Regular City Council Meeting
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May 11, 1970 at 12:00 AM

REGULAR MEETING

May 11, 1970

The regular meeting of City Council was held on Monday, May 11, 1970 at 7:30 P.M. with Mayor Carroll presiding. Councilmen present were Messrs Biggs, Coyle, Hastings, Hayes, Holpp, Legates and Walls.

The invocation was said by the Rev. Richard Comegys of Christ Episcipal Church.

MINUTES

The minutes of the regular meeting of April 27, 1970 were accepted and bore the written approval of Mayor Carroll.

HUGHES RESOLUTION

On motion of Mr. Coyle, seconded by Mr. Hastings, Council by unanimous vote adopted the following resolution.

A RESOLUTION EXPRESSING REGRET OF THE MAYOR AND COUNCIL OF THE CITY OF DOVER AT THE DEATH OF FELLOW COUNCILMAN, RANDOLPH HUGHES

WHEREAS, Randolph Hughes has served the City faithfully and competently as a member of Council since February 12, 1962;

WHEREAS, Randolph Hughes has been a responsible and able chairman of the Building, Housing and Plumbing Code Committee and a member of the Wages and Hours, Legislative and Finance Committee; and

WHEREAS, Randolph Hughes took great interest and was of great assistance in the orderly growth and development of the City; and

WHEREAS, Councilman Hughes always expressed himself clearly and took a definite stand on all issues and explained the reasons for such stand, which was appreciated by other members of Council even though they might not personally agree; and

WHEREAS, Councilman Hughes was a prominent figure in Delaware State Government having ably served as State Bank Commissioner for many years; having served as a member of the General Assembly; and also having rendered distinguished service for his Country in the military service; and

WHEREAS, Randolph Hughes departed this life on April 28, 1970.

NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:

1. The Mayor and Council of the City of Dover have experienced great personal grief and regret at the death of Randolph Hughes; and

2. The Mayor and Council of the City of Dover express their great sorrow at the death of Randolph Hughes and extend their sincere sympathy to his family; and

3. The Mayor and Council of the City of Dover direct the Clerk of Council to make this Resolution a part of the permanent records of the City of Dover to become a living memorial showing the appreciation of the City for the faithful and competent services rendered by the late Randolph Hughes.

Adopted May 11, 1970

REPORTS

Chief of Police report for the month of April was accepted.

Building Inspector and Fire Marshal report for the month of April was accepted.

Alderman report for the month of April was accepted. Fines in the amount of $211.30 were remitted.

J. P. Court #7 report for the month of April was accepted. Fines in the amount of $4,609 were remitted.

Cash Receipts, General Fund, for the month of April was accepted.

Budget Report, General Fund, for the month of March was accepted.

Cash Receipts, Electric Revenue Fund, for the month of April was accepted.

Cash Receipts, Electric Improvement Fund, for the month of April was accepted.

City Manager report for the month of April was accepted.

SAFETY ADVISORY COMMITTEE

A written report of the Safety Advisory Committee meeting held on April 4, 1970 was presented by Chairman Hastings. On motion of Mr. Coyle, seconded by Mr. Walls, Council accepted the report as it was presented.

PARKS, PLAYGROUNDS & TREES COMMITTEE

A written report of the Parks, Playgrounds & Trees Committee meeting held on April 4, 1970 was presented by Chairman Hastings. On motion of Mr. Biggs, seconded by Mr. Coyle, Council accepted the report as presented.

PROJECT 45

Bids were taken on May 4, 1970 on project 45, the installation of water and sewer on the west side of U.S. Route 13 from the Towne Point Motel to the intersection of Liepsic Road and on South State Street from U.S. Route 13 to the Blue Coat Inn. Three (3) bids were received with Teal Construction Company being low bidder at $192,647.50. On motion of Mr. Hayes, seconded by Mr. Hastings, Council authorized the acceptance of the low bid and award of the contract to the low bidder, Teal Construction Company.

HIGHWAY AGREEMENT - HIGHWAY LIGHTING U.S. ROUTE 13

An agreement has been presented to the City of Dover by the State Highway Department concerning the lighting of U.S. Route 13. The highway department is about to install street lites on U.S. Route 13 from the vicinity of Delaware State College to the area just south of Court Street. The Highway Department has requested that upon installation of said lites, the City of Dover operate and maintain these lites. On motion of Mr. Coyle, seconded by Mr. Walls, Council authorized the signing of the above mentioned agreement.

