Legislative Update, June 12, 2023
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The General Assembly is in session. The House and Senate will meet on Tuesday, Wednesday and Thursday of the coming week. Please note that committee hearings are also being held on Tuesdays as well as the long-standing practice of holding hearings on Wednesdays. As of this writing, 10 legislative days remain, including June 30, which occurs on a Friday this year.
House & Senate Hearing Schedule
Recently Introduced Legislation
House Ready List (Out of Committee/awaiting floor consideration.)
Senate Ready List (Out of Committee/awaiting floor consideration.)
Links to Sections in Update
Update Items
Legislation of Interest & Concern
County/Municipal Proposals of Interest & Concern
DRAFT Legislation Pending Introduction
Pending Regulations
Bills Signed/Enacted
Defeated/Tabled Bills
Update Items
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Offshore Wind Energy Legislation Introduced and Pending Before Senate Committee
On Thursday, June 8, Senator Stephanie Hansen (D-Townsend, SD 10), who chairs the Senate Environment, Energy & Transportation Committee, introduced SB 170, legislation which would, according to its synopsis, “[direct] the Department of Natural Resources and Environmental Control to work with PJM Interconnection, LLC to study the transmission impacts of offshore wind development, to work with neighboring states on offshore wind transmission, and to study and report back to the Governor and the General Assembly on a process for procuring offshore wind power.” The legislation will be heard in committee on Wednesday, June 14 at 2:00 p.m. in a committee meeting held in a virtual format [meeting link].
“Delaware Personal Privacy Act” Passes House: HB 154 (Griffith), on Thursday, June 8, HB 154 as amended by HA 1 and HA 4 passed the House. The pertinent costs to the state to administer the Act have been approved by the Joint Finance Committee. The bill is now assigned to the Senate Banking, Business, Insurance & Technology Committee where it awaits consideration. In the course of discussing the bill with the sponsor and the Department of Justice, the NCC Chamber provided detailed input, after consulting with members and subject matter experts. The sponsor has worked to engage in dialogue with business stakeholders and consider input and concerns, for which the NCC Chamber is appreciative. For more information, contact Joe Fitzgerald at fitzgeraldj@ncccc.com.
“Climate Change Solutions Act of 2023” passes the House with amendment: HB 99 as amended by House Amendment 1, sponsored by Representative Debra Heffernan (D-Bellefonte) and Senator Stephanie Hansen (D-Townsend) passed the House on Tuesday, June 6. The NCC Chamber of Commerce, in concurrence with our colleagues at the Delaware State Chamber of Commerce, led a working group effort to provide recommendations and amending language to the sponsors and the administration, based on member input. The legislation as amended is a substantial improvement on Senate Bill 305 as amended by Senate Amendment 1 (151st G.A.), which the NCC Chamber opposed last year. The bill has been delivered to the Senate and has been assigned to the Senate Environment, Energy & Transportation Committee. The NCC Chamber led a working group in concurrence with the State Chamber. The NCC Chamber thanks the Working Group for their efforts and input during the past year. We also thank the sponsors (Representative Debra Heffernan and Senator Stephanie Hansen for their openness to dialogue, as well as the Governor’s Office and executive branch staff, and other stakeholders. The Chamber will continue to monitor the progress of this legislation in the Senate.
Final FY 2023 Meeting of the Delaware Economic & Financial Advisory Council scheduled for Friday June 16, 10:30 a.m. – 12:00 p.m. The final FY 2023 meeting of the Delaware Economic & Financial Advisory Council will be on Friday, June 16, 10:30 a.m. – 12:30 p.m. As things currently stand, there is a nearly $1 billion structural surplus.
At the Monday, May 15th meeting of the Delaware Economic & Financial Advisory Council, the panel forecast an additional $12 million in revenue relative to the March forecasts. That places the current structural surplus at $963.5 million (revenue available beyond appropriations set forth in the Governor’s Recommended Budget).
The FY 2024 Governor’s recommended operating budget came in at $5.482 billion. The recommended capital budget totaled $1.289 billion, and $59.8 billion was the recommended total for Grants-in-Aid (an independent budget bill used as a vehicle to provide grants to nonprofit organizations). During the coming mark-up break, the Joint Finance Committee will meet to cast the votes necessary to assemble the final operating budget bill for consideration by the House and Senate. Fiscal Year 2024 begins on July 1.
Another “Ready-in-6” initiative goes to the Governor’s Desk
HB 104, a amended by HA 1 sponsored by Representative Bill Bush (D-Dover), passed the Senate on Tuesday, June 6 by a vote of 18-3. The bill now awaits action by the Governor. The Chamber thanks Representative Bill Bush (D-SD 29), for his leadership on this and other Ready-in-6 initiatives, as well as Senator Jack Walsh (D-SD 9), Senator Spiros Mantzavinos (D-SD 7), Representative Sherry Dorsey Walker and their colleagues who supported and co-sponsored the legislation.
Bill Synopsis: The state’s pre-application process for land use process, known as PLUS, was created 20 years ago and has served to increase coordination among state and local agencies. In doing so, it has fulfilled its intent of providing predictability and consistency for the development community, especially in the area of major projects. Given that success, this bill assists in expediting the process for economic development projects in the State of Delaware with some exemptions from the PLUS process. A project located in Investment Level 1 or 2 under the Strategies for State Policies and Spending that is consistent with local zoning and any local comprehensive plan that will create full-time jobs is exempt from the pre-application process unless required by the local government or requested by the applicant. Amendment Synopsis: This Amendment deletes the phrase “or otherwise” and replaces it with “or by ordinance” and deletes the phrase “or where an applicant voluntarily requests to participate under subsection (b) of this section” since it is duplicative of what is contained in subsection (b) of this section. NCC Chamber Position: Support. As is the case with HB 102, this bill is part of the Ready-in-6 Agenda. The bill is currently on the Senate Ready List and awaiting floor consideration. The NCC Chamber testified in support of this legislation before the committee.
HB 101 and HB 103 both of which are also Ready-in-6 initiatives sponsored by Rep. Bush, and supported by the NCC Chamber, a member of the Ready-in-6 Coalition, remain in the House Economic Development, Banking, Insurance & Commerce Committee.
NCC Chamber Opposes Income Tax Increase in Testimony before House Revenue & Finance Committee
On Wednesday, May 17, the NCC Chamber testified before the House Revenue & Finance Committee in opposition to HB 128 (Baumbach) legislation which would add a new top-tier tax bracket at $100,000 or more, at a rate of 6.9% versus the 6.6% at which that income is currently taxed and amend the current tax bracket scheme as follows:
0% of taxable income less than $2,000. [No Change in %]
1.9% of taxable income in excess of $2,000, but not in excess of $5,000 [0.3% reduction versus current]
3.9% of taxable income in excess of $5,000, but not in excess of $10,000. [No Change in %]
4.8% of taxable income in excess of $10,000, but not in excess of $25,000 [expands bracket from a max of $20,000 to a max of $25,000 and eliminates current bracket of $20,000-$25,000 which is currently taxed at a rate of 5.2%, so a reduction of 0.4% for income between $20,000 and $25.000]
5.55% of taxable income in excess of $25,000, but not in excess of $60,000 [No Change in %]
6.6% of taxable income in excess of $60,000, but not in excess of $100,000 [caps current top bracket at $100,000 but retains the existing rate under that amount within the bracket]
6.9% of taxable income in excess of $100,000 [creates new bracket at higher rate a 0.3 percent increase on income which would fall within the new top tier]
On behalf of the NCC Chamber, Joe Fitzgerald testified in opposition to the bill before the committee and noted that given the current surplus and the balances in the budget smoothing and “Rainy Day Fund” accounts, a tax increase is unnecessary. Fitzgerald also noted that the NCC Chamber does not oppose a decrease in taxes within lower brackets. Note:
- There is a current structural surplus of $963.5 million,
- a current balance of $402.6 million in a “budget smoothing” Budget Stabilization Fund to which the state will likely be able to add an additional $511.3 millionfrom a current unencumbered funds for a FY 2024 total of $918.9 million; and
- a current balance in the “Rainy Day Fund”/Budget Reserve Account of $326 million.
Tax increases under such conditions are unnecessary, take money out of circulation in the economy, and send the wrong message. Deputy Secretary of Finance Rebecca Goldsmith also testified and stated the Carney Administration’s opposition to the bill. The bill was released from committee and is on the House Ready List.
New Castle County Council Committee Discusses DRAFT Zero Net Energy Residential Construction Proposal
On Tuesday, June 6, the New Castle County Council Land Use Committee held a discussion on a DRAFT ordinance designed to implement building code requirements set forth in the International Energy Conservation Code 2021 update concerning zero net energy capable residential and commercial development, as well as certain requirements regarding electric vehicle charging infrastructure for residential construction. As the basis for pursuing this legislation at this time, Councilwoman Dee Durham cites the language set forth in state law in 16 Del C 7602(c):
(c) The Delaware Energy Office, or its successor, in consultation with the Green Building Council of the Home Builders Association of Delaware, shall establish programs to promote the construction of zero net energy homes. A “zero net energy home” or “zero net energy building” is defined as a residence or commercial building that, through the use of energy efficient construction, lighting, appliances and on-site renewable energy generation, results in zero net energy consumption from the utility provider. Therefore, a net zero energy capable home must be energy efficient enough that if the home or building owner chooses to add on-site generation, net zero energy consumption could be achieved. As of December 31, 2025, all new residential building construction in the State of Delaware shall be zero net energy capable. As of December 31, 2030, all new commercial building construction must also be zero net energy capable.
The Chamber is seeking clarification on the meaning of the language in the code section cited above. We are also studying and gathering input on the potential implications of the requirements in the statute, as well as the potential implications of the DRAFT ordinance. The meaning of net “zero energy capable” in practical application will be of particular importance. The legislation which codified the above language was enacted in 2010. For more information, contact Joe Fitzgerald at fitzgeraldj@ncccc.com.
