REGULAR COUNCIL MEETING
The Regular Meeting of Council was held on April 13, 1987 at 7:30 p.m. with Mayor Carroll presiding. Members present were Councilmen Richter, Ambruso, Legates, Lynn, Christiansen, Witt, Weyandt and VanSant.
The invocation was given by the Reverend J. H. Williams. Council Chaplain.
AGENDA ADDITIONS/DELETIONS
Mayor Carroll added a letter from the Capital Grange concerning the small park on North Street and a letter from the Heritage Commission related to a sculpture to be placed in the park.
Under correspondence, Mayor Carroll added a letter from the Forward Central Delaware Committee on loading and unloading zones, S. State Street, and correspondence from the Comfort Inn concerning the proposed $1.00 per room occupancy tax.
Mr. Weyandt moved for approval of the agenda as amended, seconded by Mr. Christiansen and unanimously carried.
ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF ARCH 23, 1987
The Minutes of the Regular Council Meeting of March 23, 1987 were unanimously approved by notion of Mr. Weyandt, seconded by Mr. Lynn and bore the written approval of Mayor Carroll.
PRESENTATION - DR. HOWARD E. ROW - CONSTITUTION PARK
Mayor Carroll noted a letter from the Capital Grange #18 that stated they have recently been notified of reconstruction of the park located at State and North Streets. Mr. Edward Hazlett pointed out that the Grange members took the initiative and cost upon themselves to develop the park and requested input regarding the changes to take place.
Mayor Carroll apologized for the late notice to the Grange in relation to plans submitted by the Heritage Commission. He suggested a joint meeting between the Grange members and the committee to discuss the planned reconstruction of the park.
An additional letter from the sculpture committee took exception to the presentation that will be presented by Dr. Row. Mayor Carroll stated that he could not understand why this body objects to Dr. Row's presentation since they were a part of the original planning. The plan to be presented by Dr. Row is one that was approved by the Heritage Commission. The Heritage Commission will be funding the project.
Dr. Row advised that the Delaware Heritage Commission was established by Delaware Law whose members are appointed by the Governor. Dr. Row and Mayor Carroll are members of the Kent County Commission.
Approximately two years ago, the Commission initiated talks about establishing permanent recognition in Dover to identifying Delaware as the first signer of the Constitution. Through research, it was found that the proposed park at the corner of North and State Streets was once owned by the same person who owned the tavern where the Constitution was ratified.
In March 1986, the City Council received a letter from the Commission requesting permission to use the park area on the corner of North and State Streets as a site for the commemorative park. The request was approved In March 1986.
Since that time, the committee has hired a sculptor from New Castle County and a landscaping artist from Bethany Beach. The design of the park is near the last stage and when completed, will be submitted to the Heritage Commission. It is planned that the park will be completed for dedication on December 7, 1987.
Dr. Row stated that the Capital Grange should certainly be recognized for any input they wish to submit for the design of the park. The Heritage Commission plans to recognize the Capital Grange by the placement of a plague in the park since they were the fore-runners who improved the property.
Dr. Row displayed a plan that incorporated a 30" wall constructed of granite which will be inscribed with the first thirteen states to ratify the Constitution. A plague will depict the remaining 37 states with the dates that they entered the Union.
A 12' sculpture in bronze of a quill pen will be incorporated in the park, symbolic of the signing of the Constitution. Landscaping that will include American hollies and the State of Delaware tree, is a part of the design.
Dr. Row advised that the Heritage Commission, sometime in the future, will request that Council accept shared assignment of the park so that the responsibility of construction will be shared by the City of Dover and the Heritage Commission. The Heritage Commission will pay all construction costs.
Dr. Row advised that the architect insisted the park be resurveyed to definitely establish the property boundaries. The survey was accomplished by Donovan Associates and it was found that the present park area is approximately 4' to 4½' short of what was originally assumed. He requested that Council grant the right-of-way along North Street that would Involve approximately 5'. This in no way would interfere with the sidewalk that runs along the perimeter of North Street.
