March 2019 edition

Trendic endorses Colby Phillips as acting GM Director Slobodan Trendic has disclosed to local media that he intends to “nominate” Colby Phillips as “temporary” or acting general manager of the Ocean Pines Association.

Trendic said that the OPA bylaws mandate that the OPA have a GM in place or in the absence of one, the board must appoint a “temporary” GM from the ranks of the OPA president, the board, or anyone of its choosing. ~ Page 3

OPA to build new craft shop for Pine’eer Craft Club Local crafters will soon have a new building in which to display their wares. Citing the thousands of dollars in donations the Pine’eer Crafts Club makes to the Ocean Pines Association and other organizations and the business its events bring to the community, the Board of Directors has agreed to construct a new building and lease it to the club for its Pine’eer Artisan and Gift Shop. ~ Page 6

Lone golf cart barn bid comes in at more than $500,000 The sole bid received by the Ocean Pines Association for a replacement golf cart barn is so far over budget there doesn’t seem to be any conceivable way the Board of Directors would approve it.

Bidding it out again as “design build” pole barn project seems possible, but an alternative scenario is being discussed that would allow the sole bidder to reduce the cost substantially by going with a so-called “Butler” or pole barn building on. ~ Page 8

March 2019

www.issuu.com/oceanpinesprogress

443-359-7527

THE OCEAN PINES JOURNAL OF NEWS & COMMENTARY

COVER STORY

Board considering outsourcing to fill general manager vacancy National companies to be given opportunity to submit proposals

By TOM STAUSS Publisher onths after the Board of Directors decided not to go down the outsourcing path for financial management software, the idea has been resurrected, this time as a way of filling the General Manager vacancy created by the recent departure of John Bailey.

It envisions asking national companies like Associa’s Legum and Norman or First Residential Services to offer proposals to offer management proposals including possible candidates to step into a GM role at the appropriate time.

The latest version of outsourcing under consideration does not include revisiting the decision to contract with NorthStar Technologies for the installation of that firm’s proprietary software.

It might not include giving a general manager selected from the ranks of national companies authority to run all of the day-to-day affairs of the Ocean Pines Association, at least as that management structure has traditionally been employed in Ocean Pines, to varying degrees of success.

This iteration of outsourcing, which is still in the early stages of formulation, would apparently take advantage of the fast start in managing the affairs of the OPA by an interim management team with the in-

M

volvement of members of the board of directors working with the four indviduals who oversee four discrete areas of the OPA. Those individuals include Aquatics/Recreation Director Colby Phillips, who is overseeing the actitivies of the Public Works Deprtment and the facilities manager, Kevin Layfield; Steve Phillips, the director of finance who is overseeing the finance department, communications, information technology, payroll, administration, membership, NorthStar implementation, and food and beverage (Yacht Club and Beach Club; Chief of Police Dave Massey; and Director of Golf John Malinowki.

The board in a 4 to 1 vote, with two directors, Esther Diller and Ted Moroney not voting (Diller apparently because of teleconferencing issues) at a March 9 meeting approved a motion by Director Slobodan Trendic to authorize President Doug Parks to draft and send out a request for proposals from national management companies by March 16, with responses due back by April 5.

Parks said he could meet that aggressive timeline for completing the RFP, after Trendic mentioned that this motion had been on the table for more than a week and that Parks could have gotten an early start on it if he agreed with it conceptually.

It turns out Parks did at least conceptually agree To Page 35

Golf clubhouse bids opened; Gillis-Gilkerson at $1.49 million, under referendum threshold

BERLIN i.g. Burton www.igburton.com 10419 Old Ocean City Blvd, Berlin, MD 410.641.0444

~ Page 5

THE ALL-NEW 2019

SILVERADO IS HERE!

2 Ocean Pines PROGRESS

March 2019

410-213-0119

12547 Ocean Gateway (next to Popeye’s) 8 am - 6 pm Monday through Friday 9 am - 5 pm Saturday and Sunday

URGENT CARE NO APPOINTMENTS - Just Walk In!

WHERE THE LOCALS GO

OPEN YEAR ROUND www.westocinjurycenter.com Joseph Crisanti, MD

Cynthia Randolph, PA-C

OCEAN PINES

March 2019 Ocean Pines PROGRESS

Trendic calls on colleagues to appoint Colby Phillips temporary general manager

D

irector Slobodan Trendic has disclosed to local media that he intends to “nominate” Colby Phillips as “temporary” or acting general manager of the Ocean Pines Association.

Trendic said that the OPA bylaws mandate that the OPA have a GM in place or in the absence of one, the board must appoint a “temporary” GM from the ranks of the OPA president, the board, or anyone of its choosing.

“As you recall I had a motion to go into a closed session at the meeting last Saturday [March 9] to discuss organizational issues. I withdrew my motion because Esther [Diller] and Ted [Moroney] were not present. Both of them and their votes would have been instrumental in any actions that would come out. My intent was ... to nominate an acting GM because I feel the Association needs to comply with the by-laws,” he said.

Trendic said his intent “was and still is to nominate Colby Phillips to assume a temporary role of the AGM. In fact I nominated her over a year and half ago but I had no support from the board majority.”

He went on to say that he “may call” for an electronic vote “and put forth a motion nominating Colby. I feel the AGM is needed ASAP and this action should not wait until next board meeting on April 6.”

An electronic vote would require all seven directors to agree to vote that way. Three directors - Doug Parks, Colette Horn and Frank Daly -- sent out email to say they wouldn’t support an email vote.

Alternatively, Trendic said he would call for a special meeting to consider the vacancy. He issued the call to his colleagues, but had not heard a response by any director by the end of the business day March 15.

Daly in an email to the Progress said he doubted there would be unanimity among the directors on an email vote and that he personally favored

Remodel CUSTOM and EnhanceHOMES Your Home Today!

&inREMODELING We Specialize Bathrooms, Sun Rooms, We Specialize Kitchens, in Kitchens, Bathrooms, Sun Rooms, Porches, Enclosures, New Additions and Roofs Porches, Enclosures, NewYour Additions Roofs Remodel and Enhance Homeand Today!

We Also Remodel Entire Houses and Condominiums

Ask About Our New Construction Consulting Services!

www.PooleContracting.com Mike Poole

Mike Poole mike@poolecontracting.com

mike@poolecontracting.com

410-352-9980 410-251-4006 Bishopville, MD 21813

Bishopville, MD 21813 MHIC #104077 • MHBR #6927 MHIC #104077

www.PooleContracting.com

To Page 5

Offer ends March 31, 2019

GO TANKLESS! SAVE

How old is your Water Heater? Replace yours BEFORE your house floods!

on complete installation!

Up to 34% We install

ALL

types of Water Heaters,

FAST!

more Energy Efficient!

PLUS!

Save up to an

additional

$100

Same Day Sam

Before March 31st!

Get Help 24 hours a day! It’s just a click away! www.ServiceToday.Help The quickest way to get help, 24/7 365 days a year!

Special pricing can not be used with any other discount, promotion or coupon. 15% off is based on preferred rate, company supplied equipment.

1-888-859-6493

3

4 Ocean Pines PROGRESS

March 2019

OCEAN PINES

March 2019 Ocean Pines PROGRESS

5

Golf clubhouse, police station bids opened Gillis-Gilkerson proposal of $1.49 million is under referendum threshold

By TOM STAUSS Publisher ids were opened March 13 for a renovated and expanded Ocean Pines Police Station and a new Ocean Pines golf clubhouse.

The Whayland Companies of Laurel, De., submitted the sole bid for the OPPD project. It was for $1,189,000 design-build, with a contingency of $200,000.

Awarding a major contract to single participating bidder is not something that would normally occur in Ocean Pines. The project is currently budgeted at $800,000.

Whayland and Gillis-Gilkerson were the only two bidders on the golf clubhouse project. Gillis-Gilkerson’s bid came in at $1.49 million, in line with a proposal from last year at $1.2 million that did not include demolition or site costs.

The Whayland base bid was for

B

Front elevation, proposed golf clubhouse

$1.57 million, with a contingency of $230,000, for a total of $1.8 million.

Both bids are being vetted, analyzed and equalized by a team that includes Director Frank Daly, the director who, under the transition management team, oversees “vertical assets.”

It’s possible the team will have a recommendation for board consider-

Discount.

Discount.

Discount.

Rick Ropp, Agent 10514 Racetrack Road, Suite E Berlin, MD 21811 Bus: 410-641-7777 rick.ropp.bvk8@statefarm.com

Get them all with Discount Double Check .

It’s a quick and easy way to make sure you’re saving all you can. And it’s free.

GET TO A BETTER STATE .

CALL ME TODAY. ®

™

1101246.1

State Farm, Home Office, Bloomington, IL

Back elevation, proposed golf clubhouse

ation by the board’s April 6 monthly meeting.

Daly said the latest referendum threshold calculation is $1.752 million.

Director Slobodan Trendic has informed the Progress that he opposes paying for a new golf clubhouse out of the replacement reserve, which he said should be used only for component replacements, not full building replacements.

“The building is not part of the

reserve study and has not contributed over the years to the replacement reserve (through funded depreciation),” he said. “It’s improper to use reserve money in this manner.”

Daly told the Progress that while he understands Trendic’s argument, Maryland law is not restrictive when it comes to use of reserve funds for projects of this nature. He said throughout Ocean Pines history, the replacement reserve has been used for replacement buildings.

Trendic endorses Colby Phillips for GM From Page 3 discussing any further changes in the transitional administrative structure now in place in an open meeting of the board.

Director Colette Horn made a similar comment during the March 9 board meeting.

He also doused cold water on the Colby Phillips option for temporary GM in a telephone interview.

“I’m a Colby supporter,” he said. “But putting her out there as a temporary GM would be like putting a target on her back” as Ocean Pines enters the summer political season.

But Daly agreed that appointing a temporary GM would bring the board in compliance with OPA bylaws.

He suggested the appointment of OPA President Doug Parks as one possibility but was also open to a rotation among directors willing to assume the role.

While he doubted that non-resident directors would be interested, he said there were perhaps four directors including Parks would would be willing to serve temporarily in a rotation.

Daly said he would be willing to serve if a board majority favors that approach.

“A rotation might keep a little more harmony on the board,” he said, alluding to the fact that Trendic is likely to be unhappy if the role of acting GM is given to Parks for the rest of the board term.

OCEAN PINES

March 2019

OPA to erect new building for craft club Board boosts annual rent to as high as $5,000 per year, with deductions for prior year donations to community

By ROTA L. KNOTT Contributing Writer ocal crafters will soon have a new building in which to display their wares. Citing the thousands of dollars in donations the Pine’eer Crafts Club makes to the Ocean Pines Association and other organizations and the business its events bring to the community, the Board of Directors has agreed to construct a new building and lease it to the club for its Pine’eer Artisan and Gift Shop.

During a March 9 meeting, directors voted 4-2 to approve the craft building concept design and location, and authorize the staff to move forward with developing construction plans based on the conceptual design.

Directors Slobodan Trendic and Esther Diller opposed the motion made by Director Steve Tuttle, as well as an amendment offered by Frank Daly. Director Ted Moroney was absent from the meeting.

In making his motion, Tuttle said plans developed by MAD Engineering, the firm that completed the White Horse Park bathroom building, will be the basis for the request for proposals for the craft building and the RFP should be issued as soon as the design work is provided to OPA. The craft building will be a similar

L

footprint to that of the bathrooms and will be to be located north of the bathrooms across from the administration building and adjacent to the Farmers Market.

“The existing craft building will be demolished and will provide a place for additional parking that will hopefully help resolve the issues with parking and drop offs at the community center,” he said.

The Pine’eer Crafts Club was established in 1974 and has donated more than $151,182 to Ocean Pines organizations.

Tuttle said the club sponsors craft fairs, that brings hundreds of people into the pines to highlight our community and what we have to offer. In 2018 the club donation was $5,500. Recipients over the years have included EMS, the library, police department, public works, parks and recreation and considerable equipment for the parks and items used within OPA buildings. The currently Pine’eer Artisan and Gift Shop pays an annual rent to OPA of $675.

Daly offered a “friendly amendment” to Tuttle’s motion to specify that before any funds are expended on the project, the OPA will enter into a ten-year lease with the Pine’eer Crafts Club that will ensure the association receives a rate

of return on its capital investment of 3.0 percent.

He argued that the board has two fiduciary responsibilities to its members. “ We have a fiduciary responsibility to all 8,452 assessment dues payers or assessments payers to make sure those funds are managed properly, in a professional manner in a safe manner and that in fact we safeguard and protect them.”

But, he added, “We are a community. And in fact we are the largest community on the Eastern Shore and if we would be incorporated the largest full time year-round community on the Eastern Shore. And we also have an equal fiduciary responsibility to do things to improve the fabric of that community and community life.”

Based on the OPA’s reserve study and early costs estimates, Daly said the building is projected to cost $75,000 to $100,000. His amendment to Tuttle’s motion would require the Pine’eer Craft Club to pay annual rent of between $3,792 and $5,064 per year.

But, the club would receive a 100 percent deduction on its rent each year equal to its prior year’s donation to the Ocean Pines community.

Over the past 5 years, the club’s total donations to the community have

Various views of the new Pine’eer Craft building approved by the Board of Directors this month.

ranged from $3,850 to $5,500. Daly argued that his proposal balances the board’s fiduciary responsibilities and recognizes the contributions the Pine’eer Craft Club makes to the community. “In my mind that kind of justifies proceeding with this type of investment.”

Trendic concurred that the club members have done a “phenomenal job” and the community has benefited from what they do.

However, he said he wasn’t prepared to vote for the project without having a clear idea of how the OPA will pay for the construction of the new building and how it will be treated as an amenity.

He said the OPA’s reserve study isn’t clear on whether the existing craft building has been fully depreciated and is funded for replacement.

But even if it is, he said “that is not what the reserve fund is for.”

Therefore, he said the board is being asked to do something for which the OPA doesn’t have the money.

“How do you approve a motion that calls for the design of a new building? How do you approve going out with an RFP for a new building when you really don’t have money to fund it? You cannot take that money out of reserve. The reserve fund, reserve account, is used for replacement or repairs of major components. A building is not a component it is an actual total asset.”

OPA President Doug Parks said he believes the OPA can tap into the reserve fund to replace a building and that is exactly how it built the Yacht Club.

He acknowledged complaints by some OPA members that they shouldn’t have to help pay for a building for use by a small group q

6 Ocean Pines PROGRESS

OCEAN PINES

March 2019 Ocean Pines PROGRESS

Craft building From Page 6

of residents. But Parks said that argument could apply to any of the association’s amenities. “I hear that argument but it’s one of those thing where you’re damned if you do and damned if you don’t.”

Tuttle said the current craft club building is in need of significant repairs. “It’s pretty substantial what needs to be done to that building as it sits.” He said it is better to build a new facility than to keep putting money into repairs for the existing outdated structure.

The exterior colors and finish of the new craft building will match the White Horse Park bathrooms.

An open floor plan allows for the placement of shelving and displays in a fashion that best suits the needs of the club. Exterior windows will wrap across the front and up each side allowing for abundant natural light and displaying of merchandise, there will be a small 8 by 6-foot storage closet behind a 4 by 6-foot counter. Customers will enter through double doors located on the side facing the administration building, and the rear of the building will have a small window and an access door.

Still, Trendic said he wasn’t questioning that need for a new building,

but rather the process for getting it built. “I want everybody to focus on how do we get there not on why we are doing it.” He said Tuttle motion to move forward with the project was premature.

Diller agreed, saying “Unfortunately I’m not in favor of this either because I feel the timing is just off.”

She said the association has numerous projects to complete prior to the start of the summer season and the craft club isn’t a priority. “I just don’t feel that now is the time to do this.”

“I see this project as benefitting the community at large in a couple of ways,” Director Collette Horn said, adding that it makes significant donations to support Ocean Pines and brings activities that enhance the community.

“This is a highly engaged and active club that meets pretty much every day on one way or another,” she said. Horn added that constructing a new craft building at a different location in White Horse Park will also allow the OPA to reconfigure and expand parking in the area.

Both the original motion and the amendment ultimately passed in 4-2-1 votes of the board. The Daly amendment specified that donations made by the club to the community in the previous year could be deducted from the rent for the coming year.

03-08

Locally Owned and Operated

No Need to Wait for Your Tax Refund Now Offering 12 Mo. Deferred Interest to Qualified Buyers CORETEC Starting at $3.59 Sq. Ft.

IN-STOCK CARPET INSTALLED W/6 lb Pad Starting at $2.99 Sq. Ft.

Free Estimates and In-Home Consultations

7

8 Ocean Pines PROGRESS

OCEAN PINES

March 2019

… WE L DO T WIL E BES ONLY TH WHEN Lone golf cart barn bid ARE HERE FOR you AT AN comes at $538,000 COST DABLE AFFORin Pole building construction omitted from RFP, could explain inflated price

By TOM STAUSS Publisher he sole bid received by the Ocean Pines Association for a replacement golf cart barn is so far over budget there doesn’t seem to be any conceivable way the Board of Directors would approve it. Bidding it out again as “design build” pole barn project seems pos-

sible, but an alternative scenario is being discussed that would allow the sole bidder to reduce the cost substantially by going with a socalled “Butler” or pole barn building as an alternative to the cadillac-version that was bid on.

There was a public bid opening of what been anticipated would be multiple bids for the replacement

cart barn on March 6. The sole bid submitted was by the Whayland Co. of Laurel, De., for $538,000, including a $70,250 contingency.

