REGULAR MEETING
April 26, 1982
The Regular Meeting of Council was held on April 26, 1982 at 7:30 p.m. with Mayor McDonough presiding. Councilmen present were Messrs. Bewick, Tudor, Boaman, Hardcastle, Carey, Witt, Carroll and Richter.
The invocation was given by the Reverend J.H. Williams, Council Chaplain.
ARBOR DAY PRESENTATION - CENTRAL MIDDLE SCHOOL STUDENT REPRESENTATIVES
Ms. Gloria Horn and Ms. Patricia Russell, faculty advisors at Central Middle School, were present with student representatives Timothy Rosello, (Student Council Representative), LeAndra Casson (President of the Delaware Association of Student Councils), Stacey Garrison (Secretary of Delaware Association of Student Councils), and Timothy Hall (Vice-President of the Central Middle School Student Council), to present $100 to the City of Dover for the purpose of a tree to be planted in the City of Dover, observing Arbor Day.
Mayor McDonough stated his thanks in behalf of members of Council and Dover citizens, commending the student representatives on their public and community spirit.
AGENDA ADDITIONS/DELETIONS
Mr. Willis requested an additional agenda item to discuss the National Cup Agreement.
MINUTES - REGULAR COUNCIL MEETING OF APRIL 12, 1982
By motion of Mr. Hardcastle, seconded by Mr. Carey, the Minutes of the Regular Council Meeting of April 12, 1982 were unanimously approved and bore the written approval of Mayor McDonough.
APPROVAL OF NATIONAL CUP AGREEMENT - 21" SANITARY SEWER EASEMENT
Referring to a Council executive session previously held to discuss an agreement between the City of Dover and National Cup concerning an easement for installation of a 21" sanitary sewer, Mayor McDonough recalled that Council approved the agreement by a seven (7) yes vote and requested that the agreement be formally accepted by motion during a Regular Council meeting.
Mr. Bewick moved for approval of the agreement as submitted in executive session, seconded by Mr. Carey and unanimously carried.
1982 MUNICIPAL ELECTION RESULTS
By motion of Mr. Bewick, seconded by Mr. Carey, Council unanimously approved the following results of the 1982 Municipal Election:
Machine Votes Absentee Votes Total
Mayor
Crawford J. Carroll 1,750 53 1,803
Joseph M. McDonough 1,557 41 1,598
First District
R.D. (Dick) Bewick 1,401 53 1,454
David A. Shevock 1,704 38 1,742
Second District
David L. Bonar 1,671 51 1,722
Grover W. Johnson 780 20 800
Margaret L. Murphy 665 19 684
Third District
Gregory P. Boaman 1,994 64 2,058
Stephen D. Reed 1,136 24 1,160
Fourth District
Joseph B. Ferguson 1,043 33 1,076
James C. Hardcastle 1,522 51 1,573
Kenneth L. Hogan 675 6 681
Total Votes - 3,436
Total Registered - 4,965
MONTHLY REPORTS
By motion of Mr. Hardcastle, seconded by Mr. Bewick, Council approved the following monthly reports:
Chief of Police Report for the month of March
Building Inspector & Fire Marshal Report for the month of March
City Alderman Report for the month of March
City Manager’s Report for the month of March
J.P. Court #7 Report for the month of March
General Operating Fund, Cash Receipts Report for the month of March
General Operating Fund, Budget Report for the month of February
Water/Sewer Fund, Cash Receipts Report for the month of March
Water/Sewer Fund, Budget Report for the month of February
Inter-governmental Service Fund, Revenue & Budget Report for the month of February
Electric Revenue Fund, Cash Receipts Report for the month of March
Electric Revenue Fund, Budget Report for the month of February
Electric Improvement & Extension Budget, Cash Receipts & Disbursements Report - February
Municipal Street Aid Fund, Cash Receipts/Disbursements Report - January, February & March
Capital Fund, Cash Receipts/Disbursements Report - January, February & March
CITY MANAGER’S EMPLOYMENT AGREEMENT - ADOPTION OF DEFERRED COMPENSATION PLAN AND RESOLUTION
Mr. Witt moved that Mayor McDonough be authorized to sign City Manager Robert Bartolotta’s employment agreement in behalf of Council. The motion was seconded by Mr. Boaman and by a roll call vote of seven (7) yes, one (1) no (Mr. Carey), the employment agreement was approved. (Employment agreement is on file in the Office of the City Manager and the City Clerk/Treasurer.)
