By Josh Davis, Associate Editor

(Sept. 20, 2018) The Ocean Pines Association Board of Directors discussed the following items during a Sept. 8 regular meeting:

Agenda swamp

Director Frank Daly asked to change a discussion item, on “Improving Management and Board Accountability,” to an agenda topic.

Daly said a number of association facilities had deteriorated or become unusable because of deferred maintenance. He said it was both a culture and a board issue, adding, “We need to get to the root of changing it.”

A vote to modify the agenda was 6-1, with Director Slobodan Trendic opposed.

Additionally, Association President Doug Parks withdrew a motion to appoint General Manager John Bailey as assistant secretary.

The amended agenda was approved 7-0.

Board accountability

Although Daly initially won approval to change his discussion topic into a formal motion, he later reneged.

In an opening statement, Daly said his motion would have directed Bailey “to provide the Board of Directors with an organization chart that identifies specific staff members responsible for the operation, maintenance, financial performance (if applicable) and personnel (if applicable) for each and every major amenity and non-mobile asset within the Association.”

“Responsible staff members will be responsible for submitting operations, maintenance and capital budgets for their assigned areas to the General Manager as part of the strategic planning process, and be responsible for the operations and maintenance of their assignment 24/7 365, following the general principles outlined in the attached document,” he said.

Daly named off a number of association facilities that “experienced maintenance and/or operational issues that have resulted in financial, service or credibility losses to the association,” including the yacht, beach and country clubs, two bridges, one playground and the crab pier.

He asked Bailey to “attack and eliminate” what has amounted to “a damnable culture of indifference.”

Parks, however, said a board directive rather than a motion could accomplish the same thing.

“I think that we need to push that thinking … without shackling the ability to be flexible in order to meet that demand,” he said.

Daly agreed and offered to withdraw the motion. A board vote to do so was unanimous.

Beach club renovations

The directors voted to issue bid requests to renovate the second floor of the beach club in Ocean City.

Trendic said improving conditions and the appearance of the club’s second floor would allow managing firm the Matt Ortt Companies “to market this premium OPA asset that has been underutilized for years.”

According to the motion, a scope of work would be developed with input from the Ortt Companies.

Parks said he was all for renovating the club, calling it “the jewel of the Ocean Pines Association,” although he said the narrow timeframe was of some concern.

As such, he suggested a friendly amendment to push out the bid request due date from Sept. 28 until Oct. 31, with results and a recommendation due by the Dec. 1 regular board meeting.

The friendly amendment and original motion both passed unanimously.

Treasurer’s report

Treasurer John Viola said July numbers showed the best bottom line ever for the yacht club, drawing applause from those in attendance. He said overall numbers for the month of July were favorable.

Year to date, Viola said, the association was still off budget by about $69,000. He added, “I’m anticipating big stuff” for August that might help close the gap.

Viola said the association had about $13.7 million in cash as of July 31, including $10.3 million spread over three reserve accounts. However, with the majority of the fiscal year still to come, he said, “money will be spent.”

Finance Director Steve Phillips estimated about $1.3 million in replacement reserves spending would occur during the remainder of fiscal 2019.

GM report

In his monthly report to the board, Bailey said the board would likely see a finalized reserve study in time for the Oct. 20 regular board meeting. He said minimum threshold levels were removed and the escalation rates for annual contributions were altered as a result.

Additionally, Bailey said the road repair program was being redeveloped.

Bailey said Ocean Pines insurance policies were in the process of being reviewed for perhaps the first time in a decade. He said requests for proposals would go out next month and were due Oct. 31. Vendor presentations were likely in November and the board would make a selection during the Nov. 10 regular board meeting, Bailey said.

Closing out the report, Bailey said the association’s legal council was reviewing the latest draft of new agreement with Mediacom.

“A draft document should be ready for the board review and discussion later this month,” Bailey said.

Capital purchase requests

The directors voted unanimously to approve two aquatics-related bid requests: a $104,675 bid by Pace-Adams & Havtech of Mooresville, North Carolina for a sports core pool dehumidification unit, and a $54,990 bid by Structures Unlimited of Bow, New Hampshire to re-coat sports core roof panels.

Pace-Adams had the low bid out of two bidders. A third did not respond.

The Structures bid was a sole source, which Bailey said was recommended because the company built the enclosure in 2007 and have been servicing it ever since. He said treatment every 8-12 years is designed to greatly extend the life of the roof.

Appointments

The directors considered and approved one committee appointment, Larry Davis, as president of the golf advisory committee.