June early july 2013 progress by Ocean Pines Progress

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Vol. 9, No. 3

June-Early July 2013

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THE OCEAN PINES JOURNAL OF NEWS & COMMENTARY COVER STORY

OPA revamps Fourth of July special events

he Ocean Pines Recreation and Parks Department recently announced a revamped schedule for Ocean Pines’ Fourth of July Celebration. The day will now begin at 8 a.m. with the Freedom 5k race. At 10 a.m., the Sports Core Pool and the South Gate lawn surrounding the Worcester County’s Veteran Memorial Park will host “All American Day” festivities. The OPA will light up the night sky with fireworks over Showell Park just after dark. Participants in the OPAsponsored Freedom 5K Run will race around the South Gate Pond, travel up Manklin Creek Road, and then return to the finish line at the Veterans Memorial. Ocean Pines Recreation and Parks has partnered with local professional race design team OCtriRunning that will use computer chip timing techniques to clock all of the runners accurately. To Page 12

Thompson recants earlier version of pool dumping policy Last November, after Hurricane Sandy apparently delivered a fatal blow to the Yacht Club swimming pool by upending one section of it, Ocean Pines Association General Manager Bob Thompson told the board of directors that the pool had not been filled with water prior to the storm consistent with OPA policy of dumping pools at season’s end, which he said was driven by safety concerns. By the general manager’s town meeting on May 22, though, Thompson’s version of what had happened at the Yacht Club pool prior to the storm had changed significantly. ~ Page 8

The Ocean Pines Association board of directors has approved a color scheme for the new Ocean Pines Yacht Club, based on informal polling at recent community meetings. The blue roof option won with overwhelming support of those polled.

PROJECT UPDATE

Gasoline sales resume at Yacht Club marina, new pool construction begins By TOM STAUSS Publisher espite expressions of concern among some Ocean Pines directors that major construction projects are falling behind schedule, and that Ocean Pines Association President Bob Thompson has been too optimistic in his projections about when the new Yacht Club pool in particular will be available for use, June arrived with what can only be described as “good news” on the Ocean Pines project front. While the board of directors’ meeting on May 25 was dominated by discussion of timelines and misplaced optimism by the general manager, within a week much of that was erased. While the new Yacht Club pool still might not be open for use this summer – the fact is, no one really knows and projections are, at best, guesses – at least construction has begun, made possible by the issuance of a permit by the Maryland Department of

the Environment the last week of May. Probably the best news on the project front was the announcement on Wednesday, June 6, that fuel sales at the Ocean Pines marina complex had resumed, sooner than critics ever thought possible given difficulties described by Thompson during the May 25 board meeting. Previous reports that permit challenges had delayed relocation of the gasoline tanks at the marina site proved to be somewhat misleading. While there were some problems on that front earlier, by late May another challenge had emerged, the failure of a key subcontractor to show up to complete the work it had been hired by Harkins Construction, the project contractor, to do. Thompson told the board that Harkins terminated the subcontractors’ contract and hired a replacement company, which quickly jumped on the tank relocation phase, relocating the tanks and demolishing the old tank structure.

The tanks were refilled with the OPA’s sought-after non-ethanol gasoline by the end of May, leaving final piping and electrical work to be finished in early June. A new marina building went up on Monday, June 3, and, almost miraculously, gasoline was flowing the following Wednesday. The Yacht Club pool permits were issued early in the last week of May. Parrish Pools, the pool subcontractor working under the supervision of Harkins, arrived on site on the last Thursday of the month, immediately beginning excavation of the new pool. The OPA’s Web site is inviting residents to visit the Yacht Club to watch the work as it progresses. Somewhat amusingly, the Web site declares the hole as something that patrons might want to check out when they stop in for lunch and dinner. As Parrish proceeds to work on its part of the project, Harkins crews began To Page 18

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Women’s Club donation

The Women’s Club of Ocean Pines recently presented community donations to the Ocean Pines Recreation and Parks and Fire/EMT Departments. In addition, a $1,250 scholarship was presented to Joshua C. Massey, a senior at Stephen Decatur High School for his academic achievements, extracurricular involvement, and dedication to the community. Pictured are Club Treasurer Jacki Kollar and President Susann Palamara with Sonya Bounds of Ocean Pines Recreation and Parks and Robert Gilbert, vice president of the Ocean Pines Volunteer Fire Department.

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June-Early July 2013 Ocean Pines PROGRESS

Community picks Yacht Club colors, including a blue roof Bike trail created OCEAN PINES BRIEFS at Bainbridge park T be made now regarding the colors for the Yacht Club because work is already under way for the adjacent swimming pool facilities. The two facilities need to share a color scheme. The pool pump house will be married up to the existing showers and will be wrapped with the same colors of siding and roofing materials, Thompson said.

Stevens will develop search committee charge

Concerned about the lack of an official document that outlines the duties and procedures of the Ocean Pines Association’s search committee, Director Dave Stevens asked the board of directors during a May 25 meeting to consider creating a policy resolution. “We do not have a resolution covering the search process,” he said. Stevens said the association needs to clarify its candidate search process because there are inconsistencies between the bylaws and how the committee has been functioning since it replaced the old OPA nominating committee six years ago. He cited an example of the conflicting dates for eligibility to run for the board.

While the nominating committee had a responsibility to vet potential candidates for the board of directors, the search committee simply finds them, he said. The search committee has no function with regard to applications other than to collect and look at them, he said. Only the OPA secretary and assistant secretary can verify the eligibility of applicants. That has resulted in confusion. “We have individual interpretations of what it means, and we have a process that’s not documented,” he said. Last year Stevens made a motion to create a resolution to provide for specific search committee duties, but it was rejected by the full board. He asked again at the May meeting whether or not the board was interested in creating a resolution. The board’s consensus was to pursue creation of a resolution. “It just doesn’t make sense not to do it,” Director Marty Clarke said. In the meantime, OPA President Tom Terry asked Stevens to share his draft resolution from last year with the full board.

In an effort to provide off-road riding for local bicycle enthusiasts, a member of the Recreation and Park Advisory Committee has created a bike path in Bainbridge Park. Tres Denk said his goal is to add trails that are bike friendly in Ocean Pines. So far he and his friends have cleared an 18 to 20-inch wide half-mile long trail, but they hope to eventually expand it to a mile in length. He said they are using sustainable trail building by simply cutting a path through the wooden area. The Bainbridge Park path was marked with survey flags along the southeast corner to ensure there was no infringement on private property. There was some concern by board members about having bicyclists crossing paths with walkers in the park The path does overlap the existing walking path in certain areas. Denk said “you have to use the original path to gain access to the path,” but then the bike path separates from the walking path, which he also helped to clean up. “I think it’s great you guys are doing this,” OPA President Tom Terry told Denk.

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he Ocean Pines Association’s new Yacht Club will have a blue roof and gray siding. Unwilling to make the decision on his own, General Manager Bob Thompson during the board of directors’ May 25 meeting asked the directors how to proceed with selecting colors for the building. The color choices were a green roof with light green siding as shown on illustrations used in the Yacht Club referendum, a red roof with tan siding and the blue roof with grey siding. Thompson said he had been conducting an informal poll of people who visited his office and who attended a recent town meeting, asking them what color scheme they preferred. Most liked the blue and gray colors. The directors opted to take a straw poll at the board meeting, hardly a representative sampling of the Ocean Pines community. The majority of those present voted for the blue roof and gray siding. No one in the audience voted in favor of the green colors; only four favored the red roof and tan siding. Based on that input, Director Sharyn O’Hare offered a motion to approve the blue roof with grey siding. The proposal was approved unanimously. Thompson said a decision needed to

6 Ocean Pines PROGRESS June-Early July 2013 Yacht Club restaurant OCEAN PINES BRIEFS From page 5 Denk said his ultimate goal is to stack bike trail loops for off-road riding. He plans to begin working on the trails again in the fall.

Rec committee urges new lights for Pines’ ballfield

It’s been one of those items that appears on departmental wish lists but never gets funded. Several lights at the Southside ballfield are unusable, the poles having rotted out, and the OPA’s Parks and Recreation Committee wants the OPA to install new replacement lights as soon as possible. The committee’s sense of urgency was conveyed to the OPA board of directors during its May 25 monthly meeting by the committee’s board liaison, Terri Mohr. Restoring the lights is a top priority of the committee, she said. The replacement lights were among the items that appeared on General Manager Bob Thompson’s “not funded” list presented during board budget deliberations this past January and February. No director advocated for adding the lights into the capital budget, apparently deterred by the cost. Mohr said the fields have been unusable at night because of the condition of the lights.

names solicited

Residents and visitors to Ocean Pines alike are being invited to help name the casual dining area at the new Yacht Club. The Ocean Pines Association is conducting a contest for the submission of potential monikers for the downstairs restaurant. The contest is open to the public through July 14. People can submit more than one suggestion, but each one must be entered separately. The Clubs Committee will review all submissions and select the top entries, which will be announced at the July 24 board of directors meeting. The top three as selected by the board will be announced at the existing Yacht Club’s closing party on Sept. 1. The round one winners will receive a dinner for two in the new facility and a bottle of wine. Ballots will be available in the OPA’s website at www.oceanpines.org and paper ballots can be picked up at the Yacht Club and OPA office. Voting on the final three entries will be limited to one name per property and will take place from Sept. 1 to Nov. 1. The winner will be announced later.

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OCEAN PINES Thompson urged residents who may have been cheating Waste Management, the Ocean Pines trash hauler, of needed revenues to just stop doing it. During his May 22 town meeting, Thompson said that Waste Management officials have noticed that some residents have dropped the twice-weekly trash collection service and arranged with neighbors to place their trashbags out with their neighbors’ trash. That, Thompson said, isn’t fair to Waste Management and could lead to higher prices down the road for the trash haulers’ paying customers.

Neilson Co. confuses OP with county, OC

Even the biggest national companies sometimes get confused by geography and make themselves look silly in the process. The Nielsen Company, a wellknown firm best known for its television viewership rating service, recently declared Ocean Pines as the number one market in the country for new restaurants. As picked up on and recycled on a number of Internet sites, Nielson declared that “Ocean Pines, Maryland, the #6 market last year, has claimed the top spot (for new restaurants in the country). This market constitutes the eastern most county in Maryland, which includes the entire length of the state’s Atlantic coast, and is home to the popular vacation resort area of Ocean City. With the large influx of tourists, the per-capita restaurant sales rise. That drives the RGI score higher.” Oops. Since Ocean Pines doesn’t run along the entire length of Maryland’s Atlantic coast, and hasn’t found a way to annex the nearby resort town of Ocean City, and doesn’t experience an influx of tourists in the summer (unless non-resident property owners fall into that category), then it would seem that some intern or new hire with poor eyesight has somehow confused or conflated Ocean Pines with Worcester County. Internet hoaxes abound, as do fake news sites that mock the mainstream services, but in this instance Neilson and the Internet recyclers simply could

have made an honest, if hilarious, mistake. The mistake recently brought OPA General Manager Bob Thompson into its warm embrace. He cited the report during the board of directors’ May 25 monthly meeting, apparently believing it was true and even remotely plausible.

Wine tastings called successful

A new wine club at the Yacht Club has been well received according to Bob Thompson, Ocean Pines Association general manager. “Things at the Yacht Club are really picking up,” Thompson told the board during a May 25 meeting. He said the first wine club event was attended by 38 people. He called it “a huge success. We’re really excited about it.” Chef Paul Suplee is holding a cooking demonstration with dinner and wines on June 12 for $45 per person. The next full tasting is on June 20 for $15 per person. There is no membership fee for the wine club. Members enjoy access to thousands of wines from around the world at discounted prices and special rates on orders of wines. Call the Yacht Club at 410-641-7501.

