Attachment

EXHIBIT #1 Regular Council Meeting of June 25, 2007 PETITION TO ANNEX AND ZONE PROPERTY Before the Dover City Council June 25, 2007 Applicant/Owner: Investments Together, LLC 1052 East Lebanon Road Dover, DE 19901 Location: 1086 South State Street Size: +/-0.25 acres Tax Parcel #: ED-00-086.05-01-45.00-000 Application Date: March 28, 2007 County Zoning: BG (General Business) Proposed Zoning: C-2A (Limited Central Commercial) Present Use: Vacant Proposed Use: Unknown Comprehensive Plan Designation: Category 1 – Lands Identified for Annexation Cost-Rev Analysis: The Cost-Revenue analysis showed a positive cash flow to the City of approximately $4,870 over ten years. Planning Commission Recommendation: Following a public hearing before the Planning Commission on May 21, 2007, the Planning Commission unanimously recommended approval of the annexation with the requested C-2A zoning. File Number: AX-07-03

Existing Land The subject parcel is zoned BG (General Business) in Kent County and is currently vacant. Surrounding Land Uses: The land immediately north of the subject parcel is zoned C-2A (Limited Central Commercial Zone) in the City of Dover. The land south and west of the parcel is zoned BG (General Business) in Kent County. The land across S. State Street is zoned SC-2 (Community Shopping Center Development Zone) in the City of Dover as is used as Carroll’s Corner Shopping Center. Comprehensive Plan: The 2003 Comprehensive Plan Update, as amended in May 2005, September 2006, and February 2007, depicts the subject parcel as Category 1 – Lands Identified for Annexation with a Commercial land use designation. Cost-Revenue Analysis: The Cost-Revenue analysis showed a positive cash flow to the City of approximately $4,870 over ten years. Recommendation of the Planning Staff: Because the request is consistent with the Comprehensive Plan (Category 1 Annexation Area with Commercial land use) and because the zoning is consistent with the surrounding zoning classifications, staff supports the requested annexation with the C-2A zoning. The staff recommendation was made prior to a public hearing before the Planning Commission. Following the public hearing on May 21, 2007, the Planning Commission unanimously recommended annexation with the requested C-2A zoning.

City of Dover Application No.: AX-07-03 Department of Planning & Inspections C-PO BRADFORD ST C-3 ROOSEVELT AVEN C-1 UE REET JEFFERSO N STREE T GOVERNORS AV STATE STREET ENUE RGO R-8 C-1A C-2A SC-2 CPO Site AY W AY GH W HI G H N T HI T PO N D U PO DU R-10 C-4 IO 0 155 310 620 Feet Legend Plan Title: AX-07-03 Lands of Investments Together Plan Type: Annexation Dover Parcels Tax Parcel: ED-00-086.05-01-45.00-000 Site Area: 0.25 ac Dover Boundary Owner: Investments Together, LLC County Zoning: BG (General Business) Zoning Proposed Zoning: C-2A (Limited Central Commercial) Date: 4-12-07 «

City of Dover Application No.: AX-07-03 Department of Planning & Inspections C-2A RGO SC-2 STATE STREET Site C-4 AY H W G HI T ON D UP AY W GH HI N T U PO D 0 65 130 260 Feet Legend Plan Title: AX-07-03 Lands of Investments Together Plan Type: Annexation Dover Parcels Tax Parcel: ED-00-086.05-01-45.00-000 Site Area: 0.25 ac Dover Boundary Owner: Investments Together, LLC County Zoning: BG (General Business) Zoning Proposed Zoning: C-2A (Limited Central Commercial) Date: 4-12-07 «

EXHIBIT #2 Regular Council Meeting of June 25, 2007 PETITION TO ANNEX AND ZONE PROPERTY Before the Dover City Council June 25, 2007 Applicant: Edwin B Baker, III Donald Carey 1526 Forrest Avenue 826 East Loockerman Street Dover, DE 19904 Dover, DE 19901 Owner: Same Location: South side of Forrest Avenue, west of Mifflin Road Size: +/- 5 acres Tax Parcel #: ED-00-076.00-01-08.10-000 Application Date: March 30, 2007 County Zoning: RS-1 (Single Family Residential) Proposed Zoning: R-10 (One Family Residence) Present Use: Residential Proposed Use: Institutional/School Comprehensive Plan Designation: Category 2 – Lands Desirable for Annexation Cost-Rev Analysis: The Cost-Revenue analysis showed a positive cash flow to the City of approximately $29,550 over ten years. However, it should be noted that the analysis was performed based on the residential zoning of the subject property. The parcel, as well as the remainder of the Carey farm (annexed in July 2006) is now planned to be used as a public school site. Planning Commission Recommendation: Following a public hearing on May 21, 2007, the Planning Commission recommended approval of the annexation with the requested R-10 zoning. File Number: AX-07-04

