Ocean City Mayor and City Council Work Session – February 10, 2026

The Mayor and City Council of Ocean City held a work session on Tuesday, February 10, 2026, at 1:00 PM in City Hall Council Chambers. The meeting began with a report on a closed session held earlier (12:00–12:37 PM) to discuss legal and personnel matters. Following the resignation of Council Secretary Tony DeLuca effective February 8, Councilmember Will Savage was appointed as the new Council Secretary by a 5–1 vote (Councilmember Proctor opposed). The council then heard public comments, approved several routine items, and held extended discussions on short-term rental regulations and beach franchise ownership limits.

Consent Calendar

• Approval of Minutes: The minutes from the Regular Session of February 2, 2026, were approved. Motion by Councilmember Metressic, seconded by Councilmember Yates. Passed 4 in favor (Councilmembers Garrick and Savage absent).
• 2026 Hometown Heroes Banner Program: Presented by Mike Livingston (Ocean City Elks Lodge #2645). The program honors approximately 439 veterans and active-duty military personnel with banners flown along the Boardwalk from May to September. The city thanked Pat Reardon for his 12 years of service. Motion by Councilmember Yates, seconded by Councilmember Proctor. Passed unanimously (5-0).
• Bid Award for Boardwalk Wayfinding and Signage: Procurement Manager Matt Perry and Planning Director George Bendler recommended awarding the bid to Plaquetat for $436,532.52 (Option A2, which includes demolition and removal by the vendor rather than Public Works). The project originally had a $765,000 bond budget; the recommendation retains $665,000 for change orders. Motion by Councilmember Metressic, seconded by Councilmember Yates. Passed unanimously (5-0).
• Request to Issue RFP for Boardwalk Pedicab Franchise: Presented by Deputy City Manager JR Harmon. The RFP will select a single vendor to operate at least 20 pedicabs (10% wheelchair/stroller accessible) on-demand from Memorial Day to Labor Day, with training and compliance requirements. Council directed staff to proceed with the RFP. Motion by Councilmember Yates, seconded by Councilmember Proctor. Passed unanimously (5-0).

Public Comments & Testimony

• Short-Term Rental (STR) Issues: Multiple speakers opposed the proposed cap on STR licenses and the yard sign requirement:
  • Vince Gizrael (14008 Sailing Road, Ocean City) opposed the cap, calling it a ban. He explained potential personal need for rental income for assisted living, and objected to the sign requirement as a safety risk.
  • Tammy Johnson (101 Seabreeze Drive) read a statement from a resident unable to attend, stating that data does not support restrictions. She presented police call data from July 2024–July 2025 showing minimal issues in R1 and MH districts (e.g., 13 disorderly, 4 noise complaints, 3 ordinance violations, 1 trespassing). She noted only a 1.9% increase (70 licenses) in six years, and argued enforcement of existing codes is sufficient.
  • Linda Carter Howard (1307 White Street) opposed yard signs as invitations to vandalism and squatters. She urged council to enforce existing rules and respect voter messages.
  • Leslie Smith (107 Convention Center Drive) said signs create safety concerns and that data does not show a problem; she asked council to “let it go.”
  • Bridget Garchak (401 42nd Street) opposed signs, noting safety issues and that problems are minimal in R1/MH; she suggested signs should apply citywide if used.
  • Robert Conauer (1321 Peachtree Road) opposed the cap and signs, stating they go against the will of the people as demonstrated by petitions and referendum. He urged enforcement of existing rules and said the city should not pick winners between hotels and STRs.
  • Eileen Rewark (1530A Teal Drive) supported the cap, citing the comprehensive plan’s goals to protect residential neighborhoods. She argued STRs erode community character and reduce affordable housing, citing other cities’ bans (e.g., Annapolis, Key West). She proposed a 5–10% per-neighborhood cap.
  • Robin Yates (729 Laurel Avenue) read a letter opposing STRs, stating they undermine neighborhood culture.
  • Jeff Matthias (1519 Teal Drive) argued it is a zoning issue, not property rights, and questioned why the 3% of homes in R1/MH cannot be protected.
• Beach Franchise Ownership Provisions:
  • Adrian Nemeth and Patrick McLaughlin (Oceanside Partners, 209 16th Street) urged raising the 50% ownership cap. They argued the cap limits competition and that they reached 35 parcels (50%) after bidding on all parcels in December, while other operators could have bid but did not.
  • Kyle Batts (partner in Swell Beaching) urged keeping the cap at 50% to prevent monopolies and protect small family-run operations. He said there are multiple bids for the 6th Street parcel, so no public necessity to waive the cap.
  • Will Edmonds (1242 Collins Road, Bishopville) supported keeping the cap, noting that about half of concessions are struggling and raising the cap would concentrate good concessions.
  • Cassie Batz and Caden Batz (co-owners, Swell Beaching) asked council to retain the cap to protect small businesses and competition.

