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September 4, 2020 In In The News

Delaware Black Chamber of Commerce set to launch soon

From Delaware Business Times

MIDDLETOWN — To amplify the voices of and opportunities for success for Black business owners, a Middletown consultant is leading efforts to form a Delaware chapter of the National Black Chamber of Commerce.

Khan Consulting President and CEO Ayanna Khan started the groundwork for the Delaware Black Chamber of Commerce (DEBCC) this summer, but envisions a future organization that not only advocates for Black business owners, but also grants them a door to funding opportunities and workforce development.

“There is definitely a disconnect in the business community when it comes to helping Black business owners,” Khan told Delaware Business Times. “This will be the state’s first chapter, and it’s time to start one. We need to pull together to make sure these businesses are not left behind.”

A survey conducted by the Global Strategy Group showed that only 12% of Black and Latino businesses who applied for aid from the U.S. Small Business Administration’s Paycheck Protection Program (PPP) received the full loan amount requested. About 26% of businesses surveyed received only a fraction of what was requested.

In Delaware, 14 out of the total 2,073 PPP loan recipients identified as businesses or nonprofits run by a person of color. Of the 14, five recipients identified as a Black-owned business or organization. Overall, 138 applicants identified as white and 1,921 applicants did not identify their race.

That inequality spoke volumes to Khan, especially since her firm helped nonprofits bring in millions through grants and fundraising.

“Seeing that Black business owners locked out of the PPP across the country because they didn’t fit the eligibility or the requirements, that really spoke to me,” Khan added. “Here I am, able to bring in millions for my clients and there’s a chance that businesses like mine wouldn’t see anywhere near the amount. No matter where you are in the state, it’s access to capital that’s the main struggle for Black businesses.”

Read more

September 4, 2020 In In The News

Delaware Black Chamber of Commerce set to launch soon

From Delaware Business Times

MIDDLETOWN — To amplify the voices of and opportunities for success for Black business owners, a Middletown consultant is leading efforts to form a Delaware chapter of the National Black Chamber of Commerce.

Khan Consulting President and CEO Ayanna Khan started the groundwork for the Delaware Black Chamber of Commerce (DEBCC) this summer, but envisions a future organization that not only advocates for Black business owners, but also grants them a door to funding opportunities and workforce development.

“There is definitely a disconnect in the business community when it comes to helping Black business owners,” Khan told Delaware Business Times. “This will be the state’s first chapter, and it’s time to start one. We need to pull together to make sure these businesses are not left behind.”

A survey conducted by the Global Strategy Group showed that only 12% of Black and Latino businesses who applied for aid from the U.S. Small Business Administration’s Paycheck Protection Program (PPP) received the full loan amount requested. About 26% of businesses surveyed received only a fraction of what was requested.

In Delaware, 14 out of the total 2,073 PPP loan recipients identified as businesses or nonprofits run by a person of color. Of the 14, five recipients identified as a Black-owned business or organization. Overall, 138 applicants identified as white and 1,921 applicants did not identify their race.

That inequality spoke volumes to Khan, especially since her firm helped nonprofits bring in millions through grants and fundraising.

“Seeing that Black business owners locked out of the PPP across the country because they didn’t fit the eligibility or the requirements, that really spoke to me,” Khan added. “Here I am, able to bring in millions for my clients and there’s a chance that businesses like mine wouldn’t see anywhere near the amount. No matter where you are in the state, it’s access to capital that’s the main struggle for Black businesses.”

Read more

September 2, 2020 In In The News

As Maryland enters stage 3 of COVID-19 reopening, movie theaters, live venues can open

From The News Journal

Movie theaters and entertainment venues can begin reopening later this week as Maryland moves into the third stage of coronavirus reopening, Gov. Larry Hogan said Tuesday.

All businesses in Maryland will be able to open in stage three, Hogan said. That includes movie theaters and live venues that have been shuttered since early in the pandemic.

Maryland Gov. Larry Hogan

Entertainment facilities will be allowed to operate at 50 percent capacity or up to 100 people at indoor venues or 250 people at outdoor venues, Hogan said. Retail stores and houses of worship can now move from operating at 50 percent capacity to 75 percent capacity, he said.

