September 2019 Ocean Pines Progress by Ocean Pines Progress

Advocacy groups Advocacy groups join forces to reverse join forces to reverse petition decision petition decision

September 2019 2019 September

If Ocean Pines Association If Ocean Pines attorney Association directors thought Jerdirectors thought attorney Jeremy Tucker’s legal justification emy justification for Tucker’s rejecting legal a petition on a for rejecting a petition on a proposal to reduce the board’s proposal reduce thewould board’s spendingtoauthority be spending authority would be the final word on the matter, the wordfrom on the the final message twomatter, Ocean the message from two Pines advocacy groups Ocean is: Not Pines advocacy groups is: Not so fast. so fast. Tucker’s legal opinion seems legalthe opinion seems toTucker’s have had unintended to have had the unintended consequences of forging a new consequences of forging a new political alliance. It brought political alliance. It brought to life former Director Marty to life former Marty Clarke’s STOPDirector organization in Clarke’s STOP organization in support of former Director Slosupport of formerSTART Director Slobodan Trendic’s organibodan Trendic’s START organization. ~Page 5 zation. ~Page 5

Directors reject Directors reject Tuttle proposal Tuttle proposal on referendum on referendum

On the heels of a memOn the heelsdrive of atomember-led petition slash ber-led petition drive to spendslash the Board of Directors the of Directors ing Board authority, DirectorspendSteve ing authority, Director Steve Tuttle posed an alternative Tuttle posed have an alternative that would maintained that would have maintained the percentage basis for that the percentage basis forit that calculation but reduced from calculation but reduced it from 20 to 12 percent. Saying the 20 to 12ispercent. Saying change unnecessary andthe the change unnecessary the andpetithe reasonsissurrounding reasons surrounding tion drive go deeper the thanpetidoltion drive go deeper than dollars, his fellow directors rejectlars, hisproposal fellow directors ed the in a 6-1 rejectvote. ed the proposal in a ~ 6-1Page vote.11

Saying creation of a New Sayingreserve creation of may a New Capital fund reCapital reserve fund may result in a pool of money that sult in be a subject pool of to money that would the whims would be subject to the whims of future boards, his fellow ofdirector future boards, his colleagues gave Larry Perrone’s gave Larry Perrone’s proposal proposal a lukewarm recepation lukewarm reception during an Aug. 31during Board an 31 Board of Directors of Aug. Directors meeting. But it’s meeting. But a it’s by no means by no means dead issue. a dead issue. ~ Page 17 ~ Page 17

443-359-7527

THE OCEAN OCEAN PINES PINES JOURNAL JOURNAL OF OF NEWS NEWS && COMMENTARY COMMENTARY THE

COVER STORY STORY COVER

OPA, Comcast formally agree to contract for Internet, cable television services OPA to receive no-charge video outlets, free Wi-Fi at key locations By TOM STAUSS Publisher

he Ocean Pines Association negotiated some valuable free services from Comcast as part of a tenyear agreement under which the cable television, Internet and telephone service provider acquires a license to build a broadband, fiber optic system throughout Ocean Pines. The OPA’s Board of Directors approved the contract unanimously in a Sept. 9 special meeting, with both parties expected to sign the documents with no further tweaks from lawyers. It’s a non-exclusive agreement, meaning the OPA is free to negotiate similar arrange-

ments with other providers. The agreement sets the table for the first competitive cable television/Internet environment in the history of Ocean Pines. Mediacom, the long-time cable television provider in Ocean Pines that also provides Internet and telephone services to its product offerings, will no longer have a monopoly once Comcast builds out its Ocean Pines system, an investment that is expected to cost tens of millions of dollars. Indeed, Comcast might have a technological advantage, since it presumably will be installing state-of-theart fiber optic cable and new headend and hubs using To Page 31

OPA releases copy of Mediacom contract

~ Page 11

Perrone withdraws Perrone withdraws motion for creating motion for creating New Capital reserve New Capital reserve

www.issuu.com/oceanpinesprogress www.issuu.com/oceanpinesprogress

olding back a right-of-way contract with Mediacom for release pending finalization of a similar agreement with Mediacom’s new Ocean Pines competitor, Comcast, the Ocean Pines Association made a copy available to the Progress on Sept. 11, the day after the Comcast contract was approved by the OPA Board of Directors. The release of the signed Mediacom contract was authorized by OPA President Doug Parks. The two contracts are similar but differ in two areas. In both cases, the companies are obligated to pay the OPA 1.6 percent of gross revenues, payable in quarterly installments. Mediacom’s contract is for five years, with a five-year extension negotiable at the beginning of the fourth year of the contract. Monthly extensions are possible. The Comcast term is for ten years, with a five-year extension also negotiable at the beginning of the fourth year of the contract. Monthly extensions are also possible. Comcast has offered to supply free basic tier television service to up 25 outlets in Ocean Pines buildings, as well as free wireless Internet, or Wi-Fi, at locations to be determined but which presumably will be at all OPA amenities. To Page 32 Mediacom’s contract does not offer these free services to the OPA. To Page 31

BERLIN i.g. i.g.Burton Burton BERLIN www.igburton.com10419 10419Old OldOcean OceanCity CityBlvd, Blvd,Berlin, Berlin,MD MD410.641.0444 410.641.0444 www.igburton.com

THENEW NEWJEEP JEEP THE GLADIATOR GLADIATOR HERE! ISISHERE!

2 Ocean Pines PROGRESS

September 2019

410-213-0119

12547 Ocean Gateway (next to Popeyeâ&#x20AC;&#x2122;s) 8 am - 6 pm Monday through Friday 9 am - 5 pm Saturday and Sunday

URGENT CARE NO APPOINTMENTS - Just Walk In!

WHERE THE LOCALS GO

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

Cynthia Randolph, PA-C

OCEAN PINES

September 2019 Ocean Pines PROGRESS

Your Lifestyle. Lifestyle. Your Your Vision. Vision. Your

Perfectly Crafted. Crafted. Perfectly

Articulating someone’s vision is a true art. Knowing someone’s vision is a true art. Knowing ““Articulating you’ve created it with them in a home is one of my you’ve created it with them in a home is one of my

““

greatest satisfactions. greatest satisfactions. – Mike Poole – Mike Poole

MARYLAND BUILDING MARYLAND INDUSTRY BUILDING ASSOCIATION INDUSTRY ASSOCIATION

School supplies donation

The Republican Women of Worcester County donated more than $200 worth of school supplies to Worcester County Gold for distribution to students in county’s schools for the 2019-2020 school year. RWWC Literacy Committee members Liz Mumford, left, and Marge Matturro, right, met with Sandy Sipes, executive director for Worcester GOLD.

Fall FuN

Hand Dancing & Line Dancing

Community Center

Learn dance steps to some of your favorite music!

LINE DANCING

HAND DANCING

Tuesdays Sep 24-Nov 19 5:30-7:00pm

Tuesdays Sep 24-Oct 29 7:15-8:30pm

$60 OP Residents $75 Non-Residents

$55 OP Residents $65 Non-Residents

Pumpkin Painting

Community Center

Bring your own pumpkin, or purchase one from us. All paint & decorations provided!

Friday, Oct 11 6:00-8:00pm $5 OP Residents $6 Non-Residents $6 Pumpkins (limited quantity)

Call 410.641.7052 to register!

Haunted Walking Trail

White Horse Park Boat Ramp

410-352-9980 410-352-9980 POOLECONTRACTING.COM POOLECONTRACTING.COM

MHIC#104077 | MHBR No. 6927 | Licensed and Insured

CONCEPTUAL PLANNING | DESIGN CONCEPTUAL | DESIGN CUSTOM HOME PLANNING BUILDS | RENOVATION CUSTOM HOME BUILDS | RENOVATION

MHIC#104077 | MHBR No. 6927 | Licensed and Insured

in Ocean Pines, Maryland!

"Beauty and the Beast" Dive-In Movie

Aqua Boot Camp

Come swim with us while a movie plays on our giant inflatable screen!

Features weight & resistance training plus cardio.

Saturday, Oct 12 Doors Open 6:00pm Movie Begins by 6:15pm

Mon/Wed/Fri Oct 28-Dec 6 6:00-6:45pm

Sports Core Pool

$3 OP Swim Members $5 OP Residents $7 Non-Residents $20 Families 4+

Are you brave enough?

PLUS.... Meet Belle from the movie!

NEW! Creative Doodling Community Center

$45 OP Swim Members $55 OP Residents $70 Non-Residents Drop-Ins Available

Bring out the creativity you didn't know you had! Supplies provided.

Bring a canned good donation for Diakonia & receive $1 off your admission (limit 1 canned good per person).

Ages 13-Seniors

Oct 18 & 19 Oct 25 & 26 6:00-9:00pm

Thursdays Oct 24, Oct 31, Nov 7 & Nov 14 10:00am-11:30am

$8 Ages 12 & Under $10 Ages 13+

Call 410.641.7052 to see how your organization can participate!

$40 OP Residents $45 Non-Residents

Call 410-641-5255 to register.

Call 410.641.7052 to register!

Visit us online! OceanPines.org

4 Ocean Pines PROGRESS

September 2019

September 2019 Ocean Pines PROGRESS

Two advocacy groups join forces to fight board’s apparent rejection of spending authority petition Hire Ocean City law firm to battle Tucker’s reading of by-laws By TOM STAUSS Publisher f Ocean Pines Association directors thought attorney Jeremy Tucker’s legal justification for rejecting a petition on a proposal to reduce the board’s spending authority would be the final word on the matter, the message from two Ocean Pines advocacy groups is: Not so fast. Tucker’s legal opinion seems to have had the unintended consequences of forging a new political alliance. It brought to life former Director Marty Clarke’s STOP organization in support of former Director Slobodan Trendic’s START organization. It was START that launched two petitions challenging board spending authority. One petition, which would have given property owners the right to decide whether to spend up to $1.6 million on a new golf clubhouse, failed to garner a sufficient number of valid signatures. The other one, asking property owners to decide whether to reduce board capital spending to $1 million without a referendum, exceeded the number of signatures needed. But it apparently has been rejected by the board in a press release issued on behalf of Ocean Pines, citing Tucker’s legal opinion. That rejection is apparent, because the board did not meet in public to discuss the petition nor vote to formally reject it. “Based on a legal opinion by Ocean Pines’ attorney, it has been determined that neither petition meets the necessary requirements. One petition did not meet the signature requirements, and both failed to comply with petition guidelines spelled out in Ocean Pines Bylaws,” the press release said. According to Clarke, Tucker’s legal opinion rejecting the START spending authority petition is not only an incorrect reading of the by-laws with respect to petitions. Clarke said he also believes Tucker knows it’s incorrect. “This really is about the board president (Doug Parks) wanting to

retain the power to spend,” Clarke said. Trendic told the Progress that he believes part of the board’s motivation to impede a referendum is personal animus towards him as a former director who often clashed with Parks when both served on the board together. Clarke, the founder of STOP, is a veteran of many past political battles in Ocean Pines. He recalls a successful petition effort to reject a proposed Community Center that a majority of property owners thought was too expensive. A later effort was aimed at a board proposal to build a new marina at the Swim and Racquet Club. Both issues involved petitions that boards initially rejected. In the case of the community center petition, the board in the end opted for a much less expensive version of a Community Center. In the case of the marina, it foundered when state permitting authorities declined to issues permits for it unless and until the OPA conducted a

referendum consistent with its bylaws, Clarke said. Both cases involved the hiring of an Ocean City law firm that threatened legal action as a remedy if certain actions weren’t taken by to reverse course. In this instance, Clarke said history is repeating itself and he doesn’t like that at all. In fact, he’s so incensed by the board’s refusal to conduct a referendum on the spending authority petition that he and Trendic on behalf of their respective organizations hired the same Ocean City law firm involved in the earlier petition battles, Ayres, Gordy and Jenkins, to represent them. Clarke said that their attorney found Tucker’s legal analysis to be deeply flawed and a violation of the OPA’s by-laws with respect to petitions and referendums. “He even said he could seek punitive damages because there’s been a pattern of boards resisting the language of by-laws requiring referendums with a sufficient number of

valid signatures,” Clarke said. The attorney was authorized to draft a letter to the OPA board demanding that it proceed with a public hearing on the referendum issue and then follow through with an actual community-wide vote. Trendic said that the OPA has already violated the by-laws because Colette Horn, the OPA secretary, did not issue an opinion on the validity of the petitions within ten days of their submission. “She apparently thinks that the press release issued on behalf of Ocean Pines complies with the bylaws,” he said. “I’m not sure why she thinks that. The by-laws clearly specify action by the secretary within the ten-day window, and that didn’t happen.” Failing to conduct a public hearing on the petition within the 60 days called for in the by-laws would constitute another violation, Trendic said. Trendic also said he believes the board, in failing to discuss the issue in public before issuing its statement via press release, violated the open meetings provision of the Maryland Homeowner Association Act. He said that By-laws and Resolutions Committee chairman Jim Trummel, who was careful to say he was representing his views as a property owner and not the committee, took issue with the way the is-

Traditional & Cremation Services Available for Pre-Need Arrangements

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

410-641-2111

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

OCEAN PINES

6 Ocean Pines PROGRESS

OCEAN PINES

September 2019

Tucker’s opinion lowers number of valid petitions needed to force a referendum

Petitions

of the total votes that can be cast. “According to the Association’s attorney, “This petition also fails to request action by the Board of Directors. Instead, it is drafted to authorize the Board of Directors to construct the clubhouse. Because this petition failed to contain the necessary signatures, did not request action requiring a referendum and did not request action by the Board of Directors, the petition does not meet the requirements of Section 4.08 of the Bylaws.” “A second petition, related to Board expenditures, failed on similar grounds. “According to the Association’s attorney, “The Board Expenditure Petition does not seek an amendment to the Bylaws … Rather, this petition seeks a vote on whether the members wish to move forward with a subsequent referendum on an amendment to the Bylaws.” “The question presented in this petition does not qualify as an action appropriate for submission to the members on a referendum as required by Section 4.08 of the Bylaws, even though it met the signature requirements,” the attorney said. “The full attorney opinion is available for review. Copies may be obtained by written request or in person at the Administration Building beginning Aug. 22. “The Board has no further comment at this time,” the statement concluded.

From Page 5 sue has been handled thus far. [See separate article in this edition of the Progress for details of Trumme’s recent comments.] The OPA statement issued in the form of a press release reads as follows: “Ocean Pines has released the following statement regarding the petitions submitted by a homeowner: “Based on a legal opinion by Ocean Pines’ attorney, it has been determined that neither petition meets the necessary requirements. One petition did not meet the signature requirements, and both failed to comply with petition guidelines spelled out in Ocean Pines Bylaws. “According to the Association’s attorney, “A petition is valid if it seeks action requiring a referendum under the Bylaws or requests action by the Board of Directors and meets the necessary signature requirements for the type of petition.” “Additionally, Section 4.08(b) of Ocean Pines Bylaws states, “If action appropriate for submission to the members on a referendum is initiated by a valid petition, the petition must contain a specific question, proposal, or action suitable for an affirmative or negative response on a ballot.” “After careful review of the signatures, it was determined the Golf Clubhouse petition was signed by 743 eligible voters, or 9.69 percent

with “eligible” voting members.” Upon review of the “entire ByLaws and past practice, the latter is the best interpretation,” he said. Tucker cited the issue of member eligibility to vote that arose during the 2018 director candidacy verification process. In confirming that Brett Hill was ineligible to run for election to the Board of Directors, because he had not paid his annual assessment by the nomination cutoff date, “we relied on first sentence of Section 3.01(c) of the By-Laws, which provides for the voting rights of members,” he said. That sentence reads: “Payment of the annual charge levied by the Board of Directors is a prerequisite to the right to vote. No member may vote if, thirty-five (35) days prior to the voting deadline, the member has failed to pay the annual charge, including any assessed interest levied by the Association.” Based on that language, Tuck-

ber of votes” that can be cast in any OPA election is actually less than 8,452. It’s 8,452 less the number of properties that are not in good standing, that is, their owners haven’t paid their annual lot assessments. “To determine whether the petitions meet the signature requirements, we need to address what is the best interpretation of ‘the maximum number of votes that can be cast’,” Tucker said in his legal opinion. “It is unclear from a plain reading of Section 4.08(c) of the By-Laws whether “the maximum number of votes that can be cast” is based on the total number of possible votes, i.e., total votes of in the Association, or the total number votes associated

ol in Sch o C k o o o

eneral Counsel Jeremy Tucker’s recent opinion on petitions and referendum reached one conclusion that ran counter to one common understanding on the number of signatures needed to force a referendum. Under Section 4.08 of the by-laws, a petition requires signatures of a least ten percent of the “maximum number of votes that can be cast” in an OPA election. Since there are currently 8,452 properties in Ocean Pines eligible to vote, the common understanding is that a petition drive would need 845 signatures to force an issue to referendum. Not so, said Tucker in his legal opinion. Tucker said that “maximum num-

er reasoned that if a member has not paid the annual charge (assessment), the member has not satisfied the prerequisite to have the right to vote. “Following this language, if a member does not have the right to vote, the member cannot be counted towards the total number of votes that can be cast. This interpretation is consistent with how the Board of Directors established director candidacy eligibility under Resolution M-09,” Tucker said. Using the interpretation that the total number of votes that can be cast is the total number of eligible votes, then, according number provided by the OPA membership department, the total number of votes that can be cast as of Monday, August 12, 2019 – the date the petition was officially submitted - was just 7,688. Of the two petitions, only the board expenditure petition contained valid signatures of 10% of the total votes that can be cast, with 808 signatures (10.5%). The clubhouse petition contained valid 43 signatures (9.69%), short of the ten percent needed to force a referendum.

