COUNCIL Minutes

REGULAR COUNCIL MEETING The Regular Council Meeting was held on August 23, 2010 at 7:30 p.m. with Council President Hogan presiding. Council members present were Mr. Bonar, Mrs. Russell, Mr. McGlumphy, Mr. Leary, Mr. McGiffin, Mrs. Williams, and Mr. Salters. Mr. Ruane was absent. Council staff members present were Police Chief Hosfelt, Ms. Russell, Mrs. Mitchell, Mrs. Townshend, Fire Chief Christiansen, Mr. DePrima, City Solicitor Rodriguez, and Mrs. Clendaniel. Mayor Carey was also present. OPEN FORUM The Open Forum was held at 7:15 p.m., prior to commencement of the Official Council Meeting. Council President Hogan declared the Open Forum in session and reminded those present that Council is not in official session and cannot take formal action. Ms. Donyale London, 397 Post Boulevard, advised members that, in the Spring of 2007, she participated in a City of Dover grant program to rehabilitate her residence to address code violations. She stated that her lateral sewer line was replaced from the house to the main line and two (2) clean- outs were installed. These installations were done improperly and, subsequently, caused three (3) major sewer backups into her home within a few weeks of installation. At that time, Ms. London requested Council=s assistance in the matter. It was noted that the contractor, Alpine Contractors, was hired by the City. However, after an extended investigatory period, it was determined that the liability for any sustainable damages would have to be addressed by Alpine Contractors. Due to the lengthy claim process, Ms. London explained that the necessary steps to preclude the bacterial growth process that raw sewage presents were not performed, which subsequently caused a mold, mildew, and bacteria problem in her home. She advised members that, during the claims process, it was discovered that Alpine Contractors was inadequately insured for the catastrophic damages to her residence and personal property, as well as the personal injuries to her family members as a direct result of prolonged exposure to the mold, mildew, and bacteria. Ms. London indicated that she has exhausted all legal recourse in this matter since Alpine Contractors has sold its liquid assets. She stated that on Friday, August 20, 2010, her attorney withdrew as her counsel due to the apparent insolvency of Alpine Contractors, Inc.; therefore, she is now without legal counsel and unable to pursue judgment against the contractors and/or recoup any damages. She advised members that she and her children are allergy sensitive to the elements now present in the home and these living conditions present a possible risk of fatality. It was Ms. London=s feeling that the City of Dover should assist her with this matter since it was the City=s responsibility to secure a contractor with proper and adequate insurance; therefore, she requested the City=s assistance in rectifying the damages that her family sustained due to a well-intentioned City program. Ms. Andrea Pierce, 39 Par Haven Drive, requested that City Council further investigate the City=s reassessment and the reassessment process. She stated that she lives in a condominium complex that has three (3) basic floor plans. Ms. Pierce was advised by Tyler Technologies that

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 2 identical floor plans should have been assessed at the same value; however, this was not the case. She explained that there did not appear to be any reason for the different assessed values (floor level, renovations, etc.). She relayed concern that this type of discrepancy occurred in a complex with identical floor plans and questioned the accuracy of assessed values in other neighborhoods without such similarities. In addition, Ms. Pierce questioned the difference in assessed values for the complex in which she resides and the adjacent complex, explaining that both complexes are identical, including the floor plans. She advised members that the unit with the higher assessed value was not the best unit in the complex and urged members to look into how these assessments were determined. Mr. Kenneth Dryden, 20 Moonlight Court in Newark, read a letter dated August 23, 2010 into the record in regards to the Dover Human Relations Commission (Exhibit #1). Ms. Winifred Walton, 238 Green Blade Drive, stated that she received her tax assessment letter early in the spring and did not feel that the assessment would affect her tax bill. She indicated that when she received her tax bill, she realized that the assessment resulted in a large increase, and questioned why residents were not able to appeal the tax increase. Ms. Walton stated that her taxes were $340 last year and that they increased by $130. She is in the process of putting her home on the market and she stated that she would not be able to sell the property for an amount close to the City=s assessed value. The invocation was given by Chaplain Dixon, followed by the Pledge of Allegiance. AGENDA ADDITIONS/DELETIONS Mr. Leary moved for approval of the agenda as presented, seconded by Mr. Bonar and unanimously carried. Council President Hogan advised members that staff requested that Item #6 - Monthly Budget Report for June 2010, be removed from the consent agenda. Mr. Leary moved for approval of the consent agenda, as amended, seconded by Mrs. Williams and carried by a unanimous roll call vote (Mr. Ruane absent). ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF AUGUST 9, 2010 The Minutes of the Regular Council Meeting of August 9, 2010 were unanimously approved by motion of Mr. Leary, seconded by Mrs. Williams and bore the written approval of Mayor Carey. PRESENTATION - LUTHER TOWERS PAYMENT IN LIEU OF TAXES (PILOT) Mayor Carey announced the receipt of a contribution in the amount of $27,225 for payment in lieu of taxes (PILOT) from Luther Towers, noting that a contribution has been provided to the City by Luther Towers each year. On behalf of the Board of Directors for Luther Towers, Mr. Gary Coy relayed appreciation to the City for the services provided to Luther Towers and Luther Village throughout the year.