DELAWARE STATE NEWS PROGRESS EDITION

The Delaware State News is printing its 9th Annual Progress Edition of September 18, 1970. They are at this time soliciting ads for this edition. On motion of Mr. Holpp, seconded by Mr. Coyle, Council authorized the purchase of a full page ad in the Progress Edition.

ERVIN VOSHELL TRAILER REQUEST

A request was received from Mr. Ervin Voshell requesting permission to place a house trailer on the property owned by Mr. Vernon Derickson, located on the west side of Saulsbury Road. Mr. Voshell has leased this land for farming and would use the trailer for a nightwatchman and/or laborer to help him prevent his crops and equipment from being tampered with. This request was originally presented to the Building Inspector, who at that time denied the request. On motion of Mr. Hayes, seconded by Mr. Legates, Council denied this request and asked the Building Inspector to so inform Mr. Voshell.

SULLIVAN REZONING

A public hearing was duly advertised for this time and place to consider the request to rezone the property located on the northwest corner of U.S. Route 13 and East Loockerman Street. This property is owned by Mr. Daniel Sullivan. Mayor Carroll declared the hearing opened. No one was present to speak for or against the rezoning. The Planning Commission recommended approval of this request, pending a reply from the State Highway Department as to the advisability of rezoning this land for this particular use. A letter was read that was received from the Traffic Division of the Highway Department where they stated that they would be inclined not to rezone this property, providing they had the say on same, due to the fact that this corner is a very bad traffic hazard, and in vue of the traffic that might be generated with the building of an office building on this property. The question was then presented that there might be deed restrictions on this property. There are deed restrictions on this property, but it was attempt of the owner to have a petition signed by everyone in the area that would not be against this rezoning. This petition was attached to this request. Mayor Carroll declared the hearing closed. On motion of Mr. Holpp, seconded by Mr. Hastings, a request to deny this petition was put to vote. This motion was defeated in the following manner: 3 ‘yes’, Messrs Biggs, Hastings and Holpp, and 4 ‘no’, Messrs Coyle, Hayes, Legates and Walls.

On motion of Mr. Legates, seconded by Mr. Coyle, Council tabled any action on this request and referred it to the City Solicitor, who will look into the Deed Restrictions and report back to Council. The vote on this motion of 6 ‘yes’ and 1 ‘no’, Mr. Holpp.

HOLIDAY INN PIER

A request was received from the Holiday Inn, requesting permission to build a thirty-five (35) pier on Silver Lake behind the new units being constructed by Holiday Inn. On motion of Mr. Hayes, seconded by Mr. Holpp, Council referred this request to the Parks, Playgrounds & Trees Committee.

SCHOOLVIEW DITCH

A letter was received from a resident in Schoolview complaining about a problem with a drainage ditch that runs behind their property, which is partially within the limits of the City and partially out. The State Highway Department has also been contacted and is making a study of the area and the drainage problem. On motion of Mr. Coyle, seconded by Mr. Hayes, The Council referred this request to the Utility Committee.

SALE OF BONDS

A resolution providing for the sale of $1,500,000 General Obligation Bonds of the City of Dover was considered by City Council. On motion of Mr. Hayes, seconded by Mr. Hastings, Council by a unanimous vote adopted the following resolution.

WHEREAS, at a referendum election held in the City of Dover on January 24, 1970, a majority of the qualified voters of said City voted for the issue of bonds of the City of Dover of the aggregate principal amount of $5,000,000 to finance the following purposes:

            (a) For the construction, extension and improvement of

                  sanitary sewers and sewer plants                                             $2,000,000

 

            (b) For construction, enlargement, improvement and extension        

                  of the water system of the City                                                      2,000,000

 

            (c) For the construction and addition to and reconstruction               

                  and renovation of the City Hall                                                     500,000

            (d) For the construction of building to be used by the City                

                  for garage and storage space                                                         350,000

            (e) For the improvement of Tarburton Park for use as a park

                  and recreational facility                                                                 150,000

and the City Council desires to issue at this time a portion of the bonds thereby authorized;

NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, as follows:

1. The City of Dover shall issue its negotiable bonds of the aggregate principal amount of $1,500,000 pursuant to section 50 of Chapter 158 of Volume 36 of the Laws of Delaware, as amended by Chapter 318 pf Volume 49 of the Laws of Delaware and by Chapter 112 of Volume 52 of the Laws of Delaware, in order to finance a part of the purposes described in the preamble to this resolution. Bonds shall be issued for each such purpose in the amounts hereinafter set forth as authorized at said election held on January 24, 1970, for each purpose hereinafter described respectively.

