OCEAN CITY, Md. - Ocean City is moving forward with proposed regulations for accessory dwelling units, also known as mother-in-law suites, that would prohibit the units from being used as short-term rentals.
A new Maryland law requires local governments to allow accessory dwelling units, or ADUs, as a way to expand housing options. However, Ocean City leaders are working to establish local rules governing how those units can be used.
During a Town Council workshop, council members voted to advance a proposed ordinance to its first reading. The proposal includes a recommendation from the Planning Commission that accessory dwelling units cannot be used or offered as short-term rentals.
The restriction has drawn mixed reactions, with questions about whether the units would provide additional housing opportunities in Ocean City's neighborhoods.
Councilmember John Gehrig voted against advancing the proposal, pointing to the ongoing debate over short-term rentals and their potential impact on neighborhoods.
"I think the primary point of debate is going to be how we handle short term rentals in these accessory dwelling units, particularly in our neighborhoods, which we spent a lot of time trying to preserve the integrity of our neighborhoods," Gehrig said.
Jody Palmisano, who owns rental properties in Ocean City, questioned whether accessory dwelling units would become common in the town.
"I really don't think it's going to be that popular," Palmisano said.
Palmisano also expressed concerns about whether existing properties have enough space to accommodate the additional housing.
"I can't see that many of them popping up. I don't think the properties are big enough, and, I just don't see it happening in in our one district," Palmisano said.
Ocean City Mayor Matt James raised concerns about the practicality of building accessory dwelling units above existing garages, particularly for single-story homes.
"If you have a single story home and you do that, you won't be able to add that second story to the garage, which sort of takes away the entire intent of of the adu and the intent of the state to have more housing available," James said.
The Town Council workshop focused on modifying the proposed ordinance's language. The regulations have not yet received final approval.
The ordinance is scheduled for its first reading at the next Ocean City Town Council meeting on Nov. 16.
For now, the town's proposal would allow accessory dwelling units while prohibiting their use as short-term rentals.
