OC Today WWW.OCEANCITYTODAY.NET
JULY 3, 2015
SERVING NORTHERN WORCESTER COUNTY
HOLIDAY
JULY 4 WEEKEND The offices of Ocean City Today and Bayside Gazette will be closed on Friday, July 3.
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OC cab companies bailing out Uber-induced flight expands to more medallion holders; strike allegedly considered
By Zack Hoopes Staff Writer (July 3, 2015) The possibility of an Uber-induced decline in the resort’s taxi medallion system appears to be accelerating from a slow bleed into a
full-scale evisceration. Two of the city’s largest taxi companies are now planning to sell off their city medallions (one with a classified in this newspaper) and move their businesses either to Delaware, or into the realm of digital “Transportation Network Services,” given the relative lack of restraint placed on web-based carriers in Maryland. Further, talk of a taxi strike in
Ocean City is gaining ground, with the possibility that the resort could join Mexico City, Paris, and other cities around in the world in seeing cabbies actively protest their loss of job security because of what they say is a bureaucratic bungle. “I’m selling them, but so far nobody wants to buy,” said Michael Pawlowski, owner of Nite Club Taxi and Coastal Cab. The company holds
30 Ocean City taxi medallions, Pawlowski said. “We’re tired of dealing with it in Maryland. I’d rather invest what I make up in Delaware. This whole thing with Uber has been a big eyeopener for a lot of people.” But while Pawlowski and others point one finger at the state, for not adopting a tighter regulatory frameSee PRESSURE Page 5
May tax receipts, room data show strong numbers Rates, occupancy on rise as proceeds jump 11 percent
By Zack Hoopes Staff Writer (July 3, 2015) Recent statistical returns confirm what many people had observed last month – a sudden break in temperatures, coming off a particularly nasty winter, provided a substantial boost to the lodging industry in May. Returns for the city’s room tax – a 4.5 percent levy on all hotel rooms and registered condo rentals – were the highest ever this May compared to the same month in previous years. Proceeds from May 2015 totaled $1.26 million, an 11 percent boost over room tax income from 2014. This is a particularly promising omen, at least for the city’s bank account, heading into the peak season of July and August. Those two months alone provide over half the city’s room tax income for the entire year. In 2014, July and August saw returns of $3.76 and $3.25 million, respectively – their highest ever – out of an end-ofyear total of $13.59 million. The Town of Ocean City began collecting room tax in the summer of 1998. Portions of the tax go to the city’s unrestricted account, while others are earmarked for the resort’s marketing and advertising budget. See MAY Page 3
ZACK HOOPES/OCEAN CITY TODAY
SPREADING THE MESSAGE State Highway Administration employees will be out and about this weekend to promote the third full season of the “Walk Smart” campaign, encouraging pedestrian, bicycle and driver safety over the July 4 holiday. See story on page 30.
Surf rescues surge following Saturday storm By Kara Hallissey Staff Writer (July 3, 2015) Last weekend’s stormy weather not only kicked up the surf in Ocean City but also the number of rescues made last Sunday
by the Ocean City Beach Patrol. Because of the rip currents whipped up by Saturday’s storm, the Ocean City Beach Patrol on the following day had to make 217 rescues, the highest number so far this season.
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Ocean City Today
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Ocean City Today
JULY 3, 2015
May occupancy at 64 percent; Smith rates near $130 Continued from Page 1 The city’s food tax, a half-percent collected on all restaurant sales, also rose 12.4 percent this May compared to May of 2014, from $121,101 last year to $136,178 this year. Increase in tourism tax proceeds can be attributed to any number of factors. Although a few new condos, hotels, and restaurants have opened in the past year, capital growth in the resort is still recovering from the recession. This would indicate that either occupancy of existing facilities has increased, or prices have risen. Judging by the May edition of the Smith Travel Report, both have occurred. Smith Travel collects data only from a sampling of national franchise hotels, but this sample of 27 properties with 3,808 rooms comprises nearly half of Ocean City’s stock, which is estimated at roughly 8,000 rooms amongst 334 properties. Occupancy of the Smith Travel sample rose from 59.7 percent last May to 63.8 percent this year. Additionally, the average room price for May rose from $125.76 in 2014 to $129.84 this year. This puts Ocean City’s average occupancy year-to-date at 44.7 percent, versus 41.1 percent last year, and average room rates at $106.19 versus $104.96 through May of 2014.
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Rip currents heighten OCBP work Continued from Page 1 when our Beach Patrol leaves the stand,” Beach Patrol Captain Butch Arbin said. “They exist before and after – when we leave, there is no one there to help them. Only swim when lifeguards are on the stand.” Rip currents form when huge volumes of water and waves pile up near the shoreline. An exit point for the water is to form a narrow stream that moves rapidly away from the shore. Because rip currents change randomly, it’s hard to know when they will appear in the surf. “The huge waves come in sets and deposit large amounts of water at a fast rate,” Arbin said. Despite last Sunday’s surge, rescues are down from the past couple
summers and Arbin credits a decrease in rip currents for that decline. As of June 21, there have been 201 rescues with 519 in 2014 and 596 in 2013. “Ninety-five percent of rescues in Ocean City are rip current related,” he added. “If the mechanism for a rip current continues to not happen, those numbers will stay low.” If they find themselves in a rip current, swimmers should follow the “RIP” rule: Relax, I need help and Parallel. “Rip currents do not pull you under; they take you away, so relaxing is the first step,” he said. “Call someone for help while you still have the energy and swim parallel to the beach. Rip currents are not
wide and once you swim across it, you should be able to swim back to the beach.” Also, he tells people to call 911 and not to help if they see someone in danger after lifeguards leave the stand. “Instead of one rescue, it turns into two,” he said. Arbin advises beachgoers to check with their lifeguards, who will inform them about shore breaks, rip currents and dangerous sea life. “During Fourth of July weekend, we see an average of 100 kids who are lost on the beach,” Arbin said. “If parents introduce their children to the lifeguards, they know about a safe place to go if that were to happen.”
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