Anexo

REGULAR COUNCIL MEETING AGENDA January 28, 2008 - 7:30 P.M. - Council Chambers - City Hall - City of Dover OPEN FORUM - 15 MINUTES PRIOR TO OFFICIAL MEETING (7:15 P.M.) INVOCATION BY CHAPLAIN WALLACE DIXON PLEDGE OF ALLEGIANCE AGENDA ADDITIONS/DELETIONS * CONSENT AGENDA Those items on the Council Agenda which are considered routine and non-controversial shall be marked with an asterisk (*) and will be acted upon by a single roll call vote of the Council. There will be no separate discussion of these items unless a member of Council so requests, in which event the matter shall be removed from the Consent Agenda and considered a separate item. * 1. Adoption of Minutes - Council Workshop of January 7, 2008 Regular Council Meeting of January 14, 2008 2. Certificate of Recognition - 125th Anniversary of Dover’s Water System 3. Proclamations A. Black History Month B. I Love to Read Month C. Ronald Reagan Day 4. Presentation - Customer Relations Management Software * 5. Utility Committee Report - January 14, 2008 A. Dedication of Rights-of-Way and Public Infrastructure - Four Seasons (Recommended Approval of Dedication) B. 2030 Energy Plan Committee Status Report (Recommended Presentation of RFP Process at 01/28/08 Committee Meeting) C. Draft Resolution in Support of the Bluewater Wind Project (Recommended Adoption of the Proposed Ordinance) D. PACE/NAES Monthly Report (November)

Council Agenda January 28, 2008 Page 2 6. Legislative, Finance, and Administration Committee Report - January 14, 2008 * A. Review of 2005 Charter Review Committee Recommendations - Article II * B. Authorization to Purchase - Document Imaging System Upgrade - Sole Source (Recommended Approval of Authorization to Purchase) C. Proposed Budget Amendments - Budget Balances and Carry-Forwards (Recommended Adoption of Budget Amendments) (See item #14-A) D. Request to Process Rezoning and Comprehensive Plan Amendment (Recommended Approval of Request to Process Application) * 7. Parks, Recreation, and Community Enhancement Committee Report - January 15, 2008 A. Review of Active Recreation Area Plans (Requests for Cash-in-Lieu) a-1. Franklin Hall - 326 West Loockerman Street (Southeast Corner of West Loockerman Street and South Queen Street) (Committee Deferred at Applicant’s Request) a-2. Jackson Hall - 200-216 West Loockerman Street and 208 South Governors Avenue (Southwest Corner of West Loockerman Street and South Governors Avenue - Bayard Hotel Property) (Committee Deferred at Applicant’s Request) B. Animal Control Officer and Coverage - City Manager's Report C. Updates * 8. Monthly Reports - December 2007 A. Budget Report B. Chief of Police Report C. City Assessor Report D. City Manager’s Report (November and December) E. Planning and Inspections Report F. CIP Report 9. Quarterly Revenue Report * 10. Confirmation of Police Pension Election - Ret. Lt. Timothy P. Mullaney, Sr. - Three Year Term to Expire January 31, 2011 11. Transfer Tax Determination 12. Evaluation of Bids A. Overhead Distribution Capacitors B. Underground Pad-Mounted Distribution Capacitors 13. Rezoning Request/First Reading (Recommended for referral to the Planning Commission on February 19, 2008 and that a Public Hearing be set for March 10, 2008 at 7:30 p.m.) A. Property located at 255 College Road, owned by Delaware State University. The property is currently zoned C-3 (Service Commercial Zone) and the proposed zoning is IO (Institutional and Office)

Council Agenda January 28, 2008 Page 3 14. First Reading - Proposed Ordinances The First Reading is offered on the following proposed ordinances. Final action by Council will take place during the Second Reading of the ordinances on February 11, 2008. Copies of all proposed ordinances are available at the entrance of the Council Chambers or can be obtained from the City Clerk's Office. A. Proposed Budget Amendments - Budget Balances and Carry-Forwards 15. Final Reading - Proposed Ordinances The First Reading of the following proposed ordinances was accomplished during the Council Meeting of January 14, 2008. Copies of the proposed ordinances are available at the entrance of the Council Chambers. A. Chapter 110 - Utilities, Article III - Water Service, Division 7 - Water Impact Fees B. Appendix C - Downtown Redevelopment, Article IV - Development Incentives, Section 2 - Multiple Story New Construction Projects C. Chapter 46 - Fire Prevention and Protection, Article III - Fire Codes, Section 46-128 - Sprinkler Requirements (Request to Defer Final Reading Until February 11, 2008) 16. Council Members Announcements /tm S:\ClerksOffice\Agendas&Minutes\Council-Agendas\2008\01-28-2008.wpd THE AGENDA ITEMS AS LISTED MAY NOT BE CONSIDERED IN SEQUENCE. THIS AGENDA IS SUBJECT TO CHANGE TO INCLUDE THE ADDITION OR THE DELETION OF ITEMS, INCLUDING EXECUTIVE SESSIONS.

COUNCIL WORKSHOP A Council Workshop was held on January 7, 2008 at 7:00 p.m. with Council President Williams presiding. Council members present were Mr. Leary, Mrs. Russell, Mr. McGlumphy, Mr. Slavin, Mr. McGiffin, Mr. Hogan, Mr. Salters, and Mr. Ruane. Council staff members present were Mrs. Mitchell, Mr. DePrima, Mrs. McDowell, and Mayor Carey. AGENDA ADDITIONS/DELETIONS Mr. Hogan moved for approval of the agenda, seconded by Mr. McGlumphy and unanimously carried. REVENUE MANUAL REVIEW AND NEW REVENUE SOURCES Mr. DePrima, City Manager, stated that the purpose of the workshop is to review the City’s Revenue Manual and new revenue sources, explaining that this is the first part of the budget process. Members were provided the draft FY2008 Revenue Manual as well as proposed new revenue sources. Mrs. Tieman, Senior City Administrator, advised members that the purpose of the Revenue Manual is to assist City Council, staff, and the public with understanding and tracking all of the various revenue sources for the City. She reviewed the manual, noting the inclusion of the following: 1) a list of top revenue sources over the past five (5) years; 2) guidelines as to how often the manual should be updated and when different revenues should be reviewed; 3) an inventory of all revenue sources with detailed information on rates, dates established, last reviewed, projection method, collection method, and benchmarks; and 4) a list of potential new revenue sources that staff has collected from various sources (seven (7) of the revenue sources are detailed and will be presented to Council for their review in the near future). Mrs. Tieman indicated that the entire inventory of revenue sources was reviewed by departments and, as a result, there are 16 suggested increases. These will also need to be presented to Council for their review in the near future for possible inclusion in the FY2009 Budget. Referring to the list of top revenue sources (page 2), Mr. Hogan relayed his concern with those items that are listed as revenue for the General Fund that are actually revenue for another fund which are then transferred to the General Fund. He explained his desire for these types of revenues (revenues for other funds that are transferred) to be distinguished separately. Responding to Mr. Ruane regarding the revenue generated from the sale of Bonds, Mrs. Mitchell, Finance Director/Treasurer, stated that the sale of Bonds would be reflected as a debt, not revenue. Mr. Ruane expressed his opinion that in an effort to provide fairness to the public and Council, there should be an indication of capital revenue sources for the purpose of capital projects, such as the sale of bonds, grants, etc. He indicated a desire for there to be a distinction between operating revenue and capital revenue. Responding, Mrs. Mitchell stated that money obtained for capital projects from reserves or bond proceeds is not considered revenue. She explained that such money is a cash transfer from some other financing source and is not reoccurring earned income, and that revenue is income that is earned by providing a service. Understanding, Mr. Ruane suggested that the manual include an explanation that would allow the public to know that the City could not operate without these other monetary resources. In response to Mr. McGlumphy regarding the increase in Electric Fund revenues throughout the years, as depicted on the top revenue resources listing, Mrs. Tieman reminded members that in

CITY COUNCIL WORKSHOP OF JANUARY 7, 2008 PAGE 2 FY2006, there was a 55% increase in wholesale power, forcing the City to increase the electric rates, which caused electric revenue to increase. Mr. Ruane noted that there is no indication that the State PILOT Fund Revenue, eliminated from the revenue indicators for Safety Expenses as noted on page 3 (section 4, paragraph b), has been assigned to the Library Reserve. Referring to page 4, which provides estimated amounts of revenue indicators for FY2008, Mrs. Tieman assured members that the State PILOT Fund Revenue has been assigned to the Library Reserve and suggested that paragraph “f” be added to section 4 (page 3) to indicate this assignment. Mr. DePrima explained that the revenue indicators are provided as a guide for the City Manager in the preparation of the budget and are based on historical averages. Mr. Ruane suggested that there are certain services provided by the City that should be fully funded by the users, such as Planning and Inspections, adult recreation, etc. Mr. Ruane suggested that staff include a history of property tax rates. Mrs. Tieman advised members that on page 21, Rental Dwelling Units, the proposed rate of $180 for Apartment Buildings should be $108 and that members will be provided a corrected page. In reviewing the Future Potential Revenue Sources, Mrs. Tieman explained that they have been provided in an effort for staff to obtain the desires of Council. She stated that most of these sources would require additional research. Mr. Ruane noted that in previous years, there were descriptions for the proposed revenue sources and suggested that staff provide a brief explanation of these sources. Also, referring to the survey results dated February 10, 2003, Mr. Ruane questioned why some sources have been eliminated, such as slot revenue. Council President Williams suggested that Mr. Ruane meet with staff to review the survey results. Beginning with page 95, Mrs. Tieman reviewed seven (7) new proposed revenue sources and reminded members that three (3) of the new revenue sources have already been considered by Council. She advised members that the proposed rates have been or will be developed to recover costs associated with providing the service. Mr. Ruane requested information from other municipalities with regards to casino revenue. In reference to the Concession Permits, Mr. Hogan suggested that the same consideration be given to one-day permits for non-profits as seasonal permits. Referring to the Water/Wastewater Plan Reviews, he questioned the logistics for charging only “$0.03 x length” for storm sewer lines greater than 5,000 feet, which, at 5,000 feet, would total only $150, when 1,000 to 5,000 feet would total $450. Responding, Mr. Koenig, Public Services Director, stated that the rates are incremental, explaining that $150 would be charged for the first 1,000 feet, an additional $450 for 1,000 to 5,000 feet, and then $0.03 x length for the line greater than 5,000 feet. Mr. Koenig reviewed and explained the fee increases proposed for licenses, inspections, permits, and applications (beginning on page 11). He provided members with four (4) new business categories for inclusion in the business license list, as follows: 1) ATM Machines (off bank premises) - $49; 2) Fitness Trainer - $67; 3) Home Day Care - $25; and 4) Real Estate Development Corp. - $333. He advised members that these are businesses known to be currently operating in the City limits that do not specifically fall into a current category. Mr. Koenig noted that on page 17, Pubic Occupancy Permit, the date of last fee change should be 11/22/1993 and the last date reviewed should be 11/14/2007.

CITY COUNCIL WORKSHOP OF JANUARY 7, 2008 PAGE 3 Mr. Slavin relayed concern with the inability to consider any new revenue resources without details regarding the revenue forecast, which is to be provided at the end of January, to determine where the traditional revenue streams are and how they are doing. He suggested that staff prepare an analysis with different scenarios that would provide examples of the cost of the proposed increases to the average business or a new business coming to the City. He relayed his concern that people are beginning to feel that there are too many fees and suggested that the City create a balance by determining if property taxes should be used to offset costs in order to make costs more predictable. With regards to comments that user-based services should pay for themselves, Mr. Slavin stated that there are certain services where this is clear and valid; however, it was his opinion that this would not be practical for other services. Mr. Ruane questioned the declining revenue associated with Municipal Street Aid and if staff has contacted the League of Local Governments. Responding, Mr. DePrima stated that a few years ago there was a cut in the revenue distributed for Municipal Street Aid. He explained that a formula is used for distributing this money to municipalities based on total street mileage and population. He stated that some communities have grown faster than Dover and, as a result, these communities have received an increase in Municipal Street Aid, which results in a decrease for other communities such as Dover. Mr. Ruane reiterated the need for the City to work with the League of Local Governments on obtaining state revenue sharing. Referring to Taxi Licenses, page 46, Mr. Hogan noted that there is a conflict between Sections 118- 54 and 26-35 of the Dover Code and suggested that staff submit an ordinance amendment to correct this matter. Mr. Hogan moved for adjournment, seconded by Mr. McGiffin and unanimously carried. Meeting Adjourned at 8:33 P.M. TRACI A. McDOWELL CITY CLERK All orders, ordinances, and resolutions adopted by City Council during their Workshop Meeting of January 7, 2008, are hereby approved. CARLETON E. CAREY, SR. MAYOR /TM/jg S:\ClerksOffice\Agendas&Minutes\Council-Minutes\2005\08-22-2005 Council.wpd

REGULAR COUNCIL MEETING The Regular Council Meeting was held on January 14, 2008 at 7:30 p.m. with Council President Williams presiding. Council members present were Mrs. Russell, Mr. McGlumphy, Mr. Slavin, Mr. McGiffin, Mr. Hogan, Mr. Salters, and Mr. Ruane. Mr. Leary was absent. Council staff members present were Police Chief Horvath, Mrs. Mitchell, Mrs. Townshend, Fire Chief Carey, Mr. DePrima, City Solicitor Rodriguez, Mrs. McDowell, and Mayor Carey. OPEN FORUM The Open Forum was held at 7:15 p.m., prior to commencement of the Official Council Meeting. Council President Williams declared the Open Forum in session and reminded those present that Council is not in official session and cannot take formal action. Mr. Richard Ornauer, 17 Mifflin Road, noted that there is an ordinance that prohibits the use of commercial vehicles as advertisement for establishments. He advised members that he recently observed several violations in this respect and requested that the City take the necessary action to enforce the ordinance. Mrs. Rexene Ornauer, 17 Mifflin Road, relayed concern regarding the traffic situation on North Street resulting from the medical building. It was her feeling that adequate planning was not done to determine the manner in which vehicular traffic would travel through the intersection at North and West Street. She questioned if the City is taking action to resolve the problem that currently exists and if there are plans to resolve problems that will result as this property continues to be developed, noting that a childcare facility is planned where traffic will be entering and exiting during a time when traffic is excessive. Mrs. Ornauer requested that staff provide her the opportunity to review a copy of the traffic study that was accomplished before the permit was granted for Eden Hill. Mr. James Bordley, 622 Crawford Avenue, advised members of the difficulty in exiting his development since the building of the new homes in front of Schoolview, as well as another development in the area. He questioned if there are any plans to install a traffic signal in this area and if the City would be willing to survey the traffic in an effort to resolve this problem. The invocation was given by Chaplain Dixon, followed by the Pledge of Allegiance. AGENDA ADDITIONS/DELETIONS Mr. Slavin moved for approval of the agenda as presented, seconded by Mrs. Russell and unanimously carried. Council President Williams noted that item #9D(d-2), Proposed Zoning Text Amendments to Subsection 1.10 - Portable Storage Units of the Parks, Recreation, and Community Enhancement Committee Report of December 11, 2007 should be included on the consent agenda. Mr. McGlumphy requested that item #12B(b-4), Waiver Request of Land Subdivision Regulations - Blue Hen Apartments of the Special Safety Advisory and Transportation Committee Report of December 13, 2007, be removed from the consent agenda.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 2 Mr. Slavin moved for approval of the consent agenda as amended, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF DECEMBER 10, 2007 The Minutes of the Regular Council Meeting of December 10, 2007 were unanimously approved by motion of Mr. Slavin, seconded by Mr. Hogan and bore the written approval of Mayor Carey. PRESENTATION - CERTIFICATE OF APPRECIATION AND CONGRATULATIONS - RONALD L. SHORT, SR. The City Clerk read the following Certificate of Appreciation and Congratulations into the record: MAYOR AND COUNCIL Be It Hereby Known To All That The Mayor and Council Commend RONALD L. SHORT, SR. for Dedicated Service to the City of Dover August 1989 - January 2008 18 Years of Service The Mayor and Council Extend Sincere Appreciation and Congratulations Mayor Carey presented the Certificate to Mr. Ronald Short. Mr. Short thanked the City for providing him the opportunity to work for the City and relayed special appreciation to the Police Department, City Clerk’s Office, and Public Works Department for their assistance during his years of employment. PRESENTATION - WAL-MART POLICE GRANT Chief Horvath advised members that Wal-Mart representatives were scheduled to present a grant to the Dover Police Department this evening, which would be for the purchase of taser holsters for detectives and, more importantly, for the purchase of bullet proof vests for Police K-9's. Chief Horvath stated that Wal-Mart has always been an avid supporter of the Dover Police Department and relayed appreciation for their efforts and the contributions continuously provide to the Dover Police Department. PRESENTATION - MAYOR’S PRAYER BREAKFAST CONTRIBUTIONS - BOYS & GIRLS CLUB AND USO DELAWARE Mayor Carey noted that each year, proceeds from the Mayor’s Prayer Breakfast are donated to an organization of the Mayor’s choice. Mayor Carey announced that the proceeds from the 2007 Mayor’s Prayer Breakfast will benefit both the Boys & Girls Club and USO Delaware. He presented both organizations with a check, in the amount of $500, as follows: 1) Ms. Joan Cote for the USO Delaware; and 2) Mr. Tingle for the Boy’s & Girls Club.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 3 PRESENTATION - CERTIFICATE OF RECOGNITION - DOVER FIRE DEPARTMENT - 125TH ANNIVERSARY On behalf of the Mayor and Council, Mayor Carey presented a Certificate of Recognition to Fire Chief Carey and Dover Fire Department President, Mr. Timothy Mullaney, in recognition of 125 years of dedicated voluntary service by the Dover Fire Department in protecting the lives and property of the citizens of the City of Dover from the devastating effects of fire. Mayor Carey noted the millions of dollars saved as a result of the volunteers of the Dover Fire Department and requested that the citizens of Dover continue to support their volunteer fire department. Chief Carey relayed his appreciation for the recognition and continued support of the Mayor, Council, and citizens of the City of Dover. PRESENTATION - CIVIC CENTER FEASIBILITY ANALYSIS COMMITTEE - REPORT OF ANALYSIS AND RECOMMENDATIONS Members were provided the Final Report of Analysis and Recommendations of the Civic Center Feasibility Analysis Committee for the Dover Civic Center Facility, dated December 15, 2007. Mr. Phil McGinnis, Chair of the Civic Center Feasibility Analysis Committee, provided the following replacement pages: 1) pages 8 and 9 of the Final Report; 2) Exhibit G; and 3) page 10 of the presentation pages following Exhibit H. He introduced those members of the committee that were present during the meeting. Mr. McGinnis gave a detailed presentation of the Final Report of the Committee (Exhibit #1). He noted that the committee felt that the 2.9% Kent Tax Increase provided in the Johnson Report must have been a misprint and wanted to bring this to their attention so that residents were not misled. Mr. Ruane referred to the Brookings Institute Study dated January 2005, which was provided to members and questioned if the committee considered the opportunity costs of not investing the money in other public goods (i.e. by committing funds for a Civic Center, what other choices would be eliminated). Responding, Mr. McGinnis stated that such consideration was beyond the scope of the committee’s charge, which was to review the feasibility of the Civic Center and to make recommendations on how to repay the City’s fair share contribution. Mr. Ruane noted that, in addition to those reported, such as the removal of electric lines, reserves, etc., there are other missing costs. Mr. McGinnis also advised members that the total estimated cost of $61M was reduced from $75M as a result of the redesign of the proposed Civic Center. He stated that the $61M estimate would remain if construction were to begin within the next 12 months and completed within the next 24 to 30 months. In response to Mr. Slavin, Mr. DePrima stated that the Civic Center Corporation has obtained quotes from qualified appraisers to conduct the appraisal for the 40 acres of land contributed by the City; however, since the quotes to conduct the appraisal were costly, they have not taken any action to conduct the appraisal. Mr. Slavin relayed his frustration that when the Civic Center Corporation initially approached the City, there was an indication that if the land were donated by the City, this would be all that the Corporation would ask of the City. He also relayed frustration that there is no information regarding the value of the 40 acres when donated, what the land has appreciated to, and they are now being requested to make a monetary contribution, in addition to the land donation.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 4 Mr. Salters relayed his recollection that the value of the 40 acres of land donated by the City was estimated at $2M when donated approximately 10 years ago. Mr. Hogan moved for acceptance of the Final Report of Analysis and Recommendations of the Civic Center Feasibility Analysis Committee, seconded by Mr. Salters and unanimously carried. CERTIFICATES OF APPRECIATION - CIVIC CENTER FEASIBILITY ANALYSIS COMMITTEE The City Clerk read the following Certificate of Appreciation into the record: WHEREAS, the Civic Center Feasibility Analysis Committee was created by the Mayor and Council during their Annual Meeting of May 14, 2007; and WHEREAS, the initial scope of the Committee was to study the issue of the City's support of the Delaware Civic Center by completing a financial analysis of the capital operational debt service issues related to the Civic Center; and WHEREAS, members of the Civic Center Feasibility Analysis Committee have worked diligently in researching the issues involved in order to develop a recommendation that is objective and has been thoroughly considered; and WHEREAS, as a result of their efforts, the Civic Center Feasibility Analysis Committee submitted their Final Report and Recommendations to City Council on January 14, 2008, and thus, is hereby dissolved with gratitude to all members for their time and attention to this matter. It is deemed an honor and privilege to present this Certificate of Appreciation to Philip J. McGinnis, Chairman Michael Gast Gerry Records Michael J. Ambruso, Sr. Timothy Horne Victor Schimp Scott Brown Linda Parkowski CITY OF DOVER CIVIC CENTER FEASIBILITY ANALYSIS COMMITTEE Best Wishes on all Future Endeavors from the City of Dover January 2008 On behalf of the Mayor and Council, Council President Williams presented members of the Civic Center Feasibility Analysis Committee with a Certificate of Appreciation and relayed appreciation for their time and efforts. It was noted that as a result of the receipt of their final report, the committee was dissolved.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 5 PROPOSED RESOLUTION - EDWIN L. SAPP The City Clerk read a proposed Resolution expressing regret for the loss of Mr. Edwin L. Sapp and extending their deepest sympathy to members of his family. By motion of Mr. Salters, seconded by Mr. Hogan, Council, by a unanimous roll call vote (Mr. Leary absent), adopted the following Resolution: WHEREAS, the Mayor and Council of the City of Dover have been greatly saddened by the death of Edwin Lee Sapp, a City of Dover retiree, who passed away on December 31, 2007; and WHEREAS, Edwin Lee Sapp faithfully served the City of Dover in the Library and Parks and Recreation Department from 1978 until 1996; and WHEREAS, Edwin Lee Sapp has been a member of the Robbins Hose Volunteer Fire Company, Dover’s Fire Department, since 1961; and WHEREAS, Edwin Lee Sapp will be deeply missed by his friends and fellow employees of the City of Dover. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The Mayor and Council express their regret for the loss of Edwin Lee Sapp and extend their deepest sympathy to members of his family and hope that they will be consoled by the memories of his fine life and achievements. 2. The Mayor and Council direct the City Clerk to place this Resolution in the permanent records of the City of Dover in recognition of the faithful and loyal service of Edwin Lee Sapp. ADOPTED: JANUARY 14, 2008 PUBLIC HEARING/FINAL READING - REZONING OF PROPERTY LOCATED ON THE WEST SIDE OF NORTH DUPONT HIGHWAY (ROUTE 13) AT THE SOUTHWEST CORNER OF THE INTERSECTION WITH COLLEGE ROAD, OWNED BY THE STATE OF DELAWARE (DELAWARE STATE UNIVERSITY) A public hearing was duly advertised for this time and place to consider rezoning of property located on the west side of North DuPont Highway (Route 13) at the southwest corner of the intersection with College Road, consisting of 17.84+/- acres of a larger parcel, owned by the State of Delaware (Delaware State University). The property is currently zoned IO (Institutional and Office) and the proposed zoning is SC-2 (Community Shopping Center). Mr. Salters moved that the final reading of the proposed rezoning ordinance be acknowledged by title only, seconded by Mr. Hogan and unanimously carried. (The First Reading of this ordinance was accomplished during the Council Meeting of November 13, 2007)

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 6 Planner's Review Mrs. Townshend, City Planner, reviewed the petition to amend the zoning district and the findings and recommendations of the Planning Commission (Exhibit #2). The Planning Commission recommended approval of the rezoning application. Responding to Mr. Ruane, Mrs. Townshend stated that there are properties owned by the State and other levels of government that have different zoning classifications. She explained that although most properties owned by Delaware State University have a zoning classification of IO, there are no requirements for this zoning classification. Public Hearing Council President Williams declared the hearing open. Mr. Greg Moore, representing Delaware State University, stated that he is available for any questions and advised members that the University has reviewed the legal nature of leasing parcels on this site to national vendors and have determined that this practice does meet their Charter and is lawful. He advised members that it is a common practice throughout the United States for colleges to seek national vendors in their facility. Responding to Mr. Ruane, Mr. Moore confirmed that the University plans to obtain long-term leases to national retailers in an attempt to maximize economic benefit to the University for making improvements to their campus. Mr. Ruane relayed concern with allowing a shopping center use on property owned by the State and his disagreement with the substantiation of the shopping center need, as it will compete with existing and proposed shopping centers in the area. There being no one else wishing to speak, Council President Williams declared the hearing closed. Mr. Salters moved for approval of the rezoning request, as recommended by the Planning Commission. The motion was seconded by Mr. Hogan and by a roll call vote of seven (7) yes, one (1) no (Mr. Ruane), and one (1) absent (Mr. Leary), Council adopted the following ordinance: AN ORDINANCE AMENDING THE ZONING ORDINANCE AND ZONING MAP OF THE CITY OF DOVER BY CHANGING THE ZONING DESIGNATION OF A PORTION OF PROPERTY LOCATED ON THE WEST SIDE OF NORTH DUPONT HIGHWAY (ROUTE 13) AT THE SOUTHWEST CORNER OF THE INTERSECTION WITH COLLEGE ROAD WHEREAS, the City of Dover has enacted a zoning ordinance regulating the use of property within the limits of the City of Dover; and WHEREAS, it is deemed in the best interest of zoning and planning to change the permitted use of property described below from IO (Institutional and Office) to SC-2 (Community Shopping Center)

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 7 NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. That from and after the passage and approval of this ordinance the Zoning Map and Zoning Ordinance of the City of Dover have been amended by changing the zoning designation from IO (Institutional and Office) to SC-2 (Community Shopping Center) on a 17.84 +/- acre portion of that property located on the west side of North DuPont Highway (Route 13) at the southwest corner of the intersection with College Road, owned by the State of Delaware (Delaware State University). ADOPTED: JANUARY 14, 2008 SPECIAL UTILITY COMMITTEE REPORT - DECEMBER 3, 2007 The Utility Committee met on December 3, 2007, with Chairman Ruane presiding. Presentation - I & I (Inflow and Infiltration) Removal Mr. Koenig, Director of Public Services, and Mrs. Duca, Assistant City Engineer of the Public Utilities Department, gave a presentation on the Sanitary Sewer Inflow and Infiltration (I & I). Members were advised that inflow and infiltration may be the result of cracked mains, storm sewer connections, cracked manholes, faulty manhole covers, roof drain connections from private properties, sump pump connections, broken laterals, etc. Mrs. Duca reminded members that an I & I Study was performed in fiscal years 2006 and 2007. As a result of the video inspection conducted, Mr. Koenig advised members of the various repairs that were identified. He also reviewed the results of the smoke testing that was conducted. In regards to the private property issue, he noted that there were actually 13 properties (rather than 21 as indicated in the presentation), identified through property maintenance inspections. Mr. Koenig advised members that the City has worked with the owners in removing the root drains from the sanitary sewer system. In reviewing this information, staff developed and reviewed future actions necessary for both the Public Utilities and the Public Services Departments. Mr. Koenig explained that Kent County has authorized Impact Fee Credits for removal of inflow and infiltration ($1,430 / E.D.U.), which is a one time credit per removal. Staff recommended that the credit received by the City from Kent County for the removal of private property connections be passed on to the property owner. In response to Mr. Ruane, Mr. DePrima expressed the importance of approaching property owners who are in violation in a customer service manner; therefore, to fix the problem, staff is recommending a cost incentive for property owners. Responding to Mr. Salters, Mr. Koenig advised members that it is no longer standard practice to tie roof or area drains into the sanitary sewer system. Although there may not be a substantial amount of money saved by the City for providing a credit to customers, Mr. Koenig stated that the administrative burden of unhappy customers far outweigh the costs of the reimbursement proposed. He explained that the “dollars and cents” on paper is very small in the amount of time it takes to

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 8 resolve some of these types of issues. He also explained that the City will continue to reap the benefits from the removal of the inflow and infiltration from the system year after year. Mayor Carey requested that the procedure for the credit provided to the customer be worded so it specifies that only the amount of expense would be reimbursed up to a maximum amount. Responding, Mr. Koenig expressed concern that people value their time differently and that it is difficult for staff to value someone’s time. The manner in which staff has proposed to calculate the credit is purely based on the area of removal, which is very defensible. If a customer spends more than the calculated credit, the customer will have an understanding of the amount that will be credited and if their costs are less, then they will have benefitted. The committee recommended approval of the impact fee credit proposal, as recommended by staff. Mr. DePrima indicated that affected residents will be contacted and advised of a public meeting in order for staff to give this same presentation. He requested anyone with suggestions for improving the presentation to contact him after the meeting. By consent agenda, Mr. Slavin moved for acceptance of the committee’s recommendation for approval of the impact fee credit proposal, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Proposed Ordinance - Chapter 110 - Utilities, Article III - Water Service, Division 7 - Water Impact Fees Members considered a proposed ordinance that would establish water impact fees by creating Division 7 - Water Impact Fees in Chapter 110 - Utilities, Article III - Water Service, in the Dover Code. Mrs. Tieman, Senior City Administrator, reviewed a presentation on the water impact fee proposal, explaining that the impact fees would offer an efficient way to pay for infrastructure and ensure benefits to those who pay them. Without instituting impact fees, the City may not have the revenue necessary to support or sustain growth. She reminded members that the development of the water impact fee was based on projects taken from the City’s Water Master Plan prepared by Whitman, Requardt and Associates and the six-year Capital Investments Plan (CIP) for Fiscal Years 2008-2013. Mrs. Tieman indicated that the premise of the water impact fee is to establish equitable distribution of the costs associated with the City’s water system expansion related to growth. The City has had a sewer impact fee for 20 years. Recently, the Public Service Commission authorized Tidewater Utilities and Artesian Water to implement water impact fees. Mrs. Tieman stated that the proposed water impact fee ordinance would ensure that the cost of such expansion is proportionately borne by those who receive the benefits of the water system expansion. Mrs. Tieman advised members that over the next six (6) years, the City’s capital plans include $25.5 million in projects and that $7.5 million is for expansion of our system due to growth. Members were provided detailed information regarding the proposed capital projects for the next six (6) years. If the City continues to subsidize growth the way they have in the past, the existing rate payers will be burdened with funding the $7.5 million for these projects. She stated that this increase would be

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 9 in addition to any increases needed to maintain and improve the existing water system and its infrastructure and that the six-year plan proposes spending $18 million for improvements to the existing infrastructure. Mrs. Tieman stated that the impact fee proposed in the ordinance was calculated by dividing the expanded capacity from capital projects, which is $1,900 per equivalent dwelling unit. The implementation of this fee is projected to generate approximately $665,000 per year, which was based on the revenue from the sewer impact fee charges (350 equivalent dwelling units). The total amount collected in each fiscal year should be equal to or greater than the funds that are necessary to cover the water expansion portion of all capital projects. She explained that all funds collected in excess of this amount are to be transferred to the Water Impact Fee Reserve Fund. All impact fees are proposed to be collected upon application for Certificate of Occupancy by the Planning and Inspections Department. Those entities with existing building permits or contracts of sale dated prior to February 1, 2008 would not be subject to the impact fees. Staff recommended approval of the proposed Water Impact Fee Ordinance as submitted and that the Water Impact Fee be set at $1,900 per equivalent dwelling unit effective February 1, 2008. Members were advised that on November 1, 2007, an informational meeting was held to present the proposed impact fees and that local builders, realtors, developers, the Central Delaware Economic Development Council, the Delaware Association of Realtors, the Delaware Home Builders Association, and the Chamber of Commerce were invited to attend. Those in attendance were requested to submit their comments, which were provided to members for their review. Mrs. Tieman noted that although several of the comments received reflect an understanding of the purpose and need for a water impact fee, it was suggested that the fees be phased in over time. Should City Council wish to phase in the fees, it was recommended that the Capital Projects plan be adjusted from a six-year implementation to an eight-year implementation plan and increase the final fee by $200. By doing this, staff felt that the fees could be phased in as follows: February 1, 2008 - $700 per EDU; February 1, 2009 - $1,400 per EDU; and February 1, 2010 - $2,100 per EDU. The $200 added in the third year would, within ten years, recoup the loss from the lower fees in the first two (2) years. The committee recommended approval of the phase in schedule for the water impact fees, as presented by staff. By consent agenda, Mr. Slavin moved for acceptance of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Responding to Mr. Ruane, Mr. DePrima stated that the proposed ordinance will be revised to include the recommendations of the committee, such as the phase in schedule, prior to its consideration by Council. Mrs. Tieman indicated that some of the other comments received on the implementation of Water Impact Fees referred to grandfathering issues. Staff recommended that sites meeting the following criteria be exempt from Water Impacts Fees upon enactment: 1) all sites issued a building permit as

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 10 of the effective date; and 2) all sites which can produce proof of contract with the end user of the proposed facility executed as of the effective date. These exemptions would apply to all forms of development including residential, commercial, institutional and industrial. The committee recommended that the water impact fee be effective February 1, 2008 and that the fee not be imposed upon sites for which a building permit was issued before the effective date or for sites for which the owner has produced proof of contract with an end user of the proposed facility as of the effective date. By consent agenda, Mr. Slavin moved for acceptance of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Mrs. Tieman noted that a sliding scale was also mentioned. This would change the charge per EDU based on the type of structure being built - a townhouse would be differentiated from a single family dwelling, etc. This concept would need to be discussed further and examined with Kent County since the City’s impact fees (both sewer and proposed water) are calculated based on Kent County’s formula. No further action was taken by the committee with regards to the sliding scale issue. The committee recommended adoption of the proposed ordinance, as amended, that would establish water impact fees by creating Division 7 - Water Impact Fees in Chapter 110 - Utilities, Article III - Water Service, of the Dover Code. By consent agenda, Mr. Slavin moved for acceptance of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). (The First Reading of the ordinance will take place during the latter part of the meeting). Dark Fiber Lease Policy Members were advised that the City owns and operates a fiber optic loop around the perimeter of the City. This loop is used as part of the electric transmission protection system, two-way radio communications system, and data/telephone transmission for utility facilities. Mr. Lunt, Public Utilities Director, advised members that within this fiber network, there are spare fibers that are not utilized or planned to be utilized in the near future. Bayhealth Medical Center approached the City with a request to install their own fiber optic lines on the City’s utility poles or lease dark fiber from the City. In considering this request, staff felt that it would be mutually beneficial to lease the current assets rather than install new facilities. As a result, staff developed the Dark Fiber Leasing Standard Operating Policy to govern this arrangement. He advised members that this policy was reviewed by Bayhealth and they concur that it is fair and acceptable. Mr. Lunt advised members that the policy would be the governing document regarding the operation, ownership, and pricing for this service. He noted that the policy includes the following: 1) requires a five (5) or 10 year lease with annual escalation fees; 2) new extensions require a total cost recovery and include a 5% annual maintenance fee plus an 8.5% rate of return; 3) existing fiber lease is $0.0009541/fiber strand/foot/month which includes the 5% maintenance fee and an 8.5% rate of return; 4) includes an annual cost of living escalation fee; 5) includes a $200 engineering fee per splice location to recover expenses related to fiber documentation and design; 6) electric service

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 11 restoration is a priority over fiber restoration; and 7) the City does not guarantee service and will not be liable for any interruption of service. Staff recommended approval of the Dark Fiber Leasing Standard Operating Policy. In response to concerns of Mr. Ruane, Mr. DePrima assured members that staff would request a legal review of the policy prior to this matter being presented to Council for consideration. The committee recommended approval of staff’s recommendation, with the understanding that the policy will be legally reviewed prior to its consideration by Council. (City Clerk’s Office Note: The policy was reviewed by City Solicitor Rodriguez and it was his opinion that the policy was well written and; therefore, no changes were recommended.) By consent agenda, Mr. Slavin moved for acceptance of the committee’s recommendation for approval of the Dark Fiber Leasing Standard Operating Policy (Exhibit #3), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). PACE/NAES Monthly Report (September and October) Mr. DePrima provided the PACE/NAES Monthly Reports for September and October 2007. He reminded members that the reports are being provided to give members the opportunity to monitor what is being sold in electric and the revenues received, which will allow members to have a better understanding of any fluctuations and make improvements if deemed necessary. It is not his intent to make a presentation of the report; however, he welcomed any questions. Responding to Mr. Ruane with regards to the City’s plan to comply with Delaware Regulation 1146, Mr. DePrima stated that in June, DNREC accepted the City’s plan to comply with Delaware Regulation 1146 and that there is an agreement for this to occur by a specific date. As a result of recent meetings with Mr. Blaha, NAES Division Director, Mr. DePrima stated that although they continue to make strides to make the deadline, it was agreed that once it is felt that the City may not meet the deadline, they would approach DNREC. It was his feeling that as long as the City is showing due diligence and making a good effort to locate engineering firms to meet this requirement, DNREC will be reasonable in this regard. By consent agenda, Mr. Slavin moved for acceptance of the Special Utility Committee Report, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). TAX APPEALS COMMITTEE REPORT - DECEMBER 10, 2007 The Tax Appeals Committee met on December 10, 2007 with Chairman Ruane presiding. Tax Appeals Creekstone Properties Location: 1198 S. Governors Avenue (ED-05-068.05-01-12.00)

