ARTICLES IN THIS EDITION

• NEWS: Republican Leaders Respond to Governor Meyer's State of the State Address
• BRIEF: Bipartisan Bill to Move Delaware's Primary Elections, Save Money, Clears House 
• BRIEF: Legislators Explore Port of Wilmington's Future
• BRIEF: Bill to Remove Sussex Tech Attendance Limits Clears House
• BRIEF: Lawmaker Expresses Reservations About Affordable Housing Recommendations

Republican Leaders Respond to Governor Meyer's State of the State Address

The leadership of the Delaware House and Senate Republicans offered feedback immediately following Gov. Matt Meyer's delivery of his first State of the State Address on Thursday afternoon.

During the 44-minute speech to a joint session of the General Assembly in the Senate Chamber, the governor's remarks outlined his vision for a wide range of policy issues, including healthcare, school performance, education funding reform, cost-cutting, and new state agencies.

The General Assembly's Republican leadership found common ground with Gov. Meyer on some issues, while not so much on others:

Creating a Department of Veterans Affairs and a Delaware Inspector General: The governor endorsed creating a new Department of Veterans Affairs and a Delaware Inspector General. House and Senate Republicans have sponsored legislation to accomplish both goals for multiple General Assembly sessions, maintaining that the new agencies will provide significantly more value than the modest costs of establishing and operating them.

Improving Public Education: House and Senate Republicans agreed with the governor that the state's education performance--among the lowest in the nation--is unacceptable and needs to be addressed immediately.

Limiting Cell Phone Access in Classrooms: Republican leaders agreed with the governor on controlling and limiting cell phone use by students. (See Senate Bill 106, a bipartisan measure sponsored by State Sen. Eric Buckson, R-Dover).

Higher Taxes: The governor continued to call for higher income taxes on those earning more than $125,000. Republican leaders note these higher levies would disproportionately impact the state's leading employers--small businesses.

Education Funding Reform: Delaware's education spending per pupil is among the highest in the nation, but the formula the state uses to allocate funding is antiquated and complicated. The governor called for a new funding mechanism to be adopted by June 30th. Republicans support funding reforms but note that work has been underway on the issue since late last year, and that final recommendations are not due until October. Additionally, the local share of school funding is done through property taxes, and two of the state's three counties have yet to complete their property value reassessments.

Government Cost-Cutting: The governor said he is committed to a "government that cuts some programs and costs, using a scalpel, not a chainsaw." Republican leaders say cost-cutting is needed, given that state spending growth has rapidly outpaced revenue gains. Gov. Meyer's recent "budget reset" calls for a 7.4% budget hike, while revenues are expected to grow by less than a third of that rate.

Striking a Sour and Contradictory Note on Bipartisan Cooperation: State Rep. Jeff Spiegelman said some of the governor's remarks were needlessly divisive. "I find it interesting that the governor started off his speech by saying we shouldn't be partisan, like [Washington] D.C., and then he takes an absolutely unnecessary and totally inappropriate shot at the minority party in a very partisan way, lecturing us about federal issues over which we have no control."

Sen. Pettyjohn described the situation after the address, stating: "There are some decent things he said...[and] a lot of details that need to be fleshed out. We'll work together with him on things where we can work together and we'll oppose where we have to oppose."

In photo, from left: State House Republican Leader Tim Dukes (R-Laurel), State House Republican Whip Jeff Spiegelman (R-Townsend, Smyrna, Clayton, Kenton), State Senate Republican Whip Brian Pettyjohn (R-Georgetown), and State Senate Republican Leader Gerald Hocker (R-Ocean View).

To see the complete Republican response to the governor's remarks during a media availability, click here or on the graphic above.

To read the governor's complete State of the State Address, click here.

LEGISLATIVE BRIEFS

Bipartisan Bill to Move Delaware's Primary Elections, Save Money, Clears House

On a vote of 39 to 1, the House of Representatives this week approved a bill to move Delaware's primary elections from late summer to mid-spring.

The First State has the latest primary elections in the nation. House Bill 65 would change when the primary contests are held from the "second Tuesday after the first Monday in September" to the "fourth Tuesday in April." 

The timing of the primary elections has long been criticized because it occurs less than two months before the general elections. That short span gives the winning candidates little time to reorganize, replenish funds, and soothe and persuade their primary opponent's supporters.

During presidential election years, the new primary date would coincide with the staging of Delaware's presidential primary, saving taxpayers an estimated $1.5 million by condensing two election dates.

State Rep. Stephanie T. Bolden (D-Wilmington East) is sponsoring the measure, with State Rep. Lyndon Yearick (R-Camden, Wyoming, Woodside), in photo, among the co-sponsors.

The House of Representatives previously approved this proposal in 2023, but it was killed in the Senate.

