Lake Ashton Community Development District
Meeting Agenda October 19, 2020

Lake Ashton Community Development District
http://lakeashtoncdd.com/

Mike Costello, Chairman Bob Ference, Assistant Secretary
Robert Plummer, Assistant Secretary Harry Krumrie, Assistant Secretary

October 19, 2020

-. ·· -:::-·

AGE ·	o	A

Lake Ashton
Community Development District

219 E. Livingston St., Orlando, Florida 32801 Phone: 407-841-5524 - Fax: 407-839-1526

October 12, 2020

Board of Supervisors Lake Ashton
Community Development District

Dear Board Members:

The regular meeting of the Board of Supervisors of the Lake Ashton Community Development District will be held Monday, October 19, 2020 at 10:30 AM via Zoom Teleconference. The Board of Supervisors and members of the public may attend and participate in the meeting utilizing the following options from your computer, tablet or smartphone. To participate using video, please go to the link  address  below.  To participate by telephone, please use the call-in number below and enter the Meeting ID when prompted. Members of the public are further encouraged to submit comments or questions in advance of the meeting by email to jburns@gmscfl.com, or by telephone by calling (407) 841-5524, up until 2:00 PM on Friday, October 16, 2020.

Zoom Video Link: https://zoom.us/j/96959231158

Zoom Call-In Information: 1-646-876-9923
Meeting ID: 969 5923 1158

Following is the advance agenda for the meeting:

Audit Committee Meeting

Roll Call
Public Comment Period
Review of Proposals and Tally of Audit Committee Members Rankings
Grau & Associates
McDirmit Davis
Berger, Toombs, Elam, Gaines & Frank
Adjournment

Board of Supervisors Meeting

Roll Call and Pledge of Allegiance

Approval of Meeting Agenda
Public Comments on Specific Items on the Agenda  (the District Manager will read    any questions or comments from members of the public in advance of the meeting; those members of the public wanting to address the Board directly should first state his or her name and his or her address.1)
Consideration of Minutes from the September 21, 2020 Board of Supervisors Meeting and Audit Committee Meeting
Unfinished Business
New Business/Supervisors Requests
Consideration of Contract with Metz Culinary Management for Restaurant Services (Clean and Redlined Version Both Included)
Discussion of Restaurant Equipment Replacement (requested by Supervisor Krumrie)
Monthly Reports
Attorney
Lake Ashton Community Director
Engineer
Consideration of East Course Hole #10 Bridge Approach Repair (backup to be provided under separate cover)
Field Operations Manager
Discussion Regarding Purchase of a Pressure Washer
District Manager’s Report
Approval to Issue Christine a Credit Card for General Fund Expenses
Financial Report
Approval of Check Run Summary
Combined Balance Sheet
Selection of an Auditor
Public Comments
Supervisor Requests/Supervisor Open Discussion
Adjournment

1 All comments, including those read by the District Manager, will be limited to three (3) minutes

Audit Committee Meeting

SECTION III

SECTION A

Proposal to Provide
Financial Auditing Services:
LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT

Proposal Due: October 09, 2020 5:00PM

Submitted to:
Lake Ashton
Community Development District c/o District Manager
219 E. Livingston Street Orlando, FL 32801

Submitted by:
Antonio J. Grau, Partner Grau & Associates
951 Yamato Road, Suite 280 Boca Raton, Florida 33431 Tel	(561) 994-9299
(800) 229-4728
Fax	(561) 994-5823
tgrau@graucpa.com www.graucpa.com

Table of Contents

PAGE

EXECUTIVE SUMMARY / TRANSMITTAL LETTER	1
FIRM QUALIFICATIONS	3
FIRM & STAFF EXPERIENCE	6
REFERENCES	11
SPECIFIC AUDIT APPROACH	13
COST OF SERVICES	17
SUPPLEMENTAL INFORMATION	19

October 09, 2020

Lake Ashton Community Development District C/o District Manager
219 E. Livingston Street Orlando, FL 32801

Re:	Request for Proposal for Professional Auditing Services for the fiscal year ended September 30, 2020, with an option for four (4) additional annual renewals.

Grau & Associates (Grau) welcomes the opportunity to respond to the Lake Ashton Community Development District’s (the “District”) Request for Proposal (RFP), and we look forward to continuing working with you on your audit. We are an energetic and robust team of knowledgeable professionals and are a recognized leader of providing services to Community Development Districts. As one of Florida’s few firms to primarily focus on government, we are especially equipped to provide you an effective and efficient audit.

Special district audits are at the core of our practice: we have a total of 360 clients, 329 or 91% of which are special districts. We know the specifics of the professional services and work products needed to meet your RFP requirements like no other firm. With this level of experience, we are able to increase efficiency, to provide immediate and continued savings, and to minimize disturbances to client operations.

Why Grau & Associates:

Knowledgeable Audit Team
Grau is proud that the personnel we assign to your audit are some of the most seasoned auditors in the field. Our staff performs governmental engagements year round. When not working on your audit, your team is refining their audit approach for next year’s audit. Our engagement partners have decades of experience and take a hands-on approach to our assignments, which all ensures a smoother process for you.

Servicing your Individual Needs
Our clients enjoy personalized service designed to satisfy their unique needs and requirements. Throughout the process of our audit, you will find that we welcome working with you to resolve any issues as swiftly and easily as possible. In addition, due to Grau’s very low turnover rate for our industry, you also won’t have to worry about retraining your auditors from year to year.

Developing Relationships
We strive to foster mutually beneficial relationships with our clients. We stay in touch year round, updating, collaborating and assisting you in implementing new legislation, rules and standards that affect your organization. We are also available as a sounding board and assist with technical questions.

Maintaining an Impeccable Reputation
We have never been involved in any litigation, proceeding or received any disciplinary action. Additionally, we have never been charged with, or convicted of, a public entity crime of any sort. We are financially stable and have never been involved in any bankruptcy proceedings.

Complying With Standards
Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards, issued by the Comptroller General of the United States, and the Rules of the Auditor General of the State of Florida, and any other applicable federal, state and local regulations. We will deliver our reports in accordance with your requirements.

This proposal is a firm and irrevocable offer for 90 days. We certify this proposal is made without previous understanding, agreement or connection either with any previous firms or corporations offering a proposal for the same items. We also certify our proposal is in all respects fair, without outside control, collusion, fraud, or otherwise illegal action, and was prepared in good faith. Only the person(s), company or parties interested in the project as principals are named in the proposal. Grau has no existing or potential conflicts, and anticipates no conflicts during the engagement. Our Federal I.D. number is 20-2067322.

