REGULAR MEETING
December 13, 1982
The Regular Meeting of Council was held on December 13, 1982 at 7:30 p.m. with Mayor Carroll presiding. Members present were Messrs. Richter, Tudor, Boaman, Hardcastle, Carey, Witt, Bonar and Shevock.
The invocation was given by the Reverend J.H. Williams, Council Chaplain.
AGENDA ADDITIONS/DELETIONS
Mr. Hardcastle requested an additional agenda item to discuss an offer by the Wilmington Trust Company bank that would deed the playlot located on the corner of West Loockerman and Slaughter Streets to the City of Dover. Council unanimously approved the addition.
ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF NOVEMBER 22, 1982
Mr. Boaman moved that the Regular Council Meeting minutes of November 22, 1982 be amended to indicate his negative vote concerning an ordinance amendment providing for Planning Commission members to be selected from each Council district. The motion was seconded by Mr. Carey and unanimously carried.
The Minutes of the Regular Council Meeting of November 22, 1982 were unanimously accepted as amended by motion of Mr. Bonar, seconded by Mr. Carey and bore the written approval of Mayor Carroll.
Mayor Carroll noted the presence of a Boy Scout group, headed by Mr. Murray, attending the meeting for educational purposes.
ANNUAL APPOINTMENTS - TAX ASSESSOR AND BUILDING INSPECTOR
Mr. Boaman moved for the appointment of Mr. Glenn McDowell as City Tax Assessor for the calendar year 1983, seconded by Mr. Hardcastle and carried by a unanimous roll call vote.
Mr. Boaman moved for the appointment of Mr. Jack T. Roe as Building Inspector for the calendar year 1983, seconded by Mr. Bonar and carried by a unanimous roll call vote.
DELIVERY OF NEW LADDER TRUCK - ROBBINS HOSE
Mayor Carroll requested that members of Council meet at the Robbins Hose Company immediately following adjournment for the purpose of photographs to be taken with the new ladder truck recently received.
LEGISLATIVE AND FINANCE COMMITTEE REPORT
The Legislative and Finance Committee met on December 8, 1982 at 7:30 p.m. with Chairman Boaman presiding.
Civilian Pension Board Recommendation - Reduction of Employee’s Contribution to Pension Plan - 2½%, Effective July 1, 1983
The committee considered a recommendation of the Civilian Pension Board that the 4% employee payroll contribution to the Pension Plan be reduced to 2½%, effective July 1, 1983.
Mr. Boaman noted that on October 12, 1982, Council modified the Civilian Pension Plan to include five changes in benefits as follows:
1. Change the final average earnings from five years to three years.
2. Permit reduced early retirement after age 55 with 10 years of service.
3. Permit unreduced early retirement after the earlier of (1) 25 years of service or (2) age 50 and completion of 20 years of service.
4. Provide vesting (payable at age 65) after ten years of service.
5. Extend death benefit coverage to participant of 10 years of service.
In addition to the above changes, the Plan was amended to require employee contributions of 4% of salary with all changes to be effective January 1, 1983.
Referring to the committee report, Mr. Boaman stated that a contribution of 2½% would amount to $70,130. The changes in the plan as outlined above would amount to $66,459.
The committee agreed that $3,671 excess over cost would be utilized for a cost of living adjustment to present retirees in the following manner: Employees retired for less than three (3) years - no increase; Employees retired for three (3) to fifteen (15) years - 5.7% increase; Employees retired for over fifteen (15) years - 10.6% increase
The committee recommended approval of an amendment to the Pension ordinance to reduce employee contributions to 2½% to become effective July 1, 1983, stipulating that an annual review of the plan be made to determine if a cost of living adjustment can be made to retirees.
Mr. Boaman moved for the recommendation of the committee with an additional stipulation that all changes in the Civilian Employee Pension Plan would become effective July 1, 1983. The motion was seconded by Mr. Carey.
It was Mr. Shevock’s opinion that the proposed changes would be confusing to employees who have submitted applications for retirement in the near future and suggested that Council rescind the ordinance as adopted on October 12, 1982 to afford time for the Pension Committee and Legislative and Finance Committee to present a full package of employee benefit changes for approval by Council.
By a roll call vote of six (6) yes, two (2) no (Mr. Tudor and Mr. Shevock) Council adopted the following ordinance:
BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
The Ordinance passed October 12, 1982 amending the General Employees Civilian Pension Plan is hereby amended as follows:
Section 2-196(a) regarding employee contributions is amended by changing the amount of the contribution from four (4) percent to two and one-half (2½) percent.