Mayor Carroll suggested that Council grant the 51 right-of-way along North Street for utilization of the park. In addition, he felt it proper that Council approve a plague noting the past contributions by Capital Grange #18 who initiated the first improvements on the site. Capital Grange also contributed a well constructed bench that Is located in the park. He suggested that the Grange select an alternate site In the City for the bench and City employees will take care of the relocation.
By motion of Mr. Christiansen, seconded by Mr. Weyandt, Mr. Edward Hazlett, a member of the Grange was recognized.
Mr. Hazlett asked Dr. Row if the bench contributed by the Grange would remain in the park site.
Dr. Row suggested that Grange members and the Heritage Commission members meet to discuss the matter.
Mr. Richter moved that the Heritage Commission be permitted to use 5' of the right-of-way off North Street for park use. The motion was seconded by Mr. VanSant and carried by unanimous roll call vote.
Mr. Weyandt moved that Council approve the concept of the park design as submitted by Dr. Row and that the Grange and Heritage Commission meet to discuss the location of a park bench contributed by the Grange and other matters as submitted by Grange members. In addition, it was moved that the Heritage Commission continue with the architecture and design of the park to its completion without further approval by Council. The motion was seconded by Mr. Christiansen and unanimously carried.
PROCLAMATION - AMERICAN HOME WEEK
Mayor Carroll submitted the following Proclamation:
WHEREAS, on this, the 200th Anniversary of the signing of the U.S. Constitution, it is fitting and appropriate that American citizens remind themselves of the precious freedom to own private property. The Fifth Amendment of the Bill of Rights assures us that no person shall be deprived of property without due process of law. Nor shall private property be taken for public use without just compensation; and
WHEREAS, we Americans enjoy the freedom to own private property and the right to use or transfer it as we see fit. It is appropriate, therefore, that in this bicentennial year marking the signing of the U.S. Constitution, we remind ourselves of this precious freedom; and
WHEREAS, with this ownership comes the need to protect our private property rights. With these rights often comes the desire to improve property - whether homes, farms, shopping centers, Industrial plants or office buildings and by so doing, enhance the value of such property; and
WHEREAS. as citizens of Dover, we should also be mindful of this value not only in a monetary sense, but in the sense of the Inherent worth of property as it pertains to the enjoyment of life locally; and
WHEREAS, each year, REALTORS. - members of the Local Board of REALTORS - call attention to the importance of private property rights by celebrating American Home Week. This year, the Kent County Board of REALTORS will emphasize the value of home ownership and other property ownership, as well as property improvement within the community.
NOW, THEREFORE, I, CRAWFORD J. CARROLL, MAYOR OF THE CITY OF DOVER, DELAWARE proclaim April 26 - May 2, 1987 to be American Home Week, and I remind all our citizens of their freedom to own private property, the importance to protect the rights that accompany this ownership and their awareness of the value of improving such property.
PROCLAMATION - OLDER AMERICANS MONTH
Mayor Carroll submitted the following Proclamation:
WHEREAS, the month of May has been designated as Older Americans Month; and
WHEREAS, Older Americans Month was first designated as a national observance in 1963, but as early as 1950 some states had chosen may as the month recognizing older people through special tributes from governors and local officials; and
WHEREAS, "Plan On Living The Rest Of Your Life" is the theme for this year's Older Americans Month; and
WHEREAS, "Have Your Health and Have Everything" Is this year's slogan; and
WHEREAS, the theme and the activities being planned during the month of May are designed to focus public awareness on the needs of older Americans, their abilities, and the rich potential for using their diverse talents to enrich our functioning as a society; and
WHEREAS, a highlight of this year's national observance will be the "Project Health Award" program, with each participating State Agency on Aging choosing one project that exemplifies the types of programs that help older Delawareans to maintain and enhance their health; and
WHEREAS, each award recipient will be presented a plaque by the U.S. Administration on Aging and will be recognized in a Special Older Americans Month ceremony in Washington, DC; and
WHEREAS, in Delaware, the award-winning project Is Modern Maturity Center; and
WHEREAS, we wish to recognize and honor our senior citizens as one of Delaware's most valued resources.
NOW, THEREFORE, I, CRAWFORD J. CARROLL, MAYOR OF THE CITY OF DOVER, DELAWARE honor the senior citizens of the City of Dover during "Older Americans Month" and urge the citizen of Dover to join with him in this honor.
