July 1, 2011

Legislative Session Ends with Bulk of Markell’s Jobs, Education and Safety Proposals Approved

Governor Thanks Legislators and Signs Balanced, Responsible Budget

Summary | FY2012 Budget | Photos

DOVER – Governor Jack Markell tonight signed a balanced budget that includes many of the priorities he set forth in his State of the State address and his Building Delaware’s Future Now proposal: enhanced tools to create jobs, investments in education and infrastructure, pension and health reform, public safety initiatives and responsible tax reductions.

“This session presented us with a chance, and a choice,” said Markell. “A chance to make progress on the issues we care most passionately about – jobs, schools, public health and safety – and a choice on how we were going to get there – whether it was going to be through the kind of bitter and divisive debates that you see in other states, or whether we were going to work together.”

After the legislative session wrapped just before 2:00 a.m., the Governor thanked legislators for their efforts.

“We took advantage of that chance to make a difference, which is evident in the budget we passed and the bills that will now be laws. We not only chose to work together, but we chose to do so in a way that was financially responsible,” Markell added.

This Year’s Budget

The Fiscal Year 2012 budget went into effect on July 1, 2011. The budget demonstrates Delaware’s tradition of fiscal responsibility by limiting budget growth, limiting dependence on less reliable sources of revenue and paying off debt, allocating $37 million for that purpose. The approach has made Delaware one of only eight states with a triple-A rating from all three bond-rating agencies

Legislative Session Highlights

The 2011 Legislative Session was productive, and most of Governor Markell’s legislative priorities passed, including:

• Creating Jobs Now and in the Future – Enhanced tools to attract or support the expansion of employers, including the New Jobs Infrastructure Fund and the New Job Creation Credit, were designed based on practical feedback from employers. Investments in infrastructure and higher education projects will create jobs immediately, while strengthening our long-term economic foundation.

Governor Markell: “We want to support existing employers’ efforts to expand here in Delaware. We want to keep attracting more businesses to make our state their home, and we want to be ready to act quickly when the next great opportunity comes. These tools build on the success of previous efforts and months of conversations with businesses about how we could be a better partner in building their workforce. We want what they want – more people being able to say to their families that they are back to work.”

• Responsible Tax Reductions – The 2012 budget includes prioritized reductions that would provide help for industries critical to Delaware’s economic core – manufacturing, small business and financial services – promoting job creation and our state’s competitiveness.

Governor Markell: “The past few years have not been easy for the industries that have long driven job creation in Delaware. To stay competitive, build on our existing economic foundation, and create jobs for a workforce that is already trained to work in manufacturing, small businesses, and the financial services industry, we identified reasonable and responsible tax cuts targeted for economic growth.

• Pension and Health Reform– Taking a different approach from many other Governors across the country, Markell worked together with state employees and legislators to negotiate and pass a bipartisan pension and health bill (HB 81), signed into law in May. This agreement will save taxpayers more than $130 million in the next five years and more than $480 million over the next 15 years.

Governor Markell: “We recognized that we had a serious problem, but we also recognized that the best solutions are usually found through dialogue. Private sector employers recognize that good ideas and improved service come when you listen to employees. Our state employees work incredibly hard every day, so I was confident that we could work together to create a solution that works. While other state’s reform efforts were marked by anger and protests, Delaware’s discussions were marked by collaboration, cooperation, respect and results.”

• Civil Unions – This landmark piece of legislation, which Governor Markell signed in May, is a step forward in civil rights that will make a real difference in the lives of many Delaware families.

Governor Markell: “Delaware’s LGBT community is inseparable from every Delaware community. The greater good is served when we speak out and fight hard when we see that bias, prejudice or even outdated laws attempt to lessen any one of us. Same-sex couples from across the state came to Dover and made it clear that their healthy, loving families make our state stronger. With the signing of this law, we said to any Delawareans that regardless of sexual orientation, if you have committed yourself to someone, and you’ve made that pledge to spend your life together in partnership, when life or death decisions come, the law would honor your right to make those decisions together.”

• Early Education – Studies show that early education is critical to a child’s success in school and onward into adulthood. The FY 2012 budget includes a $22 million investment to improve the quality of and access to early childhood education.

Governor Markell: “Education can’t begin the first day a child shows up for kindergarten, but so many children start school far behind their peers. Improving quality and expanding access to early education will have a lasting impact on each child as he or she progresses through school more successfully. It will also have a lasting impact on future generations of Delawareans, as each of these children graduate to become productive members of our workforce and responsible parents, helping us attract more jobs to our state.”

• K-12 Education and beyond – Efforts to improve education continued with legislation to reform the charter school system, better enable schools to attract the best teachers, improve the state’s ability to measure the impact of education initiatives, and ensure that services for children with disabilities are more equitably and effectively delivered. The budget provides funding for an additional 100 teachers, ongoing efforts to increase school and student accountability, expanded language education, and investments in Delaware’s three public universities.

Governor Markell: “Winning the Race to the Top just gave us the opportunity to run harder. We expect our kids to learn and improve, so we need to listen and learn from students, educators, parents and community members as we work together to implement our education plan. These reforms will help us improve accountability and react more quickly and effectively when a school is in trouble. New investments in new teachers, language education and new facilities at our three public universities will help prepare our students to compete and succeed in the global marketplace.”

• Public Safety – This year, the state has taken concrete steps forward to improve public safety by working together with local law enforcement through “Operation Pressure Point” and moving forward efforts to keep guns out of the hands of people who are not legally eligible to have them. The General Assembly approved three of the four responsible gun safety bills proposed by the Governor, with the fourth to be further considered next year.

Governor Markell: “When we stood with law enforcement to introduce these four common-sense gun safety measures, many doubted they could get done. But Delawareans spoke out in support, and now three of the four will be law. While I’m disappointed that there will still be unlicensed dealers selling guns without background checks at Delaware gun shows, I am thankful that the legislature stood strongly for public safety and to reduce gun violence.

“We have also sent an important safety message today: bearing arms in a bar or other public area when you’re drinking alcohol and clouding your judgment is extremely dangerous. Although this seems like common sense, there have been too many shootings that ended or ruined lives. Today, we have joined together to say that this behavior is unacceptable.”

“The Legislature pulled together and passed laws that will help move our state forward,” added Markell. “I look forward to signing these bills, but more importantly, I look forward to continued cooperation throughout our community to implement these efforts together.”

Summary | FY2012 Budget | Photos