September early october 2015 progress by Ocean Pines Progress

September - Early October 2015

www.oceanpinestoday.com

Vol. 11, No. 6

443-359-7527

www.issuu.com/oceanpinesprogress Comp plan committee continues work on sommunity survey

THE OCEAN PINES JOURNAL OF NEWS & COMMENTARY COVER STORY

Low-key Renaud takes OPA reins, looks for less process, more action Newly installed president says Vice President Cheryl Jacobs will be a full partner in his interactions with General Manager Bob Thompson By TOM STAUSS Publisher e’s been called a turn-coat, a lightweight, a puppet. Ouch. There’s even been the whiff of a suggestion that he’s the front man for a sinister cabal that has taken over the Ocean Pines Association. Not to worry, newly installed OPA President Pat Renaud said during a recent sit-down interview with the Progress. He’s not a puppet of anyone and will no more take direction from General Manager Bob Thompson than he will from his bestie Tom Terry, a former four-year president of the board who some say made it possible through some behind-the-scenes machinations for Renaud to assume the presidency in August. Thompson asked why he was agreeing to an interview with the Progress,

Renaud said in some introductory remarks, and his response to the general manager captures what he regards as one important role of the OPA president. “I told him that I told thought it was part of my job to talk to the media,” Renaud said. “Keeping property owners informed about what we’re doing as a board and association is something I want to do. Communicating through the newspaper is one way to do it.” Without going into a lot of detail, Renaud at one point hinted that perhaps Terry had crossed an invisible line in offering some unsolicited advice. “I asked him not to do that, and he hasn’t since,” Renaud said. “I told him I would look to him for advice on finances,” consistent with Terry’s election as OPA treasurer in August, by the same 4-3 vote spread, and the votes of the same four directors, that elected Re-

Pines not immune to heroin epidemic As Worcester County’s largest year round community, Ocean Pines is not immune to the problems that plague the rest of the nation, including criminal activity that can be directly traced to the resurgence of heroin among drug users. “We’re no different than any other community,” Ocean Pines Police Chief David Massey said of the spike in heroin related calls to which his agency responds. ~ Page 14

naud. Renaud is looking forward to the year ahead, in the hopes that it will be a year of accomplishment and action rather than one that gets bogged down in process.

OPA PresidentPat Renaud

“That’s going to be the theme of this next year,” he said. Implicitly if not explicitly criticizing his predecessor as president, Dave Stevens, Renaud said that too often this past year the board seemed to him to lose momentum by becoming too involved in process and argument. He cited Stevens’ “take-over” of the process that is supposed to produce an updated capital improvement plan for the OPA. There’s not much to show for the To Page 20

Even with the acknowledgment by its chairman that the process to develop a community-wide survey in support of a comprehensive plan rewrite has been at times mired in confusion – he might have said controversy and acrimony in addition to confusion – the Ocean Pines Association’s Comprehensive Plan Advisory Committee seems intent on doing whatever it takes to accomplish its goal. ~ Page 6

Trendic “not guility’ of leaving scene of late night accident It’s too late to make a difference in the 2015 Board of Directors election, but former candidate Slobodan Trendic, who pulled 1,179 votes to place third in this summer’s balloting, received at least a partial exoneration in court on a raft of charges related to an accident in Ocean Pines on June 20. Of the 16 separate counts he faced in court on Aug. 27, all but two resulted in not guilty verdicts. ~ Page 11

Renaud to restore general manager’s responsibilities In a move likely to engender some push-back from a minority of members of the Ocean Pines Association Board of Directors, newly installed OPA President Pat Renaud has moved to restore to General Manager Bob Thompson some responsibilities once held by him but taken away by the previous board president. In a recent interview with the Progress, Renaud said that he had returned certain responsibilities to Thompson under his authority as OPA president, involving golf course oversight and development of a revised Capital Improvement Plan. ~ Page 25

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September - Early October 2015

OCEAN PINES

September - Early October 2015 Ocean Pines PROGRESS

OCEAN PINES BRIEFS Board nearing completion of Thompson bonus criteria

Attorney, auditor search apparently called off

Although Ocean Pines Association Director Dave Stevens said he might offer a motion to continue a process that began last year to investigate the possi-

bility of replacing the OPA’s long-standing general counsel Joseph Moore and the TGM Group accounting firm, action by the Board of Directors at the board’s Aug. 17 organizational meeting may have ended the information search. The directors unanimously reappointed Moore and his Ocean City-Berlin based law firm as the OPA’s general counsel and TGM Group as the OPA auditors during the meeting, with no discussion of the requests for information for competing firms sent out earlier this year and posted on OPA Web site. It was not until the subject was brought up by a reporter that the issue was discussed. OPA General Manager Bob Thompson indicated that he thought both issues were effectively put to rest by the board’s action to reappoint Moore and TGM Group for one-year contract extensions. At that point, Stevens said he might offer a motion to continue the RFI review process already in place. Given new political realities present

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he Board of Directors will probably be debating and approving bonus criteria for General Manager Bob Thompson at the Sept. 24 monthly meeting, Ocean Pines Association President Pat Renaud told the Progress during a recent interview. He said he expected that a final draft of the bonus criteria would be circulated among the directors the week of Sept. 14. Director Dave Stevens prepared an initial draft of the criteria, and that draft was shown to Thompson, who offered comments, Renaud said. Based on that, Director Tom Terry is doing a rewrite of the Stevens draft, with the expectation that it will be completed as soon as Monday, Sept. 14, and then to be circulated to the directors well in advance of the board’s scheduled Sept 24 meeting, Renaud said.

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4 Ocean Pines PROGRESS

OCEAN PINES

September - Early October 2015

OCEAN PINES BRIEFS From Page 3 on the board after this summer’s board election, it is not at all clear that Stevens would have the votes to revive or continue the process. Which probably wouldn’t stop him for making the effort, however.

Patrolman cited for saving life of suicidal person

Ocean Pines patrolman James D. “J.D.” Minton arrived at a home in Ocean

Ocean Pines Patroman First Class James D. Minton (center) with Ocean Pines Chief of Police David Massey (left) and Assistant Barrack Commander Christopher Davala, a first sergeant in the Berlin Barrack

Pines on Oct. 26 of last year, where he met Maryland State police trooper Andrew Broadwater in response to a call that someone in the home was suicidal. The two officers made entry into the home to find an individual hanging from an attic rafter. They released him from the rafters and began administering CPR until the victim began to breathe. They continued lifesaving efforts until emergency medical technicians arrived and took over medical care. Minton and Broadwater were credited with saving the person’s life. A “superintendent’s salute” certificate of commendation was signed by the Superintendent of the Maryland State Police, Colonel William M. Pallozzi, and presented to Minton at the Berlin Barrack by the assistant barrack commander, First Sergeant Christopher Davala. Minton was accompanied by his family and Ocean Pines Chief of Police David Massey.

Mumford’s pool to host annual ‘doggie swim’

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OCEAN PINES OCEAN PINES BRIEFS From Page 4 ers the chance to splash and swim in the Mumford’s Landing Pool, located at 7351 Yacht Club Drive in Ocean Pines, before it closes for the season. Dogs that weigh less than 20 pounds will be able to swim from 10 to 11 a.m. Dogs of all sizes will be allowed from 11 a.m. to 2 p.m. The cost of the event, which is open to the public, is $6 per dog. All dog handlers must be at least 18 years of age and any youth under the age of 17 must be accompanied by a registered adult. Dogs should have current vaccinations, including rabies. Proceeds from the Doggie Swim will benefit the Worcester County Humane Society.

Collins urges board to take ‘high road’

Director Jack Collins, entering the third year of his current three-year term on the Board of Directors, offered some friendly advice to his colleagues during their Aug. 17 organizational meeting in which Pat Renaud was elected 4-3 to replace Dave Stevens as OPA president. After noting that he could feel the tension in the room just before the vote, Collins urged his colleagues to avoid factional infighting, to “try to come together” in collegial way to get things done for

September - Early October 2015Ocean Pines PROGRESS the best interests of the association. He said that while the directors won’t agree on every issue that comes before them, he hoped they would be able to decide issues without a lot of rancor. “Let’s take the high road,” Collins said. Renaud agreed with Collins that the board should take the high road, but he reminded Collins that, at times this past year, he was called everything from a swing vote – that one is not so horrible – to turn-coat to weak sister to puppet. Renaud said that while he might not have “all the answers” to issues that confront the OPA, he did have the ability “to bring people together” if given an opportunity as board president. Four directors, including himself, were willing to give him that opportunity. Collins, who was not among the four directors who voted for Renaud as president, later said that he was willing to work with Renaud in the year ahead.

Big Truck Day returns to Ocean Pines Sept. 19

Kids and adults will get a chance to explore all sorts of work vehicles at Big Truck Day on Saturday, Sept. 19, from 10 a.m. to 2 p.m. at Veterans Memorial Park in Ocean Pines. This annual free event, open to the public, will feature fire trucks, dump trucks, tractors and more. To Page 9

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md crab & lobster . . . . . . . . . . . . . . . . . . 6 crab bisque & shrimp . . . . . . . . . . . . . 6 beans . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . 3 rice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 guacamole . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 arugula side salad . . . . . . . . . . . . . . . . . 5 red shrimp . . . . . . . . . . . . . . . . .. . . . . . . . . . 5 chicken breast . . . . . . . . . . . . . . . . . . . . . . 5

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OCEAN PINES

September - Early October 2015

By TOM STAUSS Publisher ven with the acknowledgment by its chairman that the process to develop a community-wide survey in support of a comprehensive plan rewrite has been at times mired in confusion – he might have said controversy and acrimony in addition to confusion – the Ocean Pines Association’s Comprehensive Plan Advisory Committee seems intent on doing whatever it takes to accomplish its goal, including the appointment of two or three focus groups that will help identify issues that in turn can be turned into meaningful survey questions. Progress in appointing the focus groups has been elusive, but the committee’s meeting in late August offered a glimmer of hope that focus group participants will soon be identified. The committee also for first time agreed that the best way to conduct a community survey would be send it out by mail to every Ocean Pines property owner, almost as though it was a referendum. But for the much of the meeting, there was more of the same confusion and acrimony that has punctuated the process to date. OPA President Pat Renaud, the board’s committee liaison, later said that committee chair Steve Cohen had lost control of the meeting

Comprehensive Plan Committee continues work on developing community-wide survey Salisbury State consultant walks out of committee meeting in frustration over repetitive questioning by allowing oceanpinesforum.com’s Joe Reynolds to question Salisbury State consultant Memo Diricker at length,

covering topics that had been addressed and explained by Diricker at previous committee meetings that Reynolds had

OCEAN PINES BRIEFS

Care, the first seminar will cover patient and doctor communication and family caregiver information. Subsequent seminars will be held on Oct. 6 (chronic obstructive pulmonary disease), Oct. 20 (arthritis) and Nov. 3 (diabetes), all from 10 a.m. to noon. Although there is no charge to attend these seminars, which are open to the public, registration is required. Please contact the Ocean Pines Recreation and Parks Department at 410-641-7052 or rec@oceanpines.org to register or for more information. Information regarding additional recreational programs, including an online version of the Ocean Pines Fall Activity Guide, is available at OceanPines.org.

From Page 5 Police officers, firefighters and truck drivers will be on hand to offer information, and refreshments will be available for purchase.

Senior care series to begin Sept. 15

The Ocean Pines Recreation and Parks Department will offer the first in a series of free seminars on care for seniors on Tuesday, Sept. 15, from 10 a.m. to noon at the Ocean Pines Community Center. Presented by Home Instead Senior

not attended. Diricker, the director of Salisbury State University’s Business Economic and Community Outreach Network (BEACON), is a paid consultant to the committee, having been awarded a $16,500 contract by the OPA Board of Directors in May to assist the committee in producing an updated Comprehensive Plan. The contract includes a number of steps and phases, including an initial step, recently completed, of 30 phone

6 Ocean Pines PROGRESS

Kiwanis announces fall pancake breakfast

The Kiwanis Club of Greater Ocean Pines-Ocean City recently announced that tickets are on sale for the club’s annual fall pancake breakfast on Saturday, Oct. 10, in the Ocean Pines Community Center from 8-1 a.m. Tickets are $5 for adults, $3 for children and free for those under 5. The breakfast includes pancakes, sausages, fruit cup, coffee or tea. Carryout is available. The club encourages tickets purchased in advance; the phone number is 410-208-6719. Tickets will also be available at the door.

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8 Ocean Pines PROGRESS

September - Early October 2015

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OCEAN PINES Comprehensive plan From Page 8 calls of community stake-holders by BEACON. The group included current and former OPA directors and some OPA employees, which caused some degree of controversy on oceanpinesforum because not all OPA employees are Ocean Pines Association members. Critics said those called should have been limited to OPA members only. In any event, the phone calls generated a nine-page summary of comments that even some committee members say are of dubious value. The OPA administration’s liaison to the committee, facilities manager Jerry Aveta, towards the end of the meeting said the comments from the phone calls were more or less “meaningless.” The next step in the process will be the appointment of two or three focus groups to help Diricker and his group come up with meaningful survey questions. One focus group is supposed to include OPA elected officials and community leaders and the other external stake-holders such as area business owners. Diricker did not indicate who might make up a third focus group.

September - Early October 2015Ocean Pines PROGRESS The OPA is supposed to have an opportunity to pose questions for the survey, which is said to be limited to no more than five, with three to be drafted by Diricker and two by the OPA, with final approval resting with the board of directors. Responses to the survey will then guide Diricker and his BEACON team to move to phase two, which apparently isn’t rewriting the existing comprehensive plan. Instead, phase two encompasses the development of what are called “scenario analysis models” and decision support tools, or dashboards, designed to explore the costs, benefits and consequences of various scenarios to be explored. For instance, in theory, these scenarios might include the issue of whether to renovate or replace the Country Club. Another might be whether the OPA should continue to operate a golf course. Neither have been mentioned during committee meetings, but an informed source told the Progress recently that such issues are meaningful subjects that a survey and subsequent computer modeling could and should explore. Whether Diricker or the board will support a survey that might produce answers that policy-makers might not like

remains to be seen. At times during the late August meeting, it seemed that Diricker was reconsidering his decision to work with the committee. After Reynolds persisted in asking questions that Diricker said had been answered four or five times in previous meetings, Diricker walked out of the room in obvious frustration. He was chased down by Renaud, who persuaded the professor to return to the meeting

and continue his briefing to committee members. From that point, Cohen maintained control of the meeting and the exchanges between Diricker and committee members were civil. On a suggestion by Reynolds, the committee voted unanimously to ask the board of directors to send out the survey to all property owners via first class mail as a way of boosting participation.

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10 Ocean Pines PROGRESS

September - Early October 2015

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On The Move! New Location! NewfiveAgents! with the office relocation, agents based in Ocean Pines with innumerable years of experience have

Shamrock, an independent locally owned full service real estate brokerage is excitedtotojoin announce that Stop in. Say hello. Watch us continue to grow. changed their broker affiliations Shamrock. its new office on Racetrack Road is open for business. Gary James, Pam Wadler, and their team have moved their operations into a building that has been serving the real estate needs of customers in the Ocean Pines, Ocean City, and other Lower Shore markets for more than a generation. In conjunction with the office relocation, five agents based in Ocean Pines with innumerable years of experience have changed their broker affiliations to join Shamrock. Stop in. Say hello. Watch us continue to grow. Gary James President

Rosie Beauclair Rosie Beauclair

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September - Early October 2015Ocean Pines PROGRESS 11

OCEAN PINES

Slobodan Trendic ‘not guilty’ of leaving scene of accident Former Board of Directors’ candidate found not guilty of driving under the influence of alcohol, but he’s convicted of lesser charges of driving while impaired, and negligence

dent and at police headquarters. Trendic told the judge that he had consumed two Sam Adams beers in roughly five hours at the Yacht Club, prompting Purnell to ask him why he had not taken the breathalyzer test that, the judge said, would probably

By TOM STAUSS Publisher t’s too late to make a difference in the 2015 Board of Directors election, but former candidate Slobodan Trendic, who pulled 1,179 votes to place third in this summer’s balloting, received at least a partial exoneration in court on a raft of charges related to an accident in Ocean Pines on June 20. Of the 16 separate counts he faced in court on Aug. 27, all but two resulted in not guilty verdicts. He was found not guilty of the two most serious charges against him, leaving the scene of an accident and driving under the influence of alcohol (DUI). He was found guilty of two lesser charges, driving while impaired by alcohol (DWI) and negligent driving, which were merged by the court in the penalty phase. Trendic was fined $400 plus court costs for the infractions, which are the first to appear on what otherwise has been a pristine driving record over many decades. Riding high in an online survey prior to his arrest, Trendic came in for some sharp criticism by critics and political opponents who were not reluctant to use the bad news to try to discredit him and his candidacy. On oceanpinesforum.com, many people expressed understanding and tolerance of his arrest on alcohol-related charges but were far less forgiving of the charge that he had left the scene of the accident without notifying homeowners at the accident scene of auto and property damage that had occurred there. How many votes the accident cost him will never be known. The charge of leaving the scene sent the message to some that Trendic was trying to evade responsibility for his actions, a theme played up heavily in some newspaper coverage of the accident. In testimony before District Court Judge Gerald Purnell, Trendic testified that he was preparing to return to the scene of the accident at the home of Lanny and Kay Hickman with a note containing his contact and insurance information, when an Ocean Pines police officer arrived on the scene, arresting him after field sobriety tests. The Hickmans’ home at 82 Windjammer is less than a mile away from Trendic’s home at 20 Drawbridge Road. The investigating officer had followed a trail of radiator fluid to Trendic’s home from the Hickmans’ home after a neighbor called in the accident to the Ocean Pines Police Department. Trendic declined to take a breathalyzer test both at the scene of the acci-

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12 Ocean Pines PROGRESS

OCEAN PINES

September - Early October 2015

Trendic accident

Morning-after photos of Slobodan Trendic’s accident at the Hickman residence on Windjammer Road last June show scattered driveway stones and the condition of the exterior of the damaged two-yearold Ford Flex owned by Lanny and Kay Hickman. Initial estimates for repairing the vehicle started at $11,000, according to the Hickmans and the Ocean Pines Police Department’s accident report. As the vehicle was in the shop for a more detailed assessment, the estimate for repairs first rose to $13,000 and then climbed to $19,000, according to Lanny Hickman, at which time Trendic’s insurance company declared the vehicle totaled. The insurance company offered the Hickmans a $19,000 settlement for the damaged vehicle, its estimated book value, and the couple accepted it. The couple wants Trendic to pay the difference between the $19,000 settlement and a new vehicle purchased costing $32,000. Trendic told the Progress in a recent email that he doesn’t see how the extent of the damage could possibly justify a $19,000 repair bill or the determination that the damaged car was totaled and unfixable for $19,000. The Hickmans are considering legal action to collect the $12,000.