We would be happy to answer any questions or to provide any additional information. We are genuinely excited about the prospect of serving you and establishing a long-term relationship. Please do not hesitate to call or email either of our Partners, Antonio J. Grau, CPA (tgrau@graucpa.com) or Racquel McIntosh, CPA (rmcintosh@graucpa.com) at 561.994.9299. We thank you for considering our firm’s qualifications and experience.

Very truly yours, Grau & Associates
Antonio J. Grau

2

Firm Qualifications

Grau’s Focus and Experience

Our Team

2
Partners

11
Professional Staff

2
Administrative Professionals

9/13
Employees are CPAS

Year founded

Services Provided

297

Community Development Districts Served

Properly registered and
licensed professional corporation by the state of FLORIDA

9
Professional
Groups

We are proud Members of the American Institute of Certified Public Accountants
&
the Florida Institute of Certified Public Accountants

See next page for report and certificate

⇒ External quality review program: consistently receives a pass
⇒ Internal: ongoing monitoring to maintain quality

AICPA | FICPA | GFOA | FASD | FGFOA

Firm & Staff Experience

GRAU AND ASSOCIATES COMMUNITY
DEVELOPMENT DISTRICT EXPERIENCE BY MANAGEMENT COMPANY

OTHER
19

PFM
12

WRATHELL
30

GMS
78

INFRAMARK
38

SDS
60

RIZZETTA
47

MERITUS
23

Profile Briefs:

Antonio J GRAU, CPA (Partner)
Years Performing Audits: 30+
CPE (last 2 years): Government Accounting, Auditing: 24 hours; Accounting, Auditing and Other: 58 hours
Professional Memberships: AICPA, FICPA, FGFOA, GFOA

Racquel McIntosh, CPA (Partner)
Years Performing Audits: 14+
CPE (last 2 years): Government Accounting, Auditing: 38 hours; Accounting, Auditing and Other: 56 hours
Professional Memberships: AICPA, FICPA, FGFOA, FASD

“Here at Grau & Associates, staying up to date with the current technological landscape is one of our top priorities. Not only does it provide a more positive experience for our clients, but it also allows us to perform a more effective and efficient audit. With the every changing technology available and utilized by our clients, we are constantly innovating our audit process.”
-	Tony Grau
“Quality audits and exceptional client service are at the heart of every decision we make. Our clients trust us to deliver a quality audit, adhering to high standards and assisting them with improvements for their organization.”
-Racquel McIntosh

YOUR ENGAGEMENT TEAM

Grau’s client-specific engagement team is meticulously organized in order to meet the unique needs of each client. Constant communication within our solution team allows for continuity of staff and audit team.

Grau contracts with an outside group of IT management consultants to assist with matters including, but not limited to; network and database security, internet security and vulnerability testing.

An advisory consultant will be available as a sounding board to advise in those areas where problems are encountered.

The assigned personnel will work closely with the partner and the District to ensure that the financial statements and all other reports are prepared in accordance with professional standards and firm policy.
Responsibilities will include planning the audit; communicating with the client and the partners the progress of the audit; and
determining that financial statements and all reports issued by the firm are accurate, complete and are prepared in accordance with professional standards and firm policy.

The Engagement Partner will participate extensively during the various stages of the engagement and has direct responsibility for engagement policy, direction, supervision, quality control, security, confidentiality of information of the engagement and communication with client personnel. The engagement partner will also be involved directing the development of the overall audit approach and plan; performing an overriding review of work papers and ascertain client satisfaction.

Antonio ‘Tony ‘ J. Grau, CPA
Partner
Contact: tgrau@graucpa.com | (561) 939-6672
Experience
For over 30 years, Tony has been providing audit, accounting and consulting services to the firm’s governmental, non-profit, employee benefit, overhead and arbitrage clients. He provides guidance to clients regarding complex accounting issues, internal controls and operations.
As a member of the Government Finance Officers Association Special Review Committee, Tony participated in the review process for awarding the GFOA Certificate of Achievement in Financial Reporting. Tony was also the review team leader for the Quality Review of the Office of Management Audits of School Board of Miami-Dade County. Tony received the AICPA advanced level certificate for governmental single audits.

Education
University of South Florida (1983) Bachelor of Arts
Business Administration

Clients Served (partial list)
(>300) Various Special Districts, including:

Bayside Improvement Community Development District Dunes Community Development District
Fishhawk Community Development District (I,II,IV) Grand Bay at Doral Community Development District Heritage Harbor North Community Development District

Boca Raton Airport Authority Greater Naples Fire Rescue District
Key Largo Wastewater Treatment District Lake Worth Drainage District
South Indian River Water Control

St. Lucie West Services District
Ave Maria Stewardship Community District Rivers Edge II Community Development District Bartram Park Community Development District
Bay Laurel Center Community Development District

Professional Associations/Memberships
American Institute of Certified Public Accountants Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Government Finance Officers Association Member City of Boca Raton Financial Advisory Board Member

Professional Education (over the last two years)
Course	Hours
Government Accounting and Auditing	24
Accounting, Auditing and Other	58
Total Hours	82 (includes of 4 hours of Ethics CPE)

Racquel C. McIntosh, CPA
Partner
Contact : rmcintosh@graucpa.com | (561) 939-6669
Experience
Racquel has been providing government audit, accounting and advisory services to our clients for over 14 years. She serves as the firm’s quality control partner; in this capacity she closely monitors engagement quality ensuring standards are followed and maintained throughout the audit.
Racquel develops in-house training seminars on current government auditing, accounting, and legislative topics and also provides seminars for various government organizations. In addition, she assists clients with implementing new accounting software, legislation, and standards.

Education
Florida Atlantic University (2004) Master of Accounting
Florida Atlantic University (2003) Bachelor of Arts:
Finance, Accounting

Clients Served (partial list)
(>300) Various Special Districts, including:

Carlton Lakes Community Development District Golden Lakes Community Development District Rivercrest Community Development District South Fork III Community Development District TPOST Community Development District

East Central Regional Wastewater Treatment Facilities Indian Trail Improvement District
Pinellas Park Water Management District Ranger Drainage District
South Trail Fire Protection and Rescue Service District

Westchase Community Development District Monterra Community Development District
Palm Coast Park Community Development District Long Leaf Community Development District Watergrass Community Development District

Professional Associations/ Memberships
American Institute of Certified Public Accountants	FICPA State & Local Government Committee Florida Institute of Certified Public Accountants	FGFOA Palm Beach Chapter

Professional Education (over the last two years)
Course	Hours
Government Accounting and Auditing	38
Accounting, Auditing and Other	56
Total Hours	94 (includes of 4 hours of Ethics CPE)

References

We have included three references of government engagements that require compliance with laws and regulations, follow fund accounting, and have financing requirements, which we believe are similar to the District.