The budget for the project is $120,000.

Sources told the Progress that the understanding and intent of the directors had been that the cart barn would be a simple “pole build-

Affordable Funerals & Cremations Pre-Planning Services Burial insurance Financing Available WHEN ONLY THE TributeWILL DO ...

DVD BEST WE ARE HERE FOR YOU Life e Celebration of COST Them AT AN AFFORDABLE Monuments Affordable Funerals ers& Cremations Flow Pre-Planning Services WHEN ONLY THE WHEN BEST ONLY WILL THE DO… BEST WEWILL DO… WE Burial Insurance ARE HERE FOR ARE you HERE AT AN FOR you AT AN AFFORDABLE AFFORDABLE COST COST Financing Available ty ali qu de We provi DVD Tribute Affordable Funerals Affordable & Cremations Funerals & Cremations h wit es vic ser al on professi Theme Celebration of Life Pre-Planning ServicesPre-Planning Services rency. spa d tran an integrityBurial insurance Burial insurance Monuments Financing cost orAvailable fees denAvailable no hidFinancing Flowers DVD Tribute DVD Tribute

T

Theme Celebration of Theme Life Celebration of Life WEMonuments PROVIDE QUALITY Monuments PROFESSIONAL SERVICES Flowers Flowers

Direction Cremations For $1080.00 the Ad to get this price)

(Mention WITH INTEGRITY AND TRANSPARENCY.

NO HIDDEN FEES OR COST 00

We provide 600 quality Franklin Avenue 1213 Jersey RoadWe provide quality professional professional services with services with Berlin, MD 21811 y, MD 21801 Salisbur integrity and integrity transparency. and transparency.

We Will 410-641-0001 410-749-6461no hidden fees no hidden or costfees or cost

Direct Cremations for $1080 jolleymemorialchapelmd.com

jolleymemorialchapelmd.com

(Mention this Direction Ad to GetFor This Price) Direction Cremations $1080.00 Cremations For

Beat Any $1080.00 Price

(Mention the Ad to get this price) (Mention the Ad to get this price) 1213 Jersey Road Salisbury, MD 21801 410-749-6461

1213 Jersey Road Salisbury, MD 21801 410-749-6461

600 Franklin Avenue Berlin, MD 21811 410-641-0001

jolleymemorialchapelmd.com

jolleymemorialchapelmd.com jolleymemorialchapelmd.com

600 Franklin Avenue Berlin, MD 21811 410-641-0001

jolleymemorialchapelmd.com

ing,” but somehow that intent did not make it into the RFP that was issued by former General Manager John Bailey in December.

According to the posted bid specifications, the OPA was seeking design-build proposals for a 3,300 square foot building, presumably within the footprint of the existing cart barn.

The RFP called for the complete demolition of the existing building, an “engineered layout” of a new building, additional earthwork to raise the elevation, a storm-water system to tie into the area’s existing system, stabilization and paving to tie into existing driveways, landscaping, and connection to existing water and sewer lines.

Among other features, the RFP called for garage doors to be installed at each of the building and a blue metal roof to match other OPA facilities, along with engineered plumbing for cleaning and washing of golf carts, as well as a fire supression system if required by code.

The garage doors on both ends of the building appears to address an acknowledged defect in the existing building, a single door that makes manuevering golf carts inside the building somewhat difficult.

The RFP asked for a guaranteed maximum price for the project.

Frank Daly, the OPA director assigned to oversee “vertical” assets in the transitional management structure now in place, said he understands that so-called Butler buildings can be purchased for under $100,000.

He said that Whayland has expressed interest in serving as project manager for the cart barn project at ten per cent of the total project cost, with the OPA purchasing a Butler or similar pole barn building directly from the manufacturer, with no mark-up for Whayland.

Daly said that if the board ops for this scenario, it could easily bring the project back under budget.

Daly said a bathroom could be added and temporary offices for Director of Golf John Malinowski set up, with the new cart barn serving as an interim pro shop as construction of a new golf clubhouse unfolds nearby.

No food service would be available for the temporary facility.

Daly said this would be a cost-saving alternative to importing up to three portable trailers during construction of the new golf clubhouse, an idea that the former general manager had suggested.

March 2019 Ocean Pines PROGRESS

Buy with Confidence - Locally Owned and Operated for Over 15 Years

MATTRESS MASTERS

FREE SAME DAY

DELIVERY

7 DAYS A WEEK! $100 Cash with Every Queen or King Purchase

50-70% OFF

FREE SET UP & REMOVAL OF OLD BEDDING Layaways Available!

Ocean Pines, Next to Walgreens

410-641-5307

Mon.-Sat. 10 a.m. - 6 p.m. • Sun. 12-3 p.m.

9

10 Ocean Pines PROGRESS

OCEAN PINES

March 2019

BUDGET BRIEFS From Page 8

Artist of the month

The Pine’eer Craft Club recently announced that the Artist of the Month for March is Helen Smith. Having received her BA from the University of Maryland and a MFA from Catholic University, she taught art in Montgomery County public schools for 26 years and was county supervisor for art, theater and dance for ten years. As an artist and photographer she is inspired by the artwork of impressionist such as Monet, Van Gogh, and Degas. She identifies with photo-realists such as Estes, Close and Hanson. Their influence can be seen in her seascapes and landscapes of coastal Delmarva, North Carolina and California. Each of her paintings depicts a colorful and personal response to the subject matter. Her paintings have been featured in the Spotlight Gallery at the Art League of Ocean City. Her art can be seen at the Pine’eer Artisan and Gift Shop in White Horse Park every Saturday 9 a.m. to 3 p.m. and Sunday 10 a.m. to 3 p.m.

NEW!

Apple Discount Drugs is now available on the

Messenger App

Debbie Tingle

Ocean Pines Branch Manager 11029 Racetrack Rd

410-208-1668

Patti Feeheley Berlin Branch Manager 310 Franklin Ave

410-641-0350

or visit one of our other branches in MILLSBORO, OCEAN VIEW, POCOMOKE SNOW HILL AND SALISBURY Annual Percentage Yield (APY) effective as of 10/01/2018. Based upon funds being on deposit for one year at this rate. $500 minimum balance. Offer subject to change without notice.

Penalty may be imposed for early withdrawal. Customers may receive monthly interest checks which will reduce the APY.

Communicate with Apple using the new built- in messenger on RxLocal.

Order Medication Refills from your phone.

MESSENGER IS NOW LIVE ❶ Search “RxLocal” in

Set Reminders.

Route 13 South & Cedar Lane FRUITLAND ┅ 410-749-8401 314 Franklin Avenue BERLIN ┅ 410-641-3130 1210 Nanticoke Rd. Pecan Sq. SALISBURY ┅ 410-543-8401

the Apple or Google Play Store

❷ Download the app ❸ Create your profile for Apple Discount Drugs

March 2019 Ocean Pines PROGRESS 11

OCEAN PINES

Colby Phillips says Public Works saved $244,000 in drainage costs Says she’s ‘working on’ proposal for electronic access gates to boat ramps, also teases possibility of solution to bulkhead staging

O

$244,000 out of more than $600,000 that had been budgeted for drainage pipe replacement next year.

In her report she also alluded to discussions with the county for an Ocean Pines-centric solution to the bulkhead replacement staging issue.

In a recent meeting of the Budget and Finance Advisory Committee, there were references that the solution could involve an area in the vicinity of White Horse Park boat ramp. It will permits from county and state environmental officials, so it isn’t a slam dunk.

If some sort of staging area could be found closer to Ocean Pines, as a replacement for the Swim and Racquet Club boat landing area that county authorities have said can’t be used for staging, then more expensive off-site locations in Ocean City or West Ocean City can be avoided at substantial cost savings to the OPA. Finally, she said she is working on an electronic gate solution as a way of controlling access to the OPA-owned boat ramps at the Yacht Club and White Horse Park.

That’s a project that has been discussed for decades in Ocean Pines at the board level, with no general manager or board actually presenting a solution for board approval.

Phillips seemed to indicate that long delay may finally coming to an end.

Details should emerge in the coming months.

Phillips also announced that •Wildlife Inspections, Exclusion and Prevention •Wildlife Humane Live Trapping •Bat Inspection, Exclusion and Prevention •Mole and Vole Control •BedBug Heat Treatment Specialist •BedBug Monitoring and Prevention •Crawlspace Encapsulations •Aprilaire Dehumidifiers

MARCH SPECIAL

$25 Off Any Animal Removal

302-236-3533

Serving Ocean Pines and All of Delmarva • References on Request

Aquatics and Recreation Director Colby Phillips

Wells and the Public Works team had just completed a detailed 14page report assessing drainage issues in Ocean Pines and had put q

By TOM STAUSS Publisher ff to a strong start in the transitional organizational structure put in place by the Board of Directors following the recent departure of John Bailey as General Manager, Aquatics/ Recreation director Colby Phillips has given a department under her oversight substantial credit for saving the OPA almost $250,000 by repairing rather than replacing some drainage pipes in the Mumford’s Landing section of Ocean Pines.

Phillips under the transitional organization structure oversees the Public Works and the facilities manager in addition to the Aquatics and Recreation departments.

She credited Public Works Director Eddie Wells and his colleague Nobie Violante for coming up with a a way to save the OPA a substantial amount of project dollars budgeted for 2019-20.

The Public Works team asked whether they could investigate the possibility that the pipes had developed some sort of leak from pipe failure, as occurred some years ago in another nearby area.

The crew found a golf-ball-sized hole in the pipe that was scheduled for replacement, Phillips said in a report to the board and membership delivered during a March 9 board meeting.

It was easily patched by a material that should last for years, she said, thereby saving the OPA

www.racetrackoc.com

End ofwww.racetrackoc.com Season Sale/Savings End Season Sale/Savings ALLof 2016 MODELS MUST GO! ALL 2016 MODELS MUST

GO!

Schedule Your Spring Work Now BLOW-OUT PRICES SPRING SPECIALS ONBLOW-OUT ALL IN-STOCK 2016 MODELS PRICES

BLOWOUT ON ALL IN-STOCK 2017 & 2018 MODELS ONPRICES ALL IN-STOCK 2016 MODELS

Sea Fox Boats • Montego Bay Pontoons Century Boats • Sylvan Pontoons Sea Fox Boats • Montego Bay Pontoons Sundance Skiffs Tidewater Boats Sundance Skiffs

Full Service Marine Center Full Service Marine Center Parts, Sales, Service, Storage, Pickup & Delivery

Parts, Sales, Service, Storage, Pickup & Delivery

410-641-5204 410-641-5204

Racetrack Marine Racetrack Marine 10438 Racetrack Road, Berlin, MD 10438 Racetrack Road, (Formerly Van’s Marine)Berlin, MD (Formerly Van’s Marine)

OCEAN PINES

March 2019

Drainage savings

Steve Phillips says OPA delinquency rate drops to 1.6 percent, lowest ever

From Page 11

By TOM STAUSS Publisher irector of Finance Steve Phillips disclosed during the March 9 Board of Directors meeting that the assessment delinquency rate has dropped to 1.6 per cent, the lowest it’s ever been in Ocean Pines.

He said the rate of deliquencies have been in a steady decline since 2013.

While Phillips didn’t mention it, part of the reason may be the more aggressive collection practices of the law firm of Lerch, Early and Brewer.

The law firm according to earlier reports seems to be taking a proactive approach to collecting on delinquencies, not allowing arrearages to accumulate before taking deliquents to court.

In other disclosures, Phillips said that: • The Deeley Insurance Group is preparing to take over as the OPA’s insurance broker on May 1. The firm will be conducting a complete review of the OPA’s liability coverages, with the aim of assessing risk factors and better controlling costs by shopping policies.

D

MARLENE OTT

Director of Finance Steve Phillips

• The NorthStar software implementation will be launched

CRS, Associate Broker

The Real Estate Market Is On The Move ... and You Can Be Too!

Office: 410-641-5000 • Cell 410-430-5743 Fax: 410-641-1633

www.marleneott.com marlene@marleneott.com 11049 Racetrack Road, Ocean Pines, MD 21811

40 Moonshell Drive • $479,999

WOW WATERFRONT REDUCED AGAIN! Custom-built & updated 3 level waterfront home w/ lots of room. Large pier w/ 13 x 12 boat lift plus new white stones from the house to the dock. Large front deck for outdoor enjoyment. Kitchen & bathroom makeover total over $16,000. Pergo flooring.

Cozy wood burning fireplace in dramatic living room w/cathedral ceiling. Large dining room plus bar area in kitchen for casual entertaining. New siding,flashing & gutters. New roof just installed. New interior doors along w/new garage door. Bonus room w/1/2 bath on 1st level could be office or additional sleeping area. 10 x 10 workshop/craft room or additional storage on ground level. New Pella sliders & storm door on 2nd level. Master on level 2 & 2 additional bedrooms on third floor. 2 A/C units & EBB for 1st fl. Furnishings are all included except personal items and porch furniture table and seating. Includes paintings, pots and pans and linens. Some cosmetic things being done like re-staining decks and walkways. Seller says bring all offers. MLS #1001563170

43 Capetown Road • $215,000 REDU CED

Cute as a button and ready for you to enjoy the good life here in Ocean Pines. Custom-built contemporary with an open floor plan for living, dining and kitchen areas with a cathedral ceiling. Delightful side screened porch. Recently painted. Hardwood floors throughout. New Heat Pump installed in December. Located close to Somerset Park.

Pellet Stove in fireplace in living room. Paved driveway.

12 x 8 detached shed. MLS #MDWO101936

Many Satisfied Ocean Pines Customers

q

together a to-do list of 100 projects to be completed to get ready for the summer season in May. She also announced that Public Works has implemented a new weekly schedule for checking the condition of various OPA assets.

The weekly checks replace the monthly checks that allowed certain conditions to go on longer than warranted or, in some cases, to fall through the cracks altogether.

The Sports Core pool had a new AAON unit installed in early March that will help with the pool deck temperature and has already made a huge difference, according to Phillipa Public Works continues to put much focus on our drainage issues and bulkhead program, she said.

She invited anyone interested in being a part of a working group with the emphasis on solutions for these projects/areas of concern, as well as future ones, to email her at cphillips@oceanpines.org.

q

12 Ocean Pines PROGRESS

March 2019 Ocean Pines PROGRESS

Board awards $157,000 contract for Beach Club renovations

T

he Board of Directors on March 9 unanimously approved a $157,000 contract plus a 5 percent contingency with East Coast Construction for renovations at the Ocean Pines Beach Club in Ocean City. The motion for approval was offered by Director Frank Daly.

The scope of work includes replacement of windows that leak, a change in the beach-front roof line to allow more visibility, new shutters and a reconfiguration of the bar area. The renovations were recommended by the Matt Ortt Companies.

Daly said the work should be complete by the opening of the summer season in May, but if not would be done in a way that would be “minimally disruptive” to Beach Club users.

Take-home vehicles for resident police officers under board consideration

With the full support and encouragement of Chief of Police Dave Massey, Director Slobodan Trendic at the March 9 board meeting proposed a new program that would allow resident police officers to take

Steve Phillips From Page 12

shortly with the arrival of a contract project manager, later identified as Len Smith, who served as a paid consultant to the Technology Working Group.

• The IT department (Steve Grabowksi) is working on the new Toast point of sale software installation at the Yacht Club, and, since cyber attacks are becoming prevalent in the virtual world, personnel are being sent to receive training in preventing security fraud attacks.

• Gross Mendelsohn should be finishing up the forensic audit of OPA departments in the next couple of months, with a report to be issued at the conclusion.

• Member assessments notices will be sent out at the end of the week of March 11, reflecting the $35 increase in assessments approved by the board last month for the 2019-20 fiscal year.

OCEAN PINES BRIEFS their vehicles home and park them in driveways fully visible to their neighbors.

His colleagues were receptive to the idea.

Massey told the board that the

: lots, E L 0 SA ded ch; ,00 R o 0 a FO wo 00 e , $5 o ,0 ot Tw $50 ed l ar e l ec on

program would be an incentive for new recruits to live within Ocean Pines and would have an added benefit of making the presence of the police department more visible.

It would also be a way to encourage retention of police officers, but that effect would be limited, because

13

take-home vehicles would only be allowed to resident police officers.

Massey acknowledged that some veteran police officers have mortgages in communities outside of Ocean Pines, so the program would be primarily beneficial as a recruitment tool. He said currently there is one officer who lives within Ocean Pines.

“It would allow us to be more competitive with our surrounding communities,” Trendic said, with q

OCEAN PINES

14 Ocean Pines PROGRESS

OCEAN PINES

March 2019 be to draft an amendment to the employee handbook that would then be reviewed by the OPA’s attorney.

OCEAN PINES BRIEFS From Page 13

Massey adding that most area communitites offer such a program to their new recruits.

Massey said it wouldn’t be an expensive program to implement and would be an aid to retention.

Director Steve Tuttle asked whether the program could just be implemented without board action, but President Doug Parks said “more details” were needed but that conceptually the idea had the support of the board.

With the board in concurrence, Trendic said the “next step” would

State Highway Dept. to install roundabout at Ocean Pines North Gate

Apparently with the project cost to be borne entirely by local developer Gillis Gilkerson, the company that is developing a medical campus adjacent to the Ocean Pines North Gate, the State Highway Department is planning to convert the section of the two-lane Route 589 west of the North Gate into a circular roundabout. There’s been no stated timeline for the project, but appar-

ently it could happen fairly soon, as it’s not competing for scarce state funding.