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 12 Mr. Ruane advised members that the committee originally denied the appeal for Creekstone Properties due to the applicant not appearing before the committee; however, at the conclusion of the meeting, the City Assessor explained that the applicant was not given due process. Therefore, there is no recommendation being forwarded by the committee at this time. Hertrich Capitol Auto Dealership Location: 1127 S. DuPont Highway (ED-05-077.18-2-90.00) Mr. Ruane advised members that there is no recommendation being forwarded at this time, and that this matter will be presented at a later date. General Discussion - Dover Downs Inc. Location: 1131 N. DuPont Highway (ED-05-057.00-1-32.00) Mr. Capuano recommended that the cost approach be utilized versus the income approach, explaining that the cost approach would yield a higher value for this property at this time. If they use the cost approach, they will be using actual invoices by the contractor and should have all their contractor billings by the end of the year. Mr. Capuano recommended that the date be changed to January 29, 2008 due to the enormous amount of paper work involved. Mr. McGlynn stated that they were given an additional sixty (60) days from the date of the filing of the Appeal Form to produce an appraisal. Mr. Capuano explained that although the cost approach will be utilized, it is necessary to value the land as well and that a certified appraisal will be necessary. He advised members of the difficulty for a taxpayer to obtain a qualified appraiser to value the land. The committee recommended that the date for the Appraisal for Dover Downs, Inc. be extended to February 28, 2008. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Stipulations Joseph S. McDaniel III Location: 122 Bank Lane (ED-05-077.09-04-48.00) The committee recommended to accept the stipulated values for 122 Bank Lane, owned by Joseph S. McDaniel III, as shown on attached spreadsheet. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 13 Phoenix Properties Location: 30 S. New Street (ED-05-076.08-05-68.00) The committee recommended to accept the stipulated values for 30 S. New St., owned by Phoenix Properties, as shown on attached spreadsheet. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). New Hope Housing/New Street LP Location: 130-134 S. New Street (ED-05-077.09-01-26.00) The committee recommended to accept the stipulated value of 130-134 S. New St., owned by New Street LP, as shown on the attached spreadsheet. Council President Williams declared the public hearing open. There being no one present wishing to speak, Council President William declared the public hearing closed. Mr. Ruane moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. McGlumphy and carried by a unanimous roll call vote (Mr. Leary absent). Wild Meadows LLC Location: 223 Units of Manufactured Housing Units (LC-05-058.18-02-01.00 and LC-05-058.14-01-01.00) The committee recommended to accept the stipulated value of these two parcels, owned by Wild Meadows LLC, as shown on the attached spreadsheet. Council President Williams declared the public hearing open. There being no one present wishing to speak, Council President William declared the public hearing closed. Mr. Ruane moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. McGlumphy and carried by a unanimous roll call vote (Mr. Leary absent). Administrative Investments Together LLC Location: 1084 S. State Street (ED-05-077.17-07-19.00) The committee recommended to accept the corrected value of this parcel, owned by Investments Together LLC, as shown on the spreadsheet provided. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 14 Senior Citizen Request - Essie Durham Location: 426 Court Street (ED-05-077.10-01-10.00) The committee recommended to accept the senior citizen request of this parcel, owned by Essie Durham, as shown on the attached spreadsheet. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation (Exhibit #4), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Mr. Hogan moved for acceptance of the Tax Appeals Committee Report, seconded by Mr. Salters and unanimously carried. UTILITY COMMITTEE REPORT - DECEMBER 10, 2007 The Utility Committee met on December 10, 2007 with Chairman Ruane presiding. Draft Franchise Agreement – Verizon Delaware LLC Mrs. Mitchell, Finance Director/Treasurer, advised members that in January 2007, the City received a request for a cable franchise from Verizon in order to offer FiOS TV services to the residents of Dover. A sub-committee was formed, consisting of Mr. Ruane, Mr. Carey, Mrs. Mitchell, Mr. Lunt, and Mr. DePrima to review the request. She advised members that the City obtained the services of Mr. Dan Cohen of Cohen Law Group to assist the City in negotiations with Verizon for the cable franchise. After several negotiation sessions and draft agreements, a final draft agreement has been developed that is felt to be fair and equitable to both the City and Verizon, and that will provide the citizens with an alternative provider. Staff recommended that a Public Hearing be scheduled before the Utility Committee on January 2, 2008 and that this item to be placed on the January 14, 2008 Council agenda for consideration. Referring to the 7th paragraph on page 1 of the draft agreement, Mr. Ruane stated that the major focus of this meeting is to provide public notice to our residents and to set a date for a public hearing. He also noted that any questions regarding the availability of the service should be directed to Mr. Al Karr, Service Manager for Verizon, by calling at 301-282-8339. Mr. Ruane also introduced Ms. Bonnie Metz, Vice-President of Government and State Affairs for Verizon. Members relayed concern with the vagueness of Section 3.1.1 with regards to service availability. Mr. DePrima explained that Section 3.1.1.1 was a compromise supported by the sub-committee to assure deployment of the cable services in the franchise area. Mr. McGiffin requested that, in addition to the number of subscribers, the location of the subscribers should be provided by the Local Franchising Authority (LFA). Responding to Mr. Cregar, Mr. Ruane stated that the sub-committee was very concerned that there would be recognition of the fact that they were interested in deployment throughout the City and were pleased that the entire City was included in the service area. He stated that members were looking for opportunities to review those areas of the City that would not be able to receive the

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 15 service and be provided the reasons. It was his opinion that Section 3.1.1.1 would provide the City the opportunity to discuss any reservations or concerns and would allow members of Council to seek information regarding deployment of the service. Elaborating, Mr. DePrima stated that Verizon provided a service area map that depicted the locations of areas that they were able to provide the service at this time and those areas that they were not. Deployment of the system has no relevance to any socioeconomic demographic information. It was his feeling that the areas of deployment is based on the current system, and its cost effectiveness for planning and deployment. Mr. McGiffin stated that his inquiry was based on constituents requests and his ability to provide details on the expectations for the service. With reference to Section 3.1.1, Mr. Hogan noted that the last sentence of Section 3.1.1, which references density requirements, should be corrected to reflect “Section 3.2" rather than “Section 3.1.1.1". Mr. Hogan suggested that Appendix C, Section 4, Paragraph H also address those instances when only a few channels are lost. Should members have any questions prior to the public hearing, Mr. Ruane suggested that they contact Mrs. Mitchell who would convey them to Mr. Cohen to obtain clarification. Mr. Ruane requested that any comments, questions, or concerns be submitted in written form, including specifics as to the paragraph of the Agreement, to the City Clerk’s Office to be considered by members during their public hearing. He stated that the committee would acknowledge receipt of the correspondence and provided assurance that they will be addressed at that time. The committee recommended that a public hearing be scheduled before the Utility Committee on January 2, 2008 at 6:30 p.m. in the Council Chambers at City Hall for the purpose of reviewing the Franchise Agreement with Verizon Delaware LLC, as recommended by staff. Mr. Ruane noted that the committee’s action after the public hearing would be submitted to City Council for consideration on January 14, 2007, at which time members of Council will have the opportunity to formally vote on the proposal. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). City Clerk’s Office Note: The Special Utility Committee Report of January 2, 2008 was considered by Council during the latter part of this meeting. By consent agenda, Mr. Slavin moved for acceptance of the Utility Committee Report, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 16 LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE REPORT - DECEMBER 10, 2007 The Legislative, Finance, and Administration Committee met on December 10, 2007 with Chairman Slavin presiding. Review of 2005 Charter Review Committee Recommendations - Article II (Continued) During their meeting of September 10, 2007, members approved the schedule to complete a comprehensive review of the 2005 Charter Review Committee Recommendations, including public hearings in each election district, over the next six (6) months. Members began their review during their meeting on October 8, 2007. Mr. Slavin noted the receipt of additional information provided by Mrs. McDowell, City Clerk. Due to time constraints and there being no objections, Mr. Slavin stated that there will be no further discussion regarding the review of the 2005 Charter Review Committee recommendations during this meeting. At the request of Mr. Slavin, Mrs. McDowell explained the additional documents provided (as on file in the Office of the City Clerk), as follows: 1) Regular Council Minutes of February 9, 1987 and April 13, 1987 regarding the ordinance that amended the 6th paragraph of Section 5 which requires a member of Council to relinquish their seat in order to file to run for Mayor; and 2) a summary of actions by the committee to date. City Clerk’s Office Note: Members will continue their review of the 2005 Charter Review Committee Recommendations at “Section 36 - Council not to Interfere with Appointments or Removals of Manager; Giving Orders to Subordinates of Manager Prohibited; Penalty for Same (Section 2.05 - Prohibitions, Subsection (c) - Interference with Administration, Model City Charter)” during their next meeting. Position Change - Treasurer/Finance Director to Controller/Treasurer During the Treasurer/Finance Director’s evaluation, members of City Council requested the Director to revise the Treasurer/Finance Director position description to include Controller responsibilities. The purpose of which is to emphasize the responsibility for providing support to the Legislative Branch of the City, similar to the State of Delaware. Members were provided a position description for Controller/Treasurer. Mrs. Mitchell, Finance Director/Treasurer, explained that the position is titled Controller/Treasurer since the City Charter refers to Treasurer. Currently, the position is appointed by City Council as Treasurer/Finance Director. In developing the description, she advised members that research was conducted on other like positions using the internet, publications, as well as a comparison to similar high level positions for the City. The pay grade and salary range for this position is to be determined using the City’s position qualification factor software. The committee recommended acceptance of the position change for the Treasurer/Finance Director to Controller/Treasurer and the position description.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 17 By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation (Exhibit #5), seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Proposed Ordinance - Downtown Incentive - Sewer Impact Fee Waiver - New Construction During their meeting of April 23, 2007, members considered an amendment to Appendix C - Downtown Redevelopment, Article IV - Development Incentives, Section 2 - Multiple Story New Construction Projects of the Dover Code. Although the committee recommended adoption of the proposed ordinance amendment, during the Annual Council Meeting of May 14, 2007, City Council referred the proposed ordinance back to the Legislative, Finance, and Administration Committee to consider a substitute amendment, as well as the entire context in which the proposal is being made, particularly Section 3, which was not available to the committee when they considered the proposed amendment; as well as encouraging them to review not only the fiscal impact statement that they received since the meeting, but also, in larger context, a fiscal note that would take into account all of the incentive package and then determine how it fits into the context and then bring it back to the full Council. Mrs. Townshend, Director of Planning and Inspections, reminded members that the City of Dover has been working on strategies and incentives to help revitalize the downtown area. The Downtown Dover Development Corporation formed a sub-committee to discuss a variety of incentives. The expansion of the impact fee waiver is one of several incentives discussed. With regard to the proposed ordinance, Mrs. Townshend advised members that there were previous concerns regarding the effect of the amendment on projects that were currently in progress. She stated that the proposed ordinance amendment has been re-written to specify that those projects that have received Planning Commission approval on or before January 31, 2008 would fall under the current provisions. Any projects considered after January 31, 2008, would be eligible for a full impact fee waiver. Mrs. Townshend reminded members that the current ordinance does not necessarily help with the preservation of historic buildings located in the Historic District which are in need of extreme repairs. She explained that these types of repairs are very costly. Therefore, staff felt that it would be beneficial to include, as an eligible project, renovations of existing buildings, in addition to the multi-story new construction projects. This will allow for a combination of residential, office, retail, and commercial uses. In addition, Mrs. Townshend stated that rather than waiving half of the impact fee, the entire City impact fee would be waived. It was staff’s feeling that this waiver would reduce the costs for bringing people downtown, allowing them to put these savings into the necessary building renovations. Mr. Ruane recalled that it was the desire of members for staff to provide financial context, such as an accumulation of all the incentives currently available for a project, such as the Collegian, and what the amount would total. Responding to Mr. Ruane’s concerns regarding the recent water impact fee ordinance considered by Council, Mrs. Townshend stated that since the current ordinance does not specify “sewer impact

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 18 fee”, the waiver of the impact fee would expand to the water as well. Regarding the Collegian project, she stated that not all of the information would be available until the application is received since the cost of the building permit is related directly to the cost of construction. Mrs. Townshend noted that the value of some of the incentives is based on certain costs, such as the waiver for the building permit fee. The construction value of the Collegian is not known at this time; therefore, staff would not have an amount for the building permit. Mr. Slavin cautioned members not to utilize a specific project and suggested that staff utilize a vacant parcel, owned by the Downtown Dover Development Corporation, and create a project to be used as a model to develop the financial impact. Mr. DePrima stated that he would work with the Planning Department and the City Assessor’s Office and develop three (3) examples of various project sizes. Mr. DePrima advised members that when the ordinance was originally enacted (early 1990's), it provided for a full impact fee waiver. Sometime in the late 1990's, the City Manager had requested to reevaluate the waiver due to concerns since construction was slow at the time. One aspect of the ordinance is that the proposed amendment would return the waiver to its original intent. The committee recommended adoption of the ordinance amendment to Appendix C - Downtown Redevelopment, Article IV - Development Incentives, Section 2 - Multiple Story New Construction Projects of the Dover Code, with the understanding that when issues are presented to members, that there be a fiscal note provided by staff. As directed by the committee, Mrs. Townshend provided members of Council with additional information on three (3) projects that qualified for downtown development incentives within the Target Area and how the proposed waiver would have affected these projects (Exhibit #6). Responding to Mr. Ruane, Mrs. Townshend explained that impact fees are collected to fund the capital costs associated with those improvements. These impact fees are applicable City-wide. Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Salters. In opposition to the proposed amendment, Mr. Ruane stated his feeling that impact fees are important from a cost sharing perspective in terms of those individuals being responsible for the costs being incurred. He explained his belief that required improvements should be funded by the individuals causing the impact. He noted that many of those that would be eligible for the waiver are eligible for 10-year tax abatement and other waivers. Mr. Ruane relayed concern that these waivers will jeopardize the ability of the enterprise funds to fund the necessary improvements. The motion for approval of the committee’s recommendation was carried with Mr. Ruane voting no. (The First Reading of the ordinance will take place during the latter part of the meeting). Mr. Slavin moved for acceptance of the Legislative, Finance, and Administration Committee Report, seconded by Mr. Hogan and unanimously carried.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 19 PARKS, RECREATION, AND COMMUNITY ENHANCEMENT COMMITTEE REPORT - DECEMBER 11, 2007 The Parks, Recreation, and Community Enhancement Committee met on December 11, 2007 with Chairwoman Russell presiding. Explore Locations for Proposed Boys & Girls Club During their meeting of September 11, 2007, members reviewed the possible sites for a magnet Boys & Girls Club and their pros and cons. Staff explained that the intent of the presentation was to allow members the opportunity to digest the information for its consideration during their next meeting. During their meeting of October 9, 2007, members tabled the matter since all members were not in attendance. Mr. Frank Fantini, Board Member of the Greater Dover Boys & Girls Club, advised members that Kent County Levy Court supports the Greater Dover Boys & Girls Club with acquiring the Lewis Farm for a site for a magnet Boys & Girls Club. Unfortunately, he explained that the property is not currently owned by Kent County and that depending on the ability of developing the property, the future of this property is not known. As a result, the option to have the site located at Schutte Park is most desired. Mr. Bob MacLeish, Greater Dover Committee, explained that the Schutte Park site would serve both school districts, Capital and Caesar Rodney, and better serve as a magnet club. Responding to Mr. McGlumphy, Mr. Chris Basher, Vice President of Operations for Boys & Girls Clubs, assured members that the Boys & Girls Club will provide full funding regardless of the receipt of grant moneys. Mr. DePrima reminded members that the City of Dover’s preference would to have the magnet club located at Dover Park. However, he noted that the Boys & Girls Club have indicated that they are not interested in this location due to its small size, which he understands. He noted that the Boys & Girls Club has conceded to the idea of their site being separate from the John W. Pitts Recreation Center. Of the two (2) remaining sites in this area, he stated that the City would prefer the Wyoming Mill Road site due to accessibility and visibility. From a program prospective, this site would address many of the conflicts that the City had with regards to the close proximity of a Boys & Girls Club to the Pitts Recreation Center. Mr. DePrima explained that if the Boys & Girls Club were attached to or in the immediate vicinity of the Pitts Recreation Center, it would preclude many of the visions that the City had for future facilities in this area. It was his opinion that the Wyoming Mill Road site would be workable if selected by City Council. Mr. DePrima stated that the Wyoming Mill Road site is currently used for soccer and other field sports for the City. He advised members that the City anticipates the receipt of 14 acres west of Schutte Park from Stover Builders as a land donation, and that the loss of the fields will be supplemented with the donation of this additional land. Mr. Carter, Director of Parks and Recreation, stated that the concern with the location at Schutte Park is the loss of outdoor recreational space that is utilized for soccer, field hockey, and other field

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 20 sports. Without additional drawings considering the Boys & Girls Club, he stated that this exact loss is not known. Mr. Ruane indicated his desire for a clear indication of what the proposal would require in terms of exact space and what would be lost for the City of Dover as a result. He stated that the City’s commitment to outdoor recreation is very well known and that the soccer and field hockey associations have built an expectation that must be met and fulfilled by the City. Mr. Ruane reiterated that the issue is that these facilities are to serve regional population and not just the citizens of Dover, explaining that there is a need to involve Kent County. He suggested that dialogue is needed between the Boys & Girls Club, Kent County, and the City to work the ideas out, such as a dedication of space for outdoor recreation to supplement the loss of outdoor recreation space for the City. Mr. Michael Harrington, President of the Greater Dover Boys & Girls Club, stated that the organization has attempted to work with both the City and the County, as suggested by Mr. Ruane. It was his feeling that Kent County’s involvement would cause an additional delay and jeopardize the January deadline for funding consideration by the State Boys & Girls Club. Mr. Ruane reminded members that there would be a loss to the City, as well as current and future users of Schutte Park, by selecting the Wyoming Mill Road site. He stated that there has not been a united front by the recreation community on this issue. He noted that should the use of this site be selected, there would not be any dedication of outdoor space. If there is a need for outdoor recreation to be associated with the facility, he felt that the better prospect would be for the magnet Boys & Girls Club to be located within the County. He stated that he would not support the use of any additional land, with the exception of the area required for the building. Being involved in the original Schutte Park proposal, Mr. McGlumphy felt that the City continuously creates “road blocks” in front of ideas to benefit children. He stated that the City utilizes the concept “regionalism” when it is time to consider funding these ideas. He suggested that members make a decision on this issue to provide the Boys & Girls Club direction in this regard. The committee recommended acceptance of the Wyoming Mill Road location for the magnet site for the Boys & Girls Club. Mr. Ruane questioned if the intent of the motion was to move forward without any additional specific information. Responding, Mr. McGlumphy stated that the intent is to move forward with the drawing presented, with the understanding that the facility will be built, and that it is recommended that the Wyoming Mill Road location to be used for this site. Mr. DePrima stated that a presentation would be developed to present to Council and that additional information would be provided in terms of details. Mr. Ruane requested that members acknowledge that this action would create an unspecified loss of outdoor recreation and requested that staff identify this loss to members and provide options to remedy this loss.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 21 Responding to Mrs. Russell, Mr. DePrima assured members that additional details would be provided that would include a plan of action as requested by Mr. Ruane. Mrs. Russell reported to Council that during the Parks, Recreation, and Community Enhancement Committee meeting of July 10, 2007, the Boys & Girls Club and the Greater Dover Committee provided a presentation on the increasing needs of Dover's youth. It was noted that an independent study of community needs was performed, which identified the need for additional recreational outlets and additional affordable wraparound after school care services. City Staff was then requested to explore possible land options for the proposed club and report back to the committee. Another presentation was made in September 2007, at which time it was indicated that the Greater Dover Boys and Girls Club was in a position to raise capital dollars for the construction of a 40,000-50,000 sq. ft. magnet club if they could obtain the land to build the facility. The Parks, Recreation, and Community Enhancement Committee considered three (3) possible locations for the Boys & Girls Club magnet site: The Lewis Farm, which Kent County would have to acquire, Dover Park, and Schutte Park. During the committee meeting of December 11th, the committee recommended approval of the Wyoming Mill Road location for the magnet site for the Boys & Girls club, as presented, and requested that specific information be provided regarding the loss of space, what that loss would mean for the City of Dover and its commitment to outdoor recreation, specifically to the soccer and field hockey associations, and a plan of action to remedy the loss. Noting that these facilities are to serve regional population and not just the citizens of Dover, the committee felt a need to involve Kent County and suggested dialogue between the Boys & Girls Club, Kent County, and the City to work out the ideas for a dedication of space for outdoor recreation to supplement the loss of outdoor recreation space for the City. Mrs. Russell advised members that Mr. Darryl Tingle of the Boys & Girls Club was present to provide the requested information. Additionally, Kent County Levy Court Commissioner Eric Buckson, the Central Delaware Soccer Association, and the Greater Dover Committee have requested time to comment on the recommendation. Mrs. Russell moved to waive the rules to allow each of them (3) minutes to speak at the conclusion of the Boys & Girls Club presentation, seconded by Mr. McGlumphy and unanimously carried. Mr. Tingle introduced the following Greater Dover Boys & Girls Club Board Members: Mr. Michael Harrington, Jr., Board President; and Mr. Frank Fantini, Chair of the Task Force Committee. Mr. Fantini gave a presentation of the Greater Dover Boys & Girls Club and the programs offered (Exhibit #7). Mr. Fantini noted that they would be building a swimming pool, gymnasium, locker room and showers, all of which would be open for use by the general populous during non-club hours. He also noted that the Boys & Girls Club parking lot would serve as expanded parking for Schutte Park during non-club hours. Mr. Fantini emphasized that these benefits would come at no cost to the City of Dover. Mr. Tingle reviewed the drawing included in the presentation which depicted conceptual floor plans and site plans proposed for the magnet club. The

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 22 building itself would be situated on the southwest corner of Schutte Park, on approximately six (6) acres of land, which includes parking lots. Mr. DePrima noted that the drawing depicts the alignment of Wyoming Mill Road after it has been re-aligned. In response to Mr. Ruane, Mr. DePrima stated that due to the federal requirements involved with the re-alignment of Wyoming Mill Road, the 14 acres was not considered an alternative location for a magnet club. It was his opinion that if the club is not built for a few years, then there would be the potential for consideration of the building to be located on the 14 acres. Mr. James Bordley, long time Board Member of the Greater Dover Boys & Girls Club, advised members that he was one of the original members of the Board of Directors and that he has witnessed the good citizens that resulted from the children who participate at the Club. He advised members of the need for such a facility in Dover, not just for poor, minority children, but for all children and urged their support of the request. Kent Levy Court Commissioner Eric Buckson offered assistance to City Council, CDSA, the Boys & Girls Club, and County. It was his personal opinion that the Schutte Park location would better serve the Boys & Girls Club and that the Lewis Farm could become a soccer facility for the CDSA. He offered to meet with the CDSA after the meeting to further discuss this option. Mr. Trevor Johnson, representative of the CDSA, relayed appreciation to the City of Dover and the Boys & Girls Club for their efforts in providing recreation for the children of the community. He advised members of the current land situation for the CDSA and noted that the CDSA has grown as a result of the City’s generous opportunity to use land at Schutte Park. Mr. Johnson provided members information of the CDSA (Exhibit #8). Responding to Mr. Hogan, Ms. Christine Malik, Vice-President of the CDSA, stated that one of the reasons they have concentrated playing at Schutte Park is due to so many children of the same family participating, which provides parents the opportunity to coach more than one team since their children are at one location. Utilizing schools can prove difficult since games are scheduled at different schools, which prevents parents from attending the various games where their children are participating. Mr. Bob MacLeish, Chair of Youth Committee for the Greater Dover Committee, advised members that youth in the community is a part of the mission and guiding principles of the Greater Dover Committee. He stated that in 2004/2005, the Youth Committee conducted an assets inventory and needs assessment in the community to determine whether or not there was a need for additional facilities and/or services for the youth. The results showed that the current organizations in the Greater Dover area, including the Greater Dover Boys & Girls Club, are not adequately serving the current youth population. In addition, the research showed that most of the other youth programs are either “full” or have significant costs associated with their youth programs, making them unavailable to many of the children who need them the most. Mr. MacLeish stated that it was the Youth Committee’s belief that the Boys & Girls Club, and its core programs, best serve the families in the Greater Dover area. With more and more children growing up in homes with both working parents or a single working parent, he stated that today’s families can benefit from a safe, structured,

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 23 learning opportunity that after-school programs provide. It is the Greater Dover Committee’s goal to empower the Greater Dover Boys & Girls Club to serve all the children in need. Mr. MacLeish assured members that the Greater Dover Committee is ready and willing to assure that the needs of the youth of Dover are addressed and is prepared to take on the responsibility to reach out to the community for support of these efforts. Mr. MacLeish read a letter received from Mr. Gary Stover, President of Stover Homes, in support of the new facility for the Greater Dover Boys & Girls Club at Schutte Park. Mr. Slavin advised members that he is on the Board of Directors for the Greater Dover Boys & Girls Club and hopes for a compromise by both the Boys & Girls Club and the CDSA. Mr. Ruane advised members that the committee was not provided the schematic of the proposal submitted by the Boys & Girls Club when they forwarded their recommendation for approval of the Wyoming Mill Road location. He also noted that the recommendation referred to their desire that the proposal would not cause the loss of space. He suggested that members agree to offer space at Schutte Park to allow for the magnet club for the Boys & Girls Club without identifying the specific location, that there be a stipulation that the fields currently assigned to CDSA remain, and that every effort be made for the final proposal to depict the use of the 14 acres of land west of Schutte Park that is proposed to be dedicated to the City by Stover Builders. Mr. McGiffin moved for approval of Schutte Park to be used as the location for the magnet site for the Boys & Girls Club, without being specific to its location at Schutte Park, and the stipulation that its use will not cause any current loss in field space for the CDSA, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Parks and Recreation/Open Space Plan - Review of Active Recreation Areas - Farthing Woods In accordance with Article 5, Section 10, of the Zoning Code, all residential developments shall provide Open Space and an Active Recreation Plan, which must be reviewed by the Parks, Recreation, and Community Enhancement Committee for a recommendation prior to consideration of the Conditional Use Site Plan by the Planning Commission. Subsection 10.7 of Article 5, Section 10, of the Zoning Code requires that all areas planned for public dedication, or cash donations provided under this section, must be submitted to and approved by the Parks, Recreation, and Community Enhancement Committee and shall be subject to final review and approval by City Council prior to acceptance by the Planning Commission. Members were provided details of the Recreation Plan for Farthing Woods. The subject property consists of one parcel of land totaling 6.89 +/- acres, located on the south side of West Denneys Road, west of McKee Road. The owner of record is Denneys Road, LLC. The applicant proposes to subdivide the parcel into seventeen (17) residential lots and identify the new street to serve the development. The development will consist of a total of 17 dwelling units and residual land to be used for stormwater management, the entry road, and open space. The subdivision offers the single housing type of single family detached units on approximately 1/5th acre (approximately 8,700 S.F.) lots. The entrance street leading into the site is from West Denneys Road.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 24 Mrs. Townshend, Director of Planning and Inspections, noted that a minimum area is required to be reserved for the pursuit of active recreation activities. The size of this area is based on 275 square feet of land area per dwelling unit or one half acre, whichever is greater (Art. 5 §10.16). At 17 proposed units, this accounts for 4,675 S.F. of required active recreation area. Since this total does not meet the minimum requirement, one half acre of land for active recreation would be required. Farthing Woods does not meet the guidelines for exemptions to the recreation areas for small developments as outlined in Article 5 § 10.5 of the Zoning Ordinance. Instead of recreation area construction, Mrs. Townshend advised members that the applicant is proposing the dedication of land for park lands. The developer has a pending agreement with DNREC to deed a portion of the subdivision to the State of Delaware for the benefit of the Anne McClements Woodlands of Fork Branch Nature Preserve. Article 5 § 10.3 are the regulations for public facilities. By definition, parks are a type of public facility. Section 10.32 allows the amount dedicated to be deducted from the amount of active recreation area requirements of Section 10.1. Mrs. Townshend stated that the land proposed to be deeded for the Fork Branch Nature Preserve was identified as a potential solution to the issue of adjacency to the Nature Preserve during the September 17, 2007 Planning Commission Meeting. The adjacent Nature Preserve is identified as Open Space on Map 11-1 Land Development Plan of the Comprehensive Plan Update 2003 as amended 2005 and 2007. In summary, Mrs. Townshend indicated that the area required for active recreation space is 0.5 acres. The area to be deeded to DNREC is yet to be specifically determined. The current plans show Common Open Space #2 as an area of approximately two (2) acres, but also indicates that the total size has yet to be determined. The transfer of land would occur in place of the recreation area construction or a cash-in-lieu payment for the 0.5 acres would be required. The plan for Farthing Woods submitted by Pennoni Associates, Inc. meets the area requirements of the Zoning Ordinance and is acceptable to the Department of Planning and Inspections. Staff recommended that the Parks, Recreation and Community Enhancement Committee forward the Plan to the Planning Commission with a recommendation for approval of the proposal for land donation. Following the review of the proposal for land donation in lieu of Active Recreation Area construction and the overall Open Space, the Department of Planning and Inspections staff submitted the following recommendations: 1. Staff recommended approval of the overall Open Space provided for the project. Recommendations suggested as conditions of this approval are listed below: a. Staff would not object to this mutually agreed upon solution so long as the total land area deeded to the State of Delaware (DNREC) for the Nature Preserve is equal or greater than the required one half acre required for active recreation and so long as the property lines for Farthing Woods are established accordingly. b. Specific details about the amount of land to be deeded to DNREC must be shown on the Plan including the new parcel created for dedication. c. All calculations pertaining to open space must be clearly stated on the plan.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 25 d. The details concerning the easement pertaining to Common Open Space Area #1 must be stated on the Plan. 2. The portion of the subdivision which is to be deeded over to the State of Delaware must made into a separate parcel. 3. Tree plantings must be agreed upon and approved by DNREC Division of Natural Resources and Environmental Control to avoid the placement of invasive or noncompatible trees and plants. 4. Identify the type of lighting proposed. 5. An element of separation should be included between lot #12 and the stormwater management facility to ensure the proper longevity of the facility. 6. There shall be provisions which insure that the remaining common open space land (lands not included in the dedication to the state) shall continue as such and be properly managed and maintained. The developer shall either retain ownership and responsibility for maintenance of such open land; or provide for and establish one (1) or more organizations for the ownership and maintenance of all common open space i.e. a Homeowners Association. The organization shall be responsible for maintenance, insurance and taxes on the common open space. 7. In the event, that major changes and revisions to the Preliminary Subdivision Plan which affect the Recreation Plan occur in the review process and finalization of the Plan resubmittal may be required for review by the Parks Recreation and Community Enhancement Committee or other agencies and commissions making recommendations in regards to the plan. Mr. Ruane relayed concern with the nature preserve being considered as a part of the open space/active recreation plan, explaining that the purpose of the designation is to provide access to the public, particularly children. Rather than providing active recreation area, Mrs. Melson-Williams explained that the developers are seeking dedication of a public facility, which would be parkland for the reserve. Mrs. Townshend emphasized that the Zoning Code provides for an alternative, explaining that if a developer dedicates a public facility, it can be used rather than active recreation. The idea is to not provide access from this site to the nature preserve at the request of the State Park Division. It was her understanding that the access to the preserve would be provided via Kenton Road. Responding to Mr. McGlumphy, Mr. Jordan Ashburn, developer of Farthing Woods, explained that the alternative was prepared after consultation with representatives of DNREC. He advised members that the area that would be required for open space/active recreation would be minuscule and that the proposal provides for a better area and would be accessed by more people than just those residing in the development.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 26 Mr. Ruane stated his opinion that, in effect, the developer would not be contributing to the purpose and intent of the ordinance, which is to require some contribution, and if the land is not available, then a cash-in-lieu of land should be required. The committee recommended denial of the open space/active recreation plan submitted for Farthing Woods and that a cash-in-lieu of land be required if there is no willingness to offer an actual “tot lot” plan. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). CDBG Program Guidelines for Review According to HUD guidelines, a CDBG grantee will be considered to be failing to carry out its CDBG activities in a timely matter if, 60 days prior to the end of the current program year, the balance in its line of credit exceeds 1.5 times the annual entitlement grant. The City of Dover has been in compliance with this regulation annually due to the majority of grant funds being expended from city projects. Over the past few years, funding had to be reallocated from subgrantees that failed to expend CDBG funds in a timely matter or failed to meet the program requirements. Members were advised that currently, four (4) out of the five (5) subgrantees have been delayed in expending grant funds due to housing or zoning code violations or failure to meet program requirements, which could cause the City to fall short of this timeliness standard. Mrs. Tracey Harvey, Community Development Director, provided members proposed revisions to the CDBG Program Guidelines, including the subgrantee scoring sheet and City Project scoring sheet. In order to continue to meet the HUD Timeliness Standard, staff recommended that no more than 80% of CDBG funds, including program administration, be allocated to city projects and that no more than 30% of CDBG funds be allocated to subgrant projects that will serve the low to moderate income households, as well as those with disabilities. Mrs. Harvey noted that the proposed amended guidelines also include a separate scoring sheet for subgrantees with a scoring and voting system for committee members to use for city projects due to the different nature of subgranting versus allocating funds to City projects (including housing rehabilitation and homeownership assistance). She advised members that there is also a request to change the scoring requirements so that any applicant scoring below 70 points would not be considered for a CDBG grant. Staff recommended approval of the amended changes to CDBG Program Guidelines. Responding to Mrs. Horsey, Mrs. Harvey stated that there were several applicants that received scores less than 70 points that received CDBG grant monies in the past. Several members relayed concern regarding the grantees not expending the grant money in a timely manner. Mrs. Harvey explained that each grantee is required to submit monthly status reports; however, many of the grantees are not complying with this requirement. Mrs. Russell noted that delays are often due to the contractors. Responding, Mrs. Harvey stated that her experience has been that delays are the result of the subgrantee.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 27 Mr. Ruane questioned what penalties have been instituted or what other efforts have been made to assure that the program has been progressing in a timely manner and, if none, has there been any action to have the money re-programmed. Responding, Mrs. Harvey stated that many of the projects were delayed due to housing and zoning code issues. Mr. Ruane relayed opposition to the proposed amendments to the guidelines and suggested that members delay consideration of the scoring sheet for subgrantees. He requested staff to provide members with the rules that are in place to remedy the problems that are occurring, and what is done prior to six (6) months elapsing to remedy any concerns. It was his feeling that the proposal is a reflection of poor planning and monitoring. The committee recommended to defer consideration of the proposed amendments to the CDBG Program Guidelines until the January meeting, to be first on the agenda, with the understanding that members will be presented a decision sheet on each one of the actions that have been taken between now and January with a recommendation for re-programming if necessary within the guidelines. Additionally, that staff reconsider arbitrarily setting a percentage and allow all applicants to be equal regardless of the resulting applicant percentages. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Proposed Zoning Text Amendments - Appendix B - Zoning Ordinance, Article 3 - District Regulations, Section 10 - Institutional and Office Zone (IO) The committee recommended tabling consideration of the proposed zoning text amendment to Article 3 - District Regulations, Section 10 - Institutional and Office Zone (IO) until the next committee meeting. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Proposed Zoning Text Amendment - Appendix B - Zoning Ordinance, Article 5 - Supplementary Regulations, Section 1 - Supplementary Regulations Applying to Residence Zones, Subsection 1.10 - Portable Storage Units During their meeting of October 9, 2007, committee members recommended adoption of a proposed zoning text amendment to Appendix B - Zoning Ordinance, Article 5 - District Regulations, Section 1 - Supplementary Regulations Applying to Residence Zones, Subsection 1.10 - Portable Storage Units that propose to establish regulations relating to portable storage units. It was noted that the Planning Commission also recommended approval of the proposed amendment. Following a public hearing before City Council during the Regular Council Meeting of October 22, 2007, members referred the proposed ordinance amendment back to the Parks, Recreation, and Community Enhancement Committee for further study.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 28 Mrs. Townshend, Director of Planning and Inspections, reviewed the revised proposed ordinance amendment that would limit the amount of time that a portable storage unit could be located on a residential lot. Mr. Ruane stated his opinion that the revised proposed ordinance addresses many of the concerns previously expressed by members of City Council. The committee recommended adoption of the proposed ordinance amendment as presented by staff. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). (The Public Hearing/Final Reading of the zoning text amendment will take place during the latter part of the meeting). Updates Members were provided the following updates: Puncheon Run Watershed Action Team Update There was no update on the Puncheon Run Watershed Action Team. John W. Pitts Recreation Center Mr. Carter, Director of Parks and Recreation, advised members that the outside work for the John W. Pitts Recreation Center, such as parking lot, landscaping, sidewalks, etc. should be completed within the next two (2) weeks and that the building should be fully enclosed within the next week. Due to the weather, he anticipates a February 2008 opening. Planning and Funding for New Library Mr. Richard Thau, Library Director, provided an update on the planning and funding for the new library. Mr. McGlumphy felt that construction for the new Library should begin in the very near future since the price of materials will continue to increase. The committee recommended that staff be requested to present information on what would be necessary to make a recommendation on the bond aspect for this project. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). CDBG Program There was no update on the CDBG Program. 2008 Comprehensive Plan Update There was no update on the 2008 Comprehensive Plan.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 29 Mr. Salters moved for acceptance of the Parks, Recreation, and Community Enhancement Committee Report, seconded by Mr. Hogan and unanimously carried. Mr. Salters moved for a brief recess, seconded by Mr. Hogan and unanimously carried. Meeting Recessed at 10:18 P.M. Mr. Hogan moved to reconvene, seconded by Mr. Salters and unanimously carried. Meeting Reconvened at 10:25 P.M. PUBLIC HEARING/FINAL READING - PROPOSED ZONING TEXT AMENDMENT A public hearing was duly advertised for this time and place to consider approval of proposed zoning text amendment to Appendix B - Zoning Ordinance, Article 5 - Supplementary Regulations, Section 1 - Supplementary Regulations Applying to Residence Zones, Subsection 1.10 - Portable Storage Units that would limit the amount of time that a portable storage unit could be located on a residential lot. Members were advised that the Planning Commission recommended approval of the proposed amendment. During their meeting of December 11, 2007, the Parks, Recreation, and Community Enhancement Committee reviewed the proposed zoning text amendment and recommended adoption. Since the ordinances will amend the zoning text, a public hearing is required. Mr. Slavin moved that the final reading of the proposed zoning text amendment be acknowledged by title only, seconded by Mr. Salters and unanimously carried. (The First Reading of this ordinance was accomplished during the Council Meeting of September 24, 2007) Mrs. Townshend, Director of Planning and Inspections, reminded members that the proposed ordinance amendment that would limit the amount of time that a portable storage unit could be located on a residential lot. Council President Williams declared the hearing open. Mr. Chris Rothel, 30 Lotus Circle North, stated that he was present on behalf of PODS in support of the proposed ordinance. He thanked Mrs. Townshend for working with PODS on their concerns with the proposed amendments as originally submitted. Council President Williams declared the hearing closed. Mr. McGlumphy moved for adoption of the following ordinance, seconded by Mr. Salters and carried by a unanimous roll call vote (Mr. Leary absent):

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 30 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix B - Zoning Ordinance, Article 5 – Supplementary Regulations, Section 1- Supplementary Regulations Applying to Residence Zones be amended by inserting a new subsection as follows: 1.10 Portable Storage Units. For the purpose of this section the following definitions shall apply: Portable storage unit means any container designed for the storage of personal property which is typically rented to owners or occupants of property for their temporary use and which is delivered and removed by truck. 1.101 Number, Duration, and Removal. There shall be no more than one portable storage unit per lot. No portable storage unit shall remain on a lot in a residential district in excess of thirty consecutive days, unless the lot is the subject of an active building permit, in which case it may remain as long as the building permit is active. 1.102 Cumulative Time Restriction. No portable storage unit as defined in Section 1.10 of this Article shall be placed at any one site in a residential district in excess of sixty days in any calendar year, unless the lot is the subject of an active building permit. 1.103 Location. The location of the portable storage unit shall not affect the health, safety and/or welfare of the neighborhood including, but not limited to, blocking access to a fire hydrant and obstructing the view of street intersections. ADOPTED: JANUARY 14, 2008 SPECIAL UTILITY COMMITTEE REPORT - DECEMBER 11, 2007 The Utility Committee met on December 11, 2007 with Chairman Ruane presiding. Appendix B - Zoning Ordinance, Article 3 - District Regulations, Section 29 - Source Water Protection Overlay Zone (SWPOZ), Section 29.7 - Tier III (Continued from Meeting of November 27, 2007) During their meeting of November 27, 2007, members began a review of Section 29.7 - Tier III, of Article 3 - District Regulations, Section 29 - Source Water Protection Overlay Zone (SWPOZ) of Appendix B - Zoning Ordinance. Due to time constraints, members deferred their review of the proposed zoning text amendment to be continued during a Special Meeting at this time and place. Mrs. Townshend, Director of Planning and Inspections, provided members with a revised draft of Section 29.7 - Tier III, of the Dover’s Source Water Protection Overlay Zone, which included recommendations of the committee as a result of their last meeting, and reviewed the proposed text amendment in detail. She reminded members that during their last meeting, there was much discussion regarding Section 29.72 and that staff has reviewed the material and developed more appropriate language. In addition, Mrs. Townshend stated that the word “mitigation” in Section