Association drafts new map of Pines

A cartoon-like drawing of Ocean Pines is being put on paper. A draft of the new map of the community was presented to the board of directors by General Manager Bob Thompson on May 25. He said the map design is almost complete. Thompson said the new map is more inclusive of the entire community. The older map was missing some portions of Ocean Pines, such as The Point, that were not yet developed when it was created. On the new map the association is trying to identify all of its amenities as well. The brightly colored map shows all of Ocean Pines’ major streets and facilities. It also includes unique cartoon features like a Loch Ness-style monster and caricatures of people fishing.

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June-Early July 2013 Ocean Pines PROGRESS 7

OCEAN PINES

Boat ramp fees in the Pines seem unlikely for the summer

cean Pines Association Director Marty Clarke isn’t giving up on a proposal to the board of directors on monetizing the White Horse Park boat ramp, especially as it relates to outsiders who use the popular boat launch facility, even though it’s been taking much longer than he initially anticipated. He recently told the Progress that he’s waiting on General Manager Bob Thompson to bring a proposal to the

board of directors for review, perhaps at the June board meeting. It looks increasingly doubtful that any fees of any sort will be imposed at the boat ramp this summer. In brief remarks at the board’s April 24 regular monthly meeting, Clarke had said that his objective is not to force Ocean Pines property owners and residents to pay for the privilege of launching their boats, since they already pay for the privilege when they pay their

annual lot assessments. Instead, he said his intention is to “eliminate the free use of the boat ramp” by those who don’t live or own property in Ocean Pines. He said that while he’s aware that Worcester County includes the ramp in its brochures promoting boat usage in the county, White Horse Park “is not a county ramp.” Nor is a similar launch facility near the Mumford’s Landing swimming pool, Clarke said.

Whatever proposal Clarke comes up with – and he said he continues to meet with Thompson to see if they can reach some meeting of the minds on a proposal both can support – there are some indications that at least some directors will have difficulties with the concept and particulars. After the April 24 meeting, Clarke said he doubted that Thompson would support a boat ramp fee proposal in time for implementation this summer.

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8 Ocean Pines PROGRESS

OCEAN PINES

June-Early July 2013

Thompson recants earlier version of pool dumping policy

By TOM STAUSS Publisher ast November, after Hurricane Sandy apparently delivered a fatal blow to the Yacht Club swimming pool by upending one section of it, Ocean Pines Association General Manager Bob Thompson told the board of directors that the pool had not been filled with water prior to the storm consistent with OPA policy of dumping pools at season’s end, which he said was driven by safety concerns. By the general manager’s town meeting on May 22, though, Thompson’s version of what had happened at the Yacht Club pool prior to the storm had changed significantly. He told the assembled group of property owners that, in fact, Public Works staff had “topped off ” the Yacht Club pool prior to Sandy’s arrival. He did not explain the inconsistency between his November statement and the latest version of events, and he offered no explanation of why Public Works had filled the pool in contravention of the

policy he enunciated in November. By the board of directors meeting on May 25, Thompson was well aware of the inconsistency, which had ignited a mini-firestorm among some directors and in the local blogosphere. Director Dave Stevens inserted an item later in the meeting agenda to address the OPA’s dumping policy. Thompson didn’t wait for Stevens. During the general manager’s report segment of the meeting, Thompson admitted the inconsistency between his November and May comments and told the board that what he said in November was wrong. He said more recently he learned from his Public Works staff that they had filled the Yacht Club pool just prior to Sandy. He presented photos provided by staff that clearly indicated that the pool was partially filled, to a height of a foot or so under the lights on the sides of the pools. He said the pools weren’t filled to cover the lights because of concerns about freezing. He said Ocean Pines’ three other outdoor pools were not filled prior to Sandy. Under questioning, Thompson said he wasn’t sure when the staff photos were taken, telling the board that they were shot within 48 hours of when the storm hit Ocean Pines, either before or

after. Photos taken by Aquatics chair Virginia Reister indicate that the pool was not close to being filled on the Thursday prior to the weekend storm, with only the deep end showing any water depth at all and the shallow end devoid of water. She has also produced post-storm photos that matched those produced by Thompson during the May 25 meeting, indicating water levels a foot or so below the pool lights. There are no pre-storm photos available that prove Thompson’s earlier claim that the Yacht Club pool was “topped off” just prior to the storm. “I didn’t check the pool myself a day or so before the storm hit,” Thompson told the Progress in late May. “I am relying on what the Public Works staff told me. I have no reason to believe they’re not telling me the truth.” OPA Director Marty Clarke told the Progress that he and his wife were there at the pool on the day that Sandy first hit Ocean Pines, and there was no evidence that the pool had been “topped off” as Thompson said at his town meeting. He said the deep end had some water in it but the shallow end did not, more or less consistent with what Reister’s photos show for the Thursday prior to

the storm. “Somebody’s lying, and I think it’s driven by the fact that they screwed up in not filling the pool,” Clarke said. During the board meeting, he waved a copy of a warranty certificate indicating that gunite inground pools – all of Ocean Pines’ pools are in-ground, to varying degrees of depth – void their warranties if they’re not kept filled. Wherever the truth lies with respect to the depth of water in the pool when Sandy arrived, the board of directors want clarity going forward on the OPA’s winterization policy, specifically whether the pools will be dumped post season. After some debate, during which no director defended Thompson, the board during its May 25 meeting informally agreed to ask the aquatics advisory committee, or perhaps a task force including some committee members, to recommend a winterization policy for the outdoor pools. OPA President Tom Terry, the committee’s board liaison, said he would start with the committee and perhaps would move to appoint a task force, if needed, to research the issue. Stevens suggested that a task force was the better option, without explaining why he thought the advisory committee couldn’t

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OPA board of directors to ask Aquatics Committee for recommendation on proper pool winterization

OCEAN PINES

June-Early July 2013 Ocean Pines PROGRESS

Virginia Reister photos

Before and after

The Yacht Club pool (left) on the Thursday before Hurricane Sandy arrived in Ocean Pines. The Yacht Club pool (right) a day or so after Hurricane Sandy left in Ocean Pines.

Pool policy From Page 8 handle the job. In fact, the committee has been on record for some time as favoring a winterization policy that includes keeping the pools filled almost to the top during the winter months, including levels higher than lights on the side of pools. The committee has been discussing the acquisition of pool covers to address

safety concerns cited by Thompson in November. O’Hare, a regular attendee of aquatics committee sessions, has mentioned the possibility of purchasing pool covers several times in recent board meetings. One of the committee’s members, Kathy Grimes, operates and maintains swimming pools in Ocean Pines and keeps all of her pools filled during the winter. OPA Director Ray Unger said a stroll along the Ocean City boardwalk

reveals that any number of pools are dumped consistent with Ocean Pines policy. Reister told the Progress recently that in addition to keeping the pools filled and adding covers, a best-practice winterization policy should also instruct staff to “blow out” the pipe infrastructure before adding anti-freeze and shutting off the valves that will allow water to stay in the pools. According to draft minutes from the

committee’s May meeting, members discussed the issue of covering the outdoor pools as part of an improved winterization program that includes keeping the pools filled as a way of better protecting them from spalling – the delamination of pool plaster that has been a problem at most OPA pools in recent years -- and catastrophic pool failures resulting from hydrostatic pressure that builds during storm events, causing portions of pools to rise up.

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Beach Club pool suffers from cracked pipes; leaks found and fixed Mumford’s Landing pool crack, subsidence awaiting permanent repairs after season By ROTA L. KNOTT Contributing Writer

leak in the Beach Club swimming pool was discovered shortly after it was filled for the season and has since been repaired. Cracks in

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the Mumford’s Landing pool, however, will have to wait for repairs until after the summer swimming season. OPA General Manager Bob Thompson said the Beach Club pool was cleaned and filled for the season, but the next day staff discovered that the water level was lower than required, indicating some sort of leak. They checked the pool fittings and topped off the pool, but again the next day that water was low. He said staff “couldn’t find anything glaringly” wrong with the pool so they contacted Parrish Pools, the contractor building a new pool at the Ocean Pines Yacht Club, which also initially could not identify the problem. However, when Parrish ran a scope to check the pipes under the pool, it discovered cracked and broken pipes. It also found a problem with the placement of rebar in the concrete under the pool. The rebar, which helps to prevent movement of the pool, is supposed to be three inches within the concrete but it was barely touching the concrete, Thompson said. “It didn’t appear the rebar was giving any underlying support to the pool,” Thompson said. He offered comments about the status of Pines’ pools during the May 25 board of directors meeting. He said when the pool was last refurbished the rebar was not placed in the concrete the way it should have been; instead the concrete from the pool was lying on top of the pipes, he said. “The weight over the years on top of the pipes has slowly been degrading them,” Thompson said, suggesting that there may need to be a long-term fix for the problem. To make the pool ready for the season, Parrish replaced the broken pipes after cutting a gash lengthwise through the pool surface to expose the pipes. The rebar was also elevated off the ground in a way that is supposed to prevent the weight of the pool from again crushing the pipes. A concrete subcontractor was called to fill the exposed gash in the pool, touching off several days of behind-thescenes emails between Director Marty Clarke and his colleagues on the board of directors, with Thompson caught in the crossfire. Clarke told his colleagues that the OPA and its contractor should have obtained a building permit from the town of Ocean City to make concrete repairs, with Thompson and his staff contending that a building permit was not necessary to make repairs to restore the pool to its original condition. In the end, that position seems to have carried the day. A Parrish competitor reportedly made a call to the town indicating that

10 Ocean Pines PROGRESS

OCEAN PINES Beach CLub pool

June-Early July 2013 Ocean Pines PROGRESS

From Page 10 Parrish was making repairs without a proper permit, and Clarke told the Progress that it was possible that a stopwork order would be issued before the concrete was poured or that the OPA would be required to close the pool and redo the work with an inspector present to ensure the work was done correctly. In the end, neither of those scenarios materialized. During the May 25 board meeting, Clarke said he was told by pool company workers on site that the pipes cracked after freezing because no water was kept in the pool during the winter months. Thompson made no reference to that possibility during his recap to the board, and he did not respond to Clarke’s comments. Later in the meeting, the directors agreed to ask the Aquatics Advisory Committee, and possibly a specific task force, to help the OPA develop a winterization policy for the OPA’s outdoor pools, including a directive on the issue of whether and which pools should be emptied when closed for the season. OPA President Tom Terry said that when putting together a policy all of the possible causes of the broken pipes should be evaluated.

Director Ray Unger said the association needs to be careful not to duplicate conditions that caused the original problem with the pool. He asked if the company that completed the repairs provided the OPA with any type of warranty or instructions for ensuring that a similar situation does not occur again. That’s when Thompson said there is still concern for the future of the Beach Club pool because of how the rebar was installed under the concrete. He said that the pool “could have future issues because of that.” At the Mumford’s Landing swimming pool, a crack in the right corner of the basin is staying there for now – it’s been temporarily patched – but Thompson said that the crack and a slight subsistence in one section of the pool will receive a more permanent fix after the summer as part of a larger project that could include adding a sloped zero-entry into the adjoining baby pool at Mumford’s. Another possibility will be to replace the baby pool there with water features such as the mushroom waterfall at the Swim and Racquet Club pool. To raise the area that’s subsided, Thompson said the work will require drilling a hole into that corner of the pool and pumping in concrete sludge to increase the elevation so that it no longer sags.

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Fourth of July From Page 1 The cost to race will be $25 per person that includes a T-shirt, hospitality area, and a free wristband allowing entrance into portions of the post-race activities and Fourth of July celebrations. A portion of race proceeds will be donated to the “Home of the Brave Inc.,” which provides a vacation home and entertainment for returning soldiers and their families. Race medals will be awarded to the overall top male and female performers. Awards will also be given to top finishers in each age group male and female: Younger than 10, 11 – 19 years, 20 – 29 years, 30 – 39 years, 40 – 49 years, 50 – 59 years, 60 – 69 years and older than 70 years. Runners can register on active.com using the keyword: OPA Freedom Run or by using the online portal on www. oceanpines.org. Interested participants can also register by visiting or calling the Ocean Pines Recreation and Parks Department at 410-641-7052. Early registration is required to guarantee a shirt. There will be Day of Registration for $35.

