Acta

REGULAR COUNCIL MEETING The Regular Council Meeting was held on December 12, 2011 at 7:30 p.m. with Council President Leary presiding. Council members present were Mr. Anderson, Mrs. Russell, Dr. McGlumphy, Mr. Lynn, Mr. Bonar, Mrs. Williams, Mr. Hare, and Mr. Hutchison. Council staff members present were Police Chief Hosfelt, Ms. Russell, Mrs. Mitchell, Mrs. Townshend, Mr. Koenig, City Solicitor Rodriguez, and Mrs. McDowell. 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 Leary declared the Open Forum in session and reminded those present that Council was not in official session and could not take formal action. Mr. Bill Hare (City Council - Second District) of 23 Woodburn Circle, read the following statement into the record: “The November 28th Council Meeting was very emotional and in some ways very upsetting. There were a lot of things said that I felt needed more information, thus my decision to wait. During these last two weeks, I have spent over 20 hours riding with the Dover police department, not on Tuesday afternoons, but Friday and Saturday nights. I saw first hand what happens. I have seen domestic disputes where the husband and wife are fighting and the police had to restrain them. I saw a family needing to be removed from their home at 4:30 in the morning because of threats of violence and murder from the father. There were bar fights with injuries, armed robberies, drugs, and DUI's, with a policeman being dragged by the car in attempt to stop the car, open container violations on Loockerman Street, home invasions, and traffic stops resulting in arrests. I saw our police being called to assist and back up the State police on at least two occasions. I saw some things that I questioned also, why do 12, 13, and up to 16 year old kids need to be walking the streets of Dover at 12 , 1, and 2 in the morning? Why don't we have a city curfew? Why aren't businesses held accountable when someone leaves with an open container? What I did see during my time is that the citizens of Dover are not in any danger because we do not have the three additional officers. Their commitment, pride, professionalism, and respect for the city and themselves would never allow the citizens to be in harm’s way as long as they can do the job, regardless of how many officers they have. They pull together and work as a team and do what is needed to get the job done.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 2 Does the Dover Police Department need three additional officers to get the job done? According to the officers I rode with, no, they will get the job done at any cost, and even if it means placing themselves in harm’s way to do the job, they will. With all this being said, I am not concerned that the citizens of Dover are in danger because we are down police officers, but my concern is for the officers themselves; the old saying that pride goes before the fall, let's keep the pride and not have the fall. With that being said I do support the additional three officers for the Dover Police.” The invocation was given by Chaplain Dixon, followed by the Pledge of Allegiance. AGENDA ADDITIONS/DELETIONS Mr. Hutchison moved for approval of the agenda as presented, seconded by Mr. Bonar and unanimously carried. Mr. Bonar moved for approval of the consent agenda, seconded by Mr. Hutchison and carried by a unanimous roll call vote. ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF NOVEMBER 28, 2011 The Minutes of the Regular Council Meeting of November 28, 2011 were unanimously approved by motion of Mr. Bonar, seconded by Mr. Hutchison and bore the written approval of Mayor Carey. PUBLIC HEARING - VIOLATION OF DANGEROUS BUILDING ORDINANCE - EMERGENCY CASES: 41 SOUTH QUEEN STREET (OWNER OF RECORD: DAVID WILLEY) In accordance with Article XI - Dangerous Buildings, Sec. 22-388 - Emergency cases, of the Dover Code, in cases where it reasonably appears that there is an immediate danger to the life or safety of any person unless a dangerous building is immediately repaired, vacated and closed, or demolished, the building inspector shall report such facts to the council, which may cause the immediate repair, vacation, or demolition of such dangerous building. Mrs. Ann Marie Townshend, Director of Planning and Community Development, provided a chronological history and presentation (Exhibit #1) on the condition of the house located at 41 South Queen Street, which included photos depicting the condition of the structure. She noted that the two (2) story, single-family, wood-framed dwelling has been the subject of various code violations since 1998, including cases of exterior and interior violations, tall grass and weeds, and overgrowth. The house was registered by Bank of America as a vacant building in June 2009 and was administratively condemned on October 31, 2011. All vacant building fees have been paid by Bank of America. The structure was the subject of a fire which occurred on October 30, 2011. Since the structure has been vacant and (due to the severe fire damage) cannot be fully secured, staff recommended that this be considered an emergency case, and that the City proceed with demolition if such action has not been taken by the owner or equity owner within ten (10) days of Council action.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 3 Staff recommended that City Council: 1) declare this building dangerous; 2) order the property immediately repaired or demolished; 3) order the Building Inspector to cause the repair or demolition of the structure if not completed by the owner by December 22, 2011; 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 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. Responding to Mr. Lynn’s concerns regarding the length of time during which the bank has not taken action (since the property was declared vacant in 2009), Mrs. Townshend indicated that there are several properties with similar circumstances and assumed that this delay may be the result of the number of homes being foreclosed. She assured members that she could provide further information relative to this issue. Council President Leary declared the public hearing open. There being no one present wishing to speak, Council President Leary declared the public hearing closed. Mr. Hare moved that the property located at 41 South Queen Street be declared a dangerous building and subject to demolition, as recommended by staff. The motion was seconded by Mrs. Williams and carried by a unanimous roll call vote. PUBLIC HEARING/FINAL ACTION - REQUEST FOR STREET NAME CHANGE FROM SLAUGHTER STREET (BETWEEN LOOCKERMAN STREET AND NORTH STREET) TO JERUSALEM WAY Mrs. Ann Marie Townshend, Director of Planning and Community Development, briefed members on the requested street name change, submitted by New Jerusalem Baptist Church. She reminded members that during their meeting of November 14, 2011, the Utility Committee recommended approval of the requested street name change from Slaughter Street to Jerusalem Way (for the segment of Slaughter Street running between West North Street and West Loockerman Street), as recommended by the Planning Commission. During the Regular Council Meeting of November 28, 2011, members were advised that, if action was taken to approve the Committee’s recommendation, a public hearing would be required. As a result, Council set a public hearing for this time and place to consider the requested street name change from Slaughter Street to Jerusalem Way (for the segment of Slaughter Street running between West North Street and West Loockerman Street). Council President Leary declared the public hearing open. There being no one present wishing to speak, Council President Leary declared the public hearing closed. Mr. Hare moved for approval of the requested street name change from Slaughter Street to Jerusalem Way (for the segment of Slaughter Street running between West North Street and West Loockerman Street). The motion was seconded by Mrs. Williams and carried by a unanimous roll call vote (Mrs. Russell abstaining).

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 4 PUBLIC HEARING/FINAL READING - PROPOSED ZONING TEXT AMENDMENTS A public hearing was duly advertised for this time and place to consider approval of proposed zoning text amendments. Mr. Hare moved that the Final Reading of the proposed zoning text amendments be acknowledged by title only, seconded by Mr. Bonar and unanimously carried. (The First Reading of these ordinances was accomplished during the Council Meeting of October 24, 2011.) Ordinance #2011-25 - Amendment to Appendix B - Zoning, Article 3 - District Regulations, Section 17 - Shopping Center Development [(SC-1, SC-2 and SC-3)], Subsection 17.3 - Permitted Uses (Relating to Neighborhood Shopping Center Zone) Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that Ordinance #2011-25 would amend Appendix B - Zoning, Article 3 - District Regulations, Section 17 - Shopping Center Development [(SC-1, SC-2 and SC-3)], Subsection 17.3 - Permitted Uses (Relating to Neighborhood Shopping Center Zone) of the Dover Code. The proposed amendment would amend the SC-1 (Neighborhood Shopping Center) zone to permit retail and service establishments and would specify that gas pumps would be permitted only as an accessory use and would be subject to conditional use approval and would prohibit wholesaling, warehousing, storage, and motor vehicle service, sales, and/or fueling stations. Mrs. Townshend advised members that the Planning Commission recommended approval of the proposed amendment. Council President Leary declared the public hearing open. There being no one present wishing to speak, Council President Leary declared the public hearing closed. By motion of Mr. Bonar, seconded by Mr. Hare, Council, by a roll call vote of seven (7) yes and two (2) no (Mr. Anderson and Mr. Lynn), adopted Ordinance #2011-25, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix B - Zoning, Article 3 - District Regulations, Section 17 - Shopping Center Development [(SC-1, SC-2 and SC-3)], Subsection 17.3 - Permitted Uses, be amended to read as follows: 17.31 In a neighborhood shopping center (SC-1), the following are permitted uses: 1. All uses permitted in the neighborhood commercial zone C-1, with no limitation on the size of establishments; 2. Business, professional and governmental offices, public libraries, banks and restaurants; 3. Retail and service establishments, subject to the following: (a) The following uses shall be prohibited: i. Wholesaling, warehousing, storage; ii. Motor vehicle service, sales, and/or fueling stations.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 5 (b) Gasoline pumps shall be permitted only as an accessory use and shall be subject to conditional use approval by the planning commission in accordance with Appendix B - Zoning, Article 10 - Planning Commission, Section 1 - Approval of conditional uses. ADOPTED: DECEMBER 12, 2011 Ordinance #2011-26 - Amendment to Appendix B - Zoning, Article 5 - Supplementary Regulations, Section 1 - Supplementary Regulations Applying to Residence Zones and Section 7 - Supplementary Regulations Applying to All Non-Residential Zones (Relating to Corner Lots) Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that Ordinance #2011-26 would amend Appendix B - Zoning, Article 5 - Supplementary Regulations, Section 1 - Supplementary Regulations Applying to Residence Zones and Section 7 - Supplementary Regulations Applying to All Non-Residential Zones (Relating to Corner Lots) of the Dover Code. The proposed amendment would clarify that corner lots have two (2) front yards; permit such lots in residential zones to have a fence of up to six and one-half (6½) feet in height in the front yard that is along the side of the principal structure; permit such lots in non-residential zones to have a fence of up to eight (8) feet in height in the front yard that is along the side of the principal structure; and designate which yard on corner lots shall function as the side and rear yards. Additionally, the proposed ordinance clarifies that residential lots with dual frontages would be permitted to have fences of up to six and one-half (6½) feet in height situated in the yard to the rear of the principal structure and non-residential lots with dual frontages would be permitted to have fences of up to eight (8) feet in height situated in the yard to the rear of the principal structure. Mrs. Townshend advised members that the Planning Commission recommended approval of the proposed amendment. Council President Leary declared the public hearing open. Mr. Terry Fenwick, 1436 South Hancock Avenue, stated that when he purchased his property approximately six (6) years ago, it had a six (6) foot tall wooden fence. He advised members that he was diagnosed with post traumatic stress disorder (PTSD) and had purchased the home for his convenience. He stated that the family has a dog that used the back yard and was able to escape through the fence due to deterioration. As a result, a vinyl fence was installed to replace the existing wooden fence. At that time, Pierce Fence Company advised him that no permit was required since there was an existing fence; however, a City inspector indicated that such a permit would be required. As a result, he contacted the City to obtain the necessary permit, at which time he was advised that he would only be permitted to install a four (4) foot fence toward the end of the road. Having spent $8,000 to replace the existing fence, Mr. Fenwick requested that members consider allowing the installation of a six (6) foot fence at his property. There being no one else present wishing to speak during the public hearing, Council President Leary declared the hearing closed.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 6 By motion of Mrs. Williams, seconded by Mr. Hutchison, Council, by a unanimous roll call vote, adopted Ordinance #2011-26, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix B - Zoning, Article 5 – Supplementary Regulations, Section 1 – Supplementary Regulations Applying to Residence Zones, Subsection 1.3 – Corner Lots, be amended to read, as follows: 1.3 Corner lots. 1.31 Corner Visibility. In all zones within the city, no structure, fence, wall, landscaping, earthen berm, sign or any other form of obstruction to visibility, in excess of three feet in height above the adjacent street grade, shall be erected, placed or maintained on any corner lot within the triangular area formed by intersecting right-of-way lines. Two sides of the triangular area shall be 20 feet in length and measured from the point of intersection of the right-of-way lines as further illustrated in figure 5-1. 1.32 Yard Requirements. Corner lots are considered to have two front yards. The rear yard for a corner lot shall be the yard that is opposite the street upon which the principal structure fronts. The side yard for a corner lot shall be the yard that is opposite the street adjacent to the side of the principal structure. 1.33 Fences. A fence on a corner lot shall comply with the front yard requirement for height along the street upon which the principal structure fronts. A fence on a corner lot shall comply with the side yard requirement for height along the street adjacent to the side of the principal structure. BE IT FURTHER ORDAINED: That Appendix B – Zoning, Article 5 – Supplementary Regulations, Section 1 – Supplementary Regulations Applying to Residence Zones, Subsection 1.5 – Exceptions to Yard Requirements, be amended to read, as follows: 1.5 Exceptions to yard requirements. 1.51 Permitted obstructions. Cornice or cantilevered roofs and chimneys may project not more than two and one-half feet into a required yard. Belt courses, windowsills and other ornamental features may project not more than six inches into a required yard. Paved terraces, steps, and walks (other than such as are needed for access to the buildings on the lot) shall not project within 15 feet of a street line or four feet of a property line. 1.52 Entries and porticos. A roofed-over but unenclosed projection in the nature of an entry, portico or awning not more than eight feet wide and extending not more than six feet into the required front yard shall be exempt from the requirements of this section when the building otherwise complies with the regulations of this section. In computing the average setback, the presence of such entries and porticos shall be ignored. 1.53 Existing setback. No proposed one-family or two-family dwelling need have a setback greater than the average setback of the two existing dwellings with the greatest setbacks