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 31 29.711, should be replaced with the word “compensation”. As a result of a meeting with engineering and real estate representatives, she stated that staff added Section 29.710, Special Environmental Considerations; however, the phrase “to the affected areas” should be added to the end of the first sentence. Responding to Mr. Snaman, Mr. Koenig, Public Services Manager, stated that there is no indication that the ground water under the downtown area is in jeopardy because the water is coming from the confined aquifer and not the shallow unconfined groundwater area. There are several sites in the downtown area that have affected the very shallow groundwater area, that would be the unconfined groundwater area; however, that is not where the drinking water is coming from. He stated that any problems downtown are not affecting the groundwater supply at this point. If there is no problem, Mr. Snaman questioned the need to institute these requirements to the downtown area. Mr. Koenig explained that the requirements of the ordinance for the downtown area would effectively, over time, either reclaim areas that are currently impervious and turn them into pervious or it would allow the City to purchase excellent recharge areas in other parts of the region. He stated that, over time, the downtown condition would essentially migrate, through development, to a condition that would be better for regional water resources than it is today. Noting that the City has put a lot of effort, time, and money into the redevelopment of the downtown, Mr. Cregar felt that the regulations would impede these efforts and questioned why this area could not be exempt from the regulations. Mr. Koenig stated that the compensation portion, under Section 29.79, has been recommended as an advocate for water utility and resources. Mrs. Townshend reminded members that the initial draft ordinance had an exemption for the downtown area. Although the exemption concept remains, it was felt that the proposed compensation is a way that would not impede development and at the same time includes all areas in the requirements. She noted that there is precedent in the Code that provides for different treatment of the downtown area. Responding to Mr. McGiffin, Mrs. Townshend stated that it is the opinion of the City Solicitor that it would be a legally defendable position to exempt the downtown area based on the Comprehensive Plan and other precedence within the Dover Code. Mr. John Barndt, Program Manager for Source Water and Wellhead Protection Programs for the Department of Natural Resources and Environmental Control (DNREC), stated that the development process of the proposed ordinance has been commendable, which has resulted in several changes that are both pragmatic and protective of the resource. With regards to exempting the downtown area, he stated that there were legal concerns; however, he noted that the City Solicitor has indicated assurance in this regard. In response to Mr. Ruane, Mr. Barndt stated that Kent County has recently begun the process of developing an ordinance, which is currently very similar to the City’s. At this time, he does not have an opinion as to the effect any exemption would have with Kent County. Mr. Greg Moore of Becker Morgan Group, representing the Greater Dover Committee, indicated his support for providing an exemption for the downtown area, feeling that otherwise, the proposed ordinance would jeopardize the downtown and would lose the need to redevelop. The Sections of

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 32 the proposed ordinance that provide for cash-in-lieu would actually provide disincentives to redevelopment of older buildings and provide incentives to take the redevelopment dollars towards new properties and expand, thus creating sprawl. On behalf of the downtown, he requested that members provide an exemption for the downtown area. As a representative of Bayhealth, he relayed concern with the requirements proposed for the downtown if the area is not exempted. Responding to Mr. Moore, Mrs. Townshend stated that a stormwater management pond that is wet would not be considered impervious. Mr. Moore requested that the ordinance include language that would specify this fact. Mrs. Townshend suggested that, separate from the ordinance, a definition for impervious surface be added to the zoning ordinance. As a representative of Dover Downs and Delaware State University, Mr. Moore noted that these institutions are the single largest land owners in the excellent recharge areas on Route 13. At one point, these areas were also exempted; however, the exemption was removed when the downtown exemption was removed. Each of these institutions believe that the maximum impervious coverage limits will affect the continuation of their institutions. He explained that the Dover Downs property contains two (2) separate operating entities, the casino operation and the Nascar operation. The Nascar property is wholly in the excellent recharge area and is not completely developed. Mr. Moore stated that Dover Downs is concerned that, over time, the imposition of 60% maximum will limit their ability to develop some of the undeveloped parcels and meet Nascar or market requirements to sustain a competitive advantage. He noted that Section 27.77, Master Plans, does not provide for any credit for directing water from the tier 2 areas and infiltrating it to the tier 3 areas. He questioned the possibility of providing some flexibility to Section 27.77 that would allow for additional buildable areas. He explained that big properties such as Dover Downs and Delaware State University are looking for this type of flexibility in site plan and master planning. Responding to Mr. Ruane, Mr. Moore stated that until the last committee meeting, both Dover Downs and Delaware State University were under the impression that they were exempt. The comment on the Master Plan Section is a result of the response from the Corporate Attorney for Dover Downs. Mrs. Townshend advised members that there are currently two (2) separate Master Plans for Dover Downs, one (1) for the casino/hotel operation and another for the speedway, which have been approved and are, therefore, not subject to the proposed ordinance. She stated that, in the future, Dover Downs could submit one (1) Master Plan for all of their land holdings. Mr. Moore requested that Section 27.77 be amended to include language that would allow for the City Planner and City Engineer to have the opportunity to increase the impervious an additional 15% if the Master Plan can demonstrate superior infiltration design that would meet the intent of the Dover Code. Mr. Koenig explained that the goal of the proposed ordinance is to preserve the amount of water that enters the ground, to preserve the resource; therefore, he did not have any objections to the request for such an amendment. Responding to Mr. Moore, Mr. Ruane reiterated that the intent of members is that a stormwater management pond that is wet would not be considered impervious.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 33 Mr. Phil McGinnis, Kent County Association of Realtors, indicated support for the proposed ordinance, with consideration of the comments and concerns relayed by Mr. Moore. Should members not include an exemption for the downtown area, he relayed concern with the use of the City’s assessment of property, as indicated in Section 29.79(a), due to many of these assessments being higher than the market value; therefore, an appraisal done by a qualified, certified appraiser would be preferred. He suggested that the third, fourth, and fifth sentences of Section 29.79(a) be deleted and replaced with the following: “Payment-in-lieu of land easement shall be permitted and such payment shall be made prior to the issuance of a certificate of occupancy. Such cash payment shall be determined by either a qualified appraisal (conforming to Delaware Statute for real estate valuation) submitted by the applicant at the applicant’s expense or the City’s assessed value of the underlying land as affected by the ordinance. The amount of the cash payment shall be calculated by multiplying the appraised value of the underlying land times a rate, which shall be the difference between the percentage of impervious cover of the lot minus 60%. For example, a property with 70% impervious cover would be required to pay a cash donation of 10% of the underlying land value prior to the applicant receiving a certificate of occupancy.” He stated that the sixth sentence beginning with “Money paid to . . .” and thereafter would remain. The committee recommended that in Section 29.79, the word “mitigation” be changed to “compensation”. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). The committee recommended that the phrase “to the affected areas” be added to the end of the first sentence of Section 29.710. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Referring to Section 29.77, Mr. Koenig stated that staff is proposing to add the following to the existing paragraph: “On a site development Master Plan, when the City Engineer certifies that the project utilizes superior infiltration design that maximizes groundwater recharge, impervious cover may be increased to 75%”. He requested the opportunity to evaluate this sentence between now and consideration of the proposed ordinance by Council. Responding, Mr. Ruane felt that this assumption would be for all of the proposed changes being recommended. The committee recommended that the following sentence be added to Section 29.77: “On a site development Master Plan, when the City Engineer certifies that the project utilizes superior infiltration design that maximizes groundwater recharge, impervious cover may be increased to 75%”. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 34 With reference to Section 29.79(a), Mrs. Townshend submitted an amendment, substituting the third, fourth, and fifth sentences as recommended by Mr. McGinnis. The committee recommended striking the third, fourth, and fifth sentences of Section 29.79(a), from “Payment-in-lieu...” through “...development application”. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). For clarification, Mr. McGiffin suggested that the proposed rewording for Section 29.79(a) be amended by deleting the word “either” and including, in the second sentence, after “applicant’s expense or” the words “absent an appraisal”. The committee recommend that the third, fourth, and fifth sentences of Section 29.79(a) be replaced with the following: “Payment-in-lieu of land easement shall be permitted, and such payment shall be made prior to the issuance of a certificate of occupancy. Such cash payment shall be determined by a qualified appraisal (conforming to Delaware Statute for real estate valuation) submitted by the applicant at the applicant’s expense or, absent an appraisal, the City’s assessed value of the underlying land. The amount of the cash payment shall be calculated by multiplying the appraised value of the underlying land times a rate which shall be the difference between the percentage of impervious cover of the lot minus 60%. For example, a property with 70% impervious cover would be required to pay a cash donation of 10% of the underlying land value prior to the applicant receiving a certificate of occupancy.” By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Responding to Mr. Leary, Mr. Koenig stated that there are parcels in the downtown area that exceed two (2) acres. Mr. Ruane relayed his concurrence with staff’s position in regards to this matter and reminded members of stewardship responsibilities that would be inclusive of property owners in the downtown area. It was his feeling that the language that staff has proposed allows for an exemption based on size and provides for a method to compensate in lieu of having the required abilities. The committee recommended that Section 29.79, Downtown Target Area, be struck and replaced with the following wording: “Section 29.79, Downtown Redevelopment Target Area. The Downtown Redevelopment Target Area as defined in Appendix C, Article II, Section 3 [Target Area] of the City of Dover Code of Ordinance shall be exempt from the requirements and restrictions of the Source Water Protection Overlay Zone. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 35 The committee recommended that the proposed ordinance, as revised, be forwarded to City Council for consideration during their Regular Meeting of January 14, 2008 for a First Reading and referral to the Planning Commission and setting of a public hearing before City Council. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). (The First Reading of the ordinance and setting of the public hearing will take place during the latter part of the meeting) By consent agenda, Mr. Slavin moved for acceptance of the Special Utility Committee Report, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). SPECIAL SAFETY ADVISORY AND TRANSPORTATION COMMITTEE REPORT - DECEMBER 13, 2007 The Safety Advisory and Transportation Committee met on December 13, 2007 with Chairman Hogan presiding. Proposed Ordinance Amendment - Chapter 46 - Fire Prevention and Protection, Article III - Fire Codes, Section 46-128 - Sprinkler Requirements During their meeting of October 23, 2007, members considered a proposed ordinance amending Chapter 46 - Fire Prevention and Protection, Article III - Fire Code, Section 46-128 - Sprinkler Requirements, of the Dover Code. The committee recommended adoption of the proposed ordinance, with an effective date of January 1, 2008, as recommended by staff, and with the changes that the committee had noted. However, there was a misunderstanding of the date/time of this meeting by members of the committee that assisted with the development of the townhouse sprinkler ordinance who had requested the opportunity to comment on the proposed ordinance further; therefore, the proposed ordinance, as revised, was re-submitted to the Safety Advisory and Transportation Committee for their review and recommendation at this time. Mr. Truax, Fire Marshal, advised members that in March 2007, a committee was formed to assist with the development of a townhouse sprinkler ordinance. In addition to himself, the committee consisted of representatives of the Realtors Association, Home Builders Association, Chamber of Commerce, and C.S. Kidner Associates. He stated that the proposed ordinance is as fair an ordinance as could be reached by all parties involved. Mr. Truax reviewed the proposed ordinance amendment in detail. Mr. Hogan noted the receipt of correspondence provided to members regarding this issue (as on file in the Office of the City Clerk), as follows: 1) letter from Kent County Association of Realtors; 2) letter from Mr. Paul Eichler, Robbins Hose Fire Company; and 3) a publication entitled “Fire Sprinklers and Home Insurance” printed from the website HousingEconomics.com. Responding to Mr. Hogan, Mr. Koenig stated that there is one new townhouse development, Senator’s Lake, that installed fire sprinklers as a result of being granted an alley waiver.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 36 Mr. Bob MacLeish, Home Builders Association, stated that he has worked with City staff regarding this issue and explained that he struggled with placing a dollar value on safety when human lives are in question. He felt it was important to understand that the dollar value is not intended to measure human worth but rather to assist decision makers in determining how much it would cost to reduce the risk for loss of life and property. Mr. MacLeish indicated that the changes in residential construction methods and materials, and improved building codes and inspections are, by design, to adequately protect the home throughout its life without the need for fire sprinklers. In regard to older homes, Mr. MacLeish explained that there have been improved fire protection measures, such as code provisions, separation, blocking, and draft stopping, as well as improvements to emergency escape and rescue, such as electrical circuit breakers and smoke detectors. He explained that the cost for the installation of fire sprinklers involves changes to infrastructure, such as the water line, additional electrical work, etc. He stated that townhouses, by their nature, have become the affordable houses. However, additional costs for the installation of sprinkler systems would only increase the price of townhouses. Mr. Todd Stonesifer, Kent County Association of Realtors, relayed appreciation for the opportunity to work with the Fire Marshal in the development of this proposed ordinance and commended Mr. Truax on his efforts. He reiterated that building codes and materials have improved over the years and it was their opinion that the need for the sprinkler requirements, as they relate to fire injuries or damage in the City of Dover, has been proven. As a realtor, it is his goal to help people attain home ownership. Costs for the purchase of a home continue to rise and a townhouse is currently the most affordable home in the City. As the cost increases, there will be a loss of affordability and the opportunity for many individuals to purchase a home and realize the American dream. Mr. Stonesifer urged members to consider these concerns when acting on this matter. In response to the alley issue versus the sprinkler system, Mr. Koenig stated that the costs would depend upon whether the infrastructure for a sprinkler system would be for a new development or an existing development. From staff’s point of view, the proposed ordinance was developed for community planning and preparedness, as well as a public safety issue. There is reasonable evidence to prove these systems save lives and assets in the community over time and are worth the additional expense to require these systems in an urban environment. Mr. Koenig noted that, with growth and density increasing, the City of Dover is becoming increasingly urban; therefore, staff is taking a pro- active approach to this issue. He reminded members that the cost of housing is market driven and the cost of lumber changes everyday, which must be factored into the housing prices. Mr. Tony Ashburn advised members that the National Home Builders Association conducted a study on the effectiveness of smoke and fire detectors and discovered that as a result of their use, there is less damage to the new housing as compared with older housing. With regards to the infrastructure costs, he explained that not only is larger piping necessary, but also the equipment; therefore, there is a significant increase in costs involved for providing sprinkler systems. He stated that he recently paid $4,500 for interior work only for a sprinkler system in a home and that there would be an additional $500 minimum for extending the necessary infrastructure to the street. He explained that as a result of these costs, there are additional costs, such as transfer tax. Mr. Ashburn noted that sprinkler systems that fail due to accidents also cause much damage.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 37 Mr. Truax explained that sprinkler systems are heat activated devices; therefore, if there is a fire in a bedroom, that is the only location in the home where the sprinklers would be activated; however, if the bedroom is located upstairs, the water could run down to the first floor and cause water damage. He stated that when there is a fire, there is always water damage either caused by the sprinkler system or the fire company; however, the sprinkler system would prevent a fire from spreading and causing additional damage in other areas of the home. Responding to Mr. MacLeish, Mr. Koenig explained that final approval of the Planning Commission is defined as when a subdivision has received conditional approval, provided that all agency comments have been received and addressed and there are no further amendments to the plan that would require additional review by the Planning Commission. Responding to Mr. Lakeman regarding the possibility of subjecting single family homes to these requirements, Mr. Truax stated that the sprinkler system is being proposed for townhouses due to their configuration. He noted that there is a possibility that staff will consider requesting that these requirements be considered for other construction in the future. Mr. Jordan Ashburn of Ashburn Homes advised members that he is involved with building the Lexington Glen subdivision, which will include townhouses. It was decided to utilize masonry siding for construction of the townhouses, explaining that they were given the option of installing sprinkler systems or utilizing a non-combustible siding. He suggested that this exemption be allowed and a developer be given such options. Mrs. Melson-Williams, City Planner, explained that the zoning ordinance includes certain requirements in the emergency access provisions related to apartments, townhouses of certain numbers, etc. She stated that what Mr. Ashburn was referring to is that, in certain instances, the townhouse can be fire protected and that the definition for fire protection includes the fire walls between units, as well as combustible siding on the exterior. Being fire protected, she advised members that it would grant some relief from the requirement for alleys behind the townhouses. The emergency access requirement can be accomplished by being fire protected and having an open rear yard; however, if the home is not fire protected, she stated that the alley would be required. Responding to Mr. Lakeman, Mr. Tony Ashburn explained that although there are additional costs to include masonry siding, it provides benefits to a homeowner in addition to the fire protection, such as durability, aesthetics, value, etc. and that a sprinkler system serves only one purpose. In response to Mr. Hogan, Mr. Truax indicated that he would provide additional information with regards to the fire protection regulations for the State of Maryland when this matter is presented to City Council. The committee recommended that the proposed ordinance be forwarded to Council for adoption and that members of Council determine the date to be included in Subsection (b), Paragraph (1) of Section 46-128.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 38 Mr. Hogan noted the receipt of correspondence received from an organization opposed to the proposed ordinance due to the costs involved. In making a decision, he explained that members must determine which is important as it relates to this ordinance, the cost or the safety factors. Mr. Hogan moved to approve the committee’s recommendation, seconded by Mr. Salters and carried by a roll call vote of seven (7) yes, one (1) no (Mr. McGlumphy), and one (1) absent (Mr. Leary). (The First Reading of the ordinance will take place during the latter part of the meeting) Farthing Woods - Waiver Requests for Street Right-of-Way Radius and Maximum Length of Cul-de-sac Members considered waiver requests for street right-of-way radius and maximum length of cul-de-sac for the Farthing Woods Subdivision. The subject property consists of 6.89+/- acres, located on the south side of West Denneys Road, east of McKee Road. The owner of record is Denneys Road, LLC. Mrs. Townshend, Director of Planning and Inspections, advised members that the Conceptual Subdivision Plan proposes to subdivide this tract into seventeen (17) residential lots and identify the new street to serve the development. The development will consist of a total of 17 dwelling units and residual land to be used for stormwater management, the entry road, and open space. The subdivision offers the single housing type of single family detached units on approximately 1/5th acre (approximately 8,700 S.F.) lots. The entrance street leading into the site is from West Denneys Road. Mrs. Townshend explained that the Conceptual Plan shows the proposed street network for the subdivision, which consists of a single road (Hobbyhorse Court) that ends in a cul-de-sac. In accordance with Article VI §A15 of the Land Subdivision Regulations, the maximum length of a dead-end (cul-de-sac) street is 400 feet. Hobbyhorse Court, as shown on the plans, is approximately 850 feet. The Plan employs the street layout of Hobbyhorse Court in the manner of a long cul-de-sac due to the nature of the physical layout of the property, which is both long and narrow. Since its initial presentation, Hobbyhorse Court has had its location altered slightly to the north at the request of DNREC due to their interests in maintaining the adjacent nature preserve to the south. In addition, Mrs. Townshend explained that the Conceptual Plan also provides a detail of the intersection of West Denneys Road and the proposed new street of Hobbyhorse Court. As shown on the Plan, there is no radius at the intersection of the Hobbyhorse Court right-of-way line at the west corner with the lands of Durham. The radius is provided on the east side of the intersection as the adjacent land is part of the subject property. In accordance with Article VI §A12 of the Land Subdivision Regulations, a radius of 25 feet is required for right-of-way lines. The request for a “zero” foot right-of-way radius results from the manner in which the property was originally subdivided. Without the purchase of additional land from the residential property owner who abuts this property, the required right-of-way radius could not be achieved. Mrs. Townshend noted that even with the “zero” foot right-of-way radius, the actual street radius for Hobbyhorse Court is still in compliance and meets all applicable requirements.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 39 The Planning Commission recommended approval of the Dead End Street Length Waiver and the reduction of the right-of-way radius from 25 feet to 0 feet. Members were provided a summary of the requested waivers, as follows: Street Design Standard Required Proposed Waiver Dead End Street Length 400 feet 850 feet 450 feet Right of Way Radius 25 feet 0 feet 25 feet The committee recommended approval of the requested waivers as recommended by the Planning Commission. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Stonebrook East Planned Neighborhood Design - Waiver Request for Reduction of Street Radius Members considered a waiver request for the reduction of street radius for the Stonebrook East Planned Neighborhood Design. This Plan proposes to establish a Planned Neighborhood Development on 45.03 +/- acres of land, located at the northeast corner of McKee Road and Denneys Road, north of the Mill Creek Subdivision. The Mudstone Branch forms the northern border of the site. The owner of record is CLMS Development LLC. Mrs. Townshend, Director of Planning and Inspections, advised members that the applicant proposes the construction of a development consisting of 225 units. The proposed unit mix is 87 Townhouses and 168 Garden Apartments (condominium style). Access to the site would be provided from entrances off both McKee Road and Denneys Road. Mrs. Townshend explained that the Plan shows the proposed street network for the subdivision. The design of the streets as shown has resulted in a waiver request for a reduction of the street radius, which pertains to the sharpness of a curve. The applicant is seeking a reduction from the required 150 foot radius to a radius of 90 feet (Land Subdivision Regulations, Appendix A, Article VI, Section A (11)). Staff recommended approval of the reduction in the street radius while maintaining the required paved street widths and right-of-way widths. A check with turning radius diagrams should be completed to ensure radius reduction can still accommodate larger vehicles such as those needed for emergency response. Mrs. Townshend advised members that the Planning Commission recommended approval of the minimum street radius reduction waiver. Members were provided a summary of the requested waiver as follows: Street Design Standard Required Proposed Waiver Minimum Street Radius 150 feet 90 feet 60 feet

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 40 The committee recommended approval of the requested waiver as recommended by the Planning Commission. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Stonebrook West Planned Neighborhood Design - Waiver Requests for Reduction of Street Radius and Maximum Length of Cul-de-sac Members considered waiver requests for reduction of street radius and maximum length of cul-de-sac for Stonebrook West Planned Neighborhood Design. The subject property is located at the northwest corner of McKee Road and Denneys Road, east of the Carlisle Village subdivision and west of McKee Road, consisting of 88.97 +/- acres. The Mudstone Branch forms the northern border of housing segment of the subdivision with a large portion of the open space land directly north of the stream. Mrs. Townshend, Director of Planning and Inspections, advised members that the applicant proposes the construction of a development consisting of 199 units. The proposed unit mix is 44 Townhouses, 66 Duplexes, and 89 Single Family Homes. The northern portion of the property located north of the Mudstone Branch (stream) is proposed to be retained by the owner. This area to be retained is approximately 20.74 acres. Access to the residential subdivision would be provided from entrances off both McKee Road and Denneys Road. An associated subdivision, Stonebrook East Planned Neighborhood Design, is proposed to be located to the east across McKee Road. Mrs. Townshend explained that the Plan shows the proposed street network for the subdivision which includes a street (proposed name of Clarendon Court) that ends in a dead-end. In accordance with Article VI §A15 of the Land Subdivision Regulations, the maximum length of a dead-end (cul- de-sac) street is 400 feet. She stated that Clarendon Court, as shown on the plans, is approximately 938 feet. In addition, Mrs. Townshend explained that the Plan shows the proposed street network for the subdivision. The design of the streets, as shown, has resulted in a waiver request for a reduction of the street radius. This is pertaining to the sharpness of a curve. As shown on the plan they are seeking a reduction from the required 150 foot radius to a radius of 90 feet (Land Subdivision Regulations, Appendix A, Article VI Section A11. In regards to the waiver from maximum dead-end street length, Mrs. Townshend noted that length of the cul-de-sac street requested is more than double the maximum length allowed by the Land Subdivision Regulations and provides the only access point to 22 lots. She explained that this area also appears to be wooded which will result in tree clearing for construction activities and site development. The utility design currently involves a dead-end water line to serve the area which is not permitted; the utility line design will have to address this but there are several options to consider. In the Conceptual Plan, this street terminated in a loop design with a central median serving a total of only 19 lots. There is a lack of opportunity for an interconnection of Clarendon Street to other streets due to environmental concerns, such as wetlands.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 41 In regards to the waiver for street radius, staff recommended approval of the reduction in the street radius while maintaining the required paved street widths and right-of-way widths. A check with turning radius diagrams should be completed to ensure radius reduction can still accommodate larger vehicles such as those needed for emergency response. Mrs. Townshend advised members that the Planning Commission recommended approval of the dead end street length waiver and the minimum street radius reduction waiver. Members were provided a summary of the requested waivers as follows: Street Design Standard Required Proposed Waiver Dead End Street Length 400 feet 938 feet 538 feet Minimum Street Radius 150 feet 90 feet 60 feet The committee recommended approval of the requested waivers as recommended by the Planning Commission. By consent agenda, Mr. Slavin moved for approval of the committee’s recommendation, seconded by Mr. Hogan and carried by a unanimous roll call vote (Mr. Leary absent). Blue Hen Apartments - Waiver Requests for Reduction of Minimum of Street Right-of-Way Width and Elimination of Emergency Rear Access Requirements Members considered waiver requests for reduction of minimum of street right-of-way width and elimination of emergency rear access requirements for Blue Hen Apartments. The subject property is located east of Bay Road behind the Blue Hen Corporate Center, consisting of 20.66 +/- acres. The owner of record is Blue Hen Apts., LLC. Mrs. Townshend, Director of Planning and Inspections, advised members that the Site Plan proposes 162 apartment dwelling units. The development will consist of a total of 13 buildings and residual land to be used for stormwater management, the entry road, and open space. The entrance streets leading into the site are off of South Little Creek Road and Blue Hen Boulevard. Mrs. Townshend explained that, in accordance with Article VI § A13.1 of the Land Subdivision Regulations, the minimum street width right-of-way for dedication is 60 feet. The applicant is requesting a reduction in the width to 50 feet. This requested reduction in the right-of-way is based on the geometric shape of the parcels. The Plan will extend the dedication of Blue Hen Boulevard east to the intersection with Blue Hen Lane. Due to the geometric shape of the parcels, she stated that it is difficult to provide the minimum 60 feet of right-of-way. The paved street portion of the street is in compliance with the minimum street requirements. Sidewalks will be located on the north side of the road and partially on the south side in front daycare. Mrs. Townshend also explained that in accordance with Article 5 §17.5(a) of the Zoning Code a 16 foot alley or an 18 foot secondary fire lane and an 18 foot subgrade emergency access lane for two (2) and three (3) story apartment buildings is required. The applicant is requesting a waiver for the elimination of these requirements. The existing circulation layout provided a 24 foot fire lane access across the front and one side of each building.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 42 Mrs. Townshend advised members that the Planning Commission recommended approval of the waivers for the reduction in the minimum street right-of-way from 60 feet to 50 feet and the elimination of the emergency rear access. Members were provided a summary of the requested waivers as follows: Street Design Standard Required Proposed Waiver Minimum Street Right-of-Way 60 feet 50 feet 10 feet Zoning Ordinance Emergency Rear Access for 16 ft alley or 18 ft None Elimination of 2-3 Story Apartment Buildings secondary fire lane required alleys and an 18 ft subgrade emergency access lane The committee recommended approval of the requested waivers as recommended by the Planning Commission. Responding to Mr. McGlumphy, Mrs. Townshend advised members that the Site Plan was considered by the Planning Commission, which incorporated the five (5) commitments that the developer made to the neighbors of Schoolview. She noted that the waivers were a part of the site plan that the neighbors were provided. Mr. McGlumphy moved for approval of the committee’s recommendation, seconded by Mr. Slavin and unanimously carried. Briefing on MPO Projects Due to the absence of Ms. Wieczoreck, there was no briefing on MPO Projects provided to members. As a reminder, Mr. Hogan noted that members will be prioritizing transportation projects and requested that members begin to give this consideration to be discussed at an upcoming meeting. Responding to Mr. Hogan regarding the possibility of making North and West Streets one-way, Mr. Koenig, Director of Public Utilities, indicated that he was not aware of this concept being considered by DelDOT. He stated that DelDOT is considering the extension of Water Street across the Railroad Tracks into the Eden Hill Farm in association with the Transit Complex of their planning. There have been discussions about elevating North Street, although it was his feeling that it would not be feasible or possible. As a result of several concerns with regards to the traffic expected to be generated by the development of the Eden Hill Farm, Mr. Koenig stated that there are multiple projects under consideration such as the Clarence Street Extension, signalized intersection at Banning Street for the Eden Hill Medical Center, extension of Saulsbury Road, and the West Dover Connector. Mr. McGlumphy moved for acceptance of the Special Safety Advisory and Transportation Committee Report, seconded by Mr. Slavin and unanimously carried.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 43 SPECIAL UTILITY COMMITTEE REPORT - JANUARY 2, 2008 The Utility Committee met on January 2, 2008 with Chairman Ruane presiding. Public Hearing - Draft Cable Franchise Agreement – Verizon Delaware LLC During their meeting of December 10, 2007, members scheduled a public hearing at this time and place for the purpose of reviewing the Franchise Agreement with Verizon Delaware LLC. Mrs. Mitchell, Finance Director/Treasurer, reminded members that in January 2007, the City received a request for a cable franchise from Verizon in order to offer FiOS TV services to the residents of Dover. A sub-committee was formed, consisting of Mr. Ruane, Mr. Carey, Mrs. Mitchell, Mr. Lunt, and Mr. DePrima to review the request. She advised members that the City obtained the services of Mr. Dan Cohen of Cohen Law Group to assist the City in negotiations with Verizon for the cable franchise. After several negotiation sessions and draft agreements, she stated that a final draft agreement has been developed that is felt to be fair and equitable to both the City and Verizon, as well as providing the citizens with an alternative provider. Members reviewed the Executive Summary of the Cable Franchise Agreement with Verizon Delaware, LLC, dated December 21, 2007, prepared by Mr. Cohen. In response to questions previously raised by members of the committee and Council, Mr. Ruane noted the receipt of a memorandum from Mr. Cohen dated December 26, 2007, which was provided to members. Since there was no request of members for further discussion regarding the responses, Mr. Ruane requested that the City Clerk enter the memorandum into the record. After conducting a final review of the Agreement, Mrs. Mitchell advised members of the following corrections: 1) At the top of page 5, continuation of Section 1.20, third line, the word “Pennsylvania” should be replaced with “Delaware”. 2) At the bottom of page 7, Section 1.38.2, first sentence, the reference to subsections “1.37.1.1, 1.37.1.2 and 1.37.1.3" should be replaced with “1.38.1.1, 1.38.1.2 and 1.38.1.3”. Mr. Ruane advised members that an engineer from Verizon will be meeting with representatives of the City to review any challenges that the connection may present in terms of setting up the government channel. He stated that there may be a need to include language in the final Agreement for any issues that may result from this technical review. He advised members that he has received questions regarding Exhibit A, which is the list of buildings that are to be provided with free cable service, and suggested that members re-review the list to assure its completeness. Responding, Mr. McGiffin stated that Campus Community High School is not included on the list. Mr. Salters stated that Because We Care is also not included on the list although it is considered a Chartered Alternative School that provides service to all school districts in Kent and Sussex Counties. Mr. Ruane suggested that members review Section 3.5 of the Agreement, as it relates to providing cable service, to determine if these types of concerns are addressed. Mr. Ruane declared the public hearing open.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 44 Mr. John Willson, 150 Turner Drive, advised members that he recently acquired FiOS services from Verizon, which included telephone and Internet services; however, he is lacking the television service through FiOS. He stated that the agreement will allow for the televison service to be included and allow him to pay for all three (3) services one (1) time each month. He noted that Comcast television service includes local stations and questioned if the FiOS cable would include the three (3) local stations (not Baltimore or Philadelphia). Mr. Willson also felt that he would realize a savings as a result of the combination of the bills. Mr. John Endres, 252 Pine Street, relayed no objections to the FiOS service. As a retired telephone serviceman, he stated that he understands the operations of the telephone companies. As a current customer of FiOS, he advised members of recent trouble calls he made and the delayed response time received. Mr. Endres stated his only concern for this additional service is relative to the response time. Mr. William R. Allen, President of Verizon Delaware, relayed appreciation to the City staff and the committee for their work on this Agreement. He gave a Power Point Presentation and explained that the FiOS family of services is the result of extensive upgrades to the telecommunication network for Verizon. He stated that the FiOS service is Verizon’s next generation broadband network, which delivers a high band with Internet, voice, and video services. The upgrade has already been completed for approximately 70%-75% of the homes in the City of Dover. With the approval of the Franchise Agreement, Mr. Allen stated that Verizon will be able to complete the triple play and bring FiOS television services to the City of Dover. In response to concerns relayed by Mr. Willson regarding local television stations, Mr. Allen stated that FiOS service customers in the City of Dover will receive Philadelphia, Baltimore, and Saulsbury network channels. Specifically, Mr. Allen stated that WBOC, WMDT, and WTXF (Fox 29) are included in the channel line up. He reviewed other channels that will be made available to customers including various languages, diversity, international, etc. Mr. Allen stated that Verizon looks forward to bringing this innovative new service and the benefits of cable choice to the citizens of Dover. He noted that FiOS truly is a premium service that will be provided by a company that has been serving the community for over 100 years. Responding to Mr. Snaman, Mr. Allen stated that the monthly fees will be dependent upon what the customer wishes to purchase. However, he stated that the basic premium package provided by Verizon, which includes 200+ channels of digital FiOS television, will be made available at a monthly fee of $47.99. As Verizon begins to provide this service to residents of Dover, he stated that there will be promotions offered for customers that sign up for service with terms, combining services, etc. He assured members that Verizon will offer competitive prices. In response to Mr. McGiffin, Mr. Allen reminded members that Verizon was once known as Diamond State and Bell Atlantic and has been in existence for over 100 years. In the last three (3) years, in Delaware, the philanthropy giving from Verizon has averaged $250,000 per year. Verizon, as its foundation, has approximately $70M in philanthropy that it offers internationally. In addition, Mr. Allen stated there is a network of 150 employees in Dover and over 1,000 in the State of

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 45 Delaware and this group of employees volunteered over 3,330 hours of their time in 2007. He explained that Verizon offers programs whereby, depending upon where the employees volunteer, for every so many hours that they volunteer, the Verizon Foundation will make grants to those organizations, which allow employees to direct where some of the Foundation dollars are contributed. Mr. Allen stated that the Verizon Foundation is very much committed to improving literacy and preventing and raising awareness on issues such as domestic violence, explaining that it is the belief of Verizon that technology can improve lives. Referring to the concerns raised by Mr. Endres, Mr. Leary requested an explanation of the customer service that will be offered. Mr. Allen stated that FiOS services has presented a problem due to its tremendous success. He stated that, as a company that has served customers for over 100 years, Verizon knows how to offer quality customer service and assured members that they will continuously strive to improve in this area. Ms. Denise Reidy, Franchise Manager with Verizon Communications, advised members that in accordance with the Agreement, Verizon has agreed to conduct Service Availability Meetings with representatives of the City twice each year. In addition, Verizon is assigning a Franchise Service Manager who the City can contact anytime and who will be able to address any concerns or issues that may arise relative to the Franchise Agreement or franchise service availability. Ms. Reidy stated that it was felt that these components, combined with their services, will ensure that Verizon will provide great services to the City of Dover. Responding to Mr. Ruane, Ms. Reidy indicated that the Franchise Service Manager for Dover will be Mr. Darien Gill and stated that contact information will be provided to Mrs. Mitchell. Mr. Ruane noted that the most popular question being asked by residents is in regards to the service becoming available to them. Responding, Mr. Allen stated that customers should be referred to www.verizon.com/fiostv and explained that the customer would enter their telephone number which will generate a response within 30 seconds as to the availability of the service. He stated that 3/4 of the residents of the City of Dover will receive a positive response and that the remaining 1/4 of the residents will be provided approximate dates of when the service will become available. Mr. Ruane requested that Verizon provide a telephone number for those residents that do not have Internet service. With the numerous African Americans in this country, Mr. Salters suggested that Verizon direct their attention to provide more programming for these customers. Mr. John Kerns stated that he resides outside the City limits and relayed his concern that the residents of Kent County will not be provided quality service as a result of the Agreement. He felt that Verizon is “cherry picking” their customers and that such a split will cause problems. He explained that his observation is that Verizon tends to take “the lesser approach” which has made commercial development difficult. Mr. Kerns stated that if Verizon provides nothing better than Comcast, the City will be adding another problem rather than creating a solution. He questioned if Verizon would truly keep their promise in terms of the service they will provide to the City of Dover.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 46 Responding, Mr. Ruane suggested that Mr. Kerns contact the Public Service Commission regarding his concerns, explaining that Verizon has an agreement with the Public Service Commission for those customers that do not reside within a municipality. Mr. Ruane also noted that there are representatives from Verizon, as well as Comcast, in attendance who may be willing to meet with Mr. Kerns after the meeting to further discuss his concerns. There being no one else wishing to speak, Mr. Ruane declared the public hearing closed. Mr. Ruane referred to correspondence received from several residents and requested that the City Clerk make them a part of the record (included as attachments to the committee minutes). Responding to Mr. Salters, Mr. Ruane stated that upon confirmation that the Because We Care alternative school is within the definition provided in Section 3.5 of the Agreement, it will be added to the list provided as Exhibit A. Mr. Ruane noted that the only remaining issues that would need to be finalized prior to Council’s consideration of the Agreement would be the list provided as Exhibit A and the connection issue regarding the government channel. The committee recommended approval of the Franchise Agreement, as amended, with the understanding that Exhibit A and the connection issue will be resolved prior to its presentation to Council on January 14, 2008. Mr. Ruane moved to authorize the City Manager to sign the Cable Franchise Agreement between the City of Dover and Verizon Delaware, seconded by Mr. Hogan. Mr. Ruane advised members of the following revisions made since the committee meeting as a result of concerns relayed by members: 1) Section 3.5 to commit Verizon to provide complimentary services upon request to all stated categories of public utilities including current and future facilities not merely those identified in Exhibit A. 2) Section 5.1.3.1 to commit both the City and Verizon to certain actions pertaining to the government channel in light of the Verizon site visit made with the engineers. 3) Exhibit A to reflect the revised facilities which now include a number of other schools, including Because We Care and the Campus Community High School. 4) Side Letter from Verizon that resolve the negotiations and commits Verizon to provide the cabling and other equipment to capture the Comcast signal back to City Hall for the ability to activate the channel. 5) Side Letter from Comcast dated January 11, 2008, agreeing to allow Verizon to pickup the broadcast from Council Chambers. The motion authorizing the City Manager to sign the Cable Franchise Agreement between the City of Dover and Verizon Delaware was carried by a unanimous roll call vote (Mr. Leary absent).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 47 Mr. Ruane relayed appreciation to those involved with bringing this matter to fruition, as follows: the negotiating team, Mr. Dan Cohen, Mrs. Mitchell, Mr. DePrima, Mr. Lunt; members of the Utility Committee; the City Clerk’s Office; members of City Council; Mr. Bill Allen, President of Verizon; and Mr. Malone and Mr. Worley, Representative of Comcast. Mr. Ruane moved for acceptance of the Special Utility Committee Report, seconded by Mr. Hogan and unanimously carried. MONTHLY REPORTS - NOVEMBER 2007 By motion of Mr. Slavin, seconded by Mr. Hogan, the following monthly reports were accepted by consent agenda: Budget Report Chief of Police Report City Assessor Report Planning and Inspections Report Dover Fire Department Report CIP Report EVALUATION OF BIDS - POLICE VEHICLES Members considered a request for the purchase of vehicles for the Police Department, as follows: Vehicle Type Quantity Cost Each Total Cost Ford Crown Victorias 6 $24,297 $129,306.00 Ford Fusion 3 $15,132 $ 47,538.00 H-D Electra Glide Motorcycle 2 $16,621 $ 34,763.92 Captain Sammons advised members that the State did not contract for motorcycles or Ford Fusions on their annual vehicles contract; therefore, bids were solicited for both of these purchases. The low bid for the Ford Fusion was received from Plaza Ford Motors Fleet and the low bid for the Harley Davidson Electra Glide Motorcycle was received from Harley Davidson of Seaford. He explained that this matter is being presented to the committee for their review and recommendation to Council since the vehicle purchase amount exceeded the amount budgeted for each individual vehicle; however, Captain Sammons noted that the cost savings resulted from the purchase of the Ford Crown Victorias is enough to cover the overages for both the Harley Davidson Motorcycles and the Ford Fusions. Staff recommended approval of the request to purchase the vehicles for the Police Department at a total cost of $211,607.92, with selection of the low bidders for the purchase of the Motorcycles (Harley Davidson of Seaford) and the Ford Fusions (Plaza Ford Motors Fleet). Mr. Hogan moved for approval of the purchase as recommended by staff, seconded by Mrs. Russell and carried by a unanimous roll call vote (Mr. Leary).

