Big budget week in Delaware! This past Monday, the Delaware Economic and Financial Advisory Council (DEFAC) had its last meeting prior to the General Assembly introducing its budgets. DEFAC projected an increase of $2.4 million for the current fiscal year and $31.3 million for FY 2025. These projections result in Delaware having an anticipated structural surplus of $573.5 million. Additionally, between the state’s rainy day fund and Governor Carney’s budget smoothing reserves there is another $1.3 billion. DEFAC determined an FY 2025 appropriation limit just shy of $6.9 billion. Governor Carney’s recommended budget released in January called for roughly $6.4 billion in spending.

Yesterday, Delaware’s FY 2025 operating budget (SB 325), was passed providing $6.1 billion in funding. Following the passage of the FY 2025 Operating Budget, Senate Bill 326 was passed providing $168 million in one-time expenditures. I anticipate both bills receiving support in the House chamber early next week.

I am writing this late yesterday afternoon and although substantial portions of the state’s capital improvement budget have been voted on by the committee, the committee is currently in recess while the Senate and House are in session. The Capital Improvement Committee which is comprised of members from all four caucuses will reconvene this evening to complete their work. I expect a vote on the Capital Improvement Budget early next week as well.

I look forward to seeing the final Capital Improvement Budget allocations in particular, and look forward to sharing that information with you soon.