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Carney calls for state raises, revenue savings

Budget up 4 percent from last year
January 25, 2019

Gov. John Carney has presented a $4.4 billion budget with more than $92 million to protect against future economic downturns while providing raises for educators and state workers.

The operating budget is about $180 million more than last year – a roughly 4 percent increase.

Carney encouraged the General Assembly to consider his balanced plan for fiscal year 2020 as they move through this legislative session.

“We presented a responsible budget plan today that makes investments to improve our economy, strengthen our public schools, and protect Delaware’s unique quality of life,” Carney said in his Jan. 24 budget presentation to the General Assembly. “And we are proposing to set aside $92 million in savings, to help prepare for years when our revenue trends downward. This is a balanced, responsible plan.”

A big winner in the proposed budget is $3.2 billion for a Capital Transportation Plan over the next six years to modernize Delaware's transportation infrastructure. Bond bill funding and federal highway money would be used to pay for the plan.

In a previously announced education plan, $60 million would go to districts over three years to target low-income students and English language learners. A 2 percent pay increase for educators and a flat $1,000 for noneducators would be $20 million.

Carney also called for $15 million for the Higher Education Economic Development Fund and $8.6 million to support research collaborations at the University of Delaware and Delaware State University. The research investment could leverage federal money going to research, according to the governor's budget.

The budget offers $20 million for open space and farmland preservation for continued investment in open space statewide. An additional $10 million is designated for clean water improvements for drinking water infrastructure.

Beach preservation would get $5 million and $1.8 million would go to address the drug epidemic.

The governor's plan also calls for an increase of $700,000 to grants-in-aid funding totaling about $48 million, and about $1 million more for bond and capital improvements for about $678 million total.

“The governor has presented a recommended financial plan that targets resources toward issues that are important for all Delawareans, including our schools, our economy, and our environment – while setting aside substantial reserves should our revenues weaken in future fiscal years,” said Mike Jackson, director of the Office of Management and Budget.

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