CARES Act Funds Available for Fishery-Related Businesses

The working waterfront at Bowers Beach in Kent County

 

Application Period Will Be Open from March 22 Through May 5

Saltwater fishery-related businesses that suffered severe revenue declines in 2020 due to the COVID-19 pandemic can apply to the Delaware Department of Natural Resources and Environmental Control for financial relief from March 22 through May 5, 2021. Delaware was awarded $992,013 in federal CARES Act funds to provide financial relief to eligible fishery-related businesses that experienced greater than 35% decline in net revenue during the March 1 through Dec. 31, 2020 COVID-19 impact period, compared to their historic average revenue.

Delaware saltwater fishery-related businesses eligible to apply for CARES Act funds are:

  • Commercial fishing
  • Shellfish aquaculture
  • For-hire recreational fishing (includes charter and head boats)
  • Bait and tackle shops (revenue must come from the sale of saltwater bait and tackle, and 75% of the shop’s revenue most come from those sources)
  • Seafood dealers
  • Seafood processors

Eligible businesses applying to DNREC for CARES Act funding must complete an affidavit through which the applicant will self-certify the business’s revenue decline. An eligible business must demonstrate on the self-certification affidavit that its net revenue during the 2020 COVID-19 impact period decreased by more than 35% compared to the business’s average annual net revenue during 2015 through 2019. For businesses in operation less than five years, but for at least one full year during 2015 through 2019, the net revenue loss during the COVID-19 impact period will be compared to the business’s average annual net revenue for its year(s) of operation.

The maximum amount of CARES Act funding distributed to an individual fishery-related business will depend on the number of applicants and the amount requested by each applicant relative to total available funding, with a minimum award of $100.

The application affidavit and additional CARES Act information are available at https://dnrec.alpha.delaware.gov/fish-wildlife/fishing/cares-act-funding/ or by request from the DNREC Fisheries section within the Division of Fish and Wildlife, at 302-739-9914.

About DNREC
The Delaware Department of Natural Resources and Environmental Control protects and manages the state’s natural resources, protects public health, provides outdoor recreational opportunities, and educates Delawareans about the environment. The Division of Fish and Wildlife conserves and manages Delaware’s fish and wildlife and their habitats, and provides fishing, hunting, wildlife viewing and boating access on nearly 65,000 acres of public land. For more information, visit the website and connect with @DelawareDNREC on Facebook, Twitter or LinkedIn.

Media Contacts: Nikki Lavoie, nikki.lavoie@delaware.gov; Michael Globetti, michael.globetti@delaware.gov

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DNREC to hold public information sessions Sept. 9 in Dover and New Castle on state’s new refrigerant incentive program

DOVER – The Department of Natural Resources and Environmental Control will hold two public information sessions Monday, Sept. 9 detailing a new program that will provide incentives to Delaware businesses to install refrigeration systems less harmful to the environment than systems currently used by many businesses and organizations in the state. The first information session will take place at 11 a.m. at DNREC offices at 391 Lukens Drive, New Castle, DE 19720, while the second session is scheduled for 6 p.m. at DNREC’s State Street Commons offices, 100 W. Water St., Dover, DE 19904.

DNREC’s Division of Climate, Coastal, & Energy plans to launch the new “Cool Switch – Low Impact Refrigerant Program” later this month. Some refrigerants, like hydrofluorocarbons, are a potent greenhouse gas that have significant impact on global warming. The public information sessions will discuss how the new DNREC program will offer incentives for new systems or upgrades of existing systems to participating municipalities, businesses, non-profits and industries.

For more information please contact Robert Underwood, DNREC Energy Administrator, Division of Climate, Coastal, & Energy, at 302-735-3489 or email robert.underwood@delaware.gov. Additional information, including an agenda for the meetings, can be found on the state Public Meeting Calendar.

Media contact: Joanna Wilson, DNREC Public Affairs, 302-739-9902

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DNREC recycling team offers free onsite waste assessment to schools and businesses

Assessments encouraged for scheduling ahead of Sept. 30 Universal Recycling grant and low interest loan application deadline

DOVER – DNREC’s Recycling Team in the Division of Waste & Hazardous Substances is providing a valuable Universal Recycling preview in the form of free onsite waste assessments to organizations and schools in Delaware who might want to apply for recycling grants or low-interest loans offered this year by DNREC. The deadline for applying is Sept. 30 (moved up from an original Nov. 3 deadline), and the Recycling Team believes it behooves all applicants to get a waste assessment to make their application more focused and attractive for landing grant awards or low-interest loans for their company or school’s recycling program.

The assessments are made at no cost and can be arranged with a quick touch of the telephone keypad – the recycling team responds with expediency in doing an assessment that is certain to augment a school or business’s grant application for helping fund its recycling program or to launch a new wastttttprogram.

