By Evan R. Park
​
​The 2026 Delaware primary election will be held on Tuesday, September 15, 2026, determining which candidates in contested party primaries will advance to the November general election. For Delaware’s business community, the election is an opportunity to learn more about the candidates who may shape state policy on issues including taxes, workforce development, education, health care, housing, infrastructure, energy, regulation, economic development, and public safety.

This nonpartisan overview highlights key General Assembly primary races across the state, focusing only on contested September primary races. Candidates who are unopposed in the primary and will advance directly to the general election are not included.

All candidates in the featured races are listed. Where campaign websites or other publicly available campaign materials outlined policy priorities, those positions are summarized. If a campaign website was not available to pull this information from, that is noted.

Use the dropdowns below to explore each race, learn more about the candidates, and review the priorities they have discussed publicly.
Please note that the information provided is for informational purposes only and does not constitute an endorsement, evaluation, ranking, or recommendation of any candidate.

With the primary approaching, now is also a good time to make sure you are ready to vote. The deadline to register to vote in Delaware’s 2026 primary election is this Saturday, August 22. Delaware is a closed primary state, meaning voters registered as Democrats may vote in the Democratic primary, and voters registered as Republicans may vote in the Republican primary.

Not sure which races will appear on your ballot? Visit the state’s Voter Portal to check your registration status, view a sample ballot based on your polling location, find your polling place, and access other personalized voting information.
​
Early voting for the primary begins September 2, and polls will be open from 7 a.m. to 8 p.m. on Tuesday, September 15. For additional information or questions about voting deadlines, early voting, absentee voting, or Election Day, visit the Delaware Department of Elections’ website.

By Evan R. Park

The 153rd General Assembly concluded as the sun rose this morning, marking the end of the first General Assembly under Governor Matt Meyer. After what some would consider a tumultuous first year in office, Governor Meyer, for the first time, was able to develop and introduce his own Governor's Recommended Budget, outlining his legislative priorities. While much of the attention centered on education and healthcare spending, there was plenty that mattered to Delaware's business community.

The second leg of the 153rd General Assembly convened on January 13, 2026, with lawmakers prioritizing several high-impact issues, including hospital budget oversight, reforms to New Castle County's nonresidential property assessments, education funding changes aligned with the Redding Consortium's recommendations,  review of the Governor’s Recommended Budget, and veto overrides of Senate Bills 63 and 75. 

The Governor's Recommended Budget totaled $6.94 billion in General Fund spending. It's a fiscally cautious plan, with appropriations set at 98% of projected revenue while the State's rainy-day reserve, the Budget Stabilization Fund, stays steady at $469.3 million. Translation: this is largely a "stay the course" budget rather than a dramatic policy shift. 

In total, 591 bills and resolutions were introduced during the 2026 legislative session. The State Chamber closely monitored 77 key bills, taking formal positions on 30 (15 in support and 15 in opposition), gathering member feedback, testifying at committee hearings, and proposing amendments to ensure the unified voice of Delaware's business community was heard.

​A few of the pieces of legislation the Delaware State Chamber of Commerce supported and was most actively engaged on included Sen. Spiros Mantzavinos' banking modernization package (Senate Bills 16, 18 and 19), Sen. Russ Huxtable's Senate Bill 23 to increase the supply of affordable housing, Sen. Bryan Townsend's Senate Bill 280 addressing gift card theft at retail stores, and Sen. Darius Brown's Senate Bill 315 updating the Delaware Technical Innovation Program.

Through thoughtful collaboration with a broad range of stakeholders and policymakers, the Delaware State Chamber successfully opposed several proposals, including Sen. Dave Walsh's Senate Bill 272, which would have expanded Project Labor Agreement (PLA) requirements for school district public works contracts; Rep. Cyndie Romer's House Bill 306 related to chatbots; Rep. Kim Williams' House Bill 315 related to interchange fees; and House Bill 417, which would have provided gross receipts tax relief only to certain restaurants. Despite our coordinated efforts, several bills the Delaware State Chamber opposed ultimately passed both chambers, most notably House Bill 380 related to data privacy, as well as several energy and environmental measures that we believe do not position Delaware as welcoming to economic development, with Senate Bill 326 serving as a prime example.

​The General Assembly also passed a $6.9 billion operating budget for FY27 (Senate Bill 335), along with a $146.2 million one-time supplemental budget (Senate Bill 336), and and almost $1.3 billion Bond and Capital improvements budget (House Bill 500). Governor Meyer has now since signed the budget. 

