By Greg Ellison

Staff Writer

(Jan. 23, 2020) The new Ocean Pines Association budget proposed for the 2020/2021 fiscal year continues to pursue deficit recovery efforts while also allocating money for capital projects. It also does this while knocking a couple bucks off annual assessment fees.

The new financial package is scheduled for adoption on Feb. 18 following a public hearing on Feb. 5.

The $986 assessment charge for non-waterfront lots levied by the OPA during fiscal 2019/2020 is tentatively set at $981 in the pending budget.

General operations accounts for the bulk of that total and was trimmed by $16, dropping from $791 currently to $775 in the proposed budget.

Nearly twice that total was cut from amenity operations, which are budgeted at $30 less on assessment charges than the current fiscal year.

By contrast, at this juncture at least, waterfront lots will see an increase in assessment fees of $45, with the $1,451 levied this year scheduled to increase to $1,496. This stems from an increase in bulkhead differential charges from $465 this year to a proposed $515 in the pending budget.

In terms of revenue, the 6,716 lots charged $986 this year generated $6,621,976, while the same number paying the proposed rate of $981 would raise $6,588,396 or $33,580 under the prior year tally.

By comparison, increased revenue is anticipated from waterfront properties, with the 1,361 lots charged $1,451 this year for a total of $1,974,811, slated to pay $1,496, which would generate $2,036,056 or $61,245 over the prior year.

The current budget includes assessment charges on 8,452 lots for a revenue total of $9,057,737, or $1,071 on average. The pending budget assessment totals includes 8,433 lots raising $9,065,143 in revenue, or $1,075 on average.

Looking at the overall financial picture, total revenue for the current fiscal year is forecast to wind up at $18,454,329 and budgeted at $14,526,703 in the pending budget.

The present year total includes roughly $5.5 million in capital project funding, with about $1.6 million included in the proposed budget numbers, with the differential slated to fund ongoing capital projects.

In terms of revenues from operating departments, the current fiscal year is forecast to close at $12,859,550 with the pending budget estimated at $12,835,539 for a $24,011 decrease.

Total expenditures, including capital spending, are forecast to close this budget year at $18,002,192 and estimated for next fiscal year at $14,526,703, for a decrease of roughly $3.4 million.

The subtotal for departmental expenses are forecast to close this fiscal year at $12,400,913 and estimated at $12,496,388 for an increase of $95,475.

Looking at reserve account balances, which include replacement, bulkheads, roads and new capital, the estimated balance to close the current fiscal year is $4,471,988.

The proposed 2020/2021 budget includes contributions of $3,276,998, which includes earned interest and casino funds, contrasted by expenditures of $3,096,164.

Based on these numbers the overall reserve balance to close the upcoming fiscal year on April 30, 2021 is estimated at $4,652,822.

In terms of improvements slated during the pending fiscal year, nearly a dozen roads are scheduled for paving for an estimated cost of $324,570.

Bulkhead repairs are estimated to run $1,192,500, which breaks down to 3,180 linear feet at $375 each.

Dredging work is estimated to run $60,000, which budgets 20 sites at an average cost of $3,000 each.

To continue improving longstanding drainage issues, $611,575 is included in the fiscal 2020/2021 budget, with $68,000 of that sum for improvements at Bainbridge Pond.