 14Veh# 450 1 246,100 246,100 2008 Peterbilt Automated Trash Truck (441) 15Veh# 441 3 296,100 296,100 2002 Hurst Trailer (453) 15Veh# 453 3 14,500 14,500 2008 Intn't Rear Loader (445) 16Veh# 445 4 166,000 166,000 2008 Peterbilt Side Loader (451) 16Veh# 451 4 296,100 296,100 Public Works - Sanitation Total 150,000 883,300 310,600 462,100 1,806,000 Public Works - Streets 1992 International Dumpt Truck (328) 13Veh# 328 1 130,600 130,600 1986 Case Backhoe (319) 14Veh# 319 2 94,100 94,100 2001 Int'l Dump Truck (322) 14Veh# 322 2 123,300 123,300 2001 Int'l Dump Truck (324) 14Veh# 324 2 133,100 133,100 1999 Dodge Pick Up Truck (330) 14Veh# 330 2 19,500 19,500 2001 Dodge Pick Up Truck (331) 14Veh# 331 2 19,500 19,500 1992 Int'l Leaf Truck (366) 14Veh# 366 2 110,000 110,000 2002 Airman Air Compressor (382) 14Veh# 382 2 23,000 23,000 2001 Case Front-End Loader (312) 15Veh# 312 3 129,700 129,700 2002 Case Front-End Loader (316) 15Veh# 316 3 129,700 129,700 2001 Int'l Dump Truck (321) 15Veh# 321 3 115,100 115,100 2001 Dodge Utility Truck (345) 15Veh# 345 3 46,900 46,900 1986 Hudson Trailer (394) 15Veh# 394 3 15,000 15,000 2006 Ford 1-Ton Dump Truck (325) 16Veh# 325 4 58,400 58,400 2002 ODB Leaf Vacuum Trailer (361) 16Veh# 361 4 42,100 42,100 2006 Int'l Sweeper (361) 17Veh# 356 4 195,100 195,100 Public Works - Streets Total 653,100 494,800 42,100 195,100 1,385,100 Tax Assessor 2002 Dodge Stratus 14Veh# 4 2 20,000 20,000 Tax Assessor Total 20,000 20,000 GRAND TOTAL 399,900 1,936,700 1,267,000 943,900 562,200 5,109,700 Thursday, May 10, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 FUNDING SOURCE SUMMARY Source FY 13 FY 14 FY 15 FY 16 FY 17 Total General Fund 399,900 1,936,700 1,208,600 1,002,300 586,000 5,133,500 GRAND TOTAL 399,900 1,936,700 1,208,600 1,002,300 586,000 5,133,500 Monday, May 14, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total W/WW Engineering 2003 Chevrolet Pick-Up (418) Veh# 418 n/a 23,400 23,400 2008 Chevrolet Pickup (421) Veh# 421 n/a 27,000 27,000 W/WW Engineering Total 23,400 27,000 50,400 Wastewater Management 2001 Dodge Pick Up Truck (661-2) Veh 661-2 n/a 13,500 13,500 2002 Dodge Pick Up Truck (663-2) Veh 663-2 n/a 17,400 17,400 2002 Dodge Pick- Up (668-2) Veh 668-2 n/a 17,400 17,400 2002 Sterling L7500 Dump Truck (671-2) Veh 671-2 n/a 59,800 59,800 1997 New Holland 575E (674-2) Veh 674-2 n/a 59,100 59,100 2005 Case Backhoe (682-2) Veh 682-2 n/a 62,000 62,000 2000 Airman Air Compressor (683-2) Veh 683-2 n/a 9,700 9,700 2006 Vaccon Jet Vac Truck (695-2) Veh 695-2 n/a 144,500 144,500 2008 Ford Pickup Veh 698-2 n/a 17,100 17,100 Meter Replacement Program Veh# 0 8 20,000 150,000 200,000 370,000 1987 Empire Generator (601) Veh# 601 n/a 30,600 30,600 1987 Empire Generator (602) Veh# 602 n/a 30,600 30,600 1987 Empire Generator (603) Veh# 603 n/a 30,600 30,600 2003 Chevrolet Pick-Up (655) Veh# 655 n/a 45,000 45,000 2002 Ford 1-Ton Utility Truck with Crane (664) Veh# 664 n/a 45,000 45,000 2008 Ford 1 Ton Utility w/ Crane (665) Veh# 665 n/a 47,600 47,600 2003 Sterling Truck Jet (691) Veh# 691 n/a 210,400 210,400 Wastewater Management Total 268,000 254,900 151,600 273,800 262,000 1,210,300 Water Construction 1999 Dodge 1-Ton Utility Truck Veh# 403 n/a 31,000 31,000 1995 Caterpillar Excavator Veh#400 n/a 352,400 352,400 1995 Caterpillar Loader Veh#402 n/a 182,300 182,300 2002 Caterpillar Backhoe Veh#405 n/a 135,600 135,600 1995 John Deere Broom Tractor Veh#406 n/a 44,300 44,300 2004 Ford 1-Ton with Dump Veh#417 n/a 61,600 61,600 2001 Dodge Pick-Up Veh#419 n/a 22,200 22,200 1991 International 40S Veh#422 n/a 75,200 75,200 2002 Sterling STE Veh#424 n/a 129,500 129,500 Water Construction Total 31,000 83,800 362,200 427,600 129,500 1,034,100 Water Management Meter Replacement Project Veh# 00 8 20,000 150,000 200,000 370,000 2001 Dodge Pick Up Truck (661-2) Veh# 661-2 n/a 13,500 13,500 2002 Dodge Pick-Up (663-2) Veh# 663-2 n/a 17,400 17,400 2002 Dodge Pick-Up (668-2) Veh# 668-2 n/a 17,400 17,400 2002 Sterling L7500 (671-2) Veh# 671-2 n/a 59,800 59,800 1997 New Holland (674-2) Veh# 674-2 n/a 59,100 59,100 Tuesday, May 15, 2012

Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total 2005 Case Backhoe Veh# 682-2 n/a 62,000 62,000 2000 Airmen Air Compressor (683-2) Veh# 683-2 n/a 9,700 9,700 2006 Vaccon Jet Vac Truck (695-2) Veh# 695-2 n/a 144,500 144,500 2008 Ford Pickup (698-2) Veh# 698-2 n/a 17,100 17,100 Water Management Total 178,000 44,500 59,800 226,200 262,000 770,500 Water Treatment Plant 2010 Ford 1-Ton Utility Truck w/ Gage Veh# 620 n/a 48,000 48,000 2007 Ford 1-Ton Utlity (622) Veh# 622 n/a 45,200 45,200 2001 Dodge Pick Up (660) Veh# 660 n/a 24,100 24,100 2008 GMC Cargo Van (662) Veh# 662 n/a 25,900 25,900 Water Treatment Plant Total 24,100 45,200 25,900 48,000 143,200 GRAND TOTAL 524,500 383,200 618,800 980,500 701,500 3,208,500 Tuesday, May 15, 2012

City of Dover, Delaware Fiscal 2013 DRAFT Capital Investment Plan FY 13 thru FY 17 PROJECTS BY DEPARTMENT Department Project# Priority FY 13 FY 14 FY 15 FY 16 FY 17 Total Electric Engineering 2008 Dodge Avenger (7) Veh# 007 n/a 25,000 25,000 2005 Dodge Stratus (8) Veh# 008 n/a 23,000 23,000 2007 Dodge Pickup (9) Veh# 009 n/a 27,000 27,000 2006 Ford Van (749) Veh# 749 n/a 25,000 25,000 2005 Ford Utility Truck (764) Veh# 764 n/a 35,000 35,000 2005 Ford Pick Up (770) Veh# 770 n/a 29,000 29,000 2006 Dodge Pickup (790) Veh# 790 n/a 26,000 26,000 Electric Engineering Total 35,000 51,000 52,000 52,000 190,000 Electric T & D Trencher/Hoe (702) Veh# 702 n/a 57,400 57,400 1989 Smith SM160 (716) Veh# 716 n/a 15,400 15,400 2001 Freightliner (750) Veh# 750 n/a 300,000 300,000 2002 Sherman & Reilly Wire Puller (758) Veh# 758 n/a 112,800 112,800 2001 Freightliner (766) Veh# 766 n/a 190,500 190,500 2001 Dodge Pickup (767) Veh# 767 n/a 22,400 22,400 2003 Freightliner (778) Veh# 778 n/a 123,600 123,600 2003 Freightliner (779) Veh# 779 n/a 190,500 190,500 2001 Dodge Ram 3500 (799) Veh# 799 n/a 30,900 30,900 Electric T & D Total 146,000 303,300 46,300 247,900 300,000 1,043,500 GRAND TOTAL 146,000 338,300 97,300 299,900 352,000 1,233,500 Monday, May 07, 2012

DEBT SERVICE CONTAINS THE FOLLOWING SUBSECTIONS: – DEBT LIMIT – DEBT SERVICE SCHEDULES

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover, Delaware Computation of Legal Debt Margin (amounts expressed in thousands) 2008 2009 2010 2011 2012 2013 Debt Limit $ 697,621 $ 144,965 $ 144,341 $ 155,838 $ 156,889 $ 157,267 Net (Taxable) Assessed Value on Books $ 2,790,485 $ 2,899,293 $ 2,886,826 $ 3,116,765 $ 3,137,788 $ 3,145,349 Total Net Debt applicable to limit (See NOTE below) 2,445 2,080 1,820 1,550 4,775 6,425 Legal debt margin $ 695,176 $ 142,885 $ 142,521 $ 154,288 $ 152,114 $ 150,842 Total Net Debt applicable to limit as a percentage of debt limit 0.35% 1.46% 1.28% 1.00% 3.14% 4.26% Legal Debt Margin Calculation for Fiscal Year 2013 Net (Taxable) Assessed Value on Books $ 3,116,765 $ 3,137,788 $ 3,145,349 Debt Limit - 5 Percent of Total Assessed Value $ 155,838 $ 156,889 $ 157,267 DEBT (For which the City's full faith and credit has been pledged) Gross Bonded Debt 1,550 4,775 6,425 LEGAL DEBT MARGIN $ 154,288 $ 152,114 $ 150,842 IMPORTANT NOTE: The Total Net Debt applicable to limit will exceed the 5.0% Limit if the current library building is not sold and the proceeds applied to the loan as originally planned. The calculation would be at 5.1%. The Total Net Debt includes the financing for the new library and the street program for FY12 and the Garrison Farm improvements for FY13. Source: City of Dover Financial Reports, City of Dover Charter, Section 50(b), and Tax Assessor's Office July 2009 the Charter was amended and the debt limit was reduced from 25% of the total assessed value to 5%.

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE City of Dover General Fund Projected Debt Service Green 2012 Energy Debt Fiscal Year Series 2003 Tax‐ Exempt Series 2013 Total Debt Service Net Debt Ending Bonds Loan * Bonds Service Contribution Service 6/30/2013 $ 327,700 $ 305,800 $ 65,000 $ 698,500 $ (98,500) $ 600,000 6/30/2014 327,400 305,800 134,000 767,200 (98,500) 668,700 6/30/2015 243,000 305,800 134,000 682,800 (98,500) 584,300 6/30/2016 244,300 305,800 134,000 684,100 (98,500) 585,600 6/30/2017 249,900 305,800 134,000 689,700 (98,500) 591,200 6/30/2018 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2019 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2020 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2021 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2022 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2023 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2024 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2025 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2026 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2027 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2028 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2029 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2030 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2031 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2032 ‐ 305,800 134,000 439,800 (98,500) 341,300 6/30/2033 ‐ ‐ 69,000 69,000 69,000 Totals $ 1,392,300 $ 6,421,800 $ 2,680,000 $ 10,188,291 $ (1,970,009) $ 8,218,291 Library & Garrison Library Streets Farm * Annual Debt Service for the 2012 Loan does not reflect any reduction for the sale of the current Library

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City of Dover Water/Wastewater Revenue Bonds Projected Debt Service Series 2000 Series 2009 Series 2010 Series 2011 Series 2013 Series 2013 Series 2015 Total Debt Fiscal Year Ending Series 2003 Wastewater Wastewater Water Wastewater Water Wastewater Water Service 6/30/2013 411,000 53,000 347,100 161,300 54,000 65,400 65,400 0 1,157,200 6/30/2014 409,900 53,000 347,100 161,300 54,000 134,000 134,000 0 1,293,300 6/30/2015 407,800 53,000 347,100 161,300 54,000 134,000 134,000 81,700 1,372,900 6/30/2016 223,500 53,000 347,100 161,300 54,000 134,000 134,000 163,400 1,270,300 6/30/2017 222,300 53,000 347,100 161,300 54,000 134,000 134,000 163,400 1,269,100 6/30/2018 220,700 53,000 347,100 161,300 54,000 134,000 134,000 163,400 1,267,500 6/30/2019 223,600 53,000 347,100 161,300 54,000 134,000 134,000 163,400 1,270,400 6/30/2020 221,000 53,000 347,100 161,300 54,000 134,000 134,000 163,400 1,267,800 6/30/2021 223,000 0 347,100 161,300 54,000 134,000 134,000 163,400 1,216,800 6/30/2022 224,000 0 347,100 161,300 54,000 134,000 134,000 163,400 1,217,800 6/30/2023 225,000 0 347,100 161,300 54,000 134,000 134,000 163,400 1,218,800 6/30/2024 220,000 0 347,100 161,300 54,000 134,000 134,000 163,400 1,213,800 6/30/2025 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2026 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2027 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2028 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2029 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2030 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2031 0 0 347,100 161,300 54,000 134,000 134,000 163,400 993,800 6/30/2032 0 0 173,600 76,500 54,000 134,000 134,000 163,400 735,500 6/30/2033 0 0 0 0 27,000 65,400 65,400 163,400 321,200 6/30/2034 0 0 0 0 0 0 0 163,400 163,400 6/30/2035 0 0 0 0 0 0 0 81,700 81,700 Total $3,231,800 $424,000 $6,768,500 $3,141,200 $1,107,000 $2,676,800 $2,676,800 $3,268,000 $23,294,100

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE City of Dover Electric Revenue Fund Projec ted Debt Service Electric Revenue Fund Fiscal 2008 Revenue Bonds 2010 Revenue Bonds Year Principal Interest Principal Interest Total 2013 410,000 1,006,954 1,700,000 253,100 3,370,054 2014 430,000 986,454 1,740,000 219,100 3,375,554 2015 450,000 964,954 1,810,000 166,900 3,391,854 2016 475,000 942,454 1,890,000 94,500 3,401,954 2017 695,000 918,704 - - 1,613,704 2018 730,000 883,954 - - 1,613,954 2019 765,000 847,454 - - 1,612,454 2020 800,000 815,706 - - 1,615,706 2021 840,000 781,706 - - 1,621,706 2022 880,000 746,006 - - 1,626,006 2023 925,000 707,506 - - 1,632,506 2024 970,000 665,881 - - 1,635,881 2025 1,015,000 622,231 - - 1,637,231 2026 1,065,000 576,555 - - 1,641,555 2027 1,120,000 527,300 - - 1,647,300 2028 1,175,000 475,500 - - 1,650,500 2029 1,230,000 416,750 - - 1,646,750 2030 1,290,000 355,250 - - 1,645,250 2031 1,355,000 290,750 - - 1,645,750 2032 1,420,000 223,000 - - 1,643,000 2033 1,485,000 152,000 - - 1,637,000 2034 1,555,000 77,750 - - 1,632,750 Total $21,080,000 $13,984,819 $ 7,140,000 $ 733,600 $42,938,419

GENERAL CONTAINS THE FOLLOWING SUBSECTIONS: – MAYOR – CITY COUNCIL – CITY MANAGER – CENTRAL SERVICES – CITY CLERK – CUSTOMER SERVICES – FINANCE AND CENTRAL SERVICES – FIRE – HUMAN RESOURCES – INFORMATION TECHNOLOGY – PARKS, RECREATION AND LIBRARY – POLICE – TAX ASSESSOR – PLANNING & INSPECTIONS – PUBLIC WORKS

GENERAL FUND

DRAFT BUDGET REVIEW Fiscal Year 2012-2013 May 22, 2012 – Budget Review Hearing

What You Need to Know • Departments were requested to hold budgets at Original FY 2012 budget levels for materials and supply expenditures (20 Series) and administrative expenditures (30 series) with the following exceptions: • Service contracts • Items deemed necessary • Fleet gasoline • Percentage changes are calculated on FY12 Revised Budgets • All Department budgets reflect the following changes in personnel expenses – Vacation sell-back and retirement payouts have been removed from the Departmental budgets and placed in a separate fund expense in order to reduce the overall amount previously budgeted. This change resulted in a decrease to almost all personnel budgets – Changes in employee contributions for Health Insurance have reduced budgets. – Worker’s Compensation cost has been reinstated and therefore increases all budgets.

