Cove will need accountability

Regardless of who eventually operates the cottages and concessions at

Crystal Cove, awareness of a few issues will maximize the public’s

access to that lovely area.

* The leases for cottage rental should be on a first-come,

first-served basis or on a lottery basis, with a weekend limit.

Allowing a longer stay satisfies the needs of only a few. One cottage

can serve as a combination office and residence for the ranger in

charge. What a great job!

* State Sen. John Campbell’s plan to have all the money derived

from Crystal Cove go into its maintenance is prudent, but the state’s

desire for a 12% return on profits earned through rentals or stores

is a bad joke that will earn the state little or no money. A

percentage of the profits is a sucker contract. Profits are realized

only after expenses are deducted.

The bookkeeper of any successful business can show expenses that

equal or exceed income, because the business must pay taxes on

profits. Most would rather plow that money back into the business

rather than give it to the government. On the other hand, even

deriving 100% of the income and being run by a not-for-profit group

can prove dicey. Some nonprofit organizations have exorbitant

salaries and expense accounts that eat up money sorely needed for

maintenance.

If the state were to demand 12% of the gross income, it would earn

considerably more than it would derive from 12% of the profits. But

even 100% of generated money would need to be carefully monitored to

minimize expenses.

No matter who runs the cove, access to the cottages will be prey

to some favoritism. But if the records are kept open to public

scrutiny and the public shows an active interest, shenanigans can be

kept to a minimum.

What a great place to spend a weekend.

* ALAN REMINGTON is a Costa Mesa resident.