Legislative Update, Week of February 10, 2025
The 153rd General Assembly is in recess for the annual budget hearing break, reconvening on Tuesday, March 11. A link to the February and March budget hearing schedule follows: FY 2026 Joint Finance Committee Hearing Schedule (February & March)
Session Schedule 2025 (First Session)
House Agenda - Reconvening March 11th
Senate Agenda Reconvening March 11th
Scheduled Committee Hearings
Chamber Events: .
Upcoming Chamber Events, including pending Policy Makers Series Installments can be found on the Chamber Events Calendar.
Policy Makers Breakfast: featuring United States Senator Lisa Blunt Rochester (D-DE) [Info. & Registration].
- DATE & TIME: Wednesday, March 19, 8:00 a.m. – 10:00 a.m. (EST)
- LOCATION: HOTEL DU PONT, the du Barry Room, 42 W. 11th Street, Wilmington, DE 19801
- DATE & TIME, Monday, May 5, 4:30 p.m. – 7:30 p.m. (EDT)
- LOCATION: Chase Center on the Riverfront, 815 Shipyard Drive, Wilmington, DE 19801
- According to the Employment Situation Report for January 2025, issued by the Bureau of Labor Statistics on Friday, February 7, nonfarm payroll employment rose by 143,000 jobs in January, accompanied by a slight decrease in the unemployment rate to 4.0 percent.
- BLS data (CPI), indicate that inflation for all goods increased at a rate of 2.8 percent. Inflation rates for food at home (1.8%), gasoline (-3.4%), medical care services (3.7%), are reported, along with historical data, can be found at the following link: 12-month percentage change, Consumer Price Index, selected categories.
- The Monthly Labor Review for December 2024, published issued by the Delaware Department of Labor included the following synopsis: “The total seasonably adjusted number of workers in Delaware’s labor force fell to 502,700, a 14th consecutive month decline, and 7,000 fewer labor force participants than the prior year. December’s labor force participation (LFP) rate of 59.0 percent ends calendar year 2024 with the lowest rate since record keeping began in 1976. The US labor force grew in December to 168.5 million, while its LFP rate remain unchanged over-the-year at 62.5 percent. The number of unemployed Delawareans, 18,800, reached its lowest level since just before the Covid-19 Pandemic in February 2020 when there were 17,400 unemployed workers and the unemployment rate was 3.6 percent.”
The following is from a news item on Governor Meyer’s Delaware.gov page:
The State Employees’ Charitable Campaign (SECC) Steering Committee invites Delaware nonprofit organizations to apply for participation in the 2025 campaign. Applications opened on February 1, 2025, and must be submitted by 11:59 p.m. on March 31, 2025.
As the State of Delaware’s primary charitable giving initiative for employees and retirees, the SECC partners with the United Way of Delaware to connect donors with local nonprofit organizations serving families, children, and adults. In the 2024 SECC, state employees raised $311,255.63, surpassing the $300,000 goal, and supported 158 charitable organizations. The 2025 campaign runs September 1 through October 31, 2025.
“I’m proud that Delaware’s state employees are committed to giving back, and last year’s campaign surpassed its goal, supporting over 150 nonprofits. I encourage eligible organizations to apply and be part of this effort,” said Governor Matt Meyer.
Yvonne Anders Gordon, Secretary of the Department of Human Resources and SECC Chair, emphasized the campaign’s impact: “The State Employees’ Charitable Campaign is a powerful way for our employees to give back to their communities. We encourage Delaware nonprofits to apply to be part of the campaign and allow our state employees to help make a difference.
Access the application here. For eligibility details, visit the Resources for Charities page of the SECC website.
For additional information, contact Anna Davis, Statewide SECC Coordinator, by email at SECC@delaware.gov or call (302) 735-6300.
