COUNCIL PACKET

Regular City Council Meeting Agenda September 14, 2020 - 7:30 p.m. This meeting will be held remotely via WebEx. Public participation information is as follows: Phone: 1-408-418-9388 Link: https://cityofdoverde.webex.com/cityofdoverde/onstage/g.php?MTID=eb3e6c7046c3094b1f6f5f 9582ea7a180 Event number: 173 482 2517 Event password: DOVER (if needed) If you are new to WebEx get the app now at https://www.webex.com/ to be ready when the meeting starts. Invocation by Mayor Christiansen Pledge of Allegiance Led by Councilman Lindell Adoption of Agenda 1. Oath of Office Administered by The Honorable James G. McGiffin, Jr., Judge - Family Court Council - First District - Gerald L. Rocha, Sr. * 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. * 2. Adoption of Minutes A. Special Council Meeting of June 1, 2020 - Budget Review B. Regular Council Meeting of August 24, 2020

Council Agenda - September 14, 2020 Page 2 3. Proclamations A. Constitution Week B. Recovery Month * 4. Monthly Reports - July 2020 A. City Assessor’s Report B. City Council's Community Enhancement Fund Report C. City Manager’s Report D. City Planner’s Report E. Controller/Treasurer’s Budget Report (June and July) F. Fire Chief’s Report (June and July) G. Police Chief’s Report * 5. Semi-Annual Inspection by City Manager - Robbins Hose Company (Staff recommendation: Acceptance of the report) * 6. Appointments Recommended by Mayor Christiansen A. Planning Commission - Kelli Leiter Lord - Third District Representative (to fill the expired term of Frederick Tolbert - term to expire June 1, 2023) B. Construction and Property Maintenance Code Board of Appeals - Tiffany L. Steger - Representative of Homeowners (to fill the expired term of Adam M. Perza - term to expire May 10, 2021) 7. Consideration of Renewing the Agreement for Library Services with Library Systems and Services (Staff recommendation: Notify Library Systems and Services of the City’s intention to terminate the contract. Then either: 1. Issue an RFP for Library Services and negotiate an agreement for a longer term; or 2. Prepare to on-board as City employees Brian Sylvester as Director and Megan Johnson as Assistant Director. Any RFP should be conducted quickly and require retaining. The Council could also seek to negotiate new terms for a no-bid contract if it is convinced that extension of the contract is preferable and that there are no competitors for this service in the market.) * 8. Special Election to Fill Vacancy - Robbins Hose Company - Term to Expire December 31, 2020 - Second Fire Line Captain - David Knight 9. Final Reading - Proposed Ordinance #2020-10 The First Reading of the Proposed Ordinance was accomplished during the Council Meeting of August 24, 2020. The ordinance is available at the entrance of the Council Chambers and on the City's website at www.cityofdover.com under "Government." A. Ordinance #2020-10 with Staff Amendment #1 (SA#1) Amending Chapter 34 - Elections, Article II - Voter Registration, Section 34-31 - Requirements 10. City Manager’s Announcements 11. Council Members’ Announcements

Council Agenda - September 14, 2020 Page 3 12. Adjournment /tm S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Council-Agendas\2020\09-14-2020 COUNCIL.wpd Executive Session Pursuant to: 29 Del. C. §10004(b)(2) - Preliminary discussions on site acquisitions for any publicly funded capital improvements, or sales or leases of real property; 29 Del. C. §10004(b)(4) - Strategy sessions, including those involving legal advice or opinion from an attorney-at-law, with respect to collective bargaining or pending or potential litigation, but only when an open meeting would have an adverse effect on the bargaining or litigation position of the public body; 29 Del. C. §10004(b)(6) - Discussion of the content of documents, excluded from the definition of "public record" in §10002 of this title where such discussion may disclose the contents of such documents; 29 Del. C. §10004(b)(9) - Personnel matters in which the names, competency and abilities of individual employees are discussed, unless the employee requests that such a meeting be open THE AGENDA ITEMS AS LISTED MAY NOT BE CONSIDERED IN SEQUENCE. PURSUANT TO 29 DEL. C. §10004(e)(2), THIS AGENDA IS SUBJECT TO CHANGE TO INCLUDE THE ADDITION OR THE DELETION OF ITEMS, INCLUDING EXECUTIVE SESSIONS, WHICH ARISE AT THE TIME OF THE MEETING.

SPECIAL COUNCIL MEETING BUDGET REVIEW The Special City Council Meeting was held by video conference on June 1, 2020 at 6:04 p.m. with Council President Hare presiding. Council members present via video or telephone were Mr. Anderson, Mr. Sudler, Mr. Neil, Mr. Slavin, Mr. Cole, Mr. Polce (arrived at 6:14 p.m.) and Mr. Lindell. Mr. Taylor was absent. Staff members present via video or telephone were Mrs. Mitchell and Mrs. McDowell. Mayor Christiansen was also present. ADOPTION OF AGENDA Mr. Hare requested to remove item #4 - Stormwater Utility Recommendation, to be discussed at a later date. Mr. Sudler moved for approval of the agenda as amended, seconded by Mr. Lindell and unanimously carried. Mr. Hare stated that Mr. Taylor was unable to attend, but that Mr. Taylor had no problems with the budget as long as there were no tax increases, which he was not in favor of. INTRODUCTION AND PRESENTATION OF FISCAL YEAR 2021 RECOMMENDED BUDGET AND HIGHLIGHTS OF OVERALL BUDGET Mr. Matthew Harline, Assistant City Manager, reviewed the document titled “2020-2021 Draft Annual Operating Budget,” (Exhibit #1). Mrs. Donna Mitchell, City Manager, noted that splitting the Water/Wastewater fund into two separate funds also split the employees into two separate funds and, in doing so, when the actuary calculated the Other Post-Employment Benefits (OPEB) retirement's liability, a greater difference in the percentage of payroll for the OPEB expense went to the Wastewater fund than to the Water fund. MAJOR FUND HIGHLIGHTS - GENERAL FUND Mr. Matthew Harline, Assistant City Manager, reviewed pages 21-31 of the “2020-2021 Draft Annual Operating Budget,” pages 190-199 of the budget book. Regarding iPlan tables, Mr. Sudler asked if it would be contractors that would be submitting these plan tables for review legally. Responding Mr. Harline clarified that iPlan is a light table that is basically a computer screen that you can write on. Responding to Mr. Sudler, Mr. Harline stated that it would be contractors who need equipment. He noted that they would submit plans, and they would be able to mark up and share from department to department easier. Mr. Harline stated that it would eliminate the use of paper and the cumbersomeness of having a set of plans that have been marked up.

SPECIAL COUNCIL MEETING OF JUNE 1, 2020 PAGE 2 Responding to Mr. Sudler's questions regarding Diversity and Inclusion, Mr. Hare stated that Mrs. Kim Hawkins, Human Resources Director, sent an email outlining his concerns in-depth since it has been put on hold due to the current circumstances. Responding to Mr. Sudler's questions, Mr. Harline provided the following information: • Looking at the current years’ General Fund revenues, they are seeing the original approved amount for several of the funds, like Kent County book reimbursement. They budgeted at $275,000 and it is coming in at $238,700. He noted that the decrease is unrelated to the coronavirus and that they have been seeing decreasing funds each year. • One of the largest decreases was in permits and other fees, which was budgeted at $1.72 million. Applications for building permits have probably been affected somewhat by the Coronavirus. They are anticipating those revenues to be close to $1.12 million. • The tiered rate structure recommended by the consultant, NexGen, provides a disincentive for wasting water by giving lower usage customers a lower rate than larger consumers to encourage water conservation. • The base rates try to match the actual fixed costs of providing some of the basic services. The actual fixed costs for water rates are steady and the variable rates are a smaller part of the resource. • Segal Consulting is conducting a Compensation and Classification Study at the department head level to address personnel and the retention rate. Mr. Hare noted that Mrs. Hawkins' report has quite a few recommendations as to how to ascertain what the department should be doing. MAJOR FUND HIGHLIGHTS - WATER FUND Mr. Matthew Harline, Assistant City Manager, reviewed pages 63-71 of the “2020-2021 Draft Annual Operating Budget,” pages 293-311 of the budget book. MAJOR FUND HIGHLIGHTS - WASTEWATER FUND Mr. Matthew Harline, Assistant City Manager, reviewed pages 73-81 of the “2020-2021 Draft Annual Operating Budget,” pages 313-329 of the budget book. Mrs. Donna Mitchell, City Manager, referring to page 77 of the “2020-2021 Draft Annual Operating Budget,” noted that Staff planned on either a bond issue or a loan through the State Revolving Fund, since is it only a rate of 2%, to complete the Inflow/Infiltration Removal/System Improvements, which is a major project in 2023 and 2024. Mrs. Mitchell stated that $800,000 was allocated in 2021 and $419,000 in 2022 for Ms. Sharon Duca, Public Works Director, to do smoke testing to determine where the lines are leaking. She noted that when smoke testing was done years ago, it was done in segments instead of citywide.

SPECIAL COUNCIL MEETING OF JUNE 1, 2020 PAGE 3 Mrs. Mitchell advised that $4,270,000 was budgeted in both 2023 and 2024 to complete the Inflow/Infiltration Removal/System Improvements project, at which time the I&I money will be applied toward debt service rather than water. Regarding treatment fees, Mrs. Mitchell stated that they have had to increase the budget the last few years because of the wet weather. She advised that they were not able to cover the county sewer bill because the rain water was going into the line. Mrs. Mitchell, referring to page 347 of the budget book, noted that the 2020 project date exceeds “Exceeds/(Remains) to Meet Requirement” in row 35 at negative $693,300 due to the increase in the treatment charge. MAJOR FUND HIGHLIGHTS - ELECTRIC REVENUE FUND Mr. Matthew Harline, Assistant City Manager, reviewed pages 83-100 of the “2020-2021 Draft Annual Operating Budget,” pages 331-363 of the budget book. Responding to Mr. Anderson’s questions, Mr. Harline provided the following information: • They are hoping to have the LED lighting project implemented in three years. This project allows for the design in this year and next year and then the installation of the lights and the seven-pin technology to allow ad-ons, such as detecting sounds. Those ad-ons are not in this budget, but they can be added in 2022, 2023 or, depending upon Council priorities, they could begin installing some of them in 2021, but this budget does not include the ad-ons. • They are anticipating full police staffing. When they were going through the budget process, they had people in the Academy to fill the remaining spots. Mrs. Mitchell noted that there are six cadets in the budget. • Regarding grants for organizations that do Dover Days and the African American Festival, there is going to be a direct $15,800 for Dover Days, which is now its own 501c3. They are anticipating supporting Dover Day with a fee for service instead of a donation. • The funds for the Fourth of July celebration and the African American Festival are programmed in the Parks and Recreation Department at $5,000.00 each. There is no increase or decrease from the previous year. Responding to Mr. Anderson regarding street priorities, Mrs. Mitchell stated that she sent an email showing how 0.007 compared with the commercial and industrial rates that she presented in January. She noted that all of the large customers faired pretty well. Responding to Mr. Anderson, Mr. Harline stated that they are still counting on the grading being done in partnership with Innovation Readiness Training (IRT). He noted that it has been approved and it will appear in the next federal fiscal year, which would start October 1st, at which time they would do the planning. Mr. Harline noted that they would do the actual grading in the summer of 2022.

SPECIAL COUNCIL MEETING OF JUNE 1, 2020 PAGE 4 Responding to Mr. Anderson regarding the $360,000 that is budgeted, Mrs. Mitchell stated that they have budgeted for one project. They had an estimated cost of $319,000 in this budget and they were going to use that money to help with that project. She stated that they will not know the cost of each project until they get the engineering done on the Master Plan Projects. Mrs. Mitchell advised that they were going to place any balance of that money or all of that money in the Parkland Reserve and as they get the engineering and estimates done, they will bring those projects back to Council. Mr. Slavin asked Mr. Lindell, as Chair of Legislative, Finance, and Administrative Committee, if he would consider having a standing update each quarter on the budget, revenues, and expenses. Mr. Slavin moved to adopt the budget as presented. The motion was seconded by Mr. Cole. Mr. Neil expressed concerns regarding the lodging tax and property taxes. He noted that he requested they have a separate fund for Dover Days. Mr. Neil stated that it was important that tourism had a fee and he suggested $5,000 because they are marketing and advertising to make people aware. Mr. Neil proposed a general discussion on the implementation of the fees. He noted that they have to have the infrastructure for these fees to maintain the pumps and pipes. Mr. Neil asked if they could delay this issue. Responding to Mr. Neil regarding bonding to support a structure for wastewater and water, Mrs. Mitchell stated that many of those projects are already with bonding. She noted that the interest rate is 2% and that the interest and bond payment is built into the budget and the forecast model. Mrs. Mitchell stated that the rate and fees are covering those debt service payments to bond those projects. Mr. Neil asked if it would hurt them if they were to delay the fee part of the implementation. He asked if they can give a break to the City residents who are going to have to pay that, because it is an increase that they are going to have to pay each month. Responding to Mr. Neil, Mrs. Mitchell stated it is in the total bill, it is not an increase. She stated it is actually a decrease because of the PCA credit, the only one that will actually see an increase is the residential customer, which is $2 and some change. Mrs. Mitchell noted that they would actually see a slight increase, but it is nowhere near what it could be if they were not doing the PCA credit. She stated that she did a calculation of $104,200 in water utility lost revenue and $149,900 in wastewater lost revenue if they deferred the rate increases for two months until September 1st. Mrs. Mitchell stated that the budget does include debt service for projects so it would erode at that income, but that they could manage with it. Mr. Harline noted that they have the forms prepared for the lodging tax and they should be ready in a week. Mr. Anderson asked what the feedback was for their cash customers, not changing the due date, but waving latencies in interest for people who need a couple of extra months, who need until September to pay their property taxes. Responding, Mr. Hare stated that is something that is going to be on the Council agenda. He noted that he has received a lot of calls from business and hotel owners, and it is going to be proposed that they delay and that they do not have any penalties. Mr. Hare stated

SPECIAL COUNCIL MEETING OF JUNE 1, 2020 PAGE 5 instead of July 1st property taxes being due, they are going to extend it to September 30th to give everybody a chance to get the revenues. Mr. Hare noted that a lot of the businesses he has spoken to are very comfortable with that. He noted that they are going to apply that to everybody. Mr. Slavin moved to adopt the budget as presented. The motion was seconded by Mr. Cole and unanimously carried. Mr. Slavin moved for adjournment, seconded by Mr. Cole and unanimously carried. Meeting adjourned at 8:19 p.m. TRACI A. McDOWELL CITY CLERK All ordinances, resolutions, motions, and orders adopted by City Council during their Special Meeting of June 1, 2020, are hereby approved. ROBIN R. CHRISTIANSEN MAYOR /TM S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Council-Minutes\2020\06-01-2020 SPECIAL CITY COUNCIL - BUDGET REVIEW.wpd Exhibits Exhibit #1 - Document titled “2020-2021 Draft Annual Operating Budget”

EXHIBIT #1 Special Council Meeting - Budget Review of 06/01/2020 2020-2021 DRAFT ANNUAL OPERATING BUDGET With 2021 – 2025 Capital Investment Program 1

This page left blank intentionally 2

City of Dover Fiscal Year 2021 Recommended Budget Budget Highlights & Discussion Points June 1, 2020

The Vision The City of Dover is a place where people want to live! Through the team effort of its elected officials, employees, and citizens, Dover is a clean and safe community, with a future of balanced growth and opportunity where all citizens are heard, enjoy a high quality of life, and diversity is valued. 4

The Vision …Dover is a clean and safe community, …enjoy a high quality of life… This budget document reflects a spending plan for FY21, that maintains the gains for critical service levels from last year and starts a path towards enhanced maintenance of our infrastructure to support the City’s taxpayers and citizens beyond FY21. • This budget maintains staffing added last year for maintenance of basic public works such as ditch maintenance, streets, stormwater culverts, catch basins, vegetation/tree maintenance, building inspections and code enforcement. • This budget anticipates holding the gains in personnel from last year, but due to stagnant revenues, no additional full-time personnel are recommended. • This budget continues with long range plans to address our aging facilities, park improvements, and to upgrade HVAC systems in City facilities. • The budget does not include a self-funding Stormwater Utility. The City will still have to address stormwater infrastructure maintenance and operational requirements as required by Federal and State regulations, but any additional fees will require discussion during FY21 for implementation in late FY21 or in FY22. 5

The Vision …Dover is a clean and safe community, …enjoy a high quality of life… This budget document reflects a spending plan for FY21, …to support the City’s taxpayers and citizens beyond FY21. • This budget reflects an increased focus on new and upgraded technology for better customer service and greater efficiency. • This budget implements rate increases in water and wastewater (a.k.a. sewer) for needed improvements to infrastructure as well as establishing a prudent reserve in the wastewater fund over time. • This budget offsets the increase in water and wastewater fees with an increase in the PCA credit for electric rates. • This budget reflects the uncertainty of the General Fund revenues by: • Reducing the transfer to the Capital fund from $3.26 million FY20 to a recommendation of $2.08 million in FY21; • Cutting GF CIP from $6.57 million in FY21 requested CIP to $4.87 million recommended; • Budgeting only 2% raises for Non-bargaining employees; 0% increase in Health Care. 6

The Vision …Dover is a clean and safe community, …enjoy a high quality of life… This budget document reflects a spending plan for FY21, …to support the City’s taxpayers and citizens beyond FY21. • This budget reflects an increased focus on new and upgraded technology for better customer service and greater efficiency. • This budget implements rate increases in water and wastewater (a.k.a. sewer) for needed improvements to infrastructure as well as establishing a prudent reserve in the wastewater fund over time. • This budget offsets the increase in water and wastewater fees with an increase in the PCA credit for electric rates. • This budget reflects the uncertainty of the General Fund revenues by: • Reducing the transfer to the Capital fund from $3.26 million FY20 to a recommendation of $2.08 million in FY21; • Cutting GF CIP from $6.57 million in FY21 requested CIP to $4.87 million recommended; • Budgeting only 2% raises for Non-bargaining employees; 0% increase in Health Care. 7

Mission – Planning for the Future ➢ Create economic opportunities – three prongs ❖ New Businesses ❖ Preserve and Expand Existing Business ❖ Citizens of Dover and local communities with quality jobs ➢ City buildings and infrastructure ❖ Address space needs and energy efficiencies ❖ Address code compliance for City structures ❖ Look to the future needs and opportunities ➢ Quality of Life and Collaboration with Partners ❖ Restore Central Dover – lighting, cleanup, events ❖ Safe streets and neighborhoods ❖ Park amenities for families ❖ Increased funds for demolition of dangerous buildings ➢ Utilities ❖ Continue to address water quality ❖ Address aging water & wastewater infrastructure ❖ Develop a stormwater strategy ❖ Establish partnerships in new generation technologies and renewables 8

Executive Summary • General Fund ✓ Property Tax – No rate increase (reassessment → decreased rate) ✓ No new full-time positions; kept additions from prior year ✓ Major Improvements in Dover Park (FY21 – FY22) and Schutte Park (FY22) ✓ Development of a Stormwater Utility for consideration in Winter 2021 • Water Utility – separate Fund since FY20 ✓ Cost of service and rate increases start in FY21 ✓ Proposed to meet future revenue requirements for operations and capital maintenance ✓ Allows for needed improvements and to preserve prudent reserves ✓ Lowest volume users will see a decrease in their bill ✓ Completion and full operation of the Water Treatment Facility • Wastewater Utility – separate Fund since FY20 ✓ Cost of service and rate increases start in FY21 ✓ Proposed to meet future revenue requirements for operations and capital maintenance ✓ Allows for needed improvements and to preserve prudent reserves • Electric Fund ✓ Decommissioning of McKee 3 during FY21 – FY 23 ✓ Secure Solar energy PPAs for 25 years. ✓ Increase in PCA Credit (to $.00700/kwh) ✓ Offset Water and Wastewater rate increases for most customers ✓ Increased credit the sent back to customers from FY20 PCA ($.00382/kwh) 9

Policy Compliance • Revenue Policy • #6 – The City will project current revenues on a conservative basis so the actual revenues will consistently meet or exceed budgeted revenues. Revenues greater or less than the original budget will flow through to the audited Ending Budget Balance. • Expenditure Policy • #3 –The City will adopt a balanced budget, by fund, for all funds maintained by the City, in which total anticipated revenues must equal or exceed the budgeted expenditures, less capital transfers, for each fund. The Beginning Budget Balance will not be considered a revenue source. • Budget Balance Policy – General Fund • #1 – The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 12% of the current year operating revenues for the General Fund, excluding the carry forward balance. (8.33% = 1 month, 12% = 45 days) • Budget Balance Policy – Water Fund • #1 – The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 17% of the current year operating revenues for the Water Fund, excluding the carry forward balance. (17% = 2 months) • Budget Balance Policy – Wastewater Fund • #1 – The City will strive to maintain a minimum Budget Balance, of at least 8% and no greater than 17% of the current year operating revenues for the Wastewater Fund, excluding the carry forward balance. (17% = 2 months) • Budget Balance Policy – Electric Fund • #1 – The City will strive to maintain a minimum Budget Balance, of at least 12% of the current year operating revenues for the Electric Fund, excluding the carry forward balance. 10

Policy Compliance as Recommended Water and General Water Wastewater Wastewater Electric Fund Utility Utility Fund Fund * Revenues 44,944,700 $7,323,600 $10,284,300 $17,607,900 $85,086,900 Expenses (46,416,200) (7,082,100) (8,968,800) (16,050,900) (79,420,400) Surplus/(Deficit) ($1,471,500) $241,500 $1,315,500 $1,557,000 $5,666,500 Ending Budget Balance 4,341,600 $1,460,400 $1,363,400 $2,823,800 $10,650,700 % of Revenue 9.7% 19.9% 13.3% 16.0% 12.5% Beginning Budget Balance 5,813,100 $1,218,900 $47,900 $1,266,800 $10,230,300 Less PCA Credit (5,246,100) Adjusted Beginning Budget Balance $4,984,200 Capital Improvement Transfers $2,078,100 $1,300,000 $1,200,000 $2,500,000 $5,000,000 Revenue Policy #6 x ✓ ✓ ✓ ✓ Budget Balance Policy #1 ✓ x ✓ ✓ ✓ Expenditure Policy #3 x ✓ ✓ ✓ ✓ * The Electric Fund Revenue does not include the distribution of prior fiscal year earnings, The FY21 Beginning Budget Balance is reduced $5.2 million to rebate prior year revenues through a Power Cost Adjustment (PCA) credit; 11

City of Dover Recap of Budget Review - Major Funds Fiscal Year 2020/21 2019/20 2020/21 2020/21 APPROVED REQUESTED RECOMMENDED Operating Budgets Expenditures less Capital Transfers General Fund $43,601,200 $45,694,700 $44,338,100 Water Fund 5,679,600 5,831,600 5,782,100 Wastewater Fund 8,674,300 7,939,300 7,768,800 Electric Revenue Fund 77,899,400 74,723,700 73,420,400 Total Operating Budgets $135,854,500 $134,189,300 $131,309,400 Capital Budgets General Fund $4,904,000 $6,572,100 $4,867,800 Water Fund 1,520,100 1,387,400 1,225,900 Wastewater Fund 2,302,600 1,518,000 1,099,000 Electric Revenue Fund 7,058,645 6,355,900 6,355,900 Total Capital Budgets Budgets $15,785,345 $15,833,400 $13,548,600 Grand Total Major Funds $151,639,845 $150,022,700 $144,858,000 12

Actual Actual Actual Actual Actual Actual Actual Actual Proposed GENERAL FUND 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21 Property Tax Rate Approved $0.3378 $0.3378 $0.3378 $0.4050 $0.4050 $0.4050 $0.4050 $0.4400 $0.4050 Proposed Property Tax Rate Increase $0.0551 $0.0350 ($0.0350) Trash Fees (in City) $17.00 $17.00 $17.00 $17.00 $17.00 $21.00 $21.00 $21.00 $21.00 Trash Fees (outside City) $42.75 $42.75 $42.75 $42.75 $42.75 $54.00 $0.00 $0.00 $0.00 Transfer from Electric Utility $8 million $8 million $10 million $10 million $10 million $10 million $10 million $10 million $10 million % of Electric Fund Revenues 8.3% 9.6% 12.5% 12.2% 12.3% 12.2% 12.2% 11.8% 11.8% % of General Fund Revenues 22.3% 22.5% 25.7% 23.9% 23.7% 23.4% 23.4% 22.0% 21.4% Transfer from Water/Wastewater Utility $500,000 $500,000 $500,000 $850,000 $875,000 $900,000 $1,000,000 $1,000,000 $1,000,000 % of Water/Wastewater Fund Revenues 3.7% 3.6% 3.4% 5.7% 5.7% 5.8% 5.8% 6.3% 5.7% % of General Fund Revenues 1.4% 1.1% 1.3% 2.0% 2.1% 2.1% 2.1% 2.2% 2.1% WATER/WASTEWATER FUND Water per 1,000 gal (Tier 1) $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $2.49 Water per 1,000 gal (Tier 2) $3.11 Water per 1,000 gal (Outside City Tier 1) $4.50 $4.50 $4.50 $4.50 $4.50 $4.50 $4.50 $4.50 $3.74 Water per 1,000 gal (Outside City Tier 2) $4.67 Water Customer Charge $1.25 $1.25 $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 $5.00 Wastewater per 1,000 gal. Charge $2.65 $2.65 $2.65 $2.65 $2.65 $2.65 $2.65 $2.65 $2.84 Wastewater per 1,000 gal (Outside City) $3.98 $3.98 $3.98 $3.98 $3.98 $3.98 $3.98 $3.98 $4.25 Wastewater Customer Charge $1.25 $1.25 $2.50 $2.50 $2.50 $2.50 $2.50 $2.50 $5.00 Kent County Sewer Treatment Fee - Rate set by County $2.34 $2.34 $2.34 $2.34 $2.34 $2.34 $2.34 $2.58 $2.58 Kent County Sewer Adjustment (I & I flows) $1.05 $1.05 $1.50 $1.50 $1.50 $1.50 $1.50 $1.50 $1.61 ELECTRIC FUND Residential Rates $0.1316 $0.1204 $0.1204 $0.1203 $0.1203 $0.1203 $0.1206 $0.1206 $0.1209 Increase % -3.5% -8.5% 0.0% -0.1% 0.0% 0.0% 0.2% 0.0% 0.2% Power Cost Adjustment ($0.00252) ($0.00855) ($0.00382) ($0.00382) ($0.00700) Electric Fund Customer Charge $5.00 $5.00 $5.00 $7.50 $7.50 $7.50 $8.46 $8.46 $9.42 Reconnect Fees $50 - $100 $50 - $100 $50 - $100 $50 - $100 $50 - $100 $50 - $100 $50 - $100 $50 - $100 $50 - $100 Return Check Fees $25 $25 $25 $40 $40 $40 $40 $40 $40 13

Major Operating Funds Personnel • No staff (FTE) increases are recommended. • Pay increases and progression steps in accordance with collective bargaining agreements; Non-Bargaining increases of 2% preserved. • State Health Plan calls for no increase • Retirement payouts • Some known retirements (City Manager, IT Director, etc.) are budgeted • Others will be absorbed by attrition and new hires put on hold until such time the budget will cover the position. Exceptions will be reviewed by the City Manager, Controller/Treasurer and Department Head. • Negotiations with AFSCME and IBEW still pending. • Possible to review at mid-year for key positions (additional street sweeper, police officers, addition planning and inspection staff.) 14

Personnel Request REQUESTED STRATEGIC POSITIONS DEPARTMENT FTE POSITION SALARY/BENEFITS CITY CLERK 1.0 ASST TO DIR OF COUNCIL AFFAIRS & CON SERV $ 63,100.00 PLANNING 1.0 SECRETARY II $ 54,700.00 PLANNING 1.0 PLANNER I $ 59,100.00 LIBRARY 1.0 LIBRARIAN I $ 64,000.00 FACILITIES MAINT. 1.0 CRAFTSPERSON I $ 59,900.00 FACILITIES MAINT. 1.0 CRAFTSPERSON I $ 59,900.00 STORMWATER 1.0 SW MOTOR EQUIPMENT OPERATOR II STEP 1 $ 58,100.00 STORMWATER 1.0 STORMWATER PROGRAM MANAGER $ 81,800.00 GOUNDS 0.5 LABORER - PART TIME $ 12,100.00 POLICE CIVILIAN 1.0 SEU ADMIN ASSISTANT $ 53,400.00 POLICE 1.0 (1) PD OFFICERS $ 89,700.00 POLICE 1.0 (2) PD OFFICERS $ 89,700.00 POLICE 1.0 (3) PD OFFICERS $ 89,700.00 POLICE 1.0 (4) PD OFFICERS $ 89,700.00 POLICE 1.0 (5) PD OFFICERS $ 89,700.00 Count = 14 14.5 $ 1,014,600.00 15

Personnel Budget Summary Budget Requested Recommended Fiscal Year Fiscal Year Fiscal Year % 2019/2020 2020/2021 2020/2021 Change By Fund General Fund $ 30,585,700 $ 32,598,900 * $ 31,290,900 2.31% Water Utility Fund 2,113,000 2,096,600 2,096,600 -0.78% Wastewater Utility Fund 891,900 958,400 958,400 7.46% Electric Utility Fund 5,210,900 5,498,700 5,498,700 5.52% Grant Funds 93,500 91,000 91,000 -2.67% $ 38,895,000 $ 41,152,600 $ 39,844,600 2.68% By Fund Increase over FY20 General Fund $ 2,013,200 $ 705,200 Water Utility Fund $ (16,400) $ (16,400) Wastewater Utility Fund $ 66,500 $ 66,500 Electric Utility Fund $ 287,800 $ 287,800 $ (2,500) $ (2,500) $ 2,351,100 $ 1,043,100 * The Stormwater Division is included in the General Fund Recommended Budget 16

Major Fund Highlights Fiscal Year 2020 – 2021 Budget Hearing June 1 -3, 2020 17

This page left blank intentionally 18

GENERAL FUND BUDGET REVIEW Fiscal Year 2020-2021 Operating Department & Division Summaries • June 2020 – Budget Review Hearing 19

• General Fund Public Safety, General & Community Services Police * Fire * Life Safety * Code Enforcement Planning * Public Inspections * Library * Recreation Streets * Stormwater * Sanitation * Tax Assessor Support Services for all City Operations Mayor * City Council * City Clerk * City Manager Finance * Customer Service * Human Resources Information Technology * Procurement & Inventory Public Works Administration * Grounds Facilities Management * Fleet Maintenance 20

General Fund Revenues - Summary • Projected revenues are flat as compared to the FY20 Original Budget • ($84,200) or -0.2% • Major increases affecting revenues • Net Property Tax increase related to new construction $289,100 • Property Tax rollback (reassessment correction) of $.035, $1,227,600 • Interfund Service Receipts $309,200 • Police Extra Duty $89,000 (Corresponding increase in expense, includes both fees and grants) • Other Grants $80,000 • Major decreases affecting revenues • Permits and Inspections $278,000 • Interfund Service Receipts $101,000 • Transfer Tax $91,500 (-6.0%) • Civic Traffic Penalties $87,900 (-16.5%) • Kent County Book Reimbursement $30,000 (- $55,000 since FY19) 21

General Fund Revenues - Summary GRANTS 3.4% COURT OF CHANCERY FEES POLICE FINES & FEES 3.2% LICENSES & PERMITS 3 .6% FRANCH ISE FEES 6.5% 1.4% LIBRARY & RECREATION TRANSFER TAXES FEES 3.2% 1.1% 0.6% INTERFUND SERVICE FEES 12.5% PROPERTY TAXES 33.1% UTILITY TRANSFERS 24.5% 22

General Fund Revenues – Property Taxes CITY OF DOVER PROPERTY ASSESSMENT PROJECTION 2020 BASE YEAR TAXABLE ASSESSED VALUE AS OF MARCH 18 2020 $ 3,581,763,900 Abatement Incentives (36,184,200) Filed Tax Exemption Requests (scheduled for Annual Appeals) (1,317,000) Supplemental Billing (April) (ALREADY INCLUDED IN TAXABLE VALUE) Estimate Only 128,800 Annual Appeals (increased because of reval appeals) Estimate Only (15,000,000) Senior Citizen/Disability Exemption (approx 425 approved; revenue loss $88,257) Estimate Only (22,000,000) TOTAL ASSESSED VALUE $ 3,507,391,500 CITY OF DOVER PROJECTED PROPERTY TAX RECEIPTS ACCRUAL METHOD OF ACCOUNTING 7/01/20 - 6/30/21 I Using a tax of $0.405 per $100 of assessment, the estimated gross 7/01/20 billing will be $ 14,204,900 Penalties 50,000 Estimated Quarterly Billing 80,200 PROJECTED PROPERTY TAX RECEIPT SUBTOTAL $ 14,335,100.00 Pay In Lieu of Taxes Luther Towers; State of Delaware; Milford Housing; DE State Housing Auth; 550,700 Dover Housing Authority; Whatcoat Village; Liberty Court PROJECTED PROPERTY TAX RECEIPTS FOR FY 2020 $ 14,885,800 $0.01 of tax rate equates$to: 350,739.15 $ 350,700 23

General Fund Revenues – Other • Transfer Tax $91,500 (-6.0%). • DEFAC Projection for 35 decrease in FY21 • City assumption is 6% decrease based on economic downturn • Municipal Street Aid Budgeted at $750,000 • Below FY20 revised $796,000 and FY19 actual $806,285 • Above FY20 budgeted --- and FY19 budgeted $665,300 • Subject to State appropriation • MOA with State for $1,000,000 for Parks is pending • Only $310,000 recognized as revenue 24

General Fund Trendline Revenues & Expenditures – 100 General Fund $60 $50 -- - -- - - -- - -- -- - - ,,,, V'l $40 ~ - - - - - --- z 0 ::::::i $30 - ...I ~ V). $20 $10 $0 2014A 2015A 2016A 2017A 2018A 2019A 2020B 2021B 2022F 2023F 2024F 2025F 2026F I- I-REVENUES $37.2 $40.1 $42.7 $42.5 $44.2 $43.7 $45.1 $44.9 $43.9 $44.4 $44.8 $45.3 $45.7 I- - 2-EXPENOITURES $37.2 $39.7 $42.1 $41.9 $42.0 $44.5 $46.9 $46.3 $49.9 $49.2 $50.3 $51.4 $49.6 25

GF Fund Balance Trend GENERAL FUND FAVORABLITY ACTUAL V. BUDGET FY19 - FY 21 2018/19 2019/20 2020/21 2020/21 ACTUAL APPROVED REQUESTED RECOMMENDED Beginning Balance Adopted 5,882,000 5,548,900 5,813,100 5,813,100 Beginning Balance Actual 8,239,400 7,365,500 5,813,100 5,813,100 Favorability / (Unfavorability) 2,357,400 1,816,600 Adopted Revenues 43,979,500 45,028,900 45,271,700 44,944,700 Actual/Estimated Revenues 43,637,600 43,981,400 Favorability / (Unfavorability) (341,900) (1,047,500) I Adopted Expenditures 45,818,700 46,862,800 49,651,000 46,416,200 Actual/Estimated Expenditures 44,511,500 45,533,800 Favorability / (Unfavorability) 1,307,200 1,329,000 Ending Balance Adopted 4,042,800 3,560,500 1,433,800 4,341,600 Ending Balance Actual 7,365,500 5,813,100 3.17% 9.66% Favorability / Percentage of Fund Balance Remaining (Unfavorability) 3,322,700 2,252,600 compared to 8% GF Capital Transfer Budget 3,013,800 3,261,600 2,078,100 2,078,100 26

