November early december 2014 ocean pines progress

November-Early December 2014

www.OceanPinesToday.com

Vol. 10, No.8

410-641-6029

www.issuu.com/oceanpinesprogress

Progress launches new Web site

THE OCEAN PINES JOURNAL OF NEWS & COMMENTARY COVER STORY

Natural gas talks at an impasse Sandpiper continues to resist idea of franchise fee, OPA officials say

By TOM STAUSS Publisher ustomers of Ocean Pines’ exclusive supplier of propane via underground pipeline who hope to be able to transition to natural gas sometime soon, perhaps even next year, are even further away

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from that possibility than they were a few months ago.

Talks between the Ocean Pines Association and Sandpiper Energy, Ocean Pines’ propane supplier via pipeline, have not broken down completely, but nor are they heading in a direction that makes a new franchise agreement likely anytime soon. Without a new agreement in place, Sandpiper has indicated that it has no interest in beginning the complicated and protracted process of converting neighborhoods in Ocean Pines to natural gas. As a practical matter, Sandpiper would need close cooperation with the OPA to facilitate that conversion.

While OPA Director Tom Terry reported during the OPA Board of Directors meeting Sept. 27 that there had been some positive “movement” between the two sides in face-to-face negotiations, a revised contract submitted by Sandpiper in a follow-up to that negotiating session did not seem to incorporate that positive movement, according to OPA sources.

OPA Director and Vice-president Marty Clarke recently characterized the

revised document as a “step back” and even went so far as to say that prospects for agreement on a new franchise agreement as a replacement to the one in place since the 1990s, and repeatedly extended by the board during negotiations with Sandpiper, are worse now than they were a few months ago.

Clarke said the company continues to resist a core OPA objective of receiving an annual franchise fee for the right to distribute propane or natural gas through a piping network on OPAowned property, which he said “wouldn’t cost them a dime” because it would be passed on to their customers on their monthly bills.

Previously, Clarke has said that the OPA has not asked for any specific franchise fee in i t s discussions with Sandpiper but that he believes it should be the same as the $250,000 per year that the OPA receives as part of its franchise agreement with Mediacom, Ocean Pines’ primary cable television and Internet provider.

That fee is collected through a modest monthly charge on monthly Mediacom invoices.

Clarke said his personal view, and he believes there is some support for it on the board, is that the OPA should stop running up legal bills by having its at-

torney continue to conduct negotiations with counterparts within Sandpiper.

He said he believes the OPA should simply send a letter to Sandpiper advising the company of the OPA’s positions relative to the franchise fee and other issues, that the latest proposal is unsatisfactory from the OPA’s standpoint, and that the company can and should draft a revised franchise agreement by a set deadline that meets OPA expectations.

The OPA’s attorney, Steve Smethurst of Salisbury, would still be available to review any subsequent proposals from Sandpiper and to advise the board on it, Clarke said.

If nothing emerges that meets board approval by that deadline, Clarke said he personally supports sending a letter to Sandpiper advising it that it no longer has the right to serve its Ocean Pines customers through the pipeline that Eastern Shore Gas Company, a predecessor company whose assets were purchased by Sandpiper’s par-

Ocean Pines residents and property owners who want more frequent updates on the goings-on in their community than a monthly publication can offer can now access www.

OceanPinesToday.com. It’s the relaunched Web site of the Ocean Pines Progress.

Those interested in accessing a PDF version of the print publication can still find it at www.issuu.com/ oceanpinesprogress.

GM excluded from CIP working group It’s official: The Ocean Pines Association’s Board of Directors, and more specifically OPA President Dave Stevens, is taking direct control over developing a long-term capital improvement plan for the OPA. OPA General Manager Bob Thompson won’t be totally excluded from the process and is still expected to produce an updated CIP draft this month with more of a focus on the next 12 to 24 months. ~ Page 5

OPA awards contract for White Horse boat ramp construction After asking several marine contractors who attended a pre-bid meeting why they ultimately opted not to submit a proposal for the work, the Ocean Pines Association’s Board of Directors in a Nov. 3 special meeting approved a contract with Fisher Marine for construction of a new White Horse Park boat ramp. ~ Page 11

OPA solicits proposals for golf course leasing ent company, installed in most areas of Ocean Pines during the 1990s.

He said he is unsure a board majority would support that kind of action or any litigation that might result from it, but Clarke said that the OPA has “maximum leverage” over pipeline operations so long as the company continues to use To Page 20

Although one director said he and the Ocean Pines Association general manager were not informed when a request for proposals for new management of the Ocean Pines golf course was sent to groups that had already expressed interest in leasing it, in the end all seven directors endorsed the posting of the RFP on the OPA Web site. ~ Page 25

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November - Early December 2014

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November - Early December 2014 Ocean Pines PROGRESS

OPA seeks information from propane suppliers

Board member’s wife dies in car accident

Donna Jean Clarke, 66, wife of Marty Clarke, vice president of the Ocean

OCEAN PINES BRIEFS Pines Association, died Nov. 6 from injuries suffered in a car accident on Route 50 in Berlin.

She is survived by Marty, her husband of 37 years, and two daughters, Meaghan Rosso and Lindsay Abruzzo, and four grandchildren. She worked at Peninsula Orthopaedic Associates in Salisbury.

A mass was held on Tuesday, Nov. 11, at St. John Neumann Catholic Church.

In lieu of flowers, memorial donations may be made to Relay For Life Northern Worcester County at http://relay.acsevents.org. Online condolences may be shared with the family at www.burbagefuneralhome.com.

OPA president makes committee appointment

The Ocean Pines Association has appointed a single property owner as a new member on two of its advisory committees.

During an Oct. 23 meeting, OPA President Dave Stevens officially appointed George Bowers to a first term on the Environment and Natural Assets Advisory Committee and on the Clubs Advisory Committee.

Board Oks replacement of Marina electrical lines

The board of directors has authorized staff to hire a contractor to replace electrical wiring at the Ocean Pines Association’s Yacht Club marina prior to installation of new fuel dispensers.

OPA General Manager Bob Thompson told the board of directors during an Oct. 23 meeting that the company awarded the contract for replacing the fuel pumps recommended running new electrical lines first.

Thompson said the company identified some lines that are deteriorating.

The lines run from the end of the dock to the site of the fuel source which is on the opposite side of the dock. The project

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will include replacing both the special gel coated lines used for marina electrical work and the conduit.

“That’s going to increase price of total project,” he said. Because the electric lines used for water-based operations are gel coated to protect them, they are more expensive than standard electrical lines.

As a result, he said he cannot yet tell the board how much it will cost to replace them at the Yacht Club marina.

Still, Thompson said, the overall fuel dispenser replacement project will be under budget. The OPA had budgeted $75,000 for the project and the final amount will be “well below” that, he said.

Jones and Frank were awarded the contract for the fuel dispenser replacement following board approval on Sept.

27. When the Jones and Frank team did the final walk-through before ordering the parts to begin dispenser replacement they expressed concerns with the electrical lines that run under the dock. The concern was older lines, some touching the water, could short out the new equipment. The crew recommended that new lines be run before we begin replacing the dispensers.

Thompson said the OPA reached out

to multiple electrical contractors to price that work and is waiting for estimates.

At that time he had only received one bid for the work. He said the Director Marty Clarke supported the request to replace the lines. “I’m assuming those electrical lines are as old as the pumps.”

Instead of holding up the overall project until the next board meeting for approval, directors approved giving the general manager the authority to award a contract to replace electrical conduits at a cost of up to $20,000. Clarke made the motion to give Thompson that authority on behalf of the board and the motion was approved unanimously by his fellow directors.

Ocean Pines leaf collection to launch

The Ocean Pines Association has announced leaf collection procedures for its residents this fall. Ocean Pines Public Works and Waste Management, the Ocean Pines franchisee for household trash collection, are both involved in the collection program.

Waste Management customers may place up to four bags of leaves curbside for each scheduled pickup, in addition to regular trash pickup. Trash collection days for residents south of Route 90

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ith the timing for natural gas coming to the community still uncertain, the Ocean Pines Association is asking local propane suppliers for information about the services they can provide to property owners.

OPA President Dave Stevens during a report at an Oct. 23 meeting said the association has submitted a request for information to propane suppliers. The RFI seeks information about the types of services they offer, their rates for service, and their general ability to provide service to Ocean Pines properties.

“This is simply to provide residents with an option,” he said until natural gas becomes available in the community, or for those who chose not to connect to natural gas in the future.

Because the OPA is still in negotiations with a natural gas company, Stevens said there are many property owners who are concerned “about what they should do right now,” such as whether or not to sign up for propane service or to replace existing tanks.

Stevens said the OPA is trying to gather as much information as it can about the services provided by local propane suppliers so individual property owners do not have to do all the work on their own. But then, property owners can decided whether or not to follow up with the suppliers about using their services.

Director Sharyn O’Hare said soliciting a RFI was an “excellent idea.” She said it will be good for the companies to get the word out about their services and at the same time is a valuable opportunity for residents to learn more about their options.

She cautioned the OPA to ensure that residents know if they intend to have a propane tanks on their property then the tanks must be properly screened from view according to association regulations.

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OCEAN PINES

November - Early December

OCEAN PINES BRIEFS From Page 3

Ladies golf donation

On Tuesday, October 7, the Ocean Pines Ladies Golf Association held their Annual Pink Lady Golf Tournament at the Ocean Pines Golf and Country Club to raise money to help provide mammogram screenings through the Eunice Q. Sorin Women’s Diagnostics Center at Atlantic General Hospital in Berlin. The association raised $952 during this year’s event, bringing its total contribution over the past four years to $3,800 raised for the center. Pictured, from left, are Donna Pellinger, Atlantic General Hospital Development Officer; Janet Stoer, OPLGA Pink Lady Chair; and Pink Lady committee members Diana Earhart and Natalie Fenwick.

are Tuesday and Friday. For residents north of Route 90, the collection days are Monday and Thursday. Waste Management will also pick up branches if they are tied in bundles no longer than 4 feet.

Leaves and other yard debris bagged in paper bags will also be collected by Ocean Pines Public Works beginning Nov. 17. Bags will be picked up on days opposite from Waste Management’s collection days. Only paper bags will be accepted, and there is no limit to the number of bags that residents may place curbside. Each section of Ocean Pines will be visited by Public Works at least once a week.

Public Works will use this same schedule to vacuum ditch leaves that have been raked to the street. Yard leaves that have been raked to the street

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will not be picked up. These leaves must be placed in paper bags for collection.

Ocean Pines residents may also bring leaves and yard debris in bulk or paper bags to the Public Works yard, located at 1 Firehouse Lane near the south station fire department. The yard will be open Monday through Saturday from Nov. 17 through Dec. 20 from 7 a.m. to 3 p.m. Residents with questions about leaf collection should contact Ocean Pines Public Works by calling 410-641-7425 or emailing Linda Martin at lmartin@ oceanpines.org.

Yacht Club to host Thanksgiving buffet

The Ocean Pines Yacht Club will open its doors for Thanksgiving dining on Thursday, Nov. 27. Seating times are scheduled for 2 p.m., 4 p.m. and 6 p.m.

The special holiday buffet menu will include a soup and salad bar and a traditional Thanksgiving feast with turkey, ham and side dishes. Dessert will feature a pie station and coffee. A complete menu may be viewed online at www.

OceanPines.org.

The price is $21 for adults (ages 13 and up), $10 for children ages 4-12 and free for children 3 and under. Prices do not include tax or gratuity. Bar service will be available for an additional fee.

For those who would like to enjoy a Thanksgiving meal crafted by the Yacht Club’s culinary team at home, a takeout option is also available this year. Pre-orders may be made for small or large complete feasts – including turkey, sides and dessert – or for a la carte items such as meats, soups, appetizers, side dishes and pies.

Takeout orders must be placed by Monday, Nov. 24, for pickup from 9 a.m. to noon on Wednesday, Nov. 26 or Thursday, Nov. 27. Order forms are available at the Yacht Club, the Ocean Pines Administration Building and online at www.OceanPines.org.

To make reservations for Thanksgiving or to place a takeout order, call the Ocean Pines Yacht Club at 410641-7501, email dining@oceanpines.org or visit the Yacht Club at 1 Mumford’s Landing Road in Ocean Pines.

Rec department hosting annual ‘Reindeer Lane’

The Ocean Pines Recreation Department will be hosting the third anual Reindeer Lane, a holiday shopping fair specifically for children ages 12 and younger, on Dec. 6. This coincides with the breakfast with Santa at the Ocean Pines Community Center.

Each child will receive a small gift bag with tissue paper with their purchase. Donations of gift items and holiday bags/tissue paper can be dropped off at the community center during regular business hours. Proceeds will be used to purchase outdoor decorations for the Old Fashioned Christmas tree lighting.

The Recreation Department staff can be reached at 410-641-7052.

OCEAN PINES

November - Early December 2014 Ocean Pines PROGRESS

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General manager omitted from capital improvement plan working group Stevens appoints facilities manager Jerry Aveda to three-member task force; Thompson to submit revised ‘rack and stack’ that focuses on next two years said he has a lot of volunteers for the third position on the CIP working group, which he said will be supplemented by others who will be given specific tasks related to the CIP’s development.

The motion authorizing the creation of the CIP working group was 5-2, with Directors Bill Cordwell and Sharyn O’Hare opposing it because Thompson will not be a member while one of his department heads, Aveda, is. The directors spent much of the meeting skirmishing over Thompson’s role in CIP development, including whether Stevens unilaterally directed Thompson to abandon a longer term revision of the CIP after assuming the OPA presidency this past August.

Stevens told the directors that he was not including Thompson on the working group because it would be difficult for him “to come up with a long-term plan”

for the OPA at the same that he’s “busy in operations,” managing “the day-today” affairs of the OPA. Calling development of a new CIP “the highest need” of the OPA, Stevens said Thompson’s role would be complementary to the working group, and that he was not attempting to exclude the general manager from the process, only to allow him to step back from a role he described as policy-making and thereby within the purview of the board.

Former OPA President Tom Terry said he was “not against” Stevens’ task force proposal but expressed concern that it not become too unwieldy with too many members or attempt to go back “to ground zero as if much of the content of the CIP “had never been ploughed. …

The bigger it is, the less effective it will be,” Terry said.

Stevens responded that a three-mem-

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ber task force heading up the effort will keep it focused, while additional volunteers will be sought for specific tasks for investigations.

“The subject is so broad that three people won’t be able to do all the work,” Stevens said, telling his colleagues that he expects the working group by year’s end will identify the areas or projects that need investigation.

He cited two examples: upgrades to the OPA’s antiquated information technology systems and what to do with the aging Country Club.

Stevens said that in some cases the teams investigating specific areas or projects will begin with substantial material that has been assembled previously.

O’Hare and Cordwell weren’t buying Steven’s rationale for excluding Thompson from membership on the task force.

Cordwell called it a ‘straw man” argument and that he could see no conflict in the general’s manager day-to-day role and what the task force will do.

O’Hare insisted that the board should await Thompson presentation of a revised draft CIP at the board’s November meeting before proceeding with appointing a task force and that Thompson should be on it.

“I can understand your point of view but it’s not correct,” Stevens said, adding that the appointment of a task force will not in any way impede Thompson “com-

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By TOM STAUSS Publisher t’s official: The Ocean Pines Association’s Board of Directors, and more specifically OPA President Dave Stevens, is taking direct control over developing a long-term capital improvement plan for the OPA. OPA General Manager Bob Thompson will not be excluded from the process, and is still expected to produce an updated CIP draft this month, but with more of a focus on the next 12 to 24 months. At least that’s what he told the directors during a special meeting Oct. 18.

But once Thompson submits whatever it is he’s been working on since being told to produce a revised CIP earlier this year, a three-member working group headed up by Stevens will take over the CIP development process.

The OPA president also said that Thompson will be kept informed of the working group’s deliberations through Aveda’s participation and the fact that all group sessions will be open to the OPA membership One other member has been identified, OPA Facilities Manager Jerry Ave da, with a third member to be identified soon, Stevens said.

He mentioned Ocean Pines property owner and contractor Ted Moroney, if he agrees to participate; Moroney is a key player on the new Yacht Club’s implementation working group. Stevens

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OCEAN PINES

November - Early December 2014

CIP working group From Page 5 ing back” with a revised CIP. The general manager last came up with a revised CIP draft, including a proposed “rack and stack” of capital projects, big and small, over a ten-year period, in November of last year; last year’s board under Terry did not address it, let alone vote on its contents.

The board last approved a similar rack and stack in June of 2012.

Thompson told the board of directors that, contrary to the board’s directive from earlier this year that he complete a revised CIP draft by November of this year including longer-term projections, he instead would be presenting to the board “more or a 12 to 24 month deliverable.”

Thompson said that in a meeting after Stevens assumed the OPA presidency, Stevens “directed” the general manager to focus on the 12 to 24 month period.

That prompted O’Hare to scold Stevens for directing the general manager “to do something else than what we directed him to do” earlier this year, but Stevens pushed back against the idea that he directed the general manager to do anything.

“I didn’t direct him,” he said, later saying that Thompson had come up with

the idea to focus more on the 12 to 24 month timeframe and that he (Stevens) was OK with that.

Stevens added that he could find no “statement of work” in any minutes from board meetings earlier this year specifying precisely what the general manager had been tasked by the board to produce.

He also said that if the board had earlier directed him to produce “something different” from what he now intends to deliver, he wouldn’t have a problem with that either.

Terry attempted to settle the disagreement by saying that, given the appointment of a task force that will develop a ten-year CIP, there “is no reason for Bob to continue doing he was doing” on the longer-range plan.

When the discussion continued with no apparent resolution, Terry repeated that Thompson should concentrate mostly on the 12- to 24-month period, while O’Hare insisted the he produce a longer range consistent with the original directive.

At one point Thompson asked the board to give him “clarity” about what it expects from him, but he didn’t really get it: A board majority seemed willing to let Thompson to produce whatever it is he wants to produce, with a focus on the 12 to 24-month timeframe. He also is free to reference longer-term projects.

Later in the discussion, when O’Hare

asked Stevens whether he was willing to “compromise” on the appointment of the task force by waiting to create it until after Thompson produces his revised CIP, but Stevens declined, telling O’Hare that “we’re already behind” schedule in producing a revised CIP. Stevens was willing to accept an amendment to his original motion offered by Terry setting a January, 2015, deadline for the task force’s initial report to the board. The amendment passed unanimously, but the underlying motion passed by the 5-2 margin.

With Thompson indicating that he plans to focus on the 12 to 24-month period in his pending submission, it will be interesting to see whether he will continue to promote some of the more controversial ideas he proposed in his draft CIP revision from November of last year.

For Fiscal 2015-16, the year that begins on May 1 of next year, Thompson’s draft from last years proposed projects costing an estimated $2.63 million.

It was an ambitious, even aggressive, plan that Thompson presented last year.

It targeted the White Horse Park campus, the Manklin Meadows complex, the Beach Club and Country Club campuses for attention.

He proposed a fitness center for the Assateague Room in the new Community Center, with shower facilities replacing the Community Center kitchen. He

included a new, larger police department facility, 3,000 square feet in area, to be appended to the existing 1,700 square foot police station; the old police station would be converted into a meeting space to replace the Assateague Room for smaller events.