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CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 4 PRESENTATION - BRETT AND GWENDOLYN ELLIOTT - DOVER ANCHOR LIBRARY Ms. Marjorie Cyr, Library Director, introduced Dr. Brett Elliott and his wife, Mrs. Gwendolyn Elliott. She noted that Mrs. Elliott has been a member of library committees since the library project began in 2005 and that both she and Dr. Elliott have been wonderful supporters of both the current and new libraries. Mrs. Elliott indicated their excitement about the new library. Ms. Cyr announced that Dr. and Mrs. Elliott have provided the City with a donation in the amount of $50,000 for the new library. On behalf of the City, Mayor Carey relayed appreciation for the donation. BOARD OF ASSESSMENT APPEALS EXEMPTION - FIRST PILGRIM BAPTIST CHURCH - 350 FREAR DRIVE During their Regular Meeting of June 28, 2010, members of City Council postponed action on the exemption request of First Pilgrim Baptist Church, located at 350 Frear Drive (ED05-068.14-01- 14.00), to allow the City Assessor to evaluate actual facts for presentation to Council within 45 days. City Clerk=s Office Note: The reason for the exemption request was that the parcel falls under State Statute 9 Del. C.§8105 - Property owned by governmental, religious, educational of charitable agency. During their meeting of May 26, 2010, members tabled the exemption request in order for a legal opinion to be obtained regarding the information that the County used to exempt this property. This request for exemption was brought back to the Board of Assessment Appeals on June 9, 2010 after the requested legal opinion had been obtained. Original Assessed Value: $142,100. The City Assessor recommended approval of the request for exemption and the Board of Assessment Appeals recommended denial of the request for exemption. Ms. Cheryl Russell, City Assessor, advised members that the City sent a letter to the First Pilgrim Baptist Church requesting audited financial statements for the daycare and a response to Council=s question as to whether only those children of parents who attend the First Pilgrim Baptist Church are permitted at the daycare. She noted that the response received indicated that there was not enough time provided for the First Pilgrim Baptist Church to supply the financial statements requested and that there was one (1) child enrolled in the daycare whose parents attend the Church. Bishop Doreina C. Miles, 517 Watson Drive, stated that she serves as Senior Pastor at First Pilgrim Baptist Church in Camden and has done so for the past 22 years. She requested Council=s support in granting tax exemption for the family daycare facility located at 350 Frear Drive. The property is owned by the Church, has 501(c)(3) status, and has been granted tax-exempt status by Kent County. She explained that the facility is a not-for-profit outreach

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 5 ministry and currently provides 13-15 families with quality daycare services. Bishop Miles noted that all of the families, with the exception of one (1), who is a member of the First Pilgrim Baptist Church, are receiving "purchase of care." She indicated that the purchase of care children are sent to their facility through the Delaware Division of Social Services and payment for daycare services is subsidized by the State of Delaware. Bishop Miles indicated that there are no "private" paying children who attend the center. Bishop Miles advised members that, although the facility is not-for-profit, there is a need to "break even" in order to continue to provide the family daycare. She requested that Council consider granting a temporary tax exemption for a few years in order to allow the organization to "shift gears" and look for a different way to deliver services that would be helpful to the community at large. Responding to Council President Hogan, Ms. Russell stated that the reason that the Board of Assessment Appeals recommended denial was due to the fact that the daycare is located in a residential home in a residential neighborhood, and the church is located in Camden. In response to Mr. Bonar, Bishop Miles indicated that no one resides at the facility, explaining that there are very strict guidelines for daycare facilities and, to date, no one has been qualified to live in the facility. She noted that the church initially requested to provide full daycare, including day and evening services; however, due to the strict regulations for both the church and State of Delaware, it was necessary to provide qualified individuals. Mrs. Russell moved to grant the exemption for First Pilgrim Baptist Church at 350 Frear Drive. The motion was seconded by Mrs. Williams and carried by a unanimous roll call vote (Mr. Ruane absent). PUBLIC HEARING - VIOLATION OF THE DANGEROUS BUILDING ORDINANCE (POOL) - 628 N. WEST STREET - OWNED BY CHARLES VALENTINE A public hearing was duly advertised for this time and place to consider a violation of the Dangerous Building Ordinance at 628 N. West Street (swimming pool), owned by Charles Valentine. Mr. Scott Koenig, Public Services Manager/Director of Public Works, explained that there is a pool located at 628 N. West Street that has been in a serious state of disrepair, with numerous code violations, dating back to 2007. He noted that the file indicates that the pool water is not sanitary and is not being treated, and neither the pump nor accessories are in good repair. Currently the water level in the pool is very low. In addition, parts of the rear fence are no longer in place, which allows unhindered access to the pool, representing a danger to the residents of the surrounding area. There are portions of the fence surrounding the pool that do not meet current height requirements. After reviewing the file, Mr. Koenig stated that it appears that several of the mailed notices have been returned to the City as unclaimed mail. He advised members that the City has received numerous complaints from neighbors regarding the

