Delaware Financial Situation Critical . . .
Keep the Pressure on Your Legislator to
OPPOSE AN INCREASE IN THE REAL ESTATE TRANSFER TAX!
Delaware Economic and Financial Advisory Council (DEFAC) determined that state revenue estimates fell another $47.3 million for an estimated $373.7 million for FY '08 and '09. State Budget Officials announced the need to make another $100 million in budget cuts. There are two more DEFAC meetings before the end of Session... EVERYTHING IS ON THE TABLE... The General Assembly is in recess until May 6th. It's the perfect opportunity to contact your legislators at home to express your opposition. If you would like your legislator's contact information, please call Charlotte Herbert at (302) 734-4444, ext. 12.
NOW IS THE TIME TO SHOW REALTOR® STRENGTH and DAR's opposition to any increase in the real estate transfer tax by coming to Legislative Action Day on Thursday May 8th.
JOIN FELLOW REALTORS® FOR DAR'S ANNUAL LEGISLATIVE ACTION DAY
THURSDAY, MAY 8TH AT 11:30 A.M. AT THE GENERAL ASSEMBLY IN DOVER!
FREE FOR DAR MEMBERS. RSVP AT www.DelawareRealtor.com.
It is crucial we have a good turn-out for Legislative Action Day to show the General Assembly that there is REALTOR® POWER in Delaware.
For just a few hours of your time, you will be making a huge difference in the lives of so many fellow Delawareans who are struggling in this economic down-turn. By your presence, you will be showing the General Assembly that they cannot pass laws that will have an adverse impact on one of the biggest sectors of our economy without the appropriate information, notice and without a consequence.
You'll hear from key leaders in the General Assembly, have the opportunity to learn the latest about how the General Assembly will respond to the state's financial situation, and enjoy the camaraderie of fellow REALTORS® as well as that of so many of our friends in the General Assembly at DAR's Annual Legislative Reception.
For more information on Legislative Action Day, please call Charlotte Herbert at (302) 734-4444, ext. 12 or e-mail her at charlotte@delawarerealtor.com.
New Rental Tax:
DAR President Donald P. Ash sent a letter to the Delaware Tourism Alliance (DTA) and Representative Deborah Hudson, Chair of the House Tourism Committee outlining DAR's concerns with a recently circulated proposal to place a new 8% rental tax on furnished rentals less than 150 days, create a new Tourism Authority and redistribute the entire 8% tax among the current recipients, Convention and Visitors' Bureaus and the new Tourism Authority.
President Ash told the DTA that DAR recognizes the connection between an active and healthy tourism industry and the vitality of our summer rentals and that DAR also recognizes that much more needs to be done by the State, specifically the Delaware Tourism Office, in moving our related industries to the forefront as a respectable and significant contributor to our economy.
However, DAR cannot support the levy of a new 8% tax upon our summer rentals.
President Ash told the DTA that everyone is suffering from this difficult economic downturn, and our agents are most uncomfortable as to how the '08 rental season will turn out. DAR is also concerned that the overall complexity of the bill with the addition of a new authority and the re-distribution of the lodging tax is problematic on a number of different fronts. President Ash pledged to work with the DTA and others in promoting our State and tourism as an important issue for the remaining General Assembly Session and the months ahead.
Tax Ditch Right-Of-Way:
The Tax Ditch Right-Of-Way Task Force met on Wednesday, April 23rd and approved the final recommendations to be delivered to the General Assembly. There were nine recommendations including the establishment of a three tiered system of rights-of-way for the larger construction and major maintenance, to be based on the size of the tax ditch. The new rights-of-way are based on the original design of the tax ditch and will include the entire channel as well as the land area adjacent to the ditch. The task force also recommended including a grandfathering clause to allow properties that have existing permanent structures in the tax ditch right-of-way to have those structures eliminated from provisions of the tax ditch law. Most of the changes proposed will require legislative action. If you are interested in seeing the recommendations, please contact Charlotte Herbert at
charlotte@delawarerealtor.com or by phone at 734-4444, ext. 12.