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 7 within 200 feet on each side of the said proposed dwelling, on the same side of the street and within the same block and the same zone. 1.54 Open decks. An open deck or patio extending to within ten feet of a rear lot line or within 20 feet of a rear lot for second story decks shall be exempt from rear yard setback requirements and lot coverage requirements so long as the principal structure complies with the regulations. Such open decks or patios shall not be enclosed and used as a part of the principal structure. 1.55 Fences. Fences or walls shall be limited to a maximum height of four feet above the ground when situated within front yard areas, and shall be limited to a maximum height of six and one-half feet above ground when situated within side and rear yard areas. Fences situated on corner lots shall be subject to the provisions of article 5, section 1.3. For the purposes of this provision, on lots with dual street frontage that are not corner lots, a fence situated to the rear of the principal structure shall be limited to a maximum height of six and one-half feet above ground. Fences or walls with a height in excess of six and one-half feet above ground shall conform to the setback requirements for dwelling buildings as set forth in article 4 of this Appendix. Fence material commonly referred to as "barbed wire" and/or "razor wire," or any similar material, shall be prohibited in residential zones. BE IT FURTHER ORDAINED: That Appendix B – Zoning, Article 5 – Supplementary Regulations, Section 7 – Supplementary Regulations Applying to All Non-Residential Zones, Subsection 7.5 – Fences, be amended, to read as follows: 7.5 Fences. Fences or walls shall be limited to a maximum height of four feet above the ground when situated within front yard areas, and shall be limited to a maximum height of eight feet above the ground when situated within side and rear yard areas. Fences situated on corner lots shall be subject to the provisions of article 5, section 1.3. For the purposes of this provision, on lots with dual street frontage that are not corner lots, a fence situated to the rear of the principal structure shall be limited to a maximum height of eight feet above ground. Fences or walls with a height in excess of eight feet above the ground shall conform to the setback requirements for dwelling buildings as set forth in article 4 of this Appendix. Fence material commonly referred to as "barbed wire" and/or "razor wire," or any similar material shall be prohibited along property lines which adjoin residential zones. ADOPTED: DECEMBER 12, 2011 Ordinance #2011-27 - Amendment to Appendix B - Zoning, Article 5 - Supplementary Regulations, (New) Section 21 - Public Utility Infrastructure (Regarding Exemption of Public Utilities Infrastructure from Zoning Bulk Standards) Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that Ordinance #2011-27 would amend Appendix B - Zoning, Article 5 - Supplementary Regulations of the Dover Code by inserting a new Section 21 - Public Utility Infrastructure (Regarding Exemption of Public Utilities Infrastructure from Zoning Bulk Standards). The proposed amendments would permit public utility infrastructure, except for electric power generation facilities, in all zoning districts and exempt such infrastructure from bulk requirements.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 8 Mrs. Townshend advised members that the Planning Commission recommended approval of the proposed amendment. Council President Leary declared the public hearing open. There being no one present wishing to speak during the public hearing, Council President Leary declared the hearing closed. By motion of Mr. Bonar, seconded by Mrs. Williams, Council, by a unanimous roll call vote, adopted Ordinance #2011-27, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix B – Zoning, Article 5 – Supplementary Regulations, be amended to read, as follows: Section 21 – Public utility infrastructure. Public utility infrastructure shall be permitted in all zones and generally exempt from the requirements of Article 4 – Zoning Bulk and Parking Regulations, except as provided in this section. 21.1 Setback. The minimum setback for public utility structures shall be equal to the setback of the zone in which the structure is located. 21.2 Fences. Fences shall be limited to a maximum height of eight feet above ground. 21.3 Site development plan required. Site development plan approval in accordance with article 10, section 2 hereof shall be required prior to the issuance of building permits for the erection or enlargement of all structures and related accessory structures. 21.4 Exceptions. 21.41 Electric power generation facilities shall be subject to all zoning requirements. 21.42 Private communications antennas and towers shall not be considered public utility infrastructure under the provisions of this subsection, and shall be subject to all zoning requirements. ADOPTED: DECEMBER 12, 2011 UTILITY COMMITTEE REPORT - NOVEMBER 28, 2011 The Utility Committee met on November 28, 2011 with Chairman Bonar presiding. Dedication of Rights-of-Way and Public Infrastructure - Nottingham Meadows Subdivision Phase I Mr. Scott Koenig, City Manager, reminded members that, due to the bankruptcy of Stover Builders, the original developer of Nottingham Meadows Subdivision, the project was turned over to Wilmington Trust Company, who is the responsible party for completing public infrastructure within Phase I of the subdivision. During the past few years, staff has been working with Wilmington Trust Company to complete the infrastructure at Nottingham Meadows Subdivision to a point where the City can accept the dedication of the rights-of-way and public infrastructure.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 9 Mr. Koenig advised members that the contractor hired by Wilmington Trust Company has completed the roads and infrastructure. As a result, Wilmington Trust Company has requested that all public infrastructure improvements related to this phase be dedicated to the City of Dover for permanent ownership and maintenance. Members were provided details regarding all of the public improvements associated with Phase 1, including the general location and configuration of the subject rights-of-way. Mr. Koenig assured members that Wilmington Trust Company completed construction of the improvements within Phase 1 in accordance with City standards and specifications. After construction was completed, City staff inspected the public improvements and developed a list of repairs to be made to meet the City of Dover Standards and Specifications for Public Works Construction. He noted that the final requirements for dedication were established between the Public Services Manager and Wilmington Trust Company, the originator of the performance letter of credit. Mr. Koenig stated that, as of this date, all work required by the Public Services Manager has been completed. Since this subdivision was the subject of a bankruptcy, a one (1) year maintenance agreement and as-built drawings for the infrastructure would not be submitted as part of the dedication process. Staff recommended acceptance of the rights-of-way and public infrastructure for Nottingham Meadows Subdivision Phase I, with dedication to include all of the referenced public improvements, as follows: Sewer Utility Infrastructure (Construction Value = $ 546,780): 10” SDR-35 PVC Sanitary Sewer Main - 550 l.f. 8” SDR-35 PVC Sanitary Sewer Main - 4,344 l.f. 6” PVC Sanitary Sewer Laterals - 2,681 l.f. (78 laterals) 4' Diameter Sanitary Sewer Manholes - 25 ea. (224.11 v.f.) Pump Station - 1 ea. 6” PVC Sanitary Force Main - 1,894 l.f. Water Utility Infrastructure (Construction Value = $ 242,516): 8” Ductile Iron (Class 52 Cement Lined) Water Main - 5,988 l.f. 6” Ductile Iron (Class 52 Cement Lined) Water Main - 190 l.f. 1” Polyethylene Water Service Lines - 2,222 l.f. (78 services) 8” Gate Valve - 16 ea. 6” Hydrant Valve - 9 ea. Fire Hydrants - 9 ea. 2” Blow Off Assembly - 1 ea. Storm Water Infrastructure (Construction Value = $ 339,737): Catch Basins - 37 ea. 4’ Diameter Storm Sewer Manholes - 6 ea. 15” Type III Reinforced Concrete Pipe - 1,673 l.f. 18” Type III Reinforced Concrete Pipe - 191 l.f. 24” Type III Reinforced Concrete Pipe - 815 l.f. 30” Type III Reinforced Concrete Pipe - 162 l.f. 36” Type III Reinforced Concrete Pipe - 520 l.f. 42” Type III Reinforced Concrete Pipe - 69 l.f. Flared End Sections (Concrete) - 2 ea.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 10 Street Infrastructure (1.0284 miles) (Construction Value = $ 785,038) Brittingham Drive Station 0+00 to Station 11+00 1,100 l.f. Saxondale Lane Station 0+00 to Station 9+50 950 l.f. Gillibrook Lane Station 0+00 to Station 10+00 1,000 l.f. Beuvale Lane Station 0+00 to Station 11+40 1,140 l.f. Derbyshire Avenue / Court Station 11+50 to Station 23+90 1,240 l.f. Mr. Koenig stated that the total construction value of the public improvements is $1,914,071. In response to Mrs. Williams, Mr. Koenig explained that Wilmington Trust Company took over ownership of the subdivision, as well as the letter of credit, to complete the infrastructure. Wilmington Trust Company then hired The Hanken Group, the company which managed the completion of the construction (sidewalks, curbs, asphalt, etc.). He stated that all street lights, water and sanitary sewer systems, and storm sewers are operational and the streets have been completed. Due to the fact that the City does not have a one (1) year maintenance bond, if potholes develop in the asphalt the City would be required to make repairs rather than the developer. It was his belief that this would be the extent of the City’s risk in this matter. The Committee recommended approval of staff’s recommendation for acceptance of the dedication of rights-of-way and public infrastructure for Nottingham Meadows Subdivision Phase I to include all of the referenced public improvements. By consent agenda, Mr. Bonar moved for approval of the Committee’s recommendation, seconded by Mr. Hutchison and carried by a unanimous roll call vote. Electric Service Handbook Revisions Mr. Ron Lunt, Public Utilities Manager, reminded members that the City’s Electric Service Handbook was approved by City Council on May 10, 2010. Staff presented recommended changes to the Handbook in order to clarify issues that have arisen during the interim period and changes in the Delaware Code. He noted that the recent Net Metering Requirements enacted by the State Legislature prompted most of the proposed amendments. Members were provided the proposed amendments to the Handbook, which were depicted in redline format (black text was original), with the colored text being proposed and the colored strikethrough being deleted. Although Mr. Lunt felt that the intent of the proposed changes was apparent, to ensure an understanding of the intent of the text, he reviewed a document titled “Electric Service Handbook Discussion,” which provided a more detailed explanation. Mr. Lunt assured members that the proposed amendments would bring the City of Dover policies into compliance with the Delaware Code and that they were approved by Mr. Kirk Betts, Attorney, Betts and Holt, LLC. Responding to Mrs. Williams’ request for an example of the net metering standards, Mr. Lunt stated that if there were four (4) or more different parties on a feeder, each of whom have a desire for a 500kw system, the City would limit this to three (3) systems; therefore, a feeder would be limited to 1.5 megawatts of connected generation, which is a large system.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 11 In response to Mr. Blakeman, Mr. Lunt stated that there have been approximately 15 net metering installations, mostly residential. The Committee recommended approval of the proposed amendments to the City’s Electric Service Handbook, as recommended by staff. By consent agenda, Mr. Bonar moved for approval of the proposed amendments to the City's Electric Service Handbook, as recommended by the Committee (Exhibit #2), seconded by Mr. Hutchison and carried by a unanimous roll call vote. Net Energy Metering Tariff Revision Mr. Ron Lunt, Public Utilities Director, requested that the consideration of the Net Energy Metering Tariff Revision be deferred to allow staff the opportunity to prepare the revisions for members’ review and consideration. The Committee deferred consideration of the Net Energy Meter Tariff Revision to a future meeting. TEA/NAES Monthly Report (September) The TEA/NAES Monthly Report for September 2011 was provided to members to enable them to monitor electric sales and revenues received, which will provide a better understanding of any fluctuations that occur and allow the opportunity to make improvements if deemed necessary. Referring to the Purchased Power Variance Report (Page 8 of TEA Report), Mr. Snaman explained his difficulty in understanding the information and requested that the report reflect what is being paid for each category per kilowatt. This would determine how much is obtained from the solar park, etc. and how much money is paid for each. He felt that such information would illustrate how much solar energy costs the City. Responding, Mr. Lunt stated that staff was currently working on a report (requested by Mr. Hare) that would include such details. In response to Mrs. Williams, Mr. Lunt explained that the City is required to retire reserves in order to comply with the State’s mandate for renewable energy. The City has until 2014 to develop its own plan, bench marking off of the requirements of Delmarva Power. Responding to Mr. Hare, Mr. Lunt stated that the City would be permitted to sell the credits at this time; however, if the City wishes to comply with State regulations as currently written, the credits would have to be retired if not sold. If sold, and the City elects to comply with legislation, the City would be required to buy the credits back. He confirmed that it is possible that the City would sell the credits at a lower price and then buy them back at market price (which may be higher), to meet the legislative mandate. Mr. Lunt explained that the Sun Park was developed to comply with the regulations enacted by State legislators. In order to meet the legislators’ intent, the City must “turn in” the Solar Renewable Energy Credits (SRECs) which are registered through PJM. He further explained that the City receives a paper document from the Sun Park indicating that one (1) SREC was created from one (1) megawatt of energy, and the City pays for this document. The City can then either sell the SRECs immediately at market price or hold them. To comply with State legislation, the document is turned over to the State Energy Office as evidence that the City has complied.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 12 Mr. Lunt reminded members that the Sun Park was a cheaper alternative for the City than “going out” to the market to comply with the legislation. In addition, he stated that there are other benefits of solar power and, although an analysis has not been completed, the City reduced load and capacity obligations as a result of using energy from the Sun Park. The Committee recommended acceptance of the report. By consent agenda, Mr. Bonar moved for approval of the Committee’s recommendation, seconded by Mr. Hutchison and carried by a unanimous roll call vote. By consent agenda, Mr. Bonar moved for acceptance of the Utility Committee Report, seconded by Mr. Hutchison and carried by a unanimous roll call vote. MONTHLY REPORTS - OCTOBER 2011 By motion of Mr. Bonar, seconded by Mr. Hutchison, the following monthly reports were accepted by consent agenda: Budget Report (September and October) Chief of Police Report City Assessor’s Report City Manager's Report City Planner’s Report Dover Fire Department Report Capital Investment Plan (CIP) Report (September and October) SPECIAL ELECTION OF OFFICERS - ROBBINS HOSE COMPANY - YEAR 2012 During their Regular Meeting of November 28, 2011, City Council accepted the Fire Line Officers for the Robbins Hose Company No. 1 for the Year 2012; however, it was noted that the election for the position of Third Assistant Fire Chief resulted in a tie (Joseph Simmons and Glenn Whitt) and that a special election would be necessary. Members were provided the results of the December 6, 2011 Robbins Hose Company Special Election for consideration, as follows: Third Assistant Fire Chief - Glenn Whitt By consent agenda, Mr. Bonar moved for acceptance of the Third Assistant Fire Chief for Robbins Hose Company No. 1 for the Year 2012, as submitted, seconded by Mr. Hutchison and carried by a unanimous roll call vote. FINAL READING - PROPOSED ORDINANCE #2011-15 WITH STAFF AMENDMENT #1 - APPENDIX A - SUBDIVISIONS, ARTICLE VII - SPECIAL PROVISIONS Members were reminded that the First Reading of Proposed Ordinance #2011-15 was accomplished during the Council Meeting of September 26, 2011. The Final Reading was tabled during the Council Meeting of November 14, 2011.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 13 Mr. Hare moved to remove the matter from the table, seconded by Mr. Bonar and carried, with Mr. Anderson voting no. Mr. Bonar moved that the Final Reading of the proposed ordinance be acknowledged by title only, seconded by Mr. Hare and unanimously carried. Mrs. Ann Marie Townshend, Director of Planning and Community Development, reminded members that the ordinance was tabled to allow staff the opportunity to meet with Mr. Lynn, Mr. Bonar, and members of the Wild Meadows Homeowners Association to address their concerns regarding the proposed amendment. She explained that Proposed Ordinance #2011-15 would clarify the requirement that developers of subdivisions with common open space, including active recreation areas, woodlands, and stormwater management areas, form homeowners’ associations with mandatory membership. It would allow the City to perform work that is the responsibility of the homeowners’ association if such work is not performed in accordance with code requirements. Such work would be billed to the property owners on their tax bills, including an administrative charge. The proposed amendment would require that homeowners’ associations with management responsibility for common open space submit a listing of officers of the association annually. The proposed amendment also clarifies that these requirements are retroactive to all subdivisions with common open space in existence prior to adoption of the ordinance. Mrs. Townshend advised members that the concern of the Wild Meadows Homeowners Association was to assure that they would not be responsible for maintenance of the common areas in their development that are owned by the owner of the development (as in a condominium ownership situation). She assured members that it was not the City’s intent to make anyone responsible for land that they do not own. As a result of the meeting with the Wild Meadows Homeowners Association, Mrs. Townshend stated that staff developed Staff Amendment #1, which would ensure that owners of dwelling units on leased lots where there are no land or facilities owned by the homeowners’ association are not subject to the requirements of the ordinance. In response to Mrs. Williams, Mrs. Townshend stated that if the owner of record goes bankrupt and defaults on their responsibility, the City would provide the necessary maintenance, bill the corporation (owner of record), and place a lien on the property. She noted that the owner of record owns the common open space and open lots and any improvements on the lots in land leased communities. Dr. McGlumphy questioned how many current similar situations there are that require the City to maintain common areas and if the City is receiving compensation. Responding, Mrs. Townshend stated that for those developments where the homeowners’ association has not been functioning, there are builders who own a significant number of residual lots and have been maintaining the common areas to a minimum standard area. The City has had to cut grass for vacant lots and common areas in some of the abandoned developments; however, those fees have been placed back on the development so that when someone wishes to purchase and finish the development, they will be required to pay those charges. As an example, she stated that there are approximately $2,000 in grass cutting bills associated with the Village of Cannon Mills; therefore, these bills would be required to be paid prior to the issuance of another building permit.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 14 Responding to Mr. Anderson regarding the administrative fee, Mrs. Townshend stated that, currently, if the City is required to cut grass on a private lot, there is a $50 administrative charge. Staff felt that the 15% administrative fee associated with the proposed ordinance was fair and would help the City to recover any costs. She explained that code enforcement (inspectors) and administration (billing) time is involved in dealing with these properties and felt it was important for the City to recoup some of these costs. Mrs. Williams moved for adoption of the staff amendment, seconded by Mr. Bonar, and by and unanimous roll call vote, Council adopted Staff Amendment #1 to Proposed Ordinance #2011-15, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Ordinance #2011-15 be amended by inserting the following text to the end of line 12, Subsection 1: Communities where the land area is under single ownership, individual lots are leased by the homeowners, and there are no common areas or facilities owned by the homeowners’ association shall be exempt from the requirements of this section. ADOPTED: DECEMBER 12, 2011 Mr. Bonar moved for adoption of Ordinance #2011-15, as amended, seconded by Mr. Hare, and by a roll call vote of eight (8) yes and one (1) no (Mr. Anderson), Council adopted Ordinance #2011-15, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix A - Subdivisions, Article VII - Special Provisions, be amended to read, as follows: B. Homeowners' associations. 1. Creation of homeowners' association. The owner and/or developer shall create a homeowners' association for the proposed development where private open space and stormwater management facility ownership and maintenance responsibility exist. The homeowners' association shall be organized and established as a legal entity prior to or as a part of the final plat approval and recording process and all documents related to the homeowners' association shall be submitted in draft form at the time of application for the subdivision plan review (whether minor or major). Such documents shall be acceptable to the city as a condition of subdivision plan approval. Communities where the land area is under single ownership, individual lots are leased by the homeowners, and there are no common areas or facilities owned by the homeowners association shall be exempt from the requirements of this section.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 15 2. Legal documents recorded. The owner and/or developer should pay for the preparation of the legal document necessary to create the association, have same approved by the city solicitor and council and record same in the recorder of deeds office for Kent County. 3. Maintenance of property of the homeowners' association. The legal documents prepared will give the city the authority to require the homeowner's association to perform routine maintenance and minor/major repairs as necessary to keep the property in good condition, and eliminate any health or safety issues. If the homeowners' association does not respond to a notice of violation from the city regarding maintenance within 14 calendar days of the date of such notice, the city shall have the right to perform the work itself or hire a contractor to perform the work and assess each property owner of the homeowners' association and/or each owner of property within the final plat for the subdivision a fee to recover its cost. Such fee shall include an administrative charge equal to 15% of the cost of the work performed. This fee will be added to the real estate tax bill as a special assessment to these lot owners. 4. Homeowners' association requirements. If the applicant is required to establish a homeowners' association for purposes of ownership and maintenance of common areas, common facilities and/or open spaces, such association documents shall require, at minimum: (a) Mandatory membership. All owners of property within the subdivision must be members of the homeowners' association. The members of the homeowners' association shall share equitably in the costs of maintaining all open space, common areas and facilities, recreation areas and facilities, and stormwater management areas and facilities which are not accepted by the city in writing in accordance with the provisions of all deed restrictions and maintenance agreements, all applicable property maintenance codes, all record plan notes, and in accordance with procedures established by the homeowners' association. The deed restrictions shall require, at minimum, that the costs of such maintenance shall be collectable from the owner of the lot(s) to which such costs are assessed; and that such costs shall be and constitute a lien upon such lot(s). (b) Responsibilities. The homeowners' association shall be responsible for all maintenance, insurance, taxes, fees, and other burdens customary to the ownership of real property and all improvements and construction thereon, including, but not limited to all recreation amenities, walkways, storm water facilities, ponds, landscaping, and other facilities not owned or accepted by the City of Dover. (c) Deed restrictions. Restrictive covenants shall provide that in the event the association fails to maintain the common areas, common facilities, and open

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 16 areas according to the adopted codes of the City of Dover, in accordance with the recorded plan, and in accordance with the requirements of recorded restrictions, the city may: (1) Demand that the deficiency of maintenance be corrected. If the homeowners' association shall fail to correct the deficiency, after reasonable notice, the city may enter the common area to inspect and correct the deficiency. The cost of such maintenance shall be charged to the association in accordance with the provisions of subsection (B)(3) - Maintenance of property of the homeowners' association. 5. Homeowners' association reporting responsibilities. Each homeowners' association established pursuant to Appendix A, Subdivisions shall, not later than December 31 of each year, provide to the City Clerk of the City of Dover a listing of the officers of such homeowners' association, including their addresses and telephone numbers, and the date of the annual meeting. The homeowners' association shall list the terms of office of each officer and the date of the annual election. The homeowners' association shall provide the name, address, phone number and contact information for any firm providing services on behalf of or acting as agent for the homeowners' association in carrying out its responsibilities. BE IT FURTHER ORDAINED: That the provisions of this ordinance shall be in effect upon its adoption and shall apply to all existing subdivisions where the homeowners' association has maintenance responsibilities for open space and stormwater management areas. The city manager shall send a letter to all property owners within the City of Dover who have homeowners' association maintenance responsibilities under this ordinance informing them of these responsibilities and the City's right to bill property owners within the homeowners' association for any maintenance performed by the City of Dover due to lack of maintenance on the part of the homeowners' association. BE IT FURTHER ORDAINED: That all homeowners' associations with maintenance responsibilities for open space and stormwater management areas that existed prior to the adoption of this ordinance shall report to the city manager by December 31, 2011 those items required in subsection (B)(5) - Homeowners' Association Reporting Responsibilities. ADOPTED: DECEMBER 12, 2011 FINAL READING - PROPOSED ORDINANCES The First Reading of the following proposed ordinances was accomplished during the Council Meeting of November 14, 2011. Council President Leary noted that during the Regular Council Meeting of November 28, 2011, it was announced that the Final Reading of Proposed Ordinance #2011-31 - Chapter 102 - Taxation,

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 17 Article I - In General, Section 102-1 - Valuation and assessment of the Dover Code, would be held this evening. He advised members that the Final Reading of Proposed Ordinance #2011-31 is pending action by State Legislature. Mr. Bonar moved that the Final Reading of the proposed ordinances be acknowledged by title only, seconded by Mr. Hare and unanimously carried. #2011-28 - Chapter 2 - Administration, Article IV - Officers and Employees, Division 7 - General Employee Pension Plan, Subdivision I - In General, Section 2-331 - Form of Benefits (Civil Unions) Mr. Anderson noted that Ordinance #2011-28 would bring the City into compliance with State law and in his view, protects the City from liability. He explained that his affirmative vote is not indicative of his agreement with the State law, indicating that he was not in favor of the State law. Mr. Bonar moved for adoption of the propsed ordinance, seconded by Mr. Hare, and by a unanimous roll call vote, Council adopted Ordinance #2011-28, as follows: BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Chapter 2 - Administration, Article IV - Officers and Employees, Division 7 - General Employee Pension Plan, Subdivision I - In General, Section 2-331 - Form of Benefits, be amended to read, as follows: Section 2-331. Form of benefits. (a) Normal form. A monthly benefit shall be payable on the first day of the second month preceding the date on which application for such benefit is filed. Payment will be retroactive to the retirement date. Payments of benefits shall be payable monthly thereafter during his lifetime, and terminating with the last payment on the first day of the month of the death of the participant. (b) Death of participant, etc. Upon the death of a participant who has retired, or who is eligible to be retired under any of the provisions of this division, payment shall be made to his eligible survivors in the amount of 50 percent of the monthly payments to which the participant was or would have been entitled. Upon the death of a participant who has completed a minimum of 20 years of service but is not yet eligible to retire because of age, payment shall be made to his eligible survivors in the amount of 50 percent of the monthly payment that would have resulted by using his service time; however, the benefit is to be computed at a reduced rate of one-half percent for each month the participant was under the correct age for normal retirement. In no instance shall actual monthly payments be less than $200.00, to be effective July 1, 2000. Upon the death of both the participant and eligible survivor, if the benefit payments received in aggregate are less than the member's contributions, the balance of the member's contributions, plus 5 percent interest, will be paid to the surviving beneficiary designated or his estate if no designation has been made and submitted to the pension board. The amount of benefit payments received and the amount

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 18 of the member's contributions shall be determined from the record of the pension board of trustees. (c) Eligible survivor. An eligible survivor shall be one of the following in the order of preference listed: (1) Spouse/Partner. The participant's spouse who was married to the participant for at least one year. Surviving spouse shall be required to provide supporting documents of marriage. The participant's partner in a civil union, who entered into a lawful civil union in Delaware, or whose legal union is recognized as a civil union under Delaware law, will have all of the same rights, benefits, protections and responsibilities as married persons under Delaware law. (13 Del. C. c. 2). Surviving partner shall be required to provide supporting documents of legal civil union. (2) Children, unmarried. a. The surviving children, biological or legally adopted, of the participant, who have not attained their 18th birthday. b. If said child is attending school on a full-time basis and provides proof of attendance each year of eligibility, with the payment due for the month in which he ceases to attend school on a full-time basis or with the payment due for the month in which his 22nd birthday shall occur, whichever shall occur first. (d) Commencement of payment. Benefits payable to eligible survivors shall commence on the first day of the month following the date of the participant's death. (e) Benefits payable. Benefits payable to eligible survivors shall cease: (1) Spouse/Partner. With respect to an eligible survivor who is a spouse or partner of a civil union, with the payment due for the month in which their remarriage or death shall occur, whichever occurs first. (2) Children. With respect to an eligible survivor who is a child(ren), with the payment due for the month in which his 18th birthday or death shall occur, whichever shall occur first. Payments shall be made in accordance with subsections (2)a. and b. (f) Eligibility for benefits. The eligibility of any person or persons to receive payment of benefits as an eligible survivor shall be determined conclusively by the pension board based on application of such person or persons and any other information which the pension board deems to be appropriate. (g) This ordinance shall be effective at 10:00 a.m. on January 1, 2012. ADOPTED: DECEMBER 12, 2011 #2011-30 - FY12 Budget Revisions (Staff Sponsored) Mr. Hare moved for adoption of Ordinance #2011-30 - FY12 Budget Revisions (Exhibit #3), seconded by Mr. Bonar and carried by a unanimous roll call vote.

CITY COUNCIL MEETING OF DECEMBER 12, 2011 PAGE 19 COUNCIL MEMBERS ANNOUNCEMENTS Council President Leary reminded everyone that the Council and Committee Meetings for the week of December 26, 2011 were cancelled and, on behalf of all members of Council, wished everyone a happy and safe holiday. Mrs. Russell announced that a Youth Community Christmas Party would be held on Saturday, December 17, 2011, from 1:00 to 4:00 p.m. at Whatcoat United Methodist Church, 341 Saulsbury Road, for children ranging in age from two (2) months to 12 years and that the event was free. Mr. Bonar advised members that the Director of Public Utilities would be leaving the City’s employment to serve in a similar capacity with a jurisdiction in the State of Arizona. He relayed appreciation to Mr. Ron Lunt for the years of service he has provided to the City. Mrs. Williams moved to adjourn into the Special Council Meeting to discuss legal and personnel matters, seconded by Mr. Bonar and unanimously carried. Meeting Adjourned at 8:15 P.M. TRACI A. McDOWELL CITY CLERK All orders, ordinances, and resolutions adopted by City Council during their Regular Meeting of December 12, 2011, are hereby approved. CARLETON E. CAREY, SR. MAYOR /TM/jg S:\AGENDAS & MINUTES\Council-Minutes\2011\12-12-2011 COUNCIL.wpd Exhibits Attached to Original Minutes and File Copy Exhibit #1 - Presentation - Violation of Dangerous Building Ordinance - 41 South Queen Street Exhibit #2 - Proposed Amendments to the City's Electric Service Handbook Exhibit #3 - Ordinance #2011-30 - FY12 Budget Revisions

EXHIBIT #1 Regular Council Meeting of 12/12/2011 Violation of Dangerous Building Ordinance 41 South Queen Street EXHIBIT #1 Public Services Department Dover, Delaware December 12, 2011 Regular Council Meeting of 12/12/2011

41 South Queen Street Case History  Numerous violation cases since 1998 – Tall grass & weeds/overgrowth – Exterior and interior violations  Registered as vacant in June 2009 by Bank of America  Subject of fire on October 30, 2011  Administratively condemned in October 31, 2011  Outstanding Charges – Water Charges

Dangerous Building Code – Chapter 22 Article XI, Sec. 22-381  (4) Fire Damage, etc.  (5) Unfit for habitation  (9) General welfare.  (10) Code violations.  (12) Unoccupied buildings.

Code Citation Chapter 22, Article XI Sec. 22-388. Emergency cases. In cases where it reasonably appears that there is an immediate danger to the life or safety of any person, unless a dangerous building is immediately repaired, vacated and closed, or demolished, the building inspector shall report such facts to the council, which may cause the immediate repair, vacation, or demolition of such dangerous building. The costs of such emergency repair, vacation or demolition of such dangerous building shall be collected in the same manner as provided in section 22-385(5).

Recommended Council Action  Declare this building dangerous.  Order the property immediately repaired or demolished.  Order the Building Inspector to cause the repair or demolition of the structure if not completed by the owner by December 22, 2011.  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 #2 Regular Council Meeting of 12/12/2011 CITY OF DOVER ELECTRIC SERVICE HANDBOOK City Council Approved ~ May 10, 2010

CITY OF DOVER PUBLIC UTILITIES DEPARTMENT 860 BUTTNER PLACE DOVER, DE 19901 ELECTRIC SERVICE HANDBOOK Please contact the following for typical services noted: CUSTOMER SERVICE Customer contact to obtain information regarding rates, billing 5 East Reed Street questions, deposits, credit information, application for service, and Dover, DE 19901 applying for security lights. 302-736-7035 ELECTRICAL ENGINEERING Electricians, contractors, and builders should contact this division City of Dover Public Utilities regarding initiation of electric services, applications, service requirements 860 Buttner Place and procedures and tentative time schedules. Dover, DE 19904 302-736-7070 EMERGENCY REPAIR Customer outage, voltage problems, street or security light outage, or 24/7 Service other electrical related problem or concern. 302-736-7086

STATE APPROVED INSPECTION AGENCIES This list was the agencies available at the time of publication and only listed for information, others may be available. AMERICAN INSPECTION AGENCY FIRST STATE INSPECTION 3106 Polly Drummond Office Park 111 S. Race St. Newark, DE 19711 Georgetown, DE 19947 877-242-1300 800-468-7338 BUILDING INSPECTION MIDDLE DEPARTMENT UNDERWRITERS, INC. 2024 Ducan Rd. Suite 1-C Liberty Plaza Wilmington, DE 19802 Newark, DE 19711 800-222-6342 800-732-2551 302-266-9057 UNITED INSPECTION AGENCY NATIONAL CODE INSPECTION 180 Main St. 14514 Oak Rd. Ambler PA 19002 Greenwood, DE 19950 215-542-9977 302-349-9493 CALL MISS UTILITY AT 811 OR 800-282-8555 TO LOCATE THE UNDERGROUND FACILITIES (ALL UTILITIES MAY NOT BE MEMBERS OF THIS ORGANIZATION). FOR THOSE WHO ARE ABOUT TO DIG ANYWHERE ON THE DELMARVA PENINSULA, THIS ONE CALL ENABLES YOU TO MAKE ONE TOLL FREE TELEPHONE CALL TO HAVE THE MEMBER COMPANIES' FACILITIES LOCATED. TO CHECK ON THE STATUS OF A LOCATE TICKET, GO TO www.managetickets.com PRIVATELY OWNED UTILITIES WILL NOT BE LOCATED BY THE MEMBERS OF THIS ORGIZATION.