Larger events, such as the OPA annual meeting, would be shifted to the Community Center gym, according to Thompson’s draft.

Thompson’s draft “rack and stack” estimated $350,000 for a new fitness center and $500,000 for the new police station addition.

His draft CIP attempted to justify the larger space for the Ocean Pines Police Department on the basis of a ten percent increase in staffing over the past ten years and a 20 percent increase in the number of arrests, an approximate 54 percent increase in service calls, and an approximate 300 percent increase in mutual aid calls, and an 8 percent increase in certain other offenses.

“This increase in the OP Police Department mission requirements has occurred while the workforce occupies approximately the same 1,700 square foot feet of facility space that it has … since 1985,” according to the November 2013 draft.

“The current facility has no locker room and officers change into civilian

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November - Early December 2014 Ocean Pines PROGRESS 7

OCEAN PINES CIP working group From Page 6 clothes in rest room facilities.” Also cited is one work station shared by three computers and one holding cell equipped with a toilet, along with a temporary holding cell created from former closet space.

The temporary holding cell “will hold an individual only long enough for the officers to complete required paper work for in processing,” according to the draft CIP, which compared Ocean Pines police facilities unfavorably to those in other area communities.

A 3,000 square foot police station would permit sufficient space for locker rooms, work stations and for holding

and processing violators, the draft said.

The 1,700 space to be vacated by the police would become a board conference center, adequate to host monthly board meetings, according to the draft.

To justify the need for a new fitness center, the draft said that requests for it “are received on a regular basis from members/guests” at the community center. T he plan envisions that it would be a fee-for-use facility with state-of-the-art exercise equipment, such as nautilus machines, treadmills, elliptical machines and free weights.

The draft also identified $120,000 in additional tennis complex spending for FY 2016 and devotes a section to recommending a new combined racquet club

facility that would serve the platform tennis, pickleball and conventional tennis communities.

The draft suggested consideration should be given to the construction of a new two-story clubhouse that would replace the existing one-story clubhouse building. The new building would house a pro shop, meeting area, snack bar and wrap-around observation decks and storage.

Alternatively, a decision could be made to simply renovate the existing building.

“Consideration should be given to provide a sufficient area for banquets, card playing or other functions,” the draft said. The $120,000 included in the plan for FY 2016 would cover the costs

of a feasibility study for a new building versus a renovation.

The draft envisioned $200,000 in Beach Club renovations in FY 2015-16, with another $200,000 the following year.

Golf would receive another generous infusion of OPA resources in FY 2016, according to the draft, with $600,000 in golf course drainage improvements and $225,000 for a new or renovated golf maintenance building.

Rounding out the list, the draft proposed $635,000 in community improvements unrelated to recreational amenities, with $85,000 estimated for North Gate bridge improvements, $400,000 in road resurfacing, and $150,000 in computer equipment.

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OCEAN PINES

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Board awaits GM analysis on change in reporting waterfront reserve revenues

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the Budget and Finance Advisory Committee to change the way that revenue flowing into the OPA’s bulkheads and waterways reserve is reported in the reserve summary that is part of the OPA’s monthly financial documents.

The proposal was addressed during the board’s regular monthly meeting Sept. 27, but there was with no motion presented to implement it. The proposal endorsed by the full committee at its September meeting.

OPA President Dave Stevens has said the board could vote on the proposal as early as its regular meeting in November, unless OPA General Manager Bob Thompson can present the “cons,” or reasons why it shouldn’t be.

Thompson attempted to do just that during the Sept. 27 meeting but didn’t seem to have much success. Stevens directed the general manager to produce an analysis of the proposal before the board’s regular monthly meeting scheduled for Nov. 22.

In a Sept. 22 memo to the board, committee chair Pat Supik noted that there are three primary purposes for the bulkhead and waterways reserve – maintenance and replacement of member-owned bulkheads, maintenance of OPA-owned waters and canals, and maintenance and replacement of OPAowned bulkheads.

The memo said that the funds collected for the maintenance/replacement of member-owned bulkheads – that’s the so-called waterfront differential, the difference in the annual base lot assessment and the assessment paid by owners of most bulkheaded privately-held lots in Ocean Pines -- are not intended to be used to maintain or replace OPAowned bulkheading or canals in common areas.

That specific earmarking is distinguished from other reserve funds, the memo said.

In addition, roughly $19 per year is collected from every base lot assessment for use to maintain or replace OPAowned bulkheading or other purposes related to the waterways and canals.

Because of these two separate and distinct revenue flows into the bulkhead and waterways reserves, with specific restricted purposes for each, the committee is suggesting a change in the way these revenues are displayed on the reserve summary.

In short, the committee wants both revenue streams to be shown in the reserve summary – contributions from base assessment in one instance and waterfront differential revenue in the other.

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Germanfest

The Greater Ocean Pines/Ocean City Kiwanis Club hosted its annual Germanfest on Sunday, Nov. 2, in the Ocean Pines Community Center. Proceeds go to the club’s Scholarship Foundation which awards scholarships each year to graduating senior high school students to help them with the costs of furthering their educations. Guests were served by, left to right, Carol Kastner, and Kiwanians Al Kastner, Elmer Muth and Lynne McAllorum.

Waterfront reserves From Page 9 The bulkhead and waterways reserve would be divided into two columns, one for activity related to OPA-owned assets and the other for member-owned bulkheads.

According to the memo, this proposed change in the reserve summary will provide for greater transparency and “clarifies the adequacy of the reserves” for the two distinct purposes for which revenue is collected.

Stevens said he wanted a recommendation on how to implement the proposal from Thompson, who noted that the OPA is at the end of the 35-year bulkhead replacement program, with only two years left of “minor” repairs or replacement.

Thompson didn’t explain how the status of that program is related to the way revenues and expenditures from the bulkhead and waterways reserve are reported on the reserve summary Thompson then said the board needs “legal input” into the issue and suggest-

ed that the issue wouldn’t be resolved in 30 days.

He said he was researching the rationale for why revenue collected from the base assessment and waterfront differential are essentially combined or blended in the reserve summary.

Stevens, however, didn’t seem to buy the notion that Thompson couldn’t complete his research into the matter within 30 days.

While conceding he didn’t know all of the potential complications of adopting the committee recommendation, the OPA president advised the general manager to include the results of his research – or as he put, the proposal’s “cons” – in his next general manager’s report to the board.

“I don’t see why you can’t have it at the next meeting,” Stevens said, adding that, without objection from other directors, he wanted Thompson to “produce (his) comments” in time for board action on the proposal in November.

No director raised an objection to the deadline.

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Board awards boat ramp contract to Fisher Marine

By ROTA L. KNOTT Contributing Writer

A

fter asking several marine contractors who attended a pre-bid meeting why they ultimately opted not to submit a proposal for the work, the Ocean Pines Association’s Board of Directors in a Nov. 3 special meeting approved a contract with Fisher Marine for construction of a new White Horse Park boat ramp.

Director Tom Terry offered the motion to approve the $255,000 contract, with OPA President Dave Stevens and Directors Bill Cordwell and Pat Renaud in favor, Jack Collins abstaining and Marty Clarke opposed. Sharyn O’Hare was absent from the meeting.

Clarke said that contractors were given too little time in which to bid and complete the project with a stipulated completion date at the end of February next year.

The project will replace the boat ramp complex in White Horse Park off Beauchamp Road. The project includes the replacement of the two existing boat ramps, replacement of three existing piers with one new pier and a temporary berthing dock for boats waiting to use the ramps, installation of a new vinyl bulkhead and the construction of a concrete pier with a gangway and floating dock.

The directors delayed a vote on the contract from the Oct. 23 regular monthly board meeting to the Nov. 3 special meeting so they could reach out to contractors who initially seemed interested in performing the work but never submitted a bid proposal to the OPA. Stevens said he and several other board members contacted those contractors and discovered that there were a variety of reasons why they did not submit bids, none of which had anything to do with the timing of the request for proposals or the project itself. One contractor was simply too busy until November 2015, another couldn’t get the appropriate bond and a third thought the project was too small.

“There was nothing that we could change that would motivate them to bid?” Director Jack Collins asked.

Stevens said none of those contractors said that changing anything in the RFP would have made them more likely to submit a bid. He said the only potential area for change was “going back and looking at the process from the very beginning and the time frame.”

He said all of the contractors felt that they were not given enough time to respond to the request for proposals (RFP) and that the February completion date for the project was too soon.

Frank Watkins, chairman of the OPA’s Marine Activities Advisory Committee, the group that originally proposed and designed the new boat ramp layout, said that group would have liked to have two or more bids for the work.

“However we didn’t get them,” he told the board during the public comments segment of the special meeting.

He said that the other contractors had the opportunity to submit proposals but elected not to do so.

Watkins encouraged the board to approve the single bid that was received from Fisher Marine so the project can

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OCEAN PINES

November - Early December 2014

Boat ramp

Wilson at Kiwanis

Worcester County Superintendent of Schools Jerry Wilson, Ph.D. was the guest speaker at the Nov. 5 weekly meeting of the Greater Ocean Pines/Ocean City Kiwanis Club. Pictured (left to right) are Kiwanis Programs and Speakers Chair J. Graham Caldwell, who substitutes at Worcester County Technical School; Barbara Witherow, Kiwanis Club President Carolyn Dryzga and Dr. Wilson.

From Page 11 get under way. Since the bid was opened and made public it would not be fair now to seek other bids for the work, he said.

“This board should vote to go with it and learn a lesson,” he said.

OPA General Manager Bob Thompson said that none of the reasons given by contractors for declining to submit a proposal had anything to do with timing.

“There was nothing wrong with the bid process,” he said, an opinion that Stevens and Clarke do not share.

Clarke in particular said the RFP should have been sent out much sooner than it was, which would have given more contractors an opportunity to plan for and bid on the project.

Thompson said that the only lesson

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to be learned is in how the board wants to handle situations where only one bid is received for work.

In the future, if only one bid is received the OPA will not open it until the board of directors has been notified of the situation, Thompson said.

Clarke said his problem with the project is the timing and he asked why the OPA waited until September to post the RFP when the board had approved moving forward with the project earlier in the year. Thompson responded that the OPA applied for and received the required permits before putting out the RFP and that took almost a year.

Clarke said saying this can be used as a learning process is untrue because “clearly we don’t learn.” He cited similar situations with golf drainage and swimming pool projects where the board was pressured to quickly award a bid to a specific contractor. In both of those cases he said the work was completed behind schedule.

“We’re never going to get multiple bids until we put our foot down,” he said. He added that as long as the board keeps approving sole source, single bids “we’re never going to get a second bid.”

Terry argued that as long as contractors are showing up for pre-bid meetings that shows interest in the OPA’s projects, at least initially. But if just one contractor show up for those meetings “that’s when flags go up,” he said, adding, “I don’t think there was anything egregious that happened here at all.”

Clarke responded that there are other contractors who didn’t attend the prebid meeting because they would have had less than a month to complete the requirements of an 82-page RFP on the project. “It was outrageous. I wouldn’t have bid it,” he said.

Collins said he is concerned about only having one bidder for the work when the OPA’s procedure is to get three competitive bids. “That’s my problem with it.”

Cordwell said if the OPA keeps waiting for other contractors to decide to bid, it will never get anything done. He said that Fisher Marine has done work for the OPA in the past, including its annual bulkhead replacement program, and has performed well.

Clarke agreed that Fisher Marine is a good contractor and he doesn’t have a problem with that particular company doing the work. Rather his concern is the process that led to only receiving a single bid.

Clarke ultimately opposed the motion to approve the contract with Fisher Marine because he considered it a sole source bid.

“You don’t know whether this dock costs $100,000 or $500,000 because you don’t have bids,” he said.

Collins opted to abstain from voting on the issue because he too was concerned about only having one bid.

“We have a fiduciary responsibility to the folks sitting out there in that audience,” he said at the October meeting.

The approved project costs $5000 more than the budgeted $250,000 for the project.

November - Early December 2014 Ocean Pines PROGRESS

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Committee offers guidance for next year’s budget draft

By TOM STAUSS Publisher he Ocean Pines Association’s Board of Directors has informally blessed a two-page budget guidance document recommended by the OPA’s Budget and Finance Committee with the understanding that General Manager Bob Thompson and Controller Art Carmine will use it in formulating their draft budget for 2015-16 to be completed in late December or early January.

With no dissent and after very little discussion during the board’s Oct. 23

T

regular meeting, OPA President Dave Stevens announced that the committee’s document will be part of the board’s budget guidance to the general manager. It is not clear whether the board will offer any additional guidance of its own, given that staff’s budget preparation process is already well under way.

There was little that could be considered controversial or ground-breaking in the committee’s guidance. It some areas it adopted language or ideas from previous years. Not included was a proposal from last year to give Billy Casper Golf three years in which to “maximize the recreational and economic value” of the Ocean Pines golf course, after which the committee recommended giving property owners the right to decide the fate of the golf course in a referendum.

According to the committee’s document, panel members found last year’s budget process to be “inclusive, effective and very beneficial to the development of a sound budget,” and they encouraged the board to conduct next year’s process in a similar fashion. This year’s process included advisory committee meetings with department heads that board members often attended to give them background and insight into departmental operations and spending requests.

As it has in previous years, the committee is promoting the inclusion of business plans for each of the fee-based and revenue generating amenities with detailed information that supports revenue and expense forecasts, including specific reasons why the proposed projections are attainable as a plan for reaching those projections.

“When possible and appropriate, industry best practice standards should be identified for Ocean Pines amenities and included in each business plan,” the document says. “Committee members believe strongly in the need for well-developed business plans, not simply marketing plans.”

If OPA management fails to produce business plans for certain departments, then the committee says that “budget review and approval for (them) should be postponed until the required documentation is presented.”

To develop an attainable 2015-16 budget, the committee says that any department having a current year budget variance of more than five percent should be required to explain the reason for the variance.

“In addition an action plan to reduce or eliminate the variance for the current year should be provided. Similar information should be provided for capital and reserve variances,” the committee says.

The committee urges the OPA to develop a community-wide information technology system which it says should lead “to significantly streamlining and

q

14 Ocean Pines PROGRESS

r more information, call Dawn PINES on OCEAN at the Community Education Atlantic General, 410-641-9268, da Lasher at Community RelaFarewell to Joan Gentile A farewell luncheon for Joan Gentile (first row, Peninsula Regional Medical Cenmiddle) was held on September 8, 2014 at Si’Cu10-543-7766. li’s restaurant in Berlin, hosted by the Republican Women ofspace, Worcester County. was Ocean actively r vending call She the involved in Republican politics and served for four Recreation Parks Departyears as presidentand of the RWWC. She also served as president of the Ocean Pines Women’s Club and at 410-641-7052.

410-641-7052.

s schedule ets schedule ininOctober October as a board member of the Worcester County Commission for Women. She has moved to Florida.

Budget guidance From Page 13

securing operating information flow” while enabling “data collection to help determine whether resources invested in programs, amenities and services are having their intended result.”

The committee suggests choosing a e Square, Manklin Creek area, system that is flexible enough to serve ngton Commons, and Cathell the Association’s current and future Extension needs. “Given the potential complexity effort the committee eekofofthis Nov. 3 -first-year,” Sections 10, 15a, 15b, says that funding should be provided in and theBay new Point budget Plantation to hire staff, or a consultant, to determine technology needs and to begin developing a data collection THER plan. AREAS: The committee urging theat board to eek of Oct. 13 - isBayside Ocean aside funding in the coming year’s ndset Lewis Road budget to begin development of a teneekyear of comprehensive Oct. 20 - Mystic Harbour, plan, a document “that will not only identify our r Harbor, Whispering commuWoods, nity’s collective goals and objectives, but Point Ocean also and suggest policiesReef and strategies that us to27 reach those goals and objeceekallow of Oct. - Riddle Farm tives in a thoughtful, non-reactive way.”

The committee recommends that the OPA continue work on a new aware that even ondeveloping dates the wainvestment policy for short-term, mides term in your section are not being and long-term reserve and operatd, ing it is still funds. possible to experience Because revenues and expenses ored water.the If area residents notice of Ocean Pines amenities and services heir becomes during arewater often topics of whatcloudy the committee calls “robust conversation” during times, allow the water to runbudfor a get development, the panel suggested inutes until it becomes clear. the following: o that national foodcall andthe beverage r more information, Water measurement standards should be used Wastewater Division at 410-641-5251. when developing food and beverage budgets and should be included in a business plan. o that a road replacement study should be undertaken with the results incorporated into the Association’s capital reserves calculations. o that a comprehensive marketing plan to promote Ocean Pines should be tenance on Flower Street would presented as part of the budget process be aand nominal expense to the town. appropriate funding assigned. ou’reo not about addithat talking management shouldany continue concentrating on recreation programs materials or you don’t need to and potential revenues and expenses ase he said.

“You can as anything,” well as fee schedules for non-Ocean he Pines staffresidents. that they have for these o that for Aquatics, a pool capacity ofand things.

It would beundertaken the same usage study should be each Ocean Pinesthe swimming poolthe as for having to mow grass in an analysis of appropriateness of monand area – this is just taking it to non-resident fees should be conducted. xt level with their stormwater syso that every effort should be made during budget deliberations to contin” ue to improve the Yacht Club’s and golf course’s financial results and “enhance the services offered.”

Square, Manklin Creek area, ton Commons, and Cathell tension of Nov. 3 - Sections 10, 15a, 15b, d Bay Point Plantation

ER AREAS: of Oct. 13 - Bayside at Ocean Lewis Road of Oct. 20 - Mystic Harbour, Harbor, Whispering Woods, nt and Ocean Reef small cost of Oct. 27 - Riddle Farm

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16 Ocean Pines PROGRESS

By TOM STAUSS Publisher n the surface, it seemed as if Ocean Pines Association President Dave Stevens suffered a defeat of sorts – political, tactical and maybe even strategic – when his motion to appoint a working group to assess the first six months of operations at the new Yacht Club failed during an Oct. 18 special meeting of the Board of Directors in a 5-2 vote.

Only Director Marty Clarke joined Stevens in supporting what Stevens called a “lessons learned” proposal, although two directors voting against the motion, Jack Collins and Pat Renaud, later indicated that they could vote to revisit the issue if, for whatever reason, the information and assessment of the Yacht Club’s first six months of operations don’t materialize through other means, specifically in a report to the board by OPA General Bob Thompson with the possible assistance of the Clubs Advisory Committee.

“I really hope there aren’t any winners or losers here,” Collins said. “If Bob produces the information that Dave is requesting, I don’t see any problem.” At the same time, he said the matter could be revisited if there are any gaps or deficiencies.

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OCEAN PINES

November - Early December 2014

Stevens loses 5-2 vote on creating Yacht Club ‘lessons learned’ panel OPA president says he has other ways to obtain information on catering business if general manager or Clubs Advisory Committee fail to produce information he wants For his part, Stevens seemed philosophical about the motion’s defeat in a subsequent conversation with the Progress. He said as OPA president, he is well within his rights to seek out information, particularly as it relates to the Yacht Club’s catering business, if it doesn’t materialize in the form and detail that suits him. He added that he could still assemble a small of group of individuals to help him in that task.

As proposed, the working group would have been tasked to consider issues in adapting to the new facility, layout and décor, initial and continuing staff training, catering (number, size, cost, type and profit) and possible issues related

to it, regular food operations (menu, ambiance, service, price, profit margin, new revenue), bar business, entertainment, security and maintenance.