Meta in Talks to Move Corporate Domicile from Delaware to Texas
According to reporting in the Friday, January 31st, Wall Street Journal[i] Meta (formerly known as Facebook) is in discussions with the State of Texas regarding the possibility of moving its corporate domicile (state of incorporation) from Delaware to Texas. In the article, company sources indicated that other jurisdictions were under consideration as well.
In 2024, following a highly publicized case in which the Delaware Court of Chancery ruled in favor of plaintiffs who opposed Elon Musk’s pay package, Tesla moved its corporate domicile to Texas from Delaware.
Delaware has a well-earned reputation for being the premier U.S. jurisdiction for entity formation and domicile. A more than century-old body of case law, a distinguished judiciary, one of the best bar associations in the United States, and a consistent and methodical legislative process have all contributed to the growth and preservation of Delaware’s status. Other states have undertaken efforts to challenge Delaware’s primacy over the years, but the most recent challenge – and perhaps the most notable – is the establishment by the State of Texas of a special business court that commenced operation in September of 2024.
More than 35 percent of the State of Delaware’s General Fund revenue is closely tied to the Delaware Corporate Franchise, with other key sources also benefitting from the existence of the Franchise.
Legislation of Interest & Concern
Appropriations Bills
Fiscal Year 2025 (current fiscal year) Supplementals
SB 50 – Amending the FY 2025 Capital Budget
Fiscal Year 2026
HB 100 - FY26 Governor's Recommended Budget Bill
HB 101 - FY26 Governor's Recommended One-Time Supplemental Bill
SB 30 - FY26 Governor's Recommended Bond Bill
House Bills (Other Than Appropriations)
HB 5 (Spiegelman): AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO LEGISLATIVE OVERSIGHT OF AGENCY REGULATIONS. Synopsis: This Act requires that an enacted state agency regulation will automatically expire unless explicitly reauthorized by the General Assembly to continue. This Act creates the Joint Committee on Oversight of Agency Regulations (“Committee”) to engage in review and oversight of regulations adopted by State agencies and recommend to the General Assembly whether or not the regulations should be allowed to expire. Like laws in states such as Colorado and Utah, this Act does all of the following: (1) Requires that all regulations adopted by an agency during the 12-month period preceding each October 31 expire at 5:00 p.m. on the following June 30 unless the General Assembly enacts a law to remove the expiration of the regulation. (2) Establishes criteria for the Committee’s review of State agency regulations. (3) Establishes a process for the Committee’s review and oversight of State agency regulations, including the requirement of a staff report, public hearings, and Committee recommendations to the General Assembly. (4) If the Committee recommends a regulation not be allowed to expire, requires the Committee to draft and introduce a bill that removes the expiration of each regulation the Committee recommends not be allowed to expire. (5) The Committee Chair, Vice Chair, and members receive the same additional compensation as the Joint Legislative Oversight and Sunset Committee. Status: In House Administration Committee Chamber Position: Under Review
HB 12 (Williams): AN ACT TO AMEND TITLE 14 OF THE DELAWARE CODE RELATING TO TEACHER ACADEMY SCHOLARSHIPS. Synopsis: This Act creates a scholarship for students who have completed a Delaware Teacher Academy and are enrolled in a Delaware Educator Preparation Program. This scholarship supplements the Educator Support Scholarship and is intended to fill a $2500 funding gap for aspiring educators who are in their first year at an Educator Preparation Program. No more than 35 scholarships may be awarded. The scholarship will be expanded based on interest and funding in subsequent school years and will continue as funding is available. Status: In House Education Committee Chamber Position: Under Review
HB 21 (Williams) AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO TIANEPTINE. Synopsis: This Act bans the sale of Tianeptine in the State by identifying it as a Schedule I controlled substance. Tianeptine, also known as “gas station heroin,” is an antidepressant drug that is not approved by the FDA and is being sold as a dietary supplement in gas stations and other shops. This Act requires approval by a two-thirds vote because the statutory change will result in the expansion of an existing misdemeanor. Status: In House Health & Human Development Committee Chamber Position: Under Review