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 6 overgrowth and condition of the pool. He reviewed a presentation depicting the condition of the property (Exhibit #2). Staff recommended that City Council: 1) declare the pool structure dangerous; 2) order the property repaired or demolished by September 23, 2010 by the owner or equitable owner at their own risk; 3) order the Building Inspector to cause the repair or demolition of the pool if not completed by the owner or equity owner within the ten (10) days of the date set by Council; and 4) order the City Manager, with the assistance of the City Solicitor, to cause the cost of repairs or demolition to be charged against the land on which the pool exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner. It was noted that staff provided an estimated repair cost of $8,000 to $10,000. Mr. Koenig advised members that he spoke with Mr. Valentine earlier on August 23, 2010, and Mr. Valentine indicated he was not feeling well and had a heart condition that would prevent him from attending this evening=s meeting. Mr. Valentine requested that the City postpone the matter based on this information. Mr. Koenig noted that there was no contact attempted by Mr. Valentine prior to this. Based on his discussion with Mr. Valentine, Mr. Koenig visited the site and found that the statements made regarding there being a cover on the property (pool) and the fence being secure in the rear were marginally correct. He explained that a tarp was put over the pool; however, it was pulled down due to the weight of the rain during the past few days and was not considered to be in a secure condition. Although the fencing in the rear had been improved, due to the height, it was not within the code requirements for a pool. Mr. Koenig indicated that major repairs would be necessary to maintain the pool. Mr. Valentine indicated that he had grown children, leading Mr. Koenig to believe that the homeowner resides by himself and the potential use of the pool seems relatively small. Therefore, after the discussion with Mr. Valentine and the site visit, Mr. Koenig requested approval of staff=s recommendation. Responding to Mrs. Williams, Mr. Koenig felt that a child under the age of 12 could access the pool. He explained that there is a risk of a child falling eight (8) feet to the concrete bottom and, at that point, there would be a possibility of drowning. Council President Hogan declared the public hearing open. There being no one present wishing to speak, Council President Hogan declared the public hearing closed. Mr. Bonar moved to approve staff=s recommendation and declare the pool structure at 628 N. West Street dangerous, seconded by Mr. McGiffin. Mr. Salters suggested that Council provide additional time for the repairs or demolition, noting that one (1) month may not provide enough time, particularly due to Mr. Valentine=s current health situation.

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 7 At the request of Council President Hogan, Mr. Koenig explained that there have been similar situations when homeowners have been granted extensions. He noted that in these cases, staff has deemed it more appropriate to allow the property owner to use private funds to rectify the problem than to expend public funds and institute a lien against the property. Mr. Koenig noted that, once a time frame has been identified, as long as staff has a reasonable feeling of security that the property owner is working to the best of their ability, the designated time frame has occasionally been extended administratively. Mr. Koenig relayed no objections to extending the date for repairs or demolition, noting that it would be difficult for staff to meet this time frame. In response to Mrs. Russell, Mr. Koenig stated that he was under the impression that Mr. Valentine would like to bring the pool structure off the dangerous building list and make the necessary repairs. Mr. Bonar noted that there have been concerns regarding the property since 2002. He questioned whether staff would be permitted to extend the date provided by Council motion if it is determined that progress is being made. Responding, City Solicitor Rodriguez confirmed that staff would be permitted to extend the date administratively without submitting a request to Council.

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 8 On a call for the question by Mr. Bonar, the motion to: 1) declare the pool structure dangerous; 2) order the property repaired or demolished by September 23, 2010 by the owner or equitable owner at their own risk; 3) order the Building Inspector to cause the repair or demolition of the pool if not completed by the owner or equity owner within ten (10) days of the date set by Council; and 4) order the City Manager, with the assistance of the City Solicitor, to cause the cost of repairs or demolition to be charged against the land on which the pool exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner, as recommended by staff, was carried by a roll call vote of seven (7) yes, one (1) no (Mrs. Russell), and one (1) absent (Mr. Ruane). LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE REPORT - AUGUST 9, 2010 The Legislative, Finance, and Administration Committee met on August 9, 2010 with Chairman Leary presiding. Review and Recommendation - Filling of Critical Positions During their meeting of February 23, 2009, members recommended approval of the Hiring Freeze for Fiscal Year 2008-2009, but to allow the hiring of critical positions through the review and approval of the Legislative, Finance, and Administration Committee and City Council. It was suggested that there be a "standing" agenda item to consider the filling of critical positions and, if there are no positions to consider, the item could be removed. Mr. Leary noted that there were no critical positions to be considered; therefore, no further action was required. Title V Grant Application - Growing Up and Meeting Each Success (GAMES) Partnership with Aid in Dover During their meeting of July 26, 2010, members were provided a Title V Grant Application for Growing Up and Meeting Each Success (GAMES) Partnership with Aid in Dover. After much discussion, members recommended deferring action regarding the request until it was properly prepared and the Committee=s concerns were resolved. Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that Aid in Dover had submitted a concept paper for a three (3) year grant through the Criminal Justice Council for delinquency prevention. She stated that Aid in Dover was selected to submit a formal application in conjunction with the City of Dover for funding. The proposal is for an after school program called GAMES that would help participants aged 10-18 years develop soft skills for life=s challenges. The program would meet twice weekly and instruction would include anti-bullying, common courtesy and etiquette, conflict resolution, time management, self-image repair, and community service. Members were provided the grant application and the Department Grant Application Analysis Form that reflected changes that staff (Mr. Anthony DePrima, City Manager; Mrs. Donna Mitchell, Controller/Treasurer; and Mr. Zachery Carter, Director of Parks and Recreation)