Under Stevens’ proposal, the working group would have been comprised of members of two advisory committees, clubs and budget and finance) and one OPA director, assisted by OPA staff. His proposal called for a report to be delivered to the board by the end of January.

Director Bill Cordwell complained that he had been “embarrassed” to learn about the “lessons learned” working group proposal when he saw the meeting agenda for the Oct. 18 special meeting.

He said the OPA already has the group called for in Stevens’ motion – the Clubs Advisory Committee – and that this committee, of which he is the board liaison, had just conducted a meeting in which every issue identified by Stevens had been discussed.

“I just don’t get it,” he said about Stevens’ motivation in calling for the working group.

After clubs committee chair Les Purcell and member Audrey Wahl detailed ways in which their panel could assist the board, Stevens said his proposal was not intended to denigrate the clubs committee or in any way “disturb” its work. He said the working group was intended to bring representatives from two committees together to research specific areas that the group would refine.

OPA Director Tom Terry responded that the working group was unneeded because the board could direct the clubs committee “to do what’s in the motion” but that motion itself seemed to focus on “operational stuff.”

Terry said that the board focus should be on “policy, not operations,” adding that in recent years advisory committees have evolved to include working with the general manager as needed in To Page 18

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From Page 16 addition to their traditional role as advisors to the board.

Director Jack Collins initially seemed to side with Stevens, citing the good information that could be produced from two committees working together.

“I don’t see a problem” by creating the working group, he said.

But Stevens said his proposal was “not about synergies between committees” but rather had to do with his view that the clubs committee “is not well structured” to do specific tasks his motion envisioned. Saying that “there’s more right with the Yacht Club than wrong” currently, he cited catering as an area that could be explored by a small working group.

Director Pat Renaud added that he wondered why certain civic organizations have “gone elsewhere” rather than use the Yacht Club.

Thompson weighed in against the Stevens’ motion, agreeing with Terry that the “majority” of the items listed in the proposal are “operational” and that creating a working group would hinder his “ability to make things happen” at the Yacht Club for the better.

He said the OPA has had “a good season” through September, bookings are ahead of budget, and that suggested improvements – Directv, larger television sets, high top tables and other items – will be included in next year’s budget.

Thompson said that the proposal to “add another layer of management” was “terribly confusing” to him, acknowledging that two prominent local organizations, including the Ocean Pines Chamber of Commerce, had gone elsewhere to hold their banquet events.

He said that OPA management has made “adjustments” in the price structure to improve chances the Yacht Club will earn the business of local organizations that might have been used to discounted pricing in past years.

Clarke pushed back against the idea that creating a working group that would assess operations at the Yacht Club for lessons learned would in any interfere with day-to-day management of the amenity.

“We’re charged with oversight,” Clarke said of the directors, adding that “it’s our duty to get information” to help the board assess how well the OPA administration is doing its job.

Stevens also wondered how a group “getting information (could) dilute from what” Thompson and the Yacht Club staff are doing to run the facility.

“We (are not suggesting) another management layer,” the OPA president said. “We just (are proposing) a group gathering information.” Thompson responded that the proposal “was management by committee” and that involving more people “in decision-making does slow things down.”

While Stevens later told the Progress that the working group he proposed

Board hopes to improve Yacht Club business by adding pub tables Stevens, Clarke oppose expenditure as premature

BY ROTA L. KNOTT Contributing Writer n an effort to attract more customers to Ocean Pines’ bar and restaurant at the new Yacht Club, the Ocean Pines Association’s Board of Directors has agreed to purchase of pub style tables for the bar.

Director Bill Cordwell during an Oct. 23 meeting offered a motion to approve

funding for the purchase of ten high top pub tables for the Cove restaurant at a cost of $2,500.

Directors Jack Collins, who gave a second to the motion, Tom Terry, Pat Renaud and Sharyn O’Hare supported the proposal, while OPA President Dave Stevens and Director and Vice-president Marty Clarke were opposed.

would have had no decision-making role, Thompson’s argument appeared to some extent to persuade Collins, who said the OPA operates under a board of directors (with policy-making powers) and a general manager.

“Unfortunately that’s the way we’re structured,” he said, adding that he did not believe Stevens’ proposal “was a usurpation of Bob’s authority. It’s an outreach.”

Renaud suggested that the bullet points in Stevens’ motion could be giv-

en to the general manager to investigate with a report delivered to the board for review.

Thompson told the board that Yacht Club management “ultimately is my responsibility” and that he didn’t need the working group’s help in getting answers to the board’s questions.

Stevens, who is the board’s liaison to the general manager, remained skeptical that the general manager will produce a report that is responsive to his concerns.

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OCEAN PINES Pub tables From Page 18 What seemed on the surface to be a relatively routine, even minor, budget request had some political ramifications, because it’s not immediately clear whether the unbudgeted expenditure will come out of the Yacht Club’s construction contingency fund, which is perilously close to zero, according to the most recent construction dashboard.

If it’s charged against the contingency, that could help push the final cost of the Yacht Club into overrun territory, depending on what other unexpected or unbudgeted items appear out of the ether.

Cordwell submitted his motion based on a request from the OPA’s Clubs Committee for the pub tables and the purchase of the NFL television package as ways to attract an expanded customer base to the bar.

The premise for the original request was mainly geared toward attracting the Sunday football crowd to the bar, he said.

While the board did not support that full request, the committee was rewarded with an affirmative vote on the unbudgeted purchase of the ten tables to expand the bar area for customers who want some table space on occasions such as when there is weekend entertainment.

Currently the only tables are for restaurant dining patrons, not those only visiting the bar, where seating is limited. The pub tables will compensate for the lack of bar seating in the original Yacht Club design.

Cordwell said the committee had several discussions with Yacht Club Manager David McLaughlin, who agreed that the tables could be used to expand the now limited bar area.

He said only the tables are needed, not chairs, because the OPA already has some that will be compatible with the tables.

He encouraged directors to support the recommendation of the Clubs Committee.

“These folks are just trying to get people in to the facility so we have a successful facility,” he said.

Stevens opposed Cordwell’s motion, comparing it to another motion made

by Clarke at the same meeting to purchase an electronic message sign for the Cathell Road entrance to Ocean Pines.

That motion failed to garner board support with directors saying it was an item that should be included in next fiscal year’s budget discussions and not approved now.

Clarke initially said he would support the motion, even though “this is exactly what Sharon just said we shouldn’t be doing,” referred to her opposition to his motion on the electronic message sign.

Terry and O’Hare both argued that the difference between the two motions was that Clarke’s motion was for including an item in next year’s budget while Cordwell’s motion calls for purchasing the pub tables immediately.

November - Early December 2014 Ocean Pines PROGRESS Stevens also said he would like to know more details about how the tables will be incorporated into the Cove’s layout before voting to approve the purchase.

He said Cordwell is asking board members who don’t know all the budget ramifications of the purchase to approve it.

Stevens said that the purchase is within the general manager’s spending authority without board approval even though the funding for the tables is not specifically budgeted in this fiscal year.

“I think it falls on the general manager, someone who does know,” he said. “If it’s a sufficiently good idea and it keeps the Yacht Club overall costs within budget. But I don’t know if it’s a good idea. I don’t have enough information.”

But O’Hare said the expenditure is $2,500 that isn’t budgeted and therefore it is up to the board to make the spending decision.

Clarke, too, said he thinks it is within the general manager’s purview to approve the expenditure as part of the Yacht Club construction project.

He asked if the contingency fund for the project will cover the cost. He didn’t receive a direct answer/ Stevens said he would accept General Manager Bob Thompson’s recommendation on the proposal.

But Thompson declined to make one.

“I’m not agreeing or disagreeing on the idea of high top tables. We recognize we do need some additional high top tables. What I will say is it is an unbud-

geted, unfunded request,” Thompson told the board.

“I would not have necessarily made a request for an unfunded item at this point,” he said, referring to the board’s inclination not to approve unbudgeted items in the past.

But, if the majority of the board supports it then he said he would ensure purchase of the tables.

“We need it. It would be great to have but asking for an unfunded request for me never seems to work. So therefore it would not be my request, and I bet I could get them if I said I’m not for this,” he said.

It was not clear whether he was being serious or facetious, or perhaps a little of both.

Clarke, who initially indicated that he would support the purchase asked whether “there’s not contingency left for this?” in the Yacht Club construction budget.

Thompson said he is currently working on finalizing the Yacht Club construction project, including ensuring completion of punch list items, and cannot say if there will be any money still available in the project budget.

“I am not going to be caught saying we have money left over,” he said.

That prompted Clarke to change his support for Cordwell’s motion to opposition.

He said he would not vote for the purchase of pub tables if there isn’t funding available in the Yacht Club construction budget to cover the cost.

19

“That’s fair enough,” Stevens agreed, saying that without that information “this is premature.”

Terry argued that the purchase does not have to be included as part of the construction project cost.

He said the building opened in May. “At some point in time you have to move from construction into ‘you’re in business,’ ” he said. “At this point the advisory committee has realized that we need ten extra tables in order to facilitate what members want.”

O’Hare said directors have a responsibility as liaisons to the advisory committees to present their recommendations to the full board for consideration.

She said the purchase of the pub tables is no different than the board’s decision recently to fund several methods of goose control at the community’s ponds.

Stevens disputed the comparison, saying the goose control issue was under discussion for more than a year and that the advisory committee had presented a detailed proposal and specific approaches to resolving the problem many months before the board vote.

He conceded that the pub table purchase could be considered an operational expense rather than being tied to the Yacht Club’s construction budget but said he still doesn’t have any idea whether or not it is going to help the Cove’s operational bottom line.

“I just don’t know. So I can’t vote on something that I don’t know,” he said.

It was also possible he didn’t want Clarke to be alone in a 6-1 vote.

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OCEAN PINES

November - Early December 2014

Planning for Manklin Meadows tennis complex moves ahead

By ROTA KNOTT Contributing Writer ite plans are being developed for the expansion of the Manklin Meadows Recreation Complex to include more platform tennis courts and dedicated pickleball courts. Soule and Associates, the engineering firm hired by the Ocean Pines Association to survey the site and design the project is nearing completion of the work.

The OPA retained the engineers at a cost of $11,300 to develop engineering

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Natural gas From Page 1 it strictly for propane distribution as opposed to natural gas.

“Once it becomes a way to get natural gas to customers, then it becomes an asset that is regulated by the state (Public Service Commission),” Clarke said. “We may no longer effectively own the (pipeline) right-of-way if that happens.”

If the OPA and Sandpiper are in some sort of legal limbo after a deadline is reached with no new agreement, and the OPA declares the 1990s agreement and its many extensions null and void, Clarke said it wouldn’t necessarily be the case that the board would authorize legal action to enforce the previous agreement’s cancellation or to prevent Sandpiper from using the pipeline.

That would depend on circumstances at the time and the disposition of a board majority, he said.

He said part of the OPA’s outreach to property owners could be to advise propane users in Ocean Pines about their options should the current franchise agreement expire, including publishing a list of propane suppliers who are willing to supply propane to homeowners in Ocean Pines.

He said the published list could include comparison prices per gallon for propane. Currently, he said, Sandpiper competitors have product available at more than a dollar less than what Sandpiper charges its Ocean Pines customers.

“Even if they continue to use the pipeline after we’ve told them they can’t, there’s going to be a lot of bad public relations over it,” he said.

Clarke said he personally has contracted with a Salisbury propane supplier for propane at a significant savings.

The supplier buried a storage tank in Clarke’s backyard at no cost – a fiveyear service contract was required – but the contract is cancellable anytime with proper notice, Clarke said.

OPA President Dave Stevens recently characterized the state of Sandpiper negotiations similarly to the view expressed by Clarke. He said he would be working on a press release describing

site plans that could include the addition of two new paddleball courts immediately, and the addition of two more courts in the future, as well as the addition of eight new pickleball courts. The project also could include the relocation of the paddleball court building, shifting the location of the existing playground, and realignment of the existing playground parking lot.

The board, however, has made it clear that authorizing development of a new Manklin Meadows site plan does not necessarily mean it will approve moving ahead with construction. The initial plans call for eight new pickleball courts, four new paddleball courts and

relocating playground equipment.

Once the site plan is developed, then the board will make a decision about how to move forward. Relocating existing playground equipment to make way for the pickleball courts is a concern for some directors.

In addition to planning for the actual amenities, the engineering work will involve determining whether to use concrete or asphalt paving, a new concrete pad for the building, fencing for the courts, walkways, stormwater management, sediment and erosion control.

The consultants will conduct a location and topographic survey of the site to include all areas involving the project

and the entire property east of the entrance road up to the woods line. They will also locate and identify all mature trees and wetlands on the site that could be affected.

The preliminary and final site development plans for submission to the appropriate county and other agencies will include existing conditions, site and grading plans, court designs with lighting and power, reconfiguration and grading of the parking lots, relocation and grading of the playground, stormwater management plans, sediment and erosion control plans, critical area plans including mitigation for trees to be re-

the current situation to be released in the near future.

During a Sept. 3 board meeting, Terry, one of the directors on the OPA’s Sandpiper working group, said that Sandpiper had come to accept in concept that the OPA is seeking compensation from the company in exchange for allowing company pipelines on OPA-owned property.

But he also said the OPA was awaiting language from the company consistent with that.

Clarke has said for some reason Sandpiper representatives prefer not to call the agreement under discussion a franchise agreement, which is what has been in place since the 1990s.

Because of the protracted nature of the negotiations, it’s not at all clear when the long anticipated roll-out of natural gas conversions will begin in Ocean Pines.

With conversions already having taken place in Berlin and the nearby Glen Riddle development, Ocean Pines under normal conditions might be the next logical target for Sandpiper. But with the OPA and the energy company unable to reach a contract agreement by a previous Sept. 1 deadline, it’s essentially anyone’s guess when conversion work will begin in Ocean Pines.

Lawyers for Sandpiper and the OPA informally agreed to extend the old contract for an indefinite period of time pending formal board approval, which occurred in executive session following a Sept. 3 meeting. This latest approval is for a so-called “rolling extension” that remains in force until such time as the sides agree on a new contract or is canceled.

This is the fifth, and presumably the last, such extension in the protracted discussions between the parties.

Stevens said in a recent interview with the Progress he did not want to paint Sandpiper as “the bad guy” as the sides try to resolve a number of prickly issues. But he also said the OPA, in doing its due diligence in obtaining the best deal possible for OPA property owners and Sandpiper’s gas customers, should not be blamed for blocking a new agreement and “preventing OPA gas customers from obtaining lower cost

natural gas.”

Stevens said that under the blended rate structure for propane and natural gas approved for Worcester County by the Maryland Public Service Commission, a multi-year conversion process in Ocean Pines will yield only modest cost savings for Sandpiper customers in Ocean Pines and elsewhere in the county in the near term.

The original agreement that dates back to the 1990s used the term franchise in its title and in the test. It essen-

tially granted a predecessor company, Eastern Shore Gas Co., an easement to bury gas lines in Ocean Pines on rightsof-way owned by the OPA, giving the company exclusivity with respect to propane, and eventually natural gas, pipeline delivery. The exclusivity rights did not prohibit competitors from delivering propane to buried or screened storage tanks.

There was no franchise or easement fee involved in the agreement with Eastern Shore Gas.

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Site plan development near completion, but directors remain uncommitted

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21

Electronic signage shot down by board again, for now

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Manklin Meadows From Page 20 moved, site details and landscaping.

The project will involve the removal of a number of mature trees, which will require their replacement as a mitigation measure. The site is in the Atlantic Coastal Bays critical area and all requirements for the program have been met. The plans will require a full

Directors will revisit the issue again during next year’s budget process, and the general manager vows to include it in his draft capital spending proposal port and encourage the valuable efforts currently and accept the recommendation of our Communications Advisory Committee to include as new capital in out 2015-2016 FY budget $40,000 in order to purchase and install a new entry sign which incorporates a state of the art electronic message board.”

The motion said the sign should be similar to an attached drawing provided

by Phillips Sign Company that showed a monument sign with an electronic message board and OPA’s logo. Clarke further stated in his motion that “management shall have a site plan prepared and make application for any and all necessary permits within three months review from the Worcester County Technical Review Committee and the planning commission. Finally the consultant is preparing a preliminary construction cost estimate for site preparation, asphalt versus concrete paving costs, court costs, lighting and power, parking lots and playground. The firm will also prepare the request for proposals for project construction and assist in selecting the contractor and overseeing the work.

from approval of this motion. The sign shall be located on the south corner of Cathell Road and the north side of Racetrack Road.”

Clarke said installation of a permanent message sign has been discussed by boards going back more than ten years.

“We currently hang banners that look terrible and have little in the way of positive effect. The reasons for a new sign are too numerous to list; however public safety, community announcements, Memorial functions and weather alerts would be at the top of any list, not to mention a better street appearance.”

Installation of an electronic message sign has been discussed several times over the years but keeps getting stalled, Clarke said. So now there are canvas banners “all over the place” but no official Ocean Pines signage at that entrance to the community, he said. Also scattered throughout the community are about twenty 5 x 5-foot old fashioned informational signs located along Ocean Parkway.

“I counted them today and I was shocked,” Clarke said.

Renaud agreed that it is time to do

something about signage and said the proposal is “very tasteful, something that Ocean Pines would be proud of if we built it.”

Director Sharyn O’Hare opposed the motion, saying the sign should instead be considered a budgetary item for the upcoming fiscal year. She said it is more appropriate to ask the general manager to consider including the item in his FY16 budget proposal.

“If he doesn’t chose to do it then you as a board member have every right to bring it up and put it in the budget,” she told Clarke. “But this is telling him put something in budget which may not be what he as general manager wants.”

O’Hare said she is not opposed to the committee’s recommendation of an electronic message sign but is against the way the motion was crafted by Clarke.

She chastised Clarke for bringing forth the motion, even asking him at one point if he understood the difference between her support for the idea of having an entry sign at that location and her lack of support for the motion.

“I don’t think we need to make a motion about everything we want included in the budget,” she said, adding that many advisory committees have recommendations for items to include in the budget.

As liaisons to those committees, it is

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By ROTA L. KNOTT Contributing Writer nce again the Ocean Pines Association Board of Directors has shot down a proposal to install an electronic message sign that could be used to convey emergency notifications and community event information to passersby at one of the primary entrances to Ocean Pines.

Director Marty Clarke, liaison to the OPA’s Communications Advisory Committee, during the regular Oct. 23 board meeting offered a motion to include funding for an electronic message sign in the fiscal year 2015-16 budget. Director Pat Renaud gave a second to the motion and was ultimately the only other board member to support it. The motion failed in a 5-2 vote.

Clarke’s motion was “that the board of directors and our management sup-

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November - Early December 2014

Kiwanis officers

May 21 was the celebration of the 34th Anniversary of the Chartering of the local Kiwanis Club and Oct. 8 was the installation of new officers for the 2014-2015 year. Pictured are the newly installed officers: Tom Southwell, Lee Brooke, Mark Page, Mark Joseph, Carolyn Dryzga, Mike Morton, Dick Claggett, Ralph Chinn, B.J. Baker, Pat Winkelmayer and Roy Foreman.