The effective date is established as July 1, 1983 for the Amendment.
ADOPTED: DECEMBER 13, 1982
It is noted that all civilian employee retirement benefits, including those adopted October 12, 1982 will now become effective July 1, 1983.
Referring to a letter outlining the proposals by th Civilian Pension Board from Mr. Douglas VanSant, Joseph Scott, and Luther Lucas, Mayor Carroll suggested that the letter become a matter of official record.
Mr. Boaman moved that the following letter be made a part of the official minutes, seconded by Mr. Carey and unanimous carried:
“The Mayor and Council
City of Dover
Dover, DE 19901
Gentlemen:
On Tuesday, October 12th, City Council approved amendments to the General Employee Pension Plan, changes which the employee members of the Civilian Pension Board have sought for some two years. We are grateful to Council for adopting what we consider improvements to our plan, and we extend our thanks.
There was, however, on amendment adopted which has caused a great deal of anguish among City employees. From the beginning of our discussions, and in particular in the area of contributions by employees, we have proposed that the contribution range be “between 2 and 3 percent” of pay. Council, though, passed an amendment setting the deduction at 4%.
On July 19, 1982, our actuarial consultant, Edward H. Friend and Company, presented to us cost estimates of plan revisions under consideration, including those adopted on October 12th. Their estimated cost for the approved revisions was $66,459. They also estimated dollars produced by certain levels of employee contribution. Based on the total payroll at that time, a 2½% contribution would produce $70,130, more than enough to pay for the package ($3,671 more). The proposals sent to Council, without the Board’s formal recommendation, was for a 4% contribution which would produce $112,208, or $45,749 more than necessary.
It is the feeling of the employees of The City of Dover that 4% is simply too much to pay for the revisions received. Four percent is an amount identical to the contribution of the City’s police officers, while our benefits are far less than those of the police plan. Four percent will impose a financial burden on many, especially the lower paid employee, and for those of us who expect to contribute for many years it will be more money paid in than we will ever get back. It is hardly, the, a good investment, and obviously not what we had in mind when proposing the changes.
The sentiment of the employees is that 2½% is acceptable, and relatively bearable and is what they were hoping the final number would be. It will pay for the changes, with a little over. Certainly these figures are estimates and could vary. But as we, and certain Councilmen have said, this is a “first step”. With that in mind, the Civilian Pension Board of Trustees, on Wednesday, November 3rd, voted, with one dissenting, to recommend that Council further amend the pension ordinance by setting the employee contribution at 2½%, and to make all the revisions effective as of July 1, 1983.
It is somewhat awkward to come back to Council just a month later, ut the proposed amendments are simple ones which would do wonders for employee morale while enabling all of us to work out technical details and become accustomed to the impending changes.
We can’t emphasize enough our appreciation for your adoption of the plan changes. It has been a trying two years during which we worked diligently to reach this point. A spirit of cooperation and understanding now exists that has been absent in the past, and we now look forward to our next steps in the years ahead to make these issues of even greater benefit to all concerned - - employer, and employee.
We, therefore, sincerely request your favorable response to the amendments presented to you now - - 2½% contribution, and July 1, 1983 implementation - - and will be available at your meeting to discuss these further with you, should you desire.
Respectfully,
Douglas A. VanSant
Joseph Scott
Luther Lucas
Employee members, Civilian Board of Trustees”
Police and Civilian Pension Plans - Investment Authority
During the committee meeting Councilman Shevock voiced the following opinion: “Since the City is responsible for funding of pension plans for payout to retirees, the final approval of the investment of monies should be by Council rather than by the Pension Board of Trustees.” Mr. Shevock made it clear that he was not attempting to take away the powers of the Board but since Council is responsible for maintaining a pension plan, he felt that they should have final authority on where and how those monies are invested.
Lt. Gray and Cpl. Mullaney disagreed with the City having sole responsibility for management of pension funds, feeling that a portion of this money belongs to employees, therefore enjoying the right for input into how monies are to be invested.
The committee recommended adoption of an ordinance that would give final investment authority of pension funds to Council.
Mr. Boaman moved that the ordinance stipulating that the Pension Board has full authority to invest pension funds be left as written, stipulating that future investments come as a recommendation from the Board with Council having final authority to approve said investments. The motion was seconded by Mr. Shevock and unanimously carried.