TABLE OF CONTENTS 1. GENERAL I. GENERAL INFORMATION 1 DEFINITIONS 3 SUPPLY VOLTAGES 5 CLASS OF SERVICE 5 INSPECTIONS 5 II. SERVICES AND EXTENSIONS EXTENSIONS 6 SERVICES 7 MOBILE HOME PARKS 7 III. LIGHTING Security Lights 7 Street Lights 8 IV. MOTOR PROTECTIVE DEVICES 8 V. GENERATORS 9 VI. POWER FACTOR CORRECTION 9 VII. CUSTOMER OWNED TRANSFORMER 9 VIII. SUBSTATIONS 9 IX. SENSITIVE ELECTRONIC EQUIPMENT 9 X. PRIMARY CUSTOMER 9 XI. TEMPORARY ELECTRIC SERVICE 10 Overhead 10 Underground 11 XII. RIGHTS OF WAY 11 XIII. ACCESS 11 XIV. CONTINUITY OF ELECTRIC SERVICE LIABILITY & NOTICE 11 XV. CITY’S RIGHT TO DISCONTINUE SERVICE & NOTICES 12 I

XVI. SUSPENSION OF ELECTRIC SERVICE CONTRACT 13 XVII. RELOCATION OF ELECTRIC FACILITIES 13 XVIII. RIGHT TO REMOVE CITY’S EQUIPMENT 13 XIX. CITY’S RIGHT TO INSPECT 13 XX. DEFECTIVE INSTALLATIONS 14 XXI. SERVICE DISCONNECTED DUE TO FIRE, WATER STRUCTURAL OR SIMILAR INCIDENT 14 2. ELECTRIC METERS I. CITY RESPONSIBILITY 15 II. CUSTOMER RESPONSIBILITY 15 III. ELECTRIC SERVICE CONTRACT 15 IV. METER LOCATION 15 V. METER SOCKET REQUIREMENTS 15 VI. 480 VOLTAGE SPECIFICATIONS 17 VII. METER SOCKET MOUNTING 17 VIII. METER AND METER SOCKET ACCESSIBILITY 17 IX. METER SOCKET IDENTIFICATION 17 X. METER TAMPERING 17 XI. INACTIVE METERS/METERS REMOVED FOR CAUSE 18 XII. TERMINATION WITH NOTICE 18 XIII. TERMINATION WITHOUT NOTICE 18 XIV. METER TESTING 18 XV. METER ADJUSTMENTS 18 XVI. CHANGE OF INSTALLATION 19 XVII. FEES / CHARGES 19 XVIII. INSPECTIONS AND ENTERING PRIVATE PROPERTY 20 XIX. RIGHT TO REMOVE CITY’S EQUIPMENT 20 II

3. TECHNICAL CONSIDERATIONS COVERING PARALLEL OPERATIONS OF 22 3.4. CUSTOMER OWNED GENERATION I. PURPOSE 232 II. APPLICABILITY 232 III. DEFINITIONS 232 IV. INTERCONNECTION APPLICATION 254 V. DESIGNATION OF COMPANY CONTACT PERSONS FOR MATTERS RELATING TO DISTRIBUTED 254 GENERATION CONNECTION VI. PRE-INTERCONNECTION STUDIES 254 Completion of Pre-Interconnection Study 254 Pre-interconnection Study Fee 254 VII. NETWORK INTERCONNECTION OF DISTR. GENERATION 254 VIII. PRE-APPROVAL OF GENERATION UNITS, DEVICES & SYST. 254 IX. CONNECTION APPROVAL 254 X. INTERCONNECTED GENERATION SITE WARNING LABEL 265 XI. DISCONNECTION AND RECONNECTION 265 Application Termination 265 Non Compliance 265 In Case of a System Emergency Outage 265 Of the Company’s Primary Electrical Sources For Routine Maintenance and Repairs 265 XII. TERMINATION 265 XIII. PRIVILEGED COMMUNICATIONS CONCERNING PROPOSED DISTRIBUTED GENERATION PROJECTS 26 XIV. TECHNICAL GUIDELINES FOR PARALLEL OPERATION OF ON-SITE DISTRIBUTED GENERATION UNITS 276 General Interconnection & Protection Requirements 276 Prevention of Generator Owner Generation Interference with Company System 289  Voltage 298  Flicker 29 III

 Frequency 3029  Harmonics 3029  Power Factor 30  Current 310  Fault & Line Clearing 310  Automatic Reclosing 31 Control, Protection & Safety Equipment Requirements Specific To Generators 321 of 500 kW or less Control, Protection & Safety Requirement Specific to Three Phase Synchronous 321 Generators, Induction Generators & Inverter Systems  Three Phase Synchronous Generators 321  Three Phase Induction Generators & Inverter Systems 32 Requirements Specific to Generators Paralleling For 0.1 second or less 33 Inverter Type 343 Inspection & Start-Up Testing 343 Site Testing & Commissioning 343 Metering 343 Dedicated Transformer 343 Suggested References 344 5. NET METERING Formatted: Indent: Hanging: 1.56", Numbered + Level: 1 + Numbering Style: 1, 2, 3, … + Start at: 3 + Alignment: Left + Aligned New 4 NET METERING 36 at: 1.56" + Indent at: 1.81" 4.5. CUSTOMER SERVICE 4235 Formatted: Numbered + Level: 1 + Numbering Style: 1, 2, 3, … + Start at: 5 + Alignment: Left + Aligned at: 0.31" + Indent I. APPLICATION AND CONTRACT FOR SERVICE 4235 at: 0.56" II. ELECTRIC SERVICE CONTRACT 4235 III. ELECTRIC SERVICE RATES 4235 IV. NO PREJUDICE OF RIGHTS 4235 V. CITY’S RIGHT TO REJECT APPLICATION 4235 VI. SERVICE CHARGE FOR APPLICATION OF SERVICE 4235 IV

VII. MOBILE HOME PARKS 4336 VIII. SERVICE DEPOSIT 4336 IX. TRANSFERRING SERVICE 4336 X. DISCONTINUE ELECTRIC SERVICE BY CUSTOMER NOTICE 4336 XI. SUSPENSION OF ELECTRIC SERVICE CONTRACT 4437 XII. BILLING PERIOD 4437 XIII. ESTIMATED BILLING 4437 XIV. EQUALIZED PAYMENT PLAN 4437 XV. FINAL BILLING 4437 XVI. OPTIONS IN BILL PAYMENTS 4437 XVII. CREDIT POLICY 4437 XVIII. RETURNED CHECKS & RETURNED ELECTRIC FUNDS TRANSFERS 4538 XIX. MEDICAL HARDSHIP POLICY 4538 XX. ELECTRIC SERVICE RE-CONNECTION; FEE; ARREARAGE 4538 XXI. COMPLIANCE 4639 XXII. METER READINGS 4639 XXIII. BILLING CHANGES 4639 XXIV. CHOICE OF SERVICE CLASSIFICATIONS 4639 XXV. CHANGING SERVICE CLASSIFICATIONS 4639 XXVI. CITY ASSISTANCE 4639 V

CITY OF DOVER PUBLIC UTILITIES DEPARTMENT ELECTRIC SERVICE HANDBOOK 1. GENERAL I. GENERAL INFORMATION 1. This Handbook is issued as a reference and contains the rules and regulations regarding the requirements, policies, and procedures between customers, contractors, architects, engineers, and the City of Dover Public Utilities Department. The City has the right to change, modify, or charge for services not normally performed to protect the interest of the City and the rate payers. 2. There shall be an Electric Division under the general supervision and authority of the City Manager who shall superintend and have authority over the Electric plant, Electric Distribution System and their appurtenances. 3. The City will endeavor to cooperate in every way in completing service connections as promptly as possible and will give special attention to unusual problems which may confront the customer, contractor, architect or engineer. The City reserves the right to change service requirements where non-standard circumstances exist. 4. Observance of the requirements contained herein will enable the City to render prompt and satisfactory service. Assistance in the interpretation or clarification of these requirements may be obtained by contacting the City at 302-736- 7070. 5. These requirements do not replace, but are supplemental to, the ordinances adopted by the Dover City Council, your elected officials which set the policy for the City of Dover Public Utilities. 6. The City shall not be liable for damages resulting from the presence of electric current associated with the City's equipment on the customer's premises, or from the use of electric service of the City by the customer. 7. The City may from time to time supplement, alter or otherwise change the policies contained herein as may be necessitated by changing conditions, for the protection of the interest of the customer, the City or the general public. It will be the responsibility of the contractor, electrician, developer, etc., to obtain and keep current their copy of this handbook. 8. The standard electric service supplied by the City is alternating current with a nominal frequency of 60 hertz (cycles per second). 9. As the voltage, number of phases and type of metering which can be supplied depends upon the City's facilities available at or near the customer's location, the CUSTOMER SHALL CONSULT THE CITY ELECTRICAL ENGINEERING DIVISION before proceeding with the purchase or installation of wiring or equipment. 10. THE CITY DOES NOT GUARANTEE CONTINUOUS ELECTRIC SERVICE AND WILL NOT BE LIABLE FOR ANY LOSS, COST, DAMAGE OR EXPENSE TO ANY CUSTOMER OCCASIONED BY AN INTERRUPTION, LOSS OF PHASE OR PHASE REVERSAL IF DUE TO ANY CAUSE BEYOND THE REASONABLE CONTROL OF THE CITY. -1-

11. When it becomes necessary to make repairs to or changes in the City's electric system the City may suspend the delivery of service for such periods as may be reasonably necessary without incurring any liability because of such service interruption. However, when possible the City will make every reasonable effort to schedule such repairs and changes with its customers. 12. The customer is responsible for trimming trees on private property to provide necessary clearance for electric service drops. This should only be done by qualified persons familiar with this type of work. The City will assist removing tree limbs which have broken and are lying on the service drop upon request. 13. In all cases where new installations or alterations or additions to existing installation are to be made, the City Electric Engineering Division must also be consulted with regard to the size and character of the anticipated electric load so that Engineering may advise the customer about the electric facilities available at their specific location. These consultations are distinctly advantageous to the customer or representatives so that errors in equipment ratings and any deficiency in electric service capacity available at a given location may be avoided. Advance consultation may also avoid unnecessary additional expense or delays on the part of the customer or their contractor. 14. Furnishing electric service to a prospective customer is necessarily dependent upon the ability to obtain adequate rights-of-way and/or easements for this purpose from the customer. 15. Service entrance, meter and wiring on temporary installations shall be installed in the same manner as for permanent installations. -2-

DEFINITIONS Terms used in this document shall have the following meanings: 1. APPROVED, when referring to an customers electrical installation, shall have met the requirements of an authorized inspection agency. "Approved" when referring to equipment or material, shall have met the standards of a recognized laboratory, or a standard/design recognized by the City of Dover. 2. CITY, as used throughout this handbook refers to the City of Dover Public Utilities Department – Electric Division. 3. CONDUCTOR – SERVICE, shall mean overhead or underground electric conductors and appurtenances located between the last pole or underground terminal of the City's electric power conveyance system and the point of connection with the customer's electric wiring. 4. CUSTOMER, is used to designate either the present or the prospective user of the City's electric service. 5. ELECTRIC APPARATUS shall mean any condenser, conductor, transformer, adapter, electrical generator, electrical appliance or any article through which or by means of which electricity is carried, consumed or created. 6. ELECTRIC DEPARTMENT shall mean that Department of the City of Dover authorized by Section 25 of the Dover Charter (1961) that supplies electric power to the City and its inhabitants and certain other customers. 7. ELECTRIC WIRING shall mean any wiring which, at any time, is used to conduct electric current or energy. 8. GENERAL MASTER ELECTRICIAN, shall mean a person engaged in the business of, or holding himself out to the public as engaged in the business of installing, erecting and repairing, or contracting to install, erect or repair, electric wire or conductors to be used for the transmission of electric current for electric light, heat or power purposes, or moldings, ducts, raceways or conduits for the reception or protection of those wires or conductors, or to electrical machinery, apparatus, devices or fixtures to be used for electric light, heat or power purposes, or planning, estimating or laying out and supervising that electrical work as licensed by the State of Delaware. 9. GROUP METERING, refers to those meter installations at multiple occupancy buildings where the individual meters for the several customers are arranged in a bank or grouping in the same area, and are energized from the same service point. 10. INSPECTION AGENCY means the person or agency duly authorized by the City of Dover and licensed by the State of Delaware to make such inspections. The City will render service only after receipt by the City of a notice of approval issued by a recognized inspection agency. 11. MASTER ELECTRICIAN LIMITED, typically shall mean any person engaged in house wiring, limited to no more than four (4) family dwelling as licensed by the State of Delaware; however, please refer to the State of Delaware for current definition. 12. NATIONAL ELECTRICAL CODE (N.E.C.) - Latest Edition shall mean the National Electrical Code suggested for adoption by the National Fire Protection Association. 13. NATIONAL ELECTRICAL SAFETY CODE (N.E.S.C.) - Latest Edition, shall mean the National Electrical Safety Code approved by the American National Standards Institute (ANSI). -3-

14. NON-RESIDENTIAL, shall mean a place of business, public service, utility service, private service, lighting service, apartment home, apartment building, condominiums and any other service not installed to feed an individual residence. All services shall be individually metered. 15. PRIMARY SERVICE, defined as conductors and equipment rated for voltages greater than 750 volts. 16. RESIDENTIAL, shall mean a structure, dwelling or home in which one (1) electrical service is run to feed an individual customer. 17. SEASONAL ELECTRICAL SERVICE shall mean electric service required for a period of less than one (1) year at a permanent location or at the same location annually for a season of the year. 18. SERVICE, has several meanings, depending upon its contextual use. a. It may be used as a general reference to the supply of energy by the City for the use by the customer. b. It may refer to the conductors which physically connect the utility lines and the customer's electric facilities. These may be primary or secondary voltage, and overhead or underground. When underground, the service is generally called an "Underground Service". When overhead, the service is generally called an "Overhead Service". c. It may mean the actual physical tie, or the act of making that physical tie between the City's distribution or service conductors and the customer's electric facilities. This is more generally known as a "Service Connection". 19. SERVICE ENTRANCE, refers to the customer owned cable/equipment (generally conductors, overhead and underground conduit, and meter socket) which is located between their service connection and the service receiving equipment (main switch, distribution panel, load center, etc.). 20. STARTING CURRENT, when this term is applied to a motor or other electrical device, means the maximum current per phase drawn by the motor or device. 21. UNDERWRITERS OR MIDDLE DEPARTMENT shall mean the Middle Department Association of Fire Underwriters. 22. UNDERWRITERS LABORATORIES, INC., shall mean the Underwriters Laboratories, Inc., 207 East Ohio Street, Chicago, Illinois 60611. -4-

SUPPLY VOLTAGES 1. In this Handbook, all references to voltages are standards or nominal voltages and actual voltages supplied may vary above or below these values within the limits prescribed by accepted good practice and the regulatory authorities having jurisdiction. Generally, voltage should stay within plus or minus ten percent of nominal voltage. The City may specify the voltage and the minimum and maximum load that it will supply at any particular voltage. The Customer is responsible for using appliances of the correct voltage rating (240V motors are not to be used with 208Y/120 volt). 2. Not all types of electric service listed below are available at all locations. Subject to limitations, the class of secondary electric service available, with the nominal voltages are: CLASS OF SERVICE Single-phase 3 wire 120/240 volts Three-phase 3 wire 480 volts Three-phase 4 wire 208Y/120 volts Three-phase 4 wire 480Y/277 volts 3. Existing 120/240 volt Three Phase services will be maintained until such time the service is upgraded, changed or disconnected. 4. Primary electric service also may be available at 12470/7200 volt dependent upon location and size or type the load to be served. Such electric service may be made available under suitable contractual arrangements, as determined by the City under the applicable electric service ordinances, rules and regulations, and electric tariffs approved by City Council. INSPECTIONS 1. All new wiring and equipment, or changes in wiring and equipment, must be installed in accordance with the latest edition of the National Electrical Code (N.E.C.) and the City's requirements in order to be approved for connection to the City's electric system. 2. The City will render electric service from its distribution system to the new facilities of a customer only after receipt by the City of a notice of approval issued by a State of Delaware recognized electrical inspection agency. 3. Any changes in or additions to, the original wiring and equipment of the customer shall be subject to the requirements stated above. 4. The City may refuse to render service to a customer where it has knowledge of, or reason to believe, that the customer's wiring or equipment does not comply with recognized requirements. The City shall be under no obligation to inspect the wiring and equipment of any customer. 5. Inspections, when made by the City, are to insure compliance with its own requirements and to cooperate with customers, contractors, architects and engineers. The City does not assume the responsibility for the customer's wiring or equipment or for any loss, injury, or damage that may result from any defects that may exist in the customer's wiring or equipment. -5-

6. The City will issue an inspection wavier only for an existing service and will only be issued to the owner or approved licensed electrician. Waivers will only be issued when the City determines the connection is an emergency. Waivers must be cleared through a follow up inspection within 15 calendar days. If the wavier is not cleared within 15 calendar days, the service will be disconnected. II. SERVICES AND EXTENSIONS EXTENSIONS The City of Dover will extend and maintain the service to a point of connection determined within the service classification. Extension materials will be provided only by the City of Dover. 1. Residential Overhead - The city will extend its system to the service mast or service drop attachment; 2. Residential Underground - The city will extend its system to the meter enclosure; 3. Commercial Overhead - The customer will be responsible for the service to the nearest point of connection, generally at or near the property line; 4. Commercial Underground - The customer will be responsible for the service to the nearest point of connection, generally at or near the property line. EXTENSIONS – RESIDENTIAL AND NON-RESIDENTIAL Extensions underground & overhead (overhead only allowed under special circumstances with final determination and approval, solely determined by the City) will be designed by the Engineering department to the point of ownership designated in the service classification. Service point locations will be determined by the City and the City will extend the service to the designated point of connection. Non-residential – The owner/developer shall supply and install all conduits per City of Dover design and standards. The Owner/Developer will be responsible to pick up and install all below grade equipment, pads and pedestals per the City of Dover specifications. The owner/developer will be responsible for 100% of the material/equipment cost; however, the City will continue to own and maintain this equipment. The City will not accept or install any materials supplied by the contractor or customer. Residential developments having more than one home will have a set fee determined annually based on 100% material costs for a City determined average development. The Developer will be responsible to supply and install all conduits per City of Dover design and standards. The developer will be responsible to pick up and install all below grade equipment, pads and pedestals per the City of Dover specifications. Current fee for developments having more than one (1) home is $1100.00 per lot. Due to the size of some developments, the extension fees may be paid on a mutually agreeable lot phasing plan. These Formatted: Font color: Red fees will be subject to the “per lot” fee at time of payment. Single residential homes not part of a group development shall supply and install all conduits per City of Dover design and standards. The Owner/Developer will be responsible to pick up and install all below grade equipment, pads and pedestals per the City of Dover specifications. The owner/developer will be responsible for 100% of the material/equipment cost. -6-

SERVICES – RESIDENTIAL AND COMMERCIAL All new services will be installed underground to the City’s designated point of connection. Any upgrades, alterations, or changes being made to an existing overhead service may require the owner at their expense to bury the overhead lines to underground. NO service shall be tampered with in anyway. Customers may request to have the service disconnected or request to have the meter seal removed by a qualified electrician to make repairs on the customer owned facility. Any changes or repairs that require the neutral of the service to be broken will require an electrical inspection. All services must be in accordance with latest version of NEC and NESC. Should an existing service require a service mast, the following will apply. Service masts of galvanized steel conduit or other metal masts of equivalent strength may be used. Minimum size acceptable is 2 inch galvanized rigid conduit and shall normally be limited to a height of 3 feet above the roof without guying, for up to a 200 amp service. The attachment for the overhead service shall be supplied by the customer/contractor. Service drop wires should be installed over buildings and roofs as per N.E.C. No service drop will be installed over a swimming pool. MOBILE HOME PARKS All applicable provisions of this Article shall apply to electric service in mobile home parks. Mobile home park operators shall comply with this handbook. Since July 1, 1982, all mobile home parks shall not be installed under a “single meter” service classification which means they are prohibited from reselling electric power. All mobile homes must also conform to the N.E.C. regulations for mobile homes, and any changes necessary will be at the expense of the owner. The mobile home park operator is responsible for contacting the City for the design of the electrical distribution system at the mobile home park so as to permit the delivery of energy through individual meters to each mobile home tenant. The City will supply all facilities as required up to and including the meter socket pedestals. The location of the meter sockets will be determined by the City Electric Engineering Department. For the purpose of calculating fees, mobile homes will be classified as primary extensions – non-residential and will be billed at 100% material costs. III. LIGHTING GENERAL The City reserves the authority to trim vegetation and/or trees in the public right-of-way to ensure that lighting is not blocked or the area shadowed as a result of this growth. SECURITY LIGHTS Un-metered security lighting will be installed by the City and billed at the appropriate tariff rate. Such lighting will be installed on existing City poles or lighting service poles may be installed on public or private property by the City as per the City's lighting policy. Pole and light type will comply with the current City policy. Customers who apply to have a security light installed accept a two (2) year minimum contract with the City of Dover. If at any time the contract shall be terminated within the two (2) year contract, the complete installation and removal cost of the light will be billed to the customer. Decorative and roadway poles are optional for security lighting in residential areas at the appropriate tariff rate. Decorative and roadway poles require a five (5) year minimum contract. If at any time the contract shall be terminated within the five (5) year contract period, the complete installation and removal cost of the light will be billed to the customer. -7-