 Dunes Community Development District	
Scope of Work	Financial audit Engagement Partner	Antonio J. Grau Dates	Annually since 1998
Client Contact	Darrin Mossing, Finance Director 475 W. Town Place, Suite 114
St. Augustine, Florida 32092
 	904-940-5850	

 Two Creeks Community Development District	
Scope of Work	Financial audit Engagement Partner	Antonio J. Grau Dates	Annually since 2007
Client Contact	William Rizzetta, President 3434 Colwell Avenue, Suite 200
Tampa, Florida 33614
 	813-933-5571	

  Journey’s End Community Development District	
Scope of Work	Financial audit Engagement Partner	Antonio J. Grau Dates	Annually since 2004
Client Contact	Todd Wodraska, Vice President
2501 A Burns Road
Palm Beach Gardens, Florida 33410
 	561-630-4922	

Specific Audit Approach

AUDIT APPROACH
Grau’s Understanding of Work Product / Scope of Services:
We recognize the District is an important entity and we are confident our firm is eminently qualified to meet the challenges of this engagement and deliver quality audit services. You would be a valued client of our firm and we pledge to commit all firm resources to provide the level and quality of services (as described below) which not only meet the requirements set forth in the RFP but will exceed those expectations. Grau & Associates fully understands the scope of professional services and work products requested. Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards, issued by the Comptroller General of the United States, and the Rules of the Auditor General of the State of Florida and any other applicable Federal, State of Local regulations. We will deliver our reports in accordance with your requirements.

Proposed segmentation of the engagement
Our approach to the audit engagement is a risk-based approach which integrates the best of traditional auditing techniques and a total systems concept to enable the team to conduct a more efficient and effective audit. The audit will be conducted in three phases, which are as follows:

PHASE I:
Preliminary Planning

PHASE II:
Execution of the Audit Plan

PHASE III:
Completion and Delivery

Phase I - Preliminary Planning
A thorough understanding of your organization, service objectives and operating environment is essential for the development of an audit plan and for an efficient, cost-effective audit. During this phase, we will meet with appropriate personnel to obtain and document our understanding of your operations and service objectives and, at the same time, give you the opportunity to express your expectations with respect to the services that we will provide. Our work effort will be coordinated so that there will be minimal disruption to your staff.

During this phase we will perform the following activities:
» Review the regulatory, statutory and compliance requirements. This will include a review of applicable federal and state statutes, resolutions, bond documents, contracts, and other agreements;
»	Read minutes of meetings;
» Review major sources of information such as budgets, organization charts, procedures, manuals, financial systems, and management information systems;
»	Obtain an understanding of fraud detection and prevention systems;
» Obtain and document an understanding of internal control, including knowledge about the design of relevant policies, procedures, and records, and whether they have been placed in operation;
» Assess risk and determine what controls we are to rely upon and what tests we are going to perform and perform test of controls;
» Develop audit programs to incorporate the consideration of financial statement assertions, specific audit objectives, and appropriate audit procedures to achieve the specified objectives;
» Discuss and resolve any accounting, auditing and reporting matters which have been  identified.

Phase II – Execution of Audit Plan
The audit team will complete a major portion of transaction testing and audit requirements during this phase. The procedures performed during this period will enable us to identify any matter that may impact the completion of our work or require the attention of management. Tasks to be performed in Phase II include, but are not limited to the following:
» Apply analytical procedures to further assist in the determination of the nature, timing, and extent of auditing procedures used to obtain evidential matter for specific account balances or classes of transactions;
» Perform tests of account balances and transactions through sampling, vouching, confirmation and other analytical procedures; and
»	Perform tests of compliance.
Phase III - Completion and Delivery

In this phase of the audit, we will complete the tasks related to year-end balances and financial reporting. All reports will be reviewed with management before issuance, and the partners will be available to meet and discuss our report and address any questions. Tasks to be performed in Phase III include, but are not limited to the following:

»	Perform final analytical procedures;
»	Review information and make inquiries for subsequent events; and
»	Meeting with Management to discuss preparation of draft financial statements and any potential findings or recommendations.

You should expect more from your accounting firm than a signature in your annual financial report. Our concept of truly responsive professional service emphasizes taking an active interest in the issues of concern to our clients and serving as an effective resource in dealing with those issues. In following this approach, we not only audit financial information with hindsight but also consider the foresight you apply in managing operations.

Application of this approach in developing our management letter is particularly important given the increasing financial pressures and public scrutiny facing today’s public officials. We will prepare the management letter at the completion of our final procedures.

In preparing this management letter, we will initially review any draft comments or recommendations with management. In addition, we will take necessary steps to ensure that matters are communicated to those charged with governance.

In addition to communicating any recommendations, we will also communicate the following, if any:

»	Significant audit adjustments;
»	Significant deficiencies or material weaknesses;
»	Disagreements with management; and
»	Difficulties encountered in performing the audit.

Is the recommendation cost effective?

Is the recommendation the simplest to effectuate in order to correct a problem?

Is the recommendation at the heart of the problem and not just correcting a symptomatic matter?

Is the corrective action taking into account why the deficiency occurred?

Our findings will contain a statement of condition describing the situation and the area that needs strengthening, what should be corrected and why. Our suggestions will withstand the basic tests of corrective action:

To assure full agreement with facts and circumstances, we will fully discuss each item with Management prior to the final exit conference. This policy means there will be no “surprises” in the management letter and fosters a professional, cooperative atmosphere.

Communications
We emphasize a continuous, year-round dialogue between the District and our management team. We regularly communicate through personal telephone calls and electronic mail throughout the audit and on a regular basis.
Our clients have the ability to transmit information to us on our secure client portal with the ability to assign different staff with separate log on and viewing capability. This further facilitates efficiency as all assigned users receive electronic mail notification as soon as new information has been posted into the portal.

Cost of Services

Our proposed all-inclusive fees for the financial audit for the fiscal years ended September 30, 2020-2024 are as follows:

    Year Ended September 30,		 	Fee		
2020	$4,000	
2021	$4,100	
2022	$4,200	
2023	$4,300	
2024	$4,400	
TOTAL (2020-2024)	$21,000	

The above fees are based on the assumption that the District maintains its current level of operations. Should conditions change or additional Bonds are issued the fees would be adjusted accordingly upon approval from all parties concerned.