Below is a complete list of all the pieces of legislation that the Delaware State Chamber of Commerce engaged in during the 2026 legislative session.  While some of the bills mentioned early got the majority of our focus there were several others that we monitored that represent out legislative priorities.  
​
OVERVIEW OF KEY BILLS: 

WHAT'S NEXT?

With the 153rd General Assembly now adjourned, attention turns to the 2026 election season. Eight members of the General Assembly are retiring at the end of their terms: Senate President Pro Tempore David Sokola and Sen. Dave Lawson, and Reps. Debra Heffernan, Ron Gray, Rich Collins, Kevin Hensley, Charles Postles, and Jeff Hilovsky. We congratulate each of them on their public service and wish them all the best in retirement.

Because this marks the end of the two-year legislative session, any bill that did not pass both chambers will need to be reintroduced when the 154th General Assembly gavels into session on January 12, 2027. Throughout the legislative offseason, the Delaware State Chamber will continue working with members and policymakers to identify priorities and advance policies that strengthen Delaware's business climate ahead of next year's session. Please email me at [email protected] if you have any questions or concerns. 

Editor’s note: This blog was updated Aug. 14 to correct the number of bills supported and opposed. The State Chamber supported 17 bills and opposed 17 bills; both figures were previously listed as 15 in error.

​By Evan R. Park

Gift card scams are on the rise, and Delaware lawmakers are taking notice with Senate Bill 280.

Nationally, the Federal Trade Commission logged more than 41,000 gift card fraud reports in 2024, totaling over $212 million in losses, with 2025 numbers expected to be just as bad.

Introduced by Sen. Bryan Townsend, Senate Bill 280 would amend Title 11 of the Delaware Code to create a specific crime for gift card theft. Under the proposal, someone commits gift card theft if they act with intent to defraud and:

• Take or keep a gift card (or the info needed to use it) without permission from the cardholder, issuer, or seller
• Tamper with a gift card or its packaging
• Run a scam to trick someone into handing over a gift card or its access information
• Use a gift card obtained through any of the above to get money, goods, or services

The bill defines key terms including "closed-loop" cards (usable at one store or chain) and "open-loop" cards (usable anywhere, like a prepaid Visa or Mastercard) and sets penalties under existing theft statutes (§841(c) and (d)).

Why does this matter for Delaware businesses?

• Retailers sell the product that gets exploited. Any business that sells gift cards — convenience stores, grocery chains, restaurants, big-box retailers — is a potential entry point for fraud, whether that's a scammer tampering with cards on a display rack or draining a card's value before it's even purchased.
• Customers blame the business first. When a customer discovers their gift card has been drained or stolen, the retailer or restaurant that sold it is usually the first call not law enforcement. Clear, enforceable criminal statutes give businesses something concrete to point to and can support faster law enforcement response, which helps protect customer trust and your brand's reputation.
• This bill would close a legal gap. Delaware currently relies on general theft and fraud laws that weren't written with gift cards in mind. This bill creates a tailored statute that's easier for prosecutors to apply, which could mean more successful prosecutions and a stronger deterrent effect.
• This bill could affect loss-prevention and compliance planning. Businesses that issue or sell gift cards may want to revisit how cards are displayed, secured, and monitored in stores, since clearer legal definitions of tampering and fraud could shape what "reasonable care" looks like going forward.

Overall, Senate Bill 280 has a low compliance burden, and a high upside. Unlike many regulatory bills, this one doesn't impose new paperwork, reporting, or operating requirements on businesses. It strengthens the legal tools available when your business or your customers are victimized.

Senate Bill 280 was on the legislative agenda for consideration Thursday June 25th, and the Delaware State Chamber is optimistic about its passage. 

*Legislation update as of 6/26/26: Senate Bill 280 passed. 

By Evan R. Park
​
As the 153rd General Assembly inches toward its close on June 30, several bills are moving that could have a meaningful impact on Delaware businesses. Here's what the Delaware State Chamber is supporting:

Innovation and Small Business Funding
Senate Bill 315, sponsored by Sen. Darius Brown, would allow the Division of Small Business to provide matching grants to Delaware small businesses that receive federal SBIR or STTR awards, a potential boost for homegrown research, development, and commercialization efforts. The bill has already passed the Senate.

House Bill 211, introduced by Rep. Bill Bush, would create a tax credit for business accelerators to incentivize the growth of innovative companies in Delaware. Eligible recipients could reduce their tax burden by up to 50%, with the program administered by the Division of Revenue. As of yesterday, this bill is out of the House Appropriations committee. 

Child Care and Workforce
House Bill 447, sponsored by House Speaker Melissa Minor-Brown, would coordinate state-level planning around child care affordability, including voluntary cost-sharing among the state, employers, and families. For businesses struggling with workforce recruitment and retention, expanded access to affordable child care could be a valuable tool. HB 447 voted out of the Senate Education committee today. 

