MINUTES OF MEETING LAKE ASJ-tTON II
COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Board of Supervisors of the Lake Ashton II Community Development District was held on Friday, July 16, 2021 at 9:00 a.m. at 6052 Pebble Beach Blvd., Winter Haven, FL.

Present and constituting a quorum were:

James (Jim) Mecsics Bob Zelazny
Duff Hill Colette McKie
Angie Littlewood

Chairman
Vice Chairman Assistant Secretary Assistant Secretary Assistant Secretary

Also present were:

Jill Burns Mike Eckert Alan Rayl Mary Bosman Brian Rhodes Ron Lavoie
Rhonda Mossing

District Manager, GMS District Counsel, HGS District Engineer Community Director Indigo Golf Partners Indigo Golf Partners MBS

FIRST ORDER OF BUSINESS	Roll Call and Pledge of Allegiance
Ms. Burns called the meeting to order at 9:00 a.m. and five Supervisors were in attendance constituting a quorum. The Board recited the pledge of allegiance.

SECOND ORDER OF BUSINESS
Mr. Mecsics: Okay Jillian; Public Comments? Ms. Burns: Let's do the meeting agenda first.

Approval of the Agenda

Mr. Mecsics: Do we have any changes to the meeting agenda?

Mr. Eckert: I think we may have a discussion regarding declaring assessments that needs to be added. A discussion of declaring assessments and if the Board decides to do that, we would have a resolution from the Board to consider it today.
Audience member: Can you use a microphone please?
Mr. Eckert: I was going to suggest you have a discussion added on potentially declaring assessments and have a resolution if you want to add that to the agenda at this point in time just given some of the financial forecast that we have been made aware of.
Ms. Burns: We can add that as the last item for 'New Business', motion to approve as amended?

On MOTION by Mr. Zelazny, seconded by Ms. McKie, with all in favor, the agenda as amended, was approved

THIRD ORDER OF BUSINESS	Public Comments on Specific Items
on the Agenda (the District Manager will read any questions or comments received from members of the public in advance of the meeting; we ask those members of the public wanting to address the Board directly first state his or her name and his or her address. All comments, including those read by the District Manager, will be limited to three (3) minutes)
Ms. Burns: Now we have public comments.
Charles Caesar (1175 Sawgrass): I am here this morning representing the Lake Ashton Pickleball Association. I submitted a letter to the Board earlier this week and I will briefly go through it. We would like to formally request that the CDD authorize funds to repair the fences around the perimeter of the pickleball courts. There are three things we are really concerned about. One is safety, which to be honest is not really an issue with the fence at this point. The second thing that we are very concerned about is the ability  to have nice continuous play. With the way the fences are today, it is almost impossible to play a game of pickleball without the balls rolling under then we have to stop and go around the fences, and sometimes crawl between the landscaping to get the balls and bring them back which I am sure you all can appreciate is very disruptive to having a

game of pickleball. The third thing that we really feel is important is that we think Lake Ashton is a very high-end retirement community and the aesthetics of all of our facilities are important to the community at large, and with the fences as they are today, they are curling up at the bottom, we have had to put bricks around different ones to try to reduce the number of balls that go out. The appearance just is not up to the standards that we think this level of a community should have. As a Pickleball Association, we feel that we have been very supportive over the years. We have paid for the courts to be put in, we have paid for the netting, there are a lot of things we have contributed. We feel that we have been really good stewards of the facilities that you guys have granted  us, but we feel the maintenance has reached a point where it really needs to be taken care of. We feel it is a relatively low cost and would really appreciate the Board's support for getting the bottom railing attached around the perimeter, and attaching the fence to that. There are a couple different alternatives that I know we have talked with Bob earlier in the week about, but we really feel to maintain both the court play and the aesthetics, if we can get the entire perimeter done, less the tennis court side, that would be the optimal solution. I just wanted to say that we have a number of our Pickleball Association here today, and if you guys want to raise your hands, because it is very important to us so we hopefully have come out in force today to show you our support for this proposal. Thank you so much for your time.
Mr. Mecsics: Thank you.
Ms. Burns: Next, we have MJ Richards.
MJ Richards (1171 Sawgrass): Thank you for allowing me to address you today representing myself and my husband, Paul. Charles Caesar (1175 Sawgrass) is my neighbor and he is also representing his wife, Teresa, who couldn't be here today. We have also been authorized to speak for John Milsom and Sandy Hockenberry of 1178 Sawgrass, and future homeowners Kathy and Mike Williams at 1174 Sawgrass who are currently Zooming so they are listening to all of this. We are the owners of the four homes directly impacted by any discussion or decision made on the easement between the Hockenberry/Milsom's home and the William's home on Sawgrass at the 10th green. Our home specifically will be directly in front of the path causing headlights to shine directly into our home and a lot of traffic because golf cart people tend to gather at those places.

All of us were told that this was an easement when we purchased our lots due to underground utilities where waterlines have already been marked, not a future golf cart path, which helped us determine which of the many lots we could have chosen to build upon. Homeowners who already have this type of path access either were told of its placement prior to building, or it was existing when they purchased their homes. Chuck I am going to let you take over on the safety.
Charles Caesar (1175 Sawgrass): We wanted to make a couple other points. That curve as you come around Sawgrass is a relatively tight curve, and one of our concerns is golf carts. If they were coming off the course and interfering with the traffic, which there is not a ton of traffic today, but I can stand in my yard today and see about 11 houses being built, so it is only going to get worse. Plus, the way that is positioned for the four houses that are directly impacted by this, as we back out you are basically backing into what would be the exit onto the street. We feel that it doesn't create a very safe environment for us or for the people on the golf carts. The other point that we wanted to make is from a need standpoint. I am not an avid golfer but I do golf. It is very unusual that someone would exit the golf course after the 10th green, typically golfers play 9 or play 18 holes. So, whether they are playing the back 9 or the front 9, there is access to easily exit the course at 9 and you can move on a little to 15. When you look at even coming back to my pickleball request, when you look at the money, it would be a lot of money for something that we feel is not really a valid need.
MJ Richards (1171 Sawgrass): As a group whose properties are directly impacted by this, we have no idea what this is going to do to the value of our properties, and the safety of all of us including the other drivers and walkers on this street. We feel strongly that this project should never be approved. Thank you.
Mr. Mecsics: Thank you.
Ms. Burns: John, you are next.
John Savala (4291 Ashton Club Drive): I would like to follow up on what Charles Caesar said about the pickleball courts. I also submitted an email to all of you, and I would like to follow up and get into the weeds a little more than Chuck did. With regards to the screen, like I said in my email, the way that the screens are attached to the f nce, they are not the best that could be had. They break easily, they break often. When they do

break, they become slip hazards on the court. I have gone around many times and had  to pick those up, only to come back the next day and find more. When they do break, then the screen starts bellowing out more, breaking more, and then pretty soon it is just like a kite out there. The courts, there are some low spots that hold water when it rains. Those spots are also slick, I do not know why it is just in those spots, but the paint is gone now, making it slick in there. Even if we have to wait a while to get the courts done totally, we really need to get some non-slip paint in there to make it safer. The thing we are crying about the most lately is that the pickleballs are rolling under the fence. We really do need to get something there; we have tried a lot of things. Like Chuck said, we have put bricks along the fence, someone brought some PVC one night to try to just lay there to keep the balls from rolling out. We would like to see the Board support us in increasing the playability on these courts, making it look nice, make the surface look nice, make the fence look nice. We would hate to see a halfway fix. We talked about putting this bottom rail between the posts. I think it would look terrible if we only put posts in the obvious places that the balls are going out. You would see 16 feet of bottom rail and then 16 feet where there is none, and then maybe 8 feet, then another 8 feet, and I just think that would look like hell. I think it would cost more to do it in pieces, and then come back later and put more rails in. When they put those rails in, they are not going to just put the rails. They are also going to pull the fence down and attach it. It will hold it down there, and if you don't have it in the next 8 feet, it could start moving up. I thank you for your time.
Mr. Mecsics: Thank you, John.
Ms. Burns: We will go ahead and go to the comments on the Zoom line before I read the comments that were emailed in ahead of time. Kathy Williams if you want to go ahead and unmute.
Kathy Williams (1174 Sawgrass): I wanted to quickly expand on what both MJ and Chuck said regarding the cart path for the 10th green. For golfers wishing to play the back 9 holes, this cart path or easement would require those golfcarts on the 10th green, not at the 10th tee box. Carts would have to go from entering at Sawgrass and backtrack against the flow of normal golfcart traffic which is another concern that I have. We are not only talking about traffic that is entering the street, we also have to think about the golfcarts

July 18, 2021	Lake Ashton II CDD

that are going to be entering and then turning right to backtrack to that 10th tee box. Thank you so much I really appreciate your time.
Ms. Burns: Thank you. Brian, anything else on the Zoom line? Mr. Rhodes: Yes, we have a Sandy Hockenberry.
Ms. Burns: Sandy we are going to unmute you on our end and you are next.
Sandy Hockenberry (1178 Sawgrass): My concern is that the golfcart path that would be between the houses, if we were working on our side yards and a golfcart were coming in both directions, they would have to leave the path and go on our property. If I am out working on flowers or Kathy is working on her side, that is a danger. If we were crouched down working in the flower beds we could easily be run over. Also, I have two little dogs that need to go out and go to the bathroom, and if they are out on their leash and a golfcart comes and makes a rapid turn, that is a danger also.
Ms. Burns: Thank you.
Mr. Mecsics: Thank you Sandy.
Ms. Burns: Those are all of the comments from Zoom. I did receive a couple of emails ahead of time.
Betz Newbold (5573 Hogan Lane): This is a suggestion about the weeds between
Hogan and Green Lane. The white identification border stakes can no longer be seen behind our houses, since the mowers no longer mow up to them. This means the lake weeds are taking over the back side of our property. Might we get approval to get the weeds trimmed to 3 feet high behind our house on Hogan and Green. Is this not at least a place to start?
Cheryl Winchester: I am writing again a month later to ask the Board what and why? What is taking so long for the quotes, and why can we not speed this process up. I have been working with and asking the Board over the last 4 if not more Board meetings for something to be settled. I personally have offered my help to organize the neighbors, yet I am still waiting to hear something. I have been told by friends and neighbors who live on the Pebble Beach side of Rattlesnake Lake that Bob Zelazny held a neighborhood meeting with pricing and quotes to get that side of the lake trimmed down. So now I would like to know what is happening on the Hogan side. This really is not a difficult matter. Most neighbors originally were paying for the trimming to be done, now we cannot even do

that. Now we are in the rainy season and the weeds have gotten so much worse. Once again, please find a way that we can try to work together to resolve this matter. From a Lake Ashton resident and voter.
Barbara Ann Comer (5225 Green Drive): I am a Lake Ashton West resident and someone just told me that the land adjacent to Lake Ashton, adjacent to Litchfield Loop, is for sale. Could Lake Ashton consider purchasing this as a natural area or residents to enjoy? Another idea I have is that we could turn one of the golf courses into a park where residents could walk, bike, and golfcart. If people had one of the courses to use for recreation, then we wouldn't need to drive elsewhere to go hiking like I currently do, or we wouldn't have to worry about getting hit by a car or a golf ball while enjoying nature. Thank you for this consideration.
Doug Gieger (5569 Hogan Lane): We sent a letter and photos to the Lake Ashton II COD in May 2020, which is attached. In February 2021, we completed the CDD Homeowner Request for Wetland Trea.tment form and returned it as requested along with photos. Archie Campbell and the wetlands manager arrived after seeing our new photos. The wetland manager advised that it was all invasive and needed to go. Please remove all invasive and non-native weeds, plants, vines, vegetation, etc. behind the stakes behind 5569 Hogan Lane. Please provide us for an estimate for this work and if it is within our budget we will pay to have this performed.
Ms. Burns: I did have one other that was not on the agenda that we will read at the end. That should be all of the public comments. Someone who has already spoken has their hand raised again, would you like to allow them to speak?
Mr. Mecsics: She has one minute.
Ms. Hockenberry: I apologize, I forgot to lower my hand. I do not have any further comments.
Mr. Mecsics: Thank you Sandy.
Ms. Burns: That is all for public comments.

