Ever since the recreational use of marijuana was legalized in Maryland, in July of 2023, Ocean City has had a moratorium on cannabis-related businesses within city limits. That changed on Monday.

City leaders in Ocean City, and some other Maryland jurisdictions, wanted to understand all aspects of the state law, before deciding local ordinances that would apply to cannabis sales. There are now about 100 dispensaries spread throughout Maryland’s 23 counties and Baltimore City, with the state taking in more than $40 million in tax revenue over the past year.

Monday, the Ocean City Town Council passed new zoning regulations, which mirror the state’s regulations.

Dispensaries must be at least 100 feet from a residentially zoned area, and at least 500 feet from schools, child care centers, playgrounds, libraries, parks and places of worship.

The Ocean City regulations state dispensaries must be at least a half-mile away from each other.

The regulations do not include language that would preclude a dispensary from being built on the boardwalk.

However, the just-passed regulations do forbid building any businesses in which it would be legal to consume cannabis on premises.