Lighting types and styles may be changed without notice. If the current type/style is no longer a City standard a suitable replacement of similar size and style will be installed by the City and the appropriate rate will apply. STREET LIGHTS 1. Existing City maintained or Annexed Streets a. City residents must submit a request for street lighting to the Electrical Engineering Department. b. A determination is made of the amount of lights required, the cost of installation and operations, and a decision is made concerning the need for street lighting based on standards for roadway lighting. 2. New Developments (Streets) a. The Electrical Engineering Department designs and furnishes to the developer the layout plans and specifications for the lights. The City retains the sole authority to determine the lighting requirements and the installation sequence for the development. The plans will be submitted to the developer along with the electrical extension plans. b. The developer is responsible for the installation of these lights and conduits and below grade equipment according to the plans and specifications, and guarantees their operation or the City will install the lights for a set cost. The developer will be responsible for the rental costs of all street or alleyway lights, as per the applicable tariff rate, until such time as the streets are dedicated to the City of Dover. b.c. The City will install the standard street light pole and head for $420.00??? per light; this fee The cost will be Formatted: Not Highlight routinely re-evaluated and changed towill recover 100% of the material cost. This fee will be collected at the same time as the “extension - lot fee” which is collected prior to the installation of any electric facilities. Any non-standard street light installation will be based on the actual cost of the materials, for example the lights at Eden Hill. 3. Developments Outside of City or Private Streets a. Residents must submit a request for street lighting to the Kent County Engineering Department or the State of Delaware Department of Transportation. b. A determination is made of the amount of lights required; and both parties shall agree to the design before construction begins. The same tariffs apply as security lighting with minimum two (2) year or five (5) year minimum contract based on the style of light. IV. MOTOR PROTECTIVE DEVICES All motor protection devices shall be installed and maintained by the customer. All motors, single or three-phase, shall contain devices that will protect the motor and circuit against overload or short circuit. Refer to the N.E.C. for motor protection details. Motors equipped with reduced voltage starters than cannot be safely subjected to full voltage at starting shall contain a device to insure that, on the failure of the supply voltage, the motor will be disconnected from the line and -8-

the starter returned to the "off" position. To prevent unnecessary shutdowns, it is recommended that this starter be equipped with time delay feature to prevent the starter from dropping out and to permit the motor to continue to operate during a momentary voltage change. The direction phase rotation and the continuity of all three phases of the alternating current supply are carefully maintained; however, the City cannot guarantee against accidental or temporary change or failure thereof. Therefore, motors or other apparatus requiring unchanged phase rotation or continuity of three-phase supply shall be equipped, by the customer, with suitable three-phase protection against reversal or phase failure. V. GENERATORS The City must always be consulted concerning the installation of any emergency electric generating equipment. IN ALL CASES OF EMERGENCY STANDBY GENERATION (NON-COGENERATION) A DOUBLE THROW SWITCH SHALL BE INSTALLED BETWEEN THE GENERATOR AND THE CITY'S SUPPLY AS PER N.E.C. Cogeneration equipment is subject to the rules and regulations contained in the Interconnection Agreement. VI. POWER FACTOR CORRECTION Attention is called to the desirability and importance of maintaining the power factor of any load as near unity as possible. The maintenance of a high power factor will increase the capacity of conductors and equipment, increase overall efficiency, and will decrease operating costs for those customers whose rates contain a Power Factor Clause (see applicable Electric Tariff). Where large motors are to be installed, consideration should be given to the use of capacitors to improve the power factor. VII. CUSTOMER-OWNED TRANSFORMER Where a customer is to receive primary metered service and the transformers and protective equipment are customer owned; such transformers and protective equipment shall comply in all respects with the N.E.C., City specifications and any other applicable standard/regulation. Maintenance and operation are the responsibility of the customer. VIII. SUBSTATIONS The City shall always be consulted and the City shall approve the facilities prior to the completion of the plans. For example this approval may include the design, location and construction of customer-owned substations. Any expense related to the interconnection of the substation shall be borne by the substation owner. IX. SENSITIVE ELECTRONIC EQUIPMENT Sensitive electronic equipment (computers, industrial process controller, etc.) should be protected from electrical noise, power surges, and related disturbances through the customer installed equipment. X. PRIMARY CUSTOMER -9-

A primary customer is one who owns and maintains all primary cables, wires, transformer(s), secondary cables, and all associated equipment on the load side of the metering point. The City will provide and install all metering equipment at the customer’s expense. The exact location will be determined by the City. 1. Overhead: The metering installation will be located at or near the property line (metering point). The point of attachment (demarcation point) is defined as the load side of CT; the City will make this connection. 2. Underground: The metering installation will be located on a riser pole, or underground metering cabinet, at or near the customer's property line (metering point). The City shall determine the type of installation. On pole mounted metering installations, the point of attachment (demarcation point) is defined as the load side of CT and the City will make this connection. On underground, the point of attachment (demarcation point) will be the elbow inserts and the customer will install and terminate the customer owned cables. XI. TEMPORARY ELECTRIC SERVICE Temporary installations, temporary metering, or other service of short duration shall be made at the expense of the customer with charges based on the materials, labor, and equipment required to install and remove the City supplied electrical equipment. A deposit in advance, sufficient to cover estimated construction and removal expenses and energy used, may be required. 1. Temporary service is service ordinarily not recurrent in nature, required for temporary structures or locations for a period of normally less than one year. 2. Temporary service will be rendered only when and where the City has the necessary facilities available to render the service applied for, without detriment to the service of other customers. 3. If extensions are required by the City, a credit will be issued for material returned in first class, usable condition as determined by the City. 4. All temporary service locations will be designated by a City representative. 5. No temporary service installation shall be moved while the City's service is attached. 6. Service wire, meters and other City equipment shall not be connected or disconnected by persons other than employees of the City. 7. A State of Delaware electrical inspection shall be required prior to the City energizing the service. 8. All equipment, except the meter, shall be furnished and installed by the customer/contractor. OVERHEAD 1. A pole or timber to which the City attaches a temporary overhead service for supplying a service shall be supplied and erected by the customer/contractor and shall meet the City's minimum requirements as outlined below. 2. If the City's service will cross a public street or highway, the support must be a treated pole of Class 6 or larger (Class 6 pole has a minimum circumference around the top of 17 inches) and meet minimum road clearances as required by the N.E.C. If the service will not cross a public street or highway, the support may be either a treated pole or timber. If a timber - 10 -

is used it shall be structural grade fir or pine with a cross section not less than nominal 6 inches x 6 inches. Three (3) 2 x 6's are acceptable. The service shall meet the minimum height requirements as per N.E.C. 3. The pole or timber shall have inherent strength or be adequately guided to support the service conductor. Braces ( ats a minimum, are to be 2 inch x 4 inch lumber well spiked to the pole or timber at least ten (140) feet above ground and to solidly driven 2 inch x 4 inch stakes. 4. Temporary services will normally be three-wire, 120/240 volts and limited to one span not more than 100 feet provided proper clearance can be maintained. UNDERGROUND When a customer requires a temporary service from an underground distribution system, the pole or timber with service equipment, shall be installed by the customer/contractor and shall meet the requirements in Sections 1 thru 6 below. 1. The support shall be a treated pole or structural timber with a cross section of not less than (nominal) 4" x 6" or 2" x 12". 2. The pole or timber must be of sufficient length to be installed in the ground far enough to make the support sturdy against accidental damage-approximately 30 inches. 3. The pole or timber must be at a location specified or approved by the City and will normally be located from five(5) to ten (10) feet from an existing pad mounted transformer, secondary pedestal, or splice box. 4. The contractor will provide conduit down the pole or timber from the meter socket to a distance approximately eight (8) inches below grade and enough underground cable to reach the City's transformer or splice box. The contractor must dig the trench from the support to within three (3) feet of the City's facility at a minimum depth of 24 inches. 5. Underground conductors shall have sufficient length to make connections to terminals in the secondary compartment of the transformer or pedestal. Minimum cable size will be #2 Aluminum. 6. Temporary services will normally be three-wire, 120/240 volts. XII. RIGHTS-OF-WAY Any applicant requesting electric service agrees to furnish, without expense to the City, a satisfactory right-of-way necessary for the erection, maintenance and operation of electric facilities, including the right to trim trees, bush or shrubs, or clear undergrowth as deemed necessary by the City. This right-of-way includes cables and equipment that may be installed for the service of contiguous or noncontiguous properties. The right-of-way shall remain in effect until the City agrees to abandon the right-of-way. XIII. ACCESS City employees have the right to enter the property at any time to inspect or repair the electric facilities; determine electric loads, and metering equipment. - 11 -

XIV. CONTINUITY OF ELECTRIC SERVICE LIABILITY AND NOTICE 1. CITY LIABILITY. The City does not guarantee continuous and uninterrupted electric service and shall not be liable for any loss, cost, damage or expense to any customer occasioned by any interruption, phase reversal or phase loss if due to any cause beyond the reasonable control of the City. 2. NOTICE OF TROUBLE. The customer shall promptly notify the City of any defect in electric service or of any trouble or irregularity to the electric supply. 3. PRE-ARRANGED INTERRUPTION OF SERVICE. Whenever electric service is interrupted for work on lines or equipment, the work shall be done, as far as practicable, at a time that shall cause the least inconvenience to the customer. The customer to be affected by the interruption shall, if practicable, be notified in advance. - 12 -

4. RESALE OF ELECTRICITY PROHIBITED. The customer shall not directly or indirectly sell, sublet, assigned or otherwise dispose of any electric energy without the written consent of the City Manager or designee. Purchase of electric energy in bulk for use by tenants located on the customer's property, when the energy cost to the tenant of the energy is included in the normal rental charge or occupancy of the premises, shall not be considered a resale. 5. ELECTRIC USE LIMITED TO CONTRACT PLACE AND PURPOSE. The City's electric service shall not be used for any purpose or in any place other than that stipulated in the customer's contract for electric service, except as written consent of the City Manager or designee. 6. CAUSING ELECTRIC FLUCTUATIONS PROHIBITED; REMEDIES. Electric service shall not be used by the customer in a manner which shall cause unusual fluctuations or disturbances in the City's electric supply system. Should fluctuation or disturbance be caused by the customer, the City may discontinue the electric service and require the customer to modify the installation or install approved controlling devices, or both. 7. DUTY TO REPAIR OR REMOVE COMMUNICATION INTERFERENCE DEVICE. It shall be unlawful and a nuisance for any person to operate any motor or other electrical device which shall cause interference with communication reception more than ten (10) days after receiving notice from the City Manger, or designee, of the interference. 8. CUSTOMER LIABLE FOR ELECTRIC WIRE AND APPLIANCE DAMAGE TO PERSONS AND PROPERTY. The City assumes no responsibility for any damage done by, or resulting from, any defect in the electric wiring, apparatus, fixtures or appliances of the customer. In the event that any loss or damage to City property or any accident or injury to persons or property is caused by or results from the negligence or wrongful act of the customer, their agents or employees, the cost of the necessary repairs to or replacement of City property shall be paid by the customer to the City any liability otherwise resulting shall be assumed by the customer. 9. CITY LIABILITY LIMITED. The City shall not be liable for damages resulting from the presence of electric energy on the customer's premises, or from the use of the City electric service by the customer. XV. CITY'S RIGHT TO DISCONTINUE ELECTRIC SERVICE AND NOTICES The City reserves the right to discontinue electric service without notice for the following reasons: 1. Without Notice. The City may discontinue electric service without notice for the following reasons: a. Supply Emergency. For regional or local shortages or interruptions in the City's source of electric supply or in other cases of emergency. b. Unsafe Conditions. Whenever an unsafe condition is found to exist on the customer's premise that is related to or would be affected by the presence of electric energy. i. Fraud or Abuse. To protect the City from fraud or abuse. ii. Canceled Electric Contracts. Upon the cancellation of electric service agreements. iii. Overloading conditions of the City owned transmission/distribution network or other emergencies. - 13 -

c. With Notice for Failure to Repair, Violation of Article, or Non-payment. The City may discontinue service to a customer upon a determination by the City Manager, or designee, that the Notice of Termination is correct or that the customer has waived his right to dispute the Notice of Termination for the following reasons. i. Failure to Repair. Failure to repair conditions having a detrimental effect on the City electric service or safety of the customer or public. ii. Violation of Article. For violation or noncompliance with this Electric service handbook, Federal, State, or Local rules and regulations, the appropriate service classification or an electric service contract. iii. Non-payment. The City may discontinue service to a customer for nonpayment of electric bill upon a determination by the City Manager, or designee, following the regulation as adopted by the City which may follow the guidelines as adopted by the Public Service commission of the State of Delaware. XVI. SUSPENSION OF ELECTRIC SERVICE CONTRACT If, by reason of any act, neglect or default of a customer, the City's electric service is suspended or the City is prevented from supplying electric service in accordance with the terms of any electric service contract it shall have entered into, the minimum charge for the unexpired portion of the electric service contract term shall become due and payable immediately as liquidated damages in lieu of the anticipated returns from the electric contract. XVII. RELOCATION OF ELECTRIC FACILITIES Any alterations, changes or relocations of the City-owned electric facilities, when requested by the Customer, shall be made by the City and the cost paid by the Customer. Customer participation may be required. In the event the City shall be required by any Public Authority, or at the City’s discretion, to place underground or relocate any portion of the City's facilities, the City at their expense shall make the necessary changes in the location of the point of delivery. XVIII. RIGHT TO REMOVE CITY'S EQUIPMENT All meters, instrument transformers or other service equipment supplied by the City shall remain its exclusive property. The City shall have the right to remove all its property from the premises of the Customer at any time after the termination of service, regardless of the reason for such termination. XIX. CITY'S RIGHT TO INSPECT The City shall have the right, but shall not be obliged, to inspect any installation before electricity is provided or at any later time. The City reserves the right to reject any wiring or appliances not in accordance with the City's standard requirements; but such inspection, or failure to inspect, or to reject, shall not render the City liable or responsible for any loss or damage, resulting from defects in the installation, wiring, or appliances, or from violation of City Rules, or from accidents which may occur at the Customer premises. - 14 -

XX. DEFECTIVE INSTALLATIONS If at any time the wiring, fixtures or appliances of the Customer are found to be defective or dangerous by a City's Representative, service may be refused or discontinued until the Customer has the condition corrected. The City's undertaking extends only to the supply of service at the point of delivery. XXI. SERVICE DISCONNECTED DUE TO FIRE, WATER, STRUCTURAL OR SIMILAR INCIDENT When a meter has been removed from a service by the fire department, first responder, or other authorized parties, the owner must provide an electrical inspection from a State of Delaware electrical inspection agency stating that the service is acceptable for use before the City will reconnect the service. - 15 -

2. ELECTRIC METERS All electric meters are owned, installed and maintained by the City of Dover. Only City installed sealing/locking devices may be used to secure meter sockets, metering cabinets, transformers, or any City owned equipment. In no case, will a locking device be installed by the customer to prevent access to meter sockets or City owned equipment. The use of jumpers is forbidden. I. CITY RESPONSIBILITY The responsibility of the City of Dover will be the supply of a kilowatt hour/kvar/kw meter (as determined by the City), all associated instrument metering equipment, and determine the location of said equipment. II. CUSTOMER RESPONSIBILITY The customer will be responsible for all wire ways, weather heads, disconnects, entrance cable, conductors, meter sockets, enclosures, connectors, conduits and all associated equipment. On overhead installations the customer is responsible to and including the service wire attachment (City’s service) weather head, service cable, meter socket, and all associated equipment. On underground installations the customer is responsive for the conduit, meter socket, and all associated equipment. The customer must allow access to any City employee, or representative, at any and all times. III. ELECTRIC SERVICE CONTRACT A service contract is required in order to receive electric service from the City. An application form must be completed and approved to engage in a contract for service. This Handbook and any Rules and Regulations adopted by the City shall be part of every contract for electric service and shall govern all classes of service unless otherwise stated by a service classification. IV. METER LOCATION The preferred location (the City reserves the final determination) for new meter installations will be on the outside of the building and will be at a point that is accessible at all times. Meter must be located on the individual’s property and comply with the NEC. Older metering installations that are inside a building or enclosure must be in a clean, well lit, safe, unobstructed location free from vibration, the locations shall be accessible from the outside for meter reading, meter testing, maintenance, and inspection purposes. If the access point is locked, codes, combinations or a minimum of two (2) keys to locks must be provided (one for the Metering Department and one for the Meter Reading Department). ALL METER LOCATIONS MUST BE APPROVED BY THE CITY. V. METER SOCKET REQUIREMENTS All meter sockets will accept blade type meters; bolted type meter sockets are not acceptable. In all cases the meter socket and required metering equipment will be supplied by the applicant. - 16 -

Sockets must be installed so that the top of the meter will not be more than six (6) feet nor less than four (4) feet above the finished grade. It will be the responsibility of the contractor/owner to determine finished grade. A minimum horizontal clearance of three (3) feet, a vertical clearance of eight (8) feet and a minimum depth of three (3) feet will be provided in front of the meter socket/enclosure, and in no case will the clearances be less than required to fully open doors/covers of meter sockets and/or instrument cabinets. In cases of group metering, the contractor will supply multiple meter socket devices in any combination. However, they must be installed so that the height of the lowest meter centerline cannot be less than 40” and the highest meter centerline cannot be higher than 72” above final grade. The multi- meter devices will be at a location and type approved by the City. The contractor will install the meter mounting devices and underground conduits, or overhead mast if applicable. If access to the base of the metering unit is restricted because of concrete or other covering material, the conduit will be extended to a point outside the covering material at no expense to the City. Group metering having services greater than 400 amp self contained sockets must have a means of disconnect for each individual service. The meter socket for Residential services will be placed on the side of the house that is nearest to the City supply point. The meter socket will be placed on the front or on the side of the house within ten (10) feet of the front corner of the house. Multi-dwelling homes with individual property ownership shall have the meter installed on the customer’s property. When home structure design does not allow for electrical facilities to comply with NEC requirements, individual meter sockets on pedestals’ may be acceptable; prior approval from the Electric Engineering Department is required. These meter sockets will be provided, installed, and maintained by the customer. The customer will, in all cases, furnish and completely install suitable wiring within the meter socket to permit the City to install the meter without any additional materials other than the meter. Replacement of the meter socket is required if the locking mechanism or if the meter socket is no longer functional or safe. ** The meter socket for Small and Medium Commercial services, service size up to 400 amp Wye - 400 amp Delta, single phase or three phase, will be located on an outside wall agreeable to the City and the customer. These meter sockets must have a lever type bypass and will be provided, installed, and maintained by the customer. The customer will, in all cases, furnish and completely install suitable wiring within the meter socket to permit the City to install the meter without any additional materials other than the meter. Replacement of the meter socket is required if the locking mechanism or if the meter socket is no longer functional or safe. ** For Large Commercial services, greater than 400 amp Wye - 400 amp Delta, single phase or three phase, a CT metering installation is required. The City will supply all metering equipment (CT’s, meter socket, CT cabinet, metering conductor conduit) and the customers will be responsible for this expense. If the metering installation is mounted on the building, the customer will be responsible for the mounting of the meter socket(s), CT cabinet, and installation of any necessary meter conductor conduit. An overhead installation may be mounted on a pole located at or near the property line and the City will install all the metering equipment at this point. Metering equipment for underground services will be installed either on the building, on the transformer, or other City approved locations. ** On Primary services, single phase or three phase, the City will provide and install the meter socket and the customer will be responsible for this expense. - 17 -

** On any existing service where any type of changes are being made to the building, such as but not limited to, renovations, building additions, or a service upgrade or downgrade and if the metering is currently located inside the building, it must be moved to a point outside the building if physically possible. If any type of construction will be erected, concreted, or paved that would enclose or somehow block access to the meter, the meter must be relocated to an accessible location. VI. 480 VOLT SPECIFICATIONS Due to safety concerns, all new or existing services reassigned to the City for maintenance, will have a disconnect installed at a point before the meter socket. If the service is customer owned and there is no disconnecting means to ensure the safety of personnel, an outage must be scheduled to perform work on the meter. It is the owner/customer/ electricians responsibility to schedule/coordinate the outage with the customers and with the City. The City requests 24 hours notice when possible to assist with the outage. A disconnect must then be installed before the service is re-energized. VII. METER SOCKET MOUNTING It is necessary that the meter socket is carefully and rigidly attached to the customer’s structure or building also ensuring that it is plumb and level. For safety reasons, this attachment must be maintained by the customer. It is the customer’s responsibility to keep the meter socket firmly attached to the mounting surface. VIII. METER AND METER SOCKET ACCESSIBILITY This location will not be inhibited by any type of foliage, trash, wood, or other materials. See "METER SOCKET REQUIREMENTS" for clearances. IX. METER SOCKET IDENTIFICATION Any building that has more than one meter the customer/contractor must identify the individual meter sockets. A permanent marking must be made both on the inside and outside of the meter socket. A magic marker, piece of tape, sticky notes, pencil marking, etc. are not acceptable for identification. Examples of identifications are as follows: Apt. A, Apt. B, Apt. C; Unit 1, Unit 2, Unit 3; 101, 102, 103; upstairs, downstairs. Meters will not be set unless the permanent marking has been done. It is not the City’s obligation or responsibility to confirm this marking. X. METER TAMPERING TAMPERING WITH CITY ELECTRIC EQUIPMENT PROHIBITED; LIABILITY. Tampering Prohibited. It is unlawful for any person except a duly authorized representative of the City to make any temporary or permanent connection or disconnection between the electric service load and the City’s distribution system. Additionally, it is unlawful to set, change, remove, tamper, or interfere with or make any modifications to the City’s meter. The City is not liable for any injury or damage as a result of this unlawful activity. Customer's Liability for Tampering. In the event that the City's meters or other property are tampered or interfered with, the customer receiving service through that equipment shall pay the amount which the City estimates is due for electric service, but not registered on the City's meter, for any repairs or replacements required, and for changes in the customer's installation that the City may require. - 18 -

The City may file Criminal or Civil charges against the responsible party and the customer is subject to arrest for tampering and/or theft of service. Before the service can be re-energized, all repairs must be made with inspections obtained and full payment for all monies owed the City must be made, including any additional security deposits that may be required. In cases where it cannot be determined who was being supplied, the owner of the property may be held responsible for the tampering/theft. In some instances, the meter seal and customer service entrance equipment may be disconnected only by licensed electrical contractors and only with PRIOR APPROVAL FROM THE CITY. If approval is not previously obtained, the established service charge will be charged to the contractor for cutting the meter seal and entering the service equipment without permission. Any additional instances may result in loss of City licensing and/or arrest for tampering. XI. INACTIVE METERS/METERS REMOVED FOR CAUSE Meters will be removed after being inactive for six (6) months. All services that have been de-energized for more than six months will be inspected by a State of Delaware recognized electrical inspection agency prior to re- energizing. XII. TERMINATION WITH NOTICE When a condition is discovered by the City that is in violation of the articles contained in this Handbook, the customer will be notified in writing allowing him/her a reasonable amount of time to correct the condition. Some, but not all, of these conditions can include a loose meter socket, a rusted meter socket, an unattached entrance cable, nonfunctional locking mechanism, or any condition that exists whereby the customer can safely receive electric service. XIII. TERMINATION WITHOUT NOTICE When a condition is discovered by the City that in its opinion is unsafe/hazardous to people or property, electric service will be terminated without prior notice until the hazard is corrected. Examples of these hazards can include: a broken or cracked lug in the meter socket, evidence of arcing, frayed wiring or damage to electrical apparatus owned by the customer. XIV. METER TESTING All electric meters should be routinely tested by the City every 10 years. Should a customer desire to have their meter tested before its next scheduled test date and the meter is found to be correct within established tolerance as identified in this Handbook, the customer will be charged the established service fee. XV. METER ADJUSTMENTS A billing adjustment will be made when any of the following condition(s) exists: A meter is tested and found to be in excess of four (4) percent fast/slow o A meter that tests fast – the City will either credit or refund the customer any amount equal to the excess kWh usage for a period not to exceed the three (3) previous monthly billing periods unless the time at which the error first developed or occurred can be definitively identified. In this case, the estimated kWh - 19 -

overcharged will be based on that date but will in no case be retroactive beyond a twelve (12) month period. In cases of a demand meter, kW will be adjusted in the same manner. o For a meter that tests slow – the customer may be charged any amount equal to the under-registered kWh usage for a period not to exceed the three (3) previous monthly billing periods unless the time at which the error first developed or occurred can be definitively identified. In this case, the estimated kWh under- charged will be based on that date but will in no case be retroactive beyond a twelve (12) month period. In cases of a demand meter, kW will be adjusted in the same manner. Stopped/jammed meter – for stopped meters, jammed registers or non-functioning electronic meters, the customer’s consumption will be estimated based on the customer’s usage during similar periods. The estimate will cover only the period subsequent to the last recorded meter consumption. Meter tampering and/or theft of service – the usage will be based on the recorded registration of the meter if it is determined that all illegal usage went through the meter. If the usage was not recorded through the meter, the usage will be estimated based on the consumption during similar periods. In cases that only part of the kWh usage passed through the meter, both metered and estimated usages will be used to calculate the total kWh. Unauthorized overload – usages for unauthorized overloads will be for kWh/kW calculated on the equipment connected to the service. The cost of any City equipment damaged and personnel expenses to repair the installation will be billed to the customer. An additional charge may be assessed to upgrade the installation. Inactive phase(s) polyphase meter – when a polyphase meter has been operating with an inactive element(s), failures that could be caused from lightning, failure, tampering, unauthorized overload, or other type damage, and has not registered the full consumption for any or all kWh/kVarh/kW, the City will estimate the usage for the unregistered energy. Back billing will be for a period not to exceed the three (3) previous monthly billing cycles unless the time at which the error first developed or occurred can be definitely identified. In this case, the estimated kWh/kVarh/kW undercharge will be based on that date but will in no case be retroactive beyond a twelve (12) month period. XVI. CHANGE OF INSTALLATION The customer will give immediate written notice to the City of any proposed substantial increase or decrease in, or change of purpose or location of the customer’s installation. The service connection, transformers, meters, and equipment supplied by the City for each customer have a maximum capacity and no additions to the equipment or load connected will be permitted except by the written consent of the City. Failure to give notice to additions or changes in load or location will render the customer liable for any damage to the City’s equipment. XVII. FEES/CHARGES Bills are due upon receipt. XVIII. INSPECTIONS AND ENTERING PRIVATE PROPERTY The City Manager, Building Inspectors, City employees, or their authorized representatives, shall have access at all times to the customer electric facilities for the purpose of inspecting, removing, repairing or changing any City property situated therein. - 20 -