Supplemental Information

PARTIAL LIST OF CLIENTS

	Governmental Audit	Single Audit	Utility Audit	
Current Client	
Year End	
Boca Raton Airport Authority					9/30	
Captain's Key Dependent District					9/30	
Central Broward Water Control District					9/30	
Collier Mosquito Control District					9/30	
Coquina Water Control District					9/30	
East Central Regional Wastewater Treatment Facility					9/30	
Florida Green Finance Authority					9/30	
Greater Boca Raton Beach and Park District					9/30	
Greater Naples Fire Control and Rescue District					9/30	
Green Corridor P.A.C.E. District					9/30	
Hobe-St. Lucie Conservancy District					9/30	
Indian River Mosquito Control District					9/30	
Indian Trail Improvement District					9/30	
Key Largo Waste Water Treatment District					9/30	
Lake Padgett Estates Independent District					9/30	
Lake Worth Drainage District					9/30	
Loxahatchee Groves Water Control District					9/30	
Old Plantation Control District					9/30	
Pal Mar Water Control District					9/30	
Pinellas Park Water Management District					9/30	
Pine Tree Water Control District (Broward)					9/30	
Pinetree Water Control District (Wellington)					9/30	
Ranger Drainage District					9/30	
Renaissance Improvement District					9/30	
San Carlos Park Fire Protection and Rescue Service District					9/30	
Sanibel Fire and Rescue District					9/30	
South Central Regional Wastewater Treatment and Disposal Board					9/30	
South-Dade Venture Development District					9/30	
South Indian River Water Control District					9/30	
South Trail Fire Protection & Rescue District					9/30	
Spring Lake Improvement District					9/30	
St. Lucie West Services District					9/30	
Sunshine Water Control District					9/30	
West Villages Improvement District					9/30	
Various Community Development Districts (297)					9/30	
TOTAL	332	5	3	327		

ADDITIONAL SERVICES

CONSULTING / MANAGEMENT ADVISORY SERVICES

Grau & Associates also provide a broad range of other management consulting services. Our expertise has been consistently utilized by Governmental and Non-Profit entities throughout Florida. Examples of engagements performed are as follows:

Accounting systems
Development of budgets
Organizational structures
Financing alternatives
IT Auditing	Fixed asset records
Cost reimbursement
Indirect cost allocation
Grant administration and compliance	

ARBITRAGE

The federal government has imposed complex rules to restrict the use of tax-exempt financing. Their principal purpose is to eliminate any significant arbitrage incentives in a tax-exempt issue. We have determined the applicability of these requirements and performed the rebate calculations for more than 150 bond issues, including both fixed and variable rate bonds.

73

Current Arbitrage Calculations

We look forward to providing Lake Ashton Community Development District with our resources and experience to accomplish not only those minimum requirements set forth in your Request for Proposal, but to exceed those expectations!

For even more information on Grau & Associates please visit us on www.graucpa.com.

SECTION B

Proposal to Provide Auditing Services

Lake Ashton Community Development District
For the Fiscal Year Ending September 30, 2020
With the Option of Four Additional Annual Renewals

Submitted by:

934 North Magnolia Avenue Suite 100
Orlando, Florida 32803
(407) 843-5406

CONTACT: Tamara Campbell, C.P.A.

tcampbell@mcdirmitdavis.com
www.mcdirmitdavis.com

Proposal for Audit Services to
Lake Ashton Community Development District
Table of Contents

	     Page	
Letter of Interest	1	
Company Background	3	
Experience	8	
References	11	
Service Approach	13	
Cost Proposal	15	

Letter of Interest

October 9, 2020

Jill Burns, District Manager
Lake Ashton Community Development District
219 East Livingston Street Orlando, FL 32801

934 North Magnolia Avenue, Suite 100
Orlando, Florida 32803
407-843-5406
www.mcdirmitdavis.com

Thank you for the opportunity to submit our qualifications and experience to serve as independent auditors of Lake Ashton Community Development District. The accompanying proposal will provide you detailed information regarding the scope of services to be provided, as well as a profile of the firm, the individuals who will serve you, our qualifications and experience, and representative clients, including specific references.

It is our understanding that we will provide the following services:

Financial audit of the basic financial statements  of Lake Ashton Community  Development District for the fiscal year ending September 30, 2020, with the option of four additional annual renewals.
We will commit to maintain staff required to conclude the audits within the time constraints indicated in the RFP.
The audit will be performed in accordance with generally accepted auditing standards, Governmental Auditing Standards and the Rules of the Auditor General of the State of Florida.
The audit for the fiscal year ending September 30, 2020 will be completed no later than June 1, 2021.

We believe we are the best-qualified firm to perform the engagement for the following reasons:

We presently audit over fifty Community Development Districts, fourteen municipalities and one special water district and have an excellent working knowledge of generally accepted accounting principles related to governmental entities.
We assist in the preparation of the financial statements for most of these governmental entities.
We have assisted nine municipalities in receiving the GFOA "Certificate of Achievement for Excellence in Financial Reporting". Most of these municipalities have been receiving the “Certificate of Achievement” between ten and twenty years. Tamara Campbell is active as a national review team member of the GFOA's "Certificate of Achievement for Excellence in Financial Reporting" program. As a review team member, Ms. Campbell reviews and evaluates financial reports submitted by cities and counties to determine whether the financial reports meet the stringent requirements to receive the GFOA'S prestigious award. Participating as a review team member, Ms. Campbell has demonstrated her expertise in governmental accounting and auditing.
We have strong information technology ability and will input the District’s general ledger balances into our ProSystem fx Engagement software and perform a virtually “paperless” audit. The District’s Financial Statements are linked to the general ledger; therefore, the likelihood of errors on  the financial statements is reduced.
We have recent and continuous experience and have devoted a great deal of our continuing education to the governmental auditing and accounting field. Our firm meets the independence and education requirements of the Government Auditing Standards issued by the Comptroller General of the United States. Our firm is independent of Lake Ashton Community Development District as defined by Government Auditing Standards.

the trusted partner

We believe in continuing client contact throughout the year, not just during the audit. We encourage on-going client contact by not charging any fee for phone calls.
We are members of the American and Florida Institutes of Certified Public Accountants and an Associate member of the Governmental Finance Officers Association. Our firm is active in governmental organizations throughout Central Florida and serves on governmental committees of the Florida Institute of CPA's.
We are a local firm with personnel committed to  quality  and professional performance,  accustomed to providing a high level of client satisfaction. We believe that our firm is part of a team effort to assist the District in developing the best financial reporting possible.
We have a history of continuity of personnel assigned to the engagement. Our single office firm and low personnel turnover assures uninterrupted services from our partners and staff. We have a staff of 28 people and 8 of those are governmental audit staff.

McDirmit Davis, LLC has not colluded with any of the Proposers, and we have not defaulted on any previous contract, and are not in arrears on any previous or existing contract and are properly licensed.

