Ocean Pines Progress January 2021 by Ocean Pines Progress

Director Daly says Republic contract non-exclusive Although the Board of Directors voted unanimously at its Dec. 19 monthly meeting to renew a contractual arrangement with Republic Services for twice-weekly trash collection services in Ocean Pines, Ocean Pines Association Director Frank Daly recently said that the contract with Republic is not exclusive. He is checking to see if Chesapeake Waste Management is interested in competing in Ocean Pines. ~ Page 3

Banquet business coming back strong. DeAngelus says Matt Ortt Companies managing partner Ralph DeAngelus is upbeat about prospects for the banquet business in fiscal year 2021-22, telling members of the Budget and Finance Advisory Committee earlier this month that “public confidence is coming in strong” in this segment of the Ocean Pines Association’s food and beverage business despite the continued covid pandemic. ~ Page 6

OPA not eligible for more PPP money from feds Additional loan money from the second version of the federal Payroll Protection Program recently passed by Congress won’t help the Ocean Pines Association this time around. The second iteration of PPP funding included a condition that only organizations that had experienced a 25 percent reduction in revenues in any quarter of 2020 would be eligible for the funding. ~ Page 10

January 2021

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Adjusted OPA budget for 2021-22 calls for $35 assessment increase Viola reduces $121 increase in preliminary draft

By TOM STAUSS Publisher fter the preliminary draft budget for 2021-22 called for an assessment increase of $121, the inevitable happened: Efforts were made to reduce the assessment to what General Manager John Viola calls a more “prudent” level. Following four days of budget review earlier this month by the Budget and Finance Advisory Committee and a single day by the Board of Directors, Viola announced that the proposed assessment increase has been reduced to $35. If that number stands, the base assessment that will be approved by the board next month would be $1,021. The most significant offset in the need to increase the assessment was not an actual cut in spending but an accounting maneuver that saved $41. The Ocean Pines Association is projected to receive $350,000 in local impact funding from operations at the Ocean Downs Casino. This funding source traditionally has been allocated to the Roads Reserve and is used for road resurfacing. Viola proposed and sold the budget and finance committee and most OPA directors on the idea of using the casino money for drainage rather than roads resurfacing. That has the effect of allocating the $350,000 in

expected casino funding to the operating fund, making it possible to avoid using assessment dollars in that same amount for drainage purposes. That $350,000 is equivalent to $41 on the lot assessment. In budget review meetings, OPA President Larry Perrone objected to the reallocation of casino funding out of concern that it would interrupt the ongoing roads resurfacing program. Viola countered that a one-year hiatus in road resurfacing could be absorbed without noticeable deterioration of streets in Ocean Pines. Minor road repairs could still occur as they normally do. Other adjustments in the budget allowing for a smaller increase in the assessment include a $15 savings from reducing a proposed increase in the amount of assessment dollars used for “general” or common area bulkheading replacement. In the preliminary draft budget, Viola had proposed raising that amount from $19 to $40, reflecting increased costs for bulkhead replacement. He told committee and board members that the number could safely be reduced to $25 from $40, which could have the effect of reducing the amount of linear To Page 29

County hires consultant to evaluate Pines golf course irrigation option ~ Page 12

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Daly says contract with Republic Services is non-exclusive

January 2021 Ocean Pines PROGRESS 3 low-up email, Daly said that OPA Attorney Jeremy Tucker agrees that sub-associations in Ocean Pines, such as the Parke, and residents are free to contract with a company other than Republic for trash collection services. The question becomes whether it would be economically feasible for Chesapeake to compete for business in Ocean Pines with another company already entrenched in the community, Daly said. He said one possibility would be for Chesapeake to offer once-a-week service throughout Ocean Pines as opposed to the twice-weekly trash collection service and weekly recycling service offered by Republic. Another option would be for Chesapeake to offer to collect trash in sub-associations such as the Parke, Daly said. In the days after the board made its decision to renew the Republic service, Daly said he received 19 emails from residents, with 11 of them supporting the board’s decision and the other eight saying the board should have accepted the low To Page 5

OPA director is investigating the possibility of separate agreement with Chesapeake Waste Management

“I want to check with Chesapeake sales representatives to see if they are interested in offering collection services to Ocean Pines” that would Frank Daly compete with Republic Services, Daly said. Chesapeake submitted a bid for trash collection services that was significant-

ly better than Republic’s. Depending on what he finds out, the Board of Directors would then have to decide whether to facilitate competition or opt for the traditional monopoly, Daly said. The director said he has read the draft contract with Republic Services and concluded that it does not grant Republic exclusive rights to offer trash collection services in Ocean Pines. “Larry (Perrone, OPA president) and Cami (Camilla Rogers, OPA director, and an attorney) agree, it’s not exclusive,” Daly said. In a fol-

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By TOM STAUSS Publisher lthough the Board of Directors voted unanimously at its Dec. 19 monthly meeting to renew a contractual arrangement with Republic Services for twice-weekly trash collection services in Ocean Pines, Ocean Pines Association Director Frank Daly said in a telephone interview Jan. 19 that a contract with Republic had not yet been executed and that he is investigating the possibility of a separate agreement with Chesapeake Waste Management.

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OCEAN PINES Trash collection From Page 3

bid for residential service submitted by Chesapeake. Daly said he has researched online reviews for both companies and that in most cases ratings are either five-stars or one star. He said he has concluded that ratings depend on the quality of crews serving a particular community. “A lot of our residents are obviously happy with Republic and don’t mind paying more to keep their service,” he said. “Others say it’s just trash collection and that we should accept the low bid.” He acknowledged that 19 emails isn’t even close to a scientific poll of Ocean Pines residents. A new three-year agreement with Republic would obligate the OPA to use Republic for trash pick-up at OPA-owned facilities. Republic’s bid to serve OPA venues was better than Chesapeake’s. Residents are free to take their trash to the Berlin landfill as an alternative to using Republic for

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January 2021 Ocean Pines PROGRESS twice-weekly trash pick-up services. But what’s new as a result of Daly’s research is that residents aren’t locked into Republic if they want traditional trash collection service. Daly said he would work with Chesapeake to determine its interest in offering a competing service in Ocean Pines. An initial inquiry was inconclusive. He said the sales agent he talked to was under the impression that his company had been competing for an exclusive contract and wondered why his company had not been awarded the contract. “They could be interested,” Daly said of Chesapeake, “depending how many people in Ocean Pines would be interested.” Daly said offering once-a-week service might be a way to attract customers. Republic’s bid for twice-weekly trash collection and once-a-week recycling pick-up was $24.20 monthly, billed quarterly in the amount of $72.60. The current rate is $20.27, or $60.81 quarterly, with an additional $3.60 charge for an optional 95-gal-

lon container. Three years ago, Republic was the low and successful bidder for trash and recycling collection services for $19.68 a month or $59.04 billed quarterly. The company has availed itself of a provision in the 2017 contract that allows it to raise rates by up to three percent annually, a provision that would be included in a new contract as well. The increase from the $19.68 per month rate in 2017 over the new rate of $24.20, or $72.60 quarterly, works out to 23 percent, well in excess of inflation and by far the largest increase in trash collection services ever recorded in Ocean Pines. The bid submitted by Chesapeake was significantly lower than its competitor’s bid for residential collection services. Including both trash pick-up and recycling collection, it was very close to Republic’s bid from three years ago. Had the Chesapeake bid been approved by the board, residents would actually be paying less for

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trash collection services than they are now. In the 2020 bidding, Chesapeake submitted a proposal for annual twice-weekly trash collection and once-weekly recycling totaling $19.28 per month. It was even lower at $19.08 for six-month residential contracts. Chesapeake’s quarterly billing would have been $57.84 for an annual contract and $57.24 for a sixmonth contract. The quarterly difference between Republic and Chesapeake was $14.76. That’s $59.04 more per year that homeowners will be paying as the result of the board’s decision to retain Republic. The OPA will realize a reduction in fees charged by Republic for collecting trash at the OPA’s various facilities, however. Fees are being reduced from $26,525 in the 2017 contract to $25,143 in the new contract. Chesapeake would have charged the OPA $30,840, a difference of more than $5,000.

6 Ocean Pines PROGRESS

OCEAN PINES

January 2021

DeAngelus confident that covid won’t substantially hinder comeback of banquet business Projects $335,000 in revenues for three venues By TOM STAUSS Publisher att Ortt Companies managing partner Ralph DeAngelus is upbeat about prospects for the banquet business in fiscal year 2021-22, telling members of the Budget and Finance Advisory Committee earlier this month that “public confidence is coming in strong” in this segment of the Ocean Pines Association’s food and beverage business despite the continued covid pandemic. DeAngelus noted that all three food and beverage venues his company operates for the OPA -- the Yacht Club, the Clubhouse Bar and Grille, and the Beach Club -- are projected to generate $335,000 in banquet revenue in the MOC draft budget for the fiscal year beginning

on May 1. Most of that will be generated at the Yacht Club, he said, with wedding banquets ranging in revenue from $19,000 to $25,000 not atypical. Ralph DeAngelus DeAngelus said food-related banquet revenue and expenses are assigned to the venue where the food is prepared, normally the Yacht Club. Smaller weddings and events have taken place at the new golf clubhouse, and beachfront weddings are regular events at the Ocean Pines Beach Club in Ocean City. Beverage revenue is assigned

ESTATE PLANNING FOR BLENDED FAMILIES If you’re in a blended family, you’re already aware of the emotional and financial issues involved in your daily life. But what about the future? When it’s time to do your estate planning – and it’s never too soon for that – you’ll need to be aware of the entanglements and complexities that can get in the way of your vision for leaving the legacy you desire. You can take comfort in knowing that you’re far from alone. More than half of married or cohabiting couples with at least one living parent, or parent-in-law, and at least one adult child, have a “step-kin” relationship, according to a study from researchers at the University of Massachusetts and other schools. That’s a lot of estate-planning issues. Nonetheless, the task does not have to be overwhelming – as long as you put sufficient time and thought into it. Here are some ideas that may help: Seek fairness – but be flexible. Even in a nonblended family, it’s not always easy to be as equitable as you’d like in your estate plans – too often, someone feels they have been treated unfairly. In a blended family, these problems can be exacerbated: Will biological children feel cheated? Will stepchildren? Keep this in mind: Fair is not always equal – and equal is not always fair. When deciding how to divide your assets, you’ll need to make some judgment calls after carefully evaluating the needs of all your family members. There’s no guarantee that everyone will be satisfied, but you’ll have done your best. Communicate your wishes clearly. When it comes to estate planning, the best surprise is no surprise – and that’s especially true in a blended family. Even if you’re the one creating your estate plans, try to involve other family members – and make your wishes and goals clear. You don’t have to be specific down to the last dollar, but you should provide a pretty good overall outline. Consider establishing a revocable living trust. Everyone’s situation is different, but many blended families find that, when making estate plans, a simple will is not enough. Consequently, you may want to establish a revocable living trust, which gives you much more control than a will when it comes to carrying out your wishes. Plus, because you have transferred your assets to the trust, you are no longer technically the owner of these assets, so there’s no reason for a court to get involved, which means your estate can likely avoid the time-consuming, expensive and very public process of probate. Choose the right trustee. If you do set up a living trust, you’ll also need to name a trustee – someone who manages the assets in the trust. Married couples often serve as co-trustees, but this can result in tensions and disagreements. As an alternative, you can hire a professional trustee – someone with the time, experience and neutrality to make appropriate decisions and who can bring new ideas to the process. Above all else, make sure you have the right estate-planning team in place. You’ll certainly need to work with an attorney, and you may also want to bring in your tax advisor and financial professional. Estate planning can be complex – especially with a blended family – and you’ll want to make the right moves, right from the start.

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to the venues where sales occur, he said. Some members of the budget and finance committee expressed a degree of skepticism about DeAngelus’s banquet revenue projections, but no one went so far as to suggest that he revise them downward. Instead, some members suggested that perhaps there could be some sort of credit given to golf operations for golf-related banquets at the Clubhouse Bar and Grille. OPA President Larry Perrone shot down that idea. He said that sort of revenue-sharing was inconsistent with the MOC’s contract with the OPA. At the Beach Club, DeAngelus is projecting a $98,000 operating surplus next year, adding that “there is opportunity to go above” that.

At the Golf clubhouse, he doubled down on his view that covid won’t be much of a factor this coming year, other than delaying the time when the MOC will be able to offer a Sunday brunch at that venue. “My gut tells me covid isn’t going to affect the Clubhouse,” he said. “Even at a 50 percent capacity [restriction], we don’t really hit that anyway.” He said the MOC budget for this venue projects $230,000 in revenue next year, which he described as “worst case.” “I want to under promise and over deliver,” he said, adding that golfers and non-golfers alike are congregating at this newest of OPA food and beverage venues. “Sunday brunch isn’t feasible as long as covid is a factor, but we’re doing a great breakfast business here,” DeAngelus said. At the Yacht Club, MOC is projecting revenues for 2021-22 at the same level as the current fiscal year, again holding out the possibility that actual results will exceed that of this year as covid concerns recede. DeAngelus is projecting an $88,000 profit at the Yacht Club To Page 10

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Golf clubhouse to replace Yacht Club as winter food and beverage venue DeAngelus to keep Yacht Club closed until March 12 when it will reopen for St. Patrick’s Day Starting on Feb. 4, hours will be extended to 8 a.m. to 8 p.m., with the restaurant open Thursday through Sunday and happy hour and dinner specials beginning. A new menu will be announced in February. The strategic change evolved from the traditional closure of the Yacht Club in January and discussions about when the venue would reopen. In past years, that has happened sometime around Presidents Day if not sooner. This year, the latest plan is to reopen on March 12 before St. Patrick’s Day. Viola told the Board of Directors during the meeting that keeping the

By TOM STAUSS Publisher he Board of Directors voiced no objections to a plan offered by General Manager John Viola and Matt Ortt Companies Managing Partner Ralph DeAngelus during a Jan. 19 budget review meeting to replace the Yacht Club as the Ocean Pines Association’s primary winter food and beverage venue with the Clubhouse Bar and Grill. The Yacht Club closed at the beginning of January and remains closed. The Clubhouse Bar and Grille is currently open on a Thursday through Sunday schedule, with winter hours of 8 a.m. to 5 p.m.