FOURTH ORDER OF BUSINESS	Approval of Minutes of the June 18,
2021 Board of Supervisors Meeting
Mr. Mecsics: Do I have the approval for the minutes or any additions or deletions?
Hearing none,

July 18, 2021	Lake Ashton II COD

On MOTION by Mr. Zelazny, seconded by Ms. McKie, with all in favor, the Minutes of the June 18, 2021 Board of Supervisors Meeting, were approved.

FIFTH ORDER OF BUSINESS	Golf Course Update from Indigo Golf
Mr. Mecsics: Now we move onto the golf course update from Indigo Golf.
Mr. Rhodes: Good morning. I will try to go quick this morning because I know you have a lot on the agenda. For the summer weather, it has kind of limited our golf opportunities with the wet weather and the afternoon storms. June was a very unique month where we did find an error that we were double booking in expense and I will go into that a little more once we get into the admin sections where I highlight the abnormal expenses. Overall, we had a very good month. We exceeded EBITDA for the month of June. Rounds we hosted, we hosted 3,215 rounds in June. The breakdown was 2,780 in members, and 435 in public rounds. We fell another 19% from May to June, and we fell 19% from April to May. These are expected to decrease due to hot weather and afternoon storms, cart restrictions, and just members going on vacation or going up north that are seasonal. Just for a quick breakdown, last June we hosted 3,765, so about 500 more rounds than we did this year. Ultimately, we contribute that to the fact that people are allowed to travel now. Golf revenues, which are green fees, cart fees, range fees, Pro Shop sales and other golf revenues and dues, we missed budget by $18 for the month. Green fees were within $4 of budget. Pro Shop sales were significantly lower than budget and lower than last year. Although, it should be noted, that our Pro Shop is significantly higher in sales for this fiscal year than we were last year. Food and beverage revenue did also slow down in June. We missed budget by about $6,700. The sales totals were almost right on with last June and Covid, so we kind of expected an increase but we didn't get it. Cost of sales for the Pro Shop ran at 81.8% for the month, that is about 1.8% over budget. We are running at 71.2% for the year, which is slightly under budget of 80%. Food and beverage cost of goods ran at about 35.6% for the month, which is about 4.4% lower than normal. We were extremely high last month; this is kind of reversing out. It has been a very strange year with the volatility and pricing for the goods. What we buy one week, the next week may be doubled in price. We are not being as aggressive in passing those

prices to the customer. Net contribution for food and bever ge was positive. That contribution is basically sales minus cost of goods minus labor minus expenses. The food and beverage department did run at a profit for the month of June and it is profitable for the year. For total labor, the team was just under $7,000 under budget for the month. Again, another 50/50 split between direct labor and payroll burden savings. We are currently operating without a full-time mechanic. We do have a couple of promising resumes, so hopefully we can get that position filled then we will get it back. If you played this week, you probably noticed we did have a slight hiccup on the greens where one of the machines did act up. It will grow back; it is called chattering. We took that machine out of operationand we are awaiting the other two machines that were purchased to come in. For expenses,  we were $17,000  under for the month. Admin  was  under  almost
$14,000. $98% of that was the credit card fees. We were sending in the credit card fees from the golf shop, and the accountant was also booking it off of the bank account, because it was a direct withdrawal. The good news is that we haven't double paid them, so it is not cash, it was just being overinflated in our expenses. Maintenance fees were just under $2,000 overbudget for the month. We spent $9,200 in expense repair. About half of that was from repairing the tractors and putting new turf tires on it so we could get out there and utilize our new rough mower. Food and beverage expenses were about
$1,200 under for the month. Anytime we miss revenues we are expecting those to drop accordingly. EBITDA was $35,000 for the month, which is about $23,000 higher than our budget of which $13,000 came from us making a mistake, so we had a good $10,000 month.  We did not  incur  any  below  the line fees in June.  That  income  for  the year  is
$87,000, which is about $45,000 ahead of budget. July's forecast we are trending right now to achieve the bottom line. We are seeing a dip in rounds and revenue, but it was expected. Are there any questions?
Mr. Lavoie: Good morning. Just to give you a round up, it is officially the end of this fiscal year's membership, I mean no one else is going to join for the next two months. I will give you the final numbers. There are 390 memberships, which equates to 609 people, and that is 125 more people than last year. The revenue that we are taking in is approximately 1.35 and we are 1.5% ahead of last year, except if you add in the associate fees through yesterday, that is $91,000 in associate fees, and we are up 8.4%. The

July 18, 2021	Lake Ashton II CDD

associate membership really was a great membership. Just so you all also know, we are not really a very guest oriented golf facility. We only did $46,000 in what you would call "guest fees" or "non-associate fees" as a number. We ended up with 104 associate memberships  for 143 people. It was a very successful  campaign. In July, we are already
$7,000 ahead of last year in collecting dues in July so it is a good sign. According to someone I talked to the other day, there are no lots left and there are 90 houses to build. If you do the math on those, we should be up probably another 20-25 members in the future which is a good sign. In case anyone did not notice, it is the wet season. There is always a talk every morning when Matt, myself, David and Trent come up with a decision whether it is cart path only or not cart path only, but I just wanted everyone to know that  it is always a professional decision not a personal one. We do not want to make you stay on the cart path, but again, it is always to protect the golf course. A couple of things, when we do the cart path only it is supposed to be the cart path. Which means four carts in a group is not very good when you are cart path only, because you will play a little faster if you have someone else in your cart. With four carts, you are not supposed to be going around anybody. Anybody that has been on the golf course has seen the ruts on the side and we wish you wouldn't do that. One of the other things we will probab.ly do today is turn 15 West into a par 3. That fairway is so wet and they can't get a mower on it because it is that wet. If we could mow it, it would dry a little quicker. Just know that we are going through the same problems the rest of the country is. That meaning that when it comes  to course conditions it will tend to get a little shaggy based on wetness, or if we are aerifying and don't get to it. But David's crew is down to eight with no resumes coming in. Eagle's Nest is down to four, again, and we have Alisha and  Chris going on vacation for a week. I want to tell everyone to check your emails in the morning for the hours there. They are not going to sit around with no customers, if it is a rain out they will close early. The other thing is, again, with only three employees, and so many people apply and not show up to work. I don't know why but that is happening. So, anybody coming over for dinner, just make sure you call before you come. Again, hopefully this thing will straighten out within the next 60 days or so. Other than that, everything is going great. The conditions are good. We just got a report back on the greens. When they come out and go looking for insects and they do readings and account and everything. Historically, what Brian and

July 18, 2021	Lake Ashton II CDD

myself have come up with is that the greens problems are basically a bug problem. It is called a nematode. We just got the latest counts and David even said it is the lowest he remembered here. We will keep up that work and be aggressive with it. Other than that, we are waiting for two mowers to come in. They are still not here yet. Like Brian was saying, as far as shop sales and everything else, I went away for 10 days and came back and Matt sold five sets of golf clubs that were ordered 3-4 months ago, so that is happening. The sales probably were a little bit higher, but it was because those club sales. Everything is going well we are just looking for employees like everyone else in the county, and trying to work around that. Any questions?
Mr. Hill: Is there any way you can give me better partners when we play in league play? More importantly, the question I have is that Tom Fleming sent in an email about the Canadian's fees this year. Have you and Bob talked about if there is any way to make adjustments for those folks?
Mr. Lavoie: Yes, we talked about it and he sent out a letter to Tom.
Mr. Zelazny: Basically Duff, for the residents, what they are talking about is that  we did away with the six-month membership this year. We did that because it ended up costing us about $20,000 by having that membership because annual members took the six-month membership first. What we are offering is seasonal membership. We sent Tom a note, and basically gave him three options. He needs to look at what he wants to do. One is that he can do the monthly membership, which is highest cost per round. He can do the associate membership, which depending on how many rounds he plays is a savings over the six-month period. The other option is the seasonal rate, which is for eight months, but the golf course will prorate it if he comes late. If he comes down in December and he's only paying for six months anyway, then he gets the savings anyway. Those are the options that he has.

SEVENTH ORDER OF BUSINESS	Unfinished Business
A. Update on Matters Pertaining to the Refinancing of the 2005 Bonds
Proposed Financing Timeline from MBS Capital Markets, LLC
*This item was taken out of order
Mr. Mecsics: Alright Jill, we are going to move one up ahead there.

Ms. Burns: Right, since Alan is sticking around for the joint meeting anyway, we were going to go ahead and move up the discussion regarding the refinancing, because Rhonda Mossing is on the Zoom line. That way we can let her do a presentation and then she will be able to hop off. We are going to skip over Alan for now and go to the next item which is the update on matters pertaining to the refinancing of the 2005 bonds. I gave everyone a handout, or two handouts, that you have there that were circulated to the Board yesterday. We will go ahead and turn it over to Rhonda.
Ms. Mossing: Good morning, this is Rhonda Mossing and I am with MBS Capital Markets. The Board approved an agreement with us at your last meeting to look into refinancing your Series 2005 bonds. We did put together a credit package since the last meeting and we sent it out to 11 different banks to obtain their interest in providing finance at a lower interest rate and hopefully annual debt service savings for your residents. We only received back one response, and that was from Hancock Whitney bank. We have worked with them many times in the past and over several years now. Their response is very good, they offered an average coupon of 2.363% fixed to maturity. There would be no extension of the maturity of the existing bonds, it would have the same maturity date in 2036. To refresh your memory, the current outstanding coupon rate is 5.375%, so that is a significant reduction in annual interest.  Some of the terms that they have outlined  in
the agreement, one of which is a major term but a common term, is that the District move
'
their  general  fund  account  over  to Hancock  Whitney  bank  to be  your  main banking
institution. The reason they want you to do that is that they want the banking relationship with you if they are going to be the financer on your bonds. Like I said, we have the same maturity and I am going quickly through the term sheet that they provided. All of the terms are fairly basic. I didn't have anything else that I felt needed to be pointed out. When we ran the numbers initially, we ran them at 3% when we sent out the credit package to the bank and that is why they based the maximum loan amount on the $3,720,000 and actually when we rerun the numbers, the par amount will be closer to the neighborhood of $3,635,000 and you will be refunding $340,000 worth of debt so you will also be reducing the par amount of your bonds outstanding. You will be lowering the interest rate. You're also emptying out your debt service reserve fund today rather than waiting until the last year. In 2036 you would credit your debt service reserve fund against  that year's

debt service requirement. This is a good term sheet in our opinion. The net result based upon our preliminary calculations is an annual reduction in debt service from the current
$1,263 a year to $993 a year. That is approximately a $270 decrease per unit.
Ms. Burns: So that would be for all residents that were in the 2005 assessment
area.
Mr. Mecsics: Correct.
Mr. Hill: Do you know what area that is?
Mr. Zelazny: The 2006 bonds are associated with the new area. The 2005 bonds
as a rule of thumb are associated with the original Lake Ashton West. But if you've paid off your bond unfortunately you will receive no benefit from this. If you still have the bond, then you are going to receive a significant benefit.
Mr. Mecsics: The question I have is that when they talk about them being the bank, what impact does that have on the District and how we do our normal banking operations?
Ms. Burns: I spoke with Sharon, and the only things we need to make sure is that we have direct deposit for the amenity HFC staff members. We just need to make sure they have the ability to get the deposit. We will work with them to get everything moved over that we need to do. As long as they have ACH and those things then it shouldn't be an issue. We will make it work.
Mr. Mecsics: Any other discussion? Do we need a motion to accept this?
Mr. Eckert: Just one thing. One of the things that is in the term sheet, and I apologize if Rhonda already covered this, there would be no ability for you to refinance the bonds between now and the end of the term. It is about 15 years. I think that the interest rate is pretty low based on what we have seen and what I have heard is that the chance of being able to refinance that another time is probably pretty low as well. I just want you all to understand that typically with bonds you have about 10 years of call protection and then after those 10 years you can refinance. In this case, there would be no callability for 15 years so I just.want to make sure the board is aware of that. In terms of a motion, it would be a motion for staff to proceed with preparing for a closing on this transaction consistent with the term sheet, I think would be an appropriate motion.

