General Assembly Leadership Introduce Bipartisan Legislation Codifying the Delaware Economic and Financial Advisory Council

April 9, 2026/Joe Ciccanti

Delaware legislative leaders from both parties have introduced bipartisan legislation to formally codify the Delaware Economic and Financial Advisory Council (DEFAC), which has long provided nonpartisan revenue and budget projections for the state. The proposed “DuPont-Cook Financial Responsibility Act” would establish DEFAC in state law, rather than by executive order, aiming to preserve its role in supporting balanced budgets and fiscal transparency. Lawmakers say the measure honors the legacy of former Governor Pete du Pont and Senator Nancy Cook, who helped shape Delaware’s approach to responsible financial planning. The legislation–HB 370– has been assigned to the House Administration committee. Under HB 370, DEFAC will continue to meet regularly—including October, December, March, May, and June—and as needed. The council will advise the Governor, Secretary of Finance, and Legislative Council on the state’s financial condition, economic trends, tax policy, and the impact of federal policies on Delaware’s revenues, expenditures, residents, and industries.
 

Additional Information from Legislative Hall:

Recognizing the longstanding value of having a non-partisan body to provide unbiased revenue and expenditure estimates to the State, General Assembly Leadership from all four caucuses introduced legislation Thursday to codify the Delaware Economic & Financial Advisory Council (DEFAC).
 
Sponsored by Majority Leader Kerri Evelyn-Harris, House Speaker Melissa Minor-Brown, Majority Whip Ed Osienski, Minority Leader Tim Dukes, Minority Whip Jeffrey Spiegleman, Senate President Pro Tempore Dave Sokola, Senate Majority Leader Bryan Townsend, Senate Majority Whip Elizabeth “Tizzy” Lockman, Senate Minority Leader Gerald Hocker, and Senate Minority Whip Brian Pettyjohn, HB 370 would embed DEFAC into state law. It currently exists as a longstanding Executive Order, which has been reauthorized by several governors over the past nearly five decades. 
 
DEFAC was created in 1977 via former-Governor Pete du Pont’s Executive Order as a tool to improve the State’s fiscal management practices. It is currently comprised of more than 30  members, including representatives from both the public and private sectors of the State’s economy, and key state officials.
 
“DEFAC guides our decision-making process almost every day in this building by providing us with the revenue and expenditure forecasts upon which we build everything else,” said House Majority Leader Kerri Evelyn-Harris. 
 
“It is long overdue that we enshrine this important council into our state code for future policy makers to rely on.”  
 
DEFAC’s primary objectives are to provide regular updates on the state’s overall financial condition, current and projected trends in national and local economies, and advise on tax policy and debt management. 
 
Since its inception, DEFAC’s projections have been consistently used by the Governor and General Assembly to draft the annual operating and capital budgets and economic policies. 
 
The most recent example of the General Assembly’s use of DEFAC projections occurred in November when the body passed legislation to decouple Delaware’s tax code from certain provisions of the federal Internal Revenue Code (IRC). This decision was informed by DEFAC’s October 2025 projections, where their analysis showed that without legislative action, the state would stand to lose $222.8 million in fiscal year 2026, $107.4 million in fiscal year 2027, and $79.9 million in fiscal year 2028.
 
The continued use of DEFAC’s non-partisan, expert work has led to the state maintaining a AAA bond rating from all the nation’s leading rating services, including Fitch, Moody’s, and S&P Global Ratings for 25 consecutive years. 
 
“For decades, DEFAC has served a vital function in Delaware, ensuring our budget-writers colored inside the lines and that the state spent less money than it expected to receive,” said State House Republican Leader Tim Dukes. 
 
“But until now, DEFAC has lived an ephemeral existence—operating under an executive order any governor could change or revoke. This bill gives it the security it deserves by writing its form and functions into the Delaware Code.”
 
Despite DEFAC being embedded in the state government’s financial operations and decision-making, it is not technically a part of state law. House Bill 370 would change that by codifying the over 40 years of experience DEFAC has provided the State to safeguard its role within Delaware’s fiscal framework, while also making small changes to aid in the long-term maintenance of this body. 
 
“This has the potential to be an important moment of unity and foresight for our State. Codifying DEFAC sends a clear message that the safeguards that have fostered a half-century of economic vibrancy and responsible budgeting are here to stay,” said Senate President Pro Tempore Dave Sokola. 
 
“When Democrats and Republicans in the Legislature and the Governor can speak with one voice as to the sanctity of DEFAC and the importance of meaningful oversight of our revenue projections and fiscal management, it signals to rating agencies, our corporate franchise, and most importantly hard-working Delawareans that we are governing and budgeting responsibly, funding state services appropriately, and keeping our tax burden low for our working families.”
 
Under HB 370, DEFAC will continue to meet in October, December, March, May, and June, and when deemed necessary by the Governor or Chairperson. Their main duties will continue to be to advise the Governor, the Secretary of Finance, and Legislative Council on the overall financial condition of the State, current and projected economic conditions and trends, and how they affect the expenditures and revenues of the state, residents, and major industries within the state, as well as tax policy of the state and the impact of federal tax policies. 
 
Additionally, DEFAC must submit estimates of the General Fund and Transportation Trust Fund revenues and expenditures for the current and future two to five fiscal years by certain predetermined dates that drive Delaware’s budget process.
 
An annual report, which summarizes DEFAC’s activities throughout the year, including forecast accuracy and key fiscal risks, must also be distributed to the Governor, the Division of Legislative Services, and the General Assembly by December 31 of each year. 
 
The key changes that HB 370 makes to DEFAC are primarily within the structure of the Council. 
 
Those changes include: 
  • Ensuring total membership of between 25 and 34 members, including the Controller General, the Director of the Office of Management and Budget, the Secretary of Finance, the Secretary of State, the Secretary of Transportation, the Secretary of the Department of Health and Social Services, the Joint Finance Committee Co-Chairs, and the State Treasurer as ex-officio members to ensure that multiple facets of state government are represented.
  • Including four members of the General Assembly with two being chosen by the Speaker of the House, and two being chosen by the President Pro Tempore of the Senate, on DEFAC.
  • Including two members of the General Assembly, or their designees, with one being chosen by the Speaker of the House, and one being chosen by the President Pro Tempore of the Senate on the DEFAC Healthcare Benchmark Subcommittee. 
 
HB 370 is named the DuPont-Cook Financial Responsibility Act in honor of Governor Pete du Pont, who founded DEFAC in his 1977 Executive Order, and Senator Nancy Cook, the first woman to chair the Joint Finance Committee and a key player in the establishment of the state’s balanced budget guidelines and Rainy Day Fund.
 
“For decades, DEFAC has helped keep Delaware on solid financial ground by providing reliable, nonpartisan revenue projections. That really goes back to the leadership of Pete du Pont and Nancy Cook, who set the tone for responsible budgeting in our state,” said Senate Minority Leader Gerald Hocker. 
 
“Codifying DEFAC just makes sure we protect what’s been working and continue planning for the future with confidence.”
 
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