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Trendic accident From Page 11 have resulted in alcohol levels below the legal limit. 11029 Racetrack Rd. “You might 1 1029 Racetrack Berlin, MD 21811 notRd.be here today,” the judge said. Berlin, MD 21811 Trendic responded that in retrospect he probably should have submitted to the test but did not do so because he had consumed no food during his five hours at the Yacht Club and had several medical conditions – Chrone’s disease and a pre-diabetic condition that he treats with medication – that cause issues with his metabolism.

He said he left the Yacht Club just before midnight when began to feel PRSRTheSTD ill, knowing he was low on blood sugPRSRT STD USPOSTAGE ar, causing him to decide it was time to USPOSTAGE PAID leave for home so he could take a pill for PAID his medical conditions. MAILMOVERS He told the Progress he was not MAILMOVERS “drunk” in any obvious way and that no one at the Yacht Club attempted to stop him from leaving. At for the scene of the accident, he said that he was attempting to avoid a squirrel that had darted in front of him while he was driving on Windjammer Road.

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OCEAN PINES Trendic accident From Page 12 He veered off the street and ploughed into driveway decorative stone at 82 Windjammer after driving over a culvert, causing stone to scatter at considerable velocity and damage to the Hickman vehicle. He said his vehicle never hit the Hickman’s. He later told the Progress that he did not drive across the Hickman’s lawn as some news articles had reported. In court, Trendic testified under oath that he had told the Ocean Pines police officer, James “J.D.” Minton, two or three times that he had several medical conditions that were factors in the accident. The police report about the accident obtained by the Progress did not indicate any such disclosure by Trendic, although it did reference the fact that Minton asked Trendic at different times whether he needed emergency medical services. Trendic declined. After the court hearing, Minton in a brief conversation with the Progress insisted that Trendic had made no reference to Chrone’s disease or a diabetic condition the night of the accident, conceding that there continues to be a contradiction between what appears in his police report and Trendic’s sworn testimony. He said conflicting versions of what happened during and after an accident are common, but said that if Trendic had

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September - Early October 2015Ocean Pines PROGRESS mentioned low blood sugar, he would have remembered it, because his wife has a similar ailment. Trendic told the Progress that he stands by his version of events, adding that it would make no sense for him to withhold that kind of medical information from the police because it might have tended to mitigate the charges. Following his conviction on only two of the 16 charges against him, Trendic said he thought the outcome was “fair” and that the system had worked. “I was ready to accept any court ruling,” he told the Progress in a statement after the verdicts were announced. “The court found me not guilty of the two most serious charges, leaving the scene and DUI. It also found me not guilty on 14 out of 16 violations.” He said he fully understood “why the honorable judge found me guilty of negligent driving and driving while impaired. I thank God that nobody was injured. My ordinary campaign evening at the Yacht Club turned into a nightmare. The community now knows that I have no prior record of any incidents, and that my health history and my medical condition that evening led to my accident.” He said he wanted to “to express my sincere gratitude to residents who continued to support and believe in me” after the reports of his arrest hit the local media often in an accusatory tone. “It was a humbling feeling that helped me endure the negative attention my accident caused. And I wish to thank 1,195 homeowners who saw me as a board candidate worthy of their votes” in this summer’s OPA election. He said he was open-minded about making another run for the board next summer. “All of my signs are still relevant,” he said. A local weekly recently reported that the Hickmans, who purchased a new car to replace the one damaged in the accident, want Trendic to cover the $12,000 cost differential between the insurance company’s reported settlement offer of $19,000 for the two-year-old damaged car and the cost of a new one. They are considering a civil suit against Trendic if he declines to make up the difference. In an email to the Progress, Trendic questioned how the car could have been totaled given the “cosmetic damage” to the exterior. He said that if the “public sees the cosmetic damage (to the car)” in a photograph, maybe the Hickmans will drop the idea of a civil lawsuit. Lanny Hickman told the Progress in a telephone interview Sept. 7 that the initial estimate of damage to the car was $11,000, later increased to $13,000. Then, he said, he was informed by his insurance company that State Farm, Trendic’s insurance company, had decided to “total” the car because the cost of repairing it was escalating. Hickman said a settlement of $19,000 was offered in lieu of trying to repair it. Hickman said he and his wife decided to accept the offer, using the $19,000 as

a down payment on a 2015 version of the two-year-old car that had been totaled. “I guess we could have said no to the settlement offer,” he said. “I’m not sure what would have happened then.” On possibility is that Trendic’s and the Hickman’s insurance companies would have authorized needed repairs to the damaged vehicle and negotiated any difference between the vehicle’s book value and the cost of repairs. It’s possible that the Hickmans would have had their older vehicle back with no out-of-pocket expense, other than to cover the deductible on their own policy

if it was needed to pay the repair costs. Lanny Hickman said he had talked to two attorneys about the possibility of filing a civil suit against Trendic to collect the $12,000 difference between the $19,000 “book value” of the older vehicle and the new 2015 version that they purchased. He declined to say what kind of advice they offered on the chances of a successful lawsuit. He said they would decide “soon” on whether to sue. There is no dispute over roughly $3,100 in landscaping repairs that Trendic’s insurance company financed.

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14 Ocean Pines PROGRESS

OCEAN PINES

September - Early October 2015

Drug- and Alcohol-Related Intoxication Deaths in Maryland, 2014

Pines not immune to heroin epidemic Ocean Pines police connect property crimes to increase in opioid addictions By ROTA L. KNOTT now heroin is less expensive than pills.” Contributing Writer As result people looking to feed their s Worcester County’s largest year addiction are turning to crime. “A lot round community, Ocean Pines of our property crime here is related to is not immune to the problems drugs,” Massey said. that plague the rest of the nation, inHe emphasized that in Ocean Pines cluding criminal activity that can be di- “We’re certainly not overrun with drug rectly traced to the resurgence of heroin addicts.” But the actions of those dealamong drug users. ing with addiction can have devastating “We’re no different than any other effects on a community. community,” Ocean Pines Police Chief “We’re trying our best to work David Massey said of the spike in her- through the problem. It’s a national oin related calls to which his agency re- problem right now,” Massey said. sponds. “Heroin is a growing problem.” The OPPD just arrested and charged Because of improved tracking and a a teenager with several burglaries and crackdown on the use and prescription discovered that the crimes were drug by doctors of opioids and other potent related. The 17-year-old was allegedly drugs, Massey said many people who de- using six bags of heroin a day and needvelop an addiction are turning to heroin ed money to support that habit. While oors21842 instead.https://www.facebook.com/sunsetﬂ While the street price of pills the OPPD has been able to connect two has gone up because of the close eye now recent burglaries within the community kept on prescription medications, the to the teenager, Massey said it is likely cost of heroin is down, he said. “Right

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OCEAN PINES

September - Early October 2015Ocean Pines PROGRESS 15

Heroin crisis

Racquet sports

OCEAN PINES

have resorted to theft because they have a heroin addiction. will be less expensive ultimately to an build Massey said the OPPD has seen all of those courtsrelated at one activity time because increase in heroin in Ocean over last few years. of thePines cost of sitethat preparation and conHe said there isn’t one partit’s struction involved. “Inparticular the long run ofless Ocean Pinestothat seeing expensive do itisthat way,” more he said. drug-related crime than others. “It’s for Clarke also questioned the need not an epidemic we’retennis seeing,” he said, additional platform courts. While but added that it’s “occasionally” and everyone keeps saying that sports is “everywhere.” He said “drug dealers growing, the platform tennis membercome and go” and that they could be ship has actually fallen by and 35 percent, in the community one minute gone he said. the next. When asked by Collinsclosely about with a timeThe OPPD is working line for the newagencies, courts, Thompother lawbuilding enforcement inson said couldn’t provide yet.’s cluding theheWorcester County one Sheriff

From Page 14 that he committed at least two others as well. In that case, a heroin addict was visiting with a friend in Ocean Pines. To serve his addiction, he committed several burglaries in the neighborhood where he was staying. Massey said he would simply walk up to the front door of the home and knock on the door. If someone answered the door he would say he was looking for a fictitious person, and move on to the next house. When he located an unoccupied house, he would go around to the back of the house, break‐ in and steal jewelry. Jewelry could be quickly pawned for money for a drug fix, Massey said. The burglaries were committed during the daylight hours. An arrest was made in this case and most of the stolen property was recovered. Still, Massey cautions residents to call the police immediately if someone knocks on their door and asks for someone who doesn’t live in the neighborhood. He also said it is important for residents not to leave their houses unlocked. In an unrelated case, police arrested another alleged burglar and charged him with two burglaries and one additional attempted burglary. In this case most of the property was not recovered. That suspect was also a heroin addict. At another time while on patrol, an OPPD officer noticed suspicious activity at a residence in Ocean Pines. Two individuals were hooking up a trailer carrying two jet skis in the early morning hours. Upon seeing the officer, the From Page 11 suspects attempted to flee the scene, towing away the jetcourts skis. Following plan for pickleball grew from ainhigh speed pursuit into Delaware, the cluding four to eight courts in this fiscal suspects were apprehended. jet skis year. “We’ve always talkedThe about four,” were recovered and thetoowners notified he said, in reference the capital budof get theapproved theft. The two suspects involved for this fiscal year back in are awaiting charges in Delaware and February. then face extradition to Maryland. He said the OPA only has 63 pickleEvidence obtained through search ball members and thatinequates to about and seizure warrants this case resix users per court. sulted in several other case clearancDirector Jack Collins saidjet it isski a mates, including another stolen in ter of theCounty. “economies of again, scale.” He said it Wicomico Once Massey said police believe the suspects may

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16 Ocean Pines PROGRESS Heroin crisis

OCEAN PINES

September - Early October 2015

From Page 15 Office, to combat drug-related crime, including applying for grant funding to have an officer as part of the Worcester County Criminal Enforcement Team. The allied agencies share information and work together to identify drug dealers in the community. The heroin problem is being faced by law enforcement agencies around Worcester County. In August, a Worcester County Sheriff ’s Office deputy stopped a car on Route 50 for having inoperable brake lights and an improper registration plates. A K9 scan was conducted on the vehicle with a positive alert for drugs. The search of the vehicle revealed ten white packets of heroin, five blue packets of heroin and two plastic straws used for snorting heroin as well as oxycodone and lorazepam. Heroin was found on one of the individuals in the car when he was searched. Through investigation police determined that the suspects were en-route to sell the narcotics. In June the CET, a highly-specialized, multi-agency drug unit, concluded a four-month undercover operation in the Pocomoke area after receiving citizen-driven complaints and calls for action from local leaders concerning the increasing prevalence of dangerous drugs such as heroin and cocaine with-

in their community. Those calls for help were met with search warrants, arrest warrants and the seizure of a firearm, the seizure of numerous controlled dangerous substances and criminal charges against 17 identified drug dealers from Pocomoke City. During this operation, undercover members of the CET posed as drug users while investigating the criminal syndicates that were responsible for the distribution of Pocomoke’s most insidious narcotics. The undercover officers engaged in 73 drug transactions that were all recorded utilizing audio and visual surveillance equipment. In cooperation with the State’s Attorney’s Office, those 73 transactions led to felony criminal charges against 17 individuals. In addition, search warrants were authored and executed by the Worcester County STAR Team, Berlin Police Department SWAT Team and the Maryland State Police Gang Enforcement Unit. These warrants resulted in the seizure of additional narcotics andrecovering one loaded .38 caliber handgun. For the most part, Massey said in Ocean Pines it is residents and their family members who have become addicted to heroin and then become the perpetrators of crime in order to pay for their drugs. “Once you get hooked on heroin it’s very hard to kick it,” he said, adding that people try it one time and that’s all it takes to form an addiction.

Pines police trained to use life-saving drug to counteract overdoses Health department kicks off opioid abuse awareness and prevention campaign By ROTA L. KNOTT Contributing Writer grandfather who had his hip replaced, a 40-something mother who suffers from bouts of depression, an A+ high school student who thought he would try it just once – they are the faces of heroin addiction and they live in Ocean Pines. But they may not for long --- because every time someone uses heroin it could be their last time. Officers with the Ocean Pines Police Department have responded to several cases of overdoses and deaths related to heroin use already this year, Police Chief David Massey said. With a large year round population and a summer influx of people that nearly doubles the size of the community, Ocean Pines is facing the same problems with heroin

and prescription opioid abuse as the rest of the nation. “We’re the largest population in the county,” Massey said. “It’s not unique to Ocean Pines. It’s the entire area.” He said most of the incidents regarding heroin overdose have been with community members, not outsiders coming into Ocean Pines. “Mainly we’re having people within the community who are heroin addicts,” he said. “It is family members who get hooked on it.” He said people think they can just try heroin one time and it won’t be a big deal, but that’s all it takes to begin an abdication. Massey said the faces of addiction in Ocean Pines are varied and cross age and gender lines. “It’s not just 20-somethings. We’ve had 50-year-olds overTo Page 18

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Police trained From Page 16 dose,” he said. In 2014 alone there were 14 accidental overdose deaths in Worcester County, up from six the year before. Heroin and prescription opioids make up the majority of those deaths across the state as of 2014. In a recent Crime Bulletin from the OPPD, Massey said that every community now faces the consequences of cheap heroin, and the resulting pain and suffering caused by this most serious and dangerous addiction. Police and emergency medical workers are now responding to overdose cases, which all too often result in accidental death. “We in Ocean Pines are not immune to this problem as a recent overdose death in our community indicates,” he said. All Ocean Pines police officers have received specialized training and now carry in their vehicles a potentially lifesaving drug that can counteract a heroin overdose. Massey said his officers have received naloxone training through the Worcester County Health Department. Naloxone, or brand name Narcan, is an emergency spray that can be given to individuals who police suspected have overdosed on opioids. It acts to reverse the effects of opioids, which depress the central nervous system and respiratory

system. “To improve our response to emergency overdoses, the entire police department received training in the administration of Naloxone spray to an individual who may be overdosing,” Massey said in his Crime Bulletin. “This may save lives in our community.” Massey said police carry Naloxone with them on calls and can administer the substance if they encounter someone who has overdosed. Since the Naloxone is only effective in counteracting opioid overdoses police must be able to determine what drug an overdose victim has used before administering it. “We have to have evidence of it,” Massey said regarding heroin use. That means finding the drugs nearby or needles used to shoot the drugs in evidence. So far, no OPPD officers have administered the drug but other county law enforcement agencies have had to do so. The Worcester County Health Department conducted the training through a grant and issued vouchers for the procurement of Naloxone for each police officer. Naloxone is only available by prescription and only distributed to opioid addicts, their families or friends and other individuals like law enforcement officers who may come in contact with overdose victims. “It’s not just a law enforcement problem. It’s a public health problem,”

Massey said. As part of a statewide effort, the health department is taking further steps to combat the opioid crisis through a community awareness and outreach campaign, called Decisions Matter, that kicked off in August. Focusing on preventative efforts, the goal is to reduce the instances of opioids abuse and misuse through educational outreach targeting youth as well as parents. A social marketing team developed an awareness campaign that will serve as an umbrella for messaging across traditional and social media. The Maryland Youth Risk Behavior Survey showed that 7.4-percent of 12th graders in Worcester County had used heroin. In appealing to youth, the campaign will emphasize the loss of decision-making that comes with dependence and the ease of slipping into addiction. Health department officials say it is vital for parents and guardians to realize that even if their doctor prescribed it, an opioid can be dangerous and addictive if misused. Many opioid abusers don’t begin with heroin and instead start by misusing prescription opioids like painkillers. The state’s Heroin and Opioid Emergency Task Force appointed by Gov. Larry Hogan shortly after he took office in January released an interim report in August that detailed ten recommenda-

tions for addressing the crisis. The task forces suggested earlier and broader incorporation of heroin and opioid prevention into the schools, including through service learning projects, implementation of a student-based prevention campaign, using public service announcements for broadcast and social media platforms. Other recommendations were that each acute care hospital implement opioid prescribing guidelines, that the Maryland State Police provide training to personnel on the legal requirements of the Good Samaritan Law, provide heroin and opioid “Help Cards” to all MSP troopers and develop, in conjunction with the Department of Health and Mental Hygiene, a healthcare follow-up unit. The final two recommendations are creation of a comprehensive database of faith-based organizations that provide addiction treatment services and declaring the first week of September be Maryland Overdose Awareness Week. The task force’s report recognizes the challenges that local law enforcement agencies are facing in trying to combat the heroin problem. It said “the scale of the heroin and opioid crisis is swamping law enforcement and depleting their resources, leaving local law enforcement ill-equipped to respond to the magnitude of the heroin and opioid problem in Maryland.”