On MOTION by Mr. Hill, seconded by Mr. Zelazny, with all in favor, to Proceed with Closing based on Term Sheet Provided by MBS Capital Markets, was approved.

Ms. Mossing: I would like to briefly walk the Board through the time table to close the bonds. Based upon your approval today, staff will prepare the documents that Mike mentioned that will come back to you at your office meeting, I believe that is dated August 20th. At that meeting, you will approve the documents and sign all of the paperwork required. We plan to close on the bonds on August 24th, which is two business days later. That way you will have the reduced rates for your 2021-22 assessment roll that will be going out next year. That is an accelerated timeline to close the bonds for you.
Mr. Hill: I am sure the residents living in the new section would be interested in what sort of time frame they would be looking at to refinance the 2006 bonds.
Ms. Burns: There is a threshold by which a single landowner can't own a certain percentage of those lots that we have not hit yet. Based on the development indication and timelines from the builder, we anticipate sometime next year.
Mr. Mecsics: Any further discussion? Seeing none, thank you.

SIXTH ORDER OF BUSINESS	Engineering Staff Report
Presentation of Estimate from S&S Contracting for Golf Cart Path Extension
Mr. Mecsics: Okay, engineering staff report.
Mr. Rayl: Good morning. I've got a couple specific items on the agenda I wanted to present this morning. The first was requested at our last meeting. We requested bids from contractors. We consistently get responsive bids from S&S and others are hit and miss. S&S has done a lot of work in the community and I don't have any reason to discount theirs just because they are the only responsive bidder that we receive many times. The first quote was for the cart paths that we discussed at last month's meeting. There are two different locations. These locations are the 1O feet wide tracks of land that the District owns. One is at the end of Pebble Beach between 6171 and 6172. That is the same location that the water service will be run through as well. The other location is the one previously discussed at 1174 and 1178. To be clear, again, these are tracts of land owned by the COD. There is on the Sawgrass one, a utility easement that encumbers the 10-

foot track and then 5 feet of each lot adjacent to it, so there is a 20-foot-wide utility easement in that location as well. I just wanted to make sure everybody knew that. S&S actually put these two together as if they were doing one mobilization or both projects. You will see my edits to that where I added a mobilization to the Pebble Beach one as if  it were a stand-alone. The quote on Pebble Beach would be $6,508. The quote for Sawgrass would be $6,286.
Mr. Mecsics: $6,200 on the other one?
Mr. Rayl: $6,286 on the Sawgrass location and $6,508 on the Pebble Beach location. I know we also asked S&S if you go back a couple meetings ago to give us that connection between Pebble Beach and the pickleball courts where everybody was traveling. They gave us a quote of a little less than $2,000 there. I understand we found some other locals who were able to do that. I do not have any contact with this person, but if the Board would like to reach out to them again, they may be able to improve on these numbers I do not know.
Mr. Zelazny: We have reached out to them; Alan and I think their bid is about
$5,500 for the one on Pebble Beach. I do not have the paperwork in front of me for review, but that was his bid on that particular project.
Mr. Mecsics: I know we talked to a lot of the folks and the Pebble Beach one was one that we had decided upon. The other one at Sawgrass I think at this time with concerns about finances and stability that way, I don't see at this time a need for us to go further with that. We can always hold it. As Alan said, there is a difference between an easement and the tract. It is our property. However, at this time, I think we defer any action on that. My recommendation is to go forward with the Pebble Beach and then we will defer on the Sawgrass one. Go ahead Angie.
Ms. Littlewood: I had a question when I was reading through this. It says "Due to the volatility and cost of materials, any cost increase prior to shipping will be passed onto the owner" so that means this price may go up? Is that right?
Mr. Rayl: Yes, contractors are having a very hard time holding their prices for any extended period of time. It makes it more difficult for us that we get a request for a bid, it takes them a little while to put it together, and the best thing I can do is shoot it out to everybody but we have to wait until we have the ability to take some action on it unless

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we do something like get an approval here not to exceed "x" and if we get it in the interval between meetings, we can still have them authorize. This bid was sent to us on June 22nd, right after our last meeting but it has some age on it now. They have yet to come back to us and raise the price of anything they have given us a bid on to date. They have been pretty good about being able to hold their prices, but I wouldn't expect them to base on our delay to be able to respond but so far, they have not come back to us with any surcharges or anything like that.
Mr. Mecsics: So, what is your recommendation? If we have a motion on this, that we give a no greater than amount, and then if this other company comes in with a lower bid, then we can have the discretion to go with the lower cost? Do I have a motion for such?
Ms. Bums: I will need the amount noted in that motion.
Mr. Mecsics: How about a no greater than amount of $6,600, and then if we come in lower, we can get the discretion to come in with a lower bid. Do I have a motion for that?

On MOTION by Ms. McKie, seconded by Mr. Zelazny, with all in favor, the S&S Contracting for a Golf Cart Path Extension, with a Not-To-Exceed amount of $6,600 for Pebble Beach and Authorization for Staff to move forward if a lower bid is obtained, was approved.

8. Presentation of Estimate from S&S Contracting for Hole #6 Restroom Water Service Connection
Mr. Mecsics: Okay, engineering staff report.
Mr. Rayl: I want to add to that as we go to the next agenda item. S&S was the only responsive bidder. We did request from a few contractors to do the revised plan for connecting the bathroom building. If we are going to look for another bid from Shorty for the Pebble Beach cart path, I would like them to go through me so we can make sure they are coordinated that we get this water line work done first, and then the cart path later. They kind of surprised us on the last one that we walked out of here with a directive to tell S&S to do that cart path interconnect before and the next time I was out here Shorty had it going. I just want to make sure they are not pouring a cart path while these guys

are trying to trench a water line service through that area. If you go to the next item  on the agenda, you see there is a revised bid that excludes all sanitary sewer service work. This is connecting to the existing service whip that is just behind the curb there at the Pebble Beach tract and running the service line down to the bathroom building and connecting to the bathroom building. They have around 400 some odd feet of service line. Their bid is complete and it has sod restoration. Their total is $19,755. That is comparable to the bid of the sanitary sewer that had a small lift station and all of those elements in it. ltwas almost $50,000. In accompanying this, we have also reached out to septic tank contractors that will independently do that portion of the work. As I said in last month's meeting, my recent experience on a residential installation it was about $7,000 for all of that work. I would think we would find something comparable. We have requested some quotes but have not received anything back on the sewer side of things. They can do all of their work at the bathroom building. They don't need to do any work in the tract. They would likely use it for access, but that would be it. I recommend this bid to the Board, the
$19,755 to get a Winter Haven water service installed to that bathroom building.
Mr. Mecsics: Any further discussion?
Mr. Zelazny: Just a couple of things, Alan. If you look between the two proposals, we are spending almost $5,000 in sod. Then we have the septic tank issue and we are going to have another $5,000 in sod. It is very important that the timing be correct. We have got to put the drain pipes in first, then we have got to get the septic tank in so we can do all of the sod at the same time. I don't know if Colette should take the lead or if Alan should take the lead to try to get the sequencing correct, but $4,000 in sod is a heck of a lot of money when we are going to tear it up, some of it up, to put in a septic tank anyway and pay more. I agree with the $14,000 to do the connect and everything, but I think we just can't pay multiple times for the same sod. I mean it is sodded now for God sakes. We just save what we've got and put it along the edges of the cart path and we can maybe save.
Mr. Mecsics: What I propose is that Colette you work with Alan to come up with a timeline, or sequence of events, so we don't have any issues with what Bob is talking about with the sod. As well as any other work. I don't want to pour in any concrete and then go underneath it. We have to have that sequence correct. Please work with Alan on

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that and then please press that to me. Jill, as the Chairman, I will reserve the final approval on that so that we don't have any issues like something being poured or done beforehand.
Ms. McKie: Final approval on the sequencing?
Mr. Mecsics: Well, the sequencing we can come back, but as far as the execution. Ms. McKie: Got it.
Mr. Mecsics: Any further discussion on that?
Mr. Zelazny: Yes, I would like to see it as a package. A three-way package. If we approve one, we approve the other. We are still hanging out on the septic tank. We can't do anything until the septic tank gets in. I'd like to propose something. Alan, are you saying it is $7,000?
Mr. Rayl: That is what it costs to install a residential system.
Mr. Zelazny: Can we cap the project at no greater than? All three projects? And give Colette the approval to move forward if we don't exceed that? Otherwise, we are looking at 30-60 days down the road again, and it has to be done. I would like to amend it to lump all three projects together under Colette with authorization and approval not to exceed $35,000.
Mr. Mecsics: Do we have any further discussion on that amendment?
Ms. Burns: So, we had a motion from Mr. Hill, with a second from Ms. McKie. Mr. Zelazny's suggestion was to amend that to not  to exceed $35,000. Duff, are you willing to amend your motion that was in place?

On MOTION by Mr. Hill, seconded by Ms. McKie, with all in favor, the Estimate from S&S Contracting for Hole #6 Restroom Water Service Connection and Additional Work to Complete the Project with a Not-To-Exceed Amount of
$35,000. was approved.

Mr. Rayl: I have a few other things to touch on briefly. These bids are a little older. We presented the next five areas of pavement repairs and I want to get direction from the Board  if we want  to pursue  those  or not. We had two  bids. One was Tucker  Paving at
$12,000. The other was S&S for $9,000. That was the next five locations that were the highest priority of pavement repair that were identified in our pavement inventory. Those

bids were presented at last month's meeting as well. They were a little older from February so I would expect they would want to revisit those. That is going to be the ballpark area of what we are looking at for road repair costs if the Board wants to go forward with that. If not, we can push it down the calendar.
Ms. McKie: I thought we were going to hold off on those. That was my recollection when we discussed it last month.
Mr. Mecsics: Are you recommending we defer those actions? Ms. McKie: Yes.
Mr. Zelazny: Alan, part of those five, did you include the caps on the drains that are collapsing?
Mr. Rayl: The only new one identified, and we did get a price from a contractor on that for the ones on Torrey Pines, it ranges from $500-$650 per inlet top for them to do the repairs.
Mr. Zelazny: What is the total of the five projects with the caps?
Mr. Rayl: I don't believe in those five we had anything about repairing inlet tops because those weren't significant safety issues. Most of them were involving the curb inlets, where the curb is usually sunken down and broken and water is not draining in. That is more along the lines of what those five were. Since last month, we learned about the inlets on Torrey Pines and we got an additional budget from contractors on that of
$500-$650 to repair each inlet top. So, I think there are two that are damaged on each corner on Torrey Pines. We would be looking at $1,000-$1,300.
Mr. Zelazny: Out of the five projects that we have elected to delay, would any of them be what you would consider to be a safety or structural issue?
Mr. Rayl: No, or we would have already done those.
Mr. Mecsics: We have a recommendation from Colette to defer on that. I will talk to the Torrey Pines HOA and see if they will possibly contribute some money. Anything else Alan?
Mr. Rayl: Two last things. We talked about the deterioration of the cart path behind the driving range. I went out and revisited that. It doesn't appear to be aggressively getting worse, it is about the same as when we initially looked at it. We have requested bids from contractors to give us some kind of budget number to know what we are looking at to fix

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that. Not with the original plan of demoing and filling, but just to put some flowable fill in those voids underneath the cart path to give that back some support. We do not have any of those bids in yet but they are out. The last thing is that we have brought a substantial amount of the data reporting forward and are getting it current on the water use permits. There are a couple of elements still outstanding in that. We are required to calibrate the meters every 5 years as part of the permits and through our research we found the company that did it last 5 years ago. They gave us a quote and were wanting to schedule us immediately to come back and do it again and they gave us the same price they had  5 years ago. I thought that was a good deal. It is the Avanti Company and their quote to do onsite flow accuracy tests for all four meters is $833 total. It is something we have to do, just like keeping the data reporting, it is something that is required of the permit. I would like the Board to authorize that so we can get that done and checked off on this permit file.