2. The bonds to be issued for the construction, extension and improvement of sanitary sewers and sewer plants shall be of the aggregate principal amount of $500,000 ans shall comprise an issue of bonds consisting of one hundred bonds of the denomination of $5,000 each, numbered from 1 to 100, inclusive, in the order of their maturity, maturing in annual installments on June 15 in each year as follows:, via.:

                  $15,000 in each of the years 1971 to 1975, inclusive

                  $25,000 in each of the years 1976 to 1985, inclusive; and

                  $35,000 in each of the years 1986 to 1990, Inclusive.

Each of said bonds shall be designated “Sanitary Sewer Bonds, Series of 1970".

3. The bonds to be issued for the construction, enlargement, improvement and extension of the water system of the City shall be of the aggregate principal amount of $500,000 and shall comprise an issue of bonds consisting of one hundred bonds of the denomination of $5,000 each, numbered from 1 to 100, inclusive, in the order of their maturity, maturing in annual installments on June 15 in each year as follows, viz.:

                  $10,000 in each of the years 1971 to 1975, inclusive;

                  $25,000 in each of the years 1976 to 1985, inclusive; and

                  $40,000 in each of the years 1986 to 1990, inclusive.

Each of said bonds shall be designated “Water System Bond, Series of 1970".

4. The bonds to be issued for the construction of a building to be used by the City for Garage and storage space in the aggregate principal amount of $350.000; and the bonds to be issued for the improvement of Tarburton Park for use as a park and recreational facility in the aggregate principal amount of $150,000, shall be issued as a single consolidated issue for the bonds in the aggregate principal amount of $500,000 and shall comprise an issue of bonds consisting of 100 bonds of the denomination of $5,000 each, numbered from 1 to 100, inclusive, in the order of their maturity, maturing in annual installments on June 15 in each year as follows:, viz:

                  $25,000 in each of the years 1971 to 1990, inclusive.

Each of said bonds shall be designated “Public Improvement Bond, Series of 1970".

5. Each of said bonds shall be dated June 15, 1970. Each of said bonds shall bear interest from its date until its maturity at a rate or rates which shall be determined upon the public sale of the bonds, and such installments shall be payable on December 15, 1970 and semi-annually thereafter on each June 15 and December 15. Both principal of and interest on said bonds shall be payable at the office of The Farmers Bank of the State of Delaware, in the City of Dover, Delaware, in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts.

6. Each of said bonds shall be a coupon bond, without privilege of registration. None of said bonds shall be redeemable prior to its stated maturity, without the consent of the holder thereof. Each of said bonds shall be signed by the Mayor of the City of Dover and by the Treasurer of said City and shall be sealed with the corporate seal of said City. Each of the interest coupons representing the interest payable on any of said bonds shall bear the facsimile signatures of the Mayor and Treasurer of said City.

7. The bonds, and the interest coupons representing the interest payable thereon, shall be in substantially the following form:

(Form of Bond)

No.                                                                                                                   No.

UNITED STATED OF AMERICA

STATE OF DELAWARE

COUNTY OF KENT

THE CITY OF DOVER

                                               BOND

SERIES OF 1970

$5,000                                                                                                                                      $5,000

The CITY OF DOVER (hereinafter referred to as “City”), a municipal corporation of the State of Delaware, hereby acknowledges itself indebted and for value received promises to pay to the bearer of this bond, on June 15, 19 , the principal sum of

 

                                    FIVE THOUSAND DOLLARS ($5,000)

and to pay interest on such sum from the date of this bond until it matures, at the rate of per centum ( %) per annum, payable on December 15, 1970 and thereafter semi-annually on June 15 and December 15, upon presentation and surrender, as they severally mature of the interest coupons therefor be annexed hereto. Both principal of and interest on this bond are payable at the office of The Farmers Bank of the State of Delaware, in Dover, Delaware, in any coin or currency of the United States of America which at the time if payment is legal tender for the payment of public and private debts.

