This Act determines when and how a landlord must provide a tenant notice of the use of the tenant’s security deposit. This revision clarifies the specification of “such address” to relate back to the “forwarding address”. This revision mirrors the revision in the Manufactured Housing Code.
Requesting the Division of Research, the Office of Management and Budget, and the Delaware Department of Technology & Information to cooperate in creating a detailed and implementable plan to stream audio and video of all floor and committee action of the House of Representatives and Senate; record all such material; and make these recordings available to the public via an online archive. The resolution further requests the 151st General Assembly and the governor to approve and act on the finished plan and authorize the funding needed to implement it.
This Act fully exempts county property taxes and local school taxes for a disabled veteran with a 100% VA rated service-connected, permanent and total disability or for a disabled veteran who is receiving 100% disability compensation due to individual unemployability. The 100% rating and disability compensation is determined by the United States Department of Veterans Affairs. This Act sets forth the minimum requirements that a claimant in any county must meet in determining eligibility for the exemption. Each county may impose additional requirements as necessary for eligibility. The minimum requirements are as follows: (1) the disabled veteran must be legally domiciled in the State for a period of time established by the county; and (2) the property for which the exemption is sought must be solely owned by the disabled veteran (or jointly with spouse) and used as his or her primary place of residence.
This Act represents the work and recommendations of the Local Service Functions Task Force created by House Concurrent Resolution No. 54 of the 150th General Assembly (“Task Force”). The Task Force held 17 meetings during 2019 and 2020 and after considerable research and discussion, the members of the Task Force unanimously approved recommending these changes to the New Castle County budgeting process. In order to implement these changes for the Fiscal Year 2023 budget (“FY 23 Budget”), the first deadline in this Act that New Castle County must meet is January 31, 2021. This Act revises the process by which the New Castle County tax rate for owners of real property in municipalities is calculated so that the tax rate more fairly attributes the cost of services to property owners in municipalities and the unincorporated area. This Act is modeled on the process that has been used successfully in Prince George’s County Maryland for several decades. This Act does not affect mutual aid agreements because mutual aid agreements do not impact property tax rates. This Act creates 2 processes to determine the degree that a local service function (“LSF”) is fully or partially performed or financially supported by a municipality instead of New Castle County and to calculate the property tax rate for real property in each municipality based on that determination. There is 1 process for fire company contributions and 1 process for all other local service functions. The process for fire company contributions was enacted by House Bill No. 264 of the 150th General Assembly (“HB 264”) and is already in effect. This Act creates the process for all other local service functions, which will be implemented beginning for New Castle County’s FY 23 Budget and allows time for the necessary calculations and the development of forms and procedures. There are 3 different effective dates in this Act. The sections that are effective immediately and on January 1, 2022, keep current law in effect for the Fiscal Year 2022 budget (“FY 22 Budget”) process while allowing the new process to be developed and implemented for the FY 23 Budget. The sections that are effective July 1, 2022 reorganize and revise provisions for clarity and to apply to future budgets. Specifically, this Act does all of the following: Section 1 takes effect immediately and revises current law to update definitions and make technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual beginning for the FY 23 Budget. Sections 2 and 4 take effect immediately and create new subparts of Subchapter III of Chapter 11 of Title 9 to create a clear subpart for local service function calculations and a clear subpart for general budget sections. Section 3 takes effect immediately and creates a new process to calculate the property tax rate for real property in municipalities for local service functions other than fire protection beginning for the FY 23 Budget. The range of services that can be local service functions is substantively unchanged, but where current law anticipates that a municipality provides all or none of a service, this Act recognizes that there are different degrees of performance of a service, some of which may be provided by a municipality, and some which are provided by New Castle County. The new process to calculate the property tax rate for local service functions is similar to the process for fire protection but does not consider the municipality’s cost and is based on New Castle County’s cost to provide the local service function, reduced by fees, grants, and other revenue that supports the specific service