On MOTION by Ms. McKie, seconded by Mr. Zelazny, with all in favor, the Quote from Avanti Company for $833 for Meter Calibration Testing, was approved.

Mr. Rayl: We also have reached out to Bridge Builders USA. They are not in the area at the moment, but they are coming back to Florida in late August and we are going to try to get them out here to do the review of the conditions of our bridges. That is all I have for the Board.
Mr. Mecsics: Alright, does anyone have any questions for Alan? Thank you, Alan.

SEVENTH ORDER OF BUSINESS	Unfinished Business
Discussion and Update on Lake Hart and Rattlesnake Lake Landscaping
(update given by Supervisor McKie)
Ms. McKie: The last few days I sent some materials to the Supervisors to review.  I am first going to read my statement that is a part of that, then I am going to give a quick review of the materials in what you have so that residents listening will know. Then I am going to make a motion so that our discussion is focused. After that decision is made, then I do have a follow up wetland matter. If anybody would like a hard copy of what I

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sent you, or what Jillian sent you online, here it is. Wetland mitigation has been a controversial issue. However, it was only discussed. There were multiple meetings with Supervisors, residents, SWFWMD and Florida Wildlife. There were petitions and more meetings. No result. Time for talk has passed. Starting in January 2021, a month after three new Supervisors took the oath of office, wetland mitigation was included in every COD meeting. In February, the first actual process to accomplish mitigation was approved by the attorney and the Board. By mid-March, over a dozen homeowners had applied for mitigation. Some received estimates from the Aquatic Management Company. Each month, for the past four months, residents requested the Board alter the collection of data and the decision process. The Board accommodated each request. Because the Board meets monthly, the entire mitigation process halted until the next month's presentation and decision about the latest resident request. Six  months  later, Board accommodation of resident complaints produced no mitigation due to yet another estimate request. Now seven months later, the possibility of wetland mitigation is no further than it was in 2018. The past from 2018 has repeated itself. Over several weeks, residents sent emails with questions. "Why has this process gone so slowly?" "Why are you taking so long?" "Why isn't it going as smoothly as Pebble Beach mitigation?" 'Why hasn't the wetland issue been addressed since April?" "Why wasn't the wetland addressed at the June meeting?" Those questions are now answered. Six years or more thrashing around one topic is enough. A few years ago, the estimate of $8,000 for Hart Lake mitigation is now $17,000. The Board must put us all out of this misery. There are two choices: act and accomplish the objective, which is mitigation. Or, decide  to take no action, which stops  the spinning of useless wheels. My job is not to tell you what to do or how to decide. My job is to present you with facts. Last week you were sent the estimates for trim only mitigation for Hogan and Green. An updated version is included along with benefits and complications with each possible decision for action. If neither is a fit for the current homeowners, or this Board, then we owe it to the community to move onto projects that benefit all Lake Ashton West residents. The Board members were sent the two options. One, is the COD targeted address assessment. That would be an assessment that is targeted to the addresses that are involved in the mitigation. There is a list of benefits and complications. For this decision, if there would be one, for the targeted assessment, the decision must be made

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today. Then, there is the resident volunteer funding of mitigation. As one of the comments that were read, there is a resident who has volunteered for Rattlesnake Lake to organize the collection of the funds, which would need to be a total of funds for both lakes. There are benefits and complications listed for the Supervisors. I won't go into those because that may be part of the discussion. The Supervisors were also sent information about the proposed mitigation. The contract, or the estimate, from the Applied Aquatics must be returned to them on or before August 7th•    That is their deadline. The project work is to cut all exotic or nuisance plants at 3 feet, as per SWFWMD. Also, the project work is to take the biomass away as off-sight disposal. The service shell consists of one time clean up. The fee for Rattlesnake is $6,600. The fee for Lake Hart is $17,610. At this point, so that we can have a focused discussion, I move that between today and August 2nd, residents of Green Hogan on Rattlesnake and Hart Lakes coordinate collection of funds for wetland mitigation. That would be $6,600 for Rattlesnake and $17,610 for Hart. On or before August 2nd, the checks and requested list of checks be turned into Supervisor McKie.
Ms. Littlewood: Are we opening this up to discussion? Ms. McKie: There is no second yet.
Mr. Mecsics: I will second it. Alright, now open up the discussion.
Ms. Littlewood: Before I address the comments that Colette has made on this there are a couple of things I would like to say. The first thing is that I was contacted by a resident who doesn't want to speak at the meeting, but her view on the lakes issue has nothing to do with the premiums that she and.other residents paid for their lots. Her point is that the Board has constantly said that it is unfair for them to make all residents pay for the clean-up of Lake Hart as it only benefits a few residents. Yet the CDD maintains all the ponds in Lake Ashton 11, with some behind homes where only the residents overlooking the ponds have the benefit. She is talking about the ponds that are not on golf courses or by any lakes, but behind the homes of residents. What her point is, is that we all pay for those ponds to be maintained and kept clear, and to her that seems unfair. Secondly, one of the points that Colette brought up in her presentation in February was that if we took a ride around the community and looked at Lake Ashton, the lake of Lake Ashton, we could see how nice Lake Hart and Lake Rattlesnake would look if they were maintained. I know there are members here from that Board so correct me if I am wrong

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but I believe that the COD takes care of the maintenance of Lake Ashton. Also, last month I questioned why we needed permits from SWFWMD, as I was on the understanding that they didn't provide permits and that permits were only required for wildlife and fisheries. Colette said she had written confirmation that the law had changed and that we no longer needed permits from Wildlife and Fisheries but need them from SWFWMD. I was going through the check run and saw that three checks were made out for permits, and I asked what they were for and was told that they were renewals. I asked for a copy and I have noticed they are from Wildlife and Fisheries. I am sorry Mary; I did not look atthem until late last night so I didn't have a chance to come back to you. My question is, although they were free, why are we renewing permits if we no longer need them from Wildlife and Fisheries? That is my first question.
Ms. McKie: We do not. They had sent an application to the HFC and unfortunately their database had not been updated and may not be updated for a period of time to show that we no longer need permits from Florida Wildlife.
Ms. Littlewood: Now I would like to address Colette's points. I would like to say that I absolutely agree with you that this has been going on for far too long and it should be resolved but let's look at why it is taking this long and why the residents are getting so frustrated. In January, Supervisor McKie said she was going to look into the cost of having the lakes and SWFWMD area maintained and who should pay for it. That was tabled for further discussion in February. In February, the information was brought to the Board of a lawsuit in The Villages where residents had mistreated the wetlands. A breakdown showing that 44.7% of all land mowed under the jurisdiction of Lake Ashton II COD was behind the homes on Hogan and Green. Only 12% of homes benefitted from this cost. Then a presentation of how we should make these areas nature/walking trails. A discussion regarding a form for residents to complete for permission to let SWFWMD enter behind their homes was presented but again no costs, which was the brief given the prior meeting. In March we did the budget, so I don't think it was on that. In April, still no costs were put forth and the monopoly of Applied Aquatics was questioned and a list of three vendors that were in compliance with SWFWMD was asked to be provided at the next meeting to be approved by the Board giving residents options. The form was approved by the Board with some minor tweaks recommended by legal in May. For some

reason, three vendors were each asked to provide a quote for maintenance of the lake, even though it seemed that in February we were asking the homeowners to pay for the work themselves. I left February's meeting thinking we were just going to supply homeowners with a list of the contractors the Board would work with and let them speak to each vendor, and then go with the quote they were most comfortable with. Instead, there was a discussion of the logistics of having 200 plus contracts to look at when in reality there should've been only one contract with each application submitted. Still, no costs were put forth. The Board decided to wait until all of the quotes had come in and it was tabled until May. I don't have the minutes for May, but in June quotes finally came in for clearing out the area instead of just cutting down to waist height. One of the Supervisors asked Supervisor McKie if she would survey the resident's concern to see if they wanted the area cleared or just cut down. I am not sure if this has been done, but it is not in your presentation for this month. Again, from the quotes that came in, you chose to go with Applied Aquatics, giving them back the monopoly and giving the residents no choice. We also have issues now where one of the residents asked me to go look behind their home but he sent me photographs. The invasive species of plants  are virtually on his property line. They have not been cutting back to the stakes, the stakes are in the weeds. There are two homes where those invasive species are actually at their property line. They want those removed. The rest of the residents just want it all cut down, but those two homes want those removed. I don't know where we go from here quite frankly, but I don't want to make a decision or make target assessments on the residents without the residents having their say.
Ms. McKie: That is not part of the motion. Mr. Mecsics: Any further discussion?
Mr. Zelazny: Correct me if I am wrong, but I think since 2014, which was the first time the maintenance of Hart Lake came up, the Board has never wavered from the fact that they do not support maintaining Rattlesnake or Hart Lake out of assessment dollars. That has been consistent since 2014. Colette has in the last 4-5 months tried to address everyone's concerns and everyone's issues and come up with a workable solution and I will tell you because I had a group of 34 homes alone Rattlesnake Lake on Pebble Beach and some of the residents are out here, it is like herding cats to try to get everybody on

the same sheet of music. Do you want it cut to 3 feet, do you want everything removed, etc. We have complied with the directions that Colette and the Board had agreed to a number of months ago. We have 34 homes, we have 27 residents that have opted in, we have 3 residents that have opted out, and we have 4 homes that are in the process of being sold and people not available to respond. Those' 25 homes have agreed that they are going to make up the difference so that we get to that number. That is what Colette has been trying to get to is that the Board can't dictate what you want behind your house. Those residents have to agree. I received emails for taking it to 3 feet, removing it,  but the residents that live back there have to agree. It is not a Board decision. We have made our decision. We are not funding at  this time to clear the buffer unless the Board revotes it or relitigates it again, I don't see us changing that. Is the August 7th deadline because that is the date where the bid is still valid?
Ms. McKie: Correct.
Mr. Zelazny: That is quite honestly where we are right now. We are waiting for an additional bid because our bid was only good until May 29th. Later today, I will be asking the Board to approve our contract because we have the money when it comes in. We are doing it by the steps that Colette said. It is hard but it works.
Ms. McKie: The agreement says it has no force and is withdrawn unless executed in return by customer to AAM honor before August 7, 2021.
Mr. Zelazny: Again, I will just echo, that if you miss the date that the bid is good for, you can rest assured it is going up.
Mr. Hill: I have a question. I would like to get a comparison between what you have come up with for Pebble Beach and the cost per resident. Are you going to run it through as an assessment or collect and just pay the COD versus what Colette has proposed to do? Give me a comparison of what those two have in common. Are they  both the same or is yours different than hers?
Mr. Zelazny: You can't compare them. You would be comparing apples and oranges because one lake has more vegetation and is overgrown  and things like that. We are talking about from 5157-5434, that basically is from just by Gloria's house, where you come around at the 2nd tee, all the way to the end of the 3rd green. That is basically