GENERAL FUND DRAFT BUDGET REVIEW Fiscal Year 2012-2013 MAY 22, 2012 – BUDGET REVIEW HEARING 3

Mayor Personnel Costs 55,300 2% Materials & Supplies 300 81% Administrative Expenditures 26,800 16% Overall Operating Expenses 82,400 2% Highlights: Personnel Costs decreased due to a reduction in health insurance offset by increases in worker’s compensation and OPEB. Materials and Supplies decreased due to a reduction in computer hardware. Administrative Expenses increased due to increase in subscriptions and dues and training and conference. 4

City Council Personnel Costs 91,100 0% Materials & Supplies 400 95%  Administrative Expenditures 22,700 0% Overall Operating Expenses 114,200 5% Highlights: Materials and Supplies decreased due to decreases in office supplies, printing, photographic, and computer software and hardware. 5

City Manager Personnel Costs 281,500 40% Materials & Supplies 15,000 41% Administrative Expenditures 123,500 2% Overall Operating Expenses 420,000 32% Highlights: Personnel Costs are down due the reduction of 2 FTE’s and benefit changes. Materials and supplies decreased due to a reduction in printing and duplicating as well as computer hardware. Administrative Expenditures decreased auto expenses, telephone, and community relations expenses. 6

City Clerk Personnel Costs 299,700 18% Materials & Supplies 6,700 38% Administrative Expenditures 30,600 1% Overall Operating Expenses 337,000 14% Highlights: Personnel Costs increased due to position re-gradings and corresponding benefit increases. Materials and supplies decreased due to no computer hardware expense. Administrative expenditures remained about the same with the exception of changes in Training and Conference and subscriptions and dues. 7

Customer Services Personnel Costs 770,700 2% Materials & Supplies 38,800 6% Administrative Expenditures 91,700 7% Overall Operating Expenses 901,200 3% Highlights: Personnel costs reflect a reduction for salaries and health insurance. Materials and supplies decreased due to printing and duplicating reductions associated with last year’s change in bill format. Administrative expenses decreased due to reduction for contractual services due to one-time lockbox setup fees removed from budget. 8

Meter Reading Personnel Costs 184,500 0% Materials & Supplies 10,400 2% Administrative Expenditures 17,600 11% Overall Operating Expenses 212,500 10% Highlights: Personnel costs remained about the same. The increases in Salaries, Worker’s Compensation and OPEB were offset by decreases in OT, FICA and Health Insurance. Materials and Supplies had a small increase for computer hardware offset by a decrease in small tools. Administrative Expenses decreased due to a reduction in gas expense based on prior year actual. 9

Finance Personnel Costs 679,000 3% Materials & Supplies 13,700 37% Administrative Expenditures 186,800 1% Overall Operating Expenses 879,500 3% Highlights: Personnel costs increased due to a full years salary and benefits for the Payroll Specialist, health insurance plan changes to a higher coverage, worker’s compensation and OPEB. Materials and supplies are up due to an increase in computer hardware partially offset by decreases in office supplies and printing and duplicating. Administrative expenses increased due to additional cost for ADP’s HR module fees offset by a decrease in audit fees and office equipment repairs. 10

Central Services (Procurement & Inventory) Personnel Costs 255,200 33% Materials & Supplies 33,200 82% Administrative Expenditures 288,500 2% Overall Operating Expenses 576,900 17% Highlights: Salary and benefits have decreased for a reduction in 2 FTE’s. Materials and Supplies increased due to computer hardware purchase, water and sewer charges, small tools and custodial expenses. Administrative expenditures are budgeted to decrease for advertisement, contractual services, telephone and other equipment repairs partially offset by increases in training and conference and office equipment repairs and maintenance. 11

Fire Personnel Costs 406,400 1% Materials & Supplies 600 100% Administrative Expenditures 281,300 0% Overall Operating Expenses 688,300 1% Capital Outlay 238,500 7% Total Expenditures 926,800 2% Highlights: Personnel Costs increased due to temporary help, overtime, and benefits. Materials and Supplies increased for employee safety shoes that had not been budgeted in the past. Capital Expenses reflect a decrease in the City’s payments for fire apparatus loans. 12

Human Resources Personnel Costs 240,200 18% Materials & Supplies 44,800 21% Administrative Expenditures 34,700 3% Overall Operating Expenses 319,700 17% Highlights: Personnel costs have decreased due to a decrease salary expense and benefits. FY12 included a non-recurring retirement payout in this Division as well. Materials and Supplies have decreased due to reduction in security and safety materials – Advantech (security) expense moved to another department. Administrative expenses are down due to reduced advertising and consulting fees partially offset by an increase in office equipment repairs and maintenance. 13

Information Technology Personnel Costs 371,200 2% Materials & Supplies 96,400 7% Administrative Expenditures 175,100 21% Overall Operating Expenses 642,700 7% Capital Outlay 57,000 956% Total Expenditures 699,700 0% Highlights: Personnel Costs remain about the same with an increase for worker’s compensation and OPEB. Materials and supplies are increased for computer hardware replacement as per the Lifecycle Replacement Program. Administrative Expenditures are decreased for contractual services. These decreases are related to phone system maintenance and upgrades are not budgeted in this year. Capital expense is increased to replace servers - $57,000. DEMA Grant is expected to cover $15,000 of this cost. 14

Library Personnel Costs 997,800 2% Materials & Supplies 102,600 16% Administrative Expenditures 135,800 42% Overall Operating Expenses 1,236,200 7% Capital Outlay 2,535,000 82% Total Expenditures 3,771,200 76% Highlights: Personnel Costs increased by 1 FTE to fill 2011 vacant position for service at the new Library along with the filling of several temporary help vacancies. No positions are being added over the 2011 level at this time. Benefit changes for health, worker’s compensation & OPEB. Materials & Supplies increased due computer hardware replacements, building maintenance and supplies, and water/sewer expense for the new facility. Administrative Expenses increased due to increase in electricity and subscriptions and dues partially offset by a decrease in telephone for the new facility. Capital expenses include the continuation of the Regional Library project which the balance is funded by State grants, donations and reserves. 15

Parks & Recreation Personnel Costs 435,800 14% Materials & Supplies 61,400 3% Administrative Expenditures 203,700 8% Overall Operating Expenses 700,900 11% Capital Outlay 30,000 0% Total Expenditures 730,900 11% Highlights: Personnel Costs are reduced by 1 FTE, offset by an increase in temporary help. Materials & Supplies expenditures are decreased due to reduction in program expenses partially offset by an increase in computer hardware. Administrative Expenditures decreased due to reduction in electricity, heating oil and gas, advertisement, and contractual services. The contributions to the African American Festival and 4th of July Celebration were both reduced by 50%, $7,500 and $5,000 respectively. Capital Outlay is for roof replacement on building at Dover Park. 16

Police Personnel Costs 12,787,600 3% Materials & Supplies 377,100 1% Administrative Expenditures 649,900 13% Overall Operating Expenses 13,774,600 3% Capital Outlay 197,000 203% Total Expenditures 13,971,600 4% Highlights: Personnel Costs increase greater than reduction for vacation sell-back and retirement payout due F.O.P. 2% increase, overtime, worker’s compensation and OPEB. Education Assistance, Health Care, and Pension cost have decreased. Extra Duty cost have increased, however this increase related to the use of Extra Duty services and is offset by the Extra Duty revenue. Materials and Supplies increased due to computer hardware replacement and books offset by reductions in uniforms and allowances Administrative Expenses increased due to increases in training and conference, gasoline, auto repairs and radio repairs offset by reductions in insurance, heating oil/gas and consulting fees. Contractual services increased $21,000 for maintenance on downtown security cameras. Capital Outlay includes the purchase of 6 vehicles and police station main electric breaker and repairs to police station parking lots. 17

Tax Assessor Personnel Costs 167,900 2% Materials & Supplies 4,300 5% Administrative Expenditures 15,300 60% Overall Operating Expenses 187,500 12% Highlights: Personnel Costs are down due to a decrease in salaries and benefits offset by increases in worker’s compensation and OPEB. Materials and Supplies are decreased for reductions in office supplies, printing and duplication, books, and computer software partially offset by an increase for computer hardware expense. Administrative Expenses are decreased for legal expenses associated with tax appeals have been taken out of the budget as well as a decrease in contractual services. Tax appeals will be handled by the City Solicitor and budgeted in the City Manager’s budget. 18

Planning/Inspections & Community Development 19

Planning Personnel Costs 373,800 8% Materials & Supplies 17,800 55% Administrative Expenditures 18,700 181% Overall Operating Expenses 410,300 3% Highlights: Personnel Costs decreased due a reduction of staff for .5 FTE, the other half of the FTE expense is covered by CDBG as well as some of the benefits. Materials & Supplies expenditures increased cost of materials for the NPDES permit offset by decreases for computer software and hardware purchases. The Director also zeroed out other Divisions office supplies and increased this budget to cover the Department. Administrative expenses reflect increased subscriptions and dues, training and conference and contractual services. 20

Inspections & Permitting Personnel Costs 424,000 0% Materials & Supplies 5,700 53% Administrative Expenditures 162,500 42% Overall Operating Expenses 592,200 7% Highlights: Personnel Costs decreased less than 1 % due to a decrease in salaries, benefits and health insurance offset by an increase in worker’s compensation and OPEB. Materials & Supplies are decreased for office supplies, printing and duplicating, and small tools offset by an increase in computer hardware purchases. Administrative Expenses are increased due to a $50,000 increase in demolitions. 21

Code Enforcement Personnel Costs 268,000 3% Materials & Supplies 15,800 12% Administrative Expenditures 9,300 15% Overall Operating Expenses 293,100 2% Personnel Costs increased due to a reduction in salary expenses offset by increases in health insurance (plan changes), worker’s compensation, educational assistance, and OPEB. Materials & Supplies decreased due to a reduction in furniture and fixtures, office supplies, printing and duplicating, and photographic offset by an increase in program expenses. Administrative Expenditures increased due to fleet gasoline. 22

Life Safety Personnel Costs 209,500 1% Materials & Supplies 10,900 47% Administrative Expenditures 249,500 14% Overall Operating Expenses 469,900 5% Highlights: Personnel Costs reflect a slight increase for benefits. Materials & Supplies are decreased due to a reduction in program supplies, furniture and fixtures, printing and duplicating partially offset by an increase in computer hardware. Administrative Expenses are increased due to an increase in contractual services for ambulance services based upon actual figures from prior year. Fleet gasoline is also increased. 23

Community Development Personnel Costs 47,071 7% Materials & Supplies - 100% Administrative Expenditures - 100% Overall Operating Budget 47,071 2% Capital Outlay 188,300 27% Total Expenditures 235,371 25% Highlights: Personnel Costs decreased due to reduced program coverage by staff and shifted to Planning. Materials & Supplies and Administrative Expenses have moved to the planning departments budget. Capital Outlay decreased due to decrease in CDBG funding. 24

Economic Development Personnel Costs 46,500 74% Materials & Supplies 0 0% Administrative Expenditures 92,000 116% Overall Operating Expenses 138,500 3% Highlights: Personnel Costs and Materials and Supplies decrease attributed to elimination of program effective 10/1/12. Administrative Expenses increasing to provide for contributions to Kent County Economic Development $18,000 and Downtown Dover Partnership $60,000. Kent County Tourism receives $11,000 which is being maintained in this budget. If the elimination of the program is approved, these contributions will be moved back to the City Manager/Mayor’s budget. 25

Public Works 26

Public Works Admin Personnel Costs 436,700 7% Materials & Supplies 19,100 61% Administrative Expenditures 12,800 23% Overall Operating Expenses 468,600 1% Highlights: Personnel Costs increased due the transfer of 1 FTE from the Central Services Division. Materials & Supplies are decreased due to a reduction of small tools, the prior year included a purchase of $42,276 upgraded radios for the public services divisions. This purchase was related to new FCC regulations, however we are evaluating the current radios for upgrading rather than purchasing all new radios. The Computer Hardware budget increased. Administrative Expenses decreased due to reductions in telephone, subscriptions and dues, training and conference, and contractual services. 27

Facilities Management Personnel Costs 542,600 33% Materials & Supplies 28,200 4% Administrative Expenditures 108,000 5% Overall Operating Expenses 678,800 29% Capital Outlay 381,000 100%↑ Total Expenditures 1,059,800 11% Highlights: Personnel Costs decreased due to salary and benefit reduction of 3 FTE’s and 1 Temp. Materials and Supplies are about the same as last year. There were decreases to uniforms and security and safety materials. Administrative Expenditures decreased, electricity was decreased to reflect historical need. Capital Outlay includes a Fire Suppression System (financed by bank loan) to bring City Hall back to within city code and an Emergency Generator for City Hall (Grant). 28

Fleet Maintenance Personnel Costs 411,500 5% Materials & Supplies 297,400 1% Administrative Expenditures 3,800 10% Overall Operating Expenses 712,700 2% Highlights: Personnel Costs are up due to Overtime, Health Insurance, Worker’s compensation and OPEB. Materials and Supplies decreased due to a decrease in small tools. Administrative Expenses increased due to telephone and training and conference. 29

Grounds Personnel Costs 835,000 3% Materials & Supplies 60,800 7% Administrative Expenditures 97,500 4% Overall Operating Expenses 993,300 1% Capital Outlay 112,000 100% Total Expenditures 1,105,300 13% Highlights: Personnel Costs increased due to worker’s compensation and OPEB offset by a decrease in health insurance. Materials & Supplies decreased due to reduction of program supplies. Administrative Expenditures decreased in agency billing – temp help. Capital expenses includes a new dump truck and mower. 30

Sanitation Personnel Costs 627,900 18% Materials & Supplies 31,400 74% Administrative Expenditures 1,481,400 3% Overall Operating Expenses 2,140,700 11% Capital Outlay 150,000 21% Total Expenditures 2,290,700 9% Highlights: Personnel Costs decreased due to reduction of staff by 2 FTE’s. Materials & Supplies decreased due to reduction of office supplies, printing and duplicating, program expenses and city building maintenance supplies. The FY12 Budget was amended for the Universal Recycling Grant as a non-recurring item. Administrative Expenses are decreased due to reduced landfill tonnage offset by an increase in gasoline. Capital spending increase is related to the replacement of one automated trash truck dump body($150,000). 31

Streets Personnel Costs 578,300 2% Materials & Supplies 100,200 5% Administrative Expenditures 78,200 9% Overall Operating Expenses 756,700 3% Capital Outlay 2,024,000 2% Total Expenditures 2,780,700 1% Highlights: Personnel costs are down due to reduction of staff by 1 FTE offset by increases in workers compensation and OPEB. Materials and supplies are decreased due to decreases in sand and salt and city building maintenance supplies. Administrative expenses are decreased due to a reduction of environmental expense and agency billing – temp help. Capital Outlay increased due to budgeting for a salt storage shed , concrete construction & replacement program and Garrison Farm Improvements. 32

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE MAYOR 110-3200-519 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 45,111 45,000 45,000 45,000 10-14 FICA TAXES 3,515 3,657 3,657 3,400 10-15 HEALTH INSURANCE 7,474 7,518 7,518 6,400 10-16 L I D INSURANCE 337 338 338 300 10-17 WORKERS COMPENSATION 235 - - 200 PERSONNEL COSTS 56,672 56,513 56,513 55,300 20-22 OFFICE SUPPLIES 126 100 100 100 20-23 PRINTING AND DUPLICATING 1,212 200 200 200 20-38 COMPUTER HARDWARE - 1,300 1,300 - MATERIALS & SUPPLIES 1,338 1,600 1,600 300 30-21 TELEPHONE/FAX 1,261 1,666 1,666 1,300 30-25 ADVERTISEMENT 1,351 2,500 2,500 1,000 30-27 SUBSCRIPTIONS AND DUES 4,670 2,575 2,575 5,200 30-28 TRAINING/CONF/FOOD/TRAVEL 3,568 3,000 3,000 6,000 30-31 CONTRACTUAL SERVICES 5,468 - - - 30-35 COMMUNITY RELATIONS EXP 5,047 7,000 7,000 7,000 30-37 OTHER EXPENSES 4,954 5,000 5,000 5,000 30-62 GASOLINE 1,280 1,200 1,200 1,200 30-63 AUTO REPAIRS/MAINTENANCE 63 100 100 100 ADMINISTRATIVE EXPENDITURES 27,662 23,041 23,041 26,800 40-22 AUTOMOBILES - PURCHASE 20,698 - - - 40-25 OTHER EQUIP - PURCHASE 31,500 - - - CAPITAL OUTLAY 52,198 - - - TOTAL EXPENDITURES 137,870 81,154 81,154 82,400 REVENUES GENERAL FUND 85,672 81,154 81,154 82,400 GOVERNMENTAL CAPITAL PROJECTS FUND 52,198 - - - PERSONNEL FULL-TIME EQUIVALENTS 1.0 1.0 1.0 1.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE City Council Fiscal Year 2013 Organization Chart CITIZENS OF DOVER MAYOR AND COUNCIL AT-LARGE/COUNCIL PRESIDENT THOMAS J. LEARY 1ST DISTRICT 2ND DISTRICT COUNCILMAN COUNCILMAN WILLIAM F. HARE JAMES L. HUTCHISON, SR. COUNCILMAN COUNCILWOMAN ADAM PERZA BEVERLY C. WILLIAMS 3RD DISTRICT 4TH DISTRICT COUNCILMAN COUNCILMAN DAVID L. BONAR DAVID L. ANDERSON COUNCILMAN COUNCILWOMAN SEAN M. LYNN SOPHIA R. RUSSELL