and increased by applicable indirect costs. This Act creates specific calculations that New Castle County will use to determine the county property tax for real property in a municipality based upon the municipality’s degree of performance of a service that New Castle County would provide if the municipality did not. This Act also creates a specific process, with deadlines, that New Castle County and municipalities will use during each budget cycle to determine the individual LSF tax rate for real property in each municipality. This Act also creates a binding, non-appealable dispute resolution process for disputes regarding New Castle County’s level of service determinations. Sections 5 through 9 take effect on January 1, 2022. Sections 5 through 8 revise current sections of Title 9 to be consistent with the new process and terminology enacted in Sections 1 and 3 of this Act. Under this Act, New Castle County must adopt the individual LSF tax rates for real property in municipalities as part of the annual budget process. These Sections also make technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. Section 9 creates the Local Service Function Review Committee. The Local Service Function Review Committee will meet annually to review the LSF calculation procedure and prepare a report that includes any recommendations for improvements. Section 10 takes effect on July 1, 2022, and revises Chapter 11 of Title 9 to remove the interim provisions and provide for all of the following: 1. Revises and clarifies how to determine if performance of a LSF should be used to calculate the property tax rate in a municipality. There are no changes to current law regarding how responsibility for starting or stopping a specific LSF is transferred between a municipality and New Castle County. This Section updates whether a municipality or New Castle County is responsible for all or part of a LSF by setting the baseline as how responsibility is set forth in New Castle County’s approved budget for FY 23 Budget, which is based on agreement between New Castle County and each municipality or the arbitration panel’s determination of any dispute. Future changes in whether a municipality or New Castle County perform all or part of a LSF, other than fire protection which is financially supported but not directly performed by a municipality, are handled as follows: A. If New Castle County performs the LSF under the FY 23 Budget and a municipality subsequently begins performing the LSF, then the municipality and New Castle County may pass ordinances transferring responsibility for performance of the LSF to the municipality. B. If a municipality performs the LSF under the FY 23 Budget and later desires to stop performing the service, then the municipality and New Castle County may pass ordinances transferring responsibility for performance of the LSF to New Castle County. C. If a municipality performs the LSF under the FY 23 Budget and later desires to increase or decrease its degree of performance, then the municipality provides notice to New Castle County by August 1 to be effective for New Castle County’s next fiscal year. D. If a municipality performs a service that is included in the New Castle County General Operating Budget, the municipality may request that the service be classified as a LSF and the municipality may demand arbitration if New Castle County and the municipality cannot reach agreement. E. If New Castle County establishes a new LSF, the annual negotiation and dispute resolution process will apply if a municipality performs that service. 2. Transfers the fire service provisions from § 1102(e) of Title 9 to § 1126(c) of Title 9 so that all local service function calculations are in the same section. 3. Revises deadlines in § 1128 of Title 9. The deadlines enacted in Section 3 of this Act reflect the additional time needed to transition to the new process. This section revises the deadlines so they are appropriate for the budget process once this new process is established. This section also revises §§ 1101A, 1125, 1126, and 1128 of Title 9 to repeal the language providing that provisions are effective beginning for the FY 2023 budget that was necessary to keep current law in effect for the FY 22 Budget process while allowing the development and implementation of the new process.
This act restores the $500 senior real property tax credit.
This Act amends the Real Estate Code to modernize the definition of purchase money mortgage under Delaware law to include lenders other than the seller of the mortgaged property who provide financing to purchase the property. Additionally, this Act extends the time period to record a purchase money mortgage from 5 days to 10 days and explicitly subordinates a mechanic’s lien under Chapter 27 of Title 25 to a purchase money mortgage. Finally, this Act makes technical corrections to conform existing language to the standards of the Delaware Legislative Drafting Manual. Specifically, the existing language of § 2108 of Title 25 is redrafted in § 2018(c) and (d) in this Act.
This Act amends Delaware’s probate code by adding a new section to provide restricted access to a decedent’s safe deposit box located in a financial institution and held in the decedent’s sole name, for the limited purpose of retrieving the decedent’s last will and declaration of last remains.