Berlin

Salisbury

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

(Next to the Greek Pita Place Restaurant)

410-546-1369 M & F 9-7 • T-W-TH 9-5:30 • Sat 9-3

% STUDENTS 20 2nd PairOFF FRAME ofEVERY Lesser or Equal Value IN STOCK

50% OFF

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

restrictions may apply • 10/31/19 SomeSome Restrictions Apply Expiresexp. 8-31-09

ptical 16-B South Main St., Berlin, MD

(1 block south of Atlantic Hotel)

410-641-2020

Mon., Tues., Thurs. & Fri. 9 a.m. to 4:30 p.m.

% Out Check OFF COMPLETE SECOND Our Colorful Wall PAIR OF GLASSES of New Frames of equal or lesser value with same Rx.

Some Restrictions Apply

Expires 8-31-09

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

OCEAN PINES

Tucker invalidates spending authority petition

eneral Counsel Jeremy Tucker has interpreted the Ocean Pines by-laws in a way that invalidated a petition submitted to the Board of Directors that, if approved in a referendum, would have reduced board spending authority to $1 million. The petition asked that OPA members vote on the following question: “Should OPA By-Laws Section 5.13.(d)(l) be amended to read ‘If the total estimated cost, capitalized in accordance with generally accepted accounting principles, of any single capital expenditure exceeds One Million Dollars ($1,000,000.00), the proposed single capital expenditure SHALL require approval of the members by a referendum?’” Tucker said that if this petition is requesting an amendment to the By-Laws, it would be governed by Section 11.02 of the By-Laws (Approval of Amendments), and would fall within an action requiring a referendum. “But, by using the word ‘should’ in the petition question, the petition is asking for members to give their opinion on the amendment issue, and does not ask specifically whether they vote to approve the amendment to the By-Laws as proposed,” he said, adding “this interpretation is further confirmed by the stated purpose” of the petition. That purpose, he said, is “to request a referendum be held for Ocean Pines members to decide if they wish to request a change to the OPA By-Laws so that members’ approval by a referendum shall be required for any single capital expenditure that exceeds $1 million.” As the petition seeks no referendum to amend the by-laws and does not request action by the Board, it does not meet the requirement for an action appropriate for submission to the members on a referendum, as required by Section 4.08 of the By-Laws, Tucker concluded.

September 2019 Ocean Pines PROGRESS

Trummel warns board that it needs to follow rules on submitted petitions By ROTA L. KNOTT Contributing Writer im Trummel, veteran chair and member of the By-laws and Resolutions Advisory Committee and resident authority on the Ocean Pines Association’s governing documents, chastised the Board of Directors for failing to properly act on member submitted petitions. Trummel spoke up during the public comments segment of an Aug. 31 meeting and said the board needs to follow the rules for considering the contents of two petitions that were submitted last month and seeking referendums on board spending authority and construction of a new clubhouse. Trummel said the bylaws state the board “shall consider petitions” submitted by the membership at a meeting to be held within 60 days of the petition being filed. “There’s no evidence of any such meeting. There’s no evidence of an open meeting. There’s no evidence of a closed meeting,” he said. And, if there is an informal action of unanimous con-

sent among the directors, there’s no evidence of that either, he added. He cited a statement issued by the association in conjunction with the release of the OPA legal counsel’s opinion on the petitions that indicated the board rejected petitions. “The attorney himself recognized the need for the board to make a decision,” Trummel said. In his memorandum attorney Jeremy Tucker says the board of directors needs to decide whether it wishes to allow either petition to move forward or confirm that it does not meet requirements of the bylaws. “The decisions of the board are made at meetings,” Trummel said, and added “The board by its failure to have a meeting has denied the rights of the membership to hear and see the board process of making this decision.” He said the board failed to allow members to make public comments on the business of the board and the board owes the membership an explanation as to To Page 9

12 Leigh Drive • $719,000

Your dream home awaits! Custom-built contemporary design 4 bedroom 3 1/2 bath home with added bonus areas like a den /office on 2nd level and a bright and sunny Florida Room. Gracious tile entry foyer leads to living room with cathedral ceiling and wonderful views of the water. Large kitchen with new stainless steel appliances and center island with bar seating plus an eat-in area. Large master suite on 1st floor with whirlpool tub and shower. 3 additional bedrooms on 2nd level - 1 with access to large upper deck with panoramic views. Separate laundry room, of course. Rear deck with room for table and bar for outdoor enjoyment. Outside shower. Large boat dock with out pilings plus a jet ski lift and quick access to the Bay and Ocean. Large read deck with room for large table and step up for a bar area, too. Awning can be put up for shadier enjoyment. MLS #MDWO105714

NEW PRI CE

43 Capetown Road • $210,000 Price Chan ge

Cute as a button and ready for you to enjoy the good life here in Ocean Pines. Custom-built contemporary with an open floor plan for living, dining and kitchen areas with a cathedral ceiling. Delightful side screened porch. Recently painted. Hardwood floors throughout. New Heat Pump installed in December. Located close to Somerset Park. Pellet Stove in fireplace in living room. Paved driveway. 12 x 8 detached shed. MLS #MDWO101936

8 Ocean Pines PROGRESS

September 2019

1-888-859-6493

ANY HOME! Heat Pump, Gas or Oil HVAC System!

Offers end October 31, 2019

As low as

mo.

No payments until January 2020!

CALL 1-888-859-6493 BEFORE OCTOBER 31ST!

GO DUCTLESS!

SALE!

$4,797 FULLY INSTALLED! WHEN YOU BUY BEFORE OCTOBER 31st GET 5 ADDITIONAL YEARS ON YOUR WARRANTY

PERSONALIZED TEMPURATURES IN EVERY ROOM!

Heats & Cools Efficiently! FINANCING AVAILABLE!

Service Finance Company Disclosures. With pay deferred interest promotion, the promotion requires monthly payment of principle and Finance Charges (interest). If you pay the entire amount financed on or before the end of the Promotional Period, then you will not have to pay any Finance Charge and any Finance Charge paid by you through that date will be refunded to you. However if you do not pay the entire Amount Financed on or before the end of the Promotional Period, then you will be responsible for paying the Finance Charge. Also, if during the promotional Period you fail to make a scheduled payment by the 30th day from the date it is due (meaning you make one or more payments late) the Promotional Period Offer will terminate and you will be responsible for paying the Finance Charge, which will accrue as set forth in the Retail Installment Contract. You may also pre pay your account at any time without penalty. Financing is subject to credit requirements and satisfactory completion of Finance Documents. Any Finance terms advertised are estimates only. Normal late charge apply. Offer for residential Heat Pump, Gas or Oil Hot Air Systems up to 5 ton and 120,000 BTU Furnace only. If you have a boiler, call our boiler experts and they will guide you through a replacement. Offer ends October 31, 2019. Deferred January payments reflect purchases made after October 1, 2019. Offer expires 10/31/2019. $4,797 offer based on Ductless 1 to 1 unit up to 12,000 BTU capacity, with adequate existing electric service.

Heating Service

Heating Tune Up

When you schedule before

October 31st

Call 1-888-859-6493 NEVER BE WITHOUT HEAT GUARANTEED!

Get Help 24 hours a day! It’s just a click away!

www.ServiceToday.HELP Special pricing cannot be used with any other discount, promotion or coupon. Filter provided with this promotion is limited to standard 1” residential replacement filter. Excludes oil systems.

OCEAN PINES

September 2019 Ocean Pines PROGRESS

Crafter of the month

Rates are Low Call Us Today

The Pine’eer Craft Club’s Crafter of the Month for September is Jacki Kollar, a resident of Ocean Pines since 2005. She has served on the Executive Board for 12 years and held many different positions. Currently she creates the displays in the club’s Artisan and Gift shop in White Horse Park, co-chairs the Winter Wonderland Artisan and Craft Festival, and contributes to the club’s Facebook page. She enjoys sewing items such as purses, pillows, coasters, and eyeglass cases and she embellishes wine glasses and creates wine gift baskets.

Trummel warns From Page 7 why those rights have been denied. Trummel also commented on a proposal by Director Larry Perrone to create a new capital reserve fund to cover the cost of capital projects of $500,000 or less without having an impact on the annual property assessment. Perrone made a motion during the same meeting to create the new capital reserve fund, but Trummel said he can’t do that. He said creation of a reserve fund must be done by virtue of a resolution apapproved by the board.

proved by the board. “If you go forward with the fund, a resolution is required,” Trummel said. However, he encouraged the board to review existing board resolution F-03 regarding reserve funds and to “resist creating a separate resolution.” Trummel said his committee several years ago adopted a policy of consolidating the OPA resolutions into as small of number as possible. He encouraged the board to maintain that policy by using the resolutions in place to accomplish its goals related to new capital funding.

Life insurance from a real-life person. Derrick Elzey, Agent 10514 Racetrack Road Suite E Berlin, MD 21811 Bus: 410-208-1329 derrick@myberlinagent.com

Get life insurance that comes with someone local (me). I’m here to help you protect your family’s financial future. LET’S TALK TODAY.

Your Local Real Estate Lender since 1953 • Conventional Fixed Rate Mortgages

Debbie Tingle Ocean Pines Branch Manager 11029 Racetrack Road

410-208-1668

• Adjustable Rate Programs • Construction Loans • Lot Loans • Home Equity Loans • Manufactured Home Loans (in park or on private land)

Patti Feeheley Berlin Branch Manager 310 Franklin Avenue

410-641-0350

• Commercial Loans

www.firstshorefederal.com PROUD TO SERVE DELMARVA WITH 8 CONVENIENT LOCATIONS State Farm Life Insurance Company (Not licensed in MA, NY or WI) State Farm Life and Accident Assurance Company (Licensed in NY and WI) Bloomington, IL 1708148

Downtown Salisbury Berlin Millsboro Ocean Pines Ocean View Pocomoke City Salisbury Snow Hill

NMLS # 431561

10 Ocean Pines PROGRESS

September 2019

September 2019 Ocean Pines PROGRESS 11

OCEAN PINES

Board rejects Tuttle motion for spending authority referendum

cision on expenditure level in the hands of association members as req requested in that petition.

Directors say they support the concept, but in the end all oppose letting property owners decide By ROTA L. KNOTT Contributing Writer n the heels of a member-led petition drive to slash the Board of Directors spending authority, Director Steve Tuttle posed an alternative that would have maintained the percentage basis for that calculation but reduced it from 20 to 12 percent. Saying the change is unnecessary and the reasons surrounding the petition drive go deeper than dollars, his fellow directors rejected the proposal in a 6-1 vote, with Tuttle the lone supporter, during an Aug. 31 meeting. Tuttle’s motion called for the board to present a referendum to the Ocean Pines Association membership “to have a yes or no vote on whether to change the by-laws such that the allowable single capital expenditure would be reduced from 20 percent of the current income from annual charges to 12 percent of the income from annual charges.” As background, he said there has been considerable discussion among association members about expenditures, particularly the amount of money that can be spent on a single capital project with the approval of a Board majority. Further, he noted that a petition was received by the OPA secretary on Aug. 12 requesting that the Board conduct a referendum on the issue of expenditure limits. Still, other directors said the members’ concerns involve more than the dollar amount the Board

can spend without holding a referendum – it’s a matter of trust. “I think what we’re concerned about is a fear of runaway spending by any board,” Director and OPA Secretary Collette Horn said. She said members are concerned about how the Board raises and spends money on projects. “I don’t know that changing the spending threshold is going to solve that problem. We could waste half a million dollars with this plan in place, and nobody wants us to waste a half a million dollars,” she said, adding the dollar figure isn’t really the issue. Horn said she appreciates the concept but would not support Tuttle’s motion because she said she doesn’t believe it solves the real problem. Director Larry Perrone agreed and said he thinks 20 percent is reasonable. “It’s not the number; it’s the process. I think what went on with this clubhouse and what has gone on with the other buildings that we’re in the process of doing, the process has been open. The community has been involved. The board and works groups have done everything to find solutions at an economic benefit for the association,” Perrone said. Director Tom Janasek said the board just needs to let members know what’s going on. “I don’t think the spend of 20 percent is too high for projects that we might have come up, even though we really have no big projects coming up. I think it’s a trust issue, plain and simple. I think

159 Windjammer Rd. • $259,900 Custom Built 3 Bed, 2 Bath, 1 Level Residence With 1,511 Sq. Feet. Vinyl Siding, Storm Door, 1.5 Car Garage, Insulated Windows, Screened Porch, Cathedral Ceiling, 4 Ceiling Fans, Skylights, Gas Fireplace, Walk-In Closet, Window Treatments, All Appliances, Attractive Setting, Priced To Sell!

that boards in the past have spent extravagantly and others haven’t been informed,” he said. While the petition received last month was signed by 808 residents who could be verified as eligible to vote in an election or on a referendum, the language contained in the petition didn’t meet the requirements for a call to action by the Board, according to the OPA’s legal counsel. This represents slightly more than 10 percent of the membership. “The interest in the level of expenditure in my opinion is higher than what is reflected by the number of signatories to the petition,” Tuttle said. He argued that a referendum offered by the Board will put the de-

Get up to date! Vaccinate! Protect yourself and your loved ones. No prescrip�on necessary for adults for CDC recommended vaccines.

Do you know if your immune system is current on vaccines? Vaccines are safe and effective; by getting vaccinated we eliminate potential serious illness or even death. Stop diseases before they spread.

Your Immuniza�on Headquarters. Shingrix • Hepa��s • Tetanus/TdaP Meningi�s • Chicken Pox • MMR Flu • Pneumonia • Travel Vaccines

John Talbott, 410-603-7373

Berkshire Hathaway PenFed Realty

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

410-208-3500 • 1-866-666-1727 (Toll Free) ©2019 BHH Aﬃliates, LLC. An independently owned and operated franchisee of BHH Aﬃliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc.® Equal Housing Opportunity.

“The purpose of this motion is to give association members the opportunity to vote on whether the single capital expenditure level that can be approved by a Board majority should remain at 20 percent or be reduced to 12 percent. The effect is that the level of expenditure would be set by association members and give direction to this and future Boards on single capital expenditures.” Horn said the board needs a strategic plan that addresses capital expenditures, not a cap on spending. Putting in place the practice of strategic planning for new capital and replacement items will help put the reins on any unfettered spending that members have been concerned about in the past, she said. The other thing the debate about the new Ocean Pines golf clubhouse and resulting petition drive brought To Page 13

Route 13 South & Cedar Lane FRUITLAND 410-749-8401

314 Franklin Ave. Berlin Prof. Center BERLIN 410-641-3130

1210 Nanticoke Rd. Pecan Square SALISBURY 410-543-8401

September 2019

OCEAN PINES

12 Ocean Pines PROGRESS

OCEAN PINES

September 2019 Ocean Pines PROGRESS

Spending authority From Page 11 to light is the importance of the board doing its homework before making a final decision on how to solve a problem, Horn said. “I think that’s the commitment that we as a board need to make to the community. That we are going to do that strategic planning. We are going to do our homework,” she said, adding that once the board has all of the necessary information it can “present it to the membership in a way that makes it easy for them to see that the plans that we have in place are rational and responsible.” Perrone noted the OPA’s attorney found the petition for a referendum on the board’s spending authority didn’t comply with the petition language requirements in the bylaws. He said that group could always resubmit a petition that does meet the requirements. “Then I would be happy to do the referendum. But I am not in favor of doing a referendum, spending the additional money that we would have to spend on this referendum,” he said of that proposed by Tuttle. Director Tom Janasek agreed that the OPA’s attorney gave his opinion that the petition was not valid, and said “I’m gonna take him at his word.” Therefore, he said he would not support Tuttle’s motion, which would drag out the approvals process for projects that fall above the proposed new cap of 12 percent. Director Frank Daly, who participated in the meeting via conference call, was also hesitant to support the proposal. “I’m not sure that we have a problem,” he said. Tuttle, however, responded that a significant number of Ocean Pines

residents have expressed a desire to see a referendum on the issue of the board’s spending authority related to the capital expenditures that would require a referendum. He said the petition presented had 808 signatures and that is enough to warrant consideration despite the legal opinion. He said the only requirement for a petition is that the wording be legible and understandable. The reduction of the capital expenditure threshold when based on a percentage of the annual charges considers inflation and increases in assessments, Tuttle said of his motion. And, he said, it has another benefit. “If this board of directors or any board is bidding a project that would require expenditure above the threshold it would have to carefully plan the project, demonstrate the need and the importance of the expenditure and present a referendum to the community.” He said that approach demands a strategic plan in conjunction with the reserve study. OPA President Doug Parks said he agreed with the concept of Tuttle’s motion and sending a message to the members that the board didn’t just dismiss the petition on spending authority and recognizes there are deeper issues to address. Changing the spending authority percentage will not have the impact Tuttle or those who signed the petition hope, he said. “The fact that now, instead of being about to spend $1.7 million, we’re only allowed to spend $1 million does not make us automatically fiduciarily responsible ... We can waste $500,000 in a very unprofessional manner. So a number is a

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

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

410.213.1170 OCEAN VIEW, DE.

302.539.2273

Beach Club Parking, outdoor pools start transition to fall Yacht Club pool remains open through Sept. 22

everal of Ocean Pines’ amenities have either closed for the season or are transitioning to fall hours. The Ocean Pines Beach Club and Beach Club Pool closed for the season as of Tuesday, Sept. 3. The Beach Club Parking lot will remain open but will be unstaffed for the rest of the year. The indoor bathrooms will not be available, although Ocean Pines will supply portable toilets through the end of the September. “The bathrooms will not be open because of the lack of staff, as well as the swipe system not working,” Operations Director Colby Phillips said. “However, we have already taken preparations to have porta pots brought there, as we have done each fall in the past.” Beach Club Parking members are encouraged to display permits when using the lot. The Mumford’s Landing and Swim and Racquet Club outdoor pools are closed for the season. Mumford’s Landing hosted the annual Doggie Swim on Saturday, Sept. 7. The Yacht Club Pool will remain open on Saturdays and Sundays from 10 a.m. to 6 p.m., through Sept. 22. Pool members may use the pool starting at 9:45 a.m. “I’d like to thank everybody for another great season in Ocean Pines,” Phillips said. The indoor Sport Core Pool, on 11144 Cathell Road in Ocean Pines, is open year-round, 10 a.m. to 8 p.m. Monday through Saturday, and 10 a.m. to 5 p.m. on Sundays. “All of our indoor pool exercise classes start next week at the Sports Core,” Phillips said. “We have some new classes starting and a lot of returning classes getting ready to start the week of Sept. 9.”

number is a number.” Director Camilla Rogers shared the concerns about board accountability. “When there is a use of your money that seems to be very large, having your input into how that money is spent is important. It really is very, very important,” she said of member’s desire to know what action the board is taking on major expenditures.