Existing Land The existing land is zoned RS-1 in Kent County and is the location of a farm house that is part of the larger Carey farm, which was recently annexed. Surrounding Land Uses: The subject parcel is almost entirely surrounded by the Carey farm, which was annexed into the City in July 2006 and zoned R-10 (One Family Residence). If annexed, the subject parcel would be subject to the COZ-1 (Corridor Overlay Zone). Across Forest Avenue from the subject parcel is the development of Heatherfield East. Heatherfield East is zoned R-8 (One-Family Residence). Comprehensive Plan: The 2003 Comprehensive Plan Update, as amended in May 2005, September 2006, and February 2007 depicts the subject parcel as Category 2 – Lands Desirable for Annexation, with a Residential Land Use Classification. Cost-Revenue Analysis: The Cost-Revenue analysis showed a positive cash flow to the City of approximately $29,550 over ten years. However, it should be noted that the analysis was performed based on the residential zoning of the subject property. The parcel, as well as the remainder of the Carey farm (annexed in July 2006) is now planned to be used as a public school site. Recommendation of the Planning Staff: Because the request is consistent with the Comprehensive Plan (Category 2 Annexation Area and Residential) and the surrounding zoning classification, staff supports annexation with the requested R-10 zoning. The staff recommendation was made prior to the public hearing before the Planning Commission. Following a public hearing on May 21, 2007, the Planning Commission unanimously recommended in favor of annexation with the requested R-10 zoning.

City of Dover Application No.: AX-07-04 Department of Planning & Inspections E IV L E V A LL FREED O M D R BB EY PE DR R-8 IV E RG-3 S T ON EY T KEN I VE CO DR E OAD R O LIN L ONY D RIV CA E ON R PL A INDE PEND E AC E SC-2 NCE BOULEVARD RG-2 ROAD FORREST AVENUE HARTLY C-2A SC-1 C-3 T REE CPO Site NS T F AW FARMVIEW DRIVE R-10 IV E DR DR IV E ES AM AR AD H LE RO T AL G TVIL ZL ET AF H A TR CT R IPM IO ELE UE RM-1 VEN IC A R-20 0 650 1,300 2,600 Feet Legend Plan Title: AX-07-04 Lands of Carey Plan Type: Annexation Dover Parcels Tax Parcels: ED-00-076.00-01-08.10-000 Site Area: 4.98 ac Dover Boundary Owner: Donald Carey, Edwin B. Baker III County Zoning: RS-1 (Single Family Residence) Zoning Proposed Zoning: R-10 (One Family Residence) Date: 4-04-07 «

City of Dover Application No.: AX-07-04 Department of Planning & Inspections MA YBERRY L W AY RG-2 R-8 D AN HERF IE L AT E HE R-20 RG-3 ROAD HARTLY Site R-10 RM-1 0 275 550 1,100 Feet Legend Plan Title: AX-07-04 Lands of Carey Plan Type: Annexation Dover Parcels Tax Parcels: ED-00-076.00-01-08.10-000 Site Area: 4.98 ac Dover Boundary Owner: Donald Carey, Edwin B. Baker III County Zoning: RS-1 (Single Family Residence) Zoning Proposed Zoning: R-10 (One Family Residence) Date: 4-04-07 «