XIX. RIGHT TO REMOVE CITY’S EQUIPMENT All electrical equipment maintained by the City will remain its exclusive property. The City shall have the right to remove all its property from the premises of the customer at any time after the termination of service regardless of the reason for the termination. - 21 -

3. TECHNICAL CONSIDERATIONS COVERING PARALLEL OPERATIONS Technical Considerations Covering Parallel Operations of Customer Owned Generation Of 500 Kilowatts or Less And Interconnected with the City of Dover System Effective November 15,January 1, 201108 Formatted: Font color: Red Formatted: Font color: Red Technical Considerations Covering Parallel Operations Of Customer Owned Generation of 500 Kilowatts or less and Interconnected with the City of Dover Delivery System - 22 -

Prerequisite – The customer must be in compliance with the tariff rules and regulations and the applicable tariff classification and rates. The terms and conditions contained herein are in addition to, but do not modify nor negate, the terms of the tariff. I. Purpose – This section was developed to clearly state the terms and conditions that govern the interconnection and parallel operation of on-site distributed generation, in order to: A. Establish technical requirements which will promote the safe and reliable parallel operation of distributed generation resources; B. Enhance the reliability of electric service; C. facilitate the implementation and use of distributed resources technologies; D. Enhance economic efficiency in the production and consumption of electricity and other energy; and E. Promote the use of distributed resources in order to provide electric system benefits during periods of capacity constraint. II. Applicability - Unless otherwise provided, these guidelines apply to all customer generation operating below 501 kilowatts which is interconnected at 12.4734.5kV or below and operated in parallel with the City’s power delivery Formatted: Font color: Red system. The technical requirements of Section XIV and subsequent sections of this document do not apply to NEM Formatted: Font color: Red Rider Tariff generators using inverter technology, as requirements for these installations are already covered in the applicable codes, IEEE Standard 519, Recommended Practices and Requirements for Harmonic Control in Electrical Power Systems, IEEE Standard 929, Recommended Practice for Utility Interface of Photovoltaic (PV) Systems, NEC 690, Solar Photovoltaic Systems, UL 1703, Standard for Safety Flat-Plate Photovoltaic Modules and Panels, and UL 1741, Underwriters Laboratories Subject 1741-1999, Standards for Static Inverters and Charge Controllers for use in Photovoltaic Power Systems. III. Definitions A. Account – An account is one metered or un-metered rate or service classification which normally has one electric delivery point of service. Each account shall have only one electric service supplier providing full electric supply requirements for that account. A premises may have more than one account. B. Company – City of Dover C. Customer – Any adult person, partnership, association, corporation, or other entity: (i) in whose name a service account is listed, (ii) who occupies or is the ratepayer for a premises, building, structure, etc., and (iii) who is primarily responsible for payment of bills. A customer includes anyone taking Delivery Service or combined Electric Supply & Delivery Service from the Company under one service classification for one account, premises or site. Multiple premises or sites under the same name are considered multiple Customers. D. Distributed Generation or On-Site Distributed Generation – An electrical generating unit of less than or equal to 500 kW which may be connected in parallel operation to the Company’s system. E. Generator Owner – The owner of the generating system that is interconnected to the Company. - 23 -

F. Grid – The interconnected arrangement of lines and transformers that make up the Company’s electric power system. G. IEEE Standard 929 – IEEE Standard entitled Recommended Practice for Utility Interface of Photovoltaic (PV) Systems, P929 Draft 11, dated July, 1999, or subsequent approved revision thereof. H. Interconnection – the physical connection of distributed generation to the Company’s system in accordance with these guidelines so that parallel operation can occur. I. Interconnection Application – The standard form of application which must be submitted by the Generation Owner to the Company for permission to interconnect with the Company system. The approved Interconnection Application sets forth the contractual conditions under which the Company and Generator Owner agree that one or more generating units whose aggregate generation at the Point of Common Coupling is less than or equal to 500 kW may be interconnected at 34.5 kV or less with the Company’s system. J. Inverter – A static power converter with control, protection and filtering functions that converts Direct Current input to Alternating Current output. Inverters must be of the non-islanding type. K. Island – A portion of the utility system which contains both load and distributed generation and is isolated from the remainder of the utility system. L. Parallel Operation – Any electrical connection between the Company’s system and the Generator Owner’s generating source. M. Point of Common Coupling – The point where the electrical conductors of the Company system are connected to the Customer’s conductors and where any transfer of electric power between the Generator Owner and the Company System takes place (such as switchgear near the meter). N. Pre-Approved Equipment – Specific generating and protective equipment system or systems that have been approved by the Company as meeting the applicable parts of this document. O. Pre-Interconnection Study – A study or studies which may be undertaken by the Company in response to its receipt of a completed application for parallel operation with the Company’s system submitted on the Interconnected Application form prescribed by these guidelines. Pre-Interconnection Studies may include, but are not limited to service studies, coordination studies and facilities impact studies. P. Qualifying Facility (QF) – An electric generation facility which is a qualifying facility under Subpart B, Section 201 of the Federal Energy Regulatory Commission’s regulations per the Public Utility Regulatory Policies Act of 1978. Q. Stabilized – The Company’s system following a disturbance which returns to the normal range of voltage and frequency for at least 5 minutes or longer as coordinated with the Company. The Company may require a longer period upon a reasonable showing that the reconnection after 5 minutes will adversely affect the safety and reliability of the electric system. R. Unit – A distributed generation facility. - 24 -

S. Utility System or Electric Distribution Facility – Company’s distribution system operating at 34.5 kilovolts or below to which the generation equipment is interconnected. IV. Interconnection Application – A proposed Generator Owner will make a formal application to the Company for the interconnection of a generator to the Company system. The application will be made on an Application Form provided by the Company. V. Designation of Company Contact Persons for Matters Relating to Distributed Generation Interconnection – The Company’s Electric Engineering Department will be the designated point of contact for all matters related to interconnected generation. The Company will maintain records concerning applications received for interconnection and parallel operation of distributed generation. Such records will include the date of receipt of each such application, documents generated in the course of processing such applications, correspondence regarding such applications and the final disposition of such application. VI. Pre-Interconnection Studies – In many instances the Company will wish to conduct a service study, coordination study, or facilities impact study prior to interconnection of a distributed generation unit. In instances where such studies are deemed necessary the scope of such studies shall be based on the characteristics of the particular distributed generation unit to be interconnected and the proposed point of interconnection. A. Completion of Pre-interconnection Study – Upon completion of the interconnection study, the Company will notify the Generator Owner that his application has been approved or denied, if denied sufficient details will be provided on why the application cannot be approved. In no event shall the interconnection study take longer than 4 weeks to complete (after receipt of signed customer application and customer submittal of all required data). B. Pre-interconnection Study Fee – The Company will do a pre-interconnection study without charge for the typical and customary installation. If the cost to the Company is expected to exceed this typical and customary amount, or if multiple submittals by the Generator Owner are necessary, the Company will advise the Generator Owner of the expected cost of such study work by the Company before such work begins. The Generator Owner will be responsible for payment of all costs above the typical and customary amount. VII. Network Interconnection of Distributed Generation – Where generation is to be connected to a network system and capable of exporting power to the Grid, the interconnection study may result in more stringent interconnection requirements. VIII. Pre-approval of Generation units, Devices and Systems – Upon approval by the Company that certain generating unit’s protective devices and/or system(s) meet the standards set out in these guidelines, such approval shall be made available to the appropriate manufacturer upon written request. For subsequent applications using some or all of the identical generating unit’s protective devices and/or systems, the manufacturer may submit a copy of the approval with the application as proof that its equipment has already been approved for use on the Company’s system. Use of pre-approved equipment will not eliminate any applicable requirement for a pre-interconnection study to determine the suitability of the equipment for each application, given the unique arrangements and characteristics of both the Generator Owner and Company systems at the point of the interconnection. IX. Connection Approval – The Generator Owner can connect their generation to the Company system only after the Interconnection Application has been approved and the Generation Owner has received approval notification. The - 25 -

Company will provide notification within four weeks after the receipt of the Interconnection Application and all required data. X. Interconnected Generation Site Warning Label – The Generator Owner will install a warning label in a conspicuous place on their electric meter or meter box to notify the Company personnel that there is a generator source installed on the load side of the meter. The warning label shall not be placed in a location that would not interfere with the ability of Company personnel to read the electric meter. The Company will provide the warning label to the Generator Owner. The warning label must be placed before the generation can be interconnected. XI. Disconnection and Reconnection The Company may disconnect a distributed generation unit under the following conditions: A. Application Termination – Upon termination of the approved Interconnection Application. B. Non Compliance – For non-compliance with the technical guidelines specified in this document or other requirements contained in the applicable Customer Tariff, provided that the Company has given notice to the Generator Owner and provided the Generator Owner reasonable time (consistent with the condition) to correct such non-compliance. The Company will reconnect the unit only upon receipt of certification from the Generator Owner and verification by the Company that the unit is in compliance. The Company will provide verification within a reasonable time period. C. In Case of a system emergency outage of the Company’s Primary Electrical Sources – The Generator Owner’s generation equipment must be installed and configured so that parallel operation must automatically cease immediately and automatically during outages or loss of the Company’s electric source in accordance with these guidelines. The Generation Owner must also cease parallel operation upon notification by the Company of a system emergency, abnormal condition or in cases where such operation is determined to be unsafe, interferes with the supply of service to other customers or interferes with the Company’s system maintenance or operation. In addition, the Company may disconnect the generator from the system for system emergencies without notice. However, the Company will use reasonable efforts to notify the Generation Owner prior to disconnecting. D. For Routine Maintenance and Repairs – The Company may disconnect a Customer/Generation Owner for routine maintenance and repairs on the Company’s system consistent with applicable tariffs and agreements. The Company will make reasonable efforts to provide advance notice to the Customer/Generation Owner of service interruptions resulting from routine maintenance. The Company will reconnect the Customer/Generation Owner as quickly as possible under reasonable operations constraints following any such service interruption. XII. Termination – The Generation Owner may terminate the approved Interconnection Application at any time upon thirty (30) days of providing written notice to the Company. The Company may terminate the Interconnection Application for cause after 60 days written notice to the Generator Owner of a material violation of the terms of the approved Interconnection Application and after the Generator Owner has had a reasonable opportunity to remedy the violation. The Generator Owner must give the Company notice that it intends to permanently shut down his generation. XIII. Privileged Communications Concerning Proposed Distributed Generation Projects – In the course of processing applications for parallel operation and in the conduct of pre-interconnection studies, the Generation Owner shall - 26 -

provide the Company with detailed information concerning the proposed distributed generation project. The Company shall not use such knowledge of proposed distributed generator projects submitted to it for review to prepare competing proposals to the Generator Owner whereby the Company, or its affiliate, offers either discounted rates in return for not installing the distributed generation, or offers competing distributed generation projects. XIV. Technical Guidelines for Parallel Operation of On-site Distributed Generation Units – This subsection describes minimum requirements and procedures for safe and effective connection and operation of distributed generation. A Generator Owner may operate 60 Hertz, three phase or single phase generating equipment, whether a QF or non-QF, in parallel with the Company’s system pursuant to an approved Interconnection Application provided that the equipment and Generator Owner meet or exceed the requirements of these guidelines or the NEM Rider Tariff Formatted: Font color: Red requirements and that the Company has approved the Generator Owner’s application to interconnect. This subsection describes typical interconnection requirements. Certain specific interconnection locations and conditions may require the installation of additional protective hardware or special protection settings, especially when exporting power to the system. If the Company excludes that an application for parallel operation requires additional protective hardware or special protection settings, the Company shall make those requirements known to the Generator Owner within 14 days after all pertinent studies are completed. Approval to connect to the Company system indicates only that the minimum requirements for a safe proper interconnection have been satisfied. Such approval does not imply that the Generator Owner’s facility meets all federal, state and local standards or regulations. A. General Interconnection and Protection Requirements. 1. The Generator Owner’s generation and interconnection installation must meet all applicable national, state, and local construction and safety codes. 2. The Generator Owner’s generator shall be equipped with protective hardware and software designed to prevent the generator from energizing one of the Company’s de-energized circuits. The Generator Owner’s generator must automatically disconnect from the Company’s system if the Grid source is lost, irrespectively of connect loads or other generators. 3. The generator shall be equipped with the necessary protective hardware and software designed to prevent sustained parallel operation of the generating equipment with the Company’s system unless the system service voltage and frequency are within acceptable magnitudes as defined in Section XIV.B. 4. Pre-approved equipment shall be accepted as part of an interconnection proposal without the need to re-review the equipment itself. However, the application, design and setting of pre-approved units and/or equipment must be reviewed and coordinated according to the unique needs of the specific location of the proposed installation. Where a complete unit or system has been pre- approved, only location-specific issues will typically need to be reviewed. 5. The Generator Owner will be responsible for protecting its own generating and interconnection equipment in such a manner so that Company system outages, short circuits, single phasing conditions or other disturbances including zero sequence currents and ferroresonant over-voltages do not damage the Generator Owner’s generating equipment. The protective equipment shall also - 27 -

prevent excessive or unnecessary tripping that would adversely affect the Company’s service reliability to other Generator Owners and Customers. 6. The generator and interface protection schemes shall be continuously monitored and functioning and the generator shall immediately disconnect from the Company’s system for any condition that would make the protection scheme inoperable. 7. The operating power required for the protection and control schemes for the generator and the control power used to disconnect the generator from the Company must not be dependent on local Company grid power. 8. Where multiple generators are connected to the system through a single point of common coupling, the sum of the ratings of the generators will be used to determine the applicability of these guidelines. Protection scheme performance with one or more units off line will have to be considered. 9. Applicable circuit breakers or other interrupting devices at the Generator Owner’s facility must be capable of interrupting the maximum available local utility Company fault current at the site, including any contribution from the Owner’s generator(s). 10. The Generator Owner will furnish and install a manual disconnect device which, when opened, will have the effect of isolating the generator from the Company’s system. The disconnect device shall have a visible break (a disconnect switch, a draw-out circuit breaker, fuse block, etc. as appropriate to the voltage level), will at all times be accessible to the Company’s personnel, and shall be capable of being locked in the open position via a Company padlock. The Company shall use reasonable efforts to utilize padlocks of a size consistent with typical manufacture’s specifications. The Generator Owner shall follow the Company’s switching, clearance and tagging procedures which the Company shall provide and attach the Warning Label noted in Section X. 11. The design, procurement, installation, and maintenance of the equipment at the Generator Owner’s site are the responsibility of the Generator Owner and at the Generator Owner’s expense. 12. Any necessary enhancements or improvements needed within the Company’s system and/or at the Customer site(s) to accommodate the parallel interconnection of the Generator Owner’s generation will be at the Generator Owner’s expense. 13. The Generator Owner has full responsibility and liability for the safe and proper operation of their equipment and the power originating from their generator. The Generator Owner is also responsible for synchronizing their generator(s) with the Company’s system and maintaining synchronous operation. 14. The Generator Owner must immediately cease parallel operation upon notification by the Company if such operation is determined to be unsafe, interferes with the supply of service to other customers, or interferes with the Company’s system maintenance or operation. 15. The Company reserves the right to specify the type of transformer connection (e.g. delta-delta, wye- delta, wye-wye) that will be employed for all multiphase interface transformers consistent, where reasonable, with the Generator Owner’s power system. - 28 -

B. Prevention of Generator Owner Generation Interference with Company System. To eliminate undesirable interference caused by operation of the Generator Owner’s generating equipment, the Generator Owner’s generator shall meet the following criteria: 1. Voltage – The generating equipment will be operated in such a manner that the voltage levels on the Company’s system are in the same range as if the generating equipment were not connected to the Company’s system. The Generator Owner shall provide an automatic method of initiating a disconnect sequence of his generating equipment from the Company system with set points noted in the table below. Generating Systems Generating Systems with Non-Inverter or Rotating with Inverters Greater than Machine Generating Inverters Up to 50kW 50kW Systems Trip in 0.1 second for Trip in 0.1 Second for Trip in 0.1 second for V<50% V <50% V < 50% or V ≥115% Trip in 2 second for Trip within 0.1 to 30 Trip within 0.1 to 30 50%≤V<88% seconds for seconds for V>110% or Trip in 2 seconds for 50%≤V<88% V<90% 106%<V<137% Trip within 0.1 to 30 (Specific voltage and time Trip in 0.03 second seconds for delay set points will be for 137%≤V determined for each 106%<V<137% installation.) (Above times and voltages taken directly from IEEE Trip in 0.03 second for 929) 137%≤V (Specific voltage and time delay set points will be determined for each installation.) Note: Trip time refers to the time between when the abnormal voltage condition occurs and the generator being completely disconnected from the utility Company. On three phase generator installations, full three phase voltage sensing should be employed. Voltages must be sensed on the high side of any interface transformer if the transformer high voltage winding is ungrounded. The Generator Owner may reconnect to the grid when the system voltage returns to normal range and is stabilized as defined in Section III, Definitions. 2. Flicker – The Generator Owner shall not cause excessive voltage flicker on the Company’s system. This flicker shall not exceed the “Borderline of Irritation” curve, Fig. 10.3, as define in IEEE Std 519- - 29 -

1992, Recommended Practices and Requirements for Harmonic Control in Electric Power Systems. Lower levels of flicker may be required in areas where equipment such as computers and instrumentation are impacted. 3. Frequency – The operating frequency of the generating equipment shall not deviate more than the values noted in the table below. Generating Generating Systems with Non-Inverter or Rotating Systems with Inverters Greater than 50kW Machine Generating Systems Inverters Up to 50kW Trip in 0.1 Trip in 0.1 second for F<59.3 Trip in 0.1 second for second for Hz F<59.3 Hz F<59.3 Hz Trip in 0.1 second for F>60.5 Trip in 0.1 second for Trip in 0.1 Hz. F>60.5 Hz. second for (Other frequency and time delay set (Other frequency and time delay F>60.5 Hz. points may be necessary for a set points may be necessary for a (Set points taken specific installation.) specific installation.) from IEEE 929) Note: Trip time refers to the time between when the abnormal frequency condition occurs and the generator being completely disconnected from the utility Company. The Generator Owner may reconnect when the system frequency returns to normal range and is stabilized as defined in Section III, Definitions. Harmonics – Non-linear circuit elements such as inverter can produce harmonics. Per IEEE Std 519, Recommended Practices and Requirements for Harmonic Control in Electric Power Systems, Table 11.1, the total harmonic distortion (THD) voltage shall not exceed 5% of the fundamental 60 Hz frequency nor 3% of the fundamental for any individual harmonic as measured at the location where the customer interfaces with the Company’s system (Point of Common Coupling). In addition, the level of harmonic current that the customer is allowed to inject into the Company’s system shall not exceed that specified in Table 10.3 in IEEE Std 519. Furthermore, any communication notch should be limited as defined by Table 10.2 in IEEE Std 519. The preceding requirements apply to all types of generation systems. The Generator Owner is responsible for the installation of any necessary controls or hardware to limit the voltage and current harmonics generated by his equipment to defined levels. 4. Power Factor – The generator must not adversely impact the power factor of the Generator Owner site. Most inverters are designed to operate close to unity power factor. The operating power factor of the generator shall be contained within the limits defined in the table below. - 30 -

