Minutes

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE The Legislative, Finance, and Administration Committee meeting was held on February 9, 2015, at 5:45 p.m. with Chairman Slavin presiding. Members present were Mr. Anderson, Mr. Hare, Mr. Shevock, and Mr. Sudler (arrived at 5:49 p.m.). Members of Council present were Mr. Dixon (arrived at 5:49 p.m.), Mr. Hutchison, and Mr. Bonar (arrived at 6:45 p.m.). Mayor Christiansen was also present. AGENDA ADDITIONS/DELETIONS Mr. Shevock moved for approval of the agenda, seconded by Mr. Hare and unanimously carried. Proposed Ordinance #2015-03 Amending Chapter 102 - Taxation, Article III - Realty Transfer Tax, Section 102-71 - Definitions; Article IV - Abatement of Real Estate Taxes, Section 102-113 - Qualifications; and Article V - Tax Credits for Historic Properties, Section 102-152 - Application Requirements and Section 102-153 - Application Review and Approval (Due to time constraints, this item was placed on the City Council agenda for consideration during their meeting scheduled for later in the evening.) Mrs. Ann Marie Townshend, Director of Planning and Community Development, advised members that proposed Ordinance #2015-03 would implement incentives that the City committed to through its Downtown Development District Application. She explained that the ordinance was related to the taxation section of the code and had three (3) components, as follows: 1) The City currently offers a transfer tax waiver for first-time homebuyers City-wide. Under the proposed ordinance, those who sell properties located in the area between Mary and Loockerman Streets and between Governors Avenue and West Street would also receive this transfer tax waiver if the properties are sold to someone who would be occupying the home as an owner. Mrs. Townshend indicated that the boundary included in the ordinance had been changed to coincide with the Downtown Development District boundary. 2) The City currently offers a tax waiver for owner-occupied houses located in the area between Mary and Loockerman Streets and between Governors Avenue and West Street, and this was expanded in the proposed ordinance to include the entire Downtown Development District. The ordinance would allow for a phase-in of taxes over five (5) years for an owner-occupied home. For the first year, no property taxes would be paid, for the second year 25% of the property taxes would be required, for the third year 50%, for the fourth year 75%, and in the fifth year the owner would begin paying the full tax. An owner who moves out of the district within this five (5) year period would be required to pay taxes back. Mrs. Townshend stated that this program had been “on the books” and staff had aligned it with the Downtown Development District boundaries.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 2 3) The City currently offers tax credits for renovation of historic properties based on the value of the work done to the exterior of the property, and review of tax credits by the Historic District Commission (HDC) is required. The proposed ordinance would allow for administrative approval of tax credits; however, if the tax credit relates to a project that would have to go to the HDC, the Commission would also be able to comment. This would allow for administrative approval of tax credits for projects such as the painting of a Victorian home, which would not normally come before the HDC. Mrs. Townshend explained that this would simplify and expedite the review process. Responding to Mr. Shevock as to whether a time frame would be associated with the high priority targeted area, Mrs. Townshend stated that no such time frame was included in the ordinance; however, the State’s Downtown Development District designation is a 10-year designation. If the high-targeted area were to shift within this 10-year time frame, it would be necessary to make a change in only one (1) location in the Dover Code, Appendix C - Downtown Redevelopment. Mr. Anderson moved to recommend adoption of Proposed Ordinance #2015-03, as recommended by staff, seconded by Mr. Shevock and unanimously carried. Proposed Ordinance #2015-04 Amending Appendix C - Downtown Redevelopment (Due to time constraints, this item was placed on the City Council agenda for consideration during their meeting scheduled for later in the evening.) Mrs. Ann Marie Townshend, Director of Planning and Community Development, stated that Proposed Ordinance #2015-04 would establish a high priority target area in the downtown area. She explained that the code currently has a defined target area for downtown redevelopment. Feedback received from members of Council regarding the City’s Downtown Development District Application indicated that Council did not want staff to reduce the area in which incentives were offered; however, the State wanted the City to have more incentives in the Development District than were available elsewhere in the City. Mrs. Townshend indicated that staff created a high priority target area and the Downtown Development District map was reflected in the language of the Proposed Ordinance. She explained the additional provisions in proposed Ordinance #2015-04, as follows: 1) The impact fee waiver currently applicable only to multi-story, mixed-use construction would no longer have to be a multi-story mixed use within the target. In this way, if a restaurant with many fixtures was opened, an impact fee waiver could be applied for a single-story building. In addition, if someone were to build five (5) houses on what was previously four (4) lots, they would receive credit for impact fees for prior structures but would receive a waiver for the fifth house.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 3 2) A three (3) year waiver of the business license fee would be offered for new businesses and businesses that relocate to the Downtown Development District. 3) A rebate of the buyer’s portion of the transfer tax would be offered within the high priority area for properties transferred after March 1, 2015 and receiving a certificate of occupancy within five (5) years of transfer. Mrs. Townshend indicated that this could apply to very large projects, noting that there had been discussion for many years about redeveloping the former Acme site on Governors Avenue. If a developer were to purchase this site and build a new building, they could receive a rebate of the buyer’s portion of the transfer tax when a certificate of occupancy is obtained. 4) Mrs. Townshend explained that this section of the Code currently requires applicants to commit to giving 10% of the value of that incentive to the Downtown Dover Partnership (DDP) in order to qualify for City incentives. After discussion with Mr. Gregg Moore, President, DDP, Mrs. Townshend stated that it had been agreed that it would be better to provide a full incentive rather than to require the 10% payment. Mrs. Townshend advised members that in addition to the above changes included in the proposed ordinance, the DDP had also agreed to offer grants up to $5,000 for architectural services for new businesses in the Downtown Development District. Responding to Mr. Hare, Mrs. Townshend stated that the incentives would apply to businesses opening in the Downtown Development District. Those who want to open large businesses elsewhere in Dover would not receive these incentives; however, there are other incentives available. She explained that redevelopment in the downtown area is difficult and more expensive than other areas because of the age of the infrastructure and buildings and the tightness of the lots. For this reason, the downtown area needs more help. The Governor budgeted and the legislature approved money for property owners to improve their properties. In exchange for this, local governments participating in the program were asked to provide added incentives in the area. Mrs. Townshend reminded members that this was previously discussed both by the Legislative, Finance, and Administration Committee and Council when the application was brought through the process before submitting it to the State. She noted that opportunities to improve incentives elsewhere could be discussed; however, this particular program was geared to the downtown area. Mr. Hare expressed his feeling that the City should provide incentives on a case-by-case basis to those willing to develop projects outside the target area, such as the former K-Mart building. Responding to Mr. Sudler regarding the location of the designated area, Mrs. Townshend explained that the rough boundaries of the Downtown Development District are as follows: the northeast boundary begins at the Mary Street/North Governors Avenue intersection, extending south down Governors Avenue to Fulton Street and east to State Street, extending south down State Street to Water Street, running west on Water Street and extending slightly south to bring in the Dover Transit Center, extending north along the railroad tracks, jutting west to include the eastern side of Lincoln Park, then continuing northward along the railroad tracks back to Mary Street.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 4 Mayor Christiansen commended Mrs. Townshend and Mr. Koenig for their efforts in this regard. He felt this tool would offer retail, mercantile, and residential establishments the opportunity to revitalize downtown. He stated that a lot of resources and attention would be focused in this area and it was hoped that these incentives and grants would stabilize the neighborhood and make it thrive, to the benefit of the entire City. Mr. Hare moved to recommend adoption of proposed Ordinance #2015-04, as recommended by staff, seconded by Mr. Anderson and unanimously carried. #2015-05 Fiscal Year 2015 Second Budget Amendment Mr. Scott Koenig, City Manager, advised members that the proposed budget amendment included adjustments to the Beginning Budget Balances for all funds now that the City’s audit had been completed. It also included any adjustments related to Council Actions in the budget year to date on changes in project budgets or operating items that were not included in the original budget. Mr. Koenig indicated that Council’s policy on transferring savings from prior year personnel expenses to the Pension or Other Post-Employment Benefit (OPEB) Trust Funds had also been included. The General Fund included a transfer to the Police Pension Fund of $100,000 and a transfer to the Civilian Pension Fund of $543,000, for a total transfer of $643,000. This $643,000 was the savings that was realized in personnel-related expenses in FY14 and was in accordance with Council’s prior policies. The Water/Sewer and Electric Funds did not have any personnel savings due to the change in pension accounting standards, so there were no additional contributions from any of the utility funds proposed. Additional adjustments were as follows: • Increases to Division budgets for vacation sell-back, retirement payout, and education assistance with a corresponding decrease to Other Employment Expenses across all applicable funds. Mr. Koenig advised members that this technique was used previously to keep individual department budgets from being inflated, rebated to vacation sellback, or even potentially retirement. • Transfer In from the Contingency Reserve for the final payment of the outstanding police grievance that had to be paid in FY15 with a corresponding adjustment to the Police budget. Mr. Koenig stated his belief that this amount was $50,000. • Increases in the following revenue items based on greater than planned receipts in Kent County Reciprocal Borrowing and Municipal Street Aid. • A transfer of $80,000 in capital project funds to the Parks and Recreation Reserve to set aside the budgeted funds for the White Oak Park improvements while awaiting the final needs of the recreation assessment. This was also in accordance with Council’s requests and actions related to the budget hearings held in 2014.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 5 Mr. Koenig explained that after the above adjustments, the General Fund Budget Balance would be $385,000 over the budgeted amount. It was staff’s recommendation to replenish the Contingency Reserve for the $300,000 used to settle the police grievances and to transfer the $85,000 to the Capital Asset Reserve in light of potential funding needs of the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties. He stated that these two (2) items had not been incorporated into the Budget Ordinance to allow for discussion. Mr. Koenig stated that if the recommendation were acted on favorably or modified, those modifications would be placed in the final version of Ordinance #2015-05. In regard to the payback of the Contingency Reserve Fund, Mr. Anderson asked if this would normally be accomplished over a couple of years and if it were proposed all at once because the money was available. Responding, Mr. Koenig stated that staff recommended replenishing the Contingency Reserve Fund because the money was available and the Fund was depleted by $250,000 in FY14 and by an additional $50,000 in FY15, for a total of $300,000. He explained that the $385,000 being discussed was actually FY14 money. Mr. Anderson inquired as to the reason for staff’s recommendation regarding the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties. Responding, Mr. Koenig stated that there was discussion at the President’s Counsel meeting held on February 4, 2015 regarding potentially hiring appraisers to appraise City buildings. He noted that at some point the assistance of architects would likely be needed to plan the space and evaluate which proposed alternative is the best to pursue. Mr. Koenig indicated that it was felt it would be best to place this money in a reserve until there is a clearer idea of the expenses. At that point, a request would come before Council to apply reserve funds to architectural or other related services. He noted that Council could also decide to apply these funds to a different project. Referring to total savings in personnel expenses in FY14 of $643,000, Mr. Slavin applauded those efforts and questioned how this occurred. Responding, Mr. Koenig stated that the savings was related to the timing of employees leaving and the hiring of new employees. He indicated that the personnel budget is approximately $30M in all funds and estimated that approximately $18M - $20M of this amount was in the General Fund. Mr. Slavin stated that some might say that the City overbudgets by more than $0.5M in personnel, which drives the tax rate. He indicated that he was not one (1) of these individuals but suggested that Mr. Koenig “prepare his defense” for this. Mr. Koenig stated that preparing the budget is not an exact science and agreed with Mr. Slavin that he would much rather be “in the black” in this area. Mr. Koenig explained that this figure includes salary and benefit savings, and in some cases staff may have budgeted for a retirement payout that did not happen. In response to Mr. Slavin regarding the policy level for the Contingency Reserve Fund, Mr. Koenig stated his belief that the whole fund was funded at $300,000; however, he did not have this number with him. At Mr. Slavin’s request, he agreed to check on this figure.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 6 Mr. Slavin requested clarification regarding the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties, since this committee had been called by this title and was also being referred to as a building committee. He questioned whether or not the committee was meeting in accordance with the Freedom of Information Act. Responding, Mrs. Traci McDowell, City Clerk, stated that this committee has Council and civilian members and adheres to all the requirements for public meeting notices and minutes. (City Clerk’s Office Note: City Council established an ad hoc Committee to study the future of City Hall, Weyandt Hall, and the Former Dover Public Library during their Regular meeting of November 12, 2013, as recommended by the Legislative, Finance, and Administration Committee. During the Regular Council meeting of August 25, 2014 the Committee members were appointed and, at the request of Council President Bonar, the Committee was called the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties.) Mr. Anderson moved to amend Ordinance #2015-05 to include the transfer of $300,000 from surplus funds into the Contingency Reserve Fund. The motion was seconded by Mr. Sudler. Mr. Hare asked if the $300,000 that could have been used to help offset a tax increase in FY16. Responding, Mr. Koenig stated that Council had the discretion on how they would like to use this $300,000, which amounted to just under $0.01 on the tax rate. Mr. Hare noted that these funds could have been used to hire additional police officers. Mr. Koenig stated that if there were no need to replenish the contingency fund with $300,000, these funds could have been used for any General Fund expense related to City of Dover operations, as requested by Council. Mr. Sudler inquired if the City had insurance to cover the $300,000 related to the grievances or if these funds had to come out of the City’s “pocket.” Mr. Koenig explained that the City has an insurance company; however, ultimately the feeling was that it was in the City’s best interest to settle the grievances immediately rather than allow its insurance company to defend any potential lawsuit that might come out of the disagreement. He stated that if the City had not acted and a suit had been filed against the City, the insurance company would have defended the City through that suit and the City would have had to pay its deductibles. Because the suit was settled, the insurance company’s answer was that they would have allowed the matter to go to a lawsuit and defended it that way. The motion to amend Ordinance #2015-05 to include the transfer of $300,000 from surplus funds into the Contingency Reserve Fund was unanimously carried. In regard to the remaining amount, Mr. Anderson expressed his belief that there was merit to putting studies in the works. He reminded members of previous discussion indicating that the City should remember the Parks and Recreation budget, which had been “squeezed”, when the City did have money that was over budget. He indicated that several items that had come up in regard to the Recreation Needs Assessment, including budget items related to design that would be beneficial over

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 7 the next year. Mr. Anderson proposed that part of the funds go to the Parks and Recreation budget and part to the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties. Mr. Anderson moved to recommend amending Ordinance #2015-05 to allocate $60,000 of the remaining $85,000 to Capital Asset Reserve for the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties and $25,000 to the Parkland Reserve Fund, to be taken out of the Parkland Reserve Fund at a later date if approved by Council. The motion was seconded by Mr. Sudler. Mr. Sudler questioned how close the City was to the Dover Park plan of action and budget. Responding, Mrs. Ann Marie Townshend, Director of Planning and Community Development, stated her hope that, within the next month, staff would have a solid draft of the Recreation Needs Assessment document; however, highlights were provided to the Parks, Recreation, and Community Enhancement Committee during their meeting of January 12, 2015. She noted that staff was getting ready to prepare a Request for Proposals (RFP) for landscape architecture services for a plan for Dover Park based on the results of the Needs Assessment. Mr. Shevock noted that staff’s recommendation was to put funds to the Contingency Reserve Fund and then transfer $85,000 to the Capital Asset Reserve Fund. He questioned the reason for putting the $85,000 in the Capital Reserve Asset Fund. Responding, Mr. Koenig stated that Mrs. Mitchell and he agreed that after funding the Contingency Reserve, the initial recommendation from staff would be for capital needs versus operating budget needs. Staff had been trying very hard to have departments manage their operating budgets to levels authorized by Council, with minor departmental changes, because it was believed that extra money should go to capital needs. Mr. Shevock questioned where money would be drawn from for capital assets if the funds proposed were moved to these areas and an emergency arose. Responding, Mr. Koenig stated, for example, if there were a catastrophic failure of a building, the capital asset reserve would be used. If it were utility-related, it would come from the utility asset reserve. If there were a high operating expense that came “out of the blue”, staff would typically try to contain it in the operating budget, and if this were not possible, staff would ask Council for a transfer from the reserve into the operating budget. Mr. Koenig explained that the safeguard was to keep these funds out of general operating expenses and put them into the capital asset or other reserve so that staff would have to come to Council for specific authorization on how to use those funds. Assuming these funds were transferred and a catastrophic event occurred, Mr. Shevock questioned if the money could be pulled back or if they would become “free money” that would be spent once allocated. In response, Mr. Koenig explained that authorization would have to be obtained for funds to come back out of these accounts. He reassured members that if there were an emergency, staff would come before Council to request special authorization, even if it required a special meeting.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 8 Responding to Mr. Anderson, Mr. Koenig confirmed that the proposal was to put money into the reserve accounts where it would not be spent without Council authorization; therefore, funds would be reserved and not spent through Mr. Anderson’s proposed amendment. The motion to recommend amending Ordinance #2015-05 to allocate $60,000 of the remaining $85,000 to the Capital Asset Reserve for the President's Counsel on Public/Private Partnerships and the Future of City Hall, Weyandt Hall, Former Dover Library and Other City Properties and $25,000 to the Parkland Reserve Fund, to be taken out of the Parkland Reserve Fund at a later date if approved by Council, was unanimously carried. Mr. Anderson moved to recommend adoption of Ordinance #2015-05, as amended, (Attachment #1) seconded by Mr. Sudler and unanimously carried. Comprehensive Annual Financial Report (CAFR) for the Fiscal Year Ending June 30, 2014 Chairman Slavin advised members that Mr. Scott Koenig, City Manager, would be presenting this item in the absence of Mrs. Donna Mitchell, Controller/Treasurer. Referring to the presentation entitled City of Dover Comprehensive Annual Financial Report - Fiscal Year Ended June 30, 2014, Page 14 - General Fund Budget Highlights - Fiscal Year 2014, Mr. Koenig read the following information into the record: The Final General Fund Budget incorporated the following changes to the Original Budget: • The Budget Balance carried forward from the prior fiscal year was higher by $0.8 million than was projected. Receipts had a net increase of approximately $0.8 million. The most significant increases were related to intrafund service receipts related to the accounting change for pensions, transfer taxes, court of chancery fees, and building permits. The most significant reductions were police extra duty fees and civil traffic penalties. • Expenditures were revised to reflect an aggregate increase of $1.1 million. Increased employer contributions to the Police and Employee Pension funds accounted for most of the increased budget expense with a slight increased in the transfer to the capital project fund. The increases were offset by decreases in street lights, insurance, police pension grants and fire services. The net result of these changes was a $0.5 million increase in the revised budget balance over the Original Budget Balance (on a non-GAAP basis). General Fund actual revenues and other financing sources matched the final total revenues with a $23,000 positive variance. Mr. Koenig advised members that, in his opinion, the numbers were tracking very tightly. He indicated that financial controls are very tight on the City and the numbers in the CAFR reflect that.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 9 He requested that Mrs. Mitchell be given the opportunity at the Council level to do an appropriate presentation of the CAFR during the City Council meeting scheduled for February 23, 2015, because this is something that she and her staff had worked very diligently on over the last few months. Mr. Koenig requested that everyone read three (3) specific pages in the CAFR presentation before that time: Page 12 - Changes in Net Assets - Governmental Activities; Page 13 - Changes in Net Assets - Business Type Activities; and Page 14 - General Fund Budget Highlights - Fiscal Year 2014, since he felt this information summed up where the CAFR stands. In regard to the electric utility, Mr. Anderson stated that there were additional expenses in that account which came out of the Electric Stabilization Fund and asked Mr. Koenig to elaborate on the effect and how much was left in that fund. Responding, Mr. Koenig stated that he did not know the exact amount that was left in the fund; however, he noted that during the FY15 budget hearings, a gap of approximately $2.2M was anticipated in the General Fund. Staff recommended that this gap be filled through a tax increase. Through budget deliberation, Council altered that number slightly downward, and ultimately the gap was filled by a revised transfer from the Electric Fund to the General Fund. The proposed transfer was $8M; the revised transfer was $10M, and Mrs. Mitchell used that $10M as a baseline transfer in the five (5) year financial forecast, which accelerated the depletion of the Rate Stabilization Fund. Mr. Koenig indicated that staff was currently re-running those numbers as part of fiscal forecasting for the electric utility. The concern was that the $10M transfer will deplete the Rate Stabilization Fund rather quickly, and a rate increase may be discussed sooner than would have occurred had the transfer remained at $8M. He indicated that the net effect of that increased transfer is that it will likely cause the City to have to increase electric rates sooner than would have been necessary if the transfer had stayed at $8M, noting that there were a number of variables involved. Review of Training, Conference, and Travel Policy (Deferred on January 12, 2015 Due to Time Constraints) Mr. Scott Koenig, City Manager, reviewed the draft revised City of Dover Training, Conference, and Travel Policy. He advised members that this policy is reviewed by Mrs. Donna Mitchell, Controller/Treasurer on a regular basis. He noted that revisions to the policy were included in red font and were relatively minor changes. Staff recommended approval of the revised City of Dover Training, Conference, and Travel Policy (Attachment #2). Mr. Hare moved to recommend approval of staff’s recommendation, seconded by Mr. Anderson and unanimously carried. Review of Effectiveness of the Safe Communities Ordinance (Request of Councilman Anderson) Mrs. Ann Marie Townshend, Director of Planning and Community Development, advised members that the City’s Safe Communities Ordinance: 1) requires the City to provide landlord training whereby landlords would learn a number of things, such as better screening of tenants, the proper eviction process, fair housing, and drug identification, as taught by the Police Department. The idea is that