HB 23 (Williams) AN ACT TO AMEND TITLE 10 AND TITLE 11 OF THE DELAWARE CODE RELATING TO HUMAN TRAFFICKING. Synopsis: This Act makes the following changes to human trafficking law: (1) It adds “patronizing a victim of sexual servitude” and “ trafficking of persons for use of body parts” to the offenses that may serve as a predicate for forfeiture of property under the trafficking statute. (2) It removes an obsolete reference to charging a minor with delinquency for engaging in prostitution. The Criminal Code was revised in 2019 to define prostitution as a crime that may be committed only by a person who is 18 years of age or older. (3) It adds conduct constituting a human trafficking offense to the list of conduct that constitutes “abuse” for purposes of obtaining a protective order in Family Court. Status: In House Judiciary Committee Chamber Position: Under Review
HB 27 (Williams) AN ACT TO AMEND TITLE 11 OF THE DELAWARE CODE RELATING TO THE DELAWARE ANTI-TRAFFICKING ACTION COUNCIL. Synopsis: This Act makes changes to the operating requirements for the Delaware Anti-Trafficking Action Council. It reduces the members required for quorum from 13 to 10. Since the quorum requirement has been reduced to less than a majority of the Council, the bill also specifies that the Council may generally take action upon the vote of a majority of members present at a meeting, but that a majority vote of the Council members is required to approve the appointment of an Executive Director. Consistent with current practice, the Executive Director has the authority to hire staff and contract for services within the limits of available funds. The Act also revises the reporting on funds spent to be part of the annual report and include state, federal, or other funding received by the Council other than State-funded positions. At the present time, the Council does not receive state funding other than allocated personnel positions. Finally, the Act allows the Council to have a virtual meeting with a physical location open to the public (anchor location) so long as a staff member of the Council is present at the anchor location. Without this authorization, a member of the Council would be required to attend at the anchor location in order to comply with the State’s open meeting rules. Status: In House Judiciary Committee Chamber Position: Under Review
HB 29 (Shupe) AN ACT TO AMEND TITLE 14 OF THE DELAWARE CODE RELATING TO DELAWARE PUBLIC EDUCATION PROFILES. Synopsis: Each year, the Department of Education (Department) publishes data regarding all Delaware public schools, currently known as School Performance Data Reports (reports). These reports are available on the Department’s website as the Delaware Report Card. This Act revises current law to correspond with and codify current Department practices regarding these reports as follows: • Changes the term “Education Profile” to “education-related data” to reflect the broad range of data that the Department publishes, in addition to the annual reports required under existing State and federal law. • Requires that there is a link to these reports on the school choice website. • Requires that these reports continue to include proficiency rates. In addition, this Act requires that the Department do all of the following: • Provide a link to these reports on the home page of the Department’s website. • Include a list of a career pathways offered at a high school in these reports. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual which includes revisions to clarify repetitive, confusing, or contradictory language. Status: Released from House Education Committee and placed on the House Ready List Chamber Position: Monitoring/Under Review
HB 34 (Romer) AN ACT TO AMEND THE CHARTER OF THE CITY OF NEWARK AUTHORIZING THE CITY OF NEWARK TO LEVY A TAX ON COLLEGES AND UNIVERSITIES WITHIN THE CITY OF NEWARK. Synopsis: This Act amends the Newark Charter by authorizing the City of Newark to levy and collect a per student, per semester tax on Colleges and Universities that host in person classes which are located within the boundaries of the City of Newark. This tax applies to all colleges and universities including any organizations that are considered subdivisions or agencies of the State of Delaware or are otherwise tax exempt, including but not limited to the University of Delaware. The amount of the tax will be adjusted annually in an amount not to exceed the change in the Consumer Price Index for all Urban Consumers (Philadelphia-Camden-Wilmington, not seasonally adjusted). It also limits the available payment methods to restrict the use of credit cards for the payment of the aforementioned tax. 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 municipal charter. Status: In House Administration Committee Chamber Position: Under Review
Senate Bills Other than Appropriations
