General Assembly Post-Game Wrap-Up/Pre-Game Show: Weds., March 12, 2025

Pull up a chair.  If yesterday was (barely) an amuse-bouche, today’s a full-fledged legislative banquet.  Starting with plutocrats seeking to gorge themselves courtesy of a watered-down corporate law bill.

But first, here’s yesterday’s legislative activity report.  Only item of note was the passage of SS1/SB 5 (Townsend), which enshrines the right to abortion in the Delaware Constitution.  I expect, at best, a straight party line vote in the House, meaning the bill will fail.

Other than perhaps some nominations in the Senate, today’s activity in both houses will be entirely in committee.  There’s quite a bit of activity to cover.

Starting at 10 am (sorry, PT intervened, but the upside is that I’m even buffer than usual; feel free to fantasize away…), as the Senate Environment, Energy & Transportation Committee considers three bills designed to address rising utility rates.  SB 59 (Hansen) brings Delaware into alignment with 48 (you read that right) other states in changing from the current ‘business judgment rule’ to the ‘prudence’ standard in setting rates.  The term ‘business judgment rule’ pretty much means ‘we, the utility, hereby judge that we need to raise rates by (fill in the blank)’.  In other words, no effective voice for the people who pay the bills.  This would finally change that.  Why Delaware was only one of two states that still has that rule is self-explanatory.

SB 60 (Hansen) ‘requires the Delaware Public Service Commission to ensure that all regulated utilities do not use customer funds to subsidize unregulated activities for example, lobbying activities, political contributions, charitable contributions, and certain advertising and public relations activities. This Act places a cap on annual capital expenses in the amount of $125 million for electric distribution companies.  SB 61, which requires public disclosure of votes of the the PJM Interconnection Regional Transmission Organization, rounds out this, dare I say it, excellent package.  Hope to see all three on tomorrow’s Senate Agenda.

SJR 2 (Pinkney) ‘requires the Division of Medicaid and Medical Assistance to present a report to the Delaware General Assembly, by January 1, 2026, for the provision of insurance coverage for Community Health Worker services by Medicaid providers’.  This marks the first collaboration between Sen. Pinkney and Rep. Kamela Smith, hopefully the first of many.  Health & Social Services. 

SB 40 (Walsh) ‘makes a pattern or practice of violations by a landlord of a Manufactured Home Community …an unlawful practice under the Consumer Fraud Act’.  The General Assembly continues its admirable efforts on behalf of manufactured community residents.  Housing And Land Use.

Of course, the Main Event is today’s Senate Judiciary Committee hearing where SB 21 will be discussed.  I’ve given up on anybody in a position of power claiming that Sen. Townsend has a blatant conflict of interest, so perhaps someone can explain to me how he doesn’t have a blatant conflict of interest.  Or not.  To me, the question is, “Will the General Assembly abandon any pretense of impartiality when it comes to corporate law because Elon Musk threw a fit?  I fear the answer is likely to be ‘yes’.  Profiles in Cowardice.  Which reminds me, where are the amendments from the Corporate Law Section?  Are we gonna get a brand new bill before the hearing?  Secrecy is not a bug, it’s a feature.

Yes, the House has an active committee schedule today.  Highlights include:

HB 45 (Griffith) ‘requires payment card networks to make available to merchant acquirers the merchant category code for firearms and ammunition businesses…and for merchant acquirers to assign the MCC for firearms and ammunition businesses to firearms merchants beginning October 1, 2025. This Act also authorizes the Department of Justice to bring civil actions against individuals or entities who violate the provisions of this Act, and requires that such violators pay a civil fine of $10,000 for each violation.  Judiciary.

HB 38 (K. Williams).  Yes, yes, yes! The bill:

…requires an institution of higher education that receives funding from this State to keep and provide records for an elected or appointed official who is employed by the institution of higher education. The University of Delaware and Delaware State University are to comply with this Act for employees who are paid in whole or in part with State funds. If the State Auditor finds that an institution of higher education is knowingly in violation of this Act, the State Auditor may impose an administrative penalty on the institution of higher education and shall report the violation and amount of administrative penalty imposed to the Public Integrity Commission, Department of Justice, and the Office of the Controller General.

The University Of Delaware successfully prevented the State Auditor from obtaining information on BHL’s alleged history of hours and dates worked there.  We, um, know why.  Enough of this shit.  Education.

HB 9 (K. Williams). Yes, yes, yes!  The bill:

…requires a paid elected official or paid appointed official of this State or any political subdivision of this State (“official”) who is also employed by a state agency or a political subdivision of this State to disclose the dual employment to the Public Integrity Commission (“Commission”). This disclosure will assist the Commission and the State Auditor in evaluating if the official is receiving dual public compensation for coincident hours of work and requires the Commission to report to the official’s employer of any finding of dual compensation.

Too bad this wasn’t in place when Tiny Tony DeLuca’s boss at the Department of Labor refused to release his work records and the work records of DeLuca’s, um, ‘secretary’, who was doing (at least) double duty between the Senate and the Labor Depaertment.  This will be the first test of the House Administration Committee, since the Speaker has also been employed at more than one state agency over her term in office.

HB 34 (Romer) ‘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.  Administration.  About time the U of D has been required to pay at least part of its fair share.

HB 50 (Heffernan):

…addresses energy costs to consumers by redirecting certain funds to supplement the existing Low Income Home Energy Assistance Program and by creating the Delaware Energy Fund to provide assistance to consumers whose household income is less than 350% of the federal poverty level. The Delaware Energy Fund will be administered by the SEU and recipients of assistance from the fund will also be required to participate in energy savings and efficiency programs.  (Natural Resources & Energy).

This is part of the energy/utility package that also features the Senate bills we’ve discussed earlier.  Good stuff.

Good place to conclude for the day.