Legislation & Proposed Regulation of Interest and Concern as of Friday, June 9, 2023
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House Bills
HB 8 w/ HA 1 (Osienski): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO CLEAN CONSTRUCTION PREFERENCES FOR PUBLIC WORKS. Synopsis: This Act directs state agencies to collaborate on the development and implementation of “clean construction preferences” that will allow for the incorporation and consideration of sustainability and carbon impact data in the award of public works contracts Status: Released from House Energy & Natural Resources Committee, on House Ready List. Amendment Synopsis: This amendment clarifies that the “Director of the Office” references the Director of OMB. It also requires the committee to consult with representatives/experts from the contracting and material industry in the development of the preferences and in any annual reevaluation and updates to the clean construction preferences. [Amendment Status: Placed with Bill, not a part of the bill at this point, floor vote required on amendment.]. NCC Chamber Position: Under Review
HB 9 (Griffith): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE STATEWIDE FLEET. Synopsis: his Act requires that all passenger vehicles and light duty vehicles owned and operated by the State be zero emission vehicles by 2040 by requiring increasing volumes of zero emission vehicles every few years. The Office of Management and Budget shall be authorized to grant exemptions to these requirements. Law enforcement vehicles and vessels of State agency law-enforcement personnel; vehicles owned by the Department of Education, school districts, and charter schools; and designated take home vehicles shall be exempt from these requirements as well. Status: Released from House Energy & Natural Resources Committee and assigned to House Appropriations Committee. Position: Under Review
HB 11 w/ HA 1 (Heffernan): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO COUNTY BUILDING CODES.. Synopsis: Starting in 2025, new commercial buildings with a foundation footprint of 50,000 square feet or greater would need to have a roof that supports solar infrastructure. Status Released from House Energy & Natural Resources Committee on June 7. On House Agenda for Tuesday, June 13 NCC Chamber Position: Under Review
HB 12 (Phillips): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO ELECTRIC VEHICLES. Synopsis: The codifying of the Clean Vehicle Rebate program the Department of Natural Resources and Environmental Control has offered since 2014. It incentivizes the purchase of electric and hybrid vehicles, allowing up to a $2,500 rebate for electric vehicles and a maximum of $1,000 for hybrid vehicles that retail up to $60,000. Status: Status In House Energy & Natural Resources Committee. Scheduled for committee consideration on Tuesday, June 13 at 11:00 a.m.. NCC Chamber Position: Under Review
HB 13 (Phillips): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO ELECTRIC VEHICLES. Synopsis: This Act creates an Electric Vehicle Rebate Program to incentivize the purchase and lease of new and used electric vehicles by Delaware residents. All-electric vehicles shall receive a rebate of no more than $2,500 and hybrid vehicles shall receive a rebate of no more than $1,000. The Department of Natural Resources and Environmental Control shall develop standards, forms, and procedures necessary to implement this program. This program will be terminated if either of the following occurs and notice is given to the Registrar of Regulations and the General Assembly: (1) Available funds for the program will be exhausted within the following year; or (2) It is determined that the median cost of electric vehicles is comparable with the median cost of similar internal combustion engine vehicles. Status: Status In House Energy & Natural Resources Committee. NCC Chamber Position: Under Review
HB 36 (Bush): AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX. Synopsis: This Act decreases by 1% the rate of the realty transfer tax to be received by the State, thereby returning it to the rate that was applicable prior to August 1,2017. The Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. This Act will apply to documents recorded and permits applied for after the effective date of the Act. Status: Released from House Revenue & Finance Committee 1/24/23 then assigned to House Appropriations Committee NCC Chamber Position: Support
HB 40 w/ HA 1(Briggs-King): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO GRANTS-IN-AID. Synopsis: This bill creates the Grants-In-Aid Committee. The Committee is a joint committee of the Senate and House of Representatives. The purpose of the Committee is to view applications for grants-in-aid and to develop and recommend to the Joint Finance Committee the grants-in-aid appropriations bill. Status: Passed House, assigned to Senate Executive Committee. Amendment Synopsis: This amendment gives direction to the Controller General's Office to develop procedures for the committee to operate under to be submitted by February 1, 2024. [Amendment Status: Passed House; and now a part of the bill.] NCC Chamber Position: Monitoring
HB 41 w/ HA 1 (Briggs-King): AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO THE DIGITAL RIGHT TO REPAIR ACT. Synopsis: This bill creates the Delaware Digital Right to Repair Act. Currently when an electronic product such as a phone or electronic game breaks, it is only allowed to be repaired by the manufacturer. Parts are not available whether you are a consumer or a local repair shop. This act requires the manufacturer to make parts, documentation, tools, and updates available on fair and reasonable terms. Status: On House Ready List following release from House Economic Development, Banking, Insurance & Commerce Committee on March 7, amendment (HA 1) introduced by sponsor and placed with the bill, note: an amendment can be introduced prior to committee or floor consideration. However, for it to become a part of the bill, the amendment would need to pass a vote during floor consideration by the whole House. Amendment Synopsis: This amendment inserts language excluding motor vehicle manufacturers, manufacturers of motor vehicle equipment, and motor vehicle dealers from the bill. [Amendment Status: Placed with Bill/“PWB”] NCC Chamber Position: Gathering Input/Bill Under Review
HS 1 to HB 55 (Lynn): AN ACT TO AMEND TITLE 6 AND TITLE 31 OF THE DELAWARE CODE RELATING TO INDIVIDUALS WHO ARE HOMELESS. This Act is the Bill of Rights for Individuals Experiencing Homelessness to ensure that all individuals, regardless of housing status, have equal opportunity to live in decent, safe, sanitary, and healthful accommodations and enjoy equality of opportunities. To that end, this Act sets forth the rights of individuals experiencing homelessness and creates a process by which the State Human and Civil Rights Commission and the Division of Human Relations may accept and investigate complaints of discriminatory treatment, attempt conciliation, and refer enforcement actions to the Department of Justice where necessary. This Substitute differs from the original House Bill No. 55 in that it expands the definition of “individuals experiencing homelessness” to include those who may be staying with different friends or family without a permanent home and it eliminates a reference to voting rights, since such rights are addressed elsewhere in the Code. Status: House Judiciary Committee NCC Chamber Position: Gathering Input/Bill Under Review
HS 1 for HB 60 (Romer): AN ACT TO AMEND TITLES 18, 29, AND 31 RELATING TO BREAST CANCER SCREENING AND DIAGNOSTIC PROCEDURES. Synopsis: To prevent Delawareans from facing exorbitant costs for potentially life-saving screenings and follow-up tests, and to allow providers to use clinical judgement in the use of breast cancer examination tools based on established national standards, this Act requires that all insurance policies issued or renewed in this State include coverage of supplemental and diagnostic breast examinations on terms that are at least as favorable as the coverage of annual screening mammograms. The Act covers all group, blanket, and individual health insurance policies (except specified accident, specified disease, hospital indemnity, Medicare supplement, long-term care or other limited benefit health insurance policies) as well as the State employee healthcare plan and Medicaid. This substitute bill differs from the original bill in that it makes technical corrections, excludes certain health, and adds to the definition of breast MRI.. Status: Released from House Appropriations on June 6. On House Ready List. NCC Chamber Position: Monitoring
HB 89 (Baumbach): AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE AND CHAPTER 118 OF VOLUME 83 OF THE LAWS OF DELAWARE RELATING TO PERSONAL INCOME TAXES. Synopsis: Section 1 of this Act increases the standard deduction for personal income tax purposes of resident individuals and spouses of this State for tax years beginning after December 31, 2023. Section 3 of this Act increases the monetary filing thresholds resulting from the increases the standard deduction under Section 1. Sections 2 and 4 of this Act increase the refundable earned income tax credit to 7.5% of the corresponding federal earned income tax credit for tax years beginning on or after January 1, 2023, and clarify that a previously enacted refundable earned income tax credit of 4.5% of the corresponding federal earned income tax credit took effect for tax years beginning on or after January 1, 2021.Status: Assigned to On Senate Ready List NCC Chamber Position: Under review.
HB 90 (Williams): AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO MEDICAL DEBT. Synopsis: This Act requires large health-care facilities to provide information to uninsured patients regarding eligibility and the application process for medical assistance. Information must be provided at the time of service or prior to discharge, and again with each billing statement. When patients receive emergency care, information must be provided within 5 days of discharge. This Act becomes effective 1 year from the date of its enactment or when final regulations are adopted by the Secretary, whichever occurs first. Status: Assigned to House Economic Development, Banking, Insurance & Commerce Committee NCC Chamber Position: Under review.
HB 91 w/ HA 1(Bush): AN ACT TO AMEND TITLE 11 OF THE DELAWARE CODE RELATING TO OFFENSES INVOLVING PROPERTY. Synopsis: This Act creates a new offense of Aggravated Criminal Mischief with enhanced penalties (class D felony) applicable when an individual knowingly damages or tampers with critical utility infrastructure intending to disrupt utility services. In recent years, the U.S. Department of Homeland Security (DHS) and the FBI have issued repeated warnings about domestic terrorists and extremist groups targeting critical utility infrastructure. Bulletins issued through DHS’ National Terrorism Advisory System in 2022 warned of a heightened threat environment based, in part, on “continued calls for violence directed at U.S. critical infrastructure.” Physical and computerized attacks on electric utility equipment have reached a 10-year high in 2022. Recent attacks in Washington and North Carolina have caused substantial outages and damage to the power grids in both states. Status: Released by Senate Judiciary Committee and on Senate Ready List. Chamber Position: Support
HB 97 (Gray): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO THE DELAWARE CONTRACTOR REGISTRATION ACT AND DECREASING THE CONTRACTOR REGISTRATION FEE FOR CERTAIN CONTRACTOR Synopsis: This Act decreases the Contractor Registration Fee for contractors who do not have a state contract and have 3 or less employees. This Act is to become effective July 1, 2024. Status: Assigned to House Labor Committee Chamber Position: Support
HS 1 for HB 98 (Williams): AN ACT TO AMEND TITLES 7 AND 29 OF THE DELAWARE CODE RELATING TO NOTICE REQUIREMENTS FOR DNREC PERMITS. Synopsis: This Act creates certain uniform, minimum requirements for public notice related to permits and permit renewals issued by the Department of Natural Resources and Environmental Control. In particular, the notice must include instructions for electronic submission of public comment or request for hearing, the permit application to which the notice applies must be available electronically and a link to a page where the application may be accessed electronically shall be provided in the text of the notice, a copy of the notice shall be posted on the Department’s website in addition to whatever other means of delivery is required for the notice, and elected officials whose district includes the location of the permitted activity must be individually notified by e-mail. Where the application materials are too voluminous to post online the Department may provide instructions for alternative access. Conforming and technical changes are made to other parts of the Code that deal directly with public notice of permit applications. The Act is effective 180 days after its enactment. Status: Released from House Natural Resources Committee on June 7. On House Ready List. Chamber Position: Under Review
HB 99 w/ HA 1 (Heffernan): AN ACT TO AMEND TITLES 7 AND 29 OF THE DELAWARE CODE RELATING TO CLIMATE CHANGE. Synopsis: This Act, known as the Delaware Climate Change Solutions Act of 2023, follows the issuance of Delaware’s Climate Action Plan in 2021, and establishes a statutory target of greenhouse gas emissions reductions over the medium and long term to mitigate the adverse effects of climate change due to anthropogenic greenhouse gas emissions on the State. The Act establishes a process of regular updates to the Climate Action Plan to serve as the framework to achieve the targeted emissions reductions and develop resilience strategies for the State, creates Climate Change Officers in certain Key Cabinet-Level Departments who will assist DNREC in the ongoing implementation of the Climate Action Plan, requires State agencies to consider climate change in decision-making, rulemaking, and procurement, and requires an Implementation Report every 2 years on the progress of the State towards meeting the statutory targets. House Amendment 1 Synopsis: This Amendment does all of the following: (1) Adjusts a “Whereas” clause for additional considerations to meet the State's climate goals; (2) Adjusts the timing of when DNREC would promulgate offset regulations; (3) Renames the Scientific Committee on Climate Scenarios to the Technical Climate Advisors; (4) Adjusts the list of recommendations by the Department in the Climate Action Plan to include offsets; (5) Requires that the names of the individuals who are Technical Climate Advisors be publicly posted at all times; (6) Adjusts to whom the Climate Action Plan and Climate Action Plan implementation reports are to be sent. Status: Assigned to Senate Environment, Energy & Transportation Committee. NCC Chamber Position: Supported HA 1, which became a part of the bill during House consideration, which brings the NCC Chamber to a position of Monitoring on the bill, in its current form, in the Senate.
