MINUTES OF MEETING
AMELIA CONCOURSE COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Board of Supervisors of the Amelia Concourse Community Development District was held Tuesday, May 15, 2018 at 11:00 a.m. at the Amelia Concourse Amenity Center, 85200 Amaryllis Court, Fernandina Beach, Florida 32034.

Present and constituting a quorum were:

James Marvin David Jae Nick Powell
Debbie Malloch Scott Campbell

Also present were:

Daniel Laughlin Jason Walters DavedeNagy Tony Shiver

Chairman
Vice Chairman (by phone) Supervisor
Supervisor
Supervisor (by phone)

District Manager
District Counsel (by phone) GMS
First Coast CMS

FIRST ORDER OF BUSINESS	Roll Call
Mr. Laughlin called the meeting to order at 11:00 a.m.

SECOND ORDER OF BUSINESS	Audience Comments
There being none, the next item followed.

THIRD ORDER OF BUSINESS	Approval of Minutes of the February 20,
2018 Meeting
There were no corrections to the minutes

On MOTION by Mr. Marvin seconded by Ms. Malloch with all in favor the minutes of the February 20, 2018 Meeting were approved.

FOURTH ORDER OF BUSINESS	Consideration of the Capital Reserve Study

Mr. Marvin asked have talked about this in the past? Can you refresh my memory?

Mr. deNagy responded we've talked about the capital reserve study and we finally have one done for the District. It's recommended with the assets we have within the District.  The  study was done so that we can amortize our costs in the future to be able to cover any maintenance and improvements we have for our capital assets, in particular the amenity center, pool and so forth. On page 2-1 there should be an outline of the cash flow. This is what we're going to base our budget on going forward. If you go through the study you'll see a list of all the assets. Each year there is an amount that's set aside for upgrades or improvements  to  the different assets we have here in the District. We will talk about it a little bit more when we get into the budget.
Mr. Marvin asked how much annually are we talking about contributing to this?
Mr. deNagy there is a column for the annual contribution. That is what we put in the O&M budget each year. The estimate of expenses each year is more of a guideline.  We might add or take away things that aren't listed.
Mr. Marvin asked so we're talking about $6,000 this year?
Mr. deNagy responded $6,000 plus $35,000 so we have $41,000 we will be putting in our O&Mbudget.
Mr. Marvin stated tell me what the catch up is.
Mr. deNagy stated we haven't set any money aside. We have money in our O&M budget right now for capital outlay and reserves. Any money that is left over will go into our capital reserve fund so we should have money at the end of the year in addition to that catch up that he has there.
Mr. Marvin stated I just don't understand what the $6,000 catch up means.
Mr. deNagy stated when we met with Charlie we didn't have any  reserves set aside on  our balance sheet so he put a prefunding of the reserve for starters.
Mr. Marvin asked we don't have to budget the $6,000 do we?
Mr. deNagy responded we don't have to but I would advise that we do. As we go through the next couple of years we may find that we need the study updated if we purchase new assets for example that need to be added. It's good to look at it every three to five  years to see if  it needs to be updated.

On MOTION by Mr. Marvin seconded by Ms. Malloch with all in favor the capital reserve study was approved.

FIFTH ORDER OF BUSINESS	Consideration	of	Resolution	2018-02,
Approving the Proposed  Budget and Setting a Public Hearing Date for Adoption
Mr. deNagy stated there is a copy of the budget in the agenda packet, however, I've since updated the budget. We've gotten a couple of new numbers that I want to talk about. We're looking at a small increase of about $89 a year. The current assessment for O&M  is $689 per  unit and that's across all 458 units. The assessments, given they are approved today would go up to $772 a year. The O&M assessments are coupled with the debt or payback of the bonds here in Amelia Concourse and that gives you a total overall assessment that is billed each year in November on the Nassau County property tax bill. As we go through the budget you can see administrative has an increase from $114,000 this year to $123,000 in FY19. Your field expenditures are increasing from $180,000 up to $206,000. On the third page there is an outline  of the changes to the budget. Starting with admin we see an increase of $10,000 for engineering services. We consulted with Dan. He's done a lot of extra work here in the District and is anticipating some continued work so he's upped his budget by $10,000.
Mr. Marvin asked the additional engineering services would be dealing with the County on various matters and so forth?
Mr. deNagy responded that's correct; anything that is outside the work that is done under the bonds. There is also a small increase of $1,740 for your management company GMS. We haven't had an increase since 2009. There are a couple of reductions among advertising costs and audit costs totaling $2,800 so overall just over a $9,000 increase in admin costs. The big increase in field costs is the capital reserves. We're taking out the capital outlay  budget.  The capital outlay budget is designed to pay for improvements that are outside the reserve study but since we're going to the reserve study in FYI9 we're just going to account for all of those capital improvements in our reserve study. We have an increase of $24,227, but a decrease in outlay of
$20,180, so really there's just a small increase in our capital from what we currently have in our budget. The next line item is a component of the management company, pool maintenance, janitorial and amenity staffing. This is First Coast CMS. That overall increase totals $6,312.
Mr. Shiver stated we're proposing adding an additional staff member during the week to be able to assist with reservations and things along those lines so that is what that is for.

