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Delaware Senate Republicans

Bipartisan Bill Would Clarify Municipal Authority to Set Differing Property Tax Rates

August 11, 2025

DOVER — Bipartisan legislation clarifying that all Delaware municipalities have the longstanding authority to set different tax rates for various classes of real property has been introduced in the General Assembly.

Sponsored by Senate Republican Whip Brian Pettyjohn and House Republican Leader Tim Dukes, Senate Bill 204 (SB 204) would enable local governments the ability to establish reasonable property classifications, such as residential and non-residential, and apply uniform tax rates within each classification.

The measure would eliminate the need for separate legislative action to amend individual municipal charters to allow this flexibility, streamlining the process for local governments and avoiding legal uncertainty. The City of Wilmington already uses this system, and last year, the City of New Castle’s charter was updated to do the same.

“Local governments know their communities best,” said Senator Brian Pettyjohn. “By putting this into state law, we are giving them the clarity and flexibility they need to make property tax decisions that are fair, reasonable, and tailored to their unique needs.”

Because the legislation amends provisions related to municipal charters, it will require the support of two-thirds of the members in both the House and Senate to pass.

SB 204 is on the Senate agenda for tomorrow’s special session.

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