Electronic signage From Page 21 the OPA board members’ responsibility to convey their proposals to the general manager and ask him to consider including those items in his budget proposal, she said. If he doesn’t put it in the budget, then it is the responsibility of the board liaison to bring the issue to the attention of the entire board during budget review.

“I stand by the motion. I think if you don’t have a motion it won’t happen,” Clarke responded.

Director Tom Terry agreed with O’Hare. He said that he doesn’t know enough about the type of sign being pro-

posed by the committee or what messages will be displayed on it to vote in favor of it at this time.

He said during his first year on the OPA board, directors considered a similar motion and there was a public outcry in opposition. “You would have thought we were killing children at the central square,” he said.

“I remember that well, Tom,” OPA President Dave Stevens said.

Terry said that without clarification of what this sign “does and doesn’t do” and only having one example of a potential design, he can’t vote for it.

“Plus it’s really not in the budget process. We have a process that says the board provides the GM with budget guidance,” he said. Terry said he can

support evaluating the proposal as part of the budget guidance process but not demanding that the general manager put it in his budget.

Rick Jackson, a member of the Communications Advisory Committee, said that body was “looking for a way to impart the information that’s on 20 different signs throughout the community in a very tasteful way that people would be able to see it while they were waiting at the lights either to get into or out of the community.”

Jackson said the changeable message sign would have the OPA’s logo and Web site address “so it would drive traffic to the Web site for people to become informed and educated about what’s going on in the community.”

Currently, he said there are signs of all kinds scattered throughout the community.

“There’s just no central place to advise people what’s going on it the community,” including the posting of emergency notifications.

General Manager Bob Thompson said staff has proposed similar signage for all of the main entrances to the community for several years.

“We’ve put it in the budget for multiple years for all of those reasons that were just stated and then some,” he said, adding, “We from the staff side think it’s a great idea.”

While previous boards have rejected the proposal, Thompson said it will be in his budget request again next year.

Clarke said his motion is really about supporting the efforts of the Communications Advisory Committee.

Even if the board approved the motion, he said it would have a “second bite at the apple” during budget review when it could include or remove funding for the sign from the FY16 spending plan.

“I hear you totally and I don’t want to waste any committee’s time. I think conceptually it’s a great idea,” O’Hare said, adding, “ I think you’ve made your point. I think the general manager has heard it and I think every board member here has heard it. But I am not in favor of putting this in as a motion.”

Stevens said if nothing else the general manager now knows that this is an important item to include in the budget proposal next year.

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OCEAN PINES

November - Early December 2014 Ocean Pines PROGRESS

By ROTA L. KNOTT Contributing Writer hile the Board of Directors had been ready to approve a contract for repairs at two of the Ocean Pines Association’s swimming pools even before a special meeting on Nov. 3, General Manager Bob Thompson did not present his recommendation to the directors, along with supporting documentation, with enough lead time that a majority of directors were prepared to vote on the matter during the meeting.

While he delivered the recommendation – Milford Pool and Spa of Milford, De., -- late in the day on Friday before the Monday special meeting, that rankled two key directors, who said they needed more time to digest the material.

It now appears that a vote on the pool contract won’t be scheduled until the board’s regular meeting on Saturday, Nov. 22, which could mean that the initial phase of the project, abrasion of failing plaster surface on the two pools down to the cement base, won’t be attempted this fall.

OPA President Dave Stevens had the topic on the Nov. 3 agenda just long enough to tell his fellow directors that there was no action on the projects that they could take at that meeting. Anxious for the work to get under way soon in order to ensure that the pools can be open on time for the summer season in 2015, directors wanted to understand the delay. They had expected Thompson to have a recommendation ready along with supporting documentation at least a week before the special meeting.

At an Oct. 23 board meeting, Thompson had said he would have the information to the board on the following Monday, a week before the special meeting.

But he provided the information to the directors via email late in the day on the Friday before the special meeting, and that obviously irritated both Stevens and OPA Vice-President Marty Clarke, who said they had not yet had time to review the documents in time to make a decision at the special meeting.

Stevens also seemed to suggest that the material supplied, which in fact did include a recommendation by Thompson

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Contract award for Mumford’s, S&R pool repairs delayed again Board vote now scheduled for Nov. 22 regular meeting, which could mean that the contractor won’t have time to complete the project’s initial phase, abrasion of failing pool surfaces to the cement base, this fall to the board, was lacking in some way, although he said he hadn’t dissected what had been provided in enough detail to know for sure.

Thompson said his goal had been to have the bid recommendation and related material to the board in time for its review and approval at the early November meeting. However when Thompson’s staff began reviewing the bids, they had some questions for the contractors.

Thompson reminded the board that the Mumford’s Landing swimming pool has sunk on the side facing the water.

Yet only one of the five companies submitting bids for repairs to the pool included a recommendation for resolving that problem. So staff reached out to the other companies to determine why they did not address the issue. The response was that they feel the pool has settled as much as it will and therefore the issue of further settlement on that side doesn’t need to be addressed, the general manager told the board.

Although Thompson did not provide this detail, the Progress has learned that the outlier bid addressing the subsidence issue included a substantial amount of money to prop up the low area through a process called mud-jacking, which injects a slurry concrete mix under the affected area to prop it up.

However, critics of that process, including other bidders, believe that it risks causing other damage to the pool.

To help resolve that issue, the OPA “backed up and ordered core sampling around the pool to see what’s under the pool,” Thompson said. He said they want to ensure that conditions in the area are not such that there will be any future

subsidence.

As a result, Thompson said he thought it was appropriate to complete that investigation before he made any recommendation to the board regarding contract award for the repairs and resurfacing. “I wasn’t going to make a recommendation until I had that other analysis,” he said.

Direct Pat Renaud was concerned that only one bidder offered a solution for the subsidence of one area of the pool. “Doesn’t that have an impact on the bidding process?” he asked.

Thompson responded that it does have an impact and that’s why he wanted to resolve the issue before bringing the bids to the board for approval. While five proposals were received for the work, he said, they varied in content and had to be evaluated and leveled before he could make a final recommendation.

Several days after the vote, however, Renaud told the Progress that the core borings that Thompson said he had ordered for the pool had already been done much earlier in the process, information he said he learned only by talking to an OPA staffer. “We already had that information available,” Renaud said, “but it was given to us.”

Stevens expressed concern that the delay could have an impact on the timing of the project. He said this is a “very time sensitive contract,” adding that his hope had been “to accelerate this by getting this to this board meeting.”

But since the board didn’t have a staff recommendation available to review prior to the special meeting, at least one that the directors had sufficient time to review, Stevens said a vote on a contract

23

will have to be postponed until the Nov. 22 regular meeting, unless a director called a special meeting to get it done earlier.

Thompson agreed that any delay in approving a contract could have an impact on the timing for the initial phase of work on the pools. “With that 30 day down time that could prevent some of the necessary testing and stripping that needs to occur,” he said during an Oct. 23 meeting when he originally said a bid recommendation would be ready for the board on Monday of the following week.

At Mumford’s Landing, the repairs involve the family pool, wading pool and deck and include removing the tiles, lane markers and plaster finish. The contractor will identify the existing expansion joint that has been plastered over and believed to be located under a crack that runs across the pool near the transition to the deepest part of the amenity.

It will perform a pressure test to determine the source of a leak and repair all leaks including the fill spout to save water and reduce costs. The RFP also included repairing all cracks in the pool walls including those stemming from the pool skimmers and fixing the pool settlement in the far right corner looking from the shallow end to the deep end, which has dropped about an inch along the pool edge. Phase two at the Mumford’s Landing pool involves replacing all of the pool tiles including those required for a transition line on either side of the uncovered expansion joint and applying the bond coat to the gunite and a new coat of Diamond Brite plaster to both the zero entry and family pools.

At the Swim and Racquet Club the project includes repairs to the family pool and deck including removing tiles, lane markers and plaster finish. The RFP called for changing the ladders by installing wall treads and top railings, reinstalling swim blocks so they line up evenly and repairing the expansion joint in the first phase of the work.

The second phase involves replacing the handicapped entry chair for a pole that swings either way, replacing all tiles and applying the bond coating and a new coat of Diamond Brite.

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24 Ocean Pines PROGRESS

OCEAN PINES

November - Early December 2014

OPA wraps up solicitation for trash collection vendor

R

also cannot subcontract with another company to provide for residential collection within Ocean Pines without the expressed written consent of the OPA. Refuse and recycled materials will continue to be collected at the curb or end of driveway. The respective dates of collection will ultimately be mutually agreed upon by the contractor and the OPA at the time of franchise award.

The contractor will be asked to maintain the agreed upon schedule and will not change it without the expressed written approval of the association. Collection times will not begin before 7 a.m. or continue past 5 p.m.

Under the contract, the trash collection firm selected by the OPA is never supposed to postpone collection longer than one working day following the regular day of collection, except in the case of a dire emergency and only with proper advance notice being given to the association.

No refuse or recycling will be collected on holidays observed by the contractor and notice must be given to all customers of the holidays to be observed.

Collection will be resumed the following collection day.

The quantity of refuse or household garbage from each residence will not be limited. But household garbage and refuse does not include furniture, mechanical equipment or machinery, including automotive machinery, sand, solid or other mineral matter and any other items or matters not resulting from ordinary and nominal household operations.

However, the contractor will have the right to negotiate a separate price with any customer with respect to the removal of those items.

The contractor will collect up to a maximum of four bags of leaves and yard cuttings per collection, including

brush, tree limbs and shrub trimmings provided that they are cut into 4-foot lengths and tied into bundles weighing not more than 50 pounds. The company will collect Christmas trees placed in

one piece at the normal collection place for a two-week period following the holiday.

The franchise license will, barring

q

By ROTA L. KNOTT Contributing Writer esidents of Ocean Pines may soon have a new provider for trash and recycling removal. With Waste Management’s existing contract about to expire at the end of this calendar year, bids for a new three-year contract for both residential and commercial refuse collection were due to the Ocean Pines Association by Nov. 10.

A request for proposals for both residential and commercial trash removal along with recycling options for residential and commercial users in Ocean Pines was posted by the OPA on Oct. 15.

Bids were solicited for the award of an exclusive three-year franchise to operate within the confines of Ocean Pines.

In awarding the franchise for refuse and recycling collection the OPA Board of Directors will consider the service fees to be charged to the customers as reflected in the bid proposal submitted by each bidder and the demonstrated ability of the company to perform the required services over a three-year period based upon satisfactory performance in other similar communities.

The board will also consider proof of ability to employ sufficient manpower and the ownership of adequate equipment to properly perform the required services, proof of insurability of the company and willingness and ability to provide other services to customers on a fixed or no cost basis.

Interested companies were asked to provide a firm, fixed monthly price for two separate refuse collection plans for residents, an annual contract and a sixmonth contract. They were also asked to provide two alternative methods for collection, once per week and twice per week, and two collection schedules, either Monday through Saturday or Monday through Friday. Similarly, the proposal for residential collection was to provide a firm, fixed monthly price for two separate recycling collection plans, with alternative methods of pick-up and two collection schedules.

The proposal for pick-up from association facilities asked for a firm, fixed annual price for both refuse and recycling collection.

The contractor must agree to make refuse collection and disposal and recycling service available to all residential properties located within Ocean Pines.

However, nothing contained in the RFP or the pending contract would prevent any person, or household from personally disposing of its own trash, garbage or refuse so long as they do so legally. Ocean Pines residents will still be able to take their trash to Worcester County’s transfer stations or the central landfill for disposal instead of contracting with the new franchise holder once a contract is awarded.

However, residents are not supposed to contract with a different trash removal company, under the contract. The contractor that is awarded the franchise

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OCEAN PINES

November - Early December 2014 Ocean Pines PROGRESS

25

OPA seeking proposals from attorneys, auditors

By ROTA L. KNOTT Contributing Writer espite objections from some members of the Board of Directors, the Ocean Pines Association is soliciting requests for proposals (RFPs) for both legal representation and auditing services. During the Oct. 23 regular meeting of the board, General Manager Bob Thompson presented the draft

D

Trash collection From Page 24 complications, commence on the first day of January 2015 and continue for a term of three years, unless sooner terminated by the parties. During the term of the franchise, either party may withdraw from and cancel the agreement for good cause by notification in writing at least 90 days prior to the effective date of the cancellation.

All garbage and refuse collected within Ocean Pines will be disposed of by the contractor and the cost of the disposal is to be included in its proposal. The asso-

RFPs for both services for board members to review and comment on before they are released.

“We’ll put them out as soon as board directs me to do so,” Thompson said. He included the draft RFPs in the board meeting packet and directors opted to review them after the meeting and provide comments to Thompson via email.

Thompson said the decision to seek proposals for legal and accounting services is a board action and directors can change anything in the RFPs that they want.

OPA President Dave Stevens said

he “read them quickly but I think they look pretty good.” He asked Thompson to send electronic copies of both RFPs to all board members and for directors to respond with any comments or suggested changes by early November.

Director Pat Renaud said he too had read the draft RFPs and thought they were very good.

“He’s done a good job,” he said of Thompson’s effort in the bid documents to address all possible questions relating to those services.

An opponent of seeking bids for the services, Director Bill Cordwell asked

ciation will not furnish the site or make any contractual arrangements for the disposal of the refuse.

The contractor will furnish refuse collection and disposal and recycling for each residential customer who subscribes to the service. Fees for the service will be as specified in the franchise contract to be awarded by the association.

The contractor will bill and collect fees for services directly with the customer.

The contractor will not be required to collect refuse from any property in the event payment is not received from such owner within 30 days of any billing.

Fees for refuse and recycling removal

services may be increased or decreased by several factors, including by the proportionate percentage of increase or decrease in the charges paid by the contractor for dumping of refuse. Increases in contractors costs due to changes in local, state or federal rules, ordinances or regulations applicable to operations or the services provided, and increases in taxes, fees or other governmental charges assessed against or passed through the contractor can also impact the fees.

The contractor may only increase rates for other reasons with the written consent of the OPA.

who will decide what changes recommended by board members are acceptable.

“How this thing gonna go?” he asked.

Stevens said that too can be handled electronically, with staff providing board members with a “red line” version that incorporates suggested revisions. Directors can then vote to accept or reject portions of the documents if necessary.

“I don’t think this is going to be very hard given what we’re starting with,” he said. “I think it’s in pretty good shape.”

But Cordwell said the board should discuss the need for the RFPs, “why we’re even doing this.”

He said it would be one thing to solicit proposals “if we were having problems” with either the attorney or auditors, but the OPA is not. He also said that property owners should be able to weigh in on the matter.

Stevens, however, said the board has already discussed the proposal in public meetings on several occasions; that is why the general manager was directed to draft the RFPs. But, he said, other directors can call for a special meeting on the topic if they feel it is warranted.

Director Sharyn O’Hare asked when q

Directors reviewing documents before formal solicitation process begins

OCEAN PINES

for consideration.

The association attorney serves under the direction and supervision of the board of directors and acts as the association legal advisor.

The association attorney is not an association employee and is not entitled to the benefits of an association employee but rather the position is strictly on a contractual basis.

In addition to the OPA attorney, the association board reserves the right to retain or employ0 “other attorneys or special counsel as may be needed in its sole judgment to take charge of any litigation or legal matters or to assist the association attorney.”

The scope of services is to provide a full range of legal services, including representing and advising the board of directors, the general manager and assigned staff in all matters of law pertaining to their office and giving advice or opinions on the legality of all matters under consideration by the board, general manager or of any officers of the association.

The OPA attorney will attend and represent the association’s legal interests at periodic board meetings, including closed sessions and board workshops, and other meetings on an as needed basis.

The attorney will provide legal opinions, advice, assistance and consultation to the board of directors, general manager and association staff related

to Maryland law issues, including but not limited to the Maryland Homeowners Act, contracts and franchises, real estate and property transactions, land use, environmental law, public improvements/capital projects, code enforcement, pending and current state and federal legislation and court decisions, tort liability and risk management, fees, taxes, assessments and other matters as directed.

Additionally, the RFP calls for the attorney to provide training and advice to the board, general manager and association staff related to the Maryland Homeowners Act; review resolutions, staff reports, contracts, deeds, leases and other legal documents required by the association, prepare cases for trial and the investigation of claims or complaints by or against the association and prepare legal opinions for the board, general manager and others as directed.

The person or firm selected with oversee services provided by outside legal specialists engaged by the association for special legal problems, coordinate legal activities with other association an outside agencies and provide written updates to new state or federal legislation or judicial decisions and suggest actions or procedures to ensure compliance.

The association is requesting that attorneys seeking to fill the position submit a letter of introduction, and a history of the firm, their understanding of the

November - Early December 2014

Auditor, lawyer RFPs

From Page 25 the RFPs will be publicly posted for accounting firms or lawyers interested in submitting bids to review.

Director Tom Terry said they should be released as soon as possible. “We’ve got people working month to month here,” he said, referring to current OPA Attorney Joe Moore, who has served in that position since 1983, and the former Trice, Geary, Myers, now known as TGM, as the auditors.

Stevens said the board will have to determine how to best distribute the RFP to prospective attorneys and auditors.

Thompson suggested posting it on the OPA’s Web site and placing advertisements in area newspapers.

The legal services RFP states that the OPA is accepting proposals from qualified legal firms interested in performing the duties and functions of attorney counsel and to provide other diverse legal services for the organization and invites proposals to be submitted

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26 Ocean Pines PROGRESS

OCEAN PINES From Page 26 job and proven work history and a statement as to why they believe they are best qualified for the position. The top ranked firms will be interviewed by the board.

The RFP for auditors states that the association is accepting proposals from CPA firms to provide audit and tax services.

The association has an April 30 fiscal year-end with a requirement to present an audited financial statement to the general membership by the annual meeting in early August each year.

Services to be performed under the RFP are an annual audit that is to be completed in compliance with filing requirements and meetings with the general manager and board of directors as necessary.

The proposals should also include performing tax filings for the organization such as form 990 and 990T plus personal property taxes and updating the association’s fixed asset records and prepare electronic depreciation schedules by location.

Any firms submitting proposals are required to provide details of their experience in providing auditing and tax services to the other organization in the not-for-profit industry as well as associations of a comparable size to the OPA, including those with international memberships.

27

OPA solicits proposals for golf course management, including leasing option Cordwell criticizes sending out of R FP without formal board approval, says he and the general manager were not informed about actions taken by golf working group

By TOM STAUSS Publisher lthough one director said he and the Ocean Pines Association general manager were not informed when a request for proposals for new management of the Ocean Pines golf course was sent to groups that had already expressed interest in leasing it, in the end all seven directors endorsed the posting of the RFP on the OPA Web site.

That action was taken during an Oct. 18 special meeting of the board, after Director Bill Cordwell took exception to the initial distribution of the RFP to at least four groups that had previously expressed interest in leasing.

That initial distribution had been made without formal board approval, action that OPA President Dave Stevens acknowledged could have been a mistake.

If it was, Stevens said it was inadvertent and of little consequence, because Billy Casper Golf, the current

A

golf course management company, was on notice that the OPA directors were seriously interested in investigating alternatives to current management.

OPA General Manager Bob Thompson initially resisted a request from a three-member working group to post the RFP on the Web site, resistance that Stevens said was understandable under the circumstances.

Cordwell reacted angrily in emails to his colleagues when he first learned of the request, along with the disclosure that some groups had already been provided copies of the RFP. His colleagues were bracing for a rhetorical broadside before the Sept.