Some legislators oppose the bill because incumbents would be inconvenienced by having to attend legislative session during some days preceding the election.

Legislators Explore Port of Wilmington's Future

State lawmakers met earlier this week with the Port of Wilmington's managers to discuss the facility's present and future.

Located at the junction of the Christina and Delaware rivers, Delaware's only commercial port has been challenged to maintain a profitable niche between vastly larger operations in Baltimore and Philadelphia. Now, the tide shows strong signs of turning in the port's favor.

Enstructure, which owns 22 marine terminals nationwide, took management control in August 2023 as part of a public-private partnership and has expanded the scope of products moving through Wilmington, traditionally consisting of light-duty vehicles, forest products, fresh fruits, and fruit juices.

Work on a major expansion of the port is underway just north of the current facility on a brownfield once occupied by Dupont's Edgemoor plant. The $669 million project, financed mostly with private money, with significant state and federal assistance, will build a modern container terminal capable of handling vessels carrying up to 16,000 20-foot shipping containers.

Wilmington's strategic location along the Northeast Corridor is bolstered by a significant benefit for ship operators. The new port will be five hours closer to the ocean than competing container facilities in Philadelphia and Baltimore. Bayard Hogans, President, Enstructure Mid-Atlantic, said these venues are also already operating at close to their maximum capacity.

While the Wilmington project has been slowed by federal permitting challenges lodged by Pennsylvania officials, those issues are being addressed and are not expected to be a major hindrance.

"During its construction, and afterward during its operation, this expansion will produce hundreds of stable, high-paying jobs for Delawareans with all levels of training and education," said State Rep. Ron Gray (R-Selbyville).

State Rep. Tim Dukes (R-Laurel) said the impact of the port's expansion will ripple throughout the state. "My district in southwest Sussex is about as far away from the port as you can get," he said. "But even Sussex County will experience benefits from this project. For instance, there are poultry companies that are currently exporting through Baltimore that will be able to use this facility to handle their shipping in the future."

In photo, from left: State Rep. Ron Gray (R-Selbyville), State Rep. Jeff Hilovsky (R-Long Neck, Oak Orchard); Bayard Hogans, President, Enstructure Mid-Atlantic, and State Rep. Tim Dukes (R-Laurel).

Bill to Remove Sussex Tech Attendance Limits Clears House

Earlier this week, the House of Representatives passed legislation to remove attendance limitations on Sussex Tech.

State Rep. Danny Short (R-Seaford), in photo, the prime sponsor of House Bill 90 (as amended), said the need for his measure is rooted in events that took place a decade ago. At the time, Sussex Tech had a rapidly growing enrollment of more than 1,500 students.

Rep. Short said the school's leadership during that period was problematic, with the board and superintendent pursuing their agendas with minimal accountability. Among the concerns expressed about the school were its practices for selecting applicants and its handling of students returned to their home districts.

State legislators reined in Sussex Tech by enacting bipartisan legislation that included a cap on student enrollment (currently set at 1,450), reduced the district's property tax rate, and required it to use a third-party lottery system to select student hopefuls.

Ten years later, the school is under new leadership, has incorporated corrective measures, and is building a new, larger complex.

The legislation, which passed without a dissenting vote on Tuesday, only removes the enrollment limitations, which the expansion project will make obsolete. Future capacity will be established by a "certificate of need" determined by the Delaware Department of Education.

The bill is now pending consideration in the Senate Education Committee. 

Lawmaker Expresses Reservations About Affordable Housing Recommendations

A group charged with investigating and making recommendations on how state and local governments can increase the production of affordable homes and rental units issued its recommendations this week.

“Affordable housing is an issue statewide, but it is especially problematic in my district and elsewhere in eastern Sussex County,” State Rep. Jeff Hilovsky (R-Long Neck, Oak Orchard), one of the 20 Affordable Housing Production Task Force members. “Home values and rents in the resort area are often so high that the people providing key services and support to the community cannot afford to live anywhere near where they work.”

The 2023 Delaware State Housing Authority Statewide Housing Needs Assessment concluded that 50% of Delaware home renters and 21% of Delaware homeowners spent at least 30% of their gross household income on rent or mortgage.

The final task force report listed nine objectives, including increased funding for affordable housing, adopting a statewide building code, and incentivizing developers to create affordable housing units.

Rep. Hilovsky said that while he was eager to be a part of this initiative and proud of much of the work, he has some major reservations about the end product. "I think the task force was structurally flawed," he said. "It did not include anyone representing DelDOT or local governments—two entities that will play a considerable role in siting and providing access to any housing project. I am concerned that in pursuing the well-intentioned goal of creating affordable accommodations, the state will enact a law usurping the zoning authority of municipal and county governments, excluding local elected officials and citizens from a process in which they should be closely involved.” 

To access the report, click here.