EXHIBIT #3 Regular Council Meeting of June 25, 2007 FINAL READING 2007-2008 BUDGET ORDINANCES GENERAL FUND CASH RECEIPTS AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amount hereinafter named aggregating Thirty Nine Million Two Hundred Forty Seven Thousand Eight Hundred Thirty Three Dollars ($39,247,833) or so much thereof as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 5,437,696 3,542,086 FINES AND POLICE REVENUE 706,020 725,000 911 FEE 64,000 64,000 INVESTMENT INCOME 290,000 300,000 LIBRARY REVENUES 59,900 61,697 KENT COUNTY BOOK REIMBURSEMENT 320,000 329,600 BUSINESS LICENSES 1,350,000 1,320,000 PERMITS AND OTHER LICENSES 1,341,500 1,227,343 DEMOLITION REVENUE 160,000 - MISCELLANEOUS CHARGES 93,054 38,750 POLICE EXTRA DUTY 350,000 300,000 PROPERTY TAXES 9,254,909 9,453,511 RECREATION REVENUE 102,200 140,000 FRANCHISE FEE 422,000 422,000 TRASH FEES 1,112,540 1,191,411 DSWA TRASH FEE REBATE 170,000 170,000 RENT REVENUE - GARRISON FARM 28,213 28,213 COURT OF CHANCERY FEES 761,000 761,000 INTERNET REVENUE 10,000 5,400 CURBSIDE RECYCLING 24,000 - INTRAFUND SERVICE RECEIPTS WATER/WASTEWATER 1,112,461 1,095,941 INTRAFUND SERVICE RECEIPTS ELECTRIC 3,732,641 3,803,581 POLICE RELATED 40,000 40,000 DOWNTOWN AMENITIES - - STATE GRANT - TRAIL MAINTENANCE - - CAPITAL SCHOOL DISTRICT REVENUE 152,753 130,609 RECREATION GRANTS 335,000 20,000 INSURANCE AGENCY FIRE SAFETY GRANT 5,500 - FEMA GRANT - - MISC GRANT REVENUE - - HOMELAND SECURITY GRANT 169,650 - SALE OF LAND - - TRANSFER TAX 2,900,000 3,764,222 MUNICIPAL STREET AID 656,504 660,000 CIVIL TRAFFIC PENALTIES 500,000 500,000 WATER/WASTEWATER 535,000 565,000 ELECTRIC 4,700,000 6,601,269 BOND RESERVE - - PARKLAND RESERVE 974,800 1,987,200 WEYANDT HALL SALE - - CAPITAL ASSET RESERVE 324,824 - TOTALS 38,196,165 39,247,833 1

GENERAL FUND - CONTINUED CASH RECEIPTS AND BUDGET FOR 2007-2008 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET CITY CLERK 244,689 290,879 COUNCIL 117,494 132,014 TAX ASSESSOR 221,612 332,606 FIRE 1,137,347 644,773 GROUNDS MAINTENANCE 1,098,239 1,151,527 LIBRARY 1,012,635 1,132,283 RECREATION 1,813,458 717,058 PLANNING 297,362 416,090 INSPECTIONS 1,223,379 1,113,413 POLICE 11,505,056 11,460,515 POLICE EXTRA DUTY 425,000 335,190 STREETS 1,303,986 846,290 SANITATION 2,246,285 2,233,490 CITY MANAGER 630,607 711,036 INFORMATION TECHNOLOGY 942,129 779,732 FINANCE 669,261 780,540 PUBLIC SERVICES - ADMINISTRATION 237,276 432,176 FACILITIES MANAGEMENT 1,355,050 1,071,055 PUBLIC WORKS - ENGINEERING 302,068 - CENTRAL SERVICES 727,860 705,203 FLEET MAINTENANCE 675,762 690,862 CUSTOMER SERVICES 1,039,318 1,212,370 HUMAN RESOURCES 354,997 421,407 MAYOR 114,841 139,055 DEBT SERVICE 441,232 437,468 TRANSFER TO CONTINGENCY - 34,500 DSWA RECYCLING PROGRAM 24,000 - INSURANCE 465,980 546,857 RETIREES HEALTH CARE 763,982 683,321 STREET LIGHTS 520,000 575,000 IT EMERGENCY PREPAREDNESS PLAN 100,000 - TRANSFER TO OPEB 250,000 - TRANSFER TO PENSION UNFUNDED LIABILITY 262,455 89,850 TRANSFER TO PENSION COLA 139,749 44,925 TRANSFER TO CAPITAL ASSET RESERVE - - TRANSFER TO CAPITAL FUND - PROJECTS - 4,680,362 TRANSFER TO CAPITAL FUND - RESERVE - 1,114,000 TRANSFER TO STREET PROGRAM - - TRANSFER TO PARKLAND/RECREATION RESERVE 360,000 - TRANSFER TO LIBRARY RESERVE 1,620,970 399,350 UNCOLLECTIBLES - TRASH AND OTHER 10,000 10,000 INVENTORY WRITE OFFS - - CURRENT YEAR BALANCE 3,542,086 2,882,636 TOTALS 38,196,165 39,247,833 2. The City Manager is hereby authorized, without further approval of the City Council, to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 2