General Fund Expenditures - Summary • Overall Expenditures are flat as compared to the FY20 Original Budget ($280,200) or -0.6% • Major increases affecting expenditures • Increased cost for Retiree Health Care – $150,000 • Police Operations – $552,000 • Only a 3.2% overall increase • Requested $1.3 million operating increase (include +6 FTE) • Grounds increases largely offset by transfers – $345,000 • from Parks 3.0 FTE – $186,800 • from Streets for mowing – $132,300 • Major decreases affecting expenditures • Reduced transfer to CIP – $1,183,500 • Assessor’s Office – reassessment completed in FY20 – $154,700 • Fleet Maintenance – $116,800 • 1 FTE moved to Procurement • Reduced cost for tools and supplies 27

General Fund Expenditures - Summary DEBT SERVICE TRANSFER TO 1.0% CAPITAL PROJECTS OTHER CITY STREET LIGHTS 0.4% 4.5% ADMINISTRATION 1.8% INSURANCE 5.3% RETIREE PENSION 1.7% LIBRARY & CONTRIBUTIONS RECREATION 2.0% 5.8% RETIREE MEDICAL PLANNING & CONTRIBUTIONS INSPECTIONS 4.4% 5.4% PUBLIC WORKS 17.4% FINANCIAL ADMINISTRATION 8.8% POLICE & FIRE 41.5% Several General Fund Departments service all City operations. The General Fund bills the utility funds service 28

General Fund Expenditures – Summary By Expenditure Category RETIREE PENSION STREET LIGHTS CONTRIBUTIONS 1.9% DEBT SERVICE RETIREE 2.1% INSURANCE 1.1% MEDICAL 1.8% CONTRIBUTIONS 4.7% CAPITAL 4.8% ADMINISTRATIVE OTHER EXPENSES 0.7% 9.2% MATERIALS & SUPPLIES 3.9% PERSONNEL SERVICES 69.9% 29

General Fund Expenditures 51000 - Salaries & Wages – 100 General Fund $25 8% 7% $20 6% LU 5% z~ II) 2 $15 ct 0 4% :I: u :::i ...I ....ct 3% :::i ~ $10 z -v)- z 2% ct '#. 1% $5 - $- 01-SAIARIESANDWAGES 11111111111111 2014A $16 2015A $17 2016A $17 2017A $18 2018A $17 2019A $18 2020B $20 2021B $20 2022F $21 2023F $21 2024F $22 2025F $23 2026F $23 0% -1% - - % CHG 0% 4% 5% 1% 0% 5% 7% 4% 3% 2% 2% 2% 3% • New positions in FY18 and FY19 to address strategic priorities. • Model assumes no additional positions. • All $1.01 million in FTE requests were in current GF (2 Stormwater FTEs) 30

FY 2021 DRAFT ANNUAL OPERATING BUDGET PROJECTED COST PER CAPITA BY FUNCTION Fiscal Year 2020-2021 OTHER TRANSFER TO CAPITAL PROJECTS I $4.63 $54.99 • INSURANCE $21.17 DEBT SERVICE $12.23 STREET LIGHTS $21.57 RETIREE PENSION CONTRIBUTIONS $24.74 RETIREE MEDICAL CONTRIBUTIONS • $54.13 I PUBLIC WORKS • $214.41 I I FINANCIAL ADMINISTRATION • $108.76 I I POLICE & FIRE I $509.62 PLANNING & INSPECTIONS • $66.07 I LIBRARY & RECREATION • $71.29 I CITY ADMINISTRATION • $65.74 $0.00 $100.00 $200.00 $300.00 $400.00 $500.00 $600.00 Total per capita based on population estimate of 37,790 = 31

Mayor 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 108,300 $ 104,600 $ 104,600 -3% MATERIALS & SUPPLIES 2,500 1,100 1,100 -56% ADMINISTRATIVE EXPENDITURES 116,100 Mayor 116,000 116,000 0% OPERATING EXPENDITURES $ 226,900 $ 221,700 $ 221,700 -2% Highlights: • Personnel Costs are projected to remain relatively flat after the inclusion of an administrative assistant in FY20. • Materials & Supplies decreased $1,400. Last year’s amount was increased to outfit the new Administrative Assistant. • Overall costs decreased 2% 32

City Council 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 91,000 $ 91,000 $ 91,000 0% MATERIALS & SUPPLIES 3,900 2,200 2,200 -44% ADMINISTRATIVE EXPENDITURES Mayor 62,800 63,400 63,400 1% OPERATING EXPENDITURES $ 157,700 $ 156,600 $ 156,600 -1% Highlights: • Materials & Supplies decreased $1,700. • $600 was added to Community Relations Expenses for increased cost of awards and recognition expenses. • Overall costs decreased 1% 33

City Manager 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 689,800 $ 801,400 $ 801,400 16% MATERIALS & SUPPLIES 7,500 7,500 7,500 0% ADMINISTRATIVE EXPENDITURES 310,600 254,400 254,400 -18% Mayor OPERATING EXPENDITURES $ 1,007,900 $ 1,063,300 $ 1,063,300 5% Highlights: • Personnel Costs increased $109,400 primarily due to the expenses to bring a new City Manager on board while Mrs. Mitchell’s leave balance is paid out (8-month overlap). • Administrative expenses are down $75,000 because the Compensation, Classification and Benefits Study (Segal-Waters) was a one-time cost in FY20. • Overall expenditures are up 5% budget to budget (BTB), but this is a one-time increase 34

City Clerk 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 383,100 $ 451,100 $ 451,100 18% MATERIALS & SUPPLIES 11,700 8,800 8,600 -26% ADMINISTRATIVE EXPENDITURES 37,800 38,700 48,700 29% Mayor TOTAL EXPENDITURES $ 432,600 $ 498,600 $ 508,400 18% Highlights: • Personnel Costs increased $68,000 in case expenses are needed to bring on a new City Clerk concurrent with Ms. McDowell; and her leave balance will be paid out. • Administrative Expenses has increased by $10,000, primarily for the election on April 20, 2021. • Overall expenditures are up 18% budget to budget (BTB), but this is a one-time increase. 35

Customer Service 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 1,009,800 $ 1,048,600 $ 1,048,600 4% MATERIALS & SUPPLIES 33,300 38,300 35,500 7% ADMINISTRATIVE EXPENDITURES 24,400 24,500 21,500 -12% Mayor OPERATING EXPENDITURES $ 1,067,500 $ 1,111,400 $ 1,105,600 4% Highlights: • No major changes. • Materials & Supplies increased $2,200 for computer replacement on schedule. • No Capital Outlay in FY2020-21. 36

Finance 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 736,100 $ 748,400 $ 748,400 2% MATERIALS & SUPPLIES 5,900 5,900 5,900 0% ADMINISTRATIVE EXPENDITURES 193,800 Mayor 238,400 238,400 23% OPERATING EXPENDITURES $ 935,800 $ 992,700 $ 992,700 6% Highlights: • Personnel Costs are up 2% for raises. • Administrative Expenses has increased $44,600 (23%) primarily in Contractual Services to budget for increased maintenance costs for MUNIS and payroll software. • Total increase for the department BTB is 6%. 37

Fire 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 401,100 $ 407,300 $ 407,300 2% MATERIALS & SUPPLIES 1,600 1,600 1,600 0% ADMINISTRATIVE EXPENDITURES 361,000 361,000 361,000 0% OPERATING EXPENDITURES 763,700 769,900 769,900 1% Mayor CAPITAL OUTLAY 281,100 173,300 173,300 -38% TOTAL EXPENDITURES $ 1,044,800 $ 943,200 $ 943,200 -10% Highlights: • Payments for Engine 5 will begin when the unit is delivered in fall of 2020. There are no additional truck purchases budgeted for FY21. • Operating expenditures are budgeted for only a 1% increase. 38

Human Resources 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 437,300 $ 424,000 $ 424,000 -3% MATERIALS & SUPPLIES 46,200 35,400 32,000 -31% ADMINISTRATIVE EXPENDITURES 39,800 53,700 68,200 71% Mayor OPERATING EXPENDITURES $ 523,300 $ 513,100 $ 524,200 0.2% 0% Highlights: • Personnel Costs are essentially level. One additional FTE was added in FY20 • Materials & Supplies decreased $14,200 (31%). Computer and equipment were purchased in FY20 for new FTE. • Administrative Expenses reflect a $28,400 increase overall; including $20,000 in Contractual Services to add Pay-for- Performance study; $7,100 increase in the Training budget. 39

Information Technologies 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 452,800 $ 586,300 $ 586,300 29% MATERIALS & SUPPLIES 96,900 106,500 71,500 -26% ADMINISTRATIVE EXPENDITURES 197,300 255,100 247,900 26% OPERATING EXPENSES 747,000 947,900 905,700 21% CAPITAL OUTLAY 45,600 61,600 61,600 35% Mayor TOTAL EXPENDITURES $ 792,600 $ 1,009,500 $ 967,300 22% Highlights: • Personnel Costs increased $140,600 (31%) primarily due to the expenses to bring a new IT Director on board while Andy Siegel’s leave balance is paid out (6-month overlap). • Materials & Supplies decreased $25,400 (26%) due to the distribution of costs for the GIS system over several funds. • Administrative Expensditures have increased $50,600 (26%) to cover additional costs in Contractual Services – cybersecurity enhancements and HTE software maintenance increases. 40

Library 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 1,483,400 $ 1,310,600 $ 1,310,600 -12% MATERIALS & SUPPLIES 83,700 83,400 83,400 0% ADMINISTRATIVE EXPENDITURES 212,700 314,200 314,200 48% OPERATING EXPENDITURES Mayor 1,708,200 1,779,800 1,708,200 -4% CAPITAL OUTLAY - - - 0% TOTAL EXPENDITURES $ 1,779,800 $ 1,708,200 $ 1,708,200 -4% Highlights: • Personnel Costs decreased 10% assuming 6 months under contract with LS&S and 6 months a new Director and Assistant Director • Administrative Expenses has increased $119,500 in Contractual Services to budget for 6 months under contract with LS&S and for the Security Service. 41

Recreation 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 854,900 $ 664,700 $ 664,700 -22% MATERIALS & SUPPLIES 72,600 77,300 77,300 6% ADMINISTRATIVE EXPENDITURES 229,100 231,900 231,900 1% OPERATING EXPENDITURES 1,156,600 973,900 973,900 -16% Mayor CAPITAL OUTLAY 476,000 595,000 395,000 -17% TOTAL EXPENDITURES $ 1,632,600 $ 1,568,900 $ 1,368,900 -16% Highlights: • Personnel Costs decreased $190,200 (22%) when the parks maintenance crew was moved to the Grounds Department. • Materials & Supplies 6% increase due to additional need for Furniture and Small Tools ($4,500 increase over FY20). • Capital Outlay reflects the construction of a splash pad and building in Dover Park, pending State funding. 42

Parks & Recreation - Projects • Working on MOA with the State • Contract for Design Awarded to WRA • Dover Park Master Plan • Splash Pad • Park Building • Can-Do (accessible) Playground • Schutte Park Master Plan • Skate Park • Dog Park • Grounds Division added to Parks & Recreation in FY21 43

Grounds 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 1,021,600 $ 1,216,700 $ 1,216,700 19% MATERIALS & SUPPLIES 58,600 60,700 60,700 4% ADMINISTRATIVE EXPENDITURES 189,300 328,100 328,100 73% OPERATING EXPENDITURES 1,269,500 1,605,500 1,605,500 26% Mayor CAPITAL OUTLAY 128,400 151,000 - -100% TOTAL EXPENDITURES $ 1,397,900 $ 1,756,500 $ 1,605,500 15% Highlights: • The bulk of the >$200K (19%) increase is due to the moving of 3 Grounds people from Parks & Rec to Grounds. Otherwise the change would be closer to a 4.5% increase. • The increase in Administrative Expenses is due to the outsourcing of Garrison Oak Park maintenance and mowing contracts (GOTP maintenance previously budgeted in Streets division). 44

Police 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 16,735,500 $ 17,524,700 $ 17,424,300 4% MATERIALS & SUPPLIES 395,100 426,300 352,000 -11% ADMINISTRATIVE EXPENDITURES 718,400 804,400 710,300 -1% OPERATING EXPENDITURES Mayor 18,755,400 17,849,000 18,486,600 4% CAPITAL OUTLAY 753,900 1,735,900 912,400 21% TOTAL EXPENDITURES $ 18,602,900 $ 20,491,300 $ 19,399,000 4% Highlights: • Personnel increase of 4% based on FOP contract. • Capital Outlay consists of first floor retiling, cooling tower & pump replacement, computer wiring upgrade, and communications center workspace. • Two replacement vehicles included; current fleet of patrol vehicles deemed road-worthy by Fleet department, with no replacements needed in FY21. 45

Tax Assessor 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 209,500 $ 215,400 $ 215,400 3% MATERIALS & SUPPLIES 12,600 4,400 4,400 -65% ADMINISTRATIVE EXPENDITURES Mayor 26,100 176,100 26,100 -85% OPERATING EXPENDITURES $ 398,200 $ 245,900 $ 245,900 -38% Highlights: • Materials & Supplies and Administrative Expenditures are down as a result of the completion of the re-assessment in FY20. 46

Procurement & Inventory 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 388,200 $ 422,700 $ 422,700 9% MATERIALS & SUPPLIES 16,900 13,500 12,900 -24% ADMINISTRATIVE EXPENDITURES 279,300 287,800 280,300 0% OPERATING EXPENDITURES Mayor 684,400 724,000 715,900 5% CAPITAL OUTLAY 390,000 25,000 25,000 -94% TOTAL EXPENDITURES $ 1,074,400 $ 749,000 $ 740,900 -31% Highlights: • Personnel Costs have increased due to the inclusion of an Administrative Assistant transferred from Fleet Maintenance. • Capital Outlay includes the replacement of all Warehouse windows. 47

Facilities Maintenance 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 460,300 $ 450,400 $ 450,400 -2% MATERIALS & SUPPLIES 25,800 17,600 28,600 11% ADMINISTRATIVE EXPENDITURES 169,600 176,800 176,800 4% OPERATING EXPENDITURES Mayor 655,700 644,800 655,800 0% CAPITAL OUTLAY 784,000 885,700 700,000 -11% TOTAL EXPENDITURES $ 1,439,700 $ 1,530,500 $ 1,355,800 -6% Highlights: • Personnel is down 2% - this includes the loss of a custodial position through attrition and the adding of a Craftsperson III who will also be responsible for HVAC maintenance duties (previously contracted out). • Capital Outlay includes the carried forward project to replace City Hall HVAC components, including duct work, air handlers, chillers, heat pumps, furnace/boiler, and etc. 48

Fleet Maintenance 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 596,600 $ 496,900 $ 496,900 -17% MATERIALS & SUPPLIES 441,600 433,200 419,200 -5% ADMINISTRATIVE EXPENDITURES Mayor 13,000 15,500 14,500 12% OPERATING EXPENDITURES $ 1,051,200 $ 945,600 $ 930,600 -11% Highlights: • Personnel Costs will be reduced in FY21 with the moving of the Administrative Assistant position back to Procurement & Inventory. • Materials & Supplies should flatten out in FY21. This will be the third year of the department maintain all PD vehicles, in- house. • Slight increase in Administrative Expenditures to cover increased training. 49

Planning 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 534,400 $ 532,200 $ 532,200 0% MATERIALS & SUPPLIES 26,300 35,500 35,500 35% ADMINISTRATIVE EXPENDITURES 9,700 10,100 90,100 829% OPERATING EXPENDITURES Mayor 570,400 577,800 657,800 15% CAPITAL OUTLAY - 20,400 20,400 100% TOTAL EXPENDITURES $ 570,400 $ 598,200 $ 678,200 19% Highlights: • Personnel Costs will remain primarily flat due to reduction in OPEB rates. • Materials & Supplies will increased to cover the inclusion of new computers and software (iPlan touch screen tables) • Increased Administrative Expenses will cover the scanning of back logged documentation into Docuware. • Capital outlay will cover 33% of the cost of 3 iPlan tables, related software and etc. 50

Inspections 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 616,300 $ 563,700 $ 563,700 -9% MATERIALS & SUPPLIES 7,600 3,800 3,200 -58% ADMINISTRATIVE EXPENDITURES 20,800 23,700 22,100 6% OPERATING EXPENSES Mayor 644,700 591,200 589,000 -9% CAPITAL OUTLAY 18,600 18,600 18,600 0% TOTAL EXPENDITURES $ 663,300 $ 609,800 $ 607,600 -8% Highlights: • Personnel Costs decrease with the transfer of an FY20 Strategic Position from Inspections to Life Safety. • Materials & Supplies reduction is part of moved position Office Furniture and Computer Equipment will be transferred to Life Safety as well. • Capital Outlay will include the replacement of one vehicle 51

Code Enforcement 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 493,400 $ 530,400 $ 530,400 7% MATERIALS & SUPPLIES 27,200 27,200 26,000 -4% ADMINISTRATIVE EXPENDITURES 159,600 259,300 258,600 62% OPERATING EXPENDITURES Mayor 680,200 816,900 815,000 20% CAPITAL OUTLAY 37,200 - - -100% TOTAL EXPENDITURES $ 717,400 $ 816,900 $ 815,000 14% Highlights: • Personnel Costs will increase in FY21 due to the promotion of an inspector from Inspector I to Inspector II. • Administrative Expenses increase primarily due to the increasing of demolition Expenses for FY21 (up $100K, over last year). 52

Life Safety 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 229,700 $ 277,700 $ 277,700 21% MATERIALS & SUPPLIES 14,100 10,000 8,900 -37% ADMINISTRATIVE EXPENDITURES 137,700 152,400 146,100 6% OPERATING EXPENDITURES Mayor 440,100 381,500 432,700 13% CAPITAL OUTLAY 48,900 - - -100% TOTAL EXPENDITURES $ 430,400 $ 440,100 $ 432,700 1% Highlights: • Personnel Costs will increase due to the inclusion of an FY20 Strategic Position transferred from Inspections. • Materials & Supplies will be slightly down from FY20. • Administrative Expenses increase tied to new employee training and expenses not budgeted in FY20; portable radio & Knox Box (incl. software). 53

Public Works Admin 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 767,200 $ 670,300 $ 670,300 -13% MATERIALS & SUPPLIES 21,000 64,900 10,400 -50% ADMINISTRATIVE EXPENDITURES Mayor 14,100 10,500 6,100 -57% OPERATING EXPENDITURES $ 802,300 $ 745,700 $ 686,800 -14% Highlights: • Personnel Costs decreased with the loss of the Operations Manager (position vacated with move of employee to Parks & Recreation Director) . Position will not be backfilled. Also, two, long-time, Admin. Assistants retired in FY20. MEO I (floater) added to Sanitation staff. • Materials & Administrative Expenses have been moved to Parks & Recreation along with new director. 54

Sanitation 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 739,000 $ 813,400 $ 813,400 10% MATERIALS & SUPPLIES 43,400 45,800 45,800 6% ADMINISTRATIVE EXPENDITURES 1,650,000 1,647,600 1,647,600 0% Mayor OPERATING EXPENSES 2,432,400 2,506,800 2,506,800 3% CAPITAL OUTLAY 287,200 507,400 475,200 65% TOTAL EXPENDITURES $ 2,719,600 $ 3,014,200 $ 2,982,000 10% Highlights: • Personnel Costs increase with the inclusion of an MEO I and the filling of the, vacant, Field Supervisor II position. • Slight increase to Materials & Supplies to cover new (small) tools and new/replace- ment trash cans (supplies). 55

Public Works: Sanitation Table 2a Projected Net Margins - Sanitation 5-4-20 - FY20 Revised & FY21 Proposed Revised Projection Projection Projection Projection Projection 2020 2021 2022 2023 2024 2025 Net Income - Sanitation Trash Fees $ 3,076,600 $ 3,038,400 $ 3,173,500 $ 3,308,700 $ 3,431,500 $ 3,431,500 Miscellaneous Income - 75,000 75,000 75,000 75,000 75,000 Transfer from General Fund - - - - - - Total Revenue 3,076,600 3,113,400 3,248,500 3,383,700 3,506,500 3,506,500 Operating Expenses 2,432,400 2,518,700 2,632,600 2,755,300 2,832,400 2,901,400 Debt Service Payments - - - - - - Operating Transfers - Out 287,200 475,200 482,300 531,000 519,500 527,300 Total Operating Expenses 2,719,600 2,993,900 3,114,900 3,286,300 3,351,900 3,428,700 Net Cash $ 357,000 $ 119,500 $ 133,600 $ 97,400 $ 154,600 $ 77,800 • No rate increase planned in FY21 • Operating Revenues exceed Expenditures with overhead allocation removed with slight increases in FY22 and FY23 56

Streets 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 545,100 $ 547,600 $ 547,600 0% MATERIALS & SUPPLIES 71,600 122,100 118,900 66% ADMINISTRATIVE EXPENDITURES 193,900 33,200 33,200 -83% OPERATING EXPENDITURES 810,600 702,900 699,700 -14% Mayor CAPITAL OUTLAY 1,266,500 936,000 936,000 -26% TOTAL EXPENDITURES $ 2,077,100 $ 1,638,900 $ 1,635,700 -21% Highlights: • Materials & Supplies, up, due to the need for DelDOT mandated replacement cones, flags, & signage ($4K). Also, herbicide chemical expense, transferred from Grounds ($38K) • Administrative Expenses decrease due to the transferring of GOTP maintenance contract ($125K) and Wood Chip Disposal ($11K) to Grounds. • $441K decrease in Capital Outlay due to the transfer of related projects to Stormwater Division. Now, strictly Street & Alley program. 57

Stormwater 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 402,800 $ 420,200 $ 420,200 4% MATERIALS & SUPPLIES 148,100 72,300 70,200 -53% ADMINISTRATIVE EXPENDITURES 308,100 295,700 295,500 -4% Mayor OPERATING EXPENDITURES 859,000 788,200 785,900 -9% CAPITAL OUTLAY 365,000 1,372,200 1,110,700 204% TOTAL EXPENDITURES $ 1,224,000 $ 2,160,400 $ 1,896,600 55% Highlights: • Increase in Personnel Costs primarily due to inclusion of employee in FY20 who waived benefit coverage; all vacant positions in FY21 are estimated at employee + child(ren)rate. Otherwise 2% increase in Salaries. • Materials & Supplies decrease primarily due to the transferring of ditch maintenance to Grounds. • Second year with stand alone Capital Improvement Program for Stormwater. 58

Public Works Engineering 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 160,200 $ 161,100 $ 161,100 1% MATERIALS & SUPPLIES 11,400 11,400 13,100 15% ADMINISTRATIVE EXPENDITURES 197,200 23,500 22,700 -88% OPERATING EXPENDITURES 368,800 196,000 196,900 -47% Mayor CAPITAL OUTLAY - 39,600 39,600 100% TOTAL EXPENDITURES $ 368,800 $ 235,600 $ 236,500 -36% Highlights: • Materials & Supplies increase based largely on new GIS software. • Administrative Expenses back to normal expense level – last year included the Silver Lake Emergency Repair Plan ($175K) • Capital Outlay includes replacement vehicle as well as a portion of the iPlan software expense. 59

This page left blank intentionally 60

Other Funds • Lodging Tax is budgeted conservatively • Projection is for $220,000 based on 2016 reported revenues • Assumes 50% decrease due to economic downturn • The $110,000 is NOT shown as CIP funding source in FY21 • Library Funding from the State • Anticipate 5% decrease from State (12,900) v. actual FY20 • No Fund Balance budgeted but available if needed (~$8,000) • Police Grants are budgeted to increase $150,000 (24%) 61

This page left blank intentionally 62

WATER FUND BUDGET REVIEW Fiscal Year 2020-2021 Operating Department & Division Summaries • June 2020 – Budget Review Hearing 63

Water Fund Operations • Accomplishments in FY20 • Bulk Water Station purchased and installed, awaiting the software integration. • Wellhead Redevelopment Inspection of 6 deep wells and associated repairs. • Columbia Avenue Water Main Replacement. • Initial Assessment of Elevated Water Storage Tanks. • Accomplishments planned in FY21 • Finalization of Geospatial location of Water Meters in GIS. • Water Main Replacement – West Street W. Alley and Ross Street. • Completion of Water Treatment Plant Improvements. • Wellhead Redevelopment of four (4) deep wells. • Fully staff the Division, currently having two (2) vacancies. • Water Master Plan Update. • Begin Elevated Water Storage Tank Maintenance Contract. • Finalize Allocation Permit with DNREC. • Continue to work with Tyler / Munis for Integration. 64

Water Fund Budget • Revenue increase over FY20 Original Budget $779,600 (11.9%) • Due to rate increase • Expense essentially flat v. FY20 Original Budget $48,000 (+0.7%) • Budget Balance increase of $559,500 (65.7%) • Major increases/(decreases) affecting revenues • Water Service fees $700,900 (12.7%) due to rate increase • Misc. & Interest increase $68,800 (208%) ( based on trends • Major increases/(decreases) affecting expenses • Overall decrease in Personnel Costs $16,400 (-0.8%) with Director being funded 50% in Wastewater too in FY21, offsets raises. • Increase of 63,700 (56.3%) in Retiree Healthcare and $58,000 (20.4%) pension expenses due to splitting out Water and Wastewater funds • Increase in Contractual Services for the Water Master Plan Update • Capital Project Appropriation reduction ($200,000) 65

Planning for the future - Water • Implementation of cost of service rates and modeling • Presented to City Council in January 2020 • Implemented in this Budget • Based on a long-range financial plan • Customer Service/Technology enhancements • Advance Metering Infrastructure (AMI) • Roll out of new billing system with Tyler Munis • Continue water quality improvements with flushing program and water main replacements • Capacity improvements • Evaluating future well installation • Denney’s Road Water Tower 66

Water Capital Investment Plan Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year CAPITAL PROJECTS 2019 2020 2021 2022 2023 2024 2025 Vehicles & Equipment (Split W/WW 50%) $ - $ - $ - $ - $ - $ - $ - Water, Water Construction & Water Treatment 'II Vehicles & Equipment - Water $ 160,744 $ 70,300 $ 20,400 $ 455,800 $ 185,100 $ 40,000 $ 208,000 Meter Reading - Radio Read Meters (Split W/WW 50%) 28,784 17,200 - 418,700 418,700 418,700 - N. State Street Water Main Replacement 155,380 - - - - - - Denney's Road (Water Tower?) - Design - - - 85,000 1,539,900 1,539,900 - Bulk Water Station - William Street 4,289 38,100 - - - - - Projects with Locations to be Determined Future Well Installation - - - 707,700 707,700 - - Wellhead Redevelopment 90,000 75,000 140,000 75,000 75,000 75,000 75,000 Water Quality Improvements 162,197 900,800 980,500 1,050,000 980,000 1,264,800 1,250,000 Emergency Repairs - line breaks 54,770 85,000 85,000 85,000 85,000 85,000 85,000 Treatment Plant Improvements 4,157,995 3,311,200 - - - - - Total Water $ 4,814,159 $ 4,497,600 $ 1,225,900 $ 2,877,200 $ 3,991,400 $ 3,423,400 $ 1,618,000 Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Projection FUNDING SOURCES 2019 2020 2021 2022 2023 2024 2025 I & E Fund Budget Balance - Water $ 5,672,600 $ 5,349,000 $ 3,794,200 $ 3,917,500 $ 2,592,300 $ 1,790,000 $ 1,467,100 Transfer from Operating Fund - Water 1,800,000 1,500,000 1,300,000 1,500,000 1,600,000 1,500,000 1,700,000 'II 'II 'II Transfer from Impact Fee Reserve - Water 40,400' 30,900 39,200 42,000 39,200 50,600 - State Loan Fund - Water 2,598,099 1,401,900 - - 1,539,900 1,539,900 - Interest Income - Water 52,024 10,000 10,000 10,000 10,000 10,000 10,000 Total Funding Sources - Water $ 4,490,523 $ 2,942,800 $ 1,349,200 $ 1,552,000 $ 3,189,100 $ 3,100,500 $ 1,710,000 Total Sources of Funds (incl. Budget Balances) $ 12,628,109 $ 12,078,000 $ 6,627,100 $ 7,397,400 $ 12,403,800 $ 11,008,200 $ 5,214,100 Water - Ending Budget Balance $ 5,348,964 $ 3,794,200 $ 3,917,500 $ 2,592,300 $ 1,790,000 $ 1,467,100 $ 1,559,100 67

Water Fund Forecast Projected Net Margins - Water 4/17/2020 - FY18 Actual & FY19 Budget Actual Projection Projection Projection Projection Projection Projection Yr 1 - Yr 5 2019 2020 2021 2022 2023 2024 2025 Total Net Income - Water Water Fees $ 5,682,005 $ 5,530,800 $ 6,231,700 $ 6,619,500 $ 6,975,100 $ 7,100,800 $ 7,229,000 $ 34,156,100 Miscellaneous Income - Water 401,878 433,200 487,900 451,900 460,700 469,300 480,400 2,350,200 Impact Fees - Water 753,200 570,000 570,000 570,000 570,000 570,000 570,000 2,850,000 Total Revenue 6,837,083 6,534,000 7,289,600 7,641,400 8,005,800 8,140,100 8,279,400 39,356,300 Operating Expenses - Water (3,215,484) (4,344,000) (4,634,700) (4,630,300) (4,760,700) (4,894,900) (5,033,200) (23,953,800) Operating Transfers - Out (649,000) (500,000) (500,000) (500,000) (500,000) (500,000) (500,000) (2,500,000) Total Operating Expenses (3,864,484) (4,844,000) (5,134,700) (5,130,300) (5,260,700) (5,394,900) (5,533,200) (26,453,800) Operating Income 2,972,599 1,690,000 2,154,900 2,511,100 2,745,100 2,745,200 2,746,200 12,902,500 Non-Oper. Rev. - Interest on Operating 95,508 10,000 34,000 34,000 34,000 34,000 34,000 170,000 Non-Oper. Rev. - Interest on Reserves 63,337 19,500 19,400 19,200 19,000 18,900 18,700 95,200 Income Available For Debt Service 3,131,444 1,719,500 2,208,300 2,564,300 2,798,100 2,798,100 2,798,900 13,167,700 Interest for Long-Term Debt (158,170) (222,700) (208,500) (193,900) (178,900) (224,500) (208,200) (1,014,000) Cash From Operations 2,973,274 1,496,800 1,999,800 2,370,400 2,619,200 2,573,600 2,590,700 12,153,700 Depreciation Expense (977,121) (753,600) (801,900) (972,700) (1,129,700) (1,245,700) (1,338,300) (5,488,300) Net Income ($) $ 1,996,153 $ 743,200 $ 1,197,900 $ 1,397,700 $ 1,489,500 $ 1,327,900 $ 1,252,400 $ 6,665,400 Debt Service Coverage Income Avail. for Debt Service $ 3,131,444 $ 1,719,500 $ 2,208,300 $ 2,564,300 $ 2,798,100 $ 2,798,100 $ 2,798,900 $ 13,167,700 Total Debt Service $ 519,022 $ 760,000 $ 762,800 $ 761,800 $ 760,600 $ 950,300 $ 806,900 $ 4,042,400 Debt Service Coverage Ratio 6.03 2.26 2.89 3.37 3.68 2.94 3.47 Transfer to I & E Fund - Water $ 1,800,000 $ 1,649,000 $ 1,300,000 $ 1,500,000 $ 1,600,000 $ 1,500,000 $ 1,700,000 $ 7,600,000 Transfer to Impact Fee Reserve - Water 394,209 - - - - - - - Reinvestment of Reserve Interest 63,337 19,500 19,400 19,200 19,000 18,900 18,700 95,200 Debt Service Principal 366,359 537,300 554,300 567,900 581,700 725,800 598,700 3,028,400 Total Cash Budget Requirements 2,623,905 2,205,800 1,873,700 2,087,100 2,200,700 2,244,700 2,317,400 $ 10,723,600 Net Positive/(Negative Cash) $ 349,369 $ (709,000) $ 126,100 $ 283,300 $ 418,500 $ 328,900 $ 273,300 $ 1,430,100 68

Water Engineering 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 339,900 $ 245,300 $ 245,300 -28% MATERIALS & SUPPLIES 9,300 19,800 29,500 217% ADMINISTRATIVE EXPENDITURES 22,200 123,000 123,000 454% OPERATING EXPENDITURES 371,400 388,100 397,800 7% Mayor CAPITAL OUTLAY - 20,400 20,400 100% TOTAL EXPENDITURES $ 371,400 $ 408,500 $ 418,200 13% Highlights: • Personnel Costs decrease due to the fact that the new Water/Wastewater Director’s salary will now be shared between both Water and Wastewater Engineering. The Manager position was funded solely by Water Engineering in FY20. • Materials & Supplies increased based on shared GIS software purchase. • Administrative Expenditure will increase $100K over last year with the implement of the Water Master Plan this year. 69

Water Maintenance 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 508,200 $ 538,200 $ 538,200 6% MATERIALS & SUPPLIES 88,400 104,900 93,400 6% ADMINISTRATIVE EXPENDITURES 41,800 38,200 38,200 -9% OPERATING EXPENDITURES 638,400 681,300 669,800 5% Mayor CAPITAL OUTLAY 960,400 1,229,200 1,205,500 26% TOTAL EXPENDITURES $ 1,598,800 $ 1,910,500 $ 1,875,300 17% Highlights: • Difference in Personnel Costs over last year largely driven by pension cost. Actuarial report for CAFR separated Water and Wastewater OPEB and pension costs – previously split 50/50. • Capital Outlay includes: Wellhead Redevelopment ($140K), Emergency Water Repairs ($85K), and the ongoing project of, Water Quality Improvements ($980.5K). This year will concentrate on the areas of N. West Street and Ross Street. 70

Water Treatment Plant 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 1,273,400 $ 1,313,100 $ 1,313,100 3% MATERIALS & SUPPLIES 181,700 229,800 239,800 32% ADMINISTRATIVE EXPENDITURES 625,800 668,700 668,700 7% OPERATING EXPENDITURES 2,080,900 2,211,600 2,221,600 7% Mayor CAPITAL OUTLAY 559,700 137,800 - -100% TOTAL EXPENDITURES $ 2,640,600 $ 2,349,400 $ 2,221,600 -16% Highlights: • Materials & Supplies increase driven by the additional need for nearly $50K in added chemicals and $10K back wash tank cover, otherwise expenses on par with FY20. • Administrative Expenses increases are primarily tied to increases in Elevated Storage Tank maintenance and Environmental Health Billing. • Trailer mounted generator, moved out to FY22. 71