Because of our unique qualifications and a philosophy based on complete dedication to client service, we feel confident that we can provide you with responsiveness and a range of experience that will best serve your needs.

Ms. Tamara Campbell, partner, is authorized to represent the firm and may be contacted at 934 North Magnolia Avenue, Suite 100, Orlando, Florida 32803, or phone (407) 843-5406.

We would consider it a privilege to serve as independent auditors for Lake Ashton Community Development District.

Sincerely,

McDirmit Davis, LLC

Tamara Campbell, C.P.A.

Company Background

Company Background
Description and History of Audit Firm
McDirmit Davis, LLC was incorporated in the State of Florida in August 1984 and serves Central Florida from   its centrally located office in Orlando, Florida. The partners and managers have over 150 years of combined experience in public accounting, and our firm has grown to be ranked as one of the top 10 accounting firms in Central Florida by the Orlando Business Journal.

Our firm now consists of the following staff:

Partners	5	
Managers	4	
Seniors	7	
Staff Accountants/Paraprofessionals	7	
Support Staff	4	
Information Systems		
Technology Staff	  1	
	28	

The total number of governmental audit staff is eight. We are members of the American and Florida Institutes of Certified Public Accountants and an associate member of the Governmental Finance Officers Association. We are also a member of the Governmental Audit Quality Center.

Our firm has a wide range of clients providing both goods and services in the Central Florida area. Our practice encompasses auditing, accounting, management advisory and tax services. A list of all governmental clients audited by us for the fiscal years 2015-2019 is as follows:

Over Fifty Community Development Districts
Sun’n Lake of Sebring Improvement District
Homosassa Special Water
City of Winter Springs, Florida *

City  of Ocoee, Florida *
City  of Longwood, Florida *
City of Lake Mary, Florida*
City of Belle Isle, Florida *
City of Mascotte, Florida
City of Tavares, Florida *
Town of Windermere, Florida
City of Clermont, Florida *
City of Inverness, Florida*
City  of Orange City, Florida*
City of Groveland, Florida
City of Fruitland Park, Florida
City  of  Minneola, Florida
City of Umatilla, Florida*
Town of Montverde, Florida

□ These entities are presently clients of McDirmit Davis, LLC
These entities participate in the Certificate of Achievement for Excellence in Financial Reporting program.

Engagement Team
The following supervisory people will work on the audit:

Tamara Campbell, C.P.A., engagement partner
Michelle Sorbello, C.P.A., audit manager
Matthew Lee, C.P.A., audit manager

All of the above people have considerable experience on
governmental audit engagements. All supervisory personnel assigned to the audit, are Certified Public Accountants. The engagement partner and audit manager will be assigned to audit on a full-time  basis. In  addition to the partner and managers, McDirmit Davis will utilize various audit senior and staff members for   audit fieldwork.

The professional staff of our firm has been conducting governmental audits in the Central Florida area for the past thirty years. We are experienced auditors in a variety of industries and offer experience in auditing federal grants under the Single Audit Act and performing compliance audits of state grants.

License to Practice in Florida
Our Firm and all key professional staff are properly licensed to practice in the state of Florida. In addition, our Firm and all assigned key personnel are in good standing with the Florida Board of Accountancy.  We can provide a copy of actual License, if requested.

Independence
McDirmit Davis, LLC is independent of the District as defined by auditing standards contained in Government Auditing Standards.

Governmental Audit Quality Center
McDirmit Davis, LLC is a member of the AICPA’s Governmental Audit Quality Center which is dedicated to establishing the highest standards of audit quality in the governmental accounting and audit sector.

External Quality Control Review
Our Firm understands the importance of developing a formal quality control program, and therefore have been a member of the Private Companies Practice Section of the American Institute of Certified Public Accountants since 1985. Member firms are required to adhere to quality control standards established by the AICPA Quality Control Standards Committee and to submit to peer reviews of the firm's accounting and audit practice. Peer reviews are intensive reviews of a firm's quality control system by an independent CPA firm. Our firm has had seven peer reviews performed by the American Institute of Certified Public Accountants. Each peer review has included a review of a local governmental entity. We received a “pass” opinion on each review, which represents the best opinion that a firm can receive.

On our most recent peer review performed in 2017, we received a peer review rating of “pass”, which is the highest rating that a firm can receive under the revised peer review standards. We have never been subject  to any litigation or disciplinary actions by a client, the State or any professional organization for substandard field work. A copy of our firm’s most recent peer review report follows this page. These peer reviews included a review of at least two governmental engagements, and it should be noted that there were no findings as a result of this review. We have never withdrawn from an engagement prior to the agreed expiration date.

Federal or State Reviews
Any Federal or State desk review has resulted in no findings and we have never undergone a Federal or State field audit.

Other                                                                Services                                                                   Provided Our experience in governmental auditing has led to the development of efficient procedures that provide various client benefits. Our services provide our clients with a wide range of knowledge, confidence, and helpful management advice. Below is a listing of the type of other services that we have provided to governmental clients.

Assistance in preparation of Comprehensive Annual Financial Reports for recognition by the Government Finance Officers Certificate of Achievement Program.
Internal audit services.
Issuance of Comfort Letters and Consent Letters in conjunction with the issuance of tax-exempt bonds.
Assistance on early implementation of new GASB Statements.
Assisting in compiling historical financial data for  first-time  submissions  for  GFOA  Certificate  of Achievement for Excellence in Financial Reporting.
Detailed internal control studies and evaluations of accounting systems.

Gregory, Sharer & Stuart, P.A.
Certified  Public Accountants and  Business Consultants

Report on the Firm's System of Quality Control

October 13, 2017

To the Owners ofMcDirmit Davis & Company, LLC
And the Peer Review Committee of the Florida Institute ofCPAs

We have reviewed the system of quality control for the accounting and auditing practice of McDirmit Davis & Company, LLC (the firm) in effect for the year ended June 30, 2017. Our peer review was conducted in accordance with the Standards for Performing and Rep01ting on Peer Reviews established by the Peer Review Board of the American Institute of Certified Public Accountants (Standards).

A summaiy of the nature, objectives, scope, limitations of, and the procedures performed in a System Review as described in the Standards may be found  at www.aicpa.org/prsummary.  The summary  also includes an explanation of how engagements identified as not performed or reported in conformity with applicable professional standards, if any, are evaluated by a peer reviewer to determine a peer review rating.

Firm's Responsibility

The firm is responsible for designing a system of quality control and complying with it to provide the firm with reasonable assurance of performing and rep01ting in conformity with applicable professional standards  in  all material respects. The firm is also responsible for evaluating actions to promptly remediate engagements deemed as not performed or rep01ted in conformity with professional standards, when appropriate, and for remediating weaknesses in its system of quality control, if any.