“I want to remind the people of Maryland that moving into stage 3 does not mean that this crisis is behind us,” Hogan said, “and remind them that we must remain vigilant so that we can keep Maryland open for business.”

Maryland’s 24 jurisdictions can choose to apply more restrictive rules.

Hogan on Tuesday also announced that Maryland will be one of the first states in the country to provide some COVID-19 tracing services through a collaboration with Apple and Google.

Read more

September 1, 2020 In In The News

Sixty-acre sports complex set to open near Georgetown

From The News Journal

Georgetown’s long-awaited Sandhill Fields sports complex is set to open Sept. 9.

The almost 60-acre property at 20330 Sand Hill Road features eight regulation Bermuda grass soccer/lacrosse fields and six regulation pickleball courts.

A 3.1-mile regulation cross-country course is part of Sandhill Fields’ 3.5-mile wooded walking trail, half of which is an above-ground boardwalk.

“You have to see it,” said Lewes’ Joe Schell, who first envisioned the complex and donated the land. “It’s something else.”

About half of the walking trail at Sandhill Fields consists of a raised boardwalk.

There are picnic pavilions, restrooms and ample parking. Two playgrounds are still being built. An area at the center is reserved for food trucks.

The “first-class multisport center,” as described by Sandhill Fields’ website, is open to the public for free use. Sports clubs who wish to use the fields for practice, games and tournaments will be charged a fee.

It cost around $6.5 million, part of which was funded by a loan from the Sussex County Council. Any profit will go toward maintenance or future expansion.

Schell said a few organizations have already booked the fields for this fall. He is looking forward to busy spring and summer seasons next year.

Read more

August 29, 2020 In In The News

As donations run dry, closure looms for some Delaware nonprofits. What about their clients?

From The News Journal

Sixty-seven percent of surveyed nonprofits said they need financial support to pay for the cost of personal protection equipment required by state order, and 52% of nonprofits who received Personal Paycheck Protection loans from the Small Business Administration will need more to retain employees, according to a survey of over 100 Delaware nonprofits by the Delaware COVID-19 Emergency Response Initiative.

Meals on Wheels volunteer Bob Casey, right, delivers a meal to a recipient Thursday, August 27, 2020, in Dover.

But much of this funding will be gone by the fall.

The survey found that despite assistance from the philanthropic community and funds from the federal government, nearly a third of responding nonprofits have less than 10 weeks of available cash on hand.

Take Modern Maturity, which doubled its production when the pandemic began and went from delivering 1,500 meals a day to almost 3,000 for several weeks. Now, the center is back to 1,500 meals but has added services like phone check-ins to make sure the seniors are receiving care.

Employees also keep an eye on clients like Hutson. Recently, she told the carrier that her fan was broken during one of Delaware’s particularly hot weeks and the center provided her with one – free of charge – and set it up.

Read more

August 28, 2020 In Blog

Delawareans have a choice: taxed to death or death to burdensome taxes

Only two things in life are certain: death and taxes. For Delawareans, this isn’t just an old adage, but real life.

Without caution from the people, this will not stop. Only the limited balance in the Delaware senate is currently keeping things in check—but only a little. Delaware’s tax increases over the last two General Assemblies (2016-2018, 2018-2020) were the 6th highest in the nation.

Delaware’s has the highest per capita revenue from corporate license fees and the fifth-highest per capita corporate income tax revenue. Corporate license fees accounted for 12.8 percent of Delaware’s state and local general revenue in 2017 (for comparison, the national average was 0.2 percent), but we risk losing this source of funding if we force businesses to incorporate out of state.

You’ll hear many people tout Delaware’s status as a “tax-free” state, but that simply is not the case. Yes, Delaware does not have the sales tax, but we more than make up for that. Take for example the reason why we are able to avoid having a sales tax: the gross receipts tax.

Delaware is one of only seven states with a gross receipts tax. These invisible sales taxes raise prices as these taxes are shifted onto consumers, and tend to impact lower incomes the most. Moving away from these economically damaging taxes can thus be a part of states’ plans for economic recovery.

