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Delaware General Assembly set to reconvene
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It was announced late last week that the Delaware General Assembly will reconvene remotely for the remainder of the legislative session. Information indicates the present intent is to limit bills to the budget bills and potentially consent/non-controversial type bills. The Senate also intends to consider gubernatorial nominations. The reconvening at this time is to permit the Joint Finance Committee to meet to work on the budget. This information is subject to change over the next couple of weeks.
Below are specific dates regarding Delaware's General Assembly reconvening:
- The House will reconvene on Tuesday, May 26
- The Senate will meet on Wednesday, May 27
- The Joint Finance Committee will meet in-person in the House Chamber, beginning in the first week of June.The JFC's sessions will be audio-streamed.
Session will be conducted via Zoom with proceedings broadcasted on YouTube and shared on caucus Facebook pages. A concurrent resolution must be passed that authorizes and sets the standards for operating a virtual session.
ABC will continue to update you should there be any changes. |
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DEFAC makes projections on Delaware budget revenue
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The Delaware Financial Advisory Council (DEFAC) met this month to discuss the fiscal forecasts for FY20 and FY21. DEFAC meets again on June 17 to make the final projection for this fiscal year. This month's meeting was the second meeting since COVID-19 related shutdowns started in March. With additional revenue data available this month, DEFAC increased the FY21 forecast by approximately $257.1 million since last month's meeting.
Rep. Quin Johnson, Chair of the Joint Finance Committee (JFC) indicated the JFC will use this forecast to markup the FY21 budget when JFC convenes June 2-4 (and indicated he may take a slightly more conservative approach than what May DEFAC numbers reflect). He also stated the JFC will be prepared to meet again if necessary after the June 17 DEFAC meeting to make additional changes to finalize the budget. He expects to have the final FY21 budget bill prepared around the third week of June.
Overview: The Appropriation Limit for FY21 is projected to be $4,472.0 Million. This number represents:
- Increase of $257.1 Million since the April DEFAC meeting (6.1%)
- Decrease of $491.6 Million from the Governor's FY21 Recommended Budget (-9.9%);
- Decrease of $281.3 Million compared to the current year (FY20) budget (-5.9%).
OMB presented revised FY20 expenditure numbers, which were a major factor driving the change from last month's meeting (FY20 expenditure numbers were only minimally adjusted last month due to the overwhelming uncertainty).
FY20 Projected Expenditures decreased by about $88.7 since last month, significantly increasing the reversion/carry-over funding into FY21. Contractual expenditures accounted for about $47.6 million of this amount. Medicaid projected expenditures decreased by $60.1 million since last meeting due to the increase in Federal share (FMAP) of approximately 6.2% ($20 million of this will carry-over to offset anticipated growth of Medicaid eligibles in FY21). The FMAP change was retroactively applied back to January and extended through June in the CARES Act. OMB is monitoring Medicaid eligible numbers closely and doesn't expect to see the full impact of those increased numbers until later this summer.
The Division of Revenue also sharpened the revenue estimates, which increased $92 million for FY20 and $73.3 million for FY21.
The Transportation Trust fund projections largely remained the same as last month.
Click here for slides for further details on economic impact and updated unemployment insurance (UI) claim impact.
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National Legislative Day - June 17
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ABC Government Affairs staff will host a virtual Legislative Day Briefing on Wednesday, June 17, from 11 a.m.-12:30 p.m. EDT. Along with updates on legislative hot topics, attendees will get an insider's look at the 2020 elections-potentially the most interesting elections of our time. Registration for the briefing is complimentary due to the generous support of our sponsors-sign up today. |
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ABC Urges SBA to Take Action on PPP Loan Implementation Concerns
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While ABC is pleased with Congress and the U.S. Small Business Administration's efforts to combat the COVID-19 emergency and strengthen the American economy through the Paycheck Protection Program, members have raised concerns about current guidance and requirements.
On May 15, ABC submitted comments on an interim final rule implementing the temporary PPP program, urging SBA to take action on the following in order to assist small businesses:
- Expand the formula for PPP loan disbursement
- Provide further clarification on certification guidance
- Eliminate the requirement for loan recipients to dedicate at least 75% of the loan toward payroll costs
- Increase flexibility on rehiring requirements for employers
- Provide further guidance on loan forgiveness and, specifically, clarify the calculation for full-time equivalent employees to determine the total amount of loan forgiveness
The PPP was created on March 27, 2020, when President Trump signed into law the Coronavirus Aid, Relief and Economic Security (CARES) Act, which authorized the SBA to temporarily guarantee loans and provided immediate assistance to individuals, families and businesses affected by the current national emergency.