Gillis Gilkerson wants the roundabout because the current egress pattern from the medical complex is right turn only, forcing those leaving the complex to make awkward u-turns or to go well out of their way to get home if their preference is to turn left, With a roundabout, those who want travel south on Route 589 after leaving the complex will be able to do so easily by traveling 180-degrees on the roundabout. Those who want to go north would exit the roundabout after traveling 90 degrees around the circle.

Celebrating Our 10th Year in Ocean Pines!

Open 6 am Every Day 410-208-0707 Serving Breakfast & Lunch

OPEN SEVEN DAYS A WEEK

SPRING HOURS!

Saturday- Sunday- Tuesday 6 am -2 pm Monday-Wednesday-Thursday -Friday

6 amto -3 pm 6 a.m.

2 p.m. daily

11304 Manklin Creek Road, South Gate Ocean Pines (Manklin Creek & Ocean Parkway) BREAKFAST SANDWICHES Served on Bagel, Roll or Bread Egg & Cheese ..................................… $3.75 Meat*, Egg & Cheese …..................... $4.95 *Your choice of bacon, sausage ham, Taylor ham or turkey sausage

PLATTERS & OMELETS Eggs any Way with Bagel, Roll or Toast ... .............................................................. $3.75 Eggs any Way and Meat with Bagel, Roll or Toast …..........................................$4.95 Egg Cheese Omelet ............................ $4.25 Egg Veggie Omelet …........................ $4.75 Western Omelet …............................. $5.75

BAGEL SANDWICHES Served on Bagel, Roll or Bread Bagel with Butter ….. $2.05 Bagel with Cream Cheese …. $2.85* Your choice of plain, light, veggie, veggie light, strawberry, walnut raisin, almond, scallion, scallion and tomato, chive or olive cream cheese Bagel with Nova or Crab Spread …... $5.95 Bagel with Smoked Sliced Salmon … $9.95

LUNCH OPTIONS Homemade soup ~ Small $3.25 ~ Large $5.49 Pot pie .............................................… $5.49 Quiche .............................................… $3.75 Pizza bagel ~ Plain $3.25 - Pepperoni $5.49 Bagel Dog ............................................. $3.35

Fruit Cup ............................................... $3.99 Yogurt Parfait …................................... $3.99

Black and White ~ Small $1.20 / Large $2.45

LUNCH SANDWICHES

BAGELS AND BREADS

Served on Bagel, Roll or Bread • Includes a side of macaroni salad and a pickle Ham …………............................………. $7.45 Taylor Ham ……...........................…….. $7.45 Turkey ………...................................….. $7.95 Roast Beef …..................................…… $7.95 Cappicola …….................................….. $7.45 Genoa Salami …................................… $7.45 Italian Combo …...........................……. $7.95 (Roast Beef, Cappicola, Salami and Provolone) Roast Beef & Turkey ……................….. $7.95 Liverwurst …...............................……… $6.85 Bologna ……................................…….. $6.85 Egg Salad …............................………… $6.95 Tuna Salad ………..........................……. $7.75 Whitefish Salad …..................…………. $7.45 PB&J ……………….........................……. $3.75 Grilled Cheese …….......................……. $4.95 Add cheese to any sandwich for only 60 cents

Plain • Cinnamon Raisin • Sesame Onion • French Toast • Garlic Honey Wheat • Asiago • 7-Grain Berry • Poppy • Almond Everything • Everything Wheat • Rye Marble • Egg • Pumpernickel Sundried Tomato 1 Bagel ………...........................…. $1.25 Half Dozen Bagels …...............……… $7 Dozen Bagels ………............…… $13.50 Cinnamon Crunch Bagel ….....….. $1.75 N.Y. Kaiser Roll ……............….. 65 cents Portuguese Roll ……........…….. 65 cents *Irish Soda Bread Loaf $6.50 • Slice $1.50 * Special Order

FRESH PASTRIES Lemon bar ……..............................…… $2.25 Linzer Tart ................. Small $1.25 - Large $2 Muffin …….........................……………. $2.75 Brownie ….................................……….. $2.25 Turnover ………..........................……… $2.80 Croissant .............……….............. $2.80 Cinnamon buns .................………. $2.80 Minicheesecake...........……………. $3.50 Éclair ………..............................….. $2.90

WHIPPED CREAM CHEESES Plain • Light • Veggie • Light Veggie Strawberry • Walnut Raisin • Almond Scallion • Scallion & Tomato Chive • Olive Plain Cream Cheese ½ lb. …......… $3.20 Flavored Cream Cheese ½ lb. ...... $3.95 Nova Cream Cheese 1 lb …………$10.90 Crab Cream Cheese 1 lb. ……...…$10.90

All prices subject to change

11304 Manklin Creek Road, South Gate Ocean Pines (Manklin Creek Road & Ocean Parkway)

Presumably, the SHA would install new traffic signals at the roundabout to facilitate smooth traffic flow.

OPA President Doug Parks mentioned during the March 9 board meeting that Ocean Pines will be asked to facilitate the roundabout.

Options normally would including deeding land over or providing for

Ocean Pines Marketing earns All-Star award

The Ocean Pines Marketing and Public Relations Department, under the guidance of Denise Sawyer, has been named a 2018 All Star Award winner by Constant Contact, a nationwide leader in business marketing solutions.

“We are passionate about sharing Ocean Pines’ impressive array of public amenities and top-rated services with its residents and guests through compelling marketing campaigns,” said Sawyer, director of marketing and public relations for the Ocean Pines Association (OPA). “This award honors the Association’s excellence in marketing and communication while recognizing the marketing team’s creativity and hard work.”

A small number of businesses and/or non-profit organizations, based on their significant achievements using email marketing to engage their customer base and drive results for their organization, are recognized each year.

“Communication is so important in all we do, especially working within a large HOA, to get all the great programs, events and notifications out,” said Colby Phillips, of OPA. “Denise and her team do a fabulous job in keeping the community advised of all the happenings and deserve to be congratulated for this wonderful award.”

“The campaigns created by this year’s All Stars demonstrate that a business, regardless of its size, can accomplish their marketing goals and we celebrate Ocean Pines Association impressive achievements with this All Star Award,” said Holli Scott, Vice President of Constant Contact Customer Success.

OCEAN PINES BRIEFS From Page 13

a right-of-way on OPA-owned property.

Len Smith back in saddle as contract manager of NorthStar project

Len Smith is being brought back to the Ocean Pines Association as a contractor who will serve as project manager for the implementation of NorthStar Technologies’ financial and management software, the Board of Directors agreed in a vote March 9. Slobodan Trendic was the only one to object. Two other directors, Esther Diller and Ted Moroney, didn’t vote, so the motion of approval carried 4-1.

Smith, who worked as a paid consultant to the now defunct Technology Working Group last year, will be paid $100 an hour for a new contract period not to extend for more than a year. Director of Finance Steve Phillips said that Smith will report to the OPA’s Information Technology manager, Steve Grabowski.

In a recent meeting of the Budget and Finance Advisory Committee, Phillips said he did not know the exact range of Smith’s estimated cost to OPA. In subsequent email to the Progess, he said he would have clearer idea when “we get a full timeline, deliverables, etc. from the Northstar project managers. I just know that we will target the amount to be under the budget that we included within this capital project.”

Trendic sparred with his colleagues over the wisdom of implementing a contract with Smith’s company, Fort North Partners. He did not question Smith’s ability to do the job, although Trendic said that Smith’s project manager’s certification had lapsed several years ago.

Trendic said he objected to the “sole source” nature of the contract, and that part of what Smith will be asked to do is data migration, a task that he said was already in the NorthStar contract, costing the OPA $115,000. He said the OPA should not be paying twice for a service that NorthStar should be providing.

Trendic also said that Smith’s experience with the OPA’s antiquated Lansa system is irrelevant, because data transfer from Lansa to NorthStar doesn’t require skills using Lansa. He also said a year’s contract is far too long. He said that hiring Smith could cost the OPA up to

March 2019 Ocean Pines PROGRESS $200,000 in fees, almost four times Phillips’ estimate.

“We should be able to do it at half the cost,” Trendic said, telling his colleages that an “average rate” would cost the OPA about $116,000 in implementation fees. He that Smith’s hourly rate of $100 an hour is more than twice the industry standard for software project managers.

OPA President Doug Parks challenged Trendic’s numbers.

“I don’t know where you came up with $200,000. It’s completely erro-

neous,” he said. “Sometimes you just have to do sole-sourcing,” citing the time pressures of wanting to launch implementation as soon as possible and Smith’s experence with OPA’s legacy Lansa system and NorthStar software.

Director Frank Daly asked Phillips if he thought that Smith’s fees would fall within the budgeted amount for implementation. Phillips said the budgeted $119,000 will be more than enough to cover Smith’s fees.

15

Trendic drops closed meeting agenda on OPA restructuring

On the suggestion of Director Colette Horn that a board discussion on a topic of this importance warranted participation by all seven directors, Director Slobodan Trendic at the March 9 board meeting decided not to pursue his motion to go into closed session to discuss additional steps to restructure OPA departments in the wake of former q

OCEAN PINES

16 Ocean Pines PROGRESS

OCEAN PINES

March 2019

OCEAN PINES BRIEFS From Page 15

General Manager’s John Bailey’s departure from Ocean Pines.

His original motion was amended on the suggestion of Horn to specifically reference restructuring/reorganization. Trendic agreed that Horn’s “friendly amendment” was a good idea and he thanked her for it.

When Horn then said she was reluctant to go into closed session to discuss the matter without the presence of Esther Diller and Ted Moroney, Trendic agreed to put off the issue until the board’s April meeting.

He later told the Progress what he has in mind is to combine certain department head positions with the goal of attaining payroll savings and improving efficient delivery of certain core tasks. Trendic declined the specify which positions could be merged as a way of improving operational efficiency.

Ortt, DeAngelus to be awarded stock in Beach Club, Yacht Club

Matt Ortt Compnay principle partners Matt Ortt and Ralph DeAngelus will each be awarded one share of stock in the Yacht Club and Beach Club as a way for them to apply for liquor licenses as representatives of the Ocean Pines Association.

The Board of Directors on March 9 approved the issuance of one share of stock for the Yacht Club and one share of stock for the Beach Club. The somewhat convoluted explanation for the issuance of two shares of stock is that it is based on lawyer Jeremy Tucker’s interpretation of Maryland Alcoholic Beverage law. He apparently has informed the board that applicants for liquor licenses must have a pecuniary interest in the clubs for which they apply for liquor licenses and must have an ownership share in them.

The law, at least as explained by background as part of the motion, also precludes Ortt and DeAngelus from having an interest in both amenities, for reasons that seem obscure.

The motion suggested that the dual interest is precluded because the Yacht Club operates under a B license and the Beach Club under a more limited C, or club, license. The implication seemed to be that if the MOC on behalf of the OPA requested B licenses for both the Yacht Club and Beach Club, then that dual interest might not be precluded.

There have been indications that the direction the board is going, in which case it shouldn’t matter whether the licenses are applied for separately by the two Ortt executives. But having two executives owning shares wouldn’t seem to be a hindrance to a successful application process.

The board has looked at the possibility of seeking a B liquor license at the Beach Club as a way of being able to offer expanded services to the general public. Director Frank Daly in particular has cited the potential of operating the Beach Club in ways that boost earnings. That potential is reduced substantially if it continues to operate under a club license, which does not really open up the potential available if the club can open to the general public, as is advertised and promoted at the Yacht Club.

Board approves state mosquito contract, not to exceed $19,000

The Board of Directors on March 9 approved a sole-cource contract with the Maryland Department of the the Enviroment for mosquito control in Ocean Pines this summer at a cost not to exceed $19,000, the same ceiling approved a year ago.

President Doug Parks offered the motion because the amount exceeds the amount $15,000, that the general manager is allowed to spend on his or her own authority. His reference to the general manager in his motion seemed somewhat odd, since Ocean Pines doesn’t have a general nanager at this time.

Parks in discussing his motion said that historically costs have ranged between $13,000 and $15,000 per year. The cost is determined by the amount of spraying the DoE odes in any given summer.

A year ago, actually on Feb. 25 of 2018, the board fumbled the issue of mosquito control and rejected or perhaps more accurately delayed approval of a $19,000 DoE contract because some directors and then General Manager John Bailey didn’t realize that the Ocean Pines Association contracts an-

nually with the state for mosquito control, with no bidding involved. Some directors last year wanted to put the contract out to bid.

That didn’t happen. By the following meeting, the board had gotten up to speed on the nature of mosquito control in Ocean Pines and awarded the contract to DoE. The same blunder was not made again this year.

Board OKs Yacht Club deck replacement in email vote

In an email vote between the February 19 and March 9 meetings, the board of directors voted to award a $63,796 contract to Wertz and Company of Rehoboth Beach, De., to replace failing Trex outdoor decking on the second floor of the Ocean Pines Yacht Club. A unanimous vote to approve the contract via email was required. All seven directors agreed that an email vote would allow the company to begin deck replacement in early March and to complete it by the end of the month.

According to background supporting the motion in the board packet information for the March 9 meeting, the existing composite wood deck has failed and has created hazardous conditions resulting in multiple trips by attendees at events/functions on the deck.

“This condition is due to extreme temperatures impacting the decking material as a result of reflection from the windows and walls of the building. Wertz and Company has provided the requested warranty information and it is therefore recommended that the Board of Directors approve this project,” the supporting information said, in an odd use of the passive voice.

It was not clear who was doing the recommending, but it was probably everyone in the Public Works Department for starters.

It didn’t seem to matter to the directors, who probably assumed it was a staff recommendation.

OPA to host town hall March 30 at Yacht Club

Ocean Pines residents will get a chance to weigh in on current projects and community matters at an upcoming town hall meeting on Saturday, March 30, from 9-11 a.m. in the ballroom of the Ocean Pines Yacht Club.

The Ocean Pines Communications Advisory Committee, under tchairwoman Jennifer Cropper-Rines, will host the event.

Residents are encouraged to submit questions and comments to the Board of Directors and the committee in advance via email to townhall@ oceanpines.org.

The submission period will run from through Wednesday, March 27, at 5 p.m.

Director Colette Horn, at the July 27, 2018 Regular Board Meeting, introduced a motion to accept the recommendation from the Ocean Pines Communications Advisory Committee to set a policy for the coming year of holding three Town Hall meetings for the purpose of updating and engaging in question and answer and discussion with the membership on pending board business and other topics of concern to the membership.

Those unable to attend the meeting may view it live at www.OceanPines. org or on Mediacom channel 78.

Spring savings set for Saturday Flea Market in Ocean Pines

Bargain shoppers and treasure enthusiasts will soon get a chance to shop at one of the largest seasonal indoor/outdoor flea markets in the area at the Ocean Pines Community Center on Saturday, March 30, from 8 a.m. to noon.

Vendors will set up shop at 235 Ocean Parkway in Ocean Pines to sell gently used clothing, children’s items, household items, collectibles, delectable food and much more.

“Folks on Delmarva will discover unique finds while saving big bucks at the seasonal flea market,” said Ocean Pines Marketing and Public Relations Director Denise Sawyer. “Admission is free for shoppers and the event is open to the public.”

Shoppers are also encouraged to visit the Ocean Pines Farmers and Artisans Market for fresh produce, baked goods, meats and gourmet pantry, and artisan-crafted items.

OCEAN PINES

March 2019 Ocean Pines PROGRESS

State swim meet competitors

17

Trista Harner and Breyden Wright and Trista Harner, left, of the Ocean Pines Swim Team (OPST), competed at the 2019 Maryland LSC 14 & Under Short Course Championship Meet held earlier this month at St. Mary’s College. Harner, 12, competed in the 11-12 girls age group over the course of the highly competive, four-day meet. Harner’s highest finish was 2nd in the 100 yard freestyle in 56.20, a personal best and a new team record.

“She had a plan. She told me exactly what she was going to do; she dove in and executed it. It was an exciting race to watch and a proud moment as a coach.” said Coach Brad Diehl.

Harner swam nine events, many personal best times and new team records. She swam a 5:40.27 in the 500 Yard Freestyle, a 26.04 in the 50 freestyle, 2:03.88 in the 200 freestyle, 30.68 in the 50 backstroke, 1:04.97 in the 100 backstroke, 1:05.03 in the 100 Individual Medley, 2:22.40 in the 200 backstroke, and 5:19.79 in the 400 Individual Medley.

This meet is a trials and finals format, which requires swimmers to compete in a morning session with the goal of finishing in the top 16, to earn them the opportunity to swim at finals later in the evening. “It’s a tough meet to prepare for both physically and mentally,” Diehl said.

Wright, 13, competed in the 13-14 boys age group and swam the 100 backstroke in 59.44, the 200 yard backstroke in 2:08.70 and a 55.19 in the 100 yard freestyle. His swims were personal best times and new team records in all 3 events.

Each had to qualify for the State Meet by meeting challenging time standards during the season, which began in September. “The level of competition at this meet is much more intense than the meets throughout the season,” said Coach Kristina Watts, “This is the best of the best swimmers in each age group in the state of Maryland battling against each other.

Trista and Breyden handled the higher pressures of this competition with poise and strength, something I am very proud of them for when we are one of the smaller teams at the meet.

