Message from the President

The financial health of Delaware’s state government is quite strong thanks in part to Governor Carney’s steadfast resolve to not add structural and ongoing obligations to the State operating budget, and the General Assembly for going along with that plan. The influx of federal dollars has been of benefit to the state capital budget and projects that could have taken years to complete—a new state hospital in Smyrna, new courthouses, libraries, and more— saw their schedules accelerated and these improvements will become a reality soon.

On the personal tax side of things, the state will usher in the first increase in the standard deduction in decades. This will be of benefit to middle- and lower-income Delawareans who previously were itemizing their taxes. The refundable Earned Income Tax Credit will be adjusted too and be of benefit to recipients.

Included in the 2024 capital budget is another proposed $10 million for site readiness. This investment helps the Delaware Prosperity Partnership market “ready site” locations for business growth or expansion. In his capital budget, the Governor also proposes to spend $25 million on Strategic Fund Investments for jobs in Delaware, another $10 million for graduation lab space, and $10.3 million on research collaborations. Other dollars are set aside for roads and important infrastructure upgrades. For example, the federal dollars that the State received will be used, in part, to finish the installation of broadband services to much of Kent and Sussex counties.

Despite inflation, higher borrowing costs, and workforce shortages, State finances are strong and the FY24 budget has priorities most businesses would agree are strategic.