The “All American Day” festivities include a Sports Core pool party and a vast assortment of fun activities. Moon bounces, water slides, face painting, carnival games, and refreshments such as cotton candy, hot dogs, snow cones, root beer floats will be part of the mix. New for 2013 will be a 51-foot inflatable Shark moon bounce and a three-player inflatable play zone. A live DJ will be on hand all day. Moon bounces and water slides are $5 for unlimited rides with a wristband. Additional fees may apply on particular attractions. The pool will be free to swim members; all others will pay the regular daily pool rate. The OPA, in partnership with the Bank of Ocean City, is sponsoring the fireworks show that is scheduled for Showell Park on Route 589 at about 9:15 p.m. Recommended viewing locations for the fireworks are Showell Elementary School, the Community Church of Ocean Pines, Most Blessed Sacrament School, St. John Neumann Church, and the Pavilions commercial complex, all in close proximity to Showell Park. All parking will be free.

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June-Early July 2013 Ocean Pines PROGRESS

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OCEAN PINES

June-Early July 2013

OPA loses $405,000 for the year Subject to end-of-year adjustments and the arrival of the auditors, the deficit is the worst ever recorded by the OPA

The budgetary performance might in some years reflect poorly on the general manager, whoever it might be, but in this instance OPA General Manager Bob Thompson might have a plausible defense. The Ocean Pines golf course is technically under the purview of Billy Casper Golf, a golf course management company that has a three-year contract to operate the course. The contract, which is renewable at the option of the OPA, is set to expire later this year. Golf is budgeted to lose only $150,000 or so in the new fiscal year, and by fall there should be a good indication on whether that budgeted loss is a realistic target. BCG prepared the golf budget for the 2013 fiscal year, subject to some oversight by Thompson and more or less rubber-stamped by the OPA board of directors. The portion of the 2013 budget directly under Thompson’s control actually produced a surplus for the year of roughly $125,000. For FY ’13, total OPA revenues were under budget by $673,104, total expenses were under budget by $298,167, and new capital expenditures exceeded budget by $30,331.

By TOM STAUSS Publisher he Ocean Pines Association’s financial performance for April, the final month of the 2013 fiscal year, was more or less on budget. The negative variance to budget of a miniscule $2,604 was the best monthly performance of the fiscal year, relative to budget. In real terms, though, April was one of the worst months of the year, with a $632,018 operating loss, more than enough to drown the $235,000 cumulative operating surplus recorded through March. Subject to end-of-year adjustments and the annual audit, the cumulative operating loss for the year is $405,265, close to what was predicted by the OPA administration back in January. It can be explained almost entirely by a $532,119 loss in golf, the most ever in the history of Ocean Pines. The addition of depreciation expense to the budget line as part of the annual audit process will only make the golf numbers, and thereby the OPA’s, look worse. Property owners interested in the bottom line including depreciation – a real expense that is funded out of annual lot assessments – have to await the annual audit report release at the time of the OPA’s annual meeting in August.

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Financial report From Page 14 The budget variance is effectively the same number as the cumulative operating loss because the budget for FY ’13 was balanced. For April, the negative variance of $2,604 was produced by revenues under budget in the amount of $72,000, expenses under budget by $60,394, and new capital under budget by $9.02 April’s result improves on March’s negative variance of $45,292, February’s $10,994 variance and January’s negative $6,272. The results were reported in OPA Controller Art Carmine’s financial report for April, made available by the

June-Early July 2013 Ocean Pines PROGRESS third week of May. Thompson offered no commentary about OPA finances in his segment of the May 25 meeting of the board of directors. Only Director Marty Clarke remarked on the unaudited $405,000 loss, commending Thompson for the accuracy of the January forecast but otherwise expressing dismay over the bottom line results. Thompson told the Progress several days after the board meeting that he would offer up some commentary at the board’s June meeting, allowing more time for end-of-year tweaks. Several months ago, he announced that he would no longer present a “by-the-numbers” report each month, pointing out that the

OPA Net Financial Operations through April 30, 2013

OPA bylaws only require quarterly reports. Carmine’s monthly financial summaries are available two to three weeks after the close of the prior month and offer much more detail than the “bythe-numbers” summary that Thompson used to present. One possible result of the loss is that it will bolster a suggestion made by OPA Director Dan Stachurski recently that one of the OPA’s reserve accounts, the operating recovery reserve, could be eliminated after its accumulated surplus, $311,546 as of April 30, is used to partially offset this year’s deficit. The effect of that would be to reduce the total amount of OPA reserves after the audit

is completed. The OPA’s total unaudited reserve balance as of April 30 stands at $4,733,893, with an estimated $3.9 million in new money flowing into the reserves as of May, the first month of the new fiscal year. Fiscal 2014 is a year when large outflows are anticipated, $4.3 million or more for the new Yacht Club and related expenses and another $1 million or so for a new Yacht Club swimming pool. Even after those expenditures, the OPA’s total reserve balance will be in relatively good shape at the end of April of next year, depending on other capital expenditures that occur throughout the year. Carmine’s summary for April indicates that of the major amenity departments, the Yacht Club, golf and aquatics, all three produced negative operating variances relative to budget and all three produced actual losses for the month. Aquatics performed the best among them with a $7,920 loss and a small negative variance to budget of $748. All three of these amenity departments lost money in the six-digits last year, led by golf’s record loss of $532,119, the Yacht Club’s loss of $191,169, and aquatics’ loss of $131,779. Aquatics’ negative variance to budget was $82,763, the Yacht Club recorded a $141,357 negative variance, and golf was off budget by $371,960. There were some brighter spots, however, in the major amenities for the year. The Beach Club food and beverage operation generated a $95,248 surplus, $4,648 better than budget; Beach Club parking produced $368,499 in net revenue, $27,215 more than the budget forecast; and marina operations, including slip rentals and gasoline sales, were $139,730 in the black, $2,798 better than budget. Golf and related food and beverage operations remain the most troublesome financially for the OPA, reflecting the fact that, for much of last year, one nine of the golf course was closed for play. With the completion of golf drainage and greens replacement projects, as of May 1 the golf course is in the best condition it’s been in for some time. Two additional lifetime memberships have been sold, raising the number sold to 18, and Thompson told directors at their May 25 meeting that Billy Casper Golf, the course operator, has been successful in increasing non-member play by following through on promises to market the course regionally. “This is the first time in several years we’ve had a golf course that could be effectively marketed,” Thompson said. “There are signs that our investments are starting to pay off.” May’s financial results will be an early indicator of the extent to which golf operations are experiencing a financial turn-around. For Casper to make good on its budget loss of about $150,000 for the new fiscal year, there will need to be an influx of new members, a surge in outside play, and more revenue generatq

OCEAN PINES

16 Ocean Pines PROGRESS Financial report From Page 15

OCEAN PINES

June-Early July 2013

ed per round of golf. In April, the final month of FY ’13, golf’s gross and net revenues exceeded budget, by $11,397 and $6,652, respectively, which could be seen as a good sign going forward. Expenses, however, far exceeded budget, and that was dispositive. Expenses of $166,726 exceeded budget by $47,057. Net operations for the month were a negative $106,526, or $45,405 worse than budget. Financial results at the Yacht Club for April took a turn for the worse over March. April’s net deficit was $37,563, compared to March’s loss of $28,224. The negative variance to budget was $35,386. Gross and net revenues were dramatically behind budget projections. Total revenues for the month were supposed to be $92,159, but they came in at $30,199 instead, a $61,960 negative variance. Net revenues had been budgeted for $61,415, but they came in at $13,093, for a $48,322 negative variance. Year-end numbers tell much the same story. Gross revenues of $1,147,972 were $386,978 under budget, net revenues of $723,432 were $279,480 under budget,

and the net operating loss of $191,169 was $141,357 behind budget. Aquatics, in contrast, ended the year well, with a net loss for the month of only $7,920, a mere $748 negative variance to budget. Total revenues of $47,936 exceeded budget by $7,828, driven by coupon revenue of $26,020, cash fees of $4,522, swim class revenue of $9,485, and miscellaneous revenue of $6,470. Expenses, however, offset that positive variance. Wages and benefits of $26,194 exceeded budget by $16,266. Other expense categories were positive, with maintenance expenses of $3,404 bettering the budget by $5,675 and utilities expense ahead of budget by about $2,000. Status of reserves – The reserve summary released as part of the April financials shows that the OPA’s end-ofyear reserve balance stood at $4,733,893, a sharp decline from the March balance of $5,343,742 and the $6 million balance at the end of February. This compares to January’s balance of $6,207,642. In December of last year, the balance stood at $6,397,755. November’s balance was $6,991,574. The decline over the course of the fiscal year is normal. Infusions into the reserves occur in May, the first month of

the fiscal year, with expenditures from the reserves occurring throughout the year. The balance in the roads reserve through April was a negative $153,245, compared to March’s negative balance of $111,341 and February’s negative balance of $54,426. The bulkhead and waterways reserve through April stood at a positive $311,485, a slight decline from the March balance of $326,726, February’s balance of $455,880 and January’s $566,890 balance. The $311,484 balance suggests that, for last year at least, the OPA collected more from waterfront property owners than was needed to cover the cost of bulkhead replacement during the fiscal year. The major maintenance and replacement reserve remains as the OPA reserve most flush with earmarked assessment dollars. Its April 30 balance of $4,914,176 compares to the March balance of $5,279,852. There are two funding streams that contribute to the replacement reserve. The reserve summary indicates that one of those revenue sources, the five-year funding plan, had a balance of $874,998 through April 30. The other revenue stream, histor-

ical depreciation expense, stood at $4,039,178. The approved $4.3 million expenditure for a new Yacht Club will take a substantial bite out of the major maintenance and replacement reserve whenever it is spent. The intent when the current year’s budget was approved in February of 2012 was to spread the construction cost over at least two fiscal years. Each year, the OPA collects between $3 million and $4 million in assessment dollars that are allocated to various reserves. What is depleted in the form of capital expenditures is replenished by this infusion of new assessment dollars that will be reflection in the reserve summary for May that will be released sometime in the second or third weeks of June. Casino revenues – The OPA continues to reap local impact funds for casino operations at Ocean Downs and elsewhere in the state. The total collected was $476,918 at the end of February. By the end of March, the number had risen to $497,435, a $20,517 month-to-month improvement. As of April 30, total collections had risen to $515,392, a $17,957 month-tomonth improvement. The OPA is using the money for road improvements.

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18 Ocean Pines PROGRESS

OCEAN PINES

June-Early July 2013

Projects update

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Ladies of the Democratic Women’s Club held their monthly meeting May 20th with Delegate Norm Conway, District 38B as their guest, speaking on a variety of subjects of interest to the women. Pictured from left: President Dell Purrell, Delegate Conway, and Vice President Judy Butler.