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 48 EVALUATION OF BIDS - CONTACT CHAMBER PIPING MATERIALS Mr. DePrima advised members that as part of the proposed Water Quality Improvements to the City of Dover’s water system, the Public Utilities Department is installing contact chambers (piping systems) at the deep well facilities in order to improve the contact time available at the well site. This activity is being performed due to recommendations developed in the Water Quality Evaluation performed on the water system. Bids were solicited to supply the major materials to complete this portion of the project. This bid reflects piping materials required to install contact chambers at the six (6) remaining well sites (#3, #6, #8, #9, #10 and #14). Five (5) bid responses were received. Staff recommended awarding the bid to the lowest bidder, HD Supply Waterworks, Inc., in the amount of $290,454.71. Mr. Salters moved for approval of staff’s recommendation, seconded by Mr. Slavin and carried by a unanimous roll call vote (Mr. Leary absent). EVALUATION OF BIDS - CONTACT CHAMBER CONCRETE VAULTS Mr. DePrima advised members that as part of the proposed Water Quality Improvements to the City of Dover’s water system, the Public Utilities Department is installing contact chambers (piping systems) at the deep well facilities in order to improve the contact time available at the well site. This activity is being performed due to recommendations developed in the Water Quality Evaluation performed on the water system. Bids were solicited to supply the vaults to complete this portion of the project. This bid reflects the concrete vaults required to install contact chambers at the six (6) remaining well sites (#3, #6, #8, #9, #10 and #14). Three (3) bid responses were received. Staff recommended awarding the bid to the lowest bidder, Construction Services & Supplies, LLC, in the amount of $51,619.25. Mr. Salters moved to approval of staff’s recommendation, seconded by Mr. Slavin and carried by a unanimous roll call vote (Mr. Leary absent). REQUEST FOR PROPOSALS - SERVICES TO PROVIDE WATER TREATMENT CHEMICALS In order to meet regulatory drinking water requirements and standards, Mr. DePrima advised members that water treatment chemicals must be added to the source water of the City of Dover’s water system. These chemicals include Sodium Hypochlorite (chlorine), Fluorosilicic Acid (fluoride) and Calcium Hydroxide (lime). In response to this need, a Request for Proposals (RFP) was developed for Services to Provide Water Treatment Chemicals. The City received two (2) proposals which were reviewed. One (1) proposal indicated the ability to provide only one (1) of the three (3) required chemicals and was therefore rejected. The remaining responsive proposal was evaluated by staff and appeared to be fair and reasonable. Staff recommended that a three (3) year contract be awarded to the sole responsive proposer, Intercoastal Trading, Inc., with the option to extend for two (2) additional one (1) year terms. Total cost over the term of the contract will exceed $25,000; however, costs will be reflected in the operating budget for the Water Treatment & Production Division.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 49 Mr. Salters moved to award a three (3) year contract to Intercoastal Trading, Inc. For Services to Provide Water Treatment Chemicals with the option to extend for two (2) additional one (1) year terms, as recommended by staff. The motion was seconded by Mr. Slavin and carried by a unanimous roll call vote (Mr. Leary absent). FIRST READING - PROPOSED ORDINANCES Council President Williams reminded the public that copies of the proposed ordinances are available at the entrance of the Council Chambers or can be obtained from the City Clerk's Office. Final action by Council on the proposed ordinances will take place during the Council Meeting of January 28, 2008. In accordance with Section 1-9 of the Dover Code, Council acknowledged the First Reading of the Ordinance Amendment as read by the City Clerk, by title only, as follows: % CHAPTER 110 - UTILITIES, ARTICLE III - WATER SERVICE , DIVISION 7 - WATER IMPACT FEES % APPENDIX C - DOWNTOWN REDEVELOPMENT , ARTICLE IV - DEVELOPMENT INCENTIVES, SECTION 2 - MULTIPLE STORY NEW CONSTRUCTION PROJECTS % CHAPTER 46 - FIRE PREVENTION AND PROTECTION , ARTICLE III - FIRE CODES, SECTION 46-128 - SPRINKLER REQUIREMENTS FIRST READING - PROPOSED ZONING TEXT AMENDMENTS Council President Williams reminded the public that copies of the proposed ordinances are available at the entrance of the Council Chambers or can be obtained from the City Clerk's Office. Since the ordinances are amendments to the Zoning Code, a public hearing is required. Staff recommended referral of the amendments to the Planning Commission on February 19, 2008 and that a public hearing take place during the Council Meeting of March 10, 2008, at 7:30 p.m., at which time, final action by Council will take place. Mr. Salters moved to refer the amendments and set a public hearing before City Council for March 10, 2008 at 7:30 p.m. as recommended by staff. The motion was seconded by Mr. McGlumphy and unanimously carried. In accordance with Section 1-9 of the Dover Code, Council acknowledged the First Reading of the Zoning Ordinance Amendments as read by the City Clerk, by title only, as follows: % APPENDIX B - ZONING ORDINANCE , ARTICLE 3 - DISTRICT REGULATIONS, SECTION 29 - SOURCE WATER PROTECTION OVERLAY ZONE (SWPOZ) COUNCIL MEMBERS ANNOUNCEMENTS Mrs. Russell relayed appreciation Ms. Kay Dietz-Sass and members of the Dover Fire Department for their contributions to less fortunate children. Mr. Salters reminded members that the Martin Luther King Jr. Program will be held on Monday, January 21, 2008 at 12:00 noon at the Mt. Zion AME Church.

CITY COUNCIL MEETING OF JANUARY 14, 2008 PAGE 50 Mr. McGiffin moved for adjournment, seconded by Mr. Hogan and unanimously carried. Meeting Adjourned at 10:55 P.M. TRACI A. McDOWELL CITY CLERK All orders, ordinances, and resolutions adopted by City Council during their Regular Meeting of January 14, 2008, are hereby approved. CARLETON E. CAREY, SR. MAYOR /TM/jg S:\ClerksOffice\Agendas&Minutes\Council-Minutes\2008\01-14-2008.wpd Exhibits Attached to Original Minutes and File Copy Exhibit #1 - Presentation - Final Report of Analysis and Recommendations of the Civic Center Feasibility Analysis Committee for the Dover Civic Center Facility Exhibit #2 - Petition to Amend the Zoning District - Property located on the west side of North DuPont Highway at the Southwest Corner of the Intersection with College Road, owned by the State of Delaware Exhibit #3 - Dark Fiber Leasing Standard Operating Policy Exhibit #4 - Tax Stipulations and Administrative Table Exhibit #5 - Controller/Treasurer Position Description Exhibit #6 - Information on Three (3) Projects that Qualified for Downtown Development Incentives Exhibit #7 - Presentation of the Greater Dover Boys & Girls Club Exhibit #8 - Information of the CDSA

CERTIFICATE OF RECOGNITION WHEREAS, it was determined after a disastrous fire that tragedy could strike at any time that the City of Dover decided it was necessary to install a municipal water works system; and WHEREAS, the municipal water works system was complete in 1882 and consisted of an engine, a boiler house of brick, two boilers, two pumps and a pump well, the system contained 13,000 feet of pipe mains and twenty seven fire hydrants ; and WHEREAS, the entire system was installed on a bid price of $19,500 to which they came close by completing it at the cost of $20,862.10; and WHEREAS, the water system priorities have expanded to provide fire protection, a clean water source meeting regulatory requirements, quality and quantity needs, and operations and maintenance,; and WHEREAS, the distribution system has grown from 2.5 miles in 1882 to over 190 miles in 2007 and the water sources have increased from 1 well in 1882 to 22 wells in 2007. Service connections have increased from 27 in 1882 to over 13,200 in 2007; and WHEREAS, the staff works seven days a week to ensure Drinking Water Standards are met, and the staff is available 24 hours a day, seven days a week to operate and maintain the system including repairs, system flushing and responding to customer issues.; NOW THEREFORE, CARLETON E. CAREY, SR., MAYOR OF THE CITY OF DOVER, DELAWARE, AND BEVERLY C. WILLIAMS, DOVER CITY COUNCIL PRESIDENT, do hereby present this Certificate of Recognition to City of Dover Water Utility in recognition of 125 years of dedicated service to the citizens of the City of Dover. ______________________________ CARLETON E. CAREY, SR. BEVERLY C. WILLIAMS MAYOR COUNCIL PRESIDENT

Whereas, the first Negro History Week was established in 1926 by Carter Godwin Woodson, Ph.D., founder of the Association for the Study of Negro Life and History, which is known today as the Association for the Study of African-American Life and History; and Whereas, Carter Godwin Woodson, Ph.D. was the second African-American ever to earn a Ph.D. at Harvard University and is acknowledged as the Father of Black History; and Whereas, Dr. Woodson chose the week in February which encompassed the birthdays of Abraham Lincoln and Frederick Douglas, two significant figures in the history of African Americans, to celebrate Negro History Week; and Whereas, Dr. Woodson believed that publishing scientific history about the Black race would counter racial falsehoods and prove that Africa and its people played a crucial role in the development of civilization, thus helping to put an end to race problems; and Whereas, in February of 1976, fifty years after the first celebration of Negro History Week, the first Black History Month was celebrated; and Whereas, during the month of February the nation proudly celebrates the accomplishments, contributions, and history of African-Americans. NOW THEREFORE I, CARLETON E. CAREY, SR., MAYOR OF THE CITY OF DOVER, DELAWARE this 28th day of January, 2008 do hereby proclaim February as and encourage all citizens to celebrate the contributions of African-Americans to our great society. _______________________________________ Carleton E. Carey, Sr. Mayor

PROCLAMATION WHEREAS, reading is fundamentally the backbone to education and a vital part of a child’s development; and WHEREAS, when children are encouraged to read, and are read to, they will develop the love for reading that will continue with them throughout adulthood; and WHEREAS, we acknowledge the critical role of educators in providing the skills the children need as well as the encouragement many children need to continue reading to adapt the love of literacy that paves the way for tomorrow; and WHEREAS, we encourage all citizens to set aside time to read, and to realize the importance of taking time out of your day to read, and how it can influence others around you. NOW, THEREFORE, I, CARLETON E. CAREY, SR., MAYOR OF THE CITY OF DOVER, DELAWARE, do hereby proclaim the month of February, 2008, as I LOVE TO READ MONTH in Dover, Delaware, and urge all citizens to join me by encouraging children and their families to overcome the dark shadows of illiteracy as they prepare the next generation to learn to love books and reading. CARLETON E. CAREY, SR. Mayor

PROCLAMATION WHEREAS, Ronald Reagan served with honor and distinction for two terms as the 40th president of the United States of America; the second of which he earned the confidence of 3/ of the electorate and was victorious in 49 of the 50 states in the general election – a record 5 unsurpassed in the history of American presidential elections; and WHEREAS, during Mr. Reagan’s presidency he worked in a bipartisan manner to enact his bold agenda of restoring accountability and common sense to government which led to an unprecedented economic expansion and opportunity for millions of Americans; and WHEREAS, President Reagan’s commitment to our armed forces contributed to the restoration of pride in America, and prepared America’s armed forces to meet 21st century challenges; and WHEREAS, President Reagan’s vision of “peace through strength” led to the end of the Cold War and the ultimate demise of the Soviet Union, guaranteeing basic human rights for millions of people; and WHEREAS, February 6, 2008 will be the 97th anniversary of Ronald Reagan’s birth and the third since his passing. NOW, THEREFORE, I, CARLETON E. CAREY, SR., MAYOR OF THE CITY OF DOVER, DELAWARE, do hereby proclaim February 6, 2008 to be Ronald Reagan Day and urge all citizens to be cognizant of this event and to participate fittingly in its observance. ___________________________ CARLETON E. CAREY, SR. Mayor

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UTILITY COMMITTEE The Utility Committee meeting was held on January 14, 2008 at 5:00 p.m. with Chairman Ruane presiding. Members present were Mr. McGiffin, Mr. Cregar, and Mr. Snaman. Mr. Leary was absent. Members of Council present were Mr. Slavin, Mr. Hogan (arrived at 5:40 p.m.), Mr. Salters (arrived at 5:53 p.m.) , Council President Williams (arrived at 5:10 p.m.) and Mayor Carey. AGENDA ADDITIONS/DELETIONS Mr. McGiffin moved for approval of the agenda, seconded by Mr. Snaman and unanimously carried. Dedication of Rights-of-Way and Public Infrastructure - Four Seasons The developer of the Four Seasons Subdivision, MikeRoy, L.L.C., has requested that all public infrastructure improvements related to this subdivision be dedicated to the City of Dover for permanent ownership and maintenance. Members were provided a map showing the general location and configuration of the subject rights-of-way. MikeRoy, L.L.C. has constructed all of the improvements in accordance with City standards and specifications. After construction was completed, City staff inspected the public improvements and provided the developer with a list of repairs to be made to meet the City of Dover Standards and Specifications for Public Works Construction. As of this date, all work has been completed by the developer. Mr. Koenig, Public Services Director, noted that the material provided to members indicates that a one (1) year Maintenance Agreement, Maintenance Bond, and a Release of Liabilities, as well as the as-built drawings, have been submitted by the developer. He advised members that although these documents have been submitted, they have not been finalized. He assured members that these documents will be finalized prior to consideration by City Council. Mr. Koenig advised members that the approved plan set for this subdivision indicates that the Four Seasons Homeowners Association shall have the full responsibility and expense for the perpetual maintenance of the landscaped open space islands located within the public right-of-way of Arlberg Circle, Homberg Circle, and St. Bernadino Circle. Staff recommended acceptance of dedication of rights-of-way and public infrastructure in the Four Seasons Subdivision, with the dedication to include all of the referenced public improvements, as follows: Sewer Utility Infrastructure (Construction Value = $236,264.00): 12" SDR-35 PVC Sanitary Sewer Main - 200 l.f. 10" SDR-35 PVC Sanitary Sewer Main - 221 l.f. 8" SDR-35 PVC Sanitary Sewer Main - 3,184 l.f. 8" C-900 PVC Sanitary Sewer Main - 140 l.f. 6" PVC Sanity Sewer Laterals - 1,337 l.f. (43 laterals) 4' Diameter Sanitary Sewer Manholes - 19 ea. (137.74 v.f.)

UTILITY COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 2 Water Utility Infrastructure (Construction Value = $193,275.00): 10” Ductile Iron (Class 52 Cement Lined) Water Main - 1,300 l.f. 8” Ductile Iron (Class 52 Cement Lined) Water Main - 3,656 l.f. 6” Ductile Iron (Class 52 Cement Lined) Water Main - 162 l.f. 1” Polyethylene Water Service Line - 1,192 l.f. (43 services) 10” Gate Valves - 2 ea. 8” Gate Valves - 6 ea. 6” Hydrant Valves - 7 ea. Fire Hydrants - 7 ea. Storm Water Infrastructure (Construction Value = $185,555.00) Catch Basins - 29 ea. Storm Water Manholes - 2 ea. (9.75 v.f.) 15” Type III Reinforced Concrete Pipe - 282 l.f. 18” Type III Reinforced Concrete Pipe - 162 l.f. 24” Type III Reinforced Concrete Pipe - 116 l.f. 36” Type III Reinforced Concrete Pipe - 21 l.f. 42” Type III Reinforced Concrete Pipe - 518 l.f. 48” Type III Reinforced Concrete Pipe - 80 l.f. 15” ADS N-12 Plastic Pipe - 576 l.f. 18” ADS N-12 Plastic Pipe - 301 l.f. 24” ADS N-12 Plastic Pipe - 279 l.f. 30” ADS N-12 Plastic Pipe - 189 l.f. 36” ADS N-12 Plastic Pipe - 111 l.f. Street Infrastructure: (0.9884 miles) (Construction Value = $879,391.00) Arlberg Circle Station 0+00 to Station 3+99 399 l.f. Eiger Court Station 0+00 to Station 3+19 319 l.f. Homberg Circle Station 0+00 to Station 3+99 399 l.f. Matterhorn Drive Station 0+00 to Station 18+31 1,831 l.f. Mont Blanc Boulevard Station 0+00 to Station 18+72 1,872 l.f. St. Bernadino Circle Station 0+00 to Station 3+99 399 l.f. 5,219 l.f. Mr. Snaman moved to recommend approval of staff’s recommendation for the acceptance of the dedication of rights-of-way and public infrastructure for The Four Seasons Subdivision, with dedication to include all of the referenced public improvements. The motion was seconded by Mr. McGiffin and unanimously carried. 2030 Energy Plan Committee Status Report Members were provided the 2030 Energy Plan Committee Status Report. Mr. DePrima, City Manager, reminded members that the 2030 Energy Plan Committee was created almost two (2) years ago for the purpose of exploring ways of replacing or creating electric generation for the City of Dover for the future. Mr. Fred James, Project Coordinator with PACE, gave a presentation and reviewed the Status Report. He advised members that the 2030 Committee is requesting approval to move forward, as follows:

UTILITY COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 3 1) Manage a Solicitation Process to select a development partner(s). 2) Support partner’s development efforts until prospective power project is defined and commercial terms for energy, capacity and equity participation are defined. 3) Dover will then compare this “Build” option(s) to Market “Buy” options, or combinations thereof, before any further commitments are made. Mr. James stated that the next steps for the 2030 Committee is to present the RFP Process to members during their January 28, 2008 meeting. He assured members that there will be no binding commitment on behalf of the City to proceed with any party or proposal and explained that the objective is to solicit creative ideas and commercial options from those in the power development business that may suit the City’s long-term electricity needs and objectives. It was the consensus of members to recommend support of the plan as presented and to encourage the 2030 Committee to move forward with the plan, including the presentation of the RFP Process to members during their next meeting. Mr. Greg Neil, President of the Wild Meadows Homeowner’s Association, relayed appreciation for the presentation and explanation provided. Due to the close proximity to the Garrison Tract, Mr. Neil stated the desire of the residents is to obtain details of how this project may affect their neighborhood. He indicated an understanding, as explained during the presentation, that this project is in its planning stages. Draft Resolution in Support of the Bluewater Wind Project Members reviewed a proposed Resolution in support of the Bluewater Wind Project. Mr. Ruane advised members that the Public Service Commission and the three (3) other state agencies responsible for approving the Bluewater Wind power purchase agreement with Delmarva have "tabled" the project because of the lack of consensus. The tabling of this project further delays the availability of this alternative energy supply, which Dover has agreed to include in its portfolio as a partner in an agreement between Bluewater Wind and the Delaware Municipal Electric Corporation (DEMEC). In discussing the status of the Bluewater Wind project with Mr. McCullar, President and CEO of DEMEC, he agreed that the member cities in DEMEC, such as Dover, could play a more active role in trying to persuade members of the Delaware General Assembly to support this project, since they are reportedly the ones who are behind the lack of consensus among the four (4) state agencies. Although Mr. McCullar felt that direct communication with individual State Legislators would be the preferred route, he also agreed that a Council Resolution in support of the project would be helpful. Mr. Ruane noted that discussion and approval of such a Resolution would not only remind the public of the importance of the project for municipal electric providers, but the Resolution would also provide a mechanism for the Council as a whole to communicate its support to the Governor, the entire General Assembly, the four (4) State agencies and the Public Service Commission.

UTILITY COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 4 Responding to Mr. Snaman, Mr. Ruane stated that the proposal has been submitted by DEMEC and that members of Council were made aware of the City’s participation costs; however, this is proprietary information and suggested that an executive session be scheduled to provide further details to committee members. He advised members that this is a competitive matter, otherwise, DEMEC would not have become involved. Mr. McGiffin moved to recommend adoption of the proposed Resolution (Attachment #1), seconded by Mr. Snaman and unanimously carried. PACE/NAES Monthly Report (November) Mr. DePrima provided the PACE/NAES Monthly Reports for November 2007. He reminded members that the report is being provided to allow members the opportunity to monitor what is being sold in electric and the revenues received, which will give members a better understanding of any fluctuations and give them the opportunity to make improvements if deemed necessary. It is not his intent to make a presentation of the report; however, he welcomed any questions. There being no further business and no objections, Mr. Ruane declared the meeting adjourned. Meeting Adjourned at 5:58 P.M. Respectfully submitted, Eugene B. Ruane Chairman EBR/TM/jg S:\ClerksOffice\Agendas&Minutes\Committee-Minutes\2008\01-14-2008 UTILITY.wpd Attachment Attachment #1 - Resolution in Support of the Bluewater Wind Project

City of Dover Budget Amendment Details January 28, 2008 Budget Ordinance - First Reading Receipts Expenditures A. GENERAL FUND Beginning Balance as audited, Pg. of FY07 CAFR (1) $ 509,893 Transfer from Realty Transfer Tax Fund (State law requires separate fund) 656,385 Transfer from Library Reserve - Security Guards $11,606 & Computer Lab $30,174 41,780 Committee version had Computer Lab in Capital Project Fund Transfer from Parkland Reserve (Effective FY08 - Capital Project Fund) (1,987,200) (This project now shows up in the Capital Project Fund, not General Fund) Library Division - Security Guards & Computer Lab $ 41,780 Committee version had Computer Lab in Capital Project Fund Transfer to Capital Project Fund - Fire Department Equipment Encumbrance 5,964 FY07 Encumbrance, paid from Capital Project Fund in FY08; Transfer to Library Reserve - Excess C/F less Uncompleted Projects & Encumb. 449,759 ($509,893 less $5,964, $7,500, $46,670) Transfer to Capital Project Fund - Improvements for Turnberry Drive (2) 7,500 Project not completed in FY07; Not encumbered; Transfer to Capital Project Fund - Basketball Court Paving - Dover Park (2) 46,670 Project not completed in FY07; Not encumbered; Subtotal (Agrees with Adjustment to Beginning Balance as above) (1) 509,893 Transfer to Governmental Capital Project Fund (2) (1,987,200) (2) On Budget Ordinance this is netted with $46,670 + $7,500 since these were not items encumbered = $1,933,030 Ending Budget Balance - Additional Transfer Taxes 656,385 General Fund - Net Budget Decrease $ (779,142) $ (779,142) B. GOVERNMENTAL CAPITAL PROJECT FUND Transfer from Capital Asset Reserve - Insurance proceeds for trash truck $ 135,515 Sanitation Division $ 135,515 Transfer from General Fund for Capital Projects (net of (2) items above) (2) (1,933,030) Transfer in from Parkland Reserve - Pitts Center (October 07 Balance) 2,132,369 Transfer in from Library Reserve - Microfiche equipment 10,094 Library Division 10,094 Gifts/Donations - Designated to Pitts Center (Beiser & Greater Dover) 83,000 Committee version had $75,000; added $8,000 Greater Dover Recreation Division (Total $274,839) Pitts Center - Budget Balance Carry forward FY07 145,169 Basketball Courts - Project carry forward 46,670 Donations for Pitts Center 83,000 Street Division - Improvements for Turnberry Drive 7,500 General Capital Projects Fund - Net Budget Increase $ 427,948 $ 427,948 H. GENERAL FUND LIBRARY RESERVE Prior Year Balance - Kent County additional reciprocal borrowing receipts $ 608,306 General Fund Appropriation - Excess Carry Forward 449,759 Committee version had $280,591 in error; Transfer out - Library related projects/security paid from additional County funds $ 51,874 Budget Balance 1,006,191 Committee version had $837,023 in error; Net Addition to Library Reserve $ 1,058,065 $ 1,058,065

City of Dover Fiscal Year 2008 1st Reading Budget Ordinance Project Carry Forward Balances & Adjustments Schedule Original FY07 Budget Revised Project Budget Balance Budget General Capital Project Fund Original Budget - Total Projects $ 4,580,362 Recreation - Pitts Center & Basketball court $ 2,135,700 $ 274,839 $ 2,410,539 Library - Microfiche Equipment - 10,094 10,094 Street Division - Turnberry Storm drain replacement 511,000 7,500 518,500 Sanitation - replacement truck 502,800 135,515 638,315 Total Additions $ 427,948 Revised Budget - Total Projects $ 5,008,310 Water/Wastewater Improvement & Extension Fund Original Budget - Total Projects $ 3,848,524 Cheswold Well #8 replacement $ - $ 169,717 $ 169,717 Meter Reading Tech. Upgrade @ 50% 183,150 44,399 227,549 Water Quality Improve FY 08 910,000 27,115 937,115 Subtotal Water 241,231 Meter Reading Tech. Upgrade @ 50% 183,150 42,323 225,473 Inflow/Infiltration Removal Investigation - 46,400 46,400 Inflow/Infiltration Removal 100,000 83,281 183,281 Subtotal Wastewater 172,004 Total Additions $ 413,235 Revised Budget - Total Projects $ 4,261,759 Electric Improvement & Extension Fund Original Budget - Total Projects $ 18,094,201 McKee Run Pollution Remediation SNCR $ - $ 400,000 $ 400,000 Air Compressor (Purchased by Water/Wastewater) 7,000 (7,000) - Replacement of 69 KV line Breakers - North Street - 81,340 81,340 Transmission Relay Upgrade FY 07 - 72,971 72,971 Mayfair Substation 65,000 196,100 261,100 College Road Capacitor - 119,995 119,995 College Road Substation 2,435,000 460,170 2,895,170 McKee Run Transformer - 54,063 54,063 St Jones Substation - 2,166,039 2,166,039 Mayfair to Mid City Line - 122,629 122,629 Blue Light Security System call box - 16,613 16,613 Lighting Project and Rehab (Gov Ave) 43,639 43,639 69 KV feeders 3 & 4 9,077,500 380,288 9,457,788 Subtotal Electric Engineering 3,713,847 Trucks Purchase - 25,500 25,500 Copier (Leased) 8,000 (8,000) - Subtotal Public Utilities - Administration 17,500 Itron Mobile Collection System 28,241 (7,841) 20,400 Total Additions $ 4,116,506 Revised Budget - Total Projects $ 22,210,707 C:\Documents and Settings\filgomes\Local Settings\Temporary Internet Files\OLKB\Council Packet 01282008 1st Reading Explanations (2) 1/24/2008

LEGISLATIVE, FINANCE AND ADMINISTRATION COMMITTEE The Legislative, Finance, and Administration Committee meeting was held on January 14, 2008, at 6:05 p.m. with Chairman Slavin presiding. Members present were Mr. McGlumphy, Mr. Salters (arrived at 4:35 p.m.) , Mrs. Jones, and Mr. Shevock. Other members of Council present were Mrs. Russell (arrived at 6:34 p.m.), Mr. McGiffin, Mr. Hogan, Mr. Ruane, Council President Williams and Mayor Carey. AGENDA ADDITIONS/DELETIONS Mr. Salters moved for approval of the agenda, seconded by Mr. McGlumphy and unanimously carried. Review of 2005 Charter Review Committee Recommendations - Article II (Continued) During their meeting of September 10, 2007, members approved the schedule to complete a comprehensive review of the 2005 Charter Review Committee Recommendations, including public hearings in each election district, over the next six (6) months. Members began their review during their meeting on October 8, 2007. During their meeting of November 26, 2007, Mr. Slavin noted that members would continue their review of the 2005 Charter Review Committee Recommendation at “Section 36 - Council not to Interfere with Appointments or Removals of Manager; Giving Orders to Subordinates of Manager Prohibited; Penalty for Same (Section 2.05 - Prohibitions, Subsection (c) - Interference with Administration, Model City Charter)”. As scheduled, members continued consideration of the recommendations to Article II - Mayor and Council, of the Dover Charter, as follows: Section 36, City Charter - Council not to Interfere with Appointments or Removals of Manager; Giving Orders to Subordinates of Manager Prohibited; Penalty for Same (Section 2.05 - Prohibitions, Subsection (c) - Interference with Administration, Model City Charter) Members relayed concern with an employee’s rights of appeal. Mr. DePrima stated that the City has grievance procedures and that there are State Laws to assure employees are provided due process. Mr. Salters moved to recommend including the language in Section 2.05 - Prohibitions, Subsection (c) - Interference with Administration, as stated in the Model City Charter, rather than Section 36 of the City Charter, and to cite existing State Code as it relates to an employee’s right of appeal. The motion was seconded by Mr. McGlumphy and unanimously carried. Section 35 - Removal of Employees by Manager (Section 2.05 - Prohibitions, Subsection (b) - Appointments and Removals, Model City Charter) Although members had previous acted on these Sections, due to the concerns relayed regarding Section 36, it was the consensus of members that additional action should be taken. Mr. McGlumphy moved to recommend including the language in Section 2.05 - Prohibitions, Subsection (b) - Appointments and Removals, as stated in the Model City Charter, rather than Section 35 of the City Charter, and to cite existing State Code to assure an employee is afforded due process. The motion was seconded by Mrs. Jones and unanimously carried.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 2 Mr. McGlumphy suggested that the City Solicitor provide the appropriate language to be included to assure an employee is afforded due process. Section 13 - Filling Vacancies for Council or Mayor (Section 2.06 - Vacancies; Forfeiture of Office; Filling of Vacancies, Subsection (a) - Vacancies; and Subsection (b) - Forfeiture of Office, Model City Charter) Mr. Salters moved to recommend including the language in Section 2.06 - Vacancies; Forfeiture of Office; Filling of Vacancies, Subsections (a), and (b), as stated in the Model City Charter, rather than Section 13 of the City Charter, with the inclusion “infamous acts” in addition to moral turpitude listed in Subsection (b). The motion was seconded by Mr. McGlumphy. Mr. McGiffin relayed his reluctance in the inclusion of “infamous acts” since such acts are difficult to define. He also advised members that an “infamous act” would not necessarily mean that a crime had been committed. Referring to Subsection (a), Mr. Ruane suggested that members determine if there are provisions for the removal from office and questioned what are the provisions. Also, referring to Subsection (b), he questioned how a member is excused by Council for their absence at Council Meetings. Mr. Salters moved to amend the motion by eliminating the inclusion of “infamous acts” in addition to moral turpitude listed in Subsection (b), seconded by Mr. McGlumphy and unanimously carried. The motion to recommend including the language in Section 2.06 - Vacancies; Forfeiture of Office; Filling of Vacancies, Subsections (a), and (b), as stated in the Model City Charter, rather than Section 13 of the City Charter was unanimously carried. Section 13 - Filling Vacancies for Council or Mayor (Section 2.06 - Vacancies; Forfeiture of Office; Filling of Vacancies, Subsection (c) - Filling of Vacancies, Model City Charter) Mr. Ruane noted that the current City Charter addresses vacancies for both Mayor and Council and that the Model City Charter addresses only vacancies for Council. Due to time constraints, Mr. Slavin stated that members will continue their review of the 2005 Charter Review Committee Recommendation at “Section 13 - Filling Vacancies for Council or Mayor (Section 2.06 - Vacancies; Forfeiture of Office; Filling of Vacancies, Subsection (c) - Filling of Vacancies, Model City Charter)” during their next meeting. Authorization to Purchase - Document Imaging System Upgrade - Sole Source Members were advised that the City has been using Westbrook Technology’s Imaging products for more than ten years. For the past several years, at the annual Technology Advisory Committee (TAC) Meetings, departments have been requesting upgrades to this system to include capturing reports from our HTE, Inc. software. Staff contacted Westbrook Technologies, the producer of the software, to acquire three (3) resellers for bidding on this project. The written response from the VP of Sales at Westbrook Technologies indicated three important points for consideration: 1) Hilyard’s

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 3 Inc. is the only reseller based in Delaware; 2) the City is under contract with Hilyard’s Inc. and would lose what they call “investment protection” if we opt out of that contract; and 3) he assured us that our current reseller, Hilyard’s Inc., provides pricing that is “extremely competitive”. This savings, in the amount of a $20,000 credit from this protection program, is only available through Hilyard’s, Inc. Mr. DePrima, City Manager, advised members that staff conducted an internal survey during November 2007 to assess the satisfaction with the current software product and our current vendor, Hilyard’s, Inc. The results of the survey was overwhelmingly in favor of staying with the same product line and reseller, Hilyard’s, Inc. In light of the above factors, staff views this upgrade project as a sole source vendor situation. Staff recommended authorization for the purchase of the Document Imaging System upgrade from Hilyard’s Inc. in the amount of $79,998. Mr. Salters moved to recommend approval of staff’s recommendation, seconded by Mr. Shevock and unanimously carried. Proposed Budget Amendments - Budget Balances and Carry-Forwards Mrs. Mitchell, Finance Director/Treasurer, reviewed budget ordinances to incorporate into the FY08 Budget the final budget balances and project budget balances carried forward from FY07. She noted that also included in the budget amendments is the revised transfer taxes attributed to the sale of the three (3) apartment complexes earlier this year. She advised members that the Electric Revenue Fund changes incorporate the Revised Electric Revenue Fund Forecast for FY08 as presented to City Council in October along with the FY07 final results. The Budget Ordinance only includes the recommended changes for the budgeted line items affected and does not include all line items in each fund or reserve account. Mrs. Mitchell reminded members that additional budget amendments will be forthcoming, explaining that she will be meeting with the City Manager and City Administrator to conduct the mid-year review of the budget. Staff recommended approval of the budget ordinance to be forwarded to City Council for adoption. Mr. Ruane relayed concern regarding the violation of the City’s policy as it relates to the transfer tax provided for the sale of the apartment complexes. He noted that the policy requires the City to refrain from budgeting non-recurring or one-time revenue for on-going expenses and that these revenues are to be set aside for asset replacement. Responding, Mr. DePrima stated his opinion that transfer taxes, even a unique transfer tax, are non-recurring revenue. Traditionally, transfer taxes, including one-time transfer taxes, are not considered non-recurring since they occur every year although they may be for different properties. He explained that the only situation when a transfer tax is considered non-recurring or one-time only is when there is a sale of a City asset.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 4 Mr. McGlumphy stated his understanding that emergency situations arise; however, it was his opinion that City staff should be required to adhere to the budget adopted by Council for the fiscal year beginning in July and that any additional unaccounted revenues that are received should not be used for operating expenses. Mrs. Mitchell stated that the transfer tax revenue received for the apartment complexes transfer tax was included at this time since she had previously advised members of Council, during a recent update, regarding the receipt of these funds. She advised members that since that update, it has been discovered that there is an issue regarding the budget for street lights, amounting to approximately $500,000. Although this issue could have also been included at this time, it was decided that it would be addressed during the mid-year review. Mrs. Mitchell relayed concern with the City Manager determining the use of the additional revenue when there is an additional $500,000 required for street lights. It was her opinion that the additional transfer tax revenue remain in the budget balance until the mid-year review to provide the opportunity for members to address other budgetary issues. Mr. Salters moved to recommend adoption of the proposed budget amendments (Attachment #1), and authorize the Finance Director/Treasurer and City Manager to work out the necessary details. The motion was seconded by Mr. Shevock and unanimously carried. Request to Process a Comprehensive Plan Amendment and Rezoning - 22 Acres at Enterprise Business Park Members reviewed a letter, dated July 31, 2007, from Mr. Leonard Iacono, Investment Property Associates, LLC, regarding a potential land donation. Mr. Iacono advised members of his intention to purchase 22 acres of land on Hazletteville Road at Enterprise Business Park. He stated his willingness to donate approximately 10 acres of this land to the City for its efforts in relocating the post office and building the library. Mr. DePrima advised members that this land donation could have a very positive, perhaps critical, impact on the City’s future library plans. Since the receipt of this letter, Mr. DePrima stated that Mrs. Townshend, Director of Planning and Inspections, has decided not to accept anymore Comprehensive Plan amendments in anticipation of updating the plan in 2008, which is a common and reasonable strategy. However, he advised members that Mr. Iacono is now interested in pursuing the rezoning and companion Comprehensive Plan amendment and that these plans may not be able to wait until late 2008 or early 2009. Mr. DePrima stated that, recently, Mr. Iacono’s representatives of Mr. Iacono met with Ms. Townshend and himself regarding his desire to pursue his application at this time. He stated that since Mrs. Townshend is understandably uncomfortable waiving her own restriction, it was decided that this matter should be presented to City Council through the Legislative, Finance, and Administration Committee.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF JANUARY 14, 2008 PAGE 5 Mr. DePrima explained his belief that the request has a very compelling public interest as it relates to the future library with respect to raising necessary funds, and also relocating the Dover Post Office. He requested that members authorize Mrs. Townshend to accept both a Comprehensive Plan amendment and rezoning application as it applies to this project. He noted that it would be necessary to address this matter in the 2008 update; therefore, it’s consideration would not constitute a duplication of efforts, since it would simply allow the conclusion to come forward earlier. Mr. Ruane suggested that members understand that the issue involving the land donation and library is ancillary to the issue regarding the process that has been instituted by the Planning Office for all applicants for rezoning during this interim period (completion of the Comprehensive Plan). Responding to Mr. Ruane, Mrs. Townshend indicated that there are other applicants that have contacted the Office regarding their desire to submit a rezoning or annexation application. In response to Mr. Ruane, Mr. Slavin suggested that if the other applicants wish to pursue rezoning or annexation, they should be directed to come before the committee and follow this same process. In fairness, Mr. McGlumphy suggested that the other applicants be made aware of the process that is available to them. Mr. Salters moved to recommend that the request to process the rezoning and comprehensive plan amendment be an exception to the rule for the 22 acre parcel located at the Enterprise Business Park and that the City would be the beneficiary of the land donation. The motion was seconded by Mr. Shevock and unanimously carried. Responding to Mr. McGlumphy, Mrs. Townshend assured members that she would notify the other applicants regarding the process, should they wish to pursue their application for rezoning or annexation. Mr. Salters moved for adjournment, seconded by Mr. Shevock and unanimously carried. Meeting Adjourned at 7:06 P.M. Respectfully submitted, Timothy A. Slavin Chairman TAS/TM/jg S:\ClerksOffice\Agendas&Minutes\Committee-Minutes\2008\01-14-2008 LF&A.wpd Attachment Attachment #1 - Proposed Budget Amendment Ordinances

PARKS, RECREATION, AND COMMUNITY ENHANCEMENT The Parks, Recreation, and Community Enhancement Committee meeting was held on January 15, 2008, at 12:00 p.m. with Chairwoman Russell presiding. Members present were Mr. McGlumphy, Mr. Ruane, and Mrs. Horsey. Mr. Lewis was absent. AGENDA ADDITIONS/DELETIONS Mr. McGlumphy moved for approval of the agenda, seconded by Mrs. Horsey and unanimously carried. Animal Control Officer and Coverage - City Manager’s Report Mr. DePrima advised members that some time ago, Mr. Ruane had requested that he conduct a cost benefit analysis for providing animal control services by considering the elimination of the City’s animal control officer and contracting with the SPCA. He reminded members of the difficulty in associating a cost to quality of service. He has obtained the amounts necessary to perform the cost benefit analysis. He also advised members that he received a proposal from the SPCA in the amount of $151,000 to provide the service for 12 hours per day, 7 days per week, with the remainder of the time serving on an “on-call” basis. He noted that the current animal control officer works for 40 hours per week, as compared to 84 (12 hours for 7 days a week). Mr. DePrima stated he has collected additional expenses such as the day-to-day (gasoline), and liabilities (medical). He advised members that the Dover Police Department prefers maintaining employment of an Animal Control Officer. Mr. DePrima indicated that he is currently working on finalizing this material for developing a final report to be considered by members during a future meeting and at this time, the information is being provided for informational purposes only. Responding to Mr. Ruane, Mr. DePrima suggested that Mr. Goldwaithe, Executive Director of SPCA, be invited to meet with members to answer specific questions. Mr. McGlumphy requested that Mr. DePrima contact the City of Newark and Wilmington to obtain information as to how they handle animal control within their jurisdiction, to be included in the final report. Mrs. Russell suggested that staff contact Mr. Goldwaithe and invite him to attend the next committee meeting. Review of Active Recreation Area Plans (Requests for Cash-in-Lieu) - Franklin Hall -326 West Loockerman Street and Jackson Hall - 200-216 West Loockerman Street and 208 South Governors Avenue Mrs. Townshend, Director of Planning and Inspections, advised members that the applicant has requested that the applications be deferred until further notice; therefore, there was no discussion by members regarding the review of the active recreation area plans for Franklin Hall, 326 West Loockerman Street, and Jackson Hall, 200-216 West Loockerman Street and 208 South Governors Avenue.