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 9 collectively identified for the Committee. Mrs. Townshend noted that the grant award is $31,812, with a proposed $22,732 match through in-kind services. After speaking with Ms. Valerie Smythe, Juvenile Justice Specialist from the Criminal Justice Council, and having been provided with the Request for Proposals associated with the grant, she advised members that Federal stipulations require that the grant have oversight from a Prevention Policy Board. Mrs. Townshend stated that it was Ms. Smythe=s belief that the Criminal Justice Council would allow the grant to proceed without meeting the oversight requirement, with a strict requirement that no funds would be disbursed until the required Prevention Policy Board is created and has reviewed the grant. She also advised members that there will not be enough youth on the City=s Youth Advisory Committee until late fall to consider this issue; therefore, using this Committee to oversee the grant is not an option. Mrs. Townshend indicated that, after discussing this matter with Councilwoman Williams, Executive Director of Aid in Dover, the application was modified to indicate that Aid in Dover will form its own youth advisory group to oversee the grant. Mrs. Townshend also advised members that, after discussion with Mr. DePrima and Mr. Carter, staff proposed that the grant be administered by the Parks and Recreation Department, with Mrs. Sherwanda Rachal-Speaks as the primary point of contact, if the City moves forward with the grant. Staff recommended acceptance of the grant, with the City of Dover being the municipal sponsor in partnership with Aid in Dover. Referring to the in-kind services requirement, Mr. Salters relayed concern with the City possibly setting a precedent by expending resources to subsidize a non-profit organization. Responding, Mrs. Williams noted that the City previously agreed to serve as a "passthrough" for a similar grant through the Criminal Justice Council for an Aid in Dover Girls Circle Grant (City Council minutes of October 13, 2008). In addition, she explained that the current grant was made available only to municipalities; therefore, non-profit groups are unable to apply on an individual basis. She further explained that grant monies would be provided to the City, the City would then provide payment to the contractor, and all accounting for the grant would be accomplished by the contractor. Also in response to Mr. Salters, Mrs. Williams stated that she would receive no salary from the grant and that $13,000 of her salary would be included as a portion of the City=s matching funds. Mrs. Williams advised members of her desire for the City=s Youth Advisory Committee to oversee the grant if this matter could be worked out with the Criminal Justice Council, as it was her hope that the Youth Advisory Committee could then receive resources from the grant. Responding, Mrs. Townshend reiterated that there is no local Policy Prevention Board in place and that the Criminal Justice Council would work with the City under a very strict agreement that no funds would be disbursed until this occurs. It was stressed that the Board must be

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 10 accountable on some level to the City since the City is the recipient of and is responsible for the grant.

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 11 In reviewing the criteria for a Prevention Policy Board, Mr. DePrima, City Manager, felt that the City=s Youth Advisory Committee would not qualify, noting that the Board requires "balanced representation of public agencies." He suggested that the establishment of the Board receive City Council approval. Mr. Leary suggested that the Prevention Policy Board should report to the Parks, Recreation, and Community Enhancement Committee. Noting that this matter involves federal money flowing through the City, Mr. McGiffin stressed the importance of maintaining accountability. He suggested that an individual be assigned to ensure good communication of information between City Council and the Policy Prevention Board. The Committee recommended approval of the grant request, with the stipulation that all requirements for assurances are met. Mr. Leary moved for approval of the Committee=s recommendation for approval of the Title V Grant Application for Growing Up and Meeting Each Success (GAMES) Partnership with Aid in Dover, with the City of Dover being the municipal sponsor in partnership with Aid in Dover, and with the stipulation that all requirements for assurances are met. The motion was seconded by Mr. Salters and carried by a roll call vote of seven (7) yes, one (1) abstention (Mrs. Williams), and one (1) absent (Mr. Ruane). Briefing on Business Licenses Mr. Leary reminded members that, during the recent budget discussions, there was much debate regarding business license fees and layers of licenses. As a result, he felt that it would be beneficial to be provided a history of the City=s business licenses. Mr. Anthony DePrima, City Manager, provided members with a memo detailing the history and purpose of business licenses in the City of Dover. In reviewing City Council minutes, he stated that in 1954 there was a Business License Committee of City Council whose purpose was to study business licenses. On February 15, 1954, the Committee recommended to City Council that there be a flat business license fee of $4.00 for "residents" and $6.00 for "non-residents." He noted that there was a "problem" at that time with transient businesses (peddlers) which was referred to City Council, and Council requested the City Manager to obtain a business license ordinance from a City similar in size to Dover. Mr. DePrima advised members that on June 14, 1954, City Council passed a Business License Ordinance which is still at the core of today=s business license code. He noted that it appeared Council did not accept the flat fee recommended by the Committee, as fees for specific businesses ranged from $3.00 to $10.00 for a list of 56 specific businesses. Manufacturer and contractor fees were set at .01% of gross receipts, and merchant and bottler fees were set at .01% of gross purchases. Mr. DePrima explained that, over time, business types have changed, noting that the City no longer has a license category for "Public Bath Keeper" but does have one for "Computer Related Services;" however, the same basic structure remains today. He stated that the Committee=s recommendation to have "resident" and "non-resident" rates was not adopted; however, out-of-state peddlers were given the highest fee of $25.00.

