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History from News Journal Feb. 1-7 with bank collapse, rising inflation

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History from News Journal Feb. 1-7 with bank collapse, rising inflation


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  • Excerpts from The News Journal archives from Feb. 1-7 include a sea rescue with a twist in 1926.
  • A Delaware bank was seeking a bailout in 1976.
  • Inflation was hitting Delawareans hard in 2006 with hikes in housing, electricity, heating costs, groceries, gasoline and insurance.

“Pages of history” features excerpts from The News Journal archives including The Morning News and The Evening Journal. See the archives at delawareonline.com.

Feb. 2, 1926, The Evening Journal

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Captain in Florida saved from ship by Delaware relative

Mrs. Fred Martin of Laurel, wife of Captain Fred Martin, master of the schooner Richmond, this morning received a telegram from her husband stating that he had rescued Captain Roland F. Quillen and wife and crew from the schooner Jacob Hook, abandoned off the coast of Vero Beach, Fla.

A strange coincidence in connection with the rescue is the fact that Captain Martin is the brother-in-law of Captain Quillen.

The Jacob Hook was lumber laden from Beaufort, N.C., to Miami, Fla., where the Quillens are to spend the winter. Mrs. Quillen insisted on making the trip with her husband.

It is supposed the Jacob Hook became disabled in the storm off Florida.

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Another unusual coincidence is that Captain Martin until a few months ago was master of the Jacob Hook. When he took charge of the Richmond, he turned the Hook over to his brother-in-law.

Both Captain Martin and Captain Quillen live in Laurel.

Captain Quillen was nominated for State Treasurer on the Democratic ticket several years ago. His brother, John Quillen, is Clerk of the Peace of Sussex County.

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Feb. 4, 1976, The Morning News

Farmers Bank gets 3 rescue offers

Three potential investors have expressed interest in providing badly needed capital to the financially troubled Farmers Bank of the State of Delaware.

The bank has asked the state for $10 million to $20 million to shore up its finances after sustaining a $9 million loss in 1975 – chiefly from bad loans.

In a hastily called meeting last night, directors of Farmers heard of feelers from an insurance company, another bank and a wealthy Miami Beach investor with Delaware ties. Directors declined to identify the insurance company or the interested bank. …

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Gov. Sherman W. Tribbitt characterized one of the feelers as an offer, and, in a brief appearance at the directors meeting, urged the bank to accept it. It came from Victor Posner, wealthy chairman of the NVF Corp. of Yorklyn. …

Tribbitt said Posner had offered to put up $15 million of his personal funds in exchange for preferred stock in the bank. Tribbitt said the state could find another $5 million from unspent capital improvement and divestiture funds to provide the needed total of $20 million. …

The board meeting was called by eight of the nine directors who represent the state’s interest in the bank. The state already owns 49.3% of the bank’s common stock and is the bank’s largest depositor with more than $100 million currently in time and demand accounts….

Farmers Chairman A. Edwards Danforth has been under fire from legislators since last Wednesday when the bank’s difficulties first were revealed to state officials….

Tribbitt rebuked the Farmers chairman for blaming the bank’s problems on its relationship with the state. The Federal Deposit Insurance Corp. said the major problem was the bank’s real estate loans, Tribbitt told reporters.

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The governor said he continues to support divestiture of the state’s ownership in the bank.

A summary of the FDIC examination obtained by The Morning News shows the ratio of problem loans to bank assets had risen to more than double the accepted danger level. …

The bank’s $124 million portfolio of securities – stocks and bonds – was worth $11 million less than the original purchase price.

The FDIC report listed $31.3 million in capital accounts – stocks, bonds and retained earnings – and showed $4.5 million in reserves for loan losses, a total of $35.8 million.

The report showed the bank had $73.1 million in classified assets, mainly problem loans and securities losses. Classified loans amounted to $66.8 million. Of that total, $50.7 million were listed as substandard, $6.3 million as doubtful and $9.8 million as lost.

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Farmers Bank acknowledged last night that the bank is in technical default on $9 million it borrowed in recent years to buttress its capital. But Farmers President Edward W. Hagemeyer said the two New York banks that hold the capital notes are not pressing for immediate payment and are allowing Farmers to continue making interest payments.

Feb. 5, 2006, Sunday News Journal

The rising cost of everything: Expect to spend hundreds more a month

When retiree Charles Kolodjeski moved into his Little Heaven manufactured home south of Dover in 1986, his monthly expenses totaled $500.