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Yacht Club closed during February would result in a savings of $25,000 to $30,000 on the Yacht Club’s bottom line and an outcome that would be favorable to budget. DeAngelus said he envisions keeping the Yacht Club closed until the weekend before the St. Patrick’s Day parade in Ocean City. To accommodate the anticipated increase in business at the Clubhouse Bar and Grille, the banquet room adjoining the bar area would be converted to a dining room, he said. Popular Yacht Club fare and events, like Prime Rib Night and Trivia Night, would be shifted to

the golf clubhouse during the period when the Yacht Club is closed. He said the only small drawback to the plan is the loss of Super Bowl business at the Yacht Club, which he said was no big deal because no Mid-Atlantic teams will be competing in the Super Bowl this year. “All local teams are out,” he said, suggesting that the contest will probably feature the Green Bay Packers and Buffalo. “The Super Bowl is not a giant thing here,” he said, adding the game will be displayed on the big screens at the Clubhouse Bar and Grille. Regarding the venue changes DeAngelus said “that’s what we’re doing, unless the board says otherwise.” Not only did directors not object but they seemed to think it was a great idea. “I support it 100 percent,” Director Frank Daly said. General Manager John Viola said the new golf clubhouse, opened last year, was designed with the thought that the Clubhouse Bar and Grille could be open while the Yacht Club would remain closed.

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OPA not eligible for another pot of payroll protection program money

dditional loan money from the second version of the federal Payroll Protection Program recently passed by Congress won’t help the Ocean Pines Association this time around, OPA General Manager John Viola has confirmed. The second iteration of PPP funding included a condition that only organizations that had experienced a 25 percent reduction in revenues in any quarter of 2020 would be eligible for the funding.

Banquet business From Page 6 next year. Despite some skepticism by committee members that business at all three venues will be as good as DeAngelus says, he had support in his projections by General Manager John Viola. “Once everyone gets the vaccine, everything will open up,” he told the committee. “I agree with Ralph...” DeAngelus said that staffing difficulties this past summer by a labor shortage should be eased because the J-1 program, in which workers from overseas come to Ocean City to fill restaurant jobs, is expected to be in place.

Viola said that OPA Finance Director Steve Phillips reviewed the revenue numbers for each quarter in 2020 and determined that the OPA didn’t even come close to reaching the 25 percent reduction needed to qualify for the PPP loans. Even if the inflow of PPP revenues last year were deducted from the calculation -- whether that’s even allowable under the law is unclear -- the OPA didn’t come close to the 25 percent revenue reduction in any quarter, Viola said. Viola said that Phillips’ revenue review did not include food and beverage operations operated by the Matt Ortt Companies. But Ralph DeAngelus, a managing partner in the Matt Ortt Companies, during a presentation to the Budget and Finance Committee Jan. 5, said that the MOC like the OPA would not qualify for the second tranche of PPP funding, for the reason cited by Viola. Even under pandemic conditions, the OPA’s food and beverage venues performed reasonably well this year. The OPA received about $1.2 million in PPP funding for its operations, while MOC received about $271,000 benefiting OPA food and beverage operations.

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OPVFD signals need for future renovation of Southside fire station By TOM STAUSS Publisher epresentatives of the Ocean Pines Volunteer Fire Department informed the Ocean Pines Association’s Budget and Finance Committee in a meeting Jan. 6 that plans are already under way for a renovation of the Southside fire station, a building that dates back to the 1980s. The renovation costs won’t be a factor in the department’s proposed budget for 2021-22, according to OPVFD President Dave VanGasbeck and Fire Chief Steve Grunewald. OPA General Manager John Viola told the committee that concept plans for the renovation have already been drawn up, with the help of the OPA Public Works Department and a consulting firm from Baltimore. A recent indicator of a deteriorating conditions at the firehouse was a gas line that fell out of the ceiling. Evolving national standards for firehouse operations also require changes to the building’s design. After no year-over-year increase in the OPVFD budget this year, the department for 2021-22 has come in with a requested $46,225 increase in OPA funding, reflecting equipment repair costs as well as salary and benefit costs for the 12 paramedics on staff. That increase is equivalent to a $5.50 increase in the base lot assessment next year. The OPVFD doesn’t rely entirely on the OPA for its operating expenses. It receives reimbursement for ambulance runs from the county and insurance companies, and it also conducts various fund-raising activities, mostly notably a new truck raffle. Under a memo of understanding that governs relations between the OPA and the OPVFD, the OPA is committed to paying for half of OPVFD capital expenditures for new fire-fighting apparatus. The OPVFD representatives noted that the department’s house identification sign program is doing well, with residents in Ocean Pines adopting the reflective signage as a way of helping the department respond to calls at night. They also said that the department pays for annual physicals for all department members, a benefit that most fire companies in the state do not provide.

January 2021 Ocean Pines PROGRESS 11

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County hires consultant to evaluate Pines golf course irrigation option County officials make clear that Ocean Pines homeowners will pay for future improvements By ROTA L. KNOTT Contributing Writer ne way or another Ocean Pines property owners will pay for system improvements necessary to irrigate the golf using treated effluent from the Ocean Pines wastewater treatment plant should the project go forward. John Ross, deputy public works director, said the details of the arrangement still need to be worked out but the cost will be entirely born by Ocean Pines property owners through water and wastewater rates, annual dues, or golf course fees. During a Jan. 5 meeting, Ross presented to the Worcester County Commissioners a request to hire a consultant to evaluate the existing golf course irrigation and wastewater treatment and disposal systems, and develop a cost estimate for upgrades necessary to use treated effluent to irrigate the amenity. Commissioner Chip Bertino offered a motion, which was given a second by Commissioner Diana Purnell and approved by the full Board, to approve the contract for $8,800 with Hydro Design Inc. of

Frederick, Md. In offering his motion, Bertino wanted to clarify that the cost for the replacement of the irrigation sysChip Bertino tem would be borne by the Ocean Pines Association, not the county. “Is that correct?” he asked. Ross responded that has not been decided yet. But he added that Ocean Pines residents will pay for the cost of the project whether it is through the OPA or through the county via water and wastewater rates. “In discussions with the association, Ocean Pines is gonna pay for this. They are either gonna pay for it via their water and sewer bill or they’re gonna pay for it via their dues… or via their rates on the golf course,” he said. He added that the project could

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also be viewed from an environmental standpoint and that may open eligibility for a variety of pots of grant funding. “As a project that reduces nutrient discharges into the St. Martins River, it may be advisable to look at this as an environmental project purely from a financing standpoint,” he said. Ross said the project would definitely be an improvement on several levels. “It’s an improvement to one of the assets of the association. But it also is an environmental project because we’re going to reduce the need to pull water out of the aquifer, we’re going to reduce the amount of nutrients going into the river…” he said, adding “There are a lot of situations here where we could put a project together that will be very, very beneficial to all involved.” Ultimately, however, Ross said “it does become the people of Ocean Pines paying for it even if it’s in their rates.” Bertino wanted clarification that the taxpayers of the county are not going to pay for this project. “It would either come from out of the service area or would come out of

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Ocean Pines Association. The rest of the county would not be paying for this.” Ross responded “That’s right.” Commissioner Jim Bunting supported the project, saying “I think this is a great project. I think it should be done.” “The Water and Wastewater Division has been working with the management and golf course staff at Ocean Pines to develop a program for investigating the use of treatment plant effluent on the golf course,” John Tustin, public works director, said in a memo to the commissioners. “As an initial step, we asked for proposals from experienced golf course irrigation firms to evaluate the cost to upgrade the irrigation system at the golf course. We solicited proposals from four firms.” Bids for the work were received from Michael Kuhn and Associates, Birmingham, MI for $1,250; EC Design Group LTD, Des Moines, IA, for $6,500; C-Tech Solutions Inc., Ross, OH for $6,750; and Hydro Design Inc., Frederick, MD for $8,800. All of the bids were under the $25,000 budgeted for the project. In reviewing the proposals with the golf course management team, other than the proposal from Michael Kuhn and Associates, Tustin said the prices were very consistent considering the scope of the work was left to be defined by the consultant. The MKA proposal was a 1-page letter with no scope of work details provided so it was not considered responsive to the request for proposals. While it had the highest bid of the other three consultants, the staff team recommended awarding the project to Hydro-Designs Inc. of Frederick, Md. because of its instate location and current relevant work on the Eastern Shore including at Glen Riddle and Bayside Golf Course. Ross said this is a long-term $2 to $3 million project so having a consultant that is within driving distance will be a benefit. “Considering that this could be a project spanning several years, the travel expense of a consultant only several hours away by car versus the cost of a consultant flying to the site when they are needed will be significant,” Tustin said in his memo. In November, a representative from Hydro Designs, Inc. met with Ross and Ocean Pines personnel to q

12 Ocean Pines PROGRESS

OCEAN PINES

January 2021 Ocean Pines PROGRESS

discuss the proposal. Tustin said the meeting was informative and the consultant offered several suggestions to make the evaluation more useful, and displayed a good understanding of the project. Therefore, staff recommended that Hydro Designs Inc. be contracted for the evaluation and cost estimate development for the irrigation system replacement at the Ocean Pines Golf Course. Funding in the amount of $25,000 was included in the budget for 20212022. Justin Hartshorne, Ocean Pines’ golf course superintendent, said the “Ocean Pines Golf Club agrees that moving forward with Hydro Designs Inc. for our irrigation system evaluation and design would be a great decision.” The company’s proposal included consideration of using the golf course landscape for surface disposal of treated effluent from the Ocean Pines wastewater treatment plan tvia the golf course irrigation system. The primary purpose of its work

is to evaluate the current condition of the irrigation system as it applies to this goal and recommend improvements to enhance the utility of the irrigation system. Under the contract, the consultant will interview personnel working both with the current system operation and maintenance, inspect the system and observe operation of it, test the water pressure and observe the sprinkler precipitation patterns at multiple locations on the golf course. They will also audit the amount of sprinkler precipitation on the golf course with irrigation catch cans and calculate the rate and distribution uniformity at two or three locations on the course. Finally, they will observe wastewater pump station operations in the service area. The consultant’s report will review existing golf course conditions, determine appropriateness of the existing system for the proposed irrigation process, and recommend improvements or replacement with estimates for design, consulting, and construction.

Daly suggests alternative use of golf course during off-season months By TOM STAUSS Publisher cean Pines Director Frank Daly has proposed using the Ocean Pines golf course during the November through April period for purposes other than golf. “The number of rounds drop off in November, and pick up in April,” he said. “Can we use the course to do other things to bring in crowds? Does it then make sense to reopen the golf clubhouse for breakfast [on days when it would otherwise be closed]?” Daly, who offered his suggestion during the Jan. 20 monthly meeting of the Board of Directors, said activities that might be promoted during the off-season could including biking and jogging on the cart paths. “In addition to breakfast, it might open up the fire pits and grills [outside of the clubhouse],” he said. Ocean Pines Association General Manager John Viola expressed interest in the idea. “Anything we can do to enhance the enhance the amenities [should be explored],” he said. Director Doug Parks said his only concern was that any alternative use of the golf course not result in any damage to the course. “I would be opposed to anything that puts the course at risk,” he said, adding that “we should take a look” at alternative uses.

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Capital projects make it through board approval process unscathed New pickleball courts, junior tennis courts, police cruisers, parking lot paving unanimously OKd

By ROTA L. KNOTT Contributing Writer mprovements at the Manklin Meadows racquet sports center, vehicle purchases, and a paving project were among the capital purchases approved unanimously by the Ocean Pines Associationâ&#x20AC;&#x2122;s Board of Directors during a Jan. 20 virtual meeting. General Manager John Viola presented three requests for improvements at the racquet sports complex in Manklin Meadows, including the addition of four new pickleball courts and one youth or junior tennis court along with fencing. Viola said the addition of the new courts will likely bring the complex to near build-out. Director Doug Parks asked if the

OPA would be able to add more courts to the complex in the future or if the amenities are at their maximum capacity with the current site layout due to wetlands and other land feaJohn Viola tures. â&#x20AC;&#x153;I donâ&#x20AC;&#x2122;t know how much more we can expand down there,â&#x20AC;? Viola responded. He said staff worked with Worcester County officials to garner approval for the new courts in the designated locations. However, he added that there is â&#x20AC;&#x153;not much more

we can do there.â&#x20AC;? None of the capital projects were included in the current budget, but Viola said asked for approval from the board anyway in order to complete the work this fiscal year. He added that the Budget and Finance Advisory Committee had reviewed the expenditures and given their endorsement. Viola said the four new pickleball courts are being added next to existing courts on the site at the request of members of the amenity. Director Camilla Rogers encouraged the board to approve the addition of the pickleball courts, telling her colleagues that she has met people from across the state who come to Ocean Pines for tournaments. She said the new courts will enhance the

visibility of the sport. Directors approved a contract award of $67,895 to Terra Firma for construction of the new pickleball courts. They also approved a second contract with the same company in the amount of $66,087 for the addition of a junior tennis court at the racquet sports complex. This court will be installed to the left of the existing platform tennis courts. Rogers asked how many youths currently participate in the junior tennis program. OPA President Larry Perrone said the junior tennis court is being constructed in an effort to boost the OPAâ&#x20AC;&#x2122;s youth tennis program. He said there is the potential for youth lessons and tournaments at the site. In conjunction with the new courts, the directors approve a contract with Nanticoke Fence for installation of galvanized green mesh fencing at a cost of $12,000 for the junior tennis court and $14,859 for the pickleball courts. To Page 16

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OCEAN PINES

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Capital projects From Page 14

“Now obviously for these courts we need a fence,” Viola said in presenting the requested expenditure to the board, which gave its unanimous approval. He added that repairs, necessary because of wear due to regular usage, to structural cracks and line repainting on the paddleball courts and two hard tennis courts are also necessary and he plans to present that project for board approval in February. “This has been going on for years,” he said of the need for repairs and restriping. That process involved cleaning out the cracks and filling with a leveling compound such as acrylic and then painting to match. The project is not included in the current year’s budget. Public works crews also recently oversaw replacement of existing tennis court fencing, including the top rail, bottom rail, line and corner posts, by vendor Nanticoke Fence. “Everybody’s happy with it,” Viola

said. Directors also approved a capital purchase request for paving of the White Horse Park parking lot, including an expansion of the paved area to include the former site of the Pine’eer Craft Building. The work is included in the current budget at an estimated cost of $35,000, but bids came in much higher than expected, Viola said. He said the project cost was driven up as a result of the pandemic and increased in the cost of materials. “This was the lowest bid,” he said in presenting a staff recommendation to award a $59,500 contract for the work to Morris McNeil Paving for a 2-inch overlay. Director Doug Parks specifically what areas will be paved in White Horse Park. Viola responded that the existing paved parking lot will be repaved and the area that had previously been the site of the Pine’eer Craft Club’s building will be used to create additional parking spaces. A rocky area past the police station will not be paved.