“I’m not sure that setting the cap on this referendum is exactly where I want to go right now. But I think that we also need to ensure that we have the avenues available when there is an expenditure that’s going to be in excess of $1 million,” Rogers said. But, she acknowledged that at this point she is not sure what those avenues for increase awareness might be.

14 Ocean Pines PROGRESS

OCEAN PINES

September 2019

cean Pines’ drainage problem “isn’t something we are able to fix, but we are working really hard to try and improve it,” Operations Director Colby Phillips said during an Aug. 31 Board of Directors meeting. Phillips presented a plan of action to help reduce flooding in the community. The plan includes $175,000 in budgeted ditch maintenance during the current fiscal year, as well as repairing or replacing four large drainage pipes. Ocean Pines repaired a pipe on Mumford’s Landing Road and replaced a pipe on Boston Drive earlier this year, with the Borderlinks area and Watertown Road also on the list to get new, larger pipes to help improve the outflow of water. The estimated cost to repair and replace the pipes is about $443,000, which includes smaller neighborhood pipe replacements, and engineering and permitting. Repairing, rather than replacing the Mumford’s Landing pipe saved the Association $250,000, Phillips said. During the last two months, Ocean Pines workers and independent contractors have cleared large drainage ditches along White Horse Park and Somerset Park, as well as near 113 Burr Hill Road, 44 Pinehurst Road, 44 Canal Road and 22 Moby Dick Drive. Work on five more large ditches is slated to start this month. Phillips said an annual plan of action would include more pipe repairs and replacements, creation and implementation of a ditch maintenance list, and a public education campaign. “We’re going to continue to educate the public on pieces that … we’re going to be working on, [and] what things you can do to help,” she said. Also outlined were several phases of work designed to help improve drainage in areas most prone to flooding. Phase one, scheduled to start next fiscal year, includes replacing four pipes along Pinehurst Road, four pipes on Sandyhook Road, two pipes along Beacon Hill Road, and replacing inlet and outlet pipes at Bainbridge Pond. Other phase-one improvements include building a weir structure (or dam) at the outfall of the pond and enlarging the berm at the Beacon Hill side to help control water levels during larger rain events. “In looking back through all the studies that have been done [during

Phillips calls drainage a problem that can’t be fixed But she says the OPA is working hard to improve conditions in areas prone to ﬂooding the last two decades] … Section 3 … has been deemed the worst in Ocean Pines” in terms of flooding, Phillips said. “That doesn’t mean that we’re not going to address other areas,” she continued, specifically naming drainage pipes on Clipper Court and Seafarer Lane. “This is just the first section that we need to start in, based on all the studies [and]

based on what we’ve evaluated, and this will actually really help a lot of homes in that area. “Drainage is something that is really important to us as a team,” Phillips said. “I know it’s important to the Board. We’ve met with county officials We’re really trying to get a jump-start on anything that we can do to improve the situation in Ocean Pines, because we do recognize it as

Operations Director Colby Phillips

a problem. And, again, we can’t fix it, but we’re going to do what we can to improve it.” Phillips also presented a road paving plan and bulkhead plan during her presentation.

410-208-0707

Open 6 am Every Day Serving Breakfast & Lunch

OPEN SEVEN DAYS A WEEK

SPRING HOURS! 6 am -2 pm Daily 6 a.m. to 2 p.m. daily

11304 Manklin Creek Road, South Gate Ocean Pines (Manklin Creek & Ocean Parkway) BREAKFAST SANDWICHES Served on Bagel, Roll or Bread (White, Wheat or Rye) Egg & Cheese ..................................… $4.55 Meat*, Egg & Cheese …..................... $5.75 *Your choice of Bacon, Sausage, Ham, Taylor Ham or Turkey Sausage

PLATTERS & OMELETS Eggs Any Way with Meat ....................$5.45 Cheese Omelet .................................. $5.00 Veggies Omelet …........................ $5.50 Western Omelet …............................. $6.00

BAGEL SANDWICHES Served on Bagel, Roll or Bread Bagel with Butter …............................ $2.15 Bagel with Cream Cheese ….............. $3.05 Cinnamon Crunch Bagel ....................... $1.85 With Butter ...........................$2.65 With Cream Cheese ...............$3.45 Bagel with Nova Spread ............…... $6.30 Bagel with Smoked Sliced Salmon … $10.25

LUNCH OPTIONS Homemade Soup Small $3.25 • Large $5.49 Chicken Pot pie ............................… $5.49 Pizza bagel ~ Plain $4.75 - Pepperoni $5.25 Bagel Dog ............................................. $4.25 Fruit Cup ............................................... $2.50

LUNCH SANDWICHES Served on Bagel, Roll or Bread Includes a Side of Macaroni Salad Ham …………............................….……. $8.95

Taylor Ham ……...........................…….. $8.95 Turkey ………...................................….. $9.45 Roast Beef …..................................…… $9.45 Cappicola …….................................….. $8.95 Genoa Salami …................................… $8.95 Italian Combo …...........................……. $9.45 (Roast Beef, Cappicola, Salami and Provolone) Roast Beef & Turkey ……................….. $7.45 Liverwurst …...............................……… $7.55 Bologna ................................................. $7.55 Egg Salad ….............................………… $7.55 Tuna Salad ………..........................……. $9.25 Whitefish Salad …..................…………. $9.25 PB&J ……………….........................……. $4.50 Grilled Cheese ……........................……. $6.55 Add to any sandwich Cheese 85 cents • Meat $1.65

FRESH PASTRIES Lemon/Pecan Bar …….....................…… $2.35 Linzer Tart .............. Small $1.50 - Large $2.50 Muffin …….........................……………. $2.95 Brownie ….................................……….. $2.35 Crumb Cake ............................................$2.95 Turnover ………..........................……… $2.95 Croissant Pastry/Danish ……….............. $2.95 Cinnamon Bun ..........................………. $2.95 Cheesecake ........ Small $2.00 Large $3.50 Éclair ……….....................................….. $3.50 Black and White Cookie ~ Small $1.50 / Large $2.50 Sugar Cookie ........... Small $1.50 Large $2.00 Cookies ~ Chocolate Chip, Oatmeal, Sugar, M&M ...................................................... $1.15

Big PB Cup/Chocolate Chip ........... $2.50 Irish Soda Bread .. Slice $2.00 Loaf $6.50 Banana Bread ................................ $2.50

BAGELS AND BREADS Plain • Cinnamon Raisin • Sesame Onion • French Toast • Garlic Honey Wheat • Asiago • Everything • Everything Wheat • Rye Marble • Egg • Pumpernickel Sundried Tomato 1 Flagel (weekends only) .............. $1.35 1 Bagel ………...........................…. $1.35 Half Dozen Bagels …..........……… $8.00 Dozen Bagels …............….......… $14.50 Cinnamon Crunch Bagel ….....….. $1.85 With Cream Cheese $3.45 With Butter $2.65 N.Y. Kaiser Roll ……............….. 65 cents Portuguese Roll ……........…….. 65 cents Knot Roll ................................... 65 cents

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

All prices subject to change

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

OCEAN PINES

OCEAN PINES BRIEFS Parks promises responses to member public comments

ssociation President Doug Parks said the Ocean Pines Board would take a different approach to public comments during future Board meetings. Parks, during the Aug. 31 regular Board meeting, said directors would now be more responsive. He said he was initially a “big stickler” that public comments were just that – comments – but now recognizes the need for more interaction. “This year I am going to be a little more flexible,” he said. “If there is an opportunity to answer a question without getting into a 15-minute debate … then certainly we will do that. “We’ll be a little bit more open to answering any type of questions that may come up, as long as it doesn’t end up in a long discussion [and turn] a two-hour meeting into a four-hour meeting,” Parks continued. “We’ll try to get some information out to the public when they ask us questions.” Parks, during his opening remarks, also took the opportunity to welcome new Board members Tom Janasek, Larry Perrone and Camilla Rogers. “[I’m] looking forward to working together as a team,” he said. “We’ve had great opportunities to look at a lot of the good things going on in the

business of running Ocean Pines ... [and] I’m looking forward to a successful and productive year.”

Phillips, Aquatics committee discuss increase in user fees

Operations Director Colby Phillips has confirmed that she and the Aquatics Advisory Committee have recently discussed the possibility of raising user fees at Ocean Pines swimming pools. The possible increase, she said, would not be targeted at those who live or own property in Ocean Pines. The intent is to bring greater “fairness” to residents and property owners by increasing rates paid by those who neither live nor own property in Ocean Pines. The discussion at a recent committee meeting was conceptual, she said, with no specific fees mentioned. She said higher fees non-resident fees on holiday weekends are also possible. She said committee members seemed favorably inclined to support a non-resident fee increase. Any fee increase at the pools affecting non-resident users of the pool would initially be proposed in the general manager’s draft budget for 202021, to be unveiled this coming January. q

hile happy to see some progress toward addressing drainage problems that plague sections of the community, one property owner said the Ocean Pines Association needs to look beyond its borders. “I’m pleased to see the work that’s being done,” Richard Clagett of Sandyhook Road said during the Public Comments segment of an Aug. 31 Board of Directors meeting. However, he said he has some concerns about a staff presentation to during that Board of Directors meeting. He said that staff plan calls for “opening up the pipes going through the community, but we’re not opening up the pipes going out of the community.” Clagett, an engineer, said he has for 15 years watched how water flows in Ocean Pines. Unless the OPA can find a way to improve drainage out of the community, Clagett said the problems will persist. “The problem is that if you increase the flow through the community what happens if you can’t get it out of the community? So I believe your plan is going to help with moderate rains but flooding rains I’m afraid what you’re going to do is flood the Pinehurst and Sandyhook area further,” he said.

County aims to regulate short-term Airbnb-type rentals Commissioner consider requiring additional parking, license, and fee for homeowners renting out rooms By ROTA L. KNOTT Contributing Writer roperty owners who want to rent out a room in their home via a shortterm lease, including through services like Airbnb or Vrbo, may soon need to get a permit and provide off-street parking for their guests. The Worcester County Commissioners on Aug. 20 held public hearings on several bills related to rental lodgings, with one piece of legislation specifically aimed at controlling the proliferation of short-term leases. While they gave the go-ahead to three of four bills that compose the rental licensing package, the commissioners voted 6-1, with Commissioner Chip Bertino making the motion, to direct staff to address specific concerns about the bill that were raised during the public hearing. Among those issues are the definition of short-term rentals as 28 days or less and the number of permitted occupants per lease. Commissioner Jim Bunting was adamant during a July discussion of the proposed bills that more parking is needed for any home being used as a short-term rental property. Currently, county code only requires two off-street parking spaces per residential lot regardless of the number of bedrooms. “If you’re going to have Lord knows how many people there, you should have. I shouldn’t have people parking down the street in front of my house.” Commissioner Bud Church agreed and cited an instance in Cape Isle of Wight of a home being rented out to more than a dozen people on a regular basis and with numerous cars parked along the street. Commissioner Chip Bertino, however, said imposing additional restrictions on a residential property may prevent the owner from being able to rent rooms. “I don’t want to be inconvenienced as a homeowner but at the

Property owner points to drainage issues outside OP

September 2019 Ocean Pines PROGRESS

OCEAN PINES

September 2019

Short-term rentals From Page 15 same time there are challenges with this…” he said of the proposal. Commissioner President Diana Purnell pointed out that additional requirements for parking could prevent groups of family members or friends, such as reunions, from coming to Worcester County and renting a house. And, she said, it would be restricting what she called a household business. “That’s a hard restriction.” Ed Tudor, county director of development review and permitting, presented draft legislation for the commissioners‘ consideration at a work session and then brought back an amended version requiring an additional off-street parking space for all short-term rentals at a regular July meeting. One of the bills amends the zoning and subdivision control article, while the other three address taxation and revenue. Tudor agreed that the requirement for additional parking “cuts both ways.” Someone with no ability to add another spot would not be able to offer short-term rentals at their home. “I don’t have a problem with that. They shouldn’t be renting it. If they can provide a place to park without affecting the neighbor on each side of them, they shouldn’t be doing it,” Bunting responded. Commissioner Ted Elder suggested simply including language in the legislations stating that the owner must provide additional off-street parking for any short-term rental use of a residential property. Commissioner Joe Mitrecic noted that addressing any parking problems will be complaint driven under the proposed short-term rental licensing requirements. If there is a problem on a specific property and neighbors complain to the county, then Tudor’s department can address the issue. If the commissioners approve the legislation, Tudor said parking requirements are easy to adjust via resolution later. In fact, he said the entire bill will likely be a work in progress because the concept of regulating short-term rentals is so new. While the legislation will allow short-term rentals of 28 days or less in all residential districts, the owner will only be allowed to have a single contract for any overnight period regardless of the potential occupancy. That could be a single person, couple, or an entire family, and they

could rent multiple rooms. However, it could not be two unrelated parties renting two separate rooms. Tudor said that requirement is necessary to prevent homes from essentially becoming motels in a residential district. “We’re aiming at the operator here. So the operator doesn’t have more than one contract at a time.” Additionally, the owner would be limited to renting out a maximum of two sleeping rooms, regardless of the number of rooms in the house, and the number of people per room to two, excluding children under age 12. The owners would also be prohibited from renting out their homes for “commercial” events like weddings. Tudor was adamant that the county needs to require anyone operating short-term rentals from a residential property to obtain a license. He said it is necessary for the county to be able to regulate those rentals and address complaints. “If you’re going to regulate anything with rentals,” he said, “You’ve got to have a license for every rental. Period.” He said the license will set the basic parameters for the rental property and give the county the right to inspect the property if a complaint is filed. Annual, can apply at any time, value for one year However, Tudor said the fee could vary depending on the type and scope of the rental property and would be set by resolution rather than in law. The bill just gives the commissioners the authority to establish fees. “But in my opinion if you don’t require a rental license for every rental property, you’ll never get this issue solved.” Bertino asked what value the property owner receives for their license. “What are they getting out of paying this additional tax?” he asked. “What’s the value they get?” Tudor responded, “They are getting the privilege of operating that facility and getting that rental income. I believe at the same time we have to look out for the other people in these subdivisions. It’s not just the person who’s doing the renting but it’s the neighbors and so forth.” To do that and make the requirements enforceable, the county needs to establish a licensing system. “Does the license have to be paid?” Bertino asked. Tudor said the commissioners could choose whatever fee structure they want.

OCEAN PINES BRIEFS From Page 15 It would be a Board of Directors decision whether to approve, modify or reject any proposed increase.

Outside contractor work on a new Pine’eer Craft Club building in White Horse Park should start in September, he said.