Housing and Land Use
Senate Bill 23, sponsored by Sen. Russ Huxtable, aims to increase Delaware's housing supply, a key factor in attracting and retaining workers. This is now out of the House Housing committee. 

House Substitute 1 for House Bill 450, or the ROAD-DE Act, is being led by Rep. Bill Bush and would overhaul Delaware's land-use permitting process, building on Gov. Matt Meyer's Permitting Accelerator initiative to address regulatory delays affecting jobs, housing, and infrastructure projects. This bill is also out of the House Appropriations committee. 

Real Estate Transfer Tax Relief
Two bills, House Bill 416 and House Bill 286, propose reductions to Delaware's realty transfer tax.

​House Bill 416, sponsored by Rep. Kim Williams, would reduce the statewide rate from 3% to 2%, effective Jan. 1, 2027.

House Bill 286, introduced by Rep. Lyndon Yearick, would provide targeted relief for residential properties by eliminating the state transfer tax on homes valued at $350,000 or less and phasing in reductions for properties valued up to $500,000.

Environmental Permitting and Compliance
House Bill 456, sponsored by Rep. Cyndie Romer, would streamline DNREC's subaqueous lands permitting process by adding exemptions, expanding the use of general permits, and establishing processing timelines, a welcome change for businesses navigating waterfront or coastal projects. This bill passed the house and is waiting for consideration from the Senate Environment, Energy, & Transportation committee. 

House Bill 402, sponsored by Rep. Debra Heffernan at the request of the Department of Natural Resources and Environmental Control, would reauthorize Clean Air Act Title V operating permit fees through 2029 while updating the fee structure for facilities operating under air quality permits. The bill made it out of the Senate Environment, Energy & Transportation committee last week. 

House Substitute 1 to House Bill 407, also sponsored by Rep. Heffernan, would clarify and expand DNREC's authority to respond to environmental emergencies and recover associated costs.

We will continue monitoring and advocating for these bills as they advance. If you have any questions about any of these bills or more, feel free to email me at [email protected]. 

By Evan R. Park

With just seven days remaining in Delaware's legislative session, several bills have significant implications for our membership. As lawmakers work toward the June 30 deadline, the Delaware State Chamber of Commerce is closely monitoring legislation that could impact public construction projects, tax policy, and housing development.

Senate Bill 272: Mandatory PLAs on School Construction Projects
One of the most closely watched bills is Senate Bill 272, sponsored by Sen. Jack Walsh. The legislation would require Project Labor Agreements (PLAs) on public school construction projects exceeding $5 million.

PLAs are pre-hire agreements that establish labor and contracting conditions before construction begins. Supporters argue that these agreements improve coordination among contractors, reduce labor disputes, and help keep projects on schedule.

However, the business community has raised significant concerns about the proposal. We, among with other critics, argue that mandatory PLAs may discourage non-union contractors from bidding on projects, reducing competition and potentially increasing costs for taxpayers. There is also concern that smaller and locally owned construction firms could face additional barriers to participating in public projects.

Despite considerable opposition expressed during public comment before the House Labor Committee, the bill was released from committee and now awaits consideration by the full House of Representatives. SB 272 is expected to remain a focal point of debate as session moves towards its end.

DSCC Position: Opposed

House Bill 417: Targeted Gross Receipts Tax Relief for Restaurants
Another bill advancing through the General Assembly is House Bill 417, sponsored by Rep. Kim Williams. The measure would increase the monthly Gross Receipts Tax (GRT) deduction available to restaurants from $100,000 to $250,000. It would also raise the quarterly deduction for qualifying restaurants from $300,000 to $750,000.

Delaware has approximately 2,286 licensed restaurants, with 695 who have paid the Gross Receipts Tax during the past year. If enacted, the legislation would eliminate GRT liability for roughly half of those restaurants.

Since some businesses, but not all, would benefit from the proposal, we have concerns about providing tax relief to a single industry rather than pursuing broader GRT reform that benefits Delaware's entire small business community. More than 60,000 Delaware small businesses are subject to various tax and regulatory burdens, and we believe that any meaningful GRT reform should be comprehensive and inclusive of all of those businesses. We also worry that industry-specific tax relief creates divisions among sectors that would otherwise benefit from working together on broader business policy priorities. 

We have actively pursued, and will continue to pursue, legislation that benefits all GRT payers, and have shared a proposal that would provide meaningful relief for the broader business community.
​
DSCC Position: Opposed

Senate Bill 23: Expanding Delaware's Housing Supply
Senate Bill 23, sponsored by Sen. Russ Huxtable, represents a different policy focus: increasing Delaware's housing supply.