Section 1 of the Act addresses statutes under Chapter 33 of Title 12 and (i) amends section 3330 by adding subsections (c) and (d)—to make explicit in subsection (a) of section 3330 the applicability dates that were intended to be carried over from the applicability dates of the pre-2018 version of section 213 of Title 12 when, in 2018, section 213 was re-codified as subsection (a) of section 3330, and to provide a corresponding clarification of the applicability dates of subsection (b) of section 3330; (ii) amends section 3338 to specify that, consistent with the Uniform Trust Code, when a trustor is a party to a nonjudicial settlement agreement, then unless the transfer in trust is an incomplete gift for federal gift tax purposes, the trustor may not represent and bind any beneficiary other than the trustor, and—if the nonjudicial settlement agreement alters any beneficial interest in the trust—all of the trust’s beneficiaries must be parties to the agreement; (iii) amends section 3342 to parallel the changes to section 3338 under this Act—that is, to specify that, consistent with the Uniform Trust Code, unless the transfer in trust is an incomplete gift for federal gift tax purposes, a trustor, a guardian of a trustor, or an agent of a trustor under a power of attorney may not represent and bind any beneficiary other than the trustor with respect to a modification under section 3342, and to make it more clear that all of the trust’s beneficiaries must be parties to the modification; and (iv) amends the provisions of section 3343, to make subsection (a) more clear, to make section 3343’s provisions with respect to section 3313A more clear, to add within new subsection (c)(2) of section 3343 a provision allowing a trustee now excluded from exercising certain powers to be released with respect to the past exercise of such powers as though such trustee were being removed, and by adding a provision to section 3343 that an existing trustee is entitled to 30 days’ notice before changes under section 3343 become effective with respect to the existing trustee’s duties, unless the existing trustee waives the notice period. Section 2 of the Act addresses statutes under Chapter 35 of Title 12 and (i) removes a superfluous word in section 3528; and (ii) amends subsection (a)(2) of section 3585 to make it clear that the report procedure described in that subsection may be used while the trustee is in the process of resigning (and not just after completion of the act of resignation or the effective date of a resignation)—but also conditions the use of the procedure upon the resigning or resigned trustee’s transferring assets to the appropriate successor in interest within a reasonable period of time after expiration of the period within which interested parties may file an action against the trustee under subsection (a)(2), and further provides in subsection (e) that certain actions are not barred against a trustee for administration of assets after the expiration of periods under section 3585. Section 3 of the Act amends Chapter 47 of Title 12 (the Uniform Prudent Management of Institutional Funds Act) to make it clear within section 4703 that sustainable investment strategies aligning with the charitable purposes of the institution are authorized in managing the institution’s funds (thereby corresponding to recent similar amendments to sections 3302 and 3303 of Title 12). Section 4 of the Act provides effective dates.