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 12 Mr. DePrima indicated that the ordinance has been amended over the years to increase fees, update license categories, and strengthen enforcement. He noted that additions to the ordinance included the creation of definitions, establishment of the position and duties of licensing officer, allowance for exemptions and refunds, provision of guidelines for denying a license, and establishment of an appeal process for denying or rescinding a license. Mr. DePrima explained that in 1968, fees increased to a range of $3.00 to $40.00, the out-of-state peddler fees were $100.00, and the gross receipts and purchase percent doubled to .02%. Council also established a late fee penalty of 1%. Mr. DePrima stated that significant fee increases were instituted in 1982. Mr. DePrima reviewed the purpose of the ordinance, noting that its primary function is to regulate businesses to ensure they are operating safely and within the laws of the City. The original ordinance required that license holders have their businesses open for inspection by the Fire Marshal and Executive Director of the Board of Health; therefore, he noted that it was clear that there were concerns about health and safety. In the original ordinance, the application required the licensee to sign a statement indicating that the business was being operated in accordance with all City ordinances. Both the Fire Marshal and the Executive Director of the Board of Health had the right to deny or rescind a license if violations were found. Mr. DePrima stated that today, business licenses continue to be an important way of ensuring that businesses comply with City codes. Mr. DePrima advised members that the member of Council who chaired the Business Licensing Committee went on record indicating that the institution of business licenses was an effort to prevent undesirable businesses from locating in Dover. Mr. DePrima stated that it was not clear to what degree the decision to establish a business license was based on the intention to provide a new source of revenue. To date, staff has not been able to locate financial information from the 1950s that would show how much revenue the program initially produced relative to the budget. Over time, it is clear that Council increased the license fees substantially, particularly in 1982. As an example, Mr. DePrima stated that in 1954, the cost of a license for an architect was $5.00 and today it is $242.00. In general, he noted that this increase has outpaced annual inflation rates over the years. He stated that current business license income is approximately 4.5% of the General Fund budget. Mr. DePrima provided members with information regarding business license revenue increase comparisons with other Delaware communities and the fees as a percent of General Fund revenue, along with a cover memo, dated April 25, 2003 (attachment to Committee minutes). He stated that there did not seem to be a particular pattern for the fees. It was his opinion that municipalities simply base fees on the types of businesses they attract, noting that banks are substantial in Wilmington and eating establishments in Rehoboth, and that fees for these particular types of businesses in those municipalities are higher. He advised members that he reviewed a newspaper article indicating that Council referenced a 1931 State law that enabled municipalities to have business licenses, although there was no apparent need to enact a City ordinance until 1954. Responding to Mr. Leary, Mr. DePrima stated that the original purpose of the business license ordinance was to prevent undesirable businesses. He advised members that there have been

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 13 instances when a business license was revoked and cases when revocation has been used as a threat by staff to urge businesses to comply with City codes. Mr. DePrima also noted that monitoring business licenses has been the primary way of ensuring that business locations are in compliance with the Zoning Code and that registration information is a source of important information for both the Fire Department and Police Department. Also in response to Mr. Leary, Mr. DePrima felt that the amount of time put into the administration of this program is small, relative to the amount of money collected. He reminded members that business licenses are issued once each year. Referring to business license fees as a percent of General Fund revenue (last page of Attachment #1 to Committee minutes), Mr. DePrima stated that it has been staff=s intent to keep this revenue at approximately 5% and he noted that current fees are approximately 4.5%. The Committee recommended acceptance of the report as presented by staff. By consent agenda, Mr. Leary moved for approval of the Committee=s recommendation, seconded by Mrs. Williams and carried by a unanimous roll call vote (Mr. Ruane absent). Mr. Leary moved for acceptance of the Legislative, Finance, and Administration Committee Report, seconded by Mr. Salters and unanimously carried. MONTHLY BUDGET REPORT - JUNE 2010 Mrs. Donna Mitchell, Controller/Treasurer, noted that a "Schedule of Budget Variances (Preliminary)" for each of the three (3) major operating funds for Fiscal Year Ended June 30, 2010 has been provided to members along with the Monthly Budget Report. These schedules highlight the revenue and expense variances by major classification as compared to the latest estimate that was presented to City Council in the last quarter of Fiscal Year 2010. She reiterated that the numbers are preliminary and that the final (audited) results should be completed by November 30, 2010. Mrs. Mitchell reviewed the executive summary of these schedules. Mr. Leary moved for acceptance of the Monthly Budget Report for June 2010, seconded by Mr. Salters and unanimously carried. FINAL READING - PROPOSED ORDINANCE The First Reading of the following Proposed Ordinance was accomplished during the Council Meeting of August 9, 2010. Proposed Ordinance #2010-23 Related to Requirement to Step Down When Running for Other Office Mr. Bonar moved that the Final Reading of the Proposed Ordinance be acknowledged by title only, seconded by Mrs. Russell and unanimously carried (Mr. Ruane absent).

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 14 Mr. Leary moved for adoption of the Proposed Ordinance, seconded by Mr. Salters, and by a roll call vote of seven (7) yes, one (1) no (Council President Hogan), and one (1) absent (Mr. Ruane), Council adopted Ordinance #2010-23, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Article II - Mayor and Council, Section 5 - Council to be legislative body; size; districts; terms of mayor and councilmen; qualifications, of the Charter of the City of Dover shall be amended to read as follows: Sec. 5. Council to be legislative body; size; districts; terms of mayor and councilmen; qualifications. The council shall be the legislative body of the city and composed of nine members nominated and elected as herein provided. In order that the members of council shall be distributed over the city, the city shall be divided into four election districts, the district boundaries of which shall be established by council so that the districts are nearly equal in population as shown by the most recent federal decennial census. The district boundaries established for municipal elections shall continue in effect until the next succeeding federal decennial census is made available for use by municipalities in the State of Delaware, at which time council shall redistrict the city so that the districts shall be nearly equal in population in accordance with said census, which redistricting shall be used for the next regular municipal election, which procedure shall be followed by council after each succeeding federal decennial census in this manner so that the districts shall be maintained as nearly equal in population as possible at all times. The term of mayor shall be for a period of two years commencing on the second Monday in May following their election and continuing for a term of two years until the second Monday in May or until their successor has been duly elected and qualified. The term of the councilmen shall be for two years. In each regular municipal election held in an odd numbered year, five councilmen shall be elected, four by district voting being from the districts and one at-large as stated herein. In each regular municipal election held in an even numbered year, four councilmen shall be elected by district voting from each of the districts of the city. In order to be eligible to be elected as mayor or as a member of council, the person must as of the date of the election be: (1) A citizen of the United States and of the State of Delaware;

