Following recent repeal of B-08 guidelines, potential revisions now under review

By Greg Ellison

(July 8, 2021) Time frames remain hazy to revise guidelines for ethics complaints against sitting directors after the Ocean Pines Board voted unanimously last month to repeal resolution B-08.

In May, Director Frank Daly introduced a motion to rescind the resolution regarding board member and officer ethics and conduct. The measure was passed on second reading by the board on June 16.

“It was the poster child of unintended consequences,” Daly said.

Originally approved in 2018, resolution B-08 was proposed by Director Dr. Colette Horn and approved by a 5-1 vote with then-Director Slobodan Trendic opposed.

“It was well-intended from day one, but the application is extremely difficult,” he said.

Although the measure was established to address actions between directors or association staff, it was difficult to apply from a practical standpoint, Daly said.

“When you consider all the things that could happen … and did happen, it’s good to get rid of,” he said.

In total, three B-08 complaints were lodged following the resolutions passage: one was filed in filing in February against Association President Larry Perrone by Colby Phillips, another was filed last November involving General Manager John Viola and Director Tom Janasek, and in 2019 former OPA Human Resources manager Nate Douty filed a complaint that resulted in a wrongful termination lawsuit.

Speaking this week, Daly said in all three instances that B-08 proceedings occurred, “one … or both parties didn’t think it was fair.

“When you go into a process, if anyone complains it’s unfair …  then I think it’s time to get a new process,” he said.

Aspects that troubled Daly regarding resolution B-08 included limited public disclosure, along with the absence of detailed information on how to draft complaints and conduct investigations.

Daly said a board work group is developing a revamped version of the B-08 procedure to enhance public disclosure elements, among other things.

“There’s a whole bunch of things that have to be spelled out in meticulous detail,” he said.

Daly said an initial consideration should be what parties are eligible to lodge ethics or conduct complaints.

“Exactly what would a complaint look like and who does it have to be written by,” he said.

Elements involving public disclosures include who would conduct the investigation of the complaint and which parties would be interviewed.

Daly has reservations about whether the work group can produce an amended resolution that will be practical and effective.

“There a lot of things that it would need to address that I don’t think … are realistic that it can address,” he said. “If they come up with something, I’ll certainly consider it.”

Daly reiterated an earlier criticism that B-08 complaints created an additional procedural level already covered within existing bylaws.

“It just fell completely short of what I would consider to be a fair, equitable [and] easy to understand process,” he said. “All three times we had problems with it.”