Ocean Pines named one of state’s safest communities

The Ocean Pines Election Committee’s annual report, made official on Sept. 13, shows a significant reduction in voter error over the last three years. According to the report, the total number of mismarked ballots was 129 in 2017. This year, that number dropped to just seven. Committee Chairman Steve Habeger credited former chairman Steve Tuttle with redesigning the ballots in 2017, to make the instructions clearer. Tuttle is currently the Association vice president. “That made the biggest improvement,” Habeger said. The number of ballots received after the deadline have also declined over a two-year period, from 72 in 2017 to 46 this year. “All these indicators are moving in a positive direction, Habeger said. “We’re going in the right direction … I think this is a pat on the back [for] the committee.” According to the report, Ocean Pines mailed 7,957 ballots during the election this year. Including late and rejected ballots, 3,126 were returned, or a rate of 39.3 percent.

Ocean Pines once again has been named one of the safest cities in Maryland, according to Background Checks.org. According to the online site, “Although it’s overall violent and property crime rates are marred by the high crime in Baltimore, by far Maryland’s largest city, the Old Line State is home to many very safe communities. In fact, six Maryland cities scored a 0.6 or higher on our Safety Index, which rates the safety of U.S. cities on a variety of factors, including crime rates and the concentration of law enforcement.” Ocean Pines ranked as the fourth-safest city in Maryland, trailing only Easton, Havre de Grace and Bel Air. “Ocean Pines is the final Maryland city to score above a 0.3 on the Safety Index (it scored a 0.33), which it did by managing very impressive crime rates compared to the state, at large: a violent crime rate below 2 per 1,000 and a property crime below 7 per 1,000,” the site said. Background Checks.org uses the most-recent FBI crime statistics to create rankings for 2,929 cities in the United States with populations of 10,000 or higher.

Viola emphasizes benefits of cross-trained employees

Board approves advisory committee appointments

Voter error reduction reported by committee

No, he was not announcing that OPA employees have been training for triathlons. But General Manager John Viola, in remarks delivered at the Aug. 31 board meeting, said that OPA staff is working to diversify its “bench strength,” meaning employees will be more capable or working across departments. “I believe that with a crosstrained team we’ll be more efficient, [and] that will definitely help as far as our budget and expenses going forward,” he said. “It’s also very good to cross train our employees to make them more valuable, whether it’s with Ocean Pines or wherever else [they go] in their career.” Other ongoing projects include supplying guest Wi-Fi at the Yacht Club and releasing a request for proposals for an auditing firm, Viola said.

At the Aug. 31 meeting of the Board of Directors, appointments to standing advisory committees were unanimously approved. Appoinments included Dick Keiling, chair, Budget & Finance; Jim Trummel, second term, By-Laws & Resolutions; and Robert Hillegass, second term, By-Laws & Resolutions. Also named were Keith Kaiser, first term, By-Laws & Resolutions; Bernie McGorry, first term, Strategic Planning; Les Purcell, first term, Golf; David Allen, first term, Marine Activities; Karen Matheson, first term, Environment & Natural Assets; Steven Cohen, first term, Recreation & Parks; Steve Habeger, second term, Elections; Mark Heintz, second term, Elections; and Tom Piatti, first term, Budget & Finance. q

16 Ocean Pines PROGRESS

OCEAN PINES OCEAN PINES BRIEFS

September 2019 Ocean Pines PROGRESS

Perrone withdraws motion to create new capital reserve, but the concept is alive and well

From Page 16

New board meets for traditional orientation

Director proposes allocating up to ten percent of replacement reserve collections By ROTA L. KNOTT Contributing Writer aying creation of a New Capital reserve fund may result in a pool of money that would be subject to the whims of future boards, his colleagues gave Larry Perrone’s proposal a lukewarm reception during an Aug. 31 Board of Directors meeting. Perrone offered a motion to direct the general manager to establish a new capital reserve fund to be funded as of fiscal year 2020-2021. He withdrew the motion following discussion with board members, but the idea is by no means dead. Perrone agreed to have his proposal vetted by the By-laws and Resolutions Advisory Committee before it is brought to the board for

reconsideration. One reason cited for the withdrawal is that the general manager does not have the operational authority to create a new capital reserve. It needs to be made through a board resolution, preferably through amending an existing resolution, By-laws and Resolutions committee chairman Jim Trummel told the board. Perrone said the current method for funding new capital projects requires the board to budget projects through the operational budget. The effect of new capital costs is directly added to the annual assessment each year. “Controlling the increase in the annual assessment has and can continue to cause this and future boards to attempt to control the assessment increases by not making necessary new capital purchases,” he said. New capital is defined as assets with functionality never previously provided by OPA. It also includes increases in design capacity of existing assets. Perrone said funding for this New Capital reserve would be generated by diverting up to 10 percent of revenues that would otherwise be

allocated annually to replacement reserves. Replacement reserve funding is a calculation based on the full funding of depreciation of OPA assets. As the OPA replaces old assets with new, much more costly assets, annual replacement reserve funding more or less automatically increases with the value of depreciable assets. Perrone’s proposal set a funding limit of $1 million for a New Capital reserve. His motion specified that a maximum of $500,000 could be spent in any one fiscal year from this reserve and that funds in this account would not be used for any other expenditures unless approved by a unanimous vote of the board. “A reserve account dedicated to new capital expenditures will allow for better financial planning and control without directly impacting the association’s yearly assessment. It will also eliminate the tendency to forgo necessary new capital projects because of the direct impact on the annual assessment,” Perrone said. After Trummel, a recognized authority on the OPA’s governing documents, spoke up during public comments and said the proposal q

Three new Board members, and two returning ones, took part in an orientation meeting Aug. 26 at the Ocean Pines Beach Club. Joining Association President Doug Parks and Vice President Steve Tuttle were newly elected Board members Tom Janasek, Camilla Rogers and Larry Perrone. Perrone also serves as the Association Treasurer. The roughly four-hour session included an overview of governing documents presented by attorney Jeremy Tucker, and an explanation of Association financials by General Manager John Viola, Finance Director Steve Phillips and Perrone. “I thought it was a productive session with the new directors,” Viola said. “Along with the presentations on governing documents and OPA financials, all of our department heads were present and each said a few words, so it was a chance for the new Board members to get an idea of what everyone does.”

Fall Is In The Air. Don’t Forget to Maintain Your Driveway

OCEAN PINES

September 2019

From Page 17 needs to be vetted by his committee, Director Collette Horn said she was hesitant to move forward with the motion. Horn said she is supportive of the concept but the board needs to more fully explore the process for creating such a fund and how it would function within the OPA’s existing governance structure. “I do think we need to look at the way this gets into the way we do this,” she said. Horn was also concerned about the figures included in Perrone’s motion and said she the proposed $1 million cap on the new capital reserve fund is too high. She also said the expenditure cap of annual $500,000 is excessive based on previous spending habits of the association. Director Steve Tuttle also said the Board should hold off on discussing the proposal until it is more thoroughly vetted. “I do support the idea of a new capital fund. I think it is important, and I think we need to have it. But I think you have to go through the proper channels to get

it,” he said. OPA President Doug Parks said he agrees in concept but wants verification that the OPA would not be in violation of any laws or accounting procedures by taking money from a reserve fund and moving it into another fund. Parks suggested possibly calling the new pot of money a capital expense fund rather than a reserve fund. Actually, it’s not clear in Perrone’s proposal whether funds intended for the New Capital reserve would actually be “parked” in the Major Maintenance and Replacement reserve initially prior to a transfer. An annual OPA budget could simply allocate revenues heretofore entirely earmarked to the replacement reserve to both reserves, with no interfund transfer needed. Parks expressed concern about the process for implementation and ensuring compliance with by-laws and resolutions. “I understand the intent but I think we absolutely have to go back through and look at the process…” he said. He also cited a need for the OPA to have a plan for use of new capital

funds. “Part of me says we’re just creating a fund to do stuff but we don’t know what we want to do with it,” he said, adding there should be a list of items for which the funding is designated. “What’s the target? What’s the future planning that’s been done over the next one to five years to look at things that may come up for replacement that may not be covered by reserves or is an addition demanded by the membership?” Parks said he would be more comfortable with the proposal if there was defined list of upcoming capital expenditures on which the money would be used. “If we had those kinds of things targeted, I’d feel a lot better about the concept of building this capital expense fund,” he said. Perrone responded that “the real intent of this motion is not to create some fund of plenty to look for projects. The reality of it is we’re spending somewhere between $125,000 to $150,000 a year on new capital. The idea is to have the sum of money put aside so that the board will not have the tendency not to approve new funding requests that are either

required or are for the good of the community for the quality of life for the community, which is the way it’s been handled in the past.” Perrone added that the proposed caps for use of the fund are low enough that it does not establish an amount of money necessary to fund a major project. “The numbers just aren’t there,” he said. Director Tom Janasek said he is concerned about creating a new pot of money. “Personally I don’t think I would support it the way it’s set up,” he said. Still, he was OK with having the Bylaws and Resolutions Committee review and comment on the proposal. “I wouldn’t say that our board is going to use it for something extravagantly stupid but who knows that the future boards won’t want to do that. To me it’s just another fund that is going to grow and grow,” Janasek said. “I not comfortable setting up a new capital fund for future projects that we don’t know what they are just to have the money sitting there.” Director Camilla Rogers said she q

18 Ocean Pines PROGRESS Capital reserve

OCEAN PINES

September 2019 Ocean Pines PROGRESS

Construction of replacement golf clubhouse expected to begin this month, Viola says By TOM STAUSS Publisher ith a petition effort to force a referendum on whether to build a replacement golf clubhouse apparently failing to garner a sufficient number of valid signatures, there would appear to no obstacle to prevent the Ocean Pines Association and its contractor from starting the next phase of the project. At the Aug. 31 monthly meeting of the Board of Directors, General

Manager John Viola said clubhouse construction could begin later this month, with the golf cart barn and police department expansion projects following in October. Local builder/developer Marvin Steen, who has been informally advising the OPA and the builder on the

project, recently said that the next phase of the golf clubhouse project would involve poring a new foundation over the existing one, left on site after demolition of the old Country Club in May of this year. He then said that the building contractor, Whayland Construction, of Delmar, De., would begin framing out the new building, possibly as early as Oct. 1. Steen said the building could be “under roof” sometime in October, weather permitting. Steen said that once the building is under roof, inclement weather is unlikely to impede rapid progress

on completing the build-out of the building’s interior. “It’s really not a complicated floor plan,” Steen said. He noted that relatively new kitchen equipment and bathroom fixtures from the old County Club, along with heating and air conditioning equipment, will be taken out of storage and moved to the new building for reinstallation. “This represents a sizable savings to the OPA,” Steen said. “It also means that the roughly $500,000 spent on the renovation of the first To Page 22

LET US TEAR DOWN YOUR OLD HOME

Capital reserve From Page 18 was originally intending to vote in favor of the motion but based on the comments made by Trummel and her board colleagues. she would like to gather more information. “I was ready to vote in the affirmative today but I appreciate all of the comments that have been made here,” she said. Perrone said over the last five years the OPA spent an average of $117,000 on new capital projects. However, he said, those numbers do not address the projects that were brought forward by department heads to the general manager and not funded, as a way of controlling the assessment level, in annual OPA budgets. While he agreed with having the Bylaws and Resolution committee weigh in on his proposal, Perrone said that from a “financial standpoint this association is over 50 years old. This is something that should have been done long before now.” He told his colleagues that “there should be a method to fund our new capital without have to directly impact our profit loss statement on the general manager’s budget.” Parks said Perrone’s motion spurred a good discussion among board members. “I think we’ve got a lot of work to do. I am not in support of the motion today. I’m in support of the concept and I think we have to do some homework to go back, really get things right, put it in line with our bylaws and have a target for spending for the next one to two to three years.”

AND LET US BUILD YOUR NEW HOME

steenhomes.com Like us on

20 Ocean Pines PROGRESS

September 2019

2019 CHEVY SILVERADO

UP TO

$15,000 OFF BERLIN i.g. Burton www.igburton.com 10419 Old Ocean City Blvd, Berlin, MD 410.641.0444 Stock 19-1854. Includes $2,000 trade-in bonus allowance. Must trade a 2012 or newer vehicle with less than 99,000 miles, in running condition, and with a clean CarFax history report. Trade-in bonus allowance offer to consumersÂ is notÂ a dealer discount and will ultimately be included within the consumers final total trade allowance. Some exclusions may apply. See dealer for details. Ends 9/30/19.

September 2019 Ocean Pines PROGRESS

We do EVERYTHING glass! SHOWER DOORS, PATIO DOORS, HOME WINDOWS, MIRRORS, COMMERCIAL GLASS, WINDSHIELDS & MORE!

Proud to become the Glass Company on Delmarva!

800.746.4527 Go-Glass.com

OCEAN PINES SALISBURY EASTON DOVER LEWES ACCOMAC

22 Ocean Pines PROGRESS Clubhouse From Page 19

OCEAN PINES

September 2019

floor of the Country Club several years ago won’t all go to waste.” Steen assisted the builder in obtaining the building permits needed to begin construction. The permitting process in Worcester County is an arduous one, requiring sign-offs from various departments before crews can get to work. The 7,200 square foot golf clubhouse, which also includes sufficient space for community meetings unrelated to golf, is budgeted not to exceed $1.6 million in cost. Steen has said that he believes it’s possible that the final cost will come in less than $1.6 million, maybe by a substantial amount. OPA officials tend to be more cautious. Steen said that the raised wraparound deck on two sides of the new building, designed to serve patrons of the Tern Grille, will offer a great view of the ponds that make the ninth and 18th greens especially picturesque. The apparent rejection by the board of the petition drive that was

designed to force a referendum on the golf clubhouse was conveyed by a written opinion by General Counsel Jeremy Tucker in late August. Tucker also addressed a companion petition that would reduce board spending authority to $1 million, from the current 20 percent of the annual revenue from assessments. There was no public discussion or a vote by the board rejecting the petition. OPA Secretary Colette Horn did not issue an opinion on the matter within a ten-day window called for in the OPA bylaws, apparently believing that Tucker’s opinion was sufficient to comply with the bylaws. According to Tucker, the clubhouse petition was signed by 743 eligible OPA members, or 9.69 percent of the total votes that could be cast in a referendum. Slobodan Trendic, the former OPA director who launched the petition effort several months ago, had submitted petitions representing 810 OPA members at the annual meeting of property owners in early August.

Although Tucker didn’t say so explicitly, the fact that the OPA only certified 743 signatures means that more than 60 names were disqualified, apparently because they had not paid their lot assessments at the time Trendic submitted the petition. Tucker also asserted that the clubhouse petition was invalid because it failed “to request action by the Board of Directors. Instead, it is drafted to authorize the Board of Directors to construct the clubhouse. Because this petition failed to contain the necessary signatures, did not request action requiring a referendum and did not request action by the Board of Directors, the petition does not meet the requirements of Section 4.08 of the Bylaws.” Trendic has not publicly questioned the accuracy of the review that invalidated a sufficient number of signatures to drop the clubhouse petition to less than the ten percent of eligible property owners needed to force a referendum. But in a formal statement he said he disagreed with Tucker’s opinion that his petition failed to present a

$10 Off Your Next Purchase of $50 Or More Expires 10/14/19

question that could be answered in a referendum of property owners. The issue will probably be raised by the attorney that Trendic’s advocacy group, START, has hired to represent it. Trendic also was critical of the board for what he termed a violation of the OPA by-laws in the way the directors and OPA Secretary Colette Horn handled the two petitions he submitted at the annual meeting. Horn had ten days to issue a formal statement {on both petitions] and she didn’t do it,” he said, adding that the board has 60 days under the bylaws to conduct a public hearing on the petition and also to vote whether to accept or reject it. “They can still technically comply with the by-laws if they host a public hearing and vote on it,” he said. But he suggesting that what he regards as Horn’s failure to comply with the ten-day window to issue a formal response can’t be remedied because the deadline has been missed. Horn’s defense seems to be that Tucker’s detailed opinion constitutes her and the OPA’s official response to both petitions.