The site currently has 44 parking spaces, but will lose nine spaces due to reconfiguration. The addition of 29 new spaces will offset the loss resulting in a total of 64 parking spaces upon completion. Because asphalt plants are closed for the winter, the OPA will move forward with the paving project in the spring as soon as the plants reopen for the season, Viola said. Finally, the Board unanimously approved the acquisition of two new police cruisers at a total cost of $76,908 from Hertrich Fleet Services. One new vehicle was budgeted in the current year, and a second was to be included in 2021-22, but Viola said now is the time to purchase both of them. He said two existing police vehicles need extensive repairs and should be replaced now instead. In a memo requesting the vehicle purchase, Chief Leo Ehrisman said some of the Ocean Pines Police Department’s vehicles run 24 hours a day. “Our police vehicles show dramatic increase in repairs when

they reach the 125,000 mile mark. Remember, these vehicles are often operated 24 hours per day, and the engines have many more hours on them when they are run at idle,” he said. Ehrisman said the department often requests replacement of one or two vehicles during a year, suggesting that this month’s request was not that unusual. The two vehicles now scheduled for replacement, a 2011 Ford Expedition with 176,567 miles on it and a 2014 Ford Explorer with 143,730 miles, are the oldest two currently in the OPPD’s fleet. They will be replaced with Chevy Tahoes. “We are coming forward and asking for two cruisers now,” Viola said, adding that it will take a month or two to receive the vehicles once they are ordered. He said the OPA did not seek competitive bids for the vehicle purchase. Instead, police vehicles are purchased via a state contract and the cost includes the police equipment package needed by the OPPD.

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OCEAN PINES

January 2021 Ocean Pines PROGRESS

Board continues action against unclean roofs Contractor to be hired to deal with problem properties By ROTA L. KNOTT Contributing Writer ith eight of 11 properties that were originally cited now in compliance, the Board of Directors agreed to hire a contractor to clean the roofs on three homes that remain in violation of the community’s restrictive covenants. During a Jan. 20 meeting, the directors voted unanimously to find the three properties in continuing violation of the Declaration of Restrictions and to act to rectify the maintenance violations as recommended by legal counsel. The cited properties are located at 18 Harbormist Circle, 1 Maid Marion Lane, and 9 Chestnut Way. In December, General Manager John Viola presented to the board a list of 11 properties that had been cited by the Compliance, Permits, and Inspections office for having debris, leaves, moss and other detritus on the roofs of the homes. Viola was seeking approval to move forward with having the roofs cleaned inhouse by public works staff based on an opinion from the OPA’s attorney. At that time, directors were concerned about potential liability if any damage occurred to the structure as a result of public works cleaning the roofs. The board requested more information and that Viola develop a “better plan” for addressing the violations, including hiring a contractor to perform the work instead of doing it in-house. At the January meeting, Viola said the OPA does in fact typically contract out such projects and the company it usually uses, J & J Powerwashing, submitted a proposal for $1,415 to clean all three roofs. The contractor will spray the roof with an algae cleaner and if needed will scrape the roof for thicker mold spots. “This charge, along with out normal $75 administrative fee and attorney’s fees, would be billed to the homeowner,” Viola said, adding “Basically same way as if we brought in somebody to mow the lawns …” He pointed out that the OPA could not be held responsible for any damage sustained as a result of the cleaning, per the declaration of re-

January 1st

strictions, “The18th. association shall not thru January We will be liable for any damage which may open January 19th. result from any maintenance work performed hereunder.” Director Tom Janasek asked if the OPA has obtained a copy of the con-

tractor’s insurance and confirmed that they are licensed and bonded. Viola responded that he will make sure to get that information, but said “we use them all the time.” The board ultimately voted to find the three properties in continuing violation of the restrictive covenants and to move forward with hiring a contractor to perform the maintenance work. With that board approval, the OPA’s attorney will send another letter to the owners letting them

know that they have 20 days to do the maintenance themselves or the roof will be cleaned for them and they will be charged for the service. Viola said recently noted roof maintenance violations from November 2020 to the present have been sent to the attorney and will receive a letter notifying the owner that either the case will be heard in court, or OPA will hire a contractor to clean the roof then they will be billed for the service plus attorney’s fees.

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OCEAN PINES

January 2021

Viola puts marina expansion on temporary hold pending this year’s budget surplus General manager still is hoping to start project in April By TOM STAUSS Publisher eneral Manager John Viola is proposing to delay moving ahead with expansion of the Yacht Club marina wih six T-docks that would be used for transient docking only pending greater clarity on the size of this year’s operating surplus. In a budget review meeting Jan. 7, the Budget and Finance Advisory Committee appeared to struggle with whether to recommend the project in the 2021-22 budget or even whether it should be expedited and funded in the current year budget. In a subsequent meeting of the committee, members essentially

dodged taking a definitive position pro or con, instead saying it was of “lesser priority” when compared to additional courts in the racquetball complex in South Ocean Pines. But the committee said it was struggling with the T-dock project on its merits, with some members suggesting they were unsure that the project would pay for itself with increased business at the Yacht Club or at the marina. Staff has suggested a two or three-year payback of the $30,000 to $50,000 estimated investment. The project has the solid endorsement of Ralph DeAngelus, managing partner of the Matt Ortt Companies, which manages the Yacht Club food and beverage operation for the

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Ocean Pines Association. Viola’s preliminary draft budget for 2021-22 had funded the project out of the New Capital Reserve, but he has since reconsidered and had been looking to complete the project in the current fiscal year, using this year’s likely operating surplus as the funding source. He’s still hoping for that outcome, but told the Progress that he was putting the project “on hold” pending greater clarity on this year’s operating surplus, which currently is flush enough to pay for the t-docks. It’s been projected at $650,000, but there is a consensus that a portion of that should be used to eliminate the inherited cumulative operating fund deficit of $162,000. In theory, that would leave a $488,000 operating fund surplus at the end of the current fiscal year April 30 that could be used for adding the T-docks. Current plans are for six additional boat slips or T-docks at the Yacht Club marina, designed to accommodate boaters who want to pick up food and drink at the Yacht Club. Four would be attached to one dock and two to another. There would be a two-hour limit placed on each transient use dock.

Committee members expressed concern about how this two-hour limit would be enforced. The proposed marina budget includes $15,000 for additional security, with committee members differing on the merits of whether this cost should be shifted to the Yacht Club budget. Member John O’Connor said the full $15,000 should be shifted to the Yacht Club, while Brian Reynolds said the cost should be split between the Yacht Club and the marina. Committee chair Dick Keiling suggested letting Viola decide. Currently, there is only one slip available for a transient use. Transient use boat slips will be another reason for boaters to visit the Yacht Club, Viola had said, adding to bottom line revenues both at the marina, where gasoline and other merchandise can be purchased, and at the Yacht Club. A letter was recently sent out to area residents to explain the proposed marina expansion, after which the OPA will be applying for permits from county and state agencies. If approved by the board as part of the pending budget process, Viola previously said the intent would be to start installation of the new slips in April with completion in time for the summer season. That timetable is now uncertain, but it remains a possibility. In the latest year-end projection of an operating surplus for the current year, Finance Director Steve Phillips included $70,000 in marina expanion in his list of items that would be funded in the current fiscal year, reducing the earlier $488,000 surplus. The latest estimate is for a $215,000 surplus at the end of the fiscal year on April 30.

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OCEAN PINES

January 2021 Ocean Pines PROGRESS

Another stay issued in Trendic lawsuit

Parties are supposed to reach a settlement agreement no later than Feb. 11 By TOM STAUSS Publisher orcester County Circuit Court Judge Beau Oglesby granted a consent motion on Jan. 11 that again delayed final resolution of the case filed by former Ocean Pines Association Director Slobodan Trendic over Board of Directors’ capital spending authority and his protracted effort to force the board to conduct a community referendum on the issue. The consent motion, submitted by attorneys for the OPA’s insurance company, extended the deadline for the parties to formalize a written settlement agreement to Feb. 11. Trendic’s Ocean City attorney did not oppose the extension. A decision by Judge Oglesby issued in October of last year deliv-

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and 4.08 of the OPA by-laws and said he would “reserve” judgment on Trendic’s request for reasonable attorney’s fees. Section 4.08 (b) requires the board to conduct a public hearing on a valid petition within 60 days of a valid petition’s submission. That public hearing never occurred, because then OPA secertary Colette Horn, on the basis of a published opinion by OPA Attorney Jeremy Tucker, decided that the petition had not been worded properly and was therefore invalid. The judge’s order implicitly rejected the notion that the petition had been improperly worded. A settlement agreement presumably will set a date for a hearing on the referendum and a date for when the referendum materials will

be mailed to property owners. Within 15 days of a scheduled hearing date, the OPA is required to send out a notice of the hearing to OPA members. Slobodan Trendic According to the by-laws, “referendum ballots shall be distributed to all members eligible to vote not later than thirty (30) days following the hearing [and] information containing, at a minimum, a copy of the proposal in the petition, a brief explanation of the proposal written by the petitioners, and a statement of position by the Board of Directors shall be included with the ballot.” OPA President Larry Perrone recently suggested that funding for a referendum in the 2021-22 OPA budget could be added before the budget is approved in February.

20 Ocean Pines PROGRESS

OCEAN PINES

January 2021

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By ROTA L. KNOTT Contributing Writer ith the Ocean Pines Association continuing to encounter challenges with the installation of the NorthStar software package across its facilities, General Manager John Viola said many of the problems with inconsistent system operation appear to be capacity related. During a Jan. 20 meeting, he told the Board of Directors that the OPA’s problems with the new system have been “escalated to the top people at the software company” and changes are being made. Viola said OPA staff has been experiencing problems with system shutdowns and items disappearing from the system that had previously been there. “It’s capacity,” he said, adding that “they didn’t have enough hardware. It’s load leveling.” He said he has heard of similar problems with software in the past. “Bottom line is I’ve seen this, heard this before,” he said, adding that “it sounds right to me but we’ll see.” Director Doug Parks concurred with Viola’s assessment, adding, “It’s clearly a capacity resource adjustment issue.” To help rectify the situation, Viola said the OPA held a meeting of the CEO, top-level directors, and the implementation team. As a result, NorthStar leadership is holding weekly update calls with OPA staff to go over open items, the company’s support leader is participating in those meetings to be sure staff is following priorities, the support leader will also address concerns privately with his team. Additionally, the open items list will be overseen by the support leader for ongoing status reports between meetings and additional open items recently added will be addressed by the support leader immediately. “There’s a lot of overseeing on their end at a high level,” Viola said of the response from NorthStar leadership. Additionally, the OPA will start using NorthStar’s ticketing system, instead of individual employees sending emails regarding problems, to better track issues and visualize downtime. “That is what I’m accustomed to from another life. Believe will help us,” Viola said of that process change. He added that all department heads will have accounts to login and open or review trouble tickets. There will also be an alternate point person in each department in case they are needed.

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From Page 20 “I think that they have some growing pains. And I’m certainly not going to defend them,” Viola said. But, he added, based on the last meeting with NorthStar representatives “I feel better than I did last month when I came forward” to give a status update to the board. Director Camilla Rogers said she has heard from staff at the golf clubhouse about problems with the new software system. She wanted to know if other organizational clients of NorthStar have had experiences similar to that of the OPA in rolling out the new system. “What is the experience of other organizations like ours…?” she asked. She wanted to know if anyone in the OPA has reached out to other NorthStar customers to gather information about their experience in working with the company. Viola said staff did talk with other companies about their work with NorthStar. He said the feedback received from those NorthStar clients was that they did install the system “with some pain.” The general manager maintained his previous position that the software system will be rolled out organization-wide, but said “it will be a process as long as we have people that will embrace it.” Rogers asked if all of the necessary changes will be made and the system will be fully up and running in time for the OPA’s busy summer season. Viola said he isn’t sure, but added that he should be better able to answer that question over the next two months. “Let’s let it evolve over the next two months,” he said. OPA President Larry Perrone reminded the board that at last month’s meeting, Viola announced the NorthStar point of sale software would not be installed at the Yacht Club until the fall, allowing the company to its own POS software until then. He said the Matt Ortt Companies requested holding off on installation, originally scheduled for January, and the OPA agreed to wait until at least September. In the meantime, the software installation will continue at the golf clubhouse and Beach Club, he said, presumably before the summer season begins.

