Parcel bid late for minimal price

Continued from Page 7 pressed interest. However, council members agreed that it seemed unfair to take the contract away from Haugh after it had already been awarded.

City Clerk Diana Chavis said there was no precedent for how to handle the situation because the city has never failed to receive any bids on a beach franchise parcel.

While council members agreed that parcels can be re-bid in the future if they do not receive proposals during the first go-around, they opted in this case to grant Haugh the contract because it was already promised.

Ocean City has 70 beach franchise agreements that cover the beach from the inlet to 146th Street. The owners who hold the franchises have auton- omy to sell beach equipment in their respective areas and earn the contracts through a competitive bid process. The franchises are divided into three sections — south end, midtown and north end — and the contracts are staggered and bid out for three years each. Altogether, the franchises annually bring in a total more than $1.4 million.

Council members also approved another change to the beach franchise code on Tuesday that states operators are subject to the city’s existing agreement, which was amended this summer to clarify their operations during special and private events. The amendment states that the town maintains “sole authority” over the use of the entire beach and may approve use of parcels or special or private events.