RESOLUTION - DEFERRED COMPENSATION PLAN - CITY MANAGER ROBERT BARTOLOTTA
Mr. Witt moved that Mayor McDonough be authorized to initiate the proper signatures for adoption of the following deferred compensation plan resolution. The motion was seconded by Mr. Bewick and by a roll call vote of seven (7) yes, one (1) no, (Mr. Carey), Council adopted the following resolution:
WHEREAS, the City of Dover (“the City”), a municipal corporation, desires to attract to its employ a new City Manager, Robert J. Bartolotta; and
WHEREAS, the new City Manager will be rendering valuable services to the City; and
WHEREAS, the City has considered the establishment of a Deferred Compensation Plan for the new City Manager made available to the City and to such new City Manager by the International City Management Association Retirement Corporation (“ICMA Retirement Corporation”); and
WHEREAS, the City receives benefits under such Deferred Compensation Plan by being able to assure reasonable retirement security to its new City Manager, by being more able to attract Robert J. Bartolotta to its service as a City Manager, and by increasing its flexibility in personnel management through elimination of the need for a continued employment for the sole purpose of allowing the new City Manager to qualify for retirement benefits.
NOW, THEREFORE, BE IT RESOLVED that the City establish said Deferred Compensation Plan solely for said employee, Robert J. Bartolotta, the new City Manager, and hereby authorizes its Mayor to execute the Deferred Compensation Plan with the ICMA Retirement Corporation, attached hereto as Appendix A.
IT IS FURTHER RESOLVED that the Mayor may, on behalf of the City, as Employer, execute the Joinder Agreement with Robert J. Bartolotta, as Employee, attached hereto as Appendix B, so as to enable him to participate in the Deferred Compensation Plan.
ADOPTED: April 26, 1982
PUBLIC HEARING - REVENUE SHARING - PROPOSED USE HEARING
A public hearing was duly advertised for this time and place to preliminarily discuss proposed use of revenue sharing funds. Mayor McDonough declared the hearing open.
City Manager Bartolotta informed Council that the City of Dover will receive a total of $785,000 in revenue sharing for fiscal year 1982/83. The budget proposes that $600,220 be appropriated to the General Fund and $184,780 to the Capital Fund.
Mr. Jack Costello, President of Harvest Years Senior Center , was present and challenged members of Council to appropriate at least 5% of the total funds for the use of the various civic organizations.
Mayor McDonough declared the hearing closed.
Noting that federal regulations require a second public hearing before distribution of revenue sharing funds, Mr. Bewick moved to delay any action concerning the funds until the second public hearing. The motion was seconded by Mr. Carey and unanimously carried.
Mayor McDonough stated that an appropriation of at least $10,000 to $12,000 would convey a message to interested civic organizations that the City is concerned about their future.
PUBLIC HEARING - PHASE II - HUD HOUSING REHABILITATION APPLICATION
Housing Rehabilitation Director Nadab Bynum stated that the purpose of the public hearing is to accept views and comments in regards to the City’s proposal to apply for a $300,000 single purpose grant from the U.S. Department of HUD, which will be funded through the State of Delaware, Division of Housing. The hearing affords an opportunity to hear comments from residents within the proposed target area and other residents. Letters of notification were sent to residents within the area to be rehabilitated.
Mayor McDonough declared the hearing open.