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 15 (2) A resident of the city and having continuously resided therein or in an area annexed to the city during the two years next preceding the day of the election; (3) A resident of the election district from which they are seeking election, unless they are seeking election as an at-large councilman or mayor; (4) Eighteen years of age; and (5) Nominated therefore, as hereinafter provided. Holding Other Office. Except where authorized by law, no council members shall hold any other elected public office during the term for which the member was elected to the council. No council member shall hold any other city office or employment during the term for which the member was elected to the council. No former council members shall hold any compensated appointive office or employment with the city until one year after the expiration of the term for which the member was elected to the council, unless granted a waiver by the Board of Ethics (Ethics Commission). NOTE: A Resolution requesting the General Assembly to amend the Charter will be presented to City Council with the Final Reading. BE IT FURTHER ORDAINED That Chapter 30 - Code of Conduct and Ethics Commission, Article III - Ethics Commission, Section 30-71 - Established; composition; removal; terms of office; vacancies; chairperson; quorum; compensation; legal counsel, Paragraph (a) - Established; composition; removal, be amended to read as follows: ARTICLE III. ETHICS COMMISSION Sec. 30-71. Established; composition; removal; terms of office; vacancies; chairperson; quorum; compensation; legal counsel. (a) Established; composition; removal. The city ethics commission is hereby established to administer and implement this chapter. The ethics commission shall consist of five members appointed by the mayor and confirmed by the city council. No member of the commission shall hold any elected or appointed office under the government of the United States or the state, county, or city. Members of the ethics commission may be removed by the mayor, with the concurrence of the city council, for substantial neglect of duty, gross misconduct in office or a violation of this chapter. BE IT FURTHER ORDAINED That Chapter 58 - Human Relations, Article II - Human Relations Commission, Section 58-32 - Established; composition; appointment; representation; holding other office; removal from office; terms of office; vacancies; reappointments, Paragraph (d) - Holding other office; removal, be amended to read as follows:

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 16 Sec. 58-32. Established; composition; appointment; representation; holding other office; removal from office; terms of office; vacancies; reappointments. (d) Holding other office; removal. No member of the commission shall hold any elected or appointed office under the government of the United States or the state, county, or city. The mayor or the city council president may remove members of the commission, with the concurrence of the city council, for substantial neglect of duty, or gross misconduct in office. ADOPTED: AUGUST 23, 2010

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 17 PROPOSED RESOLUTION NO. 2010-09 - REQUEST TO GENERAL ASSEMBLY TO AMEND THE CITY OF DOVER CHARTER - ARTICLE II - MAYOR AND COUNCIL, SECTION 5 - COUNCIL TO BE LEGISLATIVE BODY; SIZE; DISTRICTS; TERMS OF MAYOR AND COUNCILMEN; QUALIFICATIONS Members were provided proposed Resolution No. 2010-09, which requests the General Assembly to amend Article II - Mayor and Council, Section 5 - Council to be Legislative Body; Size; Districts; Terms of Mayor and Councilmen; Qualifications, of the City of Dover Charter. Council President Hogan advised members that this Resolution is necessary due to the adoption of Ordinance #2010-23 (Related to Requirement to Step Down When Running for Other Office). Mr. Leary moved for adoption of the Proposed Resolution, seconded by Mr. Bonar, and by a roll call vote of seven (7) yes, one (1) no (Council President Hogan), and one (1) absent (Mr. Ruane), Council adopted Resolution No. 2010-09, as follows: BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That the Mayor and Council have determined that the Charter of the City of Dover, Article II - Mayor and Council, Section 5 - Council to be legislative body; size; districts; terms of mayor and councilmen; qualifications, should be amended by removing the requirement for a Councilperson to relinquish their Council seat in order to be a candidate for Mayor. Therefore, the Mayor and Council of the City of Dover respectfully request the General Assembly of the State of Delaware to amend its Charter, which amendment, if adopted by the General Assembly, would be as follows: Sec. 5. Council to be legislative body; size; districts; terms of mayor and councilmen; qualifications. The council shall be the legislative body of the city and composed of nine members nominated and elected as herein provided. In order that the members of council shall be distributed over the city, the city shall be divided into four election districts, the district boundaries of which shall be established by council so that the districts are nearly equal in population as shown by the most recent federal decennial census. The district boundaries established for municipal elections shall continue in effect until the next succeeding federal decennial census is made available for use by municipalities in the State of Delaware, at which time council shall redistrict the city so that the districts shall be nearly equal in population in accordance with said census, which redistricting shall be used for the next regular municipal election, which procedure shall be followed by council after each succeeding federal decennial census in this manner so that the districts shall be maintained as nearly equal in population as possible at all times. The term of mayor shall be for a period of two years commencing on the second Monday in May following their election and continuing for a term of two years until the second Monday in May or until their successor has been duly elected and qualified.