PARKS, RECREATION, AND COMMUNITY ENHANCEMENT COMMITTEE MEETING OF JANUARY 15, 2008 PAGE 2 Updates Members were provided the following updates: Puncheon Run Watershed Action Team Update Mr. Koenig, Public Services Director, advised members that the URS Corporation has prioritized the technical recommendations and forwarded them to the Conservation District. To his knowledge, no further discussion regarding this matter has occurred. The next Action Team meeting will be scheduled in January, at which time he anticipates the receipt of feedback regarding the recommendations. Referring to the Puncheon Run, Mr. Ruane felt that the residents of the area, particularly those that are affected by this flood plain, should be made aware of the recommendations and suggested that relative information contained in the report be disseminated to the residents of the corridor (both sides of the stream) to make them aware of the findings. Responding to Mr. Ruane, Mr. Koenig stated his understanding that URS has made a finalization of the recommendations and that at the next Action Team meeting, members will determine those that are feasible. He suggested that once this is complete, an informational mailing could be sent to the residents of the area. Mr. Ruane questioned if the flood plain elevation has been re-examined to determine if homeowners could obtain refinancing. Responding, Mr. Koenig stated that when the study is finalized, as a benefit to those that reside within the flood plain, they will be notified of the information and they should contact their lender to determine if the change would affect their rate. Mrs. Russell suggested that members be notified of the Action Team meetings for those who may wish to attend. John W. Pitts Recreation Center Mr. Carter, Director of Parks and Recreation, advised members that most of the outside work for the John W. Pitts Recreation Center, such as parking lot, landscaping, sidewalks, etc. is complete. He anticipates the actual opening to be February or the beginning of March 2008. He invited any member who would like a tour of the facility to contact staff. Responding to a request of Mrs. Russell, Mr. Carter indicated that there will be an area for dedication plaques, which will include one for the late Councilman John Pitts. Members suggested consideration of a portrait of Councilman Pitts to be located at the new facility. Members also suggested consideration of some type of encasement to include Councilman Pitts’ items. Planning and Funding for New Library Mr. Richard Thau, Library Director, provided an update on the planning and funding for the new library. He advised members that there will be representation of the Dover Public Library at the Kent County Library Advisory Council Meeting to provide updates in anticipation of eventually securing complete buy-in by Kent County.

PARKS, RECREATION, AND COMMUNITY ENHANCEMENT COMMITTEE MEETING OF JANUARY 15, 2008 PAGE 3 Mr. McGlumphy urged Council and Committee members, City staff, and the community to contact the local legislators in support of the Library Project prior to the review JFC Budget Hearings on February 5th. Mr. Ruane noted that staff has been requested to present information on what would be necessary to make a recommendation on the bond aspect for this project. He stated that this is critical information to be considered by members at their next meeting in order to show the State how serious the City is in regards to the Library Project. He reminded members that although Council has directed that payments in-lieu-of taxes be dedicated to this project, these monies were assigned to the Pitts Center due to the short-fall. For clarification, Mr. Ruane requested that staff provide a financial report for the Library Project, including the sources of funds, during the next committee meeting. 2008 Comprehensive Plan Update Mrs. Townshend, Director of Planning and Inspections, provided an update on the Comprehensive Plan development process for the 2008 Comprehensive Plan. Mrs. Russell reminded members that a Special Meeting has been scheduled for January 29, 2008 at 12:00 noon, for the purpose of reviewing the CDBG Program Guidelines and Update. Mr. McGlumphy moved for adjournment, seconded by Mr. Ruane and unanimously carried. Meeting Adjourned at 1:02 P.M. Respectfully submitted, Sophia R. Russell Chairwoman SRR/tm/jg S:\ClerksOffice\Agendas&Minutes\Committee-Minutes\2008\01-14-2008 PR&CE.wpd

CITY OF DOVER FINANCE DEPARTMENT MONTHLY BUDGET REPORT DECEMBER 2007 PREPARED BY: FINANCE DEPARTMENT PLEASE NOTE – THIS REPORT PROVIDES TOP LINE INFORMATION ON THE THREE MAJOR OPERATING FUNDS. IF YOU WOULD LIKE ADDITIONAL INFORMATION, PLEASE FEEL FREE TO CONTACT THE FINANCE DEPARTMENT.

City of Dover Finance Department Monthly Budget Report DECEMBER 2007 Strategic Objectives for Fiscal Year 2007 – 2008 1. Coordinate audit program with the Legislative, Finance & Administrative Committee. Meet all deadlines as established in the audit program. 2. Test of internal controls by the auditor. Not to exceed the tolerable rate established by the auditor’s by more than five (5) percent. 3. Utilizing Fortis, scan 10% of files/documents into an electronic database. 4. Conduct an internal control risk assessment. ACTIVITY LEVELS FY07 – YTD FY08 – YTD Bank Trends Total Amount of All Deposits $ 52,578,323 $ 76,124,762 Number of Bank Accounts 27 28 Payroll: Number of Pay Periods 13 13 Number of Payroll Checks 5,482 5,773 Number of Pension Checks 1,318 1,329 Total Gross Payroll $ 9,316,873 $ 9,800,811 Total Pension Payments $ 1,976,643 $ 2,032,623 Total Overtime $ 341,598 $ 348,830 Accounts Payable: Number of Vouchers 3,962 4,396 Dollar Amount Disbursed $ 13,747,946 $ 14,776,400 Wire Transfers $ 50,979,191 $ 59,563,989

2 of 6 City of Dover Finance Department Monthly Report – December 2007 General Fund Summary 50% of Budget YTD Balance Budget Receipts Beginning Balance $ 3,542,086 $ 3,912,270 $ (370,184) 110.5% Court of Chancery Fees 761,000 374,540 386,460 49.2% Fines & Police Revenues 1,182,169 496,341 685,828 42.0% Franchise Fees 422,000 222,627 199,373 52.8% Grants 97,440 51,051 46,389 52.4% Intrafund Services 4,899,522 2,127,755 2,771,767 43.4% Library & Recreation Revenues 531,297 309,763 221,534 58.3% Licenses & Permits 2,547,343 2,101,879 445,464 82.5% Property Taxes 9,453,511 10,066,740 (613,229) 106.5% Sanitation Revenues 1,361,411 750,343 611,068 55.1% Other Miscellaneous Revenues 372,363 256,959 115,404 69.0% Transfers-In from Other Accounts & Utilities Civil Traffic Penalties 500,000 229,010 270,990 45.8% Municipal Street Aid Fund 660,000 339,878 320,122 51.5% Transfer Taxes 2,650,222 1,978,140 672,082 74.6% Parkland Reserve 1,987,200 2,132,370 (145,170) 107.3% Water/Wastewater Fund 565,000 565,000 - 100.0% Electric Fund 6,601,269 2,650,317 3,950,952 40.1% Total $ 38,133,833 $ 28,564,983 $ 9,568,850 74.9% Expenditures City Clerk & Council $ 422,893 $ 168,185 $ 254,708 39.8% Mayor, City Manager & Human Resources 1,271,498 516,983 754,515 40.7% Police & Police Extra Duty 11,795,705 5,516,577 6,279,128 46.8% Public Works 4,663,483 2,057,096 2,606,387 44.1% Central Services 2,467,120 1,155,581 1,311,539 46.8% Planning & Inspections 1,529,503 659,333 870,170 43.1% Finance, Info Tech & Customer Services 2,772,642 1,301,525 1,471,117 46.9% Library & Recreation 1,849,341 807,880 1,041,461 43.7% Fire 644,773 268,359 376,414 41.6% Assessor 332,606 102,963 229,643 31.0% Debt Service 437,468 396,109 41,359 90.5% Insurance 546,857 228,385 318,472 41.8% Retirees' Health Care 683,321 375,705 307,616 55.0% Street Lights 575,000 455,795 119,205 79.3% Provision for Uncollectibles 10,000 10,000 - 100.0% Transfers Out Pension Fund 89,850 89,850 - 100.0% Pension COLA 44,925 44,925 - 100.0% Contingency Reserve 34,500 34,500 - 100.0% Library Reserve 399,350 399,350 - 100.0% Capital Projects Fund 4,680,362 3,632,370 1,047,992 77.6% Budget Bal-Working Capital (Unaudited) 2,882,636 - 2,882,636 0.0% Total $ 38,133,833 $ 18,221,471 $ 19,912,362 47.8% Reserve Balances-Unaudited Contingency $ 711,180 $ 695,361

3 of 6 City of Dover Finance Department Monthly Report – December 2007 Water/Wastewater Fund Summary 50% of Budget YTD Balance Budget Revenue Beginning Bal-Water $ 2,037,928 $ 2,190,178 $ (152,250) 107.5% Beginning Bal-Wastewater 1,289,956 1,092,601 197,355 84.7% Beginning Bal-Kent Co Sewer Adj. (1,109,481) (1,198,201) 88,720 108.0% Water Fees 4,371,900 2,332,876 2,039,024 53.4% Water Tank Leases 242,798 160,268 82,530 66.0% Wastewater Fees 2,508,600 1,363,807 1,144,793 54.4% Impact Fees 746,500 543,078 203,422 72.7% Kent County Treatment Fees 4,264,357 2,176,114 2,088,243 51.0% Miscellaneous 188,750 101,257 87,493 53.6% Total $ 14,541,308 $ 8,761,978 $ 5,779,330 60.3% Expenses Engineering & Inspection $ 646,464 $ 236,980 $ 409,484 36.7% Water 956,975 420,913 536,062 44.0% Water Treatment Plant 968,057 409,036 559,021 42.3% Wastewater 1,159,137 385,876 773,261 33.3% Water Meter Reading 63,293 32,397 30,896 51.2% Construction & Inspection 521,595 212,022 309,573 40.6% Kent County Treatment Fees 4,065,467 1,893,802 2,171,665 46.6% Retiree’s Health Care 113,730 59,517 54,213 52.3% Debt Service 180,877 116,903 63,974 64.6% Intrafund Services 1,363,424 554,786 808,638 40.7% Transfers Out General Fund 565,000 565,000 - 100.0% Water/Wastewater I & E Fund 3,435,800 1,000,000 2,435,800 29.1% Impact Fee Reserve 384,650 - 384,650 0.0% Pension COLA 10,200 10,200 - 100.0% Pension Unfunded Liability 20,400 20,400 - 100.0% Budget Bal-Working Capital - Water (Unaudited) 430,356 - 430,356 0.0% Budget Bal-Working Capital - WW (Unaudited) 566,474 - 566,474 0.0% Budget Bal-Working Capital - KSA (Unaudited) (910,591) - (910,591) 0.0% Total $ 14,541,308 $ 5,917,832 $ 8,623,476 40.7% Reserve Balances - Unaudited Contingency-Water $ 112,818 $ 110,930 Contingency-Wastewater $ 127,221 $ 123,948 Impact Fee Reserve NO BUDGET $ 2,543,648 Bond Coverage Ratio (Covenant 1.20) 2.06 * 4.74 * High ratio attributed to lower Debt Service Requirement and timing of expenses/transfers.

4 of 6 City of Dover Finance Department Monthly Report – December 2007 Electric Revenue Fund Summary 50% of Budget YTD Balance Budget Revenue Beginning Balance $ 7,822,873 $ 7,627,419 $ 195,454 97.5% Sales to Customers 93,516,294 49,840,528 43,675,766 53.3% Utility Tax 1,599,100 889,430 709,670 55.6% Weyandt Hall Rents 186,816 66,415 120,401 35.6% Miscellaneous Revenues 2,479,250 2,058,635 420,615 83.0% Duke Contract Revenue 800,000 - 800,000 0.0% Intrafund Service Receipts Water/Wastewater 267,483 85,478 182,005 32.0% Total $ 106,671,816 $ 60,567,905 $ 46,103,911 56.8% Expenses Power Supply & Generation Power Supply $ 60,764,531 $ 27,433,442 $ 33,331,089 45.1% Power Supply Management/Incentive 3,255,038 1,427,999 1,827,039 43.9% Capacity Charges 11,493,950 6,191,483 5,302,467 53.9% PJM Charges - Load 2,684,707 4,289,410 (1,604,703) 159.8% Total Power Supply 78,198,226 39,342,334 38,855,892 50.3% Plant Operations 6,258,151 2,255,338 4,002,813 36.0% Generation Fuels 2,858,979 1,958,150 900,829 68.5% Capacity Credits (11,933,536) (6,015,810) (5,917,726) 50.4% PJM Credits (3,696,990) (2,440,318) (1,256,672) 66.0% Total Generation (6,513,396) (4,242,640) (2,270,756) 65.1% Total Power Supply & Plant 71,684,830 35,099,694 36,585,136 49.0% Electric Operating Divisions Transmission/Distribution 3,541,793 1,594,144 1,947,649 45.0% Electrical Engineering 1,806,923 698,645 1,108,278 38.7% Administration 744,423 312,513 431,910 42.0% Meter Reading 318,995 150,718 168,277 47.2% Systems Operations 464,503 250,997 213,506 54.0% Utility Tax 1,599,100 889,430 709,670 55.6% Interest on Deposits 35,000 24,958 10,042 71.3% Retirees Health Care 464,620 255,371 209,249 55.0% Accounts Receivable Write-Offs 100,000 100,000 - 100.0% Green Energy Payment to DEMEC 134,350 73,097 61,253 54.4% Debt Service 3,379,104 1,318,554 2,060,550 39.0% Intrafund Services 3,803,581 1,658,447 2,145,134 43.6% Inventory write-offs 100,000 100,000 - 100.0% Transfers Out Electric Improvement & Extention Fund 2,925,000 2,925,000 - 100.0% General Fund 6,601,269 2,650,317 3,950,952 40.1% Pension COLA 19,875 19,875 - 100.0% Pension Unfunded Liability 39,750 39,750 - 100.0% Rate Stabilization Reserve 1,000,000 1,000,000 - 100.0% Budget Bal. - Work. Capital (Unaudited) 7,908,700 - 7,908,700 0.0% Total $ 106,671,816 $ 49,161,510 $ 57,510,306 46.1% Reserve Balances - Unaudited Contingency Reserve $ 878,652 $ 866,928 Insurance Reserve $ 360,500 $ 359,506 Rate Stabilization Reserve $ 1,397,981 $ 1,396,892 Bond Coverage Ratio (Covenant 1.25) 2.06 4.71 Purchased/Generated MWh 787,788 408,919 All In MWh Supply & Generation $ 90.995 $ 86.142

5 of 6 City of Dover Finance Department Monthly Report – December 2007 General Capital Project Fund Summary 50% of Budget YTD Balance Budget Revenue Transfer from General Fund for Projects $ 4,680,362 $ 3,632,370 $ 1,047,992 77.6% Gifts/Donations (1) - 83,000 (83,000) 0.0% Interest Earnings - 14,372 (14,372) 0.0% Total $ 4,680,362 $ 3,729,742 $ 950,620 79.7% Expenses Tax Assessor $ 45,000 $ 36,869 $ 8,131 81.9% Fire 282,910 165,616 117,294 58.5% Grounds Maintenance 129,913 - 129,913 0.0% Recreation 2,135,700 1,214,896 920,804 56.9% Inspections 96,000 - 96,000 0.0% Police 343,720 14,594 329,126 4.2% Streets 511,000 403,843 107,157 79.0% Sanitation 502,800 - 502,800 0.0% City Manager 10,300 867 9,433 8.4% Information Technology 367,400 40,852 326,548 11.1% Public Services - Administration 40,100 - 40,100 0.0% Facilities Management 59,800 17,475 42,325 29.2% Central Services 21,000 - 21,000 0.0% Fleet Maintenance 34,719 9,086 25,633 26.2% Current Year Balance - Projects 100,000 - 100,000 0.0% Total $ 4,680,362 $ 1,904,098 $ 2,776,264 40.7% Capital Asset Replacement Reserve NO BUDGET $ 164,172 Library Reserve $ 1,909,820 $ 2,488,966 Parkland/Recreation $ 825 $ - (1) J.W. Pitts Rec.Center Donation-Beiser-West Family 75,000 Delaware Community Foundation 8,000

6 of 6 City of Dover Finance Department Monthly Report – December 2007 Water/Wastewater Improvement & Extension Fund Summary 50% of Budget YTD Balance Budget Revenue Beginning Balance-Water $ 827 $ 252,728 $ (251,901) 0.0% Beginning Balance-Wastewater 16,502 230,956 (214,454) 0.0% State Grant (Homeland Security) & Other 140,000 - 140,000 0.0% Interest Earned 22,000 14,891 7,109 67.7% Transfer from Water Operating Fund for Water 2,660,500 770,000 1,890,500 28.9% Transfer from Wastewater Operating Fund for Wastewater 775,300 230,000 545,300 29.7% Transfer from Impact Fee Reserve 850,000 1,524 848,476 0.2% Total $ 4,465,129 $ 1,520,099 $ 2,945,030 34.0% Expenses Engineering & Inspection $ 52,000 $ - $ 52,000 0.0% Water 2,237,476 444,239 1,793,237 19.9% Wastewater 1,496,250 101,302 1,394,948 6.8% Water Treatment Plant 17,700 - 17,700 0.0% Water Meter Reading 5,648 - 5,648 0.0% Water Construction 39,450 - 39,450 0.0% Budget Bal-Working Capital - Water (Unaudited) 453,001 - 453,001 0.0% Budget Bal-Working Capital - WasteWater (Unaudited) 163,604 - 163,604 0.0% Total $ 4,465,129 $ 545,541 $ 3,919,588 12.2% Reserve Balances - Unaudited Capital Asset Replacement - Water $ 1,129,699 $ 1,128,606 Capital Asset Replacement - Wastewater $ 534,142 $ 531,109 City of Dover Finance Department Monthly Report – December 2007 Electric Improvement & Extension Fund Summary 50% of Budget YTD Balance Budget Revenue Beginning Balance $ 13,954 $ 1,382,772 $ (1,368,818) 0.0% Interest Earnings 160,000 33,528 126,472 21.0% State Reimbursement for Projects 710,318 - 710,318 0.0% Transfer from Electric Revenue Fund 2,925,000 2,925,000 - 100.0% Transfer from Depreciation Fund 4,288,392 - 4,288,392 0.0% Bond Issue 2008 19,500,000 - 19,500,000 0.0% Total $ 27,597,664 $ 4,341,300 $ 23,256,364 15.7% Expenses Power Plant $ 377,000 $ 316,570 $ 60,430 84.0% Transmission/Distribution 1,634,250 846,194 788,056 51.8% Electrical Engineering 16,046,710 1,786,953 14,259,757 11.1% Administration 8,000 25,498 (17,498) 318.7% Meter Reading 28,241 - 28,241 0.0% Budget Bal. - Work. Capital - Unaudited 153,463 - 153,463 0.0% Budget Bal. Bond - Work. Capital - Unaudited 9,350,000 - 9,350,000 0.0% Total $ 27,597,664 $ 2,975,215 $ 24,622,449 10.8% Reserve Balances - Unaudited Depreciation Reserve $ 9,737,808 $ 13,853,113 Future Capacity Reserve $ 9,294,070 $ 9,169,227

Dover Police Department Monthly Report To Mayor & City Council “To Protect and Serve” December 2007

January 15, 2008 Honorable Carleton E. Carey, Sr., Mayor Members of Dover City Council City Hall Dover, DE 19901 Mayor Carey and Council Members: The following is the report on Police Department activities for the month of December 2007: COMPLAINTS 36,000 30,536 30,800 30,133 30,482 29,632 st Total complaints received through December 31 , numbered 29,632. This is a decrease of 850 27,000 complaints over the same time period for last year. 18,000 9,000 0 2003 2004 2005 2006 2007 15 CRIMINAL INVESTIGATIONS 11 Cases Reported in 10 December Cases Cleared in 4 4 4 December 5 Cases Cleared from 1 Previous Months 1 0 0 0 0 Burglary Robbery Rape

Report to Mayor and Council December 2007 Page 2 QUALITY OF LIFE TASK FORCE ENFORCEMENT ACTION ARRESTS ABANDONED VEHICLES 13 ALCOHOL VIOLATIONS 16 ASSIST OTHER 29 WARRANTS ON FILE 0 BIKE ON SIDEWALK 0 CITY PARK VIOLATIONS 6 CRIMINAL ARRESTS 12 DRUG RELATED ARRESTS 13 LOUD MUSIC 0 MISCELLANEOUS VIOLATIONS 11 PARKING VIOLATIONS 15 COLLECTION OF DELINQUENT DCO’S 2 PEDDLER 0 PROSTITUTION 0 WANTED CHECKS/CPC’S 3 WARNINGS/TRAFFIC ARRESTS 63 FUGITIVE 19 TOTAL ARRESTS 202 24,000 20,238 18,664 19,224 TRAFFIC ARRESTS 15,478 18,112 18,000 The department issued 19,224 traffic citations through this reporting period. This is an increase of 1,112 citations over the 12,000 number issued during the same period last year. 6,000 0 2003 2004 2005 2006 2007 3,200 2,366 2,321 2,309 2,237 2,139 2,400 TRAFFIC ACCIDENTS 1,600 Through December 31st, Dover Police investigated 2,139 traffic accidents. This is a decrease of 98 accidents investigated during 800 the same period last year. 0 2003 2004 2005 2006 2007 21% 911 Calls Administrative 911 CENTER Calls 79% During the month of December, our 911 Center handled a total of 9,636 calls averaging 311 calls per day. Dispatchers handled 2,049 calls on the 911 lines, an average of 67 calls per day.

Report to Mayor and Council December 2007 Page 3 EMERGENCY PREPAREDNESS & BASIC LIFE SUPPORT DIVISION: Prime Care Medical Transport, Inc. responded to 10% 437 emergency calls in December, resulting in 330 patient transports. The average response time from Transports dispatch by 911 to arrival on scene was 8 minutes 25% and 23 seconds. Additional units responded to 45 of No Transport the 437 calls. 65% Additional Units 16,000 CITY ORDINANCE SUMMONS 9,408 10,906 10,538 10,052 9,953 12,000 Through December 31st, we issued 9,953 city ordinance 6,812 7,912 7,570 6,943 7,135 summons a decrease of 99 summons over December of 8,000 last year. *Note: of those summonses issued in December, 15 were issued for handicapped parking 4,000 violations, 31 for fire lane parking violations, 74 for false alarms (38 for 3-5 alarms, 28 for 6-9 alarms, 7 for 10-15 alarms, and 1 for 16 or more alarms) and 5 for 0 noise violations (0 for vehicle violations and 5 for 2003 2004 2005 2006 2007 residence violations). ISSUED PAID Listed below are the major crimes and activities that occurred during the month of December: • On December 1, 2007, a patrol officer attempted to contact a subject on West Division Street near New Street for a alcohol violation. The subject observed the officer and fled on foot from him. The officer chased the subject and arrested him after a brief foot chase. The subject dropped a 9mm handgun during the chase which was recovered by the officer. • On December 4, 2007, members of the Drugs Vice, & Organized Crime Section and Probation & Parole Officers, executed an administrative search at an apartment in Country Village Apartments. As a result of this search officers seized 4.0 grams of crack cocaine and 1.2 grams of powder cocaine. One subject was arrested and charged. • On December 7, 2007, members of the Drugs Vice, & Organized Crime Section executed a drug search warrant at a room at the Lakeside Inn. As a result of this search officers seized 1423.7 grams of marijuana, 79.2 grams of cocaine, 13 Percocet pills and $4,113.00 United States currency. Two subjects were arrested and charged with various drug offenses. • On December 11, 2007, a patrol officer observed a subject involved in what appeared to be a drug transaction at Fulton and North New Street. The subject observed the officer and fled from the area in his vehicle. The officer pursued the subject out of the City of Dover towards Marydel and then on back roads towards Felton. The subject stopped his vehicle and fled into a wooded area. The officer pursued the subject on foot and arrested him a short time later. He was charged with various criminal and motor vehicle violations. • On December 11, 2007, a patrol officer observed a subject loitering in the alley off of East Water Street in Capitol Green. The officer contacted the subject and found that he was in possession of .6 grams of cocaine and was wanted by the New Castle County Court of Common Pleas.

Report to Mayor and Council December 2007 Page 4 Major crimes and activities that occurred during the month of December continued: • On December 12, 2007, members of the Quality of Life Task Force contacted a subject in the area of Fulton Street and North New Street. Upon contacting the subject, officers learned that the subject concealed a small amount of cocaine in his mouth and had attempted to swallow it. The subject was arrested after a brief struggle and a small amount of the drug was recovered. • On December 13, 2007, officers responded to an apartment at the Whatcoat Apartment complex for a domestic incident. The male subject was arrested and was later released on bond. He had been informed by the magistrate at JP Court #7 to stay away from his girlfriend. The subject returned to the residence after being released from custody and confronted the victim again. The subject forced the victim to engage in intercourse with him. He fled the residence and was arrested a short time later by officers responding back to the apartment. The subject was charged with Rape 1st. • On December 13, 2007, a patrol officer stopped a vehicle for a traffic violation. The officer contacted the operator of the vehicle and detected an odor of marijuana. A search of the vehicle revealed 68.5 grams of marijuana. The operator was charged with various drug offenses. • On December 19, 2007, members of the Quality of Life Task Force stopped a vehicle for speeding on US 13 near Rustic Lane. The officers contacted the operator at which time he refused to surrender his driver’s license and asked for a warning. The officers asked a second time at which time the operator complied. The officers returned to their vehicle to issue the operator a ticket at which time he exited his vehicle and started walking towards the officer’s vehicle. The officers informed the operator to return to his vehicle however he refused to do so and was grabbed by officers. The operator was arrested after a brief struggle and found to be in possession of a loaded 32 cal handgun. • On December 21, 2007, approx. 250 children graduated from D.A.R.E. at William Henry Middle School. The event was held by members of the juvenile section and school officials from William Henry Middle School. • On December 23, 2007, detectives arrested two subjects for a burglary which occurred at the Arby’s restaurant on Route 8. Investigation revealed that the subjects pried open the drive thru window and entered the business. The subjects fled from the business without taking anything and were stopped by patrol officers. The subjects were also charged with a burglary that occurred on December 21, 2007 at Windswept printing, where they entered the business and removed a safe and camera. • On December 29, 2007, a patrol officer attempted to contact a subject loitering at the rear of Kent Apartments on South New Street. Upon seeing the officer the subject fled and was chased by the officer on foot. The subject was apprehended a short distance away. Upon checking the area the subject fled from, officers found a loaded 9mm handgun. The subject was charged with various weapons charges. Respectfully Submitted, Jeffrey Horvath Chief of Police

Monthly Report December 2007 Office of City Assessor

City of Dover Assessor's Monthly Report Fiscal Year 2008 Property Tax Assessments and Collections Assessed Value Senior State Assessment Taxable Taxes Billing Adjusted Total Tax Taxes Month Before Exemptions Exemptions Exemptions Adjustments Value Levied Adjustments Billing Collections Outstanding July $ 3,263,240,475 $ (17,041,800) $ (348,051,300) $ 2,079,900 $ 2,900,227,275 $ 9,479,274 $ (48,106) $ 9,431,168 $ 7,250,825 $ 2,313,238 August 3,265,320,375 (17,041,800) (348,051,300) 7,085,300 $ 2,907,312,575 - 35,704 $ 9,466,872 1,508,441 841,701 September 3,272,405,675 (17,091,800) (348,051,300) 55,826,700 2,963,089,275 - (1,572) $ 9,465,300 186,742 653,387 October 3,328,232,375 (17,091,800) (348,051,300) 18,187,600 2,981,276,875 November 3,346,419,975 (17,091,800) (348,051,300) 3,911,400 2,985,188,275 December 3,350,331,375 (17,091,800) (348,051,300) 15,850,300 3,001,038,575 January February March April May June Tax Adjustments 102,941,200 44,878 Year to Date (excludes BID tax) $ 9,510,178 $ 8,946,008 Other Tax Related Cash Receipts Current Month YTD Penalties (recorded when received; not billed) $ 5,968 $ 19,729 Pay In Lieu Of State of Delaware $ 353,759 353,759 Luther Towers $ - $ 14,336 Dover Housing 1,500 3,000 $ 371,095 Farmland Rollback Lafferty Lane $ - $ 26,143 Total Property Tax Receipts $ 9,927,145 Transfer Taxes $ 350,945 $ 921,199 Property Tax Report for Tax Assessor-September, 2007 Page 1 RRC 1/22/2008 11:05 AM

CITY MANAGER’S MONTHLY REPORT November 2007

MONTHLY HIGHLIGHTS Customer Services • Meeting held with IT to discuss the preparations needed to offer on-line bill payments. Budget, Program Development • Coordinated and held fiscal 2008-2009 Budget Kick Off meeting. • Conducted budget entry training sessions. • Continued meeting with departments to review strategic goals and objectives. • Met with staff to review comments received about the proposed Water Impact Fees. Human Resources • Flu Shots were offered to all employees at three different locations. Information Technology • Interviews scheduled with candidates for LAN Analyst position. Consultant support will be sought while recruiting for Web Programmer continues. • Met with State’s Fleet Administrator in preparation for the GPS pilot project. Parks, Recreation, & Library • The annual Tree Lighting event drew a festive crowd of approximately 800. • The Library recorded 454 people attending 10 children’s programs. Public Services • Provided technical assistance to the Planning Office for the Source Water Protection Overlay Zone. • Work completed on streets designated in the Streets Program and work progressed to the designated alleys. Public Utilities • Participation in the DSWA recycling program began. • The division welcomed new employees Jeremy Johnson (Electric Engineer), Raughely Lloyd (Motor Equipment Operator I), and Larry Grier (Water Treatment Plant Operator I). 1

CENTRAL SERVICES Fleet Operations & Maintenance Costs Work Orders Processed 100,000 200 90,000 2,139 80,000 2,500 1,893 Total Dollars 1,741 1,776 1,822 1,699 70,000 150 1,642 2,000 1,507 1,573 1,490 1,480 1,455 60,000 50,000 1,500 1,408 40,000 100 30,000 1,000 20,000 10,000 50 500 Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 0 Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- Oct- Nov- To tal Do llars To tal Wo rk Orders 06 06 07 07 07 07 07 07 07 07 07 07 07 Work Orders: 90 Electric: $669,453.50 Fleet Maintenance: $10,882.02 (excludes Melvin’s Sunoco) Water: $ 29,585.21 Fuel: $42,431.17 General: $ 37,747.55 Stock Purchases by Fund Warehouse Stock $ 3,750,000.00 2,700 $ 950,000 $ 3,500,000.00 $ 850,000 2,500 $ 750,000 $ 3,250,000.00 $ 650,000 2,300 $ 3,000,000.00 $ 550,000 $ 450,000 $ 2,750,000.00 2,100 $ 350,000 $ 2,500,000.00 $ 250,000 1,900 $ 2,250,000.00 $ 150,000 $ 50,000 $ 2,000,000.00 1,700 Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 Electric Water General To tal Do llar Value To tal Line Items Electric: $ 224,504.66 Total Dollar Value: $3,629,717.87 Water: $ 5,424.06 Total Line Items: 1,967 General: $ 6,782.69 SOP / CIP Updates (percentages below represent percent completed) FY07 – Ongoing Projects • Renovation of Pear Street Warehouse – Project #SP001. Ongoing – three-year project (45%). • Space Needs Study Implementation – Project #FM0803 Finance Department moved to new location on 10/31/2007. Project completed (100%). FY08 – New Projects • Fleet Exhaust Extraction System – Project #FL801. Vendors have been contacted for information (25%). • Fire Suppression System in I/T - #FM0802. Bid awarded to Comprehensive Fire Technologies (65%). • Replace fuel pumps in the City yard by December 2007. Nothing new to report. 2

CUSTOMER SERVICES Work Orders Processed Exten sions o f Cred it 800 738 2,139 2,500 666 1,822 1,893 700 649 1,699 1,741 1,776 630 1,642 2,000 595 1,507 1,573 1,490 1,480 600 547 571 1,408 1,455 495 539 1,500 500 412 429 404 400 369 1,000 300 500 200 0 100 Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- Oct- Nov- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- Oct- Nov- 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 CUSTOMER PAYMENT USAGE CUSTOMER PAYMENT USAGE Fiscal Year 20 08 Fiscal Year 2007 Drive-Thru Drive -Thru Bank Drafts Window Bank Drafts Wind ow Credit Ca rds 9,834 11,261 Credit Cards 8,9 46 1 4,416 12,887 7% 8% 11 ,559 7% 1 1% 9% 9% Ove r the Counter Over the Counter 37,38 1 29,3 58 27% 22% Mail, Drop Bo x Mail, Drop Box 67,251 70,65 5 49% 51% FY 2008 FY 2007 Nov 2007 Nov 2006 Difference Year-to-Date Year-to-Date Final Bills 609 517 92 3,563 3,126 Estimated Bills 148 184 (36) 763 1,283 Penalties Posted $ 19,948 $ 13,953 $ 5,995 $ 79,804 $ 70,210 Extensions of Credit - Amount Extended $ 117,422 $ 82,166 $ 35,255 $ 694,724 $ 1,215,280 Balance Transfers $ 4,838 $ 2,467 $ 2,371 $ 23,993 $ 24,433 Utility Collections $ 20,758 $ 12,650 $ 8,108 $ 127,885 $ 133,455 Special Assessments $ - $ 195 $ (195) $ 1,647 $ 1,611 Miscellaneous Billings $ - $ 100,021 $ (100,021) $ 96,466 $ 354,692 Returns - Checks $ 36,811 $ 20,383 $ 16,428 $ 143,976 $ 96,817 Return Check Charges $ 1,874 $ 1,400 $ 474 $ 18,774 $ 6,188 Cuts for Non-Payment (CNP) $ 627 $ 641 $ (14) $ 3,122 $ 3,114 CNP through Disconnect Collars $ 26 $ 5 $ 21 $ 134 $ 12 Cuts for Non-Payment - Amount $ 123,725 $ 130,280 $ (6,556) $ 693,987 $ 628,495 Reconnects - Service Charges $ 22,000 $ 16,825 $ 5,175 $ 107,050 $ 85,725 Court Cases - - - - - Tamperings - 1 (1) 3 1 SOP / CIP Updates • Re-sequence and reroute meter routes. In November 2007, 262 electric meters and 538 water meters were changed out. • Payment of property tax bills through the City of Dover web site. This payment option will also be available to utility customers during this fiscal year. Delinquent tax properties have been selected to submit for monition sale. A total of 69 properties will be sent to the City Solicitor for processing. The selection list is updated as payments are received. • Install an Itron Mobile Collection System with GPS mapping in Meter Reading to maximize efficiency, reduce costs, and improve performance. The water/wastewater radio read installations have increased due to added staff. Delivery of the Itron Mobile Collection System for Meter Reading is expected at the end of January 2008. 3

HUMAN RESOURCES Custom er Service Contacts Payroll Hours 800 6000 700 600 5000 500 4000 400 300 3000 200 2000 100 0 1000 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 0 Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Applicat ions Processed 96 193 321 91 111 234 62 5 116 269 239 155 164 06 06 07 07 07 07 07 07 07 07 07 07 07 Employees Assist ed 46 43 138 155 220 178 313 102 87 145 157 205 273 Overtime 1765 1785 2654 1451 1147 1721 1086 1384 1459 1483 1637 1420 1783 Cit izens Assist ed 57 96 153 84 146 105 193 37 68 71 145 135 130 Sick 1410 1708 2699 1767 3000 1759 3532 1596 1991 3096 1741 2337 2308 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Category Total 06 06 07 07 07 07 07 07 07 07 07 07 07 Caucasian 312 311 310 312 315 315 319 322 324 328 328 333 341 N/A Minorities 68 68 68 68 68 68 69 69 69 69 69 68 68 N/A Hired 3 1 2 2 5 0 5 3 2 4 0 5 8 40 Terminated/Resigned/Retired 1 2 3 2 2 1 2 0 2 2 6 1 0 24 Promoted 0 1 2 0 0 2 0 1 4 1 4 3 0 18 Jobs Posted 2 5 6 1 6 8 3 2 5 12 5 7 7 69 Workers Comp. Injuries 6 3 1 2 9 1 5 6 7 4 5 7 5 61 Workers Comp. Hours 322 62 247 160 341 477 357 481 606 428 24 172 273 3950 Workers’ Comp. hours may not be the result of injuries that occurred during the current month. • Jobs Posted: Animal Control Officer, Engineering Fieldman (In-House – IBEW), Substation Technician (In-House – IBEW), Custodian II (In-House), Motor Equipment Operator I (Water/Wastewater), Motor Equipment Operator I (Streets), Water/Wastewater Project Supervisor. • Employee (s) Hired – Fire Dispatcher, Human Resources Clerk, Water Treatment Operator I, Library Clerk I, Police Clerk II, Nurseryperson I, Motor Equipment Operator II (Construction), Electrical Engineer I. Workers' Comp Injuries Workers' Comp. Hours 15 500 400 10 300 200 5 100 0 0 Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Nov Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 P ublic Utilities P ublic Services P o lice Others P ublic Utilities P ublic Services P o lice Others Public Utilities: 0 Public Services: 2 Police: 1 Others: 2 Public Utilities: 0 Public Services: 0 Police: 152 Others: 121 SOP / CIP Updates • Effectively negotiate a labor agreement with the IUE and IBEW by June 2007. The IUE contract was approved by Council on November 26, 2007. IBEW agreement was reached and approved in June of 2007. • Develop an RFP and hire a management consultant who will prepare a report evaluating the PFP system based on analysis. Final report by January 2008. Meetings with the consultants have been scheduled for December. • Assist the Pension Board in developing alternatives to the standard across the board Pension COLA that would provide compensation to those retirees in the most need without substantially increasing the pension liability. Research, analysis, and report should be provided prior to February 2008. Public sector HR Directors have been contacted for their past or current practice. Suggestions were developed and discussed with the Pension Board in November. Additional information has been requested prior to January’s pension Board meeting • Streamline insurance claim processing and develop the ability for the essential users to view the progress of liability claims throughout the insurance process. This will be completed by March 2008. A detailed spreadsheet has been prepared and all claims are scanned into Fortis. Coordinating efforts continue with IT to allow additional personnel the appropriate permissions to view claim files. • Develop two additional new Supervisory Training modules and programs utilizing both internal and external resources. This is to be completed by January 2008. Leadership skills will be the primary focus. Nothing new to report. • Develop and hold government mandated Workplace Harassment Training for all City of Dover employees by May 2008. Training sessions are scheduled for January through March 2008. 4