Huebner Farm Lease - Exercise Option of Extension - Francis Bergold
Mr. Boaman advised Council that the City has entered a one year lease with Francis Bergold on the City owned Huebner Farm with an option for a one year extension. Mr. Bergold has requested permission to exercise the extension option in accordance with the lease.
The committee recommended approval of Mr. Bergold’s request for a one year extension.
Mr. Boaman moved for approval of the committee recommendation, seconded by Mr. Bonar and unanimously carried.
Mr. Boaman moved for approval of the Legislative and Finance Committee Report as submitted, seconded by Mr. Bonar and unanimously carried.
EMPLOYEE PAY SCALE ADJUSTMENT
Electric Department
Mr. Bartolotta advised Council that he has been active in negotiations with the Electric Department employees under the terms of the present contract which calls for a review of the cost of living clauses sometime prior to January 1, 1983.
The employees have reached an agreement which was voted on and overwhelmingly accepted.
The agreement calls for an elimination of the cost of living clause which was pegged at 10¢ per hour and substitutes in its place a lump sum payment of $380 in January 1983.
The other part of the agreement calls for an across the board increase to the base wage scale, effective July 1, 1983.
The Electric employees have agreed to extend the collective bargaining agreement for six (6) months, establishing a termination date of June 30, 1984.
Mr. Bartolotta stated that the City gains two (2) basic provisions; the elimination of the cost of living clause; and an extension of six (6) months on the contract.
Questioned by Mr. Richter, Mr. Bartolotta stated that the benefits to the Electric Department as outlined above would cost the City approximately $29,500 the first year and $44,000 the second year.
An identical resolution for the Civilian employees would cost $51,700 the first year and $44,000 the second year, establishing a grand total of approximately $170,000.
Mr. Bartolotta stated that the 3% employee salary increase, based on the base salaries outlined in the Yarger Report, is not included in the budget but could be absorbed by each individual department. If staff finds any difficulty in meeting budget perimeters then proposals will be submitted for cuts or methods of additional revenue.
Mr. Hardcastle moved for adoption of the following resolution for the Electric Department employees, seconded by Mr. Bonar and by unanimous roll call vote, Council adopted the following resolution:
WHEREAS, on January 3, 1982, the City of Dover and the Association of Electric Department Employees jointly entered into an Agreement; and
WHEREAS, paragraph 4 of Exhibit A of said Agreement provided that the City of Dover would review its policy on cost-of-living adjustments prior to January 1, 1983; and
WHEREAS, the City of Dover reviewed the policy and offered to change the policy in turn for changes in the Agreement; and
WHEREAS, the City of Dover entered into negotiations concerning this matter with the Association of Electric Department Employees and consequently the attached amendment to the Agreement was ratified by the Association of Electric Department Employees; and
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF DOVER DOES HEREBY AGREE TO THE AMENDMENT AND DIRECT THE MAYOR AND CITY MANAGER TO SIGN SAME.
ADOPTED: DECEMBER 13, 1982
CIVILIAN PAY SCALE ADJUSTMENT
By motion of Mr. Bonar, seconded by Mr. Carey, Council adopted the following resolution:
WHEREAS, on January 3, 1982, the City of Dover and the Dover Organization of Employees jointly entered into an Agreement; and
WHEREAS, paragraph 4 of Exhibit A of said Agreement provided that the City of Dover would review its policy on cost-of-living adjustments prior to January 1, 1983; and
WHEREAS, the City of Dover reviewed the policy and offered to change the policy in turn for changes in the Agreement; and
WHEREAS, the City of Dover entered into negotiations concerning this matter with the Dover Organization of Employees and consequently the attached amendment to the Agreement was ratified by the Dover Organization of Employees; and
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF DOVER DOES HEREBY AGREE TO THE AMENDMENT AND DIRECT THE MAYOR AND CITY MANAGER TO SIGN SAME.
ADOPTED: DECEMBER 13, 1982
SUPERVISORY EMPLOYEES PAY SCALE ADJUSTMENT
By motion of Mr. Boaman, seconded by Mr. Carey, Council by unanimous roll call vote adopted the following resolution:
BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER, IN COUNCIL MET:
1. Lump Sum Payment - Effective January 1, 1983 a one time lump sum payment of $380 shall be made by the City of Dover in early January 1983 to all full-time non-association civilian City employees.
2. Cost-of-Living Policy - Effective December 31, 1982 the policy concerning cost-of-living raises as described on page 11 of the Employee Handbook dated July 11, 1976 and amended July 1, 1980 shall no longer apply to non-association civilian City employees
3. Effective July 1, 1983 the current City pay plan dated July 1, 1981 is hereby revoked and the attached pay plan is substituted in its place. The new pay plan provides for a 3% across the board pay increase in base pay.