They both swam the fastest they have ever swum in their events, which is the most important goal to achieve, and OPST came home with some state medals to make their success even sweeter.”

With 85 year-round members from ages 5-18, the Ocean Pines Swim Team is one of two competitive swim teams in Worcester County. The Hammerheads are affiliated with Maryland Swimming and USA Swimming. Over the course of the three weeks, OPST will send a total of 39 swimmers to Maryland Championship Meets.

Board votes to conduct new compensation study Daly’s motion anticipates it will be completed in time for 2020-21 budget preperation

S

the wages and benefits offered by the association.

“This evidence indicates that in some cases the wages may by above what would be expected on the Eastern Shore; in other cases the wages may be below what would be expected. In the area of benefits evidence has been presented to show similar inconsistencies. The purpose of this study will be to develop wage ranges for each position and benefits that are comparable both in coverage and cost to those offered on the Eastern Shore for similar positions,” he said.

Daly questioned the findings of the most recent wage study conducted by the OPA, saying he has never seen a wage study that showed no one over-paid; this one did.

He also said it overlooked the reality that Ocean Pines is part of a county that has a ten percent unemployment rate much of the year, a far cry from the sort of “overheated or tight employment conditions” that might have justified the study’s higher than justified salary ranges.



By ROTA L. KNOTT Contributing Writer aying the Ocean Pines Association owes it to its staff to conduct a thorough review, the Board of Directors unanimously agreed to conduct a compensation study, including both wages and benefits. Director Frank Daly made the motion, which was approved, during a March 9 board meeting to issue a request for proposals for the purpose of conducting the study.

This will be the third bite at this apple by the OPA in recent years.

One was completed about three years by the 5-L organization; another one was done by the OPA’s former human resources manager last year.

Daly said the purpose of this study is to establish wage and benefits guidance comparable to similar positions within Worcester and adjacent counties on the Eastern Shore.

As background, Daly said over the past two budget periods compelling evidence has been presented that indicates a structural problem with

OCEAN PINES

March 2019

Bailey departure a mutual agreement to part company, board sources say Former general manager not terminated, despite some opinion to the contrary

By TOM STAUSS Publisher ormer General Manager John Bailey’s departure from Ocean Pines announced last month one day after the February edition of the Progress hit the streets was a joint decision mutually agreed to, two confidential board sources have confirmed.

That Bailey was terminated has been an unconfirmed and unsupported trope that was present on an on-lineOcean Pines message board shortly after Bailey’s announced departure.

The more accurate and nuanced depiction of events indicates a board

that melded competing viewpoints on Bailey’s tenure that stopped well short of termination.

There was clear signs that his position as general manager was in jeapardy, however.

The sources confirmed that Ocean Pines Association Doug Parks did not terminate Bailey on the Monday following the Feb. 16 board of directors meeting. The board during the Feb. 16 meeting did not vote to terminate, either, contrary to some local message board speculation.

The sources confirmed that there was a consensus on the board expressed during a Feb. 16 closed meeting that Bailey was having

trouble meeting board expectations but should be given an opportunity to see if there was some way that could be turned around. There were four directors who wanted to give Bailey no later than May 1 to improve his performance to the board’s satisfaction, with two directors, Slobodan Trendic and Esther Diller, wanting less time for a board reckoning.

Directors Ted Moroney and Frank Daly were somewhat more patient, apparently, with Daly preferring a May 1 deadline, while a fifth director, Steve Tuttle, was prepared to give the process roughly six months to play itself out.

Compensation study

posed by Daly.

Director Slobodan Trendic pointed out the OPA is a nonprofit organization not a for-profit industry in which there is a “heated job market.”

He said the OPA’s payroll doesn’t always resemble and mimic market dynamics.

Trendic said about 55 percent of the OPA’s total annual revenue funds payroll. Introducing a motion indicating that the OPA is not fairly compensating its labor force, but has a huge payroll expenditure, “begs the question of have we fallen asleep.”

He said Ocean Pines is a 50-yearold community, and the board inherited a problem that has been ignored for too long.

He questioned whether the board would be willing to do anything about the issue of employee compensation after spending $20,000 for another study.

“Don’t ask for something that you’re not willing to deal with or to implement.” He wondered aloud if directors would have the will to address it in the way that is needed because it will show that some employees are overpaid and others underpaid and “nobody likes to deal with that.”

While he said Daly was well-intentioned in making his motion, Trendic argued that the OPA is currently in transition and has a management team in place. He suggested reviewing the compensation information already collected and “figure how to deal with it in small steps.”

Horn responded that the Budget and Finance committee indirectly recommended conducting the study based on the need to review the employee compensation package.

She said this study would provide a broader look at compensation, not just salary structure. “I support that.

I think we need that at this point.”

OPA President Doug Parks concurred, saying the OPA owes it to its employees, especially since the board made the decision to burden them with more of the cost for medical coverage next year. He said the study may uncover other issues that may stimulate further discussion by the board.

Daly said he put forth his motion now so they compensation study would be completed in time for next year’s budget process.

F

From Page 17

Previously, he indicated that a more accurate study would include data from area homeowner associations in addition to local municipalities and county government.

Daly said during a recent Budget and Finance Advisory Committee meeting he was advised of the earlier 5-L study, which showed that 10 percent of the OPA’s workforce was overpaid and 22 percent was underpaid.

However, he noted that study didn’t include a review of all OPA positions, which he said is the reason a new study is needed.

He said employees deserve fair wages and fair benefits for what they do for the association. “And we want to make sure that we get it right so that we can move forward with a sustainable structure that makes sense for the community that we are,” Daly concluded.

Director Collette Horn agreed the OPA has an issue with employee compensation and needs to implement a sustainable plan. However, she said just doing a study isn’t enough.

“I think a study in and of itself doesn’t really address all the needs that we have in terms of creating something that will work for the type of organization that we are.”

She said she will be putting forth a motion in the future to create a workgroup to develop a “compensation philosophy” that will complement a compensation study as pro-

That would have extended into the term of the new board, which put Tuttle more in the camp of Parks and Colette Horn, both of whom were not inclined to press for Bailey’s possible departure.

There’s no telling how a new board would have assessed Bailey’s job performance, and the matter of his tenure easily could have become a political issue in this summer’s board election.

That very scenario unfolded in the summer of 2016, when former General Manager Bob Thompson’s tenure was hotly debated among the board candidates. His firing occurred in August, shortly after a new board was seated.

One source said that Parks’s position was that Bailey could be “coached” to better respond to board demands, with no need to give him a deadline for improvement.

Even so, Parks overcame his unhappiness with the idea of a deadline for improvement and accurately conveyed the board consensus in a private meeting with Bailey Feb. 18, the sources told the Progress.

The gist of the conversation conveyed later to directors is that Bailey, when informed of the board consensus that certain improvements were needed, responded that he believed he was performing to the best of his ability and that changing his modus operandi was not likely to occur within any timeframe to the board’s satisfaction.

Parks and Bailey then mutually agreed that a parting of the ways was the best course of action for both Bailey and the OPA. A brief notice of Bailey’s departure was posted on the OPA Web site on Tuesday, Feb 19, with the OPA officially thanking 

18 Ocean Pines PROGRESS

OCEAN PINES

March 2019 Ocean Pines PROGRESS

Bailey departure From Page 18

Bailey for his service and wishing him well as he pursued other opportunities. He had been in his position with the OPA since September of 2017.

Bailey under his employment contract with the OPA has a sixmonth severance package, which in effect gives him six months of paid salary and benefits as he searches for a new position.

It seems likely that Parks in particular would be willing to give him high marks if Bailey cites him as a reference.

Perhaps Bailey’s primary accomplishment as a GM was the outsourcing of Yacht Club and Beach Club management to a local restaurant management firm, the Ortt Companies. It was very much his recommendation, one that was accepted by the board with relatively little dissent.

He also was very much involved in the protracted process that finally led to a board decision to contract with NorthStar Technologies for a major overhaul of software that runs the back office affairs of the OPA. But during the open part of the board’s Feb. 16 meeting, it was evident that his continued tenure of the OPA was in jeopardy.

He came under fire from certain directors for a series of actions that could have contributed to a subsequent vote of no confidence in his tenure.

No vote of “no confidence” occurred in closed session Feb. 16, but to varying degrees there was general agreement or consensus that improvements were needed.

There had been some speculation that Bailey might be fired because of a board vote to go into closed session to discuss personnel and legal matters after the regular meeting Feb. 16.

Sources say that terminating Bailey was never on the radar of the meeting, however.

As reported in the Feburary edition of the Progress, however, there was a real possibility that the board was preparing to have a vote of no confidence on his continued tenure, with the intent of giving him a certain amount of time to improve to the board’s satisfaction. That vote never occurred, either.

How much time he might be given to improve was a topic for behind-the-scenes discussions among individual directors, with no clear consensus on that point.

Prompting much of the dissatifaction with Bailey was this year’s budget process, which has been much more protracted than most years as the directors have struggled to find ways to lower projected assessment increases.

Some directors blamed Bailey for not following board budget guidance in the preparation of his intial draft, including a directive to propose 2.5% or more cuts across the departments.

Another omission was a board decision of roughly a year ago to begin asking employees to pay for a portion of their health insurance benefits.

The OPA has been paying 100 percent of certain employee benefits, including co-pays and deductibles, while family coverage has always required some employee buy-in.

That proposal, too, didn’t make it

Precious Paws Animal Hospital Full Service Veterinary Centers Providing Exceptional Care Monday through Saturday

John Maniatty, VMD • Anne Flood, DVM Ali Lovins, DVM • Fantasia Maniatty, DVM OCEAN CITY, MD.

410.213.1170 OCEAN VIEW, DE.

302.539.2273

into Bailey’s initial budget draft, although it was added later at the board’s insistence.

Director Esther Diller criticized Bailey at the Feb. 16 meeting for not talking individually to department heads before submitting revised departmental budgets to the board for review.

She told Bailey that it should have been a collaborative process and it wasn’t.

Also at the Feb. 16 board meeting, Trendic went after Bailey in three areas.

He said that the general manager was currently receiving a salary of $157,000, $7,000 more than the amount specified in his employment contract. He wanted to know how the overrun occurred.

Trendic subsequently clarified that remark, telling the Progress that in fact the $7,000 represented a portion of a retention bonus that Bailey had earned on his one-year anniversary as the OPA’s GM. He also said that Bailey had decided to offer a consulting contract to Len Smith, who had served previously as an information technology consultant for the OPA, as a project manager to help oversee the rollout of new management software by NorthStar Technologies.

Trendic said that the decision to hire Smith exceeded Bailey’s spending authority of $15,000 and that Bailey should have brought the proposed hiring of Smith to the board before making the hire.

Trendic also as critical of Bailey for spending more on a human resources manager for the OPA than the amount budgeted this year, without obtaining board approval for the overrun.

19

Trendic said the position was budgeted for $18,000 and has ended up costing the OPA $40,000 or more.

Bailey also came under fire during the meeting for recommending a drainage project award to a vendor that was not the lowest bidder. The low bidder was qualified and has worked for Worcester County in Ocean Pines previously, directors said.

Directors including Ted Moroney and even Parks said the recommendation should have been for the low bidder, rejecting Bailey’s preference for the next lowest bidder, who had an extensive working relationship with the OPA. The directors said not to award a qualified low bidder a contract following an RFP (request for proposals) process would discourage reputable and capable companies for submitting bids in the future.

Bailey took the criticism stoically, and it seemed clear he was aware that he had run afoul of a board consensus on this issue.

Whether he realized that his continued tenure as GM was in jeapardy at the point is unknown, but it was certainly clear to some in the audience.

Meanwhile, Parks let it be known to his colleagues and the Progress that he opposed leaks that confirmed the mutual decision of Bailey and the OPA to go their separate ways, despite the fact that it clearly offered a softer landing for Bailey and should enhance his ability to find a new job.

Parks asked the Progress to name the source of the original leak. The Progress declined.

[See separate story for details.]

Reflections Window Cleaning Specializing in Commercial and Residential window cleaning.

Also offering: ~Vinyl Window Cleaning ~Chandelier Cleaning ~Gutter Cleaning ~Hard Water Spot Removal Your local window cleaning company Call today for a FREE estimate

20 Ocean Pines PROGRESS

March 2019

THE ALL-NEW 2019 RAM

BERLIN i.g. Burton www.igburton.com 10420 Old Ocean City Blvd, Berlin, MD 410.641.0444

March 2019 Ocean Pines PROGRESS

as low as

129

$

Installed!

Why replace the whole window?

We can replace just the glass and save you a lot of money!

#1

Proud to become the Glass Company on Delmarava!

800.746.4527 Go-Glass.com

OCEAN PINES SALISBURY EASTON DOVER LEWES ACCOMAC

21

OCEAN PINES

March 2019

Parks asks Progress to reveal confidential source of Bailey departure information Publication declines invitation, pushes back on desirabilty of keeping details secret

By TOM STAUSS Publisher oards of directors that leak information to the media, by another description the principled release of confidential matters by certain directors who favor transparency over secrecy, have been part of the local “experience” from the earliest days of Ocean Pines Association. There’s always some pushback by self-appointed guardians of secrecy, who believe, probably sincerely, that information from closed meetings should never be shared with the OPA membership.

That dichotomy of opinion played itself out recently with disclosure to the Progress of information from a Feb. 16 closed session of the board and a private meeting between OPA President Doug Parks and former general manager John Bailey, in which the two mutually agreed on a parting of ways.

Parks was not pleased by the initial release of confidential in-

B

formation by a single director. The Progress had sought confirmation from other directors of the “mutual parting of ways” narrative that the source provided under a “not for attribution” agreement.

Eventually another director came forward, with a third director offering partial confirmation as well.

“On behalf of the Board of Directors we are writing you in response to the email you sent us on Thursday, Feb.21, regarding the Bailey departure,” Parks wrote, calling the revelation of a “detailed briefing” the Progress had received on the closed meeting “somewhat alarming.”

“As you are aware, per Maryland law there are a number of conditions that allow for a meeting to be conducted in closed session,” Parks wrote. “The very nature of this law is to formally recognize the need for privacy in dealing with sensitive issues. If someone at the Board’s closed session meeting provided you the detail you reference, we respect-

$5 Off Your Next Purchase of $25 Or More Expires 3/30/19

fully request that you provide the source of that information.”

According to Parks, the board was “not out to chastise or denigrate anyone. Rather the intent is to use this situation to educate those involved of the importance of keeping information confidential until such a time it can be made public.”

He went on to say that the “duty of confidentiality was discussed during our organizational meeting back in August and this situation can be used as a reminder of that and other duties entrusted to Board members.

The fact that the information was provided could put the Association at legal risk regarding the personnel decision and the associated details” of Bailey’s departure.

Parks said the situation would provide “an opportunity to discuss the issue and ensure that those entrusted with maintaining confidentiality of Association business and legal information better understand how best and when to provide in-

formation publicly. Please consider sharing the source of the information from the closed session meeting so we can address the issue as noted above. We will respect your refusal to provide the requested information but ask that you give the issue your consideration.”

The Progress response to the request was definitive and didn’t require much consideration.

Protection of confidential sources is a cardinal rule in the journalism profession.

So the response to Parks’s request was no.

The response said it was “somewhat ironic” that while Parks asked the Progress to breach the confidentiality of its source, “you insist on no breach when it comes to an issue of major importance to our community.”

The response also said the Progress found it “difficult to accept that the OPA faces any significant legal jeopardy from the Bailey departure, since the confidential source had carefully described the departure as a “mutually-agreed-upon outcome.”

In none of his email did Parks attempt to refute that description of what had occurred. q

22 Ocean Pines PROGRESS

OCEAN PINES

D

March 2019 Ocean Pines PROGRESS

Trendic clarifies statement about Bailey salary increase

irector Slobodan Trendic has clarified an assertion made at the February meeting of the Board of Directors that former General Manager John Bailey had been receiving a salary that was $7,000 more than his contract called for.

Trendic said during the meeting that he wanted to know how the overage occurred. Treasurer John Bailey subsequently said he bechecking into the matter, and so did Trendic.

It turns out that Bailey was in fact being paid the contractural amount of $150,000, but in addition to that was being paid a $10,0000 retention bonus called for in the contract. The sum was due automatically if he was employed by the OPA after one year.

It appears the retention bonus was being paid in monthly installments rather than all at once, a practice that Finance Director Steve Phillips seems to prefer over lump sum pay-outs. The OPA acknowledges that the full retention bonus of $10,000 is owed the former GM. Trendic told the Progress that while there was nothing amiss the in the way Bailey has been paid in the current fiscal year, he had been

Confidential From Page 22

q

The departure also, consistent with the contract, awarded Bailey a full six months of severance to allow him plenty of time to find new employment, according to the response, adding that Bailey would most likely be able to use Parks as a positive reference in a job search.

The Progress also suggested that rather than “educating” this confidential source on the perils of breaching confidence, “he or she should be praised for bringing transparency to OPA operations and shedding light on the board handling a difficult situation in an exemplary fashion.”

Once reported, what this source revealed has single-handedly reduced the “heat” associated with this affair and for that “has well served the interests of the board, the association and Bailey,” the Progress said in its response.

In a follow-up email to Parks, the Progress also suggested that Parks had misread the Maryland Homeowner Association Act if he insists that it requires “secrecy” with re-

concerned that the draft budget for 2019-20 called for an increase in Bailey’s salary.

That proposed increase had not been discussed by the board, let alone approved, Trendic said. Apparently it hasn’t been.