Ms. Marion Penn of Whatcoat Village stated that she was born and raised on Kirkwood Street and knowledgeable of the fact that most of the dwellings on Kirkwood Street are substandard due to the lack of funds on the part of elderly owners, in a low income bracket. She expressed concern that dwellings, not owner occupied, will be by-passed by the program, adding that some thought should be given to utilizing a portion of the funds to rehabilitate or install sidewalks which are either non-existent or in need of repair. Once the area is rehabilitated, Ms. Penn suggested additional recreation areas for children and an increase in police patrol, feeling that this would reduce property damage once the area is improved.
Ms. Sarah Young of 542 Fulton Street was present to inform Council that she cannot afford to repair a rental property at 130 N. Queen Street, in the target area. The house is now occupied by an elderly gentlemen who does not pay enough rent to generate the income necessary to bring the structure up to City standards.
Mr. Bynum stated that Mr. Moyer of the Division of Housing has sent out a memorandum stating that rental properties in the target area would not be eligible for a grant.
Mr. Bartolotta stated that the grant application states that funding will be available for rehabilitation in an amount up to $10,000. He suggested that Council approve a change in the wording that would read “an average of $10,000". Some dwellings might encompass repairs amounting to $11,000 to $12,000 while others might only require $7,000 or $8,000. This would also alleviate the necessity of approval by Council for each structure that would need repairs over $10,000.
Mr. Tudor intimated that there might be some problem in the method utilized to write contract specifications on dwellings to be rehabilitated, citing personal observance of work performed during phase I of the program.
Mr. Boaman moved that the wording of the application be changed to read “an average of $10,000 more or less for each dwelling to be rehabilitated during phase II of the HUD program”. The motion was seconded by Mr. Hardcastle and unanimously carried.
Mayor McDonough declared the hearing closed.
Mr. Richter moved for adoption of the phase II HUD application as amended, seconded by Mr. Boaman and carried by a unanimous roll call vote.
PUBLIC HEARING - REZONING - 28 NORTH STATE STREET - WESLEY COLLEGE, INC.
A public hearing was duly advertised for this time and place to consider rezoning 28 North State Street, owned by Wesley College, Inc. Mayor McDonough declared the hearing open.
Attorney Dean Johnson was present establishing himself as the leasee of the property and representing Wesley College for the purpose of the public hearing.
Questioned by Mr. Richter, Mr. Johnson stated that the structure would be used for law offices that would be taxable by the City of Dover and he has no plans for demolition of the building.
The Planning Commission unanimously recommended approval of the rezoning.
Mr. Boaman moved for approval of the rezoning, seconded by Mr. Hardcastle and by a unanimous roll call vote, Council adopted the following ordinance:
AN ORDINANCE AMENDING THE ZONING ORDINANCE AND ZONING MAP OF THE CITY OF DOVER BY CHANGING THE ZONING DESIGNATION OF PROPERTY LOCATED AT 28 N. STATE STREET.
WHEREAS, the City of Dover has enacted a zoning ordinance regulating the use of property within the limits of the City of Dover, and
WHEREAS, it is deemed in the best interest of zoning and planning to change the permitted use of property described below from RG-1 to RG-0.
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. That from and after the passage and approval of this ordinance the Zoning Map and Zoning Ordinance of the City of Dover has been amended by changing the zoning designation from RG-1 to RG-0 on that property located at 28 N. State Street, owned by Wesley College, Inc.
ADOPTED: April 26, 1982
REZONING REQUEST - PROPERTY WEST SIDE OF MCKEE ROAD, NORTH SIDE OF STATE COLLEGE ROAD - BENJAMIN SMITH, JR.
A request was received to rezone property located on the west side of McKee Road, north of State College Road, owned by Benjamin Smith, Jr. (equitable owner is John Smith). Prior to amending the zoning map and zoning ordinance of the City of Dover, a public hearing is required.
By motion of Mr. Boaman, seconded by Mr. Bewick, Council unanimously adopted the following resolution and referred the rezoning to the Planning Commission.
