Ocean City Mayor and City Council Work Session - April 28, 2026

The Ocean City Mayor and City Council held a work session on Tuesday, April 28, 2026, at 1:00 PM. The meeting included a closed session report, appointments, approval of minutes, committee reports, bid openings, franchise awards, an annual update from the Ocean City Development Corporation (OCDC), a conditional use request, a contract renewal, discussion of a seafood festival, and an internal audit report. All votes were unanimous with four councilmembers in favor.

Consent Calendar

• Board of Zoning Appeals Alternates: Council approved the appointment of Rich Gregor and Malcolm Van Kirk as alternates. Both were sworn in.
• Approval of Minutes: Minutes from the Budget Meetings of April 9 and 10, 2026, the Work Session of April 14, 2026, and Regular Session #7 of April 20, 2026, were approved.
• Committee Report: The Motor Event Task Force report from April 20, 2026, was acknowledged.
• Bid Opening – Fire Station #4 Apron: Three bids were received (AJT Homes LLC: $78,850; David A. Bramble: $58,919; East Coast Contract: $59,925) against a budget of $210,000. The bids were remanded to staff for review.
• Boardwalk Pedicab Franchise Award: The council awarded the franchise to Atlantic Pedicabs LLC, which scored 8.9 out of 10 in evaluation. Service will begin Memorial Day weekend with at least 10% of the fleet, aiming for 25 pedicabs by July 1. The contract includes a 90-day notice provision and voluntary data sharing.
• OCDC Annual Update: The council approved two right-of-way use agreements (for Big Gems Bikes and Muse Cafe) allowing OCDC to collect fees to fund events at Somerset Plaza, and approved a Main Street Memorandum of Understanding (MOU) subject to final review by the city solicitor. OCDC reported over $4.5 million in grant funding leveraging $46.75 million in private investment, and added 26 seasonal workforce housing beds (from 13 to 39).
• Conditional Use – Escape Room: The council approved a conditional use permit for Maze Games LLC to operate an escape room at 13725 Coastal Hwy Unit 12B in the LC-1 district, with four conditions: games limited to private groups, no locking interior doors (per fire marshal), all waivers followed, and video monitors in constant use.
• Sodexo Contract Renewal: The council renewed the food and beverage contract with Sodexo Live! at the Roland E. Powell Convention Center for an additional 11 years, citing exceptional performance and projected annual income of $750,000. The contract includes $1.465 million in facility improvements and $150,000 in cash for the center.

Public Comments & Testimony

• Robert Higgins (local business owner): Expressed strong opposition to the 2nd Annual Ocean City Seafood Festival. He stated that the city’s sponsorship, free promotion, and subsidized costs (estimated $1,200 city outlay vs. $706 fee) put private businesses at a disadvantage by bringing outside vendors to compete on a prime summer weekend (before Labor Day) rather than building the shoulder season. He noted that many local restaurants already offer the same products and that the festival siphons business from operators who are present year-round.

Discussion Items

• 2nd Annual Ocean City Seafood Festival (August 29, 2026): Tourism Director Tom Perlozzo and event producer Beth Laverick (BC & Events) presented the proposal. Key points:
  • The 2025 event at Northside Park sold 2,052 tickets with an estimated total attendance of 2,300. Projected attendance for 2026 is 3,500.
  • Estimated room demand was 346 nights for the single-day event; no standard formula was used.
  • The event date moved to the week before Labor Day due to park availability and other calendar conflicts. Laverick noted that 2027 should return to a post-Labor Day slot.
  • City costs in 2025 included a $2,500 park permit and a $500 application fee, paid by the producer. In 2026, the city’s sponsorship will be halved (no paid media, but social media promotion).
  • Councilmember questions focused on: local business participation (Laverick stated she contacted local restaurants and will increase local vendor involvement over time), competition with existing businesses, and the risk of promoting an event that may draw customers away from local establishments. Councilmember Garrick argued that the city already supports events (e.g., Sundays in the Park, Springfest) that compete with private businesses, so disallowing this event would be inconsistent.
  • The council voted to approve the event with the additional directive to develop marketing opportunities to promote local businesses beyond the festival.
• Internal Audit Q4 2025 Report: Internal Auditor Karin Scott presented the audit covering October–December 2025. Highlights:
  • Procurement card transactions: ~2,600 transactions totaling $752,000; 58 follow-ups needed (up slightly).
  • Overtime: 26,237 hours citywide, an increase of 2,466 hours year-over-year, largely attributable to the Country Calling concert, DEA enforcement, the October nor’easter, and Worcester County police assistance. Some overtime is reimbursable through federal agencies.
  • Firefighter EMT call-out overtime decreased by 38 hours; paramedic unit increased by 192 hours.
  • Time clock system training is ongoing; all departments except fire are now on the system.

Key Outcomes

• All agenda items were approved unanimously (4-0) except as noted (all votes were unanimous with four in favor).
• The seafood festival approval included a directive to work on a marketing plan to promote local businesses.
• The Main Street MOU was approved subject to city solicitor review.
• The fire station apron bids were remanded to staff for review; no contract awarded at this meeting.