As part of Bailey’s announced departure from Ocean Pines last month, the former general manager is receiving a six-month severance package and the thanks for the Ocean Pines Association for his service to the community.

10002 Manklin Meadows Lane • $199,000 Prime Commercial Office Space In Ideal Location In Community Of Ocean Pines. Adjacent To Shopping Area With Busy Traffic Flow For Exposure. Unit Has HVAC And Services For Parking, Sewer And Water, Trash, Snow And Ice Removal, Lawn Mowing, Outside Lighting and Maintenance,Landscaping, Mail Gazebo, Master Insurance And Awaits A Future Business.

John Talbott, 410-603-7373

Berkshire Hathaway PenFed Realty

Ocean Pines South Gate - 11001 Manklin Meadows Lane, Ocean Pines MD 21811

410-208-3500 • 1-866-666-1727 (Toll Free) ©2018 BHH Affiliates, LLC. An independently owned and operated franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc.® Equal Housing Opportunity.

Specializing in

Commercial & Residential Construction & Improvement

443-373-3125 One Company Does It All No Job Too Big or Small!

General Contracting Complete Interior & Exterior Remodeling • Kitchen & Bath • Cabinets & Refacing • Counter Tops • Granite, Marble, Quartz, Meganite, All Types • Carpet, Tile, Cortec, Hardwood Flooring • Painting & Drywall • Door and Windows Replacement, Repair • Decks, Porches, Vinyl Fencing and Railing • Roofing, Siding, Gutters, Power Washing • Additions • Leak Repair • Inspections • Electrical and Plumbing

• General Maintenance

www.oc-elite.com

23

A+ Rating by BBB & Angie’s List

Check Out Our Facebook Page To See Our Work

24 Ocean Pines PROGRESS

BOARD OF DIRECTORS

March 2019

Board assumes operational oversight over departments after Bailey departure Daly suggests that changes in bylaws may be required at some point

By TOM STAUSS Publisher he transition management team structure put in place by the Board of Directors following the departure of former General Manager John Bailey gives the seven directors more oversight

T

responsibility over the day-to-day affairs of the Ocean Pines Association than a board has ever had in the 50year history of Ocean Pines.

While the management structure is not thought to be in violation of OPA bylaws because the directors are stopping short of telling depart-

ment heads what to do, it’s probably the case that the board is bumping against language in the bylaws which allow contact but not specific direction.

As explained by Director Frank Daly, the new structure is designed to improve the flow of information from department heads to the board. He says he’s willing to entertain changes in the bylaws to permit a concontinuation of this degree of involvement in daily operations once a more permanent solution is arrived at for the general manager position. He said he thinks his colleagues are willing to consider that possibility, as well.

Under the team structure

that is labeled transitional, Director Ted Moroney has oversight responsibility over the capital improvement plan and golf, Frank Daly oversees “vertical” assets in Public Works, Steve Tuttle oversees “horizontal” assets in Public Works, and Doug Parks is overseeing the NorthStar roll-out and information technology.

Esther Diller is overseeing aquatics and recreation, Collette Horn human resources and the pay study issue, and Slobodan Trendic oversees marketing, public relations and police.

Treasure and Chief Finance Officer John Viola has oversight over finance operations.

Under the transitional structure, there are four department heads who have been given a lot of supervisory authority over segments of the OPA. They include Colby Phillips, with oversight over the facilities manager, creation, aquatics and Public Works.

Director of Finance Steve Phillips oversees communication, information technology, payroll/human resources, administration, membership, NorthStar, and food and beverage, including Matt Ortt Companies operations.

Confidential From Page 23

spect to what occurs in closed session.

In fact, in the Progress’s view of the law, it simply allows a board to go into closed session to discuss areas, such as personnel and legal matters, that are exceptions to the presumption that the board generally must meet in open session to discuss HOA issues. The law does not preclude the release of information from closed meetings, the Progress told Parks.

Parks did not reply.

Only one director did.

Slobodan Trendic said he had been opposed to the board’s decision to ask the Progress to reveal a confidential source.

“Why would anyone ask a journalist to disclose a confidential source when the expected answer is blatantly obvious?” he said he told his colleagues, adding, “for the record, and speaking for myself as an individual director, I do not support this idea. And I will not be part of this discussion as a board member unless it comes before the board in the proper order.”

“Amateur hour is over ... Good night,” he concluded.

BOARD OF DIRECTORS

March 2019 Ocean Pines PROGRESS

Board resists proposal for operations study

He said the board must consider what the root causes are of the challenges within the OPA and what the board can do to prevent future problems. If the board doesn’t do that, then it is reverting to a pointto-point communication system whereby “staff desperately wants to do something” and it never reaches the board, he said.

“I’m just wondering if we really need to go outside to do this. If it is something the board could do in house. I really want to give the current team leaders that are in place the opportunity to demonstrate their abilities and gifts,” Director Steve Tuttle said. He added that whatever the ultimate solution, having a general manager or outsourcing management, the staff will do the operational assessment that leads to that decision.

Director Collette Horn said Daly * highlighted some known problems within the OPA that came to light following (Name creation ofBond) the current Prince Georges Md of MuniCnty management team structure. She (00.00) said the Price: OPA98.500 can begin to make Coupon: 3.25 changes based(00/00/00) on known operationMaturity Date: 07/15/2036 (00/00/00) al deficiencies.

She said she thinks 07/15/2028 Callable Date: (00/00/00 or N/A) an operational assessment is curPrince Georges Cnty Md (Name of Muni Bond) 100 Call Price: (000) rently occurring with the structure

Some colleagues say it would be premature if attempted now

By ROTA L. KNOTT Contributing Writer alling the proposal premature, the Board of Directors on March 9 tabled discussion of a motion to conduct an operations assessment of certain Ocean Pines Association functions.

Director Frank Daly offered a motion to issue a request for proposals “for the purpose of conducting an operations assessment of the administrative, public works and amenity related departments.” The police department and food and beverage operations were excluded from his motion. He said the purpose of this assessment would be to identify areas “where improved structure, communications, policies and/or procedures can be instituted to improve performance.”

As background, Daly said the operating performance of the association over the past 30 months has indicated an absence of embedded policies and procedures for effective management. In addition, he said there have been significant gaps

for three general managers. While current OPA President Doug Parks “does as good a job doing that as any human being can do,” the point-topoint system has been an “abysmal failure.” The problems are repetitive no matter who is in the leadership positions, he said. “We simply are not getting effective management using that process.”

Director Esther Diller, participating in the meeting via conference call, concurred that there have been some complete failures and resulting anger in the community that projects weren’t completed. “They are in the past,” she said. But now, with a staff management team in place, significant headway is being made on outstanding projects in just three weeks. “We are moving in the right direction” she said.

Diller argued that an operational assessment is going on right now through implementation of the management team. Therefore, there is no reason to spend OPA money on an operational assessment at a cost of $20,000 to $25,000 “when it / AAA Rating: Aaa (XXX/XXX) is happening as we speak.” She said Other: (Obligor) she understands Daly’s frustration 98.500 Price: (00.00) * over the projects and issues that Coupon: 3.25 (00/00/00) have been dropped by previous leadCarrie Dupuie, AAMS University Md Sys Auxiliary ership. But now “we are seeing lots Maturity Date: (Financial Advisor Financial Advisor Name) 07/15/2036 (00/00/00) Title) Prince Georges Cnty Md (Name of Muni Bond) Fac &215(Approved Tuition of thing being done” and the board North Main Street Rev Berlin, MD 21811 07/15/2028 (Address) (00/00/00 or N/A) has to give the management team a Callable Date: Price: 98.500 (00.00) 410-208-1704 (City, ST 00000) chance.

Carrie.Dupuie@RaymondJames.com Coupon: 100 (00/00/00) 3.25 (000-000-0000) I (Toll-Free: 800-000-0000) Call Price: (000) Director Slobodan Trendic con(000-000-0000) 4/01/2039 MaturityDue Date:Fax:07/15/2036 (00/00/00) (E-mail Address) curred with Diller, saying now the / AAA 07/15/2028 Rating: (XXX/XXX) Callable Date: Aaa (00/00/00 (Website) or N/A) Callable 04/2029 OPA has a management team that Call Price: 100 (000) Other: (Obligor) is looking at every aspect of associ/ AAA 100 Rating: (XXX/XXX) CallAaa Price ation operations and how to bring * Other: (Obligor) (0.00%) TAX-FREE 3.25 % TAX-FREE* Rating Aa1/AA+ them in line with best practices.*As of 06/07/2018 * As of 00/00/00.

He said it would be inappropriateSubject to availability and price change. Minimum purchases Prince Georges Cnty Md (Name ofThe Muni Bond) may apply. yield is the lesser of yield to maturity or yield to call. Interest is generally exem from federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where the bonds were issued. Howeve AAMS may be subject to federal alternative minimum Carrie tax (AMT), and Dupuie, profits and losses on tax-exempt bonds may be subject to capital gains tax treatmen to bring in a third party to performbonds (00.00) Ratings by Moody’s/Standard & Poor’s. A creditCarrie ratingPrice: of a security 98.500 isDupuie, not a recommendation toAAMS buy, sell or hold the security and may be subject to review (Financial Advisor Name) suspension, reduction or withdrawal at any time by the Financial assigning RatingAdvisor Agency. Insurance pertains only to the timely payment of principal and inte (00/00/00) est. No representation is made as to(Financial any insurer’sCoupon: ability to meet its3.25 financial commitments.

Ratings andName) insurance do not remove market risk since they d an operational assessment at thisrevision, Advisor (Approved Title) Financial Advisor not guarantee the market value of the bond.

215 North Main Street 07/15/2036 Maturity Date: (00/00/00) Financial Services,Berlin, Inc. member FINRA/SIPC. time. He said he believes the boardSecurities offered through Raymond James MD 21811 (Approved Title) (Address) or 07/15/2028 Callable Date: (00/00/00 N/A) 215 North Main Street 410-208-1704 needs to entrust the OPA’s senior ST 00000) 100 Call Price:(City, (000) Carrie.Dupuie@RaymondJames.com (000-000-0000) I (Toll-Free: 800-000-0000) Berlin, MD 21811 / AAA Rating: Aaa (XXX/XXX) staff with the responsibility, give (Address) Fax: (Obligor) (000-000-0000) Other: 410-208-1704 them the freedom to implement the (E-mailST Address) (City, 00000) (Website) Carrie.Dupuie@RaymondJames.com changes they feel are necessary and (000-000-0000) I (Toll-Free: Carrie Dupuie, AAMS 800-000-0000) (Financial Advisor Name) hold them accountable.

(Approved Title) Fax: (000-000-0000) Daly said he is not interested in (Address) (E-mail (City, STAddress) 00000) bringing in someone to perform an (000-000-0000) I (Toll-Free: 800-000-0000) 06/07/2018 (Website) Fax: (000-000-0000) assessment and paying for a report**AsAs ofof00/00/00.

Address) Subject to availability and price change. Minimum purchases may (E-mail apply. The yield is the lesser of yield to maturity or yield to call. Interest is generally exem federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where the bonds were issued. Howeve (Website) that will sit on a shelf like other re-from bonds may be subject to federal alternative minimum tax (AMT), and profits and losses on tax-exempt bonds may be subject to capital gains tax treatmen Ratings by Moody’s/Standard & Poor’s. A credit rating of a security is not a recommendation to buy, sell or hold the security and may be subject to review suspension, reduction or withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely payment of principal and inte ports that haven’t been acted on byrevision, est. No representation is made as to any insurer’s ability to meet its financial commitments. Ratings and insurance do not remove market risk since they d guarantee the market value of the bond. the OPA. He acknowledged that henotSecurities offered through Raymond James Financial Services, Inc. member FINRA/SIPC. Subject to availability and price change. Minimum purchases may apply. The yield is the lesser has already seen some operational of yield to maturity or yield to call. Interest is generally exempt from federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where the bonds were issued. However, bonds may be subject to federal alternative tax (AMT), and improvements and “eye openers.” profits and losses on tax-exempt bonds may be subject to capital gains tax treatment. Ratings by Moody’s/Standard & Poor’s. A credit rating of a security is not a recommendation to But he wondered aloud *As how the 06/07/2018 buy, sell or hold the security and may be subject to review, revision, suspension, reduction or * As ofof00/00/00. withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely OPA will capture that information payment of principal and interest. No representation is made to any insurer’s ability to meet its Subject to availability and price change.

Minimum purchases may apply. The yield is the lesser of yield to maturity or yield to call. financial commitments. Ratings and insurance do not remove risk since they do not guarantee for consideration when frommaking federal taxation and may alsothebemarket free ofvalue stateof and local taxes for investors residing in the state and/or locality where the bo the bond. bonds may be subject to federal alternative minimum tax (AMT), and profits and losses on tax-exempt bonds may be subject to more permanent structuralRatings changes Securities offered through Raymond James Financial Services, Inc., member FNRA/SIPC.

by Moody’s/Standard & Poor’s.

A credit rating of a security is not a recommendation to buy, sell or hold the security and (c) 2015 Raymond James Financial Services, Inc., member FINRA/SIPC 15-MFI-0113 ICD BS 8/15 revision, suspension, reduction or withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely pay to management.

(0.00%) TAX-FREE 3.25 % TAX-FREE*

(0.00%) TAX-FRE 3.25 % TAX-FREE* q

C

in communication, in following directives and guidance, and in completing projects in a timely manner.

The intent of this assessment is to identify and correct the root cause of these problems and to implement policies and procedures to prevent their future occurrence, he said.

“This discussion is not about people. This discussion is about process and structure and institutional memory,” Daly said.

He said the OPA operates using a point-to-point communication structure through which any board decisions and directives are communicated to the association’s general manager through one point, the OPA president. That process of communication is defined by the association’s bylaws. Similarly, the OPA’s staff of nearly 100 must filter all requests, projects, and issues through the general manager, who can then present the items to the board.

Daly said during the six years that he has lived in Ocean Pines, there have been five OPA presidents who were the point-to-point contact

25

(0.00%) TAX-FREE 3.25 % TAX-FREE*

Roses are red, Shamrocks are green, in one of our frames, it’s great to be seen!

Salisbury

3.375%

Berlin

ptical

ptical 800-K S. Salisbury Blvd., Salisbury, MD

(Next to the Greek Pita Place Restaurant)

,

16-B South Main St., Berlin, MD

©2015 Raymond James Financial Services, Inc., member FINRA/SIPC 15-MFI-0113 ICD BS 8/15

(1 block south of Atlantic Hotel)

410-546-1369 410-641-2020 M & F 9-7 • T-W-TH 9-5:30 • Sat 9-3 Mon., Tues., Thurs. & Fri. 9 a.m. to 4:30 p.m.

20 OFF %

GIVE THE GIFT OF SIGHT

EVERY FRAME IN STOCK

Make an Appointment for a Loved One

With Purchase of Rx Lenses. Includes Designer Frames. Outside Prescriptions Welcome.

GIFT CERTIFICATES AVAILABLE

Some Restrictions Apply

Expires 3-31-19

Financial Advisor

215 North Main Street Berlin, MD 21811 410-208-1704

Carrie.Dupuie@RaymondJames.com

,

06/07/2018 **As As ofof 00/00/00.

©2015

We accept many vision insurance plans. Ask us about YOURS. Then make your appointment at: Salisbury Optical or Berlin Optical

Subject to availability and price change. Minimum purchases may apply. The yield is the lesser of yield to maturity or yield to call. Interest is generally exempt from federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where the bonds were issued. However, Raymondbonds James Inc.,minimum member FINRA/SIPC ICD BSbonds 8/15 may Financial be subject to Services, federal alternative tax (AMT), and profits15-MFI-0113 and losses on tax-exempt may be subject to capital gains tax treatment.

Ratings by Moody’s/Standard & Poor’s. A credit rating of a security is not a recommendation to buy, sell or hold the security and may be subject to review, revision, suspension, reduction or withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely payment of principal and interest. No representation is made as to any insurer’s ability to meet its financial commitments. Ratings and insurance do not remove market risk since they do not guarantee the market value of the bond.

Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC.

353671

©2015 Raymond James Financial Services, Inc., member FINRA/SIPC 15-MFI-0113 ICD BS 8/15

est. No representation is made as to any insurer’s ability to meet its financial commitments. Ratings and insurance do not remov not guarantee the market value of the bond.

BOARD OF DIRECTORS

March 2019

OPA to tap into ‘community knowledge’ for new public works committee Board nixes chartered proposal in favor of ad hoc committee structure

By ROTA L. KNOTT Contributing Writer new ad hoc public works advisory committee dould enable the Ocean Pines Association to tap into the wealth of knowledge community members have related to construction and infrastructure.

During a March 9 meeting, the Board of Directors authorized a creation of the committee to advise the board on matters relating to the construction and maintenance of roadways, bridges, bulkheads, ditches and other infrastructure as well as new building construction, renovation and maintenance.

Director Frank Daly originally offered a motion to establish a board-appointed and chartered committee because there is no permanent advisory group with a focus on public works related issues. Director Steve Tuttle offered an amendment to the main motion changing it to an ad hoc committee that would report to the board instead. Directors approved creation the committee in a

A

5-0 vote with two members absent and not voting.

Since the departure of former General Manager John Bailey, Daly said it has been a “real eye opener” working with the staff management team.

He said there are a lot of residents in the community who have skills but the public works department doesn’t have a formal way to

tap into those resources. “This is one way,” he said of a public works committee.