the area we are talking. There are 34 homes that are along that area and our contract is to remove all the evasive and nuisance plants.
Mr. Hill: You are going to pull them up?
Mr. Zelazny: That is what the contract says. When you look at the 34 homes, it came to about $147 per home. We went out and did two series of flyers, emails, group meeting, and area meeting to get to what we want to do. We basically said it is $147 if everybody buys in, how much are you willing to go to if not everyone buys in? We got a ballpark figure on what everybody would be willing to pay. Then we collected the money, and the checks are all made out to COD 11, they are all accounted for in the ledger, and when we get the final contract price, which hopefully will be this week that he was trying to get it to us, then we will go ahead and make the payment. As I told the people, if it doesn't go up from $4,779, because I have collected $5,000, I will give everyone a rebate to get to that number.
Mr. Hill: Based on $4,700 for 30 homes, we have 20 homes and they are wanting to do $6,600 and they want to do it as an assessment where as yours is a more practical application. Can we not bring that application over to Rattlesnake and get this thing resolved once and for all?
Ms. McKie: The motion I made has nothing to do with an assessment. It has to do with collecting the funds from the residents.
Mr. Mecsics: It is the same model.
Mr. Hill: More importantly, what I am trying to do is get the same thing Bob is presenting over to the Rattlesnake and have that presented and see if that is a solution, they would be h ppy with and that the Board would be happy with.
Mr. Zelazny: That is what Colette is offering to you. She is saying the same thing. You have $6,600, you have 20 homes, collect the money, pay it to the COD and get it fixed.
Mr. Hill: It is $6,600 for 20 homes?
Mr. Zelazny: Again, every area is different in vegetation. Ms. Littlewood: So, how did you get your quote?
Mr. Zelazny: We got the quote from Archie after talking to Colette.
Ms. Littlewood: We were told they wouldn't work with us, so we couldn't go to them.

Mr. Zelazny: The official quote is going to Colette. Ms. McKie: That property is along the golf course.
Ms. Littlewood: What I am trying to say is that this has been going on since January, but this is the first time we have had any figures. Last month you gave us some figures to have it all cleared, but this is really the first time we have had any real figures. We were told in one of the meetings that they won't deal with individual owners so you can't go and do it, they will only deal with Board members of the COD. But yet, you've managed? Are you doing it as a Board member of the COD?
Mr. Zelazny: No.
Ms. McKie: But you are.
Mr. Zelazny: I am a Board member of the COD, but Archie came out, and Colette went out and looked, we have the quote, and when the final quote comes back it is coming to Colette.
Ms. McKie: I didn't know that this process was going on until a resident told me about it at the driving range. The $6,600 and the $17,000, I have talked to Archie about  it, are because the conditions along Pebble Beach are much different. They are much simpler. They don't require replanting. For Rattlesnake Lake it would be $330 per home. You have that information in front of you and you have had it for several days. The cost for the Hart Lake 32 homes would be $550.31 per home. It is just different. Just like one model of a house that people live in is priced differently than another model of house.
Ms. Littlewood: My question then would probably be to Archie. As a member of the Board, of this Board, can he come out and meet me so that we can discuss maybe the two homes that want things removed. How much extra on top of this $500 they would have to pay, just those two homes, to have that done?
Ms. McKie: The problem with Hart Lake specifically, not Rattlesnake Lake at Pebble Beach or Hogan, is when plants are removed, then in the case of Hart Lake, they will likely need to be replanted. The removal of some of those plants and the replanting requires a different permit. We would have to get a different permit. We would have to go through probably months of applying for it. We would have to pay for it. Last month, a part of what I put in the estimate was $20,000 potentially. If two homes are going to get that then we would need to have all of Hart Lake treated the same way.

Ms. Littlewood: So, are you saying it is not an option for those two homes just to do what they need to do?
Ms. McKie: No. Well, yes, I am saying that. It is not an option. Ms. Littlewood: And if they were to pay for the permit?
Mr. Mecsics: The permit has to be to the CDD. Ms. Littlewood: Don't point your finger at me.
Mr. Mecsics: I am sorry but we have gone over this.
Ms. Littlewood: No. Stop. I know that the permit has to be to the CDD, but if those owners were prepared to pay the CDD to get the permit would that make a difference?
Mr. Mecsics: We have discussed this. I am sorry. We have discussed this. Numerous times since 2014. And before that, the Board has just come back and said no we are not interested.
Ms. Littlewood: In 2014, there were 3 or 4 homes that paid to have it done and the CDD organized that.
Mr. Mecsics: No, incorrect. I was on the Board on 2014, it was my first Board meeting and it was deferred.
Ms. Littlewood: We had a contract with Applied Aquatics.
Mr. Mecsics: The contract was brought up and was never approved. It was deferred.
Ms. McKie: My suggestion is, and I have talked to those homeowners and gotten quite a few calls from homeowners who would like to have more than just the 3 feet trimming. What I told them is what I am relaying here about the permits and costs that last month this was proposed and it was declined. If we are going to get anything done, let's get the trimming. Down the road, we can look at if the residents on Hart Lake want to have those plants removed and replaced per SWFWMD and then pay for it. If we are going to get something done, get it done now.
Ms. Littlewood: So, you are saying it is an option they may get them removed in the future if they want?
Ms. McKie: Sure, if the residents want to do that and pay for the work to be done, and pay for the permit.

Ms. Littlewood: Okay, my question is now to Bob. How long did it take you to get to where you are?
Mr. Zelazny: I believe we started in the April time period because my bid was up on May 29. It was good for 30 days.
Ms. Littlewood: So, because of how long it has taken you to get to yours and you missed your deadline, there is not much chance of meeting the August -P,h deadline is there? It is going to take us more than a month.
Mr. Zelazny: That August 7th deadline is based on the quote that you have for Hart Lake and Rattlesnake Lake along Hogan.
Ms. Littlewood: Yes, but it has taken you 2 months to get t·o where you are now? Maybe even 3 months? If it is going to take that long for us to get there on Hart Lake and Rattlesnake, then this quote is no good is it.
Ms. McKie: That is right. The residents want work to be done. They want the trimming to be done. They said they know how to get things done. They know how to do it right. They know their neighbors. It is 2.5 weeks. Let them talk to their neighbors, get it coordinat d. and collect the checks.
Mr. Zelazny: Again, Angie, I would tell you that this quote is good until August ?th_
If you go beyond that, there will be an increase in the quote, but you will have a ballpark figure to present to your residents. The same way I did. It is not to exceed price. Are you in or out? Once we found out how many people weren't, then we asked how much are you willing to pay if we can get it done.
Ms. McKie: I have had an email sitting in drafts for probably a week and half to the resident who volunteered on Rattlesnake to coordinate the residents and to collect the checks and get them to me by August 2nd•
Ms. Littlewood: My next question is, why does the attorney need to prepare two contract agreements for each lake?
Mr. Eckert: I am happy to do one if the timing works out to where it can be one. My guess is though that the timing isn't going to work out where you can have both contracts and everybody on board at the exact same time. I am happy to do just one.
Ms. Littlewood: We have two figures. We have $250 and $400.
Ms. McKie: He estimated the cost would run between $250 and $400.

Mr. Eckert: Those are not attorney fees.
Ms. McKie: I would like to withdraw my motion. Our attorney has some modifications that he would like to make to the motion I made about the wetlands.
Mr. Eckert: Chairman, do you want to withdraw your second?
Mr. Mecsics: Yes, I will withdraw my second. It is almost 10 minutes until 11. We have a joint Board meeting coming up. I would recommend to the Board to look for a motion to take a recess until after the joint meeting.
Ms. Burns: I think it would be a motion to recess and reconvene the meeting after the adjournment of the joint meeting.
Mr. Mecsics: Do we have a motion?

On MOTION by Ms. McKie, seconded by Mr. Zelazny, with all in favor, Recessing until after the adjournment of the Joint Meeting, was approved.

Mr. Eckert: Mr. Chairman, I have been thinking about this whole process as we are talking through it and I think it may be to the District's benefit to have more of a generic motion than what you saw before. I am going to read what I came up with. That would be a motion to authorize District contracts with a wetland maintenance vendor for areas identified by the District manager and the residents provided that funding for such contracts is provided before contract execution by the residents in the area benefitted subject to final District Counsel and Chairman approval. Under this approach, no COD funds that are collected from the general population would be expended with the maintenance contractor. Despite the fact that there are not going to be any District funds expended, I would recommend based on the discussion that preceded this that Supervisor Zelazny abstain from discussion of voting on this motion in an abundance of caution and to avoid an appearance of conflict. Again, there is no financial funds by the District being used, but because we have less than 100 homes that you all have talked about, I would make that recommendation that Supervisor Zelazny, and anybody else who would be involved in those 52 homes that we just talked about, abstain from voting, and fill out a conflict form.
Ms. Littlewood: There are three of us involved: Bob, Duff and myself.

July 18, 2021	Lake Ashton II CDD

Mr. Eckert: Okay, in that case we can do one. of two things. We can do nothing, because three people are involved. Or it can be very generic, but you are still going to have a situation where there is going to be a contract that results.
Mr. Zelazny: Couldn't I abstain when the issue with my area comes up for contract? So four people would vote to fund the contract upon receipt of money, and then I won't vote at all? And then when it comes to Hart Lake then Angie wouldn't.
Ms. McKie: Duff is on Rattlesnake, on Hogan. Angie is on Hart Lake on Hogan.
Bob is on Pebble Beach. We could get at least three people for each vote.
Mr. Eckert: What I would suggest then is a different motion. If you are one of the
,
people who would be contributing, you would declare a conflict and abstain from any further discussion in voting on that, and I will make the motion a little more specific to the particular lakes so we will do two motions. The first one would be a motion to authorize a District contract with a wetland maintenance vendor for Rattlesnake Lake provided that funding for such contract is provided before contract execution by the residents in the area benefitted subject to final District Counsel and Chairman approval. At this point if there is somebody that wants to make that motion and a second and then have a vote, before we do that, I would need the people effected by that to say, "I have a potential conflict, therefore I am abstaining and I will fill out a conflict form provided to me by the District Manager'."
Ms. Littlewood: I am very confused on what we are voting on.
Mr. Eckert: The motion would be for the residents of a particular area to raise funds, provide that to the District, and then the District would contract with the maintenance contractor to perform that work.
Ms. McKie: And there would be three different areas.
Mr. Eckert: The first one I said was Rattlesnake Lake. Is that one of the areas?
Mr. Zelazny: It would be Rattlesnake Lake and Hart Lake if it was going to be one motion.
Mr. Zelazny: All he wants to do Duff is have the Board authorize us to be able to do what Colette has offered up for the last four months which would allow residents to collect the money, and then pay the District to have a contract to clean the lakes.

Mr. Hill: If the residents don't collect the money, then the program doesn't continue?

On MOTION by Ms. McKie, seconded by Mr. Mecsics, with all in favor, Authorizing the Board the be able to Coordinate with Residents to Collect Fees for Lake Hart and Rattlesnake Lake Landscaping, was approved.