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 10 when landlords go to the class, they would obtain a better sense of how to manage properties in a way that is a benefit and not a detriment to the community. Mrs. Townshend stated that the ordinance also requires that landlords and tenants enter into a lease addendum that must be presented to the City when utility services are established. In this addendum, tenants would acknowledge that if they, members of their family, guests, or others associated with them commit certain criminal acts within 500 feet of the property, they could go down the path for eviction. The ordinance states that if the problem continues, the City can force the landlord to initiate the eviction process. Mrs. Townshend stated that the ordinance had been in effect for approximately 1½ years and four (4) training sessions had been held. Each had been well attended and feedback had been positive. The City had not had to force any evictions. There had been a number of cases relating to problem properties where information had been received from the Police Department. She indicated that there had been a couple of times when letters had been sent notifying landlords they were reaching a point where they would have to evict. She explained that some landlords do not know that their tenant is a problem; therefore, that communication is helpful. Mrs. Townshend explained that she had discussed with Police Chief the need to ensure that officers file a report when responding to calls at properties that have had repeated problems, since this would provide something to go on if an eviction must be forced. She indicated a few areas could be “fine tuned”, noting a few cases where the lease addenda did not get to where they needed to be, so staff was improving the method of tracking. Mrs. Townshend indicated that some landlords had requested staff to send them a letter so that they now could tell their tenant that they were causing the landlord trouble with the City, reiterating the importance of having data from the Police Department. As time moves on and some of the “kinks” are worked out, she felt the City would continue to see benefit. Responding to Mr. Anderson in regard to whether there was a need to revise the ordinance, Mrs. Townshend expressed the need to give the ordinance a chance to work. She indicated the desire not to be so prohibitive that people would be evicted from their property for things that were not serious but also make sure that it gives “the hammer” to deal with problem cases. She noted that the ordinance may need to be re-examined in the future. Mr. Anderson questioned the outcome regarding a notable case in The Hamlet. Responding, Mrs. Townshend stated that the last tenant at this property left on their own accord. At this point, there had been so much interaction with this particular landlord, that she felt he was being more vigilant in dealing with his properties because the complaint volume had decreased. In response to Mr. Sudler regarding the relationship of the Safe Communities Ordinance and the State of Delaware landlord tenant code, Mrs. Townshend stated that the Safe Communities Ordinance does not affect the State Code because it does not supersede or attempt to supersede the eviction process. The Safe Communities Ordinance indicates that if certain infractions happen, the landlord has to initiate the process. If the landlord does not initiate the process, the rental permit would be suspended. The property would then be shut down and utilities terminated. Mrs. Townshend explained that unless there is a serious life safety issue, tenants are given 30 days to vacate. At one point, staff was concerned that landlords would try to use that in their favor to get around the process;

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 11 however, if it comes to the point of suspending the rental permit, every Code violation in the property would need to be fixed and there is a $100 reinstatement fee. Mrs. Townshend felt that the few landlords who tried to “use” the City in that regard had figured out that it is not to their benefit. Automatic Escalator for Building-Related Permit Fees (Request of Councilman Anderson) During the meeting of August 11, 2014, members of the Legislative, Finance, and Administration Committee considered this matter and recommended that an automatic escalator for building-related permit fees be referred to staff with their full ability to revise in its entirety to develop recommendations based upon its intent. The Committee’s recommendation was approved by City Council during their meeting of August 25, 2014. Mrs. Ann Marie Townshend, Director of Planning and Community Development, advised members that building permit fees are based on the building construction valuation, and the City uses construction valuation tables that are issued through the International Code Council (ICC). The ICC updates these tables every six (6) months. Staff had been using the tables that were in place at the time of the ICC Code adoption, but had now determined that the August version for each year should be used. Mrs. Townshend stated that by virtue of using current construction values, there is an automatic escalator in building permit fees only, since there is a cost per square foot for these permits, depending on the type of construction. This negates the need to increase the building permit fee over time because, by virtue of the construction value going up, the fees should increase on their own. Mr. Anderson explained that by making an administrative change in the valuation, the City would be updating by using current valuation instead of the valuation being “stuck” in a particular year. Mrs. Townshend stated this is a more realistic approach and would allow consistency. If the construction value that an applicant puts on a building permit is assumed to be correct, the person who is more honest would pay a higher fee. This automatic escalator would add consistency and allow the City to adjust to changes in the construction cost. The HVAC, plumbing, and other building-related permits would not change because they are based on either BTU’s, number of fixtures, or similar things. Mr. Anderson indicated that he was satisfied with this approach. He was unsure if other changes were needed, but if so, they could go into the next resolution and the Committee could discuss this. Mr. Koenig stated that he had incorrectly told Mr. Slavin that the City was applying the escalator previously on an annualized basis. This had been discussed, but when checking the record, it was determined that the City adopted the 2009 building codes and put this schedule into place. Going forward, the building valuation published each year would be administratively put into place the August of each year building valuations that are published through the ICC valuations. Proposed Resolution No. 2015-01 - Dover Prospers Initiative (Economic Greening) (Request of Councilman Anderson) Mr. Anderson explained the purpose of Proposed Resolution No. 2015-01, noting that there is a lot of competition in the current environment for businesses, and a lot of opportunity that goes to places

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 12 that are the most flexible, prepared, and have an efficient, streamlined approach. He felt that the City had done a tremendous amount to move in this direction and that staff is business friendly; however, out-of-state and micro business people can tend to get lost. Mr. Anderson advised members that a “one-stop shop” approach, where all needed information could be obtained in one (1) place, had worked successfully in other areas around the country but would take some work. He indicated that he had worked with staff and it was his belief that the City could get “80% of the way there,” and thanked Mrs. Ann Marie Townshend, Director of Planning and Community Development; Mr. Scott Koenig, City Manager; and Mr. Bill Neaton, Economic Development Manager, for their help. Mr. Anderson felt that the proposed resolution would allow access to all the information needed to open a business in the City of Dover in one (1) place, including a packet on the City’s website with contact information for people who will help. Mr. Anderson indicated this would show the City to be business friendly, which would: 1) help generate small and micro-business, and 2) help attract an occasional “home run” business when it is seen how efficient the City is. He noted this proposal would have no cost to the City, many aspects were already being developed, and staff was well on the way to implementing it. Mrs. Townshend indicated that staff had been working with the business community for a number of years in trying to address certain regulatory changes; however, it had been approximately five (5) or six (6) years since a series of forums, workshops, or focus groups had been held to meet with a broader cross-section of the regulated community to determine what the problems are. Referring to Section 2 of the proposed resolution, Mrs. Townshend explained that the Planning Department, City Manager’s Office, and Economic Development Office would work together to hold a series of focus groups with the business community, development community, and real estate community. Out of this, a “road map” would be developed for the next year whereby the City would look at re-evaluating regulations. For example, Mrs. Townshend explained that the City’s sign regulations had been a top priority and were rewritten, as were the commercial zone regulations. Once the industrial zones are reviewed, she indicated that staff would be finished with those pieces that had been identified, noting that other issues were emerging as the market changes. She felt that a fresh list could be developed of current issues and how they can be better addressed. Mr. Anderson expressed his desire to have a “sunset review” of regulations, based on the citizens’ input, to make sure that the City stays current. He felt that the provisions in the resolution regarding focus groups may provide a larger cross-section, as well as flexibility, since people involved would not have to commit to a particular time period. Mrs. Townshend stated that she suggested this approach because, depending on which set of regulations was being tackled, the people at the table may change. She stated that one (1) of the issues being discussed currently is parking requirements for restaurants, which were not working well. This would be a conversation with the real estate, development, and restaurant communities to make sure that it reflects what they are seeing. Mrs. Townshend advised members that working on different regulatory issues may involve a different “cast of characters” and the proposed approach would allow the City to be flexible to the needs of the community. Mr. Anderson noted that Mrs. Townshend had agreed a co-sponsor the resolution.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 13 Mr. Anderson moved to recommend adoption of Proposed Resolution No. 2015-01 (Attachment #3), seconded by Mr. Sudler and unanimously carried. Freedom to Worship Act (Request of Councilman Anderson) Mr. Anderson stated that originally in the City zoning, places of worship and places of meeting were allowed in almost every non-manufacturing zone. However, zoning had become more complicated over time with more commercial zones and a myriad of residential zones, and there were inconsistencies in the code in regard to places of meeting and places of worship. Mr. Anderson stated that he had heard a number of associated complaints, noting that one (1) related to the property at 870 Forest Street, formerly occupied by the Bennie Smith Funeral Home, which contains a chapel and was rented to a counselor. Meetings were held there when the counselor was the primary use and the church was the secondary use as it met all of the requirements; however, after meetings had been held there for two (2) years, they suddenly did not have the same success, which caused him concern. Mr. Anderson indicated that this particular sub-zone had left something out as fundamental as places of meeting and places of worship, which are just as valid as any other activity in the CA-1 Corridor Zone. He stated that he wanted to investigate ways to keep the tradition the City used to have of making sure that places of meeting are allowed wherever they are appropriate for public safety and meet the normal requirements. Mr. Anderson moved to recommend that the issue of making sure that places of meeting and places of worship are allowed wherever they are appropriate for public safety and meet the normal requirements be referred to staff. The motion was seconded by Mr. Hare and unanimously carried. Updates Certified Local Government Application Members were advised that in 1980, an amendment to the National Historic Preservation Act of 1966 established the Certified Local Government (CLG) program to involve local governments in national preservation efforts. Most states, including Delaware, created programs extending CLG status to local communities with a local historic preservation district and a historic preservation commission. The CLG program provides technical assistance to support historic preservation efforts and eligibility for federal Historic Preservation Funds. In addition, localities participating in the CLG program participate in the National Register nomination process for historic properties and are strongly considered for training and technical assistance from the State Historic Preservation Office (SHPO). The City of Dover, Delaware 2008 Comprehensive Plan included a recommendation within the Implementation Chapter (Chapter 15, page 179) to “Obtain Certified Local Government (CLG) through the National Park Service.” In November 2013, City Council instructed the Planning Office to compile the CLG application. After a vacancy was filled on the HDC in Summer 2014, staff was able to compile the information needed to complete the application. Providing the qualifications of Commission members is one (1) of the application requirements. The draft application is attached for review by the Committee and will be presented to the HDC for their review on January 15, 2015. If recommended by City Council, staff will submit the application to the SHPO, along with a letter from the Mayor. This letter will be drafted once the Historic District Commission has taken action

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 14 on the application. Following the review of the CLG application, the City will enter into a certification agreement prepared by SHPO which outlines the local government responsibilities under the certification. Mrs. Ann Marie Townshend, Director of Planning and Community Development, explained that it had taken staff some time to put together the CLG application, which would open the City to being eligible for certain grants for historic preservation activities, noting that there were vacancies on the HDC which was now fully operational. Staff recommended that the application be approved and forwarded to the State Historic Preservation Office (SHPO), to be accompanied by a letter from the Mayor. Mr. Hare moved to recommend approval of staff’s recommendation, seconded by Mr. Shevock and unanimously carried. “Safe Whistles” National Recreation and Park Association Recommended Guidelines for Credentialing Volunteers (Background Screening for Youth Coaches and Sports Officials for All City Recreation Offerings) During the Legislative, Finance, and Administration Committee meeting held on September 9, 2013, members discussed the issue of background checks for Parks and Recreation volunteers working with youth and members recommended that staff, specifically Mrs. Ann Marie Townshend, Director of Planning and Community Development, and Mrs. Kim Hawkins, Human Resources Director, be directed to review the National Recreation and Park Association Recommended Guidelines to conduct an analysis and formulate a recommendation regarding the scope and depth of the background checks that should be required, the cost and how it would be addressed, the period of time the background check would remain valid, and some type of roll-out implementation strategy to be brought back to the Committee within one (1) month for their review and recommendation to City Council. City Council approved the Committee’s recommendation during their meeting held on September 23, 2013. During the Legislative Finance, and Administration Committee meeting held on November 12, 2013, the Committee recommended that background checks be performed for all Parks and Recreation volunteers and contractors, including officials, who will be working directly with youth, every three (3) years, and that staff implement a staggered approach that would require compliance by officials by a certain date in 2014. City Council approved the Committee’s recommendation during their meeting held on November 25, 2013. During the Legislative Finance, and Administration Committee meeting held on February 9, 2014, Mrs. Ann Marie Townshend, Director of Planning and Community Development, advised members that staff had developed a procedure and volunteer application form and that all volunteers involved in youth programming, primarily sports coaches, are run through a background check process, after obtaining their permission. Those who do not come through with a clean record are disqualified. Mrs. Townshend explained that the guidelines were reviewed with the Human Resources Department (HR) to make sure that the process is not inconsistent with City hiring processes and the new process is not significantly different from HR’s process. She noted that some people had been turned away.

LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE MEETING OF FEBRUARY 9, 2015 PAGE 15 Referring to the Criminal Background Check Automatic Disqualifiers for Youth Sports Volunteers, Mr. Slavin suggested some rewording related to “Felonies - All Felony offenses other than violence or sex within the past 10 (ten) years,” stating that he could discuss this with Mrs. Townshend after the meeting. Responding to Mr. Hare, Mrs. Townshend stated that the process in place was working. In response to Mr. Shevock regarding how the application form was being protected since it contained sensitive information, Mrs. Townshend stated that forms were being kept in a locked cabinet at the Parks and Recreation Office, in the same way any personnel files are kept. Audits had been conducted in the past on identity theft and those types of things. Mayor Christiansen questioned why applications were reviewed every three (3) years, noting that he would feel more comfortable if they were reviewed yearly. Mrs. Townshend stated that background screening is performed on City employees only when they join the workforce; however, she stated volunteers could be brought through the process every year, noting that Little League and Pop Warner Leagues do this. Mayor Christiansen felt this would be in the best interest of the City, and Mrs. Townshend agreed. Responding to Mr. Hare, Mrs. Townshend stated that there is an expense to conducting the background check, which the City pays since they have difficulty getting coaches and asking them to pay the $35 to do this would cause more difficulty. In response to Mr. Hare, Mrs. Townshend estimated that approximately 50 background checks are done each year, and Mr. Hare noted a cost of close to $2,000 per year. Mayor Christiansen stated that if there were a three (3) year lapse and an incident occurred with a child, the City would be in the line of fire and incur a liability. Mrs. Townshend stated that no one in the City wanted to be in a position where a decision that was made adversely affected the life of a child. Mayor Christiansen respected Mr. Hare’s concern regarding the cost but felt that review every year would be appropriate. Mr. Shevock moved for adjournment, seconded by Mr. Sudler and unanimously carried. Meeting adjourned at 7:02 p.m. Timothy A. Slavin Chairman TAS/TM/js S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Committee-Minutes\2015\02-09-2015 LF&A.wpd Attachments Attachment #1 - Proposed Ordinance #2015-05 with LF&A #1 Attachment #2 - Draft Revised City of Dover Training, Conference and Travel Policy Attachment #3 - Proposed Resolution No. 2015-01

