New Castle County Executive Marcus Henry proposes a $370 million operating budget and a $84 million capital budget for the county in his first-ever budget presentation.
Henry’s proposals constitute a 5% increase from the current fiscal year on the operating side and close to a 150% increase on the capital side.
The first-year county executive says the county is already starting to see the consequences of federal funding cuts and will be looking at additional revenue sources to fill in the gaps.
“The state of our county is strong, but financial challenges lie ahead. Our tax stabilization reserve cannot support a growing deficit beyond 2026. With the suspension of earmarks by the federal government this year, we've already seen nearly $3 million in lost funding opportunities this fiscal year alone," Henry said at his budget presentation in front of the New Castle County (NCC) Council.
Last week, Henry signed an executive order that will lower the necessary threshold from $5000 to $2500 to take property tax evaders to sheriff’s sale to get ahead of delinquencies.
He is also working with County Council to increase fees on vacant properties.
With the county’s initial reassessment process completed, Henry is doubling-down on the county's promise to maintain property tax revenue neutrality for fiscal year 26.
This includes a reduction from 80 cents to 16 cents per $100 in value for residential properties in unincorporated areas of the county and a reduction from 80 cents to 24 cents per $100 in value for non-residential properties.
For properties in incorporated municipalities, rates will be reduced similarly and based on local services provided in each area.
"The tax rates maintain the county's commitment to revenue neutrality. The decreasing rates will allow us to collect the same projected revenues as we did before the reassessment increases," Henry said.
The new tax structure is a reflection of the majority of property owner's assessed values going up following the county's first comprehensive reassessment in over 40 years.
The company contracted to carry out the reassessment has previously explained under revenue neutrality, the chances of tax payments increasing is likely only if a property owner's reassessed value is higher than the average change of similar properties.
Capital budget highlights include funding a new paramedic station below the canal, as well as opening an Emergency Vehicle Operations Center to provide consistent vehicle training access for first responders.
Henry's administration continues to move forward with construction of the new Newark Free library, which will begin in Spring 2026 with an expected opening date of Spring 2027 — if state funding is approved, the county will also be looking into the feasibility of a public library in Glasgow.
Construction of a second turf field at Banning Park is expected to begin next month with various other improvements coming to Delcastle Park, Southern Park and Bechtel Park.
Two new miles of bike trail will also be constructed this Fall, connecting the County Government Center to the Jack Markell Trail.
Henry wrapped up his presentation by reinforcing his commitment to expanding opportunities for youth in the county.
"My administration will work hard to do more for our children. We will continue our focus on community intervention, youth employment programs and creating pipelines to high-demand jobs," Henry said. "Kids today deserve the opportunity to take advantage of our many county programs both indoors and outdoors."
Henry’s proposed tax structure, as well as his operating and capital budgets, will face final approval from NCC Council after a month of budget hearings in May.