Mr. Eckert: Slow down. I thought there were two areas, now you are telling me there is three areas.
Ms. McKie: Well, there are. It's a different section of Rattlesnake Lake and three different possible contracts.
Mr. Eckert: Then let's slow down and let's get it right. I would ask for withdrawal of the motion.

On MOTION by Ms. McKie, seconded by Mr. Mecsics, with all in favor, Withdrawing the Motion Authorizing the Board the be able to Coordinate with Residents to Collect Fees for Lake Hart and Rattlesnake Lake Landscaping, was approved.

Mr. Eckert: Is it Hart Lake? Ms. McKie: At Pebble Beach.
Mr. Eckert: First would be a motion to authorize a District contract related to Rattlesnake Lake, the Pebble Beach area, with a wetland maintenance vendor, provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, subject to final District counsel and Chairman approval. Before anyone makes a motion, if there is anybody who lives on that lake, you need to abstain and declare an appearance of conflict.
Mr. Zelazny: Out of an appearance of conflict I am abstaining. Mr. Eckert: At this time, I would ask for a motion.

On MOTION by Ms. McKie, seconded by Mr. Hill, with Mr. Zelazny abstaining and the remaining Board members in favor, Authorizing District Contract related to Rattlesnake Lake, the Pebble Beach area, with a Wetland Maintenance Vendor Provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, Subject to Final District Counsel and Chairman approval, was approved 4-0.

Mr. Eckert: Motion #2?
Ms. McKie: Rattlesnake Lake, Hogan.
Mr. Eckert: Motion #2 would be a motion to authorize a District contract related to Rattlesnake Lake, the Hogan area, with a wetland maintenance vendor, provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, subject to final District counsel and Chairman approval. Before anyone makes a motion, if there is anybody who lives on that lake, you need to abstain and declare an appearance of conflict.
Mr. Hill: I will abstain from the vote due to conflict.
Mr. Eckert: Again, no District funds are being committed to pay this maintenance contractor but in an abundance of caution to avoid an appearance of conflict we have one abstention.

On MOTION by Ms. McKie, seconded by Ms. Littlewood, with Mr. Hill abstaining and the remaining Board members in favor, Authorizing District Contract related to Rattlesnake Lake, the Hogan area, with a Wetland Maintenance Vendor Provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, Subject to Final District Counsel and Chairman approval, was approved 4-0.

Mr. Eckert: Motion #3 is for which area? Ms. McKie: Hart Lake.
Mr. Eckert: Motion #3 would be a motion to authorize a District contract related to Hart Lake with a wetland maintenance vendor, provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, subject

to final District counsel and Chairman approval. Before anyone makes a motion, if there is anybody who lives on that lake you need to abstain and declare an appearance of conflict.
Ms. Littlewood: I will abstain from the vote due to conflict. Mr. Eckert: At this time, I will ask for a motion and second.

On MOTION by Mr. Hill, seconded by Ms. McKie, with Ms. Littlewood abstaining and the remaining Board members in favor, Authorizing District Contract related to Hart Lake with a Wetland Maintenance Vendor Provided that such funding for the contract is provided before the contract execution by the residents in the area benefitted, Subject to Final District Counsel and Chairman approval, was approved 4-0.

Ms. Littlewood: I have few questions because I have been getting texts. One of the questions that I need to ask is, we need a permit to remove stuff.
Ms. McKie: Yes, we need another permit.
Ms. Littlewood: So how can Bob and Pebble Beach remove things without a permit?
Mr. Zelazny: The permit for Rattlesnake Lake allows for the buffer zone, and as long as you comply with SWFWMD's directive on trimming invasive and nuisance plants that are on the list there is no change in the permit because that is part of maintaining the buffer zone.
Ms. Littlewood: So, does that not apply to Rattlesnake and Lake Hart?
Ms. McKie: Rattlesnake at Hogan it is determined that nothing needs to be removed. It only needs trimming. In the June presentation I made, there was no removal or replanting for Hogan Rattlesnake.
Ms. Littlewood: But there is for Lake Hart? Or there could be? If there wasn't a permit required for what Bob is doing, why does this?
Ms. McKie: I can only tell you what SWFWMD has told me in that the amount of removal in some areas of Hart Lake are almost 100% of the plants. It would need a huge amount of, and I explained that last month as well, replanting. I can only tell you what SWFWMD has told me.

Ms. Littlewood: Did you not ask the question of why they didn't need a permit and we need a permit?
Ms. McKie: No, because I didn't know what they were doing.
Mr. Eckert: I think some of the follow up questions can be directed toward your District Engineer when you are talking about interpretation of a permit. I am not sure Board members are as well versed in that as your District Engineer would be so I do not want to get too far down the road of people relaying what some staff worker told to them and we should be relying on our District Engineer in terms of permit questions.
Ms. McKie: The person that I have been communicating with is the Science Engineer of SWFWMD.
Mr. Eckert: If you want to take on that role then by all means go ahead.
Mr. Zelazny: We probably should check with the engineer before we proceed. Colette uses the word "permit" and to my understanding, is that it really is the mitigation plan that you have, that says if you take out this type of plant you have to replace it with two or three other plants to keep the foliage there. It could be semantics. When we talked to the group 2-3 years ago, if we were going to do major work over there, and when we identified those particular trees, if we were going to remove them it required a mitigation plan which it costs money and time to do that. You are right, Mike.
Mr. Mecsics: Any further discussions? We have had the motions and they have been passed and voted on. The final approval on those go back to the Chairman.
Ms. McKie: I'm sorry, I don't know. For example, a resident from Rattlesnake on Hogan has volunteered to coordinate residents and like I said earlier I have an email waiting to send to that person saying, "Here is the deadline of August 2nd, coordinate the residents and get the checks, then coordinate with me." Can I go ahead and contact that person to do that?
Mr. Eckert: Ultimately, you can continue to coordinate and educate residents on what the process is. Which is that they get their group of people together, they get the funds together, and they provide those to the District Manager. What District Staff will do is we will reach out to the engineers saying, "Do we have all of the permits to be able to enter into this contract?" The District Manager will get the contract and then we will enter into it and move forward.

Ms. McKie: From what I know now for trimming to 3 feet, which is what is presented here today, that all of that is covered. I will proceed with emailing that resident and if people from Hart Lake are listening and want to have a volunteer coordinator contact me, I will work with them and give them the same information that I will send today to the Rattlesnake Hogan person that volunteered. Thank you.

EIGHTH ORDER OF BUSINESS	New Business
Discussion Regarding Non-Resident User Fees for HFC Events
Mr. Mecsics: Mary and I were talking about this and what I would like to propose  is that we have a Public Hearing, because we have to have that for changing the rates for the various different rooms. Do we have to have one of those?
Ms. Burns: We do. We need the actual rates to advertise as part of the hearing so it may be beneficial for you and Mary to get together with that and bring that to the next meeting so we can put together a resolution that includes those rates or if you have them now that you want the Board to approve, we can do that.
Mr. Mecsics: We have that now and she has passed that out for the recommendations.
Mr. Zelazny: While she is doing that Jillian, for the next joint meeting we need to have on the agenda a rate change for nonresident uses of the amenities. I don't know if that needs an announcement, but we need to address what is currently $2,600 and we need to raise that this year.
Ms. Burns: I can add that. What we will do is just leave it blank in the resolution and the Board can discuss it.
Mr. Zelazny: I want to make sure we do the proper announcement so that we can get it out of the way at the next joint meeting.
Mr. Mecsics: We passed these out and we have the current rates and suggested changes to the damage deposit and costs for the community center, and increasing some of the rates for the smaller rooms. Mary has put out for everybody here the current rates and suggested rates for the HFC rental rates for the community center, damage deposit, and smaller rooms various rates. Any revenue generating or profit being increased we have to talk about that.
Ms. Burns: So we will want to advertise the highest number we think we may...

*The audio cut off momentarily and picked back up in a separate recording.
Mr. Eckert: The rates are the ones that have been distributed to the Board, the rate changes. That is what will be in the notice. A motion to set that hearing with those rate changes being proposed would be in order.
Mr. Mecsics: Do we have a motion to set those changes and set a public hearing?

On MOTION by Mr. Hill, seconded by Mr: Zelazny, with all in favor, Non-Resident User Fees and Rates for HFC Events, with a Public Hearing Date Set for October 15, 2021 at 9:00 a.m., was approved.

Discussion Regarding the Budget, Proposed Projects, and Potential Assessments (requested by Supervisor Hill)
Mr. Hill: The first thing I have is the budget for this year that we have already established. I am still concerned that we do not have enough money set aside for engineering and legal. Historically every month they are coming in at about $5,000. I want to make sure before we go into the final say about it that we are sure that is the number that we are using. Do we need to talk about that now, or at a later date?
Mr. Zelazny: Are you talking about this year or next year?
Mr. Hill: I am talking about 2022 right now. I am talking about that we have set aside a number of dollars for legal and engineering, but we are $47,000 over-budget mostly because of legal and engineering. I do not want to have this continuing.  Should we set more money aside for legal and engineering in the 2022 budget or is it too late?
Ms. McKie: What is it right at the moment?
Mr. Hill: I do not have it in front of me, all I know is that we are over budget.
Ms. McKie: We need to take into consideration that with the purchase of the golf course land, engineering and attorney fees have gone up. For example, there were engineering projects that were ignored by the previous owner because of pending sales that engineering is having to catch up with, i.e., the driving range cart path and other issues. Before the purchase of the new property, our attorneys never have had to be involved with the farmer's drainage for example. I don't think their fees have gone up, I think we bought a huge piece of property that includes the Eagle's Nest and includes other work that last year they didn't know if that purchase was going to go through. We

July 18, 2021	Lake Ashton II CDD

need to budget appropriately for the fact that we have a lot more property that needs both attorney and engineering attention and work.
Mr. Hill: Once again, my concern is if the engineering and attorney fees will continue to be in the amount that they are in this year. Will they be that much again next year? We had the water issue; we have had several other engineering issues that required additional attention from them so I want to make sure we are covered with enough money to handle that next year. If you are still comfortable with it, then I will say we can leave it where it is. Bob, what do you think?
Ms. McKie: What is it?
Mr. Zelazny: It is $40,000 on the attorney's side. In addition to that, we had the
$45,000 for the attorney fees to resolve the land issue.
Ms. McKie: Thank you. Are you asking ifwe should keep the attorney and engineer fees the same as last year?
Mr. Hill: Should we leave the attorney fees on the budget in the amount of $40,000 and $25,000? That is less than what we are spending this year. Or, should we increase them $5,000 each to make sure we have enough money set aside for that. Tell me what you think.
Mr. Zelazny: The bottom line is if you add $10,000 to that, how does that change the total expenditures line, and does that exceed the revenue line? Right now, I think it is a balanced budget. If you add $10,000 to those two lines, then some line has to come down $10,000 or you are overspending in the budget.
Mr. Mecsics: In this case Duff, what you are getting at, is what we budgeted and sometimes we will go over that budgeting, when that comes, we will have to take appropriate actions to make sure we adjust our finances to accommodate those.
Mr. Zelazny:  If we leave it like  that and we overspend,  that comes  out  of that 1st
quarter contingency fund. It draws down so instead of $262,000 going forward, we might only have $200,000. I feel very comfortable, myself, at this point with the attorneys because most of our litigation issues have been resolved. We are not talking about the high-end stuff. The engineering stuff, we have met all of our SWFWMD and environmental requirements after we do the one today. We have done the one road assessment. We are bringing in the bridge people this next month. We are going to have the guard  shack