HB 101 (Bush): AN ACT TO AMEND TITLES 7 AND 17 OF THE DELAWARE CODE RELATING TO EXPEDITED REVIEW OF DEVELOPMENT-RELATED PERMIT APPLICATIONS. Synopsis: This Act directs DelDOT and DNREC to develop a program to allow for the expedited review of entrance plans and stormwater and sediment plans associated with new development. Under this process a consultant pre-approved by DelDOT and/or DNREC would conduct the review and the costs would be paid directly by the developer. The state agencies are charged with developing policies and procedures to protect against potential conflicts of interest in the use of private consultants. Status: Assigned to House Economic Development, Banking, Insurance & Commerce Committee Chamber Position: Support
HB 102 (Bush): AN ACT TO AMEND TITLE 17 OF THE DELAWARE CODE RELATING TO ENTRANCE PERMITS. Synopsis: This Act expedites the issuance of a temporary entrance permit for commercial and economic development projects. Status: Passed House, assigned to Senate Banking, Business, Insurance & Technology Committee Note: Passed the Senate on May 9, Awaiting Action by the Governor Chamber Position: Support
HB 103 (Bush) AN ACT TO AMEND TITLE 17 OF THE DELAWARE CODE RELATING TO TRAFFIC IMPACTS OF DEVELOPMENT. Synopsis: Transportation infrastructure is critical to the safe and efficient movement of people as well as goods and services throughout the State. The Delaware Strategies and Spending identifies various investment levels to help prioritize State infrastructure funding, with investment levels 1 and 2 representing the areas of highest priority. However, there are many transportation facilities within these areas which do not meet the current standards and rely on development projects to construct improvements resulting in unpredictable costs and fragmented infrastructure. This act creates a transportation impact fee for areas within state strategies and spending levels 1 and 2 that are not currently within an approved Transportation Improvement District. The impact fee ensures that development contributes a reasonable, responsible share of the transportation impact to fund off-site improvements including but not limited to bringing substandard roads to current standards, improving pedestrian facilities, and upgrading deficient intersections while allowing the Department of Transportation to implement the improvements in a more cohesive way. The fees are to be utilized within the counties where they are collected. Status: Assigned to House Economic Development, Banking, Insurance & Commerce Committee Chamber Position: Support
HB 104 w/ HA 1 (Bush): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO LAND USE PLANNING. Synopsis: The state’s pre-application process for land use process, known as PLUS, was created 20 years ago and has served to increase coordination among state and local agencies. In doing so, it has fulfilled its intent of providing predictability and consistency for the development community, especially in the area of major projects. Given that success, this bill assists in expediting the process for economic development projects in the State of Delaware with some exemptions from the PLUS process. A project located in Investment Level 1 or 2 under the Strategies for State Policies and Spending that is consistent with local zoning and any local comprehensive plan that will create full-time jobs is exempt from the pre-application process unless required by the local government or requested by the applicant. Status: On Senate Agenda on Tuesday, June 6. Chamber Position: Support
HB 123 (Ramone): AN ACT TO AMEND TITLE 7 OF THE DELAWARE CODE RELATING TO THE DEPARTMENT OF NATURAL RESOURCES AND ENVIRONMENTAL CONTROL. Synopsis: This act would require the Department of Natural Resources and Environmental Control to obtain the consent of the General Assembly before promulgating any regulations restricting the sale of fuel-powered cars, trucks, and SUVs in Delaware. This Act does not change the emission standards fuel-powered vehicles must currently meet. The provisions of this bill would be retroactive to March 1, 2023. Status: House Natural Resources & Energy Committee. Heard in committee on June 7, insufficient votes for release. Note: The NCC Chamber testified in support of the bill. The Chamber’s support is based on the position that a decision with the sweeping socio-economic implications that the regulatory mandate currently before the DNREC Secretary regarding zero emissions vehicles has should be subject to a vote by the legislature. Chamber Position: Support
HB 127 w/ HA 1 (Baumbach): AN ACT TO AMEND TITLE 9 AND TITLE 25 OF THE DELAWARE CODE RELATING TO COUNTY FIRE PROTECTION FEES. Synopsis: This Act provides each county with the ability to impose, by duly enacted ordinance, a fire protection fee (fee). A county that enacts this fee must do all of the following: 1. Deposit all money collected from this fee in an account that is segregated from the county's general funds. 2. Establish criteria under which this money is distributed to fire companies providing fire protection in the county. 3. After using no more than 5% of the money annually deposited from this fee for administration of this fee, distribute all of the money collected, including accrued interest, within 18 months of receipt. In addition, under this Act: 1. A fire protection fee may be collected from property that is otherwise exempt from taxation unless an exemption from this fee is provided by the county. 2. A county may, by ordinance, establish penalties for the failure to pay a fire protection fee and establish procedures to abate the penalty. 3. The unpaid balance and any penalties become a lien on the property upon which the fire protection fee was incurred and the county may institute a proceeding to enforce this lien. 4. A fire company must include the money received from a fire protection fee in the annual audit required under § 6608 of Title 16. HA 1 Synopsis: This Amendment revises House Bill No. 127 to make ambulance service providers who are recipients of a Grant-in-Aid eligible for money collected from a county’s fire protection fee. There are currently 3 volunteer ambulance service providers that are not operated by fire companies but are treated in the same manner as fire companies for certification, audits, and all receive a Grant-in-Aid in the section of the annual Grant-in-Aid bill for fire companies. Under HB 127, “fire protection” includes ambulances and basic life support, but only fire companies who are a recipient of a Grant-in-Aid and provide fire protection outside the City of Wilmington can receive money from a county’s fire protection fee. This Amendment revises HB 127 to define “ambulance service provider” as a organization that is a recipient of a Grant-in-Aid for the operation and maintenance of ambulances and groups ambulance service providers with fire companies under the term “fire protection provider” so that all organizations that receive a Grant-in-Aid and provide ambulance services in the county, outside of the City of Wilmington, are eligible to receive money collected under a county fire protection fee and if these funds are received, the organization must include that money in the annual audit required under current law. Status: Released from House Housing Committee on April 26. On House Ready List Chamber Position: Under Review/Opposition Likely
HB 128 (Baumbach): AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO PERSONAL INCOME TAX Synopsis: This Act creates the following new tax brackets as of December 31, 2023:
0% of taxable income less than $2,000.
1.9% of taxable income in excess of $2,000, but not in excess of $5,000 .
3.9% of taxable income in excess of $5,000, but not in excess of $10,000 .
4.8% of taxable income in excess of $10,000, but not in excess of $25,000 .
5.55% of taxable income in excess of $25,000, but not in excess of $60,000 .
6.6% of taxable income in excess of $60,000, but not in excess of $100,000 .
6.9% of taxable income in excess of $100,000 .
Status: Released from House Revenue & Finance Committee, currently on House Ready List Chamber Position: Opposed
HB 152 (Carson): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE MEMBERSHIP OF THE STATE EMPLOYEE BENEFITS COMMITTEE. Synopsis: This Act revises the membership of the State Employee Benefits Committee by removing the Delaware retiree appointed by the Governor and adding 2 members who are eligible to receive health care insurance under Chapter 52 of Title 29 under a pension or retirement plan. The President Pro Tem of the Senate and the Speaker of the House of Representatives each appoint 1 of these members. Status: Assigned to House Administration Committee NCC Chamber Position: Monitoring
HB 154 w/ HA 1 & HA 4 (Griffith): AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO PERSONAL DATA PRIVACY AND CONSUMER PROTECTION. Synopsis: This bill creates the Delaware Personal Data Privacy Act. The Act delineates a consumer’s personal data rights and provides that residents of this State will have the right to know what information is being collected about them, see the information, correct any inaccuracies, or request deletion of their personal data that is being maintained by entities or people. This Act is modeled after existing frameworks for data privacy in other jurisdictions. This Act will apply to entities that conduct business in the State of Delaware who controlled or processed the personal data of not less than 35,000 consumers or controlled or processed the personal data of not less than 10,000 consumers and derived more than 20 percent of their gross revenue from the sale of personal data. This Act requires Delaware Department of Justice to engage in public outreach to educate consumers and the business community about the Act beginning at least 6 months prior to the effective date. Status: Passed the House on June 8. Assigned to Senate Banking, Business, Insurance & Technology Committee NCC Chamber Position: Supported HA 1 & HA 4, both of which became a part of the bill during House floor consideration. Bill as amended Under Review.
HS 1 to HB 160 (Longhurst): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO 988 BEHAVIORAL HEALTH CRISIS INTERVENTION SERVICES. Synopsis: The National Suicide Hotline Designation Act of 2020 established 988 as the universal phone number for "the national suicide prevention and mental health crisis hotline system operating through the National Suicide Prevention Lifeline." This Act provides the framework to maximize the benefits of 988 and provide crucial support to Delawareans in need through the implementation of a practical, modern, and comprehensive, integrated crisis care system. This Act is a substitute for House Bill No. 160. Like House Bill No. 160 this Act does the following: (1) Created the Behavioral Health Crisis Services Board (“Board”) to provide oversight and input on the development of an integrated behavioral health crisis care system in this State. (2) Imposes a behavioral health crisis intervention services surcharge on business and residential telephone services, wireless telephone services, and prepaid wireless telephone services. The surcharge will create a dedicated funding source for behavioral health crisis services. The Behavioral Health Crisis Intervention Services Fund is created to receive the surcharge funds. Specifically, this Act establishes a 60-cent per month per line fee on phone lines and a 60-cent one-time fee on prepaid services. This Act differs from House Bill No. 160 as follows: (1) Models the behavioral health crisis intervention services surcharge after the existing E-911 surcharge and prepaid wireless E911 surcharge created under Chapter 101 of Title 16 of the Delaware Code. (2) Removes the creation of the Behavioral Health Crisis Communication Center and instead directs the Board to develop and recommend a plan for establishing, operating, and maintaining a behavioral health crisis communications center. The Board must submit the plan to the Governor and General Assembly within 12 months from the effective date of this Act. (3) Makes changes to the definition of “mobile crisis team”. (4) Makes changes to the composition of the Board to add the Executive Director of the Ability Network of Delaware and the Executive Director of each of Delaware’s Lifeline Centers. This Act requires a greater than majority vote for passage because § 11 of Article VIII of the Delaware Constitution requires the affirmative vote of three-fifths of the members elected to each house of the General Assembly to impose or levy a tax or license fee. Status: Released from House Health & Human Development Committee on Wednesday, June 7. On House Ready List. NCC Chamber Position: Seeking Amendments
HB 161 (Bush): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE ENERGY EFFICIENCY INVESTMENT FUND. Synopsis: This Act allows the Department of Natural Resources and Environmental Control to assist more small businesses and organizations in making energy efficiency improvements to their facilities by raising the proportion of those projects that can be funded through grants or loans by the Energy Efficiency Investment Fund. Currently, assistance is capped at 30% of the project cost up to $250,000, leaving an applicant to come up with the remaining 70% or more. This can be prohibitive for smaller entities. By raising the eligible proportion of the project cost to 60%, without changing the maximum funding, the Department can help more small businesses, local governments, and nonprofits reduce their operating costs and environmental impact. Status: Assigned to House Natural Resources & Energy Committee. Scheduled for committee hearing on Tuesday, June 13 at 11:00 a.m. NCC Chamber Position: Support
HB 168 (Williams): AN ACT TO AMEND TITLES 9 AND 30 OF THE DELAWARE CODE RELATING TO LODGING TAX Synopsis: Section 1 of this bill requires every short-term listing service to obtain an occupational license and pay an annual licensing fee of $25.00. Section 2 of this bill defines short-term rental as any person who rents a bedroom or dwelling unit to overnight guests for a continuous period of 150 days or less using a short-term listing service. Short-term listing services is a person or business that facilitates or arranges the renting of short-term rental units on a website or through other means. This bill also makes the lodging tax that applies to all hotels, motels, and tourist homes apply to short-term rentals. The bill also sets forth the obligations of a short-term rental listing service which is primarily to remit data as required by the Division of Revenue and the tax collected pursuant to the statute. Section 3 of the bill authorizes New Castle and Sussex Counties to impose a lodging tax of no more than 3 percent on short-term rentals. Section 4 applies the Act to all rent for a short-term rental after December 31, 2023 collected by a short-term rental listing service. Status: Released from House Revenue & Finance Committee on Tuesday, June 6 on House Ready List. NCC Chamber Position: Support
HB 171 (Heffernan): AN ACT TO AMEND TITLE 7 OF THE DELAWARE CODE RELATING TO THE CLEAN AIR ACT TITLE V OPERATING PERMIT PROGRAM. Synopsis: This Act extends the Clean Air Act Title V Operating Permit Program annual fees for facilities in Delaware, which have historically expired and been reauthorized by the General Assembly every three years. Existing statutory authorization to collect fees sunsets on December 31, 2023. This legislation updates the fee assessments based on the work of the Title V Operating Permit Program Advisory Committee and makes additional clarifying updates. For 2024-2026, the total fee will be comprised of a base fee, user fee, and program fee. Base fees are based on the number of staff hours spent on the source’s permitting, compliance, and enforcement activities, while the user fee is based on the source’s air emissions. The program fee will be assessed based on the total base and user fees. This Act authorizes the Department of Natural Resources and Environmental Control to collect Title V annual fees for calendar years 2024 through 2026, at which point the authority sunsets and would need to be reauthorized. Status: Released from House Natural Resources & Energy Committee currently on House Ready List. NCC Chamber Position: Monitoring
HB 175 (Neal): AN ACT TO AMEND TITLES 9, 21, AND 22 OF THE DELAWARE CODE RELATING TO ACCESSIBLE PARKING SPACES. Synopsis: This Act adds provisions to Title 21 defining accessible parking spaces, incorporating federal standards for accessible parking spaces found in the Americans with Disabilities Act and applicable regulations. The Act also provides additional requirements that enhance these standards and better reflect the needs of persons with disabilities in Delaware. The Act increases the penalty associated with violating the statute that prohibits individuals who do not possess a parking placard or special license plate from parking in accessible parking spaces, or in the access aisles located next to accessible parking spaces. This Act adds provisions in Titles 9 and 22 to require county and municipal governments to adopt regulations and ordinances incorporating these requirements for accessible parking spaces, including the requirement that property owners have a permit and process to ensure compliance for new or modified accessible parking spaces, in order to increase compliance and uniformity statewide. Status: Released from House Health & Human Development Committee on Wednesday, June 7. Currently on House Ready List. NCC Chamber Position: Seeking Amendments.
