Legislation that would replace the Delaware Economic Development Office with a public-private partnership easily passed the House.
The 34-6 vote came with Republicans siding with most Democrats in their support of the measure. The House sponsor was Rep. Byron Short, D-north Wilmington.
The partnership would operate under the umbrella of the state Secretary of State’s office. DEDO had operated as a cabinet department. The state Tourism Office, which had been under the Economic Development Office will also be under the Department of State’s umbrella.
“The transfer will improve efficiency, eliminate redundancy and foster business attraction, innovation, tourism, small business development, business retention, minority, women, disadvantaged and veteran-owned businesses,” a summary of the bill stated.
The partnership came after a working group appointed by Gov. John Carney recommended the strategy.
Carney’s his first executive order after taking office called for the formation of the working group
The working group spent two months in coming up with its recommendation.
There had been some criticism that the working group did not have representatives from small business and other sectors that are heavily involved in economic development.
Concerns have also surfaced on potential conflicts of interest since a portion of the funding of the partnership will come from the private sector. The fear is that those contributing to the fund will get favored treatment.
The bill now goes to the Senate.
Click here for further information on the bill.