The bill recently passed the Senate and is designed to address housing availability challenges across the state. While additional details and amendments may emerge as the bill advances, supporters view it as an important step toward expanding housing opportunities and supporting Delaware's long-term economic growth. Adequate housing supply remains a critical issue for employers across the state, affecting workforce recruitment, retention, and affordability.

The bill passed the Senate on Thursday afternoon. We will continue monitoring the bill's progress as it moves through the House in the final days of session.

DSCC Position: Supporting

HCR 144: Exploring New Uses for Public Properties
House Concurrent Resolution 144, sponsored by Speaker of the House Melissa Minor-Brown, was released from the House Administration Committee this week and would direct state and local officials to develop a framework for identifying underutilized public properties and evaluating potential future community uses, including affordable housing, affordable senior housing, and child care.
​
We applaud Speaker Minor-Brown's leadership on this thoughtful initiative, which mirrors ongoing Delaware State Chamber Foundation efforts to examine how communities can better leverage existing state buildings to address housing, child care, and workforce needs.

DSCC Position: Supporting

Looking Ahead
As the General Assembly enters its final days of session, these bills highlight several key issues facing Delaware businesses: maintaining competitive public contracting, pursuing fair and broad-based tax reform, and addressing the state's housing needs.
Our members should continue to follow these proposals closely, as the decisions made before June 30 could have lasting implications for Delaware's economic competitiveness, workforce, and business climate.

*This blog was updated on 6/13/26 to add a sentence regarding HB 417 and our ongoing efforts to pursue alternative legislation that would benefit all impacted businesses across Delaware.

The Delaware State Chamber of Commerce welcomes its newest team member, Kiley Michulka, who joined the organization this week as events manager. Kiley will oversee the State Chamber’s full calendar of events, helping to deliver programming that brings together business leaders, policymakers, educators, and community partners from all across Delaware.

Where are you from?
I am from North Wilmington, Delaware. I graduated from Concord High School in 2022. 

You just earned your degree in hospitality business management from the University of Delaware. What originally drew you to the program, and what made you decide to stay in Delaware after graduation?
​I was drawn to the University of Delaware's hospitality program because of its hands-on approach and strong reputation. It aligned well with my passion for planning, organization, and creating memorable experiences. One of the most valuable parts of the program was the opportunity to gain real-world experience working in Vita Nova, the student-run restaurant on campus. I chose to stay in Delaware after graduation because it's home, and I love the state and everything it has to offer. I'm also currently pursuing my MBA through the University of Delaware's 4+1 program.
​
What excites you most about joining the Delaware State Chamber of Commerce as events manager?
This is my first full-time role after graduating with my Bachelors degree, so I am most excited to learn from my colleagues, build relationships within Delaware's business community, and help create meaningful events that bring people together.

The State Chamber hosts everything from networking receptions to large-scale conferences. What do you enjoy most about planning and managing events?
What I enjoy most about planning and managing events is the organization and problem-solving that happens behind the scenes. I spent time as a wedding planning assistant, so I understand the level of detail and work required to put on events of all sizes. It's very rewarding to see an event come together after months of work. 

What do you love most about Delaware?
What I love most about Delaware is having easy access to the beaches while still being close to major cities. I also enjoy supporting the state's many locally owned coffee shops and small businesses. My personal favorite coffee shop is Cafeneo Bakery in Newark. I lived right behind it when I lived in Newark as a student. 

Do you have a favorite Delaware spot?
My favorite spot in Delaware is Lewes Beach. My family has a house there! 

What do you enjoy doing in your free time when you're not planning events?
In my free time, I enjoy spending time with friends, whether that's trying a new restaurant, grabbing coffee, or heading to the beach.

What's something people might be surprised to learn about you?
I am one of six kids. People may be surprised to learn that I share a birthday with my younger brother, but I am exactly 11 years older. 

If you could attend any event in the world, past or present, what would it be?
I'd have to say either Oktoberfest in Germany or New Year's Eve in Sydney, Australia. 

Please welcome Kiley to the Delaware State Chamber! Or join us next week at our Networking Breakfast at Armco Aquatics to meet her in person!

By Evan R. Park

Several significant bills are moving through the Delaware General Assembly right now, and depending on your industry, they could affect operating costs, permitting timelines, data practices, or energy usage. Here is a breakdown of what’s being considered and what it could mean for Delaware businesses.