HB 176 (Osienski): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO UNEMPLOYMENT COMPENSATION DEADLINES Synopsis: This bill would extend various deadlines in the Unemployment Code. The intent is to provide claimants and employers additional time to receive and prepare a response or appeal of benefit determinations and other important documents that require a response, in an effort to reduce the incidents of late filed appeals and missed deadlines. This would benefit claimants and employers by providing more time, while also reducing the administrative burden to the Division of Unemployment Insurance of responding to late appeals and late filed documents. This bill also makes conforming changes to additional sections of the Unemployment Code that provide for delivery by mail or other delivery methods to provide flexibility to the Division and Board if they decide to send notices and other documents by email or other delivery methods to reduce mailing expenses and increase efficiency. Finally, this bill confirms Superior Court precedent that Code references to “days” mean “calendar days” unless otherwise specified. Hearing scheduled for Wednesday, June 6 at 11:30 a.m. Status: Released from House Labor Committee on June 6, currently on House Ready List. NCC Chamber Position: Under Review
HB 178 (Osienski): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE COUNCIL ON APPRENTICESHIP AND TRAINING. Synopsis: This Act updates the makeup and duties of the Council of Apprenticeship and Training to meet the current needs of the DOL, the apprenticeship workforce, and employers. It clarifies the duties of the Council, the membership of the Council, and term limits for council members. Status: Status: Released from House Labor Committee on June 6, currently on House Ready List. NCC Chamber Position: Under Review
HB 179 ((Bush): AN ACT TO AMEND TITLE 17 OF THE DELAWARE CODE RELATING TO ENTRANCE PERMITS. Synopsis: his Act requires the Department of Transportation to issue an entrance permit to a private or public utility upon presentation of a satisfactory entrance permit application where the private or public utility owns or has an easement for the entrance location. Status: House Economic Development, Banking, Insurance & Commerce Committee NCC Chamber Position: Support
HB 184 (Romer): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO DISCRIMINATION IN EMPLOYMENT. Synopsis: Delaware law expressly prohibits employment discrimination based upon surviving domestic violence, sexual assault, or stalking. Such discrimination includes: (1) failing or refusing to hire or discharging an employee because the individual was a victim of domestic violence, sexual offense, or stalking; or (2) failing or refusing to make reasonable accommodations to the limitations known to the employer and related to domestic violence, a sexual offense, or stalking. Current statute requires the victim of domestic violence, sexual assault, or stalking to provide verification to their employer. This bill provides employers with the option to require verification in order to receive accommodations. Status: In House Labor Committee NCC Chamber Position: Under Review/Monitoring
HS 1 to HB 191 (Dorsey Walker): AN ACT TO AMEND TITLE 25 OF THE DELAWARE CODE RELATING TO THE LANDLORD TENANT CODE Synopsis: This substitute bill provides more clarity on the process by which a tenant may file an action in the Justice of the Peace Court to withhold rent payments in escrow. Specifically, the bill provides what the tenant must file in order to bring such action and how such actions proceed in court. This substitute bill also provides the remedy of termination of lease when the conditions of the rental unit threatens the life, health, or safety of the tenant or a member of the tenant’s household. This substitute bill also clarifies the appeal process for actions to withhold rent payments in escrow. This substitute bill also provides a tenant the right to raise as an affirmative defense to an action for summary possession filed by the landlord that a condition exists that threatens the life, health, or safety of the tenant or a member of the tenant’s household if the tenant satisfies specific requirements. If the Court determines that the tenant has satisfied those requirements, the Court may order that in lieu of summary possession, the tenant pay all base monthly rent owed to the landlord to an escrow account established by the Court. The Court may order the landlord to remedy the conditions alleged by a specific date. If both the landlord and tenant comply with the Court’s order, the amount held in escrow will be paid to the landlord within 30 days, and no judgment for possession shall be entered. Finally, this substitute bill provides that the Act will take effect 180 days after its enactment into law in order to provide the Justice of the Peace Court sufficient time to enact rules to implement the Act. Status: Assigned to House Housing Committee Chamber Position: Monitoring/ Under Review
HB 203 (Hilovsky): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE MEMBERSHIP OF THE STATE EMPLOYEE BENEFITS COMMITTEE. Synopsis: This Act revises the membership of the State Employee Benefits Committee by removing the Delaware retiree appointed by the Governor and adding 2 members who are eligible to receive health care insurance under Chapter 52 of Title 29 under a pension or retirement plan. The President Pro Tem of the Senate and the Speaker of the House of Representatives each appoint 1 of these members. Status: In House Education Committee NCC Chamber Position: Under Review
HB 220 (Wilson-Anton): AN ACT PROPOSING AN AMENDMENT TO ARTICLE I OF THE DELAWARE CONSTITUTION RELATING TO PROTECTING DELAWARE’S NATURAL RESOURCES. Synopsis: This is the first leg of an amendment to the Delaware Constitution to conserve, protect and maintain Delaware’s natural resources, including its water, air, soil, flora, fauna, ecosystems and climate. This Amendment would create an inherent and inalienable right for all Delawareans to a clean and healthy environment. The Amendment would also declare the State, including all of its branches, agencies, and political subdivisions, as trustee of the State’s natural resources. By enacting this amendment Delaware would join other States which have or are seeking similar provisions, in their respective Constitutions, creating the same inherent and inalienable rights for their citizens. Status: In House Administration Committee NCC Chamber Position: Under Review
HB 221 (Smith): AN ACT TO AMEND TITLE 4 OF THE DELAWARE CODE RELATING TO ALCOHOLIC LIQUORS. Synopsis: This Act amends the requirements necessary for a premises to sell alcoholic liquors for off-premise consumption by removing the requirements for the alcoholic liquor to be sold with a purchase of food that costs at least ten dollars, or to be in ice cream containing up to 10% alcohol by volume. This Act also removes the requirements that restaurants and brewery-pubs continue to sell full meals to patrons after 9 p.m. Status: Assigned to House Economic Development, Banking, Insurance & Commerce Committee NCC Chamber Position: Under Review
HB 222 (Smith): AN ACT TO AMEND TITLE 4 OF THE DELAWARE CODE RELATING TO DUTIES AND POWERS OF THE DELAWARE ALCOHOLIC BEVERAGE CONTROL COMMISSIONER. Synopsis: This Act requires the Commissioner, after 25 complaints from residents who reside within one mile of a licensed establishment that sells alcohol regarding a violation of statutory or regulatory requirements, to direct an investigation to the Division of Alcohol and Tobacco Enforcement for an independent investigation. If an investigation finds the complaint credible, and a hearing is necessary, the signatories of the petition will also be provided notice of the hearing and given an opportunity to appear and provide an impact statement. Status: Assigned to House Economic Development, Banking, Insurance & Commerce Committee NCC Chamber Position: Under Review
Senate Bills:
SS 1 to SB 1 w/ HA 1 (Townsend) AN ACT TO AMEND TITLE 25 OF THE DELAWARE CODE RELATING TO THE RESIDENTIAL LANDLORD-TENANT CODE. Synopsis: This Act is a substitute for Senate Bill No. 1. Like Senate Bill No. 1, this Act creates a right to representation for tenants in evictions and other landlord-tenant actions. The disruptive displacement that accompanies eviction proceedings creates significant costs for state and local government related to shelter funding, education funding, health care provided in hospitals instead of community-based providers, transportation costs for homeless youth, and foster care. Evictions and disruptive displacement also have significant, well-documented, and long-lasting effects on the lives of individuals and families, including poorer physical and mental health, increased risk of homelessness, increased risk of employment loss, loss of personal property, damage to credit standing, and relocation into substandard housing. Further, evictions fall disproportionately on Black and Latinx families, who have also been the hardest hit by the COVID-19 crisis. Section 1 of this Act establishes a right to representation for evictions and other landlord-tenant actions for covered individuals with household incomes below 200% of the federal poverty guidelines. The Attorney General shall contract with legal services providers for the provision of representation in proceedings covered by this Act. The Right to Representation Coordinator will manage the contracts and work with community organizations to do outreach and education regarding the right to representation. Section 1 of this Act requires landlords to provide notice of the right to representation at periodic designated intervals in the tenancy and in eviction proceedings. Section 2 of this Act authorizes the creation of a residential eviction diversion program modeled after the Superior Court’s Residential Mortgage Foreclosure Mediation Program. Section 3 of this Act is a severability clause. Section 4 of this Act makes Sections 1 and 6 effective 120 days after the Act's enactment. Section 5 of this Act makes Section 2 of this Act contingent on funding. Section 6 requires the Coordinator to provide the General Assembly with a copy of the first annual report required under § 5605 of Title 25, as contained in this Act, to determine if additional funding is needed to address the fiscal impact of the Act on the Justice of the Peace Court. This Act differs from Senate Bill No. 1 as it does all of the following: (1) Removes a judicial or administrative proceeding to remedy a violation of law related to security deposit from the list of proceedings included in a covered proceeding. (2) Replaces “covered individual” with “tenant” in the provision determining a tenant’s eligibility to be a covered individual. (3) Makes clear that a covered individual’s household income is to be determined over the immediately preceding 12 months. (4) Makes clear how to determine household income for a full-time student. (5) Tabulates the list of notices provided by a landlord that trigger a covered individual’s receipt of legal representation and further clarifies the notice related to termination of a rental agreement. (6) Provides that a designated organization may decline representation if an attorney deems the covered individual’s defense to lack merit, in addition to a determination by the attorney that an appeal lacks merit. (7) Provides that a covered individual is entitled to receive legal representation as soon as practicable after the initiation of a covered proceeding, rather than just an eviction proceeding. (8) Removes the requirement that a court, at a covered individual’s first appearance in a covered proceeding, provide a covered individual with notice of the individual’s right to, and the availability of, legal representation under this Act. This notice is intended to be provided earlier by the Right to Representation Coordinator (“Coordinator”). (9) Requires that events planned for, and information distributed to, tenants also be made available to landlords and property managers. (10) Requires that the Coordinator include a full accounting of their expenditures as part of the required annual report. (11) Provides that the Coordinator is to prepare information explaining legal representation available to tenants, provides that the information is known as “informational materials”, requires the Coordinator to prepare the informational materials in English, Spanish, and Haitian Creole, and clarifies the events that require the informational materials to be provided to a tenant. (12) Clarifies the date from which actions are to be taken by the Coordinator and the Justice of the Peace Courts. (13) Makes clear that the provision of legal representation to a covered individual under Section 1 of this Act is not intended to be the sole basis for a continuance of a covered proceeding scheduled before the effective date of Section 1 of this Act for a hearing on or after the effective date of Section 1 of this Act. (14) Provides that the residential eviction diversion program includes an initial mediation conference rather than a conciliation conference. (15) Makes technical corrections, including to use the defined term “rental agreement” instead of “lease” and to insert “Delaware” before “Supreme Court” for clarity. Amendment Synopsis: This Amendment does all of the following: (1) Inserts 2 additional forms of information that the Right to Representation Coordinator must include in the Coordinator’s annual report. (2) Clarifies that mediation must be scheduled and completed no later than 48 hours before the trial date, and that a tenant’s failure to complete mediation may not delay the scheduling or commencement of trial. (3) Makes a technical correction. [Amendment Status: Placed with Bill/Floor vote on amendment required for it to be a part of the bill.] Status: On House Agenda for Tuesday, June 13. Chamber Position: Under Review
SS 1 for SB 7 (Hansen) AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE STATE ENERGY OFFICE. Synopsis: This Act updates and expands the duties of the State Energy Office (located in the Department of Natural Resources and Environmental Control’s Division of Climate, Coastal and Energy) to develop and implement state energy policy and programs, including those affecting the buildout of our statewide energy grid, collaborating with other agencies on data gathering and analysis, encouraging and promoting energy equity in energy planning and development, serving as a liaison with federal agencies and energy agencies in other states, conducting analysis of generating resource adequacy and integrated resource planning, participating in offshore wind transmission planning, and convening stakeholder meetings to implement the purposes of this chapter. Status: Passed Senate on June 7, assigned to House Natural Resources & Energy Committee Committee hearing scheduled for Tuesday, June 13 at 11:00 a.m. NCC Chamber Position: Under Review/Gathering Input
SS 1 to SB 8 (Mantzavinos) AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO MEDICAL DEBT Synopsis: This Act is a substitute for Senate Bill No. 8. Like Senate Bill No. 8, this act protects patients from unfair debt collection practices for medical debt, including prohibiting large health care facilities from charging interest and late fees, requiring facilities to offer reasonable payment plans, limiting the sale of debt to debt collectors unless an agreement is made to keep protections in place, providing minimum time before certain collections actions may be taken, limiting liability for the medical debt of others, and preventing the reporting of medical debt to consumer credit reporting agencies for at least one year after the debt was incurred. Violations of the provisions of this Act are considered Prohibited Trade Practices and Consumer Fraud violations. This Act differs from Senate Bill No. 8 as it requires large health-care facilities to provide information to uninsured patients regarding eligibility and the application process for medical assistance. This information must be provided at the time of service or prior to discharge and again with each billing statement. It also creates a minimum threshold for eligibility for payment plans, and it reduces the timeframe in which a bill under a payment plan may be first due. This Act also defines “medical assistance” and “time of service,” which were not defined in Senate Bill No. 8.. Status: Released from Senate Banking, Business, Insurance & Technology Committee on May 17. On Senate Ready List. NCC Chamber Position: Under Review.