How to Recycle In Delaware guide“DNREC’s waste assessment consists of a walk-through of your school, workplace or business,” said Don Long, Recycling Team outreach lead. “We can accommodate any number of staff members that your organization wishes to have present during the assessment. The assessment will indicate what’s needed to make recycling both easy and effective for your organization and staff, both inside and outside your facility. It’s as easy and simple as that! Call us today to schedule a free onsite waste assessment (302-739-9403, ext. 8) and let us help your organization become a successful Delaware recycler.”

The onsite waste assessments are a first step in the process of enabling schools, businesses, offices, municipalities and other interested entities to begin and/or expand their recycling efforts. Once a call is made to the Division of Waste & Hazardous Substances (302-739-9403, ext. 8), a DNREC Recycling Team member will arrange and schedule an onsite waste assessment for a day and time that best suits an organization’s schedule to learn more about recycling programs in Delaware – and DNREC’s Recycling Grant and Low Interest loan program, which awards funds twice a year for recycling projects throughout the state.

For one such assessment at Dover High School, the DNREC Recycling Team’s technical assistance consisted of the facility walk-through, followed by an analysis of Dover High’s waste stream, and the school’s waste management practices. DNREC made recommendations on recycling container size, color, and locations for placement throughout the school grounds, and also provided outreach and education examples for more effective communication about how to recycle. School staff was reminded that, in many cases, setting up an effective waste reduction program, when combined with increased recycling, results in decreased trash volumes and the potential for significant waste disposal savings. The overarching message is that recycling is often less expensive than trash disposal.

For more information about the Universal Recycling grant awards and low-interest loan program, please visit the Division of Waste & Hazardous Substances website or call the Recycling Team at 302-739-9403, ext. 8

CONTACT: Jackie Howard or Don Long, DNREC Division of Waste & Hazardous Substances Recycling Program, 302-739-9403, ext. 8

Vol. 46, No. 327

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Delaware Competes Act Filed

Legislation would reform the Delaware Corporate Income tax to remove barriers to job creation and simplify compliance for small businesses.

Dover, DE – HB 235, known as the Delaware Competes Act and sponsored by leadership of both the Democratic and Republican parties of the House and Senate, was introduced today in advance of next week’s commencement of the 2016 General Assembly.

The bill would reform the way that the state apportions income tax for corporations to remove elements of the code that are disincentives for new investment and job creation. Under current law, companies that create jobs or invest in property in the state must pay more corporate income tax. While the Delaware Competes Act does not change the tax rate, it changes the apportionment formula to remove those disincentives, and calculates taxable income using the revenue generated by a business’ activities in the state.

The Delaware Competes Act also makes several changes to the code to simplify the filing process for small businesses, and gives them added protection from being penalized for filing errors.

“This bill will ensure that Delaware will continue to be an attractive place for businesses to relocate or expand,” said Governor Jack Markell. “I am grateful to the leaders of both parties for supporting these common sense reforms that will benefit all Delawareans. Employers should not have to pay more in taxes just because they decide to create more jobs in the state.”

House Majority Leader Valerie Longhurst, who is sponsoring the bill, noted that the measure will benefit many small businesses throughout the state by reducing and simplifying filings they must submit, protecting them from being penalized due to errors during filing.

“Most other states have abandoned this method of calculating corporate income tax, which leaves Delaware at a competitive disadvantage. By taking these steps, we are putting Delaware on a level playing field with our surrounding states,” said Rep. Longhurst, D-Bear. “I’m pleased that leaders on both sides of the aisle have quickly come together to make Delaware an even better place for businesses. I hope we can continue to work together on other efforts to address our fiscal situation.”

In recent years, more and more states have adopted this method of apportionment, with Pennsylvania, New Jersey, and New York among those who have made similar adjustments.

Senator Patricia Blevins, the lead Senate sponsor and President Pro Tempore of the Senate, hailed the bill as an example of what can be accomplished when the parties are willing to come together and put the interests of citizens before politics.

“Adjusting to our rapidly changing economy means both parties must quickly coalesce around some new ideas that put Delawareans first,” Blevins said. “I’m proud that more often than not, that’s the spirit that carries the day in Legislative Hall, and I’m hopeful that our cooperation on this issue will set the tone for this upcoming legislative session.”

“This bill will reform our corporate income tax calculation, remove a disincentive for job creation, and make us more competitive with other states. It is a positive, bipartisan step towards improving Delaware’s business climate,” said House Minority Leader Danny Short, a Prime sponsor of the bill.

Senate Minority Whip Greg Lavelle, another Prime Sponsor, said that the bill was a win for both our citizens and business community. “Being able to review and modify our corporate income tax structure is worthwhile and worth doing. It’s a big deal.”