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE CITY COUNCIL 110-1200-512 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-13 TEMPORARY HELP 77,088 84,270 84,270 84,300 10-14 FICA TAXES 5,886 6,485 6,485 6,400 10-17 WORKERS COMPENSATION 406 - - 400 PERSONNEL COSTS 83,380 90,755 90,755 91,100 20-22 OFFICE SUPPLIES 36 200 200 100 20-23 PRINTING AND DUPLICATING 1,431 450 450 300 20-24 PHOTOGRAPHIC - 50 50 - 20-37 COMPUTER SOFTWARE - 80 80 - 20-38 COMPUTER HARDWARE 7,569 6,500 6,500 - MATERIALS & SUPPLIES 9,036 7,280 7,280 400 30-21 TELEPHONE/FAX 234 250 250 300 30-27 SUBSCRIPTIONS AND DUES 10,989 10,989 10,989 11,000 30-28 TRAINING/CONF/FOOD/TRAVEL 8,644 6,425 6,425 6,400 30-35 COMMUNITY RELATIONS EXP 1,997 2,000 2,000 2,000 30-37 OTHER EXPENSES 235 1,000 1,000 1,000 30-92 HRC-OFFICE SUPPLIES 863 2,000 2,000 2,000 ADMINISTRATIVE EXPENDITURES 22,962 22,664 22,664 22,700 TOTAL EXPENDITURES 115,378 120,699 120,699 114,200 REVENUES GENERAL FUND 115,378 120,699 120,699 114,200 PERSONNEL FULL-TIME EQUIVALENTS - - - - PP/TEMP/COUNCIL 17.0 17.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE CITY MANAGER 110-2100-515 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 348,336 349,865 349,865 212,000 10-14 FICA TAXES 25,230 20,384 20,384 16,200 10-15 HEALTH INSURANCE 40,738 54,250 54,250 22,500 10-16 L I D INSURANCE 2,200 2,257 2,257 1,300 10-17 WORKERS COMPENSATION 1,817 - - 1,100 10-19 PENSION 19,028 20,285 20,285 11,600 10-20 OPEB - 23,691 23,691 16,800 PERSONNEL COSTS 437,349 470,732 470,732 281,500 20-22 OFFICE SUPPLIES 886 700 700 700 20-23 PRINTING AND DUPLICATING 18,228 21,500 21,500 14,100 20-26 PROGRAM EXPENSES/SUPPLIES 4,024 - - - 20-31 BOOKS 23 200 200 - 20-37 COMPUTER SOFTWARE 48 420 420 200 20-38 COMPUTER HARDWARE - 2,775 2,775 - MATERIALS & SUPPLIES 23,209 25,595 25,595 15,000 30-21 TELEPHONE/FAX 1,520 1,500 1,500 700 30-27 SUBSCRIPTIONS AND DUES 2,093 900 900 1,300 30-28 TRAINING/CONF/FOOD/TRAVEL 2,737 1,000 1,000 700 30-31 CONTRACTUAL SERVICES 550 550 550 - 30-32 LEGAL EXPENSES 105,046 120,000 120,000 120,000 30-35 COMMUNITY RELATIONS EXP 473 500 500 200 30-61 OFF EQUIP/REPAIRS & MAINT 612 500 500 600 30-62 GASOLINE 848 850 850 - ADMINISTRATIVE EXPENDITURES 113,879 125,800 125,800 123,500 TOTAL EXPENDITURES 574,437 622,127 622,127 420,000 REVENUES GENERAL FUND 574,437 622,127 622,127 420,000 PERSONNEL FULL-TIME EQUIVALENTS 5.0 5.0 5.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE CITY CLERK 110-1100-511 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 175,333 179,688 179,688 214,700 10-12 OVERTIME - - - - 10-14 FICA TAXES 12,908 13,140 13,140 16,300 10-15 HEALTH INSURANCE 38,917 41,580 41,580 38,300 10-16 L I D INSURANCE 1,194 1,320 1,320 1,500 10-17 WORKERS COMPENSATION 915 - - 1,100 10-18 EDUCATIONAL ASSISTANCE 179 - - - 10-19 PENSION 6,210 7,157 7,157 9,100 10-20 OPEB - 11,859 11,859 18,700 PERSONNEL COSTS 235,656 254,744 254,744 299,700 20-22 OFFICE SUPPLIES 2,178 2,900 2,900 2,400 20-23 PRINTING AND DUPLICATING 4,892 4,000 4,000 4,000 20-37 COMPUTER SOFTWARE 211 - - 300 20-38 COMPUTER HARDWARE 996 3,943 3,943 - MATERIALS & SUPPLIES 8,277 10,843 10,843 6,700 30-21 TELEPHONE/FAX 569 646 646 600 30-25 ADVERTISEMENT 774 800 800 800 30-27 SUBSCRIPTIONS AND DUES 711 350 350 800 30-28 TRAINING/CONF/FOOD/TRAVEL 1,051 1,310 1,310 600 30-31 CONTRACTUAL SERVICES 13,710 16,900 16,900 17,000 30-34 ELECTION RELATED EXPENSES 7,338 10,000 10,000 10,000 30-61 OFF EQUIP/REPAIRS & MAINT 263 800 800 800 ADMINISTRATIVE EXPENDITURES 24,416 30,806 30,806 30,600 TOTAL EXPENDITURES 268,349 296,393 296,393 337,000 REVENUES GENERAL FUND 268,349 296,393 296,393 337,000 PERSONNEL FULL-TIME EQUIVALENTS 4.0 4.0 4.0 4.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE CUSTOMER SERVICES 110-2900-529 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 564,721 551,367 551,367 543,300 10-14 FICA TAXES 42,487 41,965 41,965 41,500 10-15 HEALTH INSURANCE 133,955 122,207 122,207 101,500 10-16 L I D INSURANCE 3,465 3,528 3,528 3,400 10-17 WORKERS COMPENSATION 2,949 - - 2,900 10-18 EDUCATIONAL ASSISTANCE 2,052 2,700 2,700 3,800 10-19 PENSION 25,865 28,081 28,081 27,000 10-20 OPEB - 38,359 38,359 47,300 PERSONNEL COSTS 775,494 788,207 788,207 770,700 20-22 OFFICE SUPPLIES 16,804 13,900 13,900 13,900 20-23 PRINTING AND DUPLICATING 23,693 21,000 21,000 19,000 20-38 COMPUTER HARDWARE 4,461 5,925 5,925 5,900 20-46 CITY BLDG MAINT SUPPLIES - 300 300 - MATERIALS & SUPPLIES 44,958 41,125 41,125 38,800 30-21 TELEPHONE/FAX 3,333 3,400 3,400 3,400 30-25 ADVERTISEMENT 378 400 400 400 30-31 CONTRACTUAL SERVICES 7,536 74,980 74,980 67,900 30-61 OFF EQUIP/REPAIRS & MAINT 20,247 20,000 20,000 20,000 ADMINISTRATIVE EXPENDITURES 31,494 98,780 98,780 91,700 TOTAL EXPENDITURES 851,946 928,112 928,112 901,200 REVENUES GENERAL FUND 851,946 928,112 928,112 901,200 PERSONNEL FULL-TIME EQUIVALENTS 15.0 14.0 14.0 14.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE METER READING 480/487-8500-565 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 123,061 121,323 121,323 124,700 10-12 OVERTIME 5,694 12,250 12,250 6,000 10-14 FICA TAXES 9,658 10,196 10,196 9,600 10-15 HEALTH INSURANCE 27,763 27,928 27,928 25,800 10-16 L I D INSURANCE 750 754 754 800 10-17 WORKERS COMPENSATION 4,980 - - 3,700 10-19 PENSION 5,889 6,370 6,370 6,200 10-20 OPEB - 6,358 6,358 7,700 PERSONNEL COSTS 177,795 185,179 185,179 184,500 20-29 UNIFORMS/UNIFORM ALLOW 3,298 4,014 4,014 4,000 20-32 SECURITY/SAFETY MATERIALS 312 285 285 300 20-33 SMALL TOOLS 816 600 600 - 20-38 COMPUTER HARDWARE - 800 800 1,600 20-55 METER READING SUPPLIES 4,326 4,534 4,534 4,500 MATERIALS & SUPPLIES 8,752 10,233 10,233 10,400 30-21 TELEPHONE/FAX 1,492 1,596 1,596 1,600 30-62 GASOLINE 9,627 11,640 11,640 10,000 30-66 OTHER EQUIP REPAIRS/MAINT 6,477 5,810 5,810 5,800 30-67 RADIO REPAIRS/MAINTENANCE 209 750 750 200 ADMINISTRATIVE EXPENDITURES 17,805 19,796 19,796 17,600 40-25 OTHER EQUIP - PURCHASE - 20,000 20,000 - CAPITAL OUTLAY - 20,000 20,000 - TOTAL EXPENDITURES 204,352 235,208 235,208 212,500 REVENUES ELECTRIC FUND 204,352 215,208 215,208 212,500 ELECTRIC I & E FUND - 20,000 20,000 - PERSONNEL FULL-TIME EQUIVALENTS 3.0 3.0 3.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE FINANCE 110-2300-517 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 450,787 490,782 490,782 481,500 10-12 OVERTIME 3,179 - - 1,800 10-13 TEMPORARY HELP 29,881 5,134 5,134 - 10-14 FICA TAXES 34,596 33,081 33,081 37,000 10-15 HEALTH INSURANCE 79,103 69,367 69,367 84,600 10-16 L I D INSURANCE 2,607 2,770 2,770 2,900 10-17 WORKERS COMPENSATION 2,450 - - 2,600 10-19 PENSION 21,697 23,683 23,683 26,700 10-20 OPEB - 32,391 32,391 41,900 PERSONNEL COSTS 624,300 657,208 657,208 679,000 20-22 OFFICE SUPPLIES 1,144 2,000 2,000 1,600 20-23 PRINTING AND DUPLICATING 6,612 8,000 8,000 7,500 20-38 COMPUTER HARDWARE 1,370 - - 4,600 MATERIALS & SUPPLIES 9,126 10,000 10,000 13,700 30-21 TELEPHONE/FAX 1,579 2,000 2,000 1,400 30-22 POSTAGE 57 100 100 - 30-25 ADVERTISEMENT 257 250 250 300 30-27 SUBSCRIPTIONS AND DUES 1,524 755 755 1,300 30-28 TRAINING/CONF/FOOD/TRAVEL 4,990 2,500 2,500 5,000 30-31 CONTRACTUAL SERVICES 152,649 164,070 164,070 166,600 30-37 OTHER EXPENSES 271 300 300 300 30-61 OFF EQUIP/REPAIRS & MAINT 3,432 15,100 15,100 11,900 ADMINISTRATIVE EXPENDITURES 164,759 185,075 185,075 186,800 TOTAL EXPENDITURES 798,185 852,283 852,283 879,500 REVENUES GENERAL FUND 798,185 852,283 852,283 879,500 PERSONNEL FULL-TIME EQUIVALENTS 8.0 8.0 8.0 8.0 PP/TEMP - 1.0 1.0 -