Mr. deNagy stated the next couple of line items where we're seeing  changes  are landscape maintenance; a small increase there of$4,500. We got a new bid from Martex a couple of days ago for $23,000 for FY19. Repairs and maintenance is one of the most difficult  line  items to forecast. Repairs are nothing we can plan for. We don't have a lot of recurring items but we do recommend to keep some dollars in there so there is a small increase there of $3,500. Water and sewer we're seeing an increase in our projections  for this year so we're increasing  it by $3,500. Pool chemical projections are showing an increase so there's a small increase  there  for FY19 of just under $2,300. There are some minor changes to insurance,  lake maintenance  and so forth. Just for reference, we're adding two bonds for lake maintenance so we're putting those dollars in the FYl 9 budget when they come online.
Mr. Marvin asked have we turned over the lakes to the CDD for maintenance yet?
Mr. Shiver responded the proposal they just sent over was to take them on. We haven't done them yet but they are going to be performing a special treatment here in the next week because it needs it.
Mr. Powell asked what triggers that then? Normally it would be the plat.
Mr. Marvin stated I would expect it would be from the as-builts accepted by the county.
What it is, it's about time for us to do that. I was going to ask Dan where he stands on that.
Mr. Powell stated both of those have been completed.
Mr. Marvin asked when will we start taking care of those lakes?
Mr. Walters stated the trigger is when the permit changes from a construction permit to a maintenance permit and if Dan's not there I don't know if that has occurred.
Mr. Marvin asked will you please get with Dan and find out where we stand on this  matter and let us know independently because it's time for the CDD to start maintaining these lakes.
Mr. deNagy responded we will do that. That's the overview of the proposed FY19
budget. Again, the annual increase is just a little over $83 a year, which amounts to just under $7 a month.
Ms. Natalie Voytac stated I have a couple of questions. My first is about the landscape maintenance proposed increase of $4,500. What is included in that? We don't have any new property to maintain.
Mr. deNagy responded that is more a cost of living increase than for additional services.

Ms. Natalie Voytac stated that seems like a substantial increase. Is that something that is up to going out to bid? I feel like contracts have been steadily increasing.
Mr. deNagy stated keep in mind  what we're paying currently  is $21,500. They're going to $23,000 so there's really only about a $1,500 increase. The other money serves as a buffer in case we need landscape extras.
Mr. Marvin stated I think part of what happens, whether it seems right or wrong, is when you start taking on bigger pieces of land for maintenance, like the frontage along the main road, you just incur some additional costs from time to time.
Mr. Shiver stated we're budgeting beyond their contract just because we've been leaning
on them heavily to take care of some things like trimming and moving the palm trees, trimming oak trees that are around the facility, re-sodding lake banks, things like that.
A resident asked when that contract comes up you still don't bid them out?
Mr. deNagy responded we bid it out every three or four years. I think we're happy with Martex at this juncture.
Ms. Natalie Voytac stated my next question is about staffing and adding on the weekday staff person. I don't necessarily feel like that's required for this small facility that we have.
Mr. Shiver stated Debbie has been taking care of all of the reservations and things along those lines in the past and now we're going to be doing it so in order to do that we're going to have a staff person on site. This is just a budget number. This isn't what we're going to actually charge. This is to make sure we have our costs covered and we can always reduce the hours that staffing is here. We don't have to do it twelve months out of the year. We can do it during the summer months.
Ms. Natalie Voytac stated it seems like a substantial increase.
Mr. Shiver stated it is. It's not a rate increase. It's what we came up with  if  we were going to staff somebody here every single week for twelve months a year.
Ms. Natalie Voytac stated I just think the necessity for that isn't there. Someone already working in GMS' office could easily handle it via email.
Mr. Shiver stated ever since we statted staffing on the weekends we're bombarded by questions for new access cards, etc that Debbie had been taking care of. I feel based on the way this community is growing and what we deal with at other communities it would be beneficial to have someone during the week.