ADOPTED: DECEMBER 13, 1982
CANCELLATION OF REGULAR COUNCIL MEETING - DECEMBER 27, 1982
Due to the close proximity to the Christmas holiday, Mr. Richter moved that the Regular Council Meeting of December 27, 1982 be cancelled. The motion was seconded by Mr. Shevock and unanimously carried.
DONATION OF LOT - CORNER OF WEST LOOCKERMAN STREET AND SLAUGHTER STREET - WILMINGTON TRUST COMPANY
Mr. Hardcastle referred to a letter from the Wilmington Trust Company bank, signed by Peter G. Weber, Assistant Vice President, extending an offer to donate a lot presently utilized by the City of Dover and leased by the bank for the purpose of recreation. The lot is located on the corner of West Loockerman Street and Slaughter Street.
Noting that the bank requests a decision prior to December 31, 1982, Mr. Hardcastle moved that the City accept the offer as submitted by Wilmington Trust Company. The motion was seconded by Mr. Carey and carried by a unanimous roll call vote.
DRUG EDUCATION AND PREVENTION PROGRAM - CAPITAL SCHOOL DISTRICT
In his opening remarks, Dr. Goate’ of the Capital School District, commended the City and State for their expeditious clearing of roads during the past snow storm, resulting in his decision to not close schools because of the inclement weather.
Dr. Goate’, along with Robert Neylan (a health educator of the school district) was present to discuss drug and alcohol use of young people in the school district. He expressed an opinion that the district feels that drug and alcohol use by young people is increasing. The School District is attempting to recognize that young people feel that drug and alcohol use is a part of their culture as substantiated by statistics. The district has made a commitment to combat this problem with the able assistance of Robert Neylan.
Mr. Neylan advised Council that the drug and alcohol use by young people is a community problem that exists in all school districts. He has approached the educational process to touch not only the young people but also the parents. He requested the support of City Council in communicating with citizens and civic organizations, making them aware of the importance of a drug/alcohol educational program.
Mr. Neylan stated that his educational process has very close ties with the City of Dover Police and the State of Delaware.
Questioned by Mr. Richter, Mr. Neylan stated that his request for support from the City of Dover does not mean that the District is asking for monetary assistance. The District is asking that the City of Dover convey to its citizens the importance of the program and that District officials are doing everything in their power to combat the problem of drug and alcohol use by young people.
Dr. Goate’ stated the importance of making the Chamber of Commerce, religious and civic organizations aware of the program in an effort to establish a task force to assist in combating drug and alcohol use by young people.
CORRESPONDENCE
Route #13 Congestion - Councilman Richter
In a letter to Mayor Carroll, Councilman Richter (also a member of the Department of Transportation, State of Delaware) advised Council of renewed interest by the State of Delaware to relieve the Route #13 traffic congestion.
Mr. Richter pointed out that the Department of Transportation has prepared a short presentation of the problem and a general proposal for solution.
Mr. Shevock moved to request that the Department of Transportation be present at the second meeting of Council in January to submit their views and possible solutions to the traffic congestion on Route #13. The motion was seconded by Mr. Hardcastle and unanimously carried.
C-5 Air Fleet Expansion - Dover Air Force Base - Robert W. O’Brien, Administrative Assistant - Kent County Levy Court
Council received a copy of correspondence from Robert W. O’Brien, Administrative Assistant for Kent County Levy Court to Secretary Weinberger, chairman of the President’s Economic Adjustment Committee, that requested availability of the resources of the office of Installations and Economic Adjustment. Mr. O’Brien’s letter spoke to the anticipated impact upon the City of Dover and Kent County due to the expansion of the C-5 air fleet and the concomitant expansion of the Dover Air Force Base.
Mr. O’Brien pointed out that the anticipated expansion of the Air Base will require over $200,000,000 of construction and will add approximately 3,500 civilian and military employees to the Air Base operation and requested support from Mr. Weinberger’s office to assure a smooth and orderly adjustment due to the proposed expansion.
Mr. Witt moved to acknowledge the correspondence, seconded by Mr. Carey and unanimously carried.
Meeting Adjourned at 8:30 P.M.
WILLIAM H. WILLIS
CITY CLERK
All orders, ordinances and resolutions adopted by City Council during their meeting of December 13, 1982, are hereby approved.
CRAWFORD J. CARROLL
MAYOR
December 20, 1982
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