SB 46 (Mantzavinos) AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO AUTONOMOUS VEHICLES Synopsis: This Act prohibits any autonomous vehicle that requires a Class A commercial driver license without an O restriction from being operated on a Delaware highway for testing purposes, transporting goods, or transporting passengers without a human safety operator being physically present within the autonomous vehicle. A two-thirds vote requirement is required under Section 28 of Article IV of the Delaware Constitution. Status: Released from Senate Banking, Business, Insurance & Technology Committee Chamber Position: Opposed
SB 44 (Townsend) AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE DIAMOND STATE PORT CORPORATION. Synopsis: This Act makes changes to the Diamond State Port Corporation (“Corporation”). Specifically, this Act does the following: (1) Authorizes the Corporation’s Board of Directors (“Board”) to elect the Chair of the Board without the advice and consent of the Senate. Currently, the Governor appoints the Chair with the advice and consent of the Senate. (2) In Section 2, provides for a transition period after this Act takes effect to ensure the Board has a Chair until the Board elects a Chair under this Act. (3) Makes clear that the total membership of the Board is 14. The Director of the Division of Small Business was removed from the Board by Chapter 374 of Volume 81 of the Laws of Delaware, but the total number of members of the Board was not reduced to reflect the change. (4) Makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. 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 special act of incorporation. Status: In Senate Elections & Government Affairs Committee Chamber Position: Neutral/Monitoring
SS 1 for SB 41 (Buckson) AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO PURE FOOD AND DRUGS. Synopsis: This Act bans the manufacture, sale, delivery, distribution, holding with the intent to sell, and offering for sale in Delaware of food that contains Red dye 3 (CAS no. 16423-68-0). For purposes of this chapter and section, food includes drink, ice, confectionary, and condiments. Red dye 3 is a color additive made from petroleum that gives foods a bright cherry-red color. Any person that violates this Act is subject to a civil penalty as follows: (1) For a first occurrence, not to exceed $5,000, in addition to costs. (2) For a subsequent occurrence, not to exceed $10,000, in addition to costs. Each day on which a violation of this Act occurs constitutes a separate occurrence. In 2023, California became the first state to ban Red dye 3. Since then, 10 other states have introduced legislation to ban this dye, including our neighboring states of Maryland, New Jersey, and Pennsylvania. The Food and Drug Administration (FDA) received a petition in November 2022 calling on them to ban Red dye 3. The petition is actively pending consideration. The FDA has not yet issued a decision. Red dye 3, also labeled Red 3 or FD&C Red No. 3, is a synthetic additive used to color food and drink that has been linked to behavioral concerns in children and cancer. Red dye 3 is in thousands of foods, including those marketed to children. The U.S. Department of Agriculture’s Branded Foods Database at FoodData Central identified 9,201 U.S. food products that contain Red dye 3, including hundreds of products made by the country’s biggest food companies. However, Red dye 3 does not need to be in our food supply. Companies could replace Red dye 3 with natural colors from foods like beets, red cabbage, or black currants, or could simply leave it out entirely. Red dye 3 is added to food only to make it look more appealing. This Act takes effect on October 1, 2027, which is 9 months after California’s ban will go into effect. Status: In Senate Health & Social Services Committee Chamber Position: Under Review/Monitoring
SB 36 (Brown) AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS. Synopsis: This Act requires dealers to offer car buyers the opportunity to purchase a contract cancellation option agreement. The contract cancellation option agreement must allow buyers to cancel a car purchase no less than 3 business days after the dealer delivers the car to the buyer. The cost of the contract cancellation option is based on the cash sale price of the car. A dealer may also charge a restocking fee, based on the cash sale price, if a consumer cancels the car purchase. But the cost of the contract cancellation option must be credited to any restocking fee. If a consumer chooses to buy a car at the end of a lease and then exercises a contract cancellation option, a dealer may charge to that consumer any amount that would have been due under the lease for excess mileage, unrepaired damage, and