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From Page 1 pouring footers and doing the block work for the new pool pump house, which will be adjoining the existing bathhouse on the same level. Thompson told the directors that the pump house and deck construction phases of the project can occur simultaneously with Parrish’s pool construction, which is one reason he remains optimistic that the pool will be completed and available for use sometime this summer. At his town meeting May 22, Thompson held out the possibility that the pool might even be open by the July 4th weekend, a rosy scenario that OPA Director Marty Clarke immediately jumped on as totally unrealistic. He managed to persuade other board members of that in phone calls and emails, perhaps not needing to try too hard to do so, and by the board’s May 25 monthly meeting some of the directors, including OPA President Tom Terry, who is running for reelection this summer, took pains to distance themselves from the July 4 scenario. By consensus, the directors more or less decided that official OPA policy is to say that while work is progressing to build the new pool, together with a new pump house and new decking, it’s impossible to say exactly when it will reopen, or even if it will reopen this summer. In

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one instance, the directors agreed with the general manager that he should refund a membership purchased by one individual who based his decision on the July 4 rosy scenario. Clarke has said he’s consulted with Harkin’s owner who told him that a three-month construction timetable is more realistic from the date of excavation. Thompson remains hopeful that all the work can be completed before then with some usage possible this summer. The OPA party line is that Ocean Pines operates four other pools and that the OPA hopes that long-time users of the Yacht Club pool will continue to purchase swimming memberships. Even so, there is recognition that membership tallies might take a hit; how much of a hit remains to be seen. Thompson and Aquatics Director Tom Perry decided that usage of the other four pools, especially in the busy morning hours, made it impossible to designate another pool as adults-only to accommodate the Yacht Club pool contingent. The new Yacht Club project remains more or less on schedule, according to Thompson. Utilities have been relocated, final preparations for the pad site were under way in late May. Pad fill and compaction was complete by late May, and the pouring of the new footers was scheduled to begin during the first week of June.

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A mixed bag on Thompson bid packages Board rejects or delays some capital expenditures while approving others By ROTA L. KNOTT Contributing Writer

ollowing an hour-long discussion during its May 25 monthly meeting, the Ocean Pines Association board of directors shot down paddle tennis improvements and the purchase of a new dump truck, but approved contracts for an HVAC system at the Beach Club and the replacement of a golf course well pump. Although some funding was budgeted in both the last fiscal year and in FY ’14, the cost of resurfacing platform tennis courts was higher than expected so the board declined to move forward with the project at this time. Presented by OPA General Manager Bob Thompson with the request for approval of a nearly $17,000 expenditure at the meeting, directors said they needed more time to review the proposed improvements. “It’s over budget, and I’m not going to vote for it,” Director Marty Clarke said. He added that three bids for the work

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were not received as required by OPA policy. Directors Sharyn O’Hare and Terri Mohr were ready to approve the project, respectively offering a motion to do so and a second. But OPA President Tom Terry suggested that the board table that motion until directors could more thoroughly review the project package. “This is a growing group in our community. Maintenance needs to be taken seriously,” Terry said of platform tennis. Thompson said in FY ’13 the OPA had budgeted $6,500 for resurfacing of platform tennis courts and had included $7,000 in the current budget. He said the association only received one bid for related work, but it did not include the complete project. The general manager went on to say that some companies contacted said they didn’t have time to do the work and others didn’t want to do all of the work. The project includes reconditioning the courts, moving the fencing and restriping. Therefore, Thompson said, staff sought cost estimates from separate companies for completion of the various portions of the project. The cost for the combination of the three elements is

$16,997, he said. He added that the figure includes a discount for having all of the paddle tennis courts, not just those being resurfaced, repainted at one time while the contractor is there to do the work. Thompson argued that the proposed project is only about $4,000 over budget since a total of $13,500 was budgeted over the last two years. Clarke said he doesn’t know how the board could be allowed to spend money that was included in last year’s budget, which ended on April 30, 2013. “I don’t ever remember going back and reaching into a closed budget before,” he said. As for the assertion that it is only slightly over budget, he said that is not true; with only $7,000 budgeted in FY ’14, the project is more than double the anticipated amount, he said. Director Dave Stevens agreed, saying the proposal is $10,000 more than budget. He said he would support doing all of the work at one time if it would save money in the long run. But he asked where the money will come from, because it can’t be taken from last year’s budget, which is closed. A majority of directors ultimately agreed to hold off on approval of that

OCEAN PINES work for a while. They also rejected acquisition of a new dump truck for the public works department because it was $14,000 over budget. Clarke said taxes and fees for tags would add another $6,800 to the cost, bringing the total over budget to about $20,000. Thompson presented three bids for that piece of equipment and recommended the contract be awarded to Barr International for the dump truck, which has to be ordered and will take six to nine months to receive. Terry said the OPA was off by 20 percent in its budget estimate for the dump truck purchase. While all three of the bids that were received came from local suppliers, Terry suggested casting a wider net to see if the association can get a truck at a lower price. He said there has “got to be somebody somewhere” that would sell the OPA a dump truck at a price that is closer to budget. Director Ray Unger said that at the time it was placed in the budget the association clearly didn’t have “accurate enough information to know what the situation would be.” He questioned whether or not the truck really needs to be replaced at this time because of its age and condition or if it is simply on a schedule for replacement. q

20 Ocean Pines PROGRESS

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June-Early July 2013 Ocean Pines PROGRESS

Clarke opposed the purchase, saying it was never included in a budget. He From Page 20 said the flooring that was budgeted was Stevens asked the same question a replacement capital item, while the and said it appears the OPA is “replac- HVAC installation is a different type of ing trucks on a schedule without any expenditure, called new capital, which particular rationale.” He said without a is paid out of current year assessment bottom line cost and information on the revenues. existing dump truck’s condition, mileage “I’m not voting for it; it’s not in any and maintenance, he will not vote to re- budget,” he said, adding that the associplace it. ation had budgeted for floors, not HVAC. Thompson said the association does “I’m assuming it’s because we needed to have a vehicle and equipment replace- replace the floors.” ment schedule but often keeps vehicles The board approved the unbudgeted that are in good condition well past expenditure in a 4-2 vote with Clarke when they are scheduled for replace- and Stevens opposed. Similarly, it apment. “If we don’t need to replace them proved the purchase and installation of we don’t replace them.” He said this par- a new golf course irrigation system well ticular dump truck is “showing mechan- pump, with Clarke opposed and Stevens ical wear.” abstaining. A motion to proceed with the purIn April the board gave Thompson chase failed on majority vote. the go-ahead to spend up to $15,000 The board voted to proceed with in- to have the company, A.C. Shultes, restalling a heating, ventilation and air move and inspect the old well pump to conditioning system on the second floor determine why it stopped working and of the Beach Club, as per Thompson’s if it could be repaired. The inspection reprevious request and a prior board vote. vealed the need for a new pump at a cost The board had budgeted to install of $19,000. new flooring upstairs at the Beach Club, Thompson said he did not get three but at the board’s April meeting he had bids for a new well pump, since A.C. recommended installing an HVAC sys- Shultes had won the bid for the old tem at a cost of $19,804 instead. pump and performed the inspection that He said then that the OPA should be determined it needed to be replaced. able to secure additional shoulder seaClarke said there are plenty of other son events for the Beach Club if it in- well companies that might want to bid stalls HVAC. on a4C new pump. Ocean Pines Progress . 1/2 pg 10.125” x 5.67”

Crafter of the Month The Ocean Pines Pine’eer Craft Club has chosen Sharon Hutcherson, who joined the club this year, as the June crafter of the month. She creates sea shell wreaths as well as seasonal wreaths. Her items are on display and available for sale in the Pine’eer Craft and Gift Shop, White Horse Park, Ocean Pines, every Saturday and Sunday from 10 a.m. to 4 p.m. The shop is hosting its summer open house June 8, with door prizes and refreshments.

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22 Ocean Pines PROGRESS

OCEAN PINES

June-Early July 2013

Candidate for OPA board suggests Thompson should resign Langevin’s call is not joined by any of the other five candidates running for the board this summer By TOM STAUSS Publisher t didn’t take long for this summer’s Ocean Pines Association election, in which two incumbents, a former director, and an unsuccessful candidate from last summer are competing with two political newcomers for three seats on the OPA board of directors, to break out of the pale pastels. Roland Langevin, an Ocean Pines homeowner since 1991, took to the floor during the May 25 meeting of the board and said that OPA General Manager Bob Thompson should resign for failing to take proper steps to protect the Yacht Club pool prior to Hurricane Sandy and for making inconsistent statements about whether the Sports Core swimming pool had been filled with water prior to the arrival of Hurricane Sandy in Ocean Pines last fall. At the November meeting of the board, Thompson said the pool had been drained after the summer, as a safety precaution, but at a town meeting on May 22 he said the pool had been topped

off by the OPA Public Works staff prior to Sandy, a claim that has been vigorously disputed by OPA Director Marty Clarke. Clarke said he was at the pool on the day the storm hit and saw that while it had some water in the deep end, there was none in the shallow end, and there was no evidence that the pool was ‘topped off” as Thompson had claimed. The issue is more than a debating point. Clarke blames staff for failing to follow the warranty on the pool that says it should be kept filled with water over the winter as a way of protecting against storm damage, such as that which occurred during Sandy, effectively damaging it to an extent that it made more sense to build a new pool rather than repair the old one. Clarke’s argument is that if the pool had been filled as claimed by Thompson, the pool would not have been damaged to the extent it was. The general manager has said, in rebuttal, that the pool was in poor condition prior to the storm and was slated for replacement anyway in the relatively near future. At the board’s May 25 meeting, Thompson attempted to reconcile the conflict between his November and May comments by telling the board that he had been wrong in November. He apologized. He told the directors that he had

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been informed by Public Works staff after the November meeting that the pool had been filled just prior to Sandy, and he produced some photos taken at the time that showed the pool filled to just below the lights on the side of the pool. Langevin clearly sided with Clarke’s version of events, and he didn’t seem particularly averse to making that clear, in a room in which Thompson and four other candidates for the board – OPA President Tom Terry, Director Ray Unger, and candidates Bill Cordwell and Jack Collins – were present. The other candidate is former director Les Purcell, currently the chair of the OPA’s clubs advisory committee. Cordwell is a member of the budget and finance committee who ran successfully for the board last summer. Unger is the current OPA vice-president. Terry, one of the two incumbents running for the board, told the Progress in a follow-up interview that he disagreed with Langevin’s call for Thompson to resign. He said he told Thompson prior to the Nov. 25 meeting that he needed to explain and reconcile his conflicting remarks regarding the pool, and that he did so, apologizing for what he said in November and producing photo evidence that the pool had been filled with water at the time of the storm. That, Terry said, was satisfactory to him and most of the board. He said he hadn’t responded to Langevin because he was offering an opinion, and Thompson was in the room and could have defended himself if he had wanted to. “People have the right to offer their opinions at board meetings,” Terry said of Langevin. Clarke and Director Dave Stevens were less persuaded by Thompson’s effort to reconcile his November and May comments. Stevens, who with Clarke is a persistent critic of Thompson, is not running for re-election this summer; he’s term-limited by the bylaws but could run again next summer if he so chooses. None of the candidate contacted by the Progress agreed with Langevin’s call for Thompson to resign.

The candidates running for the board and their phone numbers are as follows: Jack Collins, 66 Skyline Ct., 410-6416691; Bill Cordwell, 558 Ocean Parkway, 443-669-4129; Roland Langevin, 20 Crossbow Trail, 410-641-5817; Les Purcell, 55 Tail of the Fox Drive, 410641-7309; Tom Terry, 401 Bluewater Ct., 410-208-1068. Several familiar names fill the list of candidates for the seats currently held by Dave Stevens, Ray Unger and Tom Terry. Unger and Terry have filed to run again and hope to retain their seats. In addition, former board member Les Purcell will run, along with resident Bill Cordwell, who ran in last year’s election. The list is rounded out by residents Roland Langevin and Jack Collins. “I think it’s an opportunity to serve the community in a positive way,” Terry said. Terry is currently serving as president of the board, while Unger is vice president. Unger, who served on the board previously and had a year off before his current term, said he is running because of unfinished business. “We’ve got the Yacht Club to finish and a lot of other stuff,” he said. Cordwell, a Baltimore native and longtime Pines property owner, ran for the board last year but was not elected. He said because his mother was ill, he did not spend as much time campaigning as he’d have liked. “Now I have the time and the desire,” he said, adding that he is particularly concerned with the community’s amenities. Langevin, who has been a homeowner in the Pines since 1991, said he decided to run because he wants to make sure the association has some fiscal responsibility. “I want to make sure assessment fees are used judiciously and we say within a budget,” he said. Purcell and Collins did not return calls for comment. Residents will have the opportunity to meet the candidates at a forum set for June 24 at the Community Center. Ballots will be mailed to OPA members July 12 and must be returned by August 8. Candidates receiving the three highest numbers of votes will be elected for three-year terms on the board.

