|HB 72 w/ SA 1||Signed||Bush||Section 1 of the Act addresses statutes under Chapter 33 of Title 12 and (i) clarifies the definition of governing instrument in section 3301(e) to include cross-references to new section 3343; (ii) adds a definition of “published fee schedule” to section 3301(h) as a cross-reference to the schedule or formula required by section 3561 to be filed periodically with the Court of Chancery; (iii) clarifies that section 3303(a) permits a trustor within a governing instrument to vary laws concerning the terms of powers of appointment over trust property; (iv) revises section 3322 regarding the appointment of agents by fiduciaries and the delegation of trust powers to provide that the standard of care applicable to a fiduciary when performing duties delegated to an agent shall apply to the fiduciary when selecting and monitoring the agent (and not to the agent), and to permit trust beneficiaries to release the fiduciary from liability for future conduct in monitoring agents—all to correct inconsistencies and conform the law to prevailing practice; (v) clarifies that under subsection 28 of section 3325 (which already permits a division of a trust for any reason), division along family lines is permitted; (vi) clarifies that under section 3338, the requirement for “holders of powers” to join in nonjudicial settlement agreements includes both those who hold powers of appointment and those who hold powers to remove or appoint fiduciaries or nonfiduciaries; (vii) clarifies that section 3341’s provisions regarding the consequences of a merger also apply in the case of trust decantings under section 3328 where a new trust is not created; (viii) clarifies section 3342 (merely by setting off an existing phrase with dashes) that modification with the trustor’s consent is permitted so long as the provisions as modified could have been included in the trust’s governing instrument if the trust were created on the date of the modification; (ix) adds a new section 3343 providing that where a governing instrument authorizes appointment of a successor trustee, multiple trustees may be appointed and fiduciary duties may be allocated among them; and (x) adds a new section 3344 providing that with respect to grantor trusts under the Internal Revenue Code, certain trustees are deemed to have discretion to reimburse a trustor (i.e., the grantor) of such a trust for that trustor’s income tax liabilities attributable to that trust—but without making the trustor a beneficiary of the trust, and not if the provisions of this section would reduce a charitable deduction available to any person for federal or state income or transfer tax purposes.
Section 2 of the Act addresses statutes under Chapter 35 of Title 12 and (i) clarifies in section 3528 that after a decanting, the terms of the predecessor trust’s governing instrument are deemed to include the decanting power, in accordance with federal law requirements regarding certain charitable deductions; (ii) clarifies in section 3528 that the standard under section 3315, governing a trustee’s exercise of discretion, also applies to a trustee’s decanting authority in section 3528; (iii) clarifies subsections (c) and (c)(2) of section 3536 (subsection (c)(2) being moved within subsection (c) and expanded) that a trustor eligible for reimbursement from a trust of that trustor’s income tax liabilities attributable to the trust under section 3344 is not a beneficiary of the trust; (iv) clarifies the wording of subsections (c)(4) and (e) of section 3536 (subsection (c)(4) being created from existing wording in former subsection (c)(1) and expanded) regarding a trustor’s right to release a beneficial interest contingent on surviving the trustor’s spouse so as to accelerate the next succeeding beneficial interests; (v) clarifies section 3544 that a trustee has no duty to inquire into or confirm the validity of previous nonjudicial modifications, decantings, mergers, and the like; (vi) amends section 3545 to allow a trust instrument to be executed at a trustor’s direction (intended for situations where a trustor cannot physically sign the governing instrument, thus paralleling a similar provision that has existed for decades in Delaware’s wills statutes), and clarifies section 3545 that (as is the predominating practice) counterpart execution of trust instruments is permitted (subject to existing requirements regarding witnesses); (vii) modifies section 3547 to provide that takers in default under certain nongeneral powers of appointment cannot be virtually represented by the holders of such powers if there is a material conflict of interest—but also clarifies that those who must consent to the exercise of a power must also consent to any such virtual representation by the holder of the power; (viii) adds a cross-reference within section 3547(e) (regarding virtual representation) to section 3322 (regarding delegation); (ix) modifies section 3570 of Delaware’s Qualified Dispositions in Trust Act to allow a trustor to retain within a trust the ability to appoint and serve as a designated representative for a beneficiary under section 3339; (x) clarifies subsection (a)(2) of section 3585 to provide that the report procedure described in that subsection may be used while the trustee is in the process of resigning (and not just after completion of the act of resignation or the effective date of a resignation); and (xi) clarifies that section 3586 applies to governing instruments (which term is defined in section 3301(e)) and not just to trust instruments.