OCEAN PINES

September 2019 Ocean Pines PROGRESS

Former bulkhead contractor leaves its asset at staging area for OPA to deal with By TOM STAUSS Publisher he removal of a barge used by marine contractor Hi-Tide Marine over the first half of September in a two-step process could be said to symbolize a fall from grace of a contractor that had a lock on Ocean Pines’ bulkhead repair and replacement work during the one-year tenure of former Acting General Manager Brett Hill. Hill is two years out from serving in an acting capacity as the Ocean Pines Association’s chief executive officer. One of his first moves as acting GM with the support of a board majority was to terminate the long-time relationship with Fisher Marine of Chincoteague, Va., as the OPA’s primary and usually solesourced bulkhead replacement contractor. The OPA’s relationship with Fisher Marine was so tight and considered mutually beneficial that contract renewals were informal sole-source affairs, with the linear foot rate itemized on a piece of paper that substituted for a detailed formal contract involving the usual nest of lawyers sparring over language. Hill and his board allies didn’t much care for the handshake arrangement under the previous general manager, Bob Thompson, and acted to eliminate it, at roughly the same time that Fisher Marine was ordered to remove its equipment and supplies from a staging area at the Swim and Racquet Club campus. The neighbors opposed use of the area as a staging area, complained early and often about it to the board of directors, and eventually hired an Ocean City law firm, Ayres, Gordy and Jenkins, to pressure the board to find another way to stage bulkhead replacement. The opponents complained to county officials as well, contending that use of the area for storage of materials and equipment used in bulkhead replacement constituted a violation of the area’s residential zoning. A strong letter to the OPA by the law firm resulted in a decision by the board to order Fisher Marine to remove its materials and equipment from the site. The parting of ways reportedly

was strained. Fisher Marine was no longer interested in working in Ocean Pines, even if the new powers that were had been interested in continuing the relationship. As a result of a formal bid process that occurred after Fisher Marine’s departure from Ocean Pines, HiTide Marine became the OPA’s new bulkhead contractor, a role it played successfully for a time, until for reasons that have never fully been ex-

plained the company began lagging behind the OPA’s bulkhead repair and replacement timetables. During the tenure of former General Manager John Bailey, who succeeded Hill, attempts to jump-start bulkhead repair and replacement didn’t seem to be effective. Management of the program was supervised by former Facilities Manager Kevin Layfield, who had been hired early in the tenure of Bailey. Layfield

seemed to have fallen out of favor with the administration following the departure of Bailey and his replacement by Viola. Layfield left the employ of the OPA several months ago by mutual agreement. Since then, bulkhead management has been under the supervision of Operations Director Colby Phillips assisted by Nobie Violente of the Public Works Department. By all accounts, the program has had a new lease on life. Under Viola and Phillips, bulkhead repair and replacement has been diversified, with the OPA opting not to rely on a single contractor. q

OPA removes abandoned barge in ‘aggressive’ two-step process

Specializing in

Commercial & Residential Construction & Improvement

443-373-3125 One Company Does It All No Job Too Big or Small! General Contracting Complete Interior & Exterior Remodeling • Kitchen & Bath • Cabinets & Refacing • Counter Tops • Granite, Marble, Quartz, Meganite, All Types • Carpet, Tile, Cortec, Hardwood Flooring • Painting & Drywall • Door and Windows Replacement, Repair • Decks, Porches, Vinyl Fencing and Railing • Roofing, Siding, Gutters, Power Washing • Additions • Leak Repair • Inspections • Electrical and Plumbing

• General Maintenance

www.oc-elite.com

A+ Rating by BBB & Angie’s List

Check Out Our Facebook Page To See Our Work

OCEAN PINES

September 2019

By ROTA L. KNOTT Contributing Writer ulkhead replacement and road repairs are some of the offseason projects that will be taking place in Ocean Pines, Colby Phillips, operations director, said during an Aug. 31 Board of Directors meeting. Phillips presented phased plans for both the bulkhead replacement and the secondary roads repaving projects, and said staff is working hard to communicate with property owners who will be affected by the work, letting know when contractors will be in their area. She also detailed plans for drainage improvements [see article elsewhere in this edition of the Progress

Phillips updates board on bulkheads, roads Phillips says OPA to switch to all-vinyl to prolong bulkhead life for details]. “It’s really important to us that we keep the communication with the homeowners and keep everybody up to date on what we’re doing. We know that we lacked a little bit on that before but we’re working hard to make sure that we’re communicating as we’re going forward what our plan is,” Phillips said while presenting her report. During the last few months, a staff team has reviewing the con-

Take the smoothest, most comfortable ride aboard the Chelsea Lane Tyler!

Smith Island Cruise Home of the famous ”SMITH ISLAND CAKE” 

DAY TRIPS: Leaves Somers Cove Marina in Crisfield, MD Daily at 12:30 pm ISLAND AMENITIES: Bayside Inn Restaurant famous for Crab Cakes & Smith Island Cake

410-425-2771 Call for Reservations

410-425-2771

Purchase Your Tickets at

www.smithislandcruises.com

www.smithislandcruises.com $2 OFF Code OPP 2019 Good thru 8/14

Gift Shops • Museum • Golf Cart • Bike Rentals

Directions: Rt. 413 to Crisfield, turn left after Fire Department, Stop at Capt. Tyler’s Motel for cruise tickets

dition of bulkheads and organized them into four phases for replacement. Each phase will cost about $1 million. She said the $1.134 million cost for Phase 1 of the bulkhead replacement program is estimated at this time. She will be presenting more detailed project costs in the near future. But according to one of the slides she presented during her presentation, the cost per linear foot is on average $375. The first phase of the work will begin this fall and includes bulkheads in Wood Duck I and II. Phillips said the properties listed in Phase 1 of the bulkhead replacement program have been bumped up because of

Abandoned barge From Page 23

Even so, Fisher Marine has a large piece of the pie and the respect, if not gratitude, of OPA staffers for the quality of its work and the timeliness in which the assigned tasks are completed. Last year, when it became evident that Hi-Tide was unable to fulfill its bulkhead replacement contract in the Wood Duck Isle section of Ocean

worm damage to the wooden waterfront structures. “The worm damage to these homes is so bad that we needed to jump around and reorder where we are on the bulkheads,” she said. In order to increase their useful life, the OPA plans to use all vinyl bulkheads in its replacement program in the future. “We are going to be going to vinyl which will give us more longevity in the bulkheads,” she said. Phillips said letters were sent out to the owners of the affected lots in Phase 1 and homeowners have started to reach out to staff about the pending project. She said staff and the project contractor plans to meet with each individual homeowner and discuss the plan for replacement of their bulkhead. They will start meeting with homeowners this month, and the bulkhead replacement work will be done beq

24 Ocean Pines PROGRESS

Pines, the OPA administration selected Fisher Marine to complete the work started by Hi-Tide. As a parting “gift” to the Ocean Pines, Hi-Tide left a barge in the grand canal that separates the Wood Duck Isle II and Tern’s Landings sections of Ocean Pines. The barge was visible from Ocean Parkway by motorists and was becoming a neighborhood irritant. In comments during the Aug. 31 meeting of the Board of Directors, Viola acknowledged receiving several recent phone calls about what he called a rusty barge left at the bulkhead staging area near Wood Duck Isle. Viola said the watercraft did not belong to any company the Association is currently contracting with, and that Operations Director Colby Phillips had been working to address the issue. “That was something from another company,” he said, without identifying Hi-Tide or clarifying that the barge appeared to have been abandoned. “Colby and her team have worked on it aggressively and I believe they have addressed the situation,” Viola said. Indeed the barge had been moved prior to the board meeting. As a temporary resting place only, the OPA with the assistance of Fisher Marine towed the barge to the White Horse Park dock area, near the boat ramp. Fisher Marine then was expected to tow the barge to a new location outside of Ocean Pines, Viola told the Progress.

OCEAN PINES Phillips report

From Page 24 tween Oct. 1 and the end of April 2020. Phillips stressed that it is important to “keep line of communication open” with property owners and to get the work done when the OPA says it will. However, she noted that there is always the possibility of changes to the project schedule based on weather conditions and other unforeseen events. Future phases include Stacy Park, Pintail Drive, and North Pintail Drive in 2020-2021, Crab Cay Court, Ebb Tide Court, Mallard Drive West, and Pintail Drive in 2021-2022, and North Pintail Drive, Pintail Park, Parkway Golf #2 tee, and #3 green in 2022-2023. Similarly, the OPA is developing annual spot dredging plans and will submit applications for a maximum of 20 permits for lots in the community on an annual basis. “We’re going to be taking 20 permits a year. This will also help us to budget for that number,” she said. The OPA currently has 18 permit requests pending that have been submitted for approval to the Army

September 2019 Ocean Pines PROGRESS

Corps of Engineers. “We’re waiting to get those back,” she said. In the future, any property owner who wants to be included in the annual dredging program must submit a request for a permit by Oct. 15. That allows time for the request to be evaluated and submitted to the Army Corps of Engineers by Nov. 1. The turnaround time for permits is usually six to seven months, with permit approvals received by May and work to start the following October. The OPA is also preparing to tackle Phase 1 of a new roads repaving project that includes seven secondary roads and a parking lot. Phillips said the work is being broken into phases instead of years because it allows more flexibility based on funding availability, and more roads can be done when there is more funding. The roads included in the first phase of the repaving are those deemed to be in the worst condition based on both an in-house evaluation and an engineering study conducted over the last few years. “Both of those matched up and they’re graded from one to ten. One is the poor roads up to ten would be

Kiwanis donation

The Kiwanis Club of Greater Ocean Pines - Ocean City donated more than $600 in back packs and school supplies to Worcester GOLD’s annual “Back to School” program for supplies for students in need. Pictured are (L-R) Kiwanis Club Treasurer Carolyn Dryzga and Kiwanian Jim Spicknall, the Kiwanis Club liaison to Worcester GOLD.

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

the better roads. Road conditions done. It looks beautiful. If you’re a can change however year to year,” pool member, you’ll be very happy. Phillips said, adding that roads If you’re not you should come by and deemed good in the study can be- see it,” she said. Expansion of the come poor over time. pickleball courts in the Community ΊΙΙΛΘΟΎ Georges Md She said the OPA will repave the Center Prince will take placeCnty in September ΍χϚϋͧ йрͿкй roads determined to be the worst with the addition of a third court. ΎϞϖ ϊχϚϋͧ й by those two separate evaluations Price: 98.500 (00.00) Ί΍и regardless of where they fall in the DMA reserve study. Once work on Coupon: 3.25 (00/00/00) those roads is completed, then the WhenDate: should you07/15/2036 start receiving Social Security? (00/00/00) OPA will evaluate the condition of Maturity the other roads included in the DMA Callable Date: (00/00/00 or your N/A) Think carefully about 07/15/2028 when to start receiving benefits. study for a future phase 3. Phase 1 of the project is esti100 CallYouPrice: (000)your benefits by 39%. could be reducing mated to cost $354,155, but the / AAA OPA budgeted $633,150. The list of Rating: Aaa (XXX/XXX) I am here to help make that decision easier for you. roads includes Bimini Lane, BrookOther: Please contact(Obligor) me at 410-208-1704 for a ton Lane, Burr Hill Drive, Laporte one-on-one complimentary, no obligation * Court, and Newport Drive, all of 3.25 TAX-FREE* Please contact me at 410-208-1704 for a% oneoron one complimentary, consultation attend our seminar.no obligation, cons which were last repaved in 1999; attend our seminar. Call for times, and location. Call for times, date anddates location Allendale Court, last paved in 1997; Prince Georges Md (Name of MuniCnty Bond) Clubhouse Road East and West, Carrie Dupuie, AAMS 98.500 Price: Dupuie, (00.00) Carrie AAMS® which were paved in 2000; and the My picture (Financial Coupon: (00/00/00) 3.25 Advisor Financial Advisor Financial Advisor Name) here Maturity Date: 07/15/2036 (00/00/00) Sports Core parking lot. (Approved Title) 215 North Main Street 07/15/2028 Callable Date: (00/00/00 N/A) “These roads will be this fall,” 215 North Mainor Street 100 Call Price: (000) Berlin, MD 21811 Phillips said. However, she added Berlin, Aaa /MD AAA 21811 Rating: (XXX/XXX) (Address) that the work on Clubhouse Road Other:410-208-1704 (Obligor) 410-208-1704 (City, ST 00000) East and West will not be completCarrie.Dupuie@RaymondJames.com ed until construction of the new golf (000-000-0000) I (Toll-Free: Carrie Dupuie, AAMS 800-000-0000) Raymond James(Financial Financial Services Inc., Member FINRA/SIPC Advisor Financial Advisor Name) clubhouse is finished. (Approved Title) James Financial Services Advisors, In Investments advisory services offered through Raymond Fax:215(000-000-0000) North Main Street Berlin, MD 21811 Phase 2 of the roads repaving (Address) 410-208-1704 (E-mail (City, STAddress) 00000) Carrie.Dupuie@RaymondJames.com is estimated to cost $324,570 and (000-000-0000) I (Toll-Free: 800-000-0000) (Website) Fax: (000-000-0000) includes Admiral Avenue, Beach

(Name of Muni Bond)

SOCIAL SECURITY

(0.00%) TAX-FREE

(E-mail Address)

(Website) Court, Drawbridge Road, Fossi Grange, Garrett Drive, Ivanhoe Court, Juneway Lane, Raft Road to availability and price change. Minimum purchases may apply. The yield is the lesser North, Raft Road South, Weeping Subject of yield to maturity or yield to call. Interest is generally exempt from federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where Willow Court, and Village Way. the bonds were issued. However, bonds may be subject to federal alternative tax (AMT), and ts and losses on tax-exempt bonds may be subject to capital gains tax treatment. RatFinally, Phillips provided an up- profi ings by Moody’s/Standard & Poor’s. A credit rating of a security is not a recommendation to *As of00/00/00. 06/07/2018 buy, sell or hold the security and may be subject to review, revision, suspension, reduction or * As of date on improvements at the ame- withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely payment of principal and interest. No representation is made to any insurer’s ability to meet its Subject to availabilityreand price change. Minimum purchases may apply. The yield is the lesser of yield to maturity or yield to call. nities. The pool deck has been financial commitments. Ratings and insurance do not remove risk since they do not guarantee from federal taxation and may alsothebemarket free ofvalue stateof and local taxes for investors residing in the state and/or locality where the bo the bond. placed at the Sports Core bonds swimming may be subject to federal alternative minimum tax (AMT), and profits and losses on tax-exempt bonds may be subject to Securities offered through Raymond James Financial Services, Inc., member FNRA/SIPC. by Moody’s/Standard A credit rating of a security is not a recommendation to buy, sell or hold the security and pool. “We just had the newRatings pool deck & Poor’s. (c) 2015 Raymond James Financial Services, Inc., member FINRA/SIPC 15-MFI-0113 ICD BS 8/15 06/07/2018 **As As ofof00/00/00.

Subject to availability and price change. Minimum purchases may apply. The yield is the lesser of yield to maturity or yield to call. Interest is generally exempt from federal taxation and may also be free of state and local taxes for investors residing in the state and/or locality where the bonds were issued. However, bonds may be subject to federal alternative minimum tax (AMT), and profits and losses on tax-exempt bonds may be subject to capital gains tax treatment. Ratings by Moody’s/Standard & Poor’s. A credit rating of a security is not a recommendation to buy, sell or hold the security and may be subject to review, revision, suspension, reduction or withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely payment of principal and interest. No representation is made as to any insurer’s ability to meet its financial commitments. Ratings and insurance do not remove market risk since they do not guarantee the market value of the bond. Securities offered through Raymond James Financial Services, Inc., member FINRA/SIPC.

revision, suspension, reduction or withdrawal at any time by the assigning Rating Agency. Insurance pertains only to the timely pay est. No representation is made as to any insurer’s ability to meet its financial commitments. Ratings and insurance do not remov

OCEAN PINES

September 2019

Despite $300,000 surplus, Viola itemizes $100,000 in financial headwinds Viola tells board he’s going to spend ‘needed’ money for golf course chemicals despite under-budgeting By ROTA L. KNOTT Contributing Writer hile the Ocean Pines Association is operating more than $300,000 in the black so far this fiscal year, General Manager John Viola told the Board of Directors during an Aug. 31 meeting that there are about $100,000 in unbudgeted expenses pending. Viola said these financial “headwinds” will hit the OPA throughout the year, and include a variety of projects and expenditures across several association departments. The subtext seemed to be that while 2019-20 is shaping up to be a good year financial, that $300,000 surplus may be eroded somewhat by year’s end. Year-to-date revenues are favorable to budget by $306,616 and expenses are over budget by just $1,907 for a total net operating surplus of $308,523 as of July 31, Viola said. By comparison for the first three months of last fiscal year, the OPA had an overall unfavorable

variance to budget of $7,000. Viola noted that the majority of the OPA’s income, including revenue from assessments and amenity memberships and fees, is realized during the summer months. “That will be done soon,” he said, but added that expenditures continue throughout the year, including some $102,000 in costs that weren’t included in the budget. Topping that list is $30,000 in chemicals for the golf course. Viola said he doesn’t know why chemicals were under-budgeted in this year’s golf budget, but the OPA needs to do what is necessary to maintain the course. However, he said staff is working to reduce that cost as much as possible. “We believe that we can get that number down and still keep that course where it’s needed,” he said. During the budget process “whatever happened, happened,” Viola said, contending that costs shouldn’t just be cut without a full understanding of the impacts.