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By TOM STAUSS Publisher he Ocean Pines Association’s budget and finance advisory committee spent much of its May 31 meeting discussing a draft of a revised investment policy that would make it easier for the OPA to invest a portion of its reserve funds in debt instruments other than federally-insured securities mandated by current board resolutions. The draft policy revision, prepared by committee member Gene Ringsdorf, was tweaked in places but for the most part was supported by committee members. However, two OPA directors attending the meeting – Marty Clarke and Dave Stevens – expressed varying degrees of reservations about the draft.

June-Early July 2013 Ocean Pines PROGRESS

Budget committee considers change that would ease OPA investment policy Directors Clarke, Stevens and Mohr appear at odds on wisdom of adding some corporate and municipal bonds to approved list of securities Clarke suggested that the OPA should not make any change in investment policy that increases risk to principle. Stevens called the draft overly long and complicated and urged simplification before any proposed change is sub-

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mitted to the board for review. Another OPA Director, Terri Mohr, the OPA treasurer and board liaison to the budget committee, was far more supportive of easing OPA investment policy, expressing appreciation for the

committee’s work thus far on the issue. But she said any proposed policy change should first go to Bylaws and Resolutions chairman Jim Trummel for review and word-smithing before it goes to the board. After discussion, the committee agreed that Ringsdorf’s draft should be separated into two or three distinct documents before any are sent to Trummel and his committee. The crux of the proposed policy change is that it would allow the OPA to invest its reserve funds in debt obligations of U.S. corporations – in short, corporate bonds – as well as municipal debt obligations, otherwise known as municipal bonds. Other fixed income securities, such as U.S. Treasury bonds or obligations of other U.S. government agencies, are listed on the committee’s draft approved list, as are a number cash equivalents ranging from U.S. treasury bills, U.S.-guaranteed agency securities, discount notes, repurchase agreements, money market funds, bankers acceptances, commercial paper, certificates of deposit and time deposits and loan participations. Non-permitted instruments and prohibited transactions in the draft policy include stocks, private placements, short sales, use of options or futures, margin securities, hedge funds, commodities, or any speculating on developments or trends in the market. The draft policy further says that any fixed income securities or cash equivalents, other than those backed by the U.S. government, must be rated “investment grade” by two rating agencies, Standard and Poor’s and Moody’s at the time of purchase. Committee members joked that California municipal bonds would probably not be among those chosen for investment. During committee discussion, Clarke alluded to the incident several years ago which prompted the board to adopt the current conservative investment policy limiting investments to those backed by the U.S. government. He said the board adopted the current policy after the OPA lost about $70,000 in principle on one particular investment, a PNC Bank limited security bond. After Clarke had left the meeting, one committee member suggested that the OPA lost money on that investment only because the OPA panic-sold the asset when it showed a loss on paper. Weeks after it had been sold, the asset would have bounced back to its previous value if only the OPA had held on to it, the member said. Clarke later told the Progress that as he recalls it the asset’s value did not bounce back. He said further that based on a two-year maturity, there is not one uninsured investment instrument on the proposed approved list “that is currently paying even one cent more than federally insured CDs in the CDAR program that we are now using.” Clarke said he would rather see OPA reserve funds invested in a non-interest bearing account than in an uninsured 2.6 percent municipal bond. He said the

OCEAN PINES

24 Ocean Pines PROGRESS

OCEAN PINES

June-Early July 2013

Hudson remains as budget committee chair the committee as a rank-and-file member, he did not feel he could accomplish anything of importance remaining as chairman. Instead, he said he preferred to concentrate on developing a systematic approach to seeking grant funding as a way of reducing reliance on annual lot assessments to fund various OPA departments. He will do that in his role as committee chair. During the committeeâ&#x20AC;&#x2122;s May 30 meeting, the committeeâ&#x20AC;&#x2122;s board liaison, Terri Mohr, a director who also serves as the OPA treasurer, promised to deliver a point-by-point response to every suggestion the committee made during the January-February budget process. She again emphasized during the meeting that OPA President Tom Terry made a concerted effort to address committee recommendations during the board review process, a fact observed by a Progress reporter who attended the budget sessions. The only issue not addressed by the board or Terry during the budget deliberations was the committeeâ&#x20AC;&#x2122;s most controversial one, calling for a possible community referendum to decide the fate of the Ocean Pines golf course if operating deficits there are not eliminated during the next few years. In another issue briefly discussed by the committee during the May 30 meeting, Hudson told his colleagues that, with the help of OPA Controller Art Carmine, he obtained a copy of a study on the topic of converting Ocean Pines governance to a municipality. The study was completed during the 1980s. Hudson said he continues to believe the municipality issue deserves to be looked at objectively, and

By TOM STAUSS Publisher eversing a previously announced decision that he would be resigning as chairman of the budget and finance advisory committee at the end of May, while remaining as a committee member, Dennis Hudson has changed his mind, bowing to pressure from members of the Ocean Pines Associationâ&#x20AC;&#x2122;s board of directors to stay on. While not retreating at all from any of the reasons he cited in April for resigning as chair, Hudson told the Progress that he feared the committee would suffer attrition should he follow through with his intent to resign. One member announced that he would leave if Hudson was no longer chairman, and other committee members told the Progress privately that they were very concerned that, if Hudson left, the board might appoint former OPA board member and currently assistant treasurer Pete Gomsak chairman. Those possibilities and realities were sufficient to persuade Hudson to stay on as chair. At the committeeâ&#x20AC;&#x2122;s April meeting, he had expressed frustration with the committeeâ&#x20AC;&#x2122;s perceived inability to influence the board of directors in its budget decision-making earlier this year. Despite what he called good relations with Ocean Pines management, namely General Manager Bob Thompson, and individual members of the board of directors, he said many of the committeeâ&#x20AC;&#x2122;s key recommendations in the last budget cycle were ignored. â&#x20AC;&#x153;Good personal relationships are for naught,â&#x20AC;? Hudson said, telling committee members that while he will remain on

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that the committee should start by reviewing previous studies on the topic. He said he had contacted County Commissioner Judy Boggs who told him an updated municipality study had been completed in 1995. Heâ&#x20AC;&#x2122;s still trying to find a copy and has asked OPA administrative staff to help. In the meantime, he gave a copy of the 1980s study to committee member John Trumpower to review. Hudson said he doesnâ&#x20AC;&#x2122;t have enough information to know whether the idea of municipality is worth considering and added that he wouldnâ&#x20AC;&#x2122;t be deterred by media critics who suggest that it isnâ&#x20AC;&#x2122;t, including one who called the idea â&#x20AC;&#x153;hairbrainedâ&#x20AC;? in a published commentary. â&#x20AC;&#x153;All Iâ&#x20AC;&#x2122;m seeking now are copies of previous studies to see what they have to say,â&#x20AC;? he said, adding that not everyone now living in Ocean Pines has been around since the 1980s and 1990s when the issue apparently was last addressed. Because of time constraints, and the absence of member John Wetzelberger, Hudson did not ask the committee to weigh in on a recommendation drafted by Wetzelberger that, if adopted by the committee, would recommend to the board of directors that it allow a process that could result in amending the OPA bylaws â&#x20AC;&#x153;to require a public referendum for any purchase in excess of 20 percent of the market value of the Associationâ&#x20AC;&#x2122;s liquid assets.â&#x20AC;? Hudson later told the Progress that liquid assets are defined as those that can be turned into cash within 30 days, which he said currently applies to all of the funds in the OPA reserve accounts. As of April 30, the end of the FY â&#x20AC;&#x2122;13 fiscal year, total OPA reserves stood at

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$4,733,983, with the OPA facing costs associated with a new Yacht Club and pool in the current fiscal year. The OPA also is budgeted to receive from between $3 million and $4 million in current year assessments that are supposed to be allocated to reserves. Those funds normally appear for the first time in the May reserve summary that will be issued in mid-June. Under OPA bylaws, the board currently can spend up to 20 per cent of funds collected from annual assessments without obtaining approval from property owners in a referendum. The current threshold is about $1.6 million. If the bylaws are changed to reduce the boardâ&#x20AC;&#x2122;s lending authority, a change that would require a referendum, the 20-percent-of-liquid-assets threshold would reduce board spending authority to less than $1 million. In years when the reserves are depleted, the boardâ&#x20AC;&#x2122;s spending authority would be even less.

Budget committee From Page 23 OPAâ&#x20AC;&#x2122;s â&#x20AC;&#x153;primary fiduciary responsibility for these funds is to protect the capital, not invest it.â&#x20AC;? He also said that rather than collect huge sums of money that are parked in OPA reserves, and invested, the OPA should allow much of whatâ&#x20AC;&#x2122;s collected to â&#x20AC;&#x153;stay in the memberâ&#x20AC;&#x2122;s pocketâ&#x20AC;? while lowering lot assessments. Clarke suggested that all candidates for the board in this summerâ&#x20AC;&#x2122;s OPA elections should be asked whether they support a change in OPA investment policy that puts OPA reserve funds at greater risk. Clarke also told the Progress that to the best of his knowledge, a relaxation in investment policy has never been discussed at the board level, contrary to a statement made by Hudson during the May 31 meeting. Hudson later clarified that he has had some individual discussions with directors on the issue. â&#x20AC;&#x153;I have reviewed the minutes as well as video records of every meeting since I was re-elected last September, and the subject has never come up in any open meeting, much less been discussed,â&#x20AC;? Clarke wrote in some recent email to Mohr. He suggested that in his view there isnâ&#x20AC;&#x2122;t â&#x20AC;&#x153;any interest by a board majority to loosen our F-1 (investment policy resolution), especially in light of the unlikely chance of realizing any additional juice in return for the squeeze.â&#x20AC;? He also said that he wasnâ&#x20AC;&#x2122;t sure that â&#x20AC;&#x153;some of the alternatives listed are even legal for a non-profit association in Maryland. There is a large amount of proposed legislation in Maryland next year that could make it even more restrictive.â&#x20AC;? He told Mohr that he hated â&#x20AC;&#x153;to see our hard working advisory members spending so much time working on what I believe is an issue without much hope of the board approving.â&#x20AC;? He asked Mohr to arrange for a short presentation on the issue at the boardâ&#x20AC;&#x2122;s June meeting.

OCEAN PINES

June-Early July 2013 Ocean Pines PROGRESS

No increase in water, wastewater fees proposed in Pines

atepayers in the Ocean Pines Service Area will see no change in their bills for water and wastewater next year, as the Worcester County Commissioners have decided to maintain the current rates for service. The Worcester County Commissioners on June 4 held public hearings on the fiscal year 2014 enterprise fund budgets for water and wastewater, solid waste and liquor control. The budgets will be officially approved later this month. The commissioners conducted a public hearing on the proposed operating budgets for the OPSA and the ten other

service areas operated by the Worcester County Department of Public Works, Water and Wastewater Division, assessments, user charges and other charges. In addition to user fees, assessments will be levied in the Ocean Pines service area and sub service areas to make debt payments. The total revenue for the OPSA is anticipated to be $5.73 million for FY 1$, including $5.56 million in charges for water and wastewater service, $80,100 in penalties and interest, $86,712 in other revenue and transfers from reserves. The domestic minimum water and sewer charge in the OPSA will be $133 per quarter.