                  (Paragraph to appear only in Sanitary Sewer System Bonds)

This bond is one of an authorized issue, the aggregate principal amount of which is $500,000 the bonds of which are of like tenor, except as to number and maturity, and has been duly advertised and issued pursuant to and in accordance with the provisions of Chapter 158 of Volume 36 of the Laws of Delaware and the acts amendatory thereof. The bonds of said issue have been approved by a majority of the votes cast at a referendum election held in said City on January 24, 1970, pursuant to and in accordance with said Act.

                  (Paragraph to appear only in Water System Bonds)

This bond is one of an authorized issue, the aggregate principal amount of which is $500,000 the bonds of which are of like tenor, except as to number and maturity, and has been duly authorized and issued pursuant to and in accordance with the provisions of Chapter 158 of Volume 36 of the Laws of Delaware, and the acts amendatory thereof. The bonds of said issue have been approved by a majority of the votes cast at a referendum election held in said City on January 24, 1970, pursuant to and in accordance with said Act.

                  (Paragraph to appear only in Public Improvement Bonds)

This bond is one of an authorized issue, the aggregate principal amount of which is $500,000 the bonds of which are of like tenor, except as to number and maturity, and has been duly authorized and issued pursuant to and in accordance with the provisions of Chapter 158 of Volume 36 of the Laws of Delaware, and the acts amendatory thereof. The bonds of said issue have been approved by a majority of votes cast at a referendum election held in said City on January 24, 1970, pursuant to an in accordance with said Act.

The faith and credit of the City are hereby irrevocable pledged for the punctual payment of the principal of and interest on this bond according to its terms.

It is hereby certified and recited that all conditions, acts and things required by the Constitution or statutes of the State of Delaware to exist, to have happened and to have been performed precedent to and in the issuance of this bond, exist, have happened and have been performed, and that the issue of bonds of which this is one, together with all other indebtedness of the City, is within every debt and other limit prescribed by such Constitution or statutes.

IN WITNESS WHEREOF, the City has caused this bond to be executed in its name and signed by its Mayor and its City Treasurer, and its corporate seal to be hereunto affixed, and the interest coupons hereto attached to be authenticated by the facsimile signatures of its Mayor and City Treasurer, and this bond to be dated as of June 15, 1970.

                                                                                                                                                  

                                                                                                                        (Mayor)

                                                                                                                                                  

                                                                                                                  (City Treasurer)

(Form of Coupon)

No.                                                                                                              $

THE CITY OF DOVER, a municipal corporation of the State of Delaware, will pay to the bearer of this coupon on the 15th day of December, 19 , the sum of

                                                June,

                                                  DOLLARS ($ )

at the office of The Farmers Bank of the State of Delaware, in Dover, Delaware, in any coin or currency of the United States of America which is then legal tender for the payment of public and private debts, being the interest then due on its Bond, Series of 1970, date of June 15, 1970, No. .

                                                                                                                                                  

                                                                                                                         Mayor

                                                                                                                                                  

                                                                                                                   City Treasurer

8. The Mayor and City Treasurer are hereby authorized and directed to cause said bonds to be prepared and to execute said bonds in accordance with their terms.

ADOPTED MAY 11, 1970

Council considered the resolution providing for the Notice of Sale of $1,500,000 General Obligation Bonds. On motion of Mr. Hayes, seconded by Mr. Hastings, Council by unanimous vote adopted the following resolution:

WHEREAS, the Mayor and Council of the City of Dover desires to make provisions for the sale of the $1,500,000 of bonds of The City of Dover hereinafter described;

NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, as follows:

1. The $1,500,000 of bonds dated June 15, 1970, which are to be issued pursuant to the resolution heretofore adopted by the Mayor and Council on May 11, 1970, and which are described in the Notice of Sale hereinafter set forth shall be sold at public sale pursuant to and in accordance with the following Notice of Sale:

NOTICE OF SALE

THE CITY OF DOVER, DELAWARE

                                    $500,000 Sanitary Sewer System Bonds, Series of 1970

                                    $500,000 Water System Bonds, Series of 1970

                                    $500,000 Public Improvement Bonds, Series of 1970

The City of Dover (herein after referred to as “City:), a municipal corporation of the State of Delaware, will receive sealed proposals for the purchase of bonds of the City hereinafter described. Such proposals will be received until 12:00 o’clock noon, Eastern Daylight Saving Time, on June 2, 1970, at which time all proposals received will be publicly opened and considered by the Mayor and Council of the City at a meeting to be held at such time at City Hall, in the City of Dover, Delaware. Each proposal submitted should be addressed to Jay R. Dougherty, City Clerk, at City Hall, Dover, Delaware, and should be enclosed in a sealed envelope marked “Proposal for Bonds.”