This page left blank intentionally 72

WASTEWATER FUND BUDGET REVIEW Fiscal Year 2020-2021 Operating Department & Division Summaries • June 2020 – Budget Review Hearing 73

Wastewater Fund Operations • Accomplishments in FY20 • Inflow and Infiltration Removal in Rodney Village, Downtown Area, Wesley College Area, Overlook. • Replacement of Camera Truck Equipment. • Finalization of a Feasibility Study for College Road Pump Station Replacement. • Completion of Pump Station Replacement: • Walker Woods PS • Silver Lake PS • Del Tech PS • Accomplishments planned in FY21 • Begin City Wide Inflow and Infiltration Investigation – 2 year project. • Finalize Design of College Road PS Replacement. • Finalize Design of Lepore Road Sanitary Sewer Upgrade. • Finalize Feasibility Study of Turnberry Pump Station Upgrade. • Fully staff the Division, currently having three (3) vacancies. • Meeting House Branch Sanitary Sewer Replacement. • Pump Station #7 Upgrades. • Puncheon Run Grit Removal System Upgrade. • Upgrade SCADA Equipment for Pump Stations. • Continue to work with Tyler / Munis for Integration. 74

Wastewater Fund Budget • Revenue increase over FY20 Original Budget $1,007,500 (10.9%) • Expense decrease over FY20 Original Budget $435,000 or -4.5% • Major increases/(decreases) ) affecting revenues • Wastewater Service Fees $812,800 (22.2%) due to rate increase • Groundwater Inflow Adjustment Revenue increase of $198,500 (10.8%) due to rate increase (7.3%) and growth. • Major increases/(decreases) affecting expenses • Overall increase in Personnel Costs $66,500 (7.5%) with Director being funded 50% in Wastewater too in FY21, offsets raises. • Increase in materials and supplies for purchase of GIS software and iPlan annual maintenance costs • Decrease of 31,600 (27.9%) in Retiree Healthcare due to splitting out Water and Wastewater funds • Decrease of $799,000 (15.7%) in Kent County Sewer Fees, returning to previous levels. • Capital Project Appropriation increase of $300,000 (33.3%) 75

Planning for the future - Wastewater • Implementation of cost of service rates and modeling • Presented to City Council in January 2020 • Implemented in this Budget • Customer Service enhancements • Roll out of new billing system with Tyler Munis • Continue inflow & infiltration improvements with relining program and sewer main replacements • Capacity improvements • Continuation of pump station replacements and upgrades • Technology updates to SCADA equipment and systems 76

Wastewater Capital Investment Plan Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year CAPITAL PROJECTS 2019 2020 2021 2022 2023 2024 2025 Wastewater Vehicles & Equipment - Wastewater $ - $ 43,200 $ 14,000 $ 280,600 $ 448,000 $ 42,000 $ - Sanitary Sewer Video Kit - 166,000 - - - - - Meter Reading - Radio Read Meters (Split W/WW 50%) 28,784 17,200 - 418,700 418,700 418,700 - Tar Ditch Interceptor Upgrade (Meeting House Branch) 3,901 246,100 - - - - - Turnberry Pump Station - - 10,000 67,000 - 600,000 - DelTech Pump Station Replacement 248,049 133,300 - - - - - Lepore Road Sanitary Sewer upgrade - - 50,000 - 317,000 - - Sliver Lake Pump Station Replacement 397,538 147,000 - - - - - Walker Woods Pump Station Replacement 105,025 458,200 - - - - - College Road Pump Station Replacement - 12,000 75,000 - 580,000 - - Heatherfield Pump Station Replacement - - - 12,000 69,000 - 618,000 Cedar Chase Pump Station Replacement - - - - 14,000 71,000 - Laurel Drive Pump Station Replacement - - - - - 16,000 73,000 Kings Cliff Pump Station Replacement - - - - - - 18,000 Puncheon Run Pump Station Upgrade/Repair 47,900 665,100 - - - - - Kurt Drive Pump Station - emergency repair - 217,600 - - - - - US Rt. 113 East PS # 7 Repair - Controller 43,389 280,400 - - - - - SCADA Equipment & Technology Upgrade - 308,000 - - - - - Location/Pump Station to be Determined Inflow/Infiltration Removal/System Improvements 529,158' 750,000 800,000 419,000 4,270,000 4,270,000 - Misc. Sewer System Improvements 154,618 100,000 150,000 155,000 160,000 165,000 170,000 Total Wastewater $ 1,558,362 $ 3,544,100 $ 1,099,000 $ 1,352,300 $ 6,276,700 $ 5,582,700 $ 879,000 Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Projection FUNDING SOURCES 2019 2020 2021 2022 2023 2024 2025 I & E Fund Budget Balance - Wastewater $ 1,148,800 $ 906,600 $ 242,100 $ 384,700 $ 575,600 $ 345,700 $ 535,000 Transfer from Operating Fund - Wastewater 1,100,000 900,000 1,200,000 1,500,000 Transfer from Impact Fee Reserve - Wastewater 20,997 ' 404,900 31,600 ... 33,200 ... 1,500,000 266,800 ... 1,300,000 192,000 1,300,000 192,000 State Loan Fund - Wastewater 112,157' 1,564,700 - - 4,270,000 4,270,000 - Interest Income - Wastewater 83,032 10,000 10,000 10,000 10,000 10,000 10,000 Total Funding Sources - Wastewater $ 1,316,186 $ 2,879,600 $ 1,241,600 $ 1,543,200 $ 6,046,800 $ 5,772,000 $ 1,502,000 Wastewater - Ending Budget Balance $ 906,624 $ 242,100 $ 384,700 $ 575,600 $ 345,700 $ 535,000 $ 1,158,000 Total Funding Sources excludes Budget Balances 77

Wastewater Fund Forecast Projected Net Margins - Wastewater 4/17/2020 - FY18 Actual & FY19 Budget Actual Projection Projection Projection Projection Projection Projection Yr 1 - Yr 5 2019 2020 2021 2022 2023 2024 2025 Total Net Income - Wastewater Wastewater Fees $ 3,720,797 $ 3,654,700 $ 4,467,500 $ 4,709,500 $ 4,931,500 $ 4,971,800 $ 5,012,500 $ 24,092,800 Treatment Fees - Kent County 2,902,852 3,267,000 3,275,100 3,313,700 3,350,200 3,368,700 3,387,200 16,694,900 Groundwater Inflow Adjustment 1,858,169 1,841,900 2,040,400 2,172,600 2,293,900 2,315,900 2,338,200 11,161,000 Miscellaneous Income - Wastewater 10,273 23,200 1,300 23,400 23,500 23,500 23,500 95,200 Impact Fees - Wastewater 688,132 480,000 480,000 480,000 480,000 480,000 480,000 2,400,000 Total Revenue 9,180,223 9,266,800 10,264,300 10,699,200 11,079,100 11,159,900 11,241,400 54,443,900 Treatment Expense - Kent County (4,816,650) (5,101,900) (4,302,900) (4,389,000) (4,476,800) (4,566,300) (4,657,600) (22,392,600) Operating Expenses - Wastewater (2,101,834) (2,325,900) (2,406,000) (2,452,900) (2,521,400) (2,592,100) (2,664,700) (12,637,100) Operating Transfers - Out (649,000) (500,000) (500,000) (500,000) (500,000) (500,000) (500,000) (2,500,000) Total Operating Expenses (7,567,484) (7,927,800) (7,208,900) (7,341,900) (7,498,200) (7,658,400) (7,822,300) (37,529,700) Operating Income 1,612,739 1,339,000 3,055,400 3,357,300 3,580,900 3,501,500 3,419,100 16,914,200 Non-Oper. Rev. - Interest on Operating 94,952 10,000 20,000 10,000 10,000 10,000 10,000 • 60,000 Non-Oper. Rev. - Interest on Reserves 114,070 44,100 41,500 41,500 41,500 39,900 38,700 203,100 Income Available For Debt Service 1,821,761 1,393,100 3,116,900 3,408,800 3,632,400 3,551,400 3,467,800 17,177,300 Interest for Long-Term Debt (158,611) (161,300) (161,700) (149,900) (137,800) (297,000) (280,500) (1,026,900) Cash From Operations 1,663,150 1,231,800 2,955,200 3,258,900 3,494,600 3,254,400 3,187,300 16,150,400 Depreciation Expense (1,409,071) (1,732,100) (1,825,800) (1,974,700) (2,297,400) (2,533,100) (2,627,800) (11,258,800) Net Income ($) $ 254,079 $ (500,300) $ 1,129,400 $ 1,284,200 $ 1,197,200 $ 721,300 $ 559,500 $ 4,891,600 Debt Service Coverage Income Avail. for Debt Service $ 1,821,761 $ 1,393,100 $ 3,116,900 $ 3,408,800 $ 3,632,400 $ 3,551,400 $ 3,467,800 $ 17,177,300 Total Debt Service $ 609,872 $ 672,500 $ 659,900 $ 659,500 $ 659,000 $ 1,187,700 $ 1,134,300 $ 4,300,400 Debt Service Coverage Ratio 2.99 2.07 4.72 5.17 5.51 2.99 3.06 Transfer to I & E Fund - Wastewater $ 1,100,000 $ 1,049,000 $ 1,200,000 $ 1,500,000 $ 1,500,000 $ 1,300,000 $ 1,300,000 $ 6,800,000 Transfer to Impact Fee Reserve - Wastewater 535,229 - - - - - - - Reinvestment of Reserve Interest 114,070 44,100 41,500 41,500 41,500 39,900 38,700 203,100 Debt Service Principal 458,600 511,200 498,200 509,600 521,200 890,700 853,800 3,273,500 Total Cash Budget Requirements $ 2,207,899 $ 1,604,300 $ 1,739,700 $ 2,051,100 $ 2,062,700 $ 2,230,600 $ 2,192,500 $ 10,276,600 Net Positive/(Negative Cash) $ (544,749) $ (372,500) $ 1,215,500 $ 1,207,800 $ 1,431,900 $ 1,023,800 $ 994,800 $ 5,873,800 78

Rate Increases Every Third Year Residential, 3,000 gallons/mo. (Dover Median) Average, $70 Tidewater Uti lities :$41 Artesian Wate r City of Seaford City of Milfo rd City of Salis bury Tow n of Georgetown City of Newa rk Dover Recommended FY 2021 $13 $26 Dover Current FY2020 $12 $23 M?thdM W1411HM $- $20 S40 $60 $80 $100 $120 $140 $160 Nc\ll'GEN STRATEG•cSANO SOl UTI ONS l lC 9 79

Wastewater Engineering 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 165,000 $ 238,300 $ 238,300 44% MATERIALS & SUPPLIES 6,600 16,000 25,700 289% ADMINISTRATIVE EXPENDITURES 23,500 149,300 24,300 3% OPERATING EXPENDITURES 195,100 403,600 288,300 48% CAPITAL OUTLAY Mayor- 14,000 14,000 100% TOTAL EXPENDITURES $ 195,100 $ 417,600 $ 302,300 55% Highlights: • Personnel Costs will increase as the Water /Wastewater Director’s salary is split between both Water and Wastewater, starting in FY21. Previously the Manager position was expensed out of Water Engineering alone. Actuarial report for CAFR separated Water and Wastewater OPEB and pension costs – previously spilt 50/50. • Materials & Supplies increase based on purchase of shared GIS software. • Capital Outlay includes share of iPlan software and install expense. 80

Wastewater Management 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 736,900 $ 720,100 $ 720,100 -2% MATERIALS & SUPPLIES 109,700 125,400 113,900 4% ADMINISTRATIVE EXPENDITURES 307,300 315,800 310,200 1% OPERATING EXPENDITURES 1,153,900 1,161,300 1,144,200 -1% Mayor CAPITAL OUTLAY 2,302,600 1,504,000 1,085,000 -53% TOTAL EXPENDITURES $ 3,456,500 $ 2,665,300 $ 2,229,200 -36% Highlights: • Overall Personnel Costs decrease driven by a reduction in OPEB and Pension expense. • Capital Outlay includes ($800K) I&I Project (reduced with remainder being completed in FY22). Also includes ($150K) in emergency repairs and ($135K) worth of Pump Station replacements. 81

This page left blank intentionally 82

ELECTRIC FUND BUDGET REVIEW Fiscal Year 2020-2021 Operating Department & Division Summaries • June 2020 – Budget Review Hearing 83

Electric Fund Budget • Revenue decreased v. FY20 Original Budget- to-Budget (BTB) +$2,381,900 (-2.8%) • Exclusive of revenue reduction for PPA credit ($5.2 million) or -6.2% • Planned rate changes for residential offset by increased PPA Credit ($.0070) • Implementing the cost of service model in FY21 will reduce most business and commercial bills • Overall the utility is in excellent financial condition • Expense decrease from FY20 Original Budget $5,295,000 (6.3%) • Reduction in transfers to reserves of $5 million v. FY20 • Reduced transfer to I&E of $816,000 (12%) 84

Electric Fund Budget • Major increases/(decreases) affecting revenues • Customer sales decrease $2,269,000 due to rate reductions • Major increases/(decreases) affecting expenses • Power Supply ($2,400,100) • Hedges recommended by TEA are beginning to improve the bottom line • Lower costs of generation affected by lower energy prices • Capacity Credits improved ($3,769,700) • PJM Capacity costs at auction have been lower • Wages & Benefits $287,800 • Operating expenses increased $299,600 due to increased tree trimming and increased expense for Administration • Transfers to other accounts as follows • Transfer to Rate Stabilization Reserve $2.0 million • Transfer to Improvement & Extension Reserve of $6.0 million • Transfer to General Fund of $10 million (11.8% of revenues compare to $8M = 9.6% in FY14) 85

Electric Fund Budget – PCA Credit 2019/20 2018/19 ORIGINAL 2019/20 2020/21 2020/21 $ DIFFERENCE ACTUAL APPROVED PROJECTED REQUESTED RECOMMENDED FY21 VS BEGINNING BALANCE 16,024,400 13,548,100 16,550,700 10,230,300 10,230,300 (3,317,800) DISTRIBUTION OF EARNINGS - PCA CREDIT (2,839,650) (2,873,800) (2,873,800) (5,246,100) (5,246,100) (2,372,300) BEGINNING BALANCE - ADJUSTED 13,184,750 10,674,300 13,676,900 4,984,200 4,984,200 (5,690,100) TOTAL REVENUES 83,553,369 84,968,800 84,968,800 85,086,900 85,086,900 118,100 TOTAL BEGINNING BALANCE & REVENUES ~ 96,738,100 ~ 95,643,100 ~ 98,645,700 ~ 90,071,100 . 90,071,100 ~ (5,572,000) TOTAL EXPENSES 80,187,500 84,715,400 88,415,400 79,743,800 79,440,500 (5,274,900) BUDGET BALANCE - WORKING CAPITAL 16,550,700 10,927,700 10,230,300 10,327,300 10,630,600 (297,100) Increased PCA (lower electric bill )is due to… • Implementing the Integrated Resource Plan; • PPAs with lower cost of power than McKee/Van Sant; and • Increased slightly for COVID relief as well 86

Electric Debt Coverage Actual Projected Projected Projected Projected Projected Projected 2019 2020 2021 2022 2023 2024 2025 Debt Service Coverage Income Avail. for Debt Service $ 18,920,387 $ 14,582,800 $ 16,789,800 $ 16,953,000 $ 15,436,000 $ 17,364,500 $ 17,585,600 Total Debt Service $ 1,577,367 $ 1,379,500 $ 1,378,600 $ 1,373,500 $ 1,376,300 $ 1,377,000 $ 1,375,400 Debt Service Coverage Ratio 11.99 10.57 12.18 12.34 11.22 12.61 12.79 Debt Service Coverage Requirement 1.25 2.25 1.25 2.25 3.25 4.25 5.25 Debt Service Coverage Requirement Status Met Met Met Met Met Met Met 87

Electric Fund Operations • Accomplishments in FY20 • Completed RFP for Renewable Energy Purchased Power Agreement (PPA). • Received 81 proposals from 15 different companies • In final stages of developing first of two 25-MW PPAs at competitive price • Completed of the street light audit, began Phase 1 implementation. • Downtown installation • City-wide design • Completed Phase 4 Towne-Point Underground project • Completed McKee Decommissioning Study → Playbook for RFP • Accomplishments planned in FY21 • Provide a more customer centric approach to our business model with outreach and programs geared toward energy efficiency and large customers. • Renewable energy RFP. Recommendation to increase renewable energy resources. • Conversion of Electric GIS information into ACR-GIS (ESRI product) from ARC-FM (not ESRI). • Phase 1 (engineering) of the McKee #3 decommissioning budgeted at $1 million. • Integration of new billing system with Tyler Munis 88

Electric Fund Forecast Revi sed Proj ected Projected Proj ected Projected Projected 2019 2020 2021 2022 2023 2024 Net Income Revenue fro m Current Electric Rates $ 82,607,300 $ 82,686,400 $ 83,231 ,900 $ 83,788,300 $ 82,983,400 $82,983,400 Utility Tax 1,320,700 1,322,000 1,330,800 1,339,700 1,326,400 1,326,400 Miscellaneous Recei pts 1,208,800 1,165,400 1,167,000 1,169,000 1,266,000 1,268,000 Total Operating Revenue 85,136,800 85,173,800 85,729,700 86,297,000 85,575,800 85 ,577,800 Power Supply & Prod uction (48,350, 100) (47,485,900) (47,590,000 ) (53,435,300) (53,554,000 ) (54 ,915,500) Operating Expenses (13,880,000 ) (14,245,800) (14,297,600 ) (14,687,401 ) (15,068,502) (15,476,803) Operating Transfers - Out (10,000,000 ) (10,000,000 ) (10,000,000 ) (10,000,000 ) (10,000,000 ) (10 ,000,000 ) Tot al Operating Expenses (72,230, 100) (71 ,731 ,700 ) (7 1,887,600 ) (78, 122,701 ) (78,622,502) (80 ,392,303) Operatin g Income 12,906,700 13,442,100 13,842,100 8,174,299 6,953,298 5,185,497 Non-Oper. Rev. - Interest on Operat ing 304,800 388,900 374,200 285,000 323,000 373,600 Non-Oper. Rev. - Interest on Reserves 709,400 760,700 824,200 808,500 792,600 776,600 Income Availa ble Fo r De bt Service 13,920,900 14,591 ,700 15,040,500 9,267,799 8,068,899 6,335,699 Interest on Long,Term De bt (819,700 ) (629,500) (593,600 ) (553,500) (511 ,300) (467,000} Cash From Operations 13 101 200 13 962 200 14 446 900 8 714 299 7 557 599 5 868 699 Other Non -Operating Income.Loss , & Transfers Distri buton of Earnings - PCA Credit (2,877,400 ) (2,873,800) (2,890,000 ) (2,906,500) (2,906,500) (2,906,500) De preciation Expense (6,045,300) (6,406,800) (6,801 ,600 ) (7,105, 100) (7,258,200 ) (7,382,587) Net Income $ 4,178,500 $ 4,681 ,600 $ 4,755,300 $ (1,297,301 ) $ (2,607, 101 1 $ (4,420,388) The above forecast has not been adjusted for future generation cost in concert with the decommissioning of Unit 3 as included in power supply and production for Fiscal Year 2022 – Fiscal Year 2024. 89

Electric Capital Investment Plan ( Part 1) Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year FY1 - FY5 CAPITAL PROJECTS 2019 2020 2021 2022 2023 2024 2025 Total Electric Engineering Projects Cross Arm Cut Out Replacement $ - $ 43,000 $ - $ - $ - $ - $ - $ - Substation Battery Replacement - 27,000 - - - 20,000 - 20,000 Clearview Meadows Tiepoint - 148,000 - - - - - - The Greens - Underground - - - - 184,000 - - 184,000 Derby Estates - Underground - - 140,000 140,000 Division Street Overhead Rebuild - - 85,000 - - - - 85,000 Townpoint Distribution Upgrades 252,127 - 123,000 140,000 - - - 263,000 Kent Trailer Park Overhead - - - 65,000 65,000 Bayside Drive Upgrade 24,869 - - - - - - - Ted Harvey Underground 12,683 - - - - - - - Substation Relay Upgrade 113,362 30,000 30,000 30,000 30,000 30,000 30,000 150,000 Lighting Project and Rehabilitation - LED 448,716 2,300,000 1,025,000 1,200,000 1,200,000 - - 3,425,000 LED Lighting - MLK Parkway 28,840 - - - - - - - Substation Equipment & Fencing (Division St) - - 12,500 - - - - 12,500 SCADA Master Hardware Replacement - - - 165,000 - - - 165,000 Transmission Line Maintenance Program 37,325 50,000 50,000 50,000 50,000 50,000 50,000 250,000 College Road Consolidation - 110,000 110,000 - - - - 110,000 Garrison Oak Substation 16,632 - 750,000 7,000,000 - - - 7,750,000 Distribution Capacitors - Overhead 5,568 25,000 - - - - - - Distribution Capacitors - Underground - 25,000 - - - - - - Fault Indicators - 10,000 - - - - - - ArcFM Migratin to ArcGIS 160,000 Capitol Green - Secondary - - 33,000 - - - - 33,000 System Operations Voice Recorder - - 25,000 - - - - 25,000 Advanced Metering Infrastructure (AMI) - 500,000 - 500,000 1,500,000 1,500,000 1,500,000 5,000,000 System Automation/Radio Upgrades - - 375,000 - - - - 375,000 Livefront Transformer Replacement - - 140,000 - - - - 140,000 Vehicles, Trucks, & Equipment 33,377 - 50,400 • - - - - 50,400 Subtotal Electric Engineering Division $ 973,499 $ 3,268,000 $ 2,968,900 $ 9,150,000 $ 3,104,000 $ 1,600,000 $ 1,580,000 $ 18,242,900 90

Electric Capital Investment Plan ( Part 2) Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year FY1 - FY5 CAPITAL PROJECTS 2019 2020 2021 2022 2023 2024 2025 Total Electric Transmission & Distribution Projects New Developments - UG Transformers $ 144,117 $ 285,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 250,000 $ 1,250,000 New Developments - UG Conductors/Devices Meter Replacements & System upgrades 256,796 104,795 513,000 52,000 500,000 100,000 500,000 100,000 500,000 100,000 500,000 100,000 500,000 100,000 . 2,500,000 500,000 Vehicles, Trucks, & Equipment 226,630 405,000 410,000 480,000 - - - 890,000 Subtotal Electric Transmission Division $ 732,338 $ 1,255,000 $ 1,260,000 $ 1,330,000 $ 850,000 $ 850,000 $ 850,000 $ 5,140,000 Electric Generation Projects McKee Run & VanSant Preservation of Structures $ 51,413 $ - $ - $ - $ - $ - $ - $ - Unit 3 Decommissioning - - 1,000,000 9,000,000 4,000,000 - - 14,000,000 Unit 3 Boiler Systems Unit 3 Auxillary System Components 134,091 156,800 266,000 55,000 60,000 - - - - - - - - - . 60,000 - Unit 3 Turbine Outage - Inspections & Repairs Unit 3 Turbine Repairs - Intercept Valves 54,680 487,850 - - - - - - - - - - - - . - - VanSant Major Overhaul & Inspection 82,925 - - - - - - - VanSant Component replacements - 55,000 35,000 - - - - 35,000 VanSant Fire Suppression System Upgrade 25,807 - - - - - - - Safety & Compliance Improvements 75,986 - 172,000 - - - - 172,000 Subtotal Electric Generation Division $ 1,069,552 $ 376,000 $ 1,267,000 $ 9,000,000 $ 4,000,000 $ - $ - $ 14,267,000 Electric Administration Projects Electric Administration Building Improvements $ - $ 318,000 $ 25,000 $ 128,000 $ - $ - $ - $ 153,000 Weyandt Hall Building Improvements - 1,325,200 335,000"I - - - - 335,000 Subtotal Electric Administration Division $ - $ 1,643,200 $ 360,000 $ 128,000 $ - $ - $ - $ 488,000 Electric Metering Division Vehicles, Trucks, & Equipment - 21,800 - - - - - . - Subtotal Electric Administration Division $ - $ 21,800 $ - $ - $ - $ - $ - $ - ERP Consulting and Systems 730,645 842,800 500,000 - - - - 500,000 Total Electric Improvements $ 3,506,034 $ 7,406,800 $ 6,355,900 $ 19,608,000 $ 7,954,000 $ 2,450,000 $ 2,430,000 $ 43,774,700 91

Electric Capital Investment Plan ( Part 3) Actual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Projected FY1 - FY5 2019 2020 2021 2022 2023 2024 2025 Total Funding Sources ~ Electric I & E Fund Beginning Budget Balance $ 9,123,890 $ 9,362,700 $ 9,869,900 $ 11,132,600 $ 6,163,400 $ 8,768,700 $ 11,919,700 Transfer from Operating Fund 6,400,000 6,816,000 6,000,000 5,000,000 5,000,000 5,000,000 5,000,000 26,000,000 Transfer from Other Funds - ERP 498,000• 548,000 - - - - - • - Electric Depreciation Reserve Account - - 1,000,000 9,000,000 1,000,000 - - 11,000,000 Electric Future Capacity Reserve State Reimbursements & Developer Contributions - 21,515 - - - - - - 4,000,000 - - - - - . 4,000,000 - General Service Billing 429,498 400,000 400,000 400,000 400,000 400,000 400,000 2,000,000 Interest Earnings 190,860 150,000 218,600 238,800 159,300 201,000 251,400 1,069,100 Total Funding Sources 7,539,873 7,914,000 7,618,600 14,638,800 10,559,300 5,601,000 5,651,400 46,331,700 Total Beginning Balance & Funding Sources $ 16,663,763 $ 17,276,700 $ 17,488,500 $ 25,771,400 $ 16,722,700 $ 14,369,700 $ 17,571,100 Electric I & E Fund Ending Budget Balance $ 13,157,729 $ 9,869,900 $ 11,132,600 $ 6,163,400 $ 8,768,700 $ 11,919,700 $ 15,141,100 92

Planning for the Future • Integrated Resource Plan • Energy Generation/Purchase • Unit 3 McKee to go out of service May 31, 2021 • 25 MW Solar Farm ~ June – Dec 2021 • Additional 25 MW to come online in PJM PY22 or PY23 • Future Capacity • Solar PPAs include some capacity • Evaluating options with TEA, customers and system • Enhancements Substations • DAFB Replacement & Consolidation • Garrison Oak Business & Technical Park RFP in FY21 • Improved Operations • Technology • LED street lights • Advance Metering Infrastructure (AMI) • Better partnerships with DAFB and large volume customers 93

Electric Admin 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 209,100 $ 350,500 $ 350,500 68% MATERIALS & SUPPLIES 210,900 210,900 210,900 0% ADMINISTRATIVE EXPENDITURES 195,500 176,000 144,500 -26% OPERATING EXPENDITURES 615,500 737,400 705,900 15% Mayor CAPITAL OUTLAY 1,643,200 360,000 360,000 -78% TOTAL EXPENDITURES $ 2,258,700 $ 1,097,400 $ 1,065,900 -53% Highlights: • Personnel Costs increase based on the inclusion of new Electric Director (at market rate) as well as the reinstatement of an Admin Assistant position. • Administrative Expenses decrease primarily due to the City leaving DEMEC. Saves $40K annually in dues. • Capital Outlay to include: Roof Shingling @ Reed Street ($300K), Chimney replacement ($15K), Generator for Reed Street ($20K), and Admin Facility improvements ($25K). 94

Electric T&D 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 2,735,400 $ 2,877,200 $ 2,877,200 5% MATERIALS & SUPPLIES 425,000 415,000 415,000 -2% ADMINISTRATIVE EXPENDITURES 642,400 703,400 703,400 9% OPERATING EXPENDITURES 3,802,800 3,995,600 3,995,600 5% CAPITAL OUTLAY 1,255,000 1,260,000 1,260,000 0% TOTAL EXPENDITURES $ 5,057,800 $ 5,255,600 $ 5,255,600 4% Highlights: • Personnel Costs increase due primarily to O/T and Pension expense. • Administrative Expenses includes an additional $55,000 for Transmission Line tree trimming (over last year). • Capital Outlay will consist of the normal $850K for ‘New Developments’ with an additional $250K for a replacement Line Truck. 95

Electric Engineering 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 1,053,900 $ 1,054,300 $ 1,054,300 0% MATERIALS & SUPPLIES 65,300 63,900 73,600 13% ADMINISTRATIVE EXPENDITURES 253,700 264,200 264,200 4% OPERATING EXPENDITURES 1,372,900 Mayor 1,382,400 1,392,100 1% CAPITAL OUTLAY 3,293,000 2,968,900 2,968,900 -10% TOTAL EXPENDITURES $ 4,665,900 $ 4,351,300 $ 4,361,000 -7% Highlights: • Salaries (3%) increase offset by lack of request for Educational Assistance this year. • Materials & Supplies increase due to the inclusion of iPlan software expense and portion of new GIS software. • Capital Outlay to include: City Radio Infrastructure upgrade, LED Lighting Conversion, Transmission Line Maintenance, GOTP Substation Replacement, College Rd Consolidation, Division St Overhead Rebuild and O/H to Underground Line Conversion @ Townsend Blvd.. 96

Meter Reading 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 366,700 $ 338,100 $ 338,100 -8% MATERIALS & SUPPLIES 16,000 16,200 15,100 -6% ADMINISTRATIVE EXPENDITURES 19,200 20,200 20,200 5% OPERATING EXPENDITURES 401,900 374,500 373,400 -7% CAPITAL OUTLAY 21,800 - - -100% TOTAL EXPENDITURES $ 423,700 $ 374,500 $ 373,400 -12% Highlights: • Personnel Costs overall decrease due to Supervisor Position turnover. • Administrative Expenses includes training for new supervisor. 97

System Operations 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 853,100 $ 871,100 $ 871,100 2% TOTAL EXPENDITURES $ 853,100 $ 871,100 $ 871,100 2% Highlights: • Personnel Costs 2%. 98

Power Plant Operations 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE PERSONNEL COSTS $ 2,677,500 $ 3,024,500 $ 2,329,200 -13% MATERIALS & SUPPLIES 210,200 181,700 111,300 -47% ADMINISTRATIVE EXPENDITURES 2,643,000 2,615,600 2,265,600 -14% OPERATING EXPENDITURES 5,530,700 5,821,800 4,706,100 -15% CAPITAL OUTLAY 115,000 1,267,000 1,267,000 1002% Mayor TOTAL EXPENDITURES $ 5,645,700 $ 7,088,800 $ 5,973,100 6% Highlights: • The decrease in Personnel Costs of $348,300 (-13%) is due to the phased in RIF of NAES personnel at the power plant. • Decreases in Materials & Supplies is due to a favorable contract for janitorial services NAES secured, and reduced need for an inventory of supplies. • Administrative Expenses decreased $377,400 (-15%) for reduced travel and training, utilities, contractual services, etc. due to upcoming plant closing • Capital Outlay of $1,000,000 is budgeted for plant decommissioning in FY21. 99

Power Supply 2019-2020 2020-2021 2020-2021 % DESCRIPTION BUDGET REQUESTED RECOMMENDED CHANGE 65 SERIES TOTAL $ 1,135,000 $ 734,800 $ 734,800 -35% 95 SERIES TOTAL 40,163,900 40,154,800 40,154,800 0% 98 SERIES TOTAL 956,300 488,400 488,400 -49% OPERATING EXPENDITURES $ 42,255,200 $ Mayor41,378,000 $ 41,378,000 -2% Highlights: • The 65 Series will decrease in FY21 due to the lower charges by TEA and because FY20 included costs for the McKee Decommissioning Study. • Purchased power costs and hedges will remain the same overall in the 95 Series in FY21. • The Series 98 decrease reflects the anticipated reduction in natural gas purchases in FY21. 100

REGULAR CITY COUNCIL MEETING The Regular City Council Meeting was held by video conference on August 24, 2020 at 7:30 p.m. with Council President Hare presiding. Council members present via video or telephone were Mr. Anderson, Mr. Sudler, Mr. Neil, Mr. Slavin, Mr. Cole, Mr. Taylor, and Mr. Lindell. Staff members present via video or telephone were Police Chief Johnson, Ms. Peddicord, Mrs. Mitchell, Mr. Hugg, Mr. Rodriguez, and Mrs. McDowell. Mayor Christiansen was absent. The invocation was given by Mr. Will Grimes, followed by the Pledge of Allegiance. ADOPTION OF AGENDA The agenda was adopted by unanimous consent. Mr. Neil moved for adoption of the consent agenda, seconded by Mr. Lindell and carried by a unanimous roll call vote. ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF JULY 27, 2020 The Minutes of the Regular Council Meeting of July 27, 2020 were unanimously approved by motion of Mr. Neil, seconded by Mr. Lindell and bore the written approval of Mayor Christiansen. PRESENTATION - RESTORING CENTRAL DOVER IMPLEMENTATION PHASE II 2020 TO 2025 Ms. Karen Speakman, Executive Director; Mr. Will Grimes, Neighborhood Revitalization Coordinator; Ms. Chanda Jackson, Community Engagement Specialist; Ms. Patricia Kelleher, Real Estate Development Director; and Frank Datillo, Construction Manager with NCALL reviewed the presentations “Restoring Central Dover Implementation Phase II 2020 to 2025" and “Central Delaware Habitat for Humanity and NCALL's Housing Development Plans for South New and Queen Streets.” PRESENTATION - CENTRAL DELAWARE HABITAT FOR HUMANITY AND NCALL'S HOUSING DEVELOPMENT PLANS FOR SOUTH NEW AND QUEEN STREETS This item was presented along with the previous item. PRESENTATION - TORNADO UPDATE Mrs. Donna Mitchell, City Manager, provided an update on the cleanup of the storm damage. COUNCIL COMMITTEE OF THE WHOLE REPORT - JULY 28, 2020 The Council Committee of the Whole was held by video conference on July 28, 2020 at 6:00 p.m., with Council President Hare presiding. Council members present via video or telephone were Mr. Anderson, Mr. Sudler, Mr. Neil, Mr. Slavin, Mr. Cole, Mr. Taylor, and Mr. Lindell. Mayor Christiansen was also present. Civilian members present via video or telephone for their Committee meetings were Mr. Wagner and Mr. Shelton (Safety Advisory and Transportation), Ms. Maucher (Utility), and Mr. Contant and Mr. Shevock (Legislative, Finance, and Administration).