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Renaud takes reins From Page 1 process so far, according to Renaud. Everyone is waiting for the completion of a reserve study in the not too distant future so it can provide needed cost and life-cycle data that would be useful in producing a CIP. He intends to reinstate Thompson as the OPA’s lead executive in charge of producing a new CIP, with the goal of completion by the end of this year. Then there is the more recent exclusion of Thompson from interactions with regional and national executives of Landscapes Unlimited since the company assumed day-to-day control of the Ocean Pines golf course on June 1. “It wasn’t supposed to happen that way. But it has,” Renaud said, citing what Thompson told him during one of their weekly get-togethers to discuss activities and challenges within the OPA. In lieu of involvement by Thompson in overseeing golf in Ocean Pines, Renaud said that a golf working group consisting of Director Jack Collins and local golfers Bob Kessler and John McNult interacted with both local and corporate executives with LU. “That’s not fair to Bob, as part of his compensation package includes the per-

formance of amenities, including golf,” Renaud said. T h o m p s o n ’s lead oversight role over golf will be reinstated, Renaud said, as part of document that will be executed as part of a new Cheryl Jacobs bonus criteria agreement between the general manager and the board for the coming year, that could be finalized as soon as the board’s September meeting. Collins recently asked to be given the board liaison role with racquet sports, Renaud said, and he agreed, and as a result Collins’ will no longer have any direct dealings with LU personnel. Collin’s role as the liaison to the Golf Member Council, a group that meets monthly with LU executives, including the local director of golf, John Malinowski, will be assumed by Director Bill Cordwell, Renaud said. Both Thompson and Cordwell were supporters of retaining Billy Casper Golf as Ocean Pines’ golf course management company. Cordwell in public statements since June 1 has indicated he’s still not comfortable with LU. Renaud said he

doesn’t see that as a problem. In fact, he said, he has his own misgivings about how well LU is doing in running the golf course so far, citing the continuing decline in Jack Collins membership. He acknowledged that LU arrived too late on the scene to affect this summer’s membership totals, but he added that he’s yet to hear any details from the management company about how it intends to rebuild membership next year. As for Thompson, Renaud said he believes he’s on board with wanting to see LU succeed as the golf course manager. “He should, because a part of his bonus compensation is tied with how well they do,” he said. Another goal of Renaud’s in the coming year is to lower the temperature of debates when directors disagree among themselves, as he knows will happen. “Last year, there was too much screaming,” he said, “I don’t like screaming, and there’s no place for it on the board.” In perhaps a “first” for an OPA pres-

ident, Renaud said he has decided to make Cheryl Jacobs, the newly elected vice-president, a full partner in his regular weekly interactions with Thompson. These weekly meetings didn’t happen in the first nine or ten months of Stevens’ presidency, something that Renaud said was a mistake. Only as his year as president wound down did Stevens meet regularly with Thompson, Renaud said. “I want someone who will take over if I get sick or am on vacation or whatever, and it’s a good way for Cheryl to learn the ins and outs of the OPA,” Renaud said. “She’s a very sharp person,” with a legal mind that will help the board focus on what’s important as it makes decisions. Renaud stopped short of saying that he would cede the presidency to Jacobs in a year if that became possible. But he also said that, as he will be north of 80 at the time, it’s unlikely he will seek re-election to the board when his threeyear term ends in less than two years. Also during what was an interview that covered a wide range of topics, Renaud said that: • the board last year had successfully “reined in” the general manager, at the same time it had gone too far in taking

20 Ocean Pines PROGRESS

OCEAN PINES

September - Early October 2015Ocean Pines PROGRESS

Ocean Downs contributes $2.8 million in impact funds OPA collects $281,758 in casino funding in Fiscal Year 2015, a 20 percent increase over the previous year

Renaud takes reins From Page 20 some areas of responsibility away from him. Renaud said he liked the policy of requiring the GM to produce documentation at least three days prior to a board meeting before asking for a vote. • he decided not to endorse or support Slobodan Trendic for the board this summer because Trendic, in a meeting attended by Renaud last year, indicated that he thought the general manager should be replaced. Renaud said that Thompson should be given every opportunity to succeed

impact grant funds are designated to be used for improvements in communities in immediate proximity to the video lottery facilities and may be used for infrastructure improvements, facilities, public safety, sanitation, economic and community development including housing and other public services and improvements. Although not a municipality, the Ocean Pines Association was designated to receive a portion of the local impact grant funding because of the community’s proximity to the Casino at Ocean

and only be replaced if he fails to do his job. “I told him that when I first met with him last year,” Renaud said. He said he’s seen nothing to date to justify a firing. • he supported the appointment of Pete Gomsak as assistant treasurer, over the pointed objection of Stevens during the April 17 organizational meeting, because Gomsak was “doing the job anyway” as a Thompson advisor this past year. • he is currently in favor of renovating the Country Club rather than replacing it with a new, smaller building, subject to findings in a reserve study.

Downs and a state law change. The OPA was given a total of $281,758 in slots funding for fiscal year 2015, an increase from $234,715 in the previous year, according to a Maryland Racing Commission report. The OPA typically designates the funds for road surfacing projects throughout the community. The additional $47,043 in funding is a 20 percent year over year increase. A summary of revenue for the Worcester Country portion of the fund for fiscal year 2015 shows that the county-received revenue for the period totals $1.69 million, up from $1.408 million in FY14. The county has continued to use the casino funds to retire debt on the recently constructed Worcester Technical High School in accordance with its multi-year expenditure plan. In addition to the county and Ocean Pines, the towns of Ocean City and Berlin each receive a share of the local impact funds. The Town of Ocean City receives the second largest portion of the slots revenue. For FY15 Ocean City received $563,516, an increase from $469,430 last year, as a result of local impact grants funded by the Ocean Downs video lottery facility. Revenue resulting from local impact grants has been used

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to fund road repairs in the resort. Like Ocean Pines, Berlin received $281,758 of the local impact fund revenue in FY15. The town used previous year’s funding to purchase 5.25 acres of property adjacent to Route 113 and Bay Street extended to develop a new town police station. It plans to use unexpended funds and FY15 revenue to help cover the cost of development and engineering plans for that facility. The opening of the Caesars Entertainment’s Horseshoe Baltimore Casino has allowed more local impact funding from the Casino at Ocean Downs operation to be distributed to Worcester County, Ocean Pines, Ocean City and Berlin. Since its opening, an 18 percent portion of the impact funding from Ocean Downs was funneled to Baltimore and Prince Georges counties. Now, however, that money is distributed locally instead. Local impact grant funding is based only on revenue generated from video lottery or slot machines. Table games are not a source of revenue for the local jurisdictions. Worcester County’s Local Development Council advises the county on the needs and priorities of the communities surrounding the Casino at Ocean Downs and the expenditure of video lottery terminal funds.

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By ROTA L. KNOTT Contributing Writer ith even more of the money generated by the Casino at Ocean Downs staying in Worcester County now that a new facility in Baltimore City is open, in Fiscal Year 2015 jurisdictions had a windfall of local impact grant funds. The fiscal year 2015 revenue distributions to Ocean Pines, Worcester County, the Town of Ocean City and the Town of Berlin topped $2.817 million, up from $2.347 million in FY14. Local

22 Ocean Pines PROGRESS

September - Early October 2015

OCEAN PINES

Steen’s RPC duplex project clears one county hurdle By ROTA L. KNOTT Contributing Writer eveloper Marvin Steen on Sept. 3 received an initial approval from Worcester County to proceed with design and development of a 92acre property off Gum Point Road that abuts Ocean Pines with 30 duplex units. Following just a few questions about the Triple Crown Estates project, the Worcester County Planning Commission gave its unanimous endorsement to a Step I residential planned community floating zone for the two-family major cluster subdivision. The project is the first RPC proposed in Worcester County for several years. Steen’s property is zoned R-1 rural residential and RP resource protection, and both classifications allow for creation of the RPC, which must also be approved by the Worcester County Commissioners. Creation of an RPC allows the developer more flexibility in designing the project including the ability to cluster the units and preserve large blocks of forest and wetlands. Attorney Mark Cropper said the developer has a previously approved 60unit plan for the property but has simply decided to change the types of structures from single-family units to duplex

planning to develop the property with 60 single family homes. Knerr said that has been “quite a while” indicating that the data may be old. However, Soule responded that nothing in the area of King Richard Road has changed that would warrant a new study; he said the homes on King Richard Road are and have been there for many years, and Steen is not proposing any more units but rather just a change in the type of units to be constructed. Cropper pointed out that the Ocean Pines Association has endorsed the revised development plans. He read into the record a portion of a May 15, 2015, letter of support signed by then-OPA President Dave Stevens. In the letter Stevens says the OPA supports the duplex version of the project because the characteristics of the development remain the same as originally proposed with the 60 single-family home design. Ott indicated that of course the OPA would support the project because it will bring with it 60 more dues-paying homeowners. “Not that that had anything to do with it,” Cropper quipped. By an agreement negotiated with the OPA as part of a failed effort to develTo Page 22

Planning commission queries consultants about traffic study, access off Gum Point Road units. Design engineer Steve Soule of Soulé & Associates said Steen’s project has been in development for many years and was originally proposed as a 60-lot single family home community that would be incorporated into the Ocean Pines Association. While the units will still become part of the OPA, he said the developer opted to revise the plans to include duplex units in response to changes in the real estate market since 2008. “Mr. Steen has decided it would be more preferable for development of 30 duplex units,” Soule said, adding that the goal is to make the units more affordable for those who live and work in the area to own. He said that since Ocean Pines contains a mix of single-family, townhouse, villas and condominium units, duplexes will be compatible with the rest of the existing community. The property borders the south side of Ocean Pines Section 10. With the development set to become part of Ocean Pines, access to the duplexes will be via King Richard Road. Soule said a traffic study, conducted

as part of the feasibility phase, demonstrated that there will be no change in the level of service of any roads as a result of the development. Planning Commission chairman Marlene Ott asked about the developer’s plans to improve King Richard Road. She said Ocean Pines residents have expressed concern in the past about the additional “60 ins and outs a day.” Soule responded that there are no improvements necessary or planned because the traffic study indicated that none would be needed to accommodate the additional residential units. He said King Richard Road is a 22-foot wide road, as are most of Ocean Pines streets, and that is adequate to serve Triple Crown Estates. It was recently paved with asphalt as part of a county sewer project that connected the nearby Ocean Downs racetrack and casino with the Ocean Pines wastewater collection system. Commission member Jay Knerr asked when that traffic study was completed, and Soule responded that it was done in 2008-2009 when Steen was

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September - Early October 2015Ocean Pines PROGRESS

24 Ocean Pines PROGRESS

OCEAN PINES

September - Early October 2015

Steen RPC From Page 22 op a Northern Worcester County YMCA in 2002, every home sale in what Steen is now calling Triple Crown Estates will generate a $6,500 payment to the OPA. That payment is compensation to the OPA for equivalent dwelling units reserved to Steen for water and wastewater treatment capacity, EDUs that at one time had been reserved for use by the OPA. At build-out, the project will have generated for unrestricted use by the OPA a total of $390,000, in addition to roughly $60,000 per year in new lot assessment revenue. The future homeowners will be eligible to purchase annual amenity memberships or to otherwise pay to use OPA amenities, generating even more revenue for the OPA. Knerr also queried the consultants about a proposed 50-foot wide emergency exit from the western end of the property to Route 589. The inclusion of an emergency exit was a caveat to the endorsement of the OPA so that there will be another way for residents to leave Ocean Pines should it be necessary under major storm conditions. The emergency exit will be gated so it cannot be used at any other time. According to the consultants, the emergency exit road is bordered by farm ditches that will preclude vehicles from simply driving around the gate. The property is partially located in the Atlantic Coastal Bays Critical Area,

about 55 acres, and received a county growth allocation for 60 units. Extensive environmental work, as well as analysis of stormwater measures, buffer protection measures, traffic and other planning concerns was performed during the growth allocation approval process. In redesigning the project, the developer has been able to preserve all of the woodlands, tidal and non-tidal wetlands and provide buffers to create additional forested area around streams on the site. Nearly 47 acres of the 92-acre site will be preserved in open space, including recreational areas. “We have gone through a very, very extensive environmental review with county and state,” Soule said. The project will receive 60 equivalent dwelling units of water and wastewater capacity through the Ocean Pines Service Area via an extension of the main lines from King Richard Road and a new gravity pumping station that the developer will construct. Commission member Betty Smith said the RPC plans indicate that some land is being reserved for future development, and she asked what that means. Soule replied that Steen owns the remaining more than 100 acres of adjacent land, which is currently in agricultural production, but has no definite plans for it. He said before the developer could do anything with the land he would need to acquire additional EDUs (equivalent dwelling units) of water and wastewater

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Two local citizens stopped by the Worcester County Sheriff’s to drop off some gifts for our K-9 units. Each K-9 received a gift bag of toys that they can play with during their down time. The citizens just wanted to show their appreciation to the K-9 unit for all their hard work. capacity to make it developable. roughly 2,400 square feet of square footKnerr asked about the areas desig- age of living space in addition to a onenated for active recreation within the car garage. He said at that price point RPC, but Soule again said there are no new construction is salable, whereas a definite plans for those areas yet. That larger single-family home at a price of will be worked out prior to future sub- $450,000 would be far more difficult to division reviews by the planning com- sell in current market conditions. mission, but it will likely be playground Once all of his county approvals are equipment and similar facilities since in place, the developer plans to build the OPA already offers its residents a about ten duplexes per year, for the variety of amenities, Soule said. most part only building when the units Steen has said he intends to sell are presold. Depending on economic coneach duplex unit for roughly $300,000 ditions, he hopes to 1:22 complete build-out 1508 Complete Home Improvement Handout NEW with our type_Layout 1 2/3/15 PM Page 1 or more, depending on options, with in three or four years.

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BOARD OF DIRECTORS

September - Early October 2015Ocean Pines PROGRESS

Renaud aims to restore Thompson’s responsibilities Primary role in developing capital improvement plan, golf course oversight to be returned to general manager

The general manager previously had the lead role in developing the CIP, which was originally conceived as a “living” document that would be updated each year as capital projects were undertaken and completed and new ones identified. Thompson last submitted an updated CIP in November of 2013 for board review. The directors never formally adopted it that year or in the year that followed, but it had a kind of de-facto imprimatur, influencing the capital budget that Thompson developed each year thereafter. After the election of a new board in the summer of 2014, Stevens as the newly elected president decided that the CIP process under Thompson was flawed, lacking the kind of detail and support documentation needed to justify inclusion of certain projects on what was a “rack and stack” of projects. Stevens initiated a new process designed to produce a new CIP, but it never seemed to gain much traction over this past year. Recently, Stevens said drafting a revised and updated CIP would require completion of a reserve study, which has just been approved by the board.

To Renaud, the Stevens-led CIP process has not been productive, and he said he wants to give responsibility for overseeing the plan’s development back to Thompson in the hopes of having a draft CIP ready for board review before year’s end, if possible. He said he’s aware that the timing will depend on the reserve study’s completion. Renaud called the goal of completing a CIP as an example of accomplishment and progress over process, which he said would be his primary objective this coming year as board president. He explicitly said the task deserves the attention and supervision of the OPA general manager, without which he said the process of completing a CIP might otherwise drag well into next year. In addition to CIP development, Renaud said he would restore Thompson’s leading role as the OPA’s liaison with regional and corporate executives of Landscapes Unlimited, the Ocean Pines golf course manager since June, in addition to Ocean Pines Director of Golf John Malinowski, who also held that position with the previous management company, Billy Casper Golf.

Renaud said that the role of OPA golf liaison was supposed to have been given to Thompson with the transfer of course management to LU. But he said he was informed by Thompson that he’s been in a kind of limbo state since June, with no contact with regional vice-president Mark Mattingly or other LU executives. Renaud said that as far as he knows, the liaison function has been handled by OPA Director Jack Collins and a small working group of local golfers, including John McNult and Bob Kessler, since June. Collins also served as board liaison to the Golf Members Council this past year. Renaud said that Collins no longer is serving in any role involving golf, recently having told Renaud that he wanted to serve as liaison to the racquet sports committee. Renaud said he wasn’t sure of the status of McNult and Kessler now that the primary golf liaison role has been given to Thompson. “It’s up to Bob,” he said of whether the general manager wants to retain a small working group of golfers to assist

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By TOM STAUSS Publisher n a move likely to engender some push-back from a minority of members of the Ocean Pines Association Board of Directors, newly installed OPA President Pat Renaud has moved to restore to General Manager Bob Thompson some responsibilities once held by him but taken away by the previous board president. In a recent interview with the Progress, Renaud said that he had or sonn would return certain responsibilities to Thompson under his authority as OPA president, involving golf course oversight and development of a revised Capital Improvement Plan. Renaud said that responsibility to manage and oversee the development of the CIP, under the direction of former OPA president Dave Stevens this past year with the assistance of OPA Facilities Manager Jerry Aveda, will be restored to Thompson. Aveda was supposed to advise Thompson on CIP developments, but Renaud said the arrangement effectively cut the general manager out of the CIP process.

26 Ocean Pines PROGRESS

BOARD OF DIRECTORS

September - Early October 2015

General manager From Page 25 him. Kessler in particular would seem to be an ideal advisor, armed as he is with statistics and financial data that he uses to develop insights into golf operations. Renaud said that he would join Thompson in quarterly meetings with LU executives. “I will have a role overseeing the golf course as well,” he said. Renaud said that Collins has been replaced by Director Bill Cordwell as the board liaison to Golf Members Council, an independent group of golf members that functions somewhat like an official Ocean Pines advisory committee. Renaud said he has the authority to make these changes but said final approval will come in a document that the board will be asked to approve as part of Thompson’s bonus agreement for the current fiscal year. “These responsibilities were taken away from Bob last year by the board president without a board vote,” Renaud said, adding that what the board president took away last year he’s giving back to Thompson. Traditionally, board liaison positions are presented to the board for review and then voted on by the directors. Cordwell’s new role as liaison to the Golf Member Council would be ratified if and when the board is presented with a slate of liaison positions.

Renaud says he favors Country Club renovation over new, smaller pro shop By TOM STAUSS Publisher n a recent interview with the Progress on a wide range of topics, newly installed Ocean Pines Association President Pat Renaud said he currently favors renovation of the aging Country Club amenity rather than its demolition and replacement with a smaller golf pro shop and small restaurant and bar. Renaud said that’s his current thinking, and that it could change depending on the results of a reserve study that the Board of Directors recently approved. Among other tasks, the reserve study should produce an updated report on the condition of the Country Club. An engineering study that is roughly five-yearsold said the Country Club at the time was structurally sound but in need of many upgrades, including replacement of its aging and dysfunctional HVAC system. Very little has been done at the Country Club since then to maintain it, Renaud noted, and he said he hopes the reserve study will provide some useful

insight into what needs to be done to restore it to a condition that OPA members expect. He said he is biased toward a renovation rather than replacement with a smaller pro shop and restaurant because he doesn’t want to lose the meeting space on the little-used upper level. Losing that upper level space would displace the four or five groups, including a card group and dance club, that use it on a regular basis, he said. “I don’t think it’s smart to be reducing the amount of space we have available for use by groups when the Community Center is said to be overcrowded,” Renaud said. The OPA president noted that he believes the downstairs pro shop and locker rooms could use an overhaul, given that he’s been hearing a lot of complaints about the condition of the locker rooms, especially from lady golfers. “I understand that LU (Landscapes Unlimited, the golf course management company) is going to give the

building a top to bottom cleaning,” he said. “It’s long overdue.” In preferring a renovation to a replacement, Renaud may have an unlikely ally in Director Jack Collins, who in a recent conversation with the Progress said he thought a renovation could be accomplished at a cost much less than a new building. Collins said he believes the Country Club is structurally sound, but that the pending reserve study will need to confirm that before he would be ready to commit to a renovation. Collins said he envisions a renovation that removes any internal access from the lower level of the building to the upper level, thereby reducing a major ADA (Americans with Disabilities Act) concern. He said golfers access the lower level through the pro shop, and that those who use the upstairs come in through the front door. “There’s really no purpose for the internal set of stairs from the pro shop to the entrance level,” he said. “I’d get rid of them as part of a renovation.” The OPA’s investment in a still-functioning lift from the entry level to the second story meets ADA requirements, Collins said. So far, most OPA directors have steered clear of any pronouncements about the Country Club. Former director Marty Clarke was an outspoken advocate of renovation during his recent three-year term, but was never able to garner much support among his colleagues for a renovation.