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE PROCUREMENT & INVENTORY 110-2700-571 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 252,336 277,693 277,693 182,800 10-12 OVERTIME 322 700 700 400 10-14 FICA TAXES 19,199 21,220 21,220 13,600 10-15 HEALTH INSURANCE 45,449 48,796 48,796 27,800 10-16 L I D INSURANCE 1,491 1,595 1,595 1,100 10-17 WORKERS COMPENSATION 6,214 - - 4,900 10-19 PENSION 12,202 13,599 13,599 9,200 10-20 OPEB - 18,328 18,328 15,400 PERSONNEL COSTS 337,213 381,931 381,931 255,200 20-21 FURNITURE/FIXTURES - 600 600 - 20-22 OFFICE SUPPLIES 1,489 2,080 2,080 2,000 20-23 PRINTING AND DUPLICATING 3,799 3,800 3,800 3,800 20-25 CUSTODIAL 944 900 900 4,500 20-26 PROGRAM EXPENSES/SUPPLIES 1,636 2,000 2,000 2,000 20-29 UNIFORMS/UNIFORM ALLOW 938 1,115 1,115 800 20-32 SECURITY/SAFETY MATERIALS 633 630 - 500 20-33 SMALL TOOLS - - - 400 20-37 COMPUTER SOFTWARE - 75 75 - 20-38 COMPUTER HARDWARE - 1,825 1,825 9,200 20-46 CITY BLDG MAINT SUPPLIES 2,638 4,430 2,830 4,500 20-58 WATER/SEWER 4,006 3,000 3,000 5,500 MATERIALS & SUPPLIES 16,083 20,455 18,225 33,200 30-21 TELEPHONE/FAX 1,950 2,200 2,200 1,900 30-22 POSTAGE 164,967 160,000 160,000 160,000 30-23 ELECTRICITY 88,384 86,500 86,500 86,500 30-24 HEATING OIL/GAS 268 200 200 200 30-25 ADVERTISEMENT 2,790 3,000 3,000 2,000 30-27 SUBSCRIPTIONS AND DUES 821 310 510 600 30-28 TRAINING/CONF/FOOD/TRAVEL 15 1,000 298 1,000 30-31 CONTRACTUAL SERVICES 5,900 20,993 20,993 18,800 30-43 ENVIRONMENTAL EXPENSES 1,574 2,850 2,850 2,900 30-61 OFF EQUIP/REPAIRS & MAINT 9,085 8,900 8,700 9,300 30-62 GASOLINE 2,964 3,500 3,500 3,000 30-66 OTHER EQUIP REPAIRS/MAINT 7,445 1,000 3,932 1,700 30-67 RADIO REPAIRS/MAINTENANCE 326 500 500 600 ADMINISTRATIVE EXPENDITURES 286,489 290,953 293,183 288,500 TOTAL EXPENDITURES 639,785 693,339 693,339 576,900 REVENUES GENERAL FUND 639,785 693,339 693,339 576,900 PERSONNEL FULL-TIME EQUIVALENTS 6.0 6.0 6.0 4.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE FIRE DEPARTMENT 110-1400-514 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 244,801 258,052 258,052 251,200 10-12 OVERTIME 42,260 39,148 39,148 44,900 10-13 TEMPORARY HELP 3,709 3,700 3,700 12,800 10-14 FICA TAXES 22,124 25,250 25,250 23,300 10-15 HEALTH INSURANCE 43,589 43,893 43,893 37,100 10-16 L I D INSURANCE 1,395 1,401 1,401 1,400 10-17 WORKERS COMPENSATION 1,518 - - 1,600 10-19 PENSION 12,753 12,978 12,978 12,600 10-20 OPEB - 19,011 19,011 21,500 PERSONNEL COSTS 372,149 403,433 403,433 406,400 20-32 SECURITY/SAFETY MATERIALS 595 - - 600 MATERIALS & SUPPLIES 595 - - 600 30-31 CONTRACTUAL SERVICES 281,292 281,292 281,292 281,300 ADMINISTRATIVE EXPENDITURES 281,292 281,292 281,292 281,300 40-25 OTHER EQUIP - PURCHASE - 28,000 40,900 - 40-31 CONSTRUCTION - PURCHASE 223,400 216,820 216,820 238,500 CAPITAL OUTLAY 223,400 244,820 257,720 238,500 TOTAL EXPENDITURES 877,436 929,545 942,445 926,800 REVENUES GENERAL FUND 654,036 684,725 684,725 688,300 GOVERNMENTAL CAPITAL PROJECTS FUND 223,400 244,820 257,720 238,500 PERSONNEL FULL-TIME EQUIVALENTS 6.0 6.0 6.0 6.0 PP/TEMP 1.0 1.0 1.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE HUMAN RESOURCES 110-3100-518 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 185,256 217,400 217,400 169,600 10-14 FICA TAXES 13,489 15,668 15,668 12,900 10-15 HEALTH INSURANCE 34,393 34,702 34,702 31,700 10-16 L I D INSURANCE 1,232 1,246 1,246 1,200 10-17 WORKERS COMPENSATION 972 - - 900 10-19 PENSION 7,387 8,693 8,693 9,100 10-20 OPEB - 14,349 14,349 14,800 PERSONNEL COSTS 242,729 292,058 292,058 240,200 20-22 OFFICE SUPPLIES 799 1,590 1,590 1,100 20-23 PRINTING AND DUPLICATING 4,342 4,500 4,500 5,000 20-26 PROGRAM EXPENSES/SUPPLIES 838 1,400 1,400 900 20-28 MEDICAL SUP & PHYSICALS 17,903 20,873 20,873 20,000 20-32 SECURITY/SAFETY MATERIALS 10,016 11,300 11,300 1,400 20-38 COMPUTER HARDWARE 2,252 800 800 2,400 20-48 PERSONNEL RELATED SUP 12,897 16,500 16,500 14,000 MATERIALS & SUPPLIES 49,047 56,963 56,963 44,800 30-21 TELEPHONE/FAX 463 600 600 600 30-25 ADVERTISEMENT 5,917 6,000 6,000 4,500 30-27 SUBSCRIPTIONS AND DUES 1,071 750 750 800 30-28 TRAINING/CONF/FOOD/TRAVEL 581 787 787 700 30-29 CONSULTING FEES - 4,500 4,500 3,000 30-31 CONTRACTUAL SERVICES 1,200 1,600 1,600 1,600 30-39 IN-HOUSE TRAINING 670 1,000 1,000 1,000 30-41 UNEMPLOYMENT COMP EXPENSE 29,549 20,000 20,000 20,000 30-61 OFF EQUIP/REPAIRS & MAINT - 500 500 2,500 ADMINISTRATIVE EXPENDITURES 39,451 35,737 35,737 34,700 TOTAL EXPENDITURES 331,227 384,758 384,758 319,700 REVENUES GENERAL FUND 331,227 384,758 384,758 319,700 PERSONNEL FULL-TIME EQUIVALENTS 3.0 3.0 3.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE INFORMATION TECHNOLOGY 110-2200-516 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 295,926 275,247 275,247 265,400 10-14 FICA TAXES 22,337 20,355 20,355 20,300 10-15 HEALTH INSURANCE 55,398 49,868 49,868 46,100 10-16 L I D INSURANCE 2,124 2,050 2,050 1,900 10-17 WORKERS COMPENSATION 1,516 - - 1,400 10-19 PENSION 13,408 13,514 13,514 13,000 10-20 OPEB - 18,167 18,167 23,100 PERSONNEL COSTS 390,709 379,201 379,201 371,200 20-21 FURNITURE/FIXTURES 238 200 200 - 20-22 OFFICE SUPPLIES 1,081 1,125 320 1,100 20-31 BOOKS - 50 - - 20-34 DATA PROCESSING SUPPLIES 954 1,600 1,198 1,500 20-37 COMPUTER SOFTWARE 64,405 64,406 67,502 67,100 20-38 COMPUTER HARDWARE 22,238 25,856 21,244 26,700 MATERIALS & SUPPLIES 88,916 93,237 90,464 96,400 30-21 TELEPHONE/FAX 4,066 2,100 2,100 2,900 30-27 SUBSCRIPTIONS AND DUES 195 105 105 200 30-28 TRAINING/CONF/FOOD/TRAVEL - 685 685 1,400 30-31 CONTRACTUAL SERVICES 29,723 61,155 82,704 35,300 30-39 IN-HOUSE TRAINING 9,839 9,050 9,050 6,100 30-61 OFF EQUIP/REPAIRS & MAINT 150,775 140,238 127,462 129,100 30-62 GASOLINE 92 100 100 100 ADMINISTRATIVE EXPENDITURES 194,690 213,433 222,206 175,100 40-25 OTHER EQUIP - PURCHASE 6,680 - - - 40-28 COMPUTER HARDWARE/CAPITAL - 6,400 5,400 57,000 CAPITAL OUTLAY 6,680 6,400 5,400 57,000 TOTAL EXPENDITURES 680,995 692,271 697,271 699,700 REVENUES GENERAL FUND 674,315 685,871 691,871 642,700 GOVERNMENTAL CAPITAL PROJECTS FUND 6,680 6,400 5,400 42,000 DEMA GRANT - - - 15,000 PERSONNEL FULL-TIME EQUIVALENTS 7.0 5.0 5.0 5.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE RECREATION 110-1500-525 2010-2011 2011-2012 2011-2012 2012-2013 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET GRANTS BUDGET 10-11 SALARIES 345,615 353,025 353,025 209,000 - 10-13 TEMPORARY HELP 20,222 26,049 26,049 115,300 30,400 10-14 FICA TAXES 27,309 27,516 27,516 24,700 2,400 10-15 HEALTH INSURANCE 60,964 56,556 56,556 53,300 - 10-16 L I D INSURANCE 2,061 2,076 2,076 1,600 - 10-17 WORKERS COMPENSATION 2,287 - - 1,700 200 10-19 PENSION 15,479 16,556 16,556 12,000 - 10-20 OPEB - 23,959 23,959 18,200 - PERSONNEL COSTS 473,937 505,737 505,737 435,800 33,000 20-22 OFFICE SUPPLIES 2,864 2,800 2,800 2,500 - 20-23 PRINTING AND DUPLICATING 1,884 2,500 2,384 2,300 - 20-26 PROGRAM EXPENSES/SUPPLIES 36,185 46,275 46,275 42,500 55,100 20-28 MEDICAL SUP & PHYSICALS 246 250 366 300 - 20-29 UNIFORMS/UNIFORM ALLOW - 200 200 - - 20-32 SECURITY/SAFETY MATERIALS 1,288 1,307 1,307 1,300 - 20-37 COMPUTER SOFTWARE 2,100 2,255 2,255 2,300 - 20-38 COMPUTER HARDWARE 2,739 1,300 1,300 3,700 - 20-46 CITY BLDG MAINT SUPPLIES 7,969 5,500 5,500 5,500 - 20-58 WATER/SEWER 1,003 1,000 1,000 1,000 - MATERIALS & SUPPLIES 56,278 63,387 63,387 61,400 55,100 30-21 TELEPHONE/FAX 2,608 2,500 2,500 2,500 - 30-23 ELECTRICITY 76,520 83,000 83,000 78,000 - 30-24 HEATING OIL/GAS 5,568 6,500 6,500 6,000 - 30-25 ADVERTISEMENT - 100 100 - - 30-27 SUBSCRIPTIONS AND DUES 340 235 235 300 - 30-28 TRAINING/CONF/FOOD/TRAVEL 790 1,000 1,000 2,000 - 30-31 CONTRACTUAL SERVICES 176,991 124,355 124,355 111,900 31,800 30-61 OFF EQUIP/REPAIRS & MAINT 1,406 1,395 1,395 1,400 - 30-62 GASOLINE 910 950 950 1,100 - 30-67 RADIO REPAIRS/MAINTENANCE 326 542 542 500 - ADMINISTRATIVE EXPENDITURES 265,459 220,577 220,577 203,700 31,800 40-31 CONSTRUCTION - PURCHASE 38,453 30,000 30,000 30,000 - CAPITAL OUTLAY 38,453 30,000 30,000 30,000 - TOTAL EXPENDITURES 834,127 819,701 819,701 730,900 119,900 REVENUES GENERAL FUND 795,674 789,701 789,701 700,900 - GOVERNMENTAL CAPITAL PROJECTS FUND 38,453 30,000 30,000 30,000 - GRANT FUNDS - - - - 119,900 PERSONNEL FULL-TIME EQUIVALENTS 8.0 6.0 6.0 6.0 - PP/TEMP 10.0 10.0 10.0 12.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE LIBRARY 110-1500-523 2010-2011 2011-2012 2011-2012 2012-2013 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET GRANT BUDGET 10-11 SALARIES 687,422 724,927 724,927 585,300 - 10-12 OVERTIME 3,766 3,600 3,600 3,500 - 10-13 TEMPORARY HELP - - - 167,200 - 10-14 FICA TAXES 51,392 55,254 55,254 57,700 - 10-15 HEALTH INSURANCE 94,805 108,421 108,421 98,200 - 10-16 L I D INSURANCE 3,527 3,736 3,736 3,800 - 10-17 WORKERS COMPENSATION 3,589 - - 4,000 - 10-19 PENSION 25,252 30,221 30,221 29,600 - 10-20 OPEB - 49,163 49,163 48,500 - PERSONNEL COSTS 869,753 975,322 975,322 997,800 - 20-21 FURNITURE/FIXTURES - - - - 52,300 20-22 OFFICE SUPPLIES 2,246 2,300 2,300 1,500 15,000 20-23 PRINTING AND DUPLICATING 2,083 2,100 2,100 2,100 9,500 20-26 PROGRAM EXPENSES/SUPPLIES 3,232 3,252 3,252 3,200 15,300 20-31 BOOKS 53,920 54,026 54,026 54,000 95,000 20-32 SECURITY/SAFETY MATERIALS 288 288 288 300 - 20-37 COMPUTER SOFTWARE 370 1,407 1,407 1,000 - 20-38 COMPUTER HARDWARE 3,303 7,500 7,500 14,000 - 20-46 CITY BLDG MAINT SUPPLIES 10,538 14,550 14,550 20,000 - 20-47 AUDIO VISUAL SUPPLIES 1,053 1,054 1,054 1,100 65,000 20-58 WATER/SEWER 2,480 1,800 1,800 5,400 - MATERIALS & SUPPLIES 79,513 88,277 88,277 102,600 252,100 30-21 TELEPHONE/FAX 2,817 19,700 19,700 6,500 - 30-22 POSTAGE 42 50 50 - 200 30-23 ELECTRICITY 34,157 35,000 35,000 85,000 - 30-24 HEATING OIL/GAS 5,476 5,000 5,000 5,000 - 30-27 SUBSCRIPTIONS AND DUES 15,888 7,335 7,335 11,000 - 30-28 TRAINING/CONF/FOOD/TRAVEL 231 195 195 200 4,000 30-31 CONTRACTUAL SERVICES 23,972 25,608 25,608 25,600 - 30-61 OFF EQUIP/REPAIRS & MAINT 1,300 2,600 2,600 2,500 4,200 ADMINISTRATIVE EXPENDITURES 83,883 95,488 95,488 135,800 8,400 40-28 COMPUTER HARDWARE - - - - 20,000 40-31 CONSTRUCTION - PURCHASE 2,829,484 11,195,009 14,298,890 2,535,000 - CAPITAL OUTLAY 2,829,484 11,195,009 14,298,890 2,535,000 20,000 TOTAL EXPENDITURES 3,862,633 12,354,096 15,457,977 3,771,200 280,500 REVENUES GENERAL FUND 1,033,149 1,159,087 1,159,087 1,236,200 260,500 GOVERNMENTAL CAPITAL PROJECTS FUND 2,829,484 11,195,009 14,298,890 2,535,000 20,000 PERSONNEL FULL-TIME EQUIVALENTS 17.5 12.0 12.0 13.0 PP/TEMP 10.0 10.0 13.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE POLICE - ADMINISTRATION 110-1700-541 2010-2011 2011-2012 2011-2012 2012-2013 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET POLICE GRANTS 20-14 CI PETTY CASH DISBURSEMTS - 13,300 13,300 11,000 - 20-21 FURNITURE/FIXTURES 247 - - - - 20-22 OFFICE SUPPLIES 6,986 7,000 7,000 7,000 - 20-23 PRINTING AND DUPLICATING 15,529 14,000 14,000 14,000 - 20-24 PHOTOGRAPHIC 1,113 1,500 1,500 1,200 - 20-25 CUSTODIAL 4,300 4,200 4,200 4,200 - 20-26 PROGRAM EXPENSES/SUPPLIES 38,413 52,000 52,000 52,000 105,000 20-28 MEDICAL SUP & PHYSICALS 25,120 20,000 20,000 20,000 - 20-29 UNIFORMS/UNIFORM ALLOW 83,829 101,500 101,500 92,400 - 20-31 BOOKS 2,824 1,500 1,500 3,200 - 20-32 SECURITY/SAFETY MATERIALS 17,873 18,500 18,500 18,500 - 20-36 ANIMAL CARE EXPENSES 2,158 5,000 5,000 5,000 - 20-37 COMPUTER SOFTWARE 18,378 18,500 18,500 18,500 - 20-38 COMPUTER HARDWARE 73,200 43,350 43,350 56,100 30,000 20-46 CITY BLDG MAINT SUPPLIES 37,361 31,400 31,400 31,400 - 20-58 WATER/SEWER 3,247 2,100 2,100 2,600 - MATERIALS & SUPPLIES 330,578 333,850 333,850 337,100 135,000 30-21 TELEPHONE/FAX 50,892 55,000 55,000 55,000 15,000 30-22 POSTAGE 347 - - - - 30-23 ELECTRICITY 108,378 100,500 100,500 100,500 - 30-24 HEATING OIL/GAS 17,045 16,200 16,200 15,000 - 30-25 ADVERTISEMENT 3,830 2,100 2,100 2,100 - 30-26 INSURANCE - 2,500 11,819 2,500 - 30-27 SUBSCRIPTIONS AND DUES 4,318 2,250 2,250 4,000 - 30-28 TRAINING/CONF/FOOD/TRAVEL 23,908 12,000 12,000 23,300 17,000 30-29 CONSULTING FEES/AUDIT FEES 8,879 13,500 13,500 9,000 1,000 30-31 CONTRACTUAL SERVICES 34,163 32,400 32,400 53,400 218,000 30-61 OFF EQUIP/REPAIRS & MAINT 42,061 39,000 39,000 39,000 - 30-62 GASOLINE 171,807 150,000 150,000 190,000 - 30-63 AUTO REPAIRS/MAINTENANCE 155,954 124,000 124,000 136,900 - 30-67 RADIO REPAIRS/MAINTENANCE 15,325 15,700 15,700 16,700 - 30-68 RADIO EQUIPMENT/LEASE - 2,500 2,500 2,500 - 80-20 COPS GRANTS - - - - 55,000 80-41 FEDERAL FORFEITURE FUNDS - - - - 49,000 90-14 POLICE SPEC DONATION EXP 2,661 - - - - ADMINISTRATIVE EXPENDITURES 639,568 567,650 576,969 649,900 355,000 40-22 AUTOMOBILES - PURCHASE 229,330 65,000 65,000 137,900 - 40-25 OTHER EQUIP - PURCHASE - - - 33,800 - 40-28 COMPUTER HARDWARE PURCH 52,488 - - - - 40-31 CONSTRUCTION - PURCHASE 20,000 - - 25,300 - CAPITAL OUTLAY 301,818 65,000 65,000 197,000 - TOTAL EXPENDITURES 13,084,927 13,451,407 13,451,407 13,971,600 490,000 REVENUES GENERAL FUND 12,783,109 13,386,407 13,386,407 13,774,600 - GOVERNMENTAL CAPITAL PROJECTS FUND 301,818 65,000 65,000 197,000 - GRANT FUNDS - - - - 490,000 PERSONNEL FULL-TIME EQUIVALENTS 120.0 122.0 122.0 122.0 -

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE POLICE - CIVILIAN 110-1700-542 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 1,285,760 1,331,604 1,331,604 1,266,500 10-12 OVERTIME 53,246 45,000 45,000 55,000 10-14 FICA TAXES 101,515 103,283 103,283 99,300 10-15 HEALTH INSURANCE 232,645 253,576 253,576 230,400 10-16 L I D INSURANCE 7,350 7,787 7,787 7,200 10-17 WORKERS COMPENSATION 8,558 - - 9,200 10-18 EDUCATIONAL ASSISTANCE - - - 1,500 10-19 PENSION 54,634 62,569 62,569 58,600 10-20 OPEB - 93,060 93,060 104,000 PERSONNEL COSTS 1,743,708 1,896,879 1,896,879 1,831,700 POLICE - LAW ENFORCEMENT 110-1700-543 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 6,294,868 6,634,606 6,625,287 6,592,700 10-12 OVERTIME 482,449 450,000 450,000 500,000 10-14 FICA TAXES 508,106 555,149 555,149 487,600 10-15 HEALTH INSURANCE 984,442 1,034,118 1,034,118 944,300 10-16 L I D INSURANCE 25,158 26,042 26,042 26,600 10-17 WORKERS COMPENSATION 325,401 - - 320,300 10-18 EDUCATIONAL ASSISTANCE 37,994 40,000 40,000 6,300 10-19 PENSION 848,349 959,451 959,451 942,700 10-20 OPEB - 458,062 458,062 556,000 PERSONNEL COSTS 9,506,767 10,157,428 10,148,109 10,376,500 POLICE - EXTRA DUTY 110-1700-544 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 495,757 400,000 400,000 514,900 10-14 FICA TAXES 42,507 30,600 30,600 39,400 10-17 WORKERS COMPENSATION 24,224 - - 25,100 PERSONNEL COSTS 562,488 430,600 430,600 579,400