Generating Generating Systems with Non-Inverter or Rotating Systems with Inverters Greater than 50kW Machine Generating Inverters Up to Systems 50kW 0.95 Lagging or 0.95 Lagging or Leading 0.95 Lagging or Leading Leading when When output exceeds 10% output exceeds 10% of inverter of inverter rating. rating. (From IEEE 929- 1999) However, to the extent that a Generator Owner’s power factor at the Point of Common Coupling falls below 0.95 lagging as a direct result of the installation of the generating unit(s), the Generator Owner must obtain, install and maintain, at his expense, corrective apparatus that compensates for the drop in power factor caused by the installation of the generator. Penalties will be assessed for power factors that fall below 0.95 lagging or leading. 5. Current – In some cases, directional over-current protection may be required to limit fault current flowing onto the Grid in the event of a line fault. DC inverters that are incapable of producing fault current do not require directional over-current protection. Inverter systems should not inject DC current greater than 0.5% of rated inverter output into the AC interface point under either normal or abnormal conditions. 6. Fault and Line Clearing – The Generator Owner shall automatically disconnect from the Company’s system during electrical faults on the Company’s electrical system and upon loss of the Company’s electric source. The Generator Owner may reconnect when the system voltage and frequency return to normal range and is stabilized as defined in Section III, Definitions. Detection of the loss of the Company’s primary electric system, where the Generator Owner is operating in an island with other customer load, becomes increasingly difficult as the level of distributed generation on a feeder approaches the connected load. For generating units 50kW and below, the over/under voltage and over/under frequency settings described previously along with the anti-islanding provisions of IEEE 929/UL 1746 inverters, should be sufficient to satisfy this provision. 7. Automatic Reclosing – The Generator Owner is responsible for protecting his equipment from the effects of switching or automatic reclosing of the Company’s feeder circuit. The Generator Owner may request the Company to delay high speed reclosing on the Company’s feeder to allow the interconnected generator sufficient time to remove itself from an islanding or de-energized feeder prior to automatic reclose. Since delaying the automatic reclose time degrades the level of service provided to other customers on the circuit, the Company will limit the automatic reclose time delays to a few seconds or less. The Generator Owner may also request that a direct transfer trip scheme be added to remove the interconnected Generator from service prior to automatic reclosing by - 31 -

using communications equipment between the generator site and the Company. Similarly the Generation Owner may request that a synchronizing check, or reclose blocking scheme be installed on the Company’s feeder to prevent out of phase reclosing. The Generation Owner is responsible for all costs associated with the installation and maintenance of these requested modifications. C. Control, Protection and Safety Equipment Requirements Specific to Generators of 500 kW or less. All Generator Owners 500 kW or less can be single phase. Customer owned generators greater than 10 kW must be evaluated by the Company to determine if it can be single phase. The following table describes necessary control, protection and safety equipment specific to generator of 500 kW or less connected to Secondary or Primary Voltage Systems: Generator Size 500 kW or less Over-Current Trip X Over-Voltage Trip X Under Voltage Trip X Over/Under Frequency Trip X Synchronizing Check2 Manual or Automatic Notes: 1. Exporting to the Company system many require additional operational/protection devices. 2. For synchronous and other type of generators with stand-alone capability. D. Control, Protection and Safety Requirement Specific to Three Phase Synchronous Generators, Induction Generators, and Inverter Systems. Generators greater than 50 kW must be three phase generators connected to three phase circuits. 1. Three Phase Synchronous Generators. Generator circuit breakers shall be three phase devices with electronic or electromechanical control. The Generation Owner is solely responsible for properly synchronizing his generator with the Company’s system. For a synchronous generator, the excitation system response ratio shall not be less than 0.5 (five-tenths). The generator’s excitation system(s) shall conform, as closely as reasonably achievable, to the field voltage vs. time criteria specified in American National Standards Institute Standard C50.13-1989 in order to permit adequate field forcing during transient conditions. 2. Three Phase Induction Generators and Inverter Systems. Induction generation may be connected and brought up to synchronous speed (as an induction motor) if it can be demonstrated that the initial voltage drop measured on the Company’s side at the point of common coupling is within the visible flicker limits stated in Section XIV.B.2. Otherwise, the Generator Owner may be required to install hardware use other techniques to bring voltage fluctuations to acceptable levels. Line-commutated inverters do not require synchronizing - 32 -

equipment. Self-commutated inverters whether of the utility-interactive type or stand-alone type shall be used in parallel with the Company system only with synchronizing equipment. Requirement for the Control, Protection and Safety Equipment 1 Greater than 25kW and Less than 500kW, Three Phase Connected to Primary System Generator Disconnect Device X Over-Voltage Trip X Under Voltage Trip X Over-Current Trip X Over/Under Frequency Trip X Ground Over-Voltage Trip2 OR Ground Over-Current Trip2 X Synchronizing Check3 Manual or Automatic Power Direction4 X Transfer Trip/Reclose Blocking5 X Notes: 1. Exporting to the Company’s system may require additional operating/protection devices and will require coordination of operations with the Company. 2. Selection depends on grounding system, if required by the Company. 3. For synchronous and other types of generators with stand-alone capability. 4. Required only if generator size is greater than Generator Owner’s minimum load and thus capable of exporting. The relay will operate if the power flow from the generator into the Grid exceeds a predetermined level. A time delay will have to be incorporated into this relaying scheme to prevent it from operating during synchronous swings. 5. May be required as part of any necessary transfer tripping/reclose blocking protection scheme. E. Requirements Specific to Generators paralleling for 0.1 second or less (Closed Transition Switching) Control, Protection and Safety Equipment requirement for generators less than 500 kW which parallel with the Company’s system for 0.1 second or less such as during source or load transfers. Over-Voltage Trip X Under Voltage Trip X 1 Synchronizing Check Manual or Automatic - 33 -

2 Excessive Closed Time Trip X Notes: 1. For synchronous and other types of generators with stand-alone capability. 2. Scheme will trip generator if closed transition parallel mode remains in effect longer than 0.1 second. F. Inverter Type – DC Generation installations using inverters for interconnection with the Company must use non- islanding type inverters as defined in IEEE 519, Recommended Practices and Requirements for Harmonic Control in Electrical Power Systems, IEEE 929, IEEE Recommended Practices for Utility Interface of Photovoltaic (PV) Systems (including Annex B, D, E & G) and UL Subject 1741, May 1999, Standard for Static Inverters and Charge Controllers for use in Photovoltaic Power Systems. G. Inspection and Start-Up Testing – the Generator Owner shall provide the Company with reasonable prior notice at least 2 weeks before the initial energizing and start-up testing of the Generator Owner’s generating equipment and the Company, at its discretion, shall witness the testing of any equipment and protective systems associated with the interconnection. The Generator Owner shall revise and re-submit the application information for any proposed modification that may affect the safe and reliable operation of the Company’s system. The generator may be reconnected to the Company system only after the modified application has been reviewed, testing has been confirmed and the Company has given approval to reconnect. H. Site Testing and Commissioning - Testing of protection systems shall include procedures to functionally test all protective elements of the installation up to and including tripping of the generator and interconnection point. Testing and testing intervals should be in accordance with manufacturers’ and industry recommendations. Testing will verify all protective set points and relay/breaker trip timing. The Company may witness the testing of installed switchgear, protection systems, and generator. The Generator Owner is responsible for all maintenance of the generator, control and protective equipment. The Generator Owner will maintain records of such maintenance activities which the Company may review at reasonable times. I. Metering - Metering requirements will be reviewed on each specific installation. J. Dedicated Transformer – A dedicated transformer will be required where the generating Generator Owner is served from the same transformer secondary as another Company customer and inverter-based technology not meeting IEEE 929-1999 and IEEE 519-1992 specifications is used. In addition, a dedicated transformer or other current-limiting device is needed for any type of generator installation where the increase in available short circuit current could adversely impact other Company customers on the same secondary circuit. K. Suggested References The following references can supply technical support and insight into the safe, reliable interconnection of distributed generation with the Company’s systems. These references should be reviewed by those individuals or firms contemplating parallel operation of generation with the Company. IEEE C37.95-1989 - IEEE Guide for Protective Relaying of Utility-Consumer Interconnections IEEE Std 1001 (1988) - IEEE Guide for Interfacing Dispersed Storage and Generation Facilities with Electric Utility Systems IEEE Std 929 - IEEE Recommended Practices for Utility Interface of Photovoltaic (PV) Systems - 34 -

IEEE Std 1021 (1988) - IEEE Recommended Practices for Utility Interconnection of Small Wind Energy Conversion Systems IEEE Std 519 -1992 - IEEE Recommended Practices and Requirements for Harmonic Control In Electrical Power System NEC 690 - Solar Photovoltaic Systems UL 1703 - Standard for Safety Flat-Plate Photovoltaic Modules and Panels UL 1741 - Standards for Static Inverters and Charge Controllers for use in Photovoltaic Power Systems - 35 -

4. NET METERING Formatted: Font: 11 pt Formatted: Font: 16 pt 4.1 General Provisions – Net Metering can occur in three circumstances as follows: Formatted: Font: 11 pt Condition 1 – Individual Customer/Single Account/Single Premise where all Net Metering activity occurs at a single customer premise for a single customer account; Condition 2 – Individual Customer/Multiple Accounts/Single or Multiple Premises where a single customer can aggregate Net Metering for crediting to multiple accounts and/or premises; and Condition 3 – Host Customer/Multiple Subscribers/Multiple Premises where a Community Energy Facility, either behind the meter of a Subscriber or as a stand-alone facility, provides Net Metering for multiple Subscribers and multiple premises. A Community Energy Facility may include technologies defined under §352(6)(a-h) of Title 26 of the Delaware Code. The City of Dover (“City”) shall offer Customers the option of Net Metering if a Customer generates electricity at the Customer’s premises, subject to all of the following requirements: 4.1.1 The Customer: owns and operates; leases and operates; or contracts with a third party that owns and operates the electric generation facility with a capacity that: 4.1.1.1 Will not exceed 25 kW per City meter for residential Customers; Formatted: Font: (Default) Calibri, 11 pt 4.1.1.2 Will not exceed 500 kW per City meter for non-residential Customers; 4.1.1.3 Will not exceed 100 kW per City meter for farm Customers (subject to rules of Delaware Code - Title 26, §1014(d)(1)b); 4.1.1.4 Is located on the Customer’s premises; 4.1.1.5 Application by a non-residential Customer for the installation of any generation system in excess of 500 kilowatts shall be given due consideration and require a special contract. The installation will only be accepted by the City if it complies with Section 4.1.1.8_and there is no detrimental impact to the electric system; the City decision will be final; 4.1.1.6 Uses as its primary source of fuel: solar, wind, hydro, a fuel cell, or gas from the anaerobic digestion Formatted: Font: 11 pt, Not Italic of organic material; Formatted: Normal, Justified, Indent: First line: 1", Space After: 12 pt, No widow/orphan control, Tab stops: 1.38", Left + 1.63", Left + 4.1.1.7 Is interconnected and operated in parallel with an City’s transmission and distribution facilities; Not at 2.13" Formatted: Font: (Default) Calibri, 11 pt, Not 4.1.1.8 Does not exceed, individually or in the aggregate as a result of other net-metering Customers on the Italic same distribution feeder or substation, a maximum renewable generating capacity greater than 1.5 megawatts on a Formatted: Font: 11 pt, Not Italic distribution feeder and shall not exceed 15% of the substation transformer capacity rating; and 4.1.1.9 Under all conditions, the installation shall be designed to produce no more than 110% of the Host Customer’s expected aggregate electrical consumption, calculated on the average of the two previous 12 month periods of actual electrical usage at the time of installation of energy generating equipment and subject to the capacity limits specified in Section 4.1.1.1 through Section 4.1.1.3 of this Rule. For new building construction or in instances where less than two - 36 -

previous 12 month periods of actual usage is available, electrical consumption will be estimated at 110% of the consumption of units of similar size and characteristics at the time of installation of energy generating equipment and subject to the capacity limits specified in Sections 4.1.1.1 through Section 4.1.1.3 of this Rule. 4.2 Metering and Tariff Requirements - Net Metering shall be accomplished through a single meter installed at City’s expense that runs forward and backward in order to measure net energy flow during a billing period. 4.2.1 An additional meter or meters to monitor the flow of electricity in each direction may be installed with the consent of the Customer, at the expense of the City, and the additional metering shall be used only to provide the information necessary to accurately bill or credit the Customer pursuant to Sections 4.3 and/or 4.4 of this Rule, or to collect system performance information on the eligible technology for research purposes. 4.2.2 Where a larger capacity meter is required to serve the Customer, or a larger capacity meter is requested by the Customer, the Customer shall pay the City the difference between the larger capacity meter investment and the meter investment normally provided under the Customer's service classification. If an additional meter or meters are installed, the net energy metering calculation shall yield a result identical to that of a single meter. 4.2.3 If the existing electrical meter of a Customer is incapable of measuring the flow of electricity in two directions through no fault of the Customer, the City shall be responsible for all expenses involved in purchasing and installing such a meter. 4.2.4 For Condition 3 where a stand-alone Community Energy Facility is installed, the City shall install the meter necessary to provide the data to accomplish the necessary billing and shall be responsible for all expenses involved in purchasing and installing such a meter. The City shall assess the stand-alone Community Energy Facility a customer charge equivalent to the load and energy output characteristics of the generating facility which would be equivalent to the load and energy characteristics of a similarly situated Customer in its tariff. 4.2.5 If the total generating capacity of all Customer-generation using net metering systems served by the City exceeds 5% of the capacity necessary to meet the City's aggregated Customer monthly peak demand for a particular year, the City may elect not to provide Net Metering services to additional Customers. The City’s aggregated Customer monthly peak demand shall be the average of the unadjusted five (5) system peaks for the City as determined by Delmarva Power and reported to PJM and shall be in effect from June 1 through May 31 of each year. 4.2.6 City shall provide net-metered Customers electric service at non-discriminatory rates that are identical, with respect to rate structure and monthly charges, to the rates that a Customer who is not Net Metering would be charged. City shall not charge a Net Metering Customer any stand-by fees or similar charges. 4.2.7 If a Net Metering Customer terminates its service with the City, the City shall treat the end of service period as if it were the end of the Annualized Billing Period for any excess kWh credits. 4.3 Net Metering Condition 1 and Condition 2 - If, during any billing period, a Customer-Generator Facility produces more energy than that consumed by the Condition 1 Customer, or aggregate total kWh of the Condition 2 Customer, the City will credit the Customer in kWh’s equal to the sum of delivery service charges and supply service charges for residential Customers and the sum of the delivery service charges and supply service charges for non-residential Customers for any excess energy production of their Customer-Generator Facility that exceeds the Customer’s on-site, or aggregate total consumption of kWh in the applicable billing period. - 37 -

4.3.1 Excess kWh credits shall be credited to subsequent billing periods to offset a Customer's consumption in those billing periods until all credits are used. During any subsequent billing period prior to the end of the Annualized Billing period, the crediting of excess energy kWh will result in the reduction of cost paid by the Customer for the kWh of delivery service charges, if applicable, and supply service charges. 4.3.2 At the end of the Annualized Billing Period, a Customer may request a payment from the City for any excess kWh credits, subject to 4.1.1.8. The payment for residential customer accounts shall be equal to kWh Customer’s Supply Service Charges. excluding charges, such as the transmission capacity charge and/or demand charges. The payment for non-residential customer accounts shall be equal to excess kWh Customer’s Supply Service Charges that would otherwise be applicable at the end of the Customer’s Annualized Billing Period. If such payment would be less than $25.00, the City may credit the Customer’s account through monthly billing. 4.3.3 Any excess kWh credits shall not reduce any fixed monthly Customer charges imposed by the City. 4.3.4 The Customer shall retain ownership of all RECs associated with electric energy produced from all eligible energy resources of the Customer-Generator Facility and consumed by the Customer unless the customer has relinquished such ownership of the RECs by contractual agreement with a third party. 4.3.8 Where applicable, the requirements established in Section 4.6 of these Rules shall apply to this Section 4.3. 4.4 Net Metering Condition 3, Host System – Where the Community Energy Facility is located behind the meter of a Subscriber that is also the Host Customer, the following will also be subject to the requirements established in Section 4.7 of this Rule: 4.4.1 During a monthly billing period where the energy from the Community Energy Facility exceeds the consumption of the Host Customer, the Subscribers participating in a Community Energy Facility shall be credited kWh equal to Supply Service Charges – as per the Net Energy Metering Tariff –for any of the energy production in excess of the consumption of the Host Customer of the Community Energy Facility. This credit will only be given to the Host Customer on a monthly basis; it will be the responsibility of the Host Customer to distribute the value of this credit to other Subscribers participating in the Community Energy Facility. Only for the purposes under this section 4.4 will this not be considered “resale” of electricity but will be considered distribution of dividends for a Community Energy Facility. 4.4.2 The Subscribers participating in a Community Energy Facility shall retain ownership of all RECs associated with electric energy produced from all eligible energy resources of the Community Energy Facility unless the Subscribers participating in the Community Energy Facility have relinquished such ownership of RECs by contractual agreement with a third party. 4.4.3 A Community Energy Facility shall not exceed the sum total of the capacity limits as defined under Section 4.1.1.1 through Section 4.1.1.3 and 4.1.1.8 of this Rule among the Subscribers of a Community Energy Facility. 4.4.4 Where applicable, the requirements established in Section 4.7 of these Rules shall apply to this Section 4.4. 4.4.5 The City invoked its authority under Title 26, Chapter 10, Subchapter 1014 (e) (3) to credit the energy produced under Sections 4.4 and 4.5 at the value of the Supply Service Charges as defined in the Net Energy Metering Tariff. This Tariff will be updated on an annual basis to reflect the annual budgeted value and will not be trued up at the end of the - 38 -

annual period to reflect actual costs. 4.5 Net Metering Condition 3, Stand Alone System – Where the Community Energy Facility is a stand-alone facility, the facility will be subject to the requirements established in Sections 4.4 and 4.7. For clarification, the payment will be made to the participant that has the electric meter of the Community Energy Facility in their name. 4.6 Net Metering Condition 2 – Subject to the applicable Net Metering provisions of Section 4.0 of this Rule, under Condition 2, one customer may have multiple meters under the same account or different accounts, regardless of the physical location and rate class. The customer may aggregate meters for the purpose of net metering regardless of which individual meter receives energy from a Customer-Generator Facility, provided that: 4.6.1 City of Dover shall only allow meter aggregation for customer accounts for which it provides electric supply service; and 4.6.2 The Customer-Generator Facility is designed to produce no more than 110% of the aggregate electrical consumption of the Customer’s individual meters or accounts that the Customer is entitled to aggregate under this Section 4.6 calculated on the average of the two previous 12 month periods of actual electrical usage. For new building construction or in instances where less than two previous 12 month periods of actual usage are available, electrical consumption will be estimated at 110% of the consumption of units of similar size and characteristics at the time of installation of energy generating equipment; and 4.6.3 A Customer-Generator Facility shall not exceed the sum total of the capacity limits among the participants of a Customer-Generator Facility as defined under Section 4.1.1.1 through Section 4.1.1.3 and 4.1.1.8 of this Rule; and 4.6.4 At least ninety days before a Customer commences construction of a Customer-Generator Facility or a Customer is entitled to aggregate multiple meters, the customer shall file with the City the following information: 4.6.4.1 a list of individual meters the Customer is entitled to aggregate, identified by address, rate schedule, and account number; and 4.6.4.2 a description of the Customer-Generator Facility, including the facility’s location, capacity, and fuel type or generating technology. 4.6.5 The Customer may change its list of aggregated meters specified in Section 4.6.4.1 no more than once annually by providing ninety days’ written notice; and 4.6.6 Credit shall be applied to the meter through which the Customer-Generator Facility supplies electricity; and 4.6.7 Credit in kilowatt-hours (kWh) shall be valued according to Section 4.3 of this Rule and each account’s rate schedule as specified in Section 4.6.4.1 above; and 4.6.8 The City may require that Customer’s aggregated meters specified in Section 4.6.4.1 above be read on the same billing cycle. 4.7 Net Metering Condition 3 Subscribers – Subscribers are eligible to participate in a Community Energy Facility, provided: - 39 -

4.7.1 A community includes customers sharing a unique set of interests; and 4.7.2 The City shall only allow meter aggregation for customer accounts of which it provides electric service; and 4.7.3 The Community Energy Facility is designed to produce no more than 110% of the community’s aggregate electrical consumption of its individual customers, calculated on the average of the two previous 12 month periods of actual electrical usage. For new building construction or in instances where less than two previous 12 month periods of actual usage is available, electrical consumption will be estimated at 110% of the consumption of units of similar size and characteristics at the time of installation of energy generating equipment; and 4.7.4 The Community Energy Facility shall not exceed the sum total of the capacity limits among the participants of a Community Energy Facility as defined under Section 4.1.1.1 through Section 4.1.1.3 and 4.1.1.8 of this Rule; and 4.7.6 Before Net Metering for a Community Energy Facility may be formed and served by the City, the community proposing a Community Energy Facility shall file with the City the following information: 4.7.6.1 a list of individual meters the community is entitled to aggregate identified by name, address, rate schedule, and account number; and 4.7.6.2 a description of the Community Energy Facility, including the facility’s physical location, the Host Customer’s physical location, capacity, and fuel type or generating technology. 4.7.7 A community proposing a Community Energy Facility may change its list of aggregated meters as specified in Section 4.7.6.1 above no more than quarterly by providing ninety days’ written notice to the City; and 4.7.8 If the community proposing a Community Energy Facility removes individual customers from the list of aggregated meters as specified in Section 4.7.6.1 above, then that community shall either replace the removed customers, reduce the generating capacity of the Community Energy Facility to remain compliant with the provisions provided under Sections 4.7.3 and 4.7.4 above, or negotiate with the City to establish a mutually acceptable agreement for any excess kWh credit; and 4.7.9 The City may require that customers participating in a Community Energy Facility have their meters read on the same billing cycle; and 4.7.10 Neither customers nor owners of community-owned energy generating facilities shall be subject to regulation as either public utilities or an Electric Supplier. 4.7.11 The Subscribers participating in a Community Energy Facility shall retain ownership of all RECs associated with electric energy produced from all eligible energy resources of the Community Energy Facility unless the Subscribers participating in the Community Energy Facility have relinquished such ownership by contractual agreement with a third party. 4.7.12 The Community Energy Facility will also be subject to the requirements of Sections 4.4 and 4.5 of this Rule. 4.8 Disputes – Any net metering disputes limited to the correct application of the Electric Service Handbook and - 40 -

Net Metering Tariffs shall be resolved by the City Manager or his/her designee. 4.9 Interconnection Requirements – Any requirements necessary to permit interconnected operations between the Customer-Generator Facility or Community Energy Facilities and the City, and the costs associated with such requirements, shall be consistent with the requirements contained in the City of Dover Electric Service Handbook (ES Handbook) The City shall not require eligible net metering customers who meet all applicable safety and performance standards to install excessive controls, perform or pay for unnecessary tests, or purchase excessive liability insurance. 4.9.1 A complete interconnection application is required to facilitate a City- directed transmission and distribution analysis, including an evaluation of potential reliability, safety and stability impacts and determination of whether infrastructure upgrades are necessary and appropriate allocation of applicable interconnection costs as outlined in the ES Handbook. 4.10 Failure to Comply with These Rules. The failure by any interconnection customer to comply with these requirements and the requirements in other Sections of the ES Handbook may result in penalties, including monetary assessments, suspension or revocation of the facilities interconnection or other sanction as determined by the City Manager. Formatted: Font: 14 pt, Bold, Underline Formatted: Indent: Left: 0.5", First line: 0", Line spacing: Multiple 1.15 li, Tab stops: -0.75", Left + -0.5", Left + 0", Left + 0.44", Left + 0.69", Left + 1", Left + 1.25", Left + 2", Left + 2.5", Left + 3", Left + 3.5", Left + 4", Left + 4.5", Left + 5", Left + 5.5", Left + 6", Left + 6.5", Left - 41 -