PROCLAMATION - PROFESSIONAL SECRETARIES WEEK
Mayor Carroll submitted the following Proclamation:
WHEREAS, in recognition of the secretary, the week of April 19-25, 1987 has been designated Professional Secretaries Week; and
WHEREAS, in keeping with the best tradition of their profession, secretaries are accepting vital responsibilities and performing important roles In commerce, industry, and government; and
WHEREAS, we acknowledge the significant contribution of our secretaries, working quietly and efficiently behind the scenes to keep the business world running smoothly; and
WHEREAS, to recognize those now employed as secretaries, and to encourage others to enter this worthy career, It Is essential that rightful acknowledgment be given their talents.
NOW, THEREFORE, 1, CRAWFORD J. CARROLL, MAYOR OF THE CITY OF DOVER, DELAWARE, do hereby proclaim the week of April 19 through April 26, 1987 as
PROFESSIONAL SECRETARIES WEEK
and ask that management everywhere join in recognizing the outstanding Professionals in their employ, especially on Wednesday, April 22, 1987
PROFESSIONAL SECRETARIES DAY
PROCLAMATION - NATIONAL LIBRARY WEEK
Mayor Carroll submitted the following Proclamation:
WHEREAS, reading and libraries are central to our lives; and
WHEREAS, taking time to read and use the library gives pleasure, instruction, information and guidance; and
WHEREAS, our own Dover Public Library is celebrating National Library Week with the theme "Take Time to Read," saluting 1987 - the Year of the Reader.
NOW, THEREFORE, I, CRAWFORD J. CARROLL, MAYOR OF THE CITY OF DOVER, DELAWARE DO HEREBY PROCLAIM April 5-11, 1987,
NATIONAL LIBRARY WEEK
in Dover, Delaware and urge all citizens to Take Time To Read and use the library this week and throughout the Year of the Reader.
FISCAL YEAR 1987 COMMUNITY DEVELOPMENT BLOCK GRANT APPLICATION
An administrative public hearing was held on March 19, 1987 to provide interested citizens the opportunity to offer their views and comments regarding the use of proposed fiscal year 1987 Community Development Block Grant funds by the City of Dover.
Mr. Nadab Bynum, City of Dover Community Services Department, presented slides showing various properties that will be Involved In the Community Development Block Grant Program. Mr. Bynum advised that the slides will show housing rehabilitation needs, demolition requests, and requests for community facilities improvement funds.
Mr. Bynum stated that 10 properties have been selected in the Capital Green area and houses on Cherry. Slaughter, Minima, Lincoln, and North Streets.
Demolition will involve a property at North and Slaughter Streets and two properties in the Capital Green area.
Under the community facility Improvement funds program, a request was received from the Harvest Years Senior Center on Saulsbury Road to add a multi-purpose room. Mr. Bynum presented slides showing the crowded conditions that exist at the center.
An additional request was received from Mrs. Emily Morris for funds to expand the Dover Educational and Community Center. Mr. Bynum advised that Mrs. Morris has withdrawn her request for the funds. The Dover Educational and Community Center plans to expand office facilities, children area, storage space, and additional bathrooms.
Mr. Bynum stated that although both facilities have definite needs, the proposal submitted by the Harvest Years Senior Center was a superior planned proposal.
Mr. VanSant moved for approval of the fiscal year 1987 Community Development Block Grant application and that the funds be utilized for the following activities. The motion was seconded by Mr. Lynn and carried by a unanimous roll call vote.
Housing Rehabilitation - It is recommended that $105,497 be allocated for the purpose of providing housing rehabilitation assistance to eligible residents of both the Capital Green and Cherry Street areas of the City. A survey of the two areas has identified more than 15 housing units in need of assistance. The $105.497 request would be used to rehabilitate 10 units during FY 87.
Housing Demolition - It Is recommended that $3,200 be allocated for the purpose of providing demolition assistance to eligible owners of dilapidated properties located within the City's various CDBG target areas. The $3,200 request would be used to demolish two units during FY 87.