This bill continues the practice of amending periodically the Delaware Statutory Trust Act (the “Act”) to keep it current and to maintain its national preeminence. The following is a section-by-section review of the proposed amendments of the Act. Section 1. This section amends Section 3801 of the Act to add new definitions for "document" and "electronic transmission," which terms appear in new Section 3826 among other places in the Act. Section 2. This section amends Section 3804(a) of the Act to confirm that a trust may enter into contracts on behalf of a series of the statutory trust with and on behalf of another series of the statutory trust or with itself. This Section also confirms certain circumstances under which a statutory trust shall be the “debtor” in connection with liens or security interests granted in any assets of a series or any assets associated with a series of the statutory trust. Section 3. This Section amends Section 3805(f) of the Act to clarify that a trustee is not a necessary party to a contract or other instrument to which a statutory trust is a party solely because a trustee holds legal title to statutory trust property. Section 4. This section amends Section 3806 of the Act to conform with the addition of the defined term "electronic transmission" in Section 3801. Sections 5 and 18. These sections amend Sections 3807(e) and 3854(c) of the Act to eliminate the requirement that the Secretary of State issue a certified copy of any certificate filed by the registered agent changing the address of the registered office or the name of the registered agent. These sections also amend Sections 3807(e) and 3854(c) of the Act to confirm that the conversion of the registered agent or a division of the registered agent in which a resulting person succeeds to all of the registered agent business of such registered agent shall be deemed to be a change of name for purposes of these sections of the Act. These sections also amend Sections 3807(f) and 3854(d) of the Act to eliminate the requirement that the Secretary of State issue a certificate in connection with the resignation of the registered agent of a statutory trust or foreign statutory trust and the appointment of the successor registered agent. Sections 5 and 18. These sections also amend Section 3807(g) and Section 3854(e) of the Act to provide that the resignation of a registered agent of a statutory trust or foreign statutory trust without appointing a successor must be done on a single trust basis by paying a fee and filing a certificate of resignation with the Secretary of State. These sections also amend Sections 3807(g) and 3854(e) of the Act to add requirements regarding the content and form of the certificate of resignation filed with the Delaware Secretary of State when the registered agent resigns without appointing a successor, and provide that such information regarding the communications contact that must be included in such a certificate shall not be deemed public. Section 5. This section also amends Section 3807 of the Act by adding new subsections (i)-(m) to prescribe the duties of a registered agent; require that persons or entities serving as registered agent for more than fifty entities (a “Commercial Registered Agent”) be generally open during normal business hours and have a natural person present to operate such office and communicate with the Secretary of State on request; require Delaware statutory trusts to provide registered agents with a designated natural person to receive communications from the registered agent and require the registered agent to maintain in its records the identity of such persons; authorize the Secretary of State to issue regulations to enforce these provisions; authorize the Secretary of State to bring a lawsuit in the Court of Chancery to enjoin any person or entity from acting as a registered agent, or as an officer, or director or managing agent of a registered agent, any person or entity who fails to comply with the statutory requirements, who has been convicted of a felony or any crime involving dishonesty, fraud or moral turpitude, or who has used the office of registered agent in a manner intended to defraud the public; and provide that the certificate of trust or registration of a statutory trust or foreign statutory trust will be cancelled if it fails, within a prescribed period, to obtain and designate a new registered agent if the Court of Chancery enjoins any person or entity from acting as a registered agent for such statutory trust. Section 6. This section amends Section 3810(d) of the Act to include a reference to a certificate of division. Section 7. This section amends Section 3811(a)(4) of the Act to provide for the manner in which a certificate of division must be executed. Section 8. This section amends Sections 3812(b) and 3812(c) of the Act to include a reference to a certificate of division. Section 9. This section amends Section 3813(a)(2) of the Act to provide for the fee payable to the Delaware Secretary of State for the filing of a certificate of division pursuant to the Act, Section 3813(a)(6) to provide for the fee for the issuance of any certificate issued via the Secretary of State's online services and Section 3813(a)(7) to provide for the fee payable for a written report of a record search. Sections 10 and 18. These sections amend Section 3814(a) and Section 3854(a) of the Act to clarify requirements regarding the name under which a statutory trust or a foreign statutory trust may register with the Secretary of State. Section 11. This section amends Section 3815(a) of the Act to provide a majority vote default rule for a merger or consolidation entered into by a statutory trust registered as an investment company under the Investment Company Act of 1940 unless otherwise provided in the governing instrument of such