“I understand when it comes budget time. I understand the pressure that those seven people up there go through. But when you cut costs where there’s no analysis, and no rhyme or reason why to do it, you are cutting costs at any cost and odds are it’s going to cost you somewhere.” He said he is not willing to jeopardize the golf course because “somebody just inadvertently” said cut the costs for chemicals. Another pending, but unbudgeted expenditure, is hiring a consultant to performance a compensation study of all association employment positions. Because association staff is doing much of that work, including reviewing job descriptions, inhouse, Viola said that is now anticipated to cost the OPA just $50,000, a reduction from the $100,000 maximum approved by the Board. However, since only $20,000 was budgeted for such a compensation study, Viola will have to find the other $30,000 in this year’s budget

somewhere. At the Beach Club, there is an additional $5,000 expense for having someone on-site to regularly maintain the restrooms. Viola said he had received input from both the Aquatics and Recreation and Parks staff that the OPA needed somebody to maintain those bathrooms. “I’ve always believed that we needed that. It was not included in the budget,” he said. A change in policy regarding capitalization of expenses that increased the threshold from $2,000 to $5,000 has resulted in $12,000 in unbudgeted expenses for the OPA this fiscal year. Viola said the policy change was approved without consideration for related costs. “If you’re gonna go to $5,000, you’re gonna have a bigger hit to your P&L and your operating accounts in a year and that needed to be budgeted. From what I’m being told and what I’m seeing it was not budgeted,” he said. The headwinds costs also include $22,500 related to removing remnants of the crabbing pier in Whitetail Sanctuary, and $2,500 for security at the marina docks. When there is a security issue or safety issue, Viola said, “we’re gonna adq

26 Ocean Pines PROGRESS

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

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

Car Rentals 10% OFF & Detailing Exhaust Service Available

$64.95 $79 Md. State Inspection

FULL SYNTHETIC $20 OFF OIL CHANGE Any Brake Job

Tire Rotation

With Purchase of Oil, Lube & Filter

All coupons must be presented before estimate. Most Up tocannot 5 qts. combine With coupon only. Exp. Mostcars. vehicles coupons. Exp. 10/15/19 3/30/13

All coupons must be Allcoupons couponsmust mustbe bepresented presentedbefore beforeestimate. estimate. presented before estimate. All Most vehicles cannot combine coupons. Exp. 10/15/19 Most vehicles cannot combine coupons. Exp. Exp. 12/31/12 Most vehicles cannot combine coupons. Exp. 3/30/13

All coupons must be presented before estimate. Most vehicles cannot combine coupons. Exp. 12/31/12

All coupons must be presented before estimate. Most vehicles cannot combine coupons. Exp. 3/30/13

$49

All coupons must be presented before estimate. Most vehicles cannot combine coupons. Exp. 12/31/12

($10 Off Regular Price)

All coupons must be presented before estimate.

All must presented before estimate. All coupons couponscannot must be be presented beforeExp. estimate. Most vehicles combine coupons. 12/31/12 Most Mostvehicles vehiclescannot cannotcombine combinecoupons. coupons.Exp. Exp.10/15/19 3/30/13

FREE

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

& MARINE REPAIR

10834 Ocean Gateway, Berlin

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

$29Every 6th

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

All coupons coupons must must be be presented presented before before estimate. estimate. All Most vehicles cannot combine coupons. Most vehicles cannot combine coupons. Exp.Exp. Exp3/30/13 12/31/12

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

BEST

All coupons coupons must must be be presented presented before before estimate. estimate. All Most vehicles cannot combine coupons. Most vehicles cannot combine coupons. ExpExp. Exp.3/30/13 12/31/12

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

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

OCEAN PINES Financial headwinds From Page 26 dress it one way or the other.” In case the OPA conducts a vote on one or both of the two petitions recently presented to the Board, Viola also listed a referendum among the “headwinds” costs, but he didn’t assign an anticipated cost. Year-to-date through July Viola said revenues are favorable to budget at the Yacht Club by $107,000, Beach parking $37,000, Recreation and Parks $40,000, Public Works $33,000, Beach Club food and beverage $53,000, golf operations $2,000, general manager’s office $20,000, marinas $36,000, finance and administration $28,000, and other $3,000. On the unfavorable side, Viola listed Aquatics at $17,000, Public Relations $18,000, police $7,000, tennis and platform tennis $6,000, and compliance, permits, and inspections $2,000. For the month of July, revenues were over budget by $64,041 but expenses were over budget by $9,392, for a favorable net operating of $54,649. Highlights included $22,000 favorable for Aquatics, $29,000 at the Beach Club, $15,000 at the marinas, $5,000 at the Yacht

September 2019 Ocean Pines PROGRESS Club, $6,000 for Public Works, general administration, manager’s office, and finance $19,000. Golf exceeded budget by $3,000. But that was offset by unfavorable variances in other line items including $15,000 for Beach parking, Recreation and Parks $11,000, and Public Relations $18,000. Viola also reviewed the status of in-progress and pending projects during his general manager’s report to the Board. Largely, he said things are on track, including the NorthStar software conversion, clubhouse construction, renovation and expansion of the administration and police building. The original timeline for the NorthStar software conversion was September and October. Viola said that is still accurate within a week or two. He said that timeline is fine considering the OPA is putting in the NorthStar system during the busiest time of the year. Viola said residents should see activity on the new clubhouse later this month and the police building and cart barn in October. Site work is complete for a new Craft Building in White Horse Park and the contractor is expected to begin work this month.

Sports Core pool reopens

The Ocean Pines Sports Core Pool reopened on Sept. 2 after a week and a half closure for repairs and improvements, including replacement decking by Rubaroc. The pool was drained and cleaned, and the parking lot resurfaced. The indoor Spore Core Pool, on 11144 Cathell Road in Ocean Pines, is open year-round, 10 a.m. to 8 p.m. Monday through Saturday, and 10 a.m. to 5 p.m. on Sundays.

Viola said he continues to build the bench strength of the OPA’s employee team. “I believe that with a cross trained team we will be more efficient and that will definitely help as far as our budget and expenses going forward. It’s also very good to cross train our employees to make them more valuable, whether its with ocean Pines or elsewhere in their career.’ As directed by the Board, a compensation study of all OPA employ-

ment positions is under way. The OPA has a contract costing $48,000 to $51,000, well below what was approved by the Board. “We are doing a lot of the work on the compensation study ourselves and that’s how we’re saving.” Other pending items including bringing guest Wifi to the Yacht Club plaza, bulkhead staging area siting, soliciting a request for proposals for accounting services, and beginning the fiscal year 2021 budget process.

28 Ocean Pines PROGRESS

Renovation creates third indoor pickleball court

OCEAN PINES

September 2019

he Ocean Pines Community Center gym, closed for renovations from Sept. 9 to Sept. 13, has reopened. During the closure, ICP Construction sanded and repainted the gym floor to add a third indoor pickleball court. “They [had] to redo the whole floor in order to add that court ... and [it took] all week for it to be painted and to settle, before we [could] walk on it again,” Recreation and Parks Program Supervisor Debbie Donahue said. Donahue said the fiscal 2019 budget included $18,000 for the project. With taxes and freight, the actual cost of the project was slightly higher, at $18,600. Fall activities scheduled to start during the second week of September were rescheduled to the following week. Normal activities resumed when the gym reopended on Saturday, Sept. 14. Pickleball players, Donahue said,

couldn’t be happier about the completion of the project. “They think it’s great. They’re really excited that they can bring in more people and they’ll have more room,” she said. “Being able to put three courts in there and moving them away from the bleachers just makes it better for them.” The addition of the third pickleball court has been a long-term objective of the Ocean Pines pickleball club. There had been three courts in the gym at one time, but a prior OPA administration removed one of the three courts during a flooring repair, much to the consternation of the club. As a result, the club lost membership when the prior administration resisted efforts to restore the third court. Membership and play rebounded once it became clear that the Ocean Pines Association intended to add the third court to the Community Center gym.

Robert D. Park, DMD, MSD ORTHODONTIST Now In

Pines to host water safety program for fourth graders

tarting next month, fourth graders from three Worcester County public schools will get an important lesson on water safety with the help of the Ocean Pines Aquatics Department. Students will take part in a three-day safety course at the indoor Sports Core Pool in Ocean Pines, with lessons such as survival swimming skills, basic first aid and how to help distressed swimmers, and beach safety tips including how to safely navigate a rip current. Senior staff members of Ocean Pines Aquatics, in conjunction with Ocean City Beach Patrol and the Ocean Pines Fire Department, will teach hundreds of 9 and 10-year-old students from Ocean City Elementary, Berlin Intermediate and Buckingham Elementary schools beginning Tuesday, Oct. 1 from noon to 2 p.m. on Tuesdays, Wednesdays and Thursdays. Berlin Intermediate School sessions are scheduled Oct. 1-3 and Oct. 8-10. Buckingham Elementary School students are scheduled Oct. 22-24 and Oct. 28-30, and Ocean City Elementary is scheduled Nov. 19-21 and Dec. 3-5. The Ocean Pines Aquatics Department and Worcester County Public Schools jointly launched the program last year, with the school district supplying funding. “The Aquatics team is excited to start our second year, teaching some of the fourth graders of Worcester County,” Ocean Pines Operations Director Colby Phillips said. “This was a program that was a priority for myself and the team when I first started with Ocean Pines, and the support of the Board of Education and the County Commissioners in providing funding has been a huge blessing. “Drowning is one of the number-one causes of death for children,” she continued. “Learning to save yourself in different types of water safety situations is our goal for these children. We teach them everything from basic pool safety to ice safety, and the Ocean City Beach Patrol comes in as well to discuss rip currents.”

www.gotomybackyard.com

Millsboro Braces for Children and Adults Most Insurance DE Medicaid for Children Payment Plans

Open Tuesday through Saturday, 10 am - 5 pm; Closed Sunday & Monday

Friday and Saturday Hours Peninsula Crossing by BJ’s

We carry everything you need for your backyard birds. Large variety of seeds, houses, feeders, bird baths and more. We also carry a large selection of gifts, local honey and if you can’t decide, gift certificates.

PDMbraces.com

302-297-3750

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

MD-0000726201

Mastercard-VI SA-American Express-Discover

410-208-1479

OPA FINANCES

September 2019 Ocean Pines PROGRESS

Financial report shows dramatic turn-around in OPA finances Viola delivers good news about $115,000 surplus in 2018-19 fiscal year

Designated smoking areas established at Yacht Club

wo designated smoking areas were recently installed at the Ocean Pines Yacht Club. Customers at the Yacht Club and nearby Oasis Pool will only be allowed to smoke in those marked areas. One section is near the fenced-in area just off the main parking lot, while the other is on the marina Boardwalk, near the ice machine. Both are marked with signs, and include an ashtray, picnic table and shade umbrella. Smoking will no longer be permitted on the patio area or near the pool. Clubs Committee Chairman Gary Miller said his group explored the concept after receiving a letter from a concerned resident asking about smoking on Ocean Pines campuses. “He mentioned that there’s kids running around, and people are smoking all over the place, and shouldn’t there be a designated

smoking area?” Miller said. “The Clubs Committee did some research, we looked at different laws within Maryland and other communities, and basically decided that it was something we ought to present to Ocean Pines for their consideration.” Working through the committee’s Board liaison, Miller said both Operations Director Colby Phillips and General Manager John Viola agreed with the concept of clearly marked, designated smoking sections. He said Ralph DeAngelus, cofounder of the Matt Ortt Companies that manages the Yacht Club, also approved of the concept of designated smoking areas. “Ralph said their job isn’t to make policy for Ocean Pines – they’re strictly doing food and beverage – but whatever Ocean Pines wants them to do, they’ll be glad to enforce,” Miller said.

Reflections Window Cleaning Specializing in Commercial and Residential window cleaning. Also offering: ~Vinyl Window Cleaning ~Chandelier Cleaning ~Gutter Cleaning ~Hard Water Spot Removal Your local window cleaning company Call today for a FREE estimate

tive variance to budget, while the recreation and parks department had a positive variance. Public works expenditures exceeded budget by $41,643, and other operating by $159,823, while recreation and parks performed better than budget by $120,000. Regarding the over expenditures in public works, Viola said to keep in mind that the department handled many unexpected projects, particularly at the Yacht Club. “Overall I believe they did a very good job.” New capital and debt payments were more than anticipated and had a negative variance to budget of $13,116. Viola said the $115,795 overall difference favorable to budget is a big difference from the prior two years where he announced the OPA was in the negative by $350,000 to $1.4 million. “We’re definitely moving in the right direction.” Collectively, the amenities had a net positive of $101,723 in revenue to budget. “A big difference from the prior two years,” Viola said. Overall, food and beverage operations had a favorable variance of $12,652, with the Yacht Club at a positive $6,174, Tern Grille at positive $10,045, but the Beach Club having a negative variance of $3,567. “Golf was basically flat,” Viola said pointing to a small negative q

Designated smoking areas were recently established at the Ocean Pines Yacht Club, including this one, on the marina Boardwalk. The other one is located near the fenced-in area just off the main parking lot.

By ROTA L. KNOTT Contributing Writer he Ocean Pines Association ended fiscal year 2019 with a positive variance to the approved budget of $115,795 according to a year-end financial report presented by General Manager John Viola during the Aug. 10 annual membership meeting. Viola said in his first month as general manager he tasked each OPA department with scrubbing through their budgets to help contain costs. “Everybody did a tremendous job,” he said. Viola said the bottom line – $115,795 of excess revenues over expenses – was a “big difference from the last two years, where I stood up here and had to inform you of losses of around $350,000 and $1.4 million.” “We’re definitely moving in the right direction,” he said. On the operating side, the OPA had total expenditures of $6.251 million, compared to the budget of $6.27 million, for a positive variance of $27,188. Assessment revenue met the budgeted total of $5.81 million. Expenditures came in under budget for the police department $91,227 and for the fire department at $17,377, for a positive variance of $108,604. Public works and other general operating line items had a nega-

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

SEPTEMBER SPECIAL $250 Off Bat Removal

302-236-3533

Serving Ocean Pines and All of Delmarva • References on Request

30 Ocean Pines PROGRESS

OPA FINANCES

September 2019

Financial report From Page 29 variance to budget of $1,792. He blamed a period of bad weather for a drop in revenue and said it affected not just Ocean Pines but all shore golf courses. Last year the weather as you know, did not favor well for amenities specifically golf, and that was across the board, not just for Ocean Pines,” Viola said. He said there was one three to four-day period that the weather cost the OPA about $60,000 in revenue. “If we had had some favorable weather, golf … would have been within that target that I had of somewhere between [a] zero and $50,000 [net loss],” Viola said. Bad timing, from an accounting standpoint, also negatively impacted golf, Viola said. “That had an $18,000 effect on golf – that will not happen again,” Viola said. “I will call it timing and I believe we’ll get that money back.” He later told the Progress that the accountants required that the OPA set up an “accrual account for two individuals who did not take vaca-

tion time,” which he said will be offset this year by a reverse accounting adjustment. “I’m looking, down the road, at positive signs for golf,” he continued. “The place is packed,” he said, adding that outside play golfers provide positive feedback about the amenity. Beach Club parking is a perennial money-maker for the OPA, generating $51,372 more in revenue than budgeted. Marinas had a positive variance to budget of $25,293. Only racquet sports saw a significant negative variance to budget of $15,758. “$101,00 favorable for the amenities that we constantly read about and hear how its affecting our assessments,” Viola said. As compared to the prior year, FY18, the OPA had a positive change to excess of revenues of $1.363 million. In FY18, the association ended the year with a negative variance of $1.247 million, but in FY19 the year closed $115,795 to the positive. The operating budget showed a swing of $40,960 to the positive for FY19 as compared to the prior year’s actuals, and new capital and debt

payments was positive by $198,267. Amenities were up by $752,042, with the Yacht Club seeing a $590,000 favorable swing as compared to the prior year, the Beach Club was $205,000 favorable, and Tern Grille was favorable by $35,239. Golf had a $113,633 unfavorable variance to the prior year and racquet sports was negative $27,979. But aquatics was up by $2,276, Beach Club parking by $45687, and marinas by $14,828. In a recap of the financials, Viola highlighted the favorable variance and unfavorable variances to budget. On the unfavorable side, he listed IT outside contracted services as over budget by $100,801, legal at $72,378, and the general manager’s office and human resources over by $90,160. He said the IT charges were necessary for outside support, the legal costs increased due to “changes going on in Ocean Pines” and the administrative expenses were largely the result of severance for former general manager John Bailey. On the favorable side, the listed an accounting change regarding the

expiration of amenity coupons that cleared $76,632. He said that needed to change for accounting purposes but “Nobody has lost a dollar to my knowledge.” Another favorable adjustment of $93,000 was an accounting reversal of expenses, $120,050 in cost cutting measures in recreation and parks, Beach Club parking and marinas. As of April 30, 2019, the major repair and replacement reserve fund totaled $5.257 million, with additions of $1.997 million and expenses of $4.286 million anticipated for administration and police building renovations, the clubhouse, cart barn, NorthStar software, and the craft building. “There are many initiatives to replace much of the infrastructure of Ocean Pines,” Viola said. The bulkheads and waterways reserve is at $2.478 million, with additions of $686,000 and expenditures of $1.619 million planned, for an expected balance $1.545 million. The roads reserve fund is at $1.101 million, with additions of $348,000 and expenditures planned of $770,000, for an expected balance of $679,000.

Berlin Liquor Store !