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BOARD OF DIRECTORS

September - Early October 2015Ocean Pines PROGRESS

Former president to continue to press for clarification of when directors may contact general counsel for legal advice By TOM STAUSS Publisher hile most of the Aug. 17 Board of Directors meeting dealt directly with electing new corporate officers for the coming year, its most dramatic moments occurred when directors Dave Stevens and Tom Terry engaged in verbal combat over when a director becomes a director and the propriety of a director calling the general counsel for legal advice without the concurrence of other directors. Presiding over the meeting before the election of new officers, Stevens made it clear he thought an attempt by Director Pat Renaud to convene a meeting of five

directors – himself, Terry, Bill Cordwell and newcomers Tom Herrick and Cheryl Jacobs -- prior to the scheduled organizational meeting – was improper, violating both OPA bylaws and the Maryland Homeowner Association Act’s open meeting provisions. It turns out the meeting never occurred because neither Herrick nor Jacobs were able or willing to attend. Herrick in a posting on oceanpinesforum.com indicated that he was uncomfortable with attending a meeting in which two directors, Stevens and Jack Collins, were excluded. When an irate Terry asserted that the attempt to convene the pre-orga-

nizational meeting had been cleared in a phone call to General Counsel Joe Moore, Stevens shot back that Moore was wrong to give the legal advice he had. Later, Stevens said that as a director entering his sixth and final year on the board, Terry knew or should have known that a five-member meeting of the board violated Maryland law and OPA bylaws. “Of course he knew,” Stevens said. “It’s not credible to suppose he didn’t.” Moore’s initial advice to Terry in a phone call initiated by Terry said that a pre-organizational meeting of less than the entire board was proper because the newly elected candidates, Herrick and

Jacobs, would not become official, duly-elected directors until the organizational meeting. Forcefully contradicting Moore, Stevens cited the opinion of former Bylaws and Resolution chairman Jim Trummel, a lawyer, that successful board candidates become directors on the day election results are announced, at the annual OPA meeting held on a Saturday in early August. Moore initially stood by his opinion, but he said he would review it, especially in light of Trummel’s viewpoint. He said he would owe the board an apology if it turned out that Stevens and Trummel were right and he, Moore, was wrong. In a memo to the board dated Aug. 18, Moore admitted he had been wrong and that Stevens and Trummel correctly interpreted Maryland law and OPA bylaws. Roughly ten minutes into the meeting in which Stevens railed against the planned meeting that never took place and Terry’s phone call to Moore – Stevens argued that such a phone call should have been cleared with him before it was made – Terry’s demeanor and tone of voice indicated his patience was at an end. q

Moore backs Stevens in dispute over when a winning board candidate becomes a director

Stevens reviews top accomplishments of his term Former OPA board president says determining future capital needs are a major concern of board going forward By ROTA L. KNOTT Contributing Writer he Board of Directors had a busy year of dealing with issues that largely related to service improvements at the Ocean Pines Association’s amenities and planning for facility maintenance and future uses, outgoing OPA board President Dave Stevens told the assembled property owners at the Aug. 8 annual membership meeting. In his president’s report, Stevens discussed the process of finding a new golf management company and tackling management and financial issues at the Yacht Club, as well as long-term planning and budgetary concerns. Stevens said the board conducted a new search for a company to manage the OPA’s golf course because of “basically growing losses, financial losses, and declining membership.” He said the previous board had extended a contract with Billy Casper Golf by one year, but about halfway through that period a new board opted to “reopen the competition” for the golf management contract. While Casper was among three bidders who submitted proposals, the board ultimately selected the firm of Landscapes Unlimited to manage the golf course. “The bidders offered three very different options,” Stevens said. Casper was focusing on generating play and revenue by bringing in outside play to the golf course, particularly package play. Although “the numbers didn’t reach what we had hoped or budgeted,

there was definitely progress being made in that regard,” Stevens said of Casper’s efforts. Landscapes Unlimited offered a different approach, Stevens said, “in that they said a community like Ocean Pines should be able to support its own golf course.” LU will focus on bringing back to the course not just the OPA golf members who may be playing elsewhere but also generating play from other association members. “Ultimately that was the argument, I think, that convinced the majority of the board to go with Landscapes,” Stevens said. Yacht Club performance was another “hot item of discussion” during the year, according to Stevens. “We had first-year growing pains and losses. And you know, looking back with perfect hindsight, that should have been expected and, I think, really was expected.” General Manager Bob Thompson initiated some “fairly significant” management changes as a result of lessons learned in that first year. So far this fiscal year the financial results are very encouraging, Stevens said, Regarding the budget development process last year, he said it was “interesting.” The board ultimately approved a modest assessment increase that accommodated the need for improved emergency services. He said the fire department presented a request to expand its emergency service personnel

and that required additional funding through the OPA. As a result, the department will be able to provide staffing to handle simultaneous emergency calls. “And basically it makes Ocean Pines a safer place to live. Period,” Stevens said. The board also engaged in a continued discussion of replacement reserve funding. “Do we have too much or do we have too little?” he said is the question. In the budget as initially presented, the replacement reserve continued to be separated into a historical reserve and a five-year plan reserve, which is now going into its seventh year. That fund is still receiving more than about $1 million a year in assessment dollars, he said. “The rationale for continuing the five year funding, although the term was eliminated, is that we still have a deficit in that particular column. We will have $1.1 million after this year is funded and that’ll carry us into next year,” Stevens said. At the same time, however, the historical reserve shows a surplus of $4.3 million. The average expenditures out of that reserve over the past five years have been approximately $1.1 million. “And we have no hard plans for spending much more than that. “So go figure,” he said, adding, “Now to be honest, this discussion just hurts my head. The only real question is whether or not we have enough in our replacement reserves to meet our short,

intermediate and long-term needs. And we can’t know that until we have defined what those needs are.” Stevens said some people have argued that the approved budget simply moves funding from one reserve account to another and calls the five-year-plan’s $130 per member assessment by another name. “I agree. But so what? The need to maintain, upgrade and possibly replace our aging infrastructure won’t disappear by pretending it isn’t there,” he said. “The desire to improve and expand our facilities won’t go away.” The question is if the five-year plan is eliminated, what takes its place? With that comment Stevens launched into an overview of the facilities planning process implemented by the board this year. The so-called “three-legged stool” includes a reserve study, development of a capital improvement plan and the creation of a longer term comprehensive plan. “That will lead to the definition of what we need in the future,” Stevens said. The reserve study is a physical and financial analysis of all the major components in the OPA’s facilities, including their expected life and replacement cost. It is the precursor to a capital improvement plan that will focus on the required improvements at the facilities, he said. Finally, the comprehensive plan will look into the future and determine what the needs of the community will be.

From Page 27

He said he had been listening to Stevens for that ten minutes and that he had “no idea” why the outgoing president was harping on a meeting that never occurred. He praised Herrick and Jacobs for deciding not to attend the pre-organizational meeting as a way of maintaining independence that they had run on as candidates. “I admire these people” who weren’t “running for the board to be part of a voting bloc,” Terry said. Actually, it was only Herrick who made independence a lynchpin of his campaign, in one of the candidate forums even going so far as to say that OPA members are ill-served when board factional control yoyos from year to year depending on who’s elected. Jacobs’ campaign was based on a message of

Excerpt of Moore opinion on when a director becomes a director … “… My confusion was between the Corporations and Associations Article” of the Maryland Code which states in its section regarding Election and Term of Directors that …until successors are elected and qualify, the Board of Directors consists of individuals who are on the present board.” That section further provides that at each annual meeting of [members], members shall elect Directors to hold office until … the next Annual meeting and until their successors are elected and qualify.” Therefore, under the Maryland Corporation Act, the qualification of a Director is twofold; first, their election, and second, their “qualification”. The language in the Ocean Pines bylaws is, however, somewhat different. In Section 5.01, the following is stated: “The terms of the Directors shall be for three years and until their respective successors are duly selected [at the annual meeting].” The language of the by-laws, therefore, differs in that respect from language [in state law] … in that the Directors’ term begins under the bylaws when the Director is selected. The qualifications of a Director in the OPA bylaws is set forth in the eligibility requirements [in Section 5.02(a)], so it can be presumed, in most all regards, that the “qualifications” of a Director are predetermined. And therefore, the bylaws provisions can be comported with the requirements [of state law] in that a Board member is qualified before he or she is elected. Under the OPA bylaws, therefore, a Director becomes [official] upon his or her election. Joseph E. Moore General Counsel

BOARD OF DIRECTORS

open communication and acting on behalf of property owners, which isn’t the same thing as asserting independence from voting blocs. Jacobs also ran on her resume in the private and public sectors, most recently as a prosecuting attorney in Baltimore City. In any event, Terry said that Stevens “was completely out of line” for raising the issue as he had. At that point, Moore embarked on the first of several apologies, telling the directors he was sorry for causing what he called a brouhaha. “I didn’t know (his advice to Terry) would cause this kind of tribulation,” he added. Stevens pressed Moore further on whether five directors can meet or plan

to meet in a meeting that excludes two of the directors. “No. If there’s a quorum you can’t,” Moore said, reiterating that his advice to Terry had been predicated on the presumption that neither Herrick nor Jacobs would have been official directors at the time of a pre-organizational meeting. While there appears to be little recourse for Stevens on the issue of a meeting that never occurred, the former OPA president told the Progress in late August that he might continue to press for clarification or a formal board policy on who among the directors can call Moore for advice and when and whether such calls should be cleared beforehand or at least disclosed to the other directors after the fact.

He also said he will consider introducing a resolution of reprimand against Renaud for calling an illegal meeting and against Terry for asking Moore for a legal opinion “he already knew the answer to.” He said he had no illusions about the likelihood of success if he decides to introduce these resolutions of reprimand. He said that unless he continues to keep the issue front and center, “I know that Terry and (newly reinstalled assistant treasurer Pete) Gomsak will do everything they can do to hold closed meetings” in which he and Collins and perhaps others are excluded. Stevens said on the issue of who can make calls to Moore for legal advice, he wants the board to devise “an absolute q

28 Ocean Pines PROGRESS September - Early October 2015 protecting property values, Moore backs Stevens

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BOARD OF DIRECTORS

September - Early October 2015Ocean Pines PROGRESS

Thompson touts ‘fun stuff’ at OPA annual meeting

Cites swimming pool improvements, pending racquet sports upgrades, Ocean Pines’ status as one of the safest communities in Maryland the OPA plans to replace them with fiberglass steps prior to next season. “They’ll be here at the end of the season but they’ll be fully operational for the next season. And we’ve learned a lesson about the type of entrance situation we have especially with the unique nature we have with all ages using our pools,” Thompson said. Also at the Swim and Racquet Club, the OPA decided to reopen the snack bar, which has been closed for many years, within the amenity. The snack bar offered convenience foods like pizza, hot dogs and soda for pool goers. “So far it’s been very, very successful,” Thompson said of the venture, which has exceeded revenue projections. “It’s a nice grab and go.” The OPA is also investigating its options for resurfacing and making other improvements to the Sports Core pool. “We had budgeted to do the pool this year. We delayed that,” he said, adding that staff wants to evaluate the new surfaces at Mumford’s Landing and Swim and Racquet Club pools to help determine the best option for the Sports Core facility. Additionally, there have been problems with the pool decking at the facility so the OPA is considering using the same rubberized material installed at Mumford’s Landing at that pool too. Finally, the installation of permanent stairs into the pool is under consideration to make it more easily accessible by all swimmers. Thompson said he anticipates solicit-

ing a request for proposals for the pool project this fall and construction in July andr August of next year when the other OPA pools are available for use by members. Thompson also reviewed improvements at the White Horse boat ramp and Yacht Club marina during the last year. At the boat ramp, the entire facility was reconfigured in order to provide improved traffic flow for both vessels accessing the water and vehicles in the parking lot. The OPA added a floating dock that shifts up and down with the tide and makes it easier for boaters to put in or take out their vessel.

At the Yacht Club marina, new lines were installed to the fuel pumps. As part of that project the entire dock out to the pumps was elevated 4 to 6 inches to accommodate the piping that holds the lines. Thompson said the new fuel pumps are working out well and added that they are more accurate and easier to program. He said the OPA opted to use mechanical pumps instead of digital ones after discovering that many marinas have had problems with digital pumps near salt water. “We elected to stay with the tried and true mechanical pumps,” he said. Planning for improvements at the Manklin Meadows Recreation Complex is under way, with the OPA proceeding q

By ROTA L. KNOTT Contributing Writer ith the financial, legal and administrative matters reviewed by others at the Aug. 8 annual Ocean Pines Association membership meeting, General Manager Bob Thompson got to “cover the fun stuff” like improvements made last year at the amenities. Thompson highlighted major work that was completed at two of the OPA’s swimming pools, Mumford’s Landing and the Swim and Racquet Club, prior to the summer season. At the Mumford’s Landing facility, one end of the pool had settled, causing cracks, leaks and voids in the ground underneath. “The pool on the bayside, that far end had shifted somewhat and it had actually dropped a few inches which was leading to some of the leaking,” Thompson said. To remedy the situation, contractors dug down around the pools foundation and filled in the voids underneath. That leveled out the sinking side. Because the pool is “heavily used by young kids” the OPA opted to resurface the amenity with a liner instead of simply replacing the plaster finish. Thompson said he has received positive feedback about the liner, which also has a longer warranty than a traditional plaster surface. “It’s been a neat addition of something we wanted to try,” he said. The OPA also installed a rubberized surround on the pool deck that provides a soft transition into the pool. That too seems to have gone over well with pool users, Thompson said. “We’re excited about how that pool’s turned out.” At the Swim and Racquet Club, the pool surface was completely refinished with a new plaster coating. New lane lines and ladders were installed, too. But Thompson said the ladders, which were recessed in order to allow more room for lane swimmers, haven’t worked out so well. They do not provide comfortable pool access for some members; therefore

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Moore backs Stevens From Page 28

rule” for when that occurs, adding that he wants “legal counsel present” when the issue is discussed. In a recent interview with the Progress, Renaud said he thought both issues were “dead” and that it was a waste of time for Stevens to continue raising the issue, He said in his view any director has the right to contact Moore for a legal opinion on a board issue at any time, without the need to inform his board colleagues before or after. He also said that he discussed with Moore the issue of changing or clarifying language in the bylaws about when a director officially becomes a director. “He told me he thinks the bylaws are clear enough and don’t need to be changed,” Renaud said. “That settles it for me.”

10-15-15

GOLF

September - Early October 2015

By TOM STAUSS Publisher ver wonder just how much the golf course and the Tern Grille food and beverage operations cost property Ocean Pines Association members per year in subsidies? The number varies from year to year, of course, and actually it’s a lot less currently than it had been in the years when the golf course drainage program was active and the OPA was lavishing money on greens replacement. ome of those years, costs came close to $1 million. In the last fiscal year for which financial information is available, 201415, expenses of the golf course and related snack bar operations came to a grand total of $661,611. If the golf course were member-owned, or owned and managed by an outside entity other than the OPA, property owners would save roughly $80 per year in the lot assessment. The four primary line items which comprise the golf deficit and resulting subsidy is the net operating loss, golf-related depreciation funded by the annual lot assessment, replacement capital expenses, and new capital expenses.

Golf cost OPA members $661,611 last year Property owners’ subsidy of golf close to $80 of lot assessment According to the 2014-15 audit report, available for perusal on the OPA Web site, last year’s golf operating deficit was $116,967, and property owners coughed up $447,939 in funded depreciation for the year. The audit report did not itemize golf-related capital expenses for the year, but they are recorded in the April 2015 monthly financial report prepared by OPA Controller Art Carmine and also posted on-line. According to the April financial report, replacement capital expense for 2014-15 was $91,404 and new capital expense was $5,300. The drainage expense is listed at zero, reflecting the fact that the program is on an indefinite hiatus. The addition of all four items comes to $661,611. Divided by 8,450 properties, the cost per property in the assessment comes to slightly less than $80.