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 18 The term of the councilmen shall be for two years. In each regular municipal election held in an odd numbered year, five councilmen shall be elected, four by district voting being from the districts and one at-large as stated herein. In each regular municipal election held in an even numbered year, four councilmen shall be elected by district voting from each of the districts of the city. In order to be eligible to be elected as mayor or as a member of council, the person must as of the date of the election be: (1) A citizen of the United States and of the State of Delaware; (2) A resident of the city and having continuously resided therein or in an area annexed to the city during the two years next preceding the day of the election; (3) A resident of the election district from which they are seeking election, unless they are seeking election as an at-large councilman or mayor; (4) Eighteen years of age; and (5) Nominated therefore, as hereinafter provided. Holding Other Office. Except where authorized by law, no council members shall hold any other elected public office during the term for which the member was elected to the council. No council member shall hold any other city office or employment during the term for which the member was elected to the council. No former council members shall hold any compensated appointive office or employment with the city until one year after the expiration of the term for which the member was elected to the council, unless granted a waiver by the Board of Ethics (Ethics Commission). ADOPTED: AUGUST 23, 2010 PROPOSED RESOLUTION NO. 2010-10 - AUTHORIZING REFINANCING OF 2004 TAXABLE ELECTRIC REVENUE BONDS Members were provided proposed Resolution No. 2010-10, which would authorize the refinancing of 2004 Taxable Electric Revenue Bonds. Mrs. Donna Mitchell, Controller/Treasurer, reminded members that several months ago, there was discussion regarding the opportunity to refinance the City=s 2004 Electric Revenue Fund Bonds from taxable to tax exempt. She noted that the refinance would result in a considerable amount of savings, approximately $800,000, and that the principal balance on the bonds is $12,000,000. Mr. Leary moved for adoption of Resolution No. 2010-10 (Exhibit #3), seconded by Mr. Bonar, and carried by a unanimous roll call vote (Mr. Ruane absent). COUNCIL MEMBERS ANNOUNCEMENTS Mr. McGiffin reminded members to mark their calendars for June 25, 2011 for the next African American Festival. Mr. McGiffin announced that he, Mayor Carey, and Representative Darrell Scott have organized a public meeting to discuss issues regarding traffic calming and pedestrian crossings

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 19 for North State Street and North Governors Avenue. The meeting will be held on August 26, 2010 at 7:00 p.m. in the Police Department Conference Room. Mr. McGiffin wished Mr. Ron Dagley (also known as PeeWee), of Comcast, a happy 63rd birthday. Mr. Salters relayed condolences for the recent passing of Ms. Beulah Gray, noting that she served on the City=s Election Board for several years and gave many years of service to the community and her church. Mr. Leary also relayed his heartfelt sympathy for the passing of Ms. Beulah Gray, stating that he was made aware of her passing earlier in the day. He noted that he had the pleasure of working with Ms. Gray on the Board of Elections for many years and that she was a great resource for the City and the entire community. Mr. McGlumphy reminded members that children will be returning to school and asked that the public be cautious. He wished the students and schools well in their endeavors. Mr. Bonar moved for adjournment, seconded by Mr. Leary and unanimously carried. Meeting Adjourned at 8:20 P.M. TRACI A. McDOWELL CITY CLERK All orders, ordinances, and resolutions adopted by City Council during their Regular Meeting of August 23, 2010, are hereby approved. CARLETON E. CAREY, SR. MAYOR /AC/tm/jg/js/dd mag8CF2.wpd Exhibits Exhibit #1 - Letter dated August 23, 2010 from Mr. Kenneth Dryden - Dover Human Relations Commission (Attached to Original Minutes and File Copy) Exhibit #2 - Presentation - Violation of Dangerous Building (Pool) - 628 N. West Street (Attached to Original Minutes and File Copy)

CITY COUNCIL MEETING OF AUGUST 23, 2010 PAGE 20 Exhibit #3 - Resolution No. 2010-10 - Authorizing Refinancing of 2004 Taxable Electric Revenue Bonds

EXHIBIT #1 Regular Council Meeting of 08/23/2010

EXHIBIT #2 Regular Council Meeting of 08/23/2010 Violation of Dangerous Building Ordinance 628 North West Street Public Services Department EXHIBIT #2 Dover, Delaware Regular Council Meeting of 08/23/2010

628 North West Street Case History
Code violation cases involving the pool and overgrowth in the yard dating to 2002.
Numerous complaints from neighbors involving the condition of the pool.
Rear of property is accessible by alley. Fence is low and has missing areas, making this pool a hazard to the neighborhood.
Certified letters to property owner are consistently returned to the City.
Attempts to contact the property owner have been unsuccessful

Code Citation Chapter 22, Article XI Section 22-381
(9) General welfare. Those which, because of their condition or use, are unsafe, insanitary, or dangerous to the public health, morals, safety or general welfare of the people of this city.
(10) Code violations. Those existing in violation of any provisions of the building code of this city, or any provision of the fire prevention code, or other ordinances of this city.

