MINUTES OF MEETING HIGHLAND MEADOWS WEST
COMMUNITY DEVELOPMENT DISTRICT

The Regular Meeting of the Board of Supervisors of the Highland Meadows West Community Development District was held on Thursday, August 20, 2020 at 10:15 a.m. via Zoom Teleconference pursuant to Executive Order 20-69, issued by Governor DeSantis, as amended and supplemented.

Present and constituting a quorum:

Rennie Heath Lauren Schwenk Andrew Rhinehart Patrick Marone Keaton Alexander
Chairman
Vice Chairman Assistant Secretary Assistant Secretary Assistant Secretary

Also, present were:

Jill Burns RoyVanWyk April Payeur Clayton Smith
District Manager, GMS Hopping Green & Sams Developer's Office OMS

The following is a summary of the discussions and actions taken at the August 20, 2020 Highland Meadows West Community Development District's Board of Supervisors Meeting.

FIRST ORDER OF BUSINESS	Roll Call
Ms. Burns called the meeting to order and stated that the five supervisors listed above were in attendance via Zoom, constituting a quorum.

SECOND ORDER OF BUSINESS	Public Comment Period
There being no members of the public present, the  next item followed.

THIRD ORDER OF BUSINESS	Approval of Minutes of the June 18, 2020
Meeting
Ms. Burns presented the minutes of the June 18, 2020 Board of Supervisors meeting and asked for any comments, corrections to the minutes. The Board had no changes.

FOURTH ORDER OF BUSINESS	Public Hearings
Public Hearing on the Adoption of the Fiscal Year 2021 Budget
Ms. Burns stated that the public hearing was listed in the paper, and she asked for a motion to open the public hearing.

Ms. Burns noted that no members of the public were present and asked for a motion to close the public hearing.

Consideration of Resolution 2020-16 Adoption of the District's Fiscal Year 2021 Budget and Appropriating Funds
Ms. Burns stated that the budget was attached as Exhibit A, and that the total amount  of the budget was $344,860 contemplating the amounts paying into Davenport Road South for their share of the amenity. She added that the other items reflected the field items that were currently in place as well as some additional leases for the playground equipment.
Ms. Bums noted that they were showing a developer contribution of $26,565 to the extent that it would be needed. She clarified that the big question was if they would be getting a true-up payment from Davenport Road South, adding that she wanted to make sure there were efficient funds in case there were additional funds for the amenity that were not sent along.

Ms. Schwenk wanted to clarification that the Developer Agreement is a placeholder to zero-out the budget, but if certain monies were not spent it would not be needed. Ms. Burns clarified that that was the case.
Ms. Schwenk also asked why there was a question as to why they would get the true-up payment from Davenport South, to which Ms. Bums responded that the way the agreement worked was that they would disclose their expenses and budget at the beginning of the fiscal year and bill the District for that portion. She explained that if they spend more than that at the end of the fiscal year, the CDD gets a true-up payment that is due to them for amenity expenses. She explained it was an unknown because it depended on if there was anything incurred that wasn't already in the budget, such as unforeseen repairs, etcetera. If one of these happened, Ms. Bums stated she thought it would be very likely that they would see additional amounts billed to them that wasn't already contemplated in the budget.

Consideration of Fiscal Year 2020/2021 Budget Deficit Funding Agreement
Ms. Bums stated that the agreement would be to fund the amount that was outlined in the budget that they just discussed, should it become necessary. She added that the entity that the agreement was with was left blank, but that she had been discussing with Ms. Payeur which entity should be filled in. Ms. Payeur explained that Orchid Terrace Development Group still owned the 46 lots in Phase 3 and 2 lots in Phase 2, so she asked Ms. Burns if they would be considered the developer. Ms. Bums responded that if that was the only developer that owned lots that was not a contractor, then yes.
Mr. Heath interjected that that would make them the landowner. Ms. Payeur responded that they were developers, but since they were the only ones left, it made them the entity.
Ms. Schwenk asked if it was fair to conclude that because they hadn't closed on their lots yet, the District also had an agreement with Lennar to keep the assessment of a certain amount and not go over. She added that JMBI had already sold their lots, and that if the costs did go over, they couldn't put it back on the builder, so she asked if it would revert back to the original landowner.