issue resolved that cost us a lot of money. We are going to have the sewage issue associated with the golf course resolved. We are going to have the watering issue resolved. We are not going to have any more cart paths to put in. I am hoping that we don't even get to the $25,000 on the engineering side.
Mr. Hill: I do too. I just want to make sure you guys are comfortable.with what we have set up. Year-to-date we are currently $47,000 over budget. That money comes out of the $265,000 that is set aside for 1st quarter expenses. If I am understanding that correctly, that would have to be where that money comes out of. The beginning fund balance this month, or the ending fund balance from last month, was $432,000 approximately. Just so you will know what our cash position is, we have $432,000 in capital reserve, plus what is left over that hasn't been spent, plus the $265,000 that is in 1st quarter contingency money, which gives us approximately $700,000  worth of cash. It is all earmarked.  It is not money that we can just do anything we choose  with. Out of the
$432,000 left in capital projects, we have $16,000 remaining to do the surge protectors. The #6 bathroom and the easement cart path were going to be $24,000, but now the new number from  Alan is $35,000.  The pickleball  fence  is going to be  somewhere between
$1,500-$2,000. We are probably looking at bridge repairs that we need to do that are going to run in the range of $2,500. We have to rewire the Eagle's Nest for the ice cream machine at $1,500. We have one of the HVACs that is giving problems so we potentially need to set aside $10,000 of this money to be there in case anything happens to this unit. The deductible on the roof would be $2,500 for the repairs that need to be done. This would leave about $14,000 in what I would call contingency for anything that comes up that needs to be taken care of, which are usually these smaller items. Of that $14,000 we need to look at irrigation and whether or not we need to raise up the pipes that spray the water out and see if we can't get that resolved before this year ends. We also have some costs that are going to be involved with sign language. Apparently, we need to have sign language for all of our meetings from now on, which will run probably in the range of $450 a month.
Mr. Mecsics: Only if required. If someone requests it, then we have to.
Mr. Hill: I was not sure how we were addressing it, but it was going to be $90 an hour for what would be required if they came to the meetings. To address what we are

facing, I am proposing an adjustment in our assessments of $300 per home. I don't know the proper way to verbalize that, but I have looked at all of the expenses that we have coming forward and what the revenues are coming in, and to cover them it is going to require that much money which will net us $190,000 a year. I am not sure that is even enough, but I think it will get us through the four-year period that I look at. The four-year period meaning that it will get us past the lien payment that we have, which is $140,000. If we get past that, I think things will get much easier. My question to myself became, "How did we get here? We just did a $400 assessment?" The revenue that the COD received was $252,000 net. Of that, approximately $145,000 went to pay the lien, and a large portion of the balance was used to pay legal and engineering fees pertaining to the farmer and backed up water into our property and issues with the golf course. Legal and engineering apparently always will go hand in hand when you have infrastructure issues that have to be addressed. They are expensive issues  and correspondingly those fees go along with them. Additionally, our operations and maintenance budget has increased
$46,000 from last year to this year. I hope we can work harder to manage that and try to do better. In the first 12 years, we did not raise assessments at all. Had we raised it, a 2.5% cost of living increase, we would have an additional $360,000 in capital reserve right now. Our communities the first 1O years, nothing's going wrong. New community, nothing breaking. But, as our community has gotten older, infrastructure repairs have become more frequent. As an example, the HFC portico cost us $40,000. The bathrooms that don't meet Winter Haven code are going to cost us $35,000. We will have to replace the roof and the pool at some point. That is $40,000-$50,000. Our roof is in need of repair or replacement and will cost around $200,000 if we do not get the insurance company to pay for it. We have some big-ticket items that we are having to face. We have to have money in reserve sitting there to pay for these things if they do come about. There will probably be more as our community gets older and there will be surprises. Historically, these things have been expensive. We are facing over the next 8-10 years $850,000 worth of road resurfacing. The Board will try to patch them and prolong them as long as they possibly can to avoid this, but eventually we will have to resurface. We need to have money when we get to those points. We also have $150,000 worth of air conditioners that are past their normal life cycles. James has been nursing them along, but we will have to

July 18, 2021	Lake Ashton II COD

have money set aside to pay for replacement when they fail, and they will fail. We currently have three sports courts in the HFC that need replacing at 15 years old, at a total cost of close-   to $50,000. There are more smaller  projects that are in our reserve study that will have to be replaced and funded so they will add to that amount. I tried my best to find a way to avoid an assessment, as did the other Board members, but I could not. The plan I am going forward to present will carry us out 4 years. We will have to postpone some projects to make it work, but I feel it is our duty to try. We have postponed projects in this year that we didn't fund this year that were in the reserve study. It  won't be a new process for us. It will be a continued process. We also look out to year 2030 to see how that will affect us but I think now we should wait at least 2-4 years before we start looking out even further. I think we have looked out further, but we need more information in years 2 through 4 to determine exactly where we are going to be in the following year. I am looking for the 4-year plan right now.-We are anticipating an increase in assessments in the amount of $300 per household.  You said something about putting it in the reserve line. That is where I stand as far as the budget and the assessment goes. I will open it up for discussion.
Mr. Mecsics: Technically, and Jillian correct me, but we cannot commit future Boards to any spending. We can propose for this Board for future strategies, but new Boards are not held to that. We can have a strategy, which I believe we have, and that is great, but to adjust our assessment we had from last year will require a public hearing. Before we have that public hearing where we will talk all about this, we would have to put out that there is a maximum amount we would propose. We can bring it down, but we would have to have a maximum amount to discuss at the meeting  where the residents will have a chance to discuss with us as well. Is that correct, Jillian?
Mr. Eckert: From a process standpoint, you still have time if you wanted to. What you would do today is you would amend the budget, the proposed budget, to include whatever dollar amount you want. I would suggest you go ahead and add a contingency line item for that dollar amount and you will further  define it at your public hearing which is when you have your budget. If you want to go that direction that is what I would suggest. Mr. Hill: I believe if you take 680 homes multiplied by $300 I think it comes out,
after the tax collector gets his, it would be about $190,100 worth.

Ms. Burns: I ran the figures because I spoke to Duff before the meeting. If we are going to include a net increase, so the Board nets that $300 per unit, that would be
$204,000 worth of revenue. If we would put $204,000 into a contingency line item into the budget, that would be a net figure. The notice then, the gross amount that we would notice to residents that would include the 7% collection cost, would be roughly $322.59. If we are looking to net $300 per home, the figure for the budget would be $204,000.
Mr. Mecsics: So, we would have to put out a no-greater-than $325 for the public notice, then we can adjust it.
Ms. Burns: You could adjust down.
Ms. McKie: So, $321 works? $321 is the 7%.
Mr. Mecsics: For the practical purposes here right now, for what we are trying to establish for those meetings, we have to have a no-greater-than number that can be adjusted down and can't be adjusted up for that public meeting.
Ms. Bums: My suggestion would be the $204,000, which in a contingency would result in the Board getting a net $300 per resident. The notice will reflect the higher gross amount of $322.59. That is what the notice amount would be for residents. We notice the gross amount. You can go down from there you just cannot go up.
Mr. Mecsics: Do I have a motion then?
Ms. Burns: It would be a motion to revise the budget to include a line item for a
$204,000 contingency and set a public hearing. You do have a resolution in front of you, a resolution number.
Mr. Eckert: I would just do two motions if that is okay. The first would be to amend the proposed budget to add that contingency line item in the amount mentioned by your District Manager.
Mr. Mecsics: Do we have any public comments? Ms. Burns: No public comments.
Mr·. Mecsics:Any other comments?
Ms. McKie: Yes. It is very interesting; we do not talk to each other about these things. I would like to share a different view that agrees with Duff, and says why we got here. With the first COD assessment last year, another one was not anticipated. However, up to 7%, which was over $108,000, did not go to the CDD due to a fee for county

July 18, 2021	Lake Ashton II CDD

collection costs and early payment discounts. Also, this time last year, the purchase of  the golf course was unsure. The Board appropriately budgeted only for the needs at that time. The property purchases greatly increased CDD owned land. It added the Eagle's Nest, the Pro Shop, building cart paths and bridges along with our maintenance. Some maintenance was ignored by the owner due to possible sale. The property was an "as is" purchase. An example, the engineering needs were ignored for several years prior to the sale, now we must catch up by setting a realistic engineering budget. Attorney fees, as I mentioned a few minutes ago, increased because of the farmer drainage issue that we would never have had to be involved with before. Not raising assessments in past years was well meaning, but now impacts our CDD's ability to function. Social security COLA 2005-2022 will have raised 40%. COLA increases benefitted residents on social security, but the CDD assessment remains static. For 17 years, CDD finances consistently fells behind COLA. COLA is the cost-of-living adjustment. To catch up to COLA, this Board can approve an investment in the community to move us toward financial security. We can remain competitive with other 55+ communities. Soon all lots will be built, and 14- 18% of buyers in our 55+ age group buy only new construction homes. We need to stay up and stay competitive. Our increased property includes important cart paths, bridges, Eagle's Nest, etc. With wise planning, we can obtain financial security to better cover the continued need for amenity maintenance and updates. We owe it to all Lake Ashton West residents to invest in a successful future by adjusting what was started in 2020 to catch up with COLA. If we take this challenge, there is no room for anyone, Board member or resident, to complain about the lack of maintenance and improvements to our valuable amenities. Once we are secure, we can proceed as some CDDs do, to assess 6% net assessment every 2-3 years. What is that worth? $26.75 per month. That is a lunch out for two people once a month, or a medium or nice dinner out for one person. That is considering what I had suggested before of $321. This includes the 7% fees. What previous Boards accomplished was almost miraculous. To maintain the high Lake Ashton community standard, we must agree on this investment today or at least have a plan. We can avoid the decline of our community and property values. The data is clear. A new investment and a few changes can stop out financial foundation from cracking and crumbling.   It   would   avoid   patching   surface   cracks   with   an   inadequate financial

adjustment. Data shows this assessment will get us on our way. Like I said, the number I had come up with, was $321. Duff, Bob and I seemed to agree without having communicated before.
Mr. Mecsics: Do we have a motion on the floor to adjust that budget and set a public meeting with no greater than $204,000?
Ms. Burns: Yes, a $204,000 contingency item. Mr. Mecsics: Per household, what did we say? Ms. Burns: That would be roughly $321-$323
Mr. Mecsics: Anything further? I am going to call for a vote. Ms. Littlewood: What are we voting for again?
Mr. Mecsics: We are voting to have a public hearing to readjust our budget to allow a line item in there to change the assessments and readjust the assessments we have right now.

On MOTION by Mr. Zelazny, seconded by Mr. Hill, with all in favor, to Amend the Proposed Budget to include a Contingency Line Item of $204,000, was approved.

Declaring Assessments Resolution 2021-07
Mr. Eckert: Now it would be to approve the resolution, which will have that amended budget you just approved attached to it.
Ms. Burns: Just to state for the record because it wasn't on the agenda, we do have a public hearing date that'is the same as the original public hearing date on the budget that we discussed. It is the August 20th meeting at 9:00 a.m. in this location. We need public comments as well on this.
Mr. Mecsics: Any comments?
Ms. Burns: This is the resolution that will set the hearing. Mr. Mecsics: No comments.

On MOTION by Mr. Zelazny, seconded by Mr. Hill, with all in favor, Resolution 2021-07 Setting a Public Hearing on Assessments, on August 20, 2021 at 9:00 a.m., was approved.

44

July 18, 2021	Lake Ashton II COD

Mr. Mecsics: There is one thing I want to add in here. Angie got a job working on the amenity policy. I would like to ask you to take on being the supervisor to handle special projects when we have them, to be determined by either myself'or the Board.
Ms. Littlewood: Yes, I will.

NINTH ORDER OF BUSINESS
Attorney
Mr. Mecsics: Staff Reports. Mike?