ATTACHMENT #1 LF&A Committee Meeting of 02/09/2015 FIRST READING CITY OF DOVER ORDINANCE # 2015-05, LF&A #1 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 2 The amount hereinafter named aggregating Forty Three Million Three Hundred Ninety Nine Thousand dollars 3 ($43,399,000) or so much thereof as may be necessary are hereby appropriated from current revenues 4 and other funds for the use by several departments of the Municipal Government for the fiscal year 5 beginning July 1, 2014 and ending June 30, 2015: 6 GENERAL FUND 7 REVENUES AND BUDGET FOR 2014-2015 8 2014/15 2014/15 9 BUDGET REVISED 10 BEGINNING BALANCE $ 3,393,000 $ 4,361,500 11 REVENUES 12 FINES AND POLICE REVENUE 629,300 629,300 13 INVESTMENT INCOME 40,000 40,000 14 LIBRARY REVENUES 71,600 71,600 15 KENT COUNTY BOOK REIMBURSEMENT 450,000 490,000 16 BUSINESS LICENSES 1,460,000 1,460,000 17 PERMITS AND OTHER LICENSES 1,354,200 1,354,200 18 MISCELLANEOUS CHARGES 53,900 53,900 19 POLICE EXTRA DUTY 659,500 659,500 20 PROPERTY TAXES 11,049,200 11,049,200 21 BID REVENUE 50,000 50,000 22 RECREATION REVENUE 148,800 148,800 23 FRANCHISE FEE 636,000 636,000 24 SANITATION FEES 2,595,600 2,595,600 25 RENT REVENUE - GARRISON FARM 101,400 101,400 26 COURT OF CHANCERY FEES 1,023,000 1,023,000 27 REVENUES SUBTOTAL 20,322,500 20,362,500 28 INTERFUND SERVICE RECEIPTS 29 INTRAFUND SERVICE RECEIPTS WATER/WASTEWATER 1,354,900 1,371,100 30 INTRAFUND SERVICE RECEIPTS ELECTRIC 3,508,100 3,588,200 31 INTERFUND SERVICE RECEIPTS SUBTOTAL 4,863,000 4,959,300 32 GRANTS 33 POLICE RELATED 124,000 124,000 34 POLICE PENSION GRANT 500,000 500,000 35 GREEN ENERGY GRANT 98,500 98,500 36 MISCELLANEOUS GRANTS 25,000 25,000 37 GRANTS SUBTOTAL 747,500 747,500 38 TRANSFERS FROM 39 TRANSFER TAX 1,250,000 1,250,000 40 MUNICIPAL STREET AID 663,900 664,200 41 CIVIL TRAFFIC PENALTIES 500,000 500,000 42 WATER/WASTEWATER 500,000 500,000 43 ELECTRIC 10,000,000 10,000,000 44 OTHER RESERVES INCLUDING CONTINGENCY 4,000 54,000 45 TRANSFERS FROM SUBTOTAL 12,917,900 12,968,200 46 TOTAL REVENUES 38,850,900 39,037,500 47 TOTALS $ 42,243,900 $ 43,399,000 1

FIRST READING 48 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 49 GENERAL FUND - EXPENDITURES AND BUDGET BALANCE 50 2014/15 2014/15 51 DEPARTMENT EXPENSES BUDGET REVISED 52 CITY CLERK $ 383,200 $ 386,700 53 COUNCIL 106,600 106,600 54 TAX ASSESSOR 309,500 319,100 55 FIRE 716,100 716,100 56 GROUNDS MAINTENANCE 1,123,800 1,130,100 57 LIBRARY 1,393,100 1,422,000 58 RECREATION 706,400 710,800 59 LIFE SAFETY 504,800 534,600 60 CODE INFORCEMENT 418,400 420,500 61 PLANNING 444,100 449,400 62 INSPECTIONS 602,100 614,400 63 ECONOMIC DEVELOPMENT 223,000 223,000 64 POLICE 13,986,100 14,316,100 65 POLICE EXTRA DUTY 712,500 712,500 66 STREETS 665,100 676,200 67 SANITATION 2,248,000 2,225,200 68 CITY MANAGER 592,500 595,900 69 INFORMATION TECHNOLOGY 728,700 733,800 70 FINANCE 947,100 966,800 71 PUBLIC SERVICES - ADMINISTRATION 514,800 517,700 72 FACILITIES MANAGEMENT 677,800 690,400 73 PUBLIC WORKS - ENGINEERING 192,600 193,700 74 PROCUREMENT & INVENTORY 535,600 538,700 75 FLEET MAINTENANCE 776,700 791,300 76 CUSTOMER SERVICES 1,040,300 1,044,600 77 HUMAN RESOURCES 379,700 384,300 78 MAYOR 74,900 74,900 79 DEPARTMENT SUBTOTALS 31,003,500 31,495,400 80 OTHER EXPENSES 81 DEBT SERVICE 708,600 708,600 82 CONTRIBUTION TO DDP 70,000 70,000 83 MISCELLANEOUS GRANT RELATED EXPENSES 25,000 25,000 84 INSURANCE 724,800 724,800 85 RETIREES HEALTH CARE 1,636,500 1,636,500 86 OTHER EMPLOYMENT EXPENSES 500,000 118,200 87 POLICE PENSION FUND - STATE GRANT 500,000 500,000 88 POLICE PENSION FUND - UNFUNDED LIABILITY 655,000 655,000 89 UNCOLLECTIBLES - TRASH AND OTHER 50,000 50,000 90 STREET LIGHTS 774,500 774,500 91 OTHER EXPENSE SUBTOTAL 5,644,400 5,262,600 92 TRANSFERS 93 TRANSFER TO CAPITAL FUND - PROJECTS 2,196,000 2,196,000 94 APPROPRIATION TO THE POLICE PENSION FUND - 100,000 95 APPROPRIATION TO THE GENERAL PENSION FUND - 543,000 96 TRANSFER TO CAPITAL ASSET RESERVE - 60,000 97 TRANSFER TO CONTINGENCY RESERVE - 300,000 98 TRANSFER TO PARKLAND RESERVE - 25,000 99 TRANSFERS SUBTOTAL 2,196,000 3,224,000 100 TOTAL EXPENDITURES 38,843,900 39,982,000 101 CURRENT YEAR BALANCE 3,400,000 3,417,000 102 TOTALS $ 42,243,900 $ 43,399,000 103 The City Manager is hereby authorized, without further approval of the City Council, to make 104 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 105 department with the exception of any transfers prohibited by City Procedure #F306. 106 ADOPTED: * 2

FIRST READING 107 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 108 GOVERNMENTAL CAPITAL PROJECTS FUND 109 REVENUES AND BUDGET FOR 2014-2015 110 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 111 The amount hereinafter named aggregating Eight Million, Seven Hundred Fifty Five Thousand, Nine Hundred 112 Dollars ($8,755,900) or so much thereof as may be necessary are hereby appropriated from current revenues 113 and other funds for the use by several departments of the Municipal Government for the fiscal year beginning 114 July 1,2014 and ending June 30, 2015: 115 REVENUES 116 2014/15 2014/15 117 BUDGET REVISED 118 BEGINNING BALANCE $ 117,100 $ 2,324,100 119 BEGINNING BALANCE - LIBRARY PROJECT - 330,500 120 REVENUES 121 STATE GRANTS - OTHER 153,000 208,000 122 PROPOSED BOND/BANK PROCEEDS - Street 2,661,100 2,675,000 123 LEASE PURCHASE OF FIRE AND POLICE EQUIPMENT 918,300 918,300 124 TRANSFER FROM GENERAL FUND FOR PROJECTS 2,196,000 2,196,000 125 TRANSFER FROM PARKLAND RESERVE - 104,000 126 TOTAL REVENUES 5,928,400 6,101,300 127 TOTAL BEGINNING BALANCE AND REVENUES $ 6,045,500 $ 8,755,900 128 EXPENSE SUMMARY 129 2014/15 2014/15 130 DEPARTMENT EXPENSES BUDGET REVISED 131 FIRE $ 827,300 $ 827,300 132 GROUNDS MAINTENANCE 68,100 86,700 133 RECREATION 146,000 284,400 134 POLICE 499,100 601,700 135 STREETS 1,370,300 470,300 136 STREETS - GARRISON FARM INFRASTRUCTURE 2,586,100 5,447,600 137 SANITATION 256,500 256,500 138 CENTRAL SERVICES - 55,000 139 BOND/LOAN ISSUANCE COST 75,000 61,100 140 DEPARTMENT SUBTOTAL 5,828,400 8,090,600 141 TRANSFERS & MISCELLANEOUS EXPENSES 142 TRANSFER TO PARKLAND RESERVE 100,000 180,000 143 TRANSFER TO CAPITAL PROJECT RESERVE - 330,500 144 TRANSFERS & MISCELLANEOUS SUBTOTAL 100,000 510,500 145 TOTAL EXPENSES AND TRANSFERS 5,928,400 8,601,100 146 CURRENT YEAR BALANCE 117,100 154,800 147 TOTALS $ 6,045,500 $ 8,755,900 148 The City Manager is hereby authorized, without further approval of the City Council, to make 149 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 150 department with the exception of any transfers prohibited by City Procedure #F306. 151 ADOPTED: 3

FIRST READING 152 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 153 GENERAL FUND CONTINGENCY 154 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 155 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 156 The amount hereinafter named aggregating Four Hundred Sixty Nine Thousand Two Hundred 157 dollars ($469,200) or so much thereof as may be necessary are hereby appropriated from current 158 revenues and other funds for the use by several departments of the Municipal Government for the 159 fiscal year beginning July 1, 2014 and ending June 30, 2015: 160 CASH RECEIPTS 161 2014/15 2014/15 162 BUDGET REVISED 163 BEGINNING BALANCE $ 466,000 $ 467,300 164 INTEREST EARNED 1,900 1,900 165 TOTALS $ 467,900 $ 469,200 166 EXPENSE SUMMARY 167 2014/15 2014/15 168 BUDGET REVISED 169 TRANSFER TO OPERATING ACCOUNT $ - $ 50,000 170 CARRY FORWARD TO NEXT YEAR 467,900 419,200 171 TOTALS $ 467,900 $ 469,200 172 The City Manager is hereby authorized, without further approval of the City Council, to make 173 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 174 department with the exception of any transfers prohibited by City Procedure #F306. 175 ADOPTED: * 4

FIRST READING 176 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 177 GENERAL CAPITAL ASSET RESERVE 178 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 179 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 180 The amount hereinafter named aggregating Eight Hundred Fifty Four Thousand dollars ($854,000) 181 or so much thereof as may be necessary are hereby appropriated from current revenues and 182 other funds for the use by several departments of the Municipal Government for the fiscal year 183 beginning July 1, 2014 and ending June 30, 2015: 184 CASH RECEIPTS 185 2014/15 2014/15 186 BUDGET REVISED 187 BEGINNING BALANCE $ 509,800 $ 521,000 188 RECEIPTS 189 INTEREST EARNINGS 2,500 2,500 190 TRANSFER FROM GENERAL FUND CAPITAL PROJECT FUND - 330,500 191 TOTAL RECEIPTS 2,500 333,000 192 TOTALS $ 512,300 $ 854,000 193 EXPENSE SUMMARY 194 2014/15 2014/15 195 BUDGET REVISED 196 CARRY FORWARD TO NEXT YEAR $ 512,300 $ 854,000 197 TOTALS $ 512,300 $ 854,000 198 The City Manager is hereby authorized, without further approval of the City Council, to make 199 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 200 department with the exception of any transfers prohibited by City Procedure #F306. 201 ADOPTED: * 5

FIRST READING 202 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 203 PARKLAND/RECREATION RESERVE 204 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 205 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 206 The amount hereinafter named aggregating Three Hundred Ninety Nine Thousand Seven Hundred Dollars 207 ($399,700) or so much thereof as may be necessary are hereby appropriated from current revenues 208 and other funds for the use by several departments of the Municipal Government for the fiscal 209 year beginning July 1, 2014 and ending June 30, 2015: 210 OPERATING REVENUES 211 2014/15 2014/15 212 BUDGET REVISED 213 PRIOR YEAR BALANCE $ 203,800 $ 218,700 214 GENERAL FUND APPROPRIATION 100,000 180,000 215 INTEREST INCOME 1,000 1,000 216 TOTALS $ 304,800 $ 399,700 217 OPERATING EXPENSES 218 2014/15 2014/15 219 BUDGET REVISED 220 CURRENT YEAR BALANCE 304,800 399,700 221 TOTALS $ 304,800 $ 399,700 222 The City Manager is hereby authorized, without further approval of the City Council, to make 223 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 224 department with the exception of any transfers prohibited by City Procedure #F306. 225 ADOPTED: * 6

FIRST READING 226 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 227 MUNICIPAL STREET AID FUND 228 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 229 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 230 The amount hereinafter named aggregating Six Hundred Sixty Four Thousand Three Hundred 231 dollars ($664,300) or so much thereof as may be necessary are hereby appropriated from current 232 revenues and other funds for the use by several departments of the Municipal Government for the 233 fiscal year beginning July 1, 2014 and ending June 30, 2015: 234 CASH RECEIPTS 235 2014/15 2014/15 236 BUDGET REVISED 237 BEGINNING BALANCE $ 100 $ 100 238 STATE GRANT - OPERATIONS 663,900 664,200 239 TOTALS $ 664,000 $ 664,300 240 BUDGET SUMMARY 241 2014/15 2014/15 242 BUDGET REVISED 243 TRANSFER TO GENERAL FUND - OPERATIONS $ 663,900 $ 664,200 245 CURRENT YEAR BALANCE 100 100 246 TOTALS $ 664,000 $ 664,300 247 The City Manager is hereby authorized, without further approval of the City Council, to make 248 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 249 department with the exception of any transfers prohibited by City Procedure #F306. 250 ADOPTED: * 7

FIRST READING 251 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 252 WATER/WASTEWATER FUND 253 REVENUES AND BUDGET FOR 2014-2015 254 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 255 The amount hereinafter named aggregating Fifteen Million Eight Hundred Four Thousand Nine Hundred 256 dollars ($15,804,900) or so much thereof as may be necessary are hereby appropriated from current 257 revenues and other funds for the use by several departments of the Municipal Government for the 258 fiscal year beginning July 1, 2014 and ending June 30, 2015: 259 2014/15 2014/15 260 BUDGET REVISED 261 BEGINNING BALANCE - WATER $ 658,400 $ 763,600 262 BEGINNING BALANCE - WASTEWATER (98,500) 87,500 263 BEGINNING BALANCE - KCSA 155,000 453,400 264 TOTAL BEGINNING BALANCES 714,900 1,304,500 265 BASE REVENUE 266 WATER FEES 4,616,400 4,616,400 267 WASTEWATER FEES 3,706,800 3,706,800 268 WASTEWATER ADJUSTMENT FEES 2,902,600 2,902,600 269 GROUNDWATER INFLOW ADJUSTMENT 1,862,500 1,862,500 270 WATER TANK SPACE LEASING 331,900 331,900 271 SEWER IMPACT FEES 427,900 427,900 272 WATER IMPACT FEES 472,700 472,700 273 INTEREST - WATER 9,000 9,000 274 INTEREST - WASTEWATER 14,000 14,000 275 MISCELLANEOUS SERVICE FEE 156,600 156,600 276 TOTAL REVENUES 14,500,400 14,500,400 277 TOTAL BEGINNING BALANCES AND REVENUES $ 15,215,300 $ 15,804,900 8

FIRST READING 278 2014-2015 BUDGET ORDINANCES - CONTINUED 279 WATER/WASTEWATER FUND EXPENSES AND BUDGET BALANCES 2014/15 2014/15 280 DIRECT EXPENSES BUDGET REVISED 281 ENGINEERING & INSPECTION $ 500,900 $ 502,400 282 WATER CONSTRUCTION 252,500 253,300 283 WATER DEPARTMENT 485,300 488,600 284 WATER TREATMENT PLANT 1,576,900 1,582,200 285 WASTEWATER DEPARTMENT 974,100 974,700 286 DIRECT EXPENDITURE SUBTOTAL 3,789,700 3,801,200 287 OTHER EXPENSES 288 DEBT SERVICE - WATER 534,100 534,100 289 DEBT SERVICE - WASTEWATER 617,900 617,900 290 RETIREES HEALTH CARE 200,000 200,000 291 OTHER EMPLOYMENT EXPENSES 17,700 6,200 292 KENT COUNTY TREATMENT CHARGE 3,655,000 3,655,000 293 INTRAFUND SERVICE FEES 1,354,900 1,371,100 294 OTHER EXPENSES SUBTOTAL 6,379,600 6,384,300 295 TRANSFER TO 296 GENERAL FUND FROM WATER 250,000 250,000 297 GENERAL FUND FROM WASTEWATER 250,000 250,000 298 WATER IMP AND EXT 1,200,000 1,200,000 299 WASTEWATER IMP AND EXT 1,800,000 1,800,000 300 TRANSFER TO SUBTOTAL 3,500,000 3,500,000 301 TOTAL EXPENSES 13,669,300 13,685,500 302 CURRENT YEAR BALANCES 303 CURRENT YEAR BALANCE WATER 1,020,100 1,113,300 304 CURRENT YEAR BALANCE WASTEWATER (739,200) (557,400) 305 CURRENT YEAR BALANCE KCSA 1,265,100 1,563,500 306 CURRENT YEAR BALANCE SUBTOTALS 1,546,000 2,119,400 307 TOTAL CURRENT YEAR BALANCES AND EXPENSES $ 15,215,300 $ 15,804,900 308 The City Manager is hereby authorized, without further approval of the City Council, to make 309 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 310 department with the exception of any transfers prohibited by City Procedure #F306. 311 ADOPTED: * 9

FIRST READING 312 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 313 WATER/WASTEWATER IMPROVEMENT & EXTENSION FUND 314 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 315 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 316 The amount hereinafter named aggregating Seventeen Million, Four Hundred Forty Four Thousand, Eight 317 Hundred dollars ($17,444,800) or so much thereof as may be necessary are hereby appropriated from current 318 revenues and other funds for the use by several departments of the Municipal Government for the fiscal year 319 beginning July 1, 2014 and ending June 30, 2015: 320 CASH RECEIPTS 321 2014/15 2014/15 322 BUDGET REVISED 323 PRIOR YEAR BALANCE - WATER $ 1,021,200 $ 7,588,800 324 PRIOR YEAR BALANCE - WASTEWATER 1,060,000 5,500,400 325 TOTAL BEGINNING BALANCES 2,081,200 13,089,200 326 RECEIPTS 327 TRANS FROM OPERATING FUND FOR WATER 1,200,000 1,200,000 328 TRANS FROM OPERATING FUND FOR WASTEWATER 1,800,000 1,800,000 329 TRANSFER FROM WASTEWATER IMPACT FEE RESERVE 1,315,600 1,315,600 330 INTEREST INCOME 25,000 40,000 331 TOTAL RECEIPTS 4,340,600 4,355,600 332 TOTALS $ 6,421,800 $ 17,444,800 333 EXPENSE SUMMARY 334 2014/15 2014/15 335 EXPENSES BUDGET REVISED 336 WATER $ 1,336,900 $ 7,526,500 337 WASTEWATER 3,277,200 7,757,300 338 WATER TREATMENT PLANT 38,100 38,100 339 TOTAL EXPENSES 4,652,200 15,321,900 340 CURRENT YEAR BALANCE - WATER 858,700 1,244,200 341 CURRENT YEAR BALANCE - WASTEWATER 910,900 878,700 342 CURRENT YEAR BALANCE SUBTOTALS 1,769,600 2,122,900 343 TOTALS $ 6,421,800 $ 17,444,800 344 The City Manager is hereby authorized, without further approval of the City Council, to make 345 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 346 department with the exception of any transfers prohibited by City Procedure #F306. 347 ADOPTED: * 10