2007-2008 BUDGET ORDINANCES - CONTINUED GENERAL CAPITAL ASSET REPLACEMENT FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Five Million Seven Hundred Ninety Four Thousand Three Hundred Sixty Two Dollars ($5,794,362) or so much thereof as may be necessary are hereby appropriated from current revenues and other funds for the use by several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2007/2008 BUDGET BEGINNING BALANCE - PROJECTS - BEGINNING BALANCE - RESERVE - INTEREST EARNINGS - TRANSFER FROM RESERVE - TRANSFER FROM GENERAL FUND FOR PROJECTS 4,680,362 TRANSFER FROM GENERAL FUND FOR RESERVE 1,114,000 TOTALS 5,794,362 3

2007-2008 BUDGET ORDINANCES - CONTINUED GENERAL CAPITAL ASSET REPLACEMENT FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 EXPENSE SUMMARY 2007/2008 BUDGET CITY CLERK - COUNCIL - TAX ASSESSOR 45,000 FIRE 282,910 GROUNDS MAINTENANCE 129,913 LIBRARY - RECREATION 2,135,700 PLANNING - INSPECTIONS 96,000 POLICE 343,720 STREETS 511,000 SANITATION 502,800 CITY MANAGER 10,300 FINANCE - INFORMATION TECHNOLOGY 367,400 FINANCE - PUBLIC SERVICES - ADMINISTRATION 40,100 FACILITIES MANAGEMENT 59,800 CENTRAL SERVICES 21,000 FLEET MAINTENANCE 34,719 CUSTOMER SERVICES - HUMAN RESOURCES - MAYOR - TRANSFER TO GENERAL FUND - CURRENT YEAR BALANCE- PROJECTS 100,000 CURRENT YEAR BALANCE- CAPITAL ASSET RESERVE 1,114,000 TOTALS 5,794,362 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 4

2007-2008 BUDGET ORDINANCES - CONTINUED GENERAL FUND CONTINGENCY CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Seven Hundred Eleven Thousand One Hundred Eighty Dollars ($711,180) or so much thereof as may be necessary are hereby appropriated from current revenues and other funds for the use by several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET BEGINNING BALANCE 816,680 647,680 INTEREST EARNINGS 31,000 29,000 TRANSFER FROM GENERAL FUND - 34,500 TOTALS 847,680 711,180 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO GENERAL FUND - - TRANSFER TO OPEB 100,000 - TRANSFER TO LIBRARY FUND 100,000 - CARRY FORWARD TO NEXT YEAR 647,680 711,180 TOTALS 847,680 711,180 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 5

2007-2008 BUDGET ORDINANCES - CONTINUED MUNICIPAL STREET AID FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Six Hundred Sixty Thousand Seven Hundred Dollars ($660,700) so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET BEGINNING BALANCE 100 400 STATE GRANT 656,504 660,000 INTEREST EARNED 300 300 TOTALS 656,904 660,700 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO GENERAL FUND 656,504 660,000 CURRENT YEAR BALANCE 400 700 TOTALS 656,904 660,700 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 6

2007-2008 BUDGET ORDINANCES - CONTINUED WATER/WASTEWATER FUND REVENUE AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Fourteen Million Five Hundred Forty One Thousand Three Hundred Eight Dollars ($14,541,308) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE - WATER 2,041,746 2,037,928 PRIOR YEAR BALANCE - WASTEWATER 808,997 1,289,956 PRIOR YEAR BALANCE - KCSA (1,349,486) (1,109,481) WATER FEES 4,222,500 4,371,900 WASTEWATER FEES 2,618,250 2,508,600 WASTEWATER ADJUSTMENT FEES 3,904,341 4,264,357 WATER TANK SPACE LEASING 303,000 242,798 IMPACT FEES 750,000 746,500 INTEREST EARNINGS 100,000 90,000 INTEREST TRANSFERS - - MISCELLANEOUS SERVICE FEE 98,750 98,750 TOTALS 13,498,098 14,541,308 7