18 meeting, but Cordwell, a skeptic of if not already opposed to leasing the golf course, was relatively calm, though pointed, in his public criticism.

Stevens, in introducing the subject for board discussion, essentially agreed with some of the expected criticism from Cordwell, including the fact that Casper officials and local staff were not given a “heads-up” prior to the RFP going out to

already identified interested groups.

Former board member Jeff Knepper, who previously served on the golf working group, was invited by Stevens to comment on the matter.

Knepper said it “would have been better had Casper received” the RFP at the same time as the other parties, but he also said “the notion that Casper had no idea that an RFP was coming” was not credible.

He advised Cordwell “not to make too much” of the fact that Casper was not notified.

Cordwell said it would have been “a courtesy” to inform local Casper employees that their jobs might be in jeopardy by the search for possible management alternatives, and that “I’m a director” and that he “and the GM didn’t know” that the RFP had been sent out to interested parties.

At that point, Stevens pushed back a bit, telling Cordwell that there was “uncertainty” over whether there needed to be board approval of the RFP given the

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November - Early December 2014 Ocean Pines PROGRESS

OCEAN PINES

November - Early December 2014

Golf management From Page 27 working group’s broad charter.

“So I compromised,” Stevens said.

“We would not have posted the RFP (on

the OPA Web site) until Thursday (the day after the board special meeting),” even though they were sent out to the four interested parties earlier in the week without explicit board approval of the RFP.

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Cordwell contended that “something this drastic” should have been an explicit board decision, but Stevens said it had been his “understanding” that the working group had been “empowered” to seek management proposals from interested parties and that, once proposals were received and vetted, there would be “significant board discussion” over how to proceed.

Stevens said it’s possible there will be “no credible” leasing proposal or alternative from those who submit an RFP, and that it’s possible then that the OPA would simply retain Casper or “go to self-management,” which is the way the course had been operated prior to Casper’s arrival on the scene.

“We don’t have to make a change at all,” OPA Director Tom Terry, a member of the working group, said. “Our job is to get the board involved” in making a decision once proposals are gathered.

Director Pat Renaud said there was at least one other possibility – that Casper will present a proposal for golf course management that differs from the terms under which the company is currently operating.

That view is compatible with a view that Terry has long espoused – that anyone managing the course should have “more skin in the game” than the current arrangement provides.

Cordwell said that while he from time

to time has been a “big critic” of the way Casper has run the course for the OPA, he also said the course under Casper is now in its best condition in some time and that leasing it out to a private entity could result in cutting the course maintenance budget “in half” and would “jam us with outsiders” who make tee times more difficult to obtain for Ocean Pines golfers.

Director Jack Collins, who has taken over chairmanship of the golf working group from Terry, advised Cordwell “to wait and see” what kind of proposals are offered as a result of the RFP, while Renaud said the working group would talk with “people from other golf courses” to assess whether maintenance suffers under leasing or other alternatives.

Director Marty Clarke said that Casper had every opportunity to submit a proposal or proposals in response to the RFP, and, in response to a reporter’s question posed several days later, said that any of the responders could go further than language in the RFP and submit a proposal to purchase the golf course from the OPA. Clarke said that for him personally, that kind of proposal might be the best alternative of all, though he acknowledged that he thought it unlikely that a board majority would favor a sale.

But he said a credible purchase offer q

28 Ocean Pines PROGRESS

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November - Early December 2014 Ocean Pines PROGRESS

OPA FINANCIAL REPORT

OPA slips to near break-even in September, up $168,000 for year

By TOM STAUSS Publisher he Ocean Pines Association’s financial performance for September fell back to earth after August’s net operating surplus of $246,193. In contrast, September produced a $7,258 surplus, not alarming by any means but not much to brag

about.

All amenity operations lost money for the month, with the exception of golf, which recorded a $15,750 surplus, and the Yacht Club, which managed to squeeze out $875 in black ink.

Relative to budget, golf operations led the amenities, with an $8,675 positive variance, the third month in a row that

net results beat budget. But the Yacht Club’s negative variance to budget of $17,753 was by no means a robust conclusion to the summer season. What that portends for operations going into the cooler months of the year is anyone’s guess, but historically the Yacht Club has lost money during this period.

The slight monthly surplus in

Golf management

The posted RFP makes clear that while the OPA is interested in receiving proposals for leasing, interested parties may also submit proposals for managing the course in much the way it is being operated now.

BCG receives about $70,000 per year from the OPA in management fees to operate the course, with the OPA responsible for any operating deficits, which in recent years has been as high as $500,000, with golf-related funded depreciation costing property owners well over $400,000 per year in addition to operating losses.

Funded depreciation is the largest of two revenues that flow into the OPA’s Major Maintenance and Replacement Reserve every year, with golf depreciation comprising roughly 25 percent of all such funded depreciation, which appears under the misleading label “historical” in the monthly reserve summary published every month in the Progress.

The RFP specifies that any management scenario will “encompass the operation and maintenance of the golf course, country club, equipment and associated support facilities,” with an initial term of three years with the potential for extension by mutual agreement.

“The OPA reserves the right to determine what operating scenario best serves the expectations and interests of the OPA; the OPA also reserves the right to reject any and all proposals,” according to the RFP. “The goal of this RFP is to select the best Operator to either lease or manage the course in a professional manner that provides excellent customer service and achieves a balance between operating costs and revenues,” according to the document.

Responses to the RFP are due back

by Nov. 14, with evaluation by the working group taking place during Nov. 1521.

Late in November, the working group will select the finalists, with the board

T

From Page 28 would likely be approved by OPA members in a community-wide referendum and that he believed that Stevens, while personally opposing a sale, would allow it to go to referendum should a credible purchase proposal emerge.

Terry offered the motion to post the RFP on the OPA Web site the following day (Oct. 19). The motion passed unanimously, and the RFP does appear on the OPA Web site under the Projects category on the home page.

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September increased the OPA’s cumulative surplus for the fiscal year so far to $167,783, up from the $160,524 recorded through August.

Controller Art Carmine’s financial report for September, posted on the OPA Web site in mid-October, showed that the $7,258 surplus for the month was based on revenues that exceeded budget by $10,343 and expenses that were over budget by $3,084.

The cumulative net surplus of $167,783 was produced by revenues over budget by $187,975, total expenses over budget by $19,986, and new capital (those funded directly from the lot assessments, rather than reserves) over q

OCEAN PINES

to decide whether to retain Casper or replace the company with an alternative sometime in December, according to the posted timeline.

That’s because the current agreement anticipates and specifically allows for such a scenario.

The posted RFP says that overarching OPA objectives are to: • Establish Golf as a financially viable OPA amenity.

• Reduce/eliminate subsidies from the general assessment • Develop balanced revenues from Golf member, OPA member and outside play • Manage costs while maintaining the OPA golf course, clubhouse, equipment and support facilities in its current or improved condition • Maintain an economically viable operation with revenues sufficient to cover operating expenses, rental payments, capital improvements, and provide the Management Company a reasonable fee or provide the Leasing Company an adequate return on investment.

• Provide quality professional golfing services to our OPA Golf Members, OPA Members and the public to ensure a quality golf experience with a reasonable fee structure.

• Manage and operate the co-located food and beverage operation with a profit.

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OCEAN PINES

November - Early December 2014

From Page 29 budget by $286.

This cumulative surplus was produced almost entirely by August’s robust performance. At the end of July, the OPA’s cumulative surplus for the fiscal year was only $12,756. September nudged the needle in a positive direction.

While General Manager Bob Thompson in his October report to the Board of Directors cited positive aspects to golf operations – the third consecutive positive variance to budget, improvement in rounds played, tight control over expenses and favorable course conditions – he omitted mention of some golf negatives for the month.

Revenues of $146,108 missed budget by $15,683, and while golf is in surplus for the fiscal year through September in the amount of $86,621, it is behind budget by $51,698, for the most part because golf performed poorly relative to budget in the early months of the fiscal year.

Earlier this year, the board indicated it would be soliciting and considering alternative proposals for golf course management if golf operations did not meet budget expectations in the prime golf season. Among the options would be leasing or resuming in-house management of the course. The board could also elect to continue to operate

OPA Net Financial Operations through Sept. 30, 2014

under the current Billy Casper Golf outsource contract if no satisfactory leasing proposal emerges.

The board quietly authorized the issuance of a request for proposals

(RFP) for alternatives to the current management outsourcing contract to Billy Casper Golf in October.

So far this fiscal year, overall Yacht Club operations are doing well, both

in real terms and relative to budget.

The $71,454 operating surplus through September is $63,015 ahead of budget.

At the same time last year, the Yacht

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30 Ocean Pines PROGRESS OPA finances

From Page 30 Club was $27,725 in the red.

The Yacht Club’s $875 operating surplus in September reflected both gross and net revenues that exceeded budget and expenses that did the same.

Expenses exceeded budget by $21,880, with $15,858 of that negative variance in the wages and benefits category.

Banquet food and beverage business continues to be healthy, although for September food banquet revenue missed budget by $800 while banquet beverage did better with a $6,329 positive variance to budget.

Through September, gross food banquet revenue is $25,406 ahead of budget and beverage banquet revenue is $30,357 ahead; after food and beverage wholesale costs are deducted, net banquet food revenue is $18,064 ahead of budget while banquet beverage revenue is only $7,589 ahead.

Because of outmoded accounting processes, the OPA’s Yacht Club financial statement does not fully separate out the OPA’s banquet business from its regular food and beverage business.

The OPA’s Budget and Finance Advisory Committee is in the process of renewing a call for such a breakdown, and OPA Treasurer Jack Collins has said he supports that recommendation.

November - Early December 2014 Ocean Pines PROGRESS Perhaps as soon as the Board of Directors’ November meeting, he will offer a motion that would direct the OPA’s finance department to include such a breakdown as an addendum to the monthly operational summary. He told the Progress recently that he believes the board will benefit if directors can see how well both banquet and regular ala carte dining and bar business are faring financially separated from one another.

To accomplish that, expenses such as wages/benefits, services/supplies and utilities will have to be allocated to either to banquets or the regular food and beverage. Collins said he would like the summary to include cumulative numbers for the entire fiscal year back to May 1.

In September, all amenity departments except for golf and the Yacht Club slid into deficit territory; the results were better when actual results are compared to budget.

Aquatics lost $43,938 for the month, the worst performing amenity, but it only missed its budget target by $1,030. For the year through September, aquatics has generated a $50,929 surplus, for a relatively modest cumulative negative variance to budget of $15,643.

The racquet sports – tennis, platform tennis and pickleball – lost $5,196, $1,813 and $311, respectively, for the month. Each have negative variances to

OPA reserves drop by $50,000 to $5.128 million in September

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The September financials are posted on the OPA Web site in the documents section under the heading monthly financials.

Status of reserves – The reserve summary released as part of the September financial report shows that the OPA’s allocated reserve balance dropped slightly in the month to $5,128,136, compared to $5,178,302 in August, $5,519,149 in July, $5,786,683 in June and $6,003,165 in May. The annual contribution from assessments traditionally is recorded in May, the first month of the fiscal year.

[See separate story for details] Status of the balance sheet – According to the Sept. 30 OPA balance sheet, the OPA has total assets of $32.8 million, matched by total liabilities of $1.7 million and owner equity of $31.1 million.

The balance sheet indicates the OPA is flush with operating cash, $1,719,997, a reduction from August’s $2,281,367 cash balance, and short-term investments of $5,612,201, a slight increase from the previous month.

year capital plan funding stream, most of which would be related to Yacht Club construction costs.

All of the other OPA reserve funds – bulkheads, future projects, road, golf drainage, and operating recovery -were unchanged or only insignificantly q

By TOM STAUSS Publisher he reserve summary released as part of the September financial report shows that the Ocean Pines Association’s allocated reserve balance dropped $50,000 during the month to $5,128,136. The balance stood at $5,178,302 in August, $5,519,149 in July, $5,786,683 in June, and $6,003,165 in May. The erosion is typical as the OPA makes expenditures from the reserves through the year. The May reserve summary reflects the annual contribution from assessments that traditionally is recorded in the first month of the fiscal year.

Most of the modest reduction reflected in the September report is attributable to activity in the Major Maintenance and Replacement Reserve, which as of May 31 had a balance of $4,754,531, reflecting the full annual transfer from lot assessments into this fund.

By the end of September, the balance is this reserve had dropped to $3,924,024, compared to the August balance of $3,965,983, which in turn was down from July’s $4,296,457 balance and June’s $4,554,081 balance.

Through Sept. 30, capital spending from this reserve totaled $1,143,008, comprised of $926,975 in spending from the funded depreciation component of this reserve and $216,033 from the five-

budget for the year so far in the amounts of $10,921, $1,923 and $22, respectively.

Probably no director will voice much concern about these relative modest losses and negative variances.

While the Beach Club food and beverage operation and Beach Parking passes were in deficit for the month – these operations essentially closed after Labor Day weekend – both did well during the prime late spring/summer months.

Both did modestly well relative to budget for September, with $229 and $1,057 positive variances.

Beach parking passes continued to be a significant cash cow for the OPA through September, generating $414,015 in net revenue. That exceeded its budget by $4,726.

The Beach Club netted $121,522 in revenue through September, against its budget of $100,867, for a positive variance of $20,655.

Marina operations also are on track for a good year. Through September, net revenue of $158,164 exceeded budget by $10,917.

31

q

OCEAN PINES OPA finances

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OCEAN PINES

November - Early December 2014

Reserve summary From Page 31 changed from earlier months.

The bulkheads and waterways reserve balance stood at $1,478,081, the future projects reserve had a deficit of $60,244, the roads reserve totaled $292,112, the golf drainage reserve had a deficit of $641,279 and the operating recovery reserve had a surplus of $135,442.

The operating recovery reserve had been zeroed out last year, on the theory that previous year deficits had been sufficiently offset by subsequent surpluses, but the OPA Board of Directors earlier this year, perhaps without realizing it, authorized $135,152 from the current year’s assessment to be allocated to this previously zeroed out reserve.

The purpose of resurrecting this fund and adding money to it purportedly involves the possibility that funds will be

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Last year, according to audited financial reports, the OPA produced a $14,000 operating surplus. This year, the OPA is budgeted to break even. However, through September, the OPA has an operating fund positive variance of $167,783, which suggests that the OPA could be well on its way to a healthy bottom line by the end of the fiscal year on April 30 of next year.

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Had the directors scrapped the operating recovery reserve after it had been zeroed out, rather than adding $135,152 to it this year, the OPA assessment could have been reduced by about $16 or more than the $5 decrease that actually occurred.

The bulkhead and waterways reserve also appears to contain a balance that is very high by historic standards.

The $1,478,081 balance as of Sept.

30 compares to roughly $800,000 or so in annual bulkhead replacement costs which are paid out of this reserve.

Controller Art Carmine told members of the OPA’s Budget and Finance Committee in August that the funds could be needed should the OPA resurrect a canal dredging program in future years.

No such dredging program has been discussed by the board of directors in recent years, and no such program has been presented to the board for action.

In addition, OPA General Manager Bob Thompson told the directors in August that the 35-year bulkhead replacement program is essentially ended, with only two years of minor repairs and replacement remaining.

At the end of the 2014 fiscal year, the bulkhead reserve balance stood at $704,792. It grew by another $822,367 in May, reflecting the new fiscal year’s revenue from the waterfront lot differential.

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OCEAN PINES

November - Early December 2014 Ocean Pines PROGRESS

Directors still having some difficulty in determining when the OPA can enter onto a property to make repairs or remove trash and when it can’t

By ROTA L. KNOTT Contributing Writer he Ocean Pines Association is taking action against a trio of property owners who it has identified as having failed to comply with the restrictive covenants in an effort to force them to clean up their lots and make repairs to their homes. The board of directors during an Oct. 23 meeting reviewed recommendations from the OPA Department of Compliance, Permits and Inspections regarding three properties that are in violation of the governing documents.

At 93 White Horse Drive, CPI found two violations, one for a broken screen and another for having junk on the property. OPA General Manager Bob Thompson said the property owner has been contacted about the violations on multiple occasions by association staff.

The recommendations from staff were to either send the violations to the OPA at-

T

torney for resolution via legal channels or to hire a contractor to enter onto the property and fix the broke screen and remove the trash, which consists of pieces of furniture that are simply sitting in the back yard of the lot, and bill the owner for the related expenses Director Sharyn O’Hare said she did not think it was reasonable to spend any money to fix the broken screen.

Director Marty Clarke said the OPA cannot remove the “trash” without a court decision allowing it to do so because it is considered personal property.

Thompson concurred and said the violation should be forwarded to the OPA attorney to file for an injunction with the Circuit Court.

Clarke initially offered a motion to find the OPA member in continuing violation of the restrictive covenants and direct the attorney to file for an injunction to remove the trash.

“We have a legal question and we

need a legal opinion on whether or not it is legal for us to remove this property,” OPA President Dave Stevens said. He said he doesn’t know that the association needs an injunction to remove personal property that is “in such a state of disrepair that it is not usable.” He said it is a violation just to have the furniture in the yard.

Clarke, however, said the OPA has “been through this. We can’t do it. The declaration of restrictions is trumped by the United States constitution.”

Director Tom Terry agreed, saying, “we can’t break the law.”

Director Sharyn O’Hare, however, said the removing “some junk” from a property is not a big deal.

Clarke ultimately revised his motion to find the member in continuing violation of the OPA’s governing documents and to send the issue to the attorney for the “fastest possible legal way” to address the problems. The motion passed

unanimously.

At 1260 Ocean Parkway, the OPA found the property to need screening around an exposed propane tank.

Thompson said staff has made multiple contacts with the property owner regarding the problem but still the work has not been accomplished. He said he board can either vote to send it to the OPA attorney for resolution or to enter onto the property and screen the tank, billing the homeowners for the cost.

Clarke made a motion for the OPA to install the screening and bill the property owner accordingly.

“How can you not be able to go on somebody’s property and remove something but can go one and build something?” Terry asked, referring to the previous discussion regarding the association’s need for a court injunction to remove trash at 93 White Horse Drive.

Stevens asked what the OPA can do if it installs the screening and the property owners remove it the next day.

“Then you sue them,” Clarke said.

O’Hare said she was not in favor of having the OPA screen the propane tanks. She said if the OPA is going to enter onto a property then it needs to ensure that it has the right to do so. She said if Clarke is correct that the OPA can’t go onto a property and take away junk, then “what makes us think we have the right to put something on their property?”

Clarke said the OPA attorney should q

OPA finds three property owners in violation of restrictive covenants, sends them to attorney for action

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WORCESTER COUNTY

November - Early December

County still seeking contractors for Pines water line project

By ROTA L. KNOTT Contributing Writer aving received no bids from contractors interested in completing the project for the second time, the Worcester County Commissioners have agreed to allow staff to try to negotiate contracts with individual companies to replace hundreds of water service lines in Ocean Pines. The county has twice tried soliciting for contractors to replace 250 water service lines in the Ocean Pines Service Area, with the commissioners posting two separate requests for proposals months apart.

During a Nov. 5 meeting, John Tustin, county director of public works, told the commissioners that the county again had no luck in attracting contractors who would be interested in completing the massive project in Ocean Pines.