Peer Reviewer's Responsibility

Our responsibility is to express an opinion on the design of the system of quality control and the firm's compliance therewith based on our review.

Required Selections and Considerations

Engagements selected for review included engagements performed under Government Auditing Standards including a compliance audit under the Single Audit Act and an audit of employee benefit plans.

As a part of our peer revie w, we considered reviews by regulatory entities as communicated by the firm,  if applicable, in determining the nature and extent of our procedures .

Opinion

In our opinion, the system of quality control for the accounting and auditing practice of McDirmit Davis  &  Company, LLC in effect for the year ended June 30, 2017, has been suitably designed and complied with to provide the firm with reasonable assurance of performing and repo1ting in conformity with applicable professional standards in all material respects. Firms can receive a rating of pass, pass with deficiency(ies), or fail. McDirmit Davis & Company, LLC has received a peer review rating of pass.
Greg01y, Sharer & Stuait, P.A.

100 Second Avenue South, Suite 600 I St. Petersburg, Florida 33701-4336
(727) 821-6161  I  Fax (727) 822-4573 I  gsscpa.com I info@gsscpa.com	Page 16

Continuing Education

McDirmit Davis, LLC is committed to the personal and professional growth of its staff. Our firm requires an annual minimum of 40 hours of continuing professional education for each staff member.

Our governmental audit staff complies with the continuing education requirements of the State of Florida, the Governmental Accountability Office (GAO), and Governmental Auditing Standards (Yellow Book). Therefore at least 24 hours during a 2-year period must be in subjects directly related to the government environment and to governmental auditing. Our governmental audit staff always exceed this requirement since they attend each year the Florida Governmental Financial Officer’s Association Annual Conference which provides 22 hours of training in governmental accounting and auditing.

As a result of our governmental experience, our staff has taught classes or lectured
on various topics. We offer "in-house" education courses for our staff, which at times, our clients have attended. In addition, we are available to teach seminars for the benefit of the District's accounting staff.

Information Technology
Our firm has one dedicated Information Technology specialist who has several years’ experience in setting up and administering computer systems and networks of all sizes. In addition, all governmental audit personnel are experienced with various governmental software programs. We utilize automated, paperless auditing software which stores all trial balances and audit workpapers electronically. We also use Data Analysis Software, which enables us to obtain 100% of selected data and test “through your computer system.”

One of the services we provide our clients is CLIENT PORTAL. This is a convenient online storage space in which files can be effortlessly uploaded, downloaded, stored and shared in a safe and secure environment.

Records Retention
Our firm maintains records in accordance with local, state, and Federal Public Records Retention Requirements.

Experience

Resume - Tammy Campbell, CPA
Partner

Education, Certifications, and Licenses
B.S. Degree in Accounting, University of Central Florida
Masters in Taxation, University of Central Florida
CPA, Certified Public Accountant - Florida, 2007

Affiliations and Community Involvement
American Institute of Certified Public Accountants (AICPA)
Florida Institute of Certified Public Accountants (FICPA)
Florida Government Finance Officers Association (FGFOA)
Reviewer for GFOA’s “Certificate of Achievement for Excellence in Financial Reporting” program
Member of the Orange County School Board Audit Advisory Committee

Continuing Professional Education
Tammy has completed over 120 hours of Continuing Professional Education (CPE) in the area of governmental accounting and auditing within the past three years and meets the requirements of Governmental Auditing Standards (the “Yellow Book”). CPE included classes on Single Audits, the Yellow Book, and changes in governmental accounting principles, such as GASBS 67 and 68 on pension plans.

Experience
Tammy has fifteen (15) years of governmental accounting and auditing experience, including municipalities and airport authorities.
Her experience has included planning, fieldwork, and preparation of comprehensive annual financial reports for several governmental audit engagements.
Tammy has worked with all 14 municipalities in the CAFR preparation process, including assisting most cities with obtaining the GFOA Certificate of Achievement.

Governmental Audit Experience (Past 5 years)

	Over 60 Community		
	Development Districts		
	City of Umatilla		Town of Windermere	
	City of Clermont		City of Longwood	
	City of Oviedo		City of Belle Isle	
	City of Lake Mary		City of Winter Springs	
	City of Ocoee		City of Inverness	
	City of Tavares		City of Mascotte	
	City of Orange City		Homosassa Water District	

Resume - Michelle Sorbello, CPA
Audit Manager

Education, Certifications, and Licenses
B.S. Degree in Accounting, University of Central Florida
Masters in Accounting, University of Central Florida
CPA, Certified Public Accountant - Florida

Affiliations and Community Involvement
American Institute of Certified Public Accountants (AICPA)
Florida Institute of Certified Public Accountants (FICPA)
Florida Government Finance Officers Association (FGFOA)

Continuing Professional Education
Michelle has completed over 120 hours of Continuing Professional Education (CPE) in the area of governmental accounting and auditing within the past three years and meets the requirements of Governmental Auditing Standards.

Experience
Michelle has 6 years of governmental accounting and auditing experience.
She has significant experience in the audits of governmental and not-for-profit entities, including those subject to Federal and Florida Single Audit requirements.

Governmental Audit Experience (Past 5 years)

	City of Winter Springs		City of Lake Mary	
	City of Longwood		City of Ocoee	
	City of Inverness		City of Mascotte	
Various Community Development Districts

Resume - Matthew Lee, CPA
Audit Manager

Education, Certifications, and Licenses
Master of Science in Accounting, University of Central Florida
Master of Public Administration, University of Central Florida
B.S. in Public Administration, University of Central Florida
CPA, Certified Public Accountant - Florida
Affiliations and Community Involvement
American Institute of Certified Public Accountants (AICPA)
Florida Institute of Certified Public Accountants (FICPA)
Florida Government Finance Officers Association (FGFOA)

Continuing Professional Education
Matthew has completed over 120 hours of Continuing Professional Education (CPE) in the area of governmental accounting and auditing within the past three years and meets the requirements of Governmental Auditing Standards.

Experience
Matthew has 8 years of governmental accounting and auditing experience.
He has significant experience in the audits of governmental and not-for-profit entities, including those subject to Federal and Florida Single Audit requirements.

Governmental Audit Experience (Past 5 years)

	City of Ocoee		Town of Windermere	
	City of Clermont		City of Longwood	
	City of Oviedo		City of Tavares	
	City of Winter Springs		City of Umatilla	
	Sun ‘N Lake Improvement District		City of Belle Isle	
	Various Community Development Districts			

References of Governmental Accounting Experience

Principal Client Contact	Scope of Work	Years	
			
Sun’n Lake of Sebring Improvement District	
Ms. Tanya Cannady, General Manager.