Community Facility Improvement - Two requests for community facility improvement funds were received; one from the Harvest Years Center and the other from the Dover Educational and Community Center. In order to be considered for funding, it is required that the facility seeking assistance present a well defined plan as to how it intends to utilize the proposed CDBG funds. Though both facilities indicated a definite need for the funds, it was the Harvest Years Senior Citizen Center that presented a more definitive plan as to how it intended to utilize the funds. Therefore, it is recommended that $51,975 be allocated for the purpose of providing community facility improvement funds to the Harvest Years Senior Citizen Center.
Administration - It is recommended that $39,328 be allocated for the administrative expenses relating to the CDBG program.
SAFETY ADVISORY COMMITTEE REPORT
The Safety Advisory Committee met on March 24, 1987 at 7:30 p.m. with Chairman Weyandt presiding.
Sharon Yoder - Shortage of Downtown Parking
A letter from Mrs. Sharon Yoder related to the downtown parking shortage, making it difficult to support businesses due to enforcement.
The committee recommended that Mrs. Yoder's letter be forwarded to the Parking Authority with a cover letter requesting that she be given an opportunity to present some of her complaints.
Parking Ban on S. State Street - Bryan Sterling, Steven Schwartz. John Snyder, J. Carroll Brown, J. Grady and Petition
Mr. Weyandt stated that Mr. J. Carroll Brown, representing Mr. Schwartz, Mr. Snyder, and Mr. Grady, was present to complain of the parking ban on South State Street. Dr. Bryan Sterling and Mr. Gene Sterling were also present.
Dr. Sterling submitted a complaint that his elderly patients will be denied easy access to his optometry office.
Mr. Brown. representing the aforementioned group, stated that the parking ban makes it considerably difficult to receive or Issue goods from business sites.
The committee recommended that Mr. Norman Day, consultant, be contacted concerning the viability of designing depressions in the sidewalk between The Green and North Street to allow for passenger or delivery drop-offs, or the alternative of maintaining the present width of State Street within the same area.
Mr. Worley pointed out that a report from Mr. Day has been submitted. The report stated that loading and unloading zones on S. State Street would be inappropriate and he suggested a pattern of loading and unloading zones around The Green.
Mr. Christiansen pointed out that Dr. Sterling's elderly clientele would find it difficult to walk one-half block.
Mr. Worley pointed out that the no parking ban on S. State Street, In the area of Dr. Sterling's office, would make it easier for clientele to be dropped off at the various businesses.
Mr. Worley pointed out that consultant Norman Day has recommended a loading and unloading zone at the corner of The Green and S. State Street. He suggested that Council delay any decision on the matter to afford additional time for discussion with the Police Chief and the Inspector's Office.
Two Hour Parking - Kings Highway to Division Street - Pennsylvania Avenue from Division Street to Kings Highway and American Avenue - Division Street to Kings Highway
The committee discussed parking on Kings Highway, American Avenue and Pennsylvania Avenue near the Environmental Control Building. It was noted that employees working for Environmental Control in the old Richardson & Robbins building utilize all on-street parking.
The committee recommended two hour parking on Kings Highway from Woodburn Realty to Division Street, Pennsylvania Avenue from Kings Highway to Division Street, and American Avenue from Kings Highway to Division Street; hours being from 8:00 a.m. to 5:00 p.m.
Mr. Weyandt moved for the recommendation of the committee. Mr. Christiansen seconded the motion for discussion purposes only.
Mr. Vansant stated that creating two hour parking on all of the above mentioned streets would be an overkill on the parking problem in the area. He suggested two hour parking from the Environmental Control office on the east side of Kings Highway to Division Street, pointing out that Mr. Aaron Knopf, on the west side of Kings Highway, objects to two hour parking.
Mr. Witt felt that parking changes in the area should be done in stages and moved to amend the original motion for two hour parking on Kings Highway only, both sides, from Environmental Control to Division Street. The motion was seconded by Mrs. Legates.
It was Mr. Ambruso’s opinion that it is ludicrous to arbitrarily sign restrictive parking throughout the City without addressing City-wide parking problems. He stated his non-support of any parking changes until a thorough study is accomplished.