PLAS on Public School Construction (Senate Bill 272)
Introduced by Sen. Walsh, Senate Bill 272 would require Project Labor Agreements (PLAs) on public school construction projects exceeding $1 million. PLAs establish labor and contracting conditions before a project begins. Supporters argue they improve coordination and reduce work stoppages. Opponents contend they limit competition and increase costs.

The primary concern from the business community is that mandatory PLAs can discourage non-union contractors from bidding on projects, resulting in fewer bids, reduced competition, and potentially higher costs for taxpayers. Small and local construction firms could be disproportionately impacted.

An amendment has been introduced that would raise the threshold from $1 million to $5 million. The change would reduce the number of projects subject to mandatory PLAs and limit requirements to projects where union contractors are already actively competing.

DSCC Position: Opposed

Clean Air Permit Fees Extended Through 2029 (House Bill 402)
Introduced by Rep. Debra Heffernan, House Bill 402 extends Delaware’s Clean Air Act Title V Operating Permit fee program through 2029. The program applies to major industrial facilities and other regulated emissions sources.

While the legislation maintains the current fee structure in the short term, it increases fees beginning in 2027 and permits future increases tied to inflation. The bill also updates how emissions and staffing levels are calculated when determining fees.

For manufacturers, utilities, chemical companies, and other regulated facilities, the bill provides regulatory continuity while also signaling higher compliance costs in the years ahead. Businesses operating under a Title V permit should begin planning for those increases now. The bill has already passed the House and would take effect Jan. 1, 2027.

DSCC Position: Supporting

Expansion of Delaware’s Data Privacy Law (House Bill 380)
House Bill 380 makes substantial changes to Delaware’s Personal Data Privacy Act (DPDPA), originally enacted in 2023. One of the most significant changes is that more businesses will fall under the law’s requirements. The threshold for coverage would drop from businesses processing personal data on 35,000 Delaware consumers to 10,000 consumers. For businesses involved in the sale of personal data, the threshold would decrease from 10,000 consumers to 5,000.

Businesses that collect or process personal data from Delaware residents should carefully evaluate whether the law will apply to them under the revised thresholds.

Key changes include:

• Stricter rules surrounding data sales. The bill further defines what constitutes the “sale” of personal data, including exchanges involving monetary or other valuable consideration. Certain vendor relationships remain exempt, though additional obligations apply when sensitive data is involved.
• Expanded protections for sensitive data. Health information, financial account numbers, biometric data, government identification numbers, and neural data would all receive heightened protections. Businesses selling sensitive data would need explicit consumer consent, advance notice, documented necessity, and consent records retained for five years.
• Mandatory vendor contracts. Businesses sharing consumer data with third parties would need written agreements outlining the purpose of the relationship, requiring DPDPA compliance, and granting audit rights.
• New obligations for AI and automated decision-making. Businesses using AI or algorithms in decisions related to employment, housing, credit, healthcare, or similar areas would need to notify consumers of adverse decisions, explain the data used, and provide a process for human review. Certain Fair Credit Reporting Act-regulated activities would remain exempt.
• Lower thresholds for risk assessments. Formal data protection assessments would be required for businesses processing data on 50,000 or more consumers, down from the current threshold of 100,000.
• Updated exemptions for financial and healthcare entities. Banks, credit unions, insurance companies, and certain healthcare organizations should review the revised exemption language carefully to determine whether they still qualify.

Violations would be treated as unlawful business practices and enforced by the Delaware Department of Justice.

Earlier this week at the Delaware State Chamber’s End-of-Session Policy Conference, Rep. Krista Griffith, the bill sponsor, sat down with me and discussed House Bill 380 and its implications for Delaware businesses. Although the law would not take effect until Jan. 1, 2027, businesses should begin reviewing data practices, vendor contracts, and privacy policies now.

DSCC Position: Monitoring for Amendments

Permitting Reform and ROAD-DE Act (House Bill 450)
House Bill 450, known as the ROAD-DE Act, represents one of Delaware’s most significant land-use reform proposals in recent years. The legislation, introduced by Rep. Bush, is intended to reduce permitting delays, encourage housing development, and create greater predictability around infrastructure costs.

Key provisions include:

• Reduced traffic study requirements. Traffic impact studies would only be triggered for projects generating 500 or more peak-hour trips, rather than based on total daily traffic volume. This could reduce costs and shorten timelines for many projects.
• Incentives for downtown development. Projects located within designated Downtown Development Districts would be exempt from traffic impact studies.
• Higher housing density allowances. Growth areas would be required to permit at least four dwelling units per acre and allow multifamily housing development.
• Standardized transportation impact fees. Beginning in 2027, DelDOT would implement a uniform impact fee system intended to provide developers with greater cost predictability.
• Technology upgrades at DelDOT. The bill calls for AI-driven traffic analysis tools that could help streamline permitting reviews in the future.