2007-2008 BUDGET ORDINANCES - CONTINUED WATER/WASTEWATER FUND - CONTINUED REVENUE AND BUDGET FOR 2007-2008 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET ENGINEERING & INSPECTION - 646,464 WATER CONSTRUCTION 567,475 521,595 WATER DEPARTMENT 947,688 956,975 WATER TREATMENT PLANT 796,218 968,057 WASTEWATER DEPARTMENT 838,567 1,159,137 METER READING 66,277 63,293 KENT COUNTY TREATMENT CHARGE 3,664,336 4,065,467 DEBT SERVICE - WATER 276,275 79,060 DEBT SERVICE - WASTEWATER 232,447 101,817 RETIREES HEALTH CARE 151,220 113,730 INTRAFUND SERVICE FEES 1,112,461 1,363,424 GENERAL FUND FROM WATER 267,500 282,500 GENERAL FUND FROM WASTEWATER 267,500 282,500 WATER IMP AND EXT 576,701 2,660,500 WASTEWATER IMP AND EXT 389,642 775,300 TRANSFER TO OPEB 50,000 - TRANSFER TO PENSION UNFUNDED LIABILITY 50,225 20,400 TRANSFER TO PENSION COLA 39,850 10,200 IMPACT FEE RESERVE 89,756 384,650 CAPITAL ASSET RESERVE WATER 745,557 - CAPITAL ASSET RESERVE WASTEWATER 150,000 - CURRENT YEAR BALANCE WATER 2,037,928 430,356 CURRENT YEAR BALANCE WASTEWATER 1,289,956 566,474 CURRENT YEAR BALANCE KCSA (1,109,481) (910,591) TOTALS 13,498,098 14,541,308 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 8

2007-2008 BUDGET ORDINANCES - CONTINUED WATER/WASTEWATER IMPROVEMENT AND EXTENSION FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Four Million Five Hundred Ninety Seven Thousand Eight Hundred Fifteen Dollars ($4,597,815) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE - WATER 142,798 827 PRIOR YEAR BALANCE - WASTEWATER 135,206 149,188 PRIOR YEAR BOND PROCEED BALANCE SERIES 2003 - - PRIOR YEAR BOND PROCEEDS - WASTEWATER 372,769 - TRANS FR WATER/WASTEWATER FOR WATER 576,701 2,660,500 TRANS FR WATER/WASTEWATER FOR WASTEWATER 389,642 775,300 TRANSFER FROM IMPACT FEE RESERVE 428,979 850,000 TRANSFER FROM CAPITAL ASSET RESERVE -WATER - - TRANSFER FROM CAPITAL ASSET RESERVE -WASTEWATER - - MISCELLANEOUS RECEIPTS - - DEVELOPER CONTRIBUTIONS - - STATE GRANTS/REIMBURSEMENTS - 140,000 INTEREST INCOME 24,000 22,000 TOTALS 2,070,095 4,597,815 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET WATER 699,672 2,237,476 WASTEWATER 1,189,408 1,496,250 WATER METER READING - 5,648 WATER TREATMENT PLANT 31,000 17,700 WATER CONSTRUCTION - 39,450 ENGINEERING & INSPECTION - 52,000 TRANSFER TO IMPACT FEE RESERVE - - CURRENT YEAR BALANCE - WATER 827 453,001 CURRENT YEAR BALANCE - WASTEWATER 149,188 296,290 TOTALS 2,070,095 4,597,815 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 9

2007-2008 BUDGET ORDINANCES - CONTINUED WATER/WASTEWATER CAPITAL ASSET RESERVE FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Million Six Hundred Sixty Three Thousand Eight Hundred Forty One Dollars ($1,663,841) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET BEGINNING BALANCE 292,784 1,617,841 INTEREST EARNINGS 34,500 46,000 TRANSFER FROM WATER/WASTEWATER FUND 895,557 - TRANSFER FROM WATER/WASTEWATER CONTINGENCY 395,000 - TOTALS 1,617,841 1,663,841 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO WATER/WASTEWATER I &E FUND - - CARRY FORWARD TO NEXT YEAR 1,617,841 1,663,841 TOTALS 1,617,841 1,663,841 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 10