Mr. Marvin stated we see this same situation in other communities and find that having a staff person available for people with questions and reservations is very beneficial because as the number of people grow, so does the number of questions. Particularly when you have a lot of  new people coming in.
Ms. Natalie Voytac stated we've never had anybody before and now we have someone new last year and this year. If they're already in there on the weekend couldn't they be trained to make the reservations and access cards in that time period?
Mr. Shiver responded we will train that person and what you may find is  it's  not necessary but we won't know that until we get further into the season. The common complaint is "I work weekends or during the week" so it's hard to please.
Mr. Marvin stated Tony,just be prepared to respond to her at future meetin gs.
Mr. Harvey Greenberg asked is the capital reserve study on the website  or available for us to look at?
Mr. deNagy responded if it isn't on there now we will post it.
Mr. Harvey Greenberg stated I know a couple of you are aware at the pumping station for JEA they decided to do a little of pruning. They have come back since to remove any hazardous debris that they left around. I know you reached out to them to try to find out what was actually being done. Do we have any sort of definitive response?
Mr. Laughlin responded I spoke to them on the phone and they are scheduled to come back out.
\ Mr. Marvin asked could you tell me what we' re talking about here?
Mr. Laughlin responded JEA came out and took out what they said were some dying shrubs and trees. They're going to come back and they're supposed to put new bushes in.
Mr. Harvey Greenberg asked do we have any idea when that might be anticipated?
Mr. Laughlin responded he didn't give me an exact date. I was planning to keep calling.
Mr. Marvin stated the two of you could get together after the meeting and maybe you could touch based with them, find out when and let him know.
Ms. Natalie Voytac asked when was the last time that we had an increase in the O&M assessments?
Mr. deNagy responded I'd have to look back and let you know.

Ms. Natalie Voytac stated I feel like we had one either last year or the year before and it just seems like a ten percent increase again a year or two later is a lot. Could you get back to me on that?
Mr. deNagy responded I can do that. Keep in mind the tighter we keep our budget, the more likelihood there is for increases. I'm hoping with the reserves the way  we're set up right now may help us reign in assessments for a couple of years.
A resident asked why wouldn't they be going down with more homes going in?
Mr. Laughlin responded it's assessed from the beginning with all of the built out homes.
The developer pays the difference prior to a home being built.

On MOTION by Mr. Marvin seconded by Ms. Malloch with all in favor Resolution 2018-02, approving the proposed budget  for fiscal year 2019 and setting a public hearing date for August 21, 2018 at 11:00 a.m. at the Amelia Concourse Amenity Center was approved.

Mr. deNagy stated with the increase, mailed notices will go out so every resident here  will receive a notice of the increase and the public hearing that we're going to have here in August.
Ms. Natalie Voytac asked when they have the public hearing is there any opportunity for the budget to change?
Mr. deNagy responded there is. It can go down, but it cannot go any higher than what we're setting today.

SIXTH ORDER OF BUSINESS	Consideration	of	Resolution	2018-03,
Changing the Designated Registered Agent
Mr. Walters stated the registered agent has always been an attorney in my office but I just want to make sure that my name was listed as the registered agent for service of process, notices, things like that.
Mr. Marvin asked it was someone else?
Mr. Walters responded yes I believe it was Jonathan Johnson who previously worked  with the District so it's changing from him to me.

On MOTION by Ms. Malloch seconded by Mr. Marvin with all in favor resolution 2018-03 was approved.