ABC will continue to provide updates on the PPP and other SBA resources through Newsline. |
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ABC Urges Congress to Enact Liability Relief Legislation Related to the COVID-19 Pandemic
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ABC joined more than 200 organizations calling on Congress to quickly enact temporary and targeted liability relief legislation related to the COVID-19 pandemic in an effort spearheaded by the U.S. Chamber of Commerce.
- Businesses, nonprofit organizations and educational institutions that work to follow applicable public health guidelines against COVID-19 exposure claims;
- Healthcare workers and facilities providing critical COVID-19-related care and services;
- Manufacturers, donors, distributors and users of vaccines, therapeutics, medical devices, PPE, and other supplies (such as hand sanitizer and cleaning supplies) that are critical to the COVID-19 response; and
- Public companies targeted by unfair and opportunistic COVID-19-related securities lawsuits. In addition to being temporary, these liability protections should be limited in scope and preserve recourse for those harmed by truly bad actors who engage in egregious misconduct.
While liability legislation has not been included in the relief packages introduced or passed so far, the U.S. Senate has continued to work towards legislation that would establish liability protection for businesses from COVID-19 lawsuits as more states start to reopen businesses and essential work continues throughout the country.
ABC will continue to advocate for a limited liability safe harbor for companies and other organizations that follow government guidance and operate during the health crisis. ABC will update members with the latest information in Newsline. |
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President Trump Issues Executive Order on Regulatory Relief
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On May 19, President Trump signed the Executive Order, "Regulatory Relief to Support Economic Recovery," which encourages federal agencies to review burdensome regulations in order to jumpstart the economy and get Americans back to work.
According to the order, "the heads of all agencies shall identify regulatory standards that may inhibit economic recovery and issue proposals to temporarily or permanently rescind, modify, waive, or exempt persons or entities from those requirements, and to consider exercising appropriate temporary enforcement discretion or appropriate temporary extensions of time regarding those requirements." The order also directs agencies not to overenforce entities acting in good faith to comply with applicable statutory and regulatory standards.
Additionally, the order lists 10 principles of fairness in administrative enforcement and adjudication that all agencies should consider in revising their procedures and practices in certain statutory and regulatory programs, including:
- The government should bear the burden of proving an alleged violation of law; the subject of enforcement should not bear the burden of proving compliance.
- Administrative adjudicators should be independent of enforcement staff.
- Penalties should be proportionate, transparent and imposed in adherence to consistent standards and only as authorized by law.
- Liability should be imposed only for violations of statutes or duly issued regulations, after notice and an opportunity to respond.
- Agencies must be accountable for their administrative enforcement decisions.
More information on the executive order can be found on the White House website. |
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OSHA Announces $11.5 Million in Safety and Health Training Grants
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On May 19, the U.S. Department of Labor's Occupational Safety and Health Administration announced the availability of $11.5 million in Susan Harwood Training Grants for various nonprofit organizations, including employer associations, labor unions and joint labor/management associations, including as ABC chapters. Grant applications must be submitted through grants.gov by July 20, 2020.
According to an OSHA news release, the Harwood Training Grants support in-person, hands-on training for workers and employers in small businesses; industries with high injury, illness and fatality rates; and more. The grants will fund training and education to help workers and employers identify and prevent workplace safety and health hazards, including the coronavirus, through the following funding opportunities categories:
- Targeted topic training grants support educational programs that address identifying and preventing workplace hazards. These grants require applicants to conduct training on OSHA-designated workplace safety and health hazards.
- Training and educational materials development grants support the development of quality, classroom-ready training and educational materials that focus on identifying and preventing workplace hazards.
- Capacity building grants support organizations in developing new capacity for conducting workplace safety and health training programs and must provide training and education based on identified needs of a specific audience or a set of related topics.
More information on the Susan Harwood Training Grants and how to apply for them are available on the OSHA website and at grants.gov.
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ABC Legislative Committee
June 25
8:30 - 9:30 a.m.
Zoom Virtual Conference
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General Assembly Final Day
June 30, 2020
6:00 p.m. - 12 midnight
Zoom Virtual Conference
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