SB 9 w/ SA 1 (McBride): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO LEAD-BASED PAINT. Synopsis: Although lead-based paint is prevalent in many Delaware residences and causes extraordinary neurological damage in children, including seizures, behavioral disorders, developmental delays, and cognitive disabilities, Delaware does not have a comprehensive system to eliminate lead-based paint from those residences where children are still exposed to lead. This Act creates such a system, including: (1) Creating a system by which all properties where a child who is found to have high blood lead levels live are promptly screened for lead-based paint and, where that paint is found, treated to abate or remediate the lead-based paint. (2) Prohibiting landlords of properties where the State has paid for lead-based paint abatement from raising rents on those properties for a period of 3 years. (3) Taking steps to ensure that neither landlords nor local governments present unreasonable delays to the abatement of lead-based paint. (4) Creating a dedicated fund for abatement and remediation of lead-based paint hazards so that all levels of state government can be held accountable for funding lead-based paint abatement efforts. (5) Expanding the duties of the Childhood Lead Poisoning Prevention Advisory Committee to include a plan for prompt inspection and, where necessary, abatement or remediation of lead-based paint in all pre-1978 rental properties. SA 1 Synopsis: This Amendment does all of the following: (1) Makes clear that the State assumes that when a child has an elevated blood lead level there is exposed lead paint in the house and is, therefore, doing an inspection rather than a risk assessment. (2) Makes clear that the owner of any multi-unit property or property that has been rented to a third party may pay the Delaware State Lead-Based Paint Program’s costs of abatement or remediation and, if the owner does so, the prohibition on rental fee increases does not apply to the owner. Status: Passed Senate on May 16, Released from House Health & Human Development Committeeon June 7; currently assigned to House Appropriations Committee NCC Chamber Position: Under Review
SS 1 for SB 43 (Richardson): AN ACT TO AMEND TITLE 11 OF THE DELAWARE CODE RELATING TO THE DISPLAY OF HUMAN TRAFFICKING PUBLIC AWARENESS SIGNS. Synopsis: This Act is a substitute for Senate Bill No. 43. Both this Act and SB 43 add additional State facilities and categories of establishments to § 787 of Title 11 which would be required to display public awareness signs about human trafficking. The additional State facilities and categories are as follows: (1) State service centers. (2) Wellness centers. (3) Residential child care facilities. (4) Transitional and independent living service providers for youth aging out of foster care. (5) Shelters for victims of domestic violence or sexual assault or individuals experiencing homelessness or food insecurity. (6) Hotels. (7) Convenience stores along a major highway. (8) Gas stations along a major highway. (9) Casinos. (10) Restaurants with liquor licenses. (11) Poultry processing plants. (12) Bus or train stations. (13) Bars. (14) Massage establishments. (15) Shopping malls. This Act is also the same as SB 43 in that it: (1) Provides definitions of some of the existing State facilities and categories of establishments where public awareness signs are required to be displayed, as well as some of the new State facilities and categories added by SB 43 (and retained by this Act). (2) Includes specific locations on the premises where establishments that are hotels, casinos, restaurants with liquor licenses, poultry processing plants, massage establishments, and shopping malls must display a public awareness sign. (3) Adjusts the process by which the Delaware Anti-Trafficking Action Council (Council) may designate establishments required to display public awareness signs. SB 43 and this Act allow the Council to promulgate regulations to designate other categories of establishments that must display public awareness signs in addition to the categories required under § 787 and this Act; designate a specific location on the premises for a category of establishments where a public awareness sign must be displayed; and change requirements for what must be included in a “public awareness sign”, as defined in this Act. (4) Requires the Council to annually publish a list of categories of establishments that must display a public awareness sign and any specific location requirements for the purposes of providing notice. (5) Clarifies that enforcement fines are civil penalties. (6) Distinguishes between the responsibilities of the Council and establishments, as well as rewrites the responsibilities to clarify the current law regarding the display of public awareness signs. (7) Establishes an enforcement process, including the requirement that establishments will receive a warning before any civil penalties are assessed. The Department of Labor may promulgate regulations. (8) Requires the Department of Labor to submit an annual report about enforcement to the Council and the General Assembly. (9) This Act takes effect immediately and is to be implemented 1 year from the date of this Act’s enactment to allow for the promulgation of regulations by the Department of Labor and the Council, as well as to ensure public awareness signs will be ready for distribution before implementation. (10) This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. This Act differs from Senate Bill No. 43 by: (1) Removing the mandate that the Department of Labor (Department) conduct enforcement. The Department still has enforcement authority but may exercise its discretion in whether to pursue enforcement. (2) Changing enforcement to a complaint-based system whereby the Department may inspect an establishment about which it receives a compliant. While the complaint-based system may be the main way that the Department will receive notice of possible noncompliance with public awareness sign requirements, the Department may still initiate inspections independent of a report from the Delaware Anti-Trafficking Action Council or a complaint. (3) Changing the enforcement process and timeframes as follows: When the Department conducts enforcement, it shall provide public awareness signs, if needed, to an establishment to immediately enable compliance with the public awareness sign display requirements. If, within 3 years, the Department determines the establishment is exhibiting the same, or a substantially similar, noncompliance identified in the warning notice, then the Department shall assess a civil penalty against the noncompliant establishment. (4) Removing the safe harbor provision since all establishments will now receive copies of the proper signage during inspection, if new signs are needed. (5) Updating the civil penalty to conform to the changes made in the enforcement process and timeframes. The civil penalty is as follows: if an establishment does not correct the same, or a substantially similar, noncompliance identified in the warning notice, the establishment owner is subject to a civil penalty of not more than $500. On a second or subsequent failure by an establishment to correct the same, or a substantially similar, noncompliance identified in the warning notice, the establishment owner is subject to a civil penalty of not more than $2,500. The current fine under § 787 is $300 per violation. (6) Naming this Act the "Signs of Hope Act". This name reflects the purpose that the human trafficking public awareness signs serve: a way to reach, give hope, and save victims of human trafficking. (7) Removing repetitive language and correcting a grammatical error. To make compliance with and enforcement of this Act feasible, a fiscal note is attached to this bill to finance the creation of the public awareness signs, which will be provided free to State of Delaware facilities and establishments and to fund a Department of Labor enforcement position. Status: Passed Senate on June 8; assigned to House Judiciary Committee Scheduled to be heard in committee on Wednesday, June 14 at 10:00 a.m. NCC Chamber Position: Under Review/Gathering Input
SB 45 (Brown): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO UNEMPLOYMENT COMPENSATION. Synopsis: Under current Delaware law, if a labor dispute constitutes a lockout, employees are immediately eligible for unemployment benefits. Additionally, current law permits an individual to collect unemployment benefits beginning the third week of a labor dispute, other than a lockout. This Act mandates that the 2-week disqualification period does not apply if either: (1) The labor dispute is caused by the failure or refusal of the employer to comply with an agreement or contract between the employer and the individual, including a collective bargaining agreement with a union representing the individual, or a State or federal law pertaining to hours, wages, or other conditions of work. (2) The employer hires a permanent replacement worker for the individual's position. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. Status: Released from Senate Labor Committee, on Senate Ready List NCC Chamber Position: Monitoring/Poss. Seeking Amendments
SB 51 w/ HA 1, HA 2 & HA 3 (Paradee): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO THE USE OF SINGLE-SERVICE PLASTIC IMPLEMENTS AND POLYSTYRENE CONTAINERS IN FOOD ESTABLISHMENTS. This Act prohibits food establishments from providing consumers with ready-to-eat food or beverages in polystyrene foam containers or with single-service plastic coffee stirrers, cocktail picks, or sandwich picks. It also prohibits food establishments from providing single-service plastic straws, unless requested by a consumer. These restrictions take effect on July 1, 2025. This Act provides the following exemptions to the prohibitions on single-service plastic implements and polystyrene foam containers: 1. The definition of "polystyrene foam food service packaging" excludes coolers or ice chests used for the processing or shipping of seafood and containers used to contain, transport, or package raw, uncooked, or butchered meat, poultry, fish, seafood, eggs, fruits, or vegetables. 2. The prohibition on plastic straws does not apply to patients or residents of hospitals or long-term care facilities and for plastic straws that are attached to pre-packaged goods, such as juice boxes. 3. The restriction on providing ready-to-eat food in polystyrene foam food service packaging does not apply to any of the following: • Fire companies. • Health-care providers that provide long-term, acute, and outpatient health-care services. • Nonprofit organizations, including religious institutions. HA 1 Synopsis: This Amendment removes the exceptions for fire companies and nonprofit organizations from the prohibition on providing ready-to-eat food in polystyrene foam food service packaging. HA 2 Synopsis: This Amendment narrows the health-care provider exception from the prohibition on providing ready-to-eat food in polystyrene foam food service packaging to only food provided to a patient or resident. HA 3 Synopsis: This amendment adds whereas clauses to Senate Bill No. 51 which provide additional information regarding the impact on and longevity of polystyrene in landfills. It clarifies that a food establishment’s license may not be suspended or revoked for violation of this chapter, and delays the penalty provision to 1 year after the effective date, and defines a violation of the chapter as a “core item” under the Delaware Food Code. Finally, it directs that by December 31, 2023, the DSWA shall submit a report regarding the use of and potential substitutes for polystyrene foam from food establishments and other sources, and the disposal challenges and recycling options for waste polystyrene foam, identifying steps which can be considered in order to achieve the goal of reducing or eliminating polystyrene foam being added to landfills or open dumps in the State. (HA 1, HA 2 & HA 3, not currently a part of the bill, will receive a vote during floor consideration of bill). Status: RELEASED from House Health & Human Development Committee. On House Ready List. NCC Chamber Position: Seeking possible amendments to mitigate business concerns.