Operating Deficit $116,967 Funded Depreciation $447,939 Replacement capital expenses $91,405 New capital $5,300 TOTAL $661,611 The audited $116,967 operating loss for last year actually is about $9,000 more than that recorded in the unaudited loss recorded in the April financial report. Billy Casper Golf, whose contract to operate the Ocean Pines golf course ended April 30, was not faring as well as

Thompson

From Page 29 through the permitting approvals process, according to Thompson. He said that process is taking a little longer than originally anticipated but reconfiguration of that area to accommodate additional racquet sports courts should begin in the spring. Plans call for reconfiguration of the playground, community gardens and parking to make way for more platform tennis and pickleball Do you have the right investments in place to courts. help you meet your financial goals? Thompson also addressed the activof the is Ocean Pines Police Departour ities business to help people find Do you have the right investmentsAt inEdward place Jones, to ment, saying that goals. Ocean Pines is one solutions for their long-term financial help you meet your financial goals? of safest cities in Maryland. In 2014, Edward Jones ranked “Highest in Do you have the right investments in place to Ocean Pines had a 40 percent reduction At Edward Jones, our business is to help people find Investor Satisfaction With Full help you meet your financial goals? in major crimes. Service Brokerage Firms, in a Tie” solutions for their long-term financial goals. forceService makes a At Edward Jones, our business is to help people find in the “An J.D. active Powerpolice 2015 Full SM solutions for their long-term financial goals. huge difference. Compare Ocean Investor Satisfaction Study . Pines Edward Jones ranked “Highest in to Salisbury and look at the crime Edward Jones received the highest numericalrate Edward Jones ranked “Highest Investor Satisfaction With Full in score among servicehe brokerage they havefull there,” said. firms in a Investor Satisfaction With Full tie in the proprietary J.D. Power 2015 U.S. Full He said Ocean Pines has a. Study very small Service Brokerage Firms, in a Tie” Service Investor Satisfaction Study Service Brokerage Firms, in a Tie” based on responses 5,351 are investors whoroad police force butfrom officers on the in the J.D.J.D. Power 2015 Full Service in the Power 2015 Full Service used full-service investment institutions. SM every day. “That’s easy to overlook when SM . 18 investment firms which received a Investor Satisfaction Study Investor Satisfaction Study . representative sample of investor they opinions were you’re frustrated because pull you Edward Jones received the highest on numerical measured 7 factors: investment advisor; investment performance; account Edward Jones received the highest numerical score among full service brokerage firms in a offerings; commissions over for running 45website; mph down the parkinformation; account and fees; and problem in the full proprietary J.D.resolution. Power 2015 U.S. Full study results are based on experiences and score tie among service brokerage firms in a Proprietary way,” he told the audience. Study Service Investor Satisfaction Study . of perceptions consumers surveyed in January–February 2015. Your tie in based the proprietary J.D.from Power 2015 U.S. Full on responses 5,351 investors who experiences may vary. Rating may not be indicative future handled performance Last year theofOPPD 12,000 SM .not Study Service Investor Satisfaction Study used full-service investment institutions. and may be representative of any one client’s experience because it investment firms which received a who of experiences calls for service and Visit made 2,000 traffic based18on responses from 5,351 investors reflects an average of responding clients. jdpower.com. representative sample of investor opinions were stops. used full-service institutions. account measured on 7 factors: investment advisor;investment investment performance;

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“They’re keeping us safe,” Thompson said. Audience members queried the general manager about the possibility of reopening a coffee shop at the Yacht Club, installing a gate at the boat ramp and using electronic signs to let the community know about upcoming events and activities. Regarding the coffee shop, he said half the people in the room would favor it and half would oppose it. But he said it could be revived in some form in the future, noting that some people miss the Wi-fi Internet at the club in the early morning. In the meantime, in an area of the Yacht Club close to the marina, he said the OPA wants to be able to offer everything from sodas beer and ice for fishermen to coffee and sandwiches to go. He also said the OPA is investigating its options for ensuring that only members use the White Horse boat ramp, including installing a gated entry and requiring users to have stickers on their trailers. Ad for electronic message signs, Thompson said that is still under investigation as well. He said there are a variety of permitting issues that will need to be addressed, but he said the funding is budgeted for sign installation.

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its advocates were saying in the run-up to the decision of the Board of Directors to change management companies. BCG advocates were contending that the company’s financial results would be coming in very close to the budgeted $100,000 loss, and therefore the board would have been well advised to retain BCG. As of the April 30 unaudited numbers, that argument at least had some surface plausibility, but the audited numbers that show another $9,000 in golf losses counter that argument to some extent. Some OPA directors began noticing significant improvements in golf maintenance expenses relative to budget and previous years this past winter, a trend that has been continuing more or less ever since, including the two months,

30 Ocean Pines PROGRESS

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GOLF

September - Early October 2015Ocean Pines PROGRESS

Golf takes a nosedive, loses $13,000 in July Gross and net revenues slip under budget, and are less than first quarter numbers for last year; Landscapes Unlimited’s first quarter results are still better than last year’s under Billy Casper Golf quarter of the fiscal year (May, June and July) still are doing better under Landscapes Unlimited than they did under Billy Casper Golf. LU generated a $93,513 surplus for the first quarter, compared to last year’s $57,180 surplus under BCG. That’s a $36,333 swing to the good, a 63.5 percent year over year increase. Better control of expenses early in the fiscal year explains the better year-over-year im-

provement in net financial performance. But the $93,513 surplus for the first quarter is $28,949 under the budgeted $122,462 for the first quarter. LU is operating under a budget drafted by BCG and approved by the board in March. Key BCG employees – notably Director of Golf John Malinowski and Golf Course superintendent Rusty McLendon, remained in Ocean Pines working for LU.

Golf subsidy

show that golf operations incurred more cost than had been projected during the period of time when the management issue was being hotly contested by the directors. In the July golf results released in mid-August, it appears that happy news relative to golf maintenance is over, or at least interrupted. Actual golf course maintenance costs for the month were $93,278, a more than 50 percent increase over June’s numbers. Maintenance expense missed its $79,313 budget target by $13,965. It’s possible that golf maintenance

costs shot up for July because costs that might have been incurred earlier in prior years simply showed up in a single month, skewing the results. Maintenance costs for the golf operation in June were $60,659, compared to the budgeted $80,315, a favorable variance of $19,656. For the first two months of the fiscal year, maintenance expenses were $137,309, compared to the budgeted $161,020, a favorable $23,711 variance. The first quarter golf maintenance line item is now ahead of budget by slightly less than $10,000.

From Page 30

May and June, when the course was managed by Landscapes Unlimited. There was some behind-the-scenes speculation, never confirmed, that maintenance costs were being suppressed in order to make last year’s numbers look better than they might have otherwise, perhaps as a way of influencing the board debate on whether to change management companies. While the audit report in and of itself does not verify that speculation, it does

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Revenues for the first quarter are less than that of a year ago in a majority of income categories, including the key line items of greens fees and member dues. Greens fees, paid by those who did not purchase annual golf memberships, slipped slightly from last year’s $192,767 to $190,275. Driving range revenues dipped from $15,940 to $13,232. Member dues a year ago were $44,534, dropping to $39,760 this year. Miscellaneous revenue declined from $13,470 a year ago to zero this year. Cart fee income, on the other hand, increased from $180,854 in the first quarter last year to $183,755 this year. Golf pro shop merchandise sales were $38,623 this year compared to $37,681 a year ago. Food and beverage revenue rose slightly, from $83,505 to $84,946. After cost of merchandise and food and beverage costs, actual revenues for the first quarter were $502,751, a decrease from last year’s $516,319. On the expense side, LU is doing considerably than BCG a year ago --

By TOM STAUSS Publisher h what a difference a month can make. Golf and related food and beverage operations, on a roll for the first two months of the fiscal year, took a sudden turn for the worse in July, losing $13,296 and missing budget by $40,636. The silver lining is that compared to last year, golf operations for the first

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32 Ocean Pines PROGRESS Golf nosedives

GOLF

September - Early October 2015

From Page 31 $459,139 for BCG but only $409,238 for LU. Because of the $13,296 loss in July – on net revenues of $153,176 and total expenses of $166,472 – the goal of a break-even operation for golf would seem to be out of reach for the current fiscal year, barring a reversal to the good as dramatic as July’s dramatic downturn. That said, much can happen in the remaining nine months of the fiscal year. August results will be posted on the OPA Web site typically by the third week of the month. Year to date, through July 31, golf operations are $28,949 behind budget. Golf is forecast to lose $100,000 this year compared to last year’s deficit of $116,967, not including funded depreciation of about $448,000 and capital expenses of roughly $97,000. In a recent interview with the Progress, newly installed OPA President Pat Renaud expressed concern about the golf finances in the first quarter, particularly the decrease in revenues year over year, from $568,750 a year ago to $550,591 this year. He noted that two key line items, greens fees and member dues, are both showing year-over-year declines. “That really isn’t very good, and we hired LU on the basis that they would increase members and member revenues,” he said. “So far, that hasn’t happened,” though he noted that in fairness the company arrived too late to have much impact on new memberships in the first quarter. “But I haven’t heard about any plans to increase membership later next year, into next year,” he said, adding that he would expect to hear about plans for increasing golf membership in regular meetings he expects to attend with LU executives, along with General Manager Bob Thompson. Renaud has reappointed Thompson as the OPA’s lead liaison with LU, replacing OPA Director Jack Collins. Collins was assisted on a golf working group that has been meeting regularly with LU, by two golfers, John McNult and Bob Kessler. Renaud said he didn’t know whether Thompson would keep them on in an advisory role in monthly meetings with local LU executives. He said he and Thompson would be the two OPA liaisons who will be meeting quarterly with LU regional and corporate executives. As noted by Renaud, one of the primary reasons for the decision to hire LU was the emphasis in its management proposal of the need to build membership, which so far this year has continued its gradual erosion, as reflected in actual revenue numbers through July. Historically, most prepaid annual memberships in golf are purchased in the April through June timeframe, so it’s doubtful that any sort of meaningful recovery will show up in the numbers this fiscal year. Last year, through June 30, member dues had generated $29,143 in revenue

for golf operations, but that has declined to $25,606 this year, suggesting that LU has a challenge ahead of it in rebuilding the golf membership base. Kessler, a long-time golf member in Ocean Pines who keeps detailed statistics about golf, told the Progress recently that it would be unfair to judge LU this early on golf membership. “They will need at least a year to show any real improvement,” he said. The task would appear to be daunting, as the membership base in Ocean Pines seems to be dominated by those in their 70s and 80s. To keep pace with current membership totals, new members

have to sign up in significant enough numbers just to offset the attrition. As of June 30, paying golf memberships had dropped from 134 a year ago to 114 this year, augmented by 19 lifetime members whose prepaid memberships contribute no new membership revenue. Last year, there were 20 lifetime members. Kessler said he’s aware of many former members who have given up their annual memberships in favor of paying as they play. That doesn’t do much for the membership numbers while it can bolster greens fees. Malinowski, who held the same po-

sition when Billy Casper Golf managed the golf course, recently told the Progress that BCG managed to produce maintenance savings this past winter primarily by adjusting chemical usage. He said that in prior winters, expenses were higher than last winter because of various improvement projects that were occurring at the time. That explanation would not shed much light on the $19,656 favorable variance to budget in June, however. Nor would it explain why maintenance costs shot up to $93,278 in July compared to June’s more modest $60,659.

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AQUATICS

September - Early October 2015Ocean Pines PROGRESS

he June 30 membership report indicates that aquatics membership is on the upswing, already ahead of membership totals for June 30 a year ago. The July 31 membership reports show a continuing positive trend. Ocean Pines Association Controller Art Carmine said the June report captures most of the activity for the year, with only weekly memberships increasing throughout the summer, into July and August. The June 30 report shows that family summer memberships increased to 255 from the 214 a year ago. Family annual memberships increased from 49 to 53. Individual summer memberships grew from 136 to 140, while individual annual memberships actually dropped from 41 to 38. Annual memberships can be purchased anytime during the year. Summer memberships tend to be purchased before the summer season begins.

Aquatics has a very strong first quarter Revenues, net operations almost $100,000 ahead of last year, expenses under tight control By TOM STAUSS Publisher he good news just continues to roll in for the Ocean Pines Association’s Aquatics Department. First quarter financial results indicate that Aquatics Director Colby Phillips and her management team have a handle on expenses. They’re $9,218 under budget and about $2,500 under what was spent in the first quarter last year. It’s not all about dollars. Improvements at the Mumford’s pool – a new vinyl pool surface and Rubaroc decking – have been well received. Ditto for food service at the Swim and Racquet Club pool. The staff displayed some common sense and nuanced understanding of their clientele by not insisting on a no-outside-food-and-beverage policy. The expanded sandy deck area at the Beach Club has made it possible to accommodate more people than in previous summers. That probably has had spin-off benefits, as the Beach Club food and beverage operation is not just having a good year; it’s having a year that probably will be the best in Ocean Pines history. First quarter operations netted $98,375, compared to $67,059 last year.

That’s a 47 percent increase in net revenue. Swim lessons and revenue derived from lessons are substantially ahead of a year ago. Some of the front desk staffers are adept at information technology, as they deal with malfunctioning equipment and computers from an earlier IT era. Staff does a lot more than simply checking people in to the pools; they make people feel welcome and tell newcomers, some of whom are not familiar with Ocean Pines pool options, that there are lots of choices: four pools in Ocean Pines, one adults-only and another indoor, with one beachfront pool in Ocean City. Staff morale is noticeably improved over previous summers. Guards tell regulars that they believe Phillips and her team care about them. The firings of summers past are no longer common. Standards are high, but there is more tolerance for occasional mistakes that teenagers will make as they learn the ropes. Relations between private instructors of programs and Phillips – she oversees a water aerobics class herself – have never been better. The budgeting in some cases has been spot-on precise, far from the norm

in Ocean Pines. One example: Wages and benefits for July were budgeted at $69,767; they came in at $69,770, a $3 difference. For the quarter, service/supplies cost $52,357; they were budgeted at $51,973, a $383 difference. It was the same with maintenance expenses. Budgeted at $11,400 for the quarter, they came in at $11,167, a miniscule $233 difference. With expenses under tight control, higher revenue means the OPA can actually reap the benefits of that revenue. That’s what has been occurring so far in the 2015-16 fiscal year. Total aquatics revenue for the first quarter was $471,057, compared to $375,373 a year ago. That can be rounded off to a $100,000 swing to the upside, but it actually works out to be a $95,584 increase in year-over-year revenue. A little over $48,000 of that can be attributed to an allocation of some Beach Club parking revenue to aquatics, which some OPA members have said is a gimmick that makes the department look better than it should. Phillips begs to differ, and she’s even gone on the at-times-contentious oceanpinesforum. com to defend the accounting change. q

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34 Ocean Pines PROGRESS September - Early October 2015 First quarter results

AQUATICS

From Page 31

The reallocation is based on the fact that four Beach Club pool passes are included as part of the Beach Club parking pass package. Those pool passes are used. Former Ocean Pines Aquatics Committee chair Virginia Reister told the committee in early September that she thought a portion of the parking pass revenue has been allocated to aquatics all along, only to discover recently that it had not. “Had I known, I certainly would have worked hard to have it included,” she said, praising Phillips and her staff for making the change happen. It was approved by the OPA Board of Directors during the 2015-16 budget review process this past winter. Membership revenue, including the parking pass reallocation, was $242,326 for the quarter, compared to $194,737 a year ago. It was $8,661 better than budgeted. The parking pass reallocation accounts for most of it. But other revenue line items are also showing a healthy increase, year over year. Coupon revenues for the first quarter were $61,654, compared to $49,625 last year. Cash fees jumped from $85,785 to $97,109. Swim lesson fees increased

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AQUATICS

September - Early October 2015Ocean Pines PROGRESS

Renaud declares support for upgrades to Sports Core pool

Aquatics strong

From Page 34 from $43,683 last year to $59,241 this year. Swim and Racquet Club food service revenue for the first quarter totaled $6,448, more than $2,000 than budgeted. Even vending revenue increased, from $1,476 last year to $1,738 this year. Phillips and her staff are also showing some creativity in increasing revenue from sources that in previous years had not been paying for use of the OPA pools. The independent Ocean Pines d at Market Price Hammerhead Swim Team had for a eamed, Fried or been Broiled number of years able to avoid paying a fee, but Phillips last year was able to secure Hard an agreement Steamed Crabs that resulted in roughly $3,500 y bushel or dozen in new fees for the aquatics department. Recently, the agreement has been reCrab Meat in more negotiated pool vised, resulting

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OPA president wants Ultra-violet disinfection equipment added to stepped entry and other improvements to the OPA’s indoor facility aerobics classes. Even this past year, when the board’s liaison was now retired director Sharyn O’Hare, Renaud attended many of the committee’s meetings to keep informed. When the committee discussed planned improvements to the Sports Core indoor pool next summer – imusage by the swim team throughout the year. “We offered them a number of options for increased use, and they picked what works for them,” she told the aquatics advisory committee in early September. She said that the new arrangement will roughly quadruple the swim team’s revenue contribution to the OPA, an increase that had some members of the committee marveling at the improved relationship between the OPA aquatics staff and the Hammerheads. Phillips said the increased pool usage by the swim team means the team can increase the number of team participants. Even with increased swim team use of the Sports Core pool during the months of the yea when the outdoor pools are closed, she said that one or two lanes will always be open for lap swimmers and recreational users.

provements which could close the pool anywhere from one to two months – Renaud made it clear he wants the bid solicitation – called RFPs, or requests for proposals – to include an “all-of-theabove” or comprehensive approach to improvements there. For the past four or five years, the

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OPA capital budget routinely has included roughly $150,000 for Sports Core pool improvements, to include pool resurfacing and deck repairs. The project has languished on the back burner until earlier this year, when Phillips convinced her boss, OPA General Manager Bob Thompson, to send out an RFP, with the intent of accomplishing the project in late August and early September. For a number of reasons, permitting

By TOM STAUSS Publisher at Renaud, the board liaison to the Ocean Pines Association’s Aquatics Advisory Committee, wasted no time in making his presence felt at the committee’s Sept. 1 meeting. Renaud is also the newly installed OPA president, with a particular fondness for aquatics. He’s enrolled in one of Aquatics Director Colby Phillips’ water

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36 Ocean Pines PROGRESS Sports Core pool

AQUATICS

September - Early October 2015

From Page 34 complications among them, it didn’t happen. Now, with the apparent backing of the aquatics committee, Renaud made it clear he wants the pending RFP to include more than resurfacing and deck repairs. Phillips several months ago had suggested that the pool be upgraded with a new stepped entry in the shallow end, a change that would require roughly an eight- by ten-foot incursion into the concrete deck area. When he heard about the proposed improvements, Renaud immediately became an advocate. It will make it much easier for very young people and older people to enter the pool. Renaud is pushing 80 and has some disabilities himself. He wears the effects of a bout with polio and doesn’t move as quickly as he once did. “It’s selfish,” he forthrightly admitted to the Progress during a recent interview. But he also said it would be a convenience that many users of the pool would appreciate. The stepped entry would be similar to steps into the Yacht Club and Mumford’s Landing pools. When committee members mentioned another long-sought goal – the introduction of ultra-violet disinfection at the Sports Core pool to improve water and air quality at the indoor facility – Renaud jumped on it with enthusiasm. He made it clear he wants UV equipment to be included in the RFP that Phillips indicated would be sent out by the end of the year. The implicit message to Phillips: Make sure that Thompson and Jerry Aveta, the OPA’s facilities

Sports Core improvements

The indoor Sports Core swimming pool will undergo major improvements next summer. The slide, pictured above, will be replaced with a newer model and relocated to the area where the guards are seated. A stepped entry is planned for the decking area where the slide is located now. manager who often drafts RFPs, include UV equipment as part of the project specifications. When Phillips told the committee she is not opposed to UV – nor has she emerged so far as an advocate, it must be said – Renaud responded with an invitation, said in jest, that he would be willing to show Phillips some evidence of chemical interaction with his skin from regular use of the Sports Core pool. “Not sure you would like to see it,” he said.