2007-2008 BUDGET ORDINANCES - CONTINUED WATER/WASTEWATER CONTINGENCY FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Two Hundred Forty Thousand Thirty Nine Dollars ($240,039) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPTS ESTIMATE 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 613,887 228,687 INTEREST EARNINGS 9,800 11,352 TRANSFER FROM WATER/WASTEWATER - - TOTALS 623,687 240,039 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO WATER - - TRANSFER TO WASTEWATER - - TRANSFER TO CAPITAL ASSET RESERVE 395,000 - CURRENT YEAR BALANCE 228,687 240,039 TOTALS 623,687 240,039 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 11

2007-2008 BUDGET ORDINANCES ELECTRIC REVENUE FUND REVENUE AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Hundred Six Million Six Hundred Seventy One Thousand Eight Hundred Sixteen Dollars ($106,671,816) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 5,455,085 7,822,873 DIRECT SALES TO CUSTOMER 80,415,390 93,650,644 PURCHASE POWER ADJUSTMENT 2,655,400 - UTILITY TAX 1,428,100 1,599,100 MISCELLANEOUS REVENUE 2,424,900 1,894,900 RENT REVENUE 204,467 186,816 DUKE CONTRACT REVENUE - 800,000 TRANSFER FROM RATE STABILIZATION 5,000,000 - INTRAFUND SERVICE RECEIPTS WATER/WASTEWATER - 267,483 INTEREST EARNINGS 419,000 450,000 TOTALS 98,002,342 106,671,816 12

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC REVENUE FUND - CONTINUED REVENUE AND BUDGET FOR 2007-2008 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET PURCHASED POWER - - POWER SUPPLY 63,753,400 60,764,531 POWER SUPPLY MANAGEMENT 3,056,200 3,255,038 PJM CHARGES - LOAD 2,684,707 CAPACITY CHARGES 11,493,950 PLANT OPERATIONS 5,483,923 6,258,151 GENERATIONS FUELS 2,858,979 PJM CREDITS (1,520,923) (3,696,990) CAPACITY CREDITS - (11,933,536) TRANSITION COSTS 92,000 TRANSMISSION/DISTRIBUTION 3,344,777 3,541,793 ELECTRICAL ENGINEERING 2,029,626 1,806,923 ADMINISTRATION 590,202 744,423 METER READING 312,553 318,995 SYSTEMS OPERATIONS - 464,503 UTILITY TAX 1,428,100 1,599,100 ALLOW FOR UNCOLLECTIBLES - 100,000 RETIREES HEALTH CARE 526,400 464,620 INTRAFUND SERVICE FEES 3,732,641 3,803,581 DEBT SERVICE 2,200,257 3,379,104 IMPROVEMENT & EXTENSION - 2,925,000 GENERAL FUND 4,700,000 6,601,269 GREEN ENERGY 134,350 134,350 INTEREST ON DEPOSITS 25,000 35,000 INVENTORY WRITE OFFS - 100,000 TRANSFER TO OPEB 100,000 - TRANSFER TO PENSION UNFUNDED LIABILITY 89,271 39,750 TRANSFER TO PENSION COLA 101,692 19,875 RATE STABILIZATION RESERVE - 1,000,000 WORKER'S COMP FUND - - CURRENT YEAR BALANCE 7,822,873 7,908,700 TOTALS 98,002,342 106,671,816 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 13

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY IMPROVEMENT AND EXTENSION FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Twenty Seven Million Five Hundred Ninety Seven Thousand Six Hundred Sixty Four Dollars ($27,597,664) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 2,709,730 13,954 INTEREST EARNINGS 157,000 160,000 INTEREST TRUSTEE - - RECEIPT FROM DEPRECIATION RESERVE 2,620,238 4,288,392 TRANSPORTATION ENHANCEMENT GRANT 39,500 - STATE REIMBURSEMENT FOR PROJECTS - 710,318 BOND ISSUE 2008 - 19,500,000 TRANSFER FROM ELECTRIC - 2,925,000 TOTALS 5,526,468 27,597,664 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET POWER PLANT - 377,000 TRANSMISSION AND DISTRIBUTION 1,970,654 1,634,250 ELECTRICAL ENGINEERING 3,436,360 16,046,710 ADMINISTRATION 73,500 8,000 METER READING 32,000 28,241 CURRENT YEAR BALANCE 13,954 153,463 CURRENT YEAR BALANCE -BOND 9,350,000 TOTALS 5,526,468 27,597,664 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 14

