Fenwick Island
Delaware

 

 

The ACLU sued the Town of Fenwick Island in December and was challenging our election process for Town Council elections.  As set forth in our Charter, artificial entities (LLCs, LPs and trusts) are granted to the right to cast a vote in our town elections under our one person/one entity/one vote principle.  Asserting that they were targeting “corporations” but also entangling family trusts set up for estate purposes, the ACLU alleged that allowing artificial entities to vote could dilute our voting outcomes and was “unconstitutional.”

Our Charter was amended in 2008 to allow artificial entities to vote in our Town elections due to the number of property owners that were setting up trusts for estate purposes and under the belief that every property owner who is subject to our Town taxes and ordinances should have a say in electing our Town Council.   Artificial entities cannot hold office on our Council, cannot vote in federal or State elections and are only given one vote regardless of how many different properties they own.  

 Our Charter amendment granting voting rights to artificial entities was unanimously enacted  by the Delaware State legislature in 2008 and no one voting in Fenwick Island ever challenged the process.  While there are other Towns with similar election provisions and the State of Delaware enacted the Charter provision years ago, the ACLU decided to pursue an action against us. 

We defended the lawsuit filed by the ACLU and our Motion to Dismiss the Complaint was granted.  The ACLU has now appealed to the Supreme Court of Delaware. 

On the last day of the legislative session, along party lines, the Delaware legislature passed Part I of a constitutional amendment to prohibit all artificial entities from voting in any election in Delaware, including ours.  To be successful, the legislature would have to approve the amendment in two successive legislative sessions.  Therefore, if passed during the next legislative session, all artificial entities in Fenwick will lose the right to vote in our Town elections.  

We will continue to try and protect all property owners’ right to vote and will keep you advised.  I testified in Dover this session but was only provided two minutes to make our case.   We will write to all legislators prior to the next session and provide a detailed summary of our election process.  We are also working with other Towns, similarly situated, to ask for their assistance as well.  As it stands now, Dover is working under the mistaken belief that “corporations have taken over Fenwick.”

As of May 31, the Town’s overall cash balance was $3.86 million, which was a decrease of $114,000 from April 31. This decrease was anticipated since we started to have a full lifeguard patrol.

Through May 31, overall revenues and expenses are in-line with expectations with the exception of higher than anticipated legal expenses due to the recent ACLU litigation. RTT revenues for May were $35,000 and now the YTD RTT revenues total $359,000 which exceeds the annual budget by $9,000. We are anticipating a few more house sales in June and July, which means RTT will likely exceed $400,000 for the full year. The Town remains on target with its forecasted cashflow.

 

As part of the 2027 Budget, the Budget and Finance Committee recommended and the Town Council adopted a tax increase of 4 cents from .174015 to .214015 per hundred dollars of assessed value, the first tax increase since 2002.  In addition, the Budget and Finance Committee recommended and the Town Council adopted increasing the long-term rental rate from 4% to 7.5%, which would be consistent with the short-term rental rate.   Tax bills should be sent by the end of July.  

The historical background that was considered when passing the tax increase included:

Town Council also will be seeking a Charter change to adopt Sussex County’s appraisal of properties.   By doing so, the Town will save approximately $20,000 a year in appraisal fees.  

 

Bayside flooding is one of our biggest priorities for the Town. We hired Straughan Environmental to create a Comprehensive Engineered Master Resiliency Plan for the Town and to define engineered methods of mitigation, recommend proposed demonstration projects, develop concept designs for the demonstration projects, prepare final design plans with cost estimates, and prepare bid documents for the high priority demonstration projects. We hope to have the Comprehensive Engineered Master Resiliency Plan completed by Straughan Environmental by the end of 2026 and it will provide the next set of tools and insight for taking the additional steps for mitigating bayside flooding and planning for resiliency.

Straughan Engineering has already recommended that we ensure that all our bayside homes/street ends meet a target elevation (bulkhead/berm) of 3.98NAV88 by 2050 to protect the Town from bayside flooding.  Charter and Ordinance Committee will begin the process of considering ordinance changes to meet those standards. 

We have another symposium planned for August 21st at 1:00 p.m.  Please join the Town of Fenwick Island’s Infrastructure Committee and Straughan Environmental for the Bayside Resiliency Planning & Flood Mitigation Strategies Forum.  The community discussion will focus on engineering updates from the May 29 forum, continued mitigation planning efforts, and additional community discussion and questions aimed at helping protect Fenwick Island’s future. Residents will also have the opportunity to participate in a Q&A with the Infrastructure Committee and Straughan Environmental. Busy, booked, or not able to make it to Fenwick? Zoom in!

We have also filed for a federal BRIC grant in the amount of $2.1 million dollars, with a 25% contribution from the Town, to begin mitigation measures along two of the most vulnerable roadways—West South Carolina Street and Dagsboro Street.  The areas were chosen because they are among the most impactful locations for flooding and drainage issues and because they are appropriate candidates for the type of comprehensive resiliency work being evaluated by the Town’s contractor, Straughan Environmental, Inc.  We should receive word by 2027 if our grant application is accepted. 

We have also repurposed some “NO WAKE SIGNS” that we place throughout Town in problem areas to remind drivers to travel slowly through the road when there is flooding so as to not create a wake that can enter homes.

The DarkSky Committee is partnering with the Fenwick Island Yacht Club to host a “Night on the Bay” on July 25th beginning at 7:30 p.m.  Anchor near the Seal Island pilings and enjoy community while the sun sets. By 9:00 p.m. enjoy a moonlight paddle and sail and experience the beauty of Fenwick’s dark skies.  All vessels are welcome.  

Now that summer is here and we are all returning to Fenwick, the DarkSky Committee wants to remind everyone to consider the impact lighting has on others, particularly our friends in nature, and to consider the savings that can be achieved when making DarkSky endorsed lighting choices.     

The Beach Committee has an exciting lineup this summer.  Please mark the dates!