By a voice call vote, Mr. Ambruso voting no, the amendment creating two hour parking on Kings Highway from the Environmental Control building to Division Street, both sides. was approved.
By a roll call vote of six (6) yes, one (1) no (Mr. Ambruso), with Mr. VanSant abstaining due to a conflict of interest, the main motion was approved.
Restrict Truck Traffic - Walker Road between State Street and Saulsbury Road - North Dover Civic Association
Mr. Weyandt stated that Mr. Fred Vetter and Mr. Edward Biter, representing the North Dover Civic Association, were present to discuss truck traffic on Walker Road. Mr. Vetter advised that Walker Road has become a main truck route off South State Street to reach Scott Paper, General Foods, Playtex, etc.
Mr. Weyandt advised that he personally contacted Reichhold Chemicals, Playtex, General Foods, and Scott Paper requesting that they route their trucks through State College Road which is now complete.
Mr. Vetter, with cooperation of the City Manager's Office. contacted the Highway Department requesting that signs be erected on U.S. Route #13 directing truck traffic down State College Road to McKee and Saulsbury Roads. The cost of the necessary signs would be added to the State College Road Improvement project.
The committee suggested that the City Manager write a letter to Mr. Pusey of the Highway Department requesting directional signs for trucks coming Into Dover. The signs would route traffic on State College Road.
Mr. Weyandt stated that no action by Council is necessary but if the routing signs are not successful, further discussion will take place in the Safety Advisory Committee for recommendations to Council.
Bus Unloading Zone - Visitors Center - Federal Street
A letter from the Visitors Center on Federal and Court Streets requested two (2) bus unloading zones.
Mr. Weyandt advised that signs will be issued by the Police Department, creating the zones only when buses are expected which is usually twice a week.
Mr. Christiansen moved for approval of the Safety Advisory Committee Report as submitted, seconded by Mrs. Legates and unanimously carried.
PARKS AND RECREATION C0MMITTEE REPORT
The Parks and Recreation Committee met on March 24, 1987 at 7:30 p.m. with Chairman Weyandt presiding.
City Owned Vacant Properties
Mr. Weyandt advised that he has initiated the preparation of a list of properties owned by the City throughout the corporate limits. He suggested that these properties be reviewed by a committee consisting of committee chairmen of all the standing committees, the City Planner, the City Manager, and the City Assessor. After the committee analyzes each plot, a report would be submitted to the Parks and Recreation Committee for a recommendation to Council. Any funds derived from the sale of the properties would be held to purchase park land west of Dover.
In accordance with the recommendation of the committee, Mr. Weyandt moved for Council approval of the above. The motion was seconded by Mr. Lynn and unanimously carried.
Tree - 14 N. Kirkwood Street
The owner of 14 N. Kirkwood Street requested that a tree between the curb and sidewalk be removed. One limb is leaning dangerously over the street right-of-way and roots are displacing the sidewalk.
Mr. Weyandt moved to approve removal of the tree, seconded by Mrs. Legates and unanimously carried.
CIP - Community Services - Surfaces Under Playground Equipment
The Community Services Department submitted an item under the Capital Improvement Plan for FY 1987/88 that would install safe surfaces under play equipment in all City owned parks and play lots. Total cos of the project was submitted as $6,000.
The committee recommended approval of the expenditure.
Mr. Weyandt moved for approval of the committee's recommendation, seconded by Mrs. Legates and unanimously carried.
CIP - 6' Chain Link Fence - William Henry Softball Field #1
An item on the Capital Improvement Plan for fiscal year 1987/88 proposed a 6' chain link fence around the outfield of William Henry Softball field #1 at a cost of $9,220. The project also proposed replacing the backstop, reconstructing the in-field, repairing of bleachers, and the installation of a 10' chain link fence down both sides.
In accordance with the committee's recommendation, Mr. Weyandt moved for approval of the project as submitted, seconded by Mrs. Legates and unanimously carried.
New Street Ballfleld - 1987/88/89 CIP
A Project submitted in the 1987/88/89 CIP proposed reconstruction of the ballfield at New Street with proper materials, replacing the backstop, repairs to the existing fence around the ball field, and installing a 10' fence down both side lines to protect players and spectators. Total cost of the project would be $11,000.