SB 58 (McBride): AN ACT RELATING TO THE REMOVAL OF COPAY REQUIREMENTS FOR DELAWARE FAMILIES IN NEED Synopsis: Since the COVID-19 public health emergency, the Department has not charged copays for Delaware Families earning up to 200% of the federal poverty level and has reimbursed purchase of care providers for 15 absent days per child per month. These practices have been successful in stabilizing families and providing early learning programs for Delaware's needy families and children. Status: Assigned to Senate Finance Committee following March 8 release from Senate Health & Social Services Committee NCC Chamber Position: Support
SB 59 (Gay): AN ACT TO ESTABLISH A STATEWIDE RATE OF PURCHASE OF CARE FOR CHILD CARE PROVIDERS. Synopsis: This bill directs the Department to pay a statewide rate to all child care providers that is aligned with the New Castle County rate through existing program funds. This service provides support for families with children birth to 12 years of age with access to child care to enable the caretaker to hold a job, obtain training or meet the special needs of the parent or child. The bill would pay licensed child care providers statewide at the reimbursement rate of New Castle County as determined by the 2021 Delaware Local Child Care Market Rate Survey. Status: Assigned to Senate Finance Committee following March 8 release from Senate Health & Social Services Committee NCC Chamber Position: Support
SS2 for SB 72 (Poore): AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO PERSONAL INCOME TAX. Synopsis: The purpose of this chapter is to allow residents of Delaware who are active members of a labor organization to claim a tax credit equal to the annual cost of maintaining their membership in the labor organization, not to exceed $500. Status: Released from House Revenue & Finance Committee on June 7; currently assigned to House Appropriations Committee NCC Chamber Position: Opposed.
SS 1 for SS 83 (Brown) AN ACT TO AMEND TITLE 5 OF THE DELAWARE CODE RELATING TO THE DELAWARE COMMUNITY INVESTMENT VENTURE FUND. Synopsis: This Act creates the Delaware Community Investment Venture Fund to develop opportunities for banking organizations and credit unions doing business in Delaware to better serve the needs of low to moderate income tracts in Delaware. The source of funds will be transfers from the Delaware State Bank Commissioner Regulatory Revolving Fund (established in Section 105 of Title 5), which currently has an amount in excess of that needed to cover the operating expenses of the Office of the State Bank Commissioner. The initial transfer will be up to $2.5 million, plus another $250,000 for expenses. Thereafter, additional transfers of up to $500,000 each fiscal year are authorized. No further transfers are authorized after June 30, 2028, unless further legislation is approved by the General Assembly. Status: released from House Economic Development, Banking, Insurance & Commerce Committee on June 6 and placed on House Ready List. On House Agenda for Tuesday, June 13. NCC Chamber Position: Under Review
SB 88 (Huxtable) AN ACT TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX. Synopsis: This Act alters the State realty transfer tax credit offered to first-time home buyers. Currently, there is a 0.50% reduction in the State realty transfer tax for first-time home buyers for the first $400,000 of value of the property. This Act completely exempts the first $250,000 of value of property purchased by a first-time home buyer from their portion of the State realty transfer tax and removes the first-time homebuyer tax credit for property valued at $1,000,000 or more. Between $250,000 and $1,000,000, this Act establishes the realty transfer tax applicable to a first-time homebuyer as follows: (1) For property valued from $250,001 through $300,000, the realty transfer tax is reduced to 0.25%. (2) For property valued from $300,001 through $350,000, the realty transfer tax is reduced to 0.50%. (3) For property valued from $350,001 through $400,000, the realty transfer tax is reduced to 0.75%. (4) For property valued from $400,001 through $999,999, the realty transfer tax is reduced by an amount equal to 0.50% multiplied by $400,000. This provides property valued from $400,001 through $999,999 the current realty transfer tax credit offered to first-time home buyers. Status: Assigned to Senate Executive Committee NCC Chamber Position: Under Review
SB 96 (Pettyjohn) AN ACT TO AMEND TITLE 7 OF THE DELAWARE CODE RELATING TO THE DEPARTMENT OF NATURAL RESOURCES AND ENVIRONMENTAL CONTROL. Synopsis: This Act prohibits the Department of Natural Resources and Environmental Control from promulgating rules and regulations restricting the sale of fuel-powered cars, trucks, and SUVs in Delaware. This Act does not change the emission standards fuel-powered vehicles must currently meet. The provisions of this bill would be retroactive to March 1, 2023. Status: Assigned to Senate Environment, Energy & Transportation Committee NCC Chamber Position: Under Review
SB 99 (Pinkney) AN ACT TO AMEND TITLE 22 OF THE DELAWARE CODE RELATING TO MUNICIPALITIES. Synopsis: This Act prohibits municipal ordinances that require the eviction of tenants for criminal activity by a tenant, member of the tenant's household, or a guest. This Act does not change a landlord's ability to exercise discretion and evict a tenant for criminal activity or other material lease violations under § 5513 of Title 25 and is consistent with, and avoids conflicts with, the protections for victims of domestic abuse, sexual offenses, or stalking under § 5316 of Title 25. This Act is a recommendation of the African American Task Force, established under Senate Bill No. 260 (150th General Assembly). In addition, the 2020 Statewide Analysis of Impediments to Fair Housing Choice, a report produced by the Delaware State Fair Housing Consortium, lists the removal of crime-free housing ordinances and legislation banning such ordinances as one of its goals for ensuring that people within the protected classes have equal access to housing. Currently, at least 6 municipalities in Delaware have crime-free housing ordinances. Generally, these ordinances require landlords to include an addendum on their lease agreements prohibiting a tenant, member of the tenant’s household, or a guest from committing a criminal activity within a specified distance of their unit. If a tenant, member of the tenant’s household, or a guest commits a certain number of criminal activities within a specified time period, the landlord must initiate eviction proceedings. If a landlord does not file to evict the tenant, the landlord may lose their rental license. Crime-free housing ordinances are problematic for the following reasons: 1. The definition of criminal activity is generally vague and open to interpretation, and may include low-level offenses such as trespassing, loitering, and disorderly conduct. 2. The standard for what is considered criminal activity does not require an arrest or conviction, and instead, can consist of merely an allegation or contact with the police. 3. These ordinances penalize victims of crime for seeking help from the police. 4. These ordinances can result in evictions of tenants based upon racially motivated complaints by neighbors. This Act requires a greater than majority vote for passage because § 1 of Article IX of the Delaware Constitution requires the affirmative vote of two-thirds of the members elected to each house of the General Assembly to amend a charter issued to a municipal corporation. Status: Passed Senate on May 17, assigned to House Housing Committee Committee hearing scheduled for Wednesday, June 14 at 5:00 p.m. Chamber Position: Under Review/Gathering Input
SS 1 to SB 102 (Townsend) AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO PREVAILING WAGE. Synopsis: This Act closes a loophole in the prevailing wage statute that was being used to pay workers below the prevailing wage by performing work offsite instead of onsite, regardless of whether it was necessary to do so. Status: Released from House Labor Committee on June 6; currently assigned to House Appropriations Committee NCC Chamber Position: Opposed
SS 1 for SB 103 (McBride): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO ELECTRIC VEHICLE CHARGING INFRASTRUCTURE FOR RESIDENTIAL DWELLINGS. Synopsis: Electric vehicles (EVs) are becoming more and more popular. Between 2012 and 2016, EV sales grew at an annual rate of 32%. In 2017, growth in sales reached 45%. Batteries for EVs have become much cheaper in the last 10 years, enabling EVs to compete with traditional, fossil-fueled vehicles. In addition, major vehicle manufacturers are pledging to go all electric. Some researchers are predicting that EV sales will outnumber those of traditional, combustion engine vehicles by 2040. However, only minimal electrical charging infrastructure is available today. This Act is a substitute for Senate Bill No. 103. Like Senate Bill No. 103, this Act will make it easier and more convenient to own an electric vehicle in this State in the years to come, resulting in increased purchases of electric vehicles, promoting cleaner air and water, and resulting in improved health outcomes for Delawareans and a reduction of greenhouse gases to curtail global warming. Also like Senate Bill No. 103, this Act achieves these goals by doing the following: (1) Requiring that newly constructed single-family and multi-family residential dwellings include certain electric vehicle charging infrastructure. (2) Providing county and municipal government enforcement of the electric vehicle charging infrastructure requirements of this Act. Additionally, like Senate Bill No. 103, this Act expires on the date of publication in the Register of Regulations of a notice by the Secretary of the Department of Natural Resources and Environmental Control that the Regulations for State Energy Conservation Code, Regulation 2101 of Title 7 of the Delaware Administrative Code, which are adopted under § 7602 of Title 16 of the Delaware Code, have been updated to match or exceed the standards adopted by this Act. This Act differs from Senate Bill No. 103 as follows: (1) Removes language from the definition of “electric vehicle capable parking space” for clarity. (2) Clarifies that “multi-family residential dwelling” includes only boarding houses, hotels, and motels with nontransient occupants. (3) Clarifies that this Act applies to the construction of a multi-family residential dwelling for which an application for final site plan approval is submitted on or after January 1, 2025. (4) Clarifies that if the single-family residential dwelling does not have an attached or detached garage, an electric vehicle capable parking space must be provided in the driveway, assigned parking space for the dwelling, or at an unassigned non-street residential parking space constructed as part of the project .Status: Assigned to House Natural Resources & Energy Committee Scheduled to be heard in committee on Tuesday, June 13 at 11:00 a.m. NCC Chamber Position: Under Review
SB 126 (Mantzavinos) AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO REFRIGERANTS. Synopsis: This Act clarifies that State building code and other local codes must align with substitute standards for refrigerants as approved by the United States Environmental Protection Agency through their federal listing requirements. Status: Passed Senate on May 18 & assigned to House Natural Resources & Energy Committee Scheduled to be heard in committee on Tuesday, June 13 at 11:00 a.m. NCC Chamber Position: Under Review
SB 132 (McBride): AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO THE STUDENT LOAN BORROWER BILL OF RIGHTS ACT. Synopsis: Over the past decade, an increasing number of states have passed legislation establishing a Student Loan Borrower Bill of Rights. At least 18 states have passed such legislation. Of these 18 states, 12 states have a Student Loan Ombudsperson and 13 have a licensing program, with another two states having a registration program instead of a licensing program. This Act enacts a Student Loan Borrower Bill of Rights for this State that does all of the following: (1) Requires student loan servicers to engage in certain practices related to communications with student loan borrowers and cosigners of student education loans and handling of transactions by student loan borrowers and cosigners of student education loans. (2) Prohibits student loan servicers from engaging in certain practices including unfair or deceptive practices or abusive practices. (3) Requires student loan servicers to retain records related to student loan transactions for 7 years and to yearly report non-identifying information about student education loans serviced in this State, including default and delinquency rates, to the Student Loan Ombudsperson. (4) Establishes the Office of the Student Loan Ombudsperson which shall, among other duties, receive, investigate, and attempt to resolve complaints from student loan borrowers. Status: Assigned to the Senate Education Committee. NCC Chamber Position: Under Review