Phillips declined to take a look. At previous meetings of the committee, Phillips said she has been investigating pools that use UV equipment as a part of their disinfecting regimen. Even with UV, pools require chlorine, or bromine, albeit in lesser quantities than would otherwise be required. She said contrary to her previous understandings, pools with UV still need to be “dumped” once a year to get rid of impurities that have built in the water over time. However, Virginia Reister, a former

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aquatics committee chair who still attends most aquatics committee meetings, told the Progress in a later conversation that frequent pool dump-andrefills aren’t necessary if a UV system is combined with salt-generated chlorination, another technology that has been favorably entertained by the committee in recent years. Phillips also has been checking into area pools that use salt-generated chlorination. If both UV and salt-generated chlorination is added to the mix, along with the stepped entry, pool resurfacing and Rubaroc decking, the $150,000 included in the current fiscal year’s budget for Sports Core capital improvements probably will be insufficient to cover the cost of everything. That conclusion is based on the two bids received by the OPA in response to this summer’s RFP. This year’s aquatics capital budget includes $100,000 for concrete decking expansion at the Beach Club pool, a project that could be delayed or even eliminated in favor of improvements at the year-round Sports Core pool. Renaud reacted favorably when he was informed of the $100,000 Beach Club budget item and the possibility that it could be redirected to cover additional costs at the Sports Core. The RFP for the project posted earlier this summer asked bidders to submit bids for two types of resurfacing, a more traditional plaster along with a Diamond-brite finish coat, such as the one applied to the new Yacht Club pool two summers ago. The pool liner option was used at the Mumford’s Landing pool this summer and has been well received by patrons. Its advantages are easy maintenance, a comfortable feel and a ten-year warranty. It’s more costly than traditional plaster. In this summer’s RFP process, only one of the bidders submitted a proposal for a pool liner at the Sports Core pool. Phillips told the aquatics committee in early July that the price differential was roughly $18,000. It was submitted by the Sports Core project’s highest bidder, Pool and Spas of Milford, the company that was awarded the contract to install the pool liner and make other repairs and improvements at Mumford’s Landing earlier this year. Among the other improvements at the Mumford’s Landing pool was Rubaroc decking around the pool’s perimeter. The rubberized matting was also installed at the Swim and Racquet Club’s splash pad this summer. It, too, has been well received by pool patrons, according to Phillips. In a recent memo to the OPA directors asking for a delay in the Sports Core project, Thompson said “a new RFP can be posted and circulated in late fall with our agreed upon items, such as type of pool finish, entry options and slide. We can finalize decking options. We can apply for our permit during the same time period.” The pool slide in his memo referred to a new one that would replace the existing slide, which is an older model that’s showing its age.

September - Early October 2015Ocean Pines PROGRESS

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September - Early October 2015

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AQUATICS

September - Early October 2015Ocean Pines PROGRESS

Aquatics committee awaits cost information before taking position, while aquatics director says she wants to avoid additional operating costs By TOM STAUSS Publisher erhaps it is best thought of as a trial balloon, but the coach of the Ocean Pines swim team, the Hammerheads, recently suggested that the Ocean Pines Association consider placing a “winter bubble” over the Swim and Racquet Club pool. It’s an idea that Hammerheads head coach Brooks Ensor suggested during the Aug. 4 meeting of the Aquatics Advisory Committee. A bubble, he said, would allow the swim team to conduct practices and swim meets at Swim and Racquet without interfering with activities at the indoor Sports Core pool, where the team currently conducts practices during the fall, winter and spring months. During summer months, the Ocean Pines swim team practices and holds meets at the Swim and Racquet Club pool. It’s the only Ocean Pines pool geared to sanctioned swim meets because of

pool depth. During the winter, the team is currently limited to out-of-area meets. The same limitation at the Sports Core pool forces the Stephen Decatur Swim Team, in which some Hammerheads swimmers participate, to host its home meets in Pocomoke City at the YMCA located there. Ensor, who said a pool bubble would benefit both the swim team and the OPA aquatics program, did not have an estimated cost of a pool bubble for the committee members to consider. Committee members did not comment directly on the merits of the proposal absent cost information, but former committee chair Virginia Reister, who was one of the founders of the Hammerheads in the early days of Ocean Pines, said she had first proposed a bubble over the Swim and Racquet Club pool back in the 1980s. The idea was considered again in the mid-2000s, when the OPA Board of Directors was debating the possibility of enclosing the Sports Core pool.

The Swim and Racquet Club pool was seen as an option for enclosure at the time but was discarded because, as an elevated pool that rests on pilings, it was thought to be unable to handle the weight of a permanent pool cover that uses steel trusses for support, such as the one at the Sports Core pool. Ensor made it clear he was not proposing a heavy-duty permanent enclosure, but a light-weight bubble that could be taken down during the summer months. Ocean Pines Aquatics Director Colby Phillips later told the Progress that if the bubble idea gains traction, it would have to be with the understanding that all the costs associated with it would be borne by the swim team rather than the OPA. That includes the costs of purchase and installation and heating the area under the bubble, she said, adding that as far as OPA aquatics is concerned, she believes the indoor Sports Core is adequate to accommodate all the programs she and her staff have planned during

the winter months. She said additional consideration would have to be given to the clubhouse building and how it would connect up to the bubble. She noted that the building is not insulated and has no heating. She said she was not interested in adding to her department’s operating cost structure, which she said would mean the entire cost of a bubble would have to be absorbed by the swim team. She wondered whether the team would have the means to handle the full cost of maintaining a bubble during the cold winter months. During the Aug. 4 meeting, Phillips and Ensor politely debated the relationship between the swim team and the aquatics department. Ensor said he would like to see the relationship improve at the same time he said it had been getting better. He expressed frustration at empty lanes at the Sports Core pool during practices, adding that the team would like to use more lanes when the pool is otherwise underutilized. Ensor also said he was waiting for updated information from Phillips on pool availability and costs for the team’s fall program. Phillips said she would send the information to him via email. She went on to say that she was “taken aback” by Ensor’s statement that he wanted to see improvement in the relationship between the OPA and the swim

Swim team coach suggests bubble over Swim and Racquet Club pool

9/30/15 OPP

40 Ocean Pines PROGRESS

OPA FINANCES

September - Early October 2015

OPA close to ‘break-even’ in July, ahead of budget by $34,000 so far The Beach Club and marinas have a stellar month, while Aquatics records another substantial positive variance to budget; golf records a loss

By TOM STAUSS Publisher ajor amenities in Ocean Pines continue to perform well early in the 2015-16 fiscal year, with results in Controller Art Carmine’s July

age operation earned $80,392 for the month, outperforming its budget by $23,576. For the year so far, the Beach Club’s net operating surplus is $98,375, better than budget by $37,783. A year ago, through July, the

financial report indicating that all major amenities except for golf generated surpluses for the month and all but golf doing better than budget. The Beach Club’s food and bever-

Beach Club was $67,059 in the black, which means this popular amenity has had a $31,316 swing to the good year over year so far this fiscal year. The marinas at the Yacht Club and Swim and Racquet Club also had a stellar month in July, recording a $25,896 operating surplus and a $19,374 positive variance to budget. For the year through July, marinas have a $190,800 operating surplus and a $31,598 positive variance to budget. A year ago, the marinas operating surplus was $148,084, for a $42,716 improvement in results year over year. Last year’s results were somewhat skewed because gasoline sales were not fully operational until the latter part of June. The aquatics department was another top performer for the month, as it was in June, with a $50,150 operating surplus and a $16,057 positive variance

Swim team

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From Page 39 team. To her, the relationship is harmonious and constructive. She said she just had completed a “successful” meeting with the board of the swim team in which pool hours and the cost of an expanded swim team program had been worked out. She noted that the new arrangement would expand the number of hours from five last fall to almost 15 hours per week for the coming year. She also said she understood Ensor’s frustration at unused lanes during practices, but she said it stems from the fact that the Sports Core pool is a community/membership facility that has a policy of maintaining at least one lap lane at all times for lap swimmers in addition to room for recreational swimmers. She later told the Progress that some lap swimmers or recreational users will simply “turn around and leave” the pool if they see that swim teams are using up more than the three or four lanes that are ordinarily used in practice. She noted that under the new negotiated arrangement, the swim team will have unfettered access to the pool from 8 to 9 p.m. four days a week, during a time when the pool is otherwise closed. At other times, such as late in the afternoon, the pool will be shared by the swim team, recreational users and lap swimmers. Sports Core pool times have been adjusted this fall, with the closing time Monday through Saturday changed from the current 9 p.m. to 8 p.m. Sundays, the pool will close at 5 p.m. Also during the Aug. 4 meeting, Ensor told the committee that he had someone in mind from the swim team board to serve on the aquatics committee, which currently has two openings. Committee chair Kathy Grimes said she thought it would be a good idea for someone representing the swim team to join the committee. As of the Sept. 1 meeting, no one has emerged as a candidate.

OPA FINANCES

September - Early October 2015Ocean Pines PROGRESS

Golf membership continues decline By TOM STAUSS Publisher hen the Board of Directors decided earlier this year to replace Billy Casper Golf with Landscapes Unlimited, a majority said it did so because Mark Mattingly, LU’s regional vice-president, sold the board on his company’s commitment to rebuilding golf membership. In a presentation

to the board on a cold winter’s day, he even told the directors that if his company failed to deliver an increase in membership, he would expect to be replaced by another management company. Without that commitment to rebuild membership, newly installed president Pat Renaud told the Progress in a recent interview, he would not have voted for the LU proposal among the several op-

tions presented. The amenity membership report as of June 30 makes clear just how much golf membership has fallen, making LU’s task in rebuilding membership an even steeper climb than it was when LU signed its three-year management contract with the OPA in May. A year ago on June 30, there were 134 golf memberships on file, in addition

Monthly financials

budget by a substantial $40,636. For the year through July 31, golf has a $98,375 operating surplus, with a negative variance to budget of $28,949. Even so, the golf course’s new operator, Landscapes Unlimited, is well ahead of Billy Casper Golf ’s performance through July 31 of last year, when a $57,180 surplus had been recorded. That represents a $36,333 year over year improvement. According to Controller Art Carmine’s monthly report for July, the OPA generated a positive operating fund balance of $1,624 in June, virtually break even, on revenues that exceeded budget by $10,328 and expenses that missed budget by $8,704. For the first three months of the fiscal year – May, June and July – the OPA had a positive operating fund variance of $34,193, on revenues that were under budget by $90,052 and expenses under budget by $123,663. New capital was under budget by $582 through July. All three racquet sports recorded insignificant losses in July, led by platform tennis (-$587) and followed by tennis (-$587) and pickleball (-$362). All three racquet sports did better than budget, with positive variances of $21, $205 and $1,004, respectively. Through July, all three sports are in the black – tennis in the amount of

$17,502, platform tennis ($7,885) and pickleball ($7,614). Year to date, however, tennis is $8,022 behind budget and off last year’s pace of a $24,284 net surplus. Platform tennis’ net operations of $7,855 is behind budget by $1,619 but ahead of last year’s cumulative net through July of $6,762. Status of the balance sheet: According to the July 31 balance sheet, the OPA has assets valued at $35.026 million, against liabilities of $1.7 million and owner equity of $33.343 million. There were no balance sheets included with the May and June published financial statements. The July balance sheet indicates that the OPA had $2.34 million in operating cash on hand as of July 31, compared to $1.78 million a year previous. Short term investments were valued at $7 million as of July 31, compared to $6 million a year ago. Status of reserves: The reserve summary released as part of the July financials indicates that the OPA’s total allocated reserve balance stood at $6,657,838 through July 31, a modest reduction from the June balance of $6,764,407 and May’s balance of $6,938,118. [See separate story for details.]

From Page 40 to budget. For the year, aquatics had a $52,750 positive variance to budget. Through the end of July, aquatics recorded a $196,958 operating surplus, compared to a $98,800 surplus on July 31 of last year. Year over year, there’s been a $98,158 improvement in results under Aquatics Director Colby Phillips. Aquatics results have been helped by the allocation of $48,000 in Beach Club parking revenues to the Aquatics membership line, justified on the grounds that seasonal parking passes include four Beach Club pool passes. The Yacht Club had a very respectable month in July, with a $65,888 operating surplus and a positive variance to budget of $9,046. For the year through July 30, the operating surplus is $149,127, under budget by $34,258. The Yacht Club is far ahead of last year’s results so far in the fiscal year. Through July 31 last year, this major amenity was in the black by a modest $23,922. Yacht Club Food and Beverage Manager Jerry Lewis has produced a $125,205 year over year swing in net operating results. If there was any sour note at all in July amenity results, it was golf ’’s $13,296 loss for the month, missing its

to 20 lifetime members. Memberships include both individuals and families, so the actual number of people who can claim to be members of the Ocean Pines golf club is greater. But as a percentage of Ocean Pines households and lots, golf membership in Ocean Pines is tiny, less than 2 percent. This calendar year, through June 30, the membership base has declined even more to 114 households, and five of those are associate memberships, defined as those held by individuals who don’t live or own property in Ocean Pines. As of June 30, the number of lifetime members had declined to 19. Renaud acknowledged that it probably isn’t fair to hold LU accountable to the 15 percent decline in membership year over year. By the time LU took over management on June 1, Ocean Pines households would have made their golf membership decisions for the year. But the OPA president said LU will be held accountable going forward. So far, he said he’s heard nothing from the company about its plans to boost membership. During his board presentation earlier this year, Mattingly said his company had “proprietary” methods of boosting membership that have worked well in other communities. Renaud said the proof will be on how effective they are in Ocean Pines. He also will want to hear, at least in a general sense if not specifically, how the company intends to go about rebuilding membership. He expressed a degree of skepticism, noting that LU manages several brand new golf courses in communities without a lot of competition. Neither condition applies to Ocean Pines – a mature course with an aging membership base and a large number of competing courses within a short driving distance. Renaud said he is not certain that it’s even possible to reverse the declining membership base to any appreciable degree and, if that’s true, he said it will become clear soon enough. If a small membership is the reality for the indefinite future, then the board will have to figure out an alternative, he said. Renaud said he had reaffirmed Thompson as the OPA’s lead liaison with LU, adding that he as the OPA president will also take a lead role in meeting with company officials on a quarterly basis, along with Thompson. Renaud has appointed Director Bill Cordwell as the board’s liaison to the Golf Member Council, replacing Jack Collins. The golf council generally meets monthly with Director of Golf John Malinowski. During the run-up to the decision to hire LU, Collins had announced, in an article published in the Progress, that Thompson would be the OPA’s day-today liaison with LU. But Renaud said that Thompson, with whom the OPA president is meeting weekly, has informed him that no such interaction has occurred since the LU take-over. “That will change,” Renaud said.

42 Ocean Pines PROGRESS

OPA FINANCES

September - Early October 2015

OPA reserves drop slightly to $6.66 million in July By TOM STAUSS Publisher he reserve summary released as part of the July financial report shows that the Ocean Pines Association’s allocated reserve dropped again modestly in July to $6.66 million, down from the June balance of $6.76 million and from the high of $6.9 million recorded at the end of May, the first month of the 2015-16 fiscal year. May is always the reserves high mark because that is the month when annual lot assessments are recorded. As expenditures from the allocated reserves occur throughout the year, the reserve balance declines. At the end of April, the conclusion of the previous fiscal year, the reserve balance stood at $3.5 million. The OPA this year is scheduled to collect roughly $2.5 million in assessment dollars that are allocated to the OPA’s major maintenance and replacement reserve. The total balance in the maintenance and replacement reserve as of July 31 was $4.45 million, a modest decline from the $4.5 million June balance. There are two distinct funding streams in this reserve. One is OPA assessment dollars collected to fund depreciation of OPA assets, with a $5.65 million surplus as of July 31. This funding stream is called “historical” in the OPA’s published reserve summary. There was $1,549,032 in new depreciation-related funds added to this reserve on May 1. The other revenue stream within the major maintenance and replacement reserve is supplemental funding for major

Saturday, Sept. 12 Annual Doggie Swim at Mumford’s Landing swimming pool, 1011 a.m (dogs under 20 pounds), 10 a.m. – 2 p.m., all dogs. $6 per dog. Benefits the Worcester County Humane Society. Fall indoor/outdoor flea market, 8 a.m.-noon, Ocean Pines Community Center and parking lot in front of the administration building. Gently used clothing, children’s items, household items, collectibles. Indoor space $15 for Ocean Pines residents, $20 for non-residents, includes an 8-ft. table and a chair. Outdoor spaces $10 for all vendors, no tables and chairs included. Free. Tuesday, Sept. 15 First in a series of seminar on care for seniors, 10 a.m.-noon, Ocean Pines Community Center, presented by Home Instead Senior Care. Patient and doctor communication and family caregiver information.Future seminars: Oct. 6 (chronic obstructive pulmonary disease), Oct. 20 (arthritis) and Nov. 3 (diabetes), all from 10 a.m.-noon. Free; registration required at 410-641-7052 or rec@oceanpines.org. The Worcester County Commission for Women, monthly meeting, 5-6:30 p.m., Worcester County Board of

projects, also collected as part of the annual assessments. The funding source for the new Yacht Club, it was previously known as the five-year plan, changed to the “legacy” reserve as part of a reserve “compromise” during the review and approval process for the current fiscal year’s budget. The so-called legacy reserve had a $1.2 million deficit as of July 30. Consistent with the board reserve compromise, the July reserve summary reflects transfers from the historical (funded depreciation) column to the future projects, roads and golf drainage reserves, reducing the future projects and golf drainage reserves to zero.