January 2021 Ocean Pines PROGRESS

County Commissioners to host public hearing on changes to sign regs next month Electronic signage allowed by pending county legislation introduced at the request of the OPA By ROTA L. KNOTT Contributing Writer public hearing on the Ocean Pines Association’s request to amend the county zoning code to allow up to six internal community messaging signs is scheduled for a public hearing on Feb. 16 before the Worcester County Commissioners. Ed Tudor, county director of development review and permitting, presented the proposed legislation for introduction by the commissioners in a Jan. 20 meeting. The proposed amendment was developed by staff as a result of several meetings with a committee from the OPA, which expressed the need for promoting events and activities within the subdivision. Tudor said his staff has been working with the OPA team for the last year to draft the requested language. Tudor said the OPA is requesting the code change so it can install new signs to share news with Ocean Pines property owners and residents about clubs and activities as well as emergency information. The bill allows electronic messaging signs, and the OPA is expected to take advantage of this provision. Electronic signs would have to comply with the

regulations contained in the county zoning code relative to message duration, transition, and illumination levels. Officially requested by OPA President Larry Perrone on behalf of the association, the text amendment seeks to amend the county zoning code to add a provision that will allow for installation of internal community signs within an established community or subdivision. The bill adds a new subsection to the county zoning code to allow internal community signs within a residential development for the purpose of conveying community events, amenity and emergency information only, with standards for their placement and design. The current sign regulations limit a residential development to no more than two community or geographic region identification signs and restrict the verbiage to the identification of the community or region only. Generally, these signs are located at the entrance to a community. As drafted, this amendment would allow a community to have internal signs for the display of information such as community events or emergency q

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22 Ocean Pines PROGRESS

OCEAN PINES

January 2021

OCEAN PINES BRIEFS Ocean Pines Academy deploys in March

Property owners will soon have an opportunity to learn more about the inner workings of the community when a virtual Ocean Pines Academy rolls out later this year. During a Jan. 20 Board of Directors meeting, General Manager John Viola said a staff team has met to discuss online implementation of the Ocean Pines Academy, which will educate participants about the homeowners association, its opera-

tion and amenities. Led by Julie Malinowski, the associationâ&#x20AC;&#x2122;s marketing coordinator, department heads and amenity staff are working this month on gathering information and developing talking points for video presentations that will be included in the updated virtual version of the academy. Information for the academy will be compiled into a slide show and recordings for video presentations that will begin mid-February, Viola said. The academy will be ready for

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Sign regulations From Page 21 directives, but not for a commercial marketing message unassociated with that respective community. The zoning code amendment would not be limited to Ocean Pines, but would be applicable to any established community or subdivision. Under the proposal internal community signs must be located within the boundaries of an established community as shown on a site plan or subdivision plat approved by the Planning Commission. The signs will be permitted in any residential, estate, or village zoning district in the county. The signs will not be subject to any yard setback requirements, but they cannot project over any property line or road right-ofÂ-way.

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proved the appointment of new and returning members to two Ocean Pines Association standing committees. Mike Johnson and Gerald Horn were appointed for second terms on the Marine Advisory Committee and Jerry Leuters was appointed for a first term. John Dilworth was appointed for a second term to the Architectural Review Committee.

The sign must be of a monument design and cannot exceed either 40 square feet in area or 10 feet in height, including the base and face of the sign. Where the grade at the sign base is below the road center line, the area in which the sign is situated may be bermed to the center line grade. None of the proposed new provisions of the subsection of the zoning code will be subject to increase or other altered approvals by the countyâ&#x20AC;&#x2122;s Board of Zoning Appeals. According to the draft language in the bill, all signs must be set back a minimum of 450 feet from the perimeter boundary line of the established community and shall be separated by not less than 100 feet from any other sign on the same parcel or lot. The proposed perimeter setback of 450 feet ensures that these messages are truly internal to the community, and not meant for general advertising of community events outside of the development. Given the significant setback requirements and limitation on the type of messaging, the county staff gave a favorable recommendation to the text amendment application. The countyâ&#x20AC;&#x2122;s planning commission reviewed the text amendment in December and gave a favorable recommendation. During the planning commission meeting, OPA representatives, including Director Colette Horn and Jennifer Cropper-Rines, asked to amend the proposed legislation to increase the number of signs allowed under the proposed change from four to six signs. The planning commission agreed to the amendment, which was included in the proposed bill presented to the commissioners. All of the commissioners agreed to lend their names to the legislation, Bill 21-2, for introduction and public hearing next month at 10:30 a.m. on Tuesday, Feb. 16.

LIFESTYLES

January 2021 Ocean Pines PROGRESS

OPA honors veteran workers for service time

en Ocean Pines employees were honored for their service time of five, 10, 15, 20 and 25 years during a virtual ceremony last month. Honorees were, five years: Tammy Cherrix (Police), Katelynne Hunt (Recreation and Parks), and Nate Wilkins (Public Works); ten years: Debbie Donahue (Recreation and Parks) and Lisa Jarman (Public Works); 15 years: Earl Hall (Public Works); 20 years: Jessica Conaway (Recreation and Parks) and Nobie Violante (Public Works); 25 years: James Brasure (Police) and Robert Grant (Public Works). Department heads weighed in on what each veteran worker has meant to their staff. Chief of Police Leo Ehrisman said Cherrix finished a full career in the emergency communications field before joining Ocean Pines Police. “She currently serves as a full-time emergency dispatcher, our departmental secretary, and office

administrator and records clerk, as well as the chief’s administrative assistant,” he said. Ehrisman said Brasure has taken on many rolls during his 25 years with the Association. “Brasure is one of the department’s senior officers that aids in field training and instructions for new graduate officers, as well as being a crime scene tech,” he said. “Brasure has been trained in many fields, such as advance interview and interrogation methods and other advanced training that makes him a great asset to the department and the community.” Public Works Director Eddie Wells said Wilkins started on the grounds crew and worked his way up the ladder. “He makes signs in our sign shop and has done some IT work for us. Most recently he was moved to CPI as an inspector, where he is doing a great job,” Wells said. Wells said Jarman previously worked at the Administration front desk and now handles phone calls and purchase processing for Public Works. “She always has an upbeat attitude,” he said. Hall serves on the drainage crew and previously worked on mowing in Ocean Pines easements, Wells said. “He is very dependable,” Wells added. Violante is the Public Works operations man-

ager and Wells’ second in command. “Nobie has been here longer than I have and he is one of the most reliable and dedicated employees I have,” Wells said. “He is in charge of the daily operations, scheduling the work that needs to be done. He is also in charge when I am out. He is knowledgeable in all aspects that Public Works is responsible for.” Grant has been with the Association for 25 years and started under the food and beverage operation, later moving to Public Works, Wells said. “Now, he is a very big part of taking care of the Racquet Sports complex,” Wells said. “Bob always does what is asked of him.” Recreation and Parks Director Debbie Donahue said Hunt “has been here five years working directly with the customers, handling day-to-day processing of registrations and Marina processing, and she has taken on new responsibilities with our new software program.” “She welcomes everyone with a smile,” Donahue said. Donahue said of Conaway, “Jessica has been here for 20 years working directly with the customers.” She also handles registration and Marina processing. “Jessica has a great working relationship with the Ocean Pines community organizations,” Donahue said.

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From lifeguard to chemist, local girl got her start on Aquatics staff By JOSH DAVIS Special to the Progress ignon Winterling started working for Ocean Pines at age 15 as a lifeguard, and then grew into a senior role in the Aquatics Department while spending her summers and holidays here between college breaks. A decade later, she is on the verge of finishing a prestigious graduate school program and starting an exciting new career, but says she’ll always look back fondly on the time she spent and the lessons she learned in Ocean Pines. Winterling grew up in nearby Bishopville and used to swim at the Sports Core Pool in Ocean Pines with her family. She joined the Aquatics staff shortly after taking a lifeguard certification class. “One of my friends had already signed up for the class, so I decided to take it with her,” she said. “Most of us certified through that class were then hired by Ocean Pines and became coworkers and friends. “I have 10 summers of great memories lifeguarding for Ocean Pines,” she continued. “I worked year-round through high school … [and that] enabled me to fund a trip to Europe in my senior year.” After two summers of lifeguarding, Winterling started teaching in Ocean Pines, first with swim lessons and later as a lifeguard instructor. “When I went to college, I got certified to teach lifeguarding and started teaching for Ocean Pines after that,” she said. “Ocean Pines is such a great work environment, and it was nice to know I always had a summer job to come back to and could pick up shifts when I was home on breaks from school.” She later became involved in the Junior Lifeguard program in Ocean Pines, helping to bring up the next generation. “The Junior Lifeguard Olympics was a lot of fun, [and] the best part was when my Junior Lifeguards were old enough to take the lifeguarding class and I got to certify them,” she said. “As a returning lifeguard the last few years, I’ve particularly enjoyed seeing the guards I trained grow into seasoned lifeguards.” Winterling then became involved

Mignon Winterling

in an aquatics program in college, while working on her bachelor’s degree. “I studied chemistry at Towson University, where I also lifeguarded and taught CPR classes and eventually became an aquatics manager at Campus Rec,” she said. She also continued traveling, first spending a semester abroad in Australia and later deciding to pursue her graduate degree abroad. “I went to graduate school in Europe and spent a year in Paris studying cosmetics and perfumery, followed by a year in Italy studying business and management for the cosmetic industry as part of the European Fragrance and Cosmetics Master program,” she said. One last summer, and looking ahead This year, like so many people across the world, Winterling had her plans abruptly changed by the COVID-19 pandemic. Instead of continuing her stud-

ies abroad, she had to return home. However, that gave her one more opportunity to lifeguard in Ocean Pines. “When the pandemic shut down my university in Italy, I was grateful to still have a place on the Ocean Pines Aquatics staff,” she said. “This year was my last summer lifeguarding. I still plan to keep teaching lifeguarding and CPR courses for Ocean Pines.” Winterling will also continue her pursuit of a graduate degree and has already started an exciting new job. “I just started my career as a cosmetic chemist in New York and am working on my thesis – on track to graduate at the end of March,” she said. “Unfortunately, I don’t get to fly to Paris for my thesis defense as planned, but I will enjoy a virtual graduation with the rest of the class of COVID-19.” Winterling said she will always remember her time in Ocean Pines, and that it was a

LIFESTYLES

formative experience that helped shape who she is today. “Ocean Pines is a unique and welcoming community that I have been blessed to be a part of,” she said. “The Aquatics staff became my second family and a support system through college and graduate school. Kathleen Cook, the director of Aquatics and my supervisor for the past seven years, has been an amazing mentor, both personally and professionally. When I look back on my time at OPA, I will always be grateful for the people I worked with, and the patrons that I got to know.” As for the next generation of guards, Winterling had one piece of advice: “Don’t be afraid to blow your whistle. Nobody likes a lame whistle blast when it’s time to clear the pool,” she said. Others on Winterling: Front Desk Clerk Susan Karson: “Mignon has been one of those young people that you work with that just leaves you in awe,” Karson said. “She showed strong leadership skills, she was honorable, and she did her job with such dignity. It was very nice to watch her grow over the last three years that I’ve been here.” Winterling helped to set an example for the younger lifeguards, Karson said. “She certainly has left a legacy, and I would only hope that the folks coming up behind her can see that they too can do that,” she said. “She always earned it. She didn’t get anything easy come – she worked for it and she worked hard.” Karson said her absence will create a “huge wake” in the department. “Almost like the U.S. Titanic!” she said. “She brought such calm, and she did so many of the programs and scheduling. But she also brought that sense of peace and she did it very quietly. She could always calm down a situation that could have gone one way or the other. She just had that uncanny ability, so she really will be sorely missed. “We want her back!” Karson added with a laugh. “We just wish her the best and, at some point, we’re going to have a field trip and go up and visit her in New York.” Resident Michelle Stewart: “We moved here six years ago and met Mignon when she was home on spring break, right before she went off to college for the first time, so it was kind of neat to watch her over q

24 Ocean Pines PROGRESS

LIFESTYLES

January 2021 Ocean Pines PROGRESS

p To Winter Sav U in arm

the years grow and develop and turn flourish. into the amazing young woman that “In the beginning, they resist she is,” Stewart said. chores and responsibilities, and Stewart said Mignon had a pos- then if you go to some of my senior itive impact on her grand- son, as guards, they know what the routine well as on many other children in is, they know what they need to do, the community. and they do it without exception,” “She’s kind of grown up with she said. “They watch those pools them, so that’s been a very pleasant like a hawk, and they bring the experience,” she said. “We wish her younger guards along. It’s amazing the very best and we’re excited for for me to watch the transformation.” her opportunity in the industry that Cook said she has specially loved she studied in. And we’re hoping we watching Winterling grow into a get the opportunity to see her when leadership role, and then take those she comes home to visit, but she will lessons with her into the next chapbe very much missed.” ter of her life. Aquatics Director Kathleen Cook: “It gives me great joy and she’s “Mignon moved from the ranks of worked so very hard,” she said. “If being a lifeguard, to a pool operator, you ask her, she’ll tell you she’s a to a senior guard, to a head guard. scientist, and to receive her degree 800-K S. Salisbury Blvd., 16-B South Main St., In the last couple of years, she’s also and move out to follow her passion, Salisbury, MD Berlin, MD assumed the responsibility of doing I’m beyond humbled and thrilled for (Next to the Greek Pita Place Restaurant) (1 block south of Atlantic Hotel) the scheduling during the summer her – and we played a role in that. – which is not an easy task. When The money that she earned helped M & F 9-7 • T-W-TH 9-5:30 • Sat 9-3 Mon., Tues., Thurs., & Fri. 9-4:30 we’re running full bore, it’s five pools pay for her books and her tuition. and all the activities, and probably “I think it’s a great story and we anywhere from 32-35 lifeguards,” have a lot of them here,” Cook conCook said. tinued. “A lot of pool patrons know Winterling also helped develop the lifeguards’ names and they know and further the Junior Guard pro- who they are, and they have their gram that Cook originated. favorite guards. And there’s some of “Initially, I wrote the junior guard them that know them because they program, which we’ve had tremen- saved their kid! 1/15/21 Exp. dous success with, and probably “I just think Mignon was an two or three years ago I turned that amazing asset. I was very, very We accept many vision insurance plans. Ask us about YOURS. over to her, so she’s taught all the ju- lucky to have her. I’m so thrilled for Then make your appointment at: nior guards,” Cook said. “She’s also her and her success, but it does creSalisbury Optical or Berlin Optical a lifeguard instructor, she’s a CPR ate a tremendous void on our team,” instructor, and she started doing in- Cook said. ventories for me. She just really assumed a strong leadership role and really was a senior leader on the staff.” Cook said the public has grown fond of Winterling as well, and they often ask about her. “She has such tremendous support behind her. She’s been with this community for 10 years and she’s probably saved countless children, and it all started at a lifeguarding camp,” Cook said. “She’s also a very gifted swim instructor and she taught a lot of kids in this neighborhood how to swim. “The parents in this community love for their kids to work here, PROOF O.K. BY: _____________________________ O.K. WITH CORRECTIONS because they know that they’ve got leadership and supervision, they’re going to be protected and be safe,” READ CAREFULLY • SUBMIT CORRECTIONS ONLINE she continued. “And you watchPLEASE them from when they’re 15 – and they’re ADVERTISER: SALISBURY OPTICAL PROOF CREATED AT: 12/5/2012 7:42 AM 15! They’re naïve and they’re not the SALES PROOF DUE: greatest lifeguards, and you have to PERSON: Seth Nagy PUBLICATION: MD-DAILY BROADSHEET NEXT RUN DATE: 12/09/12 consider that when you’re scheduling. But you watch them blossom.” SIZE: 2 col X 5 in At first, Cook said, young lifeguards are just that – young and inexperienced. But many go on to

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War of 1973 and went down to Tel Aviv for a few weeks. After that and a few other things, I ended up going permanently assigned to Germany, where I spent a lot of time in Africa, Europe and Western Asia doing all kinds of stuff.” He met Trish at Hill Air Force Base in 1980, and they were married two years later. Mike retired from the Air Force after 22 years of service. He also taught at Wor-Wic Community College and worked in the aviation field for companies in Georgetown, Delaware, Wallops Island, and Indianapolis. The couple have two children, Patrick, a molecular biologist with the National Institute of Health who lives in Silver Spring, Maryland, and Kevin, a computer programmer who lives in Charlotte, North Carolina.