FIRST READING 348 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 349 WATER/WASTEWATER CAPITAL ASSET RESERVE 350 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 351 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 352 The amount hereinafter named aggregating One Million Forty One Thousand Six Hundred Dollars 353 ($1,041,600) or so much thereof as may be necessary are hereby appropriated from current 354 revenues and other funds for the use by several departments of the Municipal Government for 355 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 356 CASH RECEIPTS 357 2014/15 2014/15 358 BUDGET REVISED 359 BEGINNING BALANCE - WATER $ 514,000 $ 508,500 360 BEGINNING BALANCE - WASTEWATER 512,900 507,300 361 TOTAL BEGINNING BALANCES 1,026,900 1,015,800 362 RECEIPTS 363 INTEREST EARNINGS - WATER 8,700 8,700 364 INTEREST EARNINGS - WASTEWATER 8,700 8,700 365 2013 BONDS UNUSED COST OF ISSUANCE FUNDS WATER - 5,300 366 2013 BONDS UNUSED COST OF ISSUANCE FUNDS WASTEWATER - 3,100 367 TOTAL RECEIPTS 17,400 25,800 368 TOTALS $ 1,044,300 $ 1,041,600 369 EXPENSE SUMMARY 370 2014/15 2014/15 371 BUDGET REVISED 372 CURRENT YEAR BALANCE - WATER $ 522,700 $ 522,500 373 CURRENT YEAR BALANCE - WASTEWATER 521,600 519,100 374 CURRENT YEAR BALANCE SUBTOTALS 1,044,300 1,041,600 375 TOTALS $ 1,044,300 $ 1,041,600 376 The City Manager is hereby authorized, without further approval of the City Council, to make 377 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 378 department with the exception of any transfers prohibited by City Procedure #F306. 379 ADOPTED: * 11

FIRST READING 380 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 381 WATER/WASTEWATER IMPACT FEE RESERVE 382 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 383 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 384 The amount hereinafter named aggregating Three Million Twenty Seven Thousand Nine Hundred Dollars 385 ($3,027,900) or so much thereof as may be necessary are hereby appropriated from current 386 revenues and other funds for the use by several departments of the Municipal Government for 387 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 388 CASH RECEIPTS 389 2014/15 2014/15 390 BUDGET REVISED 391 BEGINNING BALANCE - WATER $ 200,500 $ 200,200 392 BEGINNING BALANCE - WASTEWATER 2,820,000 2,776,400 393 TOTAL BEGINNING BALANCES 3,020,500 2,976,600 394 RECEIPTS 395 INTEREST EARNINGS - WATER 3,400 3,400 396 INTEREST EARNINGS - WASTEWATER 47,900 47,900 397 TOTAL RECEIPTS 51,300 51,300 398 TOTALS $ 3,071,800 $ 3,027,900 399 EXPENSE SUMMARY 400 2014/15 2014/15 401 BUDGET REVISED 402 TRANSFER TO I & E FUND FROM WASTEWATER IMPACT FEES $ 1,315,600 $ 1,315,600 402 CURRENT YEAR BALANCE - WATER 203,900 203,600 403 CURRENT YEAR BALANCE - WASTEWATER 1,552,300 1,508,700 404 CURRENT YEAR BALANCE SUBTOTALS 1,756,200 1,712,300 405 TOTALS $ 3,071,800 $ 3,027,900 406 The City Manager is hereby authorized, without further approval of the City Council, to make 407 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 408 department with the exception of any transfers prohibited by City Procedure #F306. 409 ADOPTED: * 12

FIRST READING 410 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 411 WATER/WASTEWATER CONTINGENCY RESERVE 412 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 413 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 414 The amount hereinafter named aggregating Two Hundred Ninety Nine Thousand two Hundred dollars 415 ($299,200) or so much thereof as may be necessary are hereby appropriated from current revenues 416 and other funds for the use by several departments of the Municipal Government for the fiscal year 417 beginning July 1, 2014 and ending June 30, 2015: 418 CASH RECEIPTS 419 2014/15 2014/15 420 BUDGET REVISED 421 BEGINNING BALANCE - WATER $ 105,900 $ 104,700 422 BEGINNING BALANCE - WASTEWATER 191,500 189,400 423 TOTAL BEGINNING BALANCES 297,400 294,100 424 RECEIPTS 425 INTEREST EARNINGS 5,100 5,100 426 TOTAL RECEIPTS 5,100 5,100 427 TOTALS $ 302,500 $ 299,200 428 BUDGET SUMMARY 429 2014/15 2014/15 430 BUDGET REVISED 431 CURRENT YEAR BALANCE - WATER 107,700 106,500 432 CURRENT YEAR BALANCE - WASTEWATER 194,800 192,700 433 CURRENT YEAR BALANCE SUBTOTALS 302,500 299,200 434 TOTAL EXPENSES AND CURRENT YEAR BALANCES $ 302,500 $ 299,200 435 The City Manager is hereby authorized, without further approval of the City Council, to make 436 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 437 department with the exception of any transfers prohibited by City Procedure #F306. 438 ADOPTED: * 13

FIRST READING 439 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 440 ELECTRIC REVENUE FUND 441 REVENUES AND BUDGET FOR 2014-2015 442 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 443 The amount hereinafter named aggregating Eighty Eight Million Nine Hundred Ten Thousand 444 Three Hundred dollars ($88,910,300) or so much thereof as may be necessary are hereby 445 appropriated from current revenues and other funds for the use by several departments of the 446 Municipal Government for the fiscal year beginning July 1, 2014 and ending June 30, 2015: 447 2014/15 2014/15 448 BUDGET REVISED 449 BEGINNING BALANCE $ 9,253,600 $ 6,603,800 450 BASE REVENUE 451 DIRECT SALES TO CUSTOMER 78,043,000 78,043,000 452 UTILITY TAX 1,296,900 1,296,900 453 MISCELLANEOUS REVENUE 624,600 624,600 454 RENT REVENUE 200,000 200,000 455 GREEN ENERGY 130,000 130,000 456 INTEREST EARNINGS 12,000 12,000 457 TRANSFER FROM RATE STABILIZATION 2,000,000 2,000,000 458 TOTAL REVENUES 82,306,500 82,306,500 459 TOTALS $ 91,560,100 $ 88,910,300 14

FIRST READING 460 2014-2015 BUDGET ORDINANCES - CONTINUED 461 ELECTRIC FUND EXPENSES AND BUDGET BALANCE 462 2014/15 2014/15 463 EXPENSES BUDGET REVISED 464 POWER SUPPLY $ 21,823,000 $ 21,823,000 465 SOLAR ENERGY 2,067,600 2,067,600 466 SOLAR RENEWAL ENERGY CREDITS 378,600 378,600 467 POWER SUPPLY MANAGEMENT 996,000 996,000 468 PJM CHARGES - ENERGY 11,499,800 11,499,800 469 PJM CHARGES - TRANSMISSION & FEES 7,234,100 7,234,100 470 CAPACITY CHARGES 9,958,900 9,958,900 471 SUB-TOTAL POWER SUPPLY 53,958,000 53,958,000 472 PLANT OPERATIONS 6,141,000 6,141,100 473 GENERATIONS FUELS 1,611,100 1,611,100 474 PJM SPOT MARKET ENERGY (2,232,800) (2,232,800) 475 PJM CREDITS (486,700) (486,700) 476 CAPACITY CREDITS (8,881,500) (8,881,500) 477 GENERATION SUBTOTAL (3,848,800) (3,848,800) 478 POWER SUPPLY & GENERATION SUBTOTAL 50,109,200 50,109,200 479 DIRECT EXPENDITURES 480 TRANSMISSION/DISTRIBUTION 4,028,700 0 481 ELECTRICAL ENGINEERING 1,370,900 0 482 ADMINISTRATION 636,600 0 483 METER READING 267,600 (0) 484 SYSTEMS OPERATIONS 686,300 (0) 485 DIRECT EXPENDITURE SUBTOTALS 6,990,100 0 486 OTHER EXPENSES: 487 UTILITY TAX 1,296,900 1,296,900 488 ALLOW FOR UNCOLLECTIBLES 200,000 200,000 489 CONTRACTUAL SERVICES 246,800 246,800 490 RETIREES HEALTH CARE 513,300 513,300 491 OTHER EMPLOYMENT EXPENSES 54,200 24,000 492 OPEB UNFUNDED LIABILITY 1,009,800 1,009,800 493 GREEN ENERGY PAYMENT TO DEMEC 130,000 130,000 494 INTRAFUND SERVICE FEES 3,508,100 3,588,200 495 INTEREST ON DEPOSITS 20,000 20,000 496 INVENTORY WRITE OFFS 175,000 175,000 497 DEBT SERVICE 3,297,000 3,297,000 498 OTHER EXPENSES SUBTOTAL 10,451,100 10,501,000 499 TRANSFER TO 500 IMPROVEMENT & EXTENSION 4,750,000 4,750,000 501 GENERAL FUND 10,000,000 10,000,000 502 TRANSFER TO SUBTOTAL 14,750,000 14,750,000 503 TOTAL EXPENSES 82,300,400 75,360,200 504 CURRENT YEAR BALANCE 9,259,700 13,550,100 505 TOTALS $ 91,560,100 $ 88,910,300 506 The City Manager is hereby authorized, without further approval of the City Council, to make 507 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 508 department with the exception of any transfers prohibited by City Procedure #F306. 509 ADOPTED: * 15

FIRST READING 510 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 511 ELECTRIC UTILITY IMPROVEMENT AND EXTENSION FUND 512 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 513 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 514 The amount hereinafter named aggregating Ten Million, Nine Hundred Sixty Seven Thousand Three 515 Hundred Dollars ($10,967,300) or so much thereof as may be necessary are hereby appropriated from 516 current revenues and other funds for the use by several departments of the Municipal Government for 517 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 518 CASH RECEIPTS 519 520 2014/15 2014/15 BUDGET REVISED 521 BEGINNING BALANCE $ 3,362,200 $ 5,942,500 522 RECEIPTS 523 TRANSFER FROM ELECTRIC 4,750,000 4,750,000 524 GENERAL SERVICE BILLING 250,000 250,000 525 INTEREST EARNINGS 24,800 24,800 526 TOTAL RECEIPTS 5,024,800 5,024,800 527 TOTALS $ 8,387,000 $ 10,967,300 528 EXPENSE SUMMARY 529 2014/15 2014/15 530 EXPENSES BUDGET REVISED 531 ELECTRIC GENERATION $ 2,240,000 $ 0 532 TRANSMISSION AND DISTRIBUTION 1,061,700 (0) 533 ELECTRICAL ENGINEERING 1,663,100 (0) 534 TOTAL EXPENSES 4,964,800 (0) 535 CURRENT YEAR BALANCE 3,422,200 10,967,300 536 TOTALS $ 8,387,000 $ 10,967,300 537 The City Manager is hereby authorized, without further approval of the City Council, to make 538 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 539 department with the exception of any transfers prohibited by City Procedure #F306. 540 ADOPTED: * 16

FIRST READING 541 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 542 ELECTRIC UTILITY CONTINGENCY RESERVE 543 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 544 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 545 The amount hereinafter named aggregating Eight Hundred Twenty Five Thousand dollars 546 ($825,000) or so much thereof as may be necessary are hereby appropriated from current revenues 547 and other funds for the use by several departments of the Municipal Government for the fiscal year 548 beginning July 1, 2014 and ending June 30, 2015: 549 CASH RECEIPTS 550 2014/15 2014/15 551 BUDGET REVISED 552 BEGINNING BALANCE $ 820,100 $ 819,100 553 RECEIPTS 554 INTEREST EARNINGS 5,900 5,900 555 TOTAL RECEIPTS 5,900 5,900 556 TOTALS $ 826,000 $ 825,000 557 EXPENSE SUMMARY 558 2014/15 2014/15 559 BUDGET REVISED 559 CURRENT YEAR BALANCE 826,000 825,000 560 TOTALS $ 826,000 $ 825,000 561 The City Manager is hereby authorized, without further approval of the City Council, to make 562 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 563 department with the exception of any transfers prohibited by City Procedure #F306. 564 ADOPTED: * 17

FIRST READING 565 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 566 ELECTRIC UTILITY DEPRECIATION RESERVE 567 SOURCES AND USE OF FUNDS FOR 2014-2015 568 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 569 The amount hereinafter named aggregating Ten Million Fifteen Thousand Three Hundred 570 dollars ($10,015,300) or so much thereof as may be necessary are hereby appropriated 571 from current revenues and other funds for the use by several departments of the 572 Municipal Government for the fiscal year beginning July 1, 2014 and ending June 30, 2015: 573 CASH RECEIPTS 574 2014/15 2014/15 575 BUDGET REVISED 576 BEGINNING BALANCE $ 9,898,000 $ 9,915,100 577 INTEREST EARNINGS 100,200 100,200 578 TOTALS $ 9,998,200 $ 10,015,300 579 BUDGET SUMMARY 580 2014/15 2014/15 581 BUDGET REVISED 582 CURRENT YEAR BALANCE 9,998,200 10,015,300 583 TOTALS $ 9,998,200 $ 10,015,300 584 The City Manager is hereby authorized, without further approval of the City Council, to make 585 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 586 department with the exception of any transfers prohibited by City Procedure #F306. 587 ADOPTED: * 18

FIRST READING 588 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 589 ELECTRIC UTILITY FUTURE CAPACITY RESERVE 590 SOURCES AND USE OF FUNDS FOR 2014-2015 591 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 592 The amount hereinafter named aggregating Ten Million One Hundred Thirty Six Thousand Nine Hundred 593 dollars ($10,136,900) or so much thereof as may be necessary are hereby appropriated from current revenues 594 and other funds for the use by several departments of the Municipal Government for the fiscal year 595 beginning July 1, 2014 and ending June 30, 2015: 596 CASH RECEIPTS 597 2014/15 2014/15 598 BUDGET REVISED 599 BEGINNING BALANCE $ 10,076,200 $ 10,064,400 600 INTEREST EARNINGS 72,500 72,500 601 TOTALS $ 10,148,700 $ 10,136,900 602 BUDGET SUMMARY 603 2014/15 2014/15 604 BUDGET REVISED 605 CURRENT YEAR BALANCE 10,148,700 10,136,900 606 TOTALS $ 10,148,700 $ 10,136,900 607 The City Manager is hereby authorized, without further approval of the City Council, to make 608 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 609 department with the exception of any transfers prohibited by City Procedure #F306. 610 ADOPTED: * 19

FIRST READING 611 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 612 ELECTRIC UTILITY INSURANCE STABILIZATION RESERVE 613 SOURCES AND USE OF FUNDS FOR 2014-2015 614 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 615 The amount hereinafter named aggregating Seven Hundred Forty Two Thousand Eight Hundred dollars 616 ($742,800) or so much thereof as may be necessary are hereby appropriated from current revenues 617 and other funds for the use by several departments of the Municipal Government for the fiscal year 618 beginning July 1, 2014 and ending June 30, 2015: 619 CASH RECEIPTS 620 2014/15 2014/15 621 BUDGET REVISED 622 BEGINNING BALANCE $ 738,300 $ 737,500 623 INTEREST EARNINGS 5,300 5,300 624 TOTALS $ 743,600 $ 742,800 625 BUDGET SUMMARY 626 2014/15 2014/15 627 BUDGET REVISED 628 CURRENT YEAR BALANCE 743,600 742,800 629 TOTALS $ 743,600 $ 742,800 630 The City Manager is hereby authorized, without further approval of the City Council, to make 631 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 632 department with the exception of any transfers prohibited by City Procedure #F306. 633 ADOPTED: * 20

FIRST READING 634 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 635 ELECTRIC UTILITY RATE STABILIZATION RESERVE 636 SOURCES AND USE OF FUNDS FOR 2014-2015 637 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 638 The amount hereinafter named aggregating Ten Million Five Hundred Forty One Thousand Five Hundred 639 dollars ($10,541,500) or so much thereof as may be necessary are hereby appropriated from current 640 revenues and other funds for the use by several departments of the Municipal Government for 641 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 642 CASH RECEIPTS 643 2014/15 2014/15 644 BUDGET REVISED 645 BEGINNING BALANCE $ 10,507,300 $ 10,465,800 646 INTEREST EARNINGS 75,700 75,700 647 TOTALS $ 10,583,000 $ 10,541,500 648 BUDGET SUMMARY 649 2014/15 2014/15 650 BUDGET REVISED 651 TRANSFER TO ELECTRIC FUND $ 2,000,000 $ 2,000,000 652 CURRENT YEAR BALANCE 8,583,000 8,541,500 653 TOTALS $ 10,583,000 $ 10,541,500 654 The City Manager is hereby authorized, without further approval of the City Council, to make 655 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 656 department with the exception of any transfers prohibited by City Procedure #F306. 657 ADOPTED: * 21

FIRST READING 658 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 659 WORKERS COMPENSATION FUND 660 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 661 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 662 The amount hereinafter named aggregating One Million Six Hundred Twenty Four Thousand Four Hundred 663 dollars ($1,624,400) or so much thereof as may be necessary are hereby appropriated from current revenues 664 and other funds for the use by several departments of the Municipal Government for the fiscal year 665 beginning July 1, 2014 and ending June 30, 2015: 666 OPERATING REVENUES 667 2014/15 2014/15 668 BUDGET REVISED 669 PRIOR YEAR BALANCE $ 1,135,000 $ 1,123,300 670 INTEREST INCOME 10,600 10,600 671 PREMIUM FROM CITY 490,500 490,500 672 TOTALS $ 1,636,100 $ 1,624,400 673 OPERATING EXPENSES 674 2014/15 2014/15 675 BUDGET REVISED 676 PROGRAM EXPENSES/SUPPLIES - CLAIMS $ 450,000 $ 450,000 677 INSURANCE 92,600 92,600 678 BANK FEES 600 600 679 STATE OF DEL - SELF INSURANCE TAX 37,000 37,000 680 CONTRACTUAL SERVICES 57,000 57,000 681 TOTAL EXPENSES 637,200 637,200 682 CURRENT YEAR BALANCE 998,900 987,200 683 TOTALS $ 1,636,100 $ 1,624,400 684 The City Manager is hereby authorized, without further approval of the City Council, to make 685 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 686 department with the exception of any transfers prohibited by City Procedure #F306. 687 ADOPTED: * 22