OPA president offers apology to aquatics committee member

cean Pines Association President Tom Terry offered a qualified apology to aquatics advisory committee member Randy Romblad at the committee’s June 5 meeting for a public scolding Terry delivered two months ago. At the board of directors’ March meeting, Romblad had chastised OPA General Manager Bob Thompson for failing to draft requests for proposals (RFPs) to repair a number of Ocean Pines pools in a timely fashion, and also disclosed that the committee had been asked by Thompson to look into a new indoor swimming pool, called a natatorium, to replace the Sports Core pool. An angry Terry addressed Romblad at the committee’s April meeting and accused of him of prematurely revealing committee work product and also of throwing OPA Aquatics Director Tom Perry “under the bus” in his comments about RFPs.

Terry also said six of seven board members agreed with him that Romblad had breached protocol in making his comments, which turned out to be slightly inaccurate. Director Dave Stevens, who was out of town when the meeting was held, later said that he had not been contacted by Terry and probably would not have agreed that Romblad’s criticism was not out of bounds. At the committee’s June 5 meeting, Terry apologized to Romblad for the “energy” in which he had delivered his earlier remarks but not for the substance. He acknowledged that he had misspoken in saying six of seven directors were unhappy with Romblad. But hh repeated his opinion that committee work product should not be made public until the committee as a whole was ready to do so. Romblad said he accepted the apology as far as it went but said it should have gone further. He also told Terry that if Romblad had thrown “anyone under

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The county is proposing a change to the rate structure for commercial users in most service areas including Ocean Pines. Currently the metered commercial minimum water and sewer rate is $245 with additional charges for service based on usage will begin at $1.60 per 1,000 gallons up to 10,000 gallons. Under the new structure the cost would be based on the number of EDUs for each commercial property. One EDU would be $150, two at $210, three to 13 at $270, 14 to 24 at $400 and 25 or more at $500. There are no changes to hook up fees in the OPSA, which vary depending on the

the bus,” it was Thompson, not Perry, because it’s Thompson who issues RFPs, not the aquatics director. Committee chair Virginia Reister said she hoped that the issue was now closed and that the committee could move forward on its work. Chief among those tasks is the committee’s contribution to a five-year capital improvement plan that Thompson is preparing for the board, with a deadline for completion fast approaching.

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section of Ocean Pines. In addition to user fees, assessments will be levied in some service areas in Ocean Pines. All assessments shall be made on an equivalent dwelling unit basis. An EDU is a measurement which is approximately the same amount of water and sewer flow as an average single family residence. The purpose of EDU assessments in the service area or sub-area is to collect funds to pay any debt related to the acquisition or construction of sanitary facilities. Standard assessments for debt service in the OPSA are $54 per equivalent dwelling unit per quarter. The South Ocean Pines Sub-Area rate for debt service is $30 per equivalent dwelling unit each quarter. The approved solid waste enterprise fund operating budget maintains the current solid waste tipping fees of $70 per ton for municipal waste and $80 per ton for construction and demolition debris. The homeowner transfer station permits will remain at $60 for the first vehicle, $15 for the second vehicle and $60 for additional vehicles within each household. Overall the solid waste budget is $5.25 million.

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26 Ocean Pines PROGRESS

WORCESTER COUNTY

June-Early July 2013

Chesapeake Utilities Corp. completes purchase of Eastern Shore Gas Co. Sandpiper subsidiary to operate assets of former Ocean Pines propane supplier

hesapeake Utilities Corporation has completed the acquisition of the operating assets of Eastern Shore Gas Company and its affiliate, Eastern Shore Propane Company (“ESP”). ESG is Ocean Pines’ propane supplier. Chesapeake’s wholly-owned subsidiaries, Sandpiper Energy, Inc. and Sharpgas, Inc., acquired and will operate the ESG and ESP assets, respectively. The transaction was consummated on May 31. Ocean Pines customers will receive a welcome letter and their initial billing from Sandpiper Energy later in June, according to a company spokesman. The acquisition was financed through unsecured short-term debt. Chesapeake and ESG obtained the necessary approvals and consents to close the transaction, including approval of the Maryland Public Service Commission, on May 29. The PSC approval included implementation of delivery service tariff rates for those customers being served via underground distribution mains. With the implementation of tariff rates, the pricing and other conditions of service are regulated by the MPSC. In the first full year of operations, Chesapeake estimates that Sandpiper Energy will save former ESG customers over $1 million in reduced rates. Residential and commercial/industrial customers will be charged rates based on the rate schedules approved by the PSC, regardless of whether they use propane or natural gas. After thirty months from

the date of the PSC’s order, Chesapeake is required to file a formal, in-depth review of its delivery service tariff rates with the PSC. Filings with the PSC indicate that in the first year of operations, reductions in service fees will be modest, but those savings will accelerate with the roll-out of natural gas in the county. “In late 2012, Chesapeake’s interstate pipeline subsidiary, Eastern Shore Natural Gas Company, completed an expansion to bring natural gas to Worcester County … The acquisition of the operating assets of ESG by Sandpiper Energy is a key next step in our growth strategy, enabling us to significantly expand our footprint in Worcester County. We are excited about our prospects for natural gas distribution growth in Worcester County and over the next few months, we will evaluate the potential conversion of the ESG facilities from propane to natural gas. We will proceed with conversions where economically feasible,” said Michael P. McMasters, president and chief executive officer of Chesapeake Utilities Corporation. Based in Worcester County, ESG provides propane service to approximately 11,000 residential and commercial customers primarily in Ocean City, West Ocean City, Ocean Pines, Berlin, Pocomoke and Snow Hill. The propane distribution service is provided from central storage facilities through underground gas distribution mains and services. ESP provides propane bulk delivery service via individual propane tanks to over 500 customers throughout

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Commission president shuts down comment on FY 14 budget County maintains 77 cent property tax rate

By ROTA L. KNOTT Contributing Writer gnoring a long standing tradition of allowing fellow commissioners to comment on the operating budget following its approval, Worcester County Commissioners President Bud Church immediately adjourned the June 4 meeting following a 6-1 favorable vote on the fiscal year 2014 spending plan. When called on the issue by Commissioner Jim Bunting, Church either didn’t hear him or chose to ignore his request to make a statement. When Church finally acknowledged that Bunting, the lone opponent to the budget, was speaking to him, he simply said, “We’re done.” He refused to allow the other commissioners the opportuni-

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ty to comment on the budget. “Thank you Mr. President,” Bunting replied.”Besides president, you’re God, I guess.” Bunting indicated his opposed to the FY ’14 budget as drafted throughout this year’s deliberations. He said it is not a sustainable plan for the county because it calls for using the budget stabilization fund, money the county has squirreled away but isn’t officially a reserve or rainy day fund, to balance the budget for the next two years. The commissioners approved the $168.6 million budget, which reflects an increase of $2.73 million or 1.7 percent more than the FY ’13 budget due to an increase in anticipated revenues. However, about $1.6 million of the money comes that the budget stabilization fund. The budget maintains the existing real property tax rate of 77 cents per $100 of assessed value in fiscal year 2014, which begins July 1. Even at the rate of $.77, property tax revenue will be $5.7 million less than the current year because of continued decreasing assessment values. The Homestead Credit cap remains unchanged at 3 percent and is estimated to be worth $2.44 million to the county’s qualified principal resident homeowners. Income tax revenue is anticipated to increase by $1 million from the current year due to actual receipts and increased estimates. The income tax estimate is based on the current tax rate of 1.25 percent. Other local taxes increased by $250,000 because of anticipated recordation tax actual receipts. The county will implement the planned use of casino local impact grant funds totaling $2 million for the debt payment for the Worcester Career and Technical High School in FY 14. In other revenue areas the distribuTo Page 28

WORCESTER COUNTY

June-Early July 2013 Ocean Pines PROGRESS

AROUND THE COUNTY

Commissioners appoint Webster as emergency services director By ROTA L. KNOTT Contributing Writer

red Webster will take over later this month as Worcester County’s emergency services director. He will step into this new role in late June, following the retirement of longtime WCES Director Teresa Owens. “Webster brings 30 years of emergency services experience to this new assignment,” Commissioner President Bud Church said. “We’ve seen how his leadership has helped the county prepare for and respond to three separate tropical storms, Isabelle, Irene and Sandy, as well as numerous nor’easters. He’s developed strong partnerships with other local, state and federal agencies to create and implement emergency plans, and that’s just the type of individual needed to take on this key role.” Webster joined WCES as deputy director in 2002. Prior to that, he worked with the Salisbury Police Department and as emergency management coordinator for Wicomico County Emergency Services. Webster holds certifications from the National Hurricane Center in Miami and multiple certifications from both the Federal Emergency Management Agency and the Maryland Emergency Management Agency. He is certified by the

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National Academy of Emergency Dispatch in Emergency Medical, Fire and Police dispatch and is also certified as an instructor for the Academy’s Emergency Telecommunicator Basic class. In 2009, Webster became certified by the same group for Quality Assurance and Quality Improvement in dispatching. He also holds certification in Maryland Hazardous Materials Operations and is a member of the Worcester County Special Hazards Response Team. He chairs the Worcester County Local Emergency Planning Committee and coordinates the county’s Community Emergency Response Training program. In addition to his duties in Worcester County, Webster serves as secretary of the Maryland Emergency Management Association and serves on the MEMA Conference Planning Committee. He also co-chairs the Exercise & Training Committee of the Delmarva Emergency Task Force, which is made up of emergency managers from the Eastern Shore of Maryland, Delaware and Virginia. Owens recently announced her impending retirement from Worcester County Government effective June 23 after 35 years of service. She originally began working in WCES in 1978 and in 1996 the commissioners promoted her to director of the department. In her role as director of WCES, Owens leads the 911 Communications Center and the Information Technology Division. She also directs all aspects of emergency management operations, including disaster planning, response and recovery. In 1996, Owens was appointed as Worcester County’s emergency management director.

County road named to honor fallen soldier

The Worcester County Commissioners on Memorial Day, May 27 dedicated Samuel Bowen Boulevard, also known as the Route 50 Service Road, in Berlin. The road was named to honor the memory of Samuel Robert “Smokey” Bowen, a Worcester County native and 1983 Stephen Decatur High School graduate who died July 7, 2004 in Iraq. Members of Bowen’s family, including his grandson, Zaire, and fellow U.S. Army National Guard’s 216th Engineer Battalion members joined the Worcester County Commissioners to dedicate the road. The first phase of Samuel Bowen Boulevard is complete and runs for .75 mile from the intersection of Holly Grove Road and Route 50 in a westerly direction. Once the second phase of construction is complete, Samuel Bowen Boulevard will parallel the highway from Holly Grove Road to Seahawk Road, helping di-

County budget From Page 27 tion from Liquor Control Department was increased in the budget to $299,565 from anticipated revenues. Federal Grants are anticipated to decrease $35,769 with the reduction of homeland security and crime analyst grant funds. State Grants increased $736,337 mainly due to State Program Open Space funds for an addition to the county recreation center in Snow Hill. The commissioner agreed to give all county and Board of Education employees a two percent pay raise in FY 14. The county’s overall allocation for the

vert traffic off the major thoroughfare.