5306 Sun’n Lake Blvd. Sebring, FL 33872 tcannady@snldistrict.org	□	Annual Financial & Compliance Audit and preparation of Financials	2011 to Present	
Sterling Hill Community Development District	
Ms. Kaitlyn Gallant Rizzetta and Company
Manager, District Accounting Services

12750 Citrus Park Lane Suite 115
Tampa, Florida 33625 kgallant@rizzetta.com	□	Annual Financial & Compliance Audit and preparation of Financials	2007 to 2009
And 2013 to Present	
Meadow Pointe II Community Development District	
Mr. Alan Baldwin Inframark Accounting Manager

210 N. University Drive Suite 702
Coral Springs, Florida 33071 alan.baldwin@inframark.com	□	Annual Financial & Compliance Audit and preparation of Financials	2012 to Present	
Toscana Isles Community Development District	
Mr. Jeffrey Pinder
Wrathell Hunt and Associates Controller

2300 Glades Road Suite 410W
Boca Raton, Florida 33431 pinderj@whhassociates.com	□	Annual Financial & Compliance Audit and preparation of Financials	2015 to Present	
Homosassa Special Water District	
Ms. Teresa Olds, Manager

7922 W. Grover Cleveland Blvd. Homosassa, FL 34448 hswd@tampabay.rr.com	□	Annual Financial & Compliance Audit and preparation of Financials	2007 to Present	

List of 2019 Community Development District Audits:
Asturia Community Development District Bainebridge Community Development District
Beach Road Golf Estates Community Development District Belmont Community Development District
Bexley Community Development District Celebration Community Development District Chapel Creek Community Development District Concorde Estates Community Development District Copperspring Community Development District Dovera Community Development District
Durbin Crossing Community Development District Enterprise Community  Development  District Fiddler’s Creek Community Development District #1 Forest Creek Community Development District Greyhawk Landing Community Development District
Heritage Isle at Viera Community Development District Highlands Community Development District
K-Bar Ranch Community Development District K-Bar Ranch II Community Development District
Meadow Pointe II Community Development District Mediterra Community Development District Mirabella Community Development District
Palm River Community Development District Portofino Springs Community Development District Scenic Highway Community Development District
South Shore Corporate Park Community Development District Southaven Community Development District
Southern Hills Plantation II Community Development District Spring Ridge Community Development District
Sterling Hill Community Development District Suncoast Community Development District Talavera Community Development District
The Crossings at Fleming Island Community Development District The Woodlands Community Development District
Toscana Isles Community Development District Town of Kindred Community Development District Trails Community Development District
Treeline Preserve Community Development District Trout Creek Community Development District University Square Community Development District University Village Community Development District Valencia Water Control District
Venetian Community Development District Watergrass II Community Development District Waterlefe Community Development District Westridge Community Development District Wiregrass Community Development District Wiregrass II Community Development District

Service Approach

Service Approach
Our audit will be segmented as follows:

Phase 1:	Audit Planning
Phase 2:	Evaluation and Testing of Internal Controls Phase 3:	Substantive Testing
Phase 4:	Reporting

Phase 1: Audit Planning
Preliminary planning includes deciding on an overall strategy for the audit, obtaining an understanding of the entity and its environment, including its internal control, making an initial assessment of audit risk  and  materiality, and deciding on the overall timing of the engagement. We will also begin to assemble  our “permanent file,” which consists of copies of organizational charts, District manuals, documents, and financial  and other management systems.

We will meet with staff of the District to obtain an understanding of the flow of transactions through your accounting system. This includes understanding your computer environment in order to comply with the requirements of AU-C 300, Planning an Audit. We will also gather information to identify fraud risks as required by AU-C 240 Consideration of Fraud in a Financial Statement Audit.

We will also perform preliminary analytical procedures and compare trends for the current and at least the two previous years for unusual fluctuations. This will include review of both budget and actual amounts.

During this planning phase, we will ask management and staff at the District to identify areas of higher risk as well as other areas that they want us to focus on during our audit. We will also provide the District with a list of all schedules to be prepared by the District.

Phase 2: Evaluation and Testing of Internal Controls and Compliance

During Phase 2, we will evaluate your control policies and procedures to determine if they  are  functioning properly in significant transaction classes. To gain an understanding of the
procedures in place, and current internal control structure,  we  typically conduct interviews with staff and management involved in the specific transaction class to be tested. We then perform tests of these controls to determine with reasonable assurance  that control  procedures  are functioning as planned and whether further testing will be needed. As part of our tests of controls, we will include tests of compliance with applicable ordinances, and state and federal laws and regulations. In order  to  determine  which ordinances, laws and regulations to test for compliance, we start by reviewing the FICPA Practice Aid Compliance Auditing in Florida. We then evaluate which ordinances, laws and regulations have a direct and material  effect  on the determination of financial statement amounts.  Sample  sizes  are determined    based   upon    our    assessment   of   control   risk    and   may be
judgmental, random, or stratified, depending on the attributes of the population being tested. We  will  select samples from the significant transaction classes  and trace from original documents  through the computer system to the general ledger through the use of Data Analysis Software.

Service Approach - Continued
Phase 2: Evaluation and Testing of Internal Controls and Compliance - Continued
Our control testing includes obtaining an understanding of the computer software used by the District, and tracing sample selections through the system to determine the desired outcomes are being achieved. Our testing of Information Technology includes inquiries of appropriate personnel regarding data backups and access to District files.

After controls have been documented, evaluated and tested, we will finalize the District’s audit plan. Audit programs will be tailored to fit the specifics of the District’s accounting systems.

Phase 3: Substantive Testing
Our year-end fieldwork will focus on verifying balances in accounts. For example, we will confirm cash balances, as well as debt balances with financial institutions. In addition to obtaining audit confirmations, representation letters and attorney letters, we will perform tests on account balances using analytical procedures, recalculation and verification. Our firm uses ProSystem fx Engagement electronic audit software which may allow us to interface with your accounting system and reduce the time required to transfer your accounting data to a separate software package. We believe it is important to use analytical review procedures in this substantive phase of the audit. We compare analytical results to our expectation of what the results should be in order to determine if additional audit procedures are required. Typical analytical procedures include expense variances with previous years and budget amounts, revenue variances with previous years and budgeted amounts.

We will keep the District’s management up to date on the progress of the audit and will discuss preliminary findings and potential problems or opportunities as we encounter them. Our approach to resolving problems encountered is to discuss with the District Manager to make sure our understanding is correct. Our process to produce a meaningful “management letter” is to review results of testing of internal controls, as well as year- end field work and draft recommendations for improvements to be discussed with management.