SB 143 (Mantzavinos): AN ACT TO AMEND TITLE 18 OF THE DELAWARE CODE RELATING TO HEALTH INSURANCE. Synopsis: This Act makes several changes intended to improve the claims payment process by health insurers. Specifically, the Act: (i) codifies the definition of “clean claim” adopted in Department of Insurance regulations; (ii) requires an insurer to treat erroneously denied claims as timely filed without the provider having to resubmit the claim; (iii) requires carriers that engaged in coordination of benefits verify an insured’s other coverage is effective for the date and type of service associated with the applicable claim before taking any recovery action against a provider; (iv) requires that a carrier who recovers payment from a provider through coordination of benefits and thereafter receives reimbursement for the same claim from another insurer issue notice to the provider of the payment so that the provider may seek payment for the amount recovered; (v) allows a provider 12 months to submit a claim for reimbursement after a retroactive denial by a carrier; (vi) requires prompt payment of clean claims within 30 days and after a successful appeal by a provider from a carrier’s denial of payment, with interest accruing on late payments. Status: Senate Banking, Business, Insurance & Technology Committee. NCC Chamber Position: Under Review
SB 145 (Sturgeon): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO DAMAGES FOR EMPLOYMENT DISCRIMINATION. Synopsis: This Act increases the limits on the dollar amount of awards of compensatory or punitive damages, or both, in cases of employment discrimination, establishing specific caps based on the number of the respondent's employees. This Act also clarifies that the Superior Court may order equitable relief available under Title VII of the Civil Rights Act of 1964, as well as back pay and front pay, which is an award made for the period between the date of judgment and the date of reinstatement. Status: Released from Senate Labor Committee on June 7. On Senate Agenda for Tuesday, June 13.NCC Chamber Position: Under Review
SB 146 (Sturgeon): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO DISCRIMINATION IN EMPLOYMENT. Synopsis: Under current law, an individual can file a charge of employment discrimination by sending the verified charge to the Delaware Department of Labor (Department). This Act clarifies that a verified charge of discrimination is deemed to be filed on the date it is sent to the Department. Status: Passed Senate on June 8; assigned to House Labor Commiittee. Scheduled to be heard in committee on Tuesday, June 13 at 1:00 p.m. NCC Chamber Position: Under Review
SB 147 (Sturgeon): AN ACT TO AMEND TITLE 11 OF THE DELAWARE CODE RELATING TO COMPUTER-RELATED OFFENSES. Synopsis: The existing computer crimes of unauthorized access, theft of computer services, misuse of computer system, and destruction of computer equipment contain elements broad enough to include actions employees may take to investigate or document an employer’s violation of state or federal employment laws. In addition to criminal penalties, a civil action for treble damages may be brought against a person who violates these laws. Sometimes, when employees seek to investigate, explore, or pursue employment laws by providing evidence obtained from that employer’s computer systems, an employer will threaten to sue the employee because the employee’s possession of this evidence could be found to be a violation of these computer crimes. Because the potential damages for violating the computer crimes exceeds the compensation the employee would receive if their claim under the employment law is successful, the employee does not pursue their claim. This Act creates a narrow exception to these crimes so that a person is not guilty of a crime under §§ 932, 933, 935, or 936 of Title 11, if all of the following apply: (1) The employee’s actions were only for the purpose of investigating, exploring, or pursuing a claim by an employee that the employer violated a state or federal employment law protecting the rights of employees. (2) Information obtained by the employee was only disclosed for the purpose of investigating, exploring, or pursuing a claim by an employee that the employer violated a state or federal employment law protecting the rights of employees. This Act also clarifies that if an exemption under § 942 of Title 11 applies, a civil action under § 941 of Title 11 cannot be brought against a person for a violation of §§ 932, 933, 935, or 936 of Title 11. Status: Released from Senate Judiciary Committee on June 7 and placed on Senate Ready List. NCC Chamber Position: Under Review
SB 154 (Pettyjohn): AN ACT TO AMEND CHAPTER 211, VOLUME 83 OF THE LAWS OF DELAWARE RELATING TO THE FOCUS ON ALTERNATIVE SKILLS TRAINING PROGRAM. Synopsis: This Act repeals the sunset of the Focus on Alternative Skills Training Program, which provides tuition for an eligible individual to attend an approved nondegree credit certificate program that provides industry-accepted skill training and certification. Status: In Senate Banking, Business, Insurance & Technology Committee. Bill scheduled to be heard in committee on Wednesday, June 14 at 11:00 a.m. NCC Chamber Position: Under Review
SB 157 (Gay): AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO UNIFORM COMMERCIAL CODE. Synopsis: This Act, the 2022 Amendments to the Uniform Commercial Code, was drafted by the Uniform Law Commission in partnership with the American Law Institute. The Uniform Law Commission “provides states with non-partisan, well-conceived and well-drafted legislation that brings clarity and stability to critical areas of state statutory law.” The Uniform Commercial Code (“UCC”) provides commercial law rules for broad categories of transactions: the sale or lease of goods, negotiable instruments, bank deposits and collections, funds transfers, letters of credit, documents of title, investment property, and secured transactions in personal property. Every state has adopted the UCC and, as a result, strong interstate markets have developed because the UCC provides the legal structure necessary to have confidence when transacting business with others. The UCC has been revised over time as the United States’ economy shifted from a goods-based economy toward one based on services, software, and information-based transactions. The 2022 Amendments to the UCC (“2022 Amendments”) are yet another revision to address the changing economy. Specifically, the 2022 Amendments do all of the following: (1) Provide updated rules for commercial transactions involving emerging technologies such as virtual currencies, non-fungible tokens (also known as NFTs), and distributed ledger technologies (also known as “blockchain”). (2) Create a new Article 12 addressing new types of property, or digital assets, defined as “controllable electronic records” (“CERs”). Examples of CERs include virtual currencies, non-fungible tokens, and electronic promises to pay. (3) Provide new default rules to govern transactions involving these emerging technologies and clarify the UCC’s applicability to mixed transactions involving both goods and services. (4) Update the UCC to recognize that parties often do not use paper documents and, therefore, the UCC applies equally to electronic transactions. (5) Make additional revisions to the UCC unrelated to technological developments but necessary to provide needed clarification of the UCC. (6) Create a new Article A to provide transition rules designed to protect the expectations of parties to pre-effective-date transactions. For example, a secured lender who has a priority security interest in collateral under the current law will retain its priority through a transition period, giving parties to preexisting transactions plenty of time to revise their agreements to comply with this Act. This Act amends the UCC and, as such, deals only with consensual commercial transactions. It does not regulate the use of these emerging technologies, including CERs, address taxation of CERs, alter the law governing money transmitters, or revise anti-money laundering laws. As of the introduction of this Act, the 2022 Amendments have been introduced in 21 states and the District of Columbia and enacted in 5 states (Indiana, North Dakota, Colorado, New Mexico, and Washington). Status: Released from Senate Judiciary Committee on June 7 and placed on Senate Ready List. NCC Chamber Position: Monitoring
SB 170 (Hansen): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO OFFSHORE WIND ENERGY. Synopsis: This Act directs the Department of Natural Resources and Environmental Control to work with PJM Interconnection, LLC to study the transmission impacts of offshore wind development, to work with neighboring states on offshore wind transmission, and to study and report back to the Governor and the General Assembly on a process for procuring offshore wind power. Status: Assigned to Senate Environment, Energy & Transportation Committee. Scheduled for (virtual) committee hearing on Wednesday, June 14 at 2:00 p.m. NCC Chamber Position: Under Review/Gathering Input
County/Municipal Proposals of Interest & Concern
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New Castle County Council DRAFT Net-Zero Energy/ZEV Infrastructure Ordinance:
On Tuesday, June 6, the New Castle County Council Land Use Committee held a discussion on a DRAFT ordinance designed to implement building code requirements set forth in the International Energy Conservation Code 2021 update concerning zero net energy capable residential and commercial development, as well as certain requirements regarding electric vehicle charging infrastructure for residential construction. As the basis for pursuing this legislation at this time, Councilwoman Dee Durham cites the language set forth in state law in 16 Del C 7602(c):
(c) The Delaware Energy Office, or its successor, in consultation with the Green Building Council of the Home Builders Association of Delaware, shall establish programs to promote the construction of zero net energy homes. A “zero net energy home” or “zero net energy building” is defined as a residence or commercial building that, through the use of energy efficient construction, lighting, appliances and on-site renewable energy generation, results in zero net energy consumption from the utility provider. Therefore, a net zero energy capable home must be energy efficient enough that if the home or building owner chooses to add on-site generation, net zero energy consumption could be achieved. As of December 31, 2025, all new residential building construction in the State of Delaware shall be zero net energy capable. As of December 31, 2030, all new commercial building construction must also be zero net energy capable.
The Chamber is seeking clarification on the meaning of the language in the code section cited above. We are also studying and gathering input on the potential implications of the requirements in the statute, as well as the potential implications of the DRAFT ordinance. The meaning of net “zero energy capable” in practical application will be of particular importance. The legislation which codified the above language was enacted in 2010. For more information, contact Joe Fitzgerald at fitzgeraldj@ncccc.com. NCC Chamber Position: Under Review/Gathering Input
Warehousing Moratorium Ordinance:
At the late-November meeting of New Castle County Council, Councilman David Carter (D-6th District) introduced Ordinance # 22-135, legislation which would implement “a moratorium on major and minor land development applications proposing a warehouse or similar building or facility of 150,000 square feet or larger in New Castle County.”
The Chamber is opposed to sweeping moratoria such as this. Regardless of the ordinance’s ultimate disposition, its introduction was problematic. For example, investors filing a land use application which could be subject to a potential moratorium, might encounter costly or deal-breaking delays in securing the financing to proceed with their project. In the event that the ordinance is defeated, there is still the negative message that it sends. In the event that it passes, the message is even worse. Status: Tabled w/ substitute pending at New Castle County Planning Board on Tuesday, May 2 NCC Chamber Position: Opposed.
NCC Redevelopment Ordinance:
The Chamber participated in discussions led by the Committee of 100 regarding potential regulatory and legislative measures needed to improve the County’s redevelopment code to allow for greater flexibility, innovative design and to encourage investment in traditional business corridors.
New Castle County Council Members Tackett and Kilpatrick are introducing 25-053. The NCC Chamber is currently conferring with pertinent members, reviewing the legislation and formulating a position. The Chamber may have substantive concerns regarding certain elements of the ordinance. Status: The ordinance will be before the NCC Planning Board at their July 5 meeting. Chamber Position: Opposed as written.
DRAFT LEGISLATION PENDING INTRODUCTION
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Mandatory Paid Time Off
This DRAFT legislation has been circulating among legislators and could be introduced sometime in the coming month. It is substantially similar, if not identical, to House Bill 409 from last session (151st G.A.) that the NCC Chamber opposed and testified against in the House Economic Development, Banking, Insurance & Commerce Committee, where it was tabled.
