DE HB11

Revises how New Castle County calculates property tax rates for real property in municipalities by considering the degree to which municipalities perform or financially support local service functions instead of the county, effective beginning Fiscal Year 2023 budget.

Creates a new process for determining individual LSF (Local Service Function) tax rates for municipalities based on county costs for services, with separate calculations for fire protection and other local service functions.

Establishes a Local Service Function Review Committee to annually review LSF calculation procedures and prepare reports with improvement recommendations, comprised of county and municipal representatives plus a county resident.

Implements a binding arbitration process for disputes between New Castle County and municipalities regarding service performance levels and tax rate calculations, with specific deadlines and dispute resolution procedures.

Changes effective dates in phases: immediate effect for definitions and new subparts, January 1, 2022 for budget-related revisions, and July 1, 2022 for organizational changes and future budget procedures.