A RESOLUTION SETTING FORTH TIME AND LACE OF PUBLIC HEARING ON A PROPOSED AMENDMENT TO THE ZONING MAP FOR THE CITY OF DOVER AND DIRECTING THAT NOTICE OF SAID HEARING BE PUBLISHED IN ACCORDANCE WITH THE PROVISIONS OF THE DELAWARE CODE.
WHEREAS, certain lands located on the west side of McKee Road, north of State College Road, area presently zoned for R-20 use, and
WHEREAS, it is necessary to hold a public hearing prior to amending the zoning map and zoning ordinance of the City of Dover.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. That a public hearing be held in City Hall on May 24, 1982 at 7:45 p.m. on a proposed amendment to the zoning map that would rezone from R-20 to R-8 that property located on the west side of McKee Road, north of State College Road, owned by Benjamin Smith, Jr.
2. That notice of the public hearing be given in accordance with the provisions of the Delaware Code.
ADOPTED: April 26, 1982
REZONING REQUEST - 407 LOOCKERMAN STREET - D.W. BLUMBERG, I. WOLSON AND R. JOYEUSAZ
A request was received to rezone property at 407 Loockerman Street, owned by D.W. Blumberg, I. Wolson and R. Joyeusaz. Prior to amending the zoning map and zoning ordinance of the City of Dover, a public hearing is required.
By motion of Mr. Boaman, seconded by Mr. Hardcastle, the rezoning was referred to the Planning Commission by a unanimous roll call vote: (Noting that the date for a public hearing did not appear on the agenda, the City Clerk advised Council that Mr. Roe recommended a public hearing for May 24, 1982.)
Mr. Boaman amended his motion to include a public hearing on the aforementioned, seconded by Mr. Hardcastle, and by a unanimous roll call vote, Council adopted the following resolution.
A RESOLUTION SETTING FORTH TIME AND PLACE OF PUBLIC HEARING ON A PROPOSED AMENDMENT TO THE ZONING MAP FOR THE CITY OF DOVER AND DIRECTING THAT NOTICE OF SAID HEARING BE PUBLISHED IN ACCORDANCE WITH THE PROVISIONS OF THE DELAWARE CODE.
WHEREAS, certain lands located at 407 Loockerman Street are presently zoned for C-2 use, and
WHEREAS, it is necessary to hold a public hearing prior to amending the zoning map and zoning ordinance of the City of Dover.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. That a public hearing be held in City Hall on May 24, 1982 at 7:45 p.m. on a proposed amendment to the zoning map that would rezone from C-2 to C-3 that property located at 407 Loockerman Street, owned by D.W. Blumberg, I. Wolson and R. Joyeusaz.
2. That notice of the public hearing be given in accordance with the provisions of the Delaware Code.
ADOPTED: April 26, 1982
RESOLUTION - PROPOSED ABANDONMENT OF ALLEY SOUTH OR LINCOLN STREET, EAST OF CLARENCE STREET
Council considered a request to abandon an alley that is unimproved, located on the south side of Lincoln Street, approximately 100' east of Cherry Street. The alley was first recorded in 1887 and leads to a dead end. A report from the City Manager’s Office pointed out that a house presently exists directly in the area dedicated as an alley at 50 Lincoln Street and has been there for approximately 40 years. Mrs. Edith Wright is attempting to purchase the house and the City can find no records of ownership to the alley. The Dover Coca-Cola Bottling Company owns three parcels of adjacent land through which this alley is shown. However, there is no record of said alley on their deeds.
The City Manager’s Office recommended that a resolution be approved to set a public hearing on May 10, 1982 for the abandonment of any City interest in the claimed alley to abutting property owners, with the City maintaining any necessary utility easements.
Mr. Witt moved for the aforementioned recommendation, seconded by Mr. Bewick and by unanimous roll call vote, Council adopted the following resolution:
A RESOLUTION PROPOSING THE VACATING AND ABANDONMENT OF A CERTAIN ALLEY SITUATED SOUTH OF LINCOLN STREET, EAST OF CHERRY STREET.