excess wear and tear. The dealer must keep any trade-in motor vehicles through the end of the cancellation period. If a consumer cancels a car purchase, the consumer must return the car to the dealer along with the signed contract cancellation option. The car must be free of excess mileage, excess wear and tear, and liens, other than liens created by the sales contract or a loan used to finance the purchase of the car. The dealer must give a full refund, less the restocking fee, and must return any trade-in car. If the dealer mistakenly sells the trade-in car before the cancellation period ends and the buyer exercises the right to cancel, the dealer must also refund the fair market value of the car or the value listed in the contract, whichever is higher. A dealer is not required to allow the same consumer to purchase a cancellation option again within 30 days after the consumer exercises a cancellation option. A dealer is not required to give notice of the return of a motor vehicle under this Act to a subsequent buyer. This Act does not cancel or limit any disclosure obligation required by any other law. This Act does not affect or alter the legal rights, duties, obligations, or liabilities of the buyer, the dealer, or the dealer's agents or assigns, that would exist without a contract cancellation option agreement. The buyer is the owner of a motor vehicle when the buyer takes delivery of a motor vehicle until the motor vehicle is returned to the dealer under a contract cancellation option agreement. The existence of a contract cancellation option agreement does not impose permissive user liability on the dealer, or the dealer's agents or assigns. This Act does not affect a buyer’s ability of to cancel the contract or revoke acceptance under any other law. Status: In Senate Environment, Energy & Transportation Committee Chamber Position: Under Review/Monitoring
SB 34 (Brown) AN ACT TO AMEND TITLE 25 OF THE DELAWARE CODE RELATING TO TENANT'S RIGHT TO EARLY LEASE TERMINATION. Synopsis: This Act allows a tenant to terminate a rental agreement early if they are purchasing a home by providing 30 days' written notice to the landlord. The 30-day period begins on the first day of the month after the day the notice is given. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. This Act updates language for group or cooperative living facility and retirement home to the definition of long-term care facility in §1102 of Title 16. And this Act removes references to subsidized public or private housing from § 5314(b)(3) of Title 25 because it is repeated in § 5314(b)(4) of Title 25. Status: In Senate Housing & Land Use Committee Chamber Position: Under Review
SB 26 (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 who meet all other eligibility requirements qualify for unemployment benefits from the date they file their claim. However, if a labor dispute does not constitute a lockout, employees do not qualify for (i.e. are disqualified from receiving) unemployment benefits. This Act changes the law to allow an employee who is subject to a labor dispute, other than a lockout, to collect unemployment benefits after a 2-week waiting period, if the employee meets all the eligibility requirements for unemployment benefits, including being able and available for work and completing weekly job requirements. This Act provides that the 2-week waiting period established by this Act is waived if one or both of the following apply: (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. The Department of Labor may impose a penalty on an employer who fraudulently certifies the ability of an employee to return to the employee’s prior position on conclusion of the labor dispute. Status: In House Labor Committee Chamber Position: Under Review
SB 4 (Sturgeon) AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO THE OFFICE OF INSPECTOR GENERAL. Synopsis: This Act establishes an independent and nonpartisan Office of the Inspector General (OIG) and the position of the Inspector General. Under this Act, the OIG would be unique in state government as a non-political agency with a sole mission to investigate and prevent fraud, waste, mismanagement, corruption, and other abuse of governmental resources. The OIG will protect the health and safety of Delaware residents, assist in the recovery of misspent or inappropriately paid funds, and strengthen government integrity and the public trust in government operations by doing all of the following: 1. Investigating the management and operation of state agencies to determine if there has been waste, fraud, abuse, mismanagement, corruption, or other abuse of governmental resources that is harmful to the public interest, including the General Assembly’s management of governmental resources and routine administrative operations, such as requirements related to employment practices and procurement. The OIG authority in regard to the General Assembly is limited under the Delaware Constitution and thus cannot include the General Assembly’s legislative functions or disciplinary authority which are governed by the Delaware Constitution and the rules of proceedings adopted under § 9 of Article II of the Delaware Constitution. 