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY CONTINGENCY FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Eight Hundred Seventy Eight Thousand Six Hundred Fifty Two Dollars ($878,652) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET BEGINNING BALANCE 1,150,123 840,652 INTEREST EARNINGS 31,000 38,000 TOTALS 1,181,123 878,652 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO RATE STABILIZATION FUND 340,471 - CARRY FORWARD TO NEXT YEAR 840,652 878,652 TOTALS 1,181,123 878,652 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 15

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY DEPRECIATION RESERVE SOURCES AND USES OF FUNDS FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Fourteen Million Twenty Six Thousand Two Hundred Dollars ($14,026,200) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: SOURCE OF FUNDS 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 15,652,798 13,450,200 INTEREST EARNINGS 534,000 576,000 TOTALS 16,186,798 14,026,200 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO IMPROVEMENT AND EXTENSION 2,620,238 4,288,392 TRANSFER TO INSURANCE STABILIZATION 116,360 - FOR CAPITAL ITEMS CURRENT YEAR BALANCE 13,450,200 9,737,808 TOTALS 16,186,798 14,026,200 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 16

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY FUTURE CAPACITY (RESTRICTED) FUND SOURCES AND USES OF FUNDS FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Nine Million Two Hundred Ninety Four Thousand Seventy Dollars ($9,294,070) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: SOURCE OF FUNDS 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 8,569,070 8,893,070 INTEREST EARNINGS 324,000 401,000 TOTALS 8,893,070 9,294,070 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO IMPROVEMENT AND EXTENSION - - CURRENT YEAR BALANCE 8,893,070 9,294,070 TOTALS 8,893,070 9,294,070 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 17

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY INSURANCE STABILIZATION FUND SOURCES AND USES OF FUNDS FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Three Hundred Sixty Thousand Five Hundred Dollars ($360,500) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: SOURCE OF FUNDS 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 224,140 350,000 RECEIPT FROM ELECTRIC DEPRECIATION RESERVE FUND 116,360 - INTEREST EARNINGS 9,500 10,500 TOTALS 350,000 360,500 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO ELECTRIC REVENUE CONTINGENCY - - CURRENT YEAR BALANCE 350,000 360,500 TOTALS 350,000 360,500 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 18

2007-2008 BUDGET ORDINANCES - CONTINUED ELECTRIC UTILITY RATE STABILIZATION FUND SOURCES AND USES OF FUNDS FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Million Three Hundred Ninety Seven Thousand Nine Hundred Eighty One Dollars ($1,397,981) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: SOURCE OF FUNDS 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 5,003,510 377,981 RECEIPT FROM ELECTRIC REVENUE FUND - 1,000,000 RECEIPT FROM ELECTRIC CONTINGENCY 340,471 - INTEREST EARNINGS 34,000 20,000 TOTALS 5,377,981 1,397,981 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO ELECTRIC 5,000,000 - CURRENT YEAR BALANCE 377,981 1,397,981 TOTALS 5,377,981 1,397,981 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 19

2007-2008 BUDGET ORDINANCES - CONTINUED WORKERS COMPENSATION FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Million Nine Hundred Thirty Two Thousand Five Hundred Sixty One Dollars ($1,932,561) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 1,211,478 1,371,416 INTEREST INCOME 55,000 44,000 PREMIUM FROM CITY 593,188 517,145 TOTALS 1,859,666 1,932,561 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET PROGRAM EXPENSES/SUPPLIES 325,000 325,000 INSURANCE 89,000 85,000 BANK FEES 1,250 1,600 STATE OF DEL - SELF INSURANCE TAX 45,000 47,000 CONTRACTUAL SERVICES 28,000 28,000 CURRENT YEAR BALANCE 1,371,416 1,445,961 TOTALS 1,859,666 1,932,561 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 20