In September, Tustin submitted bid documents for the review and approval of the commissioners for the second time with bids due back to the county on Sept. 29. Unfortunately for the second time no bids were submitted, he told the commissioners.

As was done in the previous bidding process that attracted no prospective contractors, county staff contacted a number of contractors who initially expressed interest in the work and asked why they did not bid. Tustin said the primary reason given was that the scope of work was more than they could handle but all the contractors expressed a de-

H

sire to be involved in the project.

Therefore, Tustin recommended breaking the project into smaller sections that can more easily be completed by local contractors.

“Because this was the second attempt at bidding this work, we feel that the work can best be completed by entering into negotiations with one or more qualified contractors while reducing the scope of work to a level that better matches their ability to complete it,” he said.

The county will ask these small, local contractors to provide prices on replacing a smaller number of the water service lines in Ocean Pines. Staff will then bring back their proposals for approval by the commissioners, and the work would proceed until all service lines were replaced.

Tustin requested that the commissioners waive the formal bidding process and authorize the water and wastewater division to immediately begin negotiations with qualified local contractors.

The project involves replacing the 250 water lines from the stop on the water main to the water meter pit. All of the services lines slated for replacement are on Ocean Parkway. No water lines from the water meter pit into homes are included, as they remain the responsibility of the individual homeowner.

The contractor will be responsible for the restoration of all surfaces disturbed for the work including pavement

and grassed areas. The contractor is required to minimize interruptions to water service while completing the work and notify all affected property owners 48 hours in advance. Water outages will only occur between 8:30 a.m. and 3:30 p.m. on weekdays.

The project was originally advertised for bid in March with no response from potential bidders. Tustin said that in discussing the work with interested contractors it appears that the bid timing was not good for them and the contractors hoped it would be put back out for bids at a later date.

The county originally hoped to get the work under way in the October to November time frame. The total cost for the construction project is estimated at $250,000.

Funding for the work was included in a recently completed bond issue. In March the commissioners approved the sale of consolidated capital improvement bonds of a total $48.3 million to finance various improvements to the Ocean Pines water and wastewater system and renovations and additions to Snow Hill High School. The portion of the bond allocated for the Ocean Pines Service Areas improvements totals $5.3 million.

In addition to water line replacement, the proposed OPSA improvements include $300,000 for pump station B wet well replacement, $800,000 for the force main replacement from Station A to the

treatment plant, $400,000 for pump station A rehabilitation, $300,000 for pump station E rehabilitation, $400,000 for pump station F rehabilitation, and $400,000 for reconstruction of pump stations S and P. Proposed wastewater treatment plant facility improvements include $400,000 to repair treatment unit 3 aeration system, $400,000 for a new operations center, $150,000 for repairs to the sludge greenhouse, and $50,000 for generators at stations I and G. Other estimated expenses include $600,000 for engineering and other soft costs and $800,000 for project contingencies.

CPI violations From Page 33 be present at board meetings when CPI violations are being discussed so the board can ask questions about what it is allowed to do. “We’ll save about an hour of meetings,” he added.

Clarke’s motion to enter onto the property and screen the propane tank itself, billing the owner for the associated expenses, failed with Terry, O’Hare and Stevens opposed. A super majority of board members in favor is required for the OPA to take such action.

The final property, 745 Ocean Parkway, also had maintenance violations.

The board unanimously approved sending it to legal counsel for resolution.

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New foundation to advance college, career readiness for county students During the presentation, student leaders from the school expounded upon their journey as learners and their development as leaders through the various opportunities provided to them by SDHS. These students discussed their role in promoting character education and a positive school culture.

The school board also reviewed and approved two new policies, one regarding compulsory attendance of students and another on smoking and tobacco use on school properties.

With the state increasing it requirements for compulsory attendance by high school students to age 18 by the 2017-18 school year, Worcester County is beginning the process of phasing in that new policy. The updated compulsory attendance policy addresses the changes that are legislated to occur in the next few years.

The policy was originally developed in 1995 and revised in 2014. First, in 2015-2016 the compulsory school attendance will increase from age 16 to age 17. Then in the 2017-2018 school year, the compulsory age of attendance will be 18 years old.

The compulsory attendance statute applies to all children ages 5 through 15 and includes “any child who has a men-

tal, emotional, or physical handicap.”

The Federal Individuals with Disabilities Education Act imposes additional requirements on school systems to ensure that students with disabilities receive special education services between the ages of 3 and 21.

An individual who has legal custody of a child aged 5 up to the age of 16 and fails to see that the child attends school is guilty of a misdemeanor.

The previous policy stated that each child who resides in the county and is 5 years old or older and under 16 shall attend a public school regularly during the entire school year unless the child is otherwise receiving regular, thorough instruction during the school year in the studies usually taught in the Worcester County Public Schools to children of the same age.

The updated smoking/tobacco policy addresses the expansion of smoking and tobacco products that have been recently developed by companies and used by consumers over the past few years.

The policy was originally created in 1989 and revised in 2001 and again in 2014. Under the existing policy students have been prohibited from possessing or using tobacco in any form on the school premises. The minor change

35

in this policy addresses smokeless tobacco and unregulated nicotine products such as electronic cigarettes.

The policy states that the use or possession of any smoking/tobacco product by students will not be permitted on school property. “This includes smokeless tobacco and unregulated nicotine products, such as electronic cigarettes.

Electronic cigarettes (or e-cigs) are a battery-operated device that delivers nicotine, flavor additives and other chemicals through a vapor that is inhaled by the user.”

The use of smoking/tobacco products will also not be permitted at events or activities in the Worcester County Public Schools.

Penalties for violation of this policy will be in accordance with the current student discipline policies and will be published in each student handbook.

No-smoking signs shall be displayed in the appropriate areas.

The Board of Education, in conjunction with the local health department, will offer clinics and counseling for students who violate this policy and want to stop using smoking or tobacco products.

Sixth grader Gavin Conner of Berlin Intermediate School won a national youth poetry contest that started with an entry into a Worcester County Garden Club contest more than a year ago.

His poem won at the county and state at the fifth grade level and then went on to win at the Central Atlantic Region comprised of seven states. He ultimately became the first national winner for both the school and the Worcester County Garden Club.

School board approves policy prohibiting weapons on buses, school property

By ROTA L. KNOTT Contributing Writer

T

he Worcester County Board of Education has created a new weapons policy that it hopes will establish parameters for ensuring a safe school environment for students and staff.

The new policy, adopted during an Oct. 21 board meeting, specifically addresses weapons on school premises or at school-related activities. The school board prohibits any form of weapon on school premises except those in the possession of a law enforcement agent or those used in ceremonial attire in co-curricular activities, such as rifle range or ROTC and similar programs.

It seems like it should be common sense, but the policy specifies that no student is allowed to bring or possess, use, or threaten to use any weapon or item presented as a weapon to intimidate, inflict grievous pain or cause bodily harm on school premises or at school-related activities.

In 1994, the Federal government adopted the Gun Free Schools Act. Mary-

land complied with the federal law by adopting regulations that allow the superintendent of schools, if they find that a student has brought a firearm onto school property, to expel that student for a minimum of one year.

State law further makes it a crime to have a deadly weapon of any kind on school property with some exceptions.

Those exceptions are for a law enforcement officer in the regular course of the officer’s duty, a person hired by a county board of education specifically for the purpose of guarding public school property, or a person engaged in organized shooting activity for educational purposes.

The policy defines a weapon as an object or implement capable of causing harm to another or used in such a way as to cause harm to another.

Within the context of this policy, a weapon is a gun, firearm, knife, chemical spray, poison, taser, martial arts weapon such as a throwing star, explosive devices and any implement, visible or concealed, possessed under a circumstance that would reasonably lead a per-

son to believe it was weapon or would be used as a weapon.

The policy defines a firearm as any weapon, including starter gun, “which is or may readily be converted to, expel a projectile by the action of any explosive charge, look-a-like of a gun other than a firearm without appropriate markings or safety identification as governed by law.” That includes a BB gun, pellet gun, water gun. The policy goes on to include “other firearms” as well, stating that is possessing any gun of any kind, loaded or unloaded, operable or inoperable or any replica of a weapon.

Also covered as prohibited items under the policy are the frame or receiver of any such weapon, any firearm muffler or firearm silencer and any destructive device, such as a pipe bomb.

The school system defines the term “bring” - as in bringing a weapon to school – as transporting it, and possession as touching or handling it.

The school system plans to notify all students, staff, parents, volunteers, and service providers annually that weapons q

By ROTA L. KNOTT Contributing Writer he Worcester County Board of Education during a special business breakfast on Nov. 11 at Stephen Decatur High School celebrated the launch of a new Worcester County Education Foundation. Through the foundation, Worcester County Public Schools and community members have partnered to advance college and career readiness for local students.

Creating a WCEF was one of several items included in Superintendent of Schools Jerry Wilson’s strategic direction document, created when he first assumed the helm of the school system.

Among Wilson’s goals is exploring partnerships to enhance student success.

The mission of the Worcester County Education Foundation is to establish a partnership between the community and the public school system by linking community resources with the educational needs of its students to prepare them to succeed.

The WCEF is being led by local businessmen Todd Ferrante, chairman, and Greg Shockley, vice chairman, along with a series of steering, marketing, and fund-raising committees.

Approximately 300 business partners, community leaders, and educators attended the business breakfast for the launch of the WCEF. The presentation of significant donations was made during the kick-off breakfast.

During an Oct. 21 meeting, the Board of Education reviewed the changing requirements for student assessments in the State of Maryland.

Both the federal government and State of Maryland require that all students in grades 3 through11 be assessed on a state test in reading and mathematics. These assessments are based on state content standards. Over the last ten years the all school systems in the state have given the Maryland School Assessment in grades 3 through 8 and the High School Assessment in Biology, English 10, and Algebra I for high school students. These assessments were based on Maryland’s Content Standards and Core Learning Goals.

This year the state is transitioning to the PARCC assessment in grades 3 through 8 and Algebra I, Algebra II, and English 10. In subsequent years it will be adding Geometry, English 9 and 11. These assessments are based on Maryland College and Career Readiness Standards. High school students will continue taking the high school assessments in biology and government to meet graduation requirements.

The school board also heard a presentation on leading from the students’ perspective at SDHS, which has a long history of promoting character education, beginning with the Decatur Way, the school motto which promotes pride, achievement, respect, and responsibility. Empowering the students as leaders and providing students a voice is an essential component in preparing students to become knowledgeable, productive, and responsible adults.

November - Early December 2014 Ocean Pines PROGRESS

WORCESTER COUNTY

November - Early December 2014

Pines responders among those honored by county

Ocean Pines emergency personnel were among those honored by the Worcester County Commissioners in October for responding to an April house fire in Berlin that trapped a woman and her 6-year-old daughter.

On April 17 crews responded to a fire at a Branch Street home in Berlin with trapped occupants. Berlin Police Department Officers Edward Carmean and Merle Bragg arrived on the scene first and found the house engulfed in smoke.

They broke a window and pulled the young girl from the burning structure.

Berlin Fire Company responders cut a hole in the home to rescue the mother BFC members Incident Commander and Assistant Chief Bryon Trimble, Operator Harry Trimble, Assistant Chief Logan Helmuth, Firefighter/EMT Moe Cropper and Firefighter/Paramedics Ken Braniecki and Collins Brown, BFC Assistant Chief Derrick Simpson, past Chiefs Bill Scott and Duane Phillips, Firefighters Austin Purnell, Ryan Jones and Gino Carozza, along with Ocean City Fire Marshal’s Office off duty Captain Josh Bunting and Ocean City Vol-

Weapons policy From Page 35 are prohibited on school property, on a school bus, in a vehicle located on school property, and at school-sponsored activities.

It is a violation of this policy for any person other than a law enforcement agent to carry or possess any weapon on school property, on a school bus, in a vehicle located on school property, or at school-sponsored activities.

A student who possesses a firearm on the school property, on a school bus, in a vehicle located on school property, or at a school-sponsored activity will be expelled from the Worcester County Public School system for a minimum of one year. The superintendent of schools may, on a case-by-case basis, and under certain circumstances, specify a shorter period of expulsion or an alternate educational setting for a student who is or was in possession of a firearm or weapon while on school grounds or attending a school function.

Items that are not considered weapons under the school system’s new policy unless they are used to threaten or harm another person are tools and materials that are used by employees in their normal duties, any antique firearm that has been rendered permanently inoperable and permanently inoperable rifles used

by JROTC cadets during school instructional time and at other times when under the direct supervision of JRTOC instructors.

In the case where a student with a disability is in violation of this policy, the school system can discipline the student in the same manner as general education students. The student’s individualized education program team must meet within ten school days to make a

AROUND THE COUNTY unteer Fire Company Assistant Chief William Savage, III also assisted with the rescue.

Ocean Pines Volunteer Fire Department Firefighter/Paramedic Jason West and EMS Driver Ron Thorwart, BFC Firefighter/Paramedic Nancy Holland and OCVFC Firefighter/Paramedic Parker Shandrowsky provided emergency medical service and transported the women to Atlantic General Hospital.

On Oct. 7, in honor of National Fire Prevention Month, the commissioners honored these emergency services personnel and the six responding agencies, which also include the Showell and Newark Volunteer Fire Departments.

County seeks bids for Pines force main

The Worcester County Commissioners in October approved soliciting bids for replacement of water force mains at two locations in Ocean Pines. Funding for the project was included in a recently issued county bond bill for improve-

manifestation determination. The student must continue to receive services to enable the student to continue to participate in the general education curriculum, although in another setting, and to progress toward meeting the goals set out in the student’s individualized education program.

The student must receive, as appropriate, a functional behavior assessment, behavior intervention services, and modifications designed to address the behavior violation so it does not reoccur. The individualized education program team will determine appropriate services and the location the services will be provided.

ments to the Ocean Pines Service Area wastewater collection system.

The project includes replacement of sewer force mains in the Ocean Pines Service Area along Ocean Parkway and Birdnest Drive. The work involves replacing 3,200 linear feet of 6-inch main and 200 linear feet of 10-inch main on Birdnest Drive; and 5,700 linear feet of 12-inch main, 40 linear feet of 16-inch main, and 1,700 linear feet of 24-inch main on Ocean Parkway to the Ocean Pines wastewater treatment plant.

Also included in the project is 33,400 square yards of asphalt pavement to repair roads that are cut in order to allow for installation of the force mains.

Original plans were to begin the project this year but it now appears that it will be sometime next year before the county will be able to select a contractor from among those bidding and award a contract.

Worcester County receives hazardous materials grant

The Maryland Emergency Management Agency is making available $6,855 through the Hazardous Materials Emergency Preparedness Grant Program to provide hazardous materials training in Worcester County. The grant requires a 25 percent match that will be covered by staff time and materials needed to facilitate the class. The grant performance period runs from Oct. 1, 2014 to Sept.

30, 2015.

The county’s Department of Emergency Services plans to host the two-day hazardous materials training program in the spring of 2015 at the Worcester County Fire Training Center. The grant will be used to offset the cost of instructors being brought in from the outside area.

The grant funds are provided to increase state and local effectiveness in safety and efficiently handling hazardous materials accidents and incidents, enhance implementation of emergency planning and encourage a comprehensive approach to emergency training and planning.

County award contract for pump station design

The Worcester County Commissioners in October awarded a contract for design services for an Ocean Pines Service Area pump station project to EA Engineering.

The proposal for engineering services from EA Engineering included design of six wastewater pump stations in the Ocean Pines Service Area. The cost for the work is divided into three groups based on the similarity of the design effort with the total cost for engineering services at $193,195.

The cost for pump station A and F design is $67,893 and bidding assistance is $11,251. The cost for Pump stations B an E design is $51,646 and bidding assistance is $10,690. The price for Pump stations S and P design is $41,280 and bidding assistance is $10,395.

EA Engineering has been involved in the project from the preliminary design report through the design of the associated wastewater force mains, which included modeling of these pump stations to establish their operating conditions. The company recently completed the design of pump station A in Mystic Harbour and rehabilitation of pump stations Q and T in Ocean Pines. Funding for the work was included in a recent county bond issue.

County considers extended stay hotels

The Worcester County Commission-

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36 Ocean Pines PROGRESS

WORCESTER COUNTY

November - Early December 2014 Ocean Pines PROGRESS

37

ELECTION WRAP-UP

Mathias retains Senate seat, Carozza scores victory to capture new delegate position Bertino takes Pines commissioner position alongside Bunting; Hulburd defeated in school board reelection bid Post 8296

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By ROTA L. KNOTT Contributing Writer he shifting tide of voters toward the Republican Party was evident in the results of the Nov. 4 general election, which left just one long-standing Democrat in place to represent Worcester County at the state level and placed a host of new faces in both state and county elected positions.

In perhaps the most closely watched of races, incumbent Democrat Jim Mathias bested challenger Republican Mike McDermott, a former state delegate, to retain his seat in the Maryland Senate. Mathias scored 19,742 votes to McDermott’s 18,475. In Worcester County alone, the race was much tighter, with Mathias picking up 9,692 votes to McDermott’s 9,124.

Also at the state level, Republican Mary Beth Carozza handily defeated Democrat Judy Davis in a contest for the new District 38C seat in the House of Delegates. Carozza scored a whopping 11,392 votes to Davis’ 4,035. In Worcester County, Carozza picked up 9,487 votes to Davis’ 3,487. At the south end in District 38A, Republican incumbent Charles Otto won easily over Democrat Percy Purnell, mayor of Crisfield.

Otto received 7,217 votes and Purnell picked up just 4,669 district-wide, while

T

AROUND THE COUNTY From Page 36 ers are considering legislation that will revise the zoning code to permit extended stay hotels or motels in the C-2 commercial zoning district.

The proposed bill adds a new definition of “extended stay hotel or motel” to the zoning ordinance to include any building or group of buildings containing six or more units to be occupied for sleeping purposes for guests and which contain certain kitchen facilities; such facilities may also contain common areas such as conference rooms, laundry facilities, recreational areas and restaurants.

The hotel or motel units must be a minimum of 500 square feet to a maximum of 1,000 square feet in area and may contain no more than one kitchen or cooking facility. Occupancy in such facilities is limited to no more than 12 consecutive months.

The legislation will add the new subsection to the list of principal permitted uses and structures in the C2 General Commercial District to permit extended stay hotels or motels subject to certain minimum lot and density requirements

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Deals Saturday 8 a.m.Mike•McDermitt Saturday Breakfast Mary Beth Carozza Chip Bertino on Jim Bunting Jim Mathias Hall in Worcester County Otto earned 3,201 ting, who sealed his return to the Dis- Purnell-Ayres, 1,114 to 694. Republican and Purnell had 2,372. trict 6 commissioner seat, which in- Rentals incumbent Commissioner Bud Church

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In an upset in the 38B District that used to include Ocean Pines, perpetual Delegate Norman Conway was unseated by Carl Anderton, Jr., mayor of Delmar. Anderton garnered 5,528 votes to Conway’s 5,026.

In District 5, the only all Ocean Pines District on the Worcester County Board of Commissioners, local newspaper publisher and Republican Chip Bertino defeated Democrat Tom Wilson in the general election to succeed the retiring Judy Boggs. Bertino brought in 2,160 votes while Wilson earned just 1,130.