Wind Energy Systems Bill Tabled/Back on Schedule after Recess:
HB 344, legislation banning the use of covenants or other restrictions to prohibit the installation of wind systems in Delaware was tabled by the House Energy and Natural Resources Committee last week. DAR expressed its support for alternative energy sources, but expressed several concerns about the legislation including: its likely unintended consequences of undermining home rule, that it does not contain any grandfathering clause to protect individuals who have purchased in a particular community because of certain restrictions and who may be subsequently disadvantaged, and that the legislation contains no consideration of lot size, nor does it address any potential safety issues. The Committee agreed to re-consider the legislation in May.
New Solar Systems Bill:
SB 248 was introduced by Senator McBride on April 16th and co-sponsored by Senator Simpson and Representative Oberle. The legislation would ban the use of covenants or other restrictions to prohibit the installation of solar photovaltaic systems in Delaware. SB 248 is pending in the Senate Energy and Transit Committee.
Eminent Domain Update:
Senator Venables and Representative Williams along with 30 other members of the House and Senate introduced SB 245 on April 23, 2008. The legislation would prohibit takings for economic development purposes. SB 245 is scheduled to be considered on May 7th at 1:30 p.m. in the Senate Small Business Committee. We expect DAR's Eminent Domain Legislation to be introduced in early May. DAR believes that there are instances where eminent domain for redevelopment of blighted areas, no matter how distasteful, is necessary in some circumstances. However, the use of eminent domain must be an action of last resort, after comprehensive planning, and if done must provide just compensation. DAR has a legislative proposal which addresses fairness and consistency and increased substantive and procedural protections for property owners.
Revised Draft Pollution Control Strategy for the Inland Bays Heading to the Register of Regulations:
The Department of Natural Resources and Environmental Control (DNREC) has sent DAR and the Coalition, revised draft regulations for comment prior to publication in the Register of Regulations. The regulations address point source implementation, buffer zones, sediment and stormwater controls, on-site wastewater treatment and disposal systems and enforcement. DAR and the Coalition will be meeting with Secretary Hughes in early May to discuss the draft document.
If you are interested in reviewing the revised regulation, please contact Charlotte Herbert at (302) 734-4444, ext. 12 or via e-mail at charlotte@delawarerealtor.com.
Joint Sunset Committee Releases Draft Recommendation on Conservation Districts:
The Committee released a long list of recommendations for the Conservation District in each county. The Committee plans to meet again in early May to discuss the recommendations further. If you would like to review a copy of the recommendations, please contact Charlotte Herbert at (302) 734-4444, ext. 12 or via e-mail at
charlotte@delawarerealtor.com.
Clean Water Advisory Council:
The Clean Water Advisory Council develops and recommends to the General Assembly projects for the planning, construction, repair, renovation or expansion of wastewater facilities. They provide guidance and policy advice to the Governor and Secretary of DNREC and assistance in the statewide effort to develop funding options for capital and maintenance programs related to drainage, stormwater management and flood control. The Council is also charged with providing assistance in the development and evaluation of criteria for watershed-based plans for surface water management. At their recent meeting they discussed the FY 2009 projects, funding for surface water management projects, tax ditch right-of-way and several projects in Sussex County. The Council's next meeting will be held June 18th at DTCC in Dover. For more information contact
DNREC_CleanWaterCouncil@state.de.us.
New Delaware Sediment and Stormwater Regulations:
The first draft of the regulations are due some time in May. Some of the Subcommittees of the Regulatory Advisory Committee continue to meet to address various issues. To stay up to speed on activities of the RAC and the new regulations, DNREC's Sediment and Stormwater Program has introduced a new website at
http://www.swc.dnrec.delaware.gov/Drainage/Pages/RegRevisions.aspx.
Have a Special Interest in Land-use, Housing, or Tax and Benefit Issues?
DAR's Public Policy Chairman Bill Lucks has formed three new legislative committees that will review policy and legislative and regulatory proposals and make recommendations for action to the full Public Policy Committee. DAR is looking for three members from each county for each of the new committees. If you have a background or special interest in land-use, housing, or tax and benefit issues, we'd like to hear from you. Please contact your local president or DAR's Government Affairs Director, Charlotte Herbert at
charlotte@delawarerealtor.com or (302) 734-4444 to express your interest.