INFORMATION TECHNOLOGY Service Requests Resolved www.DoverDE.net 400 100 $800 80 $600 300 347 309 60 $400 200 287 279 245 255 244 267 227 40 $200 213 225 208 208 100 20 $0 0 0 -$200 No v Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v No v Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 A ctive Custo mers Net Inco me Service terminated October 2007 Supported PCs WWW. Dover.De. Us 300 150,000 125,000 250 100,000 244 239 200 235 235 234 239 243 240 227 229 229 227 75,000 117,658 226 88,155 88,155 98,674 95,698 50,000 71,052 77,340 58,841 68,714 150 66,775 59,613 35,380 25,000 100 - - No v Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v No v Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 * August 2007 not available as the website was moved from USLEC to hostMySite. Performance Indicators Current Month Last Month Same Month Last Year iSeries Availability 100% 100% 100% Server Availability 100% 100% 100% Programming Requests Completed 10 12 10 AS/400 Connections (concurrent/authorized users) 37% 35% 35% PCs Supported 226 227 235 Servers Supported 17 17 8 (Availability statistics based on 7:00 a.m. to 5:00 p.m. M-F) SOP / CIP Updates • E-Government Services. Nothing new to report. • iSeries System (main computer) Replacement. Replacement completed in September 2007 as part of the life cycle program. • Implement City-wide Document Imaging System. Survey internal customers to confirm direction of imaging system expansion. Current vendor and software received very high marks. • Replacement of Tax Assessment Software. Contract signed for CAMA (Computer Aided Mass Appraisal) Software, the server has been ordered and set-up. • GIS Pilot Project. Met with State’s Fleet Administrator to view their accomplishments with GIS technology. 5

PARKS, RECREATION & LIBRARY Library Adult Services Children Services 4000 2000 3500 3000 1500 2500 2000 1000 1500 1000 500 500 0 0 No v Dec Jan Feb M ar A pr M ay June July A ug Sept Oct No v No v Dec Jan Feb A pr M ay June July A ug Sept Oct No v 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 Reference Reader's A dviso ry Outreach Electro nic A ssistance Reference Reader's A dviso ry Outreach Electro nic A ssistance Reference: 808 Reader’s Advisory: 122 Reference: 99 Reader’s Advisory: 93 Outreach: 718 Electronic Assistance: 439 Outreach: 428 Electronic Assistance: 23 Circulation NOV 07 FYTD 08 NOV 06 FYTD 07 Dover residents 14,668 81,558 15,452 79,786 Kent residents 16,387 87,620 15,523 82,930 Non-county residents 1,307 6,804 2,591 7,460 Registrations Dover residents 166 1,231 326 1,952 Kent residents 159 1,064 274 1,619 Non-county residents 3 76 15 73 Other Visiting patrons 32,365 168,977 31,809 176,693 Meeting room usage 100 860 220 940 Photocopier usage 1,249 6,113 2,877 12,259 Dial-a-Story 634 6,585 2,110 9,272 Internet usage 5,472 28,650 5,967 30,360 Holds Placed 4,594 23,252 5,664 24,258 Breakout of Kent County Residential Statistics Circulation Registrations Harrington: 157 Harrington: 1 Smyrna: 1,000 Smyrna: 5 Milford: 294 Milford0 Outside City Limits: 14,936 Outside City Limits: 153 Other Points of Interest Interlibrary: 2,819 items loaned out Technical services: 1,144 items added 2,301 items borrowed 1,600 items deleted Volunteers: 92.50 hours of service completed SOP / CIP Updates • Develop potential locations, funding sources, and preliminary operating concepts for regional library in Dover. Met with newly appointed Library Building Committee and the building project strategy has been completed and is currently being implemented. • Acquire laptop computers and related equipment to be used primarily for public computer training classes. The Parks, Recreation and Community Enhancement Committee approved the purchase of laptops and other equipment on September 11, 2007. Order for laptops and other equipment has been placed with IT. 6

Parks and Recreation Recreation Revenue Recreation Revenue Breakdow n $38,210 $ 50,000 $40,000.00 $ 40,000 $30,000.00 $15,196.36 $ 30,000 $14,747 $20,000.00 $9,180 $ 20,000 $7,772 $6,117 $3,672 $3,067 $5,120 $3,223 $3,069 $10,000.00 $2,215 $1,743 $ 10,000 $0 $0.00 Nov Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov No v Dec Jan Feb M ar A pr M ay June July A ug Sept Oct No v 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 General: $0 Rental Payments: $378 Sports: $30 Leagues: $2,230 Trips: $341 Rentals NOV 07 FYTD 08 NOV 06 FYTD 07 Baseball/Softball Field Rentals* 0 180 0 186 Dover Park Pavilions (2) 0 25 0 23 Multipurpose/Field Hockey Field Rentals* 0 30 1 39 Recreation Center 31 132 19 89 Silver Lake Pavilions (2) 0 26 0 26 Soccer Field Rentals* 3 14 3 14 Stage 1 16 1 17 *These numbers reflect groups that utilized our facilities during November. Program Attendance** NOV 07 FYTD 08 NOV 06 FYTD 07 Hip Hop Dance Class 12 55 14 14 Lean–N-Play – All Sports 10 59 8 40 New York City Bus Trip 47 19 101 84 **The program attendance report reflects programs that ended in the month of November Fall Softball Highlights • Nothing new to report SOP / CIP Updates • Construction of the John W. Pitts Recreation Center – Project #PR0501. Construction is currently underway and on-schedule. Bi- weekly progress meetings continue. • Playground Equipment Purchase – Project # 0706: Nothing new to report. • Schutte Park Land Improvements – Project # PR0702. Nothing new to report. • Mirror Lake Dredging – Project #PR0703. Nothing new to report. • Park and Playground Improvement Program – Project #PR0704. Work has begun on basketball court at Dover Park. Project will be completed in Spring when weather is conducive for the materials used for paving the court. 7

PUBLIC SERVICES Administration Administrative review and inspection services continued on all residential and commercial developments. The following residential subdivisions are in various phases of construction: Oak Shadows Emerald Pointe Lexington Glenn Village of Westover (Phase VI) Four Seasons Nottingham Meadows Stoney Creek (Phase II) Seskinore Village of Cannon Mill Maple Glen Clearview Meadows Eden Hill Somerset Park Patriot Village Sanitation Monthly Total Refuse Collection (Tons) Sanitation Hours 1600 1027 1234 1250 1148 1074 1125 1120 1091 1040 1,028 1061 994 1058 1000 530.6 1200 954 982 609 825 620 742 750 568 800 556 592 577 560 416 444 497 484 486 442 500 385 27 13 400 253 250 35.5 23.5 0 0 Hand Trash Bulk Collection Goods Pickup Mechanized Repair/Delivery Collection Collection Electronic Container Nov Dec Jan Feb Mar April May June July Aug Sept Oct Nov Nov ember 07 06 06 07 07 07 07 07 07 07 07 07 07 07 B ulk A uto mated Nov ember 06 NOV 07 FYTD 07 NOV 06 FYTD 06 Tons Dry Waste Collected 140.13 937.92 199.52 1,578.77 Tipping Fee Savings Realized $2,732.54 $18,289.46 $3,890.64 $3.,786.02 Trips to DSWA Sandtown Landfill 286 1,594 322 1,889 Total Tonnage to DSWA 1,482.00 7,780.93 1,704.41 9,074.51 90-Gallon Containers Delivered 27 198 44 231 300-Gallon Containers Delivered 4 19 1 13 Streets NOV 07 FYTD 08 NOV 06 FYTD 07 Signed Installed 9 151 0 97 Signs Repaired 5 43 1 34 Curbs Painted Yellow (feet) 0 2,706 251 281 New Post Installed 2 35 4 47 Storm Catch Basins Cleaned 0 0 75 575 Hot Mix Patching (Tons) 0 167 0 147 Cold Mix Patching Hrs.) 22 101 8 88 Concrete Work (Hrs) 0 606 0 988 Concrete Patching (Cubic Yards) 10 51 0 94 Street and Alley Maintenance (Hrs) 141 796 100 2,195 Street Sweeping (Miles) 0 5,439 0 4,480 Street Sweeping (Cubic Yards) 0 1,050 0 935 Leaves Collected (Cubic Yards) 3,037 4,237 5,955 6,980 Leaf Collection (Miles) 3,925 5,225 2,281 3,608 8

Grounds Arborist Crew NOV 07 NOV 06 Trees Removed 11 32 Trees Pruned 3 2 The majority of the man-hours were devoted to decorating trees with Christmas lights on Loockerman Street, The Plaza, Kings Highway, the Route 8 island, Governors Avenue and the Gateway. Beautification Crew Pulled all the chrysanthemum beds, hauled in leaf compost and began tilling the beds. Began planting 75,000 tulips, daffodils and hyacinth bulbs in 53 beds and 18 containers on Loockerman Street. Landscape Repair/Special Projects Crew Assisted with tilling, raking, and planting spring flowering bulbs in the beds. Assisted with set up of the bleachers for the Festival of Lights. Blowing leaves off sidewalks on Loockerman Street Towed three floating Christmas trees out on the lakes. Grounds Maintenance/Mowing Crews Completed mowing for the year. Leaf collection began at the following locations: The Plaza, City Hall, the Library and Weyandt Hall, Myers Park. Assisted the small engine mechanics with removing the mowing decks and installing the cabs and plows for snow removal. SOP/CIP Updates (percentages below represent percent completed) Generic Subdivision Signs – 40% Silver Lake Dam Improvements – 8% FY08 Street Program – 55% FY08 Concrete Program – 82% Wesley College Parking Lot Program – 100% 9

PUBLIC UTILITIES Electric System Peak Total System Load 174.8 163.0 162.0 100,000 80,660 200.0 149.8 77,218 137.2 137.3 70,056 67,824 114.0 64,231 150.0 106.1 60,725 61,139 80,000 102.0 103.0 103.0 101.0 58,779 59,026 59,059 98.7 56,697 54,707 56,064 MW 100.0 MWH 60,000 50.0 40,000 0.0 Nov Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov 20,000 Nov Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 06 06 07 07 07 07 07 07 07 07 07 07 07 Outages Number of Customers Gained/Lost 30 18,000 16,000 25 150 14,000 117 Customers 20 12,000 Outages 10,000 100 95 15 8,000 80 82 73 70 10 6,000 66 64 53 4,000 41 5 50 39 2,000 31 0 0 12 Oct Nov Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov 06 06 06 07 07 07 07 07 07 07 07 07 07 07 0 Nov Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Outages Customers 06 06 07 07 07 07 07 07 07 07 07 07 07 Outages: 4 Customers: 877 ELECTRIC OUTAGE REPORT OUTAGE # OF DATE TIME OUT TIME IN LOCATION DEVICE ACTION # CUST 1 11-02 07:55 AM 08:20 AM 9 Greenview Drive Fuse 60 Replaced Fuse 2 11-06 10:39 AM 11:10 AM 1117 Charles Drive Fuse 31 Replaced Fuse 3 11-17 12:05 PM 04:02 PM East Emerson Drive Fuse 237 Replaced Fuse 4 11-21 09:28 AM 10:07 AM 620 Carriage Lane Fuse 39 Replaced Fuse 10

Engineering Services Completed Projects Active Projects / % Completed Projects in Design / % Completed − Creek Stone Center − Grandview Mobile Home Park - 80% •− Fiber Map - 0% − Lexington Glenn - 80% •− Wawa, Bay Court Plaza - 90% − Clearview Phase 1, 2, 3 - 50% •− Feeders 3 & 4, Phase II - 60% •− Cahne Medical Building - 0% − Feeders 3 & 4, Phase I - 5% •− North Street Improvements - 50% − Tall Pines, Dover Kenton Road - 10% •− Cannon Mill, Phase III - 100% − Nottingham Meadows - 50% − Dover Saturn - 100% − Cannon Mill, Phase II - 80% − Robert W. O’Brien Building - 0% − Village of Westover, Phase VI -15% − State Street Commons - 100% − Kent Acres Rehab. - 40% − Wawa, Court Street - 0% − Cedar Chase Hotel - 80% − Eden Hill, Residential - 5% − SR1/SR9 Rebuild - 0% − Kesselring Farm - 100% − 69 KV Relocation Frazier - 90% − Eden Hill Medical Center - 80% − Route 8 & Salisbury Road - 100% − Mainstay Suites Hotel - 90% − Collegian Complex - 40% − Stover Professional Center, 508 - 90% − 793 Queen Street, Bayhealth - 100% − Dover Air Force Base, Phase III - 95% − College Road Distribution - 5% − Dover Air Force Base, Phase IV - 70% − Schoolview Development - 100% − Dover Air Force Base, Phase V - 0% − Legislative Hall - 100% − Sonic, North Dover - 50% − Kenton Child Care - 0% − Dover Station - 50% − Dover Transit - 0% − 1600 N. Little Creed Road - 0% − Dove View Development - 0% − Spence’s Bazzar - 0% − Governors Avenue - 0% − South Governors Avenue Lighting - 0% − Mayfair Bus Work - 0% − Brentwood - 0% − Commerce Bank - 0% − Kent General Hospital - 0% − Fiber Upgrade - 0% − North State Street Lighting - 0% − Kids R Us Daycare - 0% Transmission and Distribution % Underground Work % Completed Overhead Work Completed − Cannon Mill Ongoing − Overhead Maintenance Ongoing − Total 4-12 KV conversion 100% − Maintenance of City Lighting Ongoing − Clearview Ongoing − Rebuild Mayfair Substation 100% − Lexington Glenn Ongoing − Animal Protection includes: 100% − Dover Air Force Base - new infrastructure install Ongoing o Schoolview o Huntly Cirlce − Nottingham Meadows Ongoing o Morris Estates − Capitol Park - upgrade to underground 70% o Edgehill − Seskinore Development 95% − Dickies BBQ 100% − Infrared Testing & Repairs 60% 66% − Blue Light Installation (2 of 3) − Vera’s Haven 99% − Rigley Street Storage 60% − Stover Professional Center 75% − Kent Acres 10% − Phase III – Sonic, North DuPont Highway 100% − Phase III – Bay Health, Queen Street 100% 11

FY 08 Meter Stats Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov 06 06 07 07 07 07 07 07 07 07 07 07 07 Radio Read Meter Installations 483 346 635 380 370 249 205 177 219 530 270 223 511 Meters Tested 738 677 1399 648 570 506 494 368 179 962 622 281 838 Meters Junked 245 337 603 283 261 245 193 129 79 382 235 127 374 Meters Removed 5 14 13 12 16 20 11 5 20 15 2 27 30 Meter Changes 402 295 523 298 341 183 1273 94 110 392 224 137 385 New Services 68 26 93 69 20 55 63 63 95 112 35 496 105 Services Retired 1 3 3 4 1 2 2 4 6 3 0 31 12 System Operations Center Switching schedules 12 10 20 17 17 13 12 18 7 14 18 20 8 Work orders 798 630 666 428 456 1,579 636 636 512 614 6,757 1,135 804 Miss Utility tickets called back 1,923 1,395 1,623 1,438 2,238 1,706 1,914 2,607 1,528 2,008 2,162 2,488 2,026 Tickets located 1,988 1,311 1,743 1,344 2,085 2,559 2,871 2,532 2,295 3,114 3,069 3,771 2,946 Substation Relay Substation Status North Street Replaced Breakers 3050 & 3070 McKee Run Installed new relay settings SOP / CIP Updates • Develop an Electric Department mapping system to assist crews with power restoration. Mapping system is up and running. • Hire two junior engineers to replace senior system engineer and senior SCADA technician. Electrical Engineer position filled – SCADA Technician pending evaluation. • Continue the Blue Light Security program in the City of Dover – Project #EE0709. Three Blue Lights have been received and two have been installed. • Leverage and maximize the use of existing fiber optic outside plant and conduit by enhancing the existing fiber optic network and sharing these facilities with key community stakeholders – Project #PR0710. RFP was approved by Council and the contract was awarded to Columbia Tele Communications. CIP Project % Completed CIP Project % Completed Mayfair 69/12 KV Transformer and Breaker – 5% Meter Testing Bench 90% Project #ES0105 Lighting Project and Rehabilitation – Project 69 KV Feeders 3 and 4 – Project #EE0601 70% 10% #EE0605 UG Transformers – New Construction College Road Replacement of 69KV UG Conductor Devices – New Construction 0% 0% Breakers – Project #EE0809 Project #EE0808 Radio Read Meter Changeout – Project Lebanon Transformer – Project #EE0701 10% 75% #ET0501 Danner Replacement of 69 KV Breakers – Relay Substation Equipment – Project 0% 60% Project #EE0811 #EE0801 Transmission Relpay Upgrade – Project Fiber Optics Replacement – Project 30% 50% #EE0806 #EE0710 Replacement of 69 KV Breakers – Project Disitribution Capacitors, Underground – 70% 0% #EE0408 Project #EE0810 Distribution Capacitors Overhead – Project 0% North Street RTU – Project #EE0804 10% #EE0805 Distribution Upgrades FY08 – Project Horsepond Transformer – Project #EE0802 0% 90% #EU0808 Lighting Project & Rehab – Project #EE08xx 60% 12

Water/Wastewater Water Production/Billed Consumption/Flow to Kent County 300 250 Million Gallons 200 150 100 50 0 Nov 06 Dec 06 Jan 07 Feb 07 Mar 07 Apr 07 May 07 Jun 07 Jul 07 Aug 07 Sep 07 Oct 07 Nov 07 Total Water Production Billed Consumption Total Flow to Kent County City Readings Total Water Production: 138,112,000 Billed Consumption: 126,467,000 Total Flow to Kent County: 127,324,600 City Readings: 62,664,600 NOV 07 NOV 06 Water Production – Daily Average 4,603,733 4,798,333 Fire Hydrants – Flushed 0 0 Fire Hydrants – Tested 26 14 Final Readings 608 174 Cutoffs 14 20 Turn Ons 13 18 New Inspections 24 20 Curb Boxes Located 47 60 Curb Boxes Adjusted 4 6 Water Service Lines Repaired 5 1 Water Meters Repaired 21 16 Radio Technology Installations 285 66 New Meters Added 27 24 Total Water Meters in City Distribution System 13,381 13,070 NOV 07 NOV 06 L.F. Sewer Lines Flushed 34,846 54,601 Sewer Lines Inspected 44,446 57,001 Feet Sewer Mains Videotaped 500 0 Manholes Inspected 221 266 Manholes Cleaned 285 240 13

SOP / CIP Updates • Reduce number of brown water complaints through the implementation of the Water Quality Improvements Program – Project #WD0811/WS0707. The vaults for the next six contact chambers were received. Design adjustments for the six remaining deep well locations have been made and a materials list has been developed by staff. Primary materials will be put out to bid in December. Staff continues to work on easement development and conflict resolution with outside parties. • Reduce cost to the City arising from inflow/infiltration – Project #WS0501. Staff continued to work on cost estimation and RFP development for the work that has been identified through the Inflow & Infiltration Study and investigations performed by City crews. • Increase the metering accuracy of the water/sewer utility through the expansion of the Meter Reading Technology Upgrade Project – Project #WS0802. The budget for this program increased to $366,300 for FY 2008. Currently, 28 percent of the budget has been spent. • Increase the mapping accuracy of the water/sewer utility through the expansion of GIS. The new GIS Technician is began in October and approximately 30 percent of the water system has been entered. CIP Project (Water) Percent Completed Cheswold Well (#8) Replacement) – Project #WS0705 20% Meter Reading Technology Upgrade – Project #WS0802 29% Wellhead Redevelopment – Project #WD0801 3% Wellhead VFD Upgrades - #11 – Project #WD0808 8% Wellhead VFD Upgrades - #13R – Project #WD0809 8% Wellhead VFD Upgrades - #15 – Project #WD0810 8% Water Quality Improvements – Project #WD0811 31% Bayard Avenue Contact Chamber – Project #WS0707 99% Remote Control & Monitor Wells – Project #WD0802 6% Emergency Generators (Wells) – Project #WD0803 0% 1.0 MG Elevated Water Storage Tower – Project #WD0804 1% Piney Point Well – Project #WD0805 1% Scarborough Road Interconnection – Project #WD0601 1% Miscellaneous Distribution System Improvements – Project #WD0806 35% South Governors Avenue Water Main Upgrade – Project #WD0807 0% CIP Project (Wastewater) Percent Completed Meter Reading Technology Upgrade – Project #WS0802 26% Inflow / Infiltration Removal Study – Project #WS0501 (2008 only) 0% Inflow / Infiltration Removal – Project #WW0803 1% SCADA System Tech Upgrade – Project #WW0804 5% Lafferty Lane Package Pump Station Replacement – Project #WW0805 5% White Oak Farms PS VFD’s – Project #WW0806 8% US 13 East Sanitary Sewer Interceptor – Project #WW0810 5% Dover East Pumping Station & Force Main Replacement – Project #WW0807 1% Misc. Sewer System Improvements – Project #WW0808 0% South Governors Avenue Sewer Main Upgrade – Project #WW0809 0% Construction Utility Crew 1. Electric Utility - Worked on easement construction between White Oak Road and Long Point Road. 2. Contact Chambers – Received 6 concrete vaults and started installation of the chamber at Well #4. (75% complete) 3. Wastewater – Assisted water/waste water maintenance crew replace section of sewer lateral at 606 N. Bradford Street. 14

CITY MANAGER’S MONTHLY REPORT December 2007

MONTHLY HIGHLIGHTS Customer Services • Meeting held with IT to discuss the preparations needed to offer on-line bill payments. Budget, Program Development • Met with various members of staff regarding the budgeting process. • Attended HTE version 5 kick-off meeting. Human Resources • Human Resources & Safety Coordinator attended NPERLA Labor Relations Class. • Completed the 2007 United Way Campaign. Information Technology • Coordinated and held HTE version 5 kick-off meeting with all departments. • Annual computer Life Cycle process was completed. All PCs were donated to Delaware non-profit agencies. Parks, Recreation, & Library • The annual Food Drive supplied food for the following food banks: Shepherd’s Place, Whatcoat Social Services and Calvary Church. • Caroling on the Green recorded approximately 750 attendees to this year’s event. • The Library recorded 435 people attending 18 children’s programs. Public Services • Provided technical assistance to the Planning Office for the Source Water Protection Overlay Zone and assisted with the Inflow/Infiltration presentation to the Utility Committee. • Began review of GPS to assist with Fleet tracking and management. Public Utilities • The division welcomed new employees Emanuel Ridgway, Sr. (Construction Crew Leader), and Steven Moxley (Utility Maintenance Mechanic I). • Coordinated fund raising drive for injured Smyrna lineman Bill Evans. 1

CENTRAL SERVICES Fleet Operations & Maintenance Costs Extensions of Credit 100,000 200 90,000 80 0 738 80,000 70 0 666 649 630 Total Dollars 70,000 150 595 571 60,000 60 0 547 539 495 479 50,000 50 0 429 412 40,000 100 40 0 369 30,000 20,000 30 0 10,000 50 20 0 Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 10 0 Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- 07 Aug- Sep- Oct- Nov- Dec- To tal Do llars To tal Wo rk Orders 06 07 07 07 07 07 07 07 07 07 07 07 Work Orders: 104 Electric: $669,631.71 Fleet Maintenance: $ 9,579.67 (excludes Melvin’s Sunoco) Water: $ 29,585.21 Fuel: $46,254.52 General: $ 37,698.51 Stock Purchases by Fund Warehouse Stock $ 3,750,000.00 2,700 $ 950,000 $ 3,500,000.00 $ 850,000 2,500 $ 750,000 $ 3,250,000.00 $ 650,000 2,300 $ 3,000,000.00 $ 550,000 $ 450,000 $ 2,750,000.00 2,100 $ 350,000 $ 2,500,000.00 $ 250,000 1,900 $ 2,250,000.00 $ 150,000 $ 50,000 $ 2,000,000.00 1,700 Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 07 Electric Water General To tal Do llar Value To tal Line Items Electric: $ 145,798.03 Total Dollar Value: $3,880,523.83 Water: $ 1,590.71 Total Line Items: 1,955 General: $ 5,427.84 SOP / CIP Updates (percentages below represent percent completed) FY07 – Ongoing Projects • Renovation of Pear Street Warehouse – Project #SP001. Ongoing – three-year project (45%). • Space Needs Study Implementation – Project #FM0803 Finance Department moved to new location on 10/31/2007. Project completed (100%). Remodeling of Finance space at City Hall for Public Services has begun. (20%) FY08 – New Projects • Fleet Exhaust Extraction System – Project #FL801. Vendors have been contacted for information (25%). • Fire Suppression System in I/T - #FM0802. Bid awarded to Comprehensive Fire Technologies (75%). • Replace fuel pumps in the City yard by December 2007. Nothing new to report. 2

CUSTOMER SERVICES Work Orders Processed Extensions of Credit 2,500 2,139 80 0 738 1,893 1,776 1,822 1,741 666 1,699 649 2,000 70 0 1,642 1,650 630 1,507 1,573 595 1, 455 1,490 1,480 60 0 547 571 539 1,500 495 479 50 0 429 412 1,000 40 0 369 30 0 500 20 0 0 10 0 De c- Jan - Feb - Ma r- Ap r- M ay- J un - J ul -07 Au g- Se p- Oct- No v- D ec - Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- 07 Aug- Sep- Oct- Nov- Dec- 06 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 Write-Offs / Electric & Trash Bills The proposed electric write-off being submitted is in the amount of $17,823.91. This is the second write-off for fiscal 2008 and is .13% percent of the revenue ($14,034,496) for the write-off period October 2005 until December 2005. The City collected 99.87% of all bills for the write-off period. For every $100 of revenue the City billed in the write-off period, $.06 was not collected. According to the APPA, the industry standard for collections among publicly held utilities of similar size is 99.74% of total electric revenue. The accounts are currently assigned to our collection agency and will remain there even when they have been written off. A complete list of accounts is available upon request. The proposed trash write-off being submitted is in the amount of $385.59. This is the second write-off for fiscal 2008 and is .14% of the revenue ($269,242) for the write-off period October 2005 until December 2005. The City collected 99.86% of all bills for the write-off period. For every $100 of revenue the City billed in the write-off period, $.14 was not collected. This list consists of accounts which have shown no account activity for a period of one year or longer. FY 2008 FY 2007 Dec 2007 Dec 2006 Difference Year-to-Date Year-to-Date Final Bills 605 516 89 4,168 3,642 Estimated Bills 154 166 (12) 917 1,449 Penalties Posted $ 14,460 $ 15,297 $ (837) $ 94,264 $ 85,507 Extensions of Credit - Amount Extended $ 86,621 $ 107,295 $ (20,674) $ 781,345 $ 1,297,446 Balance Transfers $ 2,047 $ 2,792 $ (745) $ 26,040 $ 26,967 Utility Collections $ 68,333 $ 18,090 $ 50,244 $ 196,218 $ 153,350 Special Assessments $ - $ 140 $ (140) $ 1,647 $ 2,275 Miscellaneous Billings $ - $ 99,772 $ (99,772) $ 96,466 $ 376,413 Returns - Checks $ 32,280 $ 15,537 $ 16,743 $ 176,256 $ 117,200 Return Check Charges $ 1,998 $ 304 $ 1,693 $ 20,772 $ 7,388 Cuts for Non-Payment (CNP) 708 960 (252) 3,830 3,620 CNP through Disconnect Collars 30 30 - 164 25 Cuts for Non-Payment - Amount $ 140,022 $ 323,362 $ (183,340) $ 834,009 $ 737,378 Reconnects - Service Charges $ 19,950 $ 21,050 $ (1,100) $ 127,000 $ 100,575 Court Cases - - - - - Tamperings - - - 3 3 SOP / CIP Updates • Re-sequence and reroute meter routes. Since the beginning of the fiscal year a total of 2,119 water meters and 1,010 electric meters have been changed out. • Payment of property tax bills through the City of Dover web site. This payment option will also be available to utility customers during this fiscal year. Delinquent tax properties have been selected to submit for monition sale. A total of 69 properties will be sent to the City Solicitor for processing. The selection list is updated as payments are received. • Install an Itron Mobile Collection System with GPS mapping in Meter Reading to maximize efficiency, reduce costs, and improve performance. The water/wastewater radio read installations have increased due to added staff. Delivery of the Itron Mobile Collection System for Meter Reading is expected at the end of January 2008. 3

HUMAN RESOURCES Custom er Service Contacts Payroll Hours 800 6000 700 600 5000 500 4000 400 300 3000 200 100 2000 0 Dec Jan Feb Mar Apr May Jun Aug Sep Oct Nov Dec 1000 Jul 07 06 07 07 07 07 07 07 07 07 07 07 07 0 Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec Applicat ions Pr ocessed 193 321 91 111 234 62 5 116 269 239 155 164 43 06 07 07 07 07 07 07 07 07 07 07 07 07 Employees Assist ed 43 138 155 220 178 313 102 87 145 157 205 273 84 Overt ime 1785 2654 1451 1147 1721 1086 1384 1459 1483 1637 1420 1783 1759 Cit izens Assist ed 96 153 84 146 105 193 37 68 71 145 135 130 65 Sick 1708 2699 1767 3000 1759 3532 1596 1991 3096 1741 2337 2308 2051 Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Category Total 06 07 07 07 07 07 07 07 07 07 07 07 07 Caucasian 311 310 312 315 315 319 322 324 328 328 333 341 342 N/A Minorities 68 68 68 68 68 69 69 69 69 69 68 68 69 N/A Hired 1 2 2 5 0 5 3 2 4 0 5 8 2 39 Terminated/Resigned/Retired 2 3 2 2 1 2 0 2 2 6 1 0 1 24 Promoted 1 2 0 0 2 0 1 4 1 4 3 0 2 20 Jobs Posted 5 6 1 6 8 3 2 5 12 5 7 7 1 68 Workers Comp. Injuries 3 1 2 9 1 5 6 7 4 5 7 5 3 58 Workers Comp. Hours 62 247 160 341 477 357 481 606 428 24 172 273 389 4017 Workers’ Comp. hours may not be the result of injuries that occurred during the current month. • Jobs Posted: Motor Equipment Operator I (Grounds) • Employee (s) Hired: Utility Construction Crew Leader, Utility Maintenance Mechanic I Workers' Comp Injuries Workers' Comp. Hours 15 500 400 10 300 200 5 100 0 0 Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 07 P ublic Utilities P ublic Services P o lice Others P ublic Utilities P ublic Services P o lice Others Public Utilities: 0 Public Services: 2 Police: 2 Others: 2 Public Utilities: 0 Public Services: 0 Police: 152 Others: 121 SOP / CIP Updates • Effectively negotiate a labor agreement with the IUE and IBEW by June 2007. The IUE contract was approved by Council on November 26, 2007. IBEW agreement was reached and approved in June of 2007. • Develop an RFP and hire a management consultant who will prepare a report evaluating the PFP system based on analysis. Final report by January 2008. Meetings with the consultants were conducted in December. • Assist the Pension Board in developing alternatives to the standard across the board Pension COLA that would provide compensation to those retirees in the most need without substantially increasing the pension liability. Research, analysis, and report should be provided prior to February 2008. Public sector HR Directors have been contacted for their past or current practice. Suggestions were developed and discussed with the Pension Board in November. Additional information has been requested prior to January’s pension Board meeting • Streamline insurance claim processing and develop the ability for the essential users to view the progress of liability claims throughout the insurance process. This will be completed by March 2008. A detailed spreadsheet has been prepared and all claims are scanned into Fortis. Coordinating efforts continue with IT to allow additional personnel the appropriate permissions to view claim files. • Develop two additional new Supervisory Training modules and programs utilizing both internal and external resources. This is to be completed by January 2008. Leadership skills will be the primary focus. In early December, two new modules were presented to the City Manager for approval • Develop and hold government mandated Workplace Harassment Training for all City of Dover employees by May 2008. Training sessions are scheduled for January through March 2008. 4

INFORMATION TECHNOLOGY Service Requests Resolved 400 300 347 The DoverDe.net service that used to be charted here 309 287 279 was terminated October 2007. Coming in January - 200 255 244 227 267 213 208 225 statistics on the new Citizen Request Management 208 100 System. 156 0 Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 Supported PCs WWW. Dover.De. Us 300 150,000 125,000 250 100,000 244 243 200 235 239 239 229 229 234 240 75,000 227 227 226 225 117,658 88,155 88,155 98,674 95,698 50,000 61,128 150 66,775 77,340 68,714 59,613 58,841 35,380 25,000 100 - - Dec Jan Feb M ar A pr M ay Jun Jul A ug Sep Oct No v Dec Dec Jan Feb M ar Apr M ay Jun Jul Aug Sep Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 07 August 2007 not available as the website was moved from USLEC to hostMySite. Performance Indicators Current Month Last Month Same Month Last Year iSeries Availability 100% 100% 100% Server Availability 100% 100% 100% Programming Requests Completed 2 10 6 AS/400 Connections (concurrent/authorized users) 38% 37% 35% PCs Supported 225 226 235 Servers Supported 17 17 8 (Availability statistics based on 7:00 a.m. to 5:00 p.m. M-F) SOP / CIP Updates • E-Government Services. Meetings held with IT to discuss the preparations needed to offer on-line bill payments. • iSeries System (main computer) Replacement. Replacement completed in September 2007 as part of the life cycle program. Project completed. • Implement City-wide Document Imaging System. Committee Action for prepared for LF&A Committee presentation in January. • Replacement of Tax Assessment Software. Contract signed for CAMA (Computer Aided Mass Appraisal) Software, the server has been ordered and set-up. Project Completed. • GIS Pilot Project. Met with local company currently using technology. Demonstration will be scheduled for the City Manager in January. 5

PARKS, RECREATION & LIBRARY Library Adult Services Children Services 4000 2000 3500 3000 1500 2500 2000 1000 1500 1000 500 500 0 0 Dec Jan Feb M ar A pr M ay June July A ug Sept Oct No v Dec Dec Jan Feb A pr M ay June July A ug Sept Oct No v Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 Reference Reader's A dviso ry Outreach Electro nic A ssistance Reference Reader's A dviso ry Outreach Electro nic A ssistance Reference: 824 Reader’s Advisory: 124 Reference: 99 Reader’s Advisory: 76 Outreach: 73 Electronic Assistance: 448 Outreach: 437 Electronic Assistance: 28 Circulation DEC 07 FYTD 08 DEC 06 FYTD 07 Dover residents 13,470 95,028 12,427 92,213 Kent residents 14,708 102,328 12,442 95,372 Non-county residents 1,026 7,830 725 8,185 Registrations Dover residents 136 1,367 224 2,176 Kent residents 104 1,168 192 1,811 Non-county residents 22 98 250 323 Other Visiting patrons 28,975 197,952 26,400 203,093 Meeting room usage 160 1,020 60 1,000 Photocopier usage 980 7,093 785 13,044 Dial-a-Story 545 7,130 1,972 11,244 Internet usage 4,923 33,573 2,824 33,184 Holds Placed 4,043 27,295 4,196 28,454 Breakout of Kent County Residential Statistics Circulation Registrations Harrington: 169 Harrington: 2 Smyrna: 864 Smyrna: 5 Milford: 287 Milford: 0 Outside City Limits: 13,338 Outside City Limits: 97 Other Points of Interest Interlibrary: 2,309 items loaned out Technical services: 510 items added 2,074 items borrowed 824 items deleted Volunteers: 97 hours of service completed SOP / CIP Updates • Develop potential locations, funding sources, and preliminary operating concepts for regional library in Dover. A meeting of the Library Building Committee is scheduled for January 2008. • Acquire laptop computers and related equipment to be used primarily for public computer training classes. Laptops and other equipment have been ordered. Currently waiting for installation. 6

Parks and Recreation Recreation Revenue Recreation Revenue Breakdow n $40,000.00 $38,210 $ 50,000 $ 40,000 $30,000.00 $15,196.36 $ 30,000 $14,747 $20,000.00 $9,180 $ 20,000 $7,772 $6,117 $3,672 $3,067 $5,120 $3,223 $3,069 $1,743 $ 10,000 $10,000.00 $713 $0 $0.00 Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 06 07 07 07 07 07 07 07 07 07 07 07 07 General: $0 Rental Payments: $175 Sports: $50 Leagues: $180 Trips: $308 Rentals DEC 07 FYTD 08 DEC 06 FYTD 07 Baseball/Softball Field Rentals* 0 180 0 186 Dover Park Pavilions (2) 0 25 0 23 Multipurpose/Field Hockey Field Rentals* 0 30 0 39 Recreation Center 12 144 10 99 Silver Lake Pavilions (2) 1 27 1 27 Soccer Field Rentals* 0 14 0 14 Stage 1 17 2 17 *These numbers reflect groups that utilized our facilities during December. Program Attendance** DEC 07 FYTD 08 DEC 06 FYTD 07 Lean–N-Play – All Sports 10 59 not offered 51 New York City Bus Trip 54 37 143 84 **The program attendance report reflects programs that ended in the month of December. Various Sports Highlights • Nothing new to report SOP / CIP Updates • Construction of the John W. Pitts Recreation Center – Project #PR0501. Construction is currently underway and on-schedule. Bi- weekly progress meetings continue. New building is scheduled to be turned over to the City in February. • Playground Equipment Purchase – Project # 0706: Nothing new to report. • Schutte Park Land Improvements – Project # PR0702. Nothing new to report. • Mirror Lake Dredging – Project #PR0703. Nothing new to report. • Park and Playground Improvement Program – Project #PR0704. State awarded an extension on the grant until June 30, 2008 in order to complete the project without jeopardizing the grant. 7