FIRST READING 688 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 689 LIBRARY GRANT FUND 690 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 691 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 692 The amount hereinafter named aggregating Three Hundred Twenty Six Thousand two Hundred dollars 693 ($326,200) or so much thereof as may be necessary are hereby appropriated from current revenues 694 and other funds for the use by several departments of the Municipal Government for the fiscal year 695 beginning July 1, 2014 and ending June 30, 2015: 696 OPERATING REVENUES 697 2014/15 2014/15 698 BUDGET REVISED 699 BEGINNING BALANCE $ 17,300 $ 44,800 700 STATE GRANT 274,100 278,900 701 FEDERAL GRANT - 2,500 702 TOTALS $ 291,400 $ 326,200 703 OPERATING EXPENSES 704 2014/15 2014/15 705 BUDGET REVISED 706 FURNITURE $ 2,000 $ 15,100 707 OFFICE SUPPLIES 24,000 28,000 708 PRINTING/DUPLICATING 8,900 14,000 709 AUDIO VISUAL SUPPLIES 74,000 75,100 710 BOOKS 128,900 132,600 711 PROGRAM EXPENSES/SUPPLIES 28,000 29,900 712 POSTAGE 100 100 713 TRAINING/CONF/FOOD/TRAV 3,500 3,500 714 CONTRACTUAL SERVICES - 900 715 OFFICE EQUIPMENT/REPAIRS & MAINT 2,000 6,000 716 COMPUTER HARDWARE 2,700 - 717 OTHER EQUIP - LEASE - 1,200 718 SUBTOTAL EXPENSES STATE GRANTS 274,100 306,400 719 PROGRAM EXPENSES/SUPPLIES - 2,500 720 SUBTOTAL EXPENSES FEDERAL GRANTS - 2,500 721 CURRENT YEAR BALANCE 17,300 17,300 722 TOTALS $ 291,400 $ 326,200 723 The City Manager is hereby authorized, without further approval of the City Council, to make 724 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 725 department with the exception of any transfers prohibited by City Procedure #F306. 726 ADOPTED: * 23

FIRST READING 727 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 728 POLICE GRANTS FUND 729 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 730 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 731 The amount hereinafter named aggregating Six Hundred Eight Thousand Five Hundred dollars 732 ($608,500) or so much thereof as may be necessary are hereby appropriated from current revenues 733 and other funds for the use by several departments of the Municipal Government for the fiscal year 734 beginning July 1, 2014 and ending June 30, 2015: 735 OPERATING REVENUES 736 2014/15 2014/15 737 BUDGET REVISED 738 BEGINNING BALANCE $ 77,200 $ 172,100 739 STATE AND FEDERAL GRANTS 339,000 436,400 740 TOTALS $ 416,200 $ 608,500 741 OPERATING EXPENSES 742 2014/15 2014/15 743 BUDGET REVISED 744 CADET PROGRAM SALARIES AND BENEFITS - 17,900 745 POLICE EQUIPT & PROG SUPP 156,000 317,900 746 TECHNOLOGY EQUIPMENT 50,000 47,800 747 CELL PHONE CHARGES 15,000 15,000 748 TRAINING 32,000 45,000 749 AUDIT FEES 1,000 1,000 750 CONTRACTUAL SERVICES 6,000 10,200 751 SUBTOTAL EXPENSES 260,000 454,800 752 OPERATING TRANSFERS-OUT 124,000 124,000 753 SUBTOTAL FINANCING USES 124,000 124,000 754 CURRENT YEAR BALANCE 32,200 29,700 755 TOTALS $ 416,200 $ 608,500 756 The above budget represents the combination of all State & Federal Grants. 757 The City Manager is hereby authorized, without further approval of the City Council, to make 758 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 759 department with the exception of any transfers prohibited by City Procedure #F306. 760 ADOPTED: * 24

FIRST READING 761 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 762 CDBG FUND 763 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 764 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 765 The amount hereinafter named aggregating Two Hundred Eighty Six Thousand Three Hundred dollars 766 ($286,300) or so much thereof as may be necessary are hereby appropriated from current revenues 767 and other funds for the use by several departments of the Municipal Government for the fiscal year 768 beginning July 1, 2014 and ending June 30, 2015: 769 OPERATING REVENUES 770 2014/15 2014/15 771 BUDGET REVISED 772 BEGINNING BALANCE $ - $ 2,100 773 STATE AND FEDERAL GRANTS 235,000 284,200 774 TOTALS $ 235,000 $ 286,300 775 OPERATING EXPENSES 776 2014/15 2014/15 777 BUDGET REVISED 778 Prior year Closing cost/down payment program - 200 779 Prior year MHDC home repair - 2,000 780 Prior year Elizabeth W Murphey School - 1,200 781 Prior year Ncall Research Inc. - 2,300 782 Prior year Milford housing H/O rehab - 3,000 783 Current year closing cost/down payment program 102,800 102,800 784 Current year Dover interfaith ministry 27,500 27,500 785 Current year Elizabeth W Murphey school 50,000 50,000 786 Current year Ncall Research Inc. 7,700 7,700 787 Current year salaries 47,000 87,500 788 TOTAL EXPENDITURES 235,000 284,200 789 CURRENT YEAR BALANCE - 2,100 790 TOTALS $ 235,000 $ 286,300 791 The above budget represents the combination of all State & Federal Grants. 792 The City Manager is hereby authorized, without further approval of the City Council, to make 793 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 794 department with the exception of any transfers prohibited by City Procedure #F306. 795 ADOPTED: * 25

FIRST READING CITY OF DOVER ORDINANCE # 2015-05 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT 1 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 2 The amount hereinafter named aggregating Forty Three Million Three Hundred Ninety Nine Thousand dollars 3 ($43,399,000) or so much thereof as may be necessary are hereby appropriated from current revenues 4 and other funds for the use by several departments of the Municipal Government for the fiscal year 5 beginning July 1, 2014 and ending June 30, 2015: 6 GENERAL FUND 7 REVENUES AND BUDGET FOR 2014-2015 8 2014/15 2014/15 9 BUDGET REVISED 10 BEGINNING BALANCE $ 3,393,000 $ 4,361,500 11 REVENUES 12 FINES AND POLICE REVENUE 629,300 629,300 13 INVESTMENT INCOME 40,000 40,000 14 LIBRARY REVENUES 71,600 71,600 15 KENT COUNTY BOOK REIMBURSEMENT 450,000 490,000 16 BUSINESS LICENSES 1,460,000 1,460,000 17 PERMITS AND OTHER LICENSES 1,354,200 1,354,200 18 MISCELLANEOUS CHARGES 53,900 53,900 19 POLICE EXTRA DUTY 659,500 659,500 20 PROPERTY TAXES 11,049,200 11,049,200 21 BID REVENUE 50,000 50,000 22 RECREATION REVENUE 148,800 148,800 23 FRANCHISE FEE 636,000 636,000 24 SANITATION FEES 2,595,600 2,595,600 25 RENT REVENUE - GARRISON FARM 101,400 101,400 26 COURT OF CHANCERY FEES 1,023,000 1,023,000 27 REVENUES SUBTOTAL 20,322,500 20,362,500 28 INTERFUND SERVICE RECEIPTS 29 INTRAFUND SERVICE RECEIPTS WATER/WASTEWATER 1,354,900 1,371,100 30 INTRAFUND SERVICE RECEIPTS ELECTRIC 3,508,100 3,588,200 31 INTERFUND SERVICE RECEIPTS SUBTOTAL 4,863,000 4,959,300 32 GRANTS 33 POLICE RELATED 124,000 124,000 34 POLICE PENSION GRANT 500,000 500,000 35 GREEN ENERGY GRANT 98,500 98,500 36 MISCELLANEOUS GRANTS 25,000 25,000 37 GRANTS SUBTOTAL 747,500 747,500 38 TRANSFERS FROM 39 TRANSFER TAX 1,250,000 1,250,000 40 MUNICIPAL STREET AID 663,900 664,200 41 CIVIL TRAFFIC PENALTIES 500,000 500,000 42 WATER/WASTEWATER 500,000 500,000 43 ELECTRIC 10,000,000 10,000,000 44 OTHER RESERVES INCLUDING CONTINGENCY 4,000 54,000 45 TRANSFERS FROM SUBTOTAL 12,917,900 12,968,200 46 TOTAL REVENUES 38,850,900 39,037,500 47 TOTALS $ 42,243,900 $ 43,399,000 1

FIRST READING 48 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 49 GENERAL FUND - EXPENDITURES AND BUDGET BALANCE 50 2014/15 2014/15 51 DEPARTMENT EXPENSES BUDGET REVISED 52 CITY CLERK $ 383,200 $ 386,700 53 COUNCIL 106,600 106,600 54 TAX ASSESSOR 309,500 319,100 55 FIRE 716,100 716,100 56 GROUNDS MAINTENANCE 1,123,800 1,130,100 57 LIBRARY 1,393,100 1,422,000 58 RECREATION 706,400 710,800 59 LIFE SAFETY 504,800 535,700 60 CODE INFORCEMENT 418,400 419,400 61 PLANNING 444,100 449,400 62 INSPECTIONS 602,100 614,400 63 ECONOMIC DEVELOPMENT 223,000 223,000 64 POLICE 13,986,100 14,332,500 65 POLICE EXTRA DUTY 712,500 712,500 66 STREETS 665,100 676,200 67 SANITATION 2,248,000 2,225,200 68 CITY MANAGER 592,500 595,900 69 INFORMATION TECHNOLOGY 728,700 733,800 70 FINANCE 947,100 966,800 71 PUBLIC SERVICES - ADMINISTRATION 514,800 517,700 72 FACILITIES MANAGEMENT 677,800 690,400 73 PUBLIC WORKS - ENGINEERING 192,600 193,700 74 PROCUREMENT & INVENTORY 535,600 538,700 75 FLEET MAINTENANCE 776,700 791,300 76 CUSTOMER SERVICES 1,040,300 1,044,600 77 HUMAN RESOURCES 379,700 384,300 78 MAYOR 74,900 74,900 79 DEPARTMENT SUBTOTALS 31,003,500 31,511,800 80 OTHER EXPENSES 81 DEBT SERVICE 708,600 708,600 82 CONTRIBUTION TO DDP 70,000 70,000 83 MISCELLANEOUS GRANT RELATED EXPENSES 25,000 25,000 84 INSURANCE 724,800 724,800 85 RETIREES HEALTH CARE 1,636,500 1,636,500 86 OTHER EMPLOYMENT EXPENSES 500,000 118,200 87 POLICE PENSION FUND - STATE GRANT 500,000 500,000 88 POLICE PENSION FUND - UNFUNDED LIABILITY 655,000 655,000 89 UNCOLLECTIBLES - TRASH AND OTHER 50,000 50,000 90 STREET LIGHTS 774,500 774,500 91 OTHER EXPENSE SUBTOTAL 5,644,400 5,262,600 92 TRANSFERS 93 TRANSFER TO CAPITAL FUND - PROJECTS 2,196,000 2,196,000 94 APPROPRIATION TO THE POLICE PENSION FUND - 100,000 95 APPROPRIATION TO THE GENERAL PENSION FUND - 543,000 96 TRANSFERS SUBTOTAL 2,196,000 2,839,000 97 TOTAL EXPENDITURES 38,843,900 39,613,400 98 CURRENT YEAR BALANCE 3,400,000 3,785,600 99 TOTALS $ 42,243,900 $ 43,399,000 100 The City Manager is hereby authorized, without further approval of the City Council, to make 101 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 102 department with the exception of any transfers prohibited by City Procedure #F306. 103 ADOPTED: * 2

FIRST READING 104 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 105 GOVERNMENTAL CAPITAL PROJECTS FUND 106 REVENUES AND BUDGET FOR 2014-2015 107 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 108 The amount hereinafter named aggregating Eight Million, Seven Hundred Fifty Five Thousand, Nine Hundred 109 Dollars ($8,755,900) or so much thereof as may be necessary are hereby appropriated from current revenues 110 and other funds for the use by several departments of the Municipal Government for the fiscal year beginning 111 July 1,2014 and ending June 30, 2015: 112 REVENUES 113 2014/15 2014/15 114 BUDGET REVISED 115 BEGINNING BALANCE $ 117,100 $ 2,324,100 116 BEGINNING BALANCE - LIBRARY PROJECT - 330,500 117 REVENUES 118 STATE GRANTS - OTHER 153,000 208,000 119 PROPOSED BOND/BANK PROCEEDS - Street 2,661,100 2,675,000 120 LEASE PURCHASE OF FIRE AND POLICE EQUIPMENT 918,300 918,300 121 TRANSFER FROM GENERAL FUND FOR PROJECTS 2,196,000 2,196,000 122 TRANSFER FROM PARKLAND RESERVE - 104,000 123 TOTAL REVENUES 5,928,400 6,101,300 124 TOTAL BEGINNING BALANCE AND REVENUES $ 6,045,500 $ 8,755,900 125 EXPENSE SUMMARY 126 2014/15 2014/15 127 DEPARTMENT EXPENSES BUDGET REVISED 128 FIRE $ 827,300 $ 827,300 129 GROUNDS MAINTENANCE 68,100 86,700 130 RECREATION 146,000 284,400 131 POLICE 499,100 601,700 132 STREETS 1,370,300 470,300 133 STREETS - GARRISON FARM INFRASTRUCTURE 2,586,100 5,447,600 134 SANITATION 256,500 256,500 135 CENTRAL SERVICES - 55,000 136 BOND/LOAN ISSUANCE COST 75,000 61,100 137 DEPARTMENT SUBTOTAL 5,828,400 8,090,600 138 TRANSFERS & MISCELLANEOUS EXPENSES 139 TRANSFER TO PARKLAND RESERVE 100,000 180,000 140 TRANSFER TO CAPITAL PROJECT RESERVE - 330,500 141 TRANSFERS & MISCELLANEOUS SUBTOTAL 100,000 510,500 142 TOTAL EXPENSES AND TRANSFERS 5,928,400 8,601,100 143 CURRENT YEAR BALANCE 117,100 154,800 144 TOTALS $ 6,045,500 $ 8,755,900 145 The City Manager is hereby authorized, without further approval of the City Council, to make 146 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 147 department with the exception of any transfers prohibited by City Procedure #F306. 148 ADOPTED: 3

FIRST READING 149 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 150 GENERAL FUND CONTINGENCY 151 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 152 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 153 The amount hereinafter named aggregating Four Hundred Sixty Nine Thousand Two Hundred 154 dollars ($469,200) or so much thereof as may be necessary are hereby appropriated from current 155 revenues and other funds for the use by several departments of the Municipal Government for the 156 fiscal year beginning July 1, 2014 and ending June 30, 2015: 157 CASH RECEIPTS 158 2014/15 2014/15 159 BUDGET REVISED 160 BEGINNING BALANCE $ 466,000 $ 467,300 161 INTEREST EARNED 1,900 1,900 162 TOTALS $ 467,900 $ 469,200 163 EXPENSE SUMMARY 164 2014/15 2014/15 165 BUDGET REVISED 166 TRANSFER TO OPERATING ACCOUNT $ - $ 50,000 167 CARRY FORWARD TO NEXT YEAR 467,900 419,200 168 TOTALS $ 467,900 $ 469,200 169 The City Manager is hereby authorized, without further approval of the City Council, to make 170 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 171 department with the exception of any transfers prohibited by City Procedure #F306. 172 ADOPTED: * 4

FIRST READING 173 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 174 GENERAL CAPITAL ASSET RESERVE 175 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 176 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 177 The amount hereinafter named aggregating Eight Hundred Fifty Four Thousand dollars ($854,000) 178 or so much thereof as may be necessary are hereby appropriated from current revenues and 179 other funds for the use by several departments of the Municipal Government for the fiscal year 180 beginning July 1, 2014 and ending June 30, 2015: 181 CASH RECEIPTS 182 2014/15 2014/15 183 BUDGET REVISED 184 BEGINNING BALANCE $ 509,800 $ 521,000 185 RECEIPTS 186 INTEREST EARNINGS 2,500 2,500 187 TRANSFER FROM GENERAL FUND CAPITAL PROJECT FUND - 330,500 188 TOTAL RECEIPTS 2,500 333,000 189 TOTALS $ 512,300 $ 854,000 190 EXPENSE SUMMARY 191 2014/15 2014/15 192 BUDGET REVISED 193 CARRY FORWARD TO NEXT YEAR $ 512,300 $ 854,000 194 TOTALS $ 512,300 $ 854,000 195 The City Manager is hereby authorized, without further approval of the City Council, to make 196 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 197 department with the exception of any transfers prohibited by City Procedure #F306. 198 ADOPTED: * 5

FIRST READING 199 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 200 PARKLAND/RECREATION RESERVE 201 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 202 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 203 The amount hereinafter named aggregating Three Hundred Ninety Nine Thousand Seven Hundred Dollars 204 ($399,700) or so much thereof as may be necessary are hereby appropriated from current revenues 205 and other funds for the use by several departments of the Municipal Government for the fiscal 206 year beginning July 1, 2014 and ending June 30, 2015: 207 OPERATING REVENUES 208 2014/15 2014/15 209 BUDGET REVISED 210 PRIOR YEAR BALANCE $ 203,800 $ 218,700 211 GENERAL FUND APPROPRIATION 100,000 180,000 212 INTEREST INCOME 1,000 1,000 213 TOTALS $ 304,800 $ 399,700 214 OPERATING EXPENSES 215 2014/15 2014/15 216 BUDGET REVISED 217 CURRENT YEAR BALANCE 304,800 399,700 218 TOTALS $ 304,800 $ 399,700 219 The City Manager is hereby authorized, without further approval of the City Council, to make 220 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 221 department with the exception of any transfers prohibited by City Procedure #F306. 222 ADOPTED: * 6