Trish and Mike decided to move to Ocean Pines while both were serving at an Air Force base in New Jersey. Mike considered going north, back home to Boston, or moving south. “I went up there [to Boston] around 1989 and they had a huge snowstorm, and I thought ‘the heck with this, I’m going south!’” he said. Trish’s parents had a home in nearby South Point, and the couple stayed with them briefly. “We were looking to settle here and found a nice house in Ocean Pines in 1994, and we’ve been here ever since. We love it here,” she said. Not long after moving, both became involved in the Worcester County Veterans Memorial Foundation. It was a way, they said, to honor their fellow veterans. “We’ve been members of the Veterans Memorial Foundation for a number of years,” Trish said. “A few years ago, Sherri Lassahn [the foundation’s administrative assistant] asked me if I would consider being a board member. I agreed and I’ve been on the board now for three years. “The fact that this memorial is here [in Ocean Pines] and the time and effort and love that’s gone into building it and maintaining it is just wonderful,” she added. “We get tremendous support from Ocean Pines Public Works. I can’t even describe to you how wonderful they are. They do so much for us and they’re always willing to zip over here and take care of whatever needs to be taken care of.” A Virtual Veterans Day As a foundation board member, Trish has chaired the annual Veterans Day ceremony for the last three years, while Mike has served as the event’s emcee. “Guilt by association,” he said with a laugh. Trish helped put together the virtual ceremony held this year because of concerns related to the COVID-19 pandemic. “As time went on, we realized we probably were not going to be able to q

LIFESTYLES do [the event],” she said. “There was no way that we could realistically limit the crowd size and, in terms of being six feet apart, there would be people in the Mc- Donald’s parking lot. Also, a lot of our attendees are in the vulnerable groups – they’re older and they have health issues.” Instead, foundation members put together a videotaped program made available online on Veterans Day. “We were able to contact the people that usually participate, and they were all willing to come out and film segments one at a time,” Trish said. “This year was obviously a little different, but everybody who saw it said it was wonderful.” During the ceremony, Mike became emotional near the end of a speech honoring combat veterans. “We can never fully repay our debt of gratitude to the more than 650,000 American service members who died in battle, or the 1.4 million who were wounded,” he said at the time. “I crash-landed five times. I’ve been shot at in three countries and had a gun to my head in another, plus my dad was a Merchant Marine and my four brothers served – the military means a lot to me,” he said. “That last part, the closing part, kind of gets me.” Mike can also be seen clutching something in his pocket. The item happens to be a keyring from one of the U.S. Air Force C-141 transport planes that carried American POWs, including John McCain, from Hanoi to Clark Air Force Base in the Philippines in 1973. “I’ve had it as my keyring for 47 years,” he said. “It’s my little memento, so I don’t forget what I’m here for.” Trish is also involved in the Memorial Foundation’s education programs, including serving as a docent last year. “Every year, every fifth grader in Worcester County is brought to the memorial as a field trip from the schools and we have docents who teach them about the different parts of the memorial,” she said. “The ROTC cadets from the different high schools teach them flag folding and proper flag etiquette and respect, and we also have a section on the history of the American flag, which is quite interesting.” The Memorial Foundation funds the entire program, which serves public, private and home-schooled children in Worcester County. “It’s at no cost to the schools, so

January 2021 Ocean Pines PROGRESS that includes the education materials they receive, and we pay for the transportation and everything for the kids to be here,” Trish said. “Some of them are really, really engaged. They ask good questions and it’s really interesting to see the perspective [on the memorial] from children.” However, the Veterans Day service wasn’t the only thing canceled this year because of the pandemic. Also lost was the Memorial Foundation’s major fundraiser, held each year at the Ocean Pines Golf Club, as well as all education programs

planned for 2020. “We obviously have no idea at this point if children will be able to come next year. It could be until next fall, in which case we would have missed two full fifth grade groups,” Trish said. “We’re in the process of redoing the booklet that each child receives and we’re kind of hoping that, if we can’t do the program this spring, we can at least get the books distributed through the schools,” she said. The foundation is also working on a virtual education program – essentially a walking tour of the memori-

al. “We have a lot of newer things at the memorial that have been added recently,” she said. “The battlefield cross and the POW chair were both added in the last year or two, and we have commemorative benches and the ‘Patriots Pathway’ that outlines each of the conflicts that the U.S. military has been involved with.” The Memorial Foundation is seeking donations to keep their programs going. Memberships are available for $25, or $150 for a lifetime membership, and commemorative bricks ($75) and larger pavers ($150) are also available.

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OPA FINANCES

January 2021 Ocean Pines PROGRESS

Assessment

Perrone, Viola spar over use of New Capital Reserve fund

From Page 1

OPA president says fund was set up as a ‘savings account’ to raise money over multiple years for future projects and expenditures By TOM STAUSS Publisher he Ocean Pines Association’s general manager and president sparred earlier this month on whether the New Capital Reserve established in November of 2019 operates strictly as a multi-year savings account or can be used for projects and expenditures proposed in the course of a typical budget cycle. The issue arose during a budget review session hosted by the Budget and Finance Advisory Committee Jan. 7, with Viola conceding that ultimately it’s an issue that will be decided by the Board of Directors. In his preliminary draft budget for 2021-22 unveiled last month, Viola included two new capital projects, a proposed expansion of the Yacht Club marina with six transient-use boat slips, or t-docks as Viola calls them, and new pickleball courts and a junior tennis court at the Manklin Meadows tennis complex in South Ocean Pines. The proposed $232,000 in new capital spending for these two projects would be paid for in part by diverting $100,000 set aside for a proposed Sports Core pool room addition and new funding that would be flowing into the New Capital Reserve next year. In creating the New Capital Reserve, the board decided to reallocate to it up to ten percent of funds collected annually in the Replacement Reserve. That amounts to roughly $170,000 per year in new funding that gets shifted into the New Capital Reserve. Viola made it clear that he did not have the authority on his own to reallocate $100,000 previously set aside by the board for the Sports Core room addition for other new capital projects. That, he said, would have to be a board decision. Perrone made it clear that he was not in favor of Viola’s proposed funding mechanism for the marina expansion and racquet sport courts. Viola has since put the t-dock project on hold, and with board approval he may push it into the current fiscal year. That’s already happened for the racquet sport improvements. This shift would reduce projections for a year-end operating fund surplus of $488,000 by whatever these two projects end up costing the OPA. But it’s still possible that the board of directors will side with Viola and agree with the proposed funding mechanism in his preliminary draft budget. Two directors who were participating in the budget committee’s review meetings, Doug Parks and Colette Horn, seemed to weigh on on the side of more flexible use of the reserve without explicitly disagreeing with Perrone. Perrone began his critique of Viola’s proposed funding mechanism by saying that the $100,000 set aside for the Sports Core room addition couldn’t be applied to other projects without board approval. Perrone said Viola’s two new capital “spends” had

“nothing to do with the new capital reserve,” which Perrone insisted can only be used on multi-year projects. He said that the two projects had to be funded directly from lot assessments, which would have the effect of raising lot assessments in 2021-22. He called the New Capital Reserve a savings account for projects like the Sports Core pool room addition that would require at least two years of contributions to finance. “The ten percent (transfer from the Replacement Reserve into the New Capital Reserve) doesn’t apply to new capital projects proposed” for the new fiscal year, he said. Viola told Perrone that he “would do whatever you want” with respect to the New Capital Reserve, acknowledging “I don’t have the authority to reallocate [money set aside for the Sports Core addition.]” Parks took a somewhat different approach than Perrone. After saying he had been initially skeptical of the New Capital Reserve’s creation, he said that “maybe we will want to make something else a higher priority” than a project already funded to some degree in the New Capital Reserve. Indeed, that is the position taken by the budget and finance committee, which agreed with Viola that diverting money set aside for the Sports Core room addition was an acceptable way of financing the marina and racquet sport projects. “Maybe we need to create a process [for changing priorities],” he said. “Nobody’s wrong,” he said in reference to the apparent differences between Viola and Perrone on how the New Capital Reserve can be used. “I am willing to be part of a group to look at it.” Actually, the board voted to create a working group of directors to devise procedures for the New Capital Reserve in February of last year. It apparently never really got off the ground, or if it did “I haven’t seen any specific recommendations from it,” Director Frank Daly told the Progress in a Jan. 8 telephone interview. But Parks said he recalled a document governing use of the new capital reserve but needed to get a copy of it from Michelle Bennett, the OPA’s senior executive assistant. In a follow-up email to the Progress, Parks said Bennett supplied him with a copy of the document and “there is no restriction noted in the policy that would prevent a “short-term” project from being funded. Nor does it specifically state that the reserve account can only be used for multi-year projects,” he said. That description would seem to contradict Perrone’s more restrictive view of how the New Capital Reserve can be used. According to Parks, however, the policy document “does state a condition regarding a requested capital expense that could come up during a current fiscal 

feet of general or common area bulkheading that can be replaced. General or common area bulkheading is found on canals that border Ocean Pines parks or on the third and fourth holes of the Ocean Pines golf course. Most bulkheading in Ocean Pines is on privately owned canal or riverfront front property that is maintained by the OPA and financed through the waterfront assessment differential paid annual by owners of waterfront property in Ocean Pines. General or common area bulkheading repair and replacement is financed through a portion of the lot assessment paid by all property owners in Ocean Pines. The reduction from $40 to $25 saves $126,780 or $15 per property on the lot assessment. Viola also saved $132,739 and $16 on the lot assessment by not filling three of five open and budgeted laborer positions in the Public Works Department. The department has had difficulty in filling these positions because of competition in the local labor market. Only hiring two laborers at a more competitive hourly rate will still save the OPA some payroll expense from what had been proposed for Public Works in the preliminary draft budget. At the recommendation of the budget and finance committee, Viola has opted to increase projected beach parking revenue over the initial projection by $71,635, equivalent to $8 on the lot assessment. Committee members felt that Viola and his management team had been too conservative in estimating beach parking revenue. An adjustment in the projected cost of cleaning services in the Administration, Police Department and Community Center buildings saved $31,600 or $4 on the assessment, and a $14,080 adjustment in Farmer’s Market revenue saved $2 on the assessment. A public hearing on the proposed budget is scheduled for Saturday, Feb. 6, at 9 a.m. The board is scheduled to vote on the final version of the budget on Saturday, Feb. 20, during its regular monthly meeting. Both meetings are likely to be virtual, accessible through a Microsoft Teams link in a press release posted on the OPA Web site.