The committee felt that the existing backstop is adequate and recommended deletion of the item.
The committee recommended approval of the improvements to the New Street ball field, less $4,210 for the proposed backstop, totaling $6,790.
Mr. Weyandt moved for approval of the committee's recommendation, seconded by Mrs. Legates and unanimously carried.
Park Benches - Loockerman Street
Mrs. Legates reported complaints that citizens using benches on Loockerman Street are contributing to loitering and causing disturbances In the late evening hours. Complaints include abusive language, loud radios and other activities. She submitted the question of removing the benches on Loockerman Street from State Street to Governors Avenue for discussion.
Chief Klenoski advised Council that Solicitor Rodriguez has just received a packet from Nimlo that includes model ordinances relative to the problem as submitted by Mrs. Legates. He requested a period of time to review the ordinances for a recommendation to the committee. Chief Klenoski stated that a foot patrolman has been on duty on Loockerman Street since March 25, 1987 attempting to curtail some of the activities as described by Mrs. Legates.
Mr. Weyandt moved for approval of the Parks and Recreation Committee Report as submitted, seconded by Mr. Christiansen and unanimously carried.
UTILITY COMMITTEE REPORT
The Utility Committee met on April 1, 1987 at 7:30 p.m. with Chairman Richter presiding.
Mr. Richter reported that the Utility Committee has completely reviewed all relative budgets to be considered by his committee. Noting the budgets as amended by the committee and submitted by staff, he stated his dissatisfaction In some of the items as submitted on the budget report.
Mr. Richter requested that the Capital Improvement Plan items be deferred at this time for further discussion by the committee.
Mr. VanSant moved for approval of the April 1, 1987 Utility Committee Report as submitted, seconded by Mr. Richter and unanimously carried.
LEGISLATIVE AND FINANCE COMMITTEE REPORT
The Legislative and Finance 6ommittee met on March 17, 1987 and March 18, 1987 for the purpose of fiscal year 1987/88 budget review.
Committee members and members of Council met again on April 2. 1987 to review a summary of budget modifications as submitted by the City Manager. Chairman Witt presided at the three meetings.
AMENDED ORDINANCES - PERMIT FEES
Mr. Witt noted an ordinance in the Council packet that would increase various permit fees of the City. He moved for approval of the various sections of the ordinances, seconded by Mr. VanSant.
Mr. Richter noted that the ordinances do not contain an effective date.
Mr. Witt agreed to include an effective date of July 1, 1987 in his motion, as did the seconder, Mr. VanSant.
By unanimous roll call vote, Council adopted the following ordinance:
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. Section 5.21 of the Dover Municipal Code Is hereby amended by changing the fees set therein as follows:
a. Building fees shall be amended to read $8 and $6 for each additional;
b. Fence permits shall be amended to read $8 and $6 for each additional;
c. The fee of $25 for each O.S. & Y. or P.I. valve should read $40 and each Sprinkler Head up to 100 should read 75 cents; 100 to 500 should read 50 cents; and under 500 should read 25 cents;
d. Sign permits should remain at 50 cents per square foot but the minimum should be $15 Instead of $10;
e. Regarding swimming pool permits, the same is amended to $8 and $6 for each additional;
f. No change was made regarding demolition permits and moving permits.
2. Section 5.61 of the Dover Municipal Code relating to Heat & Air Conditioning permit fees:
a. Heat permits should be changed so that the first 10,000 BTU's shall be $20 and each additional 10,000 shall be $4;
b. Air Conditioning permits shall be altered so that per ton for the first five tons shall be $7 and each additional shall be $4.
3. Section 5.76 of the Dover Municipal Code shall be amended regarding permit fees for plumbing as follows:
a. The sum of $10 for the first five fixtures and $1.50 for each additional fixture;
b. Hot water heater and garbage disposal shall be $20;
c. Gas, water, and sewer underground shall be changed to $15 for the first 150 feet and 50 cents for each additional 10 feet.