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 2 UTILITY COMMITTEE The Utility Committee met with Chairman Cole presiding. Adoption of Agenda Mr. Neil moved for approval of the agenda, seconded by Mr. Slavin and unanimously carried. Annual Review and Approval of Governing Policy for Energy Commodity Risk Management Mrs. Donna Mitchell, City Manager, reviewed Governing Policy for Energy Commodity Risk Management. She stated the City's Risk Management Committee had no recommended changes to this year's policy. Staff recommended no changes. Mr. Slavin moved to recommend no changes, as recommended by Staff. The motion was seconded by Mr. Sudler. Mr. Neil stated that as they are searching for a city manager, they should let the people who are searching for candidates know that this is an important part of what the City of Dover does and that person is going to head the risk management for this program. Mr. Slavin moved to recommend no changes, as recommended by Staff. The motion was seconded by Mr. Sudler and unanimously carried. By consent agenda, Mr. Neil moved for approval of the Governing Policy for Energy Commodity Risk Management, as presented (Exhibit #1). The motion was seconded by Mr. Lindell and carried by a unanimous roll call vote. Mr. Hare moved for adjournment of the Utility Committee meeting, seconded by Mr. Neil and unanimously carried. Meeting adjourned at 6:04 p.m. SAFETY ADVISORY AND TRANSPORTATION COMMITTEE The Safety Advisory and Transportation Committee met with Chairman Taylor presiding.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 3 Adoption of Agenda Mr. Sudler moved for approval of the agenda, seconded by Mr. Slavin and unanimously carried. Presentation - 15 Initiatives for Criminal Justice Reforms (Attorney General Kathy Jennings) Mr. Taylor disclosed that he heard this presentation during the Racial Equality and Social Justice Collaborative meeting two weeks ago. Attorney General Kathy Jennings provided a verbal presentation of 15 Initiatives for Criminal Justice Reforms. Attorney General Jennings provided the following information regarding changes they have made internal: • They believe it is vitally important for their prosecutors to divert as many people as they can safely into treatment and away from prison. • They have been working with law enforcement agencies throughout the State to provide assistance with law enforcement assisted diversion programs that at times divert someone from even having an arrest when they can be sent for treatment and they are willing to do so, or when the cause of their conduct is mental illness that can be treated safely. • They have, as a matter of policy in their office, de-emphasized low-level drug crimes that have long been an entry point in the system for nonviolent offenders to go into prison, disproportionately impacting black people. • They are no longer seeking warrants because someone is unable to pay a fine or a fee. • They have dramatically reduced the number of times a prosecutor seeks habitual offender status for nonviolent crimes and those have been reduced by 90% in the first year of her administration. Attorney General Jennings stated that more work is necessary for all of them to have faith in the fairness of their justice system. She stated even though they were able to pass tremendous legislation the past session, including expungement of criminal records that enabled people who had criminal records to get jobs. She was happy to say that law passed in the Senate unanimously and in the House almost unanimously. It was a job’s bill and it is already working to enable people to expunge minor records so that they can get a job and support their families. Attorney General Jennings stated that they have also worked on the sentencing system, which has not been changed since 1991. They need a sentencing system that relies on real data that looks at the racial impact of sentences in the state and the disparities that do not ignore race, but is conscious of the effects of race in the criminal justice system. Attorney General Jennings stated that they are fighting to

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 4 reform policing in Delaware, and that it is not a pro-police or anti-police issue. She noted that it is important to them to make sure that they are reforming a system to build community trust between police, law enforcement, and the people that they serve. Attorney General Jennings stated they have proposed, in collaboration with many police chiefs and community members that they have talked to over the past several months, a series of reforms that frankly, they just make common sense. They have investigated what other jurisdictions have done and how those reforms are working elsewhere. She stated that they believe that they need the following done in Delaware: • A stronger use of force standard in Delaware. The use of force standard by law is entirely subjective and there is not an objective overlay. They have proposed that it be an objective reasonableness test, the way it is in so many other jurisdictions in our country. • They believe there should be a law in Delaware that makes it criminal to violate someone's civil rights under federal law. • They also believe that disciplinary proceedings should be more transparent and more publicly available. • Mandatory, universal, use of body-worn cameras. It is so helpful because it shows the good work that a police officer does when that officer is engaged with a citizen and it also shows the behavior of the citizen. It makes everybody aware that they have to behave professionally at all times and it creates a transparent, reviewable record of what actually happened. They are looking for ways to get funding from their congressional delegation and working in partnership with them to see if they can get body-worn cameras on every police officer in this state. • Banning knee holds and choke holds have been done by the Legislature. • Mandatory participation in the currently voluntary do-not-hire list. There is a national database that agencies can look at to see if an officer should not be hired by another jurisdiction. Attorney General Jennings commended Governor John Carney who, through an executive order, affected a lot of the progress, including a ban on choke holds, prohibiting the release of juvenile mug shots, participation in a national use-of-force database, and implementation of better training. She stated that these are really important steps the Governor has taken, but they need to make them permanent and an executive order is not permanent. Attorney General Jennings stated that they are very hopeful that the legislature and others will work with them to make these things happen.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 5 Responding to Mr. Sudler, Attorney General Jennings stated that body cameras were high on the priority list. She stated that some of the changes are legislative and they have their own priorities, but she thought body-worn cameras were pretty much number one. Mr. Sudler asked what the estimated cost would be for the City of Dover’s population and size to sustain the program, not to get the mechanisms. He stated he heard that the body camera mechanisms are not that expensive, but to sustain the database program and to install it was. Responding, Attorney General Jennings stated that the Council of Police Chiefs, of which Chief Johnson is a member, are doing a survey and are working with them to get a dollar figure for body-worn cameras in all police departments, to have the necessary storage, and the necessary resources to staff it. She noted what they found at New Castle County Police that it was the storage of the data that cost the most money. She stated they have two officers who are devoted to handling that data because it has to be transferred to the Attorney General's office, witnesses have to be de-identified under law, and victims certainly have to be de-identified. She stated that it is a laborious process that requires additional staffing and that they will share that as soon as they have those dollar figures finalized. Responding to Mr. Anderson, Attorney General Jennings stated they are currently pursuing information on federal and other grants on such devices. She noted that they are working with the congressional delegation, Representative Lisa Blunt-Rochester, Senator Chris Coons, and Senator Tom Carper, to see if there is federal money available specifically to fill the void right now. She stated that one of the ways that they can build public trust is to disclose the footage when it would further the cause of justice to do so because part of what she has seen is that when the public does not know what happened they think the worst. Attorney General Jennings stated that it is really important when they write their reports, after they examine the use of force by police, most importantly in a shooting, that they disclose the body-worn cameras and other footage that will show actually what happened, so they intend to start doing that as well. Responding to Mr. Anderson, Attorney General Jennings stated if it does not result in a criminal case there are varying sorts of time periods and record retention requirements in the state. She stated if it does not result in a criminal case, then frankly, it does not need to be stored unless the police department needs it for training purposes or for other reasons. Attorney General Jennings stated when it results in a criminal case, even if it is a misdemeanor, it has to be stored at least until the statute of limitations is over or all appeals are exhausted. She stated they have worked that out with other police agencies and that work could be replicated. Mr. Anderson, regarding a Civilian Review Board statewide, asked if there were any examples where it has been a value added and if it has worked anywhere, instead of creating another layer of bureaucracy. Responding, Attorney General Jennings stated that they do not want another layer of bureaucracy. She stated that it has worked and she can get two examples from other jurisdictions where it does work. Attorney

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 6 General Jennings noted that it works most especially when the civilians are trained, have a good sense of the role of the police officer and the reality of the job, and when there is true oversight. Mr. Shelton asked who develops the policy for body-worn cameras and if that was something done through the Attorney General's office or if that was in each individual jurisdiction. Responding, Attorney General Jennings stated they have spent a year developing a statewide body-worn camera policy in conjunction with the Police Chiefs Council. She stated they do have a statewide body-worn camera policy and that there are certain things they have been able to do on a statewide basis. Attorney General Jennings stated that does not preclude a police agency from having a different policy because the state Police Chiefs Council adopts a policy, it is not required to be followed, unless it is part of the state law. Presentation - Racial Equality and Social Justice Collaborative Ms. Michelle Taylor, President and Chief Executive Officer, United Way of Delaware, reviewed the presentation titled, "The Racial Equity & Social Justice Collaborative," located in the packet. Responding to Mr. Slavin, Ms. Taylor stated there were a couple of actions she would like to see the City Council take that would support the initiatives of the program. She stated one was partnering with the collaborative and supporting the efforts overall. She noted that means whatever place and space that they have the most passion about or that connects more to the agenda that they are trying to be able to achieve. Ms. Taylor stated that two, for consideration, there is an opportunity for them to partner around the equity challenge that is coming up and helping to promote it. She stated to partner just means that they are agreeing to promote it, they have to participate individually, as they do the work, but that they also want to partner with them. She stated that there is an opportunity for them to be able to leverage the leaders that are a part of this initiative and the work to mutually try to achieve some of the goals that they are seeking to do. Ms. Taylor stated that this is not a one-way agenda, they want to be able to build a stronger, greater, Dover community. She noted that Council members have Intel and some grassroots information and so making sure that they are staying in step and that they are communicating and that they could set, maybe even some shared aspirations together, would be what they would like to achieve. Mr. Anderson asked where the economic empowerment sits in this. Responding, Ms. Taylor stated one of their subcommittees is under wealth creation. She stated that under wealth creation, it is the whole issue of workforces, livable wages, financial empowerment, affordable housing. Ms. Taylor noted that right now their biggest concern is once the eviction moratoriums will be lifted and that group is concerned about the impact that might have on people in the community and disproportionately on a specific group of people across the state.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 7 Responding to Mr. Anderson, Ms. Taylor stated that the displacement would affect public safety and issues of crime pretty significantly. She noted that she is on a statewide panel where they are projecting that a little more than 30,000 people could be impacted by evictions. She stated they are saying it would not be that many because the court system is not structured to take all of them, but there is a significant amount and they have identified those that are behind in their rent. Ms. Taylor stated it impacts both safety and the family structure as a whole. She noted that they think about stabilizing kids, all of those things they are identifying are directly or indirectly impacted by families being disruptive in housing and the impact that it will have on homelessness within communities as well. Presentation - Dover Downs NASCAR Event - Plans for Staging with or without Fans The presenter requested that this item be deferred. Update on Body Cameras Chief Johnson, Dover Police Department, provided an update on body cameras. He stated they were working to freshen up the dollars and cents estimates as to what a body-worn camera program would look like if they had to fund it locally. Chief Johnson noted the following information: 1. He was able to get some information from the vendor that they use now for their in-car cameras. The last time they looked at them, their technology had a lot of challenges in performance that even though they were the vendor for in-car cameras, there was not a whole lot of quality points that they needed as a vendor. 2. They are still waiting for Axon to get back to them. They are a very popular brand that is used across the nation. He suspects they are in high demand right now to turn around information on these things, considering conditions nationally. 3. Motorola was another vendor that they had not considered before, but the team brought them in for a look last week and they got their numbers midday today. Chief Johnson stated, depending on the vendor, how they structure their fee schedule, and what services they choose, the price tag is going to be somewhere between $300,000 and $400,000 over an initial roll-in program period, which is probably between three and five years. He noted that this clearly could be a little bit different depending on which side best fits their needs. The bigger cost has to do with devices, hardware, and storage considerations, but there is also a staffing piece. Chief Johnson stated he felt 1.5 full-time employees should be dedicated to the program and then another individual to do other things for them, whether they combine a position or they create a part-time position to cover for the individual that

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 8 is full-time when they are off or when volume demand is high for video files. He noted that the Human Resources aspect was going to be just as expensive going forward as the devices and the hardware. Mayor Christiansen stated that he wished Council would endorse them moving forward and looking at an independent venture and they can iron out the details at a later date, but they also look to the state to see if they can facilitate them, not just them, but every department across the state. Mr. Sudler moved to recommend that Mayor Christiansen, in conjunction with Chief Johnson, to negotiate the best deal immediately in 2020 with vendors to be reviewed by City Council regarding the body cameras. The motion was seconded by Mr. Anderson. Mr. Lindell suggested that they draft a letter of support as Council and send it to their elected delegation at the state level to start putting some pressure on the state officials to deliver on what some of these officials have promised that they are going to do and then proceed from there. Mayor Christiansen stated he agreed with Mr. Lindell, but thought that they need to act on Mr. Sudler's motion because it shows in good faith that the Mayor and Council, and Chief of Police are committed into looking into having a plan in place just in case folks that made promises in the middle of the storm do not forget them in calm water. Mayor Christiansen stated they do not have to commit any money and they need to follow through on Mr. Lindell's suggestion that they see out their local legislators and ask them to force the powers that be to act on the promises that they made on the East side of Legislative Hall. Mr. Lindell stated they could go this route, but asked what happens once they get the data back. He asked if they are still going to be in the same position and are they going to spend the money at that time, while they are working with the state to try to get such funding as well. Mr. Lindell expressed his concerns, due to item #3 - Review and Approval of Federal COPS Grant on the Legislative, Finance, and Administration Committee. Mr. Anderson stated he agreed that they need to send a letter or do a resolution of support and request that the state and, he would add their federal delegation, worked in not only provide grant money, but if they move forward, it is going to be phased in over several years. Mr. Anderson stated that Mayor Christiansen's proposal is correct that they should agree to move forward as Mr. Sudler's motion stated so that they can get all the information they need. They are not going to spend money right away, with that in order to even apply for the grants, they have to have the information. Mr. Anderson noted that if the state and federal monies do not look like they are coming, they cannot wait on them.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 9 Responding to Mr. Wagner, Chief Johnson stated he was not sure if the programs were available on a lease basis. Chief Johnson stated one of the programs talks about replacement devices as technology upgrades, which kind of is like a lease as long as you are paying for the licensing and the software agreements, and you buy the updates and things of that nature. He stated that other proposals do not specifically discuss that and that the hard part about leasing body worn cameras are they are out in the field and their price per unit is relatively inexpensive. Chief Johnson noted that it is not typically the kind of asset that would fit neatly into a leasing program because of its service life, but he will look for that specifically and see if he can get a better answer. Mr. Wagner stated the lifespan of that camera could be covered in a lease contract, but you have software changes, you have to deal with what it looks like to him is they buy it, they are going to deliver to their door and it is the responsibility of the department and City to maintain it. Mr. Sudler stated the motion does not commit them to making a decision as soon as they bring back a proposal, as was stated earlier, they may decide that none of that works at that time, but at least they will have something in front of them, some raw data that they can show their constituents and also that they can review as a whole. Chief Johnson noted that the proposal that they actually made last month when he spoke to Mayor Christiansen and Mr. Donna Mitchell, City Manager, that it was for civilian staff to manage this program, it was not going to be a police officer position, but he did ask that the position be rated and built around the idea of someone that has law enforcement sophistication in their background. Mr. Sudler moved to recommend that Mayor Christiansen, in conjunction with Chief Johnson, negotiate the best deal immediately in 2020 with vendors to be reviewed by City Council regarding the body cameras. The motion was seconded by Mr. Anderson and unanimously carried. By consent agenda, Mr. Neil moved for approval of the Committee’s recommendation, seconded by Mr. Lindell and carried by a unanimous roll call vote. Mr. Neil moved for adjournment of the Safety Advisory and Transportation Committee meeting, seconded by Mr. Anderson and unanimously carried. Meeting adjourned at 7:47 p.m. LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE The Legislative, Finance, and Administration Committee met with Chairman Lindell presiding.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 10 Adoption of Agenda Mr. Neil moved for approval of the agenda, seconded by Mr. Taylor and unanimously carried. Discussion - New Property Value Notifications Mr. Lindell stated they had a citizen concern regarding the issue of new property value notifications. Mr. Taylor stated that recently, property value notifications were issued, he believed in January and there was a pocket in South Dover that did not receive those notifications. He stated his neighbor brought it to his attention. Mr. David Lees, 1014 Westview Terrace, expressed his concerns regarding not having received the notification of property assessment changes and the lack of uniformity to the property assessment increases. Mr. Lees suggested that there needs to be some kind of way to prevent these ridiculously high increases in assessments that are out of touch with cost of living for that same time period. Responding to Mr. Anderson, Ms. Cheryl Bundek, Tax Assessor, stated that other than Mr. Lees, they did not have any other complaints. She noted that the letters are generated by owner names and done to save on postage so they can combine multiple properties if an owner owns more than one, so they are not done by street order. Ms. Bundek stated the problem is not with the City at that point, but believed that it would probably be a postal carrier issue, because they did not print them in that order. She noted that to have a whole street of Westview Terrace not get their notification, the only way that could happen is if she went back through and put them all back into a street order. Responding to Mr. Lees' concern about mortgage companies receiving the notification, Ms. Bundek stated that was not correct, they only go to property owners and they mailed them out in February. The notification was done on the Council agenda of January 27th, there was a PowerPoint presentation given by Tyler Technologies, and that is when they said that the property notifications would be going out within a couple of weeks. Responding to Mr. Anderson regarding a possible solution, Ms. Bundek stated that due to what the procedures and the policies are with the assessment office after April 30th, they are not able to appeal until the following year. She stated that she believed that was in place because of budget concerns on what could happen if an appeal is granted at the board level, so that would be up to Council on whether or not they would want to allow appeals to happen. Ms. Bundek suggested, because getting the board together is hard enough once a year, is maybe to allow those people who did not receive their bill to actually appeal next April and have it go retro, that is up to the board. She stated if they put that in their motion that they would like anything to be retroactive to the previous year that would be up to the board. That is not up to the City of Dover Assessor's Office.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 11 Responding to Ms. Innus Parker's regarding long-term disability and reductions for disability on City taxes to receive social security, Ms. Bundek stated disability was done through an ad hoc committee years ago and they started the disability exemption or reduction. She stated did not remember exactly why, but believed it was because if they were not Social Security Disability, that they were not able to work, therefore that would give them a reduction because with the senior citizens’ reduction as well, they give a reduction based on income. Ms. Bundek stated they do not do that with disability. It is if a person is disabled with the Social Security Administration, it does not matter what their income is, they automatically get it. They have to send a letter in every year from Social Security, which is something that was done through an ad hoc committee of Council. Mr. Hare suggested bringing it back in September to discuss it and maybe put it in something where they can appeal it in the next round. He noted that if they win their appeal then it is retroactive. Mr. Neil stated if the City has not contacted the postal authorities, they should, to at least make them aware that there was a problem. Proposed Extension of Lodging Tax Deadline Mrs. Donna Mitchell, City Manager, stated the lodging tax was passed a year ago, and was not sure if hoteliers had forgotten, but they did not seem to be prepared for it when the notices went out last week or so. She noted that she heard from one of them and they asked if they could get an extension and noted that they would not be able to go back and collect on people that had used the hotel from the beginning of July up to the time he would have gotten the notice, or get his systems implemented in order to handle this. Ms. Lori Peddicord, Controller/Treasurer, stated she did receive an email from a hotelier that manages four different ones within the City of Dover. She noted the hotelier stated she did imply that it took some time to get it set up with her franchise office, but she did take the proper steps to do that prior to the July one deadline or implementation date. Ms. Peddicord stated the hotelier made reference that it is not something that is easily turned on and turned off. Ms. Peddicord noted that she would be a little leery to say or to suggest having some of them send it and have other ones get an extension. Mr. Neil moved to recommend collecting the lodging tax as scheduled without penalties if not paid by September 1st. The motion was seconded by Mr. Anderson and unanimously carried. By consent agenda, Mr. Neil moved for approval of the Committee’s recommendation, seconded by Mr. Lindell and carried by a unanimous roll call vote.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 12 Review and Approval of Federal COPS Grant Chief Johnson, Dover Police Department, reviewed the background and analysis regarding the Federal COPS Grant. Responding to Committee members' questions regarding the Federal COPS Grant, Chief Johnson provided the following information: • They have to pick five individuals and they actually have to have names on the grant compliance paperwork of who they hired so the federal authorities can audit their experience from on boarding through to completing their fourth year. Once they get to the end of the four years, the options open up again, that if there is dissatisfaction, they can make change. • The federal government does not offer grant funding to supplant existing positions. They offer grant funding to help expand the authorized strength of the agency, whether it is policing, fire service or what have you, under the umbrella of public safety grants in the federal system. • If they were audited, they would have to demonstrate the real numbers of online employees that they had and how many open positions that they had, and it is in publication that they have an authorized strength of 101. They would have to go and do the additional positions over 101. They would not be able to tap into this grant program to subsidize any of the eight individuals he hopes to identify over the next four to seven weeks for either the fall or the March Academy classes. • They have four lieutenants on the force and are authorized 101 sworn officers. They have eight vacancies, which takes them back to 93 and four tired individuals all in various stages of either Academy or on boarding right now. • He did not think anybody was eligible for a competitive rank until, very least, their eighth year. • Regarding diversity, they have had active conversation over the last two - three months also regarding their efforts at recruiting, which is why they are trying to get farther out, also in reference to persons of colors and minority representation on the senior staff, while it was not a primary reason why they moved to make the third captaincy and backfill the Lieutenant and Sergeants positions behind that was to expand the opportunity for any number of the current officers that they have that represent minority communities at the rank of Master Corporal and Sergeant, which are on the threshold of making Lieutenant. It is a competitive process. He is trying to create a pathway where there is expanded opportunity to accelerate the process and getting more diverse representation at the higher ranks.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 13 • There is a myriad of factors that go into the selection of lieutenants and captains. That is not a testing process. That is a work performance and interview process and the buck stops with him. He is trying to create a pathway where there is expanded opportunity to accelerate the process that you described, getting more diverse representation at the higher ranks. I just have to do it in a way that I think I've alluded to before that has a legitimacy internally, as well as it does externally. • They have had less than three females on the force that have had a least eight years. • The deadline for accepting is the second Friday in August. They have already applied for an extension for that acceptance window with the federal government, which he believes was granted. With COVID, there have been issues related to municipal administrations and governments being able to actually have meetings to consider the issue, so it is not an unusual request apparently this time around for an extension. I believe we were granted that extension through the end of August. So I believe we're going to be able to wait until the next scheduled meeting if needs be to get to the point of approval, but it wasn't a time line I set. It's a federal standard. • He has more than eight finalists right now that are up to the point of the interview with the Chief in their selection process for the hiring cycle that we started back in April, May. We're advertising for that right now and we're searching for candidates for that for right now. • Without this grant, to achieve their goal with community policing that's going to probably require peeling resources away from other operational units to make sure that we have enough officers doing primary community policing work. • When looking at that dynamic of the ratio of officers to citizens, there are so many variables that makes up the sense of a community. Then the police department that is charged with supporting safety and law enforcement, it comes down to when they see a community that it might have half the number of officers per citizen working for them. • Right now Dover is in a really good position where they are probably making great decisions, as long as they have the resources to keep them going. They are able to investigate the kinds of things that concerned folks, particularly the quality of life stuff, where they are able to follow through and provide services, but in departments where there are fewer officers per citizen, they probably do not see as much of that. • Through casual conversations, probably below 10% of the police department lives within City limits.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 14 • He understands the value of being officers living in the community that does have a lot of upsides, the challenge typically is found in recruiting, usually not too difficult to get an officer on the younger side and who doesn't have a spouse to do a relocation and move into accept a position. • There is a small monetary incentive for living in Dover. Mr. Slavin stated he would not make a motion at this point and that he would simply have the item brought forward for the August 24, 2020 Regular Council meeting. He stated that they all kind of understood what the discussion was, and he was sure some of it will be repeated as they have more and better information, but he did not want to delay the process of bringing it forward to Council. Responding to Mr. Lindell, Mr. Slavin clarified that he was saying to bring it to Council without a recommendation. Mr. Slavin noted that they do not need a formal motion to not make a recommendation and that they can just close the Committee hearing and have it on the record. Mr. Lindell stated he had no issues bringing the discussion to an end to continue that at the next City Council meeting. During the Council meeting, Mr. Slavin advised that he had three primary concerns: the midyear budget request; the issue related to the Academy and being able to get new recruits certified and on the street; and a rising concern in the community that more is not necessarily better but new ways of policing the community are better. Mr. Slavin stated that Chief Johnson would like to place a much stronger emphasis on community policing. Mr. Slavin moved to approve the grant proposal for the five additional requested positions and direct that the funding and the positions are appropriated by Council to a budget unit within the police department which is dedicated to community policing. The motion was seconded by Mr. Neil. Mr. Lindell stated that he was confident with Chief Johnson's plan for initiating the community policing program and that he supported the motion to make it a specific item in the budget devoting the positions to community policing. He advised that he still had a concern about midyear budget items. Mr. Lindell moved to amend the motion to stated that all future items, after the budget is approved, must be brought back as a budget amendment. The motion was seconded by Mr. Slavin and unanimously carried. The motion to approve the grant proposal for the five additional requested positions and to direct that the funding and the positions are appropriated by Council to a budget unit within the police department which is dedicated to community policing and that all future items after the budget is approved must be brought back as a budget amendment was unanimously carried.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 15 Mr. Lindell request that a workshop be held in the near future devoted to Public Works to ensure that they are funding and staffing Public Works adequately. Proposed Ordinance #2020-10 - Chapter 34 - Elections Mr. Lindell reviewed the background information of proposed ordinance #2020-10 - Chapter 34 - Elections. Staff recommended adoption of Proposed Ordinance #2020-10. Mr. Neil moved to recommend adoption of Proposed Ordinance #2020-10, as recommended by Staff. The motion was seconded by Mr. Hare and unanimously carried. By consent agenda, Mr. Neil moved for approval of the Committee’s recommendation, seconded by Mr. Lindell and carried by a unanimous roll call vote. (The First Reading of the ordinance will take place during the latter part of the meeting.) Mr. Neil moved for adjournment of the Legislative, Finance, and Administration Committee meeting, seconded by Mr. Hare and unanimously carried. Meeting adjourned at 10:02 p.m. Mr. Neil moved for adjournment of the Council Committee of the Whole meeting. The motion was seconded by Mr. Anderson and unanimously carried. Meeting adjourned at 10:02 p.m. Mr. Slavin moved for acceptance of the Council Committee of the Whole Report, seconded by Mr. Anderson and unanimously carried. MONTHLY REPORTS - JULY 2020 By motion of Mr. Neil, seconded by Mr. Slavin, the following monthly reports were accepted by consent agenda: City Assessor's Report City Council’s Community Enhancement Fund Report City Manager's Report City Planner's Report Police Chief's Report

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 16 QUARTERLY REVIEW - CAPITAL INVESTMENT PLAN (CIP) (PRELIMINARY) (APRIL, MAY, AND JUNE) Members were provided the Quarterly Capital Investment Plan (CIP) of June 30, 2020. By consent agenda, Mr. Neil moved for acceptance of the Quarterly Capital Investment Plan Report as of June 30, 2020. The motion was seconded by Mr. Lindell and carried by a unanimous roll call vote. EVALUATION OF PROPOSALS - GARRISON OAK BUSINESS AND TECHNOLOGY PARK SUBSTATION DESIGN/ENGINEERING Mr. Paul Waddell, Interim Electric Director, reviewed the background and analysis for the project. Staff recommended awarding a contract to Aubrey Silvey Enterprises, Inc. as per the proposals submitted in response to RFP #20-0028EL. Mr. Neil moved for approval of Staff’s recommendation, seconded by Mr. Taylor and carried by a unanimous roll call vote. 2020 SPECIAL FIRST DISTRICT MUNICIPAL ELECTION RESULTS Mrs. Traci A. McDowell, City Clerk, reported the results of the 2020 Special First (1st) District Municipal Election held on August 18, 2020, as follows: FIRST (1ST) DISTRICT Candidate Votes % of District % of District Votes Voters William T. Garfinkel 303 45.43% 3.88% Gerald L. Rocha, Sr. 364 54.57% 4.66% TOTAL VOTES CAST 667 TOTAL REGISTERED VOTERS 7,812 % OF DISTRICT VOTERS 8.54% Mr. Lindell moved for approval of the Election Results as reported by the City Clerk. The motion was seconded by Mr. Neil and unanimously carried. 2020/21 ANNUAL COMMITTEE APPOINTMENT - RECOMMENDED BY MAYOR CHRISTIANSEN - DOVER PUBLIC LIBRARY ADVISORY COMMISSION - SCOTT W. COLE (COUNCIL LIAISON MEMBER) (DEFERRED DURING THE ANNUAL MEETING OF MAY 11, 2020) Mayor Christiansen requested the reappointment of Scott W. Cole to serve as the Council Liaison Member on the Dover Public Library Advisory Commission for a one-year term to expire May 2021.

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 17 By consent agenda, Mr. Neil moved for approval of the appointment, as recommended by Mayor Christiansen. The motion was seconded by Mr. Lindell and carried by a unanimous roll call vote. FIRST READING - PROPOSED ORDINANCE #2020-10 WITH STAFF AMENDMENT #1 (SA#1) Council President Hare reminded the public that copies of the proposed ordinance were available at the entrance of the Council Chambers, on the City's website at www.cityofdover.com under "Government," or by contacting the City Clerk's Office at 736-7008 or cityclerk@dover.de.us. Final action by Council on the proposed ordinance will take place during the Council Meeting of September 15, 2020. In accordance with Section 1-9 of the Dover Code, Council acknowledged the First Reading of the proposed Ordinance as read by the City Clerk, by title only, as follows: Proposed Ordinance #2020-10 with Staff Amendment #1 (SA #1) Amending Chapter 34 - Elections, Article II - Voter Registration, Section 34-31 - Requirements (Legislative, Finance, and Administration Committee) CITY MANAGER'S ANNOUNCEMENTS None. COUNCIL MEMBERS' ANNOUNCEMENTS Council President Hare wished Mayor Christiansen a happy birthday on September 4th. Members of Council congratulated Gerald Rocha, Sr. on his election to City Council and noted that they were looking forward to working with him. Mr. Anderson announced that he would be having a coffee with the community September 9, 2020 from 3:00 p.m. to 5:00 p.m. at The House of Coffi in Dover. He invited anyone with concerns or suggestions to meet with him. Mr. Neil moved for adjournment, seconded by Mr. Taylor and unanimously carried. Meeting adjourned at 8:42 p.m. TRACI A. McDOWELL CITY CLERK

CITY COUNCIL MEETING OF AUGUST 24, 2020 PAGE 18 All ordinances, resolutions, motions, and orders adopted by City Council during their Regular Meeting of August 24, 2020 are hereby approved. ROBIN R. CHRISTIANSEN MAYOR /TM S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Council-Minutes\2020\08-24-2020 REGULAR CITY COUNCIL MINUTES.wpd Exhibits Exhibit #1 - Governing Policy for Energy Commodity Risk Management

EXHIBIT #1 Regular Council Meeting of 08/24/2020 City of Dover, Delaware Governing Policy For Energy Commodity Risk Management Effective: August 24, 2020 Approved by: City of Dover Council (Last Revision September 9, 2019)

TABLE OF CONTENTS PURPOSE OF THE RISK MANAGEMENT POLICY ..................................................................4 A. Introduction ....................................................................................................................4 B. Scope of Policy ................................................................................................................4 C. Objectives and Risk Philosophy ...................................................................................5 D. Policy Administration....................................................................................................5 MANAGEMENT AND CONTROLS .............................................................................................6 A. Utility Committee of The City Council .......................................................................6 B. Executive Risk Management Committee ....................................................................6 1. City Manager ................................................................................................................. 8 2. Director of the Utility .................................................................................................... 8 3. Controller........................................................................................................................ 8 4. TEA Client Services Manager ...................................................................................... 9 DISCUSSION OF RISKS ...............................................................................................................9 MARKETING AND TRADING PRACTICES ............................................................................11 A. Standards of Conduct ..................................................................................................11 B. Products, Activities and Limitations .........................................................................11 C. Contract Documentation and Confirmations...........................................................12 D. Training..........................................................................................................................12 E. New Product Protocol .................................................................................................12 RISK LIMITS AND RISK MEASUREMENTS ...........................................................................13 A. Limits..............................................................................................................................13 1. Delegation Authority .................................................................................................. 13 2. Volume Limits ............................................................................................................. 13 3. Locational Limits ......................................................................................................... 13 B. Stress Testing and Back Testing .................................................................................13 C. Instances of Exceeding Risk Limits............................................................................14 CREDIT POLICY ..........................................................................................................................14 A. Measuring Credit Risk .................................................................................................14 B. Analysis and Extension of Credit Limits ..................................................................14 C. Instances of Exceeding Credit Limits ........................................................................15 REPORTING .................................................................................................................................15 A. Risk Reporting ..............................................................................................................15 B. Credit Reporting ...........................................................................................................17 C. Hedge Effectiveness Reporting ..................................................................................17 2

INFORMATION TECHNOLOGY SYSTEMS ............................................................................17 POLICY DISTRIBUTION AND COUNSEL ...............................................................................18 A. Distribution Outside The City ....................................................................................18 B. Designated Counsel .....................................................................................................18 APPENDIX A – Approved Products .............................................................................................19 APPENDIX B – Approved Counterparties and Threshold Tables ................................................20 APPENDIX C – Business Risks ....................................................................................................25 APPENDIX D – Glossary ..............................................................................................................26 APPENDIX E – Swap Transaction Representative .......................................................................28 3

PURPOSE OF THE RISK MANAGEMENT POLICY A. Introduction The City of Dover (“City”) and its customers are routinely exposed to energy price risk, volume variability risk, basis risk and credit risk – herein referred to collectively as energy commodity risk - in the normal conduct of serving its electric load requirements. Volatility of energy commodity prices and volumetric uncertainty (either supply/generation or load obligations) impose a substantial and direct risk to the City’s financial and operating performance. By authority of its charter, the City has responsibility for overseeing the City’s electricity operations, including the management of its cost of serving Dover’s customers. By agreement dated July 2, 2019 and approved by the City (the “Energy Management Agreement”), the City has engaged The Energy Authority, Inc. (“TEA”) to assist the City with Asset Management and Strategic Planning Services, Risk Management Services, and Energy Management Services. This Policy for Energy Commodity Risk Management (“Policy”) is established the explicit understanding that the City has retained and delegated responsibilities to TEA to provide Risk Management Services. Additionally, the City has issued this Policy for dealing with the philosophy, framework and delegation of responsibilities necessary to govern activities related to Dover’s energy commodity risk management. As set forth herein, the City has established an organizational structure, delegated responsibility and established internal controls and procedures to ensure that all transactional and oversight activities are conducted in compliance with this Policy and in accordance with the City’s normal reporting, legal, financing and regulatory requirements relating to energy assets and transactions. B. Scope of Policy This Policy covers all transactions entered into the by the City of Dover designed to meet the City’s electric load requirement and the management of risk related to these transactions. In the event of conflict between this Policy and the EMA, the Policy shall control. This Policy is separate and distinct from enterprise risk management policies and procedures addressing the City’s safe operation of its generating stations and energy infrastructure, insurance requirements, permit compliance, employee matters regulatory compliance with laws and regulations of the State of Delaware and Federal 4

Agencies such as EPA, FERC, NERC and CFTC or other potential risks to the City beyond the purchase and sale of fuel and electric power and its ancillary products. C. Objectives and Risk Philosophy The objectives of the Policy are to identify energy commodity price and credit risk exposures and give the City a framework for the quantification and management of these exposures. The Policy will identify the reports needed to convey how the identified risk exposures can potentially impact the City’s overall cost of providing electricity service to its customers and report on the risk management of the transactions associated with City’s electric load requirements. Under the Policy, risk management activities will be conducted consistent with the City’s overall objective of appropriate risk mitigation. There are several objectives of the Policy which, when taken and executed together, serve to manage the City’s energy commodity price exposures. Specifically, the Policy: • Establishes framework for developing credit limits for counterparties and quantifies and manages the credit exposures related to potential counterparty abrogation • Quantifies the impact of the above exposures on City’s financial results • Manages the impact of the above exposures in line with the City’s identified level of risk tolerance • Provides clear delineation of responsibilities and authority, outline a separation of duties, and ensure reporting of risk is timely and accurate. • Ensures that the impact of any action affecting the City’s position is consistently quantified, monitored and authorized. The City’s risk management activities will be conducted consistent with its overall objective of appropriate risk mitigation and never for purposes of speculation. D. Policy Administration This Policy has been approved by the Executive Risk Management Committee and The Utility Committee of the Dover City Council. The Utility Committee must approve modifications to the Policy with the exception of the appendix information which can be modified with the approval of the Executive Risk Management Committee. 5