The bonds consist of the following three issues of bonds, viz.:

(1) $500,000 Sanitary Sewer System Bonds, Series of 1970, payable in annual installments on June 15 in each year as follows, viz: $15,000 in each of the years 1971 to 1975, inclusive; $25,000 in each of the years 1976 to 1985, inclusive; $35,000 in each of the years 1986 to 1990, inclusive.

(2) $500,000 Water System Bonds, Series of 1970, payable in annual installments on June 15 in each year as follows, viz.: $10,000 in each of the years of 1971 to 1975, inclusive; $25,000 in each of the years 1976 to 1985, inclusive; $40,000 in each of the years 1986 to 1990, inclusive.

(3) $500,000 Public Improvement Bonds, Series of 1970, payable in annual installments on June 15 in each year as follows; viz.: $25,000 in each of the years 1971 to 1990, inclusive.

The bonds will be dated June 15, 1970, and will be in the denomination of $5,000 each. Interest is payable semi-annually on December 15 and June 15. The bonds are coupon bonds, without privilege of registration and are payable at The Farmers Bank of the State of Delaware, Dover, Delaware.

No proposal for less than all of the bonds will be considered. Two rates may be named, but both must be a multiple of 1/8 or 1/20 of 1%, and the higher rate shall be no more than 1% above the lower rate. A repeated rate will constitute one of the two permitted rates. The bonds of each issue maturing in the same year shall bear the same rate of interest. The interest payable with respect to each bond on any one date will be evidenced by a single coupon. The price offered for the bonds must not be less than par and accrued interest. Unless all bids are rejected, the bonds of the three issues will be awarded to the bidder whose proposal for the bonds of the three issues results in the lowest net interest cost to the City, and such net interest cost will be determined by computing the aggregate amount of interest payable on the bonds of all three issues from their date to their respective maturities, and by deducting from such aggregate amount the premium, if any.

Each proposal must be accompanied by a certified or bank cashier’s check or checks for $30,000 drawn upon an incorporated bank or trust company and payable to the order of the City, to secure the City against any loss resulting from a failure of the bidder to comply with the terms of his proposal. The check or checks of the bidder whose proposal is accepted will be deposited by the City and Credited on the purchase price. The proceeds of the check or checks will be retained by the City as liquidated damages in case the bidder fails to accept the delivery of and pay for the bonds. Checks of unsuccessful bidders will be returned upon award of the bonds. The right to reject any or all of the proposals is hereby reserved.

The bonds will be delivered to the successful bidder on or about June 22, 1970, or as soon thereafter as the bonds can be made ready for delivery, at the City Treasurer’s Office, Dover, Delaware, or any other place designated by the City Treasurer with the consent of the purchaser.

The City will furnish without cost to the purchaser or purchasers, at the time of delivery of the bonds, (1) the opinion of Messrs. Reed, Hoyt, Washburn & McCarthy, of New York City, that the bonds are valid and legally binding obligations of the City and that the City is authorized and required by law to levy on all real property taxable by the City such ad valorem taxes as may be necessary to pay the bonds and the interest thereon without limitation as to rate or amount; and (2) certificates in form satisfactory to said attorneys evidencing the proper execution and delivery of the bonds and receipt of payment therefor, and (3) a certificate, dated as of the date of delivery of the bonds, and signed by the officers who signed the bonds, stating that no litigation is then pending or, to the knowledge of such officers, threatened to restrain or enjoin the issuance or delivery of the bonds or the levy or collection of taxes to pay the bonds or the interest thereon, or questioning the validity of the statutes or the proceedings under which the bonds are issued, and that neither the corporate existence or boundaries of the City, nor the title of any of the said officers to their respective offices, is being contested.

Dated: May 12, 1970                                                                         Jay R. Dougherty

                                                                                                            City Clerk

(2) The City Clerk is hereby directed to publish said Notice of Sale in the Delaware State News and in two newspapers of general circulation published in the City of Dover, and in The Daily Bond Buyer, a financial newspaper published in the City and State of New York, such publication, in each case, to be made not less than ten days prior to the date set for the receipt of sealed proposals.

ADOPTED MAY 11, 1970

ALFRED WATERS REQUEST