4. All of the above changes are to become effective July 1, 1987.
ADOPTED: April 13, 1987
SET PUBLIC HEARING - CERTIFICATE OF OCCUPANCY FEES
Noting that certificate of occupancy fees are a part of the Zoning Code, requiring a public hearing, Mr. Witt moved that a public hearing be held on May 11, 1987 at 7:30 p.m. to amend the Zoning Code relating to certificate of occupancy fees. The motion was seconded by Mr. Lynn and unanimously carried.
SETTING OF TAX RATE FISCAL YEAR 1987/88
Mr. Witt moved that a tax rate of .65 cents per $100 of assessed property value be set for fiscal year 1987/88. The motion was seconded by Mr. VanSant and carried by a roll call vote of seven (7) yes, one (1) no (Mr. Christiansen).
PROPOSED LEGISLATION - $1 PER ROOM OCCUPANCY TAX - HOTELS AND MOTELS Mr. Witt noted that City Solicitor Rodriguez has submitted proposed legislation to initiate a $1 per room occupancy tax for hotels and motels for submission to the General Assembly of the State of Delaware. He also noted the presence of Mr. Frank DiMondi, representing the Dover Hotel/Motel Association. Mr. Witt advised of a promise to Mr. DiMondl that he would have an opportunity to speak to Council with the consent of a majority of the Council members present. Hearing no objections, Mr. DiMondi rose to speak his objections concerning the proposed tax.
Mr. DiMondi advised that Delaware's 6% occupancy tax is the fourth highest In the nation; the top being Washington D.C., New Hampshire, and Nevada. In each of these states all or a great portion of the tax goes directly to the promotion of tourism and the convention business. No other municipality or governmental entity has initiated a tax on rooms. There is a Senate Bill, sponsored by Senator Berndt, to share the state's 6% tax with respective counties to promote tourism.
Mr. DiMondi stated that if the City of Dover goes to the General Assembly with the proposed legislation, guests of hotels and motels will be paying 6% to the State and the City will be charging an additional fee for occupying a room. It was his opinion that this would be the wrong message to send since the State and the City are attempting to promote economic development. He added that any additional tax should be held in abeyance until Liberty Center becomes a reality.
Mr. DiMondi enumerated the vast sums of money that hotels and motels pay to the City of Dover for services such as water, sewer, and electricity. He also pointed out that the hotel and motel business In the City of Dover is still on shaky ground and submitted a detailed report from the Motel/Hotel Association substantiating his statements.
Members of Council informed Mr. DiMondi that a proposed tax to support Liberty Center would go to the county with no benefit to the City of Dover; however, hotel and motel owners would reap a direct benefit from the availability of the facility.
Mr. Witt moved that the following draft legislation prepared by Solicitor Rodriguez concerning the City of Dover public accommodation tax be forwarded to the General Assembly for approval. The motion was seconded by Mr. Christiansen and carried by a roll call vote of seven (7) yes, one (1) no (Mr. Ambruso).
AN ACT TO AMEND CHAPTER 158, VOLUME 36, LAWS OF DELAWARE, AS AMENDED, ENTITLED "AN ACT TO INCORPORATE THE CITY OF DOVER AND CHANGING THE NAME THEREOF" RELATING TO CONFERRING UPON THE MAYOR AND COUNCIL OF THE CITY OF DOVER POWERS TO IMPOSE A PUBLIC ACCOMMODATIONS TAX ON PERSONS ENGAGED IN THE BUSINESS OF OPERATING A HOTEL, MOTEL OR TOURIST HOME.
Be it enacted by the General Assembly of the State of Delaware (two-thirds of all members elected to each House thereof concurring therein):
Section 1. Amend Chapter 158, Volume 36, Delaware Laws, as amended, by adding a new subsection, to wit: Section 46(A).
47(A) Public Accommodations Tax
a. That in order to provide for the payment of its debts and expenses, the Mayor and Council of the City of Dover, in addition to the powers now conferred upon it, shall have the power and authority by ordinance or ordinances to levy, assess, and collect or provide for the levying, assessment. and collection of such taxes as It shall determine to be paid by persons engaged in the business of operating a public accommodation such as a hotel, motel or tourist home as those terms are defined in 30 Del. C. Sec. 6106, as amended, said tax not to exceed the rate of $1.00 per occupied room per night, said tax to be based upon occupancy of rooms as that term Is defined in 30 Del. C. Sec. 6101, along with all powers necessary to levy and collect said tax and to assess reasonable penalties for nonpayment thereof.