4.5. CUSTOMER SERVICE I. APPLICATION AND CONTRACT FOR SERVICE A service contract is required in order to receive electric service from the City. In order to receive electric service, each customer is required to apply at the Customer Service Department and if approved the customer shall implicitly enter into a contract with the City for electric services. This Handbook, terms of applicable service classifications, and any Rules and Regulations adopted by the City shall be part of every contract for electric service and shall govern all classes of service. Any prior outstanding debts to the City of Dover will result in service not being granted until the debt is paid in full. When requesting a service connection, individuals need to complete an application for utility service at least twenty four hours (24) or one business day before the requested service date. The City requires a signed lease agreement or proof of ownership, a Social Security card, and one form of photo identification. The City will obtain credit reports to determine the amount of a deposit, if required. Charges for electric service shall begin at the time electric service is made available to the Customer. II. ELECTRIC SERVICE CONTRACT The City Manager is empowered to create and enforce all rules and regulations in order to maintain and operate the City electric plant, and electrical distribution system. The City Manager, or designee, is authorized to review every contract for electric service that governs all classes of service, unless otherwise stated by a service classification. Additional information regarding policies and regulations may be obtained by contacting the City of Dover’s Customer Service Department. III. ELECTRIC SERVICE RATES Copies of the Electric Service Tariffs and all rules and regulations adopted by City Council are available for the public review at the Customer Service Center, Public Utilities and on the City of Dover website. The rules and regulations apply to every customer or applicant for utility service. Revisions and amendments may occur from time to time, and customers are encouraged to contact the City for updates. IV. NO PREJUDICE OF RIGHTS The failure by the City of Dover to enforce any of the provisions of the Tariffs shall not be deemed a waiver of its right to do so. V. CITY’S RIGHT TO REJECT APPLICATION The City may reject any application for service if the applicant does not meet all the requirements of the City. VI. SERVICE CHARGE FOR APPLICATION OF SERVICE The City does not charge a service fee to establish or discontinue service. However, the City reserves the right to charge a service fee to process changes or cancelations to any type of work order requests. An individual requesting to establish service without providing the required notice shall be subject to a service fee according to the published connect and disconnect service fees. - 42 -

VII. MOBILE HOME PARKS Each mobile home electric customer shall make a suitable deposit when connected; however, the mobile home park operator may make a suitable deposit and guarantee the accounts for individual tenants. If this arrangement is elected, connections and disconnections of service may be handled by mobile home park operator via telephone to the City. All applicable Rules and Regulations, in addition to those listed above, shall apply to service to Mobile Home Parks. VIII. SERVICE DEPOSIT The City may require a service deposit for all utility (electric, water and/or wastewater) accounts. This amount varies depending on the customer’s credit rating. The requested deposit can be as much as three times the average monthly bill at the residence in question or as little as zero. Service deposits are held in an interest bearing account. Interest is paid on the deposit at a rate set by the City Council. When the customer account is terminated the deposit will be applied to the final bill. Any credit remaining on the account after the final bill is satisfied will be refunded to the customer once it has been determined that the customer has no other outstanding balances with the City of Dover. As long as residential customer (owner or renter) maintains a good credit standing, they will never be asked for an additional deposit. A customer who fails to pay their bill and has services disconnected or who has a returned check, and either occurs twice in a twelve month period, will be charged an additional deposit. Additional deposits may be required for any reason the City may deem appropriate. IX. TRANSFERRING SERVICE When requesting a service transfer, we require individuals to apply at Customer Service and complete an application for utility service. We require a signed lease document or proof of ownership, a Social Security card, and one form of photo identification. Electric service to a customer at a new location or to transfer electric service to a new location shall be rendered only when all City of Dover outstanding debts are paid in full. Any delinquent balance must be paid in full and the account must be brought current in order to have service established at another location. At this time, the deposit for both locations will be reviewed. Any deposits will be transferred an additional deposit may be required. The final bill is due and payable when rendered. In the event of an issue of domestic violence, an order from the court will be satisfactory to establish utility service. Utility services will be provided at the address indicated on the order. Valid photo identification and a Social Security card will be required in order to complete the application process. The City may require a service deposit. A credit report will be generated in order to determine the level of deposit required. The deposit can be as great as three times the average bill or as little as zero. X. DISCONTINUE ELECTRIC SERVICE BY CUSTOMER NOTICE The customer shall give the city at least (1) business day, or twenty-four (24) hours, written notice to discontinue electric service unless otherwise agreed upon and shall be liable for electric service used until the meter is disconnected or final reading is recorded. Notice prior to the expiration of any electric service contract term shall not relieve any minimum guaranteed payment under any electric service classification. The customer shall be responsible for all cost to disconnect the electric service. - 43 -

XI. SUSPENSION OF ELECTRIC SERVICE CONTRACT If, by reason of any act, neglect or default of a customer, the City’s electric service is suspended or the City is prevented from supplying electric service in accordance with the terms of any electric service contract it shall have entered into, the minimum charge for the unexpired portion of the electric service contract term shall become due and payable immediately as liquidated damages in lieu of the anticipated returns from the electric contract. XII. BILLING PERIOD Meter readings are obtained by the City’s meter reading staff on a monthly basis on a pre-determined route. The area of the service address determines the date the meter is read, billed and due and requests for specific billing date cannot be accommodated. The electric bill shall be due and payable within twenty-one (21) days after the electric bill is dated. XIII. ESTIMATED BILLING When the City’s meter reader is, at any regular meter reading date unable to gain access to the customer’s premises the City may render an estimated utility bill based on prior usage. XIV. EQUALIZED PAYMENT PLAN An equalized payment plan will be permitted for residential customers meeting these requirements. Monthly payments for the service address will be based on estimated cost of total consumption for the eleven month period October through August, with additional billing being made in the remaining one (1) month. Adjustments in monthly payments may be made after each quarterly review, and may indicate that the original estimate consumption was too high or too low. Additional information can be obtained by contacting Customer Service. XV. FINAL BILLING When terminating services, the customer must make a request to the City (1) one business day, or twenty-four (24) hours, prior to the termination date. The final bill will be due and payable when rendered. Any service deposit on file will be applied to the final bill. If unpaid, the City may refer the account to a collection agency. The customer will be responsible for any fees, penalties, legal expenses and attorney fees incurred during the collection process. XVI. OPTIONS IN BILL PAYMENTS To better serve our customers the City of Dover offers a variety of payment options. Cash, checks, money orders, cashier’s check, certified checks, credit cards, and bank drafting are some accepted forms of payment. Payments can be mailed, brought to the office during normal business hours (8:30 AM to 5:00 PM, Monday through Friday), or placed in the drop box located at Customer Service. Cash payments cannot be accepted in the drop box. For complete details on payment options, please contact Customer Service. XVII. CREDIT POLICY It is important to maintain a good payment record. Payment is due (21) twenty-one days from the billing date indicated on the bill. Before disconnecting electric service for nonpayment a disconnection notice shall be mailed to the customer giving additional (14) days to make the payment, or arrangements with Customer Service, if the customer meets eligibility requirements. Payment arrangements can be made with Customer Service, if the customer Formatted: Font: 11 pt - 44 -

meets eligibility requirements. Delinquent balances are subject to penalties at the percentage approved by City Council. More details on the City’s credit policy are available by contacting Customer Service. XVIII. RETURNED CHECKS AND RETURNED ELECTRIC FUNDS TRANSFERS The City will charge an established service fee for any check or electric funds transfer returned unpaid for any reason from the bank. In the event the item returned was used for the payment of reconnection of electric service the City may terminate the electric service, without written notice, until the matter is resolved. All returned check payments must be made in cash or money order at Customer Service, during normal business hours. If the returned check resulted in electric service interruption, an additional service fee will apply. To be reconnected, after hours contact the City of Dover Dispatch Center. Only money orders or cashier’s checks will be accepted. XIX. MEDICAL HARDSHIP POLICY The State of Delaware has made provisions for occupants of any dwelling that may require the use of a medical device that requires electric current. The customer must register this medical hardship with Customer Service. A letter from the patient’s physician indicating the medical condition, medical device and amount of amps required to operate the device is required. The letter will remain on file for 120 days, after which if the medical condition still exists another letter will be required from the attending physician. While this provision prevents the termination of electric service, customers that maintain a delinquent balance and would be subject to disconnection for non- payment, will be issued a notice affixed to the door of the service address notifying the customer that they have 24 hours to make payment of the delinquent amount or face further action. The City of Dover reserves the right to place a load restrictive devise on any account which has a medical seal and maintains a delinquent account balance. This load restrictive device is normally placed 48 hours after the 24 hours notice. The load restrictive device allows only enough electricity to a dwelling to operate needed medical equipment. The customer will be notified prior to the installation of the device. Delaware State Statue: 26 Del.C. 117(d) provides: “In no event shall such termination occur if any occupant of any dwelling unit shall be so ill that the termination of such sale or physician of this State or any accredited Christian Science practitioner and received by any employee or officer of such persons engaging in the distribution of sale of gas, water or electricity. Signed statements from a licensed physician or accredited Christian Science practitioner obtained pursuant to this section are effective for 120 days. Signed statements may be renewed by means of a new signed statement to prevent termination.” XX. ELECTRIC SERVICE RE-CONNECTION; FEE; ARREARAGE Electric service may be disconnected by the City pursuant to this handbook and shall be reconnected only upon advance payment of published service fees in addition to all arrearage due under the customer's utility service contract, except when it has been necessary to remove service wires to discontinue the electric service. In the latter case electric service shall be restored only upon payment to the City of the cost of discontinuance and restoration. - 45 -

XXI. COMPLIANCE Electric service may be refused by the City of Dover until the customer is in compliance with all established standards of safe and efficient wiring. XXII. METER READINGS All meters must be read at least once every three (3) months, by City personnel, during normal working hours. Failure to have meter accessible for this purpose could result in termination of service in accordance with Rules and Regulations Section. XXIII. BILLING CHANGES When demands are reassessed or power factors re-computed or re-measured, or the customer is found to be on an improper Service Classification, as the result of an investigation made at the customer's request or by routine inspection when it is found that the customer has been miss-billed for any reason, the City has the option to render corrected bills to the customer. The corrections will begin with the month when it is established the error occurred, but will not exceed twelve (12) billings. XXIV. CHOICE OF SERVICE CLASSIFICATIONS When two or more Service Classifications are available for the same class or service, the customer shall select the Service Classification to be applied. XXV. CHANGING SERVICE CLASSIFICATIONS When a customer has selected a service classification, this classification shall remain in effect for the contract term. Changes may be allowed if the customer makes a change in the installation, in the character of service, or quantity of energy use. If a customer on the primary service classification wishes to switch to another classification, and they are eligible for the new classification, the customer may do so at the customer's choice. If such a change occurs, the City will make a determination on a case-by-case basis which portion, if any, of the customer-owned electrical equipment will be maintained or accepted by the City; however, any equipment transferred to City ownership will be so transferred at no cost to the City. If the equipment is not accepted by the City the “New Extension” policy will be applied to the upgrade prior to the transfer. XXVI. CITY ASSISTANCE The City, upon request, may assist the customer in the selection of the most advantageous Service Classification, but the duty and responsibility of making the selection shall at all times rest with the customer. - 46 -

Electric Service Handbook Discussion Section 1, II. SERVICES AND EXTENSIONS, EXTENSIONS – RESIDENTIAL AND NON-RESIDENTIAL Due to the slowdown in the economy many of the developments have not progressed as quickly as in the past. This has resulted in issues related to electric facilities not being available to provide power for needed street lights. The additional text will allow the City to develop a mutually agreeable phasing plan that will satisfy both parties’ needs. Section 1, III. LIGHTING – GENERAL This provides additional clarification that the City has the right to trim trees in the right- of-way that interfere with desired illumination of City maintained lighting fixtures. Section 1, III. LIGHTING – STREET LIGHTS, 2. New Developments (Streets) a. This clarifies that the City will be the designer of lighting patterns for the future City maintained streets and determine what lights will be installed during each phase. b. At the request of the Planning Department the cost of operating street lights on non-dedicated streets will be borne by the developer until such time as the street is dedicated. c. Currently the developer has the option of installing the street lights themselves or paying the City to install these lights (material cost only). For many years the developers have paid the City due to this favorable pricing. During the economic slowdown some developers have not been as responsive as necessary to pay for some of the required (City’s opinion) street lights, resulting in under lit occupied areas. This has resulted in security and safety concerns from the residents living in partially completed areas. This sub-section will define the costs and responsibility of installing the street lights and prevent unlit occupied areas by collecting this fixed fee prior to structural development. Section 2, XIV, METER TESTING With the installation of the electronic meters the manufactures have stated that routine testing is no longer required since there are no moving parts. Essentially the meter is working correctly or it completely fails to register usages, in which case the City is aware of the problem. 3. TECHNICAL CONSIDERATIONS COVERING PARALLEL OPERATIONS This section was updated to the latest standards since the last publication. 4. Net Metering – New Section Under Senate Bill No. 267, and Senate Amendment No. 2 to Senate Bill No. 267, the th 145 General Assembly approved to amend Title 26 of the Delaware Code related to the net energy metering standards. The purpose of this code is to encourage private investment in customer-owned renewable energy generation facility. This amendment required staff to modify the City of Dover Net Metering policies/tariff to comply with the Code. Essentially this

Electric Service Handbook Discussion legislation created three distinct groups of renewable generators. This policy was developed by staff in an effort to comply with the legislation and has been approved by the City’s attorney, Mr. Kirk Betts. Generally the policy is self-explanatory so no further discussion is offered with one exception. Under Condition 3, Section 4.4.5, the legislation gave the City the option to price the value of the Supply Service Charges (energy). Staff is recommending that this value be determined on an annual basis and will be the budgeted cost of energy, which is determined by the average cost of the hedges and the market price of the open positions. The reason for using this value is that if the Community Generation Facility is using the City’s distribution system to transmit energy to other locations the Generation Facility should support the costs of the distribution network. By not giving the Generation Facility full tariff credit they will financially support these distribution costs. 5. CUSTOMER SERVICE (Old section 4)

EXHIBIT #3 FINAL READING Regular Council Meeting of 12/12/2012 1 of 21 CITY OF DOVER ORDINANCE # 2011-30 2011-2012 BUDGET ORDINANCES GENERAL FUND - REVENUES AND BUDGET FOR 2011-2012 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 2 The amount hereinafter named aggregating Thirty-Eight Million, One Hundred Thirty-Nine Thousand, 3 Nine Hundred Seventy-Two dollars ($38,139,972) or so much thereof as may be necessary are hereby 4 appropriated from current revenues and other funds for the use by several departments of the 5 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 6 ORIGINAL REVISED 7 2011/12 2011/12 8 BUDGET BUDGET 9 BEGINNING BALANCE $ 3,322,305 $ 3,322,305 10 REVENUES 11 FINES AND POLICE REVENUE 579,000 579,000 12 911 FEE 60,000 60,000 13 INVESTMENT INCOME 215,900 215,900 14 LIBRARY REVENUES 44,100 44,100 15 KENT COUNTY BOOK REIMBURSEMENT 390,900 390,900 16 BUSINESS LICENSES 1,523,675 1,523,675 17 PERMITS AND OTHER LICENSES 934,000 934,000 18 MISCELLANEOUS CHARGES 165,750 165,750 19 POLICE EXTRA DUTY 300,000 300,000 20 PROPERTY TAXES 11,133,367 11,133,367 21 BID REVENUE 51,821 51,821 22 RECREATION REVENUE 152,000 152,000 23 FRANCHISE FEE 520,000 520,000 24 TRASH FEES 2,050,000 2,050,000 25 RENT REVENUE - GARRISON FARM 87,000 87,000 26 COURT OF CHANCERY FEES 690,000 690,000 27 REVENUES SUBTOTAL 18,897,513 18,897,513 28 INTERFUND SERVICE RECEIPTS 29 INTERFUND SERVICE RECEIPTS WATER/WASTEWATER 988,393 988,393 30 INTRAFUND SERVICE RECEIPTS ELECTRIC 3,370,778 3,370,778 31 INTERFUND SERVICE RECEIPTS SUBTOTAL 4,359,171 4,359,171 32 GRANTS 33 POLICE RELATED 60,000 60,000 34 CAPITAL SCHOOL DISTRICT REVENUE 73,500 73,500 35 POLICE PENSION GRANT 620,000 620,000 36 UNIVERSAL RECYCLING GRANT - 79,873 37 GRANTS SUBTOTAL 753,500 833,373 38 TRANSFERS FROM 39 TRANSFER TAX 900,000 900,000 40 MUNICIPAL STREET AID 526,814 526,814 41 CIVIL TRAFFIC PENALTIES 1,000,000 1,000,000 42 WATER/WASTEWATER 424,508 424,508 43 ELECTRIC 7,876,288 7,876,288 44 TRANSFERS FROM SUBTOTAL 10,727,610 10,727,610 45 TOTAL REVENUES $ 34,737,794 $ 34,817,667 46 TOTAL BEGINNING BALANCE AND REVENUES $ 38,060,099 $ 38,139,972

FINAL READING 2 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED GENERAL FUND - REVENUES AND BUDGET FOR 2011-2012 47 ORIGINAL REVISED 48 2011/12 2011/12 49 BUDGET BUDGET 50 DEPARTMENT EXPENSES 51 CITY CLERK $ 296,393 $ 296,393 52 COUNCIL 120,699 120,699 53 TAX ASSESSOR 213,175 213,175 54 FIRE 684,725 684,725 55 GROUNDS MAINTENANCE 979,922 979,922 56 LIBRARY 1,159,087 1,159,087 57 RECREATION 789,701 789,701 58 LIFE SAFETY 449,226 449,226 59 CODE INFORCEMENT 284,489 284,489 60 PLANNING 422,781 422,781 61 INSPECTIONS 553,907 553,907 62 ECONOMIC DEVELOPMENT 223,717 223,717 63 POLICE 12,955,807 12,955,807 64 POLICE EXTRA DUTY 430,600 430,600 65 STREETS 782,810 782,810 66 SANITATION 2,330,976 2,410,849 67 CITY MANAGER 622,127 622,127 68 INFORMATION TECHNOLOGY 685,871 685,871 69 FINANCE 852,283 852,283 70 PUBLIC SERVICES - ADMINISTRATION 472,692 472,692 71 FACILITIES MANAGEMENT 952,693 952,693 72 CENTRAL SERVICES 693,339 693,339 73 FLEET MAINTENANCE 695,422 695,422 74 CUSTOMER SERVICES 928,112 928,112 75 HUMAN RESOURCES 384,758 384,758 76 MAYOR 81,154 81,154 77 DEPARTMENT SUBTOTALS 29,046,466 29,126,339 78 OTHER EXPENSES 79 DEBT SERVICE 327,270 327,270 80 INSURANCE 550,000 550,000 81 RETIREES HEALTH CARE 1,374,709 1,374,709 82 PENSION UNFUNDED LIABILITY 1,450,000 1,450,000 83 POLICE PENSION FUND 620,000 620,000 84 POLICE PENSION UNFUNDED LIABILITY 95,000 95,000 85 UNCOLLECTIBLES - TRASH AND OTHER 10,000 10,000 86 STREET LIGHTS 960,000 960,000 87 OTHER EXPENSE SUBTOTAL 5,386,979 5,386,979 88 TRANSFERS 89 TRANSFER TO CAPITAL FUND - PROJECTS 623,847 623,847 90 TRANSFER TO CAPITAL FUND - RESERVE 200,000 200,000 91 TRANSFERS SUBTOTAL 823,847 823,847 92 CURRENT YEAR BALANCE 2,802,807 2,802,807 93 TOTAL CURRENT YEAR BALANCE AND EXPENDITURES $ 38,060,099 $ 38,139,972 94 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 95 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 96 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 3 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 97 GOVERNMENTAL CAPITAL PROJECTS FUND 98 REVENUES AND BUDGET FOR 2011-2012 99 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 100 The amount hereinafter named aggregating Fifteen Million, Three Hundred Seventy-Eight Thousand, 101 Eight Hundred Twenty-Eight dollars ($15,378,828) or so much thereof as may be necessary are hereby 102 appropriated from current revenues and other funds for the use by several departments of the 103 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 104 REVENUES 105 ORIGINAL REVISED 106 2011/12 2011/12 107 BUDGET BUDGET 108 BEGINNING BALANCE - PROJECTS $ 195,191 $ - $ 195,191 109 BEGINNING BALANCE - LIBRARY - 100,962 100,962 110 REVENUES 111 STATE GRANTS 5,597,505 1,519,678 7,117,183 112 DEMEC GRANT - 215,000 215,000 113 BTOP & GREENHOUSE GAS REDUCTION GRANTS - 90,000 90,000 114 KENT COUNTY LIBRARY CONTRIBUTION - 1,000,000 1,000,000 115 LIBRARY GREEN ENERGY/BRIDGE LOAN 2,334,889 365,111 2,700,000 116 CONSTRUCTION LOAN FOR LIBRARY - 274,961 274,961 117 TRANSFER FROM LIBRARY RESERVE 3,262,615 (671,831) 2,590,784 118 FRIENDS OF THE LIBRARY DONATION - 210,000 210,000 119 LOAN PROCEEDS - STREETS, CITY HALL 2,000,000 2,000,000 120 TRANSFER FROM GENERAL FUND FOR PROJECTS 623,847 623,847 121 INTEREST EARNINGS 10,900 10,900 122 TOTAL REVENUES 13,829,756 16,832,675 123 TOTAL BEGINNING BALANCE AND REVENUES $ 14,024,947 $ 17,128,828