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF DOVER:
Section 1. The Council of the City of Dover favors the vacating and abandonment of the following alley, laid out upon a plot of lands late of Joseph T. Campbell, dated November 24, 1887, recorded in Kent County Orphans Court Plot Book 5, page 102-½, and as also recorded as Dr. R.S. Stephens Lots, dated September 25, 1924, in Kent County Plot Book B, page 17:
ALL that certain strip of land situated in the City of Dover and lying south of Lincoln Street and east of Cherry Street, constituting a 12' wide unopened alley as laid out on a plot of lands late of Joseph T. Campbell, dated November 24, 1887, recorded in Kent County Orphans Court Plot Book 5, page 102-½, and as also recorded as Dr. R.S. Stephens Lots, dated September 25, 1924, in Kent County Plot Book B, page 17, and being more particularly described as follows, to wit:
Beginning at a point in the south lint of Lincoln Street, 60' wide, located S 88° 33' E, about 122.21' from the east line of Cherry Street, 25' wide; thence, by a line being the easterly line of this alley, S 1° 27' W, about 120'; thence, S 88° 33' E, about 125.78' to a point; thence, S 1° 27' W, 12' to a point, thence, by a line being the southerly line of this alley, N 88° 33' W, about 137.78' to a point; thence, N 1° 27' E, about 132' to the point and place of beginning.
Containing 0.071 acres of land, more or less.
Section 2. The Council of the City of Dover will sit on Monday, May 10, 1982 at 7:45 p.m. at City Hall to hear the objections of such residents of the City or owners of the property affected as shall attend, in accordance with the provisions of Section 27 of the Charter of The City of Dover (Chapter 158, Volume 36, Laws of Delaware).
Section 3. The Clerk of Council is hereby directed to post copies of this resolution in five or more public places in the City of Dover and to publish the same in a newspaper published in the said City.
ADOPTED: April 26, 1982
LEGISLATIVE AND FINANCE COMMITTEE REPORT
The Legislative and Finance Committee met on April 13, 1982 and on April 21, 182 with Chairman Witt presiding, to discuss the budgets of the City of Dover.
Proposed 1% real Estate Transfer Tax
The committee was advised by Councilman Carroll that he has conducted research, with the cooperation of the Tax Office, on a proposed 1% real estate transfer fee. Based on the transfers within the City for the past twelve months, Mr. Carroll stated that the expected income from the tax would amount to approximately $167,000. It was noted that the City of Wilmington and Rehobeth have initiated a transfer tax; said tax requiring enabling legislation by the General Assembly.
The committee recommended that the City Solicitor prepare enabling legislation for action by Council on the transfer tax during the April 26, 1982 Council Meeting; said legislation to be submitted to the General Assembly for passage as soon as possible.
Mr. Carroll moved for the recommendation of the committee, requesting that the following resolution be read as a matter of record in the official minutes. The motion was seconded by Mr. Boaman.
BE IT RESOLVED by the Mayor and Council of the City of Dover, in Council met:
1. The City of Dover hereby agrees to request that the General Assembly amend the Charter of the City of Dover, being Chapter 158, Volume 36, Laws of Delaware, as amended, to enable the City of Dover to levy a real estate transfer tax in accordance with the substance of the provisions set forth in Exhibit “A” which is attached hereto and incorporated by reference herein.
Councilman Witt relinquished the floor to realtor Walter J. Ellis for his remarks on the matter.
Mr. Walter J. Ellis stated that he was appearing before Council as a spokesman for the Kent County Board of Realtors, hoping that the City of Dover will not consider a real estate transfer tax just because several other cities in the state have adopted same.
Mr. Ellis distributed a recap of real estate transfer tax throughout the nation that indicated that the state is already higher in transfer fees than any other state other than the District of Columbia.
A typical settlement sheet, displayed by Mr. Ellis, showing a real estate transaction with a sale price of $45,000 indicated a settlement cost of $2,211.89 to the seller. With the proposed enactment of a 1% City transfer tax, the cost would have increased $450 and added 20% to the closing cost of the transaction.