MANAGEMENT AND CONTROLS This Policy articulates the management and organization of the City and TEA to serve as a control framework outlining delegation of duties and responsibilities. A. Utility Committee of The City Council The Utility Committee of The City Council (The Committee) has a responsibility to provide approval of this Policy. With this approval, The Committee also assumes additional duties. They will understand the risks the City is and could be exposed to due to their energy commodity risk management activities. In this role, the Committee will have a responsibility to also understand the City’s policies and procedures, internal controls and systems which are used to help manage the City’s energy commodity risks. The Committee will approve any amendments to the Policy or limits within. The Executive Risk Management Committee will update the Committee periodically regarding the Policy and its functions. It will be the Committee’s responsibility to: • Discuss guidelines and strategic policies that govern the process by which the Energy Risk Management Committee assesses and manages risks • Review and approve any recommended changes to the risk policy at least annually • Approve new members and alternates of the Executive Risk Management Committee • Acknowledge the risk inherent in transactions covered under this Policy B. Executive Risk Management Committee An Executive Risk Management Committee (“ERMC”) has been formed to provide executive management oversight for the City’s energy commodity risk management activities. The ERMC is charged with the creation, amendment and administration of this Policy, including acquiring any approvals required by the Utility Committee, and will ensure that all energy commodity risk management activities of the City are performed consistent with this Policy. The ERMC will meet at least monthly to review compliance and conduct its business as described in this Policy. The ERMC shall be comprised of the following voting members: The City Manager, The Director of Utility, The City’s Controller and TEA’s Client Service Manager. The City’s ERMC will make decisions following the process outlined in this Policy. TEA’s Client Services Manager may include representatives from other areas within TEA in the monthly ERMC meetings who will attend in person or by conference call as non-voting advisors. Other City employees and TEA staff may also be asked to attend 6

meetings from time-to-time, as the ERMC deems necessary. The responsibilities of the ERMC shall include: • Establish scope and frequency for management reporting to the Utility Committee. • No less than annually, review the City’s Energy Commodity Policies and Procedures for correctness and completeness. • Review and approve any new risk report or change to an existing risk report provided by TEA to monitor risks outlined in this Policy. • Understand and approve any models, methodologies, and assumptions used for measuring risks such as volume risk, process risk, counterparty risk and commodity risk. • Monitor the City’s risks and ensure they are within the limits and are being managed according to what is indicated within the City’s Policy and associated procedures • Understand the City’s risk management objectives and risk tolerances. • Review and approve the risk management and trading strategy programs and associated risk. Each program should be reviewed to ensure alignment with Policy objectives and compliance with risk limits within this Policy. • Periodically review any risk management program approved in light of recent market changes, and ensure continued compliance with its established guidelines • Review and approve new products, markets, trading counterparties and credit limits • Review all violations and exceptions to this Policy and report such to the Committee. • Approve the individuals or companies that engage in the City’s commodity transactions and are subject to the limits within this Policy. • Ensure that the individuals or companies authorized to transact on behalf of the City as well as manage its risks, are appropriately trained and qualified. • Ensure independence and segregation of duties between front, middle and back office at TEA. • Recommend changes to this Policy to the City’s Utility Committee for approval and ensure the Utility Committee understands the City’s overall compliance with this Policy and associated procedures. • The ERMC will meet at least monthly to review risks identified and reported on by the Policy, this meeting shall be chaired by The City Manager. Minutes of each meeting of the ERMC shall be recorded and reflect any decisions and follow-up action items to be performed. These minutes will be reviewed and approved by the members of the ERMC in a timely manner. 7

Each member of the ERMC has a unique role as defined below: 1. City Manager The City Manager is independent of all commercial functions and carries the responsibility of establishment and maintenance of risk management for the City. The City Manager will be a voting member of the ERMC and act as a chair of the ERMC. Other responsibilities include: • Ensure this Policy is maintained. • Oversee reviews of the City’s energy commodity risks, limits, risk measurement methodologies and models, and programs and recommend changes to the ERMC. • Ensure potential transactions and their impacts on the City’s risks and limits defined within this Policy. • Develop and monitor the implementation of the Policy, and oversee other risk management processes and procedures established by this Policy or otherwise by the ERMC. • The City Manager shall name an Alternate to be approved by the Committee. 2. Director of the Utility The Director of the Utility has oversight for all trading, hedging, pricing, structuring, and market and operational risk management activities associated with the City. The Director of the Utility will be a voting member of the ERMC. Other responsibilities include: • Review the effectiveness of transaction processing systems and procedures relating to risk measurement. • Recommend operational risk and business risk assessment guidelines. • The Director of the Utility shall nominate an alternate to be approved by the Committee. 3. Controller The Controller is independent of all commercial functions and carries the oversight responsibilities associated with the City’s accounting practices. The Controller will be a voting member on the ERMC. Other responsibilities include: • Perform financial accounting including accounting for hedging and derivatives activities. • Comply with tax rules and make appropriate tax elections. • Record realized and unrealized gains and losses. 8

• Reconcile general ledger, cash transactions and margin accounts. • Implement tax-hedge accounting policies and other regulatory tax requirements. • Develop and maintain documentation outlining standard procedures for conducting business. • Invoice counterparties and resolve billing disputes. • Perform daily/weekly/monthly transaction checkout with counterparties. • Develop and maintain documentation outlining standard procedures for conducting business. • The Controller shall nominate an alternate to be approved by the Committee. 4. TEA Client Services Manager The TEA Client Service Manager roles and responsibilities are defined Exhibit B of the EMA between the City and TEA. The TEA Client Service Manager will be a voting member on the ERMC and act as chair of the ERMC in the absence of the City Manager. Other responsibilities include: • Monitor risk reports between ERMC meetings. • Report to the Committee and the ERMC on the City’s adherence to all limits and functions within this policy. • Engage the ERMC in discussions regarding events or developments that could expose the company to potential losses. • Recommend to the ERMC specific risk limits consistent with the City’s risk management objectives, risk tolerance, and risk management policy. • Coordinate and distribute independent market fundamental analysis. • Provide advisory support and recommendations as specified in Article 5 of the EMA. • Update RMC on training of TEA employees. • TEA shall nominate an alternate to be approved by the Committee. Alternates may vote, but only in the absence of the voting member for whom they serve. A person may serve for an alternate for more than one official, but they can only cast one vote. A quorum for a meeting shall be any combination of three voting members and alternates. A simple majority of votes is necessary to approve any action of the ERMC, but at least two voting members must approve the action. Members and alternates may attend by electronic means and count as present for the purpose of quorum and for a majority for a decision. DISCUSSION OF RISKS This Policy covers the management of all material energy market risks faced by the City. A comprehensive list of risks that are or could be relevant to City is shown in Appendix C of the 9

Policy. Among the most critical of these risks are commodity risk, counterparty risk, process risk, volume risk, and budget risk. These risks are measured by the limit structure and controls outlined in the Policy. Commodity risk represents the potential adverse impacts to the value of the City’s portfolio due to changes in the market. Commodity risk encompasses volatility risk, forward price risk, basis risk, correlation risk and liquidity risk. Counterparty risk represents the potential losses the City could incur due to delivery risk and receivable risk. Delivery risk stems from a supplier or trading counterparty that is unable or unwilling to perform on its commitments including but not limited to delivery or receipt of commodities. Receivable Risk includes the City’s risk associated with a counterparty’s timeliness of payment for services rendered. Process risk represents the risks associated with process problems including, but not limited to, inaccurate data capture, untimely trade execution or settlement problems. Controls over process risks are embedded in the organizational structure of TEA through the design processes and operating procedures. Volume Risk represents the potential for unforeseen changes from projections of excess or shortfall of capacity or energy from the actual needs. When variances are large coupled with large costs to transact and adverse moves in market prices this risk could be realized. In management of this risk, the City must be aware of the fact that unexpected variations in volume are often highly correlated with price movements. Budget Risk represents the potential to deviate outside of tolerable bounds of the City’s budget. Deviations from budget can be caused by forecast error or unforeseeable adverse changes in market prices. Regulatory Risk arises from participation in regulated markets. With the Independent System Operator (ISO) implementation of Federal Energy Regulatory Commission (FERC) Order 741, the City faces increasing regulatory risk when participating in wholesale energy markets. The TEA Compliance department works in conjunction with the TEA Risk Control department to help the City manage regulatory risk. Regulatory risk is managed by: • Annual Compliance Training for all employees participating in regulated markets; • Integration of the appropriate compliance culture within the Trading department through ongoing interaction between Compliance and Trading; • An independent monitoring and exposure measurement on transactions that could trigger an increase in regulatory risk. 10

MARKETING AND TRADING PRACTICES A. Standards of Conduct Individuals authorized to transact for the City shall not misrepresent, conceal or withhold information regarding energy commodity trading and risk management transactions to any person responsible for the accurate recording and/or reporting of such transactions; participate in any such transaction or similar activity for the benefit of any party other than the City; or hold or be a beneficiary of any financial interest in any entity with which the employee is engaged in trading or other business activity (other than ownership of an interest in a mutual fund managed by another party). Further, no employee authorized to place or execute such transactions may engage in trading power or energy commodities derivative instruments for his or her personal account. B. Products, Activities and Limitations Pursuant to achieving the City’s core objectives for the purpose of energy commodity risk management, the following limitations shall apply. • Permissible instruments will be restricted to the products and instruments specified in Appendix A – Approved Products of the Policy; o All physical forward transactions shall be governed by the Edison Electrical Institutive (EEI), North American Energy Standards Board (NAESB), or similar agreements with counterparties approved by the City. o The City reserves the right to enter into financial hedge transactions to effectuate Policy objectives, but does not authorize TEA to enter into financial hedge transactions on its behalf. Any such financial transactions that the City may enter into shall be governed by ISDA agreements with counterparties as approved by the City. • The maturity for each permissible instrument will be restricted to the maturity limits specified in the risk limits section of the Policy. • Transaction volumes for each risk management transaction will be restricted to the amounts specified in the Risk Limits section of the Policy. • Risk management transactions will be outlined in the City of Dover Hedge Program which will be approved by the ERMC. Risk management transactions may include the following: o Hedging the forward price of purchased power for delivery to the City as needed to meet its electric load requirements. o Hedging the forward price of natural gas and fuels as needed to generate power to meet the City’s electric load requirements. 11

o Unwinding of hedges to accommodate changes in expected load requirements, or for economic reasons subject to explicit constraints set by the ERMC. C. Contract Documentation and Confirmations No over-the-counter transaction may be executed until an EEI, NAESB, or similar agreement has been authorized by the City, approved by the ERMC and fully executed by the parties. Written confirmations will be required from counterparties, as defined in the Master Service Agreement between the City and counterparty, within one business day or such longer time as required by the contract in question for all risk management transactions. Contemporaneous with any commitments and prior to receipt of written confirmations, verbal commitments shall be memorialized internally as to instrument structure, quantity, relevant time horizon, price and any other relevant terms; such internal documentation shall be time stamped and correlated to the ultimate written confirmation to or from the counterparty. Both the internal documentation as well as the written confirmation from the counterparty shall be provided to TEA’s Risk Control Group immediately upon receipt for verification. In the event that there is a material failure to provide timely documentation or confirmations, then at the City Manager’s sole discretion, the offending individual’s authorization may be suspended. Similarly, if the failure to provide timely documentation or confirmations is due to the failure of counterparty, then at the discretion of the City Manager, a moratorium may be imposed on transactions with that counterparty. In such cases, the City Manager shall notify the ERMC of the issues leading to the suspension or moratorium shall. Nothing herein shall inhibit the City Manager from bringing control issues to the TEA’s Client Services Manager prior to a decision on materiality or the imposition of a suspension of trading privileges or counterparty moratorium. D. Training The ERMC will ensure that all City employees and/or TEA Staff that will execute transactions on behalf of the City will have appropriate training in the markets in which the transactions occur. E. New Product Protocol 12

As required to manage the City’s energy commodity risk the ERMC shall approve new products provided the requirements of the New Product Approval Procedure are met. RISK LIMITS AND RISK MEASUREMENTS A. Limits The limit structure is designed to quantify the types of risk in the City’s energy commodity portfolio. The City will manage and report on its energy commodity market risk using Delegation of Authority Limit, a Volume Limit and a Locational Limit. 1. Delegation Authority The Utility Committee delegates authority to the Dover ERMC to approve the acquisition of electric energy, capacity and/or transmission according to the following limits for expenditures or terms. The ERMC may not delegate these authorities to individuals authorized to commit Dover to financial obligations. Position Maturity Limit Term Limit Notional Value Limit Dover ERMC 5 years 5 years 20,000,000 TEA 1 month 1 month 1,000,000 This limit structure is not intended for use when transacting day-ahead and real time in the PJM market. 2. Volume Limits For no reason should a transaction be executed that exceeds the City’s electric load requirements. If there is an adjustment to the City’s electric load requirements and the existing transactions greater than 100% of the adjusted electric load requirements the ERMC will review and approve the offsetting strategy deployed in sufficient proportion to mitigate the encroachment. 3. Locational Limits Non-Commodity Transactions must support the requirement of one of the City’s generation units, native load or transaction locations. B. Stress Testing and Back Testing 13

The City’s positions shall be periodically stress tested and models shall be back tested. The processes around these tests are outlined in the Stress Testing and Back Testing Procedure. C. Instances of Exceeding Risk Limits Should the City or TEA enter into a transaction that causes the portfolio to exceed any above mentioned limits the Director of the Utility shall, in addition to notifying the ERMC, also notify the Chair of The Committee as soon as practicable and shall provide periodic reports to the Chair on the status the transactions for as long as the City is exceeding its limits. The ERMC will review and determine whether any liquidation or offsetting of transactions is warranted. The incident will be documented as a Policy Exception by the Director of the Utility. CREDIT POLICY Credit Risk is the risk due to the uncertainty in a counterparty’s ability to meet its contractual obligations. The primary objective of this credit policy is to mitigate, to the extent commercially reasonable, the credit risks associated with transactions covered in this Policy while still allowing the City to achieve its objectives. A. Measuring Credit Risk The status of credit risk will be measured and reported through reports provided by TEA. The current credit exposure will be reported at the agreement level via a Counterparty Credit Report provided by TEA. This information will be made available in real time to TEA trading personnel so that it can be checked prior to executing transactions for the City. Those responsible for risk oversight at the City and TEA will have access to this information no less frequently than once per day. The ERMC will monitor overall credit utilization and any credit exceptions at least monthly. When measuring the current credit risk, netting will be applied to the exposure if the City’s contract with a counterparty includes provisions for netting. B. Analysis and Extension of Credit Limits Physical and financial commodity transactions will be executed with counterparties approved by the ERMC with credit available to support the transactions. The creditworthiness of a counterparty will be determined by both qualitative and quantitative factors. Factors shall include, but not limited to: • A company’s debt credit ratings provided by the rating agencies. 14

• Financial data such as an analysis of the income statement, balance sheet, and cash flow, as well as liquidity and capital structure. • Subjective factors such as company’s fuel diversity, overall size, risk management policy and internal controls, geographic diversity, and market intelligence. A credit limit is the amount of unsecured credit granted to a counterparty. Unsecured credit exposure includes amounts owed by the counterparty, whether billed or not, and the mark-to-market differences in value of any collateral which the counterparty has provided the City. Any net exposure above the collateral threshold will require the posting of collateral by a counterparty. Further information on the City’s procedure for establishing credit is contained in the Counterparty & Credit Review Process. Collateral thresholds, term limitations and credit exposure limits will be subject to the maximums indicated in Appendix B, based upon the lower of the S&P and Moody’s credit ratings. At no time will the City incur a credit exposure with any counterparty greater than $60,000,000. C. Instances of Exceeding Credit Limits The City and TEA are restricted by the credit limits approved by the ERMC. The ERMC can suspend trading with a counterparty, if that counterparty’s credit limit has been reached or exceeded. The City or TEA traders shall not exceed the Counterparty Credit Limit by executing transactions with any counterparty without approval of the ERMC. The ERMC will determine when it’s appropriate to require additional collateral if a counterparty’s credit exposure exceeds its credit limit. Collateral includes standing letter of credit, cash, and prepayments. All credit exceptions will be documented and reported to the ERMC and the Committee as Policy Exceptions. REPORTING A. Risk Reporting Preparation of timely reports is critical to monitoring risk. TEA will furnish the required reports on a regular frequency for the City in a format acceptable to the ERMC. In addition, the ERMC and its designees will be provided access to the City’s risk reports as updated daily via TEA’s secure Web Portal. 15

Reports required on a monthly basis and for periodic meetings of the ERMC include the following: • Profit and Loss Report The Profit and Loss (P&L) Report shows the daily realization of transactions at either the transaction price or the market price as transaction roll from unrealized to realized. This report should show volumes, transaction prices and market prices of realized physical and financial power and fuel transactions. • Mark to Market Report The Mark to Market (“MTM”) Report conveys the potential transaction exposure, of all existing forward transactions executed, if the energy commodity portfolio was liquidated at the most recent market settlement prices. This report should show volumes, transaction prices and market prices of unrealized physical and financial power and fuel transactions. • Daily Activity Report The Activity Report presents a summary of the day’s trades executed in the bilateral energy market. • Cost of Service Report The City’s exposure to energy price risk shall be monitored and reported on a Cost-of- Service basis. All calculations are at the wholesale level. The Cost-of-Service recognizes all prior (expired) months within the Power Year on the basis of actual (incurred) costs, and recognizes all forward (pending) months within the Power Year on the basis of expected forward power and fuel prices and expected forward load-following risks. As defined below, the Cost-of-Service is an aggregation of Forward Energy Commodity Portfolio Cost, the Load Following Cost Expectation and the City’s Budget Target for Purchase Power Expense. o The Net Purchased Power Cost shows the net cost of all physical and financial transactions related to the City’s anticipated commodity requirements for power and fuel and is based on the price of all hedge transactions plus the forward market price of all unhedged transactions valued at current forward prices for energy commodities, customer-level cost per MWH of all physical and financial transactions related to Dover’s actual plus anticipated energy. o The expected fixed costs defined as load-serving entity (LSE) capacity costs, transmission costs and TEA management fees. o The Expected Load-Following Cost for a specified power year is defined as the expected cost (or revenue) associated with intra-month load variations due to weather or other events affecting demand. TEA has completed a historical analysis to measures the effective monthly average unit cost paid for Dover’s PJM Wholesale Load Responsibility (WLR) was calculated for each month since July 16

2013. From this analysis, TEA recommends using the post-Garrison results as a proxy for future estimates of the WLR and as an estimate of the Load Following Cost to be used for estimating the City’s Forward Cost-of-Service Report. The ERMC will update the Expected Load Following estimate while lack of necessary market information persists no less than annually. o For the historical payment analysis, an effective monthly average unit cost paid for Dover’s PJM Wholesale Load Responsibility (WLR) was calculated for each month since July 2013. This effective unit cost was constructed using Dover’s monthly PJM load payment (Dover Budget line item: PJM – Energy, Congestion & Losses), adding back the West Hub hedging credits, and dividing by the WLR. The values pre-Garrison-online and post- Garrison-online were compared with both straight and WLR-weighted averages. This effective LMP therefore includes the effects of intra-month load variations, contributions of both the DALMP and RTLMP, and the additional PJM charge types reflected in the monthly Dover Budget line item: PJM – Energy, Congestion & Losses. Pre-Garrison (July 2013 – May 2015) weighted average monthly load costs were $3.02, while the average post-Garrison cost (Jun 2015 – Apr 2018) has been $2.60. o o The Budget Target for Purchase Power Expense represents the City’s view of expected purchase power expense. B. Credit Reporting • Counterparty Credit Report The Counterparty Credit Report conveys the exposure to all counterparties with which the City has credit exposure resulting from its energy commodity risk management activities. • CFTC Reporting The City understands that transacting over the counter (OTC) swaps carries an additional Commodity Futures Trading Commission (CFTC) reporting function. Once required by the CFTC, the City will report on how the City generally meets its financial obligations associated with entering into non-cleared swaps in a manner acceptable to the CFTC. C. Hedge Effectiveness Reporting If the City’s transactions require a hedge effectiveness test, those testing results will be reported to the ERMC no later than one month after the end of the financial reporting period. The report will include a summary of testing methodology, assumptions of the testing and the outcome of results with a pass or fail by transaction. INFORMATION TECHNOLOGY SYSTEMS 17

Since information systems play a vital role in The City’s trading abilities, the City shall ensure that the information systems and technology used to store all transaction information is maintained and secure. The City’s transactions will be stored in TEA’s enterprise trading and risk management system. TEA uses the TriplePoint Commodity XL (CXL) system, integrated with Commodity XL for Credit Risk (Credit Risk). TEA has assigned a Database Administrator (DBA) that is charged with the database security and maintenance for the transaction database, CXL. The following safeguards for data security and backup will be installed: • Transaction data stored in the system of record will be replicated daily to ensure data redundancy; • The CXL database will be backed up at least daily after the close of business. POLICY DISTRIBUTION AND COUNSEL A. Distribution Outside The City The City’s Policy is restricted to the use of the City and TEA organizations. It shall not be distributed outside these organizations without the consent the ERMC. B. Designated Counsel Questions about the interpretation of any matters of this Policy should be referred to ERMC. The ERMC will provide clarification and explanation on any updates to this Policy. All legal matters stemming from this Policy will be referred to the City’s Legal Counsel. 18

APPENDIX A – Approved Products The following shall constitute a list of approved products to be utilized by TEA to manage the City’s energy commodity portfolio: • Physical Power • Physical Natural Gas • Physical Residual Fuel Oil (#2) • Capacity • Financial Power • Financial Options • PJM Demand Bids and Generation Offers • PJM InSchedules • PJM Transmission Products o Financial Transmission Rights o Annual Auction Revenue Rights • PJM Tier 2 Synchronized Reserves The above instruments can be executed by TEA on behalf of the City of Dover for the current and next two successive Power Years (July to June). 19

APPENDIX B – Approved Counterparties and Threshold Tables This Appendix establishes approved counterparties and their Collateral thresholds. Collateral thresholds, term limitations and credit exposure limits that are subject to the following maximums based upon the lower of the S&P and Moody’s credit ratings: Credit Thresholds from Dover Extended to the Counterparty Exelon Generation Company, LLC Threshold S&P Moody's $ 60,000,000 AAA Aaa $ 50,000,000 A- to AA+ A3 to Aa1 $ 40,000,000 BBB+ Baa1 $ 30,000,000 BBB Baa2 $ 20,000,000 BBB- Baa3 $ - Below BBB- Below Baa3 AEP Energy Partners, Inc. Threshold S&P Moody's $ 10,000,000 BBB- and Above Baa3 and Above $ - Below BBB- Below Baa3 BP Energy Company Threshold S&P Moody's $ 60,000,000 AA- to AAA Aa3 to Aaa $ 45,000,000 A+ A1 $ 30,000,000 A A2 $ 15,000,000 BBB to A- Baa2 to A3 $ - Below BBB Below Baa2 Calpine Energy Services, L.P. Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 15,000,000 AA- to AA+ Aa3 to Aa1 $ 10,000,000 A- to A+ A3 to A1 $ 5,000,000 BBB+ Baa1 $ 3,000,000 BBB- to BBB Baa3 to Baa2 $ - Below BBB- Below Baa3 20

EDF Trading North America, LLC Threshold S&P Moody's $ 18,000,000 Fixed Fixed PSEG Energy Resources & Trade, LLC Threshold S&P Moody's $ 20,000,000 BBB- and Above Baa3 and Above $ - Below BBB- Below Baa3 Sequent Energy Management, L.P. Threshold S&P Moody's $ 5,000,000 Fixed Fixed Conectiv Threshold S&P Moody's Unspecified * Above BBB+ Above Baa3 $ - Below BBB- Below Baa3 * Conectiv does not have a defined credit threshold, so for planning purposes, a $10,000,000 threshold is imposed as a conservative limit Macquarie Energy, LLC Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ Aa3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below Morgan Stanley Capital Group Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ Aa3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below 21

NextEra Energy Marketing, LLC Threshold S&P Moody's $ 30,000,000 AAA Aaa $ 25,000,000 AA- to AA+ Aa3 to Aa1 $ 20,000,000 A- to A+ A3 to A1 $ 15,000,000 BBB+ Baa1 $ 10,000,000 BBB Baa2 $ - BBB- or below Baa3 or below Deutsche Bank Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ Aa3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below Barclays Bank Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ Aa3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below Credit Thresholds from the Counterparty Extended to Dover AEP Energy Partners, Inc. Threshold S&P Moody's $ 10,000,000 BBB- and Above Baa3 and Above $ - Below BBB- Below Baa3 BP Energy Company Threshold S&P Moody's $ 30,000,000 AA to AAA Aa2 to Aaa $ 25,000,000 AA- Aa3 $ 20,000,000 A+ A1 $ 15,000,000 A A2 $ 5,000,000 BBB to A- Baa2 to A3 $ - Below BBB- Below Baa3 22

Calpine Energy Services, L.P. Threshold S&P Moody's $ 10,000,000 AA- to AAA Aa3 to Aaa $ 7,500,000 A- to A+ A3 to A1 $ 5,000,000 BBB+ Baa1 $ 3,000,000 BBB- to BBB Baa3 to Baa2 $ - Below BBB- Below Baa3 Exelon Generation Company, LLC Threshold Fitch Moody's $ 60,000,000 AAA Aaa $ 50,000,000 A- to AA+ A3 to Aa1 $ 40,000,000 BBB+ Baa1 $ 30,000,000 BBB Baa2 $ 20,000,000 BBB- Baa3 $ - Below BBB- Below Baa3 Conectiv Threshold Fitch Moody's Unspecified * Above BBB+ Above Baa3 $ - Below BBB- Below Baa3 *Conectiv does not have a defined credit threshold, so for planning purposes, a $10,000,000 threshold is imposed as a conservative limit PSEG Energy Resources & Trade, LLC Threshold S&P Moody's $ 12,000,000 * Fixed Fixed *Threshold is $12,000,000 as long as Dover maintains a Debt Service Coverage greater than 1.25% and Total Net Assets of at least $50,000,000 and Total Net Assets do not decline by more than 25% on a fiscal year end basis. Morgan Stanley Capital Group Threshold S&P Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ Aa3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below 23

Macquarie Energy, LLC Threshold Fitch Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ AA3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below NextEra Energy Marketing, LLC Threshold Fitch Moody's $ 23,000,000 AAA Aaa $ 18,000,000 AA- to AA+ AA3 to Aa1 $ 13,000,000 A- to A+ A3 to A1 $ 8,000,000 BBB+ Baa1 $ 3,000,000 BBB Baa2 $ - BBB- or below Baa3 or below EDF Trading North America, LLC Threshold S&P Moody's $ 18,000,000 Fixed Fixed Deutsche Bank Threshold Fitch Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ AA3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below Barclays Bank Threshold Fitch Moody's $ 25,000,000 AAA Aaa $ 20,000,000 AA- to AA+ AA3 to Aa1 $ 15,000,000 A- to A+ A3 to A1 $ 10,000,000 BBB+ Baa1 $ 5,000,000 BBB Baa2 $ - BBB- or below Baa3 or below 24

APPENDIX C – Business Risks Business Risks Topology Commodity Counterparty Process Volume Budget Regulatory Risk Risk Risk Risk Risk Risk Market Receivables Load Market Price Risk Deadline CFTC Risk Uncertainty Uncertainty Risk Performance Reporting Load Volume Risk Supply Risk FERC Risk Risk Uncertainty M2M/Forward Generation Forecast RTO Curve Risk Uncertainty Error Liquidity Risk Basis Risk 25

APPENDIX D – Glossary Back Office – That part of a trading organization which handles transaction accounting, confirmations, management reporting, and working capital management. Bilateral Transaction - Any physical or financial transaction between two counterparties, neither of whom is an Exchange or market entity (e.g. MISO). Capacity – The real power output rating of a generator or system, typically in megawatts, measured on an instantaneous basis. Commodity - A basic good used in commerce that is interchangeable with other commodities of the same type. Commodities are most often used as inputs in the production of other goods or services. The quality of a given commodity may differ slightly, but it is essentially uniform across producers. When they are traded on an exchange, commodities must also meet specified minimum standards, also known as a basis grade. Financial Bilateral Transaction – A Bilateral Transaction that is non-physical and is defined by a Source Point, Sink Point, and Delivery Point that may be any CP Nodes as specified by the Midwest ISO. Financial Forward – An agreement regarding a position in a specified commodity, a specified price, and a specified future settlement date, that does not result in physical delivery of the commodity. Rather one party in the agreement makes a payment to the other party on the basis of the commodity price at the future date. Front Office – That part of a trading organization which solicits customer business, services existing customers, executes trades and ensures the physical delivery of commodities. Hedging Transaction - A transaction designed to reduce the exposure of a specific outstanding position or portfolio; “fully hedged” equates to complete elimination of the targeted risk and “partially hedged” implies a risk reduction of less than 100%. Mark-to-Market Value – A measure of the current value of unrealized positions; includes both Open Positions and Closed Positions. Middle Office – That part of a trading organization that measures and reports on market risks, develops risk management policies and monitors compliance with those policies, manages contract administration and credit, and keeps management and the Board informed on risk management issues. 26

Policy – Dover’s Governing Policy for Energy Commodity Risk, as amended and approved by The Utility Committee. Portfolio – A collection of transactions. Realized Gains/(Losses) – The amount earned (or lost) from a transaction, considered to be realized once the time for performance has lapsed (e.g. delivery of power in the case of physical transactions or expiration of an option in the case of financial transactions). Term – The total duration of a contract, defined as the number of days between the beginning flow date and ending flow date, inclusive. Unrealized Gains/ (Losses) – The amount expected to earn (lose) on a specific transaction(s); however, the time for performance has not lapsed. The total value of Unrealized Gains/ (Losses) is the Mark-to-Market value. 27

APPENDIX E – Swap Transaction Representative Purpose: To ensure that the City of Dover, a Special Entity under the Dodd-Frank Financial Reform Act, selects a qualified representative (“Representative”) to provide advice and guidance when entering into swap transactions with Swap Dealers or Major Swap Participants. Definitions: Special Entity: As defined in 7 U.S.C. 6s(h)(2)(C) and further interpreted in 17 C.F.R. 23.401(c). The City of Dover is a Special Entity as defined by 17 C.F.R. 23.401(c)(2). Swap Dealer: As defined in 7 U.S.C. 1a(49) and further interpreted in 17 C.F.R. 1.3(ggg) Major Swap Participant: As defined in 7 U.S.C. 1a(33) and further interpreted in 17 C.F.R. 1.3(hhh) Representative: As defined in this policy and 17 C.F.R. 23.450 Policy: Selection: The City of Dover shall endeavor to seek and employ an individual or entity that will voluntarily act as a Representative for all energy commodity swap transactions between XXXX and any Swap Dealer or Major Swap Participant. The Representative must meet the following qualifications identified in 17 C.F.R. 23.450(b): (i) Has sufficient knowledge to evaluate the transaction and risks; (ii) Is not subject to a statutory disqualification; (iii) Is independent of the swap dealer or major swap participant; (iv) Undertakes a duty to act in the best interests of the Special Entity it represents; (v) Makes appropriate and timely disclosures to the Special Entity; (vi) Evaluates, consistent with any guidelines provided by the Special Entity, fair pricing and the appropriateness of the swap; and (vii) In the case of a Special Entity as defined in § 23.401(c)(2) or (4), is subject to restrictions on certain political contributions imposed by the Commission, the Securities and Exchange Commission, or a self-regulatory organization subject to the jurisdiction of the Commission or the Securities and Exchange Commission; provided however, that this paragraph (b)(1)(vii) of this section shall not apply if the representative is an employee of the Special Entity. The Representative and the City of Dover shall enter into a legal agreement that binds the Representative to comply with items (i) through (vii) in this policy. At no longer than any 12-month interval, the City of Dover shall review the performance of the Representative to ensure compliance with items (i) through (vii) in this policy. 28

Monthly Report July 2020 Office of City Assessor

ASSESSOR’S REPORT Number of Deeds Stamped for Transfer Tax Dollar Amount for the Month of Jan 2019/2020 the Month of Jan. 2019/2020 35 $84$89 35 29 $100 26 25 Thousands 30 24 25 21 $44 20 $50 $36 $39 15 $0 $0 10 1 0 0 1 2020 $0 2020 5 $0 0 2019 2019 First Time Buyer for the Month Jan. 2019/2020 Realty Property of Jan. 2019/2020 Sales in Dollars Received Prior to Recording 40 35 29 $6 $6 $6 26 $5 30 25 $6 Res. Non‐First Millions $4 $3 Time Buyers 20 2020 $2 $0 $0 $0 Res. First Time $0 10 Buyers 2019 0 2020 2019 Major Updates May ‐ 20 June ‐ 20 July ‐ 20 $297,271,900 Assessment Change ‐$1,638,200 $0 (Increase due to Revaluation) Residential Sales Ratio Report Sales in Study Total Assessed Total Sale Price Ratio PRD Value 39 $7,580,800 $8,843,018 0.86 1.01 1

ASSESSOR’S REPORT Ratio – Assessed Value divided by Sale Price. PRD – Mean – A PRD above 1.03 tends to indicate assessment regressivity – high valued properties are under appraised relative to low valued properties. A PRD below .98 tends to indicate assessment progressivity – high valued properties are relatively over appraised. Points of Interest Scanning & Filing ‐ All new deeds are being scanned and attached to the CAMA software for easy retrieval. ‐ All appeal documents and correspondence are being scanned and attached to the CAMA software for easy retrieval. ‐ All old property record cards are being scanned and indexed into DocuWare. Assessor’s Office ‐ FY 2020/2021 Tax Bills were generated, printed, sorted and mailed. 2

AUG 12, 2020 CITY OF DOVER PAGE: 1 09:43 AM SALES RATIO REPORT CA324 PARID NBHD LUC ADDRESS UNITS STYLE YRBLT STORIES SFLA GRADE CDU TOTAL APPR SALE DT PRICE ASR ED05-057.17-01-48.00 18 R10 14 GRISTMILL PL 1 8 1990 2 1763 C+ AV 164,000 13-JUL-20 179,900 .91 ED05-067.00-03-07.00- 6 R50 13 SESKINORE CT 0 20 2020 2 2440 B- AV 217,200 22-JUL-20 210,000 1.03