Director Slobodan Trendic questioned the need for the group to be a permanent board-appointed and chartered committee as proposed in Daly’s motion. He said the board should not be in the business of creating committees but does have an “obligation to solve problems and

Operations assessment

a management transition team. At this time, she said the board doesn’t need to do anything more than it is doing right now. “Let’s let the team get their feet firmly planted.”

She suggested giving the management team another month to assess the operations and determine where there are deficiencies. According to Diller, it would be a waste of time to do an assessment now. “Not that it’s a bad idea. It’s too premature,” she said.

OPA President Doug Parks agreed that the timing is off for such

From Page 25 the board put in place as an interim leadership plan.

Diller said she isn’t necessarily opposed to performing an operational assessment but that now is not the right time for it. “How do you do an operational assessment when you’re not even sure of the final structure?”

She said the board is presented right now with a unique situation in Ocean Pines because of the use of

improve the operations and the management of our community.”

Trendic pointed out that a board-appointed and chartered committee would have to meet the requirements of the OPA’s governing documents as well as comply with the Maryland Homeowners Association Act, including rules related to conducting and reporting on meetings.

He said a “more efficient and expeditious way of creating this kind of resource” is to use an ad hoc committee structure that can work with the senior management team and report to the board. 

26 Ocean Pines PROGRESS

a study. “I don’t see the need for it at least right now.”

After 45 days, he said the board will have a much better sense of the abilities of staff on the management team and the board could reconsider performing an operational assessment at that time if directors feel it is necessary.

Daly agreed to table his motion for now. However, he said, to him as a board member it is unacceptable to go back to a point-to-point communication system without first putting in some operational fixes.

NeedAutomotive, Automotive,Body Bodyor orMarine MarineRepair?

Repair? Visit Visit One One of our our 32 Locations Locations Need RACERACK AUTO AUTO RACETRACK MARINE RACETRACK AUTO RACETRACK RACETRACK AUTO & TIRE CENTER & BOAT SALES & BODY SHOP & BODY SHOP & TIRE CENTER10438 Racetrack Road, Berlin 10834 Ocean Gateway, Berlin 10436 Racetrack Road, Berlin 10436 Racetrack Rd., Berlin

410-641-5262 410-641-5204 410-641-3200 410-641-5262 Trailer Parts and Repairs • Complete Diagnostics and Programming Custom Exhaustand • Major or Minor(Call Repairs • ASE-Certified Technicians  Boat Storage Winterization 410-641-3200) Transmission Complete Auto Body Shop • 24-HOUR TOWING Mechanical Repairs Standard & Custom Exhaust Certified Technicians •• Web at racetrackoc.com Us on the Auto Body  Racetrack Trailer Sales MarineVisit Mechanics

Car Rentals 10% OFF & Detailing Exhaust Service Available

$64.95 $79 Md. State Inspection

FULL SYNTHETIC $20 OFF OIL CHANGE Any Brake Job

Tire Rotation

With Purchase of Oil, Lube & Filter

All coupons must be presented before estimate.

Most Up cannot to 5 qts.combine With coupon only.Exp. Exp.4/12/19 Most cars. vehicles coupons.

3/30/13

All coupons must be Allcoupons couponsmust mustbe bepresented presentedbefore beforeestimate. estimate. presented before estimate.

All Most vehicles cannot combine coupons.

Exp. 4/12/19 Most vehicles cannot combine coupons.

Exp. Exp. 12/31/12 Most vehicles cannot combine coupons.

Exp. 3/30/13

All coupons must be presented before estimate.

Most vehicles cannot combine coupons. Exp. 12/31/12

All coupons must be presented before estimate.

Most vehicles cannot combine coupons. Exp. 3/30/13

$49

95

All coupons must be presented before estimate.

Most vehicles cannot combine coupons. Exp. 12/31/12

($10 Off Regular Price)

All coupons must be presented before estimate.

All must presented before estimate.

All coupons couponscannot must be be presented beforeExp. estimate.

Most vehicles combine coupons.

12/31/12 Most vehicles vehicles cannot cannot combine combine coupons. coupons. Exp. Exp.4/12/19 Most 3/30/13

FREE

Includes 10W30 or Sw30, up to 5 quarts of oil, other weights available at extra charge.

Diesel oil & filter extra

& MARINE REPAIR

10834 Ocean Gateway, Berlin

410-641-3200 OIL CHANGE SPECIAL Join Our FREE VIP Club Excludes diesel & synthetics 95 Includes most vehicles. Up to 5 qts.

$29Every 6th

Oil Change Free Special Discounts ALIGNMENT 99 • forAngle VIP$49 Members Thrust 4 Wheel 5999

All coupons coupons must must be be presented presented before before estimate. estimate.

All Most vehicles cannot combine coupons.

Most vehicles cannot combine coupons.

Exp.Exp. Exp3/30/13 12/31/12

On rear wheel adjustable suspensions. Cost of shims & installation extra when required. Cars requiring Macphearson Strut correction extra.

BEST

All coupons coupons must must be be presented presented before before estimate. estimate.

All Most vehicles cannot combine coupons.

Most vehicles cannot combine coupons.

ExpExp. Exp.3/30/13 12/31/12

TIRE PRICES 10% OFF Marine Service IN TOWN! UP TO $150 DISCOUNT Up to $30 Discount

All 3/30/13 Allcoupons couponsmust mustbe bepresented presentedbefore beforeestimate. estimate. Exp. Exp 12/31/12

BOARD OF DIRECTORS Public works From Page 26 “I’m a big advocate of using the intellectual capital that exists in the Ocean Pines area to assist us with the operations,” OPA President Doug Parks said. He added that, while the concept of a public works committee is sound, establishing it as a permanent board-appointed committee would create an unnecessary administrative burden. Doing so would involve revising board resolutions, including holding first and second readings of resolutions changes.

He called that process too cumbersome. “I think we could accomplish the exact same thing with an ad hoc work group.”

He said an ad hoc committee can be appointed quickly to discuss issues as needed. “I would much rather see the ad hoc committee,” he said adding that he would not support creating another board-appointed and chartered committee. “It just gives us a lot more flexibility.”

Director Collette Horn said the board needs to need to tap into the expertise in the community to help

March 2019 Ocean Pines PROGRESS determine priorities. She said the committee should advise the board, not necessarily department heads.

“My comment is based on the two years of bumbling around that we did deciding what to do with the Country Club building and ...

I agree that it should be a nimble quick process rather than going through the board charter process.

I do believe this work group needs to be advisory to the board because the board demonstrated that we are perfectly willing and able to bumble around for two years trying to figure out what to do with a major asset.”

OPA President Doug Parks said an ad hoc committee working with staff would not be prohibited from providing recommendations to the board. But, he noted, according to the OPA’s governing documents the board is not supposed to be directing staff.

Daly said he actually favors ad hoc committees over board chartered committees. But, he cited challenges of the board not knowing what – if anything – past ad hoc committees were doing and not even knowing when they were disbanded. He specifically cited an ad

hoc drainage that the board thought was working on a plan to address drainage concerns in Ocean Pines, but later found out wasn’t doing so.

Chartered committees, on the other hand, have specific policies and procedures to which they must adhere.

“It’s when these committees disappear that were ad hoc and aren’t doing things that we’re expecting and more importantly that they’re expecting out in the community,” he said. “They’re dead. No activity. And we didn’t know about it.”

“Your point is taken Frank,” Parks responded. However, he said the members of ad hoc committees also have a responsibility to make sure meetings are occurring and the work they were assigned is getting done. He said the OPA’s ad hoc technology work group met for a long time and generated recommendations for improvements within Ocean Pines.

Parks said communication with ad hoc committees needs to be improved. He said the board has to establish areas of responsibility and have a clear method for them to “report up.”

27

Horn suggested that a director should be assigned to each ad hoc committee as a board liaison. That director could serve as the primary point of contact for the committee and ensure two-way communications takes place.

Parks said Horn made a good point. “There’s an opportunity for improvement on our side.”

Trendic still favored an ad hoc committee that would work more directly with the management team.

“What you cited as an example of basically operational failure at the management level. That’s plain and simple. Let’s not try to ignore the obvious.”

The issue is how to best deal with it, he said, adding that establishing the public works committee as an ad hoc working group instead of a board committee gives it the flexibility to work very quickly. He added that it allows the OPA to get things done without having to deal with “rules and regulations” for things like committee meetings.

If the ad hoc committee is successful, maybe over time it will evolve into board sponsored committee, he said.

March 2019

Daly’s laundry list of topics pushed off to management team

By ROTA L. KNOTT Contributing Writer irector Frank Daly introduced a plethora of topics for discussion during a March 9 board meeting, without offering motions on any of them. His fellow directors simply agreed to pass along all of the issues he raised to the staff management team put in place following the exit of General Manager John Bailey. Golf maintenance, debit cards, bulkheads, and general cost savings were all on Daly’s list of problem areas, largely brought to his attention during a Budget and Finance Advisory Committee meeting.

In the area of golf maintenance and budgeting, Daly said the central question was who is responsible for that function, and to assign responsibility and accountability for maintaining the golf course assets and achieving budget.

D

According to Daly at the Budget and Finance Advisory Committee meeting held on Feb. 27, the director of golf operations, John Ma- Frank Daly linowski, was asked by the Ocean Pines Association’s chief financial officer and committee chairman, John Viola, if he was responsible for golf maintenance or if it was under the public works department. The director of golf operations reportedly responded ‘I don’t know.’

Daly said this raises obvious issues as to who is committed to

achieving the budget numbers and who is responsible for completing the activities necessary to maintain the golf course assets in a proper and timely manner.

Although this is clearly an operational issue it now becomes an issue for discussion and resolution by the board, he said.

“Absolutely unbelievable after what we went through on the budget. But here it is. The director of golf doesn’t know who in the hell is responsible for golf course maintenance. So let’s make the decision and end the discussion within like the next 60 seconds,” Daly told his fellow board members.

Director Slobodan Trendic said he is shocked that such a comment would be made.

He said the board has been discussing the organizational structure of the association and is talking about reorganizing and restructur-

FIND YOUR TREASURE AT INCREDIBLE PRICES AT WHITE MARLIN MALL DISCOVER SAVINGS OF THE GREEN at Ulta Beauty - Dunkin’ Donuts - Pam’s Hallmark

Bath and Body Works - Wockenfuss Candy - Marshalls - Five Guys - Pier 1 Imports Staples - KFC - Dollar Tree - PetCo - Farmers Bank of Willards - Bed, Bath & Beyond GameStop - GNC - Panera Bread - FiveBelow - Taco Bell - Cutting Crew - Jiffy Lube - AT&T Verizon - dressbarn - US Postal Branch - Watch for Flagship Premium Cinemas & Dairy Queen

BOARD OF DIRECTORS ing the operations.

“I think the answer should be pretty obvious who the maintenance superintendent reports to,” he said, adding that if it is not clear one of things board should do as part of restructuring conversations is look at this particular area. He said if the board implements changes to organizational structure, “this is going to be basically sorted out.”

Director Steve Tuttle said he too was at the budget and finance committee meeting when this comment was made.

“I heard it. I was tempted to answer for our golf director and say of course it’s under you who else should it be under. To me it’s almost a non-issue. He should be responsible for it. It’s his bottom line.”

OPA President Doug Parks called the topic a “non- issue. He added “Just make it happen, Done. Next issue,” Parks said.

The next issue brought up by Daly was the OPA’s amenity debit card expiration policy. He said the debit cards now have an expiration date. This change should be commuq

28 Ocean Pines PROGRESS

BOARD OF DIRECTORS Daly list From Page 28 nicated to all association members in a concise, timely manner to avoid any future misunderstandings, he said.

Parks suggested the board issue the matter to staff as an action item.

He said the OPA should notify members via email and posting on the OPA Web site now and follow up in a month.

Trendic said debit cards are a form of a contract between the OPA and the member.

“When you sell them you actually have engaged in a contractual obligation with a customer that purchased a debit card.”

He asked if the OPA has a policy in place on debit cards. If so, he further questioned whether the policy has been updated to reflect the inclusion of expiration dates on debit cards. He said in the market place that is not unusual. “It does happen,” he said.

Trendic said gift cards are a liability for businesses if they aren’t being used by the customer. So businesses include expiration dates to

March 2019 Ocean Pines PROGRESS force customers to either use the cards or have them expire so they can get them off their books.

“To me what’s important is really the contract aspect of this. It’s an agreement. We want to make sure that it’s being done in the way that is legally correct if we are changing the policy and establishing an expiration date it’s got to be in compliance with that industry standard agreement on debit cards.”

Daly also questioned the OPA’s bulkhead program and the potential for a cost reduction by using alternate materials to extend the life of bulkheads. He said the OPA should begin the process of evaluating methods and actions to reduce the cost per lineal foot of bulkhead replacements.

One item he suggested investigating is the use of stainless steel components to increase bulkhead life.

This would require the board to direct Public Works to issue a request for proposals to marine engineering firms to provide their recommendations and analyses regarding material changes.

The second item was to identify and secure a parcel of land within

Ocean Pines to be used as a staging area.

Daly said this would require the board “to direct Public Works to identify potential areas, secure the services of a zoning attorney, and possibly to secure the services of an engineering firm to design the staging area to comply with all existing regulations.”

If any resolution is to be included in the 20/21 Budget guidance these activities should begin immediately, he said.

“All of this needs to be captured and put into a plan so that we have time to react to it in the upcoming budget cycle, which is going to start in about six months. It can be done but it has to be directed to be done and we need to start right away” he said.

Parks supported issuing a directive for staff to investigate cost reductions for the bulkhead program.

“It’s another one of those information gathering activities and I think that our team is more that up to the task for something like that.”

Finally, Daly wanted to create an ad hoc committee to identify potential cost savings through the OPA’s

29

operations. He said as part of the FY19 /20 budget process the finance department prepared a document that showed a line by line comparison of expenditures and revenue compared to the Consumer Price Index.

A number of these line items showed increases in expenditures that were significantly higher on a percentage basis than what would be expected.

Daly said the purpose of this committee would be to review this document and prepare a list of potential cost savings actions that could be implemented to bring expenses in line with projections.

These actions would be reported to the B&F Committee or board monthly with a final report due in time for consideration to be included in the FY20/21 budget guidance.

The intent would be for this committee to disband upon their final report to the B&F Committee.

Parks called the topic “another pretty straightforward one” and again said it should simply be a directive issued to staff.

Trendic added, “It’s not a directive. It’s a challenge.”

Robert D. Park, DMD, MSD ORTHODONTIST William Hamilton, Jr., DPT, CHT

Now In

Clinical Director & Certified Hand Therapist

Millsboro

Specializing in: Hand therapy (CHT)

Braces for Children and Adults

Upper extremity specialist Balance impairments Joint replacement rehabilitation

PDMbraces.com

Mobilization and muscle energy techniques

Most Insurance DE Medicaid for Children Payment Plans

Friday and Saturday Hours Peninsula Crossing by BJ’s

Aquatic therapy

302-297-3750

11022 Nicholas Lane, Suite 1 | Ocean Pines, MD 21811 P: (410) 208-3440 | F: (410) 208-3505 tidewaterpt.com | facebook.com/tidewaterphysicaltherapy

MD-0000726201

Mastercard-VI SA-American Express-Discover

30 Ocean Pines PROGRESS

OPA FINANCES

March 2019

New budget missed ways to keep assessment at $951 Trendic says colleagues too focused on reducing operating fund deficit

By TOM STAUSS Publisher hile the Board of Directors took almost every conceivable way to make pragmatic cuts to the 2019-20 budget before approving it Feb. 26, in the end the elected representatives of Ocean Pines Association members couldn’t make enough of them to keep the base lot assessment at $951.

Instead, as has been widely reported, the assessment is growing $35 to $986, still considerably less than the $127 increase that had been dangled out as a possibility in what was, by many reckonings, the most grueeling budget process in years.

Indeed, at various point in the protracted process, the assessment increase was pegged at zero, in former General Manager’s draft budget in early January; then $31 (at $982),

W

$

89

99

7-1/4-In. Circular Saw/Case

15 Amp motor, 3,760 RPM full load speed. 5,800 RPM no load speed. Includes 24 tooth carbide tipped saw blade, wrench and plastic case.

5715222

later in the month; revised to $127 (at $1,078), at a Feb. 2 town meeting on the budget; down to a $54 increase, at $1,005, at the board’s regular meeting Feb. 16; and down again to a $40 increase, to $991 at the start of a special meeting Feburary 23.

After some additional whittling away at expenses but some additions, too, the board settled on a $35 increase, for a base assessment of $986. Slobodan Trendic in the end was the only director to dissent on the budget, which passed 6-1 during that Feb. 26 special meeting.

Trendic wanted to prevent any increase in the assessment and offered specific ways for that to happen.

Throughout the budget process, he insisted that the board should not assess property owners to lower the $1 million operating fund defi-

6

$ 29 FatMax® Retractable Utility Knife

Blade wiper removes excess dirt and protects knife. Pop-up blade dispenser and push button blade change.

6775795

5

$ 99 2-Pc. Pruner Set

Includes a bypass and a anvil pruner.

8385254

cit projected at the end of this fiscal year, April 30. Instead, he tried to persuade his colleagues that the best way to reduce the operating fund deficit, which isn’t a debt in any sense of the term because it isn’t owed to anyone, is simply to take the axe to more OPA spending or improve operations in two key amenities, golf and the Yacht Club in particular.