He estimates he now spends $2,500 to $3,000 a month on food, land rent, gasoline, health care, insurance, utilities and incidentals. …

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Like residents across the state, Kolodjeski, 74, is facing even greater cost-of-living increases this year. From gasoline prices and heating bills to health care and housing costs, many Delawareans are going to be shelling out hundreds of dollars more each month.

The extra cost can mean real trouble for many in a state the U.S. Census Bureau estimates had a median income of $50,315 in 2004, with 79,682 of the state’s 830,364 people living below the federal poverty line.

And other increases could be coming soon. Property tax hikes loom in New Castle County, and many school districts are facing shortfalls. State officials are talking about higher tolls and fees for driver’s licenses and car registrations.

Come May, Delmarva Power electricity customers will begin paying nearly 60% more to keep the air conditioning humming.

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“No matter how you turn, they get you,” Kolodjeski said. …

Like most, Kolodjeski’s income hasn’t kept pace with rising expenses.

Civilian workers’ wages and benefits rose 3.1% in 2005, the smallest increase in nine years, according to the U.S. Labor Department. Meanwhile, inflation was at 3.5%.

Patricia Parsons, 58, is one of the many not seeing income increase as expenses mount. The Long Neck retiree said her lot rent for her manufactured home rose this year by 37% to $6,200. Neighbors with waterfront lots had 70% hikes, she said.

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“A lot of people have walked away. They’ve abandoned their homes,” said Parsons, who supports a bill in the General Assembly to force land owners to justify increases above inflation….

Here are examples of how Delawareans are being squeezed by increasing costs this year compared to one year ago:

  • Cost of median home, $230,600, up 19% from $193,800
  • Home insurance, $442, up 13% from $390
  • Monthly rent, two-bedroom apartment, $804, up 5% from $765
  • Natural gas, Delmarva Power, $1.58 a cubit foot, up 20% from $1.26
  • Heating oil, $2.53 a gallon, up 21% from $2.05
  • Electricity, Delmarva Power, 14 cents a kilowatt hour, up 59% from 9 cents
  • Automobile insurance, $2,262, up 8% from $2,092
  • Gasoline, regular unleaded, $2.34 a gallon, up 31% from $1.79
  • White bread, $1.05 a loaf, up 8% from 97 cents
  • Milk, $3.29 a gallon, up 0.2% from $3.21
  • Ground beef, $2.61 a pound, up 5.6% from $2.47
  • Dozen eggs, grade A large, $1.35 a dozen, up 12.5% from $1.20
  • Health insurance, premiums up 9.2%

Reach reporter Ben Mace at rmace@gannett.com.



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New Castle County Council finally votes on data center regulations

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New Castle County Council finally votes on data center regulations


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  • New Castle County approved data center rules that will not apply to Project Washington.
  • It came after hours of public comment and council compromise.
  • The ordinance restricts water usage and creates buffers between data centers and residential areas.

New Castle County Council approved regulations on the development of data centers Tuesday night.

They won’t apply to the massive proposed data center complex of Project Washington, which continues to fight through state-level objections.

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The County Council meeting was standing room only. The crowd of both construction workers supporting the legislation and community members opposing it spread into the lobby of the Louis Redding City/County Building.

The ordinance requires data centers to have a closed-loop water cooling system to limit its water use and creates a 1,000-foot buffer between data centers and residential areas, with an exception for 500-foot buffers if a development can follow noise regulations. It also defaults to existing county limits on noise and lighting levels.

A unanimously approved amendment from Pike Creek representative Timothy Sheldon clarified that these new regulations count for applications submitted after this gets adopted and approved by County Executive Marcus Henry, unless an existing applicant requests to follow these new regulations.

It passed with 12 ‘yes’ votes, with Councilmember Jea P. Street absent from the vote itself.

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This was the only amendment left standing. An amendment from Janet Kilpatrick, representing Hockessin, would have grandfathered existing data centers from the ordinance, clarifying that any pending proposal in the county wouldn’t be affected. Another amendment, from Claymont representative John Cartier, would’ve made the ordinance retroactive to count for Project Washington and others. Both were withdrawn at the meeting in a council compromise.

Project Washington’s plans north of Delaware City kicked local data center dialogue into high gear in 2025. The data center project would include 11 two-story data center buildings surrounded by electrical fields on two large land parcels accessible by Hamburg Road, Governor Lea Road and River Road.

It would be 6 million square feet of data center running 24 hours a day, seven days week.

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The project’s developer, Starwood Digital Ventures, pledges job creation and and a colossal injection of tax revenue into the coffers of the county and Colonial School District. They said this will bring about 3,500 construction jobs and retain 700 permanent jobs to keep the facility up and running.