New liquor store opens on Route 50

The Worcester County Commissioners in conjunction with the Department of Liquor Control celebrated the grand opening for the new Shore Spirits Retail Liquor Store on May 21. A ribbon-cutting ceremony took place in front of the store, which is located in the Verizon Shopping Center on the eastbound side of Route 50 a quarter of a mile east of Seahawk Road near Berlin. In February, the commissioners unanimously approved the re-branding of DLC retail liquor stores, adopting a new, customer-friendly and inviting image to be known as Shore Spirits. The new 4,800-square-foot store includes both a retail and wholesale operations center. It is the first store to adopt the new title and logo. To page 31 Board of Education’s operating budget is $75.77 million, an increase of $1.67 million more than the current year adopted budget. School construction debt is paid by the county on behalf of the Board of Education. It is not reflected in the Board’s budget; however, it is included in the County’s operating budget. Including the debt service of $8.87 million, the county’s allocation to the school system is $84.65 million or 50.2% of the county’s total estimated revenue. The bus contractors will receive only a 1.5 increase in their hourly rate, mileage rate and per vehicle allotment effective July 1.

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CAPTAIN’S COVE

June-Early July 2013

Cove board sweetens terms for Section 14-18 lot swaps

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Captain’s Cove obtains flood coverage for its Marina Club complex, including two swimming pools By TOM STAUSS Publisher ince lot owners in the undeveloped sections of 14 through 18 have not been interested in an offer by the Captain’s Cove property owners association to accept lots in trade for property in buildable areas, the Cove’s board of directors has sweetened the terms. In January, the board had made such swaps contingent on Section 14-18 owners paying $1,000 for the privilege of obtaining lots in buildable areas but, with no takers to date, the directors during their May 23 meeting accepted a suggestion from a property owner to offer “even-up” swaps, with property owners responsible only for paying any overdue assessments and transfer costs. “Hopefully, this will be more successful than the $1,000 program,” Cove President Tim Hearn remarked before a motion to offer even-up swaps passed unanimously. Not just any lot in Sections 1 through 11 will be available for trade. The POA will be developing a list of association-owned lots that will be eligible for trade, which presumably would exclude more expensive water or golf course lots. The revised program is part of a continuing effort by the association to obtain as many lots as possible in Sections 14-18, considered those least likely in the Cove to be developed in the foreseeable future. In recent months, with the effort picking up some in May, the board has been accepting deeds in lieu of foreclosure from property owners in these sections who wanted out of their obligations to pay annual lot assessments. The Cove has been accepting these lot conveyances from property owners who have been willing to pay off all their delinquent assessments. In other instances in which property owners have been unwilling or unable to pay their arrearages, the Cove POA has been conducting foreclosure sales, the most recent conducted in April and another in the works. This approach is more expensive for the POA to pursue. Roughly 45 lots went to auction in the initial round. Another 50 to 100 could go up for sale in the next round, Hearn said. Lot trades, deeds in lieu of foreclosure and foreclosure sales are the primary means by which the Cove expects to obtain control over the lion’s share of lots in Sections 14 through 18, together with the Cove’s primary developer, Captain’s Cove Group Note, LLC. Of these section’s 800 lots, Hearn said that about 620 are owned either by the POA or the developer, which means they do not generate assessment revenues for the POA. The other 180 are subject to annual POA assessments, and many of their owners are current in their dues. As was reported in the Progress’ May-Early June edition, Hearn said the board is working on a business development plan for Sections 14-18, with no decision yet made on what will happen once the POA and CCG Note obtain control over the roughly 4,000 acres that encompass these sections. Among the options under consideration are sale of the property to a farmer or residential developer, he said. Hearn acknowledged that a “checkerboard” pattern will result from the fact that neither the POA nor the developer will own all 800 lots. While some lot owners might want to participate in some sort of bulk sale of lots to a farmer or developer, there will be some hold-outs, complicating any sort of business plan that could be devised for these sections. Hearn also said that the developer and POA would have to work out an equitable “split of the proceeds” in the event of a future sale. Another issue is whether the land that is sold remains a part of the POA, which is formally known as the Captain’s Cove Golf and Yacht Club. The Cove president appeared to rule out one other possibility for Sections 14-18, which would involve the Cove POA assuming the role of developer. “And we’d be the first developer (in the Cove’s 40-year existence) that didn’t go bankrupt,” he joked, with a more serious subtext suggested. Flood insurance approved – The directors in a 6-1 vote approved a $50,000 flood insurance premium to cover the Marina Club complex, including the adjoining docks and the facility’s two swimming pools, during the May 25 board meeting. Only $22,000 of that premium will be incurred in the current fiscal year, Hearn said. The Cove president said previous boards did not purchase flood insurance, leaving the valuable bayfront amenity vulnerable to perhaps the most likely way Mother Nature could wreak havoc on association finances. The Cove has maintained basic hazard coverage over the years, which does not normally cover damage caused by flooding. The new coverage includes $500,000 in flood insurance through the National Flood Insurance program and another $4 million “on the secondary market,” he said. To reduce the premium, he said the coverage includes a $50,000 deductible. To Page 30

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Saturday, June 8 Summer open house, Pine’eer Craft and Gift Shop, White Horse Park, Ocean Pines, 10 a.m. to 4 p.m. Handcrafted home decor, jewelry, and fashion accessories, created by members of the Pine’eer Craft Club. Refreshments and door prizes. Ocean Pines Anglers Club’s monthly meeting, 9:30 a.m., Ocean Pines library. Featuring Elizabeth Silleck, of the Pew Charitable Trusts, who will speak on behalf of the Herring Alliance, a coalition of groups dedicated to reforming industrial fishing practices. All welcome. Monday, June 10 The Friends of the Ocean Pines Library, monthly meeting, 10 a.m., Ocean Pines library. Refreshments 9:30 a.m. Featuring Susan Parker, opinion page editor of the Daily Times and other Gannett newspapers in the area, who will discuss publication guidelines and procedures for getting submissions published. All welcome. 410-208-4014. Thursday, June 13 Ocean Pines Garden Club’s annual garden tour, 9 a.m.-noon. Luncheon, Ocean Pines Yacht Club, 12:30 p.m. Eight local gardens. Menu includes choice of lunch is a trio salad plate (egg, chicken and potato salads), stuffed tomato with tuna salad over greens and veggies, or

Captain’s Cove From Page 28 During discussion, director Bob Miller said he thought CCG Note, the developer, ought to “share in the cost” of flood coverage so that Cove property owners don’t have to bear all of it. Hearn disagreed, noting that when CCG Note “heavily negotiated” the terms of the Marina Club’s sale to the POA, there was no reference in the sales agreement to any insurance cost sharing. “The former board didn’t do it (require developer cost-sharing),” Hearn said, suggesting that there was no reason to revisit the issue now that the POA owns the building, with financing provided by the developer. Miller voted against the motion, explaining that he didn’t want “to get in anyone’s pocket” by adding flood insurance to the POA’s expenses. After the meeting, Hearn said in shopping the combined flood insurance package to various carriers, he was aware that the Ocean Pines Association, which has had flood insurance coverage, had it structured in such a way that the Yacht Club pool, flood-damaged by Hurricane Sandy, was not covered. The resulting cost of a new pool, as a result, is being borne entirely by Ocean Pines property owners. “I wanted to make sure that didn’t happen to us,” he said. “Our pools are covered; I made certain of it.”

HAPPENINGS tossed mixed garden salad with choice of dressing; assorted loaf cake slices, coffee, tea, or non-alcoholic beverage. Cash bar. Luncheon and tour, $22; tour only $10. Sharon Puser, 410-208-3032, for reservations or more information. Saturday, June 15 Ocean Pines Recreation and Parks Department’s 3rd Annual Big Truck Day, 10 a.m. to 2 p.m., between Sports Core Pool and Veteran’s MemorialD. Dump trucks, construction equipment, military vehicles and more. Free. Tuesday, June 18 Worcester County Commission for Women (WCCW), monthly meeting, 5-6:30 p.m., Ocean Pines Library, small room 11107 Cathell Road, Ocean Pines. The WCCW is seeking volunteers for short-term assignments such as grant writing and event planning. 400-632-5040. Tuesday-Thursday June 18, 19 and 20 Coast Guard Auxiliary’ Maryland basic boating safety course, 6-9 p.m., Ocean Pines library. Required for all boaters born after July 1,1972. Certificate awarded after successful completion. Course includes piloting local Ocean City waters. $15 for all three

Roads surfacing – The board during the May 25 meeting unanimously approved a motion that instructs the roads committee to develop a plan to “maximize” where to spend roads money to make road access available for up to 120 dues-paying properties that don’t now have it. The plan would be presented for review and discussion during the board’s June meeting. While most of Sections 1 through 11 have road access, parts don’t. Sections 12 and 13 have rough roadways cut through the trees and open areas, with no surfacing anywhere. Hearn said that the roads engineering for all of Captain’s Cove, Sections 1 through 13, would be completed by the end of July, and that a major effort would be employed to finish Sections 12 and 13 by the end of June, which could mean that it might still be possible to include all or part of these sections in the first batch of roads to be surfaced in the program’s initial phase. He said that once permits are in hand for the tar-and-chip surfacing, the intent would be to start the work within 180 days. Road construction permits are good for 180 days and are renewable, he added. Previously Hearn has said that the Captain’s Cove Utility Co. will install water and wastewater collection infrastructure before or during roads construction. Utilities and road access are crucial

evenings or $10 for those 16 or younger. 410-629-1016 or CGAUX1205 @gmail. co to register or more information. Thursday June 20 Sunday breakfast, 8 a.m. - noon, Ocean Pines Community Church, 11227 Racetrack Road, benefiting the Stephen Ministry team. $6. Scrambled eggs, sausage, pancakes, and biscuits with sausage gravy, orange juice and doffee. Sunday, June 23 Ocean Pines Garden Club’s annual garden tour, 9 a.m.-noon. Luncheon, Ocean Pines Yacht Club, 12:30 p.m. Eight local gardens. Menu includes choice of lunch is a trio salad plate (egg, chicken and potato salads), stuffed tomato with tuna salad over greens and veggies, or tossed mixed garden salad with choice of dressing; assorted loaf cake slices, coffee, tea, or non-alcoholic beverage. Cash bar. Luncheon and tour, $22; tour only $10. Sharon Puser, 410-208-3032, for reservations or more information. Monday, June 24 Candidates forum, sponsored by the Ocean Pines Association’s Elections Committee, Ocean Pines Community Center, Assateague Room, 7 p.m. Six candidates running for the OPA board of directors this summer.

to making lots buildable. If lots have water and wastewater treatment services available, the CCUC can charge lot owners availability fees. Financing for roads surfacing is supposed to come from a bank loan or line of credit to be established for that purpose. Golf carts – The 18 golf carts that the board authorized for purchase in April didn’t arrive in time for Memorial Day weekend, and Casper Golf manager and pro Tim Johnson accepted full responsibility for that. He said the new carts would be available for use within 30 days of the May 25 meeting. Meanwhile, the golf club’s existing fleet is adequate to accommodate golfers. In response to mild criticism by director Bob Miller that the golf pro shop has been underequipped, Johnson said that new merchandise literally was to be deployed in the shop the very next day. “As of Friday the 25th, the golf shop will look like it should,” he said. Meanwhile, Casper Golf officials and Hearn reported that revenues, particularly those related to banquets, are ahead of budget so far in the fiscal year. Erosion control – The board unanimously approved an expenditure up to $10,000 to add rip-rap to an eroding lot in Section 1 (lot 781), as opposed to spending $20,000 on new bulkheading. The Waterfront Committee, chaired by director Buz Williams, is recommending that owners of waterfront lots with erosion issues should be forced to add

Tuesday, June 25 Kayakers “paddle smart” seminar, sponsored by the Ocean City Power Squadron, 7-9 p.m., Ocean Pines Community Center’s Marlin Room. Intended for beginners and those considering purchasing paddle equipment. $30 includes a student note book, the Complete Sea Kayakers Handbook by Shelly Johnson, and “Introduction to Paddling - Canoeing Basics for Lakes and Rivers” by the American Canoe Association. Hosted by OCPS past commander, Bill Killinger, pilot. 410-208-9355, 410-641-8040 for more information. Wednesday, July 11 Star Charities’ Western Night at the Races, 4:30 p.m., Ocean Downs racetrack, reservations required for limited seating. Tickets $26. Chicken and fish buffet, live harness racing, free program, door prizes, best western dress prizes, live entertainment. RSVP 410-208-9514, 410-208-0430. Benefits Worcester County Development Center. Saturday, July 13 Kiwanis summer pancake breakfast, Ocean Pines Community Center, 8-11 a.m. Tickets $5 adults, $3 kids under 12, free kids under 5. Pancakes, sausages, fruit cup, orange juice, coffee or tea. Pre-purchase tick-

30 Ocean Pines PROGRESS

rip-rap or bulkheading as a protective measure. Hearn said that as a way of dealing with property owners unwilling or unable to protect their and nearby property from erosion, the POA should be authorized to make the required fixes either with rip-rap or bulkheading, in much the way that the POA can enter onto a property to cut overgrown lots. The board approved a motion declaring several Section 1 lots in violation of Environmental Control Committee rules regarding erosion control and authorized spending up to $20,000 this summer to make needed fixes. The board previously approved up to $50,000 for gabion removal. Transfer fee rescinded – The board unanimously voted to rescind a $200 transfer fee imposed on new Cove property owners, a levy that Hearn said has been imposed for some time with no apparent authority in POA bylaws or other founding documents. He’s been receiving “a lot of emails” on this topic and said “our conscience will be cleared” when the fee is no longer collected. He said eliminating the fee will cost the POA roughly $10,000 per year in revenue going forward. There was no discussion or vote on rescinding fees already collected. Special meeting – The board will be holding a special meeting June 20 to begin the 2013-14 fiscal year budget process, including hearing from various POA committees on budgetary requests.