LARGEST LIQUOR STORE IN OC AREA

2799

$ 99

$ 49

D-Con® Ultra Snap Mouse Trap

10.1-Oz. Silicone II Paintable Sealant

2-Ft. Type I Aluminum Step Stool

Easy to use with safety set lever. Never touch the mouse. Easy disposal of rodent. Portable and reusable. Includes 1 trap. 4133559

Will not shrink or crack, permanently flexible. Waterproof. Easy soap and water clean up. White color. 3454741

250 Lb. duty rating. Traction-Tred slip resistant full-sized steps. 6739866

Start Planning for Your Holiday Parties ... We’re Taking Pre-orders

Every Thursday & Sunday Senior Citizens Get

10% OFF Liquor & Wine

10% OFF

Liquor & Wine

(On Orders of $50 or More) Cannot Be Combined with Any Other Offer. Exp. 5/30/18

BEER • LIQUOR • WINE

10818 Ocean Gateway, Berlin, MD 21811 410-973-2873 • Mon-Thur 9-8, Fri & Sat 9-9, Sun. 10-6

September 2019 Ocean Pines PROGRESS

Comcast agreement From Page 1 new equipment. Mediacom’s much older system, prone to outages, especially in the Internet space, is a mix of coaxial cable, fiber optic cable and older equipment that needs constant monitoring and repair. Comcast rates in nearby Ocean City and Berlin appear to be lower than Mediacom rates in Ocean Pines, and Comcast offers more alacarte options than Mediacom, but rates and options will no doubt be in a state of flux once the two providers go head-to-head for customers. As previously reported, the agreement specifies that the OPA will receive a franchise fee of 1.6 percent of all revenues generated by Comcast in Ocean Pines. That percentage is expected to generate roughly $150,000 in fees annually for the OPA, roughly the same that has been generated by Mediacom for the OPA is recent years.

Not previously reported, however, are free services that Comcast is offering the OPA that apparently ends the OPA reliance on Mediacom for both cable television and Internet services. Comcast will provide at no charge up to 25 cable television outlets in OPA facilities, with high definition digital starter cable services along with the necessary customer equipment. The free service does not include premium services or pay-for-view upgrades, although it seems likely that the OPA could purchase premium services if there is a demand for them. As listed in the agreement’s Exhibit A, the outlet locations include Ocean Pines Association Administration building, the Pine’eer Craft building, the Ocean Pines Community Center, the Ocean Pines Police Department, and the Ocean Pines Volunteer Fire Company’s Southside and Northside firestations. The outlet locations also include

Ocean Pines Boat Club & K i w a n i s OP / OC HARRINGTON CASINO BUS TRIP THURSDAY October 17, 2019

Cost: $20 / Person Payable to Kiwanis OP/OC. Includes: $15 Slot Play

$7 Food Voucher Good towards Lunch Buffet ($13.95) *** Guests are Welcome ***

Bus will pick us up at the Ocean Pines Yacht Club Parking Lot at 10AM and deliver us back about 5PM. Seating is Limited to First 56 Reservations Info/Question: Tom/Barbara Southwell 410‐641‐5456 May We All Be Blessed With Luck & Good Fortune at this Special Event

the Ocean Pines Public Works Department, the Ocean Pines Yacht Club, the golf pro shop, and the golf maintenance shop. Four OPA swimming pools are outlet locations, including the Swim and Racquet Club Pool, the Mumfords Landing Pool, the Sports Core Pool, and the Beach Club pool in Ocean City. The Yacht Club pool is not included in the Exhibit A list. Ocean Pines Association General Manager John Viola called that omission a likely oversight. Other outlet locations include the Racquet Sports Complex on Manklin Creek Road and the Ocean Pines Beach Club in Ocean City. In addition, again at no cost to the OPA, or end users, Comcast will provide Wi-Fi, or wireless high-speed Internet, in common areas at OPA facilities, presumably the same ones listed in Exhibit A. There will be 35 Wi-fi hotspots in OPA public buildings, with specific locations to be determined by the

mutual agreement of the OPA and Comcast. Comcast will be responsible for installing and maintaining all equipment required to provide WiFi hotspots, but end users will be responsible for network adapters, computers, notebooks, mobile devices, and tablets needed to take advantage of the free service. Viola first disclosed that Comcast will be providing wi-fi at the Yacht Club in comments he made at the Aug. 31 Board of Directors meeting. It turns out that free wi-fi will be extended to OPA facilities throughout Ocean Pines, courtesy of Comcast. The agreement does not indicate when Comcast will begin construction of its backbone system. Nor is there a deadline for completion. There is a reference to the parties’ acknowledgment that “speed is of the essence,” however. Before construction begins, Comcast is obligated to provide details to the OPA of its build-out plan, in

COVER STORY

32 Ocean Pines PROGRESS

COVER STORY

September 2019

Comcast agreement From Page 31 cluding location of its headend and hub sites, a technical description of equipment, details of its cable and node design, a system-level trunk map, as well as the construction schedule and phasing plan. There seems to be a significant amount of oversight to be provided by the OPA over Comcast during the

construction phase. “Service Provider shall meet with Ocean Pines upon request to address issues related to the progress of construction and the operation of the system,” according to the agreement. “Upon request, Service Provider shall provide written construction status reports to Ocean Pines concerning the progress of any construction, deviations from the approved plans, and any issues

www.racetrackoc.com

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

BLOWOUT PRICES ON ALL IN-STOCK 2018 MODELS

Check BLOW-OUT Out Our UsedPRICES Boat Selection WINTERIZE ENGINE,2016 SHRINK WRAP ONBLOW-OUT ALL IN-STOCK MODELS PRICES & IN-STOCK WINTER STORAGE ON ALL 2016 MODELS

Sea Fox Boats • Montego Pontoons Tidewater BoatsBay Sea Fox Boats • Montego Bay Pontoons Sundance Skiffs CenturySundance Boats • Sylvan Pontoons Skiffs

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

Parts, Sales, Service, Storage, Pickup & Delivery

410-641-5204 410-641-5204

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

related to the course of any construction. Service Provider agrees, during the initial construction of the service provider system, to meet with Ocean Pines representatives on a monthly basis to review construction schedules, build-out plans and issues affecting the Ocean Pines Community.” The ten-year term of the agreement can be extended for another five years, with an opportunity for extension specified on the fourth anniversary of the effective date of the agreement. There is no right to extend beyond 15 years, although there is a provision for month-to-month extensions if the parties agree. After the initial ten years and the optional five-year extension, the OPA could negotiate to purchase Comcast’s above ground equipment or the company has the option of removing it from the community. Below-ground equipment or material could not be removed, however. Comcast has the right to offer its services to sub-associations within the Ocean Pines Association, both existing and planned. This provision would appear to allow Comcast to negotiate with Steen Associates for the new residential section under development adjacent to Section 10. The agreement implies that Comcast’s initial thrust into Ocean Pines will not include advanced 5G technology that is being rolled out elsewhere in the United States. But there is a hint that it could be added later, with the proviso that Comcast notify the OPA of its intentions and that the OPA would have the opportunity “to require additional tems and conditions” if a 5G rollout is deemed feasible. The agreement specifies that: • Comcast will be required to provide cable television, Internet and telephone services “substantially similar” to those offered by the company elsewhere in the county, namely Berlin and Ocean City. • The OPA will be reimbursed for any costs incurred in correcting damage to road, sidewalks and landscaping caused by Comcast during construction. • Comcast will install equipment that will allow Ocean Pines to insert community channels into the channel line-up, with Comcast providing the OPA with a list of recommended equipment. Ocean Pines will be responsible for purchasing and maintaining the Equipment and all other equipment necessary for the use and operation

of Community Channels. • Ocean Pines will make available, at mutually acceptable locations throughout the Ocean Pines, space for Comcast to install its local headend and other electronics (amplifiers, transformers, etc.) to the extent required by Ocean Pines. • Comcast will utilize commercially reasonable efforts to install all wires, cable lines, and other transmission lines, equipment, conduit and structures in a manner to minimize interference with the rights and convenience of property owners and the use of any right of way. All new coaxial cable or fiber optic cable construction will be installed and located underground and placed in conduits to facilitate future expansion of the system without the need for future trenching or boring. • the agreement can be terminated by both the OPA and Comcast for defaults, which the agreement does not itemize. Otherwise, it terminates at the end of the initial term of ten years or, if extended, after 15 years, with month-to-month extensions possible. The agreement is the result of a process begun earlier this year when Comcast informed the OPA that, contrary to previous indications, it was now interested in providing a full range of services to Ocean Pines. The company previously had offered to provide that full range of services but only if the OPA was willing to negotiate a bulk rate to cover every homeowner in Ocean Pines, with the OPA paying the bill. That would have resulted in a significant increase in lot assessments, and all homeowners would have become Comcast customers whether they wanted to or not. That offer was rejected by the OPA. Comcast recently reached out to OPA, indicating that it was interested in providing these services without any bulk rate guarantees.

Mediacom From Page 1 Presumably this means that the OPA will not be purchasing Internet-based services from Mediacom in the future. It had appeared that Comcast was going to be providing back-up Internet services to the OPA, in a supporting role to Mediacom. It now appears that Mediacom may be cut out completely as a supplier of Internet services to the OPA.

CAPTAIN’S COVE

September 2019 Ocean Pines PROGRESS

Sept. 20 sale includes one home assessed at $384,100 By TOM STAUSS Publisher

any of the previous foreclosure auctions of properties whose owners are delinquent in annual assessments featured mostly low end unimproved lots, with no bidders, but the Sept. 20 event is shaping up as something different. The auction will be conducted on behalf of the Captain’s Cove property owners association by the Pender and Coward law firm of Virginia Beach. While a significant majority of the 38 listed for sale as of Sept. 9 are assessed at $2,500 or less -- some may drop out by the time of the auction -- there are three listed assessed at $196, 300 or more.

The priciest, a home located at lot number #979 in Section 1, is assessed at $384,100. A home at lot number 34 in Section 6 is assessed at $206,400, and a home at lot 127 in Section 7 is assessed at $196,300. There’s a lot up for auction with an assessed value of $57,500. It’s lot number 1406 in Section 6. These four properties are likely to draw some interest from buyers other than the Captain’s Cove association. One other unimproved property, lot 799 in Section 1, is assessed at $14,400 and might also draw some interest. Of the 38 properties listed for sale at the Sept. 20 auction, which is scheduled for the Marina Club in Captain’s Cove at 1 p.m., two carry

Cindy Welsh

an assessed value of $4,300. There are ten with an assessed valued of $2500, 16 assessed at $2000, two at $900, and three at $600. The Board of Directors of the Cove association recently voted, according to a “consent order” posted on the Cove’s member Web site, to participate in the auction as a way of protecting the association’s interest in the properties to be auctioned. If there are no individual bidders on a particular property, the Cove association bids and acquires title to it, adding to the association’s inventory of lots. General Manager Justin Wilder recently said, in an answer to a question posed on the association’s Web site, that there are currently about 450 Cove lots owned by the association.

Wilder said there currently is no formal campaign under way to turn these association-owned lots into properties that pay annual assessments. That only happens when title is transferred to an individual buyer or buyers. He said that anyone interested in buying any of these lot should contact Realtor Cindy Welsh. Minimum bids for each of the lots are announced by the auctioneer prior to the start of the auction. Cove Commons improvements: Wilder recently posted an invitation seeking property owner ideas for way to improve the largely unused Cove Commons, which until the early 2000s was the site of a campground filled with trailers and recreational vehicles. The campground was shut down by the Cove board of directors. The board of directors has suggested that the cement pad in one section of Cove Commons could be upgraded into a pavilion. The board directed Wilder to seek q

Cove foreclosure auction to include 38 properties

4243 Captain’s Corridor, Greenbackville, VA. 23356

302-381-6910 (cell)

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

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

37312 Davey Jones Blvd. • $175,000 182 Navigator Dr. • $188,900 New Listing

3 BR/2.5 BA 1785 sq. ft., New Vinyl-Plank flooring, Expanded Living Room w/fireplace, 1 Car Garage.

3912 Captain’s Corridor • $215,700 Bonus Room

New Construction

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

37255 Sail Court • $429,000 Wide Canal

2409 Captain’s Corridor • $193,900 New Home

3BR/2 BA 1497 Sq Ft., Hardwood Floors, Stainless Steel Appliances, Screen Porch, 1 Car garage.

3439 Blackbeard Rd • $469,000 Bayfront

Your Property Could Be Listed Here! Call Cindy

3BR/2.5 BA 1898 Sq Ft., Bonus Room, Screen Porch, Fenced Yard, Paved Driveway

4BR/ 2 Full BA - 2 Half BA, 2424 sq ft., Hardwood Floors, Upgraded Kitchen, 9' Ceilings, Sunroom, Maintenance Free Exterior, 2 Car Garage, 82' canal frontage

3BR/2BA 2443 sq ft., Custom Design waterfront living, Loaded wih upgrades, Stainless Steel Appliances, Fireplace, Sunroom, Loft, Pier, Dock & Newer Bulkhead.

34 Ocean Pines PROGRESS

CAPTAIN’S COVE

September 2019

Cove Commons From Page 33 other recreational possibilities for the site, and some have come in, ranging from a playground to bocce courts to barbecue pits. These suggestions in turn have generated a couple of negative comments from property owners, who contend that the ideas that have surfaced so far would be duplicative of amenities elsewhere in the Cove

or, worse, would be unused or under utilized. Instead of wasting money on new amenities that they say will be largely unused, these critics say the money would be better spent on accelerating road resurfacing or other projects. Despite the criticism, which so far appears relatively muted on the Cove’s revamped message board, Wilder continues to be interested in receiving property owner input.

Some upcoming meetings ...

Pine’eer Craft Club -- Thursday, Sept. 19, Ocean Pines Community Center. Refreshments, 9:45 a.m.; business, 10 a.m.; September project, t-shirt tote bag, all materials supplied. Carol Quinto, 410-208-4317, call to reserve a spot. The Democratic Women’s Club of Worcester County -- Monday, Sept. 16, First fall meeting, Ocean Pines Community Center. Coffee and conversation 9:30 a.m. At 10:00 a.m. Gee Williams, Mayor of Berlin, will discuss environmental issues affecting Worcester County and Berlin. The Republican Women of Worcester County -- Thursday, Sept. 26, September luncheon meeting, Ocean Pines Yacht Club. The guest speaker will be a representative from the Census Bureau. Cost $20 per person. Doors open at 10:30 a.m., meeting begins at 11 am. Reservations, Ann Lutz at annlutz60@ gmail.com or at 410-208-9767. Reservations due by Sept. 17.

Building Captain’s Cove One Home at a Time www.jabuildersllc.com POPULAR MODELS

Sea Robin • $142,300

Partnering with Cindy Welsh of Hall Realty -- Call Cindy for Details! Dolphin 2012 • $177,900

Sailfish • $196,900

Skipjack • $205,800

Dolphin 2012 Model

Ranch Style Home 3 BR / 2 BA 1288 Sq Ft

• 3BR/2 BA New Construction • 1496 sq. ft. • 1-Car Garage • 10 x12 Screen Porch

Tarpon • $186,100

Ranch Style Home 3BR / 2BA 1496 Sq Ft

Tarpon Plus • $198,700

Ranch Style Home 3 BR / 2 BA 1527 Sq Ft

Ranch Style Home 3 BR / 2 BA 1525 Sq Ft

Marlin • $212,100

Striper • $259,900

Tarpon Plus with Bonus Model Two-story Contemporary Home 3 BR/2.5 BA 1607 Sq Ft

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

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

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

Tiger Shark • $185,200

Hammerhead • $244,800

Thresher • $246,500

Mako • $272,200

• 3BR/2.5 BA New Construction • 1774 sq. ft. • Extended Kitchen & Dining Area • Screen Porch • Optional Unfinished Bonus Room

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

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

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

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

J&A Builders specializes in spec home sales and new home construction. All of our models are“stick built”and feature a first floor master suite with standard appliance package, and Low-E windows. These are a few of our models we can build on your lot. Prices DO NOT include the the lot. Homes are of similar design and may have upgrades. Prices good for Captain’s Cove, Greenbackville, Va. Only. MHBR #4790 PRICES SUBJECT TO CHANGE

CINDY WELSH - REALTOR Hall Realty

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

September 2019 Ocean Pines PROGRESS

Professional Services Dental Services

Lawn Care

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

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

Family Dentistry

MOWING & WEED CONTROL

Monthly Billing, Credit Cards Accepted

410-213-0261

410-641-3490 Drottdmd@gmail.com

Attorneys

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

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

• Incorporation • Domestic Relations • Criminal • Landlord-Tenant

Automobiles/trucks

Racetrack Auto Sales

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

Thomas K. Coates Raymond D. Coates, Jr. Lindsey A. West 6200 Coastal Hwy, Suite 300, Ocean City 410-723-6000