2. Coordinating with other investigative and law-enforcement agencies, including the Attorney General and the Auditor of Accounts (Auditor). 3. Recommending corrective actions and statutory revisions, and, if necessary, make referrals to other law-enforcement agencies. 4. Providing reports to the Governor, Attorney General, and General Assembly, and these reports will be available to the public on the OIG website. The Inspector General will not duplicate the work of the Auditor, Attorney General, Public Integrity Commission, or other investigative or law-enforcement agencies and will work collaboratively, including through memoranda of understanding, with these agencies for the purposes of efficiency and coordination. Specifically, the Inspector General can be distinguished from these agencies as follows: • Under the generally accepted government auditing standards in the Yellow Book produced by the U.S. Government Accountability Office, both financial and performance audits are only designed to detect fraud, illegal activity, noncompliance, abuse, and waste. An auditor determines whether the subject matter meets criteria, reaches reasonable assurance, and follows directive standards. If an auditor detects fraud or other bad behavior, they must report it to an investigation agency. • The OIG will be an entirely independent investigation agency, charged with gathering evidence to identify the individual responsible for the bad behavior identified through an audit and prove that it occurred. For complaints the received from other sources, the OIG will investigate to determine if there is or has been bad behavior. In addition to proving instances of bad behavior, these investigations may also prove that an allegation is false or incorrect. • The OIG will not duplicate the work of existing ombudsperson offices because the OIG is primarily concerned with detecting and preventing fraud, waste, mismanagement, corruption, and abuse of governmental resources while ombuds programs are concerned with violations of the rights and treatment of specific populations. • If the OIG believes, based on an investigation, that there has been or continues to be significant problem regarding fraud, waste, mismanagement, corruption, or evidence of a crime, the Inspector General must report the finding to the Department of Justice (DOJ). If the DOJ does not take action on a referral, the OIG may pursue a civil action on behalf of the State. • The OIG will be unique in State government because the Inspector General is not elected and will be an entirely independent agency. The Inspector General will be selected through a process that requires a Selection Panel to provide 3 names to the Governor for consideration. The Governor will select a nominee from these 3 names for appointment as Inspector General and submit the nominee to the Senate for confirmation. Once confirmed, the Inspector General serves a term of 5 years. In addition, the DOJ is not responsible for providing legal advice, counsel, services, and representation to the OIG. In other states, the financial impact of investigations by the Office of Inspector General has exceeded the annual budget for that office by millions of dollars. Some examples of conduct that have been identified in states where an Inspector General has responsibilities similar to those under this Act include the following: • In Georgia, an agency administrator who faked multiple pregnancies, receiving 265 hours of leave for which she was not otherwise eligible to receive. • Massachusetts has recovered more than $245,000 from 13 former troopers within the State Police for overtime pay they received for hours they did not actually work. • In Indiana, a Department of Child Services worker was found to have falsified case notes regarding child welfare assessments. • In Louisiana, state agencies were found to have wasted more than $500,000 in non-refundable airline tickets that were allowed to expire and lose value. Under this Act, the selection process for the Inspector General begins within 60 days of enactment. Status: In Senate Executive Committee Chamber Position: Under Review
[i] Glazer, Emily, et al. “Meta in Talks to Reincorporate in Texas or Another State, Exit Delaware.” WSJ.Com, The Wall Street Journal, 31 Jan. 2025, www.wsj.com/tech/meta-incorporation-texas-delware-f06e8bab.