Rule change paves way for Wawa, Royal Farms funding

A change to what kinds of businesses can qualify for a pool of state money opened the door for a Wawa in Lincoln and a Royal Farms in Milton to get millions for roadway improvements.

In 2024, the Transportation Infrastructure Investment Fund Council – a body that hears presentations from businesses applying for state money, and then recommends approval to the secretaries of the Delaware Department of Transportation and Department of State – revised its guidelines, allowing for consideration of “Generally Excluded Development Types” that meet minimal criteria. Both Wawa and Royal Farms qualified.

Those revisions came after council rejected the Lincoln Wawa application by a 3-2 vote with one abstaining in April 2024. Royal Farms had previously tried to apply for TIIF money, but the application coordinator, along with DelDOT and DOS staff who review applications, declined to move it forward to the TIIF council for consideration because it did not meet guidelines, minutes state.

Staff had similarly informed the Lincoln Wawa that the convenience store does not qualify for an exception under employment standard guidelines.

The only reason council heard the Lincoln Wawa presentation was because the applicant requested the council review it, minutes state.

At the time, TIIF’s employment standard guidelines excluded projects that do not attract or retain employment opportunities; and restaurants, for-profit retail, convenience stores, gas stations, hospitality, residential and mixed-use projects that incorporate one or more of these categories. Council always reserved the right to “consider funding GEDT requests, including partial funding, based on public benefit factors.”

In addressing the Wawa application, DelDOT and DOS staff emphasized the TIIF program was established to bring “a significant number of permanent, quality full-time jobs to the state.”

“Staff noted concern that this application would set a precedent for other similar businesses to apply for and potentially receive TIFF funds, limiting the funds available for applications which meet the jobs creation objective of the program,” minutes state.

Guideline review

During the TIIF council meeting July 30, 2024, members discussed the need to make changes to application guidelines in order to economically vitalize an area. Instead of excluding projects that do not follow TIIF guidelines, members talked about considering them on a case-by-case basis.

At the time, council member Bill Strickland referred to the Lincoln Wawa, saying it was a compelling proposal, and he questioned its exclusion under the guidelines.

“I would argue that we, as a council, should have more discretion, and staff more discretion, to look at things and not have them excluded just by nature of being a convenience store, or a gas station, hospitality, residential, etc. I would advocate that we consider amending the GEDT,” Strickland said.

Under the amendment, Strickland said they would consider applications on a case-by-case basis, and not automatically exclude a submission by its industry or type.

Council member Sen. Jack Walsh, D-Stanton, agreed because a convenience store could boost a local economy by bringing in other stores or a strip center. 

Rep. Bill Bush, D-Wyoming, said in rural communities, convenience stores such as a Royal Farms provide an economic benefit to the area. 

“That’s a big deal out there. That’s jobs for people who don’t always have access,” he said. “Each area is different, and there’s a uniqueness to where that location is and how it might impact the community there.”

Dr. Martin Nunlee said while he agrees with the restrictions, there should be exceptions.

“Especially if these types of activities will bring in future development, or are going to potentially be anchors for future development,” he said.

Strickland said the Lincoln Wawa would be a “game changer for that intersection and that economy south of Milford.”

By November 2024, new guidelines were approved, opening up funds for the Lincoln Wawa and Milton Royal Farms.

New guidelines

At its November 2024 meeting, council revised its Employment Standard Guidelines, allowing for consideration of Generally Excluded Development Types that meet minimal criteria.

For a convenience store like Wawa or Royal Farms to be eligible for a TIIF grant, the applicant must demonstrate job creation, show how the venture will stimulate secondary growth near the project, provide an environmental justice analysis with no adverse effects on the surrounding area, and the business must demonstrate financial stability.

The council also agreed that a minimum $35,000 wage should be considered as livable wage.

In April 2025, the TIIF council heard an application from WitSil Lincoln Associates asking for $1,795,300 to improve the intersection of Fitzgerald and Johnson roads at the Route 113 intersection in Lincoln for a Wawa that would eventually employ 34 people.

This was the Wawa’s second application, following the earlier denial before guidelines were changed.

The council unanimously recommended the amount, sending it to the secretaries of DelDOT and DOS, who ultimately approved the road project funds.

Five months later, council unanimously recommended nearly $1.8 million for traffic improvements near the intersection of Route 16 and Union Street Extended for the Milton Royal Farms.

Town Manager Kristy Rogers was the public endorser of the project, which listed 24 jobs will be created after three years. The applicant, Two Farms Inc., listed 23 jobs in the $11,601 to $47,150 range and one $47,151 to $100,525 range.

“I think this is an economic engine for the Town of Milton,” Rogers said during the Sept. 17 TIIF council meeting.

Mayor John Collier also said funding will allow for safety improvements to the Route 16-Union Street Extended intersection.

Charles “C.R” McLeod, director of community relations for DelDOT, said the council’s recommendation letter is in progress for the Milton Royal Farms to receive Round 14 funding from TIIF. 

“Once it is signed by the council chair, [it] will go to the secretaries along with the award letters for their signatures,” he said.

TIIF and council

Signed into law in 2019 by Gov. John Carney with $10 million in state money, the first TIIF council met in January 2020, and by June, it had issued its first round of funding for about $7.5 million, representing 2,457 jobs created.

The council, however, only recommends a funding award. Cabinet secretaries for DelDOT and DOS ultimately approve and grant the awards.

Since the council’s inception, only one project recommended by it has not gone on to be approved by the secretaries. Charles "C.R." McLeod, DelDOT community relations director, said the Fort DuPont RV Resort was not approved even though council recommended it during its first round of project applications in 2020.

TIIF receives annual state money, usually about $10 million per year, for a grand total of about $120 million so far. Of that, more than $58 million has been awarded to building projects. 

The City of Milford Industrial Park has received the most funding to date with about $5 million after two rounds. Seaford Commercial 28 received about $4.7 million, TidalHealth Peninsula Regional about $3.5 million, and locally, Lewes Georgetown Professional Park about $2 million, Plantations Medical Center about $1.7 million, and $978,722 to Bayhealth on Route 9.

The current TIIF council comprises Chair Joe Westcott, Robert Book, Martin Nunlee, Cornelia Johnson, Mona Parikh and William Strickland.

Rep. Bill Bush, D-Wyoming, and Sen. Jack Walsh, D-Elsmere, were appointed as General Assembly representatives to the council. A DelDOT description of the council shows one vacancy for what should be a nine-member group.

Past members are Dr. Michael Casson; John S. Riley; Sen. Dave Sokola, D-Newark; and Sen. Nicole Poore, D-New Castle.