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE TAX ASSESSOR 110-1300-513 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 126,054 125,841 125,841 123,000 10-13 TEMPORARY HELP 747 - - - 10-14 FICA TAXES 9,562 10,304 10,304 9,400 10-15 HEALTH INSURANCE 17,992 18,144 18,144 16,200 10-16 L I D INSURANCE 962 973 973 1,000 10-17 WORKERS COMPENSATION 806 - - 700 10-19 PENSION 6,936 7,120 7,120 6,900 10-20 OPEB - 8,305 8,305 10,700 PERSONNEL COSTS 163,059 170,687 170,687 167,900 20-22 OFFICE SUPPLIES 2,442 2,988 2,988 2,500 20-23 PRINTING AND DUPLICATING 315 510 510 400 20-31 BOOKS - 200 200 - 20-37 COMPUTER SOFTWARE - 50 50 - 20-38 COMPUTER HARDWARE - 800 800 1,400 MATERIALS & SUPPLIES 2,757 4,548 4,548 4,300 30-21 TELEPHONE/FAX 1,072 1,105 1,105 1,100 30-25 ADVERTISEMENT 1,035 1,000 1,000 1,000 30-27 SUBSCRIPTIONS AND DUES 800 800 800 800 30-28 TRAINING/CONF/FOOD/TRAVEL 992 2,500 2,500 2,500 30-31 CONTRACTUAL SERVICES 8,175 11,700 11,700 8,900 30-32 LEGAL EXPENSES 91,934 20,000 20,000 - 30-61 OFF EQUIP/REPAIRS & MAINT - 175 175 300 30-62 GASOLINE 744 660 660 700 ADMINISTRATIVE EXPENDITURES 104,752 37,940 37,940 15,300 TOTAL EXPENDITURES 270,568 213,175 213,175 187,500 REVENUES GENERAL FUND 270,568 213,175 213,175 187,500 PERSONNEL FULL-TIME EQUIVALENTS 3.0 3.0 3.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE PLANNING 110-1600-533 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 289,966 289,188 289,188 258,900 10-12 OVERTIME 3,946 - - 1,800 10-13 TEMPORARY HELP 11,975 18,971 18,971 17,100 10-14 FICA TAXES 22,881 22,348 22,348 19,900 10-15 HEALTH INSURANCE 42,242 36,385 36,385 35,300 10-16 L I D INSURANCE 1,760 1,680 1,680 2,000 10-17 WORKERS COMPENSATION 1,897 - - 1,400 10-19 PENSION 16,751 16,911 16,911 14,900 10-20 OPEB - 19,183 19,183 22,500 PERSONNEL COSTS 391,418 404,666 404,666 373,800 20-22 OFFICE SUPPLIES 580 800 800 6,000 20-23 PRINTING AND DUPLICATING 2,529 4,500 4,500 11,000 20-24 PHOTOGRAPHIC - 200 200 - 20-31 BOOKS 645 750 750 800 20-37 COMPUTER SOFTWARE - 160 160 - 20-38 COMPUTER HARDWARE - 5,050 5,050 - MATERIALS & SUPPLIES 3,754 11,460 11,460 17,800 30-21 TELEPHONE/FAX 1,842 1,680 1,680 1,600 30-25 ADVERTISEMENT 1,292 2,000 2,000 2,000 30-27 SUBSCRIPTIONS AND DUES 1,947 1,475 1,475 2,300 30-28 TRAINING/CONF/FOOD/TRAVEL 1,675 1,500 1,500 2,800 30-29 CONSULTING FEES 1,400 - - - 30-31 CONTRACTUAL SERVICES - - - 10,000 ADMINISTRATIVE EXPENDITURES 8,156 6,655 6,655 18,700 TOTAL EXPENDITURES 403,328 422,781 422,781 410,300 REVENUES GENERAL FUND 403,328 422,781 422,781 410,300 CDBG - - - - PERSONNEL FULL-TIME EQUIVALENTS 5.0 5.0 5.0 4.5 PP/TEMP/COMMITTEES 14.0 14.0 14.0 14.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE LIFE SAFETY 110-1600-531 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 183,194 148,107 148,107 149,200 10-12 OVERTIME 6,859 8,000 6,900 7,000 10-14 FICA TAXES 14,511 11,991 11,991 11,400 10-15 HEALTH INSURANCE 22,474 22,717 22,717 19,100 10-16 L I D INSURANCE 977 839 839 800 10-17 WORKERS COMPENSATION 1,689 - - 1,600 10-19 PENSION 9,610 8,125 8,125 7,900 10-20 OPEB - 9,776 9,776 12,500 PERSONNEL COSTS 239,314 209,555 208,455 209,500 20-21 FURNITURE/FIXTURES - 125 125 - 20-22 OFFICE SUPPLIES 1,278 750 750 - 20-23 PRINTING AND DUPLICATING 943 750 750 - 20-26 PROGRAM EXPENSES/SUPPLIES - 9,500 9,500 500 20-29 UNIFORMS/UNIFORM ALLOW 1,017 900 900 1,000 20-31 BOOKS 293 500 500 300 20-32 SECURITY/SAFETY MATERIALS 19,229 10,000 7,500 5,000 20-33 SMALL TOOLS 310 200 200 200 20-37 COMPUTER SOFTWARE 237 80 80 100 20-38 COMPUTER HARDWARE 2,390 400 400 3,800 MATERIALS & SUPPLIES 25,697 23,205 20,705 10,900 30-21 TELEPHONE/FAX 4,318 3,526 3,526 2,600 30-27 SUBSCRIPTIONS AND DUES 1,425 500 500 1,000 30-28 TRAINING/CONF/FOOD/TRAVEL 1,346 1,000 3,500 1,000 30-31 CONTRACTUAL SERVICES 238,550 205,360 205,360 238,600 30-62 GASOLINE 5,779 5,000 5,000 6,000 30-63 AUTO REPAIRS/MAINTENANCE 307 800 800 - 30-67 RADIO REPAIRS/MAINTENANCE 1,072 280 280 300 ADMINISTRATIVE EXPENDITURES 252,797 216,466 218,966 249,500 TOTAL EXPENDITURES 517,808 449,226 448,126 469,900 REVENUES GENERAL FUND 517,808 449,226 448,126 469,900 PERSONNEL FULL-TIME EQUIVALENTS 4.0 3.0 3.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE CODE ENFORCEMENT 110-1600-532 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 157,970 180,043 180,043 174,900 10-12 OVERTIME 2,370 1,570 2,670 3,000 10-13 TEMPORARY HELP 19,767 - - - 10-14 FICA TAXES 13,067 13,890 13,890 13,400 10-15 HEALTH INSURANCE 47,522 41,412 41,412 48,400 10-16 L I D INSURANCE 938 1,023 1,023 1,000 10-17 WORKERS COMPENSATION 1,681 - - 1,800 10-18 EDUCATIONAL ASSISTANCE - - - 2,000 10-19 PENSION 6,515 8,377 8,377 8,500 10-20 OPEB - 13,179 13,179 15,000 PERSONNEL COSTS 249,830 259,494 260,594 268,000 20-21 FURNITURE/FIXTURES - 60 60 - 20-22 OFFICE SUPPLIES 477 600 600 - 20-23 PRINTING AND DUPLICATING 2,090 1,800 2,800 - 20-24 PHOTOGRAPHIC 207 200 200 - 20-26 PROGRAM EXPENSES/SUPPLIES 12,656 12,000 12,000 14,000 20-29 UNIFORMS/UNIFORM ALLOW 865 1,000 1,000 900 20-31 BOOKS 117 300 300 200 20-32 SECURITY/SAFETY MATERIALS 485 500 500 600 20-33 SMALL TOOLS 135 100 100 100 20-38 COMPUTER HARDWARE 4,853 800 320 - MATERIALS & SUPPLIES 21,885 17,360 17,880 15,800 30-21 TELEPHONE/FAX 2,292 2,460 2,940 2,600 30-27 SUBSCRIPTIONS AND DUES 45 75 75 100 30-28 TRAINING/CONF/FOOD/TRAVEL 898 400 400 600 30-62 GASOLINE 5,401 4,700 4,700 6,000 ADMINISTRATIVE EXPENDITURES 8,636 7,635 8,115 9,300 TOTAL EXPENDITURES 280,351 284,489 286,589 293,100 REVENUES GENERAL FUND 280,351 284,489 286,589 293,100 PERSONNEL FULL-TIME EQUIVALENTS 4.5 4.0 4.0 4.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE INSPECTIONS 110-1600-534 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 294,510 301,547 301,547 298,900 10-14 FICA TAXES 22,142 22,788 22,788 22,700 10-15 HEALTH INSURANCE 71,578 64,624 64,624 56,700 10-16 L I D INSURANCE 1,686 1,508 1,508 1,700 10-17 WORKERS COMPENSATION 2,445 - - 2,500 10-19 PENSION 14,571 15,672 15,672 15,500 10-20 OPEB - 19,902 19,902 26,000 PERSONNEL COSTS 406,932 426,041 426,041 424,000 20-21 FURNITURE/FIXTURES - 125 125 - 20-22 OFFICE SUPPLIES 2,523 2,975 2,975 - 20-23 PRINTING AND DUPLICATING 4,041 4,000 3,000 - 20-29 UNIFORMS/UNIFORM ALLOW 600 1,400 1,400 800 20-31 BOOKS 567 1,000 1,000 600 20-32 SECURITY/SAFETY MATERIALS 316 500 500 400 20-33 SMALL TOOLS 15 100 100 - 20-37 COMPUTER SOFTWARE 403 80 80 100 20-38 COMPUTER HARDWARE 5,478 2,900 2,900 3,800 MATERIALS & SUPPLIES 13,943 13,080 12,080 5,700 30-21 TELEPHONE/FAX 3,905 3,600 3,600 3,600 30-27 SUBSCRIPTIONS AND DUES 1,024 350 350 700 30-28 TRAINING/CONF/FOOD/TRAVEL 609 500 500 500 30-33 DEMOLITION EXPENSES 105,502 100,000 100,000 150,000 30-61 OFF EQUIP/REPAIRS & MAINT 3,194 3,236 3,236 3,200 30-62 GASOLINE 5,493 5,500 5,500 4,500 30-63 AUTO REPAIRS/MAINTENANCE 176 200 200 - 30-67 RADIO REPAIRS/MAINTENANCE 1,207 1,400 1,400 - ADMINISTRATIVE EXPENDITURES 121,110 114,786 114,786 162,500 TOTAL EXPENDITURES 541,985 553,907 552,907 592,200 REVENUES GENERAL FUND 541,985 553,907 552,907 592,200 PERSONNEL FULL-TIME EQUIVALENTS 7.0 7.0 7.0 7.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE COMMUNITY DEVELOPMENT 715-9900-596 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 53,865 53,702 53,702 38,316 10-13 TEMPORARY HELP 16,350 - - - 10-14 FICA TAXES 5,315 4,073 4,073 - 10-15 HEALTH INSURANCE 7,506 7,551 7,551 2,931 10-16 L I D INSURANCE 380 383 383 - 10-17 WORKERS COMPENSATION 367 - - 203 10-19 PENSION 3,326 3,239 3,239 2,299 10-20 OPEB - 3,545 3,545 3,322 10-23 CDBG-R SALARIES 664 - - - 12-01 TO HOME OWN REHAB PROG (13,169) - (5,526) - 12-02 TO NSP PROGRAM (14,927) - (16,580) - 12-03 TO CDBG-R PROGRAM (664) - - - PERSONNEL COSTS 59,013 72,493 50,387 47,071 20-22 OFFICE SUPPLIES 110 310 310 - 20-23 PRINTING AND DUPLICATING 211 275 275 - MATERIALS & SUPPLIES 321 585 585 - 30-21 TELEPHONE/FAX 244 250 250 - 30-25 ADVERTISEMENT 257 468 438 - 30-27 SUBSCRIPTIONS AND DUES 350 195 225 - 30-28 TRAINING/CONF/FOOD/TRAVEL 1,027 750 750 - ADMINISTRATIVE EXPENDITURES 1,878 1,663 1,663 - 40-31 CONSTRUCTION - PURCHASE 71,526 - - - 70-42 CLOSING COST/DWNPYMT PROG 16,833 40,000 58,321 30,000 70-43 CONNECTIONS COMM SUPPORT 15,000 5,000 5,000 - 70-44 DOVER INTERFAITH MINISTRY - 37,826 34,479 27,500 70-45 COMMUNITY REHAB ASSITANCE 85,008 57,101 63,275 - 70-48 FAIR HOUSING COUNSELING 47 - 3 - 70-52 COMM REVITALIZATION INFAS 63,434 65,580 60,081 - 70-59 FIRST STATE RES CONSV&DEV 39,970 40,000 38,031 35,000 70-61 ELIZABETH W MURPHEY SCHOOL - - - 20,000 70-62 DOWNTOWN DOVER PART INC 14,652 - - - 70-63 HABITAT FOR HUMANITY 40,000 40,000 - - 70-64 NCALL RESEARCH INC - - - 7,800 70-65 SERENITY PLACE - - - 28,000 70-66 MILFORD HOUSING H/O REHAB PROG - - - 40,000 91-37 CLEARING A/C - 715-331-21 292,026 - - - CAPITAL OUTLAY 638,496 285,507 259,190 188,300 TOTAL EXPENDITURES 699,708 360,248 311,825 235,371 REVENUES

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE ECONOMIC DEVELOPMENT 110-1600-535 2010-2011 2011-2012 2011-2012 2012-2013 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED CURRENT PROPOSED 10-11 SALARIES 135,524 135,678 135,678 135,000 33,800 10-14 FICA TAXES 10,245 10,491 10,491 10,400 2,600 10-15 HEALTH INSURANCE 22,475 15,172 15,172 19,100 4,800 10-16 L I D INSURANCE 1,019 704 704 1,000 200 10-17 WORKERS COMPENSATION 898 - - 700 200 10-19 PENSION 7,528 7,618 7,618 7,500 2,000 10-20 OPEB - 8,954 8,954 11,700 2,900 PERSONNEL COSTS 177,689 178,617 178,617 185,400 46,500 20-22 OFFICE SUPPLIES 590 400 400 400 - 20-23 PRINTING AND DUPLICATING 1,519 1,000 1,000 1,000 - 20-33 SMALL TOOLS 129 - - - - 20-38 COMPUTER HARDWARE - 1,300 1,300 1,300 - MATERIALS & SUPPLIES 2,238 2,700 2,700 2,700 - 30-21 TELEPHONE/FAX 3,225 2,450 2,450 2,450 - 30-25 ADVERTISEMENT - 1,700 1,700 1,700 - 30-28 TRAINING/CONF/FOOD/TRAVEL 292 150 150 150 - 30-31 CONTRACTUAL SERVICES 10,393 12,000 12,000 12,000 3,000 30-62 GASOLINE 17 100 100 100 - 30-91 ECONOMIC DEVELOPMENT 26,000 26,000 26,000 26,000 89,000 ADMINISTRATIVE EXPENDITURES 39,927 42,400 42,400 42,400 92,000 TOTAL EXPENDITURES 219,854 223,717 223,717 230,500 138,500 REVENUES GENERAL FUND 219,854 223,717 223,717 230,500 138,500 PERSONNEL FULL-TIME EQUIVALENTS 3.0 3.0 3.0 3.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE PUBLIC WORKS - ADMINISTRATION 110-2400-551 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 287,234 305,118 305,118 318,500 10-12 OVERTIME - - - 600 10-14 FICA TAXES 21,708 20,194 20,194 23,900 10-15 HEALTH INSURANCE 39,666 43,785 43,785 48,400 10-16 L I D INSURANCE 1,762 1,921 1,921 2,100 10-17 WORKERS COMPENSATION 2,258 - - 1,700 10-19 PENSION 14,581 15,674 15,674 15,700 10-20 OPEB - 20,138 20,138 25,800 PERSONNEL COSTS 367,209 406,830 406,830 436,700 20-22 OFFICE SUPPLIES 3,131 2,500 2,500 3,000 20-23 PRINTING AND DUPLICATING 1,076 1,300 1,300 1,800 20-31 BOOKS - 100 100 - 20-32 SECURITY/SAFETY MATERIALS 125 125 125 - 20-33 SMALL TOOLS 32 42,276 42,276 - 20-37 COMPUTER SOFTWARE 260 370 370 400 20-38 COMPUTER HARDWARE - 2,600 2,600 13,900 MATERIALS & SUPPLIES 4,624 49,271 49,271 19,100 30-21 TELEPHONE/FAX 4,012 3,688 3,688 2,700 30-27 SUBSCRIPTIONS AND DUES 1,660 825 825 - 30-28 TRAINING/CONF/FOOD/TRAVEL 412 750 750 500 30-31 CONTRACTUAL SERVICES 8,055 8,228 8,228 7,000 30-62 GASOLINE 2,641 3,000 3,000 2,500 30-67 RADIO REPAIRS/MAINTENANCE 46 100 100 100 ADMINISTRATIVE EXPENDITURES 16,826 16,591 16,591 12,800 TOTAL EXPENDITURES 388,659 472,692 472,692 468,600 REVENUES GENERAL FUND 388,659 472,692 472,692 468,600 PERSONNEL FULL-TIME EQUIVALENTS 4.0 6.0 6.0 6.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE FACILITITES MANAGEMENT 110-2500-552 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 551,986 564,459 564,459 370,200 10-12 OVERTIME 314 450 450 800 10-13 TEMPORARY HELP 20,053 24,892 24,892 - 10-14 FICA TAXES 43,284 42,639 42,639 28,400 10-15 HEALTH INSURANCE 120,987 111,416 111,416 77,300 10-16 L I D INSURANCE 3,027 2,741 2,741 2,000 10-17 WORKERS COMPENSATION 19,451 - - 15,000 10-19 PENSION 22,965 25,858 25,858 16,700 10-20 OPEB - 37,254 37,254 32,200 PERSONNEL COSTS 782,067 809,709 809,709 542,600 20-22 OFFICE SUPPLIES 100 100 100 - 20-25 CUSTODIAL 7,227 8,500 8,500 8,500 20-29 UNIFORMS/UNIFORM ALLOW 3,799 4,420 4,420 3,900 20-32 SECURITY/SAFETY MATERIALS 805 1,625 1,625 1,000 20-33 SMALL TOOLS 715 500 500 500 20-46 CITY BLDG MAINT SUPPLIES 8,964 10,500 10,500 10,500 20-58 WATER/SEWER 1,780 1,275 1,275 1,300 20-61 ELEC MATERIALS/SUPPLIES 2,217 2,500 2,500 2,500 MATERIALS & SUPPLIES 25,607 29,420 29,420 28,200 30-21 TELEPHONE/FAX 1,776 1,800 1,800 1,200 30-23 ELECTRICITY 89,169 96,000 96,000 92,000 30-24 HEATING OIL/GAS 1,091 1,370 1,370 1,400 30-27 SUBSCRIPTIONS & DUES - - - 100 30-28 TRAINING/CONF/FOOD/TRAVEL - 100 100 100 30-31 CONTRACTUAL SERVICES 3,803 6,994 6,994 6,000 30-62 GASOLINE 6,848 6,600 6,600 6,600 30-67 RADIO REPAIRS/MAINTENANCE 372 700 700 600 ADMINISTRATIVE EXPENDITURES 103,059 113,564 113,564 108,000 40-25 OTHER EQUIP - PURCHASE - - - 288,000 40-31 CONSTRUCTION - PURCHASE - - - 93,000 CAPITAL OUTLAY - - - 381,000 TOTAL EXPENDITURES 910,733 952,693 952,693 1,059,800 REVENUES GENERAL FUND 910,733 952,693 952,693 678,800 GOVERNMENTAL CAPITAL PROJECTS FUND - - - 288,000 HOMELAND SECURITY GRANT 93,000 PERSONNEL FULL-TIME EQUIVALENTS 13.0 12.0 12.0 9.0 PP/TEMP - 1.0 1.0 -