statutory trust. This amendment provides that the amendment does not apply to statutory trusts formed prior to the effectiveness of the amendment unless otherwise provided in the governing instrument of such statutory trust. Section 11. This section also amends Section 3815(h) of the Act to confirm that no appraisal rights are available with respect to a beneficial interest or another interest in a statutory trust, including in connection with the enumerated transactions unless otherwise provided for in the enumerated documents and adds reference to a plan of division as a document that may include appraisal rights. Section 12. This section amends Section 3819(d) of the Act to confirm that a statutory trust may maintain its books, records and other information in other than paper form (including electronic form) if such form is capable of conversion into paper form within a reasonable time. Section 13. This section amends Section 3821(b) of the Act to provide a majority vote default rule for approving a conversion of a statutory trust registered as an investment company under the Investment Company Act of 1940 unless otherwise provided in the governing instrument of such statutory trust. This amendment provides that the amendment does not apply to statutory trusts formed prior to the effectiveness of the amendment unless otherwise provided in the governing instrument of such statutory trust. Sections 13 and 14. These sections amend Sections 3821(f) and 3823(c) of the Act with regard to certifications provided by the Secretary of State in connection with the filing of a certificate of transfer, a certificate of transfer and domestic continuance and a certificate of conversion to non-Delaware entity. Section 14. This section also amends Section 3823(b) of the Act to provide a majority vote default rule for approving a transfer or domestication or continuance of a statutory trust registered as an investment company under the Investment Company Act of 1940 unless otherwise provided in the governing instrument of such statutory trust. This amendment provides that the amendment does not apply to statutory trusts formed prior to the effectiveness of the amendment unless otherwise provided in the governing instrument of such statutory trust. Section 15. This section adds new Section 3824 of the Act to provide that, upon motion by the Attorney General, the Court of Chancery may cancel the certificate of trust of any statutory trust for abuse or misuse of its statutory trust powers, privileges or existence Section 16. This section adds new Section 3825 of the Act to enable a statutory trust to divide into one or more newly formed statutory trusts with the dividing trust continuing its existence or terminating its existence, as the case may be. Section 17. This section adds new Section 3826 of the Act, which establishes non-exclusive, safe harbor methods to reduce certain acts or transactions to a written or electronic document and to sign and deliver a document manually or electronically. The terminology in Section 3826(a) is based on analogous provisions in existing Sections 3806 of the Act, the Delaware Uniform Electronic Transactions Act ("UETA"), and the Model Business Corporation Act, with modifications. Section 3826(a) permits statutory trust transactions (such as entering into agreements of merger not filed with the Secretary of State) to be documented, signed and delivered through "Docusign" and similar electronic means. The Section 3826(a) safe harbor provisions apply solely for purposes of determining whether an act or transaction has been documented, and whether a document has been signed and delivered, in accordance with the Act and the governing instrument. Section 3826(a) does not preempt any statute of frauds or other law that might require actions be documented, or that documents be signed and delivered, in a specified manner. Section 3826(a) clarifies how its provisions operate in connection with a transaction conducted pursuant to UETA. To the extent UETA does not apply to a transaction (under Section 12A-103 of UETA) because the transaction is governed by the Act, the parties to the transaction can satisfy the Act by complying with Section 3826(a). Section 3826(b) addresses certain actions and documents that are not governed by Section 3826(a). There is no presumption that these excluded items are prohibited from being effected by electronic or other means, but Section 3826 may not be relied on as a basis for documenting an act or transaction, or signing or delivering a document, if the exclusions set forth in Section 3826(b) apply. Certain of these excluded items are governed by separate provisions that facilitate the use of electronic media, including documents filed with the Secretary of State (governed by Section 3812(a)). Section 3826(b) permits governing instrument provisions that restrict the use of Section 3826(a), but those restrictions must be expressly stated. A provision merely specifying that an act or transaction will be documented in writing, or that a document will be signed or delivered manually, will not prohibit the application of Section 3826(a). Section 3826(c) addresses the interaction between the provisions of the Act and the Electronic Signatures in Global and National Commerce Act (the "E-Sign Act"). Section 3826(c) evidences an intent to allow the Act to govern the documentation of actions, and the signature and delivery of documents, to the fullest extent the Act is not preempted by the E-Sign Act. Section 18. This section also amends Section 3854(b)(2)c. of the Act to clarify the types of foreign entities that may be a registered agent of a foreign statutory trust. Section 19. This section provides that the proposed amendments to the Act shall become effective August 1, 2020.
This Bill is the Fiscal Year 2021 Appropriations Act.