As if that wasn’t enough, the state’s individual income tax burden is on the top half of the nation, with one of the highest individual income taxes. This has been an ongoing issue, but the impact of this tax will be felt harder as we continue operating under a COVID emergency order that has wrecked our economy.

Since 2016, Governor Carney approved large tax increases but he did not work alone. The taxes started as bills heard and voted on in Dover that were approved for his final vote.

These bills raised corporate franchise taxes, realty transfer taxes, alcohol taxes, and cigarette taxes. Delaware now has the highest real estate transfer tax in the nation and some of this highest excise taxes among all fifty states.

These tax increases were estimated to raise more than $200 million annually, the exact amount the state claimed was a “surplus” less than one year ago.Over-taxing residents is not a surplus or a celebration to commemorate with additional spending.

Have these measures even been worth it?

No. Delawareans get very little bang for their buck. Our taxpayer return on investment (ROI) is near the bottom nationally, despite having some of the highest taxes per capita. We spend more on education and health care than most other states, yet continue to see outcomes that put us in the bottom of national ranks.

Our representatives are not representing our best interests when they continuously raise taxes, taking money away from hard working Delawareans. The results speak for themselves, and what they’re saying is that it is time to change what we’ve been doing.

In November, Delawareans have a choice: taxed to death or death to burdensome taxes.

August 21, 2020 In Blog

Say No to Delaware’s Status Quo

Delaware: banks, beaches, Biden. We’re the First State and the Diamond State—a small wonder. We are known by and for many things, but home means something different to everyone.

Delawareans take a lot of pride in our little state, and so do we at A Better Delaware. That is why we are working to improve the state for every Delawarean, and for our future.

Delaware is 34th nationally in the Best States to Live In report from WalletHub. A lot of things factor into that position.

Delaware’s quality of life ranked low at 47th nationally, based on indicators like the average commute time, access to public transportation, and more. The same report had Delaware’s economy at 38th, based on the unemployment rate, general tax-friendliness, entrepreneurial activity, and more.

Delaware has room for improvement on all of these indicators.

Improving these issues, either through legislative or regulatory change, would have a massive impact on the state. Not only would it be better for Delawareans to see these changes, but these measures would help to attract businesses into the state as well. Right now, Delaware plays a costly game of corporate welfare at the taxpayer’s expense, despite that being at the bottom of the listof what businesses look for when selected a location.

We consistently rank poorly nationally for unemployment, and are currently 36th for July 2020. There’s no amount of money that can be given to a corporation to hide our shortcomings in these important areas.

Even if a business does select Delaware, are we attracting workers?

Delaware ranks 29th overall for its affordability, and is even lower for its cost of living and housing affordability. That’s quite unattractive for prospective residents. We have one of the highest income taxes and Delaware’s real estate transfer tax being one of the highest in the nation. Even if we attract businesses and worker to the state, the extra thousands involved in buying a home may make the workers second-guess their decision.

It’s issues like this that need to be fixed in order to make our home a great place to be. Education, quality of the job market, a trained workforce and so much more are the key to improving Delaware.

Currently, our representatives and leaders are not working to truly improve Delaware. Every action seems like a band aid for a bullet wound, and Delawareans are tired of seeing their state crumble because of it.

Now is the time to critically think about the decisions that have been made in Dover, who is making them, and why. The 2021 Legislative Session could be the one to solidify these national standings and push us further down the path of our status quo, or could be the one that makes a decisive change that could put the First State back on top.

August 20, 2020 In In The News

Delaware stays in middle of pack in Covid-19 jobless claim decline

From Delaware Business Now

Delaware continues to see a slower recovery than its neighbors from the coronavirus pandemic.

The WalletHub website reports that the state ranked 19th in the decline in unemployment claims stemming from the shutdown of schools, businesses, and nonprofits from Covid-19.

Source: WalletHub

Florida, which has been struggling with a surge in cases, ranked 51st. Two other states with a surge in cases, Texas and California, ranked 37th and 40th respectively.