SEVENTH ORDER OF BUSINESS	Other Business
Mr. Marvin stated I want to make sure we follow up on mowing the lake banks. Tony, what were you talking about with the clean up?
Mr. Shiver responded we've received from some of the residents of construction debris. We already pay the maintenance vendor to take care of the existing lake clean up. However, because we're so close to having three and four brought online there is a tremendous amount of construction debris in those ponds that is just sitting there so we've asked the vendor to go ahead and address that for us as a one time thing. I believe it's in pond three.
Mr. Marvin asked how much money are we talking about? Mr. Shiver responded $200.
Mr. Marvin stated to anybody listening to the story it's the builder.
Mr. Powell stated I don't have a problem speaking to the builder to pick that up. Mr. Marvin stated you all work that out outside of this meeting.

EIGHTH ORDER OF BUSINESS	Staff Reports
Attorney
Mr. Marvin asked when does Dream Finders close on the next phase?
Mr. Powell responded Dan is I believe 95% done with engineering. The County requires you to submit the engineering plans as well as the preliminary plat. The preliminary plat was created in 2007 originally. It should be done in the next two weeks and then we will submit both of them for review and Dan provided us a schedule with their review time and I think it's a  couple months. The closing happens once it's fully permitted. I would say four to five months.

Engineer
Mr. Laughlin stated I will speak to Dan about taking over the lakes.

Manager - Report on the Number of Registered Voters (280) / General Election Discussion
Mr. Laughlin stated there are 280 registered voters within the District. We have a general election coming up and there will be two seats available to the residents if you would like to run. I have some sheets here with information on how you do it. The qualifying period is June 18

•

through the 22nd

You can go on the Nassau County Supervisor of Elections website.

Mr. Jae asked will you tell me which two seats are subject to the general election and the third seat would be subject to the landowners election?
Mr. Laughlin responded seats two and three are up for general election, which would be Glen and Deb. Seat 5 is up for landowner election, which is Scott Campbell's.
Mr. Marvin asked when do those elections occur?
Mr. Laughlin responded November 6tl'.

Operations Manager - Report
Mr. Shiver stated both pools were treated for stains around the floor returns. We did a heavy treatment a few months ago and it's starting to fade those stains and the pool is looking much better. Wolf Fencing repaired the fence along Amelia Concourse that was damaged from Irma due to the tree falling in. All of the sconce lighting around the facility was replaced due to flaking paint. The door to the amenity room was painted. All of the toilet paper holders were replaced due to rusting. We replaced all of the soap dispensers and upgraded them to foam. We were having problems with soap running down the wall. The onsite office for the attendant has now been fully furnished and we are now staffing on the weekends. The fielding will be pressure washed within the next two weeks and that includes the columns around the amenity center.

NINTH ORDER OF BUSINESS	Financial Reports
Balance Sheet and Statement of Revenues & Expenditures
Mr. Laughlin stated you have your balance sheet and income statement as of March 31, 2018 in your agenda package.

Approval of Check Register
Mr. Laughlin stated the check run totals $24,691.56.

On MOTION by Mr. Marvin seconded by Ms. Malloch with all in favor the Check Register totaling $24,691.56 was approved.

Assessment Receipt Schedule

TENTH ORDER OF BUSINESS
Audience Comments

Audience Comments/ Supervisor's Requests

A resident stated it has been reported by some perspective buyers as well as some of the new buyers that there is a pool and amenity center which will be opening at some point in  the last phase. Is there any truth to this?
Mr. Powell responded not that I'm aware of. The construction plans that we've had since 2007 haven't changed. The only reason Dan is updating it is due to JEA's standards.
A resident asked I know I read something in the minutes that phase three will not start building until 70% of phase two is complete. Is that correct?
Mr. Powell responded I think the 70% you're referring to is the number that was used for
the maintenance bond. There is no number that triggers the sales based on that phase. We have to have a maintenance bond for phase two saying that the developer for phase one covers until the entire place is 75% sold out.
Ms. Malloch stated the maintenance bond on the roads.
A resident stated I'd hate to see this phase not be complete and start another phase and drive the home values down.
Mr. Powell stated that's not our goal. We'd be competing with ourselves too.

ELEVENTH ORDER OF BUSINESS	Next Scheduled Meeting - August 21, 2018 at
11:00 a.m. at the Amelia Concourse Amenity Center
Mr. Laughlin stated our next meeting is August 21st at 11:00 here at the amenity center, which will be our budget adoption meeting.

TWELFTH ORDER OF BUSINESS	Adjournment

On MOTION by Ms. Malloch seconded by Mr. Marvin with all in favor the meeting was adjourned.