Staff Reports

Mr. Eckert: Yes, one item. Just to let you know that Sarah Sandy is back in the office and she is available if anybody has questions. She will probably take over primary responsibilities. If the Chairman requests my presence at the meeting, I will probably be at the meetings for the next 4-5 to let her get back into the swing of things. She will be doing a lot of your work moving forward and as you all know she is at a lower billing rate than me. The other thing that we have been working with Colette on the landscaping issues and defer to her to provide any update on that. I have given that back to Sarah and she is on top of that and working with Colette on that.
Mr. Mecsics: Thanks, Mike.

L ke Ashton II Community Director
Mr. Mecsics: Community report, Ms. Mary.
Ms. Bosman: Hello, you all have a copy of my report. There is a digital one available as well that GMS sent out. An update from this is that the lightening detection warning system is installed. The satellite is installed. It executes an audible as well as visual. We have it placed so that when persons are in the pool, whether staff is here or not, they can see that visual. We have signs up, they are temporary signs now because the official ones that are going to stay there forever are not finished yet. We have paper ones out there that are laminated so that residents, when staff is not here, know to exit the pool when that light is flashing. The front walkway has new lighting. Basically, that was just a replacement because the old ones burned out. We have some front landscape lights, just the little up lights you get at Lowes and so forth, some of those are out. I will get directives from the Board as to whether we are supposed to replace those or whatever

the Board wants to do on that. I will get you a number, I think James has it. One of our events was a graduation event and there was some food spillage on the stage. We have the young lady that graduated from high school on record taking off our signs that say no food or drinks on the stage. They forfeited their deposit and we have since repainted the stage so we are looking for days and people to follow the rules better. The point being that it was very nice to pay for the paint with the damage deposit. The kiln has been inspected for safety purposes and cleaned. I do that every other month, so that is done. Parts were ordered for one of the pool heaters, and James has resuscitated that again, so that is still going. Last Thursday, we had an electrical storm magnitude go through Lake Ashton and we lost a television set in the fitness center. We will be replacing that with the approval of the Board. The HFC hosted the last new resident social. We had about 30 residents attend, and that is always a joy to see new people and to invite them into our community. The surge protection that the Board approved before is on board to be installed in 4-5 weeks. I guess we are on the maintenance list to get installed. We got the quotes for the electrical for the Eagle's Nest and that will be taking place one week from today. I have told the Eagle's Nest staff that as well. I am going to close with a real positive for us. We have some really nice and generous people here in Lake Ashton. I have said this before. I am looking up at the TV set as I say that because that was a donation. We have had several here. If you look out into our rose garden, we had a donation this week of some really nice furniture. It is a table with six chairs and a conversation set as well. They chose to be anonymous. That is nice. It is a pleasure  to be here. Thank you.
Mr. Mecsics: Thank you, Mary. Again, I think I share for everybody here on the Board, I know they all stop and see when they have their office hours and they ask those questions. You all do a great job. Gratitude for the great job that you do.
Mr. Zelazny: In light of the donations of furniture, let me bring up once again that we have never come to the conclusion on the Memorial Project. We need to finalize that and institutionalize it. Did you notice that the word was "project"?
Mr. Mecsics: Yes.

July 18,.20 21	Lake Ashton II COD

Mr. Zelazny: I think we need to do it. We have more people who are donating and volunteering, and even if they don't want to be recognized they should be recognized in the ledger for memorialization.
Mr. Mecsics: Angie, this will become part of special projects. We will get you all caught up on it.

District Manager's Report
Discussion Regarding Continuing Using Zoom for Meetings and Allowing Public Email Comments Prior to Meeting
Ms. Burns: The only item I have is a carry-over from the last meeting. We briefly discussed the last of the COVID procedures that we have instituted. I wanted to bring up if we still want to continue to do ,those. The first is the Zoom meeting. It has been helpful for staff and residents to continue to do those. We are not putting the Zoom in the legal ad, we are just setting this up as an option. Whereas before, when we were doing that remotely, that information was included. Should we continue with the Zoom moving forward?
Mr. Mecsics: It is good information, yes.
Ms. Burns: Okay, we will continue to offer that. The last item then would be the email comments. Previously you could always email the District Manager to pass your concerns along to the Board. We weren't reading those at the meeting. you had to either show up via Zoom or show up in person to make a public comment. That was the last thing we were doing related to COVID. Do we still want to offer emailed public comments? Do we want to go back to saying they are welcome to send a comment to the District Manager, which would then be passed along to the Board, but we are not reading it for the record at the meeting?
Ms. Littlewood: I think we should continue it. There are still people who work. I know it is a retirement community, but there ae still people that work and cannot make the meetings. They need to have a voice.
Mr. Mecsics: I think that is fair.
Ms. Burns: Okay, we will continue to ke p that in place. I do not have anything else unless the Board has anything for me.

July 18, 2021	Lake AshtQn II CDD

TENTH ORDER OF BUSINESS	Financial Report
Approval of Check Run Summary
Mr. Mecsics: What I would like to do for future meeting is Duff, when you have issues and the things you talk about, generally we are going to put that under the Financial Report rather than a separate one, so we don't turn each meeting into a budget meeting. Any issues you want to bring up will be under the Financial Report section. Okay, now the approval of the check run summary.
Mr. Hill: I have looked at it and I am okay with it.
Mr. Mecsics: Okay, any comments? Seeing no comments, we can make a motion.

On MOTION by Mr. Zelazny, seconded by Ms. McKie, with all in favor, the Check Run Summary, was approved.

Combined Balance Sheet
Mr. Mecsics: Any comments on the combined balance sheet? We do not need a vote but need to see if there are comments. Seeing none, we will move onto Supervisor Requests.

ELEVENTH ORDER OF BUSINESS	Supervisor Requests
Mr. Hill: I would like to request from any Supervisor that is out getting bids to do any type of work at the community to copy me on those bids if it is not a violation of Sunshine Law, so that I can have a chance to analyze how it effects our budget.
Mr. Mecsics: What I would recommend is that if any of us have things like that we pass it to Jillian and she can share that.
Mr. Hill: I just need to see it to make sure it fits in the budget and that I have numbers prepared.
Ms. Burns: if you had questions on it, you couldn't go to Colette and ask questions, it would need to wait until the next meeting. If you have proposals, you can send it to me and I can pass them along.
Mr. Mecsics: Any other Supervisors? Bob?
Mr. Zelazny: Yes, I have two items. The first is the discussion _on the wiring for the Eagle's Nest that was associated with the ice cream machine. Did I mention that? What

we did is we found a major electrical problem within the Eagle's Nest. While it is taking care of the ice cream machine issue, it is keeping us from burning down the building. It was money well spent. That will be wired this week. The second issue is the pickleball courts. I know we just talked about our financial constraints and our limitations and that we are going to look for more money. The Pickleball Association did come here today in force to ask us to address the issue of the balls going under the fence. I think every member of the Board has been out there and looked at it, as well as the maintenance team. The Pickleball Association is requesting 370 feet of fencing be address to the tune of about $3,600. That is what their bid came in at. In working with James, we identified somewhere between 160-180 feet that would be continuous fencing, not 10 feet here and 10 feet there, as alluded to from a resident. It does address every area where the pickleballs are going under the court. That would be what I would recommend at this time to repair. I would like to have approval to spend up to $1,700 to fix those 660 feet of fence and get that out of the way. The remainder of the fence will be repaired when additional moneys are allocated or when we redo the pickleball court itself.
Mr. Mecsics: Jillian, does that fall under my discretionary costs? The $1,700?
Ms. Burns: Yes, you are authorized up to $5,000 outside of a meeting. We could get a motion from the Board to approve now, or we could handle outside of the meeting. Mr. Zelazny: Let me talk about pickleball courts in general because a lot of people addressed it at the meeting. We have had the vendors out, and there is nothing deemed unsafe with our pickleball courts. If anyone determines it to be unsafe, being it the vendor who repairs them or whatever, the pickleball courts will be shut down immediately and repaired. We will not allow people to engage in an unsafe event. The comments on discoloration and everything happens over 7-8 years and is associated with the methods by which we are trying to keep it clean. We will continue to try to clean. We have a schedule to clean it. We will be more aggressive to be sure  we do that. The comments on the screening, there is nothing wrong with the screening. The clips that hold the screen on I will tell you that the maintenance teams have tried four different versions of clips. The ones they have right now are deemed the most appropriate. We are double clipping it.
We are doing the best that we can with what we have.

July 18, 2021	Lake Ashton II CDD

Mr. Hill: Bob, I play pickleball all the time, and there are no safety issues at all with the courts. I have fallen, but that is strictly due to lack of physical ability. It has nothing to do with the safety of the courts.
Mr. Mecsics: To go along with Bob, I know the equipment he works with in maintenance is quality equipment. This is not cheap. This is top quality equipment. People need to understand that we don't go 3rd or 4th class, we buy the best. Any other supervisor's comments?
Mr. Hill: I wanted you to notice that my area of the budget, I covered that in 15 minutes. If you guys would cover your area in 15 minutes, we would be out of here by 10:00 a.m.
Mr. Mecsics: We will give you soft serve ice cream cone how about that.
Mr. Zelazny: That is because you waited for everybody to leave before you spoke. Mr. Mecsics: Any other supervisor comments? Moving onto public comments.

TWELTH ORDER OF BUSINESS	Public Comments
Ms. Burns: I do have one that was emailed in that we can start with if that is okay with you.
Mr. Mecsics: Sure.
Ms. Burns: He sent in two, so I will read them both together.
Mr. Richard and Catherine Sutherland (5256 Pebble Beach): We want to thank the present and past COD Board members who engineered the purchase of the Lake Ashton golf courses. In doing so, they saved the community from the fate that has befallen so many other communities that failed to realize the importance of golf courses to the community's aesthetics and home values. When the issue was still in doubt, knowing what we know, we began to look for a new home in case the golf course purchase failed. Home prices here are now soaring, and the golf courses are now in pristine condition. Thank you!
Mr. Richard Sutherland (5256 Pebble Beach): Recently there was discussion about what to do to slow down traffic on our streets, including Pebble Beach speedway, I mean Boulevard, but I haven't seen any follow up. Is it possible to have the Board of Directors address the issue of speeding on Lake Ashton streets? Speed bumps, radars,

or cameras. I live on the curve of Pebble Beach and recently had to act fast on two different occasions to avoid being hit by speeding cars. I back into my driveway for fear of being hit while backing out onto the street.
Mr. Mecsics: Thank you.
Janice Gordon (5225 Hogan Lane): I want to start off by saying that I find it offensive and divisive that the following statement has been repeated numerous times during these CDD meetings. I quote, "We need to move onto projects that benefit all the residents of the west." Wetland mitigation is an ecological issue that effects everyone. I find it ironic that today this Board approved $6,600 for a cart path extension, yet rejected
$6,600 for wetland mitigation. Today this Board also approved $19,755 for a restroom basically benefiting golfers, but rejected $17,610 for wetland mitigation. Just a few minutes ago you approved $1,700 for a pickleball fence that will affect only pickleball players. Our wetlands support an abundance of wildlife. To the benefit of everyone, not just those living in Lake Ashton. It is disappointing that this CDD refuses to support its obligation to Lake Ashton residents by failing to take on the financial responsibility for the maintenance and restoration of the wetlands that it owns. Thank you.
Mr. Mecsics: Thank you, Janice. Any other public comments? Okay, we have come to that time.

THIRTEENTH  ORDER OF BUSINESS	Adjournment
Mr. Mecsics: There being no more comments, I will ask for a motion to adjourn.

On MOTION by Ms. Littlewood, seconded by Ms. McKie, with all in favor, the meeting was adjourned.

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