Delaware’s permitting process has long been viewed as slower and less predictable than neighboring states. Businesses involved in construction, engineering, development, or housing should closely monitor this legislation.

DSCC Position: Supporting / Monitoring

New Energy Requirements for Large Data Centers (House Bill 445)
House Bill 445, the Delaware Large Energy Use Facilities Act, targets data centers consuming 30 megawatts or more of electricity.

Under the legislation, introduced by Rep. Heffernan, qualifying facilities would be required to generate their own in-state power through renewable or nuclear sources, submit long-term energy transition plans, meet self-generation minimums before connecting to the public grid, and enter into 30-year agreements with the Public Service Commission. Facilities that fail to meet energy production targets could face penalties.

Supporters argue the bill would help protect grid reliability and shield existing ratepayers from rising energy costs associated with large-scale energy users. For developers and operators, however, the requirements could create significant financial and operational challenges.

The legislation could also increase demand for renewable energy development within Delaware, potentially creating new opportunities in that sector.

DSCC Position: Monitoring

Changes to Delaware’s Constitutional Amendment Process (House Bill 440)
House Bill 440, introduced by Rep. Harris, would create an alternative process for amending Delaware’s Constitution. Under the current system, constitutional amendments must be approved by two successive General Assemblies. House Bill 440 would allow lawmakers to place amendments directly on the ballot for voter approval, requiring a 55% vote threshold for passage.

While procedural in nature, the bill could have long-term implications for Delaware’s legal and regulatory environment. Delaware’s constitutional framework plays a significant role in the state’s business and corporate law landscape, making any proposed changes worth monitoring closely.

DSCC Position: Monitoring

Also Moving: Caffeine-Related Legislation
Two additional bills introduced by Rep. DeShanna Neal recently cleared the House Health and Human Development Committee and now head to the full House:

• House Bill 394 — Restrictions on caffeine sales to minors
• House Bill 396 — Caffeine disclosure requirements

Businesses in the food, beverage, and retail industries should continue monitoring both proposals.

DSCC Position: Opposed / Seeking Amendments

The Bottom Line
With the General Assembly now on break for Joint Finance Committee markup over the next two weeks, businesses and organizations have an important opportunity to provide feedback and raise concerns with legislators or with the Delaware State Chamber before many of these bills return for consideration.

What's clear is that staying engaged in the process matters. If any of these bills affect your business, now is the time to make your voice heard — not after they pass. 

Reach out to me at [email protected] if you have any questions, concerns, or feedback. 

By Evan R. Park
​
​​Several bills advanced in Dover this week touching on innovation funding, environmental permitting, and Delaware’s business fee structure, with implications for startups, manufacturers, technology firms, and other regulated industries across the state.

Senate Bill 315: Expanding Support for Delaware Innovation and Federal Research Funding
Senator Darius Brown has introduced Senate Bill 315, which would expand financial support through the Delaware Technical Innovation Program for small businesses participating in federal innovation grant programs, including the SBIR (Small Business Innovation Research) and STTR (Small Business Technology Transfer) programs.

What the Bill Does
SB 315 authorizes the Delaware Division of Small Business to provide:

• Matching funds or supplemental grants to eligible Delaware small businesses receiving federal SBIR or STTR awards.
• Support for both Phase I and Phase II federal award recipients.
• Funding aimed at advancing research, development, commercialization, and economic growth in Delaware.

To qualify, businesses must: 

• Have their principal place of business in Delaware.
• Certify that the funded work or commercialization activity will benefit Delaware’s economy.

The bill also gives the Division of Small Business flexibility to establish application requirements, award amounts, and program guidelines based on available funding.

Why It Matters for Delaware Businesses
This legislation strengthens Delaware’s support for innovation-driven small businesses by helping companies bridge funding gaps between federal grant phases and accelerate commercialization efforts.

For Delaware startups, life sciences companies, manufacturers, and technology firms, the expanded program could:

• Improve access to early-stage capital.
• Help businesses retain and grow operations in Delaware.
• Increase competitiveness for federal research funding.
• Encourage job creation and innovation within the state.

The measure reinforces Delaware’s commitment to supporting entrepreneurship, technology development, and high-growth small businesses.

Status: Reported out of the Senate Housing and Land Use Committee
DSCC Position: Supportive / Monitoring

House Bill 402: Clean Air Act Title V Permit Fee Program Extension
Rep. Debra Heffernan has introduced House Bill 402 extending the state’s Clean Air Act Title V Operating Permit fee program through 2029. The program applies to major industrial facilities and certain “synthetic minor” sources that require air quality permits under federal law.