OPA FINANCES

January 2021

New Capital Reserve From Page 29

year: New Capital expenses not budgeted but approved during the fiscal year are not to be funded by this account.” That condition would not seem to apply to Viola’s proposed funding mechanism because the new capital projects he is proposing would have been budgeted for spending in the new fiscal year beginning May 1. Horn, the OPA vice-president who usually aligns with Perrone on policy matters, took a position that seemed to align more with Parks’s thinking on the issue. “There was concern that it [the New Capital Reserve] wouldn’t be used for ‘slush fund’ items,” she said, adding that she agreed with Parks that a process needed to be established to govern use of the fund,” which could include diverting funds previously allocated for other purposes. “We all agree that these projects need to happen,” but that work needs to be done “to conceptualize use” of the reserve, she said. She later proposed that the board approve the two projects -- the t-docks and Racquet Sports courts -- in the current fiscal year while funding them out of the New Capital Reserve in 2021-22. Perrone continued to insist that this reserve was intended to be a “project-based”account for future projects. Dick Keiling, chair of the budget and finance committee, told Perrone that he heard “what you’re saying, that it is to be used for something in the future,” but he added that the committee previously had looked at the Sports Core room addition and decided that “it doesn’t make sense to us. We don’t think it’s needed.” He said the committee is on board with diverting funds previously allocated to the Sports Core to the other higher priority new capital projects. But he, like Viola, acknowledged that it’s up to the board to decide whether to reallocate funds or to use the New Capital Reserve in the way proposed by Viola. Committee member John O’Connor summarized the choice facing the board on how to fund the t-docks and racquet sport courts. “You’re either going to take it out of the reserves or raise the assessment by $30,” he said. Viola said he agreed with O’Connor’s summary, repeating that “I don’t have the authority to make the decision” as general manager on the Source: Ocean Pines Association, Finance Department

Perrone presses for reduction in proposed Aquatics deficit Staff responds that department won’t bounce back from covid in one year By TOM STAUSS Publisher ard hit by the covid pandemic, the Ocean Pines Association’s Aquatics Department has concluded that revenues, membership and pool usage won’t return to pre-pandemic levels in the 2021-22 fiscal year. General Manager John Viola agrees, and told Colby Phillips Larry Perrone the Budget and Finance Committee and OPA PresShe noted that swim lesson revenue alone in ident Larry Perrone during a Jan. 8 budget review the current fiscal year was down $130,000 over the meeting that the “department can’t come back all at prior year, and that some refunds had to be issued once,” in effect urging forebearance during a recovfor exercise classes because of covid. Swim team ery year. revenue is down somewhat, with Stephen Decatur During committee discussion of the projectHigh School having a one-month season rather the ed $236,000 Aquatics deficit in 2021-22, Perrone normal three months, costing the departmen about urged the staff to come up with a plan to reduce it. $20,000 in revenue. If a covid adjustment is tacked on to the projected The department lost the county school system’s $236,000 loss -- Viola has said that he doesn’t be4th grade aquatics program this year, she added. lieve it should be -- then the deficit would approach After Perrone complained about the looming defi$400,000, Perrone said. cit, Cook replied that time is needed to “restore the Amenities Director Colby Phillips and Aquatics confidence” of members and pool users during the Director Kathleen told the committee of challengpandemic, adding that it’s also necessary to restore es that continue to face the department, including the confidence of instructors who teach swim lesa state covid mandate restricting pools to under 50 sons and other classes. percent of capacity. Perrone pushed back at the idea that rebuilding Phillips said the Aquatics team expects the deconfidence is the answer. partment to return mid-way between where it was “I’m not sure rebuilding classes is valid (as a way financially before the pandemic and where it expects of reducing deficits),”he said. to be at the end of the fiscal year on April 30. Cook responded that some decisions are “out of “We’re going to have to rebuild,” she said. “We’re our hands,” most notably when the governor and not anticipating a rush. We hope we’re wrong.” state health officials will allow Ocean Pines pool to She mentioned that no new coupon debit cards return to full capacity. have been issued this year and there are no plans The Beach Club pool, for instance, had a maxiannounced so far to issue new ones over the summum capacity of 40 individuals, including guard mer. Legacy cards with dollars amounts on them staff, last summer. will continue to be honored, she said. Phillips said that cost-cutting measures already There are no daily fee or membership dues increases in the proposed budget for next year.

30 Ocean Pines PROGRESS

funding mechanism, but “let’s get it (the projects) done.” Days later he came up with a possible solution that would be a third choice -- funding these two projects out of the projected operating surplus in the current fiscal year. That would avoid taking money out of the New Capital Reserve or raising next year’s assessment to pay for them. But during the Jan. 7 meeting the focus was on using the New Capital Reserve as the funding source, and Perrone was not backing off on his contention that funding these projects out the New Capital Reserve was not the way to go, adding that

to do so would be using the reserve as a “slush fund.” Viola took exception to that, with some heat telling Perrone that he shouldn’t “include me with the slush fund” label. Perrone called Viola “out of control” at that point, and Viola responded, “I gotta shut down,” suggesting that the committee could decide and advise the board accordingly. At that point Parks intervened and said again “no one is wrong here.” He said that if the New Capital Reserve is used for shorter term projects such as the two proposed by

Viola, “then long-term projects won’t get approved ... It’s a dilemma.” Perrone then asked Viola if he was “looking to get the projects” done before May, but the general manager declined to say. “I’ve got nothing else to say. It’s up to the board,” he replied, then adding that he was “trying to get it done” and had proposed a reallocation of funding to facilitate it. But he then apparently reconsidered and said he would check to see whether it would be possible to get the projects done before May 1. “If it can be done before May 1, I will try to get it done,” Viola said.

OPA FINANCES

January 2021 Ocean Pines PROGRESS

One-year transfer would save $41 on the lot assessment By TOM STAUSS Publisher key component of General Manager John Viola’s proposed preliminary budget for 2021-22 was a one-time transfer of funds normally reserved for road resurfacing to drainage projects. He suggested that $350,000 in casino funds that normally gets transferred into the roads reserve instead be transferred to the OPA operating fund where it would then be spent on drainage. The effect of the proposed change would be a $41 savings on the $121 lot assessment increase proposed in Viola’s preliminary draft budget. During Budget and Finance Advisory Committee budget review meeting Jan. 7, Ocean Pines Association President Larry Perrone took issue with shifting the entire $350,000 in casino funding out of the roads reserve for use on drainage. “I have a hard time [with this],” Perrone said, saying that he would like to see the OPA continue its road resurfacing program in 2021-22. He seemed to be suggesting that some of the $350,000 could be transferred, “as long as we get three miles” of roads resurfacing. “I don’t think shifting $350,000 [out of the roads reserve] is appropriate,” Perrone said. Viola, however, continued to argue for his proposed one-year hiatus in roads resurfacing. “Maybe it’s a one-year exception,” he said, arguing that there have been other year-long pauses in road resurfacing with no damage to the roads. The Budget and Finance Committee took no position on the issue during its budget review sessions earlier this month. It will be up to the Board of Directors to resolve this issue before the 2021-22 budget and what looks to be assessment increase can be finalized. At a Jan. 19 budget review meeting, a consensus emerged among the directors that Viola’s proposed reallocation would be acceptable for the 202122 budget year. Perrone didn’t press the issue during the Jan. 19 meeting.

Aquatics deficit From Page 30

implemented include cutting hours of operation. Perrone said that a “normal procedure” under these circumstances would be “to look at revenue increases,” but he then said “what else can you do. Maybe some hard decisions [are needed]. This is a big number,” he said of the projected deficit. Viola pushed back on the notion that dues increases would be tolerated by the membership or that closing pools are the answer. He seemed to be inferring that pool closure was an example of a “hard decision” that Perrone might have had in mind. “If you only have one pool open at one time [on a rotation], you’ll get members upset,” Viola said.

Phillips noted that even with capacity restrictions in place last summer, Yacht Club pool usage was down only 14 percent year over year. “We had to turn people away,” she said. Cook said that to encourage membership, the staff created membership privileges, including hours reserved exclusively for members in the early morning. “When people realized we had membership privileges, it was important to them,” she said. Viola told the committee and Perrone that “everything had been explained and made clear. It can’t come back all at once.” In a second iteration of the budget that the board considered in meetings Jan. 19 and Jan. 20, Viola did not propose any fee or membership dues increases for Aquatics.

Perrone questions laborer positions in Public Works Viola decides to fill two of five unfilled positions, at a savings of $16 in the lot assessment By TOM STAUSS Publisher he proposed Public Works Department budget’s retention of five unfilled laborer positions encountered some resistance in a budget review meeting hosted by the Budget and Finance Advisory Committee Jan. 7. OPA President Larry Perrone, attending the virtual meeting, questioned the need for additional 1.2 “equvalent” employees in the department when Public Works Director Eddie Wells acknowledgted that he was having difficulty in filling five other laborer positions. “If you can’t fill five positions, why would you ask for additional employees,” Perrone said. “The numbers don’t match. We’re putting salary and benefit dollars into the budget (from unfilled positions) and adding 1.2 persons.” Perrone suggested that “we could save a lot” in salary and benefit expenses, and on the annual lot assessment, by not funding those positions. “I oppose adding 1.2 persons to the budget,” Perrone said. Finance Director Steve Phillips said that while Perrone was correct in saying that the Public Works budget department called for an increase of 1.2 persons, that’s a somewhat misleading number because, when taken together with the general maintenance budget, overall staffing in the department as proposed would be reduced by one full-time equivalent. “We’re not up year-over-year but down one,” Phillips said. Viola and Wells attributed the difficulty in filling authorized positions to competitive salary conditions in the local area. “They’re getting more money elsewhere,” Viola said, suggesting that the OPA may need to “relook” at the hourly compensation given to laborers employed by Public Works. He said he would “rework” the number of positions in Public Works in response to Perrone’s critique. “We just use people as needed,” Wells said, adding that “we don’t care if it’s general maintenance or Public Works,” two separate cost centers in the OPA budget. The problem facing the OPA, he added, is that “McDonalds is offering $15 an hour starting wages” while the OPA is paying laborers $11.25 an hour. Prospective employees want “$17 or $18 an hour,” Wells said. His department not too long ago hired outside contractors for some of the work, but that arrangement fell by the wayside when the contractor found more lucrative contracts elsewhere. Committee chair Dick Keiling suggested that leaving unfilled positions in the budget opens up the possibility of budget “favorability” that could be used to pay for ever-growing medical and related payroll expenses. OPA Treasurer and Director Doug Parks said that eliminating unfilled positions doesn’t really “gain anything,” and both Keiling and Perrone said that the budget numbers could be left alone while Viola juggles the level of staffing. In the end, the committee members agreed that the OPA would need to reevaluate the wage structure in Public Works and general maintenance. Viola subsequently announced that he would reduce the number of unfilled but budgeted positions from five to two, at a savings of $16 in the proposed lot assessment for 2021-22.

Perrone, Viola differ over use of casino funds for drainage

32 Ocean Pines PROGRESS

OPA FINANCES

January 2021

Viola, Malinowski upbeat on golf soon reaching break-even goal Draft budget calls for $47,358 loss next year, but general manager is hopeful that deficit will come in lower By TOM STAUSS Publisher t’s been an elusive goal over the years, but Ocean Pines Association General Manager John Viola thinks the day when golf operations in Ocean Pines break even is getting closer. The preliminary draft budget for 2021-22 calls for a golf deficit of $47,358. It is based partly on higher revenues from increased membership fees as well as higher revenues from greens/cart fees and merchadize sales. “It could do better [than $47,000],” Viola said. The ten percent projected revenue increase over the current year’s forecast seems “reasonable” because last year’s revenues in April and May were substantially cut by

the covid pandemic, Budget and Finance Advisory Committee chair Dick Keiling said in recent remarks. His committee reviewed the golf budget with Viola and Director of Golf John Malinowski Jan. 6. When committee member Brian Reynolds called the revenue projections “very aggressive,” Malinowski pushed back by citing the April and May shortfalls. “Last year we lost about $100,000 in revenue [during those two months,” he said, because of the covid pandemic. Reynolds then moved on to another topic, asking whether it might be possible to further boost golf revenues by “sharing” banquet revenues generated from banquets held at the golf clubhouse. One way to do that might be to

give golf operations a “small commission” for each golf-related banquet that is brought in. “That might encourage John [Malinowski] to [sell] more golf banquets,” Reynolds said. While the committee seemed somewhat receptive to that idea, OPA President Larry Perrone was less enthusiastic, saying that allocation of revenues from banquets is governed by the OPA’s contract with the Matt Ortt Companies. “I don’t think it’s feasible right now,” he said. Director and OPA President Colette Horn said that perhaps banquets could be tracked this coming year with some sort of revenue-sharing possible in 2022-23. There is a degree of revenue-sharing already, with banquet food revenues staying with the Clubhouse

User fees for racquet sports tweaked from initial draft Committee hopes that higher rates for tennis will spur more memberships and revenue

By TOM STAUSS Publisher n response to comments from members of the Budget and Finance Advisory Committee earlier this month, daily fees for one racquet sport, tennis, have been adjusted from what was proposed in General Manager John Viola’s preliminary budget. The daily tennis fee for residents and owners has been increased to $10, up from $6 initially proposed. The daily tennis fee for non-residents has been increased from $8 in the initial draft to $10. The daily pickleball and platform tennis fees for residents and owner remain unchanged at $6. Daily pickleball and platform tennis fees for non-residents have been reset to $7. They were initially proposed at $8 for pickleball and $10 for platform tennis. All other fees and membership rates for the amenities were left untouched. The committee had suggested changes in

the daily rates as a way of encouraging more Ocean Pines residents and property owners to buy memberships in the racquet sports. They still are subject to change by the Board of Directors before the 2021-22 budget is approved by the Board of Directors next month. As proposed in the initial budget draft, golf membership rates would increase from $2,300 to $2,400 for families and from $1,325 to $1,500 for individuals. Afternoon golf memberships would increase from $1,365 to $1,650 for families and from $875 to $950 for individuals. Members-only unlimited use cart fees would increase from $1,900 to $2,100 for families and from $1,300 to $1,400 for individuals. Daily rates for non-member Ocean Pines residents, owners and guest play would increase $5 over current rates in the April to October peak season. Current rates are $49 before 12 p.m., $44 from 12-3 p.m., and $34 twilight, including carts. Non-peak season rates would remain at $30.

Grille if the food is prepared in that facility’s kitchen. If it’s prepared at the Yacht Club and brought over to the golf clubhouse, then revenues are allocated to the Yacht Club, Viola said. Banquet beverage sales generated from within the clubhouse also stay with the Clubhouse Grille, he said. Viola, in urging the committee and the board of directors not to cut back on proposed golf course maintenance spending next year, said a “different way” of maintaining greens seems to be working. He cited improved mowing equipment in contrast to what was in place only a few years ago, which he called “unbelievably bad.” The Ninja Tines mowers allow the root systems of grass on the greens to “go down lower,” Viola said, which should prevent or reduce the amount of brown-outs that occur on the greens in August. Golf course superintendent Justin Hartshorne told the committee that he and his crew will continue the off-season program of removing excess trees along the golf course to improve air flow.

