Delaware’s proposed 2027 Bond Bill
Delaware’s proposed 2027 Bond Bill has more funding for the Port of Wilmington Edgemoor expansion, but some GOP lawmakers are not happy about it.
The Bond Bill now includes an added $110 million to the Diamond State Port Corporation, a public private partnership that oversees the port.
The state is spending that money to help fill a gap in funding for the expansion project. Updated estimates this year pushed the cost closer to $670 million, leaving an $185 million gap. Port operator Enstructure and federal funding will also contribute to bridging that gap.
But GOP State Senator David Wilson wanted to know how the state promised that money for the project before Bond Bill meetings.
"When we look at the number, when you see $110 million that number just jumps out at you, and then I keep hearing that it was already committed," said Wilson.
Secretary of State Charuni Patibanda Sanchez responded that the Port Corporation worked with Meyer administration and legislative leadership on the plan.
"We understood from those discussions that there was significant interest and there was funding available, one time funding for this one time expense available as well. And so, based on those discussions, we were, we signed the JDA," said Patibanda Sanchez.
GOP State Rep. Mike Smith argued the state’s already invested significant money in the port’s development, but hasn’t seen results.
"I don't believe in throwing money into something that we're just going to throw big words at," said Smith. "We can keep saying those things, but we've thrown about roughly $300 million at it with no return on investment so far."
Patibanda Sanchez and some Democrats defended the merits of the investment, including the jobs it will create.
Patibanda Sanchez adds the state does not plan to seek additional funds for the port expansion project next year.
The Bond Bill also adds $25 million for the school construction, funding Certificates of Necessity applications, which allow districts to seek referendums for major projects and request state funds.
The state comptroller says Delaware’s unclaimed property special fund has a "significant amount” and money from this fund will pay for the port and school projects.
Operating budget gains House approval
Delaware’s $6.9 billion FY 2027 operating budget passes the House easily and heads to Gov. Matt Meyer.
Joint Finance Committee co chair,State Rep. Kim Williams, says the 6.3% increase over this year’s budget represents key investments. They include an increase of $72 million for post retirement funds, more than $128 million added to cover increases in statewide Medicaid services needs, and a total of $107 million going to the state’s purchase of care program.
But Republican State Rep. Charles Postles, who’s retiring, says while he sees an honest effort at strategic spending, he has concerns about future years after recent changes to state corporate law.
"A number of fortune 500 companies have left Delaware and some might say who cares. Capital investment, business and entrepreneurship do not go where they’re not welcome and do not stay where they’re not rewarded," said Postles.
Postles argues Delaware can’t afford to downplay the significance of this piece of its revenue as nearly a third of the budget’s funding comes from its corporate franchise.
Postles ultimately went not voting on the budget. 36 voted yes and three Republicans, State Reps. Collins, Hilovsky and Shupe, voted no.
SB 302 and 303: School Funding Formula
Two bills implementing Delaware’s new school funding formula clear the House and head to the governor.
The two bills– SB 302 and 302– work together to implement a new formula the Public Education Funding Commission developed over the last two years while allowing the commission to continue its work. They passed unanimously in the House.
House sponsor State Rep.Kim Williams says extending the PEFC allows it to monitor outcomes from the new funding formula. The Department of Education will provide technical support for the commission.
“And the commission must provide an annual report containing a summary of the review and recommendations for improvements," said Williams.
The new formula allocates additional dollars for vulnerable student groups. And the Joint Finance Committee allocated $100 million in one time funds to implement the new formula to ensure some districts don’t see a loss in revenue immediately.
But the PEFC still needs to address the state’s equalization formula. Work on this next step will start in the fall.
SB 292: Reentry tennant rights, The Grace Peterson Act
A bill adding requirements for terminating the lease of renters who are part of state funded reentry programs clears its last legislative hurdle.
House Sponsor Rep. Kendra Johnson said it also closes a loophole in current law that allows landlords who provide counseling services to claim exemption from the residential landlord tenant code.
Under the measure, landlords would be required to follow a discharge plan with residents in those programs before terminating their lease.
That means the landlord works with the tenant on a housing or shelter option for once the lease is finished. And the landlord should coordinate with the person’s next destination, if it’s possible.
The bill has bipartisan support, and is named after Grace Peterson, an 80 year old Seaford resident, who's headed efforts to move the bill forward.
House co-sponsor Rep. Daniel Short shared Peterson's story. He said in 2023, she was kidnapped and attacked by a 26-year-old who had been evicted from House of Mercy.
"He took a left hand turn and saw Grace getting into her car, and that's how that story started," Short said.
Her kidnapper drove Peterson 30 miles south into Wicomico County, tied her up, and threw her into the Wicomico River
"She actually bit through her bonding to be able to get to shore to get help," Short said. "And she has advocated for this change for three years."
Short and Johnson said if the House of Mercy had a most supportive plan in place for people going through reentry, Peterson ordeal probably would not have happened
The bill passed without opposition . It heads to Gov. Matt Meyer.