What the Bill Does

• Extends DNREC’s authority to collect annual Title V operating permit fees for an additional three years (2027–2029).
• Maintains the existing fee structure, which includes:
  • A base fee tied to permitting, compliance, and enforcement work performed by DNREC.
  • A user fee based on facility emissions levels.
  • A program fee based on the combined total of the other fees.
• Updates the underlying emissions and staffing data used to calculate fees.
• Increases program fee amounts across all fee categories beginning in 2027.
• Continues annual reporting, oversight, and advisory committee review requirements.
• Allows fees to increase annually by no more than the federal Consumer Price Index, subject to committee approval.

Why This Matters to Delaware Businesses
This legislation ensures Delaware remains compliant with federal Clean Air Act requirements by keeping the Title V permitting program fully funded through industry-paid fees rather than taxpayer dollars. Businesses operating facilities subject to Title V permits should expect continued annual permitting costs and, in many cases, higher program fees beginning in 2027.

For manufacturers, utilities, chemical facilities, and other regulated operations, the bill provides regulatory certainty by extending the permitting framework through 2029 while preserving DNREC’s authority to administer and enforce air quality permits. Companies should review projected fee impacts and incorporate potential increases into future compliance and operational budgeting.
​
Effective Date: January 1, 2027
Status: Reported out of the House Natural Resources and Energy Committee
DSCC Position: Supporting

Other Legislative Activity
On May 12, House Bill 400, legislation increasing various fees paid to the Secretary of State's office, passed both the House and Senate and now awaits action from Governor Matt Meyer.

Additionally, State Rep. Kevin Hensley announced this week that he will not seek re-election in 2026. He is the sixth member of the Delaware House to announce plans not to run again in November, including five Republicans and one Democrat. In the Senate, one Republican and one Democrat have also announced they will not seek re-election in 2026.

By Evan R. Park

Representative Cyndie Romer has advanced House Bill 306 (HB 306), which focuses on how businesses use artificial intelligence (AI) when interacting with customers.

What the Bill Would Do
Under HB 306, it would be illegal for a business to use computer technology in a way that could reasonably make a consumer believe they are speaking with a real person—unless the business clearly discloses that the interaction is automated.

In simple terms: If a customer is chatting with an AI system (such as a chatbot or virtual assistant), the business must clearly inform the customer that they are not speaking with a human.

This is aimed at improving transparency as AI becomes more common in customer service, sales, and online communication.

Business Community Concerns
While many agree that consumers should know when they are interacting with AI, the State Chamber and other stakeholders have raised concerns about one key part of the bill: the private right of action.

This provision would allow individuals to file lawsuits even if they did not suffer actual harm or financial loss. Business leaders have expressed concern that this could lead to unnecessary litigation and increased legal exposure for companies.

Amendments Introduced to Address Concerns
To address concerns and improve clarity, lawmakers have proposed two important amendments:

1. Safe Harbor Provision (House Amendment 1 – Rep. Romer)
Representative Romer agreed to include a “safe harbor” provision designed to protect businesses that follow the rules. Under this amendment, a business would be considered in compliance if it clearly states at the beginning of any interaction: “You are interacting with a computer, not a human.

This means businesses using AI tools such as chatbots, virtual assistants, and automated messaging systems could avoid violations under the Act, provided they clearly disclose upfront that the interaction is AI-generated or automated.

2. Clarifying Damages in Lawsuits (House Amendment 3 – Rep. Sean Lynn)
Representative Sean Lynn introduced an additional amendment that focuses on how damages would be awarded in lawsuits under the law. If a claim is successful, the court would award either the actual proven financial loss, or $1,000 in statutory damages, whichever amount is higher would apply.
​
What this means in practice:

• If a loss is small or difficult to prove, the plaintiff could still receive $1,000
• If the actual loss is greater than $1,000, the higher amount would be awarded instead

This provides a clearer structure for courts while ensuring minimum compensation in qualifying cases.

The Delaware State Chamber remains in opposition to HB 306 as amended because we would like more clarity around the safe harbor.  We will engage with members of the Senate to express our concerns. As the bill continues through the legislative process, businesses may want to review how they are currently using AI tools and ensure clear communication practices are in place.

Broader Legislative Update: Rep. Jeff Hilovsky to Step Down
In separate news from Legislative Hall, State Representative Jeff Hilovsky (R–Oak Orchard, Long Neck, Angola) has announced that he will not seek reelection this fall. Rep. Hilovsky, who has served two terms, said his decision is driven primarily by a desire to spend more time with his family.

