OCEAN CITY, Md. - The Ocean City Council voted 4-3 Tuesday to extend a moratorium on new short-term rental licenses in residential and mobile home areas until Jan. 3, 2027. Mayor Rick Meehan said the decision could be revisited if a viable plan is developed, and council members also approved 6-1 to discuss minimum stay requirements for short-term rentals at a future meeting.
Dozens of residents attended the council session, expressing strong opinions on the ongoing pause. The moratorium, first enacted in February 2025, was initially set to last 11 months and barred the issuance of new short-term rental licenses in residential neighborhoods and mobile home communities.
One vocal critic, Terry Miller, expressed disappointment with the council’s decision to extend the moratorium. Miller had been a leading figure in a recent referendum that reversed earlier rental restrictions. She argued the rules were unnecessary and could hurt the local economy.
“There never should have been a moratorium. The facts never called for a moratorium. There are very few problems that exist. There are bigger problems in this town,” Miller said.
The prior ordinance would have required a five-night minimum stay starting in 2025, increasing to 31 nights by 2027, and applied to all residential and mobile home areas. Mayor Rick Meehan has defended such restrictions, saying they help preserve the character of neighborhoods and protect homeowners from excessive rental activity.
Miller added that the rules could discourage visitors. “Our entire economy is based on these visitors. We should have an attitude of gratitude and be welcoming. These people could go anywhere in the world. They chose Ocean City,” she said.
For now, the pause on new short-term rental licenses will remain in effect into 2027. Only time will tell when, or if, the moratorium will be lifted.