The transfer out of the major maintenance and replacement reserve totaled $814,577, with $60,463 allocated to future projects, $110,508 to roads, and $643,607 to golf drainage. The roads reserve was not zeroed out by this action, because casino funds in the amount of $250,000 were allocated to this reserve. Next to the major maintenance and replacement reserve, the bulkheads and waterways reserve is the most flush with cash. Starting the fiscal year with an $893,432 balance, this reserve has grown to $1.7 million on the strength of $822,367 in new money from the socalled waterfront differential, the difference between the base annual assess-

HAPPENINGS Education, 6270 Worcester Highway in Newark. The meeting is open to the public and women of all ages are invited to attend. Wednesday, Sept. 16 Retired Nurses, monthly meeting, 3 p.m., Ocean Pines library. Kim Reed presentation on Tai Chi exercises. A 50/50 for the scholarship fund. Guests welcome. Pinesteppers Square Dance Club, free introduction to modern western square dancing, 7-9 p.m., Ocean Pines Community Center. Dress casual, light refreshments, Arlene Hager, 302-4364033. Thursday, Sept. 17 7th Annual Patriot Day fashion show and luncheon, hosted by Republican Women of Worcester County, Ocean Pines Yacht Club Banquet Room, 10:30 a.m., program begins at 11:30. Honoring POW/MIA Day “You are not forgotten”. Fashions by Chico’s of Salisbury, MD. $33 per person. Reservations, Sandy Fennell, 410-202-8688 or sandy-

fen57@yahoo.com. Ocean Pines Association, Board of Directors orientation meeting, Ocean Pines Beach Club, 9 a.m. Also Friday, Sept. 18. Saturday, Sept. 19 Big truck day, Veterans Memorial Park, Route 589 and Cathell Road, Ocean Pines, 10 a.m.-2 p.m. Fire trucks, dump trucks, tractors and more available for inspection. Police officers, firefighters and truck drivers on hand. Refreshments available for purchase. Star Charities VIP Social, Deer Run Golf Club, 5 p.m., to benefit Wounded Soldiers of Maryland. Tickets $25. Dinner, David Stone’s “Johnny Cash Experience” and the comedy act by Kathryn Redden from the Comedy Club. BBQ chicken by the popular Monty Jones from The Lazy River Saloon, door prizes. Anna Foultz for tickets, 410641-7667. Sunday, Sept. 20 Sharing Sunday, 1-3 p.m., Southside Fire Station, collection of non-per-

ment and the waterfront assessment paid by those who live on bulkheaded property in Ocean Pines. The operating recovery reserve, set up to offset losses in previous fiscal years or possible future tax liabilities, increased from a $135,933 balance on April 30 to $271,446 on July 30, reflecting $135,216 in new contributions from assessments. The operating recovery reserve had been zeroed out as of April 30 last year, on the theory that previous year deficits had been sufficiently offset by subsequent surpluses, but the OPA Board of Directors last year authorized $135,100 from last year’s assessment to be allocated to this reserve. ishable food, toiletries and paper products, to be shared with a local food ministry. Hosted by Democratic Women’s Club. 410-641-8553. Monday, Sept. 21 Democratic Women’s Club, monthly meeting, Ocean Pines Community Center, coffee and conversation 9:30 a.m., meeting 10 a.m. Guest speaker, Brigette Southworth, Worcester Youth and Family Counseling Services, on CASA (Court Appointed Special Advocates) for Children. 814-322-2119. Thursday, Sept. 24 Board of Directors, Ocean Pines Association, regular monthly meeting, 9 a.m., Ocean Pines Community Center, Assateague Room. Saturday, Sept. 26 Yard sale, Church of the Holy Spirit, Coastal Highway and 100th Street, Ocean City, 7 a.m.-noon. 410-723-1973. Sunday, Oct 4 Crab/chicken feast, Church of the Holy Spirit, 100th Street and Coastal Highway, Ocean City, 2-6 p.m. Crabs, fried chicken, corn on the cob, hush pupTo Page 47

WORCESTER COUNTY

September - Early October 2015Ocean Pines PROGRESS

COUNTY BRIEFS

Howarth to replace Bloxom as county attorney legal counsel on a variety of issues and offers me the opportunity to give back to the community I call home.” An Ocean City resident, Howarth graduated cum laude from James Madison University, with a Business Bachelor of Arts in accounting in 2004. She graduated cum laude from the University of Baltimore School of Law with a law degree in 2007, after which she served as a law clerk for Wicomico County Circuit Court Judge Donald C. Davis. Bloxom, a former Worcester County Commissioner, began serving as the county attorney in 2008 and provides legal advice to the Worcester County Commissioners and the Worcester County Planning Commission in all legal matters.

Commissioner Bertino to hold town meeting

Chip Bertino, Worcester County Commissioner for the Ocean Pines district, will hold a Town Meeting on Saturday, Oct. 3 at the Ocean Pines library. The meeting will begin at 10 a.m.

Bertino will provide information on issues and developments occurring within the district and the county. Beau Oglesby, Worcester County State’s Attorney is the guest speaker.

Economic development director resigns post

After storming out of a Worcester County Commissioners meeting weeks earlier, Bill Badger, the county’s economic development director, resigned his post on Sept. 1. Irked that the commissioners weren’t simply following his recommendations regarding a proposed solar facility, Badger left an August public meeting in a huff. When called in to meet with the commissioners in closed session on Sept. 1, Badger tendered his resignation. The commissioners accepted Badger’s resignation and thanked him for his years of service. Merry Mears, deputy economic development director, will fill the position while the county advertises for a fulltime replacement. Mears will continue

Survey shows county parents satisfied with schools’ communications efforts Replacement of Showell Elementary remains priority for school system By ROTA L. KNOTT Contributing Writer arents of students attending Worcester County Public Schools continue to give high favorability ratings on the communication and parental involvement efforts of the district and its schools. For the tenth consecutive year, the school system circulated a communication survey to parents and guardians of students in late March and closed in early April. This marked the first year that parents completed the survey entirely online. Parents were asked to complete a survey for each child enrolled in the county’s schools. Carrie Sterrs, coordinator of public relations and special programs, presented the results of the survey to the Board of Education during an August meeting. The primary objectives for the survey are to receive parental input in order to measure the quality of the school and school system communication sources in one of five categories: interpersonal, electronic, multi-media, social media, and publications. It also seeks to identify the most effective communication sources for school and school system information; identify other communication sources which parents find or would find helpful; and refine school and school system goals and strategies based on the survey’s statis-

tical analysis, written suggestions, and feasibility. Through the communications survey, the school system is seeking to increase parental involvement in school activities and in school improvement efforts in order to enhance student achievement. A total of 1,843 responses were received from a potential pool of 6,654, giving a cumulative return rate of 28 percent for 2015, two percentage points above the previous year. While the rate of participation has declined in recent years, the school system anticipates that the move to a fully online survey with improved mobile accessibility will ease access for many parents in the future. Showell Elementary and Stephen Decatur High schools both boosted their parent participation rates in the survey by 17 percentage points over 2014. The data received from the 2015 communications survey indicates high levels of satisfaction across the variety of communications means employed at both the school and district levels, with overall ratings for each category receiving favorability ratings of 95 percent or better. Survey favorability data shows that parents are embracing print and digital means of communication, and are looking to internal means of communication from individual schools and school district sources rather than ex-

ternal means such as newspapers and television. Based on the survey results, the school system plans to explore a number of options to boost survey participation including, mobile accessibility, alternative security measures and incentives. The district website and social media tools will continue to be improved and enhanced as key communication tools, and the collection and utilization of email addresses will be explored as an added communication tool for the future. The school board also reviewed and approved the fiscal year 2017 capital improvement plan for the school system. The FY 17 plan includes a planning request for the Showell Elementary replacement school. Future project requests, including an addition at Stephen Decatur Middle School and roof replacement projects at Pocomoke and Snow Hill Middle Schools and a summary of previously approved projects, are also included in the CIP. Each year the school system is required to submit a capital improvement program to the State of Maryland Interagency Committee on School Construction. The CIP is a six-year plan that allows the IAC to identify public school construction needs and establish a reasonable schedule for funding and implementation.

to expand current programs and initiatives of the Commissioners to support and encourage business development in Worcester County.

Marlene Ott again to chair planning commission

Ocean Pines area real estate agent Marlene Ott will serve as chairman of the Worcester County Planning Commission for one more year. Ott was reelected to the post during a Sept. 3 planning commission meeting. Mike Diffendal will continue as vice chairman and Betty Smith will take over as secretary, replacing Brooks Clayville, who met his term limit as an officer. Commission members are allowed to serve a maximum of four one-year terms in any single officer’s position. Ott has been the chairman for three years, so this will be her final stint in that position. Diffendal will be serving his second term as vice chairman.

Planning commission endorses signage change

A proposed text amendment to the regulations for on-building signage that will allow developers to designate which side of a commercial building is the front was given a favorable recommendation on Sept. 3 by the Worcester County Planning Commission. Mark Cropper, attorney for the developer of Ocean Landings I, which contains the Walmart and Home Depot stores along Route 50, presented the proposed code change on behalf of his clients. While text amendments are not site specific, a signage quandary related to a third building that is part of that commercial development promulgated this particular change. Cropper said the developer has a 15,000 square foot building on the south side of a service road that cuts through the property near the Walmart parking lot. As developers began leasing those units they were better able to understand the manner in which the existing code calculates signage and its negative impact on their tenants. Currently the side of a building that faces on a public road or an approved private road is the side from which the county’s signage calculation is premised, and the size of that side of the building dictates the total allowable square footage of all signs on the structure. “In most cases the front of the building fronts on a public road,” Cropper said. “This particular building faces west.” That means that the smaller side of the building is the one that fronts on the service road and is the side on which signage calculations are based. Instead, Cropper proposed language revising the county code to allow the “developer to decide which side of the building is deemed to be the front of the

aureen Lanigan Howarth will become the third full-time Worcester County attorney later this year. The Worcester County Commissioners announced in September that Maureen Howarth they selected Howarth to replace retiring County Attorney Sonny Bloxom. Howarth will step into her new role on Nov. 9, with Bloxom due to make his official exit on Dec. 18. She has eight years of legal experience in county government having served as an assistant county attorney for Wicomico County from 2008 to 2012 when she took over as deputy county attorney. “I’m looking forward to joining the Worcester County team and serving as their county attorney,” Howarth said. “Working in the field of local government gives me an opportunity to provide

44 Ocean Pines PROGRESS

BUSINESS

September - Early October 2015

Shamrock Realty relocates to Racetrack Road

hamrock Realty Group, Inc., an independent and locally owned Berlin real estate brokerage, has relocated to a highly visible Racetrack Road address that carries a long history in the Ocean Pines real estate business, dating back to the 1970’s. Gary James, founder and president of Shamrock Realty, along with Pam Wadler, company co-founder and vice-president, opened the doors at their new location Sept. 1. When opportunity came knocking, the company moved rapidly. Within three weeks of learning that the location would become available for lease, Shamrock had installed complete signage outside and achieved fully licensed operational status inside. James described the move as “things

Richards moves to Shamrock

Jerry Richards, Ocean Pines’ longest-serving Realtor, recently announced that he is now a member of the Shamrock Realty Group. He will continue to serve his clients from his office at 11049 Racetrack Road (Route 589) with residential real estate services. In addition to being a Realtor, he is a Certified Residential Specialist (CRS), a designation achieved Jerry Richards

County briefs From Page 43 building.” In this particular case, the developer will choose the west side of the building because it will provide for the most on-building signage. Once the amount of signage is calculated, the developer can then determine how much signage each tenant is allowed and on which side of the building to place it. “This would certainly give the developer-builder the flexibility to address this issue,” Cropper said. Commission member Mike Diffendal made a motion, which carried unanimously, to give the proposed text amendment a favorable recommendation. It will now go to the Worcester County Commissioners for consideration.

Muslim cemetery receives county irrigation waiver

Saying it is unlikely to be a high traffic area, the Worcester County Planning Commission on Sept. 3 approved a site plan review waiver to the landscaping irrigation requirements for the Delmarva Muslim Cemetery. County Planner Jennifer Keener called it a “pretty straightforward waiver.” As part of the site plan review process, the county typically requires an automatic irrigation system with rain sensors to ensure survival of landscap-

coming around full circle” noting that he and Ms. Wadler both began their earliest real estate careers in the same building that is home to their new office. Shamrock, which opened in 2006, is now in its tenth year of business, having expanded twice within its original location in the Grays Corner Professional Center on Route 50 near Stephen Decatur High School. The brokerage has grown from a handful of real estate professionals to well over 20 agents licensed in Maryland, several of whom also hold active real estate licenses in Delaware. Ms. Wadler, an award winning Realtor and a past president of the Coastal Association Realtors (CAR), described the past few weeks as “a whirlwind”. She added that the transition period

“has been an example of how local brokers who are in competition with each other can coordinate their efforts and work well together.” The previous tenants, Re/Max Crossroads, led by another past president of CAR, have been “exceptionally professional and extremely cooperative” throughout the migration of business arrangements and logistics of relocation, she said. With Shamrock’s move to its new location, several long-time local Realtors have affiliated themselves with the company. This includes two high-producing agents who were recently awarded industry recognition honors reserved for those with more than 25 years of real estate experience.

BUSINESS BRIEFS by less than 2 percent of all real estate agents. He has been selling real estate in Ocean Pines for 46 years and has over 900 satisfied customers. He has received numerous awards including the Realtor of the Year from the Coastal Association of Realtors. He and his wife, Gloria, have lived as full-time residents of Ocean Pines since 1970, longer than anyone else. He said he is proud to be part of the Shamrock Realty Group. They have

been a successful brokerage located on US Route 50 for the past ten years and will add a team of good agents to compliment the team of previous Re/Max Crossroads agents remaining in the Ocean Pines office.

ing materials. But since the project is located in an A-1 agricultural district along Snow Hill Road the commission approved the waiver for the owners, Delmarva Muslim Community, Inc. “It’s for a cemetery. It’s not like you’re going to have a lot of traffic, I hope,” Keener said.

and values. By focusing on the financial needs of local families and businesses, Taylor Bank has in turn, charted its own path. It is a symbiotic relationship: the more success customers have, the more success the bank will have. It is built on a commitment to each other and is what all banks should strive for.” Taylor Bank was established in 1890 as the Calvin. B. Taylor Banking Company and is celebrating its 125th anniversary this year.

Taylor Bank again earns 5-Star rating

BauerFinancial has awarded Taylor Bank, with branches in Ocean Pines, Berlin, Ocean City and elsewhere in the area, its highest (5-Star) rating for strength and stability. Achievement of this 5-Star Superior rating puts Taylor Bank in an elite category as one of the strongest banks in the nation. BauerFinancial, the nation’s premier bank rating firm, has been evaluating and rating banks since 1983. Earning a 5-Star Superior rating means Taylor Bank excels in areas of capital, loan quality, profitability and more. By achieving this 5-Star Superior rating for the most recent 100 consecutive quarters, Taylor Bank has earned an even more elite status of “Best of Bauer” Bank. This designation is reserved for those banks that have maintained the 5-Star rating for 25 years or longer. According to Karen L. Dorway, president of Bauer Financial, “Taylor Bank’s achievement is a result of its commitment to community banking

Brennan moves to Shamrock

Edie Brennan, associate broker and Coastal Association of Realtors 2015 Lifetime Achievement Award recipient, has announced that she has affiliated with Shamrock Realty Group, Inc. at the

Coastal Bays committee to host Sept. 15 meeting

The Maryland Coastal Bays Program Citizens Advisory Committee will hold its next meeting on Tuesday, Sept. 15 at 5:30 p.m. at the MCBP office at 8219 Stephen Decatur Highway. Larry Walton of Vision Forestry will speak on the plans for Ilia Fehrer Nature Preserve. All are welcome to attend. The committee performs a dual role by providing the MCBP with input from citizens and communicating the programs and progress of the organization to the community. Membership is open to all and includes representation from groups such as citizen’s councils, business, farming, fishing, industry, recreational users and environmental citizens groups. Light fare will be served. Attendees should RSVP to Programs Manager Jen Rafter at jrafter@mdcoastalbays.org or 410-213-2297, ext. 109.

Gary James

Pam Wadler

Prominent Realtors who have joined Shamrock include Jerry Richards, Marlene Ott, and Edie Brennan. A complete list of agents who are affiliated with the company appears in a full page ad elsewhere in this edition of the Progress. While the date for a formal ribbon cutting will be announced shortly, Shamrock Realty Group is open for business at 11049 Racetrack Road (next to 7-Eleven), with duty agents available on site seven days a week. former location of Re/Max Crossroads on Racetrack Road in Ocean Pines. Brennan, who also specializes in beach resort properties in Ocean City and Delaware, Edie Brennan has been a top producer serving the resort area for 35 years. She holds the CRS, ABR and GRI designations and looks forward to working in a dynamic locally owned company. Her motto is “Nobody Sells it Better”. She received the lifetime achievement award for 2015 from the Coastal Association of Realtors for her professionalism, high achievements ,and dedication to the real estate industry for over 35 years. It’s based on local board activity, Maryland association and national association activities and service, civic activity, and education and designations and business conduct and practices. She was the first woman sales associate for Boise Cascade in Ocean Pines. She sold out the entire Capri Condominium of 222 units with one other agent in the 1970s. She continues to be a top producer, and has been a Realtor of the year, residential associate of the year, past president of the Coastal Association of Realtors and entered the Re/ Max Hall of Fame in 1991, among the top 1 percent of all Realtors in the nation. Brennan said she is always available to share her knowledge and experience, training new agents or counseling sales persons and brokers. “I am very committed to the professionalism in my industry. Whether I am helping a customer find and buy a home, condo or investment property or marketing a client’s property, I want that client to feel totally confident that his or her needs and interests are my first concern,” she said. “I am thankful and blessed for my many awards and accolades over the years, which I treasure. Along with being a none-year breast cancer survivor, the love and support from family, friends and fellow agents have added to the joy in my life.”

CAPTAIN’S COVE

September - Early October 2015Ocean Pines PROGRESS

Cove board adopts $1200 assessment, rejects proposal for multi-year no-increase policy State Corporation Commission staff approves utility company asset sale to Aqua Virginia By TOM STAUSS Publisher ot unexpectedly, the Captain’s Cove property owner association’s Board of Directors voted to raise the annual lot assessment to $1200, payable in two semi-annual installments

of $600 each, in a hastily scheduled board meeting Aug. 13. The increase is intended primarily to boost the Cove’s POA’s depleted reserve funds, according to Cove president Tim Hearn. During the board’s July 10 meeting, the directors had split 3-3 on a motion

by Hearn to raise the assessment from the current $1050 annual assessment, or $525 in two payments. Directors Michael Glick and Roger Holland, listening in on the meeting by phone, had disappeared by the time the vote was cast, leaving the issue unresolved.