Discussion Items

• Proposed Ordinance to Cap STR Licenses in R1/MH (Item 5E): City Manager Terry McGean presented an ordinance that would cap STR licenses at 10% of improved properties (375 licenses total, with 55 available under current numbers). Existing licenses would remain valid; new licenses would be first-come, first-served with priority for Ocean City residents (one per homestead). Three application periods were outlined. Council debated at length:
  • Council President Matt James, Councilmembers Proctor and Yates argued the cap is unnecessary given existing enforcement and that the public has spoken against further restrictions. Proctor called the cap a “ban” and said it creates two classes of property owners. Yates stressed enforcing current laws.
  • Councilmember Garrick argued for the cap, saying it prevents exponential growth of STRs and preserves neighborhood character. He supported zero tolerance for willful violations (e.g., illegal conversions).
  • Councilmember Metressic questioned enforcement mechanisms but noted new inspection programs are working. The discussion highlighted that 50 of 700 inspections found violations, most not intentional. Mayor Mehan warned that failing to act could harm single-family neighborhoods long-term, but acknowledged the ordinance may not be perfect.
  • No formal motion was made to adopt the ordinance; the item effectively died for lack of a motion. Council President James said he would not put it back on a future agenda without clear direction.
• Yard Sign Requirement for STRs (Item 5F): City Manager McGean presented a concept of an 11×17-inch sign with a QR code placed within 10 feet of the sidewalk. Council heard safety concerns from the public and police. Councilmember Garrick asked for alternative ideas; staff suggested a smaller sign. A motion by Councilmember Garrick, seconded by Councilmember Yates, to direct staff to return with a mock-up of a smaller sign failed on a 2–3 vote (Garrick and Yates in favor; Proctor, Metressic, James opposed). Council instead agreed to improve the online rental lookup page and add a phone number for reporting issues.
• Beach Franchise Ownership Limitations (Item 5G): City Clerk reported that Oceanside Partners reached the 50% cap (35 of 70 parcels) and that a sealed bid for the 6th Street parcel is due February 11, with three bids already received. Councilmember Metressic stated he saw no need to raise the cap since there are interested bidders. Councilmember James agreed. No motion was made; council expressed no appetite to change the current 50% limit.

Key Outcomes

• Closed Session Report: Filed. Resignation of Tony DeLuca read; Will Savage appointed Council Secretary by 5-1 vote (Proctor opposed).
• Consent Calendar Items: All approved as described above.
• STR Cap Ordinance: Not adopted. No motion was made. The item is considered dead unless reintroduced.
• STR Yard Sign Requirement: Motion to study smaller signs failed 2-3. No further action. Staff directed to improve online rental lookup and add reporting phone numbers.
• Beach Franchise Ownership Limit: No action taken; current 50% cap remains. Sealed bid process for 6th Street proceeds as scheduled.
• Meeting Adjourned: Motion by Councilmember Yates, seconded by Councilmember Metressic, passed 5-0 at 4:15 PM.