FINAL READING 4 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED GOVERNMENTAL CAPITAL PROJECTS FUND - CONTINUED REVENUES AND BUDGET FOR 2011-2012 124 EXPENSE SUMMARY 125 ORIGINAL REVISED 126 2011/12 2011/12 127 DEPARTMENT EXPENSES BUDGET BUDGET 128 FIRE $ 244,820 $ 244,820 129 LIBRARY 11,195,009 3,103,881 14,298,890 130 RECREATION 30,000 30,000 131 POLICE 65,000 65,000 132 STREETS 1,230,027 750,000 1,980,027 133 SANITATION 136,500 136,500 134 FACILITIES MAINTENANCE - 220,000 220,000 135 INFORMATION TECHNOLOGY 6,400 6,400 136 LOAN ISSUANCE COSTS - 30,000 30,000 137 EXPENSES SUBTOTAL 12,907,756 17,011,637 138 CURRENT YEAR BALANCE - LOAN PROCEEDS 1,000,000 (1,000,000) - 139 CURRENT YEAR BALANCE 117,191 117,191 140 TOTAL CURRENT YEAR BALANCES AND EXPENSES $ 14,024,947 $ 17,128,828 141 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 142 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 143 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 5 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 144 GENERAL FUND CONTINGENCY 145 SOURCES AND USE OF FUNDS FOR 2011-2012 146 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 147 The amount hereinafter named aggregating Seven Hundred Eleven Thousand, Seven Hundred Forty- 148 Seven dollars ($711,747) or so much thereof as may be necessary are hereby appropriated from 149 current revenues and other funds for the use by several departments of the Municipal Government for 150 the fiscal year beginning July 1, 2011 and ending June 30, 2012: 151 CASH RECEIPTS 152 ORIGINAL REVISED 153 2011/12 2011/12 154 BUDGET BUDGET 155 BEGINNING BALANCE $ 725,554 $ 711,747 156 TOTALS $ 725,554 $ 711,747 157 BUDGET SUMMARY 158 ORIGINAL REVISED 159 2011/12 2011/12 160 BUDGET BUDGET 161 CURRENT YEAR BALANCE $ 725,554 $ 711,747 162 TOTALS $ 725,554 $ 711,747 163 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 164 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 165 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 6 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 166 GENERAL CAPITAL ASSET REPLACEMENT FUND 167 SOURCES AND USE OF FUNDS FOR 2011-2012 168 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 169 The amount hereinafter named aggregating Four Hundred Sixty Thousand, Nine Hundred Twenty 170 dollars ($460,920) or so much thereof as may be necessary are hereby appropriated from current 171 revenues and other funds for the use by several departments of the Municipal Government for the 172 fiscal year beginning July 1, 2011 and ending June 30, 2012: 173 CASH RECEIPTS 174 ORIGINAL REVISED 175 2011/12 2011/12 176 BUDGET BUDGET 177 BEGINNING BALANCE $ 256,645 $ 253,420 178 INTEREST EARNINGS 7,500 7,500 179 TRANSFER FROM GENERAL FUND 200,000 200,000 180 TOTALS 464,145 460,920 181 BUDGET SUMMARY 182 ORIGINAL REVISED 183 2011/12 2011/12 184 BUDGET BUDGET 185 CURRENT YEAR BALANCE $ 464,145 $ 460,920 186 TOTALS $ 464,145 $ 460,920 187 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 188 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 189 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 7 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 190 MUNICIPAL STREET AID FUND 191 REVENUES AND BUDGET FOR 2011-2012 192 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 193 The amount hereinafter named aggregating Five Hundred Twenty-Six Thousand, Nine Hundred Sixteen 194 dollars ($526,916) or so much thereof as may be necessary are hereby appropriated from current 195 revenues and other funds for the use by several departments of the Municipal Government for the 196 fiscal year beginning July 1, 2011 and ending June 30, 2012: 197 REVENUES 198 ORIGINAL REVISED 199 2011/12 2011/12 200 BUDGET BUDGET 201 BEGINNING BALANCE $ 100 $ 102 202 STATE GRANT 526,814 526,814 203 INTEREST EARNED 100 - 204 TOTALS $ 527,014 $ 526,916 205 EXPENSE SUMMARY 206 ORIGINAL REVISED 207 2011/12 2011/12 208 BUDGET BUDGET 209 TRANSFER TO GENERAL FUND $ 526,814 $ 526,816 210 CURRENT YEAR BALANCE 200 100 211 TOTALS $ 527,014 $ 526,916 212 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 213 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 214 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 8 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 215 WATER/WASTEWATER IMPROVEMENT & EXTENSION FUND 216 REVENUES AND BUDGET FOR 2011-2012 217 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 218 The amount hereinafter named aggregating Eight Million, Four Hundred Sixty-Nine Thousand, Four 219 Hundred Ninty-Two dollars ($8,469,492) or so much thereof as may be necessary are hereby 220 approprated from current revenues and other funds for the use by several departments of the 221 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 222 REVENUES 223 ORIGINAL REVISED 224 2011/12 2011/12 225 BUDGET BUDGET 226 BEGINNING BALANCE - WATER $ 1,139,872 $ 1,139,872 227 BEGINNING BALANCE - WASTEWATER 303,476 303,476 228 REVENUES 229 STATE LOAN-WATER 2010 ISSUE - 1,923,489 230 STATE LOAN-WASTEWATER 2009 ISSUE 1,800,000 1,621,272 231 STATE LOAN-WASTEWATER 2011 ISSUE - 765,060 232 TRANS FR WATER/WASTEWATER FOR WATER 750,000 750,000 233 TRANS FR WATER/WASTEWATER FOR WASTEWATER 1,000,000 1,000,000 234 TRANSFER FROM IMPACT FEE RESERVE 262,840 867,032 235 FEDERAL/STATE GRANTS - - 236 TOTAL REVENUES 3,812,840 6,926,853 237 TOTAL BEGINNING BALANCE AND REVENUES $ 5,256,188 $ 8,370,201 238 EXPENSE SUMMARY 239 ORIGINAL REVISED 240 2011/12 2011/12 241 DEPARTMENT EXPENSES BUDGET BUDGET 242 WATER $ 766,240 $ 3,086,468 243 WASTEWATER 3,404,900 4,217,976 244 WATER TREATMENT PLANT 22,900 22,900 245 WATER CONSTRUCTION 30,100 30,100 246 TOTAL DEPARTMENT EXPENSES 4,224,140 7,357,444 247 CURRENT YEAR BALANCE - WATER 1,070,632 673,893 248 CURRENT YEAR BALANCE - WASTEWATER (38,584) 338,864 249 TOTAL CURRENT YEAR BALANCES AND EXPENSES $ 5,256,188 $ 8,370,201 250 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 251 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 252 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 9 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 253 WATER/WASTEWATER CAPITAL ASSET RESERVE 254 SOURCES AND USE OF FUNDS FOR 2011-2012 255 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 256 The amount hereinafter named aggregating Nine Hundred Four Thousand, Seven Hundred Ninety- 257 Seven dollars ($904,797) or so much thereof as may be necessary are hereby appropriated from 258 current revenues and other funds for the use by several departments of the Municipal Government for 259 the fiscal year beginning July 1, 2011 and ending June 30, 2012: 260 CASH RECEIPTS 261 ORIGINAL REVISED 262 2011/12 2011/12 263 BUDGET BUDGET 264 BEGINNING BALANCE - WATER $ 336,064 $ 315,695 265 BEGINNING BALANCE - WASTEWATER 168,470 167,966 266 REVENUES 267 INTEREST EARNINGS - WATER 10,082 10,082 268 INTEREST EARNINGS - WASTEWATER 5,054 5,054 269 TRANSFER FROM WATER 100,000 100,000 270 TRANSFER FROM WASTEWATER 300,000 300,000 271 TRANSFER FROM WATER/WASTEWATER CONTINGENCY 6,000 6,000 272 TOTAL REVENUES $ 421,136 $ 421,136 273 TOTAL BEGINNING BALANCES AND REVENUES $ 925,670 $ 904,797 274 BUDGET SUMMARY 275 ORIGINAL REVISED 276 2011/12 2011/12 277 BUDGET BUDGET 278 CURRENT YEAR BALANCE - WATER $ 452,146 $ 431,777 279 CURRENT YEAR BALANCE - WASTEWATER 473,524 473,020 280 TOTAL CURRENT YEAR BALANCES $ 925,670 $ 904,797 281 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 282 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 283 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 10 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 284 WATER/WASTEWATER CONTINGENCY RESERVE 285 SOURCES AND USE OF FUNDS FOR 2011-2012 286 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 287 The amount hereinafter named aggregating Two Hundred Eighty-Nine Thousand, Five Hundred 288 Nineteen dollars ($289,519) or so much thereof as may be necessary are hereby appropriated from 289 current revenues and other funds for the use by several departments of the Municipal Government for 290 the fiscal year beginning July 1, 2011 and ending June 30, 2012: 291 CASH RECEIPTS 292 ORIGINAL REVISED 293 2011/12 2011/12 294 BUDGET BUDGET 295 BEGINNING BALANCE $ 266,839 $ 281,513 296 INTEREST EARNINGS 8,006 8,006 297 TRANSFER FROM WATER/WASTEWATER 8,000 - 298 TOTALS $ 282,845 $ 289,519 299 BUDGET SUMMARY 300 ORIGINAL REVISED 301 2011/12 2011/12 302 BUDGET BUDGET 303 TRANSFER TO CAPITAL ASSET RESERVE $ 6,000 $ - 304 CURRENT YEAR BALANCE 276,845 289,519 305 TOTALS $ 282,845 $ 289,519 306 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 307 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 308 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 11 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 309 ELECTRIC UTILITY IMPROVEMENT AND EXTENSION FUND 310 REVENUES AND BUDGET FOR 2011-2012 311 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 312 The amount hereinafter named aggregating Six Million, Five Hundred Fifty-Seven Thousand, Two 313 Hundred Seventy-One dollars ($6,557,271) or so much thereof as may be necessary are hereby 314 appropriated from current revenues and other funds for the use by several departments of the 315 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 316 REVENUES 317 ORIGINAL REVISED 318 2011/12 2011/12 319 BUDGET BUDGET 320 BEGINNING BALANCE $ 2,561,096 $ 2,648,141 321 REVENUES 322 INTEREST EARNINGS 38,400 38,400 323 RECEIPT FROM DEPRECIATION RESERVE 300,000 300,000 324 TRANSFER FROM INSURANCE STABILIZATION 70,730 70,730 325 TRANSFER FROM ELECTRIC 3,500,000 3,500,000 326 TOTAL REVENUES 3,909,130 3,909,130 327 TOTALS $ 6,470,226 $ 6,557,271 328 EXPENSE SUMMARY 329 ORIGINAL REVISED 330 2011/12 2011/12 331 EXPENSES BUDGET BUDGET 332 ELECTRIC GENERATION $ 1,810,410 $ 1,897,455 333 TRANSMISSION AND DISTRIBUTION 648,337 648,337 334 ELECTRICAL ENGINEERING 1,790,716 1,790,716 335 METER READING 20,000 20,000 336 TOTAL EXPENSES 4,269,463 4,356,508 337 CURRENT YEAR BALANCE 2,200,763 2,200,763 338 TOTAL CURRENT YEAR BALANCE AND EXPENSES $ 6,470,226 $ 6,557,271 339 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 340 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 341 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 12 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 342 ELECTRIC UTILITY CONTINGENCY RESERVE 343 SOURCES AND USE OF FUNDS FOR 2011-2012 344 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 345 The amount hereinafter named aggregating One Million, Fifty-Six Thousand, Seven Hundred Eighty-Nine 346 dollars ($1,056,789) or so much thereof as may be necessary are hereby appropriated from current 347 revenues and other funds for the use by several departments of the Municipal Government for 348 the fiscal year beginning July 1, 2011 and ending June 30, 2012: 349 CASH RECEIPTS 350 ORIGINAL REVISED 351 2011/12 2011/12 352 BUDGET BUDGET 353 BEGINNING BALANCE $ 1,039,766 $ 1,056,789 354 TRANSFER FROM INSURANCE STABILIZATION 70,730 - 355 TOTALS $ 1,110,496 $ 1,056,789 356 BUDGET SUMMARY 357 ORIGINAL REVISED 358 2011/12 2011/12 359 BUDGET BUDGET 360 CURRENT YEAR BALANCE $ 1,110,496 $ 1,056,789 361 TOTALS $ 1,110,496 $ 1,056,789 362 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 363 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 364 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 13 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 365 ELECTRIC UTILITY DEPRECIATION RESERVE 366 SOURCES AND USE OF FUNDS FOR 2011-2012 367 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 368 The amount hereinafter named aggregating Ten Million, Seven Hundred Eighteen Thousand, 369 Six Hundred Twenty-One dollars ($10,718,621) or so much thereof as may be necessary are hereby 370 appropriated from current revenues and other funds for the use by several departments of the 371 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 372 CASH RECEIPTS 373 ORIGINAL REVISED 374 2011/12 2011/12 375 BUDGET BUDGET 376 BEGINNING BALANCE $ 10,511,755 $ 10,412,221 377 INTEREST EARNINGS 306,400 306,400 378 TOTALS $ 10,818,155 $ 10,718,621 379 BUDGET SUMMARY 380 ORIGINAL REVISED 381 2011/12 2011/12 382 BUDGET BUDGET 383 TRANSFER TO IMPROVEMENT AND EXTENSION $ 300,000 $ 300,000 384 TRANSFER TO FUTURE CAPACITY 500,000 500,000 385 CURRENT YEAR BALANCE 10,018,155 9,918,621 386 TOTALS $ 10,818,155 $ 10,718,621 387 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 388 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 389 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 14 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 390 ELECTRIC UTILITY FUTURE CAPACITY RESERVE 391 SOURCES AND USE OF FUNDS FOR 2011-2012 392 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 393 The amount hereinafter named aggregating Nine Million, Nine Hundred Fifty-Seven Thousand, Five 394 Hundred Seventy-One dollars ($9,957,571) or so much thereof as may be necessary are hereby 395 appropriated from current revenues and other funds for the use by several departments of the 396 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 397 CASH RECEIPTS 398 ORIGINAL REVISED 399 2011/12 2011/12 400 BUDGET BUDGET 401 BEGINNING BALANCE $ 9,294,628 $ 9,178,771 402 RECEIPT FROM DEPRECIATION RESERVE 500,000 500,000 403 INTEREST EARNINGS 278,800 278,800 404 TOTALS $ 10,073,428 $ 9,957,571 405 BUDGET SUMMARY 406 ORIGINAL REVISED 407 2011/12 2011/12 408 BUDGET BUDGET 409 CURRENT YEAR BALANCE $ 10,073,428 $ 9,957,571 410 TOTALS $ 10,073,428 $ 9,957,571 411 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 412 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 413 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 15 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 414 ELECTRIC UTILITY INSURANCE STABLIZATION RESERVE 415 SOURCES AND USE OF FUNDS FOR 2011-2012 416 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 417 The amount hereinafter named aggregating Four Hundred Fifteen Thousand, Six Hundred Thirty-Five 418 dollars ($415,635) or so much thereof as may be necessary are hereby appropriated from current 419 revenues and other funds for the use by several departments of the Municipal Government for the 420 fiscal year beginning July 1, 2011 and ending June 30, 2012: 421 CASH RECEIPTS 422 ORIGINAL REVISED 423 2011/12 2011/12 424 BUDGET BUDGET 425 BEGINNING BALANCE $ 408,430 $ 403,335 426 INTEREST EARNINGS 12,300 12,300 427 TOTALS $ 420,730 $ 415,635 428 BUDGET SUMMARY 429 ORIGINAL REVISED 430 2011/12 2011/12 431 BUDGET BUDGET 432 TRANSFER TO ELECTRIC IMPROVEMENT & EXTENSION $ 70,730 $ 70,730 433 CURRENT YEAR BALANCE 350,000 344,905 434 TOTALS $ 420,730 $ 415,635 435 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 436 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 437 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 16 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 438 ELECTRIC UTILITY RATE STABLIZATION RESERVE 439 SOURCES AND USE OF FUNDS FOR 2011-2012 440 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 441 The amount hereinafter named aggregating Six Million, Three Hundred Forty-Six Thousand, Seven 442 Hundred Sixty-Eight dollars ($6,346,768) or so much thereof as may be necessary are hereby 443 appropriated from urrent revenues and other funds for the use by several departments of the 444 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 445 CASH RECEIPTS 446 ORIGINAL REVISED 447 2011/12 2011/12 448 BUDGET BUDGET 449 BEGINNING BALANCE $ 6,219,819 $ 6,160,168 450 INTEREST EARNINGS 186,600 186,600 451 TOTALS $ 6,406,419 $ 6,346,768 452 BUDGET SUMMARY 453 ORIGINAL REVISED 454 2011/12 2011/12 455 BUDGET BUDGET 456 TRANSFER TO ELECTRIC FUND $ 1,000,000 $ 1,000,000 457 CURRENT YEAR BALANCE 5,406,419 5,346,768 458 TOTALS $ 6,406,419 $ 6,346,768 459 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 460 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 461 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 17 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 462 COMMUNITY TRANSPORTATION IMPROVEMENT FUND 463 REVENUES AND BUDGET FOR 2011-2012 464 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 465 The amount hereinafter named aggregating Three Million, Nine Hundred Sixty-Five Thousand, Four 466 Hundred Fifty-One dollars ($3,965,451) or so much thereof as may be necessary are hereby 467 appropriated from current revenues and other funds for the use by several departments of the 468 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 469 REVENUES 470 ORIGINAL REVISED 471 2011/12 2011/12 472 BUDGET BUDGET 473 BEGINNING BALANCE $ 312,651 $ 312,651 474 REVENUES 475 GRANTS REVENUE 1,900,000 1,900,000 476 TRANSFER FROM GENERAL FUND 350,000 - 477 LOAN PROCEEDS - STREETS - 1,750,000 478 INTEREST INCOME 2,800 2,800 479 TOTAL REVENUES 2,252,800 3,652,800 480 TOTAL BEGINNING BALANCE AND REVENUES $ 2,565,451 $ 3,965,451 481 EXPENSE SUMMARY 482 ORIGINAL REVISED 483 2011/12 2011/12 484 EXPENSES BUDGET BUDGET 485 PROGRAM EXPENSES $ 1,300,000 $ 2,175,000 486 LINCOLN PARK/CLARENCE STREET GRANT EXP. 900,000 900,000 487 TOTAL EXPENSES 2,200,000 3,075,000 488 CURRENT YEAR BALANCE - 875,000 489 CURRENT YEAR BALANCE - STATE FUNDS 365,451 15,451 490 TOTAL CURRENT YEAR BALANCES AND EXPENSES $ 2,565,451 $ 3,965,451 491 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 492 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 493 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 18 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 494 PARKLAND/RECREATION RESERVE 495 SOURCES AND USE OF FUNDS FOR 2011-2012 496 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 497 The amount hereinafter named aggregating Two Hundred One Thousand, Four Hundred Twenty-Two 498 dollars ($201,422) or so much thereof as may be necessary are hereby appropriated from current 499 revenues and other funds for the use by several departments of the Municipal Government for the 500 fiscal year beginning July 1, 2011 and ending June 30, 2012: 501 CASH RECEIPTS 502 ORIGINAL REVISED 503 2011/12 2011/12 504 BUDGET BUDGET 505 BEGINNING BALANCE $ 191,522 $ 195,672 506 INTEREST INCOME 5,750 5,750 507 TOTALS $ 197,272 $ 201,422 508 BUDGET SUMMARY 509 ORIGINAL REVISED 510 2011/12 2011/12 511 BUDGET BUDGET 512 CURRENT YEAR BALANCE 197,272 201,422 513 TOTALS $ 197,272 $ 201,422 514 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 515 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 516 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 19 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 517 LIBRARY RESERVE 518 SOURCES AND USE OF FUNDS FOR 2011-2012 519 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 520 The amount hereinafter named aggregating Two Million, Five Hundred Ninety Thousand, Seven 521 Hundred Eighty-Four dollars ($2,590,784) or so much thereof as may be necessary are hereby 522 appropriated from current revenues and other funds for the use by several departments of the 523 Municipal Government for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 524 CASH RECEIPTS 525 ORIGINAL REVISED 526 2011/12 2011/12 527 BUDGET BUDGET 528 BEGINNING BALANCE $ 1,217,579 $ 2,575,784 529 INTEREST INCOME 109,900 15,000 530 TOTALS $ 1,327,479 $ 2,590,784 531 EXPENSE SUMMARY 532 ORIGINAL REVISED 533 2011/12 2011/12 534 BUDGET BUDGET 535 TRANSFER TO CAPITAL PROJECT FUND $ 1,200,938 $ 2,590,784 536 CURRENT YEAR BALANCE 126,541 - 537 TOTALS $ 1,327,479 $ 2,590,784 538 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 539 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 540 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 20 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 541 LIBRARY GRANT FUND 542 CASH RECEIPTS/REVENUES AND BUDGET FOR 2011-2012 543 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 544 The amount hereinafter named aggregating Three Hundred Ten Thousand, Six Hundred Thirty-Five 545 dollars ($310,635) or so much thereof as may be necessary are hereby appropriated from current 546 revenues and other funds for the use by several departments of the Municipal Government 547 for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 548 REVENUES 549 ORIGINAL REVISED 550 2011/12 2011/12 551 BUDGET BUDGET 552 BEGINNING BALANCE $ 16,336 $ 30,168 553 REVENUES 554 STATE GRANT 259,801 280,467 555 FEDERAL GRANT 2,750 - 556 TOTAL REVENUES 262,551 280,467 557 TOTAL BEGINNING BALANCE AND REVENUE $ 278,887 $ 310,635 558 EXPENSE SUMMARY 559 ORIGINAL REVISED 560 2011/12 2011/12 561 EXPENSES BUDGET BUDGET 562 PROGRAM EXPENSES $ 41,935 $ 22,482 563 OFFICE SUPPLIES - 8,899 564 PRINTING/DUPLICATING - 5,933 565 POSTAGE - 500 566 BOOKS 119,216 112,053 567 FURNITURE - 4,907 568 AUDIO VISUAL SUPPLIES 55,000 70,000 569 TRAINING/CONF/FOOD/TRAV 5,000 2,915 570 CONTRACTUAL SERVICES 18,650 4,150 571 COMPUTER HARDWARE 20,000 78,796 572 SUBTOTAL EXPENSES STATE GRANTS 259,801 310,635 573 FEDERAL GRANTS 574 PROGRAM EXPENSES/SUPPLIES 2,750 - 575 SUBTOTAL EXPENSES FEDERAL GRANTS 2,750 - 576 CURRENT YEAR BALANCE 16,336 - 577 TOTAL CURRENT YEAR BALANCE AND EXPENSES $ 278,887 $ 310,635 578 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 579 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 580 with the exception of any transfers prohibited by City Procedure #F306.

FINAL READING 21 of 21 2011-2012 BUDGET ORDINANCES - CONTINUED 581 POLICE GRANTS 582 REVENUES AND BUDGET FOR 2011-2012 583 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 584 The amount hereinafter named aggregating Seven Hundred Forty Three Thousand Six Hundred Ninety Six dollars ($743,696) or so 585 much thereof as may be necessary are hereby appropriated from current revenues and other funds for the use by the City of Dover 586 Economic Development for the fiscal year beginning July 1, 2011 and ending June 30, 2012: 587 REVENUES 588 POLICE BYRNE/JAG FEDERAL 589 GRANTS GRANTS FORFEITURE TOTAL 590 BEGINNING BALANCE $ 152,223 $ - $ 263,181 $ 415,404 591 REVENUES 592 CJC GRANT 35,876 - - 35,876 593 EIDE GRANT - - - - 594 SALLE GRANT - - - - 595 SLEAF GRANT - - - - 596 BYRNE/JAG GRANTS - 136,931 - 136,931 597 FEDERAL FORFEITURE GRANTS - - - - 598 COPS HIRING RECOVERY PROG - - 155,485 155,485 599 TOTAL REVENUES 35,876 136,931 155,485 328,292 600 TOTAL BEGINNING BALANCE AND REVENUES 188,099 136,931 418,666 743,696 601 EXPENSE SUMMARY 602 POLICE BYRNE/JAG FEDERAL 603 EXPENSES GRANTS GRANTS FORFEITURE TOTAL 604 CJC GRANT EXPENSE $ 35,876 $ - $ - $ 35,876 605 EIDE GRANT EXPENSE 30,032 - - 30,032 606 SALLE GRANT EXPENSE 72,537 - - 72,537 607 SLEAF GRANT EXPENSE 49,654 - - 49,654 608 BYRNE/JAG GRANT EXPENSE - 136,931 - 136,931 609 FEDERAL FORFEITURE GRANT EXPENSE - - 263,181 263,181 610 COPS HIRING RECOVERY PROG - - 155,485 155,485 611 TOTAL GRANT EXPENSES 188,099 136,931 418,666 743,696 612 CURRENT YEAR BALANCES (0) - (0) (0) 613 The City Manager is hereby authorized, without further approval of the City Council, to make inter- 614 departmental transfers of up to five percent of the amount hereinafter appropriated to any department 615 with the exception of any transfers prohibited by City Procedure #F306. ADOPTED: DECEMBER 12, 2011 Actions History December 12, 2011 - Final Reading - City Council November 28, 2011 - First Reading - City Council November 14, 2011 - Considered by Legislative, Finance, and Administration Committee