August 10, 2010

August 10, 2010

August 10, 2010

August 19, 2010

August 19, 2010

Recommended Council Action
Declare this pool structure as dangerous.
Order the property repaired or demolished by September 23, 2010.
Order the Building Inspector to cause the repair or demolition of the pool if not completed by the owner within (10) days of the date set by Council.
Order the City Manager with the assistance of the City Solicitor to cause the cost of repairs or demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner.

EXHIBIT #3 Regular Council Meeting of 08/23/2010 City of Dover COUNCIL RESOLUTION NO. 2010-10 A RESOLUTION AUTHORIZING THE SALE OF UP TO $12,000,000 ELECTRIC REVENUE REFUNDING BONDS OF THE CITY OF DOVER WHEREAS, pursuant to Chapter 158, Volume 36, Laws of Delaware, as amended (the “City Charter”) and Chapter 111, Volume 52, Laws of Delaware, as amended (collectively, the “Enabling Acts”), the City of Dover (the “City”) is authorized to issue revenue bonds for the purpose of financing and refinancing improvements to its electric system; WHEREAS, pursuant to the Enabling Acts, the City adopted a Resolution on December 23, 1985, as subsequently supplemented (the “Original Bond Resolution”) in order to issue various series of electric revenue bonds; WHEREAS, the Original Bond Resolution was amended and restated by a Resolution adopted on August 23, 2004 (the “Bond Resolution”) pursuant to which the City issued The City of Dover, Delaware $22,535,000 Electric Revenue Refunding Bonds (Taxable Series 2004) (the “2004 Bonds”); WHEREAS, the City desires to issue additional revenue bonds pursuant to the Bond Resolution in order to refund the 2004 Bonds; and NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Dover, Delaware (the “Council”) as follows (at least three fourths of all members thereof concurring therein): 1. The Council authorizes the sale of the City’s electric revenue refunding bonds pursuant to the Bond Resolution in the aggregate principal amount of up to $12,000,000 (the “2010 Bonds”) for a project (the “Project”) consisting of: (a) the refunding of the 2004 Bonds; and (b) the payment of the costs of issuing the 2010 Bonds. 2. The 2010 Bonds shall be sold in a competitive sale in such manner, subject to such terms and at such price as the Mayor and Controller/Treasurer shall determine shall be in the best interest of the City. 3. The Mayor and the Controller/Treasurer are each authorized to accept a bid received in connection with a competitive sale so long as the bid provides for at least a 3% savings for the City. 1

4. The City declares its official intent within the meaning of Income Tax Regulation §1.150-2 to issue up to $12,000,000 aggregate principal amount of its 2010 Bonds to finance the Project. 5. The 2010 Bonds shall be issued in one or more series, shall bear interest at such rates, shall be payable and shall mature at such times, shall contain such provisions for optional and mandatory redemption, shall be in such form, certificated or book entry, and shall contain such other terms and conditions as the Mayor and Controller/Treasurer shall determine shall be in the best interest of the City. 6. The Mayor and Controller/Treasurer are authorized to prepare and distribute a Preliminary Official Statement in connection with the offering and sale of the 2010 Bonds and to deem such Preliminary Official Statement final for the purposes of Rule l5c2-l2 of the Securities and Exchange Commission and to finalize and distribute an Official Statement. 7. The Mayor and Controller/Treasurer are each authorized to enter into a contract with one or more purchasers of the 2010 Bonds providing for the City to issue and sell said bonds in accordance with the terms of said contract and this Resolution. 8. Upon entering into a contract to issue and sell the 2010 Bonds, the Mayor shall promptly inform the Council of the terms thereof whereupon the Council shall adopt a Resolution confirming the terms thereof. 9. The City hereby covenants for the benefit of holders of the 2010 Bonds that, so long as any 2010 Bonds are outstanding, it will file, or cause to be filed, all financial information, operating data and notices of material events in order to comply with the requirements of Rule 15c2-12 of the Securities and Exchange Commission with respect to the 2010 Bonds. 10. The City Clerk shall forth with cause to be published once in a newspaper published in the City a notice in substantially the following form: “NOTICE “NOTICE IS HEREBY GIVEN that the City Council of the City of Dover, Delaware on August 23, 2010 pursuant to Chapter 111, Volume 52, Delaware Laws, as amended, adopted a resolution entitled as follows: ‘A RESOLUTION AUTHORIZING THE SALE OF UP TO $12,000,000 ELECTRIC REVENUE REFUNDING BONDS OF THE CITY OF DOVER’ “The purpose of the issuance of said bonds is to provide funds to finance or refinance certain improvements to the City’s electric system.” “Any action or proceeding to contest the validity of said resolution or any of its provisions must be commenced within thirty (30) days after the publication of this notice. After the expiration of such period of limitation, no right of action or defense founded upon the invalidity of said resolution or any of its provisions shall be asserted, nor shall the validity of such resolution or any of its provisions be open to question in any court upon any ground whatever, except in an action or proceeding commenced within such period.” 2

By order of the City Council of the City of Dover, Delaware. City Clerk 11. The Mayor, Controller/Treasurer and Clerk of Council are hereby authorized and directed to take all action deemed by them as necessary and appropriate to carry out the intent of this resolution. 12. This resolution shall take effect immediately upon its passage and approval by the Mayor. Attest: Clerk, Dover City Council President, Dover City Council APPROVED by the Mayor of the City of Dover on the 23rd day of August, 2010. ______________________________ Mayor 3