Pointing out that new home construction is virtually at a standstill due to high interest costs, Mr. Ellis suggested that Council increase the property tax rate by 10¢ which would achieve the same income and not hurt a small percentage of the citizens.
Mr. Ellis presented petitions containing approximately 92 names, headed by the following statement: “We, the undersigned, are strongly opposed to the institution of a real estate transfer tax in the City of Dover. We feel it is a discriminatory and regressive tax that will place an unfair burden on Dover residents, whether buying or selling their homes. It will further increase already high closing costs, discouraging some prospective buyers from buying within City limits. At a time when the housing industry is severely depressed, this tax will further burden the already depressed local economy.
We strongly urge that the Mayor and Council of Dover vote to defeat the concept of a real estate tax in Dover.”
A letter was also submitted by the Harrington Realty, Inc., containing 11 signatures, urging Council to defeat the real estate transfer tax.
Mayor McDonough concurred that the transfer tax would be inappropriate at a time when the real estate industry is depressed.
Councilman Carroll pointed out that the letter submitted by Harrington Realty, Inc., contained signatures who do not live within the City limits.
Mr. Carroll pointed out that Mr. Ellis stated that the State of Delaware has the second highest transfer costs but failed to mention that other cities have sales and wage taxes, not to mention New Castle County that has a local function budget. Since Dover is burdened with all services funded only by a real estate tax and certain fees, other sources of income must be found, such as the transfer tax.
Mr. Richter called for the question.
By a unanimous roll call vote, the call for the question was approved.
A roll call vote on Mr. Carroll’s motion to adopt a resolution for enabling legislation to enact a transfer tax failed by a vote of five (5) no, three (3) yes (Mr. Boaman, Mr. Carroll and Mr. Richter).
Recommended Tax Rate
Mr. Witt informed Council that the committee recommended a tax rate of $1.20 per $100 of assessment, based on 60% of assessed value.
Mayor and Council - Annual Reception
Pointing out that the committee recommended that Council approve an expenditure for the annual Mayor and Council Reception during Old Dover Days, Mr. Boaman moved for approval of the function, seconded by Mr. Carey and unanimously carried.
Donation - U.S. Air Force Band
Referring to an affirmative recommendation by the Legislative and Finance Committee, Mr. Witt moved that Council approve an appropriation to help offset the cost of feeding the U.S. Air Force Band who will entertain during a ceremony to be held on April 30th, during Old Dover Days. The motion was seconded by Mr. Bewick and unanimously carried.
Mr. Witt moved to approve the Legislative and Finance Committee Report as submitted, seconded by Mr. Boaman and unanimously carried.
SET TAX RATE
Mayor McDonough pointed out the Legislative and Finance Committee recommendation that the tax rate be set for $1.20 per $100 of assessment, based on 60% of assessed value.
Mr. Richter moved for the recommendation of the committee, seconded by Mr. Hardcastle.
Mayor Carroll suggested that the tax rate be set for $1.30 per $100 of assessed value, since the 1% transfer tax was not approved. He stated that he went along with $1.20 per $100 of assessment value based on a unanimous vote during the Legislative and Finance Committee, that the 1% transfer tax would be approved. He did not feel that the City could continue its present level of services on the proposed $1.20.
Mr. Bewick called for the question on a vote of $1.20 per $100 of assessed value. By a roll call vote of six (6) yes, two (2) no (Mr. Boaman and Mr. Carroll) a call for the question was approved.
By a roll call vote of six (6) yes, two (2) no (Mr. Boaman and Mr. Carroll) the tax rate was set for $1.20 per $100 of assessment, based on 60% of assessed value.
Mr. Carey moved for adjournment into executive session to discuss personnel matters, seconded by Mr. Witt and unanimously carried.
Meeting Adjourned at 8:45 P.M.
WILLIAM H. WILLIS
CITY CLERK
All orders, ordinances and resolutions adopted by City Council during their meeting of April 26, 1982, are hereby approved.
JOSEPH M. MCDONOUGH
MAYOR
May 3, 1982
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