B. Randall Coates (former State’s Attorney for 12 years)

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

Advertise Your Business Here As Low as $12/week

Call 443-359-7527 to Place Your Ad

CALL 410-352-5715 Carpet Cleaning

36 36 Ocean Ocean Pines Pines PROGRESS PROGRESS

OPINION CAPTAIN’S COVE

September September 2019 2019

COMMENTARY Tucker opinion on petitions is semantically challenged ty by roughly half from current levels. And that’s most unfortunate, as directors working well together of late have done much to restore confidence in the board’s execution of its policy-making, oversight and budgetary duties. The reaction to the Tuttle compromise is a step back from what’s been a solid record of performance in recent months. By rejecting the Tuttle compromise and the spending authority petition -- although that has yet to be done formally, as required by the by-laws -- the board super majority denies OPA members the right to decide the limits of board spending authority absent a referendum. It is a question that a wiser board would have allowed property owners to resolve, either by accepting the Trendic/START petition or the Tuttle compromise, maybe even both, as ripe for a referendum. That could still happen, but it appears that the (apparently) rejected petition could require some courthouse intervention before it can go to the membership. The petitioners have hired an attorney who will tell the directors in writing where he believes the Tucker opinion is deficient. If the board continues to stonewall, then the matter probably will require a judge to decide. By rejecting the Tuttle compromise, the board betrayed a lack of confidence in its ability and the ability of others in the community to defend the current spending threshold of 20 percent. Ye of little faith! If indeed a $1 million or 12 percent threshold is such a flawed change, then surely the board majority and their supporters could persuade a majority of OPA members to their point of view. By rejecting the petition asking for a referendum, and doubling down by rejecting the Tuttle compromise, the board majority

effectively disrespected the views of a significant minority of property owners who signed the petition. These directors were in effect saying that they know better -- their views take precedence -- over 800-plus property owners. In the past 15 years or so, only two projects that didn’t go to referendum would have required one if the lower threshold was in effect. The first was the Sports Core pool enclosure of 2006-07. The second is the golf clubhouse replacement project, already under way. As for big ticket expenditures that might run up against a lower spending threshold, none are on the horizon. The OPA’s reserve study, which includes a list of assets and asset components that will require replacement at some time in the future, includes nothing that approaches $1 million in cost. The OPA has no capital improvement plan currently, nor a strategic plan, which might offer clues on future projects. Parenthetically, the board majority is resisting a by-laws change that is not likely to be relevant or applicable in the foreseeable future. As for the Tucker opinion, OPA members can decide for themselves whether it passes muster and whether they would want their assessment dollars used to defend it in court, should it come to that. A cursory reading of it suggests that it’s replete with semantic hair-splitting, seemingly attaching undue significance on the use of the word “should” in the petition question. Tucker suggests that use of the word invalidates the petition as a mechanism to force a referendum. He basically is saying that the petition ques-

Full text of the OPA press release regarding petitions ... Ocean Pines has released the following statement regarding the petitions submitted by a homeowner: Based on a legal opinion by Ocean Pines’ attorney, it has been determined that neither petition meets the necessary requirements. One petition did not meet the signature requirements, and both failed to comply with petition guidelines spelled out in Ocean Pines Bylaws. According to the Association’s attorney, “A petition is valid if it seeks action requiring a referendum under the Bylaws or requests action by the Board of Directors and meets the necessary signature requirements for the type of petition.” Additionally, Section 4.08(b) of Ocean Pines Bylaws states, “If action appropriate for submission to the members on a referendum is initiated by a valid petition, the petition must contain a specific question, proposal, or action suitable for an affirmative or negative response on a ballot.” After careful review of the signatures, it was determined the Golf Clubhouse petition was signed by 743 eligible voters, or 9.69 percent of the total votes that can be cast. According to the Association’s attorney, “This petition also fails to request action by the Board of Directors. Instead, it is drafted to au-

thorize the Board of Directors to construct the clubhouse. Because this petition failed to contain the necessary signatures, did not request action requiring a referendum and did not request action by the Board of Directors, the petition does not meet the requirements of Section 4.08 of the Bylaws.” A second petition, related to Board expenditures, failed on similar grounds. According to the Association’s attorney, “The Board Expenditure Petition does not seek an amendment to the Bylaws … Rather, this petition seeks a vote on whether the members wish to move forward with a subsequent referendum on an amendment to the Bylaws.” “The question presented in this petition does not qualify as an action appropriate for submission to the members on a referendum as required by Section 4.08 of the Bylaws, even though it met the signature requirements,” the attorney said. The full attorney opinion is available for review. Copies may be obtained by written request or in person at the Administration Building beginning Aug. 22. The Board has no further comment at this time.

cean Pines Association Director Steve Tuttle’s failed motion for a referendum, asking property owner approval of a proposal to lower the Board of Directors’ annual spending threshold from 20 to 12 percent of the revenue collected from annual lot assessments, was a missed opportunity to resolve a community debate with civility and common sense. The motion failed 6-1, but Tuttle is to be commended for trying to come up with a way to respond to the recent petition drive aimed at reducing board spending authority. Instead of opting for a flat $1 million spending cap as the petition seeks as its goal, Tuttle’s proposal would have modified that by introducing an “inflation factor” in the mix. It would have allowed the spending threshold to increase with increases in OPA annual revenues from assessments. It was a compromise of sorts, well worth considering, but one which his colleagues could not accept for reasons that were as non-persuasive as the opus opinion issued by Jeremy Tucker, the OPA’s general counsel, on the spending authority and golf clubhouse petitions. Directors to some extent seemed to base their opposition to the Tuttle compromise on the Tucker opinion, which while dealing with a related issue was not directly on point to what Tuttle was proposing. Some directors suggested that the Tuttle proposal, like the spending authority petition, betrayed a lack of trust in the collective judgment of the board on spending matters, and thus did not merit a referendum. The board reaction to Tuttle’s motion promotes and encourages the mistrust which some directors lamented as the underlying motivation for the effort to reduce board spending authori-

September 2019 2019 Ocean Ocean Pines Pines PROGRESS PROGRESS 37 37 September

OPINION OPINION Semantically challenged From Page 36 tion is flawed because it asks “members to give their opinion on the amendment issue, and does not ask specifically whether they vote to approve the amendment to the By-Laws as proposed.” That’s cringe-inducing nonsense. Any referendum by its very nature is an expression of opinion, so criticizing the petition on those grounds misses the mark. Moreover, the use of the word “should” is a way of asking, rather specifically in fact, whether members favor amending the by-laws to reduce the board’s spending authority. Tucker also argues that his interpretation “is further confirmed by the stated purpose of the Board Expenditure Petition: To request a referendum be held for Ocean Pines members to decide if they wish to request a change to the OPA By-Laws so that members’ approval by a referendum SHALL be required for any single capital expenditure that exceeds $1 Million Dollars. “As the petition seeks no referendum to amend the By-Laws and does not request action by the Board of Directors, the petition does not meet the requirement for an action appropriate for submission to the members on a referendum,

as required by Section 4.08 of the By-Laws,” according to Tucker. If not nonsensical, Tucker’s interpretation of the language seems overly restrictive. Do the directors agree with it? Apparently some do, but

perhaps a change in attitude will result once the petitioners’ lawyer offers a strong rebuttal. Then the board can decide whether spending association dollars to defend a weak position is really something it wants to do. -- Tom Stauss

A solid start on creating a new capital reserve

lthough he ended up withdrawing his well-reasoned and detailed proposal for the creation of a New Capital reserve, newly elected director Larry Perrone displayed his financial chops by introducing a motion to remedy a long-standing impediment to rational governance in Ocean Pines. After meeting some “process” as opposed to substantive or conceptual opposition to his motion, offered during a Aug. 31 Board of Directors meeting, Perrone wisely decided to refer it to the By-laws and Resolutions Advisory Committee for vetting rather than have it go down to defeat. While there is understandable concern that a New Capital reserve will become what is sometimes called a slush fund that could be abused by future boards, it is also true that not having such a reserve constitutes a bias against legitimate proposals for new capital projects in Ocean

Pines. Boards often are loathe to fund new projects (as opposed to replacement or maintenance of existing assets) because they directly affect the lot assessment in the year in which the new capital spending is proposed. Some easily defended new projects -- fitness equipment and benches along the the South Gate are recent examples -- are not funded because directors are reluctant to raise assessments. Perrone’s proposal bypasses this impediment to good governance by diverting a percentage of revenues collected for the Major Maintenance and Replacement reserve into his proposed New Capital reserve. Such diversion of funds is allowed by OPA governing documents, but it should be codified by amending the applicable board resolution. That shouldn’t be too difficult. There already is a dormant “Future Projects” reserve available for resurrection. -- Tom Stauss

Flagship -hDressbarn WELCOMEPremium FALL WITH GCinemas IFTS frroom U-ltMarshalls aels Crafftts - P-aPier rk Plac1eImports Jewelers a Beauty - Micch BBatath an Bath aand nndd Body BBod dy Wor WWo Works oBath rks ks - Wo WWockenfuss cBeyond keenfuuss kkenf ssss Ca CCan Cand Candy an-dUlta y - Marshalls MaarsBeauty rsrsha s - Five F v-ePetCo GGuuyyss - Mattress Guys M-ataattre tttttress ressss sFFirm rm - AT&T rm ATT&&T AT Staples -oodBed &ockenfuss Pam’ Hallmark Pam’s Pa PPam Pam’ aamm s Hallmark HTree Ha aallmma m-aarrrkFiveBelow k - SSta St Staples tataples es --DDo es Dollar o ar ollar ar Tr TTree ree ee -Body PeeettC Pet PPetCo tCCooWorks - Farmers Farme- rrsAT&T s BBan Bank ank ank- Panera of Willards of W ard ardds s - GGameSto Gam GameS GameStop am- Verizon eeSSStto top Dollar Bath and Bread BBed, Bed edGuys , Bath BBat ath- Wockenfuss & BBeyond Bey eyond eyyond ond - Dunkin’ DCandy uunkin’ nnkk n -Donuts Do DDonut oonuts nuttss - Panera PPaaane anera ne- rGNC a BBread rre read eea d - FiveBelow F ve veeBBBe e oow w- Dairy - TTaco aacccoo Queen aco Bee BBell Five GameStop -aCutting Crew Cutting CCut uutttttt/Taco uttin ng Crew CrreBell ew --ddressbarn reessb rressb eess ssssNails bbar arn arn -- US UDunkin’ S Postal Pooostal PPost sttaaDonuts BBranch Bra ranch ch--Farmers GNC GGNNNCC - JJiffy iffy fffBank ffyy Lube Luube bbe-eJiffy - KFC KFCLube KF - Pier P eer-rPost 1 Im Imp mOffi por oorts rtstce s KFC Nice

38 38 Ocean Ocean Pines Pines PROGRESS PROGRESS

OPINION OPINION

September September 2019 2019

A shout-out for transparency and respecting OPA members

et’s give credit where credit is due: President Doug Parks, in his second year at the helm of the Ocean Pines Association, has decided to loosen what has been a tight rein on two-way dialog with OPA members during regular meetings of the Board of Directors. At the Aug. 31 board meeting, Parks announced that he and his colleagues, and by implication General Manager John Viola and staff, would respond to questions from the membership, when to do so would not unnecessarily prolong board meetings. Parks admitted he had been a stickler for limited member commentary during board meetings, constricting it to the Public Comments segment. Traditionally, those comments or questions have been uttered in a vacuum. For the most part, the OPA president, directors and staff did not respond to those comments when they were phrased in the form of questions. That will now change, Parks said, and apparently that also will allow some two-way communication when a question manifests outside the confines of Public Comments. Unfortunately OPA members can’t know for sure what prompted Parks’s change of heart. Lots of email is exchanged among the directors, and it’s very possible if not likely that Parks notified his colleagues of his decision before he announced it to the membership. At least some of the credit for this small gesture in the direction of greater transparency should be shared with OPA Vice-president Steve Tuttle. In the last board term, when he was presiding over a meeting in Parks’s absence, Tuttle seamlessly allowed dialog with the members in attendance. The meeting didn’t seem unnecessarily prolonged. Indeed, it moved along quite well, but with a friendlier, more inclusive vibe. Tuttle later joked that he had allowed the dialog out of inexperience presiding over a board meeting. Perhaps. More likely it was just his better instincts kicking in. It was as if he had a sense that allowing some give-and-take among directors and members would pro-

LIFE IN THE LIFE INPINES THE PINES

gives “the other side” a basis for asserting bad faith and a predicate for An excursion through the curious cul-de-sacs An excursion through theby-ways curious and by-ways and cul-de-sacs a pattern of ignoring the by-laws. of Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. While perhaps not a fatal error, it By TOM STAUSS/ By TOM Publisher STAUSS/Publisher certainly was an unforced error that is likely to engender some karmic mote good will and information to rounding error in the OPA’s annual repercussions if and when this matbudget. flow in a more timely manner. ter is heard by a judge. Legal fees to defend a lawsuit? Why leave a question that can be Moreover, Bylaws and Resolueasily answered hanging out there Hardly a rounding error, if last tions chair Jim Trummel, in comin the ether, with members feeling year’s budget-busting legal expens- ments offered during the Aug. 31 disrespected and ignored? Why in- es are any indication. board meeting, opined wearing his Unfortunately, the board has al- OPA member hat that the board deed. Parks and his colleagues would ready undermined its legal position should have been more transparent have done well to follow Tuttle’s lead should this easily defused situation in the way it addressed the Tucker on another topic of interest during find its way into court. opinion. The by-laws call for the OPA sethe Aug. 31 board powwow. He seemed to be suggesting that Tuttle offered a well-reasoned cetary, Colette Horn, to either cer- before the OPA issued a press re“compromise” to allow a referendum tify or reject the filed petition. She lease announcing the rejection of the on a proposal to lower the board’s didn’t do either in a timely fashion. petitions, the board should have had Here’s what the by-laws say a public discussion, allowing OPA spending authority (without a referendum) to $1 million, from about about it: members to offer rebuttals and, per“Within ten (10) calendar days af- haps, influence directors before they $1.7 million currently allowed unter a petition is filed, the Secretary accepted Tucker’s interpretation. der the by-laws. Again, Tuttle’s instincts were shall certify that the petition meets This failure in transparency also spot on. He in part justified his mo- the requirements of this Section or undermines the OPA’s legal position tion for a referendum lowering the file a public report with the Board should a judge’s services be needed threshold to 12 percent of the annu- of Directors specifying the basis for in the future to arbitrate between al assessment, equivalent to about rejecting the petition.” competing interpretations of the byThe OPA released Tucker’s opin- laws. $1 million, as a way of respecting the opinion of 800-plus property ion and a press release essentially Somewhat ironically, no director owners who signed a petition asking saying it agreed with Tucker’s opin- chose to respond to Trummel deion. for a lower spending threshold. spite the new policy that explicitly But the OPA is not a homoge- allows it. It’s not too late for the board majority to reconsider its decision to neous entity that speaks for everyAll of this could have been avoidreject Tuttle’s compromise, which one in Ocean Pines. The press re- ed, and still might be, if on sober would allow the spending threshold lease said it had been determined -- reflection, the board collectively to adjust annually with inflation as note the use of passive voice -- that changes its mind on the Tuttle comreflected in increases in the annual the petition for reducing the spend- promise. ing threshold failed to meet the relot assessment. If they choose not to go along with quirements for a referendum under Tuttle, the board majority may find the by-laws. It would have been easy enough itself in court defending counsel Jeremy Tucker’s rather tortured in- for Horn as the OPA secretary to The Ocean Pines Progress, a journal terpretation of the by-laws as they issue a statement, within the speciof news and commentary, is pubfied ten-day window, indicating that lished monthly throughout the year. relate to member petitions. It is circulated in Ocean Pines, BerThat interpretation was cited by the petition had been rejected. She could also have issued a “publin, Ocean City, and Captain’s Cove, at least one director as a reason for Va. rejecting the petition submitted by lic report” explaining that she was former director Slobodan Trendic rejecting the petition based on the 127 Nottingham Lane on behalf of property owners who legal opinion of Tucker. She could Ocean Pines, MD 21811 want the OPA membership to de- have included Tucker’s opinion as cide whether to reduce the board’s supporting documentation in her PUBLISHER/EDITOR public report. spending authority. Tom Stauss Why she didn’t comply with the It’s always easy and perhaps even stausstom@gmail.com defensible to rely on legal advice as rather simple instructions in the 443-359-7527 a director. But in this instance Tut- by-laws on how to handle a petition tle’s reasonable solution offers a way is mystifying. She certainly was not Advertising Sales out of what could become an expen- reticent more than a year ago in reFrank Bottone jecting the candidacy of former Actsive quagmire. 410-430-3660 As has been said elsewhere, the ing General manager and director cost of defending Tucker’s interpre- Brett Hill, citing applicable by-laws. CONTRIBUTING WRITER By not complying with the bytation might turn out to exceed the Rota Knott cost of a referendum. If it’s $10,000 laws’ instructions on handling the InkwellMedia@comcast.net or less, the cost of a referendum is a petitions submitted by Trendic, she

443-880-3953

September 2019 Ocean Pines PROGRESS 39

Call for your FREE crawl space assessment! 410-543-4848 MHIC #102406

“Delmarva’s Crawl Space Experts!”

40 Ocean Pines PROGRESS

September 2019

YOUR TRACKER SPECIALISTS! Everything But The Water

WE ARE YOUR AUTHORIZED TRACKER BOATS DEALER ON DELMARVA!

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