Delaware Democratic and Republican lawmakers reach a compromise on the final day of the legislative session, passing two bills related to a Maryland offshore wind project, along with the fiscal year 2026 Bond Bill and Grants-in-Aid Bill.
Background
On Thursday, Senate Republicans announced they would not vote in favor of Delaware's Bond Bill — an allocation of $977 million for capital projects across the state — unless a compromise could be reached over a bill that would override a Sussex County Council decision that is holding up an offshore wind project.
The Bond Bill requires a three-fourths approval in both chambers — in the Senate, that means Democrats need at least one Republican to vote yes on the act and the House needs at least five Republicans.
While Senate Republicans didn't express any direct opposition to the $977 million allocation, it’s one of the only times the minority party has some sway when it comes to advancing their policy agenda.
This year’s bargaining chip involved a bill that will override a Sussex County Council decision to deny a permit needed by US Wind to proceed with a 114-turbine offshore Maryland wind project.
Sussex County Council voted four to one to deny US Wind the permit in December, despite Sussex County’s Planning and Zoning Commission recommending the application's approval.
The permit would allow US Wind to build an electrical substation on a parcel of land next to the decommissioned Indian River Power Plant to serve as the onshore power connection point for the proposed offshore wind farm.
US Wind is currently suing Sussex County Council over the permit denial, but State Sen. Stephanie Hansen (D-Middletown) stepped in and introduced a bill that would prohibit counties from denying "a conditional use permit to any electrical substation, along with any directly related project infrastructure" under four specific conditions.
Those conditions, such as the proposed substation supports the operation of a proposed renewable energy generation project of 250 MW or greater, currently only apply to US Wind's proposed Maryland offshore wind project.
The bill takes effect retroactively, ensuring it applies to the specific permit sought by US Wind.
During the bill's debate throughout the legislative process, Republicans repeatedly expressed frustration with the bill exercising governmental overreach by reversing a lawfully made decision by Sussex County Council.
State Sen. Republican Whip Brian Pettyjohn (R-Georgetown) told Delaware Public Media Thursday that making sure the bill didn't advance this year is his caucuses "highest priority," particularly in wake of the case being taken up by the Delaware Superior Court.
Compromise
In an effort to appease Senate Republicans, State Rep. Claire Snyder-Hall (D-Rehoboth Beach) introduced an amendment to the bill that would sunset its language on Jan 1, 2027.
This would have ensured US Wind could proceed with its proposed wind project, but any specific conditional use permits not granted before Jan 1, 2027 would revert back to the authority of County Council.
Despite this change, Senate Republicans remained steadfast in their concerns over the bill revoking local control and interfering with the judicial process.
"One of the things we've just been asking is, let's pump the brakes, guys. Because this case is currently in front of our Superior Court. They're hearing— they've gotten all of the arguments now. I'm not exactly sure what the court schedule is on this, but I can guarantee you that we're going to get an answer from the court before they can put a first cable into the ground, sink the first piling out in the Atlantic — years before they're going to be able to do that," Sen. Pettyjohn argued.
But Sen. Majority Leader Bryan Townsend (D-Newark) insisted County Council's decision is not likely to hold up in court and that time is of the essence on moving the offshore wind project along.
"We are not trying to disrespect local control. What we're trying to say on this project, through plenty of private conversations with people who have acknowledged that the decision of County Council is perhaps not one that will be legally defensible, that we then therefore see this as an initiative worthy of advancing," Sen. Townsend said. "This [bill] is for a project that we know through private conversations and a whole lot of discussion resulted from a legally dubious decision of County Council, and I'm not saying that to criticize them with regard to making that decision — I'm going to be critical of others then who have to step up."
The bill ultimately passed with no Republican support — following the vote, Sen. Pettyjohn told Delaware Public Media he still did not intend to direct his caucus to vote yes on the Bond Bill.
While the Senate was in recess, Gov. Matt Meyer swiftly signed Senate Bill 159 into law.
"It's very important to our country's future and our community's future that we plow ahead in spite of opposition, and we get this thing done and get it done quickly and safely to provide sustainable power to Delawareans," Gov. Matt Meyer said during the bill's signing, thanking the sponsors of the bill for working hard to pass it, noting "interesting negotiations" and "unrelated bills being held up."
But hours later, a new compromise was reached by Senate lawmakers.
The bipartisan Senate Bill 199 was introduced on the Senate floor, which ensures the bill will not take effect until January 31, 2026 and removes the 2027 sunset provision.
The new changes will give the court enough time to rule on the permit denial, and it also give the legislature a month to introduce any additional legislation related to the project when they reconvene in January.
The bill passed unanimously in the Senate and House with no discussion.
Gov. Meyer promptly signed SB 199 into law.
All three budget bills are signed into law by Gov. Matt Meyer
Following the passage of SB 199, Senate Republicans relinquished the necessary votes to pass the fiscal year 26 Bond Bill.
Both chambers also passed the Grants-In-Aid bill Monday, which allocates over $98 million to various nonprofit organizations throughout the First State.
Gov. Meyer signed all three budget bills, including a $6.58 billion operating budget, Tuesday morning at 1:30 a.m.
“Thank you everyone for your hard work. This certainly leads Delaware forward — a lot of exciting things in here that Delawareans have to look forward to, and [I] look forward to continued work, so thank you very much," Gov. Meyer said during the singing ceremony.
He also signed a one-time $37.6 million supplemental budget, which includes $3 million for teacher-driven projects — allowing teachers to request funding for classroom needs as they see fit, $2 million to support victims’ services agencies who have seen reductions in federal funding and $2 million to assist education agencies with disciplinary needs.
Gov. Meyer’s approval of the three budget bills mark the end of the legislative session until lawmakers reconvene in January, although the possibility of a special session in the fall has been floated by Democratic leadership.