PUBLIC SERVICES Administration Administrative review and inspection services continued on all residential and commercial developments. The following residential subdivisions are in various phases of construction: Oak Shadows Emerald Pointe Lexington Glenn Village of Westover (Phase VI) Four Seasons Nottingham Meadows Stoney Creek (Phase II) Seskinore Village of Cannon Mill Maple Glen Clearview Meadows Eden Hill Somerset Park Patriot Village Sanitation Monthly Total Refuse Collection (Tons) Sanitation Hours 1250 1029 1600 999 1000 1234 1125 1120 1091 623 1061 1058 1074 482 1200 1040 750 585 954 994 982 934 579 825 500 742 800 592 577 560 250 497 486 40 484 20 416 385 444 442 386 32 4 0 400 253 Bulk Collection Mechanized Hand Trash Goods Pickup Repair/Delivery Collection Collection Electronic Container 0 Dec Jan Feb M ar April M ay June July Aug Sept Oct Nov Dec December 07 06 07 07 07 07 07 07 07 07 07 07 07 07 December 06 B ulk A uto mated DEC 07 FYTD 07 DEC 06 FYTD 06 Tons Dry Waste Collected 101.92 1,039.84 169.11 1,747.88 Tipping Fee Savings Realized $1,987.44 $20,276.90 $3,297.65 $34,083.67 Trips to DSWA Sandtown Landfill 259 1853 292 2,181 Total Tonnage to DSWA 1,319.72 9,100.65 1,369.98 10,444.49 90-Gallon Containers Delivered 29 227 36 267 300-Gallon Containers Delivered 2 21 1 14 Streets DEC 07 FYTD 08 DEC 06 FYTD 07 Signed Installed 10 161 45 142 Signs Repaired 11 54 9 43 Curbs Painted Yellow (feet) 0 2,706 242 523 New Post Installed 8 43 1 48 Hot Mix Patching (Tons) 0 167 0 147 Concrete Patching (Cubic Yards) 0 51 0 94 Street and Alley Maintenance (Hrs) 66 862 116 2,311 Leaves Collected (Cubic Yards) 4,900 9,137 2,925 9,905 Leaf Collection (Miles) 2,596 7,821 1,910 5,518 8

Grounds Arborist Crew DEC 07 DEC 06 Trees Pruned 24 35 Trees Removed 7 7 Stumps Removed 9 1 Trees Planted 10 0 Finished installation of Christmas lights and put up Peace sign on The Green. Removed large tree limb that fell during wind storm on the Green. Assisted with set up and logistics for First Night Dover. Beautification Crew Finished planting 75,000 tulip, daffodil and hyacinth bulbs in 53 annual beds and 18 containers. Placed order for plugs and seeds for use in next year’s beds and hanging baskets. Landscape Repair/Special Projects Crew Assisted small engine mechanic with removal of mowing decks and installation of snow plows on the two Kubota tractors. Assisted Beautification crew with the completion of planting 75,000 tulip, daffodil and hyacinth bulbs. Assisted Streets Division with installation of snow fence for the fireworks display for First Night Dover. Grounds Maintenance/Mowing Crews Continued raking and mulching leaves around City buildings and in the smaller parks. Assisted with logistics for First Night Dover. Assisted with planting of the remaining bulbs in the annual beds. SOP/CIP Updates (percentages below represent percent completed) Generic Subdivision Signs – 50% Silver Lake Dam Improvements – 8% FY08 Street Program –75% FY08 Concrete Program – 82% Wesley College Parking Lot Program – 100% 9

PUBLIC UTILITIES Electric System Peak Total System Load 174.8 163.0 162.0 200.0 100,000 149.8 80,660 137.2 137.3 77,218 114.0 70,056 67,824 64,231 150.0 107.1 80,000 106.1 103.0 103.0 101.0 58,779 60,725 59,026 59,059 61,139 59,864 56,064 98.7 MW 100.0 MWH 54,707 60,000 50.0 40,000 0.0 Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec 20,000 06 07 07 07 07 07 07 07 07 07 07 07 07 Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 Outages Number of Customers Gained/Lost 30 18,000 16,000 150 25 14,000 117 20 12,000 Customers Outages 10,000 100 95 15 82 86 8,000 80 66 70 10 6,000 64 53 4,000 50 39 41 5 31 2,000 0 0 12 Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 0 Dec Jan Feb M ar Apr M ay June July Aug Sept Oct Nov Dec Outages Customers 06 07 07 07 07 07 07 07 07 07 07 07 07 Outages: 4 Customers: 877 ELECTRIC OUTAGE REPORT # OF OUTAGE # DATE TIME OUT TIME IN LOCATION DEVICE ACTION CUST 1 12/3 09:38 AM 10:58 AM 421 Ross Street Primary 144 Repaired Primary 2 12/3 11:03 AM 01:09 PM 202 David Hall Rd Cable 1 Repaired Cable 3 12/5 09:19 PM 11:44 PM 67 Runway Lane Neutral 7 Repaired Neutral 4 12/8 01:40 PM 03:08 PM 400 Webbs Lane Fuse 12 Replaced Fuse 5 12/10 09:06 AM 09:36 AM 117 Rodric Terrace Fuse 24 Replaced Fuse 6 12/16 06:48 PM 08:20 PM 40 Pineview Drive Fuse 23 Replaced Fuse 7 12/23 07:55 AM 08:43 AM 30 Pineview Drive Fuse 22 Replaced Fuse 8 12/22 10:51 PM 03:10 AM RT 9, South Pickering Beach Accident 302 Replaced Pole 9 12/18 08:30 AM 08:49 AM 280 Cowgill Street Fuse 12 Replaced Fuse 10 12/29 09:15 AM 10:20 AM Gen. Scott Substation Fuses 910 Replaced Fuses 10

Engineering Services Completed Projects Active Projects / % Completed Projects in Design / % Completed − Sonic, North Dover − Grandview Mobile Home Park - 80% − Fiber Map - 0% − Legislative Hall − Lexington Glenn - 80% − Wawa, Bay Court Plaza - 90% − Commerce Bank − Clearview Phase 1, 2, 3 - 50% − Feeders 3 & 4, Phase II - 60% − Cahne Medical Building - 0% − Feeders 3 & 4, Phase I - 5% − North Street Improvements - 50% − Tall Pines, Dover Kenton Road - 10% − Cannon Mill, Phase III - 100% − Nottingham Meadows - 50% − Dover Saturn - 100% − Cannon Mill, Phase II - 90% − Robert W. O’Brien Building - 0% − Village of Westover, Phase VI -15% − State Street Commons - 100% − Kent Acres Rehab. - 40% − Wawa, Court Street - 0% − Cedar Chase Hotel - 90% − Eden Hill, Residential - 50% − SR1/SR9 Rebuild - 0% − Kesselring Farm - 100% − 69 KV Relocation Frazier - 90% − Eden Hill Medical Center - 85% − Route 8 & Salisbury Road - 100% − Mainstay Suites Hotel - 90% − Collegian Complex - 40% − Stover Professional Center, 508 - 90% − 793 Queen Street, Bayhealth - 100% − Dover Air Force Base, Phase III - 95% − College Road Distribution - 100% − Dover Air Force Base, Phase IV - 80% − Schoolview Development - 100% − Dover Air Force Base, Phase V - 0% − Kenton Child Care - 0% − Dover Station - 75% − Dover Transit - 0% − Dove View Development - 0% − 1600 N. Little Creed Road - 100% − Spence’s Bazzar - 0% − Governors Avenue - 0% − South Governors Avenue Lighting - 100% − Mayfair Bus Work - 15% − Brentwood - 90% − Fiber Upgrade - 5% − Kent General Hospital - 0% − Twin Oaks – 10% − North State Street Lighting - 5% − Kids R Us Daycare - 75% Transmission and Distribution % Underground Work % Completed Overhead Work Completed − Cannon Mill 98% − Overhead Maintenance Ongoing − Clearview Ongoing − Maintenance of City Lighting Ongoing − Lexington Glenn Ongoing − Rebuild Mayfair Substation 10% − Dover Air Force Base - new infrastructure install Ongoing − Blue Light Installation (2 of 3) 66% − Nottingham Meadows Ongoing − Capitol Park - upgrade to underground 70% − Seskinore Development 95% − Infrared Testing & Repairs 60% − Vera’s Haven 99% − Rigley Street Storage 60% − Stover Professional Center 75% − Kent Acres (on hold until 2009) 10% − Eden Hill Medical Center 100% − Hilton Gardens 100% 11

FY 08 Meter Stats Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 06 07 07 07 07 07 07 07 07 07 07 07 07 Radio Read Meter Installations 346 635 380 370 249 205 177 219 530 270 223 511 378 Meters Tested 677 1399 648 570 506 494 368 179 962 622 281 838 673 Meters Junked 337 603 283 261 245 193 129 79 382 235 127 374 290 Meters Removed 14 13 12 16 20 11 5 20 15 2 27 30 5 Meter Changes 295 523 298 341 183 1273 94 110 392 224 137 385 284 New Services 26 93 69 20 55 63 63 95 112 35 496 105 80 Services Retired 3 3 4 1 2 2 4 6 3 0 31 12 1 System Operations Center Switching schedules 10 20 17 17 13 12 18 7 14 18 20 8 17 Work orders 630 666 428 456 1,579 636 636 512 614 6,757 1,135 804 738 Miss Utility tickets called back 1,395 1,623 1,438 2,238 1,706 1,914 2,607 1,528 2,008 2,162 2,488 2,026 1,568 Tickets located 1,311 1,743 1,344 2,085 2,559 2,871 2,532 2,295 3,114 3,069 3,771 2,946 2,481 Substation Relay Substation Status North Street Replaced Breakers 3090 & 3080 McKee Run Repaired Breaker 22-2060 Mayfair Began Construction SOP / CIP Updates • Develop an Electric Department mapping system to assist crews with power restoration. Mapping system is up and running. • Hire two junior engineers to replace senior system engineer and senior SCADA technician. Electrical Engineer position filled – SCADA Technician pending evaluation. • Continue the Blue Light Security program in the City of Dover – Project #EE0709. Three Blue Lights have been received and two have been installed. • Leverage and maximize the use of existing fiber optic outside plant and conduit by enhancing the existing fiber optic network and sharing these facilities with key community stakeholders – Project #PR0710. RFP was approved by Council and the contract was awarded to Columbia Tele Communications. CIP Project % Completed CIP Project % Completed Mayfair 69/12 KV Transformer and Breaker – 77% Lighting Project & Rehab – Project #EE08xx 60% Project #ES0105 69 KV Feeders 3 and 4 – Project #EE0601 19% Meter Testing Bench 90% UG Transformers – New Construction Lighting Project and Rehabilitation – Project UG Conductor Devices – New Construction 0% 10% #EE0605 Project #EE0808 College Road Replacement of 69KV Lebanon Transformer – Project #EE0701 10% 0% Breakers – Project #EE0809 Danner Replacement of 69 KV Breakers – Radio Read Meter Changeout – Project 0% 75% Project #EE0811 #ET0501 Transmission Relpay Upgrade – Project Relay Substation Equipment – Project 60% 64% #EE0806 #EE0801 Replacement of 69 KV Breakers – Project Disitribution Capacitors, Underground – 70% 5% #EE0408 Project #EE0810 Distribution Capacitors Overhead – Project 5% North Street RTU – Project #EE0804 10% #EE0805 Distribution Upgrades FY08 – Project Horsepond Transformer – Project #EE0802 0% 90% #EU0808 12

Water/Wastewater Water Production/Billed Consumption/Flow to Kent County 300 250 Million Gallons 200 150 100 50 0 Nov 06 Dec 06 Jan 07 Feb 07 Mar 07 Apr 07 May 07 Jun 07 Jul 07 Aug 07 Sep 07 Oct 07 Nov 07 Dec 07 Total Water Production Billed Consumption Total Flow to Kent County City Readings Total Water Production: 129,914,000 Billed Consumption: 110,223,000 Total Flow to Kent County: * City Readings: 62,588,870 * billing information not available DEC 07 DEC 06 Water Production – Daily Average 4,190,774 4,452,742 Fire Hydrants – Flushed 0 0 Fire Hydrants – Tested 0 0 Final Readings 1,095 264 Cutoffs 12 25 Turn Ons 3 16 New Inspections 10 43 Curb Boxes Located 27 84 Curb Boxes Adjusted 2 7 Water Service Lines Repaired 3 2 Water Meters Repaired 6 30 Radio Technology Installations 538 113 New Meters Added 2 32 Total Water Meters in City Distribution System 13,383 13,102 DEC 07 DEC 06 L.F. Sewer Lines Flushed 90,233 149,232 Sewer Lines Inspected 92,933 152,532 Feet Sewer Mains Videotaped 55 260 Manholes Inspected 525 646 Manholes Cleaned 498 624 13

SOP / CIP Updates • Reduce number of brown water complaints through the implementation of the Water Quality Improvements Program – Project #WD0811/WS0707. Three contact chambers have been installed to date and two have been placed online. Installation of the fourth chamber is scheduled to begin in January 2008. Primary materials for the final six chambers where put out to bid with bids to be received in January. Staff contacted Black & Veatch regarding the start of the next phase of water quality consulting. • Reduce cost to the City arising from inflow/infiltration – Project #WS0501. Staff continued to work on cost estimation and RFP development for work which has been identified through the Inflow & Infiltration Study and investigations performed by City crews. • Increase the metering accuracy of the water/sewer utility through the expansion of the Meter Reading Technology Upgrade Project – Project #WS0802. The budget for this program increased to $366,300 for FY 2008. Currently, 39 percent of the budget has been spent. • Increase the mapping accuracy of the water/sewer utility through the expansion of GIS. The new GIS Technician began in October and approximately 40 percent of the water system has been entered. Field verification is still required for areas entered. CIP Project (Water) Percent Completed Cheswold Well (#8) Replacement) – Project #WS0705 20% Meter Reading Technology Upgrade – Project #WS0802 40% Wellhead Redevelopment – Project #WD0801 5% Wellhead VFD Upgrades - #11 – Project #WD0808 8% Wellhead VFD Upgrades - #13R – Project #WD0809 8% Wellhead VFD Upgrades - #15 – Project #WD0810 8% Water Quality Improvements – Project #WD0811 35% Bayard Avenue Contact Chamber – Project #WS0707 100% Remote Control & Monitor Wells – Project #WD0802 6% Emergency Generators (Wells) – Project #WD0803 0% 1.0 MG Elevated Water Storage Tower – Project #WD0804 2% Piney Point Well – Project #WD0805 2% Scarborough Road Interconnection – Project #WD0601 2% Miscellaneous Distribution System Improvements – Project #WD0806 39% South Governors Avenue Water Main Upgrade – Project #WD0807 0% CIP Project (Wastewater) Percent Completed Meter Reading Technology Upgrade – Project #WS0802 38% Inflow / Infiltration Removal Study – Project #WS0501 (2008 only) 0% Inflow / Infiltration Removal – Project #WW0803 1% SCADA System Tech Upgrade – Project #WW0804 5% Lafferty Lane Package Pump Station Replacement – Project #WW0805 7% White Oak Farms PS VFD’s – Project #WW0806 8% US 13 East Sanitary Sewer Interceptor – Project #WW0810 5% Dover East Pumping Station & Force Main Replacement – Project #WW0807 1% Misc. Sewer System Improvements – Project #WW0808 0% South Governors Avenue Sewer Main Upgrade – Project #WW0809 0% Construction Utility Crew 1. Contact Chambers – Completed piping and meter installation at well #4. Started installation of chamber at well #15 (85% complete). 14

MONTHLY REPORT Department of Planning & Inspections P.O. Box 475 Dover, DE 19903 Phone: (302) 736-7010 Fax (302) 736-4217 Department of Planning and Inspections DECEMBER 2007 EDEN HILL TND The Final Construction Document Plans and associated Pattern Book for the Eden Hill Farm TND Residential District received Final Plan approval on December 12, 2007. The Implementation Plan for the Neighborhood Commercial District was approved by the Planning Commission at their Meeting on December 17, 2007 and now begins the process to finalize the plan for agency approvals. The Administrative Site Plan for the Community Center Building, a component of the Active Recreation Area for the Residential District, was filed for review. At the project site, construction continues on Buildings 1 and 2 and the site improvements within the Professional Office, Medical & Financial District. Construction work also continues on the infrastructure (utilities, roads) within the Residential District. COMPREHENSIVE PLAN 2008 Planning Staff continues planning for the research, review, staffing, and scheduling leading to the adoption of the Comprehensive Plan 2008. The City's current plan adopted in September 2003 as amended in 2005 and 2007 is required to be updated by September 2008. Meetings for the City Staff involved in the project continue to discuss the research process, assignments and responsibilities for the project, and preparation for the January start of a Research Assistant Intern. During this time Planning Staff was also participated in several meetings regarding the Town of Camden's Draft Comprehensive Plan. CODE ENFORCEMENT Case Type # cases # cases % staff % staff current month YTD initiated initiated YTD current month No valid rental permit 3 182 100% 98% No valid building permit 0 25 0% 76% Tall grass and weeds 0 575 0% 83% Unregistered vehicle 16 104 75% 77% Abandoned vehicle 13 138 92% 84% Annual Housing 26 707 100% 97% Inspection CO Inspection – 15 180 100% 100% Planning Property Maintenance – 64 510 88% 72% Exterior Electric Termination 22 220 86% 95% Dover Code of 71 1390 80% 76% Ordinances

Basketball goal 1 78 100% 81% Total Cases 231 4028 DEMOLITIONS There are five structures on the Dangerous Building List: • City Council ordered demolition of the pool located at 123 Blue Beach Drive in September 2006. The property has been the subject of a bankruptcy which has caused an automatic stay. The City Solicitor is working within the relevant legal framework to either bring the pool into full compliance or allow the City to proceed with demolition. • The dwellings located at 312-314 W. Division Street were condemned by the City, a lien search was conducted and a notice was sent to the property owner, Mr. Ron Lemay. Mr. Lemay made application on July 9th for a renovation permit with a contract to sell the property to Mr. David Bright. Mr. Bright’s deal with Mr. LeMay expired on September 20, 2007 and he will no longer be purchasing the property. Mr. Lemay continues to make repairs, he has replaced deteriorated floor joist and installed new drywall. He has been advised that failure to make progress on the building will result in it being taken to the City Council for approval of demolition. • The structure at 43 E. Division Street has been posted with all interested parties notified. The property is in litigation; a letter has been sent to the property owner's lawyer, Mr. Nicholas Ferdirko that the City would need to know the reason and a timetable as to when the litigation will be settled. Per Mr. Pepper, Assistant City Solicitor, the litigation does not prevent the City from proceeding with action per the Dangerous Building Ordinance; however, we will await response. Mr. Ferdirko's lawyer, Mr. Sean Lynn, has informed Staff that litigation on the property is due to the contractor not completing the work, which resulted in the Code enforcement. Mr. Lynn has requested and was granted time to either reach a settlement or obtain a court ruling. The structure is currently safe and will not collapse at this time. Mr. Ferdirko was given until January 7, 2008 to bring the building into compliance or it will be taken before City Council to be demolished. Mr. Ferdirko stated he has signed a contract for the repairs to begin. He was advised to bring in a copy of the contract. As of January 2, 2008 he has yet to provide signed contract. This building is in located within the Historic District Zone and Mr. Fedirko has met with Planning Staff to discuss his options with regards to either repair or demolition of the property. • The structure at 66 Washington Street was declared a dangerous building on November 28, 2007 with all interested parties notified. • The structure at 533 Carol Street was declared a dangerous building on November 28, 2007 with all interested parties notified. • The structure at 54-56-58 S. Queen Street was declared and posted as a dangerous building on December 5, 2007 with notice sent to all parties with interest in the property on December 11, 2007. COMMUNITY DEVELOPMENT Dover First Start For the month of December three (3) families purchased a home and one (1) family is mortgage ready and shopping for a home. Housing Rehabilitation Program Four (4) owner occupied homes have been completed and one (1) is 90% completed. House of Pride Two heaters have been installed in Transitional Housing units for the House of Pride and all of the properties have been treated for termites.

First Resources Conservation & Development Council Emergency repairs have been completed on Five (5) owner occupied homes. 301-305 W. Loockerman Street (Rental Rehab) Lead based paint testing has been completed in all of the rental units. MEETING REPORTS Board of Adjustment: The Board of Adjustment met on December 19, 2007 and took the following actions: The next scheduled meeting for the Board of Adjustment will be held on January 16, 2008. 1. Applicant #V-07-36 - Forrest Avenue, Lands of DoveView LLC – Moved to approve with conditions. 2. Applicant #V-07-38 - 406 & 410 S. Governors Ave., Lands of John & Laura Kelly – Moved to approve. Dover Parking Authority: At its meeting of December 6, 2007 reports were given on the budget, permit sales, Police Department activities, Main Street, DDDC Report and Water Street Collections. There was also a parking requirement waivers discussion held along with discussion on the Governors Avenue permit configuration. Historic District Commission: The Historic District Commission did not meet on December 20, 2007. The next scheduled meeting for the Historic District Commission is January 17, 2008. Planning Commission At its meetings of December 17, 2007, the Planning Commission took the following actions: 1. S-06-46 Walker Medical Pavilion at Four Seasons, 101 Mont Blanc Boulevard - Moved to approve a one year extension. 2. S-06-47 Office Building in Silver Lake Office Plaza - Moved to approve a one year extension. 3. SB-03-07 Lexington Woods: Planned Neighborhood Design – Revised Active Recreation Plan – Moved to approve. 4. S-07-54 CVS Pharmacy at 11 North DuPont Highway and 609 East Division Street – Moved to approve with conditions. 5. Z-07-10 Lands of Delaware State University located at N. DuPont Highway and College Road - Moved to forward recommendation of approval to City Council. 6. S-07-62 Dover Central Middle School: Gym Replacement and Auditorium Renovations at 211 Delaware Avenue - Moved to table. 7. S-07-63 Eden Hill Farm TND Commercial District: Implementation Plan – Moved to approve with conditions. INSPECTIONS ACTIVITY Permits and Licenses Rental Dwelling, Public Occupancy & Lodging House Permits: Year to Date ______2,868____ Number of New Occupancies – December 2007 ______ 681____ Permit Fees Collected for Rental, Public Occupancy & Lodging Permits, Dec 2007 _$ 66,396.25_

Number of Business Licenses & Mobile Homes Issued – December 2007 ___ 51____ Total Number of Business Licenses & Mobile Homes for Year 7/1/07 to 6/30/08 ____ 2,549___ Total Fee Collected for Business Licenses & Mobile Homes for Dec 2007 __$ 9,502.76__ Total for all Construction Permits* and Certificate of Occupancies Issued for Dec 2007 _____ 157____ Value of Construction & Fire Prevention projects permitted in December 2007 _$ 4,886,926.00 Fees Collected for Construction Permits and CO’s for December 2007 _$ 47,857.50_ *Construction permits include Building, Fire Building and Property Prevention, Plumbing, and HVAC Permits Maintenance Inspections Construction Inspections Office of the Building 234 Fire Marshal Plumbing/Mechanical 314 Safety Inspections 80 Certificate of Occupancy 17 Property Maintenance Total New Construction 565 Inspections 57 Property Maintenance Cases Fire Code Inspections 62 Complaints 87 Fire Protection Inspections 63 Observed by Inspectors 152 License/Zoning 84 Certificate of Occupancy 20 Total PM Inspections 323 Alarm Activation Follow-ups 1 Non-Inspection Hours Fire Investigations 0 Training 17 Total FM Inspections 283 Plan Review 49 Non-Inspection Hours Office Training 115 Plan Review 8 33 During the month of December the Planning & Inspections staff logged in 369 walk-in traffic citizens. As always, please contact me regarding any questions you may have. Ann Marie Townshend Director of Planning and Inspections Department

CIP December 2007 Fiscal Status (Operational Comments through January 23, 2008) Highlights Notes: Few changes due to last reports operational comments were made through January 4th 2008. General Fund All projects have started. • The J. W. Pitts Center is moving along, although we did experience some rain delays and one subcontractor is falling behind. Grand opening is likely to be in March. • Carpeting in the Police Department is finished. • After many years of delays and patchwork the Police Department steps have been demolished; new steps should be done in January. • Installation of the CAMA system has also begun. • Customer Relations Management software is in the final stages of completion. Water/Wastewater Fund All but one project has started. Most are in some phase of design work or ordering material. • I continue to list the Dover East Force Main as being “on hold.” We believe the necessity of this project has been satisfied through county and private improvements. • We are progressing on installations of contact chambers; we are currently working on the well at the Mayfair Substation. • Easements from Capital School Board have been secured at Well #8 and construction has started on the replacement. Electric Fund All projects started; four are completed. • The McKee Run Oil Tank was inspected and no serious problems were detected. • After many years of delay, serious work has started at the Mayfair Substation. The station has been taken out of service, and construction has begun. • The College Road transformer has been ordered, but we are concerned that long lead times for delivery will delay completion of this project this fiscal year. • Both the St. Jones and Horse Pond Substation Transformers are being ordered. These will not be delivered until next fiscal year. Due to the size of the required down payment, funds budgeted to be expended next year will have to be shifted into this fiscal year. • Due to outages in the Pennwood Subdivision we have decided to focus “Distribution Upgrades” funds in this area. The work will require more monies than budgeted. We will be shifting funds from the “New Development” budget where spending is below budget due to the slowed construction economy.

City of Dover General Fund - Major CIP Projects December 2007 TOTAL PROJECT - PAST, CURRENT & FUTURE BUDGETS CURRENT FISCAL YEAR (Including Encumbrances) Original Revised Project Project Current Fiscal Project Project To Date Budget % Budget Fiscal Yr. YTD % Budget Type Description Budget Budget Expenses Balance Spent Budget Expenses Spent Status Comments FY 2004 Exterior finished; interior fit out under M Pitts Recreation Center $ 3,000,000 $ 3,000,000 $ 2,806,903 $ 193,097 93.6% $ 1,987,200 $ 1,880,861 94.6% Started construction. February completion. Totals $ 3,000,000 $ 3,000,000 $ 2,806,903 $ 193,097 93.6% $ 1,987,200 $ 1,880,861 94.6% FY 2005 Dover Park Enhancements $ 60,000 $ 60,000 $ 31,241 $ 28,759 52.1% $ 46,670 $ 17,911 38.4% Started First coat of paving done; finish in spring. Totals $ 60,000 $ 60,000 $ 31,241 $ 28,759 52.1% $ 46,670 $ 17,911 38.4% FY 2008 CAMA (Orion) System Upgrade $ 45,000 $ 45,000 $ 36,869 $ 8,131 81.9% $ 45,000 $ 36,869 81.9% Started Server built; data transfer underway. Phone System Upgrade Fire 55,000 55,000 - 55,000 0.0% 55,000 - 0.0% Started December/January installation. Red Alert Dispatching System Upgrade 30,000 30,000 - 30,000 0.0% 30,000 - 0.0% Started Approved by Council. JWP Center office equipment & furniture 78,500 78,500 8,569 69,931 10.9% 78,500 8,569 10.9% Started Some furniture ordered. Millcreek\Schutte Playgrounds 40,000 40,000 - 40,000 0.0% 40,000 - 0.0% Started $20,000 grant approved. Improvements 30,000 30,000 - 30,000 0.0% 30,000 - 0.0% Started Spring paving of Basketball courts. 6 wheel box truck fire investigation unit 70,000 70,000 31,551 38,449 45.1% 70,000 31,551 45.1% Started Truck delivered. Concrete Construction & Replacement 65,000 65,000 53,843 11,157 82.8% 65,000 53,843 82.8% Contracted work is done. Carpet Replacement 15,300 15,300 9,883 5,417 64.6% 15,300 9,883 64.6% Done Done Police Front Steps 30,000 65,000 29,616 35,384 45.6% 65,000 29,616 45.6% Started Contractor done; railing ordered. Internet/Intranet expansion of online services 70,000 70,000 - 70,000 0.0% 70,000 - 0.0% Started CRM installed; training on-going; Jan. roll out. Citywide document imaging system 80,000 80,000 - 80,000 0.0% 80,000 - 0.0% Started Council approval in January. Citywide fleet management system 41,400 41,400 - 41,400 0.0% 41,400 - 0.0% Started Meeting with staff; designing RFP. Replace ISeries system 40,000 40,000 40,852 (852) 102.1% 40,000 40,852 102.1% Completed Done Upgrade/replacement of inner city fiber optic loop 122,000 122,000 - 122,000 0.0% 122,000 - 0.0% Started Construction started. Fire Suppression System in IT 27,000 27,000 14,593 12,407 54.0% 27,000 14,593 54.0% Done Vendor selected. Space needs study Implementation 32,800 32,800 13,902 18,898 42.4% 32,800 13,902 42.4% Started Finance done; remodeling for Planning. Exhaust extraction system 25,000 25,000 - 25,000 0.0% 25,000 - 0.0% Started Seeking vendors; reviewing systems. Totals $ 897,000 $ 932,000 $ 239,678 $ 692,322 25.7% $ 932,000 $ 239,678 25.7% Grand Totals $ 3,957,000 $ 3,992,000 $ 3,077,822 $ 914,178 77.1% $ 2,965,870 $ 2,138,450 72.1% Legend M = Multi-year project - a project with a specific schedule to occur over multiple years. R = Recurring project - a project that begins and ends each fiscal year and is rebudgeted to start over each fiscal year. CIP - Report Dec. 07 - Jan. 28, 2008 147 1/24/2008

City of Dover Streets Funds - Major CIP Projects December 2007 TOTAL PROJECT - PAST, CURRENT & FUTURE BUDGETS CURRENT FISCAL YEAR (Including Encumbrances) Original Revised Project Project Current Fiscal Project Project To Date Budget % Budget Fiscal Yr. YTD % Budget Type Description Budget Budget Expenses Balance Spent Budget Expenses Spent Status Comments FY 2002 North Street Sidewalk $ 654,629 $ 819,120 $ 738,704 $ 80,416 90.2% $ 80,416 $ - 0.0% Not started Work on hold pending Collegiate decision. Clara Street turn lane 170,916 187,949 166,795 21,154 88.7% 52,952 31,798 60.1% Not started (1) See below. Totals $ 825,545 $ 1,007,069 $ 905,499 $ 101,570 89.9% $ 133,368 $ 31,798 23.8% FY 2005 Dover Little League Parking Awaiting staff decision on re-appropriation of Lot Phase II $ 134,000 $ 134,000 $ 123,215 $ 10,785 92.0% $ 10,785 $ - 0.0% Done available funds. The signs for Fox Hall & Woodlands of Fox Fox Hall signs/Lincoln Park Hall are complete. Work not started for sign 20,340 20,340 10,340 10,000 50.8% 10,000 - 0.0% Done Lincoln Park. Totals $ 154,340 $ 154,340 $ 133,555 $ 20,785 86.5% $ 20,785 $ - 0.0% - FY 2006 Silver Lake Park Sign $ 16,400 $ 16,400 $ - $ 16,400 0.0% $ 16,400 $ - 0.0% Not started 10% received from State. Work not started. Capitol Park/ Rodney Village Signs 20,000 19,205 19,206 (1) 100.0% 8,244 8,245 100.0% Done Done Heatherfield Sign./ Voshells C 20,000 20,000 12,781 7,219 63.9% 15,380 8,161 53.1% Done Done Cowgill St. 25,000 25,000 45,246 (20,246) 181.0% 25,000 45,246 181.0% Not started 10% received from State. Work not started. Morris Dr. 79,000 79,000 54,939 24,061 69.5% 79,000 54,939 69.5% Not started 10% received from State. Work not started. M Lincoln Park Center (317) 400,000 400,000 238,358 161,642 59.6% 161,642 - 0.0% Totals $ 560,400 $ 559,605 $ 370,530 $ 189,075 66.2% $ 305,666 $ 116,591 38.1% - - FY 2007 E. Water St. brick sidewalk $ 65,000 $ 65,000 $ - $ 65,000 0.0% $ 65,000 $ - 0.0% Not started 10% received from State. Work not started. Dover Fire Company Received 10% on original agreement; parking lot 80,000 100,000 33,552 66,448 33.6% 100,000 33,552 33.6% Not started awaiting decision on funding reallocation. Andrew Dr./ G. Washington Dr./ Maple Dale Ave. 200,600 200,600 109,602 90,998 54.6% 200,600 109,602 54.6% Started 10% received from State. Work not started. Penn. Ave./ West St. Alleys 36,900 36,900 - 36,900 0.0% 36,900 - 0.0% Not started 10% received from State. Work not started. Maryland Ave. 25,000 25,000 - 25,000 0.0% 25,000 - 0.0% Not started 10% received from State. Work not started. Bedford Drive 1,580 1,580 790 790 0.0% 1,580 790 50.0% Not started $ 409,080 $ 429,080 $ 143,944 $ 285,136 33.5% $ 429,080 $ 143,944 33.5% FY 2008 Budgeted Approp FY08 $ 350,000 $ 340,412 $ - $ 340,412 General Fund Approp Legislative Drive 6,616 6,616 6,616 6,616 Started General Fund Approp Wesley College Parking Lot Covered by Approp 2,972 2,972 2,972 2,972 Started General Fund Approp Sub Total GF Approp 350,000 350,000 9,588 340,412 2.7% 350,000 9,588 2.7% Wesley College Parking lot 169,424 169,424 169,343 81 100.0% 169,424 169,343 100.0% Done Done Totals $ 519,424 $ 519,424 $ 178,931 $ 340,493 34.4% $ 519,424 $ 178,931 34.4% Grand Totals $ 2,468,789 $ 2,669,518 $ 1,732,459 $ 937,059 64.9% $ 1,408,323 $ 471,263 33.5% Legend M = Multi-year project - a project with a specific schedule to occur over multiple years. R = Recurring project - a project that begins and ends each fiscal year and is rebudgeted to start over each fiscal year. CIP - Report Dec. 07 - Jan. 28, 2008

City of Dover Water/Wastewater Improvement & Extension Fund - Major CIP Projects December 2007 TOTAL PROJECT - PAST, CURRENT & FUTURE BUDGETS CURRENT FISCAL YEAR (Including Encumbrances) Original Revised Project Project Current Fiscal Project Project To Date Budget % Budget Fiscal Yr. YTD % Budget Type Description Budget Budget Expenses Balance Spent Budget Expenses Spent Status Comments FY 2005 M Inflow/Infiltration Removal Investigation $ 375,000 $ 650,000 $ 120,049 $ 529,951 18.5% $ - $ - 0.0% Started Study done; project design. Totals $ 375,000 $ 650,000 $ 120,049 $ 529,951 18.5% $ - $ - 0.0% FY 2006 M Scarborough Road Interconnection Ph II $ 120,000 $ 122,500 $ 51,159 $ 71,341 41.8% $ 72,500 $ - 0.0% Started Bids specifications due end of January. Totals $ 120,000 $ 122,500 $ 51,159 $ 71,341 41.8% $ 72,500 $ - 0.0% FY 2007 M Cheswold Well (#8) Replacement $ 175,000 $ 175,000 $ 184,506 $ (9,506) 105.4% $ - $ 179,223 0.0% Started Construction started January 7. Bayard Avenue Contact Chamber - 76,044 79,843 (3,799) 105.0% 9,800 8,799 89.8% Done Done Totals $ 175,000 $ 251,044 $ 264,349 $ (13,305) 105.3% $ 9,800 $ 188,022 1918.6% FY 2008 Wellhead Redevelopment $ 45,000 $ 45,000 $ - $ 45,000 0.0% $ 45,000 $ - 0.0% Started Bid out in February. Remote Control & Monitor Wells 139,700 139,700 3,779 135,921 2.7% 139,700 3,779 2.7% Started On-going installation. Emergency Generators (Wells) 140,000 140,000 - 140,000 0.0% 140,000 - 0.0% Not Started 1.0 MG Elevated Water Storage Tower 55,000 55,000 - 55,000 0.0% 55,000 - 0.0% Started Braun Eng. notice to proceed with design. Piney Point Well 10,000 10,000 - 10,000 0.0% 10,000 - 0.0% Started Braun Eng. notice to proceed with design. Misc. Distribution System Improvements 55,000 55,000 19,412 35,588 35.3% 55,000 19,412 35.3% Started On-going improvements. South Gov. Ave Water Main Upgrade 200,000 200,000 - 200,000 0.0% 200,000 - 0.0% Started Permits done; waiting DelDOT bid. Wellhead VFD Upgrades 126,000 126,000 4,500 121,500 3.6% 122,000 4,500 3.7% Started Bids specification due in January. Meter Reading Tech Upgrade 366,300 366,300 143,045 223,255 39.1% 366,300 143,045 39.1% Started On-going replacement -40% complete. Inflow/Infiltration Removal 100,000 100,000 - 100,000 0.0% 100,000 - 0.0% Started Prepare RFP for improvements. Scada System Tech Upgrade 74,000 74,000 41,350 32,650 55.9% 74,000 41,350 55.9% Started Material due in February. Lafferty Lane Package P/S Replacement 230,000 230,000 7,322 222,678 3.2% 230,000 7,322 3.2% Started Bids specification due in February. White Oak Farms PS VFD's 66,000 66,000 5,000 61,000 7.6% 66,000 5,000 7.6% Started Out to bid. Dover East P/S & Force Main Replace 335,000 335,000 - 335,000 0.0% 335,000 - 0.0% On Hold May be dropped; no longer necessary. Misc. Sewer System Improvements 30,000 30,000 - 30,000 0.0% 30,000 - 0.0% Started On-going improvements. South Governors Ave Sewer Main 300,000 300,000 825 299,175 0.3% 300,000 825 0.3% Started Permit review on-going. In design, considering moving project to US 13 East Sanitary Sewer Interceptor 85,000 85,000 18,387 66,613 21.6% 85,000 18,387 21.6% Started westside of Route 13. Well #4 done; well #15 905 done; working on well #11. Material ordered for six wells; next Water Quality Improve FY 08 915,000 910,000 366,809 543,191 40.3% 905,200 366,809 40.5% Started six chambers going to Council. Totals $ 3,272,000 $ 3,267,000 $ 610,428 $ 2,656,572 18.7% $ 3,258,200 $ 610,428 18.7% - - Grand Totals $ 3,942,000 $ 4,290,544 $ 1,045,984 $ 3,244,560 24.4% $ 3,340,500 $ 798,450 23.9% Legend M = Multi-year project - a project with a specific schedule to occur over multiple years. R = Recurring project - a project that begins and ends each fiscal year and is rebudgeted to start over each fiscal year. CIP - Report Dec. 07 - Jan. 28, 2008 417 1/24/2008