Incumbent Commissioner Jim Bun-

cludes part of Ocean Pines, Bishopville and Showell, in an easy win in the primary election, earned 2,794 general election votes anyway with no opposition.

In an upset victory in District 4, which stretches from south of Snow Hill north to Showell, long-time challenger Republican Ted Elder finally bested incumbent Democrat Virgil Shockley to take that position on the commissioners. Elder topped Shockley 1,165 votes to 1,351.

In District 2, a seat vacated by long-time official Jim Purnell, a Democrat retained the position, with Diana Purnell defeating Republican Lorraine

and subject to the site plan approval provisions.

A public hearing will be held on the legislation during the commissioners meeting on Tuesday, Nov. 18, at 10:40 a.m.

the sole breeding location in Maryland for the piping plover, a species threatened with extinction and protected by the Endangered Species Act. Piping plovers are attracted to the island’s undeveloped beaches, which provide habitat for both nesting and feeding.

There are two distinct breeding areas within the Maryland portion of Assateague Island.

The northern six miles of the island supports 90 percent of the piping plover breeding population, while the twelve mile stretch of beach known as the Over Sand Vehicle zone supports 10 percent.

This year, the four pairs in the OSV zone fledged twelve chicks, for a productivity of 3.0 chicks fledged per breeding pair.

This year’s productivity within the OSV zone ties with that of 2011 and is the fourth year in a row that productivity has been at or above 2.0 chicks fledged per breeding pair in this area.

The park delineates interior portions of Assateague Island closed to the public as soon as a pair is seen in courtship, which can happen as early as late March. Full beach closures are only implemented when it becomes necessary to protect the unfledged chicks.

topped his District 3 competition, Democrat Michael Maykrantz, 2,091 to 832, to win another term.

In uncontested races, Republican incumbent Merrill Lockfaw has already secured a return to his District 1 commissioner seat in Pocomoke but stilled earned 1,721 votes, and in Ocean City’s District 7 Republican Joe Mitrecic is locked in to replace retiring Commissioner Louise Gulyas with 2,264 votes in the general election.

In another upset, long-time Board of Education member Bob Hulburd lost his District 6 seat to challenger Eric Cropper in the non-partisan election by a vote of 1,574 to 1,211. The Ocean City District 7 incumbent Bob Rothermel beat challenger JeriLyn Holston by 1,525 to 757 and in District 4 Bill Gordy won over challenger Scott Baker by 1,324 to 934. The District 1 the position was already locked up by the lone candidate of incumbent Doug Dryden, who earned 1,751 general election ballots.

In other countywide races, Republican candidate Susan Braniecki topped Democrat Valerie Gaskill 12,320 to 5,921 to secure the Clerk of Court’s job, which is being vacated by the retiring Stephen Hales.

Incumbent Worcester County State’s Attorney and Republican Beau Oglesby beat Democratic challenger Michael Farlow, a former Worcester County deputy state’s attorney, in the general election by 12,063 to 6,463.

Another long-time incumbent Charlotte Cathell, a convert from the Democratic party to Republican, was unchallenged in her bid for another term as Register of Wills but still landed 16,003 votes. Incumbent Republican Worcester County Sheriff Reggie Mason brought in 15,993 votes to keep his job, too.

Two Republican candidates and one Democrat earned seats as Judges of To Page 39

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Piping plover nested along Assateague

An estimated 38 pairs of piping plovers nested along the Maryland portion of Assateague Island National Seashore during 2014 and fledged 59 chicks. The resulting productivity numbers, 1.6 chicks fledged per pair, are the highest since 2004. Several factors may be attributed to the success of this year’s number of fledged chicks, including mild summer weather and effective management.

Since monitoring began in 1986, the piping plover breeding population has fluctuated between 14 and 66 pairs, while productivity has fluctuated between 0.4 and 2.4 chicks fledged per breeding pair. In the last five years, the breeding population averaged around 42 pairs, with an average productivity of 1.1 chicks fledged per breeding pair.

Assateague Island continues to be

38 Ocean Pines PROGRESS

November - Early December 2014

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WORCESTER COUNTY Election wrap-up From Page 37 the Orphans’ Court. Republicans Dale Smack and Linda Hess had the most votes at 11,820 and 11,067 respectively, while Democrat Bill Shockley came in third with 9,156. A third Republican candidate J. Franklin Knight had 8,953 votes.

Worcester County voters overwhelmingly supported the victorious gubernatorial candidate Republican Larry Hogan and his running mate Boyd Rutherford over his opponent, Lt. Governor Anthony Brown and his running mate Ken Ulman by a vote of 13,011 to 5,427.

Staying with the Republican support, Worcester voters went for William Campbell by a vote of 10,217 to 8,224 in the comptroller’s race, instead of incumbent Democrat Peter Franchot, who won statewide.

In the race for Attorney General, Worcester voters supported the Republican Jeffrey Pritzker with 11,031 over Democrat Brian Frosh, the statewide winner, with 6,430 votes.

Winning another term in Congress as representative for District 1, Republican incumbent Andy Harris defeated Democratic challenger Bill Tilghman to do so. In Worcester County Harris scored 11,997 votes to Tilghman’s 6,627, and district- wide Harris had 173,617 to Tilghman’s 72,392.

On the general election ballot, voters were asked to decide on two statewide questions, one related to transportation trust funds and the other on special elections to fill a vacancy of a chief executive officer or county executive.

Both questions were passed by Maryland voters and in Worcester County.

State question 1 would require that funds in the State Transportation Trust Fund be used only for transportation purposes and prohibit transfers from the Transportation Trust Fund unless the Governor declares a fiscal emergency by executive order and the General Assembly passes legislation by a supermajority vote approving a different use or a transfer of the funds.

In theory, this could make it more difficult for state officials to do what Ocean Pines officials and others throughout the state have accused them of doing: raiding the highway trust fund to pay for other favored programs, drastically reducing the amount of gas tax revenues that flow to the counties, municipalities and, of particular interest to Ocean Pines residents, the Ocean Pines Association.

In recent years, gasoline tax revenue streams to local jurisdictions in the county have slowed to a trickle, and the OPA is now relying on another revenue source, local impact funds from the Ocean Downs casino, to pay for road resurfacing.

State question 2 was a constitutional amendment that would authorize, but not require, Baltimore City and counties that have adopted charter home rule to fill a vacancy in the office of chief executive officer or county executive by special election.

November - Early December 2014 Ocean Pines PROGRESS

39

Damokee Vapor ribbon-cutting

The Ocean Pines Chamber of Commerce recently helped the owners of Damokee Vapor open their new store at 11022 Nicholas Lane, inside the Ocean Pines South Gate, next to Maho’s Kitchen.

Damokee Vapor offers a wide selection of e-liquids, mods, batteries, tanks and more. Helping with the event in front from left: Chamber Employee Renee Kelly, 4th from left co-owner Jason Budler, co-owner Chris Dero, co-owner Cherody Budler, Chamber Executive Director Liz Kain-Bolen, Chamber Director Heather Shaner, and Chamber membership Coordinator Amber Fraser.

Thank you for trust, hard work, and confidence allowing me the privilege to continue serving as your Senator for the Lower Eastern Shore. We have much work to do, and I ask we join together to work for our families, children, communities, and economic opportunities for an even better tomorrow.

Wishing you and your family a warm and wonderful Holiday Season, and the best always.

Sincerely, Jim

By Authority: Friends of Jim Mathias.

Donna Richardson West, Treasurer.

Please visit us at www.jimmathias.com Find us on Facebook at www.facebook.com/VoteJimMathias

40 Ocean Pines PROGRESS

November - Early December 2014

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Visit Classic Collections at The Vault Mon-Sat 10-6 105 and 132 Market Street, Pocomoke City, MD 410-957-4653 or 410-957-9919

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WORCESTER COUNTY Sunday, Nov. 16 Sharing Sunday, hosted by the Democratic Women’s Club, collection of non-perishable food, toiletries and paper products, Southside Fire Station.

Supplies will be shared with a local food ministry. Also being collected are new unwrapped toys to be distributed to needy children during the holiday season. 410-641-8553.

Monday, Nov. 17 Democratic Women’s Club, monthly meeting, Ocean Pines Community Center, coffee and conversation 9:30 a.m., meeting 10 a.m. Guest speaker: Kathy Phillips, the Assateague Coastkeeper. Collecting new, unwrapped toys to be given to needy children during the holiday season. All women welcome, 814-322-2119.

November - Early December 2014 Ocean Pines PROGRESS

HAPPENINGS Center, 10 a.m., refreshments 9:45 a.m.

Craft following the meeting, Santa spoon, $3, RSVP Sharon, 410-208-3032.

Guests welcome.

Republican Women of Worcester County, general dinner meeting, Captain’s Table Restaurant in the Marriott Hotel, 15th Street and the Boardwalk, doors opens 5:30 p.m., dinner 6:30 p.m. Keynote speaker, Maryland House Minority Leader, Nic Kipke. Cost $38 per person. For reservations or for more information, Ann Lutz at 410-2089767 or annlutz@verizon.net

Tuesday, Nov. 18 Line Dancing, first of six Tuesday sessions, sponsored by the Ocean Pines Department of Recreation and Parks, 5:30-7 p.m., Ocean Pines Community Center. Instructor Lois Ingram. $45 for Ocean Pines residents and $55 for nonresidents. Registration required, 410641-7052.

Saturday, Nov. 22 Holiday Vendor Show, Ocean Pines Community Center, 10 a.m. to 4 p.m. Selection of jewelry, toys, food and cooking items, jewelry, cosmetics, handbags, essential oils and more for sale. Participating vendors include Origami Owl, Mary Kay, DoTERRA, Avon, Scentsy, Jamberry, The Beez Kneez, and Thirty One Gifts. Free.

Vendor information, Ocean Pines Recreation and Parks Department, 410641-7052.

Thursday, Nov. 20 Pine’eer Craft Club, monthly meeting, Ocean Pines Community

Thursday, Dec. 4 Bus trip, gospel sounds of Christmas at the Pennsylvania Opry, Mercersburg,

Pa., sponsored by the Ocean Pines Recreation and Parks Department. $90 per person, includes transportation, show and dinner.

Bus leaves the Community Center at 8 a.m. Lunch stop not included in price. Show 2 p.m.

Dinner at Keystone Family Restaurant, buffet-style. Estimated return time to Ocean Pines 9 p.m. 410-641-7052 to register.

Saturday, Dec. 6 ‘Donnie and Marie Christmas Tour’ bus trip to the National Theatre in Baltimore, sponsored by the Ocean Pines Recreation and Parks Department. $100 per person. Bus leaves Community Center at 8:30 a.m., stops for lunch 11 a.m. to noon, show at 2 p.m., dinner 5:30-6:30 p.m. Lunch and dinner not included in trip price.

Estimated return time to Ocean Pines 9 p.m. Pre-registration required, 410-6417052.

Sunday, Dec. 7 Mid-Atlantic Symphony Orchestra concert, 3 p.m. and 7 p.m., Community Church of Ocean Pines, $45 for adults / free for ages 18 and under with a reservation. “Holiday Joy,” orchestral and vocal music including traditional

41

seasonal favorites. Vocalists from the University of Miami Frost School of Music, including soprano Esther Jane Hardenbergh, to perform. Selections will include White Christmas and Silent Night, orchestral interludes such as Sleigh Ride, and selections from the Nutcracker Suite and Handel’s Messiah. Audience sing-along. For tickets or more information, call 1-888-846-8600 or visit www.midatlanticsymphony.org.

Ongoing

Pine Tappers free adult tap dance classes, Tuesdays, 2-3:30 p.m., Ocean Pines Community Center. Exercise and have fun with choreographed tap dancing routines. From 2-2:30 p.m., brush up on basic techniques and a review of the routines, then join the regular class from 2:30-3:30 p.m. Every week or dropin as convenient. Lori at 410-251-2162 or tntandcompany@gmail.com.

Ocean Pines Ping Pong Club, Ocean Pines Community Center, Monday noon to 2 p.m, Wednesday and Friday noon to 3 p.m. In the summer schedule changes to evenings. All levels of players welcome. Neil Gottesman, 732773-1516.

The Kiwanis Club of Greater Ocean Pines – Ocean City every Wednesday at 7:45 a.m. in the Ocean Pines Community Center.

CAPTAIN’S COVE

November - Early December 2014

Cove board approves sale of future rights to Section 14 parcel to Aqua Virginia Action meets one condition of pending utility company asset sale

By TOM STAUSS Publisher s expected, the Captain’s Cove property owner association’s Board of Directors has approved the sale of future use rights of a ten-acre parcel in Section 14 to Aqua Virginia, the company that is in the process of purchasing water and wastewater treatment assets from the Captain’s Cove Utility Co. At an Oct. 31 meeting of the Cove board, the directors unanimously approved the sale of use rights to Aqua, which wants to set aside the parcel, which is part of the platted nine-hole golf course in Sections 14-18 that has never been developed and never will be, for potential future use of what’s called a rapid infiltration basin, or RIB, in the event that RIBs elsewhere in Captain’s Cove have to be abandoned. Aqua was not interested in securing an easement to the ten acres but instead wanted the Cove association, by selling the use rights, to abandon any right to develop or in any way utilize the property in future. The property remains under the ownership of the Cove declarant/developer, Captain’s Cove Group Note, LLC. Aqua, which included the rights to the ten acres as one of its conditions for the purchase of the CCUC assets, agreed to pay the Cove association $31,500 for the use rights, which was based on an appraisal arranged by Mike Hinman, the Cove attorney, after a July 15 Cove board meeting.

Hinman at the same meeting was tasked with researching whether the Cove POA had the right to sell its use rights and whether the board could authorize the sale or whether it would have to be decided in a referendum of property owners.

Since that time, Hinman reported back that the use rights could be sold and no referendum of property owners was required.

Previously, Cove President Tim Hearn had disclosed that as part of the pending asset sale to Aqua, the Cove POA would be paid $105,000 plus interest to retire the demand notes associated with the outstanding loan advanced to the CCUC several years ago by the Cove POA to help keep the CCUC afloat in a stressful time financially.

At the end of this calendar year, the debt including interest should be about $145,000, Hearn said.

Retirement of the demand notes remains part of the pending Aqua acquisition, Hearn said during the Oct. 31 board meeting.

Board election results – As expected, the two candidates that received the votes of the declarant/developer won seats on the Cove board of directors in results announced during the Nov. 1 an-

A

nual meeting of the Cove association.

Three candidates were on the ballot.

Rosemary Hall, with 172 Class A (property owner lot) votes and 1341 Class B (developer) votes led the field with a total of 1513, followed by Roger Holland with 63 Class A votes and the same 1,341 developer votes, for a total of 1409.

Holland is said to have an affiliation

with the declarant/developer.

Winning the two-person contest for board alternate was Jan Marish, who received 119 Class A votes and 1,341 Class B votes, for a total of 1,460.

Hearn, who was voted in as president again in a short organizational meeting of the new board after the annual meeting, announced that he would not be voting on most issues that come before

the board in the coming year, except in those cases in which he could break a tie. Marish, a former alternate who was elevated to a full board position when a vacancy occurred earlier this year, will be allowed in effect to participate in board activities almost as if she were one of the seven directors.

Hearn said that this action means that effective control of board actions resides not with the developer/declarant but with resident property owners.

Hearn hasn’t been a share-holder in Captain’s Cove Group Note, LLC or its affiliated companies for some time, but he remains the managing partner of CCUC.

November-Early December 2013 Ocean Pines PROGRESS

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November - Early December 2014 Ocean Pines PROGRESS

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$5000 4/2130 Wooded, Septic Approved $5500 5/2403 Wooded, Septic Approved $6,000 1/1250 Wooded, W & S $6000 9/127 Wooded, Septic Approved $6500 8/51 Cleared, Septic Approved $6500 7/276 Cleared, Septic Approved $7000 9/64 Cleared $7900 4/2177 Wooded, Septic Approved $8500 11/3 Wooded $8500 11/2 Wooded $8500 11/14 Wooded $8500 11/4 Wooded $8500 8/38 Cleared $8500 9/101 Wooded $8900 3/1723 Wooded, Septic Approved $8900 11/10 Wooded, Septic Approved $9000 9/126 Cleared, Septic Approved $10,000 3/1640 Cleared, Septic Approved $11,500 1/ 1252 Wooded, W & S

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43

44 Ocean Pines PROGRESS Captain’s Cove

From Page 41 Because he’s associated with developer/declarant members of the board – Michael Glick and Jim Silfee and apparently the newly elected Roger Holland – some Cove residents will continue to perceive that the Cove board is effectively controlled by business interests based in Maryland, near Baltimore.

Hearn’s decision to step back from voting appears to be an olive branch of sorts to critics.

Fiber optic Internet – Representatives from Eastern Shore Communications, a company with offices in Cape Charles, Va., and nearby Pocomoke addressed the Cove board and property owners at the Oct. 31 board meeting with details of the company’s hopes to bring high-speed Internet and a bundled voice-over-Internet telephone service to Captain’s Cove.

The company’s president described the potential for bringing what he called FIOS-like service to Captain’s Cove, with Internet speeds up to 100 megabits per second. While cable television programming is not included as part of the start-up plan, it could be added later if demand justifies it, according to Judith Morgan, the company’s vice-president for residential services.

Morgan said the initial plan is to bring high-speed Internet and phone service to every home in Captain’s Cove

in most of Sections 1,2,3,4,5,6,8,9 and 10. Among the benefits, she said is that fact that national statistics show that high-speed Internet can add $5000 or more to the value of a home that previously didn’t have it.

Basic service would run at a speed of 5 megabits per second, for those with basic needs such as accessing Web sites and checking email, while those into gaming could double that speed to 10 megabits. Advanced users could have access to speeds as high as 100 megabits per second. Streaming of large video files benefit from fast download times to avoid the dreaded buffering that sometimes occurs while watching movies, she said.

Most residents would pay a monthly fee of $80 for Internet and phone service, with part-time residents to be charged $55, Morgan said. The first 125 residents who indicate interest in signing up for service would be charged a onetime $125 “founding member” installation charge, while those who sign up later, after construction is complete, would pay a $425 installation charge.

Perhaps the largest hurdle to bringing fiber optic high-speed Internet service to the Cove is the cost of bringing the backbone fiber optic system to the Cove from neighboring Worcester County, at a cost of $750,000.

Hearn said the declarant has offered to pay a portion of that cost, and that the Cove POA could contribute a portion of

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that as well, with an impact on the annual lot assessment.

Hearn acknowledged that property owners with unimproved property in Captain’s Cove might object to helping to pay for a service unavailable to them.

In the end, though, it would be a Cove board decision on whether to contribute to the cost of bringing the trunkline into the Cove.

As an alternative to that technology, Hearn said the company could bring in wireless Internet service into the Cove via dish mounted on a water tower.

That would be much less expensive, but it’s not certain whether the download speed available from this more primitive technology would match that of wired fiber optic cable.

In the meantime, much of Captain’s Cove receives its Internet through satellite television companies such as Directv or through the local phone company.

The company is asking those with an interest in fiber optic high-speed Internet to notify Morgan by phone, fax, or on the web, at www.esvc.us. The company’s office phone in Cape Charles is 757-6952090.

The Cove board will be making its decision on whether to subsidize the trunkline in part on how many Cove residents indicate interest in the service from Eastern Shore Communications.

