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… for every taxpayer dollar . RESPONSIBLE BUDGETING Targeted reductions to close the structural imbalance between revenues and expenditures. Placing Delaware’s finances on solid footing while protecting public services for every family …

… g while protecting public services for every family and every community. 2 1 2 4/24/2026 2 Appropriates 98% of revenues Maintains Budget Stabilization Fund of $469.3 million Fully funds Rainy Day Fund - $366.5 million (5% of gross …

… s Maintains Budget Stabilization Fund of $469.3 million Fully funds Rainy Day Fund - $366.5 million (5% of gross revenue) Reduces Delaware’s structural deficit by 70% (vs FY26 projection) FY 2027 Financial Plan Long-term Financi …

… 27 FINANCIAL PLAN: RESPONSIBLE BUDGETING 3 REDUCING THE STRUCTURAL DEFICIT • In FY 2024, spending growth outpaced revenue growth by 9.1%. • The Governor’s Recommended Budget reduces the structural deficit by over 70%, compared to the …

… .85% 5.44% 2.43% 3.52% 9.94% 9.32% 7.37% 4.99% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 2024 2025 2026 2027 Revenue Growth Operating Budget Growth 4 3 4 4/24/2026 3 FY 2027 SOURCES OF FUNDS (NET OF REFUNDS) * Includes Prior Yea …

… es Prior Year Unencumbered Cash Balance. Note: Data based on March 2026 DEFAC projections and is inclusive of proposed revenue package and tax policy changes. 5 Personal Income Tax 35.7% Realty Transfer Tax 3.6% Lottery 3.5% Corporate Inc …

… hanges. 5 Personal Income Tax 35.7% Realty Transfer Tax 3.6% Lottery 3.5% Corporate Income Tax 3.1% Other Tax Revenue 6.7% *Other Non-Tax 4.5% Public Utility 0.5% Incorporation Revenue 28.6% Bank Franchise Taxes 1.4% Busine …

… .5% Corporate Income Tax 3.1% Other Tax Revenue 6.7% *Other Non-Tax 4.5% Public Utility 0.5% Incorporation Revenue 28.6% Bank Franchise Taxes 1.4% Business Gross Receipts Taxes 5.8% Abandoned Property 6.5% DECEMBER 2025 DEFA …