SYNOPSIS
This act would permit the City of Dover to impose a public accommodations tax on hotel, motel or tourist home operators not to exceed $1.00 per occupied room per night, which tax would be similar to the excise tax imposed by the State as provided in Chapter 61, Title 30, Delaware Code, entitled Public Accommodation Taxes.
LOCAL SERVICE FUNCTION BUDGET
Mayor Carroll advised that Finance Director Karia has compiled positive figures that indicate what a local service function budget would mean to the taxpayers of the City of Dover. Mr. Karia's report shows that a relief of well over $300,000 would be realized by the taxpayers if this legislation would become a reality.
Mayor Carroll suggested legislation that would initiate a local service function budget for the City of Dover in the same manner as presently exists In New Castle County.
Mr. Witt advised that Representative Bennett has introduced a House Bill that calls for a local service function budget in Kent County. The bill was introduced approximately one month ago.
Mr. Lynn moved that the City of Dover solicit full support of the bill, seconded by Mr. Christiansen and unanimously carried.
ONE MILLION DOLLAR BOND ISSUE - STREET MAINTENANCE AND CONSTITUTION PLACE
Mr. Karia advised the Legislative an Finance Committee that he has submitted proposals for a $1,000,000 bond issue which will involve a period of approximately three months before the money can be obtained from the bond market. The funds will be used for street maintenance and the Constitution Place project. He recommended that the firm of Potter, Anderson & Corroon be selected as bond counsel.
Mr. Witt moved that Potter, Anderson & Corroon be selected as bond counsel for the $1,000,000 bond Issue. The motion was seconded by Mr. Christiansen and carried by a vote of seven (7) yes, one (1) no (Mr. Weyandt).
CONSULTANT - ONE MILLION DOLLAR BOND ISSUE - STREET MAINTENANCE AND CONSTITUTION PLACE
Mr. Witt moved that the firm of Public Financial Management of Philadelphia be engaged as consultant for the City of Dover for the proposed $1,000,000 bond issue. The motion was seconded by Mr. VanSant and carried by a roll call vote of seven (7) yes, one (1) no (Mr. Weyandt).
RESOLUTION - ONE MILLION DOLLAR BOND ISSUE - STREET MAINTENANCE AND CONSTITUTION PLACE
Mr. Witt noted a draft of a resolution specifying the use of the proposed $1,000,000 bond issue. He advised that the entire issue could be used for street maintenance if Constitution Place does not become a reality.
Mr. Weyandt pointed out that all of the costs of the bond Issue Is being charged against the street maintenance portion with no expenses coming out of the Constitution Place project.
By motion of Mr. Witt, seconded by Mr. Lynn, Council, by a roll call vote of seven (7) yes, one (1) no (Mr. Weyandt), adopted the following resolution:
A RESOLUTION AUTHORIZING CONSTITUTION PLACE AND STREET REPAVING PROJECTS AND AUTHORIZING THE ISSUANCE OF UP TO $1,000,000 GENERAL OBLIGATION BONDS OF THE CITY OF DOVER, DELAWARE FOR CONSTITUTION PLACE AND STREETS REPAVING PROJECTS.
WHEREAS, the Council of the City of Dover desires to approve certain constitution place and streets repaving projects and authorizing the issuance of up to $1,000,000 of General Obligation Bonds of the City of Dover to finance the costs thereof.
WHEREAS, the City is authorized pursuant to Chapter 158, Vol. 36, Laws of Delaware, as amended (City Charter) to issue the General Obligation Bonds.
WHEREAS, as the City is authorized pursuant to Section 50(b) of the City Charter authorizes the City to issue General Obligation Bonds and Section 50(c) of the City Charter authorizes the City Council to issue such bonds up to $1,000,000 without a referendum vote for the streets and appurtenances.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF DOVER, AS FOLLOWS:
Section 1. The Council approves the following capital projects for the City:
PROJECT NAME PROJECT COST
Constitution Place $534,910