DELAWARE - Members of the Joint Special Property Reassessment Committee introduced a package of legislation Thursday aimed at addressing concerns tied to Delaware’s statewide property reassessment process.
The bills follow more than a year of feedback, research and public hearings after reassessments were conducted in all three Delaware counties. A 2020 lawsuit required the reassessments, marking the first in New Castle and Kent counties since 1987 and the first in Sussex County since 1974.
The process led to higher tax burdens for many property owners, especially in New Castle County, where the average resident saw assessed home values rise by 433%.
Lawmakers held a special session in August 2025 and passed seven pieces of legislation to address immediate concerns. House and Senate Democratic leadership later formed a bipartisan special committee to investigate the reassessment process and consider additional legislation.
Several of the new bills focus on New Castle County.
House Bill 461 would allow school districts in New Castle County to reset their tax rates for the 2026-27 tax year to account for continued adjustments to the county’s tax roll. Those adjustments include appeal results, quality control reviews and possible changes from other legislation. The bill says the tax rate could not increase a district’s projected operating revenue, with limited exceptions.
House Bill 462 would continue allowing non-vocational school districts in New Castle County to set different tax rates for residential and non-residential properties. Under the bill, non-residential rates would have to be at least equal to residential rates and could not be more than 1.85 times the residential rate.
The New Castle County Vocational Technical District would not be included in HB 462 and could not continue using different tax rates past the 2025-26 tax year.
House Bill 460 would expand permit data sharing requirements in New Castle County ahead of the next reassessment. Municipalities would have to submit detailed permit data monthly, including certificate of occupancy status and estimated costs for new buildings, repairs or alterations.
House Bill 463 would raise income limits for seniors to qualify for New Castle County’s school property tax exemptions.
Two resolutions would create working groups focused on long-term reforms. House Concurrent Resolution 150 would establish a statewide Property Assessment Working Group to review assessment standards and develop recommendations for Delaware. House Concurrent Resolution 151 would create a Property Tax Relief and Modernization Working Group to study tax relief options and long-term reforms, including homestead exemptions, circuit breaker programs, assessment caps and other taxpayer protections.
The release says neither working group would transfer assessment authority from the counties to the state. Each county would keep authority over its assessment department and reassessment schedule.
Both working groups would convene within 60 days of their resolutions being adopted and would be required to produce legislation ready for introduction in the 154th General Assembly by June 30, 2027.
All six pieces of legislation have been assigned to the House Administration Committee.