The synopsis for the DRAFT follows:
This Act requires all employers in the State to provide employees with a minimum of 1 hour of paid sick time and safety leave for every 30 hours worked. Accrued paid sick time and safety leave may be used by the employee for time off with pay at the employee's regular wage and benefit rate to deal with the mental and physical health needs of either the employee or an employee's family member and includes paid time off to provide transportation or care to a family member whose school, group home or other kind of facility has been closed to due to a public health, safety or weather emergency. Paid sick time and safety leave may also be used to address the consequences of domestic violence for such things as meeting with lawyers, obtaining services from victim service organizations, temporary relocation and the like.
The Department of Labor will promulgate regulations governing operation of the Act and will enforce the provisions of the Act. Employers who violate the Act are subject to civil penalty of no less than $1,000 nor more than $5,000. Employers are prohibited from discriminating against an employee who complains to the Department that an employer has violated the Act.
PENDING REGULATIONS
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Paid Family & Medical Leave
The comment period for the Paid Family and Medical Leave regulations closed on June 1. The New Castle County Chamber submitted detailed comments on the proposed regulations and will be seeking changes to the regulations as well as the underlying statute. For more information, contact Joe Fitzgerald at fitzgeraldj@ncccc.com.
Zero-Emissions Vehicles
DNREC has published the draft regulations to amend Title 7 DE Admin. Code 1140 in order to adopt California’s Advanced Clean Car II plan, which requires that by 2025, 35% of new vehicles on dealer lots be either zero-emissions or partial zero-emissions vehicles, with an increase of 9% per year over the next nine (9) years until 100% of vehicles meet the California Advanced Clean Car II standards. They appear in the April 1 edition of the Register of Regulations. Our Chamber is leading a discussion on the draft regulations and developing a list of concerns that we do not believe are receiving due consideration such as access to affordable transportation for Delawareans, logistical hurdles to adequate charging infrastructure, the capacity of our antiquated electrical grid, inflationary pressure on the cost of electricity, electric generation capacity as more of the fleet demands electric, impact on businesses which need vehicles with a certain range, towing capacity, etc. Status: Published in Delaware Register/ virtual public hearing held on April 26, Comment period closed on May 26. Currently awaiting Secretary’s approval of final regulations. NCC Chamber Position: : OPPOSED as written. The Chamber is calling for the regulations to be stayed to allow for consideration of this proposal by the Delaware General Assembly.
BILLS SIGNED/ENACTED
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House Bills (Signed/Enacted)
HB 1 (Osienski): AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO MARIJUANA Synopsis: This Act removes all penalties for use or possession of a personal use quantity of marijuana and marijuana accessories. It further specifies that the adult sharing of a personal use quantity or less of marijuana is legal activity for those 21 years of age or older and that those 21 or older may possess, use, display, purchase, or transport accessories and personal use quantities of marijuana without penalty. When transporting in a vehicle, those items must be in a closed container or otherwise not readily accessible to anyone inside the vehicle. The statute also specifies certain activities which remain unlawful. Finally, the definition of "personal use quantity" of marijuana is updated to include not only 1 ounce or less of leaf marijuana, but also equivalent amounts of marijuana product in other forms. Status: Released from House, Health & Human Development Committee 1/25/23, Enacted without signature. NCC Chamber Position: Neutral
HB 2 w/ HA 1 & HA 2 (Osienski): AN ACT TO AMEND TITLES 4, 11, 16, AND 30 OF THE DELAWARE CODE RELATING TO CREATION OF THE DELAWARE MARIJUANA CONTROL ACT. Synopsis (abridged here): The Delaware Marijuana Control Act regulates and taxes marijuana for recreational use in much the same manner as alcohol. It creates a framework for production, manufacture, and sale in a legal recreational marijuana industry. [ …] Status: , Enacted without signature NCC Chamber Position: Monitoring/Successfully sought amendment in the House to clarify “employ at will” protections for employers which maintain a zero-use policy as a condition of employment (HA 1 to HB 2
HB 49 (Osienski): AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO UNEMPLOYMENT BENEFITS AND EMPLOYER ASSESSMENTS. Synopsis: This Act provides post-pandemic related relief to both claimants receiving unemployment benefits and employers who are assessed unemployment taxes. This bill will increase the maximum weekly benefit amount payable to claimants seeking unemployment compensation benefits from the Delaware Department of Labor, Division of Unemployment Insurance from $400.00 a week to $450.00 a week. The funds necessary to pay the increased weekly benefit amounts will be paid from the Unemployment Trust Fund. Delaware currently pays unemployment claimants less per week in benefits than claimants are paid in each neighboring state. The maximum weekly benefit amount has not changed since 2019. The Governor’s agreement to allow federal pandemic funds to be used to replace the funds in the Unemployment Trust Fund that were depleted from the surge of pandemic related claims has made the Unemployment Trust Fund sufficiently solvent so as to allow the Department to offer unemployment tax relief measures to Delaware employers for a one-year period during calendar year 2023, at a time when employers continue to face post-pandemic rising economic challenges, supply chain problems, and difficultly in staffing. This Act will provide temporary relief to employers who pay unemployment tax assessments by reducing the new employer tax rates, reducing or holding constant overall employer tax rates, and reducing the maximum earned rate. This Act will also temporarily simplify the tax rate schedules that are used to calculate unemployment assessments paid by employers. The Department estimates that these unemployment tax assessment changes will reduce the tax obligation of employers an estimated $50 million in 2023. The various tax assessment relief provisions set forth in Sections 2 and 3 of this Act are retroactive to January 1, 2023 and are intended to be in effect for the full calendar year 2023. Status: Signed by the Governor NCC Chamber Position: Support UI tax reduction/Monitor impact of increase in weekly benefit.
HB 51 w/ HA 1 (Vanderwende): AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO INSPECTION OF FLEET VEHICLES Synopsis: This bill allows the fleet inspection program to be applicable to a fleet of 10 or more vehicles (instead of 15) and counts trailers requiring inspection to count as fleet vehicles. Additionally, an inspection may be performed at any qualified inspection and repair facility authorized by the Secretary of Transportation instead of being limited to such facilities at the fleet headquarters. Status: : Signed by the Governor NCC Chamber Position: Monitoring
HB 54 (Williams): AN ACT TO AMEND TITLE 18, TITLE 29, AND TITLE 31 OF THE DELAWARE CODE RELATING TO INSURANCE COVERAGE OF EPINEPHRINE AUTOINJECTORS. Synopsis: Currently, all health insurance plans subject to requirements under Delaware law must include at least 1 formulation of epinephrine autoinjectors on the lowest tier of the carrier's drug formulary for individuals who are 18 years of age or younger. This Act expands this requirement to all covered individuals, regardless of age, by January 1, 2024. This Act also makes a technical correction to §§ 3571Y of Title 18 to add standard language about applicability, which is already in § 3370D of Title 18. Status: Passed Senate, Awaiting Action by Governor NCC Chamber Position: Monitoring
Senate Bills (Signed/Enacted)
SB 27 (Sturgeon): AN ACT TO AMEND TITLE 10 OF THE DELAWARE CODE RELATING TO LIMITATION OF ACTIONS FOR WORK, LABOR, OR PERSONAL SERVICES .Synopsis: This Act increases the statute of limitations for filing an action for recovery upon a claim for unpaid wages from 1 year to 2 years, making it consistent with the statute of limitations under the federal Fair Labor Standards Act, 29 U.S.C. §§ 201, et seq. Many employees who are terminated spend the first period of unemployment attempting to secure other employment. After this focus on finding employment ends, 1 year may have passed or be about to pass, preventing employees who are owed wages from a previous employer from seeking legal redress. This Act applies to claims when the date of the accruing of the cause of action on which the action is based is on or after the effective date of this Act. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. Status: PASSED House on March 28, Signed by the Governor. NCC Chamber Position: Monitoring
SB 29 w/ SA 1 (Townsend): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE STATE EMPLOYEE BENEFITS CONSOLIDATION ACT. Synopsis: To foster sustainability in state retiree healthcare benefits and the development of a plan for strong benefits beyond the current Medicare Supplement plan offered through January 1, 2024, this Act does all of the following: 1. Expands the membership of the State Employee Benefits Committee by adding a state retiree to the Committee and adding an additional representative from public sector union organizations; 2. Requires the Controller General to provide comprehensive biannual public reports to the General Assembly regarding the work of the State Employee Benefits Committee; and 3. Establishes the Retiree Healthcare Benefits Advisory Subcommittee of the State Employee Benefits Committee, whose membership will include three state retirees and four members of the General Assembly, and whose charge includes holding public meetings and issuing recommendations to the Governor and the General Assembly by May 1, 2023. Status: Signed by Governor NCC Chamber Position: Monitoring
SB 35 w/ SA 2 (Walsh): AN ACT TO AMEND THE LAWS OF DELAWARE RELATING TO THE BOND AND CAPITAL IMPROVEMENTS ACT OF THE STATE OF DELAWARE AND CERTAIN OF ITS AUTHORITIES FOR THE FISCAL YEAR ENDING JUNE 30, 2023. Synopsis: This Act amends the Fiscal Year 2023 Bond and Capital Improvements Act to (1) authorize the use of School Safety and Security Funds for school extracurricular activities; (2) authorize local funding to support Enhanced Minor Capital Improvements and the remediation of lead contaminated drinking water infrastructures; (3) adjust the procurement thresholds for the issuance of formal bids or RFPs; (4) authorize the Department of Transportation to use Community Transportation Funds for one-time reimbursements for various projects; (5) make changes to the Criminal Legal System Imposed Debt Study Group; (6) authorize the Department of Transportation Reprogramming Transfer; (7) authorize funding to complete the facility drainage project of Absalom Jones Performing Arts Center; (8) authorize the donation of the Division of Communications Shelter to the University of Delaware; (9) authorize the use of funding until the new Troop 6 facility is complete and available for occupancy; (10) allow New Castle County Vocational School District to proceed with construction of new athletic fields; (11) authorize the use of Irrigation System Conversion funds to reimburse a new poultry house demolition assistance program; (12) clarify the calculation of 3% limit of GF net revenue estimate for finance capital projects is applied to revenues identified in the revenue resolution for the fiscal year of the budget being adopted; (13) authorize Fort DuPont Redevelopment and Preservation Corporation to use funds for capital projects; (14) authorize Municipal Infrastructure Funds to be used for the North Bayshore Drainage Improvements; (15) authorize the Office of Management and Budget to engage in a pilot program to include Community Workforce Agreements; (16) authorize the Department of Transportation to engage in a Community Workforce Agreement for no more than two large public works projects; and (17) require a report from the Office of Management and Budget regarding State Facilities Market Pressure. Status: Signed by the Governor NCC Chamber Position: Support DBE & other DEI Provisions in the epilogue for the pilot projects. /Oppose Project Labor Agreement provisions
DEFEATED/TABLED BILLS
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HB 37 (Dorsey Walker): AN ACT TO AMEND TITLE 25 OF THE DELAWARE CODE RELATING TO LANDLORD OBLIGATIONS AND TENANT REMEDIES. Synopsis: It is the policy of this State that meaningful sanctions be imposed upon those who allow dangerous conditions and defects to exist in leased premises and that an effective mechanism be established for repairing these conditions and halting their creation. This Act allows tenants to bring an action of rent escrow to pay rent into the court because of asserted defects or conditions. Alternatively, the tenant may refuse to pay rent and raise the existence of the asserted defects or conditions as an affirmative defense to an action for summary possession or an action for nonpayment of rent. This Act requires the tenant to give proper notice and allow the landlord the opportunity to effect repairs. This Act requires the court to make appropriate findings of fact and to make any order that justice of the case may require, which may include termination of the lease and return of the leased premises to the landlord, order that the action for rent escrow be dismissed, order that the amount of rent be reduced in amount determined by the court to be fair and equitable, or order the landlord to make the repairs or correct the conditions complained of by the tenant. Status: Tabled in House Housing Committee, motion to release failed on 1/17/23. NCC Chamber Position: Monitoring
New Castle County Chamber of Commerce 