Real estate sales incentives – The Cove board at its Oct. 31 meeting voted to drop the cost of association-owned lots that have been priced at $5000 lots to $4,000, in the hopes that it will stimulate more sales activity and revenue to the association when new owners begin to pay annual lot assessments. The price change was recommended by the association’s real estate listing agent, Cindy Welsh.

As part of the motion, and at the suggestion of Hearn, the Cove association will offer a $1000 incentive to a buyer’s real estate agent as a way to incentivize sales. The directors also agreed to delist the large inventory of unbuildable lots in the association’s inventory from local real estate multiple listing services, while allowing any Cove property owner to continue to purchase them.

Hearn said the move should help combat the perception that there are too many Captain’s Cove lots on the market, which he said suppresses property values. Remaining on the market will be the roughly 25 buildable lots that the association owns.

The following day, in a short board meeting after the annual meeting, the newly reorganized board made another decision designed to stimulate sales activity. At the suggestion of non-resident property owner Ed Moran, the Cove board will expand the lot swap program previously limited to lots in Sections 14 through 18, in which owners of unbuildable lots have been able to trade for buildable lots in Sections 1 through 11.

Limited to the first 25 requests that come in, the board voted to expand the swap program to all sections in the Cove, so that unbuildable or tough-toimprove lots in Sections 1 through 13 can be swapped for buildable lots in Sec-

tions 1 through 11.

As with the previous program, all lots to be traded must be current on lot assessments, and owners are responsible for closing costs associated with the transaction and any difference in value between the traded lot and the lot to be acquired.

During discussion, director Jan Marish said she thought there should be more marketing of Cove lots and more promotion of Captain’s Cove, comparing values in the nearby Trail’s End trailer park, where she said she’s seen lots sell in the $7000 to $8000 range, with values in Captain’s Cove.

Cove restaurant mishap – While the Cove board approved a revised and somewhat less costly management contract for Billy Casper Golf in August, a recent episode at the Cove’s Marina Club restaurant had some directors upset because of what they regarded as poor preparation by BCG management, including local manager Tim Johnson.

The incident occurred on a Monday night in which a rocket launch at the nearby NASA Wallop’s Island facility was scheduled. Lots of people showed up to view the launch, which was scrapped because of poor weather, but insufficient staffing was on hand to accommodate everyone who showed. Very few people showed up the following night for the postponed launch, which failed at lift-off.

“We’re not going to see a repeat of that,” Hearn said in reference to the dining mishap. He also said that while he remains happy with the operating margins and cost controls in the Cove’s food and beverage operations, volume is not where it needs to be. One Cove member took to the floor during the meeting to defend Johnson, urging the board not to make the call to BCG regional executives asking that Johnson be replaced.

The BCG manager apologized for the mishap, and announced that a new chef with expanded responsibilities would be coming on board on the 10th or 11th of November. Johnson vowed to take steps to ensure that the service problems don’t recur.

The directors approved a consent agenda for the revised BCG contract during the meeting. The new three-year agreement calls for a reduction in the annual management fee from $98,000 to $78,000, with three percent annual increases Indoor pool closure – While the indoor pool at the Marina Club remains closed as repairs to the outdoor pumphouse proceed, Cove management has been attempting to negotiate alternatives to Cove members who like to swim.3 Local hotels and even the YMCA in nearby Pocomoke have been unwilling to make their pools available for free or a reduced rate.

The Pocomoke pool has a regular daily pool use fee of $5.

In other aquatics new, the directors approved unanimously the expenditure of up to $20,000 to resurface the Town Center pools next spring.

Roads update – Although not nearly as quickly as some would hope, the Cove To Page 45

November - Early December 2014 Ocean Pines PROGRESS

45

COMMENTARY Golf course sale would be even better than leasing

T

he good news is that, in a request for proposals recently approved by the Ocean Pines Association’s Board of Directors, it’s clear that the OPA is seriously interested in leasing out the Ocean Pines golf course to qualified operators. There is every indication that at least four groups will be submitting lease proposals, and there could be more. It’s even possible that Billy Casper Golf, the company that is operating the course for the OPA under a fee-based arrangement, will submit a lease proposal.

Of course, the RFP also is inviting these same groups to submit proposals to continue the current fee-based approach to managing the course. There’s nothing irrational about that, as it’s always nice to have a fallback Plan B on the table if Plan A fails. Still, should that happen, the likely consequence is that there will be renewed efforts by a group of property owners to petition the board for a referendum on the fate of the golf course, including the option of closing it and converting it into a park that can be used by everyone in Ocean Pines. Plan B is fine for an RFP, but the current fee-based approach to managing the golf course has no sustainable long-term future.

The word on the street – or should we say fairways – is that the OPA will be receiving credible lease proposals from several qualified groups. It then will become a matter of selecting the one with the right credentials and the best fit for Ocean Pines, however that is defined.

It appears there’s a solid board majority favorably inclined toward leasing out the course, as a way of reducing losses in golf operations and the subsidies those losses require. There is at least one, possibly two, leasing skeptics among the directors. One of those, Bill Cordwell, a golfer, worries that a golf course tenant would allow the course maintenance budget to erode, reversing the effects of major course upgrades in recent years and degrading the course for the Ocean Pines property owners and residents who continue to play it. That’s a perfectly legitimate concern but one that can be addressed during the proposal vetting process. Whoever the board choses as the golf course tenant needs to have a solid, verifiable track record

Captain’s Cove From Page 44 board is making some strides in the protracted effort to complete the build-out of roads in Captain’s Cove.

During the Oct. 31, the directors voted unanimously to spend up to $85,000 to complete the roads on Smuggler’s Way, Tiller Court and Underway Court, funding to come from the Exhibit X earmarked fund.

In an announcement that could spur road building activity next year, Hearn disclosed that an investor who for the time being wants to remain anonymous has negotiated a $150,000 interest-only loan for road construction, at an interest rate of 200 basis points, or two percent, over the prime rate. Unless extended, the term would be for three years.

Hearn said the investor is not associated in any way with a Cove board members or the Cove declarant/developer.

The board will have to decide which sections in the Cove will be targeted for road construction given the limited funds available. Exhibit X will be the

in golf course maintenance. Managing maintenance expenses intelligently is a plus.

Even better news is word that at least one of the groups that plan on submitting lease proposals will also indicate interest in a purchase option, actually buying the course from the OPA at an agreed-upon price (to be determined) and under terms, such as deed restrictions or a reversion clause, to be negotiated. Deed restrictions would be important to ensure that the golf course remains a golf course under new ownership, and that, should new owners fail to operate the course successfully or at least satisfactorily, ownership would revert to the OPA under certain conditions, such as bankruptcy or other demonstrated inability to operate a golf course.

There is no particular reason to assume that a golf course sale will be on the table in the near-term; a lease remains the better option at present. But any potential tenant that indicates interest in an eventual purchase should be awarded extra points in the vetting process, because ultimately that is the structure that best insulates the OPA membership base from the costs, losses and subsidies associated with the golf course. Ownership in private rather than OPA hands would mean OPA members reap the benefits of a golf course in their community with none of the drawbacks, such as costs that in some years have exceeded $1 million.

Private ownership confers upon the new owner tax benefits presumably not available in a leasing arrangement.

While leasing should reduce if not eliminate the need for Ocean Pines property owners to subsidize golf operating losses, leasing won’t relieve OPA members of the least understood, but largest, ongoing expense associated with owning a golf course – funded depreciation. This expense now costs property owners roughly $450,000 per year, or more than $50 in the annual lot assessment, and most OPA members remain blissfully unaware of this fact. Were this expense to disappear from the OPA budget, as would necessarily occur if the OPA no longer owns the course, then OPA property owners would almost overnight receive a

funding source.

Recent foreclosure results – Hearn announced that the October foreclosure of delinquent properties went well, with the Cove association acquiring most of the lots. In what he called a hopeful sign, the Cove president said that one speculator bought 11 lots at auction, including some in unbuildable sections 14 through 18.

Hearn said that when speculators swoop in to buy distressed properties, that’s often an indication that a recovery is just around the corner. He said that there’s been a pick-up of sales activities elsewhere in the region, and that Captain’s Cove normally follows upturns elsewhere.

Ward complaints – Property owner John Ward had an appointment with the board during the Oct. 31 meeting for a hearing over a complaint that the Cove should not be using assessment dollars for roads construction. The 3 p.m. hearing time came and went, with Ward not attending. The board voted to table the matter to give Ward another opportunity to voice his concerns. He later told the

$50 or more decrease in their annual lot assessments, absent any countervailing increases in the budget.

While asset depreciation in a not-for-profit entity such as an homeowners association serves as a pretext for extracting assessment dollars from HOA members, thereby assuring a dedicated funding stream for future capital expenditures, it works altogether differently under for-profit private enterprise.

Depreciation expense to a private entrepreneur represents a concrete, lawful way to reduce tax liability, and hence should act as a powerful incentive for a successful golf course operator to purchase, rather than lease, the Ocean Pines golf course under the right circumstances. It does not require a vivid imagination to conceive of a situation in which an experienced golf course operator makes a decent profit on the operation before depreciation expense, while escaping tax liability on that profit after depreciation expense wipes out the profit “on paper” and is even available to offset profits elsewhere in the owner’s portfolio. Professional number crunchers do this sort of thing for a living.

While selling the golf course or entering negotiations to do so or to request proposals for selling would be premature right now, leasing out the course with an option to buy (under terms to be negotiated later) would be a good way to structure a new lease.

Any tenant would probably want a good year or two of leasing under his belt before structuring a sensible purchase offer, and OPA members, who would have to sign off on a sale of the golf course in a referendum, would certainly be interested in how well the potential buyer of the course has operated it as a tenant.

A golf course on the Choptank River in Dorchester County near Cambridge sold earlier this year for about a million dollars, which might be a good starting point for attaching a “comparable” value on the Ocean Pines golf course for purposes of a sale. Would that be the ending point, given the rather substantial capital investments in the course made by OPA members in recent years? Probably not, but that’s something that need not be decided right now. – Tom Stauss

Progress he didn’t show because he had concluded his complaint would be rejected by the board.

Ward used the occasion of the Nov. 1 annual meeting to tell property owners and the board that the declarant/developer is behind in paying country property taxes, including penalties and interest, in the amount of $570,782.30 for five years, with another payment due in December that could increase the money owed.

He later said that the two earliest years were attributable to taxes owed by the declarant/developer that preceded Captain’s Cove Group Note, LLC. Ward said that such a large amount owed by the county, numbers he said had been provided by county treasurer Dana Bundick, means that other taxpayers in the county have to pay more to compensate.

He told the Progress that the county has been reluctant to foreclose on the properties because of concerns that the lots at issue would not attract enough buyers at auction, but that tax sales of delinquent properties are possible after

two years of delinquency.

Since there was no one from the Captain’s Cove Group Note LLC at the meeting available to comment, Hearn offered additional information about the delinquencies from another perspective.

He said that the developer had entered into a payment plan for the arrearages, of about $50,000 per year. He also said the developer is contesting the assessment value of some of the properties in the normal appeal process, something he said the Cove association is also doing on some of its lots.

The county routinely values some unbuildable lots in the Cove at $4,000, and Hearn said the Cove is arguing that some of these lots for assessment purposes should be valued at $1000.

He told the Progress that the developer is making similar arguments in the appeal process.

Ward remains unconvinced. In recent email to the Progress he said Bundick told him that the $50,000 payment amount was incorrect and that the developer had not adhered to the agreed-upon payment schedule.

46 Ocean Pines PROGRESS

November - Early December 2014

The politicization of high top tables (seriously)

T

he strange undercurrents and friction that underlie relations among the directors of the Ocean Pines Association, and some directors and OPA General Manager Bob Thompson, have been manifesting themselves since the new board organized itself after the summer elections season ended in August.

It began with the very first meeting of the new board, when some of the carry-over members from the old board demonstrated their pique at the election results by declining invitations to serve as OPA officers. After one recent board meeting, disgruntled director Sharyn O’Hare told a reporter that she had been disrespected by Stevens shortly after his election to the board; she would have accepted the vice-presidency had Stevens only contacted her prior to the organizing meeting, she said.

Her unhappiness with the board’s new direction no doubt led to her recent disclosure that she does not intend to seek reelection to the board next year.

Director Bill Cordwell has at times seemed quick to take offense at perceived slights, often having to do with hearing about topics to be discussed at board meetings only when the agenda arrives in his inbox. Sometimes it’s less about process and more about substance; sometimes it’s a mash-up of both. He’s not too keen on the board’s decision to send out a request for proposals that could lead to leasing out the Ocean Pines golf course, and he is similarly dismayed about the board majority’s support for soliciting proposals that could – with an emphasis on the could – result in a new OPA general counsel and auditing firm.

Of the three carry-over board members who once comprised three fourths of a board majority, former OPA President Tom Terry seems to have adjusted to the new political reality with the most equanimity; he sometimes sides with the new board majority bloc – Stevens, Marty Clarke, Pat Renaud and Jack Collins – sometimes with Cordwell and O’Hare. It really does depend on the issue; Terry seems sincere in his support for the pursuit of a golf course leasing option, something that Clarke, Renaud and Collins are all solidly behind, Cordwell especially not so much.

Just to keep things confusing, Renaud and Collins have recently broken with Stevens and Clarke on some issues. One example: Stevens’ proposal for a Yacht Club “lessons learned” working group went down 5-2.

There’s a caveat though: Renaud and Collins are perfectly willing to revisit the proposal later if the information that Stevens wanted the working group to produce for some reason doesn’t materialize. While they have not irreversibly abandoned their ally, Stevens, still it was one of the first cases where Renaud and Collins joined up with Terry to form a voting majority.

cluded in the original furniture budget for the Yacht Club and weren’t. The relevant data point is not when they were An excursion through the curious cul-de-sacs An excursion through theby-ways curious and by-ways and cul-de-sacs purchased, or who recommended them, of Worcester County’s County’s most densely community. of Worcester mostpopulated densely populated community. but the simple fact that they’re really no

By TOM STAUSS/

By TOM Publisher STAUSS/Publisher different than the rest of the furniture purchased for the new amenity. They Best guess: It probably won’t be the But, if the majority of the board sup- will go quite nicely with high top chairs last time. ported the chair, he said he would go that the OPA already has in its invenMeanwhile, Thompson has been ahead and buy them as soon as possible. tory. treading carefully at board meetings, “We need it. It would be great to have What, pray tell, can high top chairs knowing full well that any misstep but asking for an unfunded request for accessorize if it’s not high top tables? could cost him a reprimand in his file me never seems to work. So therefore Any furniture or other item puror potentially something worse. He it would not be my request, and I bet I chased or identified for future purchase needn’t worry too much: Simply produce could get them if I said I’m not for this,” ought to be included in the final dashthe supporting documents that Stevens he said, attempting some levity that board. and his colleagues are insisting on, in succeeded with some of the more jaded Only someone blessed with an abuna timely fashion, and he should survive members of the working media. dance of naiveté would believe that failjust fine under the new regime. Play Among at least some of the directors, ure to include the high top tables in the games and it may very well be open seaprobably not so much. original furniture budget was mere hapson on the general manager.

Aside from a good example of Thomp- penstance.

The Nov. 22 regular board meetson treading carefully around a potenAnd why does this matter? Clarke ing will prove some evidence on how tial budgetary minefield, the issue of has been saying for some time that it Thompson intends to proceed, as two high top pub chairs also was relevant to was only a matter of time before the documents – an updated version of a another potential minefield, this one in- true costs of the Yacht Club emerge, and draft capital improvement plan and a volving the question of whether the un- he has been predicting that the final acreport on a restructuring of the OPA’s budgeted expenditure will come out of counting will show a new amenity that monthly reserve summary with respect the Yacht Club’s construction contingen- was not built under budget. to the waterfront reserve – are due at cy fund, which is perilously close to zero, With the summer dashboard showleast three days before the meeting. He according to the most recent construc- ing a little more than $4000 remaining also has been tasked with producing a tion dashboard, now several month’s old. in the contingency fund, a $2500 bite out justification for a recommendation on a If the chairs are charged against the of that remaining pittance does bring contract to repair the Mumford’s Landcontingency, that could help push the fi- Clarke’s prognostication closer to reality. ing and Swim and Racquet Club pools. nal cost of the Yacht Club into overrun All in all, a lot on the general manager’s territory, depending on what other unplate. expected or unbudgeted items show up Another example of underlying ten- in the final dashboard. sion on the board as the readjustment Clarke, who initially indicated that continues apace involved what on the he would support the purchase asked The Ocean Pines Progress, a journal surface seemed like a relatively minor, whether “there’s not contingency left of news and commentary, is pubnon-controversial item: A motion by for this?” in the Yacht Club construction lished monthly throughout the year.

Cordwell at the Oct. 23 board meeting budget.

It is circulated in Ocean Pines, Berto approve previously unbudgeted fundThompson said he is currently worklin, Ocean City, and Captain’s Cove, ing for the purchase of ten high top pub ing on finalizing the Yacht Club conVa. tables for a section of the Yacht Club’s struction project, including ensuring Letters and other editorial submisCove restaurant near the bar area. The completion of punch list items, and cansions: Please submit via email only. original design for the Yacht Club un- not say if there will be any money still Letters should be original and excludersized the bar area; the high top taavailable in the project budget. “I am not sive to the Progress. Include phone bles were recommended by the Clubs going to be caught saying we have monnumber for verification.

Advisory Committee as a way of aug- ey left over,” he said. menting available seating for bar flies.

As reporting elsewhere in this edition 127 Nottingham Lane The expenditure, which received anof the Progress indicates, that prompted Ocean Pines, MD 21811 other 5-2 vote of the board, with Stevens Clarke to change his support for Cordand Clarke in opposition, will cost the well’s motion to opposition. He said he PUBLISHER/EDITOR OPA a modest $2500. Thompson could would not vote for the purchase of pub Tom Stauss have approved the expenditure himself, tables if there isn’t funding available in tstauss1@mchsi.com under his board-approved authority to the Yacht Club construction budget to 410-641-6029 spend up to $15,000 without needing cover the cost. the board’s blessing.

“That’s fair enough,” Stevens agreed, Advertising Sales He was reluctant to do so, and he adding that without that information Frank Bottone even declined to offer a recommenda“this is premature.”

410-430-3660 tion on the proposal. It was obvious, Terry argued that the purchase does though, that he supported it. not have to be included as part of the ART DIRECTOR “I’m not agreeing or disagreeing on construction project cost. He said the Rota Knott the idea of high top tables. We recognize building opened in May. we do need some additional high top ta“At some point in time you have to CONTRIBUTING WRITER bles. What I will say is it is an unbudmove from construction into ‘you’re in Rota Knott geted, unfunded request,” Thompson business,’ ” he said. “At this point advisoInkwellMedia@comcast.net told the board. “I would not have necesry committee has realized that we need 443-880-1348 sarily made a request for an unfunded ten extra tables in order to facilitate item at this point,” he added, making a what members want.”

PROOFREADER not too subtle reference to the board’s Well, yes, but the dashboard isn’t Joanne Williams inclination not to approve unbudgeted completed yet in final form and the high items in the past. top chairs arguably should have been in-

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November - Early December 2014 Ocean Pines PROGRESS

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48 Ocean Pines PROGRESS 32 Ocean Pines PROGRESS

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