Ocean City · issues
Civic issues
Topics getting the most attention in Ocean City public meetings, ranked by how frequently they come up.
Fiscal Year 2026 audit and financial report
The town got a clean audit and its finances look strong — net position up $22.5 million, revenues up 12%, and pensions over 95% funded. Council is now asking whether the town is holding too much in reserves and whether some should pay down debt instead.
Cancellation of November 2 regular session
The November 2 council meeting is canceled due to a light agenda. Council Member Proctor objected, saying canceled meetings cut into the public's chance to speak.
Rising employee health insurance costs
The town's self-insured health plan is seeing a 16.5% premium jump for 2027 — way above the ~10% national trend — driven by high-cost claimants whose costs doubled to $7.7 million. Council members questioned whether self-insurance still makes sense and asked for analysis if the trend continues.
Coca-Cola Beverage Franchise Renewal
The town's exclusive beverage deal with Coca-Cola Consolidated nets at least $400,000 over five years. Council renewed it for another five years, just before the contractual September 30 notice deadline.
Internal audit Quarter 2 findings
Q1 overtime hit 23,603 hours — up about 2,600 from last year, with fire department training overtime doubling. Council members Heiser and Gehrig pressed for optimization, and the FY 2027 audit plan will scrutinize vendor accounts, rental licenses, legal fees, and AI usage.
FY26 Budget Amendment #2
The council finalized the second amendment to the fiscal year 2026 budget, as reviewed in July.
General Obligation Bond Authorization up to $18 Million
The council gave final approval to issuing and selling up to $18 million in general obligation bonds for city projects reviewed in August. This is the city borrowing money for capital projects, which affects future debt service.
Government relations lobbying contract
After interviewing four firms, the city hired Manis Canning and Associates to represent Ocean City on budget, legislative, policy and regulatory matters in Annapolis and Washington.
Pension Fund Investment Manager Change
The Pension Committee's plan to swap the JP Morgan Mid Value fund for Columbia Select Mid Cap Value and pour about $250,000 of set-aside cash into the unbudgeted FY27 pension contribution got unanimous council approval.
First Artificial Intelligence Use Policy for town government
Town employees are already using AI tools, so the city set its first formal rules on approved platforms, data protection, and prohibited uses. Council members agreed it's a necessary first step but expect it to need constant updating — and eventually paid enterprise subscriptions with tighter network controls.
Business License Fees (Resolution 2026-17)
A resolution establishing certain business license fees was on the agenda as companion legislation to Ordinance 2026-17. Local businesses could see changes to what they pay.
Increased Match for Employee Tuition Assistance
The town is doubling down on employee education: tuition reimbursement jumps from a 50% match capped at $2,000 to a full 100% match with a $3,000 annual cap. Only 11 employees used the benefit in five years, and the town hopes the richer terms build a stronger workforce.
Employee Relationship Disclosure and Reporting Policy
HR Director Katie Callan proposed a policy requiring city employees to disclose and report workplace relationships. It's aimed at avoiding conflicts of interest and favoritism claims.
Downtown parking and EV fleet suggestions
A resident praised the relocated supervisor vehicles for freeing up street parking, praised the new unmarked police Explorer, and suggested the city buy small used electric cars for its fleet now that federal EV tax credits are gone.
FY 2027 Operating Budget and Tax Rate
The FY27 budget is adopted with a one-cent tax rate cut. Resident Vince Gisriel argued the town could afford two cents off given years of underestimated revenue, and questioned the $13 million advertising budget and $1 million sports complex set-aside.