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE FLEET MAINTENANCE 110-2800-572 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 266,625 269,711 269,711 269,200 10-12 OVERTIME 5,985 1,350 1,350 3,500 10-14 FICA 20,159 20,347 20,347 20,600 10-15 HEALTH INSURANCE 65,631 66,243 66,243 68,500 10-16 LID 1,339 1,109 1,109 1,400 10-17 WORKMANS COMP. 10,506 - - 10,900 10-19 PENSION 13,659 14,420 14,420 14,200 10-20 OPEB - 17,801 17,801 23,200 PERSONNEL COSTS 383,904 390,981 390,981 411,500 20-22 OFFICE SUPPLIES 200 200 200 - 20-23 PRINTING AND DUPLICATING 245 375 375 400 20-25 CUSTODIAL 49 - - - 20-26 PROGRAM EXPENSES/SUPPLIES 314,449 290,000 290,000 290,000 20-29 UNIFORMS/UNIFORM ALLOW 1,307 1,710 1,710 1,700 20-31 BOOKS - 600 600 600 20-32 SECURITY/SAFETY MATERIALS 625 1,000 1,000 800 20-33 SMALL TOOLS 628 5,000 5,000 1,000 20-37 COMPUTER SOFTWARE 1,995 2,100 2,100 2,900 MATERIALS & SUPPLIES 319,498 300,985 300,985 297,400 30-21 TELEPHONE/FAX 231 400 400 700 30-28 TRAINING/CONF/FOOD/TRAVEL 240 250 250 300 30-31 CONTRACTUAL SERVICES - 500 500 500 30-62 GASOLINE 2,163 2,000 2,000 2,000 30-67 RADIO REPAIRS/MAINTENANCE 233 306 306 300 ADMINISTRATIVE EXPENDITURES 2,867 3,456 3,456 3,800 TOTAL EXPENDITURES 706,269 695,422 695,422 712,700 REVENUES GENERAL FUND 706,269 695,422 695,422 712,700 PERSONNEL FULL-TIME EQUIVALENTS 6.0 6.0 6.0 6.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE GROUNDS 110-1500-522 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 583,702 564,437 564,437 564,900 10-12 OVERTIME 21,565 15,300 15,300 15,000 10-14 FICA TAXES 45,838 44,630 44,630 44,400 10-15 HEALTH INSURANCE 129,734 121,221 121,221 107,400 10-16 L I D INSURANCE 3,356 3,176 3,176 3,200 10-17 WORKERS COMPENSATION 23,362 - - 23,500 10-19 PENSION 23,686 25,733 25,733 27,500 10-20 OPEB - 37,657 37,657 49,100 PERSONNEL COSTS 831,243 812,154 812,154 835,000 20-22 OFFICE SUPPLIES 62 150 150 - 20-25 CUSTODIAL 510 250 250 300 20-26 PROGRAM EXPENSES/SUPPLIES 40,792 50,205 50,205 45,000 20-29 UNIFORMS/UNIFORM ALLOW 3,777 3,535 3,535 3,500 20-32 SECURITY/SAFETY MATERIALS 4,196 4,400 3,760 4,200 20-33 SMALL TOOLS 4,297 3,200 3,200 3,200 20-44 SAND AND SALT 413 750 390 400 20-46 CITY BLDG MAINT SUPPLIES 1,790 400 400 400 20-58 WATER/SEWER 4,443 3,800 3,800 3,800 MATERIALS & SUPPLIES 60,280 66,690 65,690 60,800 30-21 TELEPHONE/FAX 742 710 710 700 30-23 ELECTRICITY 3,316 3,500 3,500 3,500 30-24 HEATING OIL/GAS 3,707 5,000 5,000 4,500 30-27 SUBSCRIPTIONS AND DUES 425 210 570 500 30-28 TRAINING/CONF/FOOD/TRAVEL 1,741 650 1,290 1,300 30-31 CONTRACTUAL SERVICES - 10,000 10,000 10,000 30-43 ENVIRONMENTAL EXPENSES 2,750 3,000 3,000 3,000 30-44 AGENCY BILLING-TEMP HELP 19,396 27,000 27,000 23,000 30-62 GASOLINE 33,066 32,500 32,500 32,500 30-64 TRUCK REPAIRS/MAINTENANCE 1,200 - - - 30-65 MAINT EQUIP REPAIRS/MAINT 24,469 16,800 16,800 16,800 30-67 RADIO REPAIRS/MAINTENANCE 1,397 1,708 1,708 1,700 ADMINISTRATIVE EXPENDITURES 92,209 101,078 102,078 97,500 40-23 TRUCKS - PURCHASE 37,202 - - 47,000 40-24 MAINT EQUIP - PURCHASE 9,347 - - 65,000 CAPITAL OUTLAY 46,549 - - 112,000 TOTAL EXPENDITURES 1,030,281 979,922 979,922 1,105,300 REVENUES GENERAL FUND 983,732 979,922 979,922 993,300 GOVERNMENTAL CAPITAL PROJECTS FUND 46,549 - - 112,000 PERSONNEL FULL-TIME EQUIVALENTS 15.0 14.0 14.0 14.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE SANITATION 110-1800-555 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 450,553 511,758 511,758 411,700 10-12 OVERTIME 20,411 16,200 16,200 15,000 10-14 FICA TAXES 35,596 40,084 40,084 32,700 10-15 HEALTH INSURANCE 120,170 133,141 133,141 92,500 10-16 L I D INSURANCE 2,744 3,078 3,078 2,400 10-17 WORKERS COMPENSATION 18,129 - - 17,300 10-19 PENSION 19,915 24,818 24,818 20,500 10-20 OPEB - 34,118 34,118 35,800 PERSONNEL COSTS 667,518 763,197 763,197 627,900 20-22 OFFICE SUPPLIES 181 150 150 - 20-23 PRINTING AND DUPLICATING 3,234 1,000 1,000 - 20-26 PROGRAM EXPENSES/SUPPLIES 37,213 34,740 114,613 25,000 20-29 UNIFORMS/UNIFORM ALLOW 3,133 2,732 2,732 2,700 20-32 SECURITY/SAFETY MATERIALS 2,964 2,825 2,825 2,800 20-33 SMALL TOOLS 421 400 400 400 20-38 COMPUTER HARDWARE 1,370 - - - 20-46 CITY BLDG MAINT SUPPLIES 309 1,000 1,000 500 MATERIALS & SUPPLIES 48,825 42,847 122,720 31,400 30-21 TELEPHONE/FAX 504 460 460 500 30-25 ADVERTISEMENT 935 1,500 1,500 1,500 30-28 TRAINING/CONF/FOOD/TRAVEL 2,138 50 50 100 30-31 CONTRACTUAL SERVICES 1,283,030 1,355,600 1,350,600 1,300,000 30-43 ENVIRONMENTAL EXPENSES 1,395 3,000 3,000 3,000 30-44 AGENCY BILLING-TEMP HELP 60,777 45,000 45,000 45,000 30-62 GASOLINE 112,755 118,000 118,000 130,000 30-64 TRUCK REPAIRS/MAINTENANCE 1,408 - - - 30-65 MAINT EQUIP REPAIRS/MAINT 406 - - - 30-67 RADIO REPAIRS/MAINTENANCE 1,316 1,322 1,322 1,300 ADMINISTRATIVE EXPENDITURES 1,464,664 1,524,932 1,519,932 1,481,400 40-23 TRUCKS - PURCHASE 212,446 136,500 123,600 150,000 CAPITAL OUTLAY 212,446 136,500 123,600 150,000 TOTAL EXPENDITURES 2,393,453 2,467,476 2,529,449 2,290,700 REVENUES GENERAL FUND 2,181,007 2,330,976 2,405,849 2,140,700 GOVERNMENTAL CAPITAL PROJECTS FUND 212,446 136,500 123,600 150,000 PERSONNEL FULL-TIME EQUIVALENTS 12.0 13.0 13.0 11.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE STREET 110-1800-554 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 410,957 407,193 407,193 384,900 10-12 OVERTIME 6,187 11,880 11,880 9,000 10-14 FICA TAXES 31,778 32,033 32,033 30,100 10-15 HEALTH INSURANCE 95,072 88,569 88,569 78,800 10-16 L I D INSURANCE 2,539 2,427 2,427 2,300 10-17 WORKERS COMPENSATION 13,804 - - 16,000 10-18 EDUCATIONAL ASSISTANCE 2,828 1,500 1,500 4,000 10-19 PENSION 18,908 20,652 20,652 19,700 10-20 OPEB - 26,875 26,875 33,500 PERSONNEL COSTS 582,073 591,129 591,129 578,300 20-22 OFFICE SUPPLIES 145 150 150 - 20-23 PRINTING AND DUPLICATING 24 - - - 20-26 PROGRAM EXPENSES/SUPPLIES 31,399 26,707 26,707 26,700 20-29 UNIFORMS/UNIFORM ALLOW 1,985 2,076 2,076 2,100 20-32 SECURITY/SAFETY MATERIALS 4,588 4,376 4,376 4,300 20-33 SMALL TOOLS 2,253 2,893 2,893 2,500 20-41 STREET REPAIRING MATERIAL 11,039 18,900 18,900 19,000 20-42 STREET CLEANING SUPPLIES 4,359 4,300 4,300 4,300 20-43 STREET SIGNS/MARKING 15,270 16,800 16,800 16,000 20-44 SAND AND SALT 24,576 13,000 13,000 10,000 20-46 CITY BLDG MAINT SUPPLIES 10,493 11,585 11,585 10,500 20-62 STORM SEWER SUPPLIES 4,064 4,000 4,000 4,000 20-64 DITCH MAINTENANCE 1,640 775 775 800 MATERIALS & SUPPLIES 111,835 105,562 105,562 100,200 30-21 TELEPHONE/FAX 1,605 964 964 900 30-25 ADVERTISEMENT 485 300 300 300 30-28 TRAINING/CONF/FOOD/TRAVEL 3,471 425 425 100 30-31 CONTRACTUAL SERVICES 4,889 500 500 500 30-43 ENVIRONMENTAL EXPENSES - 2,500 2,500 - 30-44 AGENCY BILLING-TEMP HELP 13,119 12,250 12,250 5,000 30-62 GASOLINE 46,391 47,780 47,780 50,000 30-64 TRUCK REPAIRS/MAINTENANCE 538 - - - 30-65 MAINT EQUIP REPAIRS/MAINT 69,934 20,000 20,000 20,000 30-67 RADIO REPAIRS/MAINTENANCE 1,075 1,400 1,400 1,400 ADMINISTRATIVE EXPENDITURES 141,507 86,119 86,119 78,200 40-23 TRUCKS - PURCHASE 104,476 200,027 200,027 - 40-31 CONSTRUCTION - PURCHASE 350,123 1,030,000 1,780,000 2,024,000 CAPITAL OUTLAY 454,599 1,230,027 1,980,027 2,024,000 TOTAL EXPENDITURES 1,290,014 2,012,837 2,762,837 2,780,700 REVENUES GENERAL FUND 835,415 782,810 782,810 756,700 GOVERNMENTAL CAPITAL PROJECTS FUND 454,599 1,230,027 1,980,027 2,024,000 PERSONNEL FULL-TIME EQUIVALENTS 11.0 11.0 11.0 10.0

PUBLIC UTILITIES CONTAINS THE FOLLOWING SUBSECTIONS: – PUBLIC WORKS WATER/WASTEWATER – ELECTRIC

WATER/WASTEWATER FUND

WATER/WASTEWATER FUND DRAFT BUDGET REVIEW Fiscal Year 2012-2013 May 22, 2012 – Budget Review Hearing

Water/Wastewater Engineering Personnel Costs 549,400 2% Materials & Supplies 13,600 17% Administrative Expenditures 34,900 22% Overall Operating Expenses 597,900 4% Capital Outlay 23,400 100% Total Expenditures 621,300 0% Highlights: Personnel Costs decreased due to reduction in salaries and benefits offset by increases in worker’s compensation and OPEB. Materials & Supplies expenditures are decreased due to computer software and hardware purchases offset by increases in office supplies and uniforms. Administrative expenditures are decreased due to reductions in telephone, training and conference, contractual services, training and radio repairs offset by an increase in gasoline. 2

Water Construction Personnel Costs 293,600 17% Materials & Supplies 9,000 3% Administrative Expenditures 43,100 7% Overall Operating Expenses 345,700 16% Capital Outlay 31,000 3% Total Expenditures 376,700 14% Highlights: Personnel Costs are decreased to due to a transfer of 1 FTE to the Water Division partially offset by an increases in overtime and worker’s compensation. Materials and Supplies decreased due to reduction of expense in security and safety materials. Administrative Expenditures are decreased for other equipment repairs offset by an increase in gasoline. Capital Outlay includes budget for a 1-ton truck purchase. 3 3

Water Management Personnel Costs 258,600 10% Materials & Supplies 67,500 2% Administrative Expenditures 82,100 0% Overall Operating Expenses 408,200 7% Capital Outlay 5,140,000 67% Total Expenditures 5,548,200 60% Highlights: Personnel Costs are up due to a transfer from the Construction Division of 1 FTE’s increasing salary and benefits, as well as an increase in worker’s compensation and OPEB. Materials & Supplies are up due to increase in meter supplies. Administrative Expenditures are consistent. Capital Expenses increased and include $1,828,000 for Garrison Farm Improvements, budget for Piney Point Well, water quality improvements, generators and the $2,000,000 water storage tower. 4

Wastewater Management Personnel Costs 626,800 4% Materials & Supplies 88,800 3% Administrative Expenditures 277,400 3% Overall Operating Expenses 993,000 3% Capital Outlay 3,817,300 9% Total Expenditures 4,810,300 7% Highlights: Personnel Costs increased for raises, education assistance as well as worker’s compensation and OPEB offset by health insurance reductions. Materials & Supplies increased due to increased expenses in small tools, water/sewer improvements, meter supplies. Administrative Expenses are increased for gasoline, maintenance equipment, and contractual services offset by decreases in truck repairs. Capital Expenses have increased and include $1,828,000 for Garrison Farm Improvements as well as budget for various trucks totaling $268,000 and $1,000,000 for the I & I Removal project. 5

Water Treatment Personnel Costs 671,800 6% Materials & Supplies 153,800 7% Administrative Expenditures 697,000 2% Overall Operating Expenses 1,522,600 1% Capital Outlay 24,100 5% Total Expenditures 1,546,700 1% Highlights: Personnel costs are decreased for new hires starting at a lower rate along with the removal of vacation sell-back. Materials & Supplies and Administrative Expenses increased due to chemicals and additives. Administrative Expenditures increased due to increase in contractual services offset by a decrease in gasoline. Capital Outlay includes a pickup truck. 6