County Council member Dave Carter has spent months drafting the regulations that were voted on during this meeting. This is substitute number three on the original bill from August 2025, including compromises on noise and lighting restrictions. Carter wants sensible data center regulation in the county, and he told Delaware Online/The News Journal in March he thinks Project Washington is a “bad deal” for the state.

He thinks the potential demand on the state’s already strained electrical bid will hurt residents’ bills. He also disputes the developers’ promises on permanent jobs and tax revenue.

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“We just have to really be cognizant and thoughtful and make sure that we are ensuring that we protect our communities, and that we manage these things well if they are coming,” Carter said at the meeting.

It hasn’t been an easy sell to the rest of County Council. Council member Janet Kilpatrick, who represents Hockessin, wanted consistent regulations on lighting and noise levels to avoid scaring off potential business. Data centers have sprung up across the country as the highly demanding AI industry exploded in popularity.

“If we don’t have some stability, these people are not going to be able to go through a lender to get money, and so that means that they leave, and I’m sure that there’s a group of people in this room that would love to see them leave, but that’s not how we build economic development,” she said at the meeting. “Part of what we need, in my mind, in economic development is that we have a stable land use code.”

Although this doesn’t apply to the controversial Project Washington, County Council will still have a say on the re-zoning of half of the project’s land. The County Board of Adjustment will also have to approve its electrical switch station, Culver said.

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At the meeting, residents showed up with mainly negative comments for Project Washington. But, members of trade unions showed up in support of the project’s potential to create construction jobs.

Starwood Digital Ventures will continue to move through the approval process with no changes to Project Washington, according to Jim Lamb, who is handling media for the project.

“We’re really happy there’s a consensus within the council and it’s a really great opportunity for the residents of New Castle County,” Lamb said Tuesday night.

Now this goes to County Executive Marcus Henry’s office, who can sign or veto these regulations.

Half of Project Washington’s proposed land still needs a re-zone, which requires council approval. The project was stifled by DNREC, who ruled the proposal’s size, use and backup diesel generators violate the decades-old Coastal Zone Act.

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Starwood Digital Ventures disagrees, and filed and appeal, saying the state environmental agency didn’t classify the project correctly and said it “solely focuses on alleged environmental risk and worst-case emissions, and does not fairly weigh or explain these countervailing factors in light of regulating criteria.”

The appeal’s hearing is in Dover and begins on March 24.

Shane Brennan covers Wilmington and other Delaware issues. Reach out with ideas, tips or feedback at slbrennan@delawareonline.com.



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Coast Guard Responding to Large Barge Fire in Delaware Bay

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Coast Guard Responding to Large Barge Fire in Delaware Bay


The U.S. Coast Guard and multiple partner agencies are responding to a barge fire in Delaware Bay on Tuesday after a tug reported that the vessel it was towing had caught fire.

According to the Coast Guard, watchstanders at Sector Delaware Bay received a call at approximately 8:20 a.m. from the tug Douglas J, reporting that the barge under tow was on fire. The barge was reportedly carrying scrap metal.

Authorities are towing the burning barge to a position about two miles off Maurice River Cove, New Jersey, in an effort to move the incident away from the main shipping channel while firefighting operations continue.

The Coast Guard has established a safety zone and issued a Broadcast Notice to Mariners as crews work to contain the fire and reduce potential hazards to vessel traffic in the busy port complex. Multiple fire departments have deployed fireboats to assist with suppression efforts.

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No injuries have been reported and the cause of the fire remains under investigation.

Responders from Coast Guard Station Philadelphia, Coast Guard Station Cape May, and Coast Guard Air Station Atlantic City have been deployed to assist. Partner agencies on scene include the Wilmington Fire Department, Delaware City Fire Department, Philadelphia Fire Department, New Jersey Office of Emergency Management, and Delaware Emergency Management.

The incident follows another major barge fire in the Delaware Bay region in 2022, when a barge carrying scrap household appliances burned for approximately 26 hours in what officials described as the largest firefighting operation in Delaware state history.

Response operations for the current fire remain ongoing.

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DMV in Minquadale, Delaware reopening months after trooper’s death

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DMV in Minquadale, Delaware reopening months after trooper’s death


Tuesday, March 10, 2026 9:34AM

Minquadale DMV reopening Tuesday

MINQUADALE, Del. (WPVI) — The DMV in Wilmington, Delaware is reopening at 8a.m. Tuesday.

This comes after the deadly shooting of State Trooper Matthew “Ty” Snook, 34, in December 2025.

A man walked into the facility and shot and killed Snook.

The DMV said service at the Wilmington location will be by appointment only for now. The Delaware City, Dover, and Georgetown DMV locations will continue to offer walk-in service to customers.

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