AUG 12, 2020 CITY OF DOVER PAGE: 2 09:43 AM SALES RATIO REPORT CA324 PARID NBHD LUC ADDRESS UNITS STYLE YRBLT STORIES SFLA GRADE CDU TOTAL APPR SALE DT PRICE ASR 013 ED05-067.01-01-75.00 18 R10 231 TOPAZ CIR 1 5 2006 2 2485 B AV 245,900 15-JUL-20 302,000 .81 ED05-067.12-04-28.00 8 R10 26 REPRESENTATIVE LN 1 13 2015 3 2288 B- AV 198,300 22-JUL-20 245,000 .81 ED05-067.13-02-14.00 3 R10 162 CARNOUSTIE RD 1 6 1973 1 3151 C+ AV 251,400 23-JUL-20 324,000 .78 ED05-067.14-01-44.00 3 R10 82 BALTUSROL RD 1 5 1973 2 1924 C+ AV 199,800 22-JUL-20 242,000 .83 ED05-067.14-03-49.00 2 R10 54 HITCHING POST DR 1 5 1975 2 1878 C AV 190,100 10-JUL-20 208,000 .91 ED05-067.15-02-14.00 2 R10 132 N ANN AVE 1 14 1960 1 700 C- AV 90,500 17-JUL-20 149,900 .60 ED05-067.16-01-36.00 10 R10 725 N WEST ST 1 5 1963 2 1464 C+ VG 182,700 09-JUL-20 200,000 .91 ED05-067.16-01-75.00 10 R10 622 FAIRVIEW AVE 1 5 1963 2 1776 C+ AV 196,500 31-JUL-20 230,000 .85 ED05-067.17-02-42.00 3 R10 116 BURNING TREE RD 1 5 1990 2 2330 B+ AV 241,600 15-JUL-20 340,000 .71 ED05-067.19-03-08.00 17 R10 715 BICENTENNIAL BLVD 1 5 1987 2 2218 B- AV 206,800 07-JUL-20 210,000 .98 ED05-067.19-03-15.00 17 R10 729 BICENTENNIAL BLVD 1 3 1987 1 2027 B GD 230,700 01-JUL-20 255,000 .90 ED05-067.19-04-38.00 17 R10 34 ARLBERG CIR 1 5 2002 2 1916 B+ AV 225,900 17-JUL-20 269,900 .84 ED05-067.20-01-32.00 10 R10 626 COLUMBIA AVE 1 14 1957 1 1008 C GD 139,400 29-JUL-20 150,000 .93 ED05-067.20-02-63.00 8 R10 501 N BRADFORD ST 1 1 1912 2 2030 B- AV 177,000 02-JUL-20 230,000 .77 ED05-068.09-01-60.00 8 R10 662 VISTA AVE 1 8 2006 2 2150 B- AV 204,100 01-JUL-20 231,000 .88 ED05-068.14-03-34.00 13 R10 210 MACARTHUR DR 1 14 1964 1 1130 C GD 168,500 23-JUL-20 192,000 .88 ED05-068.14-05-86.00- 101 R50 1001 WHITE OAK RD 1 20 1973 1 824 C- AV 46,700 21-JUL-20 48,000 .97

CITY COUNCIL - FY 20/21 Page 1 of 2 CITY COUNCIL COMMUNITY ENHANCEMENT FUND JULY 1, 2020 - SEPTEMBER 10, 2020 100-10-12-99-000-53037 Current Balance - $22,750.00 COMMUNITY ENHANCEMENT FUND - $2,500 FOR EACH COUNCIL MEMBER PER DISTRICT AND $5,000 FOR THE AT-LARGE COUNCIL MEMBER. THE PURPOSE OF THE BUDGETED AMOUNT $25,000.00 FUND IS TO ALLOW MEMBERS TO CONTRIBUTE FUNDS TO A SMALL PROJECT OR COMMUNITY NEEDS IN EACH DISTRICT. TOTAL $25,000.00 COUNCIL P.O. #/ TOTAL YEAR TO DATE SPONSOR VENDOR DESCRIPTION INVOICE # CHARGES DATE BALANCE 07/01/20 Anderson P.R.I.D.E Councilman Anderson authorized the Email from $250.00 $250.00 $24,750.00 designation of $250.00 of his community David enhancement funds to the House Of Pride for Anderson installation of a handicap ramp dated 06/30/2020 and letter from Marion Lott, P.R.I.D.E, dated 06/30/2020 07/01/20 Anderson Inner City Cultural Councilman Anderson authorized the Email from $1,000.00 $1,250.00 $23,750.00 League designation of $1000.00 of his community David enhancement funds to the Inner City Cultural Anderson League for their performance arts program dated 06/30/2020 and letter from Katrina Stroud, ICCL, dated 06/30/2020 08/12/20 Anderson Team Rubicon Councilman Anderson authorized the Email from $350.00 $1,600.00 $23,400.00 designation of $350.00 of his community David enhancement funds to Team Rubicon for Anderson Emergency Management Meal dated 08/12/2020 09/10/20 S:\BUDGETS\Coun-21 .qpw

CITY COUNCIL - FY 20/21 Page 2 of 2 08/21/20 Anderson Demco Inc. Councilman Anderson authorized the Email from $150.00 $1,750.00 $23,250.00 designation of $150.00 of his community David enhancement funds to Demco Inc. for back to Anderson school supplies dated 08/19/2020 and letter from Desiree Wilson, Demco, dated 08/17/2020 08/21/20 Cole Team Rubicon Councilman Cole authorized the designation of Email from $500.00 $2,250.00 $22,750.00 $500.00 of his community enhancement funds Scott Cole to Team Rubicon for Emergency dated Management Meal 08/21/2020 $2,250.00 $22,750.00 $2,250.00 $22,750.00 $2,250.00 $22,750.00 $2,250.00 $22,750.00 Budgeted District Council Sponsor YTD Expenditures Balance Amount $5,000.00 At-Large Slavin $0.00 $5,000.00 $2,500.00 1st District Lindell $0.00 $2,500.00 $2,500.00 1st District Vacant $0.00 $2,500.00 $2,500.00 2nd District Hare $0.00 $2,500.00 $2,500.00 2nd District Taylor $0.00 $2,500.00 $2,500.00 3rd District Cole $500.00 $2,000.00 $2,500.00 3rd District Neil $0.00 $2,500.00 $2,500.00 4th District Anderson $1,750.00 $750.00 $2,500.00 4th District Sudler $0.00 $2,500.00 TOTAL $2,250.00 $22,750.00 09/10/20 S:\BUDGETS\Coun-21 .qpw

CITY MANAGER’S MONTHLY REPORT JULY 2020

Blank Page

Average Disconnects Note- Due to COVID-19 accounts were not disconnected beginning March 16th. This affects disconnects through June 30th. 4947 4438 5146 3428 2720 3026 2518 3327 19 8 0 0 0 0 0 0 3633 Average Accounts Cut Per Day Average Accounts Available to Cut Per Day

Work Orders Processed 2,000 1,500 1,000 500 0 Jul- Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- 19 19 19 19 19 19 20 20 20 20 20 Series1 1,736 1,930 1,535 1,831 1,394 1,282 1493 1,327 1,235 1,204 1,167 Payment Agreements / Extensions 800 700 600 500 400 300 200 100 0 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20May-20 Series1 507 631 597 449 341 481 685 524 325 149 177 CUSTOMER UTILITY PAYMENT USAGE 80,000 60,000 40,000 20,000 0 Drive-Thru Over the Mail, Drop Credit Cards Bank Drafts Window Counter Box 2021 YTD 1,786 1,691 17,853 344 1,994 2020 YTD 2,025 4,963 27,092 358 2,048

ELECTRIC DEPARTMENT Electric Divisions System Peak Total System Load Number of New Month outages customers Oct 18 61,417 Services Oct 18 134.70 Nov 18 57,164 June 18 9 315 June 18 18 Nov 18 102.85 Dec 18 60,284 July 18 3 972 July 18 34 Dec 18 102.40 Aug 18 4 87 Aug 18 81 Jan 19 117.57 Jan 19 65,342 Sep 18 5 1,331 Sep 18 43 Feb 19 111.72 Feb 19 57,306 Oct 18 4 123 Oct 18 47 Mar 19 59,310 Nov 18 6 46 Nov 18 69 Mar 19 106.88 Dec 18 5 5 Dec 18 11 Apr 19 91.74 Apr 19 52,734 Jan 19 1 1 Jan 19 29 May 19 138.05 May 19 60,603 Feb 19 1 3 Feb 19 23 Jun 19 146.50 Jun 19 68,769 Mar 19 0 0 Mar 19 22 Jul 19 83,229 Apr 19 5 277 Apr 19 77 Jul 19 164.38 May 19 3 148 May 19 18 Aug 19 163.55 Aug 19 78,519 Jun 19 11 418 Jun 19 23 Sep 19 150.74 Sep 19 67,274 Jul 19 15 4,066 Jul 19 8 Oct 19 57,886 Aug 19 9 335 Aug 19 16 Oct 19 150.16 Sep 19 5 225 Sep 19 15 Nov 19 98.35 Nov 19 55,732 Oct 19 7 386 Oct 19 15 Dec 19 104.57 Dec 19 60,552 Nov 19 7 61 Nov 19 14 Jan 20 103.57 Jan 20 60,649 Dec 19 2 1,325 Dec 19 4 Feb 20 54,412 Jan 20 4 78 Jan 20 15 Feb 20 98.58 Feb 20 4 2,120 Feb 20 16 Mar 20 92.30 Mar 20 54,764 Mar 20 3 1,518 Mar 20 24 Apr 20 82.01 Apr 20 49,236 Apr 20 3 76 Apr 20 6 May 20 114.40 May 20 52,403 May 20 3 181 May 20 2 Jun 20 66,905 Jun 20 11 2,828 Jun 20 19 Jun 20 143.64 Jul 20 19 536 Jul 20 10 Jul 20 155.89 Jul 20 82,800 Electric Monthly Outage Report The annual outage goal will be less than 295 minutes per customer, which is a Delaware Standard. This will be measured by calculating the System Average Interruption Duration Index. FY 21 YTD FY 20 FY 19 37.56 36.95 50.31 Outages Average Response Time Goal is less than 30 minutes Month Year-to-date Month Year-to-date 19 19 37.43 Minutes 37.43 Minutes PROGRAM UPDATES JUL 20 JUL 19 FY21 YTD Tree Trimming 136 184 136 Number of Oil Releases 1 0 1 Lost Time Accidents – All Electric Utility Divisions 0 0 0 New Services 10 8 10

Fleet & Facilities Management Monthly Report JULY 2020 Fleet Maintenance PM Work Orders Completed: 50 Number of Tire Repairs: 19 Number of Road Repairs: 6 Other Work Orders: 79 Repair Hours: 268.5 Road Repair Hours: 8 Total Work Orders: 129 Fabrication Hours: 1 Misc. Hours: -115 PM Hours: 124 # Of Scheduled PM’s: 30 # Of PM’s: Completed: 50 Major Program Updates JULY JULY MEASURE 2020 2019 DIFFERENCE Fleet Maintenance - Scheduled PM 50 out of 30 36 out of 30 appointments vs completed PM’s 46.67 % 166.67 % 120.00 % (Quantity and Percentage) Facilities Maintenance Facilities - Routine work orders 16 out of 21 22 out of 25 completed within 5 days -11.81 % 76.19 % 88.00 % (Quantity and Percentage) Facilities - Emergency work orders 11 out of 12 2 out of 2 completed within 2 days -8.33 % 91.67 % 100.00 % (Quantity and Percentage)

HUMAN RESOURCES July 2020 July Aug Sept Oct Nov Dec Jan Feb Mar April May June July Total Category 19 19 19 19 19 19 20 20 20 20 20 20 20 Caucasian* 297 297 299 294 293 293 297 303 308 303 299 296 300 n/a Minorities* 77 75 78 77 77 78 78 77 77 76 75 78 78 n/a Hired 1 2 8 3 1 4 7 11 7 0 0 5 7 56 Terminated/Resigned/ 2 3 4 7 2 2 5 6 3 5 5 2 3 49 Retired/Other Transferred/Promoted 1 1 1 3 1 1 4 1 2 1 1 3 1 21 Jobs Posted 3 3 31 2 0 9 9 17 1 3 4 3 6 91 Workers Comp. 3 2 1 2 2 3 7 4 2 7 2 1 3 39 Injuries Workers Comp. Hours 187 270 169 186 178 176 168 112 320 320 401 11 7 2505 *352 Full-time Employees: Part-time Employees: 26 (4 Pitts Center, 1 Recreation, 16 Library, 4 Police Department, 1 Central Services) -Numbers do not reflect, temporary, seasonal, relief fire dispatchers, committee or council members. Position Hired: Civil Engineer I, Law Enforcement Officer, (2) Service Center Clerk (PT), Motor Equipment Operator II, Utility Maintenance Mechanic I, Grant Writer Transferred/Promoted: Building Maintenance Craftsperson II Position Terminated/Resigned/Retired/Other: Inspector I - Code Enforcement, Arborist, Assistant Controller, Arborist Positions on Terminal Leave: Law Enforcement Officer – August, Law Enforcement Officer - November Recruitment Information (July) *Resumes come from Indeed do not always list address Open or Currently Recruiting* Open or Currently July Aug Sept Oct Nov Dec Jan Feb March April May June July Recruiting by Dept. 19 19 19 19 19 19 20 20 20 20 20 20 20 Electric 6 6 7 9 9 6 7 4 4 4 5 5 5 Public Works 5 5 10 10 11 11 8 8 8 8 8 7 5 Police 5.5 6 6 4 4 3 2 7.5 4 4 7 9 8 Water Wastewater 4 4 5 6 6 5 3 All Other Departments 7 7.5 16.5 18.5 18 17 15.5 13.5 11 12.5 14.5 14 13 Totals 23.5 24.5 39.5 41.5 42 37 36.5 37 32 34.5 40.5 40 34 *Not used for Budgeting Purposes *Feb 2020 Updated Electric: (3) Lineman, Engineering Services Superintendent, Electric Director Public Works: (2) Motor Equipment Operator I -Stormwater, Motor Equipment Operator II – Stormwater, Motor Equipment Operator III – Stormwater, Motor Equipment Operator I – Streets Police: (6) Police Officers, (2) Cadet (PT), Communication Operator Water/Waste Water: Civil Engineer, Utility Maintenance Mechanic I, Motor Equipment Operator III All Other Departments: Mechanic I, Administrative Assistant – Mayor, Fleet and Facilities Manager, Librarian I (PT), Assistant Library Director, Library Director, Arborist, Customer Service Clerk I, Administrative Assistant – Finance, Inspector 1 – Code Enforcement (2), Information Technology Director, Library Clerk (PT), Payroll Specialist, Assistant Controller, Passport Clerk (PT), Arborist

HUMAN RESOURCES (Continued) Turnover Statistics 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Total Turnover % 5.57 6.75 11.00 10.91 6.02 12.05 8.68 15.36 10.33 9.66 10.07 Termination Turnover % 0.27 1.08 0.29 1.47 0.57 0.28 0.54 1.92 1.36 0.54 1.22 Resignation Turnover % 2.12 4.05 5.21 5.01 2.29 7.56 6.24 7.41 5.98 6.17 5.49 Retirement Turnover % 3.18 1.62 5.50 4.42 3.15 4.20 1.90 4.39 2.45 2.68 3.05 Other - - - - - - - 1.65 0.54 0.27 0.31 2012 Healthcare cost sharing implemented; 2013 Healthcare cost sharing implemented for DOE 2016 RIF in Economic Development; 2018 RIF in Electric *2019, Percentages update in January 2020 Average Employees 2010 2011 2012* 2013* 2014 2015 2016 2017 2018 2019 2020 Total Number of Employees Separating from 21 25 38 37 21 42 32 56 38 36 33 Service Average Number of Full-time Employees 362 356 333 325 331 333 340 337 340 346 303 Average Number of Part-time Employees 16 15 12 14 18 24 28 28 28 26 25 * Healthcare cost sharing implemented Workers Compensation Cost Calendar Year 2020 $31 Department $2 $14 $26 $2 $1 $96 Total Cost (In thousands) Total: $172,000

INFORMATION TECHNOLOGIES Service Requests Resolved 60 53 54 52 49 47 47 50 44 41 41 42 40 38 38 38 40 33 31 30 27 27 22 22 23 23 20 17 17 13 15 10 0 Requests Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Completed Programming Requests Completed 150 120120 100 44 44 50 27 27 32 32 21 21 27 26 31 32 22 22 33 33 11 11 9 9 15 15 19 19 0 Requests Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Completed Page Views - City of Dover Web Page 40,000 35,000 30,000 Pages Viewed 25,000 36,316 34,015 32,907 30,253 31,316 29,209 20,000 15,000 26,691 28,293 28,153 25,318 26,882 25,888 26,057 10,000 5,000 0 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Noteworty: Pandemic - COVID-19 Tyler ERP Phase 2 (HR/Payroll) working with Kronos providing and converting files Tyler Phase 4 Still doing sessions ProWatch upgrades at City Hall and Library Completed Property Tax billing successfully processed in Munis Reed Street Elevator completed New fiscal year started

Monthly Report for July 2020 LIBRARY CLOSED DUE TO COVID-19 VIRUS Highlighted Virtual Programs: Fairytale Manga Drawing 7/1, 7/8, 7/15, 7/22 38 Clicks/Views Tour A Truck 7/1, 7/8, 7/15, 7/22, 7/29 370 Clicks/Views Celebrate the Arts 7/17 95 Clicks/Views Total Items Checked Out: 5,747 VIRTUAL Programs: Offered Views/Clicks E-books: 4,111 Adult 5 179 New Library Cards: 84 Teen 10 38 Children 33 977 Library Card Holders: 29,887 Job Center 0 0 Service Area Population: 62,527 Visitors: Curbside Pick-Up 1,445 Passport Services: 0 Income Received: $0.00 Meeting Rooms Usage: 0 Computer Users: 0 Wireless Users: 138 Items Loaned to/Received from Other Libraries: 8,848

Parks & Recreation July 2020 Monthly Report Parks & Recrea on Highlights  John W. Pi s Recrea on Center offered “Grab‐N‐Go” Cra kits for kids. This popular weekly give away averaged 60 kids each Wednesday. Many parents complimented the program created by Sherwanda Rachal‐Speaks.  Parks Maintenance Building construc on is completed. Final inspec ons are taking place. Once completed staff will make arrangements to move. Staff members Robin Eaton, Sherwanda Speaks, Steve Pickering and Carolyn Courtney are in the planning stages for their move.  Spring & Summer Concert Series hosted Bad Avenue Band, Rep le World, Bad JuJu, Comfort Zone, and finished the month off with the Pre y Crazies. Our thanks goes out to Shore United Bank for their financial support of the 2020 series. Thursday evenings at 7 PM. The Honeycombs show was rained out, however we’ve added them for September 10!  Parks & Playground Improvements/ORPT Grant 19‐187 is moving forward. The Coastal Design Studio from the University of Delaware is on board with assis ng us in an eco friendly design that will be appropriate for the beach area with kayak/canoe access. We are looking forward to working with them and their design team.  Summer Field Hockey for High School Girls has taken off! Fourteen teams from around Delaware and Maryland hit the field with their s cks for this fun and fast paced league. Covid19 Guidelines were enforced. July (outdoor) League Programming Par cipant Count Par ci‐ Ac vity pants Spectators Loca on Field Hockey 1841 2303 Schu e Park KCCL So ball 1564 3284 Schu e Park Program Par cipants July 20 FYTD 21 July 19 FYTD 20 General Recrea on 46 46 42 42 Open Gym 73 73 n/a n/a Leagues 3405 3405 3,072 3,072 Bldg./Field/Pavilions 14 14 25 25 Recreation Revenue Breakdown July 2019 July 2020 General Recrea on 611.20 General Recrea on 368.00 Leagues 30.00 Leagues 2,354.00 Park Rentals/Permits 1,425.00 Camps 9,305.50 Bldg./Field/Pavilions 475.00 Youth Connec ons/CSW 345.00

July 2020 Procurement & Inventory Report Measure FY 2021 FY 2020 DIFFERENCE Issue Effectiveness – How often the FY 2020 (To date) FY 2019 (Total) warehouse has what the departments [172/(172+24)]*100 [2,292/(2,292+156)]*100 -5.87% need when it’s needed. 87.76% 93.63 % [issues / (issues + back orders)] * 100 Turn Over Rate – Indicates that the material stocked is the material being 0.76 Turnovers per -0.06 Turnovers per 0.82 Turnovers per year used. (2018-2019 Goal 1 per year) year year WITHOUT TRANSFORMERS BID REQUESTING COMMODITY TERM STATUS as of August 1, 2020 NUMBER DEPARTMENT Garrison Oak Technical Park One 20-0028EL Electric Forwarded to Electric on 6/17/2020 Engineering Time Elevated Water Storage Tank RFP opening scheduled for August 25, 2020 @ 21-0001WW 10 Years Water/Wastewater Maintenance 2:00 pm FUEL USE FY 2021 TO DATE FY 2020 TO DATE STOCK WITH OVER 60 MONTH SUPPLY (5 YEARS) Unleaded: 12,278 gallons 12,764 gallons Electric: $ 385,414.50 248 Line Items Diesel: 7,036 gallons 6,832 gallons Water: $ 13,970.93 32 Line Items Dollars Spent: $27,564.64 $39,360.91 General: $ 23,006.63 92 Line Items Total: $ 422,392.006 374 Line Items Purchase Orders for Stock by Fund Issues from Stock by Fund FY 2021 TO DATE FY 2020 TO DATE FY 2021 TO DATE FY 2020 TO DATE Electric: $139,391.61 $72,300.69 Electric: $109,145.26 $86,809.75 Water: $0.00 $2,322.04 Water: $10,820.52 $15,753.35 Wastewater: $0.00 $74.80 Wastewater: $1,010.95 $110.60 General: $22,261.49 $12,237.17 General: $13,486.80 $11,938.12 Total: $161,653.10 $86,934.70 *Total: $134,463.53 $114,611.82 Warehouse Stock Money Spent for Postage/Postal Services FY2021 FY2020 FY 2021 TO DATE FY2020 TO DATE Total Dollar Value: $1,698,937.48 $1,785,085.48 $22,600.52 $14,752.45 Total Line Items: 1,108 1,118 * Total of Issues from Stock by Fund includes Issues from Sale from Stock (SS) and Electric Returns (ER).

DEPARTMENT OF PUBLIC WORKS JULY 2020 MONTHLY REPORT GIS GIS PROJECT HOURS Create Data Requests Printing Technical Support Updates Configure 6% 14% 6% 2% 10% 62% GIS PROJECT HOURS Other City-Wide DWW DPW Tax Mayor IT Cust. Service Dover PD City Manager City Clerk Planning & Insp. Library Parks & Rec Electric 0 5 10 15 20 25 30 GIS Project Hours

SANITATION MONTHLY REFUSE (TONS) Bulk Rear Automated 1019.95 945.19 970.81 910.54 869.42 851.34 884.8 919 822.79 821.86 786.87 670.09 689.03 203.1 190.58 136.65 117.53 129.15 124.71 203.01 159 89.29 80.42 81.54 66.89 108.45 178.39 157 148.24 124.64 117.11 79.05 116.13 160.15 95.12 104.67 100.31 79.25 122.38 JUL 19 AUG 19 SEP 19 OCT 19 NOV 19 DEC 19 JAN 20 FEB 20 MAR 20 APR 20 MAY 20 JUN 20 JUL 20 SANITATION HOURS 700 648 624 609 600 500 452 436 418 392 400 352 300 200 100 0 Bulk Automated Hand Trash Yard Waste July 19 July 20 SANITATION JULY 20 FYTD 20 JULY 19 FYTD 19 Trips to DSWA Sandtown Landfill 253 253 212 212 Total Tonnage to DSWA 1,389 1,389 1,146 1,146 90-gallon Containers Delivered 94 94 48 48 300-gallon Containers Delivered 2 2 16 16 Total Man Hours Containers Delivered 96 96 70 70 CURBSIDE RECYCLING TOTAL CANS COLLECTED TOTAL ACCOUNTS WEIGHT (LBS) AVE. WEIGHT (LBS) July 2020 22,652 9,839 288,560 12.73

STREETS / STORMWATER STREETS / STORMWATER JULY 20 FYTD 20 JULY 19 FYTD 19 Signs Installed 11 11 6 6 Signs Repaired 6 6 19 19 Curbs Painted Yellow (ft) 84 84 172 172 New Posts Installed 2 2 5 5 Storm Catch Basins Repaired 8 8 1 1 Storm Catch Basin Repairs (hrs) 19 19 5 5 Storm Catch Basins Cleaned (l.f.) 15 15 4 4 Storm Catch Basin Cleaning (hrs) 12 12 6 6 Hot Mix Patching (tons) 0 0 28 28 Hot Mix Patching (hrs) 0 0 36 36 Cold Mix Patching (hrs) 6 6 6 6 Concrete Work (hrs) 24 24 14 14 Concrete Patching (cu.yd.) 0 0 2 2 Ditch Work (hrs) 0 0 0 0 Street and Alley Maintenance (hrs) 1 1 3 3 Street Sweeping (miles) 1,895 1,895 1,977 1,977 Street Sweeping (cu.yd.) 122 122 126 126 Leaf Collection (miles) 0 0 0 0 Leaves Collected (cu.yd.) 0 0 0 0

CITY OF DOVER DEPARTMENT OF WATER & WASTEWATER MONTHLY REPORT JULY 2020 Water & Wastewater Flow Data In general, billed consumption should be less than total water production. Billed discharge is generally less than total flow to 250,000,000 county, due to inflow and infiltration. Total flow to county can be higher than total water production with a significantly higher than average rainfall occurs. 200,000,000 150,000,000 100,000,000 50,000,000 - Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Total Water Production Billed Consumption Total Flow to County Billed Discharge Water Production 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 - Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Average Daily Water Production (gal) Peak Day Production (gal) Water & Wastewater Repairs 7 6 5 4 3 2 1 - Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Water Mains Repaired Water Services Repaired Wastewater Mains Repaired Wastewater Laterals Repaired

CITY OF DOVER DEPARTMENT OF WATER & WASTEWATER MONTHLY REPORT JULY 2020 Water & Wastewater Trouble Calls Goal is to have a field response 35 time of less than 30 minutes. Month Jul-19 30 Aug-19 25 Sep-19 Oct-19 20 Nov-19 Dec-19 15 Jan-20 Feb-20 10 Mar-20 Apr-20 5 May-20 Jun-20 - Jul-20 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Average Field Response Time (min) Water Service Requests Wastewater Service Requests Wastewater Mains Flushed Due to COVID-19, quantities were below average in April 2020 and 140,000 May 2020. Month Jul-19 120,000 Aug-19 100,000 Sep-19 Oct-19 80,000 Nov-19 Dec-19 60,000 Jan-20 Feb-20 40,000 Mar-20 Apr-20 20,000 May-20 Jun-20 - Jul-20 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Wastewater Mains Flushed (lf) Linear (Wastewater Mains Flushed (lf)) Wastewater Mains Recorded / Manholes Cleaned 9,000 Month 8,000 Jul-19 7,000 Aug-19 Sep-19 6,000 Oct-19 5,000 Nov-19 4,000 Dec-19 Jan-20 3,000 Feb-20 2,000 Mar-20 1,000 Apr-20 May-20 - Jun-20 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Jul-20 Wastewater Mains Recorded (lf) Wastewater Manholes Cleaned (ea)

CITY OF DOVER DEPARTMENT OF WATER & WASTEWATER MONTHLY REPORT JULY 2020 Number of Brown Water Complaints 70 60 Month Jul-19 50 Aug-19 40 Sep-19 Oct-19 30 Nov-19 Dec-19 20 Jan-20 Feb-20 10 Mar-20 - Apr-20 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 May-20 Number of Brown Water Complaints Linear (Number of Brown Water Complaints) Jun-20 Jul-20 Month Engineering Plan Review Tracking Jul-19 Aug-19 12 11 11 Goal is to review and respond to Sep-19 10 10 Site Plan or Subdivisions Plans Oct-19 within 5 business days. Nov-19 8 Dec-19 7 Jan-20 6 6 Feb-20 5 5 5 5 4 4 4 4 4 Mar-20 4 3 3 3 3 Apr-20 2 2 2 May-20 2 1 Jun-20 0 0 0 0 Jul-20 0 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Number of Submissions Beyond 5 days Linear (Number of Submissions) Month Jul-19 Aug-19 Building Permit Review Tracking Goal is to review and respond to Sep-19 building or plumbing permits Oct-19 120 within 5 business days Nov-19 103 96 Dec-19 100 91 88 Jan-20 81 79 Feb-20 80 73 69 65 62 Mar-20 57 60 51 Apr-20 42 May-20 40 Jun-20 Jul-20 20 3 2 4 3 2 3 2 2 4 2 3 4 2 0 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Number Average Days to Respond Linear (Number)

City Planner’s Monthly Report Department of Planning & Inspections JULY 2020 Planning & Inspections Highlights Some Items to Call to Your Attention Construction activity in the City continues at modest levels. During July at total of 146 Permits for all uses were issued compared to 144 Permits issued in July of last year. Construction values in July were down significantly from the previous month at $1,416,000, the first month of the fiscal year. Three new Residential Building Permits were issued in July as construction activity continues in Patriot Village, Oak Shadows, and in the Downtown area. Building permits were issued for a Grotto Pizza Dough Production Facility and a number of renovation projects throughout the City. Certificates of Occupancy were issued for one dwelling on N. New Street and for a number of commercial projects including the Red Robin Restaurant at Capital Station. Code violations are increasing as summer approaches but the number of cases opened is down as a result of significant staffing shortages and the added precautions associat- ed with COVID-19 compliance. 186 new cases were opened in July of which 111 cases involved exterior building maintenance violations and grass and weeds. A total of 401 Code Inspections were undertaken in July. In continued response to the COVID-19 pandemic and the compliance with the Gover- nor’s Declaration of a State of Emergency for Delaware, the Dover City Hall Building reopened to the public in June, but access limitations continued through July. Most meetings of Boards and Commissions along with other meetings, training and work- shops were completed virtually.

PROGRESS IN PICTURES Red Robin Restaurant at 40 N. DuPont Highway, Capital Station Food Lion—Bakery Renovation— 1030 Forrest Avenue—Gateway West, Suite 106

PROGRESS IN PICTURES Smile to Smile Family Dentistry 773 S. Queen Street— Smile to Smile Dentist Office Renovation U.S. Senator Carper and U.S. Senator Coons Office 555 East Loockerman Street—Suite 3rd Floor

PROGRESS IN PICTURES House of Hope– 801 West Division Street 12 Habitat for Humanity — 325 N. New Street

Planning & Inspections Revenue FY2021 Actual Revenue Stream FY2021 Budget (YTD) July % of Budget Business License $1,470,000 $ 453,758 31% Manufactured Home License $17,000 $ 5,220 31% Building Permits $450,000 $ 21,941 5% Cert. of Occupancy $10,000 $ 460 5% Public Occupancy $25,000 $ 50 0% Lodging House $14,000 $ 50 0% Plumbing/Heating/Air $100,000 $ 12,561 13% Rental Inspection Fee $437,000 $ 2,712 1% Miscellaneous $20,000 $ 1,075 5% Fire Protection Fees $70,000 $ 5,150 7% Code Enforcement Fines $35,000 $ 575 2% Vacant Building Reg. $150,000 $ 6,750 5% Total P&I Revenue $2,798,000 $ 510,302 18% PERSONNEL AND TRAINING • In the continued response to the COVID-19 pandemic and the compliance with the Governor’s Declara- tion of a State of Emergency for Delaware, the Dover City Hall Building has continued in July limit public access. Staff continues to be in the Office daily for a regular work day. Planning Staff continues plan and permit responsibilities including accepting Plan submissions by appointment and electronically, CO in- spections, conducting Meetings virtually, and managing on-going communication efforts. Other meetings, trainings, and workshops continue in a Virtual format allowing Planning Staff to participate from their computers/desks. • The July Meetings of the Boards and Commissions supported by the Planning Office again were conduct- ed successfully in a Virtual Meetings format using the WebEx telephone/video conferencing platform. Planning Staff conducted the Planning Commission Meeting of July 20, 2020 in the Virtual Meeting for- mat. Holly Malone joined the Planning Commission as a newly appointed member. • Planning Staff (Samantha Bulkilvish, Julian Swierczek and Maretta Savage-Purnell) participated in the following virtual training sessions on July 17, 2020: “Managing Board of Adjustments During the Covid- 19 Pandemic” sponsored by IPA-Institute for Public Administration, University of Delaware. • Planning Staff (Dawn Melson-Williams, Tracey Harvey, Samantha Bulkilvish, and Julian Swierczek) partic- ipated in the following virtual training sessions on July 30, 2020: “Housing for Diversity: Ending Segrega- tion Through Zoning” sponsored by APA-American Planning Association and “Housing Assistance During the COVID-19 Pandemic: Anticipating the Need in Delaware” by IPA-Institute for Public Administration, University of Delaware. Planning Staff is also participating in ongoing training for the Municode Meetings software system which assists in the management of Meeting Agendas and Packets.

PLANNING OFFICE The Planning Office is part of the review process for certain types of construction activity permits (Building Permits, Sign Permits, etc.) and Certificate of Occupancy permits. For July 2020, Planning Staff was in- volved with review of 81 Building Permits and 7 Certificates of Occupancy permits that were issued. This activity results in a 2020 calendar year-to-date total of 448 Permits and Certificates of Occupancy thru July (2019 calendar year-to-date total of 531 Permits and COs compared to 675 for 2018). Staff also reviews new applications for Business Licenses and Rental Dwelling Permits. COMPREHENSIVE PLAN IMPLEMENTATION 2019 Comprehensive Plan The next steps with the 2019 Comprehensive Plan are focusing on the Implementation Plan (Chapter 15) items for the projects, studies, code amendments, and other activities. One key project will be the Com- prehensive Rezoning Project which must be completed by June 2021. Staff will be preparing the Final Pub- lication document. Currently, the FINAL DRAFT (12.3.2019) documents and maps are available on the Comprehensive Plan website: https://www.cityofdover.com/2019-comprehensive-plan. Construction Activity • There were Building Permits issued for a one family dwelling on Fulton Street and two one family dwelling in Nottingham Meadows. Residential building construction activity slowly continues in the Patriot Village, Oak Shadows, within the Downtown Development District area, and on other several lots in other areas of the City. There continue to be a significant number of fence, shed, and deck per- mits issued for residential properties. • A Certificates of Occupancy was issued to one (1) one-family dwelling on N. New Street. • Building Permits were also issued for a few renovation projects including interior renovations at the JP Court, the Grotto Pizza Dough Production Facility on Rosemary Road (C-19-08), a Restaurant at 1040 S State Street, two office tenants on Silver Lake Boulevard. • A Temporary Certificates of Occupancy was renewed for the new Dunkin Donuts location at 1128 For- rest Avenue (S-16-13). Certificates of Occupancy were issued to Red Robin Restaurant at Capital Sta- tion, several Office tenant fit-outs, and a Women’s Shelter at 801 W. Division Street. JULY 2020 (FY21) TOTAL FOR FY21 New Home Permits Issued 3 3 Value of Commercial Projects $1,416,900.00 $1,416,900.00 Downtown Incentives (Fees $1,738.00 $1,738.00 Waived)

BOARD AND COMMISSION ACTIVITY Board of Adjustment The Board of Adjustment did not meet on July 15, 2020. The next Board of Adjustment meeting is scheduled for August 19, 2020. Historic District Commission The Historic District Commission did not meet on July 16, 2020. The next Historic District Commission meeting is scheduled for August 20, 2020. Planning Commission The Planning Commission met virtually on July 20, 2020. The next regular Planning Commis- sion meeting is scheduled for August 17, 2020. The following applications were considered: The Planning Commission adopted a Resolution honoring Frederick Tolbert Sr. for his dedi- cated service on the Planning Commission. Mr. Tolbert was an active member of the Planning Commission from May 2004 until his passing in June 2020 including serving as Vice-Chair and Chairman of the Commission. The following applications were considered: S-20-02 New Dover Middle Schools at 1 Pat Lynn Drive: Master Plan – The Planning Commis- sion recommended approval of the Maintenance Plan for Wetland Mitigation Area associat- ed with the Site Development Master Plan Application conditionally approved by the Plan- ning Commission on May 18, 2020 to permit redevelopment of the school property in a se- ries of Phases. Phase 1: construction of a new 238,500 SF middle schools building, parking, and other site improvements; Phase 2: Sports Fields and two associated 2,300 SF buildings; Phase 3: 19,500 SF future building addition; and Phase 4: two 33,800 SF future building addi- tions. The proposal involves a series of land tracts totaling 44.71 acres +/- and are zoned IO (Institutional and Office Zone). The land tracts are located on the north side of Walker Road and east of Schoolhouse Lane. The property is adjacent to Silver Lake. C-20-02 Landing Square (Previously Bay Road Commercial) at 600 Bay Road: The Planning Commission moved to deny the Conditional Use for the proposed 80-unit apartment building and deferred action on the balance of the Site Plan for Phase 2 of the project (an Office Building and Restaurant sites). The area for Phase 1: Office Building of 62,900 SF is already under construction with Site Plan S-19-20 Delaware State Police Building – Update to Bay Road Commercial (Phase 1); it was previously approved by the Planning Commission in Sep- tember 2019 and received Final Plan Approval on March 6, 2020.

COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM CDBG FY20 Projects • CARES Act Funding The City of Dover was awarded $163,211 in Federal Funds to assist in reducing the spread of COVID-19. The City has partnered with the Department of Health and Social Services to administer the grant that will be used for motel vouchers and rent subsidies that will ser- vice homeless persons or those at risk of becoming homeless. Twenty-five (25) percent of funds have been drawn down year-to-date were expended for motel vouchers for home- less persons and for utility payments for persons unable to pay their utility bills due to COVID-19. • Homeownership Assistance Program CDBG funds will be used to provide homeownership assistance to first-time homebuyers who purchase affordable housing in the City of Dover. One (1) family has purchased affordable housing in the City of Dover and one family is under contract. • Dover Interfaith Mission for Housing CDBG funds will be used to provide operations cost for the shelter. This project is under way. DIMH is also in the process of purchasing a building for its new shelter location that will be renovated with CDBG funds. • DIMH & Central Delaware Housing Collaborative CDBG funds will be used to provide operations cost for a women’s shelter. This project is underway. • Milford Housing Homeowner Rehabilitation/Emergency Home Repair Programs CDBG funds will be used to rehabilitate existing owner-occupied housing in the City that is in violation of the City’s Housing Code and complete emergency home repairs to elimi- nate housing conditions that threaten the health and safety of low-income homeowners. Emergency home repairs have been completed for two (2) families.

Code Enforcement Activity—July 2020 Case Type # cases # cases % staff initiat- % staff initiated current YTD (July ed current YTD month 2020 to month June 2021) No valid Rental Permit 4 4 50% 50% No valid Building Permit 12 12 58% 58% Tall grass and weeds 37 37 78% 78% Unregistered vehicle 0 0 0% 0% Abandoned vehicle 4 4 75% 75% Annual Housing Inspection 9 9 0% 0% Property Maintenance 74 74 42% 42% Exterior Electric Termination 1 1 0% 0% Dover Code of Ordinances 26 26 69% 69% Zoning 3 3 67% 67% Total Cases Opened 186 186 Total # of Inspections For 401 Month Dangerous Buildings, Vacant Buildings & Demolitions  309 MacArthur Drive – City Council declared the dwelling dangerous. Owner has six (6) months to repair or demolish. Plumbing and Mechanical Permits have been finalled out. Temporary Certificate of Occupancy has been issued.  Vacant Buildings currently registered- 171

Building Inspections & Licensing Summary July 2019— July 2020– Current June 2021 July 2019 June 2020 PERMITTING AND LICENSING Permits Issued July (2020) July (2019) FY 21 FYTD 21 FY20 FYTD 20 Administrative Permit 6 6 0 0 Building Addition/Renovation Permits 29 29 31 31 Building Permits 21 21 13 13 Demolition Permits 5 5 5 5 Fence Permits 24 24 12 12 Fire Prevention Permits 6 6 12 12 Mechanical Permits 24 24 33 33 Plumbing Permits 11 11 22 22 Sign Permits 9 9 15 15 Swimming Pool Permits 1 1 1 1 Subtotal 136 144 Business Licenses 724 724 1289 1289 Merchant Licenses 71 71 199 199 Contractor Licenses 344 344 640 640 Subtotal 1139 3919 Lodging House Licenses 1 1 1 1 Public Occupancy 2 2 11 11 Rental Dwelling 34 34 22 22 Subtotal 37 34 Manufactured Homes 116 116 115 115 BUILDING INSPECTIONS Inspections July (2020) July (2019) FY 21 FYTD 21 FY20 FYTD 20 Building (Inspections/CBI/Site Meetings) 192 192 339 339 Plumbing/Mechanical 148 148 252 252 Certificate of Occupancy 7 7 23 23

Fire Marshal’s Office—At a Glance The Fire Marshal’s Office investigated one (1) incident during the month of July. Our office has conducted annual fire and life safety inspections at all schools and colleges and are be- ginning inspections at industrial and warehouses. Month Year to Date Previous Year to Date Annual Fire & Life Safety Inspections 75 75 15 Deficiencies From the Above Inspections 441 441 42 Fire Code Violations/Deficiencies/Complaints 54 54 31 C/O & Fire Equipment Acceptance Tests 14 14 8 Meetings & Walk Through 19 19 21 Fire Plan Review & DAC 13 13 13 Month Year to Date Previous Year to Date Accidental 1 totaling $10,000 1 totaling $10,000 N/A Undetermined N/A N/A 3 totaling $131,000 Incendiary N/A N/A N/A Arrest Made with DPD N/A N/A N/A Investigation Time 2 hours 2 hours 8 hours Injuries 0 0 0 Deaths 0 0 0 Please feel free to contact our office at any time with any questions or concerns. Thank you!

Finance Department Monthly Report June 2020 This page intentionally left blank Page 2

Finance Department Monthly Report June 2020 CITY OF DOVER ACTIVITY REPORTS June 2020 FINANCE DEPARTMENT ACTIVITY LEVELS FY19 YTD FY20 YTD BANK TRENDS Number of Deposits Made (Hand, ACH & Wire, Lockbox) 7,054 6,888 Total Amount of All Deposits $ 136,029,578 $ 178,631,658 Other Activity Number of Pay Periods 26 26 Number of Payroll Checks & Direct Deposits Issued 10,114 10,216 Number of Pension Checks Issued 3,087 3,104 Total Pension Benefits Paid - Defined Benefit Plan $ 5,545,971 $ 5,651,779 ACCOUNTS PAYABLE Number of Check Vouchers 6,454 5,829 Number of EFT Vouchers 2,770 2,819 Vouchers Dollar Amount Disbursed $ 78,945,684 $ 67,926,739 FY19 YTD Wages $46,479 FY20 YTD Wages $206,739 $756,030 $686,194 $99,162 $71,327 $830,425 $583,232 $598,844 $534,701 $1,280,350 $1,396,777 $1,510,157 $2,260,217 $17,550,818 $18,676,087 Regular Regular All over time All over time Vacation Vacation Sick Sick Terminal Leave - Retiree Vacation/Sick Payout Terminal Leave - Retiree Vacation/Sick Payout Personal Personal Other Comp Time Comp Time Other Page 3

Finance Department Monthly Report June 2020 City of Dover General Fund Summary Fiscal Year to Date (June 2020) Revenues Budget Revised Budget Actual % Property & Transfer Taxes $ 16,121,700 $ 16,121,700 $ 16,554,795 103% Program Revenues 10,570,600 10,570,600 9,363,676 89% Utility Transfers 11,000,000 11,000,000 11,000,000 100% Grants 688,500 688,500 698,937 102% Interfund Services 5,749,900 5,749,900 4,226,589 74% All Other 1 933,000 933,000 869,503 93% $ 45,063,700 $ 45,063,700 $ 42,713,500 95% Expenditures Budget Revised Budget Actual % 2 $ 28,694,900 $ 28,705,500 $ 27,609,098 96% Program Expenses Interfund Services 10,311,800 10,499,300 9,100,625 88% Debt Service 500,000 500,000 463,568 93% Post Retirement Benefits 1,894,900 1,894,900 1,894,900 100% Pension Fund Contributions 964,600 964,600 770,249 80% Capital Project Transfers 3,261,600 3,261,600 3,261,600 100% All Other 3 1,235,000 1,235,800 1,240,007 100% $ 46,862,800 $ 47,061,700 $ 44,340,048 94% 1 Includes Cable Franchise Revenue, Miscellaneous Receipts, Garrison Farm Rent, Sale of Assets, Return Check Fees, Fund Interest Income, and Investment Manager Cost 2 Includes Stormwater Account 3 Includes Misc. Grant Exp., Bank and CC Fees, Street Lights Expense, DDP Contribution, Transfer to Electric I&E, and Bond Issue Costs Page 4

Finance Department Monthly Report June 2020 General Fund Revenues $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- Property & Transfer Taxes Program Revenues Utility Transfers Grants Interfund Services All Other 1 Budget Revised Budget Actual General Fund Expenditures $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $- Budget Revised Budget Actual Page 5

Finance Department Monthly Report June 2020 City of Dover Water Fund Summary Fiscal Year to Date (June 2020) Revenues Budget Revised Budget Actual % Customer Sales $ 5,530,800 $ 5,530,800 $ 5,557,797 100% Impact Fees 570,000 570,000 215,925 38% Rents 410,200 410,200 374,868 91% Miscellaneous 1 33,000 33,000 70,402 213% $ 6,544,000 $ 6,544,000 $ 6,218,992 95% Expenditures Budget Revised Budget Actual % Program Expenses $ 3,090,700 $ 3,090,700 $ 2,719,082 88% Interfund Services 1,052,700 1,052,700 791,473 75% Debt Service 760,000 760,000 591,117 78% Post Retirement Benefits 113,200 113,200 113,200 100% Capital Project Transfers 1,500,000 1,500,000 1,500,000 100% Electric I&E Transfer 149,000 149,000 149,000 100% General Fund Transfer 500,000 500,000 500,000 100% All Other 2 14,000 14,000 22,573 161% $ 7,179,600 $ 7,179,600 $ 6,386,444 89% 1 Includes Interest Earnings and Miscellaneous Income 2 Includes Bank & CC Fees Page 6

Finance Department Monthly Report June 2020 Water Revenues $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Customer Sales Impact Fees Rents Miscellaneous 1 Budget Revised Budget Actual Water Expenditures $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- Program Expenses Interfund Services Debt Service Post Retirement Benefits Capital Project Transfers Electric I&E Transfer General Fund Transfer All Other 2 Budget Revised Budget Actual Page 7

Finance Department Monthly Report June 2020 City of Dover Wastewater Fund Summary Fiscal Year to Date (June 2020) Revenues Budget Revised Budget Actual % Customer Sales $ 8,763,600 $ 8,763,600 $ 8,528,037 97% Impact Fees 480,000 480,000 211,484 44% Miscellaneous 1 33,200 33,200 12,772 38% $ 9,276,800 $ 9,276,800 $ 8,752,293 94% Expenditures Budget Revised Budget Actual % Program Expenses $ 1,349,000 $ 1,349,000 $ 1,195,038 89% Kent County Treatment Fee 5,101,900 5,101,900 3,769,635 74% Interfund Services 759,800 759,800 598,602 79% Debt Service 672,500 672,500 610,870 91% Post Retirement Benefits 113,100 113,100 170,427 151% Capital Project Transfers 900,000 900,000 900,000 100% Electric I&E Transfer 149,000 149,000 149,000 100% General Fund Transfer 500,000 500,000 500,000 100% All Other 2 29,000 29,000 7,719 27% $ 9,574,300 $ 9,574,300 $ 7,901,292 83% 1 Includes Interest Earnings, Miscellaneous Income, and Wastewater Penalties 2 Includes Bank & CC Fees and Bond Issuance Cost Page 8

Finance Department Monthly Report June 2020 Wastewater Revenues $10,000,000 $9,000,000 $8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Customer Sales Impact Fees Miscellaneous 1 Budget Revised Budget Actual Wastewater Expenditures $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Program Expenses Kent County Interfund Services Debt Service Post Retirement Capital Project Electric I&E Transfer General Fund Transfer All Other 2 Treatment Fee Benefits Transfers Budget Revised Budget Actual Page 9

Finance Department Monthly Report June 2020 City of Dover Electric Fund Summary Fiscal Year to Date (June 2020) Revenues Budget Revised Budget Actual % Customer Sales $ 84,008,400 $ 84,008,400 $ 79,894,273 95% Distribution of Earnings (2,873,800) (2,873,800) (2,727,106) 95% All Other 1 960,400 960,400 1,403,621 146% $ 82,095,000 $ 82,095,000 $ 78,570,788 96% Expenditures Budget Revised Budget Actual % Power Supply & Generation $ 47,785,900 $ 47,785,900 $ 39,609,191 83% Electric Operating Div. Exp. 7,046,200 7,046,200 6,275,752 89% Interfund Services 3,912,900 3,912,900 2,836,514 72% Debt Service 1,379,500 1,379,500 1,398,954 101% Post Retirement Benefits 721,400 721,400 721,400 100% Capital Project Transfers 6,816,000 6,816,000 6,816,000 100% General Fund Transfer 10,000,000 10,000,000 10,000,000 100% Depreciation Reserve 5,000,000 5,000,000 5,000,000 100% Rate Stabilization Reserve - 3,700,000 3,700,000 0% All Other 2 2,053,500 2,053,500 1,993,260 97% $ 84,715,400 $ 88,415,400 $ 78,351,072 89% 1 Includes Rental Revenue, Miscellaneous Service Revenue, Interest Income, Penalties, General Service Billing Received from Uncollectible, and Green Energy Charge 2 Includes Utility Tax, Interest on Deposits, Green Energy, A/R Write-offs, and Bank & CC Fees Megawatt Hours Sold & Purchased Budget Rev. Budget Actual Sales to Customers MWh (excl. Street Light MWh) 752,307 752,307 717,732 Sales per MWh $106.09 $106.09 $105.81 Purchased/Generated MWh 785,072- 785,072- 749,653- All In MWh Supply & Generation $60.87 $60.87 $52.84 Page 10

Finance Department Monthly Report June 2020 Electric Fund - Revenues Mil lions $(10) $- $10 $20 $30 $40 $50 $60 $70 $80 $90 Budget Revised Budget Actual Customer Sales Distribution of Earnings All Other 1 Electric Fund - Expenditures $55,000,000 $50,000,000 $45,000,000 $40,000,000 $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $- Electric Rate Power Supply & Interfund Post Retirement Capital Project General Fund Depreciation Operating Div. Debt Service Stabilization All Other 2 Generation Services Benefits Transfers Transfer Reserve Exp. Reserve Budget $47,785,900 7,046,200 3,912,900 1,379,500 721,400 6,816,000 10,000,000 5,000,000 - 2,053,500 Revised Budget $47,785,900 7,046,200 3,912,900 1,379,500 721,400 6,816,000 10,000,000 5,000,000 3,700,000 2,053,500 Actual $39,609,191 6,275,752 2,836,514 1,398,954 721,400 6,816,000 10,000,000 5,000,000 3,700,000 1,993,260 Budget Revised Budget Actual Page 11

Finance Department Monthly Report June 2020 This page intentionally left blank Page 12

Finance Department Monthly Report June 2020 City of Dover Division Expense Summary (General Fund) Fiscal Year to Date (June 2020) Budget Revised Budget Actual % General Fund Divisions % of Budget City Clerk $ 432,600 $ 432,600 $ 353,246 82% Council 157,700 157,700 121,861 77% Mayor Tax Assessor 398,200 390,600 341,825 88% Human Resources Fire 763,700 763,700 725,389 95% Customer Services Grounds 1,269,500 1,269,500 708,308 56% Fleet Maintenance Library 1,779,800 1,839,800 1,672,577 91% Procurement & Inventory Recreation 1,156,600 1,156,600 1,356,016 117% Engineering Life Safety 381,500 381,500 339,975 89% Code Enforcement 680,200 680,200 508,446 75% Facilities Management Planning 570,400 570,400 517,055 91% Pub. Services Administration Public Inspections 644,700 644,700 543,640 84% Finance Police 17,183,900 17,155,000 17,757,653 104% Information Technology Police Extra Duty 665,100 665,100 332,143 50% City Manager Streets 810,600 776,600 555,098 71% Stormwater Sanitation 2,432,400 2,432,400 2,180,327 90% Stormwater 859,000 874,200 569,757 65% Sanitation City Manager 1,007,900 1,007,900 888,754 88% Streets Information Technology 747,000 747,000 738,964 99% Police Extra Duty Finance 935,800 935,800 944,985 101% Police Pub. Services Administration 802,300 811,700 691,746 85% Public Inspections Facilities Management 655,700 655,700 610,489 93% Planning Engineering 368,800 374,700 209,197 56% Procurement & Inventory 684,400 717,000 654,426 91% Code Enforcement Fleet Maintenance 1,051,200 1,026,200 805,870 79% Life Safety Customer Services 1,067,500 1,067,500 1,074,315 101% Recreation Human Resources 523,300 576,800 479,641 83% Library Mayor 226,900 226,900 161,515 71% Grounds $ 38,256,700 $ 38,337,800 $ 35,843,216 93% Fire Tax Assessor Council City Clerk 0% 20% 40% 60% 80% 100% 120% 140% Page 13

Finance Department Monthly Report June 2020 City of Dover Utilities Expenditure Summary Fiscal Year to Date (June 2020) Water Divison Budget Revised Budget Actual % Engineering & Inspection $ 371,400 $ 372,600 $ 190,091 51% Water Department 638,400 637,200 630,711 99% Water Treatment Plant 2,080,900 2,080,900 1,898,280 91% $ 3,090,700 $ 3,090,700 $ 2,719,082 88% Wastewater Divison Budget Revised Budget Actual % Engineering & Inspection $ 195,100 $ 195,100 $ 187,401 96% Wastewater Department 1,153,900 1,153,900 1,007,637 87% $ 1,349,000 $ 1,349,000 $ 1,195,038 89% Electric Division Budget Revised Budget Actual % Transmission/Distribution $ 3,802,800 $ 3,802,800 $ 3,426,896 90% Electrical Engineering 1,372,900 1,372,900 1,239,230 90% Administration 615,500 573,100 509,678 89% Meter Reading 401,900 444,300 406,497 91% Systems Operations 853,100 853,100 693,451 81% $ 7,046,200 $ 7,046,200 $ 6,275,752 89% Page 14

Finance Department Monthly Report June 2020 Water Division % of Budget Water Treatment Plant Water Department Engineering & Inspection 0% 20% 40% 60% 80% 100% 120% Wastewater Division % of Budget Wastewater Department Engineering & Inspection 82% 84% 86% 88% 90% 92% 94% 96% 98% Electric Division % of Budget Systems Operations Meter Reading Administration Electrical Engineering Transmission/Distribution 75% 80% 85% 90% 95% Page 15

Finance Department Monthly Report June 2020 City of Dover Capital Outlay Summary (All Funds) Fiscal Year to Date (June 2020) General Fund Budget Revised Budget Actual % Fire $ 281,100 $ 185,500 $ 153,415 83% Life Safety 48,900 43,400 - 0% Police 753,900 954,700 624,960 65% Streets 1,266,500 3,211,400 753,282 23% Sanitation 287,200 287,200 277,578 97% Stormwater 365,000 442,200 210,612 48% Facilities Management 784,000 970,400 231,693 24% Library County Grant - 142,300 98,064 69% Recreation 476,000 1,073,600 392,096 37% Purchasing 390,000 390,000 50,000 13% Fleet Maintenance 21,600 21,000 18,599 89% Information Technology 45,600 28,300 20,284 72% Transfer to Parkland Reserve - - 1,085,296 0% Code Enforcement 37,200 37,800 - 0% Inspections 18,600 24,100 - 0% Grounds 128,400 154,200 149,902 97% General Fund Capital Projects $ 4,904,000 $ 7,966,100 $ 4,065,780 51% Water Fund Water $ 960,400 $ 1,142,400 $ 637,962 56% Water Treatment Plant 559,700 3,355,200 1,996,592 60% Water Fund Capital Projects $ 1,520,100 $ 4,497,600 $ 2,634,553 59% Wastewater Fund Wastewater 2,302,600 3,544,100 1,624,584 46% Wastewater Fund Capital Projects $ 2,302,600 $ 3,544,100 $ 1,624,584 46% Electric Fund Electric Generation $ 115,000 $ 376,000 $ 255,298 68% Transmission/Distribution 1,255,000 1,182,000 989,272 84% Electrical Engineering 3,293,000 3,366,000 658,950 20% Metering 21,800 21,800 18,599 85% ERP System 488,000 842,800 98,016 12% Electric Administration 1,643,200 1,643,200 72,140 4% Electric Fund Capital Projects $ 6,816,000 $ 7,431,800 $ 2,092,275 28% TOTAL CAPITAL PROJECTS $ 15,542,700 $ 23,439,600 $ 10,417,192 44% Page 16

Finance Department Monthly Report June 2020 Capital Outlay - All Divisions $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- Budget Revised Budget Actual Capital Outlay - By Fund $9,000,000 $8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Budget Revised Budget Actual General Fund Capital Projects Water Fund Capital Projects Wastewater Fund Electric Fund Capital Projects Page 17

Finance Department Monthly Report June 2020 This page intentionally left blank Page 18

Finance Department Monthly Report July 2020 This page intentionally left blank Page 2

Finance Department Monthly Report July 2020 CITY OF DOVER ACTIVITY REPORTS July 2020 FINANCE DEPARTMENT ACTIVITY LEVELS FY20 YTD FY21 YTD BANK TRENDS Number of Deposits Made (Hand, ACH & Wire, Lockbox) 676 562 Total Amount of All Deposits $ 25,274,686 $ 17,287,096 Other Activity Number of Pay Periods 2 3 Number of Payroll Checks & Direct Deposits Issued 803 1,155 Number of Pension Checks Issued 256 260 Total Pension Benefits Paid - Defined Benefit Plan $ 462,967 $ 477,410 ACCOUNTS PAYABLE Number of Check Vouchers 570 514 Number of EFT Vouchers 227 238 Vouchers Dollar Amount Disbursed $ 7,641,067 $ 6,566,537 FY20 YTD Wages FY21 YTD Wages $4,458 $4,675 $12,701 $74,730 $29,294 $34,052 $20,871 $7,405 $43,303 $38,855 $178,863 $197,669 $206,018 $252,861 $1,373,035 $2,115,730 Regular Regular All over time All over time Vacation Vacation Sick Sick Terminal Leave - Retiree Vacation/Sick Payout Terminal Leave - Retiree Vacation/Sick Payout Personal Personal Other Comp Time Comp Time Other Page 3

Finance Department Monthly Report July 2020 City of Dover General Fund Summary Fiscal Year to Date (July 2020) Revenues Budget Actual % Property & Transfer Taxes $ 16,319,300 $ 14,798,648 91% Program Revenues 10,312,800 1,062,935 10% Utility Transfers 11,000,000 916,665 8% Grants 778,500 - 0% Interfund Services 5,592,700 336,053 6% All Other 1 920,000 1,626 0% $ 44,923,300 $ 17,115,927 38% Expenditures Budget Actual % Program Expenses 2 $ 29,235,400 $ 1,853,691 6% Interfund Services 10,622,300 586,104 6% Debt Service 462,200 39,391 9% Post Retirement Benefits 2,045,400 170,450 8% Pension Fund Contributions 935,100 36,258 4% Capital Project Transfers 2,078,100 519,525 25% All Other 3 1,117,000 106,052 9% $ 46,495,500 $ 3,311,470 7% 1 Includes Cable Franchise Revenue, Miscellaneous Receipts, Garrison Farm Rent, Sale of Assets, Return Check Fees, Fund Interest Income, and Investment Manager Cost 2 Includes Stormwater Account 3 Includes Misc. Grant Exp., Bank and CC Fees, Street Lights Expense, DDP Contribution, Transfer to Electric I&E, and Bond Issue Costs Page 4

Finance Department Monthly Report July 2020 General Fund Revenues $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- Property & Transfer Taxes Program Revenues Utility Transfers Grants Interfund Services All Other 1 Budget Actual General Fund Expenditures $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $- Budget Actual Page 5

Finance Department Monthly Report July 2020 City of Dover Water Fund Summary Fiscal Year to Date (July 2020) Revenues Budget Actual % Customer Sales $ 6,231,700 $ 604,701 10% Impact Fees 570,000 14,881 3% Rents 420,100 44,592 11% Miscellaneous 1 101,800 7,563 7% $ 7,323,600 $ 671,737 9% Expenditures Budget Actual % Program Expenses $ 3,289,200 $ 191,977 6% Interfund Services 1,028,800 58,531 6% Debt Service 762,800 30,204 4% Post Retirement Benefits 176,900 14,741 8% Capital Project Transfers 1,300,000 325,000 25% General Fund Transfer 500,000 41,666 8% All Other 2 20,000 627 3% $ 7,077,700 $ 662,746 9% 1 Includes Interest Earnings and Miscellaneous Income 2 Includes Bank & CC Fees Page 6

Finance Department Monthly Report July 2020 Water Revenues $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Customer Sales Impact Fees Rents Miscellaneous 1 Budget Actual Water Expenditures $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- Program Expenses Interfund Services Debt Service Post Retirement Capital Project Transfers General Fund Transfer All Other 2 Benefits Budget Actual Page 7

Finance Department Monthly Report July 2020 City of Dover Wastewater Fund Summary Fiscal Year to Date (July 2020) Revenues Budget Actual % Customer Sales $ 9,783,000 $ 921,328 9% Impact Fees 480,000 11,564 2% Miscellaneous 1 21,300 2,110 10% $ 10,284,300 $ 935,002 9% Expenditures Budget Actual % Program Expenses $ 1,432,500 $ 88,151 6% Kent County Treatment Fee 4,302,900 - 0% Interfund Services 779,600 45,675 6% Debt Service 659,900 12,336 2% Post Retirement Benefits 81,500 6,791 8% Capital Project Transfers 1,200,000 300,000 25% General Fund Transfer 500,000 41,666 8% All Other 2 10,000 627 6% $ 8,966,400 $ 495,246 6% 1 Includes Interest Earnings, Miscellaneous Income, and Wastewater Penalties 2 Includes Bank & CC Fees and Bond Issuance Cost Page 8

Finance Department Monthly Report July 2020 Wastewater Revenues $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- Customer Sales Impact Fees Miscellaneous 1 Budget Actual Wastewater Expenditures $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- Program Expenses Kent County Interfund Services Debt Service Post Retirement Capital Project General Fund All Other 2 Treatment Fee Benefits Transfers Transfer Budget Actual Page 9

Finance Department Monthly Report July 2020 City of Dover Electric Fund Summary Fiscal Year to Date (July 2020) Revenues Budget Actual % Customer Sales $ 81,662,500 $ 7,283,260 9% Distribution of Earnings (5,246,100) (463,094) 9% All Other 1 3,424,400 30,879 1% $ 79,840,800 $ 6,851,045 9% Expenditures Budget Actual % Power Supply & Generation $ 46,084,100 $ 2,951,407 6% Electric Operating Div. Exp. 7,345,800 430,212 6% Interfund Services 3,784,300 231,847 6% Debt Service 1,378,600 114,880 8% Post Retirement Benefits 789,600 65,800 8% Capital Project Transfers 6,000,000 1,500,000 25% General Fund Transfer 10,000,000 833,333 8% Rate Stabilization Reserve 2,000,000 - 0% All Other 2 2,023,400 31,609 2% $ 79,405,800 $ 6,159,088 8% 1 Includes Rental Revenue, Miscellaneous Service Revenue, Interest Income, Penalties, General Service Billing Received from Uncollectible, and Green Energy Charge 2 Includes Utility Tax, Interest on Deposits, Green Energy, A/R Write-offs, and Bank & CC Fees Megawatt Hours Sold & Purchased Rev. Budget Actual Sales to Customers MWh (excl. Street Light MWh) 749,446 66,481 Sales per MWh $100.30 $101.05 Purchased/Generated MWh 779,796- 83,629- All In MWh Supply & Generation $59.10 $35.29 Page 10

Finance Department Monthly Report July 2020 Electric Fund - Revenues Mi llions $(10) $- $10 $20 $30 $40 $50 $60 $70 $80 $90 Budget Actual Customer Sales Distribution of Earnings All Other 1 Electric Fund - Expenditures $50,000,000 $45,000,000 $40,000,000 $35,000,000 $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $- Electric Rate Power Supply & Interfund Post Retirement Capital Project General Fund Operating Div. Debt Service Stabilization All Other 2 Generation Services Benefits Transfers Transfer Exp. Reserve Budget $46,084,100 7,345,800 3,784,300 1,378,600 789,600 6,000,000 10,000,000 2,000,000 2,023,400 Actual $2,951,407 430,212 231,847 114,880 65,800 1,500,000 833,333 - 31,609 Budget Actual Page 11

Finance Department Monthly Report July 2020 This page intentionally left blank Page 12

Finance Department Monthly Report July 2020 City of Dover Division Expense Summary (General Fund) Fiscal Year to Date (July 2020) Budget Actual % General Fund Divisions % of Budget City Clerk $ 508,400 $ 28,851 6% Council 156,600 14,295 9% Mayor Tax Assessor 245,900 29,490 12% Human Resources Fire 769,900 116,611 15% Customer Services Grounds 1,456,600 4,865 0% Fleet Maintenance Library 1,822,700 102,011 6% Procurement & Inventory Recreation 1,129,700 139,529 12% Engineering Life Safety 432,700 29,579 7% Code Enforcement 815,000 28,105 3% Facilities Management Planning 663,200 39,798 6% Pub. Services Administration Public Inspections 595,300 37,551 6% Finance Police 17,819,900 1,170,510 7% Information Technology Police Extra Duty 750,000 2,636 0% City Manager Streets 699,700 53,584 8% Stormwater Sanitation 2,506,800 66,633 3% Stormwater 785,900 15,163 2% Sanitation City Manager 1,044,800 118,235 11% Streets Information Technology 912,800 32,498 4% Police Extra Duty Finance 992,700 76,238 8% Police Pub. Services Administration 594,600 35,983 6% Public Inspections Facilities Management 655,800 36,073 6% Planning Engineering 198,700 22,491 11% Procurement & Inventory 715,900 52,436 7% Code Enforcement Fleet Maintenance 930,600 61,762 7% Life Safety Customer Services 1,107,600 77,850 7% Recreation Human Resources 524,200 30,046 6% Library Mayor 221,700 16,973 8% Grounds $ 39,057,700 $ 2,439,795 6% Fire Tax Assessor Council City Clerk 0% 2% 4% 6% 8% 10% 12% 14% 16% Page 13

Finance Department Monthly Report July 2020 City of Dover Utilities Expenditure Summary Fiscal Year to Date (July 2020) Water Divison Budget Actual % Engineering & Inspection $ 397,800 $ 23,388 6% Water Department 669,800 41,429 6% Water Treatment Plant 2,221,600 127,160 6% $ 3,289,200 $ 191,977 6% Wastewater Divison Budget Actual % Engineering & Inspection $ 288,300 $ 23,388 8% Wastewater Department 1,144,200 64,763 6% $ 1,432,500 $ 88,151 6% Electric Division Budget Actual % Transmission/Distribution $ 3,995,600 $ 237,865 6% Electrical Engineering 1,396,400 93,687 7% Administration 707,400 23,694 3% Meter Reading 375,300 24,648 7% Systems Operations 871,100 50,318 6% $ 7,345,800 $ 430,212 6% Page 14

Finance Department Monthly Report July 2020 Water Division % of Budget Water Treatment Plant Water Department Engineering & Inspection 5% 6% 6% 6% 6% 6% 6% 6% 6% 6% Wastewater Division % of Budget Wastewater Department Engineering & Inspection 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% Electric Division % of Budget Systems Operations Meter Reading Administration Electrical Engineering Transmission/Distribution 0% 1% 2% 3% 4% 5% 6% 7% 8% Page 15

Finance Department Monthly Report July 2020 City of Dover Capital Outlay Summary (All Funds) Fiscal Year to Date (July 2020) General Fund Budget Actual % Fire $ 173,300 $ 14,868 9% Police 912,400 - 0% Streets 936,000 - 0% Sanitation 475,200 - 0% Stormwater 1,110,700 - 0% Facilities Management 700,000 - 0% Library County Grant - 15,678 0% Recreation 395,000 - 0% Purchasing 25,000 - 0% Information Technology 61,600 1,017 2% Code Enforcement 20,400 - 0% Inspections 18,600 - 0% Grounds 39,600 - 0% General Fund Capital Projects $ 4,867,800 $ 31,562 1% Water Fund Water $ 1,225,900 $ 32,826 3% Water Treatment Plant - 24,322 0% Water Fund Capital Projects $ 1,225,900 $ 57,148 5% Wastewater Fund Wastewater 1,099,000 68,860 6% Wastewater Fund Capital Projects $ 1,099,000 $ 68,860 6% Electric Fund Electric Generation $ 1,267,000 $ 5,000 0% Transmission/Distribution 1,100,000 204,466 19% Electrical Engineering 2,968,900 2,878 0% ERP System 500,000 - 0% Electric Administration 360,000 36,070 10% Electric Fund Capital Projects $ 6,195,900 $ 248,415 4% TOTAL CAPITAL PROJECTS $ 13,388,600 $ 405,985 3% Page 16

Finance Department Monthly Report July 2020 Capital Outlay - All Divisions $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- Budget Actual Capital Outlay - By Fund $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Budget Actual General Fund Capital Projects Water Fund Capital Projects Wastewater Fund Electric Fund Capital Projects Page 17

Finance Department Monthly Report July 2020 This page intentionally left blank Page 18

DEPARTMENT OF POLICE Thomas A. Johnson, Jr. 400 South Queen Street Chief of Police Dover, Delaware 19904 302-736-7111 August 10, 2020 Honorable Robin Christiansen, Mayor Members of Dover City Council City Hall Dover, DE 19901 Mayor Christiansen and Council Members: The following is the monthly report for Dover Police Department activities for the month of July 2020: COMPLAINTS Total complaints received through July 31st, 2020 numbered 18,903 this is a decrease of 5,301 complaints over the same period last year. 30,000 25,709 25,533 24,668 24,204 25,000 18,903 20,000 15,000 10,000 5,000 0 2016 2017 2018 2019 2020 CRIMINAL INVESTIGATIONS 10 9 9 8 6 6 4 4 3 2 2 1 1 1 1 1 1 0 0 0 0 Burglary Robbery Rape Homicide Sudden Death Cases Reported in July Cases Cleared In July Cases Cleared from Previous Months 1|Page

