State law allows PE waiver.
Delaware Code 122 Rules and regulations
(f) For the purpose of ensuring that state regulations do not impede innovation or the improvement of student achievement, the Department of Education in conformity with subsection (g) of this section may, upon application by a local board of education established pursuant to a provision of this title, waive any rule or regulation where:
(1) Such a waiver would further the accomplishment of state educational policies, particularly those state educational policies addressing student achievement in the core academic subjects of mathematics, science, language arts and social studies;
(2) Such a waiver would not impose undue administrative burdens upon the State or harm the State's ability to ensure that public funds are properly expended and that applicable state and federal laws are followed; and
(3) The purpose of the regulation or rule to be waived can be satisfied in a less burdensome or different manner than through compliance with the rule or regulation.
The school board of the district making such waiver request shall give notice of the consideration by notices posted in at least 10 public places in the district and on the door of every school in the district at least 20 days prior to the public meeting of the board of education at which the waiver request will be presented and discussed. The public shall be provided an opportunity to present comments concerning the waiver to be requested at a meeting of the local board following posting and preceding its formal adoption.