He has represented the 4th District since redistricting in 2022. The district, located in central Sussex County between Georgetown and Rehoboth Beach, is one of the fastest-growing areas in Delaware.

By Evan R. Park

If you operate a business in Delaware, two new bills could directly impact your costs, compliance obligations, and day-to-day operations. House Bill 400 and House Bill 380 stand to affect businesses of all sizes, from startups to large multi-entity organizations.

The Delaware State Chamber of Commerce is actively monitoring​ both bills.

House Bill 400: Increased Fees for Business Filings and Compliance
House Bill 400, introduced by Rep. Kerri Evelyn-Harris, proposes a broad increase in fees collected by the Delaware Secretary of State. These changes affect nearly every type of business entity registered in Delaware, including corporations, LLCs, partnerships, statutory trusts, and trademark holders.

What’s Changing
1. Higher Annual Taxes (Effective January 1, 2026)

• LLCs, limited partnerships, and general partnerships will see annual taxes increase from $300 to $400
• Businesses with registered series will pay $100 per series, up from $75

2. Increased Filing Fees (Effective August 1, 2026)
Routine business filings will become more expensive, including:

• Forming new corporations
• Requesting certified copies
• Conducting record searches
• Preclearing documents

3. Trademark Fee Increases

• Filing, renewing, or transferring a trademark will cost $100 per transaction

4. Higher Expedited Service Costs

• Expedited processing fees will increase significantly, with top-tier services reaching up to $10,000 in addition to standard filing fees

5. Service of Process Fee Increase

• The fee doubles from $50 to $100 and will apply uniformly across all entity types

Why This Matters
Delaware’s reputation as a premier state for business formation is built on efficiency and cost-effectiveness. These increases may shift that value equation for companies that manage multiple entities or series structures, rely heavily on frequent filings, use expedited processing services and/or actively maintain trademarks.

Even smaller businesses may feel the impact through higher annual taxes and increased administrative costs. Startups and companies operating on tight margins may need to adjust financial planning sooner than expected.

What Businesses Should Do Now
With some changes already in effect and others arriving in 2026, businesses should begin preparing by:

• Reviewing current and projected compliance costs
• Updating budgets to reflect higher annual taxes
• Reassessing reliance on expedited filing services
• Evaluating the structure and number of registered entities

House Bill 380: Expanding Delaware’s Data Privacy Requirements
House Bill 380 proposes a major expansion of the Delaware Personal Data Privacy Act (DPDPA), significantly broadening which businesses are subject to privacy compliance obligations.

While originally aimed at larger organizations, this update would bring many small businesses into scope.

Who May Be Covered
A business could fall under the law if it:

• Handles data from 10,000 Delaware residents, OR
• Handles data from 5,000 residents and earns 20% or more of revenue from data sales, OR
• Receives personal data from other businesses (directly or indirectly)

In practice, this could include companies using email marketing tools, customer databases, e-commerce platforms, or analytics software.

Why This Matters
1. Expanded Compliance Requirements

• Businesses may need to maintain detailed privacy policies, respond to consumer data requests, and/or track how data is collected, used, and shared

2. Marketing and Advertising Adjustments

• Consumers would gain stronger rights to opt out of targeted advertising, data sales, and certain automated decision-making systems
• This may affect email campaigns, digital ads, and CRM systems.

3. Stricter Data Collection Standards

• Businesses would need to collect only necessary customer data, limit unnecessary form fields, and rethink data retention practices

4. Increased Oversight of Vendors

• Companies would be responsible for ensuring third-party partners meet privacy requirements, including, payment processors, marketing platforms, and cloud storage providers

5. AI and Automation Transparency

• Businesses using automated tools may need to disclose their use, offer opt-outs or human review options, and or assess systems for bias or risk

6. Broader Definition of Sensitive Data

• The bill expands protected data categories to include financial and health information, government IDs, immigration status and gender identity, and behavioral or inferred data

7. Consumer Data Rights

• Consumers would be able to: access, correct, or delete their data; request data portability; and see how their data is shared
• Businesses would need systems to respond to these requests within required timeframes.

Cost and Operational Considerations
While no direct fees are imposed, compliance may require investment in:

• Legal and policy updates
• Privacy management tools
• Staff training
• Vendor oversight systems
• Administrative processes for handling data requests

For small teams, these responsibilities may require meaningful operational adjustments. If enacted, House Bill 380 is expected to take effect around 2027, giving businesses time to prepare. Early planning may be especially important for companies that rely heavily on customer data, operate in e-commerce or digital marketing, and/or use multiple third-party platforms.