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE WATER TREATMENT PLANT 412/417-7600-576 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 443,044 477,280 477,280 429,000 10-12 OVERTIME 18,291 23,300 23,300 18,500 10-14 FICA TAXES 33,663 37,065 37,065 34,000 10-15 HEALTH INSURANCE 125,858 126,888 126,888 119,000 10-16 L I D INSURANCE 2,379 2,393 2,393 2,400 10-17 WORKERS COMPENSATION 17,808 - - 18,200 10-19 PENSION 20,617 23,488 23,488 21,200 10-20 OPEB - 25,296 25,296 29,500 PERSONNEL COSTS 661,660 715,710 715,710 671,800 20-23 PRINTING AND DUPLICATING 932 1,000 1,000 1,000 20-25 CUSTODIAL 157 250 250 200 20-29 UNIFORMS/UNIFORM ALLOW 2,320 3,786 3,786 3,500 20-31 BOOKS 96 189 14 200 20-32 SECURITY/SAFETY MATERIALS 2,513 2,670 2,670 2,700 20-33 SMALL TOOLS 3,834 4,500 4,500 4,000 20-35 CHEMICALS & ADDITIVES 118,194 116,000 116,000 128,000 20-37 COMPUTER SOFTWARE 165 190 190 200 20-38 COMPUTER HARDWARE 1,370 1,300 1,300 - 20-46 CITY BLDG MAINT SUPPLIES 1,915 2,000 2,000 2,000 20-49 WELL SUPPLIES/REHAB 10,405 12,000 12,000 12,000 MATERIALS & SUPPLIES 141,901 143,885 143,710 153,800 30-21 TELEPHONE/FAX 643 600 600 600 30-23 ELECTRICITY 517,153 520,000 520,000 520,000 30-24 HEATING OIL/GAS 6,693 4,800 4,800 6,500 30-27 SUBSCRIPTIONS AND DUES 500 200 400 500 30-28 TRAINING/CONF/FOOD/TRAVEL 310 200 175 200 30-31 CONTRACTUAL SERVICES 101,209 130,000 130,000 150,000 30-62 GASOLINE 12,037 9,700 9,700 1,200 30-66 OTHER EQUIP REPAIRS/MAINT 15,028 13,000 13,000 13,000 30-67 RADIO REPAIRS/MAINTENANCE 372 5,019 5,019 5,000 ADMINISTRATIVE EXPENDITURES 653,945 683,519 683,694 697,000 40-23 TRUCKS - PURCHASE - 22,900 22,900 24,100 CAPITAL OUTLAY - 22,900 22,900 24,100 TOTAL EXPENDITURES 1,457,506 1,566,014 1,566,014 1,546,700 REVENUES WATER/WASTEWATER FUND 1,457,506 1,543,114 1,543,114 1,522,600 WATER/WASTEWATER I & E FUND - 22,900 22,900 24,100 PERSONNEL FULL-TIME EQUIVALENTS 10.0 10.0 10.0 10.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE WATER MANAGEMENT 412/417-6800-568 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 150,216 149,864 149,864 160,850 10-12 OVERTIME 10,682 9,900 9,900 11,650 10-14 FICA TAXES 11,756 11,573 11,573 13,000 10-15 HEALTH INSURANCE 62,430 47,041 47,041 46,300 10-16 L I D INSURANCE 1,184 881 881 950 10-17 WORKERS COMPENSATION 6,206 - - 7,000 10-19 PENSION 6,625 7,310 7,310 8,000 10-20 OPEB - 7,943 7,943 10,850 PERSONNEL COSTS 249,099 234,512 234,512 258,600 20-28 MEDICAL SUP & PHYSICALS 234 600 600 600 20-29 UNIFORMS/UNIFORM ALLOW 784 1,695 1,695 1,200 20-31 BOOKS 128 200 200 200 20-32 SECURITY/SAFETY MATERIALS 1,195 2,125 2,125 1,500 20-33 SMALL TOOLS 6,916 7,250 7,250 7,000 20-38 COMPUTER HARDWARE 685 - - - 20-51 WATER/SEWER SYSTEM SUP 47,612 44,557 44,557 45,000 20-53 METERS/METER SUPPLIES 6,986 7,000 10,000 12,000 MATERIALS & SUPPLIES 64,540 63,427 66,427 67,500 30-21 TELEPHONE/FAX 3,700 4,740 4,740 4,000 30-25 ADVERTISEMENT 8,902 7,500 7,500 7,500 30-27 SUBSCRIPTIONS AND DUES 2,826 1,400 2,690 2,500 30-28 TRAINING/CONF/FOOD/TRAVEL 510 100 100 100 30-29 CONSULTING FEES 4,023 1,000 9,510 5,000 30-31 CONTRACTUAL SERVICES 23,055 38,000 25,200 25,000 30-62 GASOLINE 20,460 16,800 16,800 23,000 30-64 TRUCK REPAIRS/MAINTENANCE 108 - - - 30-65 MAINT EQUIP REPAIRS/MAINT 314 800 800 600 30-67 RADIO REPAIRS/MAINTENANCE 1,735 14,376 14,376 14,400 ADMINISTRATIVE EXPENDITURES 65,633 84,716 81,716 82,100 40-23 TRUCKS - PURCHASE - 31,000 31,000 158,000 40-25 OTHER EQUIP - PURCHASE - 30,240 30,240 20,000 40-31 CONSTRUCTION - PURCHASE 959,816 580,000 2,900,228 4,892,000 40-34 WATER LINES 92,888 125,000 125,000 70,000 CAPITAL OUTLAY 1,052,704 766,240 3,086,468 5,140,000 TOTAL EXPENDITURES 1,431,976 1,148,895 3,469,123 5,548,200 REVENUES WATER/WASTEWATER FUND 379,272 382,655 382,655 408,200 WATER/WASTEWATER I & E FUND 1,052,704 766,240 3,086,468 5,140,000 PERSONNEL FULL-TIME EQUIVALENTS 4.0 4.0 4.0 5.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE WATER CONSTRUCTION 412/417-5600-556 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 226,518 242,471 242,471 188,100 10-12 OVERTIME 10,462 4,500 4,500 12,500 10-14 FICA TAXES 17,411 18,318 18,318 15,000 10-15 HEALTH INSURANCE 64,247 65,150 65,150 47,800 10-16 L I D INSURANCE 1,273 1,263 1,263 1,000 10-17 WORKERS COMPENSATION 7,820 - - 8,100 10-19 PENSION 8,795 10,011 10,011 8,500 10-20 OPEB - 12,781 12,781 12,600 PERSONNEL COSTS 336,526 354,494 354,494 293,600 20-29 UNIFORMS/UNIFORM ALLOW 1,473 1,550 1,550 1,600 20-32 SECURITY/SAFETY MATERIALS 1,975 2,675 2,675 2,300 20-33 SMALL TOOLS 4,521 4,500 4,500 4,500 20-38 COMPUTER HARDWARE 1,370 - - - 20-46 CITY BLDG MAINT SUPPLIES 379 400 400 400 20-58 WATER/SEWER 135 130 130 200 MATERIALS & SUPPLIES 9,853 9,255 9,255 9,000 30-21 TELEPHONE/FAX 546 640 640 600 30-23 ELECTRICITY 2,181 2,000 2,000 2,000 30-24 HEATING OIL/GAS 2,568 3,125 3,125 3,000 30-28 TRAINING/CONF/FOOD/TRAVEL 379 50 50 100 30-31 CONTRACTUAL SERVICES 2,676 3,000 3,000 3,000 30-62 GASOLINE 23,626 19,470 19,470 25,000 30-66 OTHER EQUIP REPAIRS/MAINT 9,672 9,184 9,184 600 30-67 RADIO REPAIRS/MAINTENANCE 1,285 8,770 8,770 8,800 ADMINISTRATIVE EXPENDITURES 43,406 46,239 46,239 43,100 40-31 CONSTRUCTION - PURCHASE 22 - - - 40-23 TRUCKS - PURCHASE - 30,100 30,100 31,000 CAPITAL OUTLAY 22 30,100 30,100 31,000 TOTAL EXPENDITURES 389,807 440,088 440,088 376,700 REVENUES WATER/WASTEWATER FUND 389,807 409,988 409,988 345,700 WATER/WASTEWATER I & E FUND - 30,100 30,100 31,000 PERSONNEL FULL-TIME EQUIVALENTS 6.0 6.0 6.0 5.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE WASTEWATER MANAGEMENT 412/417-6900-569 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 379,191 390,035 390,035 397,550 10-12 OVERTIME 24,882 24,300 24,300 27,050 10-14 FICA TAXES 30,298 31,699 31,699 31,900 10-15 HEALTH INSURANCE 91,357 114,565 114,565 99,900 10-16 L I D INSURANCE 1,759 2,132 2,132 2,250 10-17 WORKERS COMPENSATION 15,563 - - 17,200 10-18 EDUCATIONAL ASSISTANCE - - - 4,000 10-19 PENSION 18,300 19,949 19,949 20,200 10-20 OPEB - 20,672 20,672 26,750 PERSONNEL COSTS 561,350 603,352 603,352 626,800 20-28 MEDICAL SUP & PHYSICALS 234 850 850 900 20-29 UNIFORMS/UNIFORM ALLOW 2,674 3,887 3,887 3,300 20-32 SECURITY/SAFETY MATERIALS 3,180 4,000 4,000 3,300 20-33 SMALL TOOLS 10,726 6,000 4,000 6,000 20-35 CHEMICALS & ADDITIVES 1,536 3,100 3,100 2,800 20-37 COMPUTER SOFTWARE - 7,200 3,866 3,600 20-38 COMPUTER HARDWARE 4,285 - - - 20-46 CITY BLDG MAINT SUPPLIES 436 500 500 500 20-51 WATER/SEWER SYSTEM SUP 16,603 16,152 15,152 16,200 20-53 METERS/METER SUPPLIES 7,711 7,800 10,800 12,000 20-54 PUMPING STATION SUPPLIES 38,473 38,000 38,000 38,000 20-58 WATER/SEWER 2,134 2,200 2,200 2,200 MATERIALS & SUPPLIES 87,992 89,689 86,355 88,800 30-21 TELEPHONE/FAX 4,126 3,650 3,650 4,000 30-23 ELECTRICITY 170,715 170,000 170,000 170,000 30-27 SUBSCRIPTIONS AND DUES 63 33 33 - 30-28 TRAINING/CONF/FOOD/TRAVEL 426 100 100 100 30-29 CONSULTING FEES 9,678 7,000 7,000 5,000 30-31 CONTRACTUAL SERVICES 40,938 40,000 40,000 43,000 30-62 GASOLINE 29,395 25,000 25,000 30,000 30-64 TRUCK REPAIRS/MAINTENANCE 5,334 - 3,334 - 30-65 MAINT EQUIP REPAIRS/MAINT 1,141 1,200 1,200 5,600 30-67 RADIO REPAIRS/MAINTENANCE 560 19,711 19,711 19,700 ADMINISTRATIVE EXPENDITURES 262,376 266,694 270,028 277,400 40-23 TRUCKS - PURCHASE - 31,000 31,000 248,000 40-25 OTHER EQUIPMENT - - - 20,000 40-31 CONSTRUCTION - PURCHASE 4,028,578 3,336,900 3,912,470 3,467,300 40-35 SEWER LINES 110,719 37,000 274,506 82,000 CAPITAL OUTLAY 4,139,297 3,404,900 4,217,976 3,817,300 TOTAL EXPENDITURES 5,051,015 4,364,635 5,177,711 4,810,300 REVENUES WATER/WASTEWATER FUND 911,718 959,735 959,735 993,000 WATER/WASTEWATER I & E FUND 4,139,297 3,404,900 4,217,976 3,817,300 PERSONNEL FULL-TIME EQUIVALENTS 9.0 10.0 10.0 10.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE WATER/WASTEWATER ENGINEERING 412/417-2600-553 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 338,942 404,541 404,541 397,000 10-12 OVERTIME 460 900 900 600 10-14 FICA TAXES 25,105 29,585 29,585 30,100 10-15 HEALTH INSURANCE 63,257 76,844 76,844 67,300 10-16 L I D INSURANCE 2,013 2,012 2,012 2,200 10-17 WORKERS COMPENSATION 2,852 - - 3,600 10-18 EDUCATIONAL ASSISTANCE 3,006 6,000 6,000 1,100 10-19 PENSION 14,697 19,549 19,549 20,300 10-20 OPEB - 21,440 21,440 27,200 PERSONNEL COSTS 450,332 560,871 560,871 549,400 20-22 OFFICE SUPPLIES - - - 1,000 20-29 UNIFORMS/UNIFORM ALLOW 50 555 555 600 20-31 BOOKS 25 200 200 200 20-32 SECURITY/SAFETY MATERIALS 990 1,200 1,200 1,000 20-33 SMALL TOOLS 413 200 200 200 20-37 COMPUTER SOFTWARE 5,172 13,050 11,343 9,000 20-38 COMPUTER HARDWARE - 2,900 2,900 1,600 MATERIALS & SUPPLIES 6,650 18,105 16,398 13,600 30-21 TELEPHONE/FAX 1,269 1,800 1,800 1,500 30-27 SUBSCRIPTIONS AND DUES 954 575 942 800 30-28 TRAINING/CONF/FOOD/TRAVEL 479 250 1,590 300 30-31 CONTRACTUAL SERVICES 22,188 32,400 32,400 25,000 30-39 IN-HOUSE TRAINING - 500 500 - 30-62 GASOLINE 5,927 6,100 6,100 6,500 30-64 TRUCK REPAIRS/MAINTENANCE 290 - - - 30-67 RADIO REPAIRS/MAINTENANCE - 1,629 1,629 800 ADMINISTRATIVE EXPENDITURES 31,107 43,254 44,961 34,900 40-23 TRUCKS - PURCHASE - - - 23,400 CAPITAL OUTLAY - - - 23,400 TOTAL EXPENDITURES 488,089 622,230 622,230 621,300 REVENUES WATER/WASTEWATER FUND 488,089 622,230 622,230 597,900 WATER/WASTEWATER I & E FUND - - - 23,400 PERSONNEL FULL-TIME EQUIVALENTS 6.0 6.0 6.0 6.0

ELECTRIC FUND

ELECTRIC FUND DRAFT BUDGET REVIEW Fiscal Year 2012-2013 May 22, 2012 – Budget Review Hearing

Electric Administration Personnel Costs 200,900 38 Materials & Supplies 142,400 15% Administrative Expenditures 157,900 20% Overall Operating Expenses 629,724 23% Highlights: Personnel Costs decreased due a reduction in staff of 1 FTE and 9 months of wages and benefits for the Director position. Materials and Supplies increased for city building maintenance supplies due to HVAC repairs needed for Weyandt Hall. Administrative expenses are down due to a decrease in consulting fees, contractual services, and community relations expense offset by an increase in subscriptions and dues and community relations expense. 2

Electric T&D Personnel Costs 2,196,700 1% Materials & Supplies 441,600 6% Administrative Expenditures 585,300 13% Overall Operating Expenses 3,223,400 3% Capital Outlay 596,000 8% Total Expenditures 3,819,600 1% Highlights: Personnel Costs decreased due to decrease in 1 FTE offset by increases in worker’s compensation and OPEB. Materials & Supplies are slighly higher than FY12 original budget level. FY12 was revised down to cover the Rate Study and cost of repairs on Weyandt Hall. The offsetting increase is reflected in the Electric Administration Division. Administrative Expenses are increased for training and conference, contractual services, truck repairs offset by decreases in in-house training and other equipment repairs. Capital Outlay is for new developments, a pickup truck and a lineman truck. 3

Electric Engineering Personnel Costs 830,600 1% Materials & Supplies 76,600 36% Administrative Expenditures 256,700 0% Overall Operating Expenses 1,163,900 1% Capital Outlay 1,932,700 8% Total Budget 3,096,600 5% Highlights: Personnel Costs decreased due to salaries, overtime, and benefit reductions offset by worker’s compensation and OPEB increases. Materials & Supplies are maintained the FY12 original budget level. FY12 was revised down to cover the Rate Study and cost of repairs on Weyandt Hall. The offsetting increase is reflected in the Electric Administration Division. Administrative Expenses remained consistent. Capital Outlay includes Frazier and Horsepond Substation upgrades, distribution upgrades and various other projects . 4

Systems Operations Personnel Costs 517,600 9% Materials & Supplies - - Overall Operating Expenses 517,600 9% Capital Outlay - - Highlights: Personnel Costs increased due to overtime, worker’s compensation and OPEB. 5

Power Plant Operations Personnel Costs 3,669,300 0% Materials & Supplies 209,600 25% Administrative Expenditures 2,036,000 4% Overall Operating Expenditures 5,914,900 1% Capital Outlay 1,441,300 24% Total Expenditures 7,356,200 6% Highlights: Personnel Costs reflect no change. An Administrative vacant position is currently being filled by a Temporary employee. Materials & Supplies are increased mainly due to computer hardware, janitorial supplies and water/waste water charges offset by reductions in city building maintenance and water treatment chemicals. Administrative Expenses are decreased mainly due to reduction of environmental expenses. Capital Outlay is decreased as per the proposed capital plan including various projects for McKee Run, Vansant Capacity Increase and Units 1 & 2 cooling tower repairs. 6 6

Power Supply 65 Series Supply Mgmt and Incentive Fees 996,000 22% 95 Series Purchases, capacity, and PJM Charges 55,438,200 3% 98 Fuel 586,000 12% Total Expenditures 57,020,200 3% Highlights: The budget includes estimated power supply and fuel costs for Fiscal 2013. 7

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE ELECTRIC ADMINISTRATION 480/487-8400-564 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 245,439 248,888 248,888 148,600 10-14 FICA TAXES 18,289 15,507 15,507 11,300 10-15 HEALTH INSURANCE 35,963 36,285 36,285 22,500 10-16 L I D INSURANCE 1,549 1,566 1,566 1,000 10-17 WORKERS COMPENSATION 1,821 - - 800 10-19 PENSION 9,660 10,934 10,934 7,200 10-20 OPEB - 12,693 12,693 9,500 PERSONNEL COSTS 312,721 325,873 325,873 200,900 20-22 OFFICE SUPPLIES 2,639 3,000 3,000 1,200 20-23 PRINTING AND DUPLICATING 11,478 10,088 10,088 10,000 20-28 MEDICAL SUP & PHYSICALS 86 300 300 100 20-31 BOOKS 50 250 250 - 20-37 COMPUTER SOFTWARE - 160 160 200 20-46 CITY BLDG MAINT SUPPLIES 129,133 89,694 109,194 130,000 20-58 WATER/SEWER 807 900 900 900 MATERIALS & SUPPLIES 144,193 104,392 123,892 142,400 30-21 TELEPHONE/FAX 2,440 1,900 1,900 1,900 30-23 ELECTRICITY 23,936 25,200 25,200 25,000 30-27 SUBSCRIPTIONS AND DUES 65,532 47,800 47,800 65,600 30-28 TRAINING/CONF/FOOD/TRAVEL 1,013 250 250 2,500 30-29 CONSULTING FEES 63,526 39,000 88,000 39,000 30-31 CONTRACTUAL SERVICES 23,071 47,600 33,600 18,200 30-32 LEGAL EXPENSES 301,070 - - - 30-35 COMMUNITY RELATIONS EXP 4,179 10,000 500 5,000 30-62 GASOLINE 763 700 700 700 ADMINISTRATIVE EXPENDITURES 485,530 172,450 197,950 157,900 TOTAL EXPENDITURES 942,444 602,715 647,715 501,200 REVENUES ELECTRIC FUND 942,444 602,715 647,715 501,200 PERSONNEL FULL-TIME EQUIVALENTS 4.0 4.0 4.0 3.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE ELECTRIC ENGINEERING 480/487-8300-563 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 627,617 609,616 609,616 604,400 10-12 OVERTIME 6,234 20,250 20,250 7,800 10-14 FICA TAXES 47,595 47,280 47,280 45,900 10-15 HEALTH INSURANCE 99,977 96,615 96,615 82,800 10-16 L I D INSURANCE 3,079 3,106 3,106 3,100 10-17 WORKERS COMPENSATION 18,364 - - 18,300 10-19 PENSION 27,984 29,918 29,918 30,500 10-20 OPEB - 31,091 31,091 37,800 PERSONNEL COSTS 830,850 837,876 837,876 830,600 20-29 UNIFORMS/UNIFORM ALLOW 6,912 12,799 12,799 11,000 20-31 BOOKS 673 400 400 400 20-32 SECURITY/SAFETY MATERIALS 4,473 4,000 4,000 4,000 20-33 SMALL TOOLS 2,096 2,500 2,500 2,000 20-37 COMPUTER SOFTWARE 2,433 6,500 6,500 3,000 20-38 COMPUTER HARDWARE 14,271 2,100 2,100 3,200 20-61 ELEC MATERIALS/SUPPLIES 37,512 53,000 28,000 53,000 MATERIALS & SUPPLIES 68,370 81,299 56,299 76,600 30-21 TELEPHONE/FAX 20,975 22,000 22,000 22,000 30-23 ELECTRICITY 2,224 2,083 2,083 2,100 30-27 SUBSCRIPTIONS AND DUES 195 430 430 400 30-28 TRAINING/CONF/FOOD/TRAVEL 5,660 3,500 3,500 6,000 30-31 CONTRACTUAL SERVICES 635,130 104,000 104,000 104,000 30-39 IN-HOUSE TRAINING 1,940 3,000 3,000 2,000 30-43 ENVIRONMENTAL EXPENSES 62,627 63,000 63,000 63,000 30-51 RIGHT OF WAY 5 - - - 30-61 OFF EQUIP/REPAIRS & MAINT 100 100 100 100 30-62 GASOLINE 15,668 21,600 21,600 20,000 30-64 TRUCK REPAIRS/MAINTENANCE 16 - - - 30-66 OTHER EQUIP REPAIRS/MAINT 15,289 16,084 16,084 15,000 30-67 RADIO REPAIRS/MAINTENANCE 3,486 22,088 22,088 22,100 ADMINISTRATIVE EXPENDITURES 763,315 257,885 257,885 256,700 40-23 TRUCKS - PURCHASE 56,078 - - - 40-25 OTHER EQUIP - PURCHASE 20,905 102,991 127,441 - 50-76 LIGHTING IMPROVEMENTS 194,100 50,000 50,000 100,000 50-82 REPLACE BREAKERS 98,292 - - - 60-82 CAPICITOR INSTALLATIONS - 100,000 100,000 125,000 70-27 SUBSTATIONS 272,976 487,215 487,215 850,200 70-35 TRANSMISSION/SWITCHES 144,593 98,000 98,000 180,000 80-38 UPGRADE SCADA - 75,000 75,000 - 90-25 DISTRIBUTION UPGRADES 579,430 877,510 853,060 677,500 90-26 69 KV FEEDERS 3 & 4 4,242 - - - CAPITAL OUTLAY 1,370,616 1,790,716 1,790,716 1,932,700 TOTAL EXPENDITURES 3,033,151 2,967,776 2,942,776 3,096,600 REVENUES ELECTRIC FUND 1,662,535 1,177,060 1,152,060 1,163,900 ELECTRIC I & E FUND 1,370,616 1,790,716 1,790,716 1,932,700 PERSONNEL FULL-TIME EQUIVALENTS 10.0 10.0 10.0 10.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE SYSTEM OPERATIONS 480/487-8600-526 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 318,162 333,092 333,092 332,700 10-12 OVERTIME 52,681 18,000 18,000 43,900 10-14 FICA TAXES 27,547 25,672 25,672 28,100 10-15 HEALTH INSURANCE 60,093 61,806 61,806 58,700 10-16 L I D INSURANCE 1,265 1,262 1,262 1,400 10-17 WORKERS COMPENSATION 10,545 - - 15,300 10-19 PENSION 14,932 17,075 17,075 16,800 10-20 OPEB - 16,988 16,988 20,700 PERSONNEL COSTS 485,225 473,895 473,895 517,600 20-32 SECURITY/SAFETY MATERIALS 300 - - - 20-38 COMPUTER HARDWARE 1,370 - - - MATERIALS & SUPPLIES 1,670 - - - TOTAL EXPENDITURES 486,895 473,895 473,895 517,600 REVENUES ELECTRIC FUND 486,895 473,895 473,895 517,600 PERSONNEL FULL-TIME EQUIVALENTS 5.0 5.0 5.0 5.0

