OCEAN CITY, Md. - The Ocean City Council convened on Monday for the first reading of the proposed Fiscal Year 2025 Operating budget. The budget, as it currently stands, is a total of $165,510,197, with a General Fund budget of $114,222,240.
One notable aspect of the proposed budget is the Council's intention to decrease the tax rate by one cent. If approved, the tax rate would transition from 0.4526 to 0.4426. In addition to the adjustments in the tax rate, the proposed budget includes a 3% increase in the cost-of-living adjustment for all Town employees, totaling $535,582.
The Ocean City Police and Fire Department would also receive a similar cost-of-living adjustment. But where will the funds for these adjustments come from? Mayor Rick Meehan addressed this question stating, "It comes from the general fund. The general fund budget is subsidized by property tax, a percentage of room tax, and other fees collected over the course of the year."
Some capital projects that are added to the proposed budget includes $1.8 million for street paving, $1.5 million for the Capital Maintenance Fund, and $100,000 for Boardwalk re-decking.
With the Ocean City Council convening on Monday for the first reading, the budget is still under review at this time.