Neighboring Pennsylvania ranked third in the decline of jobless claims, with Maryland seventh and New Jersey in the 10th spot.

Delaware saw a decline in its June unemployment rate, but ranked 10th from the bottom among the 50 states.

The hospitality industry has seen a sizable loss in jobs, even though the state was quicker to reopen than neighboring New Jersey and Philadelphia.

Read more

August 19, 2020 In In The News

State, New Castle County will offer $100 million in grants to small business, nonprofits

From Delaware Live

The state of Delaware and New Castle County have launched a new program that will offer $100 million in relief grants to small businesses and nonprofits across the state who have been affected by COVID-19.

The DE Relief Grants program will be funded by some of the state’s and county’s share of money from the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Delaware Division of Small Business director Damian DeStafano said during Gov. John Carney’s weekly press conference about COVID-19 Wednesday afternoon that the fund would be “at least” $100 million, but will be re-evaluated if the need is higher than anticipated.

The program is expected to reach more than 3,000 small businesses and nonprofit organizations with grants ranging from $30,000 to $100,000, a press release from Carney said.

The Division of Small Business will be taking applications in early September at delbiz.com/relief.  Funding rounds will follow in October and November.

The site is live now, he said, and the division will be hosting online webinars about how to apply. DeStafano recommended that business owners and nonprofits sign up now in order to be alerted by the webinars.

The program is designed to reimburse people for changes required by COVID-19 or who want to make changes because of it, DeStafano said.

The grants can be used for:

  • Purchasing equipment to make a workplace suitable for COVID-19 safety (such as PPE, plexiglass, air purifiers, etc.)
  • Refinancing of debt incurred due to COVID-19 (including State of Delaware HELP loans)
  • Advertising efforts undertaken as a result of COVID-19
  • Fixed expenses the applicant accrued during COVID-19

The size of the relief grant will be based up the business or nonprofit’s 2019 revenue:

  • $0-$500,000: Up to $30,000
  • $500,000-$1 million: Up to $50,000
  • $1 million-$2.5 million: Up to $72,500
  • $2.5+ million: Up to $100,000

“Multiple programs are necessary to address the challenges Delaware’s small businesses face,” DeStefano said in the press release. “We believe this assistance, coupled with other efforts, including the Hospitality Emergency Loan Program (HELP) and the COVID-19 Customer Protection Standards, help make the difference for some of our small businesses.”

Read more

August 14, 2020 In Blog

Pro-Business Group Expands Efforts in Delaware with Formation of New PAC

Press Release from our sister organization, A Better Delaware PAC

A Better Delaware has formed the A Better Delaware PAC to participate in the 2020 election cycle

Wilmington—A Better Delaware, a pro-business, pro-jobs group that also promotes more accountability and transparency in Delaware government today announced the formation of A Better Delaware PAC to expand their advocacy efforts into 2020 campaigns.

“We must apply pressure at the grassroots level. We must educate legislators in the State House,” says founder Chris Kenny. “But we will never see real change if we keep sending the same anti-taxpayer, anti-business lawmakers back to Dover, and we must protect legislative allies who understand what makes for a stronger economy.”

A Better Delaware (ABD) was launched last year in response to the direction our state was headed due to decisions made by our lawmakers in Dover. Kenny believed the state lacked a voice for taxpayers and small businesses, and recognized that the First State was far from first when it came to economic, business, and employment rankings nationally. In fact, Delaware was consistently in the bottom for fiscal stability, employment, business climate, and tax rates.

Since then, ABD has spoken out on numerous issues impacting Delaware’s business climate, transparency in government, taxes, the Certificate of Need process, and many others. In less than a year, it has gained a following on Facebook of nearly 10,000 people.

A Better Delaware PAC takes ABD’s efforts to the next level through direct voter contact during the campaign season to help ensure the election of pro-taxpayer, pro-business, good government candidates.

“For too long, Delaware campaigns have been dominated by special interests who stand to benefit from more government spending at the expense of taxpayers,” said Kenny. “ABD PAC will be a counterweight that backs candidates who put Delaware first.”