At the Aug. 13 meeting, however, Hearn tried again and this time, with Glick and Holland participating, the outcome was more or less fore-ordained. There appears to be a sizable contingent of opponents to the increase among the year-round population base of Captain’s Cove, but Hearn and the board majority were undeterred. In favor of the increase were Hearn, Jim Silfee, Pat Pelino, Glick and Holland, with directors Dave Kiefer, Rosemary Hall and Jan Marish, the alternate, director, opposed. To Page 47

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September - Early October 2015

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CAPTAIN’S COVE Cove assessment

September - Early October 2015Ocean Pines PROGRESS

From Page 45 Kiefer offered a compromise motion in which the $1200 would have been locked in for the fiscal year that begins Oct. 1, but with a pledge by current board members who would still be on the board in the next two or three years that they would not vote for any additional increases. Kiefer’s point was that if the board could offer property owners some assurance of stability in the rate for the next several years, the increase to $1200 might go down easier with critics. Kiefer conceded that the current board can’t bind future boards with respect to increases in the assessment, so his motion was designed more as a pledge from current directors who still might be directors in the next several years. Hearn was unwilling to make that pledge, even while he seemed to suggest that it might be possible to keep the assessment at $1200 for a few years. He continued to make the point that $500,000 or so in reserves are insufficient for a POA the size of Captain’s Cove. Not too many years ago, the reserves were built up to about $1.5 million, but a series of boards drew down the balance, using the funds to pay for operating expenses, according to Hearn. Kiefer acknowledged the practice and said it was wrong for previous boards to have done it. Kiefer’s “compromise” motion was voted down, and as a result he voted against the “clean” motion by Hearn to raise the assessment to $1200. Even with that vote, the Cove budget for next year remains a work in progress, with Hearn noting that as of Aug. 13 meeting, the budget was in its sixth iteration. He said the objective was to finalize it just as soon as possible, with the intent of a maintaining a $50,000 “margin” of

revenues over expenses. One piece of the assessment puzzle was decided during the July 10 session, with all directors voting for a $200 increase in the waterfront assessment. In discussion during the Aug. 13 meeting, a Cove property owner and board candidate in this fall’s board election, Arline Curtis, pressed the board to take an across-the-board approach to cutting the budget, in much the same way a household would have to respond if it had less income available to spend. “Can you please look at how we could cut every line item, whether it was five percent or whatever, to keep the numbers stable, because I don’t want to see more people desperately trying to sell their lots, desperate trying to sell their homes, trying to get out of here,” she said, adding that while she loves living in Captain’s Cove, older residents especially on fixed incomes are having a hard time juggling household expenses. Silfee, one of the declarant representatives on the board, said in effect that the budget has been cut to the bone, but that in order to fund the operations of the community in the manner expected, and to bolster the reserves in accord with state guidelines, an assessment in the $1200 range is unavailable. Aqua transaction – Hearn announced during the Aug. 13 meeting that the staff of Virginia’s State Corporation Commission had approved the long-pending sale of Captain’s Cove Utility Co. assets to Aqua Virginia in a ruling issued Aug. 4. The asset sale could be going to settlement “before October,” Hearn said. As a result of SCC approval, Hearn said Aqua’s engineers “have been all over the place” in the Cove, beginning to secure permits, working on design drawings, and planning to set up meetings with 275 sewer customers to coordinate installation of grinder pumps that will be replacing the central vacuum system

in place in parts of Captain’s Cove for decades. Hearn said Aqua will be appointing a project manager to meet with homeowners to coordinate the grinder pump installation, including financing details if needed. CCUC as an entity will be continuing to operate, offering financing to customers who can’t pay for the grinders in one lump sum. As other potential customers are identified, the current 275 could increase to 290, and higher, Hearn said. Grinder pump installation could be 12 to 18-month process. Hearn also said that Aqua engineers are working on water quality improvements, which he said might “be the first thing that is seen” as a result of the first two or three million dollars that they spend” in Captain’s Cove. Dog park – Not for the first time, the Cove board during the Aug. 13 meeting briefly discussed the possibility of adding a dog park to the community’s inventory of amenities. Hearn took a wait-and-see approach to the latest member inquiry, directing Communications Coordinator Justin Wilder to conduct a Facebook and message board on the Cove’s Web site to determine the level of support for a

dog park. John Ward complaint – In a special meeting Aug. 21, the board considered an appeal by resident John Ward on a 30-day ban from use of the golf course for alleged harassment of a Cove golf course employee. Not unexpectedly, the board voted to uphold the ban imposed on Ward by Tim Johnson, the Billy Casper Golf general manager in Captain’s Cove. There has been some agitation on the Cove’s message board about whether either BCG or even the Cove POA has the authority to ban a Cove property owner from use of the amenities. The consensus among Cove board members is that liquor control laws confer authority to remove offending customers from premises by the license holder or owner. Ward told the Progress recently that he was not at all surprised by the board’s ruling against him, just the latest in a long series of rulings against him on previous Ward complaints. The property owner remains a vociferous critic of BCG and the current board majority. He said there are behind-the-scenes efforts under way to curb or eliminate declarant control over Cove affairs, perhaps legislative remedies in the Virginia legislature.

HAPPENINGS From Page 42 pies, cole slaw, iced tea, lemonade and coffee. Bring your own mallets, beer or wine but no hard liquor. Tickets $35 for people over 10, $15 for those 10 and younger. Tickets available at the church. 410-723-1973 or Monica, 443-235-8942. Saturday, Oct. 10 Fall pancake breakfast, Kiwanis Club of Greater Ocean Pines, 8-11 a.m., Ocean Pines Community Center. Adults $5, kids $3, under 5 free. Pancakes,

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sausages, fruit cup, coffee & tea. Carryout available. Benefits the youth of the Community. Ongoing Free platform tennis clinics, Saturdays at noon, Manklin Meadows tennis complex. Bring sneakers, the rest is provided. Annual memberships start at $150. “Ask a Master Gardener” clinic, Ocean Pines Library, 11107 Cathell Road, Ocean Pines, May to September, every Tuesday afternoon, 1-4 p.m. Sponsored by the University of Maryland Cooperative Extension Service. Free. Genealogy Group walk-in discussion, Tuesdays, Sept. 15, Oct. 20, Nov. 17, Dec. 5, 10:30 a.m.-noon, Ocean Pines Library. Everyone welcome, from beginning researchers to experienced genealogists. Pinesteppers Square Dance Club, Wednesdays, 7-9 p.m., Ocean Pines Community Center with caller Dennis O’Neal; a dance the fourth Saturday of the month from 7-9:30 p.m., Ocean Pines Community Center. Arlene Hager, 302-436-4033. Pine Tappers free adult tap dance classes, Tuesdays, 2-3:30 p.m., Ocean Pines Community Center. Exercise and have fun with choreographed tap dancing routines. Every week or drop-in as convenient. Lori at 410-251-2162 or tntandcompany@gmail.com. Ocean Pines Ping Pong Club, Ocean Pines Community Center, Monday noon to 2 p.m, Wednesday and Friday noon to 3 p.m. All levels of players welcome. Neil Gottesman, 732773-1516.

48 Ocean Pines PROGRESS

September - Early October 2015

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OPINION

September - Early October 2015Ocean Pines PROGRESS

Will Dave and Tom be the new Marty and Sharyn?

nyone attending the reorganization meeting of the Board of Directors back on Aug. 17 expecting the dawning of a new age of cooperation and civility must have come away sorely disappointed. Of course, by now, those who are deluded enough to think that board cooperation and civility is possible on a sustained basis, or even is the kind of environment that necessarily produces the best policy outcomes for Ocean Pines, are rare creatures indeed. Based on what was on display at the Aug. 17 meeting, the year ahead promises to be like most others in the annals of the Ocean Pines Association. There will be areas of unanimity and occasions of collegiality, but just as frequently there will be displays of exasperation and disagreement that speak to fundamental differences on policy and process. If we’re fortunate, the clash of ideas and perspectives will produce acceptable compromises. And, yes, it will get personal from time to time; that is more or less guaranteed. Outgoing president Dave Stevens and newly elected treasurer Tom Terry, in his last year of a six-year sentence, provided just a taste of what’s to come in a clash over a pre-organizational meeting of five directors that never actually happened. Stevens, in his closing minutes as OPA president, held forth at length on the illegality of the attempted meeting, to the growing and apparent frustration of Terry, who thought debating a meeting that didn’t happen was all a colossal waste of time. “I’m tired of this,” he said at one point. Of course, the pre-organizational meeting easily could have happened because the OPA’s general counsel, Joe Moore, produced a dubious legal opinion that said a meeting of five of seven directors was legally permissible because, in his initially mistaken view, two of the five candidates invited to the meeting to decide OPA officers for the coming year weren’t “official” directors. That, he apparently believed for several days at least, would only happen at the reorganizational meeting of the board Aug. 17. As newly elected director Cheryl Jacobs put it, that made her and Tom Herrick, the other new director, a kind of quasi-director in the interim, not exactly a director but not a non-director either. To be sure, a confusing, shadowy existence on the margins which no one signed up for. Moore’s initial opinion, delivered off the cuff and without the benefit of an iota of legal research and analysis, during a phone call from Terry, had a short shelf life. In the teeth of a determined argument by Stevens during the meeting, Moore composed an opinion a day later in which he deftly reconciled an apparent contradiction between state corporate law and the OPA bylaws on precisely when a successful board candidate who wins an election becomes a director. Clearly, Moore had checked some fine print in a corporate law book

– and Stevens thinks this is inevitable – effectively try to run the association one-step removed from the presidency. Stevens will no doubt respond whenAn excursion through the curious cul-de-sacs An excursion through theby-ways curious and by-ways and cul-de-sacs ever this target-rich environment yields of Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. up some prey. Terry won’t sit passively By TOM STAUSS/ By TOM Publisher STAUSS/Publisher by, either, if the Aug. 17 meeting is any indication. To Stevens’ way of thinking, Terry and reacquainted himself with the OPA Board watchers addicted to the nonsimply didn’t care that what he was do- stop entertainment provided by forbylaws. He also consulted a higher auing contravened OPA bylaws while lead- mer director Marty Clarke and Sharyn thority, former bylaws and resolutions ing Renaud astray. committee chair Jim Trummel. Moore O’Hare, who retired from the board this All of this sets the stage for some summer rather than seek another threenow believes a successful candidate for bruising battles between Terry and Ste- year sentence, may soon discover that the board becomes a director on the day, vens in the year ahead. Stevens is not Stevens and Terry will put on a show in almost every case the annual meetgoing to sit passively by should Terry worthy of their predecessors. ing of the association in early August, when election results are announced and ratified. The pre-organizational meeting didn’t happen because Herrick in particular didn’t think it was proper to convene a meeting of directors in which SHRIMP CRABMEAT two of the carry-over directors were exCRAB MEAT SHRIMP SOFT CRABS STEAMED CRABS STEAMED CRABS SOFT CRABS cluded. To him, according to a missive BEER & WINE SCALLOPS by him sent to oceanpinesforum.com, it SCALLOPS BEER & WINE seemed to be a continuation of the facLocals tional infighting that he ran against as OUR Where CRABS ARE UNCOMPARABLE Buy Their Crabs! a board candidate. Indeed it was, and Herrick deserves commendation for Our Crabs Are actually acting in accord with his camHand Graded paign rhetoric. Always FAT! It’s the kind of meeting that’s hapNever LIGHT! pened before in Ocean Pines and probCathell Road - Ocean Pines Please Call for Hours 410-641-5164 1/2 mile past Adkins Company ably will again, since future directors will no doubt be drawn from the same class of sinners that have produced 5 LB. BOXES previous boards. The lesson from this year’s debacle is that if such a meeting Jumbo 16/20 $55 • XLarge 21/15 $50 • Large 26/30 $45 is desired, it’s always best to make sure Medium Large 33/35 $40 • Medium 36/40 $35 all the invitees are already predisposed to vote the way the meeting organizers would prefer. Exercising poor judgment on the guest list – indulging in too much wishful thinking, perhaps – will lead to Jumbo $45 Doz • Prime $35 Doz. a leak and kerfuffle and then the whole mess will blow up in the would-be pupCRABMEAT FOR SOUP peteer’s face. Claw $12 lb. • Lump $15 lb. Happened this year, didn’t it? The failed effort to convene a “secret” 95 meeting simply gave Stevens an issue in which he could bludgeon his primary antagonist on the board, Terry, and to a lesser extent his successor as OPA president, Pat Renaud. This the former president did with relish and abandon, no Bud/Bud Lite Bottles ~ 6pk $435 • Case $1697 doubt a precursor of future attractions. Heineken & Pilsner Urguell ~ 6pk $697 • Case $2650 In subsequent remarks to the Progress, which were most definitely not deGreat Wines ~ Gato Negro ~ Chile/Argenlina livered off the record, Stevens was even more harshly critical of Terry’s role in Six Varieties Available 1.5 Ltr $699 Each attempting to convene what the world COUPON now knows (even if there’s not much evidence that it cares) would have been a MD CRABMEAT secret, illegal meeting. According to Stevens, Terry was simGULF SHRIMP ply using a phone call to Moore – and Moore’s uncanny ability to deliver a leDRY SEA SCALLOPS gal opinion he senses his client wants Expires 9/27/15 to hear – as legal cover for doing what Per Pound with this coupon Terry wanted to do and was going to do if he had found willing participants. CASH OR CHECK ONLY! ~ SUPPLIES LIMITED Stevens is of the opinion that Terry, as a five-year veteran of the board, was perCathell Road - Ocean Pines fectly aware of when a director becomes Please Call for Hours 410-641-5164 1/2 miles past Adkins Co. a director.

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50 Ocean Pines PROGRESS

OPINION

September - Early October 2015

LETTERS Golf critics: Get over it

I would like to respond to Joseph Mazurek and Michael Graves [Letters, August-September edition] regarding golf. My husband and I retired to Ocean Pines 15 years ago. We chose Ocean Pines because of the proximity to Baltimore where our children and grandchildren resided and because of the Ocean Pines golf course amenity. We are happy that there are many other amenities here for the enjoyment of the diverse population that lives and visits here, even though we don’t take advantage of them. I personally resent the people who complain about the golf course. They were very aware it was here when they purchased their property. Get over it. Dorothy Smith Ocean Pines

Deceptive reporting on golf? Your report [Golf ahead of Budget, August-September edition] that “Ocean Pines golf course operation … doesn’t require any or much of an annual subsidy by property owners who don’t play golf” is far from true. I have lived in Ocean Pines for 30 years and have watched special subsidy accounts being set up to disguise golf expenses that were not charged to golf operations or golf main-

tenance for most of those years. The golf course drainage effort has consumed more than $5 million from special accounts. The fancy driving range was concocted from a drainage account not related to the golf accounts. $643,000 is shown for golf course drainage [in a previous year] taken from the Replacement Reserve account to which golf supplies nothing. Golf course maintenance about ten years ago included a bulkhead maintenance line item. This paid for maintenance of the golf course’s 4,500 feet of bulkheading and was part of the golf course maintenance account. That bulkhead maintenance money is now paid for by the general budget and has been subtracted from the golf course maintenance account. A number of golf support items have been drawn from the general accounts. For example, the new netting for the driving range will consume $10,000 from other accounts. In years past a refreshment cart was driven around the course to provide drinks for the golfers at a cost of $6,000 per year; it was charged to the Beach Club account. New or replacement golf course capital equipment is charged to the general fund, not the golf course accounts. For example, 50 new or replacement golf carts costs the general account up to $500,000, none of which is reflected in golf course accounts. Mowing vehicles, trucks and other capital items are also not reflected in the golf accounts.

The golf course represents the elephant in the Ocean Pines yearly budgets. Year after year one to two million dollars have been taken from other accounts to make golf course costs appear lower than they actually are. It is time for each of the amenities to be cost accounted as if they were a commercial operation separate from any subsidies. Every dime spent to support the golf course including new and replacement capital equipment and all reserve accounts should be accounted for under a golf course account and not hidden in general funding accounts. Your publication and others have an obligation to report true costs to your readers. Reporting half truths and deceptive information as presented by the Ocean Pines Association reflects badly on you and should be changed. I challenge you to make a study of golf course costs for the past 20 years that were not shown as golf course operations or maintenance costs and publish your results. I believe that most of Ocean Pines residents will be outraged when they see the excessive costs that we all have funded to support a few golfers for so long. James Billingsley Ocean Pines The Progress responds: The quote attributed in the story headlined “Golf ahead of budget” was contained in a lead paragraph that read as follows:

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It’s way too early to tell … but there are early indications that the arrival of the new management company [Landscapes Unlimited] could lead to an elusive goal: an Ocean Pines golf course operation that doesn’t require any or much of an annual subsidy by property owners who don’t play golf.” That “snapshot” statement on the first two months of the fiscal year under Landscapes Unlimited pertained to how well the management company was performing relative to its operating budget for the first two months of the fiscal year. It was carefully hedged: It’s way too early to tell how the rest of the year will shake out. In fact, the July operating results for golf weren’t very good: a $13,000 operating loss, and the first quarter results relative to budget have some people concerned about what lies ahead. So much for that more optimistic “spin” in the August-Early September edition. Historically, OPA financial documents do not report capital costs as part of operating budgets or monthly financial reports; nor do annual audited financial statements. Capital costs related to golf are included separately on a page in the monthly financial reports; the April financial statement includes a tally for the fiscal year that ends April 30 of every year. An article elsewhere in this edition tallies all of the costs that can be attributed to golf last year requiring a subsidy: last year’s audited operating loss, the annual funded depreciation (somewhere close to $450,000), and capital expenses. It’s a sizable number. – 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. Letters and other editorial submissions: Please submit via email only. Letters should be original and exclusive to the Progress. Include phone number for verification. 127 Nottingham Lane Ocean Pines, MD 21811

PUBLISHER/EDITOR Tom Stauss tstauss1@mchsi.com 433-359-7527

Advertising Sales Frank Bottone 410-430-3660

ART DIRECTOR Rota Knott

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

PROOFREADER Joanne Williams

September - Early October 2015Ocean Pines PROGRESS

Ocean Pines PROGRESS September - Early October 2015

32 Ocean Pines PROGRESS

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