2007-2008 BUDGET ORDINANCES - CONTINUED COMMUNITY TRANSPORTATION IMPROVEMENT FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Million Seven Hundred Sixteen Thousand One Hundred Sixty Five Dollars ($1,716,165) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE (898,559) 311,165 GRANTS REVENUE 1,326,420 1,055,000 TRANSFER FROM GENERAL 418,120 350,000 INTEREST INCOME 7,000 - TOTALS 852,981 1,716,165 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET PROGRAM EXPENSES 541,816 1,350,000 OPERATING TRANSFERS OUT 55,000 CURRENT YEAR BALANCE 311,165 366,165 TOTALS 852,981 1,716,165 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 21

2007-2008 BUDGET ORDINANCES - CONTINUED OPEB (OTHER POST-EMPLOYMENT BENEFITS) FUND CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Three Million Nine Hundred Twenty Thousand Seven Hundred Fifty Seven Dollars ($3,920,757) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 3,140,513 3,790,513 INTEREST INCOME 150,000 130,244 TRANSFER FROM GENERAL 250,000 - TRANSFER FROM GENERAL CONTINGENCY 100,000 - TRANSFER FROM WATER/WASTEWATER 50,000 - TRANSFER FROM ELECTRIC 100,000 - TOTALS 3,790,513 3,920,757 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET CURRENT YEAR BALANCE 3,790,513 3,920,757 TOTALS 3,790,513 3,920,757 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 22

2007-2008 BUDGET ORDINANCES - CONTINUED PARKLAND/RECREATION RESERVE CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating One Million Nine Hundred Eighty Eight Thousand Twenty Five Dollars ($1,988,025) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE 2,081,825 1,569,025 GENERAL FUND APPROPRIATION 360,000 - TRANSFER FROM LIBRARY RESERVE - 334,000 TRANSFER FROM CTF - 55,000 INTEREST INCOME 102,000 30,000 TOTALS 2,543,825 1,988,025 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO GENERAL FUND 974,800 1,987,200 CURRENT YEAR BALANCE 1,569,025 825 TOTALS 2,543,825 1,988,025 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 23

2007-2008 BUDGET ORDINANCES - CONTINUED LIBRARY RESERVE CASH RECEIPTS/REVENUES AND BUDGET FOR 2007-2008 BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. The amounts hereinafter named aggregating Two Million Two Hundred Forty Three Thousand Eight Hundred Twenty Dollars ($2,243,820) or so much as may be necessary are hereby appropriated from current revenues and other funds for the use by the several departments of the Municipal Government for the fiscal year beginning July 1, 2007, and ending June 30, 2008: CASH RECEIPT ESTIMATES 2006/2007 2007/2008 REVISED BUDGET PRIOR YEAR BALANCE - 1,765,470 GENERAL FUND APPROPRIATION 1,620,970 399,350 TRANSFER FROM GENERAL CONTINGENCY 100,000 - INTEREST INCOME 44,500 79,000 TOTALS 1,765,470 2,243,820 EXPENSE SUMMARY 2006/2007 2007/2008 REVISED BUDGET TRANSFER TO PARKLAND RESERVE - 334,000 TRANSFER TO GENERAL FUND - - CURRENT YEAR BALANCE 1,765,470 1,909,820 TOTALS 1,765,470 2,243,820 2. The City Manager is hereby authorized without further approval of the City Council to make inter-departmental transfers of up to five percent of the amount hereinafter appropriated to any department except that the City Manager shall not make any transfers prohibited by City Procedure #F306 and/or #F306ADD. 24

2007-2008 BUDGET ORDINANCES - CONTINUED PAY FOR PERFORMANCE CALCULATION WORKSHEET BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET: 1. That the Pay for Performance Calculation Worksheet hereinafter is hereby adopted for the Fiscal Year Beginning July 1, 2007, and ending June 30, 2008: Performance Scores PFP Score ADJUSTMENT Employee Employee Employee From To Above Market At Market Below Market 0 19 0 0 0 20 29 2.00% 2.50% 3.00% 30 35 2.50% 3.25% 4.25% 36 41 3.25% 4.00% 6.00% 42 50 4.00% 4.75% 6.50% ADOPTED: 25

EXHIBIT #4 Regular Council Meeting of June 25, 2007