Grant-In-Aid could be fully restored to $46M, undoing last year's cuts

More than 100 nonprofits would see their state funding levels fully restored under a proposal approved by the Delaware Legislature's budget-writing committee.

The Joint Finance Committee voted unanimously Tuesday to allocate nearly $46 million to the Grant-In-Aid bill – $4.2 million more than was recommended by Gov. John Carney.

If approved by the full General Assembly, the proposal would bring the total funding for nonprofits – including fire departments – back to the same level as fiscal year 2016.

Lawmakers last year imposed a nearly 20-percent, across-the-board cut to the Grant-In-Aid bill as part of an effort to close a $400 million budget gap. That reduction, approved in the waning days of the legislative calendar, hacked $8.7 million in funding out of the bill.

Carney in January had proposed restoring half of that cut.

Since then, however, the state has seen its anticipated revenue for next year grow by close to $380 million.

That led many legislators including the House Republican caucus and House Speaker Pete Schwartzkopf, D-Rehoboth Beach, to call for a full restoration of last year's cuts.

The Grant-In-Aid plan approved by JFC also would represent to a boon to the state's three counties by undoing changes made last year to the reimbursement formula for paramedic services.

The state is currently providing 24 percent of those reimbursement costs compared to 30 percent a year earlier. The counties are required to pick up the remainder at an overall cost of $2.2 million.

The Grant-In-Aid proposal for next year would return the formula to a 30-70 percent split.

JFC co-chairs Sen. Harris McDowell, D-Wilmington, and Rep. Melanie George Smith, D-Bear, said the panel will reconvene the last day of the legislative session to examine whether it can make additional increases to the Grant-In-Aid bill's bottom line.

The committee also is could consider possible increases to specific nonprofts at that time, they said.

A final Grant-In-Aid bill is expected to reach the full General Assembly on Saturday.