Ms. Burns replied that if they were reducing assessments based on the agreement in place to keep it at $750 it would be split between entities, so she was if they did need to draw on it, they could list 2 entities and split it based on the original owner ship amounts that they were using based on the lots that they did own.
Ms. Schwenk stated for this fiscal year should be split proportionate share between Orchid Terrace Development and Orchid Terrace group, and the Board agreed.

Public Hearing on the Imposition of Operations and Maintenance Special Assessments
Ms. Bums stated that the public hearing was advertised in the paper and sent to all landowners within the district. She asked for a motion to open the public hearing.

Ms'. Burns noted that no members of the public were present and asked for a motion to close the public hearing.

Consideration of Resolution 2020-17 Imposing Special Assessments and Certifying an Assessment Roll
Ms. Bums stated that since it was the first year that they were holding an O&M Assessment for collection, it would levy the O&M amount in the budget at $750 per platted lots that were listed, as well as the debt amounts that were previously levied under the three series of bonds. She asked for a motion to approve.

SIXTH ORDER OF BUSINESS	Acceptance of Fiscal Year 2019 Audit
Report
Ms. Burns stated that pages 27 and 28 were a summary and report to management that outlined the audit, adding that there were no findings, no instances of non-compliance, and it was a clean audit. She noted that it was submitted to the state prior to the June 30 th deadline. She asked for a motion to approve.

SEVENTH ORDER OF BUSINESS	Consideration of Arbitrage Rebate Report
from AMTEC for Series 2019 Bonds
Ms. Burns stated that the District was required under internal revenue code to determine that it doesn't earn more interest than it pays, and that the report verifies the negative arbitrage amount listed in the report. She asked for a motion to approve.

EIGHTH ORDER OF BUSINESS	Consideration of Arbitrage Rebate
Report from AMTEC for Series 2020A Bonds
Ms. Burns stated that the price for the proposal from AMTEC to do the Series 2020 bonds total $450 per year, adding that it was the same amount that the district was paying on the 2019 Bonds. She asked for a motion to approve.

NINIB ORDER  OF BUSINESS	Consideration of Resolution 2020-18
Designation of Regular Monthly Meeting Date, Time, and Location for Fiscal Year 2021
Ms. Burns stated the schedule in the package contemplated leaving the current schedule  the same, which consisted meeting at 10:15 a.m. at the Cassidy office once they resumed in-person meetings. She asked if there were any change requests, and hearing none asked for a motion to approve.

TENTH ORDER OF BUSINESS	Staff Reports
Attorney
Mr. Van Wyk brought up that they were trying to get one item approved by the Board, that being a release of an easement and the approval of a new easement agreement. He explained that there was a need to vacate a utility easement over Lot 25 of Orchid Terrace in Phase 2, and added that they needed to obtain an easement across Lots 25 and 26. He stated that there were two separate documents he sent to Ms. Bums, one of those being a quit claim deed that would release the easement along the east side of Lot 25.
Mr. Rhinehart asked if it would impede the house going on that lot, and Mr. Van Wyk replied that it was requested by the builder. He asked for the Board to approve the quit claim deed.

Mr. Van Wyk also presented the easement agreement that would grant the easement over lots 25 and 26, the diagonal easement that would run from the front of lot 25 and 26, and to the end of lot 26.

Mr. Heath asked that a copy of the layout of the easement be provided as well, and Mr. Van Wyk said he thought Ms. Schwenk might already have it. Ms. Schwenk stated that exhibit did not have the layout in it, so Mr. Van Wyk said that he would provide it at a later time.

Engineer
There being none, the next item followed.

