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Ocean Pines budget shows $200K profit

By Morgan Pilz, Staff Writer

(May 9, 2019) Although Ocean Pines originally expected a loss for fiscal year 2019, the association is now projecting a $200,000 profit against the budget, according to interim General Manager John Viola.

In the monthly treasurer’s report at last Saturday’s board of directors meeting, Viola said the association had beaten the budget by $200,000 during the first 11 months of the fiscal year.

From May 1, 2018 until March 31 this year, revenues were $576,159 better than what was budgeted, while expenses were over budget by $356,477. Viola also included new capital, which was over budget slightly, by $19,116.

In March, revenues topped the budget by $64,300, and expenses were under budget by $47,782, Viola said. The overall rate of return for March was approximately 2.4 percent.

Departments performed better than budgeted numbers by $458,000. These departments include the Recreation and Parks Department at $104,000, police at $82,000, Public Works $56,000, beach parking $49,000, the Beach Club and yacht club combined at $39,000, the marina $26,000, golf course $24,000, Fire/EMS $17,000, aquatics $8,000 and public relations at $6,000.

Other departments missed the budget by $239,000. The General Manager’s Office exceeded the budget by $101,000, the administration building by $65,000, general maintenance by $58,000 and other expenses missed the mark by $15,000.

“A lot of [the expenses] were one-time purchases,” Viola said. The expansion of the administration building is one example.

The reserve forecast for the end of the fiscal year is $8.8 million, including $5.3 million in replacement reserves, $2.4 million in bulkheads and $1.1 million in roads. As of March 31, the association had about $10.6 million in cash overall, Viola said.

On the operations side, Operations Director Colby Phillips told the board the golf course bathrooms are currently being redone to look nicer, and the outdated toilets will be replaced with automatic flush models.

“It was supposed to be contracted out, however, we’ve taken that in-house, and the Public Works team has just finished painting the walls,” Phillips said.

The drainage committee group had its second meeting this past week, and is considered a top priority for the team, Phillips said.

“Unfortunately, some of the areas are in wetlands and there is not much we can do,” Phillips said. “But we are working individually with homeowners that reach out, to either offer suggestions or get the county involved if we’re able to.”

Phillips also talked about bulkheads, which has three contractors performing the work. There was some delay in the work being done, but the work going on in three areas is expected to be completed soon.

Pools are also getting prepped to be open for the summer season by next week. East Coast Construction is expected to finish the Beach Club renovations, Phillips said. Windows have been replaced, the roof has been lifted to offer a better view and the bar is being extended. The Beach Club is expected to open for the season May 24.