Business community leaders also expressed their support for the Delaware Competes Act. “The Delaware State Chamber of Commerce is pleased that the Administration and General Assembly are taking this step to help make Delaware more competitive regionally and nationally,” said A. Richard Heffron, President of the Delaware State Chamber of Commerce.  “Policies like these are what we need to attract and retain companies in Delaware, which is vital to our long term economic growth.”

Modernizing Delaware’s business taxes, as proposed in the Delaware Competes Act, was identified by the Governor’s Revenue Review Task Force as one way to provide more predictability and stability for Delaware’s Corporate Income Tax. “I am happy to see that the General Assembly is taking steps to enact this change,” said Josh Martin, Chairman of the Task Force. “This recommendation had unanimous support from the group, and its adoption would have a positive impact on the state going forward.”

The Delaware Competes Act has been assigned to the House Revenue & Finance Committee.

HB 235 changes the method of calculating Corporate Income Tax apportionment. Currently, three factors are used to determine what portion of a company’s total income is attributed to Delaware for the purposes of assessment- their total payroll in Delaware relative to their payroll in the US, their total property holdings in Delaware relative to their property throughout the US, and their total sales in Delaware relative to their total sales throughout the country. The bill adjusts this calculation so that by 2020, attribution is determined 100% by using the ratio of sales in Delaware. It phases in this change over the next four years, weighting sales at a 50% rate in 2017, a 60% rate in 2018, and a 75% rate in 2019. Companies with headquarters in Delaware would see the shift to 100% take full effect in 2017.

The bill makes some other adjustments targeted to assist small businesses. Currently, businesses must make payments totaling 70% of their estimate total tax for the year by June 1st. This can be difficult for small businesses, because their revenue is frequently more volatile than larger corporations, and their cash flow is often more challenging to manage. The bill allows small companies to file 25% estimates each quarter, smoothing out the payments throughout the course of the year.

The legislation also adjusts the threshold for the safe harbor from penalties for incorrect estimates. The safe harbor provision for small businesses was enacted in 1984, but the qualification threshold has not been adjusted, so many small businesses no longer qualify. The bill adjusts the qualification threshold and indexes it against inflation, so small companies will remain eligible as originally intended. The threshold for qualification to report gross receipts data quarterly instead of monthly is also adjusted, meaning smaller businesses will not have to go through the reporting process as often as they currently do. Finally, the bill clarifies that, for the purposes of income attribution, only US based assets are part of the calculation. This has been done in practice since a court ruling mandated it several years ago, but was never codified.

Full text of the legislation can be found here.

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Report: Delaware Legal System Remains Nation’s Best

Wilmington, DE – A new survey by the U.S. Chamber of Commerce ranked Delaware first for the fairness and reasonableness of the state’s legal system, rating the state number one for the tenth consecutive time since the periodic surveys began in 2002. This year’s findings, based on interviews with a national sample of more than 1,200 in-house general counsel and other executives who are knowledgeable about business litigation, put Delaware in the top two in all ten of the report’s categories, including first place in overall treatment of tort and contract litigation and judges’ competence.

“This report reflects a relentless commitment to predictability and fairness in our laws and our judiciary, and it confirms that Delaware’s standing as a premier place to do business remains as strong as ever,” said Governor Markell. “But, most of all, the number one ranking recognizes the talented jurists across all of our courts who consistently demonstrate outstanding intellect and legal expertise that produce thoughtful decisions.”

Delaware’s favorable litigation environment is one of many reasons so many business are choosing to locate, grow and incorporate in Delaware. Recovering from the recent recession, the state set an all-time high for number of jobs and Delaware’s job growth continues to lead the region, while the unemployment rate continues to be below the nation’s. Led by private employers, the state has seen 38,000 jobs created since the depths of the recession and has been recognized as one of the states best-prepared for the new economy.

In addition, the corporate franchise continues to strengthen both nationally and internationally. Last year the state set historic highs in the number of new companies formed, the percentage of Fortune 500 companies incorporated in the state, and the percentage of US initial public offerings (IPOs) that are Delaware companies. The survey by the U.S. Chamber Institute for Legal Reform reaffirms that the state’s success is in large part due to the quality of Delaware’s laws and judges.

 

Survey categories (Delaware ranking):

 

  • overall treatment of tort and contract litigation (1)
  • having and enforcing meaningful venue requirements (1)
  • treatment of class actions and mass consolidation lawsuits (1)
  • punitive damages (1)
  • timeliness of summary judgment or dismissal (1)
  • judges’ competence (1)
  • discovery (2)
  • handling of scientific and technical evidence (2)
  • judges’ impartiality (2)
  • juries’ fairness (2)

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