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE ELECTRIC TRANSMISSION & DISTRIBUTION 480/487-8200-562 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES 1,429,382 1,553,582 1,553,582 1,455,600 10-12 OVERTIME 121,397 99,074 99,074 127,800 10-14 FICA TAXES 115,703 116,602 116,602 118,900 10-15 HEALTH INSURANCE 268,692 278,695 278,695 264,300 10-16 L I D INSURANCE 6,274 6,475 6,475 6,400 10-17 WORKERS COMPENSATION 59,502 - - 64,300 10-19 PENSION 62,295 75,779 75,779 68,100 10-20 OPEB - 79,233 79,233 91,300 PERSONNEL COSTS 2,063,245 2,209,440 2,209,440 2,196,700 20-29 UNIFORMS/UNIFORM ALLOW 26,054 26,450 26,450 30,000 20-32 SECURITY/SAFETY MATERIALS 17,977 18,020 18,020 18,000 20-33 SMALL TOOLS 26,248 26,500 26,500 26,000 20-37 COMPUTER SOFTWARE - 190 190 200 20-38 COMPUTER HARDWARE 259 800 800 3,200 20-53 METERS/METER SUPPLIES 15,042 13,989 13,989 14,000 20-58 WATER/SEWER 888 250 250 200 20-61 ELEC MATERIALS/SUPPLIES 351,800 350,000 330,000 350,000 MATERIALS & SUPPLIES 438,268 436,199 416,199 441,600 30-21 TELEPHONE/FAX 1,663 1,200 1,200 1,400 30-23 ELECTRICITY 519 400 400 600 30-24 HEATING OIL/GAS 6,349 6,245 6,245 6,500 30-28 TRAINING/CONF/FOOD/TRAVEL 9,058 4,500 4,500 8,800 30-31 CONTRACTUAL SERVICES 340,713 347,828 347,828 410,000 30-39 IN-HOUSE TRAINING 51 3,000 3,000 2,000 30-43 ENVIRONMENTAL EXPENSES 32,676 41,258 41,258 40,000 30-51 RIGHT OF WAY 5,955 5,956 5,956 6,000 30-62 GASOLINE 59,326 63,000 63,000 63,000 30-64 TRUCK REPAIRS/MAINTENANCE 20,064 8,530 8,530 15,000 30-66 OTHER EQUIP REPAIRS/MAINT 5,328 10,000 10,000 7,500 30-67 RADIO REPAIRS/MAINTENANCE 3,612 24,470 24,470 24,500 ADMINISTRATIVE EXPENDITURES 485,314 516,387 516,387 585,300 40-23 TRUCKS - PURCHASE - 48,337 48,337 146,000 40-25 OTHER EQUIP - PURCHASE 36,454 - - - 60-31 UG TRANSFORMERS 109,268 70,536 70,536 50,000 60-34 UG CONDUCTORS/DEVICES 494,950 479,464 479,464 350,000 60-46 METERS 52,151 50,000 50,000 50,000 CAPITAL OUTLAY 692,823 648,337 648,337 596,000 TOTAL EXPENDITURES 3,679,650 3,810,363 3,790,363 3,819,600 REVENUES ELECTRIC FUND 2,986,827 3,162,026 3,142,026 3,223,600 ELECTRIC I & E FUND 692,823 648,337 648,337 596,000 PERSONNEL FULL-TIME EQUIVALENTS 25.0 25.0 25.0 24.0

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE POWER PLANT OPERATIONS 480/487-8101-591 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 10-11 SALARIES & WAGES 2,205,596 2,397,980 2,317,980 2,330,400 10-12 OVERTIME 209,636 172,800 172,800 180,900 10-13 TEMPORARY HELP - - - 21,000 10-18 EDUCATIONAL ASSISTANCE - 5,000 5,000 2,500 10-22 INCENTIVE ACUMULATOR 216,937 316,493 316,493 304,600 10-23 INCENTIVE BURDEN (21.0%) 40,255 66,463 66,463 64,000 10-24 BURDEN @ 40% 709,046 798,232 798,232 765,900 PERSONNEL COSTS 3,381,470 3,756,968 3,676,968 3,669,300 20-22 OFFICE SUPPLIES/SUBSCRIPT 8,130 7,200 7,200 7,200 20-23 PRINTING & DUPLICATING 2,297 3,000 3,000 2,500 20-25 JANITORIAL SERV/SUPPLIES 32,155 31,200 31,200 33,000 20-28 MEDICAL SUPPLIES 1,102 5,000 5,000 3,800 20-29 UNIFORMS/UNIFORM ALLOW 16,594 3,360 3,360 5,200 20-32 SECURITY/SAFETY MATERIALS 13,004 4,350 4,350 6,800 20-33 SMALL TOOLS 2,043 3,600 3,600 2,300 20-35 WATER TREATMENT CHEMICALS 30,390 11,000 11,000 400 20-37 COMPUTER SOFTWARE 3,835 7,195 7,195 7,200 20-38 COMPUTER HARDWARE 3,837 3,075 3,075 9,800 20-46 CITY BUILDING MAINTENANCE 20,767 33,075 33,075 16,400 20-58 WATER/SEWER 135,081 30,000 55,000 115,000 MATERIALS & SUPPLIES 269,235 142,055 167,055 209,600 30-19 OPERATOR INSURANCE 341,185 315,484 365,484 373,800 30-21 TELEPHONE 12,699 11,400 11,400 10,300 30-22 POSTAGE 10,431 7,800 7,800 7,800 30-23 ELECTRICITY 999,017 676,000 571,000 580,000 30-24 HEATING OIL/GAS 39,409 45,000 45,000 40,000 30-28 TRAINING/CONF/FOOD/TRAVEL 31,445 22,730 62,730 52,700 30-31 CONTRACTUAL SERVICES 92,371 51,340 131,340 148,200 30-43 ENVIRONMENT EXPENSES 114,347 167,800 147,800 63,500 30-45 OPERATOR MANAGEMENT FEE 195,972 199,499 199,499 203,500 30-46 OPERATOR INCENTIVE 122,098 159,597 159,597 150,000 30-47 HOME OFFICE LABOR 69,985 65,770 65,770 66,300 30-51 RIGHT OF WAY/PERMITS 61,045 69,324 69,324 46,200 30-62 GASOLINE 4,147 3,250 3,250 3,500 30-66 OTHER EQUIPT/MAINTENANCE 70,413 70,000 70,000 69,500 30-67 RADIO REPAIRS/MAINTENANCE 750 7,000 17,000 3,000 30-80 AUXILLARY SYSTEMS 44,056 41,000 41,000 61,500 30-81 BOILER SYSTEMS 149,037 39,000 39,000 57,000 30-82 CONTINUOUS EMISSIONS MONI 23,087 14,500 14,500 20,500 30-83 DCS CONTROL SYSTEM 2,767 12,000 12,000 5,000 30-84 FIRE PROTECTION SYSTEM 7,548 12,800 12,800 13,200 30-85 COOLING TOWER 6,838 6,000 6,000 6,000 30-86 FUEL OIL/GAS SYSTEMS 1,516 4,000 4,000 - 30-87 COMBUSTION TURBINE MAINT 42,501 35,000 35,000 25,000 30-88 POWER DISTRIBUTION SYSTEM 2,580 9,500 9,500 9,500 30-89 TURBINE GENERATOR SYSTEMS 18,089 20,000 20,000 20,000 ADMINISTRATIVE EXPENDITURES 2,463,333 2,065,794 2,120,794 2,036,000 40-25 OTHER EQUIP-PURCHASE 424,747 - - - 40-31 CONSTRUCTION-PURCHASE 1,542,796 1,810,410 1,897,455 1,441,300 CAPITAL OUTLAY 1,967,543 1,810,410 1,897,455 1,441,300 TOTAL EXPENDITURES 8,081,581 7,775,227 7,862,272 7,356,200 REVENUES ELECTRIC FUND 6,114,038 5,964,817 5,964,817 5,914,900 ELECTRIC I & E FUND 1,967,543 1,810,410 1,897,455 1,441,300

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE POWER SUPPLY 480/487-8102-592 2010-2011 2011-2012 2011-2012 2012-2013 ACCT DESCRIPTION ACTUAL BUDGET REVISED BUDGET 65-44 OPERATOR/SUPPLY MGMT FEE 2,355,630 1,170,000 1,170,000 996,000 65 SERIES TOTAL 2,355,630 1,170,000 1,170,000 996,000 95-48 3RD PARTY HEDGE PURCHASES 47,543,983 42,047,430 42,047,430 39,468,900 95-58 SOLAR POWER SUPPLY - - - 1,414,500 95-49 CAPACITY CHARGES 12,344,169 8,506,512 8,506,512 12,564,800 95-50 CAPACITY CREDITS (11,407,201) (7,388,283) (7,388,283) (14,318,600) 95-91 PJM CHARGES 15,051,912 15,043,396 15,043,396 17,508,300 95-92 PJM CREDITS/SPOT MARKET ENERGY (6,834,780) (1,285,675) (1,285,675) (1,199,700) 95 SERIES TOTAL 56,698,083 56,923,380 56,923,380 55,438,200 98-91 GAS FUEL 3,548,275 664,641 664,641 586,000 98-93 NO. 2 FUEL OIL 136,924 - - - 98 SERIES TOTAL 3,685,199 664,641 664,641 586,000 TOTAL EXPENDITURES 62,738,912 58,758,021 58,758,021 57,020,200 REVENUES ELECTRIC FUND 62,738,912 58,758,021 58,758,021 57,020,200

OTHER FUNDS CONTAINS THE FOLLOWING SUBSECTIONS: – MUNICIPAL STREET AID FUND – WORKERS COMPENSATION FUND – COMMUNITY TRANSPORTATION FUND – LIBRARY GRANTS

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE MUNICIPAL STREET AID FUND CASH RECEIPTS $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED BEGINNING BALANCE 429 100 102 100 2 -2.0% STATE GRANT 526,814 526,814 526,814 527,400 (586) 0.1% INTEREST EARNED 100 - - - - 0.0% TOTALS 527,343 526,914 526,916 527,500 (584) 0.1% BUDGET SUMMARY $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED TRANSFER TO GENERAL FUND 527,227 526,814 526,816 527,400 (584) 0.1% CURRENT YEAR BALANCE 102 102 100 100 - 0.0% TOTALS 527,329 526,914 526,916 527,500 (584) 0.1%

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE WORKER'S COMPENSATION FUND 662 OPERATING REVENUES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED PRIOR YEAR BALANCE 1,566,938 1,663,168 1,663,168 722,542 940,626 0.0% INTEREST INCOME 26,549 45,737 45,737 45,737 - 0.0% PREMIUM FROM CITY 631,636 - 24,528 626,900 (602,372) 0.0% MISCELLANEOUS REVENUE 4,577 4,600 6,380 4,600 1,780 0.0% INSURANCE REFUND - - 533,979 - 533,979 0.0% TOTALS 2,229,700 1,713,505 2,273,792 1,399,779 313,726 0.0% OPERATING EXPENSES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED PROGRAM EXPENSES/SUPPLIES - CLAIMS 161,880 450,000 1,400,000 450,000 - 0.0% INSURANCE 51,139 82,150 82,150 50,000 32,150 0.0% BANK FEES 2,053 1,500 100 2,000 (500) 0.0% STATE OF DEL - SELF INSURANCE TAX 46,831 37,000 37,000 47,000 (10,000) 0.0% CONTRACTUAL SERVICES 31,100 32,000 32,000 32,000 - 0.0% TOTAL EXPENSES 293,003 602,650 1,551,250 581,000 21,650 0.0% CURRENT YEAR BALANCE 1,936,697 1,110,855 722,542 818,779 292,076 0.0% TOTALS 2,229,700 1,713,505 2,273,792 1,399,779 313,726 0.0%

FY 2013 DRAFT ANNUAL OPERATING BUDGET – DOVER, DELAWARE COMMUNITY TRANSPORTATION IMPROVEMENT FUND OPERATING REVENUES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED PRIOR YEAR BALANCE 309,852 312,651 312,651 1,622,151 (1,309,500) 418.8% GRANTS REVENUE (Lincoln Park/Clarence Street 518,249 1,900,000 1,900,000 500,000 1,400,000 -73.7% TRANSFER FROM GENERAL CAPITAL PROJ FUND 459,960 - 1,606,700 - 1,606,700 -100.0% INTEREST INCOME 372 2,800 2,800 2,800 - 0.0% TOTALS 1,288,433 2,215,451 3,822,151 2,124,951 1,697,200 -44.4% OPERATING EXPENSES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED PROGRAM EXPENSES GRANT RELATED 554,002 2,200,000 2,200,000 500,000 1,700,000 -77.3% PROGRAM EXPENSES CITY APPROPRIATED 179,271 - - 803,400 (803,400) 0.0% OPERATING TRANSFERS - OUT 120,000 - - - - 0.0% CURRENT YEAR BALANCE 435,160 15,451 1,622,151 821,551 800,600 -49.4% TOTALS 1,288,433 2,215,451 3,822,151 2,124,951 1,697,200 -44.4%

FY 2013 DRAFT ANNUAL OPERATING BUDET – DOVER, DELAWARE LIBRARY GRANT OPERATING REVENUES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED PRIOR YEAR BALANCE 16,336 16,336 16,336 16,336 - 0.0% STATE GRANT 250,996 259,801 244,996 259,801 (14,805) 6.0% FEDERAL GRANT - 2,750 - 2,750 (2,750) 0.0% INTEREST INCOME - - - - - 0.0% TOTALS 267,332 278,887 261,332 278,887 (17,555) 6.7% OPERATING EXPENSES $ DIFFERENCE % DIFFERENCE 2010/11 2011/12 2011/12 2012/13 FY 13 PP VS FY13 PP VS ACTUAL APPROVED REVISED PROPOSED FY12 REVISED FY12 REVISED STATE GRANTS FURNITURE/FIXTURES 1,095 - 3,000 - 3,000 -100.0% PROGRAM EXPENSES/SUPPLIES 46,216 41,935 42,000 41,935 65 -0.2% BOOKS 96,951 119,216 110,016 119,216 (9,200) 8.4% COMPUTER SOFTWARE - - - 0.0% COMPUTER HARDWARE - - - 0.0% AUDIO VISUAL SUPPLIES 61,047 55,000 65,000 55,000 10,000 -15.4% ADVERTISEMENT - 0.0% TRAINING/CONF/FOOD/TRAV 2,914 5,000 2,915 5,000 (2,085) 71.5% CONSULTING FEES - 0.0% CONTRACTUAL SERVICES 8,065 18,650 8,065 18,650 (10,585) 131.2% OFF EQP/REPAIRS & MAINT - - - 0.0% OTHER EQUIP - PURCHASE - - - 0.0% COMPUTER SOFTWARE - - - 0.0% COMPUTER HARDWARE 22,742 20,000 14,000 20,000 (6,000) 42.9% SUBTOTAL EXPENSES STATE GRANTS 239,030 259,801 244,996 259,801 (14,805) 6.0% FEDERAL GRANTS PROGRAM EXPENSES/SUPPLIES - 2,750 - - - 0.0% SUBTOTAL EXPENSES FEDERAL GRANTS - 2,750 - - - 0.0% CURRENT YEAR BALANCE 28,302 16,336 16,336 19,086 (2,750) 0 TOTALS 267,332 278,887 261,332 278,887 (17,555) 6.7%