City of Dover Electric Improvement & Extension Fund - Major CIP Projects December 2007 TOTAL PROJECT - PAST, CURRENT & FUTURE BUDGETS CURRENT FISCAL YEAR (Including Encumbrances) Original Revised Project Project Current Fiscal Project Project To Date Budget % Budget Fiscal Yr. YTD % Budget Type Description Budget Budget Expenses Balance Spent Budget Expenses Spent Status Comments FY 2003 M Mayfair 69kv/12kv SS Upgrade $ 555,000 $ 617,965 $ 593,136 $ 24,830 96.0% $ 65,000 $ 227,613 350.2% Started Construction started. Totals $ 555,000 $ 617,965 $ 593,136 $ 24,830 96.0% $ 65,000 $ 227,613 350.2% FY 2005 All materials purchased; ongoing M Radio Read Meter replacement Prog. $ 1,830,000 $ 1,830,000 $ 1,782,529 $ 47,471 97.4% $ 545,000 $ 498,867 91.5% Started installation. Construction ongoing; completion end of Mayfair to Mid-City 69 kv 650,000 723,200 443,323 279,877 61.3% - - 0.0% Started fiscal year. Totals $ 2,480,000 $ 2,553,200 $ 2,225,852 $ 327,348 87.2% $ 545,000 $ 498,867 91.5% FY 2006 Bidding, ordering and receiving materials. M 69 KV feeders 3 and 4 $ 11,060,000 $ 14,747,500 $ 2,970,369 $ 11,777,131 20.1% $ 9,077,500 $ 2,773,037 30.5% Started Labor bid end of January. Governor's Avenue Rebuild 1,268,450 2,068,260 112,355 1,955,905 5.4% 2,068,260 112,355 5.4% Started Waiting for start order from DelDOT. College Road Capacitor 155,000 119,995 5 119,990 0.0% - - 0.0% Dropped Changed to Distribution Capacitors. Replacement of 69 KV line breakers - M North Street 150,000 230,000 241,294 (11,294) 104.9% - 92,634 0.0% Started Still waiting on wire delivery. Totals $ 12,633,450 $ 17,165,755 $ 3,324,023 $ 13,841,732 19.4% $ 11,145,760 $ 2,978,025 26.7% FY 2007 Bidding secondary material. Transformer M Lebanon Transformer $ 620,000 $ 851,850 $ 766,124 $ 85,726 89.9% $ 637,950 $ 552,224 86.6% Started Mar 08 delivery. R Lighting Project & Rehab (Gov Ave) 50,000 50,000 6,361 43,639 12.7% - - 0.0% Complete Lights done at Wesley. Blue Light Security System Call box 25,000 25,000 22,142 2,858 88.6% - 13,755 0.0% Started 2 of 3 lights installed; being activated. McKee Run Transformer 350,000 350,000 301,011 48,989 86.0% - 5,074 0.0% Complete Completed. Bid opening end of January. Some M College Road Substation 2,960,000 2,960,000 2,481,074 478,926 83.8% 2,435,000 2,416,244 0.0% Started concern about making the budget. Some installation. Need new as built M Transmission Relaying Upgrades Ph I 100,000 100,000 66,964 33,036 67.0% - 39,935 0.0% Started drawings. Totals $ 4,105,000 $ 4,336,850 $ 3,643,677 $ 693,173 84.0% $ 3,072,950 $ 3,027,233 98.5% FY 2008 Unit 3 Turb Bearing Fire Protect Deluge $ 50,000 $ 50,000 $ - $ 50,000 0.0% $ 50,000 $ - 0.0% Started Obtaining quotes. Tank Inspections SPCC/AST 300,000 300,000 291,910 8,090 97.3% 300,000 291,910 97.3% Complete Done; no major problems found. VS COMS replacement 27,000 27,000 24,660 2,340 91.3% 27,000 24,660 91.3% Complete Done Transformer ordered. Need to shift funds M Horsepond Transformer 1,020,000 1,020,000 807,741 212,259 79.2% 325,000 807,741 248.5% Started from next fiscal year to cover deposit. R Distribution Capacitors OH/UG 225,000 225,000 134,010 90,990 59.6% 225,000 134,010 59.6% Started Installation started. Some installation started. Waiting for as M Transmission Relay Upgrade FY 08 520,000 520,000 335,003 184,997 64.4% 520,000 335,003 64.4% Started built drawings. R New Developments 1,015,000 1,015,000 345,149 669,851 34.0% 1,015,000 345,149 34.0% Started Ongoing R Replacement of 69 KV line breakers 183,000 183,000 136,400 46,600 74.5% 183,000 136,400 74.5% Started Construction and installation ongoing. R Lighting Project & Rehab 100,000 100,000 54,873 45,127 54.9% 100,000 54,873 54.9% Started Material ordered. Transformer ordered, need to shift funds M St Jones Substation Transformer 2,166,039 2,166,039 843,019 1,323,020 38.9% - 843,019 0.0% Started from next fiscal year to cover deposit. Itron Mobile Collection System 28,241 28,241 - 28,241 0.0% 28,241 - 0.0% Started Council approved; system on order. Woodmill complete. Working in Kent Acres and Pennwood. Will need R Distribution Upgrades FY 08 300,000 300,000 224,212 75,788 74.7% 300,000 224,212 74.7% Started additional funds due to Pennwood work. $ 5,934,280 $ 5,934,280 $ 3,196,977 $ 2,737,303 53.9% $ 3,073,241 $ 3,196,977 104.0% Grand Totals $ 25,707,730 $ 30,608,050 $ 12,983,665 $ 17,624,385 42.4% $ 17,901,951 $ 9,928,715 55.5% Legend M = Multi-year project - a project with a specific schedule to occur over multiple years. R = Recurring project - a project that begins and ends each fiscal year and is rebudgeted to start over each fiscal year. \\Dover_1\public docs\Council Action Forms\2008\CIP - Report Dec. 07 - Jan. 28, 2008 487 1/24/2008

Prepared for: Council Meeting 1/28/08 Page 1 of 2 Agenda Item 8 CITY OF DOVER FISCAL YEAR JULY 1, 2007 TO JUNE 30, 2008 REVENUE FORECAST JANUARY 28, 2008 DECEMBER 50.0% YTD % BUDGET FY08 FY09 FY07 FY06 GENERAL FUND BUDGET RECEIPTS RECEIVED PROJ'D PROJ'D COMMENTS RECEIPTS RECEIPTS Property Taxes $ 9,453,511 $ 10,066,740 106.5% $ 10,060,000 $ 10,192,672 $9,737,672 taxes, $370,000 PILOT, $85,000 Penalties $ 9,053,595 $ 8,792,652 Transfer from Electric Fund 6,601,269 2,650,317 40.1% 6,601,269 6,590,734 FY 09 equals 6.5% of Electric projected revenue. 4,700,000 5,716,956 Intrafund Service Receipts Electric 3,803,581 1,658,447 43.6% 3,803,581 3,917,688 Increase based on average 3% increase for last three years. 3,678,167 3,643,388 FY 09 Model projected $1.6 million, We are leaving this as is until we have Transfer Tax 2,650,222 1,978,140 74.6% 2,650,222 2,650,222 better information for FY 09. 3,009,539 3,048,064 FY 09 reflects additional slots at Dover Downs. FY 09 Revenue of Business Licenses 1,320,000 1,385,434 105.0% 1,410,000 1,450,000 $1,595,000 with proposed increases. 1,343,531 1,318,621 Intrafund Service Receipts Water/Wastewater 1,095,941 469,308 42.8% 1,095,941 1,128,819 Increase based on average 3% increase for last three years. 1,092,490 1,043,007 FY 09 Model projected $1.26 or $1.16, the department head believes this projection will show little or no growth due to the impact of recycling. Trash Fees & DSWA Rebate 1,361,411 750,343 55.1% 1,361,411 1,361,411 Therefore, the project was left unchanged. 1,293,398 1,253,312 Permits & Other Licenses 1,227,343 715,695 58.3% 1,131,000 1,041,000 FY 09 Revenue of $1,175,100 with proposed increases. 1,345,937 1,147,224 Transfer from Municipal Street Aid Fund 660,000 339,878 51.5% 709,694 709,000 Adjusted in FY 08 to reflect State appropriation; 657,474 659,910 FY 09 Model projected $707,419 - $81,581 less than department current year Fines & Police Revenue 789,000 329,846 41.8% 789,000 789,000 estimate. Estimate left unchanged until more and better data is available. 765,442 823,439 FY 09 Model projected four estimates. Two were within $10,000 of our current estimate, two others were over $250,000 of our current estimate. No Court of Chancery Fees 761,000 374,540 49.2% 761,000 761,000 change in projection until more and better data is available. 841,940 792,280 Transfer from Water/Wastewater Fund 565,000 565,000 100.0% 565,000 572,167 FY 09 equals 4.5% of Water/Wastewater revenue. 535,000 535,785 This is running on tract for FY 08. FY 09 projection kept the same as this Transfer from Civil Traffic Penalties Fund 500,000 229,010 45.8% 500,000 500,000 revenue is still new. 522,179 936,540 Library Revenues & County Reciprocal Payment 391,297 263,017 67.2% 511,697 511,697 KC Reimbursement calculated at $2.65 per item vs. $1.95 budgeted. 383,043 451,705 Police Extra Duty Fees (offset by Police Wages) 393,169 166,494 42.3% 393,169 393,169 This is running on tract for FY 08. FY 09 projection kept the same. 358,756 250,985 Franchise Fees 422,000 222,627 52.8% 422,000 426,220 Anticipate 1% growth due to actual growth and additional provider 432,408 416,595 Grants 97,440 51,051 52.4% 97,440 97,440 Projection stayed the same until more and better information is available. 517,794 782,458 Other Miscellaneous Receipts/Interest 512,363 306,755 59.9% 605,532 512,363 Projection stayed the same until more and better information is available. 838,100 530,426 Transfer from Reserves Parkland 1,987,200 - - - - Taken out of FY 08 budget with budget ordinance in January 2008. 1,106,362 124,504 TOTALS $ 34,591,747 $ 22,522,643 65.1% $ 33,467,956 $ 33,604,603 $ 32,475,155 $ 32,267,851 \\Dover_1\finance\FDirector\Council\Revenue Forecast Qtr Ended 12312007

Prepared for: Council Meeting 1/28/08 Page 2 of 2 Agenda Item 8 CITY OF DOVER FISCAL YEAR JULY 1, 2007 TO JUNE 30, 2008 REVENUE FORECAST JANUARY 28, 2008 DECEMBER 50.0% YTD % BUDGET FY08 FY09 FY07 FY06 WATER/WASTEWATER FUND BUDGET REVENUES RECEIVED PROJ'D PROJ'D COMMENTS REVENUES REVENUES Water Fees $ 4,371,900 $ 2,332,876 53.4% $ 4,371,900 $ 4,415,619 Increased for 1% growth according to trend $ 4,250,634 $ 4,289,413 Wastewater Fees 2,508,600 1,363,807 54.4% 2,508,600 2,533,686 Increased for 1% growth according to trend 2,619,013 2,605,428 Wastewater Adjustment Fees - County Treatment 4,264,357 2,176,114 51.0% 4,264,357 4,307,001 Increased for 1% growth according to trend 3,854,100 3,865,683 FY 09 Model Projected $849,745, due to economy projection remained the Wastewater Impact Fees 746,500 543,078 72.7% 746,500 746,500 same. 725,120 615,682 Water Impact Fees - - - - 273,000 Pending 2nd reading on January 28, 2007. Water Tank Space Leasing 242,798 160,268 66.0% 242,798 250,275 FY 09 is based on known negotiated contracts. 259,457 304,799 Other Miscellaneous Revenues & Interest 188,750 101,939 54.0% 188,750 188,750 FY 09 projection is within historical trend. 191,934 187,098 TOTALS $ 12,322,905 $ 6,678,081 54.2% $ 12,322,905 $ 12,714,831 $ 11,900,258 $ 11,868,103 DECEMBER 50.0% YTD % BUDGET FY08 FY09 FY07 FY06 ELECTRIC REVENUE FUND BUDGET REVENUES RECEIVED PROJ'D PROJ'D COMMENTS REVENUES REVENUES Sales to Customers $ 93,516,294 $ 49,840,528 53.3% $ 92,537,544 $ 93,479,344 Projection based on kwh growth of approximately 1% $ 81,648,376 $ 56,137,985 Purchased Power Adjustment - - --- - 3,271,800 Reflects 3.5% increase projected at Utility Committee on Oct. 22, 2007 - 6,613,656 Utility Tax 1,599,100 889,430 55.6% 1,656,300 1,731,700 Projection as presented at Utility Committee on Oct. 22, 2007 1,461,435 1,092,711 Duke Rebate 800,000 - - - - Final rebate recorded in FY07 prior to completion of City audit - - Emission Credit Sales 1,030,000 1,068,190 103.7% 1,069,000 1,000,000 Projected sales as presented to Committee on Oct. 22, 2007 1,485,000 - Miscellaneous Revenue & Interest 1,636,066 1,059,190 64.7% 2,136,066 1,636,066 Increase in new service fees, reconnect fees, returns checks (Revisit 3/08) 1,702,418 1,020,188 Intrafund Service Fees - Water/Wastewater 267,483 85,478 32.0% 267,483 277,000 Public Utilities - Construction Projected Budget Allocation - 223,539 TOTALS $ 98,848,943 $ 52,942,816 53.6% $ 97,666,393 $ 101,395,910 $ 86,297,229 $ 65,088,079 \\Dover_1\finance\FDirector\Council\Revenue Forecast Qtr Ended 12312007

ACTION FORM PROCEEDING: Council AGENDA ITEM NO.: 01/28/2008 DEPARTMENT OF ORIGIN: Public Utilities – Electric Eng. DATE SUBMITTED: 01/18/2008 PREPARED BY: Ronald H. Lunt, Public Utilities Director SUBJECT: Evaluation of Bids - Overhead Distribution Capacitors REFERENCE: N/A RELATED PROJECT: Pad-Mounted Distribution Capacitors APPROVALS: City Manager, Finance Director EXHIBITS: N/A EXPENDITURE REQUIRED: $57,160.00 AMOUNT BUDGETED: $225,000 FUNDING SOURCE (Dept./Page in CIP & Budget): Public Utilities/Electric 2007-2008 Capital Investment Plan, Page 228 – Distribution Capacitors - Account 487-8300-563-70-27, Project Number EE0805. TIMETABLE: Capacitors will be ordered upon Council approval and have a scheduled delivery of 14 weeks after receipt of a purchase order. RECOMMENDED ACTION: Staff recommends awarding the purchase of the Overhead Distribution Capacitor bid to the low bidder, HD Supply Utilities Division, for the amount of $57,160. . BACKGROUND AND ANALYSIS The City of Dover has an obligation through the Delmarva Power Interconnection Agreement to maintain a 98.5% power factor. We are currently not complying with this requirement. In FY 07 a project was started to install distribution capacitors throughout the system to correct the power factor and improve the efficiency of the distribution system. This purchase is the second phase of that project. Utility staff will install the capacitor banks on the electric system. Bids were advertised according to City Policy by the City’s Purchasing Agent under Bid number 08-0060DPU and three (3) bids were received. The specifications also required that the bidders provide losses to ensure that we purchased energy efficient capacitors. Staff factored the purchase price and energy losses to determine the Total Cost of Ownership, similar to the methodology used to purchase distribution transformers. The recommended vendor provided the lowest cost capacitors and was also the low bidder when applying the Total Cost of Ownership factor. The following is a list of the responsive bidders: HD Supply Utilities - GE energy $57,160 HD Supply Utilities - Cooper $63,464 Martini & Associates, Inc. $65,376

ACTION FORM PROCEEDING: Council AGENDA ITEM NO.: 01/28/2008 DEPARTMENT OF ORIGIN: Public Utilities – Electric Eng. DATE SUBMITTED: 01/18/2008 PREPARED BY: Ron Lunt, Public Utilities Director SUBJECT: Evaluation of Bids – Underground Pad-Mounted Distribution Capacitors REFERENCE: N/A RELATED PROJECT: Overhead Distribution Capacitors APPROVALS: City Manager, Finance Director EXHIBITS: N/A EXPENDITURE REQUIRED: $136,312 AMOUNT BUDGETED: $225,000 FUNDING SOURCE (Dept./Page in CIP & Budget): Public Utilities/Electric 2007-2008 Capital Investment Plan, Page 228 – Distribution Capacitors - Account 487-8300-563-70-27, Project Number EE0810. TIMETABLE: Capacitors will be ordered upon Council approval and have a scheduled delivery of 12-14 weeks after receipt of a purchase order. RECOMMENDED ACTION: Staff recommends awarding the purchase of the Pad-Mounted Distribution Capacitors bid to the low bidder, Martini & Associates, Inc., for the amount of $136,312. BACKGROUND AND ANALYSIS The City of Dover has an obligation through the Delmarva Power Interconnection Agreement to maintain a 98.5% power factor. We are currently not complying with this requirement. In FY 07 a project was started to install distribution capacitors throughout the system to correct the power factor and improve the efficiency of the distribution system. This purchase is the second phase of that project. Utility staff will install the capacitor banks on the electric system. Bids were advertised according to City Policy by the City’s Purchasing Agent under Bid number 08-0061DPU and seven (7) bids were received. The specifications also required that the bidders provide losses to ensure that we purchased energy efficient capacitors. Staff factored the purchase price and energy losses to determine the Total Cost of Ownership, similar to the methodology used to purchase distribution transformers. The recommended vendor provided the lowest cost capacitors and was also the low bidder when applying the Total Cost of Ownership factor. The following is a list of the responsive bidders: Martini & Associates, Inc. $136, 312 Switchgear Power Systems $148, 620 Switchgear Power Systems $158, 480 Reuel, Inc. $164, 500 HD Supply Utilities Division $178, 200 Greye Glass Equipment, Inc. $183, 160 HD Supply Utilities Division $200, 816

FIRST READING AN ORDINANCE AMENDING THE ZONING ORDINANCE AND ZONING MAP OF THE CITY OF DOVER BY CHANGING THE ZONING DESIGNATION OF PROPERTY LOCATED AT 255 COLLEGE ROAD WHEREAS, the City of Dover has enacted a zoning ordinance regulating the use of property within the limits of the City of Dover; and WHEREAS, it is deemed in the best interest of zoning and planning to change the permitted use of property described below from C-3 (Service Commercial) to IO (Institutional and Office). NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. That from and after the passage and approval of this ordinance the Zoning Map and Zoning Ordinance of the City of Dover have been amended by changing the zoning designation from C-3 to IO on that property located at 255 College Road, owned by Delaware State University. ADOPTED: * S:\ClerksOffice\Rezonings\2008\255 College Road\Ordinance 255 College Rd - 1st Rdg.wpd

Z-08-02 The Lands of the State of Delaware Delaware State University Sports Annex 255 College Road M H MIS N O ASO E RG-5 J RM-2 M RM-2 RM-2 IO C-3 SITE CPO E EG LL CO R-20 ¯ Legend RG-5 R-20 IO Dover_Parcels Kent County Parcels 0 110 220 440 Feet City of Dover Department of Planning Z-08-02 The Lands of the State of Delaware Parcel ID: ED-05-067.00-02-47.00-000 Acres: 1.31 +/- Total The material is for reference purposes only, Council District 4 and the City makes no warranty, representation, or guaranty as to the accuracy of the material. Current Zoning: C-3 (Service Commercial) The material is in the public domain and may be Proposed Zoning: IO (Institutional/Office) copied without permission.

FIRST READING 1 of 5 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: The amounts hereinafter named in various City funds are changed from the currently approved revenues/receipts and appropriations to the revised revenues/receipts and revised appropriations for use by the various departments of the Municipal Government for A. GENERAL FUND Current Additions Revised RECEIPTS Budgets (Reductions) Budgets Beginning Balance $ 3,542,086 $ 509,893 $ 4,051,979 Transfer from Realty Transfer Tax Fund 2,650,222 656,385 3,306,607 Transfer in from Parkland Reserve 1,987,200 (1,987,200) - Transfer in from Library Reserve - 41,780 41,780 Net Adjustments $ (779,142) Current Additions Revised EXPENDITURES Budgets (Reductions) Budgets Fire $ 644,773 $ 5,964 $ 650,737 Library 1,132,283 41,780 1,174,063 Transfer to Governmental Capital Fund 4,680,362 (1,933,030) 2,747,332 Transfer to Library Reserve 399,350 449,759 849,109 Budget Balance 2,882,636 656,385 3,539,021 Net Adjustments $ (779,142) B. GOVERNMENTAL CAPITAL FUND Current Additions Revised RECEIPTS Budgets (Reductions) Budgets Transfer from Capital Asset Reserve $ - $ 135,515 $ 135,515 Transfer from General Fund for Projects 4,680,362 (1,933,030) 2,747,332 Transfer in from Parkland Reserve (JWP Cntr) - 2,132,369 2,132,369 Transfer in from Library Reserve - 10,094 10,094 Gifts/Donations (JWP Cntr) - 83,000 83,000 Net Adjustments $ 427,948 Current Additions Revised EXPENDITURES Budgets (Reductions) Budgets Recreation $ 2,135,700 $ 274,839 $ 2,410,539 Library - 10,094 10,094 Streets 415,000 7,500 422,500 Sanitation - 135,515 135,515 Net Adjustments $ 427,948 C. WATER/WASTEWATER FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance - Water $ 2,037,928 $ 182,533 $ 2,220,461 Beginning Balance - Wastewater 1,289,956 (197,224) 1,092,732 Wastewater Adjustment (1,109,481) 88,720 (1,020,761) Net Adjustments $ 74,029 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Balance- Water $ 430,356 $ 182,533 $ 612,889 Balance- Wastewater 566,474 (197,224) 369,250 Balance-Wastewater Adjustment (910,591) 88,720 (821,871) Net Adjustments $ 74,029 \\Dover_1\finance\FDirector\Council\Council Packet 01282008 1st Reading Bud Ord

FIRST READING 2 of 5 D. WATER/WASTEWATER IMPROVEMENT & EXTENSION FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance - Water $ 827 $ 274,307 $ 275,134 Beginning Balance - Wastewater 16,502 268,467 284,969 Net Adjustments $ 542,774 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Water $ 2,237,476 $ 241,231 $ 2,478,707 Wastewater 1,496,250 172,004 1,668,254 Balance- Water 453,001 33,076 486,077 Balance- Wastewater 163,604 96,463 260,067 Net Adjustments $ 542,774 E. ELECTRIC FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 7,822,873 $ 458,780 $ 8,281,653 Sales to Customers 93,516,294 (978,750) 92,537,544 Utility Tax 1,599,100 57,200 1,656,300 Duke Contract Revenue 800,000 (800,000) - Net Adjustments $ (1,262,770) Current Additions Revised EXPENSES Budgets (Reductions) Budgets Power Supply $ 60,764,531 $ (270,290) $ 60,494,241 Power Supply Management/Incentive 3,255,038 (255,038) 3,000,000 Capacity Charges 11,493,950 795,543 12,289,493 PJM Charges - Load 2,684,707 1,650 2,686,357 Generation Fuels 2,858,979 691 2,859,670 Capacity Credits (11,933,536) 30,059 (11,903,477) PJM Credits (3,696,990) 2,228 (3,694,762) Utility Tax 1,599,100 57,200 1,656,300 Accounts Receivable Write-Offs 100,000 25,000 125,000 Inventory Write-Offs 100,000 25,000 125,000 Debt Service 3,379,104 (575,000) 2,804,104 Budget Balance 7,908,700 (1,099,813) 6,808,887 Net Adjustments $ (1,262,770) F. ELECTRIC IMPROVEMENT & EXTENSION FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 13,954 $ 1,353,029 $ 1,366,983 Transfer from Depreciation Reserve 4,288,392 411,187 4,699,579 Net Adjustments $ 1,764,216 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Electric Generation $ 377,000 $ 400,000 $ 777,000 Electrical T & D 1,634,250 (7,000) 1,627,250 Electric Engineering 16,046,710 3,713,847 19,760,557 Electric Administration 8,000 17,500 25,500 Electric Metering 28,241 (7,841) 20,400 Budget Balance - Bond Proceeds 9,350,000 (2,198,827) 7,151,173 Budget Balance 153,463 (153,463) - Net Adjustments $ 1,764,216 \\Dover_1\finance\FDirector\Council\Council Packet 01282008 1st Reading Bud Ord

FIRST READING 3 of 5 G. GENERAL FUND CONTINGENCY RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 647,680 $ (2,426) $ 645,254 Net Adjustments $ (2,426) Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 711,180 $ (2,426) $ 708,754 Net Adjustments $ (2,426) H. GENERAL FUND LIBRARY RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Prior Year Balance $ 1,765,470 $ 608,306 $ 2,373,776 General Fund Appropriation 399,350 449,759 849,109 Interest Income 79,000 - 79,000 Net Adjustments $ 2,243,820 $ 1,058,065 $ 3,301,885 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Transfer out - Library related projects/security $ - $ 51,874 $ 51,874 Transfer to Parkland Reserve 334,000 - 334,000 Current Year Balance 1,909,820 1,006,191 2,916,011 Net Adjustments $ 2,243,820 $ 1,058,065 $ 3,301,885 I. WATER/WASTEWATER CAPITAL ASSET RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 1,617,841 $ 3,783 $ 1,621,624 Net Adjustments $ 3,783 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 1,663,841 $ 3,783 $ 1,667,624 Net Adjustments $ 3,783 J. WATER/WASTEWATER CONTINGENCY RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 228,687 $ 801 $ 229,488 Net Adjustments $ 801 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 240,039 $ 801 $ 240,840 Net Adjustments $ 801 K. ELECTRIC CONTINGENCY RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 840,652 $ 6,380 $ 847,032 Net Adjustments $ 6,380 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 878,652 $ 6,380 $ 885,032 Net Adjustments $ 6,380 \\Dover_1\finance\FDirector\Council\Council Packet 01282008 1st Reading Bud Ord

FIRST READING 4 of 5 L. ELECTRIC INSURANCE STABILIZATION RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 350,000 $ 1,255 $ 351,255 Net Adjustments $ 1,255 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 360,500 $ 1,255 $ 361,755 Net Adjustments $ 1,255 M. ELECTRIC RATE STABILIZATION RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 377,981 $ 1,802 $ 379,783 Net Adjustments $ 1,802 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 1,397,981 $ 1,802 $ 1,399,783 Net Adjustments $ 1,802 N. ELECTRIC DEPRECIATION RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 13,450,200 $ 84,983 $ 13,535,183 Net Adjustments $ 84,983 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 9,737,808 $ 84,983 $ 9,822,791 Net Adjustments $ 84,983 O. FUTURE CAPACITY RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 8,893,070 $ 65,722 $ 8,958,792 Net Adjustments $ 65,722 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 9,294,070 $ 65,722 $ 9,359,792 Net Adjustments $ 65,722 P. MUNICIPAL STREET AID Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 400 $ (254) $ 146 Net Adjustments $ (254) Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 700 $ (254) $ 446 Net Adjustments $ (254) \\Dover_1\finance\FDirector\Council\Council Packet 01282008 1st Reading Bud Ord

FIRST READING 5 of 5 Q. COMMUNITY TRANSPORTATION FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 311,165 $ (2,751) $ 308,414 Net Adjustments $ (2,751) Current Additions Revised EXPENSES Budgets (Reductions) Budgets Construction Purchase $ 1,350,000 $ 55,000 $ 1,405,000 Operating transfer out (Parkland reserve) 55,000 (55,000) - Budget Balance 311,165 (2,751) 308,414 Net Adjustments $ (2,751) R. WORKER'S COMPENSATION FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 1,371,416 $ 75,808 $ 1,447,224 Net Adjustments $ 75,808 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 1,445,961 $ 75,808 $ 1,521,769 Net Adjustments $ 75,808 S. OTHER POST-EMPLOYMENT BENEFITS (OPEB) Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 3,790,513 $ 413,487 $ 4,204,000 Net Adjustments $ 413,487 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 3,920,757 $ 413,487 $ 4,334,244 Net Adjustments $ 413,487 T. PARKS & RECREATION RESERVE Current Additions Revised REVENUES Budgets (Reductions) Budgets Beginning Balance $ 1,569,025 $ 205,506 $ 1,774,531 Transfer from Library Reserve 334,000 - 334,000 Transfer from Community Transportation Fund 55,000 (55,000) - Interest Income 30,000 - 30,000 Net Adjustments $ 1,988,025 $ 150,506 $ 2,138,531 Current Additions Revised EXPENSES Budgets (Reductions) Budgets Transfer to General Capital Project Fund (JWP Cntr) $ 1,987,200 $ 145,169 $ 2,132,369 Budget Balance 825 5,337 6,162 Net Adjustments $ 1,988,025 $ 150,506 $ 2,138,531 U. REALTY TRANSFER TAX FUND Current Additions Revised REVENUES Budgets (Reductions) Budgets Realty transfer tax revenue $ 2,650,222 $ - $ 2,650,222 Net Adjustments $ - Current Additions Revised EXPENSES Budgets (Reductions) Budgets Budget Balance $ 2,650,222 $ - $ 2,650,222 Net Adjustments $ - \\Dover_1\finance\FDirector\Council\Council Packet 01282008 1st Reading Bud Ord

FINAL READING The proposed ordinance represents a modification of the existing W astewater Collection Impact Fee ordinance in order to provide a parallel structure. The W astewater Collection Impact Fee ordinance is located within the Code of Ordinances for the City of Dover, Delaware as follows: o PART II CODE OF ORDINANCES, Chapter 110 - UTILITIES, ARTICLE IV - SEW ER SERVICE, DIVISION 3 - W ASTEW ATER COLLECTION IMPACT FEES It is proposed that the W ater Impact Fee ordinance be located within the Code of Ordinances for the City of Dover, Delaware as follows: o PART II CODE OF ORDINANCES, Chapter 110 - UTILITIES, ARTICLE III - W ATER SERVICE, DIVISION 7 - W ATER IMPACT FEES. 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN 2 COUNCIL MET: 3 DIVISION 7. W ATER IM PACT FEES 4 Sec. 110- 206. Definitions. 5 The following words, term s and phrases, when used in this division, shall have the m eanings ascribed to them in 6 this section, except where the context clearly indicates a different m eaning: 7 Equivalent Dwelling Unit (EDU): A term used to express the load produced on a water system approxim ately equal 8 to one dwelling unit or 250 gallons per day (GPD). 9 Impact Fee: A on-tim e fee im posed by the City upon the owner(s) of any new, rem odeled, restored or enlarged 10 residential, com m ercial, institutional or industrial structure or structures or any com bination thereof which results in 11 an increased water dem and to the water system . 12 W ater System: A term used to collectively identify all production, transm ission and distribution facilities and/or 13 im provem ents associated with the infrastructure. 14 Sec. 110-207. Establishm ent of equivalent dw elling units. 15 (a) Determination for residential dwellings. W henever by ordinance or by contract the city im poses or assesses 16 water charges or fees on the basis of EDUs, an EDU shall be determ ined in the sam e m anner as wastewater 17 collection charges or fees and as defined in the m ost recent im pact fee ordinance adopted by Kent County Levy 18 Court. An EDU for a residential dwelling shall be determ ined as follows: 19 (1) Houses, dwellings, m obile hom es and apartm ents with one kitchen and one or m ore baths and 20 bedroom s separate from the kitchen . . . 1.0 EDU 21 (2) Efficiency unit or cottage having a living space in one room and having one bath . . . 1.0 EDU 22 (3) Dwelling with one kitchen and one or m ore baths and bedroom s separate from the kitchen and attached 23 to other dwellings or structures . . . 1.0 EDU 24 (b) Determination for nonresidential establishments. W henever by ordinance or by contract the city im poses or 25 assesses water charges or fees on the basis of EDUs, the num ber of EDUs to be charged shall be 26 determ ined in the sam e m anner as wastewater collection charges or fees and using the appropriate 27 specific assessm ent as defined in the m ost recent im pact fee ordinance adopted by Kent County Levy 28 Court. W hen users propose water usage under circum stances other than the specific assessm ents defined 29 by the county, the city's im pact fee shall be calculated by the city engineer based on flow in GPD. In such 30 cases where the im pact fee is calculated by flow, each EDU shall be equal to 250 GPD.

31 (c) Minimum assignment. A m inim um of one EDU will be assigned to each establishm ent connecting to the 32 system . No fractional parts of EDUs will be assigned. The num ber of EDUs shall be rounded up to the 33 nearest whole num ber of EDUs. 34 (d) No assignment. If an establishm ent does not have any physical facilities which result in a water dem and on 35 the city’s water system , then the num ber of EDUs assigned to it shall be zero. 36 (e) Maximum assignment. The city shall in no case charge an im pact fee based on m ore than 100 EDUs per 37 certificate of occupancy. 38 Sec. 110-208. W ater impact fee established; payment, credits. 39 (a) Findings, etc. It is hereby determ ined that additional users to be connected to, or additional dem and to be 40 placed upon, the city’s water system will cause a reduction in the presently existing excess capacity and 41 will eventually contribute to the need to expand the city's water production and distribution system . Such 42 users resulting in new connections or increased dem and should contribute capital to be used for the 43 expansion of the city's water production and distribution system . The city's engineers have determ ined that 44 the calculation m ethods and procedures utilized to determ ine wastewater collection im pact fees as 45 provided in the m ost recent im pact fee ordinance adopted by Kent County Levy Court will be used to 46 establish water im pact fees based on the num ber of EDUs. A copy of this ordinance is on file with the city. 47 A com prehensive study of the city's water production and distribution system was com pleted and a m aster 48 plan developed for the orderly expansion of the city's water production and distribution system (W hitm an, 49 Requardt and Associates, "City of Dover, Delaware, W ater System Master Plan," January 2006). It is in 50 the best interest of the city and users of the city's production and distribution system to establish an im pact 51 fee. A study of the city's production and distribution system will be conducted as needed and the m aster 52 plan updated accordingly, but not m ore frequently than every five years. 53 (b) Payment. Every additional user to be connected to, or additional dem and to be place upon, the city's water 54 system , whether within the city's boundaries or outside the city's boundaries, and receiving service through 55 contract directly with the city, shall pay an im pact fee based on the am ount of EDUs to be generated by 56 such use. Com m ercial users, at the tim e of plan subm ittal, m ust subm it their proposed fixture unit 57 schedule for the construction. The purpose of the im pact fee and the standard by which its am ount is 58 determ ined is as a contribution of capital toward the expansion of the city's water system . The im pact fee 59 shall be adjusted from tim e to tim e to reflect changing costs and it shall be in addition to all other charges 60 and assessm ents m ade in connection with the furnishing of water service. The am ount of the water im pact 61 fee shall be as adopted by the city council, and such am ount shall be kept in a separate, interest-earning 62 expansion account and shall be used only for costs associated with the expansion of the city's water 63 system . This im pact fee shall be in addition to any assessm ent, tapping fee or other costs associated with 64 providing service. Im pact fees are to be paid by all developers or owners of newly constructed structures 65 or enlarged/im proved existing structures requiring water service prior to the issuance of a Certificate of 66 Occupancy. The City reserves the right to bar occupancy of such structure and withhold water service until 67 such tim e as the aforem entioned fee is paid in full. 68 (c) Fee and applicability. 69 The im pact fee shall be $700 beginning on February 1, 2008 for every additional user or additional dem and 70 to be placed on the system where both the applicable building perm it and certificate of occupancy is issued 71 on or after February 1. 2008. Additional users or additional dem ands issued an applicable building perm it 72 before February 1, 2008 shall not pay the fee. A sales contract executed prior to February 1, 2008 for the 73 sale of the applicable property to a buyer who is independent of the seller m ay be subm itted to the City 74 Manager for consideration in lieu of a building perm it issued before February 1, 2008. 75 (2) The im pact fee shall be $1400 beginning on February 1, 2009 for every additional user or additional 76 dem and to be placed on the system where a certificate of occupancy is issued after February 1, 2009. 77 (3) The im pact fee shall be $2100 beginning on February 1, 2010 for every additional users or additional 78 dem and to be placed on the system where a certificate of occupancy is issued after February 1, 2010. 79 (4) The im pact fee shall be adjusted from tim e to tim e to reflect changing costs as a result of study of the 80 city's water system that will be conducted as needed, but not m ore frequently than every five years.

81 (d) EDU credit. Any connection to the city's water system will be credited with any EDUs existing on the 82 property. As an exam ple, if a house with an EDU is dem olished and a structure with 50 EDUs is put in its 83 place, the owner shall pay a water im pact fee based on 49 EDUs. No EDUs shall be transferred from one 84 property to another property, whether or not such properties are owned by the sam e person, without the 85 approval of the city council. 86 (e) Deferred charge. All applicants for service, which have been served by private water sources, shall be 87 subject to a deferred im pact fee charge. Paym ent of the deferred im pact fee charge shall not be required 88 until such tim e as connection is m ade directly to the city's water system . The am ount of the charge shall 89 be based on the prevailing im pact fee at the tim e of connection. This fee shall be in addition to any 90 assessm ent, tapping fee or other costs associated with providing service. 91 Divison 7. Secs. 110-209--110-230. Reserved

FINAL READING BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: That Appendix C – Downtown Redevelopment, Article IV – Development Incentives, Section 2 – Multiple story new construction projects. Section 2. (Waiver of Impact Fee.) Eligible projects that have received conditional approval from the Planning Commission after January 31, 2008 That involve multiple story new construction or renovation of an existing building, and have a combination of residential, office, retail, or commercial service uses so that at least two of these uses are established shall qualify for City impact fee waiver of the cost of such fees. Eligible projects that have received conditional approval from the Planning Commission on or before January 31, 2008 and that are multiple story new construction on one lot, and have a combination of residential, office, retail, or commercial service uses so that at least two of these uses are established shall qualify for City Impact fee waiver of one half the cost of such fees.

FINAL READING 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN 2 COUNCIL MET: 3 That Chapter 46 - Fire Prevention and Protection, Article III - Fire Codes, be amended by adding 4 a new Section 46-128 - Sprinkler Requirements in Townhouses, as follows: 5 Sec. 46-128 Sprinkler Requirements in Townhouses. 6 (a) Definitions 7 (1) For the purposes of this section, a townhouse shall be defined as a single- 8 family unit in a row of three or more attached units that are separated by walls 9 constructed as two-hour rated fire barrier walls, separated by property lines and 10 with open space on at least two sides, and shall be served by an exit directly to the 11 exterior at grade level. 12 (b) Requirements 13 (1) All new Townhouses constructed after _____________ shall be required 14 to install residential sprinkler systems in accordance with adopted codes 15 of the City of Dover. A permit must be obtained in accordance with the 16 provisions of Sec. 46-126. This section shall not apply to existing 17 townhouses or townhouses that have received final Planning Commission 18 approval prior to the effective date this section. 19 (2) Townhouse units constructed prior to the effective date of this ordinance 20 that have been damaged by fire, weather, or other cause shall not be 21 required to install residential sprinklers as part of their reconstruction, 22 provided, however, that where such fire, weather or other cause results 23 damage to three or more adjacent townhouse units under common 24 ownership and such damage exceeds 50% of the pre-damage assessed 25 value of each living unit, the installation of residential sprinklers in the 26 units that were damaged shall be required as part of the reconstruction. 27 (3) Where three or more adjacent townhouse units under common ownership 28 which were constructed prior to the effective date of this ordinance are 29 subsequently renovated and the costs of the renovations exceed fifty 30 percent (50%) of the pre-renovation assessed value of each living unit, the 31 installation of residential sprinklers in each unit renovated shall be 32 required as part of the renovations. For the purposes of this subsection, 33 there shall be a rebuttable presumption that this subsection applies if 34 building permits for renovations are obtained for adjacent units during any 35 twenty-four (24) month period.

36 (4) For purposes of this section, the assessed value of any townhouse unit 37 shall be as determined by the City Assessor. 38 (5) The owner of a townhouse used as a rental property shall ensure that the 39 sprinkler system is functioning each time a new tenant moves in. 40 (6) Sprinkler systems shall be designed so that an alarm, clearly audible 41 inside the townhouse, will sound upon activation of a sprinkler head 42 within a unit. 43 (7) Prior to the issuance of a Certificate of Occupancy the City of Dover Fire 44 Marshals Office shall be furnished with a fully completed Certificated of 45 Installation signed by the sprinkler installer indicating the proper 46 installation of the sprinkler system. 47 48 (8) Any service needed on any residential sprinkler system shall be conducted 49 by a vendor licensed by the State Fire Marshals Office. 50 (9) Any sprinkler activation as a result of a fire shall be reported to the Fire 51 Department. 52 (10) Anyone found to have tampered with or disconnected a townhouse 53 residential firesprinkler system shall be fined pursuant to Section 1-17 of 54 the Dover Code of Ordinances. 55 ADOPTED: * 56 S:\ClerksOffice\Ordinances\2008\Draft Ordinances\Final Reading 01-28-08 - sprinkler ordinance.wpd