Had the board accepted Trendic’s proposal not to raise the assessment to pay for so-called deficit recovery, it would chopped roughly $252,000 in assessment collections from the budget. That’s the equivilent of roughly $30 on the assessemnt, covering most of the increase in the final package.

In addition, Trendic wanted to reduce operating deficits at the golf course and the Yacht Club, projected at roughly $100,000 each in 201920, to zero. While it was not clear during discussion during the Feb. 26 meeting how he would achieve that -- later he told the Progress it could be done in part by converting the golf pro to a seasonal position -- cutting the Yacht Club deficit to zero seems much more achievable in 2019-20.

That’s because the approved budget for the Yacht Club under the Matt Ortt Companies is the same in 2019-20 as it is in the current fiscal year. The approved budget excludes any attempt to estimate banquet revenue and expenses next year, with management and the board, with the exception of Trendic, having little enthusiasm for obtaining those numbers prior to approving the budget.

OPA Treasurer and Budget and Finance Advisory Committee chairman John Viola made an 11th hour attempt to obtain those numbers from the Matt Ortt Companies after one of the MOC principles told him that there are currently 36 banquets on the books this coming year.

Viola tasked the Director of Finance, Steve Phillips, with obtaining the information, but it did not arrive in time for inclusion in the budget.

It was also apparent that OPA President Doug Parks had no particular interest in waiting for the banquet numbers to be plugged into

the budget before it was approved.

He seemed particularly focused on having the budget approved at the Feb. 26 special meeting.

Viola told the Progress that had the banquet information been provided earlier in the process, he was sure the full board would have been willing to include it in the budget.

A majoirity of directors seemed inclined simply to wait for Yacht Club operations, including an expected surge in banquet revenues, to materialize this spring and summer.

But at a board meeting earlier in the month, Director Frank Daly said he wanted any improved performance at the Yacht Club resulting from banquet business to be earmarked for deficit recovery, by which he meant, according to Viola, that the net proceeds from banquets could not be spent for any other purpose. Dollars flowing into the operating fund from assessments or amenity operations are fungible, meaning that, should actual results underperform the budget, or should the board decide to spend on any unbudgeted items, then the Daly pledge could not actually be fulfilled.

In fact, however, any Yacht Club surplues or numbers better than budget, if they produce an overall operating surplus for the OPA next year, automatically reduce the operating fund deficit, which is the deficit that the members of Viola’s B&F committee and some board members seem especially focused on.

Trendic cares about the operating fund deficit, too, but he doesn’t want it reduced on the backs of property owners, who he contends didn’t create it.

Trendic said that under the current projections, the operating fund deficit will be almost $600,000 less at the end of this fiscal year than it was a year ago, and there is no real reason it has to be reduced further if it means an assessment increase.

He said banquet net earnings alone should create revenues that could be used to reduce the operating deficit, as Daly suggested.

But it was also clear he didn’t think reducing the operating fund deficit was all that critical, that the OPA had a million dollar deficit six year ago, with no one hardly noticing or caring.

He quipped that a year of less deficit recovery after a year when $600,000 was chipped away from the operating fund deficit is no big deal because OPA has no bond rating or debt where it could have a real impact.

OPA FINANCES

March 2019 Ocean Pines PROGRESS

OPA records $21,000 negative variance in January; Yacht Club loses $50,000

By TOM STAUSS Publisher he Ocean Pines Association lost money in January, after recording surpluses for much of the year. The deficit for the month was $21,000.

For the first nine months of the fiscal year, the positive variance to budget was $130,078, including new capital, or $149194 without it.

The negative variance to budget in January resulted from revenues over budget by $42,123, expenses over budget by $55,599, and new capital over budget by $8,003.

Through January, the positive variance fund variance of $130,078 resulted from revenues over budget by $461,802, total expenses over budget by $312,608, and new capital over budget by $19,116.

Nine months into the fiscal year, the OPA recorded a net operating surplus of $2,172,716, well ahead of the $1,108,765 surplus recorded through the same month of the prior year.

The Yacht Club lost $50,148, a somewhat puzzling result, as the amenity was closed for month.

It did record $6,572 in banquet food revenues and $3,425 in banquet beverage revenues.

According to the published operational results, the Yacht Club had $29,267 in wage and benefit costs, against the budgeted $8,703, and $17,120 in other costs, which was attributed to the gradual payout of estimated budget and performance bonuses to the Matt Ortt Companies. It’s being paid out over the remaining months of the fiscal year, and is embedded in the estimated $100,000 loss at the Yacht Club that has been projected for 2018-19.

In a meeting of the Budget and Finance Advisory Committee last month, Director of Finance Steve Phillips did not have an explanation for why the 25 Blind Factory-Ad 3/21/2016 12:06 PM Page 1 wage and benefit costs were so out of line with the budget for the month.

OPA Treasurer John Viola said that Phillips was researching the issue

Save Thousands On Cremation & Burial Expenses!

T

q

31

Funeral Packages Including Casket Starting at

Direct Cremation Tribute

3765 1220

$

$

Providing the area’s best cremation and funeral value.

90799B-1409-2

Many other cremation and burial packages to choose from.

504 Franklin Ave Berlin, Maryland 21811 (410) 973-2434

www.easternshorecremation.com

Family-Owned, Private Cremation, Not Outsourced...The Difference is Peace of Mind

SPRING SALE!!!

UP TO 20% OFF Our Everyday Pricing

32 Ocean Pines PROGRESS

OPA FINANCES

March 2019

January financials From Page 31 and would have a report to the committee at its March meeting.

Year-to-date, the Yacht Club remains well ahead of budget. Through January, the operating surplus was $40,169, $87,756 ahead of budget.

Golf operations recorded a $26,319 loss in January, missing budget by $1,417. For the year through January, golf slipped into the red for the year by $13,423, still ahead of budget by $24,78.

The Tern Grille recorded a $2,270 loss in January, missing its budget by a scant $6. For the year through January, the Tern Grill had a $7,640 surplus, $7,171 ahead of budget.

The Beach Club, not open this time of year, nontheless produced a $14,032 loss for the month, missing budget by $10,761.

For the year through January, the Beach Club recorded a $103,914 surplus, under budget by $5,973.

That’s still much better than the $63,997 recorded through January of 2018.

OPA operating results by department for January, 2019 Source: OPA Department of Finance

Aquatics had an excellent January, losing only $5,880 but ahead of budget by $17,686.

For the year, Aquatics is in the black by $213,541 and under budget

SONIA ZAFFIRIS

Associate Broker, GRI, CRS

410-251-6217 (Cell) • 410-208-9200 (Office) • 800-337-7368 Ext. 103

soniasez@aol.com 11065 Cathell Road, Berlin, MD 21811 RUSTIC 3BR/2.5 BATH CONTEMPORARY WITH GARAGE

by $30,943.

Deferred swipe card revenue of roughly $14,000 per month will be credited to Aquatics for the duration of the fiscal year, which could help bring the department close to its budget for the year.

In any event, Aquatics most likely will be a net revenue generator this year for the OPA. Other amenity departments lost money for the month and missed their budgets by modest amounts.

Reserve summary -- As of Jan. 31, the OPA had $9.66 million in reserve accounts, comprised of $5.84

million in the replacement reserve, $2.67 million in the bulkhead and waterways reserve, and $1.14 million in the roads reserve.

This was little changed from December.

Balance sheet -- The OPA balance sheet as of Jan. 31 showed $9.7 million in short-term investments, compared to $7.1 million year-overyear. Operating cash of $1,113, 383 compared to $1.2 million in December of 2017. Total assets were $34.19 million, balanced by $1.26 million in liabilities and $34.19 million in owners equity.

www.gotomybackyard.com

Entry opens to soaring living room with wood burning fireplace. First floor master BR & bath with its own deck. Newer architectural roof. 2-zone HVAC. Includes a flooring allowance. $249,900

MARINA VILLAGE

Cared for 3 BR & 2.5 baths townhome, master bedroom suite, 1 car garage. Lots of decking & 3 season Vinyl-tech room. Within walking distance to OP Yacht Club & 2 marina’s. $259,900

Winter Hours Open Tuesday through Saturday, 10 am - 5 pm

Bird Seed • Bird Baths • Bird Houses • Fire Pits We y Carr Bird Feeders • Garden Flags • Gift Certificates Wind Chimes • Local Honey & More

COUNTRY COTTAGE

North of Berlin. Be your own decorator! This 2 BR/ 1 bath home on .42 acres needs some help to make it your “home.”Seller offering buyer’s closing cost help! $98,900

11312 Manklin Creek Road, Unit 1B Ocean Pines, MD 21811

410-208-1479

Follow us on Facebook • We’re down the street from DeNovo’s

CAPTAIN’S COVE

March 2019 Ocean Pines PROGRESS

KCI-Noovis near end of contract with Captain’s Cove

By TOM STAUSS Publisher he long-awaited request for proposals from Internet Service Providers to bring highspeed fiber-optic Internet service to Captain’s Coves homes is scheduled for release March 18.

The release date and another details of the RFP were unveiled during a question-answer session with KCI-Noovis representatives Eric Welty and Debbie Pfeil, part of a regular meeting of the Captain’s Cove Board of Directors March 14 in Captain’s Cove.

The RFP, they said, is for the construction and ongoing operation of a “fiber to the home” high speed Internet system designed to serve the homes and venues operated by the Captain’s Cove property owners association, in sections 1 through 13.

T

KCI-Noovis is expected to submit a proposal to construct and operate the system, but other Internet Service Providers are also expected to compete for exclusive rights to operate a fiber-based Internet system in the Cove for a period of years to be negotiated.

Bids are due back to the Cove for opening and review by April 19 with a contract award expected no later than June 7.

Tim Hearn, a Cove board member and former Cove POA president, told the residents attending the March 14 board meeting that “this is the third inning” of a nine inning process which he said will lead to high speed availability throughout Captain’s Cove.

He said the RFP process overseen

by KCI-Noovis should avoid past disappointments, in which ISPs

Cindy Welsh 302-381-6910 (cell)

888-241-9590 (office) candhwelsh@aol.com

were unable to deliver on promises to deliver broadband services to the community.

He said that KCI-Noovis strongly believes that the 1,000 or so homes in Captain’s Cove is “enough critical mass” to justify a $4-5 million investment, without requiring advanced sign-ups that, because of lack of residents’ commitments, doomed the most recent effort to bring broadband to the Cove.

Hearn said that the KCI-Noovis experience shows that communities of 1,000 homes will commit to broadbroad once fiber runs in front of individual homes, with a customer saturation rate of up to 90 percent.

Should KCI-Noovis submit a proposal that the board finds to be the best among competing proposals, Hearn said the directors would then bring in a third party, an “owner

rep,” to negotiate a final package.

The roll-out will also include some involvement by the declarant/ development, Captain’s Cove Group, LLC, Hearn said.

Some equipment will need to be staged on developer-owned property, and the developer retains some revenue-sharing opportunities from licensing fees, he said.

Hearn said that once the board chooses a preferred vendor, negotations for a final contract will then commence, with ten or 15 years of exclusive rights to operate a fiber system a likely result.

Wireless competition such as that offered by companies such as Verizon will still be allowed, Hearn said.

Speeds up to 100 meg for residences or even up to 1 gig for businesses will be available for around $100 a month, according to Welty and Pfeil.

There will also be an opportunity to invest in the system by individuals, they said.

Bulk lot sales -- The Captain’s Cove developer/declarant is in the q

Broadband Internet request for proposals scheduled for release March. 18

For A Virtual Tour of Captain’s Cove, Please Visit My Web site at captainscoveproperties.com

4243 Captain’s Corridor, Greenbackville, VA. 23356

Captain’s Cove -- Hidden Treasure on Virginia’s Eastern Shore

38069 Davey Jones Blvd. • $177,903 260 Navigator Dr. • $192,700

2179 Yardarm Ct. • $213,900

NEW LISTING

NEW CONSTRUCTION

3 BR / 2 BA 1387 sq. ft., Rancher, Hardwood Floors, Vaulted Ceilings, Screen Porch, 1 Car Garage.

NEW CONSTRUCTION

3 BR/2 BA 1496 sq ft., Dolphin 2012 Model, 1 Car garage, Screen Porch, Golf Course.

3746 Captain’s Corridor • $235,000 3488 Blackbeard Rd. • $334,900 NEW LISTING

3 BR/3 BA, 2003 sq ft., Cape Cod on Golf Course, Sunroom, Oversized 2 Car garage.

WATERFRONT

3 BR 2 BA 1663 sq ft., New Vinyl Bulkhead and Deck, Screen Porch, Large Kitchen with Island Bar. Chincoteague Bay views.

3 BR 2.5 BA 1774 sq ft. Tarpon Plus W/Extended Dining Area, Screen Porch, Unfinished Bonus Area.

37256 Luff Ct. • $224,900

3 BR 2.5 BA 2020 sq ft., Sunroom with Fireplace, Hardwood Floors, Screen Porch, Bonus Room.

37526 Bayside Dr. • $375,000 BAYFRONT

Direct Chincoteague Bay with pier and Boat lift. 3 BR 2.5 BA 2113 sq ft., Fireplace, Sunroom, Master on main level, Deck, Screen Porch.

33

Your Property Could Be Listed Here!

34 Ocean Pines PROGRESS

CAPTAIN’S COVE

March 2019

Lot sales From Page 33 process of selling some of its holdings in Sections 1, 7 and 10 to a third party, identified by Cove President Jim Silfee as Ray Jackson and his company, Stonewall Development.

Silfee made the revelation on the Cove Web site’s message board, when he was challenged by residents about whether Stonewall De-

velopment would inherit the right to avoid annual assessments in the same way that the current developer/declarant does.

Silfee in effect said the new owners of lots in Sections 1, 7 and 10 would be no differently than the former owners had been.

“Please revisit the language of the last two sentences of Paragraph 1 of the [2012] Settlement Agreement for the language which controls the

dues situation related to Captain’s Cove Land Company, LLC and its recent acquisitions. This LLC is owned and controlled by Mr. Ray Jackson / Stonewall Development,” Silfee said.

“Per this language, and given that this entity is currently under contract for the entirety of the Developer’s lots within Sections 1, 7 & 10, Mr. Jackson’s entity is not required to make dues payments as they

have the defined ‘builder’ status for the aforementioned Sections. While Mr. Jackson’s entity will enjoy this ‘builder’ status and exemption from dues assessment obligations, this status does not deem him his entity to be a Declarant,” Silfee clarified.

The exemption by developer and builder interests has been a sore point among some Cove residents, who often post their views on the Cove’s message board.

Building Captain’s Cove One Home at a Time www.jabuildersllc.com FEATURED HOMES

Sea Robin • $142,300

Partnering with Cindy Welsh of Hall Realty -- Call Cindy for Details!

Dolphin 2012 • $177,900

Sailfish • $196,900

Skipjack • $205,800

260 Navigator Dr.

$192,700

Golf Course Ranch Style Home 3 BR / 2 BA 1288 Sq Ft

• 3BR/2 BA New Construction • 1496 sq. ft.

• Dolphin 2012 Model • 1-Car Garage • 10 x12 Screen Porch

Tarpon • $186,100

Ranch Style Home 3BR / 2BA 1496 Sq Ft

Tarpon Plus • $198,700

Ranch Style Home 3 BR / 2 BA 1527 Sq Ft

Ranch Style Home 3 BR / 2 BA 1525 Sq Ft

Marlin • $212,100

Striper • $259,900

Two Story Contemporary Home 3 BR / 2.5 BA 1874 Sq Ft

Two Story Contemporary Home 3 BR / 2.5 BA 2243 Sq Ft

2179 Yardarm Drive

$213,900

Two-story Contemporary Home 3 BR/2.5 BA 1607 Sq Ft

Two Story Contemporary Home 3 BR / 2.5 BA 1722 Sq Ft

Tiger Shark • $185,200

Hammerhead • $244,800

• 3BR/2.5 BA New Construction • 1774 sq. ft.

• Tarpon Plus Model with Extended Kitchen & Dining Area • Screen Porch • Unfinished Bonus Room

Raised Home on Pilings 3 BR/2 BA 1349 Sq Ft

Raised Home on Pilings 3 BR / 2 BA 1663 Sq Ft

Thresher • $246,500

Raised Home on Pilings 3 BR/2 BA 1745 Sq Ft

Mako • $272,200

Raised Home on Pilings 4 BR/3.5 BA 1940 Sq Ft

J&A Builders specializes in spec home sales and new home construction. All of our models are “stick built” and feature a first floor master suite with standard appliance package, and Low-E windows.

These are a few of our models we can build on your lot. Prices DO NOT include the the lot. Homes are of similar design and may have upgrades. Prices good for Captain’s Cove, Greenbackville, Va. Only. MHBR #4790 PRICES SUBJECT TO CHANGE

CINDY WELSH - REALTOR Hall Realty

4323 Captain’s Corridor Greenbackville, VA. 23356 302-381-6910 (cell) • 757-854-1604 (office) 757-854-1606 (fax) • Email: candhwelsh@aol.com

COVER STORY Outsourcing From Page 1 with the approach in the motion, because it did not commit the board to any particular course of action once proposals are submitted and they are vetted by the management team and the board.

But Parks said asking companies to submit proposals with a two-week timeline for response might be too aggressive, and that the board could extend the deadline if needed to increase the pool of applicants. Trendic had no problem with the additional timeframe if it’s needed.