Section 3 of the Act addresses statutes under Chapter 5 of Title 25 and (i) makes technical corrections to sections 501 and 504 regarding the method authorized in 2016 by which the donee of a power of appointment over trust property may avoid the application of the general default rule of section 501(a) of title 25 (which provides that interests in property created by the exercise of such a power of appointment are deemed to have been created at the time of the exercise of the power); and (ii) modifies section 505 to conform it with the Uniform Powers of Appointment Act, by allowing powerholders who have a nongeneral power of appointment the option of exercising the power in trust and creating a further nongeneral power of appointment (and not just a further general power of appointment as the existing language provides).
Section 4 of the Act provides effective dates.||AN ACT TO AMEND TITLES 12 AND 25 OF THE DELAWARE CODE RELATING TO DECEDENTS’ ESTATES AND FIDUCIARY RELATIONS AND PROPERTY.|
|HB 106||Signed||Bush||Delaware is one of only a few states that does not provide statutory or regulatory authority regarding the regulation of service contracts and warranties. In some states, these products are regulated as insurance products. In other states, the Attorney General’s office retains oversight of these products. In Delaware, the regulation of these products is governed by a letter issued by the Department of Insurance in 1993 and Domestic/Foreign Insurers Bulletin No. 5 issued in 1997. This legislation essentially codifies the existing legal practice, and makes clear these products are not regulated as insurance products thus providing the Department of Justice with the authority to address legal issues pertaining to service contracts and product warranties. ||AN ACT TO AMEND TITLE 18 OF THE DELAWARE CODE RELATED TO SERVICE CONTRACTS AND PRODUCT WARRANTIES.|
|HB 115||Signed||Heffernan||This Bill requires Podiatrists, Dentists, Doctors, Nurses and Optometrists who issue prescriptions to utilize electronic prescriptions except under certain exceptions. ||AN ACT TO AMEND TITLE 24 OF THE DELAWARE CODE RELATING TO PRESCRIPTIONS.|
|SB 43||Signed||Walsh||This Act modifies the impact of criminal history for applicants for licensure to the Board of Electrical Examiners (Board). Specifically, this Act:
(1) Permits the Board to grant waivers for felony convictions for crimes committed against a person where more than 3 years have elapsed, and more than 2 years have elapsed for other felonies.
(2) Permits the Board to grant waivers for felony and misdemeanor convictions if the applicant is on Level I or II probation.
(3) Precludes the Board from considering a conviction where more than 10 years have elapsed since the date of conviction.
(4) Requires an applicant to submit evidence that the applicant has not been convicted of a felony sexual offense.
This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. ||AN ACT TO AMEND TITLE 24 OF THE DELAWARE CODE RELATING THE BOARD OF ELECTRICAL EXAMINERS.|
|SB 83||Signed||Walsh||This Act adopts the Physical Therapy Licensure Compact (“Compact”). The Compact benefits the public by improving continuity of care, increasing license portability for military spouses, and increasing access to physical therapy providers. Under the Compact, physical therapists and physical therapist assistants licensed in a Compact member state may obtain an expedited license allowing licensees to practice in another Compact member state. In adopting the Compact, the state-based licensure system is preserved but communication between states is enhanced.
The Compact will be administered by the Physical Therapy Compact Commission (“Commission”) which will process applications for Compact privilege. Physical therapists and physical therapist assistants licensed by the Delaware Examining Board of Physical Therapists and Athletic Trainers (“Board”) may be granted "compact privilege," which will allow them to practice in another member state under the laws and regulations of the remote state. To exercise the compact privilege, a licensee must meet all of the following requirements:
1. Hold a license in the home state with no encumbrances.
2. Be eligible for a compact privilege in any member state.
3. Have no adverse actions within the previous 2 years regarding their license or any Compact privilege.
4. Notify the Commission that compact privilege is being sought in a member state.
5. Pay applicable fees.
6. Be aware of and comply with the laws and rules governing the practice of physical therapy in the remote state.
7. Report adverse action taken by any non-member state within 30 days.
The Compact also authorizes the Board to do all of the following:
1. Appoint a qualified delegate to serve on the Commission.
2. Participate fully in the Commission's data system.
3. Notify the Commission about adverse action taken against licensees by the Board. ||AN ACT TO AMEND TITLE 24 OF THE DELAWARE CODE RELATING TO THE PHYSICAL THERAPY LICENSURE COMPACT.|
|HB 131||Signed||Viola||This bill reduces the required number of meetings that the Advisory Council on Video Lottery Planning and the Advisory Council on Charitable Gaming Planning must hold each calendar year and authorizes the Lottery Director to add certain sports lottery players to an involuntary exclusion list by order.||AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO LOTTERIES.|
|SB 93 w/ SA 1||Signed||Walsh||This Act permits a horse racetrack to make and sell beer on the horse racetrack premises for consumption on or off the licensed premises. This Act also makes technical corrections to existing law. ||AN ACT TO AMEND TITLE 4 OF THE DELAWARE CODE RELATING TO ALCOHOLIC LIQUORS.|
|SB 101||Signed||Poore||The opioid epidemic spreading through Delaware has reached critical levels, with 210 fentanyl-related deaths in 2017. This legislation will update the schedule for Fentanyl analogues, consistent with language used by the Drug Enforcement Administration (DEA). The Forensic Chemistry Unit at the Division of Forensic Science has confirmed the presence of these analogues in Delaware, but some of which are not currently scheduled under Title 16. This is directly related to continuous structural modifications of Fentanyl by illicit manufacturers. This legislation will close that gap and provide clarity to Title 16, consistent with federal law, by addressing ever-changing structural modifications being made in the illicit manufacture of Fentanyl. This legislative is aimed to curb the manufacture and distribution of illicit Fentanyl analogues and has no impact on the legal manufacture of Fentanyl for medical use.||AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO THE UNIFORM CONTROLLED SUBSTANCES ACT.|
|SB 121 w/ SA 1||Signed||Townsend||This Act makes necessary changes to Delaware’s election laws based on the State’s purchase of new voting devices and establishes auditing requirements for the voting devices. The new voting devices will function differently than the existing voting devices and so election law must be updated to conform the law. The new voting devices allow each voter to view a paper ballot with the voter’s selections under glass for the voter to approve before pressing the final button to vote.
This Act requires the Department of Elections (“Department”) to audit the results of primary, general, and school board elections and establishes the procedure to be used by the Department. This Act also requires the Department to adopt regulations to govern the procedure to be used if an audit reveals a discrepancy.
This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. ||AN ACT TO AMEND TITLE 15 OF THE DELAWARE CODE RELATING TO ELECTIONS.|
|SB 127||Signed||Walsh||This Act changes the penalty for an employer’s failure to file a report required by the Division of Unemployment Insurance from $17.25 to 15% of the total contributions paid or payable by the employer, unless 15% of the total contributions is less than $100 or more than $450. If 15% of the total contributions is less than $100, the penalty is $100. If 15% of the total contributions is more than $450, the penalty is $450.
These reports are used to calculate the unemployment tax assessments due from employers. The tax assessments fund Delaware’s Unemployment Trust Fund. The amount of this penalty has not been adjusted for inflation in over 25 years.||AN ACT TO AMEND TITLE 19 OF THE DELAWARE CODE RELATING TO UNEMPLOYMENT COMPENSATION.|
|SB 132 w/ SA 1||Signed||Paradee||This Act updates the Delaware Life and Health Insurance Guaranty Association Act (Delaware Act) to conform Delaware law to revisions made to the National Association of Insurance Commissioners’ (NAIC) Life and Health Insurance Guaranty Association Model Act (Model Act).
The Model Act provides a framework for protecting policy or contract owners, insureds, beneficiaries, annuitants, payees, and assignees against losses due to the insolvency or impairment of an insurer.
This Act revises the methodology for assessments relating to long-term care insurance written by an impaired or insolvent insurer and includes managed care organizations and health maintenance organizations within the scope of the Delaware Act to more fairly distribute the cost of long-term care insurance insolvencies among insurers writing life, health, annuity, managed care organization, and health maintenance organization products and to ensure sufficient assessment capacity for all insolvencies.
Finally, this Act makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. ||AN ACT TO AMEND TITLE 18 OF THE DELAWARE CODE RELATING TO THE LIFE AND HEALTH INSURANCE GUARANTY ASSOCIATION ACT.|
|SS 1 for SB 122||Passed||Townsend||This Act creates the Delaware Perinatal Quality Collaborative to improve pregnancy outcomes for women and newborns and such issues as obstetrical blood loss management, pregnant women with substance use disorder, infants impacted by neonatal abstinence syndrome, and advancing evidence-based clinical practices and processes through quality care review, audit, and continuous quality improvement.
This Substitute differs from Senate Bill No. 122 by making technical corrections to conform to the standards of the Delaware Legislative Drafting Manual, including language regarding organizational structure and procedure.||AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO PERINATAL QUALITY COLLABORATIVE.|
|SA 1 to SB 93||Passed||Walsh||This amendment makes a technical change to the Bill. || |
|SA 1 to SB 121||Passed||Townsend||This Amendment makes a technical correction to make clear that the Department must use different election districts for each of the post-election audits required under the Act.|| |
|SA 1 to HB 72||Passed||Paradee||This amendment deletes a provision relating to the liability of a fiduciary when acting at the direction of an advisor. The amendment also deletes a provision relating to the ability of parties to release a fiduciary from liability for various actions associated with the fiduciary's use of an agent. In addition, this amendment deletes a provision changing the time at which a statute of limitations provision begins to run.|| |
|SA 1 to SB 132||Passed||Paradee||This Amendment makes a technical correction to a Delaware Code citation.|| |