FIRST READING 223 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 224 MUNICIPAL STREET AID FUND 225 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 226 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 227 The amount hereinafter named aggregating Six Hundred Sixty Four Thousand Three Hundred 228 dollars ($664,300) or so much thereof as may be necessary are hereby appropriated from current 229 revenues and other funds for the use by several departments of the Municipal Government for the 230 fiscal year beginning July 1, 2014 and ending June 30, 2015: 231 CASH RECEIPTS 232 2014/15 2014/15 233 BUDGET REVISED 234 BEGINNING BALANCE $ 100 $ 100 235 STATE GRANT - OPERATIONS 663,900 664,200 236 TOTALS $ 664,000 $ 664,300 237 BUDGET SUMMARY 238 2014/15 2014/15 239 BUDGET REVISED 240 TRANSFER TO GENERAL FUND - OPERATIONS $ 663,900 $ 664,200 242 CURRENT YEAR BALANCE 100 100 243 TOTALS $ 664,000 $ 664,300 244 The City Manager is hereby authorized, without further approval of the City Council, to make 245 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 246 department with the exception of any transfers prohibited by City Procedure #F306. 247 ADOPTED: * 7

FIRST READING 248 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 249 WATER/WASTEWATER FUND 250 REVENUES AND BUDGET FOR 2014-2015 251 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 252 The amount hereinafter named aggregating Fifteen Million Eight Hundred Four Thousand Nine Hundred 253 dollars ($15,804,900) or so much thereof as may be necessary are hereby appropriated from current 254 revenues and other funds for the use by several departments of the Municipal Government for the 255 fiscal year beginning July 1, 2014 and ending June 30, 2015: 256 2014/15 2014/15 257 BUDGET REVISED 258 BEGINNING BALANCE - WATER $ 658,400 $ 763,600 259 BEGINNING BALANCE - WASTEWATER (98,500) 87,500 260 BEGINNING BALANCE - KCSA 155,000 453,400 261 TOTAL BEGINNING BALANCES 714,900 1,304,500 262 BASE REVENUE 263 WATER FEES 4,616,400 4,616,400 264 WASTEWATER FEES 3,706,800 3,706,800 265 WASTEWATER ADJUSTMENT FEES 2,902,600 2,902,600 266 GROUNDWATER INFLOW ADJUSTMENT 1,862,500 1,862,500 267 WATER TANK SPACE LEASING 331,900 331,900 268 SEWER IMPACT FEES 427,900 427,900 269 WATER IMPACT FEES 472,700 472,700 270 INTEREST - WATER 9,000 9,000 271 INTEREST - WASTEWATER 14,000 14,000 272 MISCELLANEOUS SERVICE FEE 156,600 156,600 273 TOTAL REVENUES 14,500,400 14,500,400 274 TOTAL BEGINNING BALANCES AND REVENUES $ 15,215,300 $ 15,804,900 8

FIRST READING 275 2014-2015 BUDGET ORDINANCES - CONTINUED 276 WATER/WASTEWATER FUND EXPENSES AND BUDGET BALANCES 2014/15 2014/15 277 DIRECT EXPENSES BUDGET REVISED 278 ENGINEERING & INSPECTION $ 500,900 $ 502,400 279 WATER CONSTRUCTION 252,500 253,300 280 WATER DEPARTMENT 485,300 488,600 281 WATER TREATMENT PLANT 1,576,900 1,582,200 282 WASTEWATER DEPARTMENT 974,100 974,700 283 DIRECT EXPENDITURE SUBTOTAL 3,789,700 3,801,200 284 OTHER EXPENSES 285 DEBT SERVICE - WATER 534,100 534,100 286 DEBT SERVICE - WASTEWATER 617,900 617,900 287 RETIREES HEALTH CARE 200,000 200,000 288 OTHER EMPLOYMENT EXPENSES 17,700 6,200 289 KENT COUNTY TREATMENT CHARGE 3,655,000 3,655,000 290 INTRAFUND SERVICE FEES 1,354,900 1,371,100 291 OTHER EXPENSES SUBTOTAL 6,379,600 6,384,300 292 TRANSFER TO 293 GENERAL FUND FROM WATER 250,000 250,000 294 GENERAL FUND FROM WASTEWATER 250,000 250,000 295 WATER IMP AND EXT 1,200,000 1,200,000 296 WASTEWATER IMP AND EXT 1,800,000 1,800,000 297 TRANSFER TO SUBTOTAL 3,500,000 3,500,000 298 TOTAL EXPENSES 13,669,300 13,685,500 299 CURRENT YEAR BALANCES 300 CURRENT YEAR BALANCE WATER 1,020,100 1,113,300 301 CURRENT YEAR BALANCE WASTEWATER (739,200) (557,400) 302 CURRENT YEAR BALANCE KCSA 1,265,100 1,563,500 303 CURRENT YEAR BALANCE SUBTOTALS 1,546,000 2,119,400 304 TOTAL CURRENT YEAR BALANCES AND EXPENSES $ 15,215,300 $ 15,804,900 305 The City Manager is hereby authorized, without further approval of the City Council, to make 306 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 307 department with the exception of any transfers prohibited by City Procedure #F306. 308 ADOPTED: * 9

FIRST READING 309 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 310 WATER/WASTEWATER IMPROVEMENT & EXTENSION FUND 311 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 312 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 313 The amount hereinafter named aggregating Seventeen Million, Four Hundred Forty Four Thousand, Eight 314 Hundred dollars ($17,444,800) or so much thereof as may be necessary are hereby appropriated from current 315 revenues and other funds for the use by several departments of the Municipal Government for the fiscal year 316 beginning July 1, 2014 and ending June 30, 2015: 317 CASH RECEIPTS 318 2014/15 2014/15 319 BUDGET REVISED 320 PRIOR YEAR BALANCE - WATER $ 1,021,200 $ 7,588,800 321 PRIOR YEAR BALANCE - WASTEWATER 1,060,000 5,500,400 322 TOTAL BEGINNING BALANCES 2,081,200 13,089,200 323 RECEIPTS 324 TRANS FROM OPERATING FUND FOR WATER 1,200,000 1,200,000 325 TRANS FROM OPERATING FUND FOR WASTEWATER 1,800,000 1,800,000 326 TRANSFER FROM WASTEWATER IMPACT FEE RESERVE 1,315,600 1,315,600 327 INTEREST INCOME 25,000 40,000 328 TOTAL RECEIPTS 4,340,600 4,355,600 329 TOTALS $ 6,421,800 $ 17,444,800 330 EXPENSE SUMMARY 331 2014/15 2014/15 332 EXPENSES BUDGET REVISED 333 WATER $ 1,336,900 $ 7,526,500 334 WASTEWATER 3,277,200 7,757,300 335 WATER TREATMENT PLANT 38,100 38,100 336 TOTAL EXPENSES 4,652,200 15,321,900 337 CURRENT YEAR BALANCE - WATER 858,700 1,244,200 338 CURRENT YEAR BALANCE - WASTEWATER 910,900 878,700 339 CURRENT YEAR BALANCE SUBTOTALS 1,769,600 2,122,900 340 TOTALS $ 6,421,800 $ 17,444,800 341 The City Manager is hereby authorized, without further approval of the City Council, to make 342 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 343 department with the exception of any transfers prohibited by City Procedure #F306. 344 ADOPTED: * 10

FIRST READING 345 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 346 WATER/WASTEWATER CAPITAL ASSET RESERVE 347 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 348 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 349 The amount hereinafter named aggregating One Million Forty One Thousand Six Hundred Dollars 350 ($1,041,600) or so much thereof as may be necessary are hereby appropriated from current 351 revenues and other funds for the use by several departments of the Municipal Government for 352 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 353 CASH RECEIPTS 354 2014/15 2014/15 355 BUDGET REVISED 356 BEGINNING BALANCE - WATER $ 514,000 $ 508,500 357 BEGINNING BALANCE - WASTEWATER 512,900 507,300 358 TOTAL BEGINNING BALANCES 1,026,900 1,015,800 359 RECEIPTS 360 INTEREST EARNINGS - WATER 8,700 8,700 361 INTEREST EARNINGS - WASTEWATER 8,700 8,700 362 2013 BONDS UNUSED COST OF ISSUANCE FUNDS WATER - 5,300 363 2013 BONDS UNUSED COST OF ISSUANCE FUNDS WASTEWATER - 3,100 364 TOTAL RECEIPTS 17,400 25,800 365 TOTALS $ 1,044,300 $ 1,041,600 366 EXPENSE SUMMARY 367 2014/15 2014/15 368 BUDGET REVISED 369 CURRENT YEAR BALANCE - WATER $ 522,700 $ 522,500 370 CURRENT YEAR BALANCE - WASTEWATER 521,600 519,100 371 CURRENT YEAR BALANCE SUBTOTALS 1,044,300 1,041,600 372 TOTALS $ 1,044,300 $ 1,041,600 373 The City Manager is hereby authorized, without further approval of the City Council, to make 374 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 375 department with the exception of any transfers prohibited by City Procedure #F306. 376 ADOPTED: * 11

FIRST READING 377 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 378 WATER/WASTEWATER IMPACT FEE RESERVE 379 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 380 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 381 The amount hereinafter named aggregating Three Million Twenty Seven Thousand Nine Hundred Dollars 382 ($3,027,900) or so much thereof as may be necessary are hereby appropriated from current 383 revenues and other funds for the use by several departments of the Municipal Government for 384 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 385 CASH RECEIPTS 386 2014/15 2014/15 387 BUDGET REVISED 388 BEGINNING BALANCE - WATER $ 200,500 $ 200,200 389 BEGINNING BALANCE - WASTEWATER 2,820,000 2,776,400 390 TOTAL BEGINNING BALANCES 3,020,500 2,976,600 391 RECEIPTS 392 INTEREST EARNINGS - WATER 3,400 3,400 393 INTEREST EARNINGS - WASTEWATER 47,900 47,900 394 TOTAL RECEIPTS 51,300 51,300 395 TOTALS $ 3,071,800 $ 3,027,900 396 EXPENSE SUMMARY 397 2014/15 2014/15 398 BUDGET REVISED 399 TRANSFER TO I & E FUND FROM WASTEWATER IMPACT FEES $ 1,315,600 $ 1,315,600 399 CURRENT YEAR BALANCE - WATER 203,900 203,600 400 CURRENT YEAR BALANCE - WASTEWATER 1,552,300 1,508,700 401 CURRENT YEAR BALANCE SUBTOTALS 1,756,200 1,712,300 402 TOTALS $ 3,071,800 $ 3,027,900 403 The City Manager is hereby authorized, without further approval of the City Council, to make 404 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 405 department with the exception of any transfers prohibited by City Procedure #F306. 406 ADOPTED: * 12

FIRST READING 407 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 408 WATER/WASTEWATER CONTINGENCY RESERVE 409 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 410 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 411 The amount hereinafter named aggregating Two Hundred Ninety Nine Thousand two Hundred dollars 412 ($299,200) or so much thereof as may be necessary are hereby appropriated from current revenues 413 and other funds for the use by several departments of the Municipal Government for the fiscal year 414 beginning July 1, 2014 and ending June 30, 2015: 415 CASH RECEIPTS 416 2014/15 2014/15 417 BUDGET REVISED 418 BEGINNING BALANCE - WATER $ 105,900 $ 104,700 419 BEGINNING BALANCE - WASTEWATER 191,500 189,400 420 TOTAL BEGINNING BALANCES 297,400 294,100 421 RECEIPTS 422 INTEREST EARNINGS 5,100 5,100 423 TOTAL RECEIPTS 5,100 5,100 424 TOTALS $ 302,500 $ 299,200 425 BUDGET SUMMARY 426 2014/15 2014/15 427 BUDGET REVISED 428 CURRENT YEAR BALANCE - WATER 107,700 106,500 429 CURRENT YEAR BALANCE - WASTEWATER 194,800 192,700 430 CURRENT YEAR BALANCE SUBTOTALS 302,500 299,200 431 TOTAL EXPENSES AND CURRENT YEAR BALANCES $ 302,500 $ 299,200 432 The City Manager is hereby authorized, without further approval of the City Council, to make 433 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 434 department with the exception of any transfers prohibited by City Procedure #F306. 435 ADOPTED: * 13

FIRST READING 436 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 437 ELECTRIC REVENUE FUND 438 REVENUES AND BUDGET FOR 2014-2015 439 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 440 The amount hereinafter named aggregating Eighty Eight Million Nine Hundred Ten Thousand 441 Three Hundred dollars ($88,910,300) or so much thereof as may be necessary are hereby 442 appropriated from current revenues and other funds for the use by several departments of the 443 Municipal Government for the fiscal year beginning July 1, 2014 and ending June 30, 2015: 444 2014/15 2014/15 445 BUDGET REVISED 446 BEGINNING BALANCE $ 9,253,600 $ 6,603,800 447 BASE REVENUE 448 DIRECT SALES TO CUSTOMER 78,043,000 78,043,000 449 UTILITY TAX 1,296,900 1,296,900 450 MISCELLANEOUS REVENUE 624,600 624,600 451 RENT REVENUE 200,000 200,000 452 GREEN ENERGY 130,000 130,000 453 INTEREST EARNINGS 12,000 12,000 454 TRANSFER FROM RATE STABILIZATION 2,000,000 2,000,000 455 TOTAL REVENUES 82,306,500 82,306,500 456 TOTALS $ 91,560,100 $ 88,910,300 14

FIRST READING 457 2014-2015 BUDGET ORDINANCES - CONTINUED 458 ELECTRIC FUND EXPENSES AND BUDGET BALANCE 459 2014/15 2014/15 460 EXPENSES BUDGET REVISED 461 POWER SUPPLY $ 21,823,000 $ 21,823,000 462 SOLAR ENERGY 2,067,600 2,067,600 463 SOLAR RENEWAL ENERGY CREDITS 378,600 378,600 464 POWER SUPPLY MANAGEMENT 996,000 996,000 465 PJM CHARGES - ENERGY 11,499,800 11,499,800 466 PJM CHARGES - TRANSMISSION & FEES 7,234,100 7,234,100 467 CAPACITY CHARGES 9,958,900 9,958,900 468 SUB-TOTAL POWER SUPPLY 53,958,000 53,958,000 469 PLANT OPERATIONS 6,141,000 6,141,100 470 GENERATIONS FUELS 1,611,100 1,611,100 471 PJM SPOT MARKET ENERGY (2,232,800) (2,232,800) 472 PJM CREDITS (486,700) (486,700) 473 CAPACITY CREDITS (8,881,500) (8,881,500) 474 GENERATION SUBTOTAL (3,848,800) (3,848,800) 475 POWER SUPPLY & GENERATION SUBTOTAL 50,109,200 50,109,200 476 DIRECT EXPENDITURES 477 TRANSMISSION/DISTRIBUTION 4,028,700 4,044,500 478 ELECTRICAL ENGINEERING 1,370,900 1,374,300 479 ADMINISTRATION 636,600 637,400 480 METER READING 267,600 267,600 481 SYSTEMS OPERATIONS 686,300 696,500 482 DIRECT EXPENDITURE SUBTOTALS 6,990,100 7,020,300 483 OTHER EXPENSES: 484 UTILITY TAX 1,296,900 1,296,900 485 ALLOW FOR UNCOLLECTIBLES 200,000 200,000 486 CONTRACTUAL SERVICES 246,800 246,800 487 RETIREES HEALTH CARE 513,300 513,300 488 OTHER EMPLOYMENT EXPENSES 54,200 24,000 489 OPEB UNFUNDED LIABILITY 1,009,800 1,009,800 490 GREEN ENERGY PAYMENT TO DEMEC 130,000 130,000 491 INTRAFUND SERVICE FEES 3,508,100 3,588,200 492 INTEREST ON DEPOSITS 20,000 20,000 493 INVENTORY WRITE OFFS 175,000 175,000 494 DEBT SERVICE 3,297,000 3,297,000 495 OTHER EXPENSES SUBTOTAL 10,451,100 10,501,000 496 TRANSFER TO 497 IMPROVEMENT & EXTENSION 4,750,000 4,750,000 498 GENERAL FUND 10,000,000 10,000,000 499 TRANSFER TO SUBTOTAL 14,750,000 14,750,000 500 TOTAL EXPENSES 82,300,400 82,380,500 501 CURRENT YEAR BALANCE 9,259,700 6,529,800 502 TOTALS $ 91,560,100 $ 88,910,300 503 The City Manager is hereby authorized, without further approval of the City Council, to make 504 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 505 department with the exception of any transfers prohibited by City Procedure #F306. 506 ADOPTED: * 15

FIRST READING 507 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 508 ELECTRIC UTILITY IMPROVEMENT AND EXTENSION FUND 509 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 510 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 511 The amount hereinafter named aggregating Ten Million, Nine Hundred Sixty Seven Thousand Three 512 Hundred Dollars ($10,967,300) or so much thereof as may be necessary are hereby appropriated from 513 current revenues and other funds for the use by several departments of the Municipal Government for 514 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 515 CASH RECEIPTS 516 517 2014/15 2014/15 BUDGET REVISED 518 BEGINNING BALANCE $ 3,362,200 $ 5,942,500 519 RECEIPTS 520 TRANSFER FROM ELECTRIC 4,750,000 4,750,000 521 GENERAL SERVICE BILLING 250,000 250,000 522 INTEREST EARNINGS 24,800 24,800 523 TOTAL RECEIPTS 5,024,800 5,024,800 524 TOTALS $ 8,387,000 $ 10,967,300 525 EXPENSE SUMMARY 526 2014/15 2014/15 527 EXPENSES BUDGET REVISED 528 ELECTRIC GENERATION $ 2,240,000 $ 2,739,300 529 TRANSMISSION AND DISTRIBUTION 1,061,700 1,804,200 530 ELECTRICAL ENGINEERING 1,663,100 2,800,200 531 TOTAL EXPENSES 4,964,800 7,343,700 532 CURRENT YEAR BALANCE 3,422,200 3,623,600 533 TOTALS $ 8,387,000 $ 10,967,300 534 The City Manager is hereby authorized, without further approval of the City Council, to make 535 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 536 department with the exception of any transfers prohibited by City Procedure #F306. 537 ADOPTED: * 16

FIRST READING 538 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 539 ELECTRIC UTILITY CONTINGENCY RESERVE 540 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 541 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 542 The amount hereinafter named aggregating Eight Hundred Twenty Five Thousand dollars 543 ($825,000) or so much thereof as may be necessary are hereby appropriated from current revenues 544 and other funds for the use by several departments of the Municipal Government for the fiscal year 545 beginning July 1, 2014 and ending June 30, 2015: 546 CASH RECEIPTS 547 2014/15 2014/15 548 BUDGET REVISED 549 BEGINNING BALANCE $ 820,100 $ 819,100 550 RECEIPTS 551 INTEREST EARNINGS 5,900 5,900 552 TOTAL RECEIPTS 5,900 5,900 553 TOTALS $ 826,000 $ 825,000 554 EXPENSE SUMMARY 555 2014/15 2014/15 556 BUDGET REVISED 556 CURRENT YEAR BALANCE 826,000 825,000 557 TOTALS $ 826,000 $ 825,000 558 The City Manager is hereby authorized, without further approval of the City Council, to make 559 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 560 department with the exception of any transfers prohibited by City Procedure #F306. 561 ADOPTED: * 17