As envisioned by Trendic, the RFP approved by the board could almost be considered a request for information.

After Trendic offered his motion, that was seconded by Daly, Director Steve Tuttle somewhat testily offered some push-back, telling his colleagues that he wasn’t sure the board was ready to tackle the issue with an RFP. He called the March 16 deadline to send out an RFP unrealistic, but Parks later responded with “yes” when pressed on whether he could get it done by then.

Daly then jumped in and said he supported the motion, because it addresses “a piece of the puzzle we were elected to solve.” He said he was tired of seeing management problems repeated and that the traditional GM model “isn’t working for Ocean Pines. Simply tolerating past failed solutions in intolerable.”

Despite an obvious inability to hear most of what was occurring in the meeting over speakerphone, Diller agreed with Daly when she said the “traditional GM role isn’t working. We can’t wait. We have to start now in exploring alternatives.”

She called Ocean Pines a “small city” and that prospective solutions need to take that into account.

She praised the interim management team that has running Ocean Pines in recent weeks.

Director Colette Horn initially appeared to side more with Tuttle.

She said when the board considered outsourcing financial management, it was determined to be too costly.

A second concern she cited was whether there are management firms willing to submit proposals including a GM position.

“I agree with Esther that we’re a small city,” she said.

Her third concern was that of timing. She asked Trendic whether she would consider a friendly amendment that would add a week to the

March 2019 Ocean Pines PROGRESS

35

Daly, Trendic weigh in on how ‘hybrid GM’ position could actually function

By TOM STAUSS Publisher n recent interviews with the Progress, directors Frank Daly and Slobodan Trendic offered ideas on how “a hybrid” approach to working with a general manager provided by an outside management company might actually work in practice.

Daly said that there are essentially three menu choices before the board.

One would be to be pursue a traditional job search, probably by hiring a search firm and then selecting the most qualified candidate willing to work for the Ocean Pines Association.

Daley said he believed a board majority would oppose that option because, in his view, it hasn’t provided effectivement manangament in recent years.

A second approach would be hire an outside management firm and turn over day-to-day management of OPA affairs to an individual selected by that management firm. Daly said under this option there will be no difference in the way that the board interacts with the GM and department heads from the traditional model.

Daly said, speaking for himself, that he wasn’t sure there would be majority support for that approach, either.

The third option, with details to be fleshed out depending on the kinds of proposals management firms submit in response to an RFP, would be a hybrid version of outsourcing, Daly said.

A key componennt of that hydbird approach, he said, would include board interaction with department heads as is occuring under the interim management plan.

“It gives us valuable insight into the workings of the association that we wouldn’t have otherwise,” he said.

Speaking for himself and not the entire board, Daly said that the degree of oversight and involvement by directors in working directly with department heads may run right up to what is permitted under OPA bylaws, in which contact with employees is permitted but ordering certain actions is not.

“I’m prepared to take action to amend the bylaws if needed to keep the current level of interaction going under a hybrid management structure,” Daly said. Amending bylaws require a majority vote in a community-wide referendum.

Daly said his version of a hybrid structure takes into account and addresses in a substantive way a fundamental flaw in the way that the OPA has been managed over the years.

“Communication is poor,” he said. “I can go back three general managers, and communication flaws were part of the working environment.” He cited two recent cases in point. He said in a recent meeting of the Budget and Finance Advisory Committee, Director of Golf John Malinowski said he wasn’t sure if certain golf course maintenance staffers were members of his departnent or Public Works.

The other example was a meeting he sat in on with Public Works Director Eddie Wells in which Wells asked whether it was OK for his staff to check out a drainage pipe in the Mumford’s Landing of Ocean Pines to determine if it could be repaired rather than replaced.

“I was astounded by this,” Daly said. “At this late date, after the budget was approved, he was asking whether he could proceed to check out an option that might result in a $250,000 savings to the OPA.” Daly suggested that under a hybrid approach, the new GM could be tasked with assembling a detailed manual of all OPA procedures that could guide the closure and reopening of OPA amenities.

Trendic’s idea of a hybrid management structure is compatible with Daly’s.

Speaking for himself only, Trendic said he could forsee the OPA assigning tasks to the new GM where there are known or suspected management defects.

“We could select from a menu of options,” Trendic said. “What we select from the menu would be needsbased.”

He said the last thing the board should be interested in doing is to come up with a management structure that impedes Colby Phillips and Steve Phillips in the day-to-day performance of their jobs.

“We shouldn’t want to add another layer of administrative approval,” Trendic said. “All that would accomplish is to slow everything down.”

I

March 16 RFP launch.

Trendic didn’t bite on the friendly amendment.

Trendic thanked Daly and Diller for supporting his motion, which he reminded Horn was not calling for the hiring of an outside management firm but exploring options. He then offered an intriguing glimpse of what he called a “hybrid approach” that would start with the hiring of an outside management firm but would be implemented in a

way that builds on the strengths of the four-member interim management team set up by the board last month.

That’s when he gently needled Parks by reminding that he could have “started ten days” to draft an RFP. He said that by the April 6 dealine for submissions, the board could have enough information to consider next steps.

“We don’t want to turn this (the

interim structure) into a one-year event,” Trendic said.

Diller said the deadline for responses could be extended one week, adding that completing an RFP in a week “shouldn’t be that complicated.’

That’s when Parks said he could get it done by March 16. Parks said he could support the motion because the board isn’t presupposing any outcome. “We haven’t decided anything,” he added.

36 Ocean Pines PROGRESS

March 2019

Professional Services Cleaning Services

Contractor - Home Improvements

Ron Sanko Construction

Brooke’s Residential CLEANING SERVICE

For all your home improvement needs

‘An Ole Fashion Clean’

Serving OP since 1985

717-319-3410

“Call me soon for an appointment for that all-important first cleaning.

You’ll be glad you did!” -- Brooke

Local References On Request 28 Quarterstaff Place, Ocean Pines

Dental Services

Additions, decks, porches, garages, bathroom & kitchen remodels, redecking

410-641-7685

rsconstruc@aol.com MHIC #23610

Lawn Care

THEYARD YARD GUY, THE GUY,Inc. Inc. Serving Ocean Pines, Berlin & West Ocean City

Gerard F. Ott, D.M.D., P.A. Jeremy Masenior, D.D.S. 1 Pitts Street Berlin, MD 21811

Family Dentistry

410-641-3490 Drottdmd@gmail.com

Attorneys

COATES, COATES & COATES, P.A. General Practice of Law

• Real Estate Settlements • Wills & Estates • Personal Injury • Taxes

• Incorporation • Domestic Relations • Criminal • Landlord-Tenant

Thomas K. Coates Ryan T. West Raymond D. Coates, Jr. Lindsey A. West

6200 Coastal Hwy, Suite 300, Ocean City 410-723-6000 B. Randall Coates (former State’s Attorney for 12 years)

204 West Green St., Snow Hill • 410-632-3090

MOWING & WEED CONTROL

Monthly Billing, Credit Cards Accepted

410-213-0261 Automobiles/trucks

Racetrack Auto Sales

We buy and sell like-new and used cars and trucks

CALL 410-352-5715 Carpet Cleaning

OPINION

March 2019 Ocean Pines PROGRESS 37

COMMENTARY

Interim management is working quite well

T

he Board of Directors came up with a wellthought-out and executed “interim management plan” that was executed immediately after the departure of former General Manager John Bailey last month.

The departure itself was well handled by the board, especially given real differences among the directors on how much time the former GM would have to perform more in the line with board expectations.

In the end, there was no rush or decision to terminate. A supporter of Bailey’s continued role in Ocean Pine, OPA President Doug Parks had the uneviable task of conveying a sense of the board’s attitude toward’s Bailey deliverables after more than a year on the job at the same conveying the idea that the board majority very much wanted it to be joint decision on Bailey’s future.

A delicate walk on the tight-rope, to be sure, but Parks pulled it off both to the benefit of the OPA and Bailey himself. It should be seen as a high point of his presidency.

Weighing the options, Bailey according to informed sources realized that a “mutual parting of the ways” seem to be the most prudent course of action under difficult circumstances. It preserved his dignity and his marketability in a job environment that will surely produce a job commensurate with his skills. Ocean Pines is making the process of finding new employment an easier one by living up to the six-month severance package specified in his contract.

That having been said, it was clear to all who were paying attention that the directors were well prepared for the scenario that unfolded.

An interim management plan was immediately put in place, bestowing over-arching executive responsibilities in four department heads -- Colby Phillips, Steve Phillips, Chief of Police Dave Massey and Director of Golf John Malinowski.

For Massey and Malinowski, it amounted to little change in the status quo ante.

Another component of the plan, however, detailed elsewhere in this edition of the Progress, is that it assigned oversight roles to each of the seven directors over certain departments, with departments divvied up equitably with a mind to allowing directors to focus on areas of particular interest or expertise.

The more hands-on approach to delivering on the board’s oversight role might be bumping up against language in the bylaws, but done correctly the directors’ oversight roles need not run afoul of them.

As long as directors don’t order an employee to do something, to carry out clear instructions, they should remain within the letter and spirit of OPA by-laws. Genuine collaboration ought to fit within the bylaws’ language, though care should be taken to make sure it does.

Others may disagree, and that’s OK. But the

board should be commended for its willingness to try something different, to play outside the sandbox, to attempt a new way of managing Ocean Pines designed to improve the level and quality of information flowing from department heads to the board.

Frank Daly nailed it when he said recently that communication has been a real problem over the years. This new “interim” structure is designed to improve that.

There are a couple of early “wins” that can be attributed at least in part to the new structure.

The Public Works Department moved to patch a drainage pipe rather than replace it, as had been budgeted at a cost of roughly $244,000 in 201920.

On behalf of the Police Department, of which he has an oversight role, Slobodan Trendic brought to the board’s attention an overnight police car take-home plan for police officers who opt to live in Ocean Pines. At some point, it looks like it will be formally adopted.

At relatively low cost to the OPA, the program is designed to incentivize new recruits to live in Ocean Pines when they accept a job her or weigh offers to stay or move on. Ocean Pines benefits by a more visible prescence in neighbors if the program succeeds here as it does in other communities.

Even beyond these recent accomplishments, the board is acting boldly in at least considering an outsource option for the position of general manager.

With one mild dissent, the directors at their March 9 monthly meeting voted for a Trendic-drafted request for proposals from national community management firms to produce candidates for the position of general manager.

It many ways, it was more a request for information from these companies to see what kind of ideas they have for the role of GM than a more traditional RFP. This is clearly the board in an exploratory mode; no decisions have been made.

But based on where a majority of directors are leaning today, it seems evident that this board -- who’s to say about the next one -- is none too keen on the traditional role of general manager, appointed by the board from a menu of candidates who emerge from a protracted search process.

Out-sourcing the GM position to a management company is clearly allowed in OPA governing documents.

Both Daly and Trendic appear to support some sort of hybrid approach to GM outsourcing, allowing more hands-on oversight of departments by directors to continue while assigning the new GM certain responsibilities that are not now being done by anyone within the organization. It might be a more “a needs-based” position rather than the more traditional one, according to

Trendic.

Daly suggests that the new GM might spend considerable time drafting a manual that puts down in writing numerous seasonal start-up and close-down procedures that are now buried in the heads of department directors, creating an information vacuum should someone decide to move on.

The “hybrid outsourcing” model probably also implies retaining the considerable amount of autonomy that Colby Phillips and Steve Phillips have over their respective segments of OPA administration.

Daly and Trendic right now are out front with their desire not to layer on an additional level of administration over what these two capable executives can and will do without a lot of micro-management from above.

The right GM from the right community management firm would be the sort of individual who does what he or she can to improve the skill sets of these two individuals.

Another feature of the outsource model is that it does allow for a seamless transition should a GM vacancy occur. The management company simply produces a few qualified candidates from whom the OPA would select as a replacement.

No protracted search process necessary.

This all is in the early stages, of course, but there’s plenty of time to get it right.

That the board is mostly in accord on this is actually a very positive sign.

Given recent events, there’s lots of reasons to feel optmistic about the current state of Ocean Pines governance. -- Tom Stauss

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

PUBLISHER/EDITOR Tom Stauss tstauss1@mchsi.com 443-359-7527

Advertising Sales Frank Bottone 410-430-3660

CONTRIBUTING WRITER Rota Knott InkwellMedia@comcast.net 443-880-1348

38 Ocean Pines PROGRESS

OPINION

March 2019

An excellent choice for a ‘temporary’ general manager

D

irector Slobodan Trendic is floating the idea of appointing Recreation and Aquatics Director Colby Phillips as the temporary or acting general manager of the Ocean Pines Association, and he is on solid ground in making that nomination.

He correctly reads the OPA bylaws as requiring the position to be filled, either by an indidual or management company, or in the absence of either, by a temporary replacement appointed by the Board of Directors..

It really isn’t discretionary, not that anyone or group in Ocean Pines is likely to force the issue in court or use other more political means should the board opt to continue its transition management team without appointing a transitional GM. But let’s for the sake of argument say that a board majority sees inherent value in complying with the bylaws.

Then the logic of appointing Colby seems unassailable.

She has the support of many in the comnunity, she’s well liked, she has a demonstrated ability across departments to bring the “team” together to accomplish goals, she’s strong on communication, she’s willing to share credit, she’s well organized, knows how to budget and use

LIFE IN THE LIFE INPINES THE PINES

Indeed, the last thing Trendic or any board member should want An excursion through the curious cul-de-sacs An excursion through theby-ways curious and by-ways and cul-de-sacs to do is to impose another layer of of Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. administration on a management

By TOM STAUSS/

By TOM Publisher STAUSS/Publisher team that also includes Director of information to good effect, has lots are constantly adding new exercise Finance Steve Phillips. of mentors in Ocean Pines who want equipment and classes to enhance It is illogical to think that because her to succeed and will help her to the experience of a wide range of he authored the outsourcing RFP at do so, and not irrelevantly lacks a age demographics. That’s no small the same time he is now promoting male ego. feat, as Ocean Pines at times seems Colby as acting GM, that he someThat might be a pleasant change to skew toward the elderly in those how wants to impose administrative from recent years and decades. who use certain amenities. burdens on the very people who are Not to mention she’s a genuinely The Ocean Pines golf course showing such promise in managing warm and friendly person who ev- might benefit from some of her cre- the OPA. eryone who knows her absolutely ative solutions to expand the memIt can only mean that he has in adores. bership base or to promote play mind a “hybrid” GM whose compaShe is not so warm and friend- among the Ocean Pines Association ny provides some sort of “value addly that she isn’t capable of making membership who don’t play golf. ed” services to the OPA. This could the occasional tough choice when Give her a little time and some include working with Colby to imcircumstances demand. There’s an creative latitude, who knows what prove her skill set for the time when uncurrent of steel underneath that she and her team might be able to she emerges not as a temporary GM plesant persona. come up with. but as GM without any qualifiers.

More specifically, Aquatics is Appointing an acting, interim or Or as Frank Daly has said, a thriving under her leadership. Not temporary general manager need GM under a hybrid model could astoo many years ago, the department not derail a separate effort now un- semble a detailed season “open and was a chronic inancial drain on the derway to explore the possibility of close” manual for OPA amenities, a OPA, requiring operating subsidies hiring an outside management com- precise roadmap on what to do in to keep the pools running and the pany as a “permanent” -- perhaps the event key personnel and their lights on. a one-year contract or two -- to as- institutional memories are no lonThe swim lesson program was sist the current management team ger with us. mired in complaints and poor par- to run the day-to-day affairs of the It is also the case that appointing ticipation and meager return. Now, OPA. Colby Phillips as acting GM is fulswim lesson revenue routinely beats Trendic was the author of a mo- ly compatible with the “transition budget, tion approved by his colleagues to management structure” that the Within the confines of a congested send out an exploratory request for board implemented shortly after the Sports Core pool, she and her staff proposals from management firms departure of the former GM. That transitional structure allows members of the board to oversee certain department heads, without telling them what to do.

It’s a structure that pushes against language in the bylaws that is supposed to prevent board interference or micromanagement of departments.

Colby is an individual who instead of chafing under such a structure will likely welcome it as a way of feeding good information to the board in the hopes of achieving better decision-making.

This transitional structure probably can’t exist in its current form for much more than a year, if that, but that isn’t to say that some semblance of it can’t remain in place for longer than that.

If some sort of rewrite of the bylaws is needed to spell out what directors can and cannot do, then so be it.

In the meantime, though, hiring Colby as an interim GM is an idea worth considering. It could make a transitional period in OPA’s history work even better than it already is.

Traditional & Cremation Services Available for Pre-Need Arrangements

The Burbage Funeral Home 108 Williams Street, Berlin 208 W. Federal Street, Snow Hill Berlin• Ocean City Ocean Pines • Snow Hill

410-641-2111

Since 1810, we’ve been caringTradition” for people like you “An Eastern Shore

March 2019 Ocean Pines PROGRESS 39

Call for your FREE crawl space assessment!

410-543-4848 MHIC #102406

“Delmarva’s Crawl Space Experts!”

40 Ocean Pines PROGRESS

March 2019

SIMPLY THE BEST If quality matters to you, there is nothing like a Bennington pontoon.

Everything But The Water

32415 Long Neck Road, Millsboro , DE 19966 302.945.1200 One of the Top 100 Boat Dealers in North America!

WWW.SHORTSMARINE.COM