Field Manager's Report
Mr. Smith stated that Highland Meadows West had some new properties coming in across the street. He added that he had proposals for those new properties, but had questions about some of the locations. Mr. Smith said that there was also a new sidewalk through the playground area, and that he would make sure that the areas were put back together when they were done. He also listed maintenance items that had been completed, including putting up fences and keeping on top of general maintenance items. He noted that there were issues with the irrigation, but that the contractor was working on getting those fixed.

Consideration of Proposal from Prince & Sons, Inc. to Replace Trees
Mr. Smith added that they lost some Crepe Myrtles at the front of the Patterson entrance but had a proposal to fix those.
Mr. Heath asked if there was a warranty on those, and Mr. Smith replied that it was an
option, but that it would go through the installer. He noted that he had a quote for what the district's landscaper would do, but that he could get the installer contact to see if they could warranty them. Mr. Heath interjected that Danny Stewart did the landscaping  along the wall. Ms. Burns asked for a motion to approve a tentative agreement with Prince, totaling $550 to replace the Crepe Myrtles if they were not covered under warranty by Stewart.

Consideration of Proposal from GMS to Repair Damaged Asphalt
Mr. Smith stated that there had been damage from Spectrum on some areas of asphalt in a certain section by a construction trailer, and there was a request to have a proposal generated  for it. He noted that after looking at it, he didn't think that it would have any significant future issues, but that there was always the option of patching the sections. He added that if they wanted, the panel of the road could be replaced as well, but he didn't know if the board wanted to proceed with the repairs because the road damage was not extremely significant from his review.
Mr. Heath asked what Mr. Smith was classifying as "road damage", to which Mr. Smith explained that Spectrum had put down their stabilizers and it had crunched some of the fresh asphalt about 1.5 inches deep, and noted that there were 4 spots.
Mr. Heath asked Mr. Smith to take a picture and show it to the Board at the next meeting. Mr. Smith had a question for Ms. Burns about when Phases 2 and 3 would be ready for turnover because he already had a quote for Phase 2. He added that the landscaper had issues locating Phase 3, and when Mr. Smith had gone out there to assist, he was unable to locate it either.
Mr. Heath stated that Phase 3 was behind Phase 1 to the West. Mr. Rhinehart added that it was the Northwest comer of Phase 1.
Mr. Smith understood, and stated he only had a proposal for Phase 2, but suggested that because Phase 3 was smaller than Phase 2, the Board could approve a not-to-exceed amount, or that it could just be added on later.
Mr. Heath asked that they just approve Phase 2 and come back at the next meeting for Phase 3.
Ms. Bums asked for a motion to approve the Phase 2.

District Manager's Report
Approval of Check Register
Ms. Burns stated the Check Register totaled $32,114.59, and asked for a motion to approve.

Balance Sheet and Income Statement
Ms. Burns stated the financials were in the packet for the Board's review and no action needed to be taken. With no questions from the Board, the next item followed.

Ratification of Funding Request Series 2020 A3-1
Ms. Burns presented the Series 2020 A3 Funding Request, and asked for a motion to ratify.

Ratification of Requisitions
Summary of Series 2019 Requisitions #81 to #84
Ms. Bums presented the Series 2019 Requisitions #81 to #84 and asked that they be ratified by the Board.

Summary of Series 2020 AA2 Requisitions #42 to #54
Ms. Burns presented the Series 2020 AA2 Requisitions #42 to #54 and asked that they be ratified by the Board.

Summary of Series 2020 AA3 Requisitions #39 to #47
Ms. Burns presented the Series 2020 AA3 Requisitions #39 to #47 and asked that they be ratified by the Board.

Ratification of Kearney Change Order #10 for Orchid Terrace
Ms. Burns stated that Kearney Change Order #10 for Orchid Terrace had already been approved but needed to be ratified by the board.

TENTH ORDER OF BUSINESS
There was no other business.

ELEVENTH ORDER OF BUSINESS

There being none, the next item followed.
Other Business

Supervisors Requests and Audience Comments

TWELTH ORDER OF BUSINESS	Adjournment
The meeting was adjourned.
On MOTION by Ms. Schwenk, seconded by Mr. Rhinehart, with all in favor, the meeting was adjourned.