25 Del. C. ch. 54 § 5408

Lead-based paint hazard control grant and loan program

In Force
Verified 10/21/2026 · Next check 10/28/2026
effective 10/21/2026DelawareFederal Disclosure (Title X)

Operative Text

25 Del. C. ch. 54 § 5408
(a) The Department must establish and administer a lead-based paint hazard control grant and loan program to assist small and large property owners with the financial costs of complying with the requirements of this chapter, including any of the following:

(1) Obtaining a required certificate.

(2) The remediation or abatement of lead hazards in a rental unit.

(3) Paying for alternative housing for tenants when alternative housing is required by § 5402 of this title.

(b) Preference in grants must be given for rental units that are the primary residence for children under 6 years old, pregnant individuals, or tenants regularly visited by a child under 6 years old. Funds must be provided to small property owners in the form of grants until January 1, 2029, after which time funds must be provided to small property owners only in the form of loans. Large property owners may only receive loans under this section.

(c) A landlord receiving grant or loan funds under this section is prohibited from raising the rental fee on the property for which the grant or loan was received for a period of 3 years from the date of the inspection that indicated the need for remediation or abatement of lead hazards.

(d) A small property owner who owns or controls 5 or fewer rental units may be awarded a grant or loan that covers up to 100% of the costs associated with complying with the requirements of this chapter.

(e) A small property owner who owns or controls 6 to 19 rental units may be awarded grants or loans that cover up to 50% of the costs associated with complying with the requirements of this chapter.

(f) A large property owner may qualify for a loan of up to 10% of the costs of lead remediation, abatement, and alternative housing if the property owner shows that the costs create a significant economic burden on the property owner. A large property owner may not receive a grant under this section.

(g) If a small or large property owner sells or transfers a rental unit that received the benefits of a grant or loan under this section and the transfer is within the 3-year period determined by subsection (c) of this section, the transferee and any subsequent transferee may not raise the rent on the rental unit until the end of the 3-year period determined by subsection (c) of this section.
Source: Legislative text reproduced verbatim
Plain English

Under 25 Del. C. ch. 54 § 5408, Delaware's Department of Health and Social Services (or the designated Department) is required to create a grant and loan program helping property owners cover the costs of lead-hazard compliance, including obtaining certificates, remediating lead hazards, and paying for tenant relocation. Small owners (19 or fewer units) may receive grants covering up to 100% or 50% of costs depending on portfolio size, while large owners may only receive loans of up to 10% of costs if they demonstrate significant economic burden. Any landlord who receives these funds is barred from raising rent on the assisted property for three years from the date of the inspection that triggered remediation, and that restriction carries over to any new owner if the property is sold within that window.

Written by anthropic/claude-sonnet-4.6 · Reviewed on October 22, 2026

Plain English — not legal advice.

For Property Managers

Section 5408 creates a financial assistance pathway for landlords navigating lead-hazard compliance costs, but it comes with a meaningful condition: accepting grant or loan funds triggers a three-year rent-increase prohibition tied to the remediation inspection date. Compliant operators typically document their unit count carefully, since the distinction between owning 1–5, 6–19, or 20-or-more units determines both the type of assistance available and the coverage percentage. Landlords who sell or transfer an assisted property within the three-year period should be aware that the rent restriction passes to the new owner under § 5408(g).

General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.

For Tenants

Section 5408 establishes that tenants living in units where children under 6, pregnant individuals, or regularly visiting young children reside are given priority consideration when grant funds are allocated, which can affect how quickly a landlord receives financial help to address lead hazards. Tenants also benefit from the rent-freeze protection built into this provision: a landlord who accepts § 5408 funds cannot raise rent on that unit for three years from the inspection date, and that protection survives a property sale. Tenants who believe a landlord has violated this rent restriction may consider contacting a local tenant-rights organization or the administering Department to understand available complaint processes.

General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.

Generated October 22, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.

Effective Timeline

Current
Oct 21, 2026
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References Out

Rules and statutes cited by this regulation

References In

Rules and statutes that cite this regulation

25 Del. C. ch. 54
25 Del. C. § 5408
25 Del. C. § 5408
25 Del. C. § 5402
25 Del. C. ch. 54

Related Rules

§ 574.635
§ 574.635 Lead-based paint.
§ 196
Prohibited acts relating to lead-based paint, glaze or other substance; punishment; embargo of personal property
§ 35.940
§ 35.940 Special requirements for insular areas.

Source Information

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