By Morgan Pilz, Staff Writer
(July 11, 2019) The Ocean Pines Association’s positive financial trend continued in May, the first month of the association’s new fiscal year, as the month’s numbers were $202,272 better than budgeted.
Revenues exceeded budget by $175,341 and expenses were $26,931 less than budgeted, according to Interim General Manager John Viola.
In the monthly treasurer’s report at last Saturday’s board of directors meeting, Viola presented financials that showed substantial improvement against budget in the Recreation and Parks Department ($31,000), Yacht Club ($67,000), Beach Club ($17,000), beach parking ($49,000), golf course operations ($14,000), marinas ($8,000), the general manager’s office ($13,000), police ($6,000), public works (($18,000) and other amenities for $10,000.
Viola said construction at the golf course did not appear to have a noticeable negative impact on operations.
“When you take into account everything that’s going on … in my mind and what I’m reporting is very favorable,” he said. “I understood the concerns. We have done everything possible to ensure a pleasant experience for the golfers and the feedback I’m getting … is that it’s positive.”
Viola also praised the Matt Ortt Companies for its handling of food and beverage operations. The club finished the month of May with a positive net operating balance of $5,025. In May 2018, the Yacht Club finished the month with a negative operating balance of $64,466.
Other departments missed the budget by $31,000. The Aquatics Department exceeded the budget by $19,000, public relations by $4,000 and other expenses cost $8,000.
The reserve forecast for the end of the 2019 fiscal year was $8.8 million, including $5.2 million in replacement reserves, $2.5 million in bulkheads and $1.1 million in roads. At the end of May, the total was forecasted for $11.5 million, including $5.2 million in replacement reserves, $2.5 million for bulkhead replacement and $1.4 million in roads. The overall rate of return for the month of May is approximately 2.5 percent. As of May 31, the association had about $16.3 million in cash overall, Viola said.
Final audited figures for fiscal 2019 will be released during the Ocean Pines Annual Meeting, scheduled Aug. 10.
Viola also recognized Assistant Treasurer Gene Ringsdorf, who will retire at the end of August.
“I just want to thank Gene for all the work and service that he’s given to Ocean Pines,” Viola said.