FIRST READING 562 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 563 ELECTRIC UTILITY DEPRECIATION RESERVE 564 SOURCES AND USE OF FUNDS FOR 2014-2015 565 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 566 The amount hereinafter named aggregating Ten Million Fifteen Thousand Three Hundred 567 dollars ($10,015,300) or so much thereof as may be necessary are hereby appropriated 568 from current revenues and other funds for the use by several departments of the 569 Municipal Government for the fiscal year beginning July 1, 2014 and ending June 30, 2015: 570 CASH RECEIPTS 571 2014/15 2014/15 572 BUDGET REVISED 573 BEGINNING BALANCE $ 9,898,000 $ 9,915,100 574 INTEREST EARNINGS 100,200 100,200 575 TOTALS $ 9,998,200 $ 10,015,300 576 BUDGET SUMMARY 577 2014/15 2014/15 578 BUDGET REVISED 579 CURRENT YEAR BALANCE 9,998,200 10,015,300 580 TOTALS $ 9,998,200 $ 10,015,300 581 The City Manager is hereby authorized, without further approval of the City Council, to make 582 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 583 department with the exception of any transfers prohibited by City Procedure #F306. 584 ADOPTED: * 18

FIRST READING 585 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 586 ELECTRIC UTILITY FUTURE CAPACITY RESERVE 587 SOURCES AND USE OF FUNDS FOR 2014-2015 588 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 589 The amount hereinafter named aggregating Ten Million One Hundred Thirty Six Thousand Nine Hundred 590 dollars ($10,136,900) or so much thereof as may be necessary are hereby appropriated from current revenues 591 and other funds for the use by several departments of the Municipal Government for the fiscal year 592 beginning July 1, 2014 and ending June 30, 2015: 593 CASH RECEIPTS 594 2014/15 2014/15 595 BUDGET REVISED 596 BEGINNING BALANCE $ 10,076,200 $ 10,064,400 597 INTEREST EARNINGS 72,500 72,500 598 TOTALS $ 10,148,700 $ 10,136,900 599 BUDGET SUMMARY 600 2014/15 2014/15 601 BUDGET REVISED 602 CURRENT YEAR BALANCE 10,148,700 10,136,900 603 TOTALS $ 10,148,700 $ 10,136,900 604 The City Manager is hereby authorized, without further approval of the City Council, to make 605 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 606 department with the exception of any transfers prohibited by City Procedure #F306. 607 ADOPTED: * 19

FIRST READING 608 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 609 ELECTRIC UTILITY INSURANCE STABILIZATION RESERVE 610 SOURCES AND USE OF FUNDS FOR 2014-2015 611 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 612 The amount hereinafter named aggregating Seven Hundred Forty Two Thousand Eight Hundred dollars 613 ($742,800) or so much thereof as may be necessary are hereby appropriated from current revenues 614 and other funds for the use by several departments of the Municipal Government for the fiscal year 615 beginning July 1, 2014 and ending June 30, 2015: 616 CASH RECEIPTS 617 2014/15 2014/15 618 BUDGET REVISED 619 BEGINNING BALANCE $ 738,300 $ 737,500 620 INTEREST EARNINGS 5,300 5,300 621 TOTALS $ 743,600 $ 742,800 622 BUDGET SUMMARY 623 2014/15 2014/15 624 BUDGET REVISED 625 CURRENT YEAR BALANCE 743,600 742,800 626 TOTALS $ 743,600 $ 742,800 627 The City Manager is hereby authorized, without further approval of the City Council, to make 628 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 629 department with the exception of any transfers prohibited by City Procedure #F306. 630 ADOPTED: * 20

FIRST READING 631 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 632 ELECTRIC UTILITY RATE STABILIZATION RESERVE 633 SOURCES AND USE OF FUNDS FOR 2014-2015 634 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 635 The amount hereinafter named aggregating Ten Million Five Hundred Forty One Thousand Five Hundred 636 dollars ($10,541,500) or so much thereof as may be necessary are hereby appropriated from current 637 revenues and other funds for the use by several departments of the Municipal Government for 638 the fiscal year beginning July 1, 2014 and ending June 30, 2015: 639 CASH RECEIPTS 640 2014/15 2014/15 641 BUDGET REVISED 642 BEGINNING BALANCE $ 10,507,300 $ 10,465,800 643 INTEREST EARNINGS 75,700 75,700 644 TOTALS $ 10,583,000 $ 10,541,500 645 BUDGET SUMMARY 646 2014/15 2014/15 647 BUDGET REVISED 648 TRANSFER TO ELECTRIC FUND $ 2,000,000 $ 2,000,000 649 CURRENT YEAR BALANCE 8,583,000 8,541,500 650 TOTALS $ 10,583,000 $ 10,541,500 651 The City Manager is hereby authorized, without further approval of the City Council, to make 652 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 653 department with the exception of any transfers prohibited by City Procedure #F306. 654 ADOPTED: * 21

FIRST READING 655 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 656 WORKERS COMPENSATION FUND 657 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 658 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 659 The amount hereinafter named aggregating One Million Six Hundred Twenty Four Thousand Four Hundred 660 dollars ($1,624,400) or so much thereof as may be necessary are hereby appropriated from current revenues 661 and other funds for the use by several departments of the Municipal Government for the fiscal year 662 beginning July 1, 2014 and ending June 30, 2015: 663 OPERATING REVENUES 664 2014/15 2014/15 665 BUDGET REVISED 666 PRIOR YEAR BALANCE $ 1,135,000 $ 1,123,300 667 INTEREST INCOME 10,600 10,600 668 PREMIUM FROM CITY 490,500 490,500 669 TOTALS $ 1,636,100 $ 1,624,400 670 OPERATING EXPENSES 671 2014/15 2014/15 672 BUDGET REVISED 673 PROGRAM EXPENSES/SUPPLIES - CLAIMS $ 450,000 $ 450,000 674 INSURANCE 92,600 92,600 675 BANK FEES 600 600 676 STATE OF DEL - SELF INSURANCE TAX 37,000 37,000 677 CONTRACTUAL SERVICES 57,000 57,000 678 TOTAL EXPENSES 637,200 637,200 679 CURRENT YEAR BALANCE 998,900 987,200 680 TOTALS $ 1,636,100 $ 1,624,400 681 The City Manager is hereby authorized, without further approval of the City Council, to make 682 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 683 department with the exception of any transfers prohibited by City Procedure #F306. 684 ADOPTED: * 22

FIRST READING 685 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 686 LIBRARY GRANT FUND 687 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 688 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 689 The amount hereinafter named aggregating Three Hundred Twenty Six Thousand two Hundred dollars 690 ($326,200) or so much thereof as may be necessary are hereby appropriated from current revenues 691 and other funds for the use by several departments of the Municipal Government for the fiscal year 692 beginning July 1, 2014 and ending June 30, 2015: 693 OPERATING REVENUES 694 2014/15 2014/15 695 BUDGET REVISED 696 BEGINNING BALANCE $ 17,300 $ 44,800 697 STATE GRANT 274,100 278,900 698 FEDERAL GRANT - 2,500 699 TOTALS $ 291,400 $ 326,200 700 OPERATING EXPENSES 701 2014/15 2014/15 702 BUDGET REVISED 703 FURNITURE $ 2,000 $ 15,100 704 OFFICE SUPPLIES 24,000 28,000 705 PRINTING/DUPLICATING 8,900 14,000 706 AUDIO VISUAL SUPPLIES 74,000 75,100 707 BOOKS 128,900 132,600 708 PROGRAM EXPENSES/SUPPLIES 28,000 29,900 709 POSTAGE 100 100 710 TRAINING/CONF/FOOD/TRAV 3,500 3,500 711 CONTRACTUAL SERVICES - 900 712 OFFICE EQUIPMENT/REPAIRS & MAINT 2,000 6,000 713 COMPUTER HARDWARE 2,700 - 714 OTHER EQUIP - LEASE - 1,200 715 SUBTOTAL EXPENSES STATE GRANTS 274,100 306,400 716 PROGRAM EXPENSES/SUPPLIES - 2,500 717 SUBTOTAL EXPENSES FEDERAL GRANTS - 2,500 718 CURRENT YEAR BALANCE 17,300 17,300 719 TOTALS $ 291,400 $ 326,200 720 The City Manager is hereby authorized, without further approval of the City Council, to make 721 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 722 department with the exception of any transfers prohibited by City Procedure #F306. 723 ADOPTED: * 23

FIRST READING 724 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 725 POLICE GRANTS FUND 726 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 727 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 728 The amount hereinafter named aggregating Six Hundred Eight Thousand Five Hundred dollars 729 ($608,500) or so much thereof as may be necessary are hereby appropriated from current revenues 730 and other funds for the use by several departments of the Municipal Government for the fiscal year 731 beginning July 1, 2014 and ending June 30, 2015: 732 OPERATING REVENUES 733 2014/15 2014/15 734 BUDGET REVISED 735 BEGINNING BALANCE $ 77,200 $ 172,100 736 STATE AND FEDERAL GRANTS 339,000 436,400 737 TOTALS $ 416,200 $ 608,500 738 OPERATING EXPENSES 739 2014/15 2014/15 740 BUDGET REVISED 741 CADET PROGRAM SALARIES AND BENEFITS - 17,900 742 POLICE EQUIPT & PROG SUPP 156,000 317,900 743 TECHNOLOGY EQUIPMENT 50,000 47,800 744 CELL PHONE CHARGES 15,000 15,000 745 TRAINING 32,000 45,000 746 AUDIT FEES 1,000 1,000 747 CONTRACTUAL SERVICES 6,000 10,200 748 SUBTOTAL EXPENSES 260,000 454,800 749 OPERATING TRANSFERS-OUT 124,000 124,000 750 SUBTOTAL FINANCING USES 124,000 124,000 751 CURRENT YEAR BALANCE 32,200 29,700 752 TOTALS $ 416,200 $ 608,500 753 The above budget represents the combination of all State & Federal Grants. 754 The City Manager is hereby authorized, without further approval of the City Council, to make 755 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 756 department with the exception of any transfers prohibited by City Procedure #F306. 757 ADOPTED: * 24

FIRST READING 758 2014-2015 BUDGET ORDINANCES - SECOND AMENDMENT (CONTINUED) 759 CDBG FUND 760 CASH RECEIPTS/REVENUES AND BUDGET FOR 2014-2015 761 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 762 The amount hereinafter named aggregating Two Hundred Eighty Six Thousand Three Hundred dollars 763 ($286,300) or so much thereof as may be necessary are hereby appropriated from current revenues 764 and other funds for the use by several departments of the Municipal Government for the fiscal year 765 beginning July 1, 2014 and ending June 30, 2015: 766 OPERATING REVENUES 767 2014/15 2014/15 768 BUDGET REVISED 769 BEGINNING BALANCE $ - $ 2,100 770 STATE AND FEDERAL GRANTS 235,000 284,200 771 TOTALS $ 235,000 $ 286,300 772 OPERATING EXPENSES 773 2014/15 2014/15 774 BUDGET REVISED 775 Prior year Closing cost/down payment program - 200 776 Prior year MHDC home repair - 2,000 777 Prior year Elizabeth W Murphey School - 1,200 778 Prior year Ncall Research Inc. - 2,300 779 Prior year Milford housing H/O rehab - 3,000 780 Current year closing cost/down payment program 102,800 102,800 781 Current year Dover interfaith ministry 27,500 27,500 782 Current year Elizabeth W Murphey school 50,000 50,000 783 Current year Ncall Research Inc. 7,700 7,700 784 Current year salaries 47,000 87,500 785 TOTAL EXPENDITURES 235,000 284,200 786 CURRENT YEAR BALANCE - 2,100 787 TOTALS $ 235,000 $ 286,300 788 The above budget represents the combination of all State & Federal Grants. 789 The City Manager is hereby authorized, without further approval of the City Council, to make 790 interdepartmental transfers of up to five percent of the amount hereinafter appropriated to any 791 department with the exception of any transfers prohibited by City Procedure #F306. 792 ADOPTED: * 25

ATTACHMENT #2 LF&A Committee Meeting of 02/09/2015 CITY OF DOVER TRAINING, CONFERENCE & TRAVEL POLICY A. INTRODUCTION 1. Purpose The purpose of this policy is to provide guidelines under which City of Dover employees, public officials, and appointees will be reimbursed for authorized travel expenses incurred in the conduct of business for the City of Dover, hereinafter referred to as “City.” In addition to the guidelines, specific procedures with regard to incurring and reporting related expenses are provided. 2. Scope This policy shall apply to employees of the City of Dover, elected officials, boards, commissions and others, who are engaged in authorized travel and who expend City funds for travel purposes. The Mayor and Members of City Council are not required to submit a Travel Authorization and Completion Form, but are required to follow the financial and budget requirements of this policy. While this policy does not cover every possible situation, it establishes adequate guidelines for employees and officials to make appropriate and consistent judgments regarding the expenditure of City funds for reimbursable expenses. The City of Dover will provide flexibility to meet the special needs and requirements of their employees during travel. It remains the responsibility of city management to control and approve travel-related expenditures. The City Manager and Controller/Treasurer may impose more stringent rules when deemed appropriate or necessary. The City Manager and Controller/Treasurer will review every three years the implementation of this Policy and will provide policy interpretations and assistance to ensure effective and efficient implementation. Any exceptions will be subject to approval by the City Manager and Controller/Treasurer. The City Manager and Controller/Treasurer may also, on a case-by case basis, approve reimbursements exceeding the guideline amounts referenced in this policy. In any such instance, a detailed explanation and substantiation (a receipt) is required. Enforcement of this policy will be the responsibility of the Controller/Treasurer. 3. Responsibility a. Employee, Public Official, or Appointee · Comply with all provisions of this policy. · Obtain the necessary approvals in advance for overnight travel and out-of-state use of City vehicles. Provide a copy of the approval with the travel prepayment made by direct voucher. · All expenses incurred in the course of City business are to be in accordance with the City’s Administrative Policies and Rules of Ethics and must be paid solely from appropriated funds. · Comply with the ten (10) working-day rule. b. Department Director/City Manager/Council Designee · Ensure compliance with this policy.

Training, Conference & Travel Policy Page 2 of 14 · Review and approve each of their employees/official’s travel approval requests and reimbursable expenses. · Ensure sufficient funds are available for all anticipated expenses. c. Signatures on the Travel Expense Report (City of Dover Form 030 Exhibit B) certify that the expenses were incurred by the employee/official requesting reimbursement for official City business, are reimbursable in accordance with this policy, and have not been reimbursed except as indicated on this form. Required signatures for expenses are: · Employee · Supervisor · Department Director or Council Designee B. TRAINING AND CONFERENCE REGISTRATION FEES 1. Request for payment of registration fees shall be accompanied by the registration form. 2. City Council, Planning Commission and the Mayor are offered opportunities to attend courses designed for governmental officials. Any member of Council wanting to take advantage of these courses offered by the following organizations will submit to the City Clerk’s office their request for registration. - Delaware League of Local Governments - National League of Cities - US Conference of Mayors - International City Managers Association - Government Finance Officers Association (GFOA) - American Public Power Association (APPA) - American Public Works Association (APWA) - American Planning Association - Organizations that provide Continuing Education credits for professional license renewals of applicable staff. Any courses not offered by these organizations will be submitted to the City Manager and Controller/Treasurer for concurrence. C. TRAVEL AUTHORIZATION All out-of-state travel that extends beyond one day shall be approved by the City Manager. All requests shall be made on the "Travel Authorization Form” (City of Dover - Form 047 Exhibit A). A copy of the conference or meeting program must be attached to the form. The authorization form must be submitted to the City Manager in a reasonable amount of time prior to the traveling day. The Department Director or City Manager may impose specific requirements as to the time the authorization form must be submitted prior to travel. Employees and Officials traveling on official City business should be aware that the approval is for travel only, and is not a blanket approval of the expenses incurred.

Training, Conference & Travel Policy Page 3 of 14 A travel packet including the authorization form, the meeting program/itinerary, and the purchase orders for advanced costs must be submitted to the Accounts Payable Department. The Purchase Orders for the advanced costs should include the necessary supporting documentation. It does not require the submission of duplicate information. Please note Purchase Orders for registration costs must include the Registration form unless previously submitted; submission for hotel and airfare costs must include documentation of the individual costs unless previously submitted. D. TRANSPORTATION: COMMON CARRIER 1. General All trips requiring the use of common carrier must be pre-approved by the appropriate approval authority. The mode of travel must be justified on the basis of the most economical use of time of the personnel involved, the cost of optional travel modes, and the requirements of the trip. All common carrier reservations must be consistent with reasonable business travel planning, common carrier will be booked at the lowest available fare. If the lowest available fare is turned down by the traveler, the traveler's explanation for the denial is to be provided with the travel authorization request. Travelers should be advised to make travel reservations as far in advance as possible to attain the lowest fares, including non-refundable tickets. Travelers may not specify particular airlines or other carriers to accumulate mileage on promotional plans such as frequent flyer programs. In order to take advantage of special discount rates (supersaver fares, etc.), reimbursement to an employee may be made prior to a trip being taken under the following conditions: a. Documentation of the substantial savings that will accrue to the City (e.g., supersaver discounts). b. Employee's proof of payment on a statement from the airline, other than credit card receipts. Most airlines will not give refunds or partial refunds for supersaver airfares. It is encouraged to examine the advantage of fares requiring early trip departure or delayed return. However, it is important to consider the additional cost of meals and lodging for the required extra day(s) stay when comparing cost. 2. Air Travel a. Accommodations - When commercial airlines are used as a mode of travel, accommodations shall be coach/economy class unless some other class accommodations are more economical. b. Routing of Travel - All travel will be by the most economical and direct routes. In the event that a person travels by an indirect route for personal convenience, the extra expense shall be the responsibility of the individual. Reimbursement for expenses shall be based only on the cost of the most economical and direct route.