OPINION

June-Early July 2013 Ocean Pines PROGRESS

Call for GM’s resignation may aid Langevin’s board bid

oland Langevin, an Ocean Pines homeowner since 1991 and a candidate for the OPA board of s by-ways he curious and by-ways andtook cul-de-sacs directors this cul-de-sacs summer, to the floor selyduring populated community. the May 25 meeting of the board most densely populated community. and said that OPA General Manager Bob Thompson should resign. Langevin described as “appalling” what he regarded as Thompson’s failure to take proper steps to protect the Yacht Club pool prior to Hurricane Sandy. He said he was “disgusted” by contradictory statements by the general manager about whether the Sports Core swimming pool had been filled with water prior to the arrival of Hurricane Sandy in Ocean Pines last fall. He seemed unpersuaded by Thompson’s attempts to reconcile the contradiction and to apologize for giving the board what he said was ininformation ean accurate Pines Progress, a journalback of in November, he said isthepublished pool hadn’t been filled. nd when commentary, The storm throughout the damaged year. It isthe Yacht Club to Pines, such Berlin, an extent ed inpool Ocean West that it didn’t to try to and repair it. To some City,make Snow sense Hill, Ocean City degree Cove, Va. – and that degree is impossible measure with exactitude – failure to and to other editorial submissions: fillvia the poolonly. may have contributed to the ubmit email We do not axes or submissions that require . Letters should be original and e to the Progress. Include phone COUNTY BRIEFS

SPINES

From Page 27

County jail receives

27 Nottingham Lane, compliance Ocean Pines, MD award

The Worcester County Jail received a Recognition of Achievement UBLISHER/EDITOR UBLISHER/EDITOR Award from the Maryland CommisTom Stauss sion Correctional Standards for Tomon Stauss achieving 100 percent compliance stauss1@mchsi.com stauss1@mchsi.com with Maryland regulations during 410-641-6029 410-641-6029 aAdvertising recent inspection. This is the 11th Advertising inspection period in consecutive which the Worcester County Jail ART DIRECTOR earned this award. ART DIRECTOR Rota Knott Inspections are conducted every Hugh Dougherty three years by the Maryland Commission on Correctional Standards. CONTRIBUTING Due to the cooperative WRITERS TRIBUTING WRITER efforts of the entire team, the Worcester County Rota Knott Knott Jail has achieved 100 percent comGinny Reister wellmedia@comcast.net pliance during every audit period,

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HAPPENINGS From Page 30 ets from Ralph Chinn at 410-208-6719 or at the door. Carryouts available. Saturday, Aug. 3 Pine’eer Craft Club of Ocean Pines’ 36th Annual Arts and Crafts Festival, White Horse Park, 239 Ocean Parkway, 9 a.m.- 3 p.m. Free parking, food vendors. More than 100 artisans and crafters. Quilts, original artwork, candles, pottery, floral design, jewelry, personalized items and holiday décor, Ocean Pines Farmers Market. Vendor applications can be downloaded from www.oceanpines.org or call Barb O’Connor at 410-208-2944 for information.

could be a spirited election season. To the extent that Langevin takes specific positions at odds with the other candiAn excursion through the curious cul-de-sacs dates, and takes positions in line with, An excursion through theby-ways curious and by-ways and cul-de-sacs say, dissident director Marty Clarke, he of Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. is excellent position to corner that porBy TOM STAUSS/ By TOM Publisher STAUSS/Publisher tion of the Ocean Pines electorate that would reelect Clarke in a heartbeat. Think of Langevin as a card-carrying pool’s demise. The pool had not been in able degree The costs of a new pool might even member of the Marty Party, a loose cothe best of shape for some time; Hurricane Sandy may have been act of nature exceed the contract amount, as some alition of souls who lack confidence in that simply hastened the time by a few diehard patrons of the adults-only Yacht Thompson’s management skills. Should Langevin be among the winClub pool (except for family fun nights, years when the pool had to be replaced. OPINION What’s not debatable is that the OPA of course) probably won’t be renewing ners in this summer’s election, of course, will be spending almost a million to de- their aquatics memberships this sum- there is no reason to assume that he molish and replace the old pool, decking mer, depending on how long it takes would always agree with Clarke or find and pumphouse in the here-and-now, to have the new pool up and running. himself on the outs with his colleagues draining OPA resources at the same That affects membership revenue and to the same degree that Clarke has. For now, though, should he be electtime that the OPA will be spending $4.7 food and beverage revenue as well, to million, and then some, on a new Yacht the degree that the Yacht Club pool con- ed, Langevin would seem to be the board An excursion through the curious by-ways and An excursion the curious by-ways and cul-d member most likely to fillcul-de-sacs the shoes of and a reconfigured marina. tingent won’t findProgress, the OPA’s four of other through The Ocean Pines a journal of Worcester County’s most densely populated community. of Worcester County’s most densely populated comm retiring director Dave Stevens, the othan acceptable alternative during Only because the OPA is in extreme- pools news and commentary, is published er director who hasn’t been reluctant to hiatus. ly solid financial shape with hefty re- the By TOM STAUSS/ By TOM STAUSS/ monthly throughout the Publisher year. It isPublisher find fault with Thompson. Whatever the merits of Langevin’s serves – almost $5 million in the bank circulated in Ocean Pines, Berlin, West The early prognosis is that, even of City, viewSnow – and call City for Thompat the end of April, with another $3.9 to point Ocean Hill,his Ocean and should Langevin win a board seat, the be booked in May financials – can these son to resign has not been joined by othCapain’s Cove,Va. balance on the board, its pro-Thompson rather large expenditures occur without erLetters boardand candidates thus far – it certainother editorial submissions: tilt, is not likely to change much when constituted the opening volley in what depleting the reserves to an unaccept- lyPlease submit via email only. We do not the smoke clears in August after the balaccept faxes or submissions that require lots are counted. Thompson is safe for retyping. shouldefforts be original and since its first audit in 1982. ships andLetters outreach promotes the foreseeable future. exclusive to the Progress. Include Warden Garry Mumford said adventure, exploration andphone discov-

LIFE IN THE LIFE INPINES THE PINES

that leadership and staff working together is what makes the Worcester County Jail one of the best in the state, and this award reflects his staff ’s hard work and dedication to excellence. “The county is fortunate to have this wonderful group of employees at the Worcester County Jail who care about the quality of services provided at the jail,” he said. “We all take great pride in the fair, humane, and respectful treatment of all involved, from the inmates to their families and friends, to their attorneys and anyone else who may be involved. This is hard work, but we embrace it with a true commitment to do whatever it takes to meet or exceed the standards imposed on us.”

Tourism officials name Worcester Green winners

Worcester County Tourism recently named the 2013 Worcester Green Award winners. Worcester Green awards are given to area businesses and individuals dedicated to sustainable environmental practices, such as water conservation, wastewater management, alternative transportation and transit, recycling, energy conservation, on-site renewable energy production, use of local products and food sources and the purchase of renewable energy. Superfun Eco Tours was named the Worcester Green Award Business. Superfun Eco Tours advocates stewardship for wilderness areas and through community partner-

ery of Assateague Island while educating participants about the complex eco-system of the Lower 127 Nottingham Lane, Shore. The Ocean City Development Ocean MDthe WorcesCorporation wasPines, named ter Green Award Community OrPUBLISHER/EDITOR ganization. The OCDC established PUBLISHER/EDITOR Tom and manages green building iniTomaStauss Stauss tiatives program that offers finantstauss1@mchsi.com tstauss1@mchsi.com cial assistance to business owners 410-641-6029 410-641-6029 to install new long term energy efAdvertising ficient products and methods within Advertising the designated OCDC target area in ART DIRECTOR Downtown Ocean City. DIRECTOR Rota Knottthe first hotel Park ART Place Hotel, in OceanHugh City Dougherty to install solar panels to heat water, was named the CONTRIBUTING Worcester Green Award Lodging for WRITERS CONTRIBUTING WRITER a second consecutive year. Knott Knott its green iniThe hotelRota has grown Ginny Reister Inkwellmedia@comcast.net tiatives from a modest office waste recycling 443-880-1348 program into a way of doing business. Since installing solar panels on their roof in 2008 to heat water, they have gone on to use compact fluorescent light bulbs throughout the hotel, placed Low E sliding glass doors and water-saving shower heads in all the guest rooms, instituted a guest trash recycling program and a towel conservation program, utilizing eco-friendly detergents and low energy washers and dryers to conserve water and power. Fish Tales of Ocean City was named the Worcester Green Award Restaurant. Fish Tales is helping to lead the way in environmentally friendly practices, including the use of solar power, water conservation practices, oil recycling, and many other practices.

The Ocean Pines Progress, a journal of news and commentary, is published The Ocean Pines Progress, a journal of monthly throughout the year. It is news and commentary, is published circulated in Ocean Pines, Berlin, West monthly throughout the year. It is circuOcean Snow Hill,Berlin, Ocean City City, and lated inCity, Ocean Pines, Ocean Capain’s Cove, Va. and Captain’s Cove, Va. Letters and other othersubmissions editorial submissions: Letters and should be Please email not sent viasubmit emailviaonly. Weonly. do We not do accept accept or submissions submissions that faxes orfaxes other that require require retyping. Letters Letters should be original and and exclusive to to the the Progress. Progress. Include Include phone phone

number for verification.

127 Nottingham Lane, 127 Nottingham Lane, Ocean Pines, MD. 21811 Ocean Pines, MD

PUBLISHER/EDITOR Tom Stauss PUBLISHER/EDITOR PUBLISHER/EDITOR tstauss1@mchsi.com Tom TomStauss Stauss 410-641-6029 tstauss1@mchsi.com tstauss1@mchsi.com 410-641-6029 ADVERTISING 410-641-6029 Advertising Tom Stauss

Advertising

ART DIRECTOR ART DIRECTOR

ARTRota DIRECTOR Rota Knott Knott Hugh Dougherty

CONTRIBUTING CONTRIBUTING WRITERS WRITERSWRITER CONTRIBUTING Rota Knott

Rota Knott Ginny Knott Reister Ginny Susan Reister Canfora Inkwellmedia@comcast.net 443-880-1348

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