DOVER, Del. – The budget-writing Joint Finance Committee has introduced a $6.1 billion operating budget bill for Fiscal Year 2025.

We’re told this plan upholds the Delaware General Assembly’s commitment to state workers and retirees while also making new investments in the state’s public schools and other critical programs supporting some of the most vulnerable residents in the First State.

The committee also filed a $168 million supplemental spending plan of one-time expenditures on Tuesday. Contingency funds will also be held in the reserve to help prevent future economic downturns from disrupting core services, including a $50 million allocation aimed at helping cover future raises for educators. This is part of the ongoing effort to bring base starting salaries for teachers to $60,000.

Senate Bill 325, the operating budget bill, would fund a third year of state employee pay raises, with all merit employees set to receive a 2% increase. Additionally, negotiated collective bargaining units and statutory step increases would also be fully funded.

The 2% raise proposed for teachers and specialists means educators will have seen an 11% increase in base salary over the last two years. The base pay for paraprofessionals, custodians, secretaries, bus drivers, and food service workers will have increased by 6-18% during the same period.

SB 325 also includes $7 million in state funding for higher Medicaid reimbursement rates paid to long term care facilities, which will unlock another $10.5 million in federal funds.

Senate Bill 326, the one-time supplemental budget, would fund cost of living increases of up to 2% for most pensioners in the state, depending on their retirement date.

The operating budget bill for July 1, 2024, to June 30, 2025, would also make substantial investments in critical services used by vulnerable Delawareans, including seniors in skilled nursing facilities, people with intellectual and development disabilities, and families struggling to cover the costs of childcare.

More on these bills can be found here.