Training, Conference & Travel Policy Page 4 of 14 c. Conference Airfare Arrangements When attending a conference, always check conference materials to see if special airline discounts are offered. When a special airline discount rate is offered and conferees are instructed to go directly to an airline to obtain the discount fare, the employee should compare the conference rates through the internet with all other airline rates available before scheduling airline reservations. The employee should always book the lowest fare possible. (See Section F.3. for Conference Lodging Arrangements). 3. Rail Travel 1. Accommodations When it has been determined that rail travel is the most appropriate mode of transportation, the most economical class accommodations shall be utilized. E. TRANSPORTATION: PASSENGER VEHICLES 1. City-Owned Vehicles City-owned vehicles should be utilized for both in-state and out-of-state travel when such use is the most practical and economical mode of transportation, including the cost of tolls, fuel and parking. 2. Use of Privately-Owned Vehicles a. The use of privately owned vehicles for any City travel (both in state and out-of-state) should only be used when a City Vehicle is not available. The use of a privately owned vehicle for City travel shall require the prior approval of the City Manager and Department Director. Reimbursement of private vehicle expenses shall be at the Council approved rate as indicated on Exhibit B for actual and necessary miles traveled. Beginning and ending odometer readings are required for the reimbursement for mileage. b. In considering approval for use of personal vehicles, the approval authority shall take into consideration the cost of alternative modes of travel and the cost of meals and lodging for the additional travel/transit days. Mileage reimbursements shall not exceed the cost of airfare plus travel to/from the airport. c. When two or more employees travel in a privately owned vehicle, only one mileage reimbursement will be allowed at times when one vehicle is sufficient to carry all passengers. 3. Rental Cars a. General The use of a rental car when traveling out of state must be justified as an economical need and not as a matter of personal convenience. Prior approval by the Department Director and City Manager is required before arranging for car rental. All rentals should be at the most economical

Training, Conference & Travel Policy Page 5 of 14 rate per day including government rates or special rate agreements. When traveling in groups, sharing of cars, when practical, must be done to minimize costs. The city will not pay for the use of a rental car to accommodate family members or non-business associates traveling with the employee, public official, or appointee. b. Vehicle Size Whenever possible, compact cars shall be rented or reserved. However, if a larger size vehicle is more economical or more than two city travelers are traveling together the larger vehicle may be appropriate. Any representative of the City requesting an upgrade of the size of a rented vehicle shall provide a written explanation of their reasons to the City Manager. A receipt is always required. c. Insurance (1) The optional insurance coverage offered by the car rental agency must be declined when the traveler charges the rental car. The traveler will automatically receive primary coverage under the City blanket insurance policy for travel. When insurance is declined, the policy covers collision damage, theft, fire and vandalism. Reimbursements for additional or optional insurance coverage will not be allowed. (2) Other. Travelers not covered under the blanket insurance policy may be covered by their personal automobile insurance policy or other personal credit cards. Travelers should check their automobile policy and credit card policy for business travel coverage and accept or decline additional coverage accordingly. Reimbursement for additional or optional insurance coverage will not be allowed. d. Refueling Before Return To avoid a refueling surcharge, all rental cars shall be refueled before returning the vehicle to the rental company. Any surcharges billed to the employee, public official, appointee, or City shall be explained in the reimbursement request. e. Reservations Approved car rental reservations shall be made in advance whenever possible. The employee should compare car rental rates and always look to reserve the lowest rental. F. LODGING 1. General City travelers are expected to seek accommodations that are comfortable, convenient, meet business and personal needs and offer good value. Employees are expected to compare local lodging rates in the area prior to reserving lodging.

Training, Conference & Travel Policy Page 6 of 14 2. Accommodation a. Lodging accommodations for reasonably priced single occupancy rooms are reimbursable when the traveler is away from home overnight due to official travel. b. Accommodations shared with family members or others not on official City business are reimbursable at the single occupancy rate only. c. Accommodations shared with other City travelers should be billed and reimbursed to one traveler. When required, reimbursements to more than one traveler shall be based on a pro rata share as reported on each reimbursement request. 3. Conference Lodging Arrangements When hotel rooms are blocked for a conference, seminar, etc., and a special discounted conference hotel rate provided, the employee/official should compare conference rates with the rates for other local hotels within a three (3) block radius of the conference. The employee is urged to reserve hotel accommodations that offer the best value to the City. This includes conference rate, government rate or lower rate, for the employee/official. If a lower rate is not available, the conferees should make their lodging arrangements directly utilizing the conference instructions. Conference lodging will be considered to accommodate persons with special circumstances. 4. Occupancy Tax The City is exempt from the tax on occupancy of hotel, motel and tourist home rooms within Delaware only. When instate overnight accommodations are necessary, the employee should be provided with a copy of the Occupancy Tax Exemption Certificate (see Exhibit C) to be presented to the lodging facility. Tax on occupancy of hotels in other states must be paid. G. MEAL ALLOWANCES 1. General The City will pay for or reimburse an employee/official for the necessary and reasonable cost of meals and incidental expenses incurred during out of state travel requiring overnight lodging. Additional meal costs incurred over and above those provided as part of a conference or registration fee are not reimbursable, unless justified as a special circumstance and approved by the City Manager and Controller/Treasurer (e.g. special meeting or diet restrictions). Exceptions are to be pre-approved by the City Manager and Controller/Treasurer. There will not be any reimbursement for meals when the meals are provided as part of the conference/training or by the host organization and when meals are provided as part of the hotel service and/or airfare. Only per diem rates as prescribed by the Federal Government for official travel will be provided for Meals and Incidental Expenses (M&IE). (\\doverfp\Public Docs\Policies & Procedures\Travel\FY2015_PerDiemRates.pdf)

Training, Conference & Travel Policy Page 7 of 14 If an employee is traveling partial days on any calendar day, the City will prorate the applicable M&IE rate at 75 percent. This applies to both day of departure and day of return. Partial travel days begin when an employee leaves Dover after 12:00 noon on the day of departure and returns to Dover by 5:00 PM on the day of arrival. When meals are provided at the conference or by the host, the meal allowance will be reduced by 25% for each meal provided. Continental Breakfast provided by the hotel or at the conference is counted as a meal, unless justified as a special circumstance and approved by the City Manager and Controller/Treasurer (e.g. special meeting or diet restrictions). 2. Day Trips, In-state Travel and Before or After Hours The meal allowance for day trips out of the City will be reimbursed at actual cost, as long as it does not exceed 25% of the normal per diem per the M&IE Allowance. The meal allowance for working before or after hours as a general rule are not encouraged, but may be approved by the City Manager and/or Controller/Treasurer on a case-by-case basis. At no time can the amount exceed the allowances established. H. CASH ADVANCES General/Blanket travel advance checks will not be issued to employees, public officials, or appointees. Employees, public officials, and appointees will be reimbursed for specific travel related expenses after the trip or event has been completed. The City will pay specific travel and lodging costs in advance as long as the request deadlines are met. Employees, public officials, and appointees shall use a City purchase order when requesting travel cost advances. Department Directors should use their City credit card for business travel. Directors may approve the use of their departmental travel credit card when arranging employee travel. Under urgent situations and with prior approval, employees and officials can also use a personal credit card and request reimbursement when they return. The City will pay in advance the following costs: Please note: A travel packet including the Travel authorization form, the meeting program/itinerary, and a purchase order for the advanced costs listed below must be submitted to the Accounts Payable Department no later than 12 days prior to the event. a) Conference/Training registration fees. Such payment will be made payable and mailed directly to the organization. This will be done through a purchase order submitted by the department upon receipt of the approved Travel Authorization Form. A copy of the registration form describing the specific event must be attached to the purchase order. The Employee Travel packet must be submitted to Accounts Payable prior to/or along with the purchase order request for advance travel expenses. b) Airfare. Airfare is normally reserved on-line through the internet and paid with a City credit card after travel approval has been received. (See City Credit Card Policy) c) Lodging. Upon receipt of the approved Travel authorization form, the department may submit a purchase order for lodging. The check will be made payable to the hotel and will be given to the person for whom the lodging arrangements are made. The department must provide supporting

Training, Conference & Travel Policy Page 8 of 14 documentation including the daily lodging rates and applicable taxes along with the purchase order. Lodging reservations can be held with the use of a City Credit Card. (See City Credit Card Policy) d) Meal allowance. An advance for the M&IE Allowance, which includes both meals and incidental expenses, will be permitted for meals not provided by the conference or training as indicated in Section G (1) above. Only per diem rates as prescribed by the Federal Government for official travel will be provided for M&IE Allowance. I. TRAVEL EXPENSE REIMBURSEMENT 1. General Travel Expense Report (City of Dover Form 30) is due to Accounts Payable within ten (10) working days after travel or an expense is incurred. (Ten working-day rule) a. Timely reimbursement can be assured only if an accurate, properly substantiated Travel Expense Report is received to Accounts Payable ten (10) working days after completion of the trip. b. Failure to submit timely Travel Expense Reports after the completion of a trip will result in administrative action, such as notification to the Department Director and denial of future travel requests. Travel Expense Reports for local travel and related expenses are to be submitted monthly. In no case shall a reimbursement be made to an employee for travel/conference/training related expenses incurred in excess of 90 days. Note: This section pertains to only those travel expenses paid by the traveler; not to travel expenses directly billed to/paid by the City. 2. Receipt Requirements and Other Reimbursement Criteria a. Tickets booked on common carriers (airline, rail or bus) require original copy of the paid invoice or email confirmation containing total travel costs for arrangements booked on-line. b. Hotel/motel bills shall be the original copy of hotel/motel billing marked paid. c. Ground transportation, including airport shuttle, taxi or public transit requires a receipt. d. Car rental reimbursements require paid invoice from the rental company. e. Meals do not require receipts and are not reimbursable above the maximum daily/partial day per meal allowance. Tips are included in the M&IE Allowance and will not be reimbursed separately. When more than one City employee, public official, or appointee’s meals are being reimbursed, each employee must submit a separate Travel Expense Reimbursement for their allowance. , including a receipt from the dining facility attached. f. Hotel/motel related expenses should be documented identifying the date and the cost for each category with the following requirements:

Training, Conference & Travel Policy Page 9 of 14 (1) Out-of-pocket costs for incidental items such as tips, baggage handling and maid service are not individually reimbursable by the City of Dover. Costs included under this category are included in the M&IE per diem rate. Only per diem rates as prescribed by the Federal Government for official travel will be provided for M&IE allowance. (2) City-business related telephone calls are reimbursable as incurred and require a receipt from the telephone service provider or included on the hotel/motel billing invoice. g. Lodging at campgrounds using traveler’s camper or recreational vehicle is reimbursable at the actual cost, not to exceed the equivalent cost of hotel/motel lodging. Receipt is required. h. Other Reimbursement Categories Reimbursement for the following categories should be submitted on a schedule identifying the date, the cost and the category. All supporting receipts must be attached: 1) The City will reimburse employees for hotel and airport self-parking. The City encourages all employees to seek ‘economy and budget parking’. 2) The City will not reimburse employees for Valet parking, unless prior approval has been granted by the City Manager and Controller. 3) The City will reimburse employees the cost of tolls for interstates, turnpike, bridges and/or ferries. All travel expenses require a receipt. 4) The City will reimburse employees for necessary airport baggage fee. A receipt is required. i. Gasoline and/or Other Supplies require a receipt. Need for emergency repairs incidental to using a City-owned vehicle shall require a Vendor receipt. j. Department Director pre-approval is required to receive reimbursement for Internet Access Costs for city business. These costs must be substantiated with receipts and validation by the Information Technology Department. k. While traveling overnight out-of-state, the City will reimburse employees for the cost of up to two (2) personal telephone calls not to exceed $8 per trip. A receipt is required for reimbursement. l. Reimbursements for travel expenses incurred without required receipts, as outlined, is strictly prohibited. A "no receipt - no reimbursement" policy applies 3. Non- Reimbursable Expenses The City shall not reimburse expenses for the following: a. Alcoholic beverages. b. In-room movies or pay television. c. Theater tickets or nightclub entertainment. d. Laundry. e. Babysitting.

Training, Conference & Travel Policy Page 10 of 14 f. Related expenses of spouse, children and other persons accompanying the authorized employee or official. g. Pleasure, historic or other tour related expenses. Expenses for business related tours would be reimbursed. h. Donations and gifts made while at training, conference, or meeting. i. Loss or damage of personal items. j. Meals for other conference attendees. k. Purchase of personal items. l. Any parking or moving violation fines. m. Any personal or pleasure travel while on City business. J. CHARTER AND CODE OF CONDUCT All City of Dover policies are subject to the City of Dover Charter Part 1, Subpart A, Article II, Section 12 “Compensation and expenses - Mayor and Council and other elected or appointed officials”, whereas, “Members of the council, mayor and other elected or appointed officials shall receive reimbursement for actual and necessary expenses incurred when on official business as prescribed by city ordinance or policy” and; Part II Code of Ordinances Chapter 2, Article 1, Division 4 “Code of Conduct”, which is “applicable to all elected and appointed officials and to all employees of the City of Dover.” K. INTERNAL REVENUE CODE - DEFINITION OF PUBLIC OFFICIAL Generally, if there is any provision in a public law which authorizes the employment of the individual, and the individual is hired or elected under this authority, the individual is considered an employee of the State or political subdivision to which the provision applies. The following factors indicate that an office is a “public office.” The office was created by the constitution or through legislation, or by a municipality or other body with authority conferred by the legislature. The office was delegated a portion of the powers of the government body. The powers conferred and the duties to be discharged are defined either directly or indirectly law or through legislative authority. The duties are being performed independently and without control of a superior power other than the law. The office has some permanency and continuity, and the officer takes an official oath. Examples of public officers are: the president and vice president, a governor or mayor, the secretary of state, a member of a legislative body, such as a state legislature, county commission, city council, school board, a judge, a justice of the peace, and members of advisory boards and committees. L. REVIEW & REVISION The City of Dover Travel Policy will be reviewed every three years by the City Manager, Controller/Treasurer and City Clerk to provide recommended changes to City Council for approval.

Training, Conference & Travel Policy Page 11 of 14 EXHIBITS Exhibit A - COD Travel Authorization Form (Form 47) Exhibit B - COD Travel Expense Report Form (Form 30) Exhibit C - COD Exemption Certificate Form 99A REVISION RECORD Revised: November 24, 2003 Revised: February 9, 2004 Revised: July 24, 2006 Revised: March 23, 2009 Revised: January 23, 2012 EXHIBIT A

Training, Conference & Travel Policy Page 12 of 14

Training, Conference & Travel Policy Page 13 of 14 EXHIBIT B

Training, Conference & Travel Policy Page 14 of 14 EXHIBIT C CITY OF DOVER DEPARTMENT OF FINANCE EXEMPTION CERTIFICATE TAX ON OCCUPANCY OF HOTEL AND MOTEL AND TOUR IST HOME ROOMS In accordance with Internal Revenue Code Section 5253(I), no tax shall be imposed under section 4251 upon any payment received for services or facilities furnished to the government of any State, or any political subdivision thereof, or the District of Columbia. This Part to be Completed by the Operator Name of Hotel, Motel, or Tourist Home Fed. EI or SS number Address City State Zip Code This Part to be Completed by the Occupant This is to certify that I, the undersigned, am a representative of the City of Dover, Delaware; that the charges for the occupancy at the above establishment on the dates set forth below has been or will be paid for by the City of Dover, a government unit; and that such charges are incurred in the performance of my official duties as a representative or employee of the governmental unit. Name (Please type or print) Signature City of Dover 51-6000092 Governmental Unit Tax I.D. # Title P.O. Box 475 Dover DE 19903-0475 Address City State Zip Code Date(s) of Occupancy If additional information is needed, please contact the City of Dover Finance Director at (302) 736- 7018. NOTE: A separate Exemption Certificate is required for each occupancy and for each representative or employee. THIS EXEMPTION CERTIFICATE IS TO BE RETAINED BY THE OPERATORS OF HOTELS, MOTELS, AND TOURIST HOMES AS EVIDENCE OF EXEMPT OCCUPANCY. \\Dover_1\finance\FORMS\DOCUMENTS\FORM99 A.wpd

ATTACHMENT #3 LF&A Committee Meeting of 02/09/2015 City of Dover MAYOR AND COUNCIL 1 DRAFT PROPOSED COUNCIL RESOLUTION NO. 2015-01 2 A RESOLUTION PROPOSING THE DOVER PROSPERS INITIATIVE 3 WHEREAS, the City of Dover has a tradition of being friendly to business, having a diverse economy; and 4 5 WHEREAS, we are in a globally competitive environment, which necessitates that we adopt cutting-edge, best 6 practices; and 7 WHEREAS, the Dover has a myriad of incentives which vary throughout the city; and 8 WHEREAS, small businesses are often intimidated by a maze of government requirements; and 9 WHEREAS, several small businesses have made costly errors because of the lack of information; and 10 WHERAS, large employers are attracted by an efficient, cooperative government; and 11 WHEREAS, the economic development office has positive, cooperative relationships with the other city departments 12 and already has the framework necessary to implement this initiative; and 13 WHEREAS, each city department has an ethic of customer service and excellence; and 14 NOW, THEREFORE, BE IT RESOLVED THAT: 15 Section 1. Dover City Council directs the Economic Development Office, the City Manager, and the Director of 16 Planning and Community Development to develop and make available at customer service locations, offices, and via 17 the City of Dover website, a business packet designed to assist start-up businesses with obtaining services and 18 regulatory requirements involved in doing business in Dover. The packet shall include a contact list for all City 19 departments, a list of frequently asked questions, incentive information, and other services to assist prospective 20 business owners. 21 Section 2. Dover City Council directs the City Manager’s Office, Economic Development Office, and Planning and 22 Inspections Department to schedule a series of business focus groups to prioritize improvements needed in Dover’s 23 regulatory process and to work with stakeholders to streamline the regulatory process and update regulations where 24 appropriate to eliminate unnecessary barriers to economic development. The City Manager, Economic Development 25 Manager, and the Director of Planning and Community Development shall provide a quarterly report to the 26 Legislative, Finance and Administration Committee regarding the progress of this effort. 27 ADOPTED: * 28 S:\RESOLUTIONS-PROCLAMATIONS-TRIBUTES\2015\DRAFT\Resolution No. 2015-01 - Dover Prospers-Revised 02-09-2015.wpd 29 30 ROBIN R. CHRISTIANSEN DAVID L. BONAR 31 MAYOR COUNCIL PRESIDENT 32 Actions History 33 02/09/2015 - Scheduled for Introduction at Legislative, Finance, and Administration Committee 34 01/26/2015 - Scheduled for Introduction at Legislative, Finance, and Administration Committee - Meeting Cancelled 35 Due to Inclement Weather