Rates for public play would increase $5 or $10 depending on time of day and season. Beach parking passes for individuals and families would increase from the current $180 to $200. There is no proposed change in the $125 beach parking fee for those with other amenity memberships. Tennis membership fees would drop, from the current $435 to $380 for families and from $270 to $220 for individuals. Platform tennis and pickleball rates would both increase, from $260 to $280 for families and $155 to $170 for individuals. Swimming membership rates for families and inviduals would not change. Summer rates would remain at $325 for families and $195 for individuals. Winter rates would stay at $460 for families and $300 for individuals. Yearly rates would remain at $600 for families and $385 for individuals. Daily user and coupon debit card fees would also remain the same. Boat slip rentals at the Yacht Club would increase from $1,872 to $1,947 for boats 15 to 25 feet, from $2,548 to $2,649 for boats 26 to 39 feet, and $3,594 to $3,738 for boats 40 to 44 feet. Swim and Racquet Club slip rentals would increase from $1,352 to $1,406. These rates probably will not change, but it’s up to the Board of Directors to adopt them as part of the 2021-22 budget that will be approved next month

OPA FINANCES

January 2021 Ocean Pines PROGRESS

BUDGET BRIEFS No referendum expenses in initial budget draft

During Budget and Finance Advisory Committee review of the preliminary budget for 2021-22 budget earlier this month, the absence of funding for possible referendums was noted. One possible referendum, the result of the OPA losing a case in Worcester County Circuit Court last year, involves a proposed $1 million limit on capital spending by the Board of Directors, over which a community referendum would be required. The board has also established a group of directors that will be working with the Bylaws and Resolutions Advisory Committee for possible changes to OPA bylaws, which would require approval in a referendum. That process might not result in the need for a referendum in 2021-22, however. General Manager John Viola acknowledged that there is no money for either referendums in next year’s spending plan. “Nor was I instructed to,” he added. OPA President Larry Perrone said the spending limitation referendum is a continuing legal issue and “there’s no need” to include money in the budget immediately but that the issue could be addressed by the board during its review of the budget. OPA Treasurer and Director Doug Parks suggested including up to $30,000 in the budget for referendums.

Comcast revenues omitted from initial budget draft

OPA President Larry Perrone noticed that the preliminary 2021-22 budget didn’t include “franchise fees” from Comcast Corporation, the company that is competing for cable and Internet business in Ocean Pines. “Aren’t we supposed to get revenues from Comcast?” he asked during a Jan. 6 budget review meeting hosted by the Budget and Finance Advisory Committee. OPA Treasurer Doug Parks responded in the affirmative, but said it wouldn’t matter to the budget’s bottom line. “It won’t be a net increase if people switch from one company to the other,” he said.

said, saying that if this method is adopted “it could have a big impact on the the drainage budget.” Wells said that “something” is a self-lining epoxy product that is pumped like a balloon into existing pipes, creating a new fiberglass liner that extends the life of the pipe by 80 to 100 years. General Manager John Viola said Worcester County has used this product with good results, while Ocean City has used a product called “snap pipe” also with good results. Wells said that there is 5.8 miles of underground drainage piping in Ocean Pines and that it is reaching the end of its useful life. “This [issue is] a hot potato,” Viola told the committee, adding that he hopes the innovative liner product “will come through for us.” The alternative is pipe replacement, the costs of which are “scary,” according to Wells.

OPA seeks to ‘lock in’ bulkheading pricing

Anticipating that the cost per linear foot of replacement bulkheading might increase if there are delays in nailing down pricing for the 2021-22 bulkheading program, the Budget and Finance Advisory Committee has recommended that General Manager John Viola and his team “act quickly” to lock in prices. During a Jan. 7 budget review meeting, Viola told the committee that he believes $375 per linear foot is a “safe” number for budgeting purposes if the OPA acts quickly to secure that number. If not, “the number might have to go $400,” and that would reduce the linear feet of bulkheading that could be replaced to stay within the alloted budget, Viola said. At $375 per linear foot, about 3,648 linear feet of bulkheading could be replaced. The proposed budget transfers $1,368,221 from the bulkhead reserve for bulkhead replacement. Together with $25,000 in the Public Works budget for materials to fix minor problems using in-house labor, the bulkheading budget for next year as proposed is $1,161.375.

Yacht Club boat slips rental ‘competitively priced’

The Public Relations and Marketing budget for 2021-22 will undergo a few changes, Julie Malinowski told members of the Budget and Finance Advisory Committee Jan. 6. Department Director Josh Davis was supervising the Microsoft Meeting live streaming from multiple venues, so it was Malinowksi who presented budget highlights to the committee. Among the budgetary shifts: Farmer’s Market revenues will be moved to the Parks and Recreation Department, even while marketing supporting for the market will continue to be provided by PR and Marketing. In addition, some golf marketing expenses also will be moved over to PR&M, she said. The OPA’s print publications -- two activities guides per year and four quarterly newsletters -- continue to be self-supporting through advertising, and Malinowski said another $10,000 grant for various activities is anticipated from the county. OPA Treasurer Doug Parks noted an anomaly in the way the OPA budgets for marketing: None of the costs related to promoting the food and beverage venues operated by the Matt Ortt Company go to those departments. General Manager John Viola noted another anomaly: Golf operations unlike most other amenity departments incur some marketing expense, citing Pam’s Golf and Golf Getaway as costs against golf revenues.

Even with a four percent increase in boat slip fees proposed as part of the 2021-22 preliminary draft budget, annual rates for the Yacht Club marina are very competitively priced, Harbormaster Ron Fisher told members of the Budget and Finance Advisory Committee Jan. 7. Fisher made that statement during a budget review meeting. He called projected fuel sale revenues of $389,000 next year “a little bit conservative,” telling committee members that “we have no control over the weather.” As for the effects of the covid pandemic on marina operations, he said it was actually positive, as “the pandemic contributed to boating.” Fisher said that three boat slips at the Swim and Racquet Club are unusable because of silting, with the possible exception that could be used by a pontoon boat. OPA President Larry Perrone urged Fisher to look into dredging the remaining two slips, and Fisher agreed to do so. He said the Yacht Club has a waiting lit of 30 boaters who want to rent a slip at the Yacht Club marina, The marina is adding bait and tackle items to the marina store, he said. Fisher told the committee of a $7,000 capital request, a state-of-the-art “slammer” or bumper that would be installed at the gas dock to prevent boaters from damaging the dock. It was approved by the Board of Directors Jan. 19 as part of the current year expenses.

Innovative drainage pipe liner unveiled

Donahue hopes for recovery from covid

Faced with escalating costs of replacing miles of aging drainage pipes throughout Ocean Pines, the Public Works Department has been investigating an innovative way of restoring, not replacing, the pipes. Public Works Director Eddie Wells and colleague Linda Martin explained the innovative approach during a budget review meeting with the Budget and Finance Advisory Committee Jan. 7. “They can put something inside the pipe [to prolong its lifespan[,” Martin

Parks and Recreational Director Debbie Donahue expressed hope for a “more normal”summer of operations as the covid pandemic recedes. She expressed that hope during a budget review meeting hosted by the Budget and Finance Advisory Committee Jan. 7. She mentioned that some of this year’s positive variances to budget reflected somewhat curtailed operations from covid. “The budget looked better this year because we didn’t have as many events and related expenses,” she said.

CAPTAIN’S COVE

Marketing costs undergo budgeting shifts

34 Ocean Pines PROGRESS

OPA FINANCES

January 2021

BUDGET BRIEFS Police Department may be adding body cams

Although there’s no indication that it will affect this year’s capital budget for the Ocean Pines Police Department, there is every expectation that sooner or later, as part of a statewide mandate, the OPPD will be adding body cameras that will be worn during routine arrests. Chief of Police Leo Ehrisman told the Budget and Finance Advisory Committee during a Jan. 7 budget review session that there will be a lot of “police reform” coming out that will include training improvements and body cams. “We hope that the costs will be covered by grants,” he said, adding that he hopes the OPPD will be given adequate time to comply with whatever new mandates are imposed. OPA President Larry Perrone suggested that money could be set aside in the New Capital Reserve for the body cams. General Manager John Viola told the committee that he would be asking to expedite purchase and delivery of two new police cruisers, a request that he said he would include as part of the Jan. 20 board meeting.

Committee urges mailbox refurbishing

In budget review meetings held earlier this month, the Budget and Finance Committee urged General Manager John Viola to add money, up to $150,000 according to some estimates, for mailbox cleaning and painting in the 2021-22 budget. Because it would be considered a maintenance cost, this kind of expenditure would directly contribute to an assessment increase. In a second iteration of the draft budget for next year, Viola did not include the full funding for mailbox refurbishment. He told the Progress early in the week of Jan. 17 that he preferred to start the project slowly, perhaps doing one or two cluster mailbox complexes using in-house labor from Public Works. This slow start would provide a template for how this project could be undertaken in the future, and at what cost to the OPA, Viola said.

Colby Phillips to oversee beautification program

General Manager John Viola announced during a Jan. 8 budget review meeting that Colby Phillips, director of amenities and logistical operations, has added community beautification to her portfolio of Ocean Pines Association responsibilities. She announced during a presentation to the Budget and Finance Committee that an initial initiative of the effort will be the planting of 12 cherry trees on Cathell Road. The trees would be planted in the vicinity of the Ocean Pines library. Future efforts will include improving the landscaping around the North and South Gate entrances to Ocean Pines, she said, adding that the Ocean Pines Garden Club will be lending support to the beautification effort.

Viola announces bridge railing replacement

Earlier in the Jan. 8 budget review meeting, after briefly mentioning the launch of a community-wide beautification program, Viola announced that $10,000 has been allocated from the replacement reserve to replace the wooden railing at the North Gate bridge with a metal railing. “The wooden railing needs to be replaced,” he said, citing safety concerns. Viola didn’t mention whether the 1970s era lighting fixtures would be replaced or the guardhouse removed. He didn’t reject those ideas out of hand. He told the Progress in a follow-up text message that “both entrances will be addressed under the {recently announced] beautification initiative.”

Phillips announces flood program

Property owners in Ocean Pines with flooding issues that aren’t easily addressed with fixes in easement areas controlled by the Ocean Pines Association may have some hope for relief, according to Director of Amenities and Logistical Operations Colby Phillips.

In a presentation to the Budget and Finance Advisory Committee Jan. 8, Phillips said she is working with 14 homeowners to see if solutions to their flooding and standing water issues can be found. She said she’s been in contact with Maryland Coastal Bay program officials to determine whether there are grants available to help defray the cost of coming up with solutions. She said that homeowners would have to front the initial cost of engineering and permitting for potential fixes, with the OPA reimbursing property owners for those costs from grant money awarded to the OPA. She said that not every flooding problem on individual properties can be fixed, but that at least there is some hope that help is on the way. She said that a similar program had been in place back in the 1990s, according to Public Works Director Eddie Wells, but it “fell by the wayside.” She added that the program is similar in some respects to the OPA’s canal dredging program, in that property owners submit proposals for dredging that are in turn accepted or rejected by state officials for funding. “People can submit proposals for their flooding issues,” she said. While funding is not guaranteed, she said she will assist in the application process. There are “a lot of pieces to this, but willing participants to do something, rather than nothing at all,” she added.

Viola discloses need for tennis court repairs

About $33,000 worth of repairs to tennis courts at the Manklin Meadows tennis complex in South Ocean Pines has been identified but not included in the 2021-22 Ocean Pines Association budget, General Manager John Viola has disclosed. Work that needs to be done includes filling cracks that if left unaddressed will get worse and require even more costly repairs later, Viola told Budget and Finance Advisory Committee members during a Jan. 8 budget review meeting. The general manager said his preference is to go out to bid as soon as possible and complete the repairs during the current fiscal year once it warms up enough. The committee agreed that the work should be done in the current fiscal year. The Board of Directors agreed in a Jan. 20 meeting. OPA President Larry Perrone suggested that Viola make a list of all expenditures that might have been initially proposed for funding in 2021-22 but that make sense to push ahead to complete before May 1. Viola said he would do so and make it available to the Board of Directors. Any such expenditures not funded out of the replacement reserve -- and repair costs generally are funded out of the operating fund -- would reduce the anticipated operating surplus in the current fiscal year.

Covid impact on OPA operations to be limited next year, Viola says

cean Pines Association General Manager John Viola is projecting only a modest impact on next year’s operations from the ongoing covid pandemic, not including a company-wide covid adjustment in his recommendation to the Board of Directors. That adjustment would have amounted to a $77,000 net impact on the bottom line next year, he told members of the Budget and Finance Committee earlier this month. Rather than include this company-wide covid adjustment, Viola’s proposed budget for 2021-22 reflects certain department budgets in which revenue projections are less than they would have been without covid. The two most affected departments are Beach Parking and Aquatics, two departments that were hit hard by covid-related revenue reductions this past summer. Viola anticipates that these two departments will bounce back slower from covid, especially in the early months of the fiscal year 2021-22 that begins May 1. This judgment is based on the opinion of Colby Phillips, director of amenities and logistical operations, and Kathleen Cook, aquatics director, Viola said.

OPA FINANCES

January 2021 Ocean Pines PROGRESS

OPA misses budget by $209,000 in December Operating surplus for the year is $1.145 million

By TOM STAUSS Publisher ll good things come to an end, and all good things include Ocean Pines Association monthly operating fund surpluses throughout most of the current fiscal year. Until December. According to a “flash” estimate for December released by General Manager John Viola during the Jan. 20 monthly board meeting, the OPA was expecting to record a $260,000 negative variance to budget for the month, with $250,000 of that attributed to a reallocation of funds into the drainage reserve, Without that reallocation, the negative variance would only have been $10,000. The negative variance also included a $50,000 negative reversal in doubtful accounts. But when Finance Director Steve Phillips posted the results on the OPA Website Jan. 22, two days after the monthly meeting, the operating fund variance for December was a negative $209,428. Revenues for the month were under budget by $39,349, and expenses were over budget by $170,079. The OPA still has a substantial operating fund surplus for the year. At the end of December, the surplus was $1,145,696, with revenues over

budget by $235,462 and expenses under budget by $910,234. The Yacht Club and golf operations struggled financially during December. The Yacht Club lost $73,837 for the month and missed budget by $78,012. Golf lost $64,164 for the month and missed its budget by $16,066. For the year through December, the Yacht Club’s net surplus is $196,236, under budget by $%85,739. Golf operations are in the black by $88,630, under budget by $4,267. Aquatics outperformed its budget in December by $4,734, on a loss of $28,720. For the year so far, Aquatics is in the red by $168,314 and is behind budget by $196,067. Pickleball and platform tennis performed close to budget for the month, while tennis had a negative variance to budget of $1,904. Pickleball is ahead of budget for the year while tennis and platform tennis are behind. Recreation and Parks outperformed budget by $5,536 in December and is $26,602 ahead of budget for the year. General maintenance recorded a $291,549 deficit for the month and was behind budget by $235,019, reflecting the reallocation of funds into the drainage reserve. Total reserve funds as of Dec. 31: $6.9 million, $4 million in the replacement reserve.