DRUGS, VICE, & ORGANIZED CRIME (DVOC) AND STREET CRIMES SECTION SEIZURES Along with the drug seizures listed below, the units also recovered .2 grams of miscellaneous other drugs and $4,083.00 during the month of July. 1,500.00 1,065.10 1,000.00 500.00 22.3 161 35 1.029 0.00 Marijuana Cocaine Ecstasy (Doses) Prescription Heroin Pills (Doses) GRAMS/DOSES FIREARM SEIZURES/INSIDE CITY LIMITS 9 8 8 7 6 5 4 2 3 2 0 0 0 0 0 0 0 0 0 0 1 0 CI DVOC/STREET CRIMES PATROL SEU HANDGUN RIFLE SHOTGUN COMMUNITY POLICING & CADETS COMMUNITY POLICING CONTACTS ABANDONED VEHICLES 0 ALCOHOL VIOLATIONS/DUI’S 0 CADETS CONTACTS ASSIST OTHER 12 PARKING 7 WARRANTS ON FILE 0 SMOKING 0 CRIMINAL ARRESTS 0 OPEN CONTAINER 12 PARKING DCO’S 0 LOUD NOISE 0 LOUD MUSIC 0 OTHER DCO’s 0 MISCELLANEOUS DCO’S 0 PROPERTY CHECKS 20 PARKING COMPLAINTS 0 BUSINESS CONTACTS 44 PEDDLER 0 LIBRARY CHECKS 1 COMMUNITY OUTREACH 26 COMPLAINTS ASSIGNED 29 CRIME PREVENTION CHECK 0 SPECIAL EVENTS 0 TRAFFIC ARRESTS 0 TOTAL CONTACTS 113 BIKE PATROL 0 PROPERTY CHECKS 0 WARNINGS 0 TOTAL CONTACTS 38 2|Page

STREET CRIMES STREET CRIMES ENFORCEMENT CONTACTS ABANDONED VEHICLES 0 ALCOHOL VIOLATIONS/DUI'S 0 ASSIST OTHER 5 WARRANTS ON FILE 0 CITY PARK VIOLATIONS 0 CRIMINAL ARRESTS 32 DRUG RELATED ARRESTS 26 LOUD MUSIC 0 MISCELLANEOUS VIOLATIONS 0 PARKING VIOLATIONS 0 PEDDLER 0 MEETINGS 0 CURFEW CHECKS 120 CRIME PREVENTION CHECKS 0 TRAFFIC ARRESTS 11 WARNINGS 0 FUGITIVES 2 DCO'S 0 PROSTITUTION 0 TOTAL CONTACTS 196 TRAFFIC ARRESTS The department issued 2,818 traffic citations through this reporting period; this is a decrease of 2,783 citations over the number issued during the same period last year. 12,000 9,775 10,000 8,000 7,205 5,406 5,601 6,000 4,000 2,818 2,000 0 2016 2017 2018 2019 2020 3|Page

TRAFFIC CRASHES 800 746 700 600 500 400 346 300 200 100 0 Thru July Reportable Non-Reportable 911 Center During the month of July, the Dover Police Department handled 8,381 calls, an increase of 316 calls received during the same period last year. 12,000 10,000 9,644 9,114 8,381 7,915 8,065 8,000 6,000 4,000 2,000 0 2016 2017 2018 2019 2020 4|Page

CITY ORDINANCE SUMMONS Through July 31st, 2020, we issued 2,062 city ordinance summons, a decrease of 813 summonses for the same period last year. 5,000 4,066 4,000 3,423 2,878 2,875 3,000 2,040 1,764 2,062 2,000 1,393 1,066 793 1,000 0 2016 2017 2018 2019 2020 ISSUED 4,066 3,423 2,878 2,875 2,062 PAID 2,040 1,764 1,393 1,066 793 SEX OFFENDER STATISTICS/JULY MONTHLY NON COMPLIANT VERIFICATIONS NOTIFICATIONS REVERIFICATIONS WARRANTS TIER 1 0 0 0 0 TIER 2 18 1,669 36 2 TIER 3 07 651 26 0 ACTIVE SEX OFFENDERS THAT RESIDE IN THE CITY OF DOVER (please note, Tier 1 offenders are not contacted by Dover Police Sex Offender Agents). 250 197 194 200 150 105 98 100 50 0 JUNE JULY TIER 2 197 194 TIER 3 105 98 (Please note, Tier 1 offenders are not contacted by Dover Police Sex Offender Agents) 5|Page

Please visit our website at www.doverpolice.org for up to date information on crimes and activities in the City of Dover. Respectfully Submitted, Thomas A. Johnson, Jr. Chief of Police 6|Page

Memorandum To: Mayor and City Council From: Donna Mitchell, City Manager Date: September 14, 2020 Subject: Semi-Annual Inspection – Robbins Hose Company In accordance with Section 46-43 of the City Code, the City Manager performed the required semi-annual inspections of the Dover Fire Department. The timing of these inspections has been impacted by the COVID19 pandemic. They are normally conducted in April and October. Over the past two months inspections were completed on both Station 1 and Station 2 to cover both the April and October 2020 reports with Chief Rhodes. On July 23, Station No. 2 was inspected. Based on a previous agreement, the City budgets for capital maintenance on Fire Station #2 as it stands today. This past year’s budget included projects ($107,800) for a new roof, attic fans, HVAC improvements, dry wall repairs, mold remediation, painting, and dehumidization. The projects have all been completed within budget and the improvement in the facility is very noticeable. The station continues to be maintained in accordance with best practices as is the fire apparatus and equipment. On August 18, Station No. 1 was inspected. The station continues to be maintained in accordance with best practices as is the fire apparatus and equipment. There is some water damage in the communications room which are an indication of a roof repairs needed on one section of roof. Chief Rhodes showed me the new heavy-duty washer they purchased to wash their fire gear to remove carcinogens due to fire exposure. The purchase was made possible with donations received from some of our non-profit organizations showing their support of the Dover Fire Company. They are as follows – Bayhealth Medical Center $15,000 Presbyterian Homes $3,500 St. Johns Lutheran Church $100 Once again, everyone was extremely helpful with the inspection. Please feel free to contact me if you have any questions or concerns. cc: Ron Rhodes, Fire Chief Carter Knotts, Fire Chief’s Assistant Mike Hamlett, Central Services Director

COMMITTEE ACTION FORM PROCEEDING: City Council DEPARTMENT OF ORIGIN: City Manager’s Office DATE SUBMITTED: September 4, 2020 PREPARED BY: Matt Harline, Assistant City Manager SUBJECT: Consideration of Renewing the Agreement for Library Services with Library Systems and Services REFERENCE: N/A RELATED PROJECT: N/A REVIEWED BY: Donna Mitchell, City Manager EXHIBITS: Exhibit A – Library Service Delivery Agreement EXPENDITURE REQUIRED: $194,400 AMOUNT BUDGETED: $97,200 (This is six months funding for the contract. There is also six months of funding for Director and Assistant Director salary and benefits.) FUNDING SOURCE (Dept./Page in CIP & Budget): Library p.259 GL 100-13-15-11-000-53031 TIME TIMETABLE: The City must terminate the contract by October 20, 2020 or it will automatically renew for three years. RECOMMENDED ACTION: The Council should notify LS&S of our intention to terminate the contract. Then we should either: 1. Issue an RFP for Library Services and negotiate an agreement for a longer term; or 2. Prepare to on-board as City employees Brian Sylvester as Director and Megan Johnson as Assistant Director Any RFP should be conducted quickly and require retaining. The Council could also seek to negotiate new terms for a no-bid contract if it is convinced that extension of the contract is preferable and that there are no competitors for this service in the market. BACKGROUND AND ANALYSIS In January of 2020 the City entered into a no-bid, emergency agreement with Library Systems & Services, Inc. (LS&S) for a one-year contract for library management services. On January 20 Patricia Crosby began serving as the Interim Director and continued until LS&S brought in Brain Sylvester as Director and Megan Johnson as Assistant Library Director on July 20, 2020. LS&S provides all wages and benefits for the Director and Assistant Director as well as professional development assistance. LS&S brought the City in to approve both the Director and Assistant Director and has been an excellent partner. There are advantages to continuing the relationship with LS&S and Todd Frager will be available to make that presentation when appropriate. I am not aware of any other entity that provides this service, and we would have to require the hiring of the current staff, but in the interest of keeping with City Purchasing Policy I think we should terminate the contract with LS&S and either issue a Request for Proposals (RFP) or hire Brian Sylvester and “Meegs” Johnson as City Employees as of the completion of the contract.

City Staff recommends that the Council authorize the Assistant City Manager to terminate the contract with Library Systems & Services, LLC. of Rockville, Maryland for library management services and either pursue an RFP for services or hire Brain Sylvester as Director and Megan Johnson as Assistant Library Director of the Dover Public Library effective January 19, 2021.

LIBRARY SERVICE DELIVERY AGREEMENT This LIBRARY SERVICE DELIVERY AGREEMENT ("Agreement") is made as of the_ day of January, 2020 between: LIBRARY SYSTEMS & SERVICES, LLC, a Maryland limited liability company with a mailing address at 2600 Tower Oaks Drive, Rockville, Maryland 20852 ("LS&S"); and the CITY OF DOVER, DELAWARE, with a mailing address at P. 0 . Box 475, Dover, DE 19903 ("Customer"). LS&S and Customer are each sometimes referred to herein as a "Party" and collectively, the "Parties". The Parties agree as follows: 1. Services and Goods. (a) Services. During the tenn of this Agreement, LS&S will use commercially reasonable efforts to provide the services described on Schedule A (collectively, "Services"). 2. Term and Termination. (a) Term. This Agreement shall be in effect for a period of one (I) year commencing on January 21, 2020 ("Effective Date") and continues in force until January 20, 2021 (" Expiration Date"), unless sooner terminated in accordance with this Section 2. (b) Termination for Default. If either Party breaches any material provision of this Agreement and fails to correct the breach within thirty (30) days after receiving written notice specifying the breach (or, if the breach cannot be corrected within thirty (30) days, fails to progress diligently towards correction), then the other Party may terminate this Agreement by giving written notice to the breaching Party, except that LS&S shall have the right to terminate this Agreement if Customer fails to pay any amount due LS&S and such failure continues for ten ( l 0) days after written notice thereof. (c) Renewal. Subject to the termination provisions in accordance with this Section 2, this Agreement shall automatically renew and the Expiration Date extended for successive renewal periods equal in duration to the original term of this Agreement, unless written notice of intent to not renew is given by a Party at least three (3) calendar months prior to the Expiration Date. (d) Effect of Termination. Upon any termination of this Agreement, each Party shall (i) immediately discontinue all use of the other Party' s Confidential Information; (ii) delete the other Party' s Confidential Information from its computer storage or any other media, including, but not limited to, online and off-line libraries; (iii) shall return to the other Party or, at the other Party's option, destroy, all copies of such other Party's Confidential Information then in its possession (including the Documentation); and (iv) shall promptly pay all amounts due and remaining payable hereunder. (e) Survival of Obligations. The provisions of Sections 5, 6(b), 7, and 8-10, as well as Customer' s obligations to pay any amounts due and outstanding hereunder, shall survive termination or expiration of this Agreement.

3. Price and Payment. ( a) Price. LS&S shall perform the Services for the Charges (exclusive of any current or future taxes) set forth in Schedule A. (b) Payments. LS&S shall invoice Customer prior to each month's service for the monthly amount set forth in Schedule A. Customer shall pay all invoices, without offset or deduction, by bank wire transfer or Automated Clearing House (ACH) direct debit to a bank account designated by LS&S on or before the twentieth (20th) day of such month (the "Due Date") and shall bear interest at the rate of one and one quarter percent (1 ¼%) per month if not paid in full by the Due Date. If LS&S has not received payment by the Due Date, it may suspend performance contemplated under this Agreement until full payment has been received. (c) Taxes. LS&S shall add to its invoices any current or future taxes (other than LS&S's income tax) payable by LS&S on account of this Agreement, the Services, or Customer's payments hereunder, except to the extent Customer furnishes in advance a valid certificate of exemption from such taxes. This Agreement does not include charges for any sales or use tax that now, or in the future, may be deemed by a taxing authority to be applicable to the Services. In the event a taxing authority determines now or in the future that the Services are subject to such tax, LS&S shall invoice such taxes to the Customer and the Customer shall pay same simultaneously with the payment to which such taxes relate. In the event the Customer is not subject to or liable for such taxes, the Customer shall not be required to pay such taxes, shall provide LS&S with the legal basis of such exemption and shall agree to indemnify LS&S with respect to the nonpayment by LS&S of any such taxes to the extent permitted by the laws of Delaware. 4. Insurance and Indemnity. (a) Insurance. During the term of this Agreement, LS&S shall maintain in force at its own expense commercial general liability insurance coverage of at least one million dollars ($1,000,000) each occurrence and two million dollars ($2,000,000) annual aggregate. LS&S also shall maintain workers compensation insurance providing the statutory benefits required by law. (b) Property Insurance. Customer will keep its buildings and their contents insured against loss, cost, damage or expense resulting from fire, explosion or any other casualty in an amount equal to the full replacement cost thereof ("Casualty Insurance"). If any loss, cost, damage or expense resulting from fire, explosion, or any other casualty or occurrence is incurred by Customer in connection with its buildings or their contents, then Customer hereby releases LS&S, its owners, officers, employees, agents and volunteers from any liability it may have on account of such loss, cost, damage or expense to the extent of any amount receivable by reason of such Casualty Insurance, and waives any right of subrogation which might otherwise have existed or accrued to any person on account thereof. (c) Additional Insured. LS&S agrees that Customer will be added as an additional insured on the general liability policy. (d) Indemnification. To the extent permitted by law, LS&S agrees to defend Customer and its officials, directors, officers and employees (the "Customer Indemnitees") against any and all claims, demands, suits, proceedings, and actions ("Claims"), and will indemnify the Customer Indemnitees from and against any and all liabilities, damages, fines, and fees (including

attorneys ' fees) arising from such Claims, to the extent caused by LS&S's grossly negligent acts, errors or omissions. LS&S ' s obligations in this provision are conditioned upon (a) Customer providing LS&S with prompt written notice of any Claims, and (b) Customer providing reasonable assistance and information in the defense and settlement of claims. 5. Confidential Information and Intellectual Property. (a) Confidential Information. In the performance of this Agreement, LS&S may be exposed to information regarding the identity of Customer' s patrons, Customer may be exposed to infonnation regarding LS&S' s proprietary library management techniques, and either Party may be exposed to other written or oral information, disclosed by either Party to the other, related to either Party or a third party that has been identified as confidential or that by the nature of the circumstances surrounding disclosure ought reasonably to be treated as confidential(collectively, "Confidential Information"). Each Party shall: (1) use the same care to protect the other Party' s Confidential Information from disclosure that such Party uses to protect its own infonnation of like importance; (2) limit duplication of Confidential Information to the extent needed to perform this Agreement; and (3) disclose Confidential Information only to employees having a need to know in connection with performance of this Agreement, and who are informed of the contents of this provision prior to disclosure. This provision shall survive termination or expiration of this Agreement; and, on such termination or expiration, each Party shall return all Confidential Information, including all copies, to the owner of such information and, if requested, shall certify in writing that all such information has been returned. Because the damage resulting from a breach of this provision would be difficult or impossible to quantify and remedy at law, in case of such breach, or the threat of such breach, the Party whose Confidential Information is threatened to be disclosed shall be entitled to injunctive or other equitable relief. (b) Exceptions. Notwithstanding the foregoing, the provisions of Section 5(a) above, shall not apply to Confidential Information that (i) is publicly available or in the public domain at the time disclosed; (ii) is or becomes publicly available or enters the public domain through no fault of the recipient; (iii) is rightfully communicated to the recipient by persons not bound by confidentiality obligations with respect thereto; (iv) is already in the recipient's possession free of any confidentiality obligations with respect thereto at the time of disclosure; (v) is independently developed by the recipient; or (vi) is approved for release or disclosure by the disclosing Party without restriction. Notwithstanding the foregoing, each Party may disclose Confidential Information to the limited extent required (x) in order to comply with the order of a court or other governmental body, or as otherwise necessary to comply with applicable law, provided that the Party making the disclosure pursuant to the order shall first have given written notice to the other Party and made a reasonable effort to obtain a protective order; or (y) to establish a Party' s rights under this Agreement, including to make such court filings as it may be required to do. (c) Intellectual Property. Subject to the terms and conditions of this Agreement, LS&S hereby grants to Customer a limited, non-exclusive, non-transferable, non-sublicensable right and license to use the Documentation, as provided by LS&S, during the term of this Agreement, solely for Customer' s internal business purposes. Customer shall not use the Documentation for any purposes beyond the scope of the license granted in this Agreement. Without limiting the generality of the foregoing, Customer shall not (i) market or distribute the Documentation; (ii) make any copies of the Documentation; (iii) assign, sublicense, sell, lease, or otherwise transfer or convey, or pledge as security or otherwise encumber, Customer' s rights under the

license granted in this Section S(c) ; or (iv) modify the Docu~entation, except ~ith pri~r written consent of LS&S. The Parties acknowledge and agree that if Customer modifies or improves the Documentation all such modifications or improvements shall be considered part of the Documentation, and shall be owned by LS&S, and Customer hereby assigns to LS&S all right and title to such modifications or improvements. Other than as set forth in this paragraph, nothing in this Agreement confers any license or right to use any trademark, service mark, copyright or other intellectual property right, whether now owned or hereafter developed, of either Party. For the purposes of this Agreement, "Documentation" means the standard user manuals, instructions and related documentation made available by LS&S to Customer. 6. Warranties; Disclaimers. (a) Warranty. LS&S warrants that it will perform the Services with at least the care, diligence and expertise generally accepted in the library service industry. (b) Disclaimer. EXCEPT AS OTHERWISE EXPRESSLY WARRANTED IN THIS AGREEMENT, THE SERVICES AND GOODS PROVIDED BY LS&S ARE PROVIDED "AS IS" AND "WITH ALL FAULTS," AND LS&S EXPRESSLY DISCLAIMS ALL OTHER WARRANTIES OF ANY KIND OR NATURE, WHETHER EXPRESS, IMPLIED OR STATUTORY, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF OPERABILITY, CONDITION, TITLE, NON-INFRINGEMENT, NON- INTERFERENCE, QUIET ENJOYMENT, VALUE, ACCURACY OF DAT A, OR QUALITY, AS WELL AS ANY WARRANTIES OF MERCHANTABILITY, SYSTEM INTEGRATION, WORKMANSHIP, SUITABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR THE ABSENCE OF ANY DEFECTS THEREIN, WHETHER LATENT OR PATENT. NO WARRANTY IS MADE BY LS&S ON THE BASIS OF TRADE USAGE, COURSE OF DEALING OR COURSE OF TRADE. LS&S DOES NOT WARRANT THAT THE SERVICES OR GOODS WILL MEET CUSTOMER' S REQUIREMENTS OR THAT THE OPERATION THEREOF WILL BE UNINTERRUPTED OR ERROR-FREE, OR THAT ALL ERRORS WILL BE CORRECTED. CUSTOMER ACKNOWLEDGES THAT LS&S ' OBLIGATIONS UNDER THIS AGREEMENT ARE FOR THE BENEFIT OF CUSTOMER ONLY. 7. Limitation of Liability. IN NO EVENT SHALL LS&S BE LIABLE TO CUSTOMER FOR ANY INCIDENTAL, INDIRECT, SPECIAL, CONSEQUENTIAL OR PUNITIVE DAMAGES, REGARDLESS OF THE NATURE OF THE CLAIM, INCLUDING, WITHOUT LIMITATION, LOST PROFITS, COSTS OF DELAY, ANY FAILURE OF DELIVERY, BUSINESS INTERRUPTION, COSTS OF LOST OR DAMAGED DATA OR DOCUMENTATION OR LIABILITIES TO THIRD PARTIES ARISING FROM ANY SOURCE, EVEN IF LS&S HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. THIS LIMITATION UPON DAMAGES AND CLAIMS IS INTENDED TO APPLY WITHOUT REGARD TO WHETHER OTHER PROVISIONS OF THIS AGREEMENT HA VE BEEN BREACHED OR HA VE PROVEN INEFFECTIVE. THE CUMULATIVE LIABILITY OF LS&S TO CUSTOMER FOR ALL CLAIMS ARISING FROM OR RELATING TO THIS AGREEMENT, INCLUDING, WITHOUT LIMITATION, ANY CAUSE OF ACTION SOUNDING IN CONTRACT, TORT, OR STRICT LIABILITY, SHALL NOT EXCEED THE

LESSER OF (I) THE ACTUAL DAMAGES SUFFERED BY THE AGGRIEVED PARTY, OR (II) THE TOT AL ANNUAL ECONOMIC VALUE OF THIS CONTRACT. 8. Conflict of Interest. LS&S shall not, directly or indirectly, acquire any interest which will conflict in any manner or degree with the performance of its services hereunder. In this connection, LS&S, its employees and consultants shall make no political contributions to any political campaign or initiative affecting the Customer, nor should the customer make such a request of LS&S to do so. 9. Notices Any notice regarding the performance of services under this contract shall be considered delivered using regular U.S. mail services, email, or fax to the attention of the parties listed below: LS&S Todd Prager, CEO 2600 Tower Oaks Blvd. Suite 500, Rockville, MD 20852 Email: Todd.Frager@LSSLibraries.com Office: 301-540-5100 Customer Matthew C. Harline Assistant City Manager City of Dover, Delaware P. 0 . Box 475 Dover, DE 19903 10. Miscellaneous. (a) Indep endent Contractors. The relationship of the parties is that ofindependent contractors, and no partnership, joint venture, agency, employment, or other relationship is intended. (b) Assignment. Neither Party may assign this Agreement to a third party not affiliated with such Party without the prior written consent of the other Party, except that LS&S may subcontract or delegate portions of the Services; provided, however, that in no case shall Customer be liable to any party other than LS&S, or for any amount in excess of the price specified on Schedule A, plus any additional charges permitted hereunder. (c) Nondiscrimination, etc. LS&S shall not discriminate against any employee or applicant for employment because of race, color, sex, age, ancestry, medical condition (cancer or HIV Positivity including AIDS or ARC), national origin, sexual orientation, creed, religion, age, physical or mental disability, political affiliation, citizenship or any other characteristic prohibited by State or federal law. (d) Nonsolicitation ofEmployees. Customer acknowledges and agrees that the employees and consultants of LS&S who perfonn the Services are a valuable asset to LS&S and are difficult

to replace. Accordingly, Customer agrees that, du~n~ the Tei:n of the Agre~ment, and for a period of one ( l) year after the tennination or expiration of this Agreement, it shall not offer employment or engagement (whether as an employee, independent contractor or consultant) to any LS&S employee or consultant who performs any of the Services. (e) Force Majeure. LS&S shall not be liable for any failure or delay in performance of this Agreement due to causes beyond its control, including, but not limited to, act of god, strike, war or civil disturbance, weather emergency, or general failure of any necessary supply, service, utility or other cause beyond its reasonable control, such failure to perform shall not be grounds for termination of this Agreement. (f) Customer 's Representation. Customer represents and warrants that it has all necessary legal authority to enter into and perform this Agreement and that the person executing this Agreement on its behalf is legally authorized to do so. (g) Notices. Notices required or permitted under this Agreement shall be effective upon the third (3rd) business day after deposit in First Class mail, or the next business day after deposit with a recognized overnight courier, or upon receipt if e-mailed or faxed to the respective e- mail addresses or fax numbers, if addressed to the parties' respective addresses and marked to the attention shown on the first page of this Agreement. (h) Law and Enforceability. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware. If any provision of this Agreement is conclusively determined to be illegal, invalid or unenforceable, then such provision shall be severed, and the remaining provisions of this Agreement shall be so construed to carry out, as nearly as legally permitted, the intentions of the parties. (i) Other Rights. Customer hereby grants to LS&S the limited right to use Customer's name, logo and/or other marks for the sole purpose of listing Customer as a user of the applicable Offering in LS&S ' s promotional materials. LS&S agrees to discontinue such use within fourteen (14) days of Customer' s written request. OJ Survival. The provisions of Sections 5 and 6 shall survive any tennination or expiration of this Agreement. (k) Entire Agreement. This Agreement contains the entire understanding of the parties on the subject matter hereof and supersedes all prior statements and agreements on that subject. No failure or delay by either Party in enforcing any provision of this Agreement shall operate as a waiver. This Agreement may be modified or waived only in writing signed by the Party against whom such modification or waiver is sought to be enforced.

Intending to be legally bound, the parties have caused this Agreement to be executed by their duly authorized representatives. CITY OF DOVER, DELAWARE LIBRARY SYSTEMS & SERVICES, LLC By: Q lA:+ -h)~k~ p Name: Donna Mitchell By: Title: City Manager

Schedule A Master Services Agreement A. Statement of Work This Statement of Work No. 001 ("Statement of Work") is incorporated by reference to the Master Services Agreement dated January 21, 2020 (the "Agreement") between CITY OF DOVER, DELAWARE ("Customer") and LIBRARY SYSTEMS & SERVICES, LLC ("LS&S"). Any capitalized terms used but not defined in this Schedule A retain the same meaning given them in the Agreement. LS&S will provide Interim Library Leadership, Library Director and Assistant Library Director, to ensure the successful oversight and management of library operations including: • Provide supervision of Library in day-to-day operations, contact and interactions with citizens, community and City. • Keep the City informed of significant administrative decisions; operational and personnel issues, incidents, and other significant events affecting the Library. • Perform the following functions, as deemed reasonable and necessary: o Manage, direct, and assign Library employees; o Serve as liaison with respect to employer- employee matters, and make recommendations to the City concerning those matters; o Manage business affairs, operations, and facilities for the Library; o Administer and enforce Library policies established by the City; o Promulgate rules and procedures as necessary for the administration of the Library; o Attend appropriate City and Board meetings . Duration Twelve (12) months. (January 21, 2020-January 20, 2021) The Library Director and Assistant Library Director provided under this agreement will not be subject to Section JOd, Nonsolicitation , upon receipt of payment for the full duration of this SOW.

Payment Schedule Total proposed costs: Library Director - $9,100 per month. Assumes a target annual base salary of $70,000. Billing will commence upon placement of position. Prorated for the first month. Target base salary range for a Library Director- (target annual base salary- $70,000, max $84,000). Upon mutual consent of LS&S and the Customer, should LS&S place a Director above the target base salary, the new monthly fee will increase above the base amount of$9,100. Calculated as the incremental amount above $70,000 x a factor of 1.56. (e.g. $75,000 base= $9,100 + $5,000 x 1.56 = $7,800/ 12 = $650 + $9,100 = $9,750) Assistant Library Director - $7,101 per month. Assumes a target annual base salary of $57,000. Billing will commence upon placement of position. Prorated for the first month. Target base salary range for an Assistant Library Director - (target annual base salary - $57,000, max $68,000). Upon mutual consent of LS&S and the Customer, should LS&S place an Assistant Director above the target base salary, the new monthly fee will increase above the base amount of $7,101. Calculated as the incremental amount above $57,000 x a factor of 1.495. (e.g. $60,000 base= $7,101 + $3,000 x 1.495 = $4,485/ 12 = $374 + $7,101 = $7,475) Interim Library Director Upon mutual consent of LS&S and the Customer, LS&S may provide an Interim Library Director. The fee for this Interim Director is $2,275 per week. Living Expenses paid by Customer - housing, food, transportation at $245 per day. Billed for days onsite. Transportation to Dover paid by Customer will be billed as incurred at $545 per roundtrip. By executing below, the parties agree to the terms and conditions set forth in this Statement of Work No. 001. CITY OF DOVER, DELAWARE By: e£)-+-h-M:k'04..l.JL: Name: Donna Mitchell Title: Cit)) / Mo/:ager ' ~1.d LIBRARY SYSTEMS & SERVICES, LLC By: . ToddFra g CEO Y Date: I /l;/d,O Date:

RE August 25,2020 Traci McDowell, City Clerk City of Dover Clerk's Office 15 Loockerman Plaza Dover, DE 19901 AUG 26 2020 'FlCE OF1lIE CITY a...eJU( Ref: Second Fire Line Captain On August 3, 2020 the Dover Fire Department held our regularly scheduled company meeting which included the election for the position of Second Fire Line Captain. Below is the official results of the nominees for the position of Second Fire Line Captain as a result of the resignation from Deanna Simmons. The resignation was a result of Mrs. Simmons relocating outside the Dover Fire Department fire district therefor making her ineligible due to the residency requirement as specified in City of Dover Code. The following individual was nominated in accordance with our By-Laws: David Knight Mr. Knight was the sole nominee, therefor there will not be an election as outlined by our By-laws and his name is being submitted to you for review/approval. The Secretary position within the Dover Fire Department is currently vacant, therefor I have cast his vote for the office. Please feel free to contact me with any questions or concerns regarding this matter. Respectfull y, ~~Cj. Timoth~ney Jr, Pre~ cc: Electronic File 103 South Governors Avenue. Dover, Delaware 19904 Headquarters: (302)736-7168. Fire Chief's Office: (302)736-7167. FAX: (302)736-7166

FINAL READING CITY OF DOVER PROPOSED ORDINANCE #2020-10 WITH STAFF AMENDMENT #1 (SA#1) 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN 2 COUNCIL MET: 3 That Chapter 34 - Elections, Article II - Voter Registration, Section 34-31. - Requirements of the 4 Dover Code be amended by inserting the text indicated in bold, blue, and deleting the text indicated 5 in red strikeout as follows: 6 ARTICLE II. - VOTER REGISTRATION 7 Sec. 34-31. - Requirements. 8 No person shall vote, or be allowed to vote, in any municipal election unless such person is properly 9 registered to vote for state elections in accordance with title 15 of the Delaware Code (15 Del. C. 10 § 1101 et seq.), and as otherwise qualified to vote as required in section 8 of the city Charter. 11 Sec. 34-32. - Registration deadlines. 12 (a) Regular elections. In accordance with 15 Del. C. § 2036, § 2037, and § 7550(d) 13 The the city clerk shall close the registration records at the close of the business day 14 on the last working day of March of each year before the fourth Saturday Monday 15 prior to the date of the annual regular election, and only those voters properly 16 registered as of that time shall be entitled to vote at the following annual regular 17 election., and the 18 (b) Special elections. In accordance with 15 Del. C. § 2037 and § 7550(d) the city 19 clerk shall close the registration records 10 days prior to the date of a special 20 election and only those voters properly registered as of that time shall be 21 entitled to vote at the following special election. If the deadline falls on a 22 Saturday, Sunday or holiday, the deadline shall be the next day that is not a 23 Saturday, Sunday or holiday. 24 The registration records of the city shall remain closed until the first working day in May the day 25 after the regular or special election. 26 Sec. 34-32 34-33. - Custodian of registration records. 27 The city clerk shall be the custodian of the permanent registration records. The removal of 28 registration records from city hall shall be done only with the express consent of the city clerk. 29 (Code 1981, § 2-27; Ord. of 1-9-1989) 30 Secs. 34-3334-34—34-60. - Reserved. 31 (Code 1981, § 2-26; Ord. of 1-9-1989; Ord. of 11-26-1990, § 2)

Ordinance #2020-10 - Chapter 34 - Elections Page 2 32 ARTICLE III. - ABSENTEE VOTING 33 Sec. 34-61. - Purpose. 34 35 The intention of this article is to provide qualified voters of the city who are unable to appear at the 36 polling place of their district to cast their ballot on the day of an election with the ability to cast an 37 absentee ballot. 38 (Code 1981, § 2-41; Ord. of 2-11-1985; Ord. No. 2017-15 , 11-27-2017) 39 State Law reference— Similar provisions, 15 Del. C. § 5501. 40 Sec. 34-62. - Persons eligible to vote by absentee ballot. 41 Any qualified elector, duly registered, of this city may cast their vote by absentee ballot in any 42 regular municipal election or special municipal election if the elector is unable to appear at the 43 polling place of their election district due to reasons set forth in 15 Del. C. § 5502—Persons eligible 44 to vote by absentee ballot. 45 (Code 1981, § 2-42; Ord. of 2-11-1985; Ord. No. 2017-15 , 11-27-2017) 46 State Law reference— 15 Del. C. § 5502. 47 Sec. 34-63. - Request for ballot; statements required of persons applying for absentee ballots. 48 49 Any voter who is qualified under 15 Del. C. § 5502—Persons eligible to vote by absentee ballot, and 50 who desires to receive an absentee ballot may request one by filing a statement with the city clerk's 51 office, subscribed and sworn to by the voter, no later than 12:00 noon the day before the election. 52 (Code 1981, § 2-44; Ord. of 2-11-1985; Ord. of 11-26-1990, § 3; Ord. No. 2017-15 , 11-27-2017) 53 Sec. 34-64. - Distribution of ballots, envelopes and instructions. 54 Upon receipt of a statement from a voter, the city clerk's office, not more than 60, nor less than four 55 days prior to the regular or special election and within three days after the absentee ballots, envelopes 56 and instructions for completing and returning an absentee ballot become available, shall mail to the 57 voter, postage prepaid, an official ballot, enclosed in an official envelope, along with a voucher 58 envelope marked "voucher envelope," a copy of the instructions for completing and returning an 59 absentee ballot and a mailing envelope marked "mailing envelope." Nothing contained in this section 60 shall prevent the issuance of an absentee ballot to those lawfully entitled thereto prior to 12:00 noon 61 on the day prior to any regular or special election when the request is made less than four days prior 62 to the regular or special election. 63 (Code 1981, § 2-45; Ord. of 2-11-1985; Ord. of 11-26-1990; Ord. No. 2017-15 , 11-27-2017) 64 Editor's note— Ord. No. 2017-15 , adopted November 27, 2017, repealed § 34-64 and renumbered 65 § 34-65 as § 34-64. Former § 34-64 pertained to requests for ballots and derived from the Code of 66 1981; Ord. of 2-11-1985; and Ord. of 11-26-1990. 67 State Law reference— Similar provisions, 15 Del. C. § 5504.

Ordinance #2020-10 - Chapter 34 - Elections Page 3 68 ADOPTED: * 69 S:\ORDINANCES\2020\DRAFT\ORDINANCE #2020-10 - CH 34 - ELECTIONS\ORDINANCE #2020-10 with Staff Amendment 1 - CH 34 - ELECTIONS, ART II - VOTER 70 REGISTRATION-FINAL Reading.wpd 71 SYNOPSIS 72 The amendment aligns the voter registration deadlines with the Delaware Code. 73 74 (SPONSORS: LINDELL AND MCDOWELL) 75 Actions History 76 09/14/2020 - Scheduled for Final Reading - City Council 77 08/24/2020 - First Reading - City Council 78 07/28/2020 - Introduction - Council Committee of the Whole/Legislative, Finance, and Administration Committee