Net Operating by Department, December 2020

Source: Ocean Pines Association, Finance Department

Latest year-end projection drops to $215,000 eneral Manager Viola and Finance Director Steve Phillips recently projected this year’s operating surplus at $650,000. With an inherited operating fund deficit at the beginning of the fiscal year of $162,000, the previous estimate was for a year-end balance in the operating fund of $488,000. However, because of some recent new capital expenditures, some approved and others pending, as well as previously unbudgeted repair costs, the most recent estimate for the year end operating fund balance is $215,000, according to Phillips.

Recently proposed repair costs include $35,000 in crack repairs and line repainting at the racquet sports complex, and $7,000 in bumper pads for the gas dock at the Yacht Club. New capital projects approved by the Board of Directors Jan. 20 include four new pickleball courts at a cost of $68,000; a new junior tennis court costing $66,000, and $27,000 in new racquet sports fencing. Not yet submitted for funding is $70,000 for Yacht Club marina expansion. The “T-dock” project has been put on temporary hold by Viola, who has

Assessment collection rate at 96.6 percent

cean Pines Association Treasurer Doug Parks announced during the Jan. 20 Board of Directors meeting that the assessment rate for the year through November is 96.6 percent, with $303,000 in assessments yet to be collected. “It’s pretty good for this time of year,” he said. The total cumulative delinquent account balance is $923,509, including interest, he said, representing 406 lots out of 8,452. The OPA’s reserve balance was $6.7 million, down $200,000 from October, Parks said. He estimated the reserve balance at the end of the fiscal year on April 30 will be $5.014 million, in line with earlier estimates. Parks confirmed that he will bring a motion to the board for approval next month setting the annual interest rate for delinquent accounts, currently at 6 percent.

said he may bring it up for board approval before the end of the current fiscal year.

The $70,000 cost for T-docks is included in the year-end projection of $215,000.

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36 Ocean Pines PROGRESS January 2021

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OPINION

January 2021 Ocean Pines PROGRESS

COMMENTARY

Pool closures would be counter-productive

he possibility that one or more of Ocean Pines swimming pools would be closed this summer as a cost-cutting measure, discussed during a Jan. 19 budget review meeting attended by members of the Board of Directors, needs to be unambiguously rejected in the days, weeks and months ahead. Short of some cataclysmic event, in which the Ocean Pines Association’s financial health was truly in jeopardy, this “trial balloon” or whatever it was needs to be treated like the insane idea it is. To be sure, no one at the board and administrative level was brave or foolish enough to advocate closing one or two pools this summer. But OPA President Larry Perrone, who seemed obsessively concerned about a prospective $380,000 operating deficit in Aquatics this year, hectored the Aquatics staff about coming up with a plan to deal with a deficit that he conveniently rounded up to $400,000. What he could have mentioned is that the Aquatics staff, Director of Amenities Colby Phillips and Aquatics Director Kathleen Cook, already have a plan to reduce the Aquatics deficit to $236,116 in the 2021-22 budget currently under review. The plan contemplates a partial return to operational normalcy as vaccinations and the resultant herd immunity combat the waning months of the covid pandemic. That operational normalcy includes some degree of restoration of the Aquatics Department’s very successful swim lesson program and specialty classes. As the Aquatics staff mentioned more than once during budget review meetings both with the board and Budget and Finance Advisory Committee, the department suffered an $150,000 year over year reduction in lesson revenue because of covid. Instruction staff was reluctant to teach classes and parents were reluctant to send their kids into group settings. Will the department get all that revenue back in 2021-22? Probably not, but the department’s proposed budget doesn’t assume that it will.

As Phillips and Cook described it, the projected deficit of $236,116 is roughly mid-way between where it was pre-covid and where it should end up during the current fiscal year. After Perrone pressed his case for a more detailed deficit reduction plan, Cook mentioned one possibility for achieving a $40,000 cost savings. She was not advocating it, not even close, but she said that closing the Sports Core pool this summer would mean additional savings from hiring fewer guards and support staff. They also made it clear that closing in the pools would put into peril programs that take place at that pool and that aren’t easily transferred elsewhere. Director Tom Janasek mentioned another downside from even considering closing any of the pools, which is that members who enjoy the privilege of using multiple pools in Ocean Pines will surely be annoyed by any diminution of those privileges. One can be critical of that attitude to a fairthe-well, but that doesn’t mean that members who prefer the Sports Core pool for whatever reasons over outdoor pools won’t decide to opt for daily user fees over buying summer or annual memberships. If a second pool is closed, expect further erosion of membership interest. Closing pools would have the opposite effect of that intended. Because of capacity restrictions imposed by the State Health Department, the OPA currently is not selling discount coupon debit cards for access to the pools. This is an inconvenience and surely has had an effect on Aquatics revenues this year. The Beach Club pool in particular was hard hit last summer operating under a 40-person maximum utilization, including staff. The staff is anticipating an easing of pool capacity restrictions this summer and that seems reasonable given the roll-out of vaccinations. Surely the governor and his stable of health experts will recognize that outdoor pools pools

LETTER seeing long lines in other areas of the country, how AGH would handle the hundreds of people signed up for their Saturday clinic at the Barrett building in Berlin. Would we be driving into an unorganized mess? That fear proved to be unfounded as we drove into Healthway Drive and were met by AGH volunteers. The operation would have made the military proud. As we drove in from the street your vaccination time was checked. If early you were directed to the parking lot across the street at the new Cancer Center. About ten minutes prior to your shot time you were released and drove across q

The Ocean Pines Progress, a journal of news and commentary, is published monthly throughout the year. It is circulated in Ocean Pines, Berlin, Ocean City, and Captain’s Cove, Va. 127 Nottingham Lane Ocean Pines, MD 21811

PUBLISHER/EDITOR

AGH vaccination effort a model of efficiency

lot of people in the 1B over 75 age group were not aware that they would be able to receive the first covid vaccine shots in the entire state of Maryland when Atlantic General Hospital offered that opportunity on Saturday, Jan. 16. No doubt the news was confusing to many when first released to the press on Monday afternoon but by Tuesday morning the slots were filled. Most of the proactive information I saw was disseminated on OceanPinesForum.com operated by Joe Reynolds which enabled many to sign up on Monday evening. My wife and I were concerned, especially after

pose little covid risk, and that an indoor pool with plenty of ventilation, such as a retractable roof and screen doors on three sides, poses little risk as well. What was disturbing about Perrone’s focus on the Aquatics deficit is that it ignored a very large prospective deficit in the Parks and Recreation Department, and reductions in beach parking revenue, both of which were hard hit by covid this year. There was an attempt to make some sort of distinction between Parks and Recreation and Aquatics, but it did not stand up to scrutiny. Both departments are very dependent on class revenue and both require operational subsidies in order to provide services to the OPA membership. The community center with its gymnasium is as much an amenity as any of Ocean Pines’ five swimming pools. Aquatics members and others who use Ocean Pines pools would be well advised to notify the directors that they do not want pools to close this summer as a way of reducing covid-related deficits. Let Ocean Pines work its way through the waning days, weeks and months of covid by growing back its Aquatics business. It won’t happen all in one year, and there is no reason it has to. Director Frank Daly told the Progress recently that he doesn’t believe there would be support for pool closures on the board short of something horrible like a new strain of covid taking root with no effective vaccination protocol. Let’s hope he’s right. -- Tom Stauss

Tom Stauss stausstom@gmail.com 443-359-7527

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OPINION

38 Ocean Pines PROGRESS January 2021

Clashing ideas during budget sausage-making

hoever said that crafting a budget for the Ocean Pines Association is a dainty affair every year surely was not paying attention to this year’s sausage-making. Check out the posted videos on the OPA Website and bring the popcorn. This month’s budget meetings hosted by the Budget and Finance Advisory Committee early in the month and a single budget review meeting conducted later by the Board of Directors had two co-stars with equal billing, OPA President Larry Perrone and OPA General Manager John Viola. While Viola tends to be more laid back and given to occasional stream-of-consciousness meanderings, Perrone is relentless and bazooka-like in making his points. The clash of personalities and ideas made for some good theater this month. On the ideas front, the more pacifistic Viola more than held his own against the combative Perrone. The issue that dominated the more contentious moments of the budget process involved the use (or misuse, depending on one’s perspective) of the New Capital Reserve, a funding mechanism established in November 2019.

LETTER From Page 37 street to Barrett parking lot and directed to come into the building five minutes prior to your shot time. Volunteers roamed the lot to coordinate arrivals and answer any questions. Inside you were quickly processed after showing ID and moved into the room where shots were given at multiple stations. After the shot was given you were moved down the line to wait for 15 minutes to check for any adverse reaction, then released out the side door. Nurses and staff were pleasant, impressive and amazingly efficient. I understand more than 700 shots may have been given that day. Kudos to AGH for being proactive in getting these shots out ahead of everyone else and for their staff who made sure it was a success. They should be a model for every other operation in the state. Jack Barnes Ocean Pines

rone’s critique. So on who was was right on how An excursion through the curious cul-de-sacs An excursion through theby-ways curious and by-ways and cul-de-sacs Viola used (or abused) the New Capof Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. ital Reserve: Advantage Viola. By TOM STAUSS/ The two also clashed on an innoBy TOM Publisher STAUSS/Publisher vative budget maneuver that Viola It was designed to provide fund- later this fiscal year, as the antici- proposed as a way to avoid a dracoing for smaller new capital projects pated operating surplus this year is nian increase in the lot assessment and expenditures that historically a moving target. The four pickleball in the 2021-22 budget. had to be financed out of that year’s courts and one junior tennis court The general manager proposed lot assessments. Because directors were approved by the board at its diverting $360,000 in anticipated over the years have tended to be Jan. 20 monthly meeting, and the revenue from casino local-impact gun-shy in raising assessments, a lot T-docks will probably be presented funds from the Roads Reserve, its of worthy new capital projects have for approval in February or March, traditional home before it’s used for been gathering dust on a schedule in depending on how Viola is reading road resurfacing, into the general the annual budget called Unfunded the tea leaves. fund where it can be used for drainProjects. So in the sense that these projects age projects. This had the effect of The New Capital Reserve was cre- will be funded out of the operating saving about $40 on the lot assessated to circumvent the bias against fund surplus and not the New Cap- ment. new capital spending by making it ital Reserve, and the $100,000 set Perrone didn’t like this budget possible to fund these kinds of proj- aside a year ago for the Sports Core maneuver, either, to the extent that ects without raising the assessment. room addition remains untouched, Viola was proposing a one-year hiaUp to ten per cent of funds raised Advantage Perrone. tus in road resurfacing. But during annually and parked in the ReplaceBut it’s also clear that Perrone’s the Jan. 19 board budget review ment Reserve can be reallocated to overly restrictive view of the use meeting, it was evident that Perrone the New Capital Reserve. of the New Capital Reserve is not had no support for his opposition It was initially financed a year borne out by language creating the that he had asserted during the earago for the current fiscal year with fund back in 2019 or in any subse- lier committee meetings. a $100,000 contribution for a future quent policy adopted by the board At the Jan. 19 meeting, Perrone Sports Core room addition, which earlier this year. did not reprise his arguments and, since then has fallen out of a favor This past February, the board vot- for him, rather meekly went along with Viola and members of the bud- ed to create a working group to es- with the rest of his colleagues. get and finance committee. tablish operating policies for this reAdvantage: Viola. In his draft budget for 2021-22, serve, designed to make sure it was A third issue, whether the AquatViola proposed reallocating the not used as a “slush fund” contrary ics Department needs to devise addiSports Core room addition funding to the original intent. tional ways to cut its operating defito two other new capital projects -OPA Treasurer Doug Parks sub- cit next year, so far has not emerged four new pickleball courts, a junior sequently determined that Per- as a stark contrast between compettennis courts and six new T-docks at rone’s overly restrictive view of how ing perspectives. the Yacht Club for transient boaters. the reserve could be used was not Viola has been subtle in not diHe also allocated fresh dollars to be contained in a policy document pre- rectly contradicting or criticizing raised next year for transfer into the pared by the working group. Parks Perrone, who wants further cuts and New Capital Reserve for these proj- in effect concluded that Viola had even seems willing to consider pool ects. not violated the letter or spirit of closures as a way of dealing with the Perrone was not liking any of it. that policy document in proposing deficit. He essentially accused of Viola of to use the New Capital Reserve as But the general manager carefulusing the New Capital Reserve like he did in his draft budget. ly positioned himself in alignment a slush fund, instead of like a multiThe only restriction on the use of with the staff position, which esyear savings account for new capital the reserve is that it can’t be used sentially says fighting back against projects too expensive to be paid for as a slush fund to pay for unbudget- covid’s impact on Aquatics operain a single year. ed capital items in the same year in tions and its deficit is going to be a Perrone insisted that Viola’s ap- which they’re proposed, according to multi-year process. proach violated the rules for the Parks. You could sense the staff position New Capital Reserve when it was There was no language in the pol- on the possibility of pool closures created. icy document mandating use of the this summer: Really bad idea. So who emerged victorious from New Capital Reserve as a savings So far in the process, the draft these dueling approaches? Objec- account for projects requiring more Aquatics budget remains untouched. tively speaking, it was more or less a than one year of funding, Parks deAdvantage: Viola. Without it bedraw. Viola decided not to fund these termined. ing so obvious that Perrone would two capital projects out of the New Viola didn’t violate the “slush have a bone to pick. Capital Reserve, instead moving fund” prohibition because he proThat’s the thing about our clever them up into the current fiscal year posed budgeting for two capital general manager. He at times manfor funding out of the anticipated projects in the months ahead of the ages policy victories while hardly operating surplus of about $650,000. next year fiscal year. There were no lifting a finger, or on this particuTemporarily, he’s put the T-docks on same-year shenanigans. Viola had lar issue, hardly leaving his fingerhold pending the availability of cash every right to take exception to Per- prints on the budgetary sausage.

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