Phase 4: Reporting
The audit work is reviewed by the engagement partner throughout the engagement. Once the engagement partner review is complete, a second review of the financial statements is performed by the independent reviewer. This second review is required as part of McDirmit Davis’s internal system of quality control and ensures the District receives the best service possible.

We will prepare a draft of the financial statements and then issue the following:

Auditor’s report on financial statements

Report on internal control over financial reporting and on compliance and other matters based  on an audit of financial statements performed in accordance with “Government Auditing Standards”

Management Letter

We will provide technical assistance to the District to meet changes in required disclosures. Once reports have been reviewed by management and approved in final form, we will issue final reports and supply in electronic format.

Cost Proposal

Cost Proposal
We understand the requested services include audits of the District’s financial statements for the year ended September 30, 2020, with the option of four additional annual renewals. The audit will be made in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States.

McDirmit Davis, LLC is duly licensed under Chapter 473, Florida Statutes and is qualified to conduct audits  in the State of Florida and audits in accordance with Government Auditing Standards.

Fees include all services, including but not limited to, meals and lodging, transportation, printing and binding, telephone, fax and copies. Out of pocket expense (if any) related to charges for confirmations will be in addition to the audit fee. Invoices will be submitted as work progresses on each phase of the audit.

  Year Ended		 	Audit Fee	
September 30, 2020	$4,000	
September 30, 2021	$4,000	
September 30, 2022	$4,000	
September 30, 2023	$4,100	
September 30, 2024	$4,100	

SECTION C

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT

PROPOSAL FOR AUDIT SERVICES

PROPOSED BY:

Berger, Toombs, Elam, Gaines & Frank CERTIFIED PUBLIC ACCOUNTANTS, PL

600 Citrus Avenue, Suite 200	(772) 461-6120 Fort Pierce, Florida 34950

CONTACT PERSON:

J. W. Gaines, CPA, Director

DATE OF PROPOSAL:

October 9, 2020

TABLE OF CONTENTS

DESCRIPTION OF SECTION	PAGE

Letter of Transmittal	1-2
Profile of the Proposer
Description and History of Audit Firm	3
Professional Staff Resources	4-5
Ability to Furnish the Required Services	5
Arbitrage Rebate Services	6
Governmental Auditing Experience	7-16
Fee Schedule	17
Scope of Work to be Performed	17
Resumes	18-33
Peer Review Letter	34
Additional Documents Required
Instructions to Proposers	35-36
Evaluation Criteria	37

October 9, 2020

Lake Ashton Community Development District Governmental Management Services, LLC 219 East Livingston Street
Orlando, FL 32801 Dear District Manager:
Thank you very much for the opportunity to present our professional credentials to provide audit services for Lake Ashton Community Development District.

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has assembled a team of governmental and nonprofit specialists second to none to serve our clients. Our firm  has the necessary qualifications and experience to serve as the independent auditors for Lake Ashton Community Development District. We will provide you with top quality, responsive service.

Experience

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a recognized leader in providing services to governmental and nonprofit agencies throughout Florida.  We have  been the independent auditors for a number of local governmental agencies and through our experience in performing their audits, we have been able to increase our audit efficiency and; therefore, reduce costs. We have continually passed this cost savings on to our clients and will continue to do so in the future. As a result of our experience and expertise, we have developed an effective and efficient audit approach designed to meet or exceed the performance specifications in accordance with auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and the standards for financial and compliance audits. We will conduct the audit in accordance with auditing  standards generally accepted in the United States of America; “Government Auditing  Standards” issued by the Comptroller General of the United States; the provisions of the Single Audit Act, Subpart F of Title 2 US Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal  Awards, with minimal disruption to your operations. Our firm has frequent technical updates to keep our personnel informed and up-to-date on all changes that are occurring within the industry.

- 1 -

Lake Ashton Community Development District October 9, 2020

Our firm is a member of the Government Audit Quality Center, an organization dedicated to improving government audit quality. We also utilize the audit program software of a nationally recognized CPA firm to assure us that we are up to date with all auditing standards and to assist us maintain maximum audit efficiencies.

To facilitate your evaluation of our qualifications and experience, we have arranged this proposal to include a resume of our firm, including our available staff, our extensive prior governmental and nonprofit auditing experience and clients to be contacted.

You need a firm that will provide an efficient, cost-effective, high-quality audit within critical time constraints. You need a firm with the prerequisite governmental and nonprofit experience to perform your audit according to stringent legal and regulatory requirements, a firm that understands the complex nature of community development districts and their unique compliance requirements. You need a firm with recognized governmental and nonprofit specialists within the finance and governmental communities. And, certainly, you need a firm that will provide you with valuable feedback to enhance your current and future operations. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is that firm. J. W. Gaines is the person authorized to make representations for the firm.

Thank you again for the opportunity to submit this proposal to Lake Ashton Community Development District.

Very truly yours,

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida

- 2 -

PROFILE OF THE PROPOSER
Description and History of Audit Firm
Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a Treasure Coast public accounting firm, which qualifies as a small business firm, as established by the Small Business Administration (13 CFR 121.38), with offices in Fort Pierce and Stuart. We are a member of the Florida Institute of Certified Public Accountants and the American Institute of Certified Public Accountants. The firm was formed from the merger of Edwards, Berger, Harris & Company (originated in 1972) and McAlpin, Curtis & Associates (originated in 1949). J. W. Gaines and Associates (originated in 1979) merged with the firm in 2004. Our tremendous growth rate experienced over the last 71 years is directly attributable to the firm’s unrelenting dedication to providing the highest quality, responsive professional services attainable to its clients.
We are a member of the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA) to assure we meet the highest standards. Membership in this practice section requires that our firm meet more stringent standards than standard AICPA membership. These rigorous requirements include the requirement of a triennial peer review of our firm’s auditing and accounting practice and annual Continuing Professional Education (CPE) for all accounting staff (whether CPA or non-CPA). For standard AICPA membership, only a quality review is required and only CPAs must meet CPE requirements.
We are also a member of the Government Audit Quality Center (“the Center”) of the American Institute of Certified Public Accountants to assure the quality of our government audits. Membership in the Center, which is voluntary, requires our firm to comply with additional standards to promote the quality of government audits.
We have been extensively involved in serving local government entities with professional accounting, auditing and consulting services throughout the entire 71-year history of our firm. Our substantial experience over the years makes us uniquely qualified to provide accounting, auditing, and consulting services to these clients. We are a recognized leader in providing services to governmental and nonprofit agencies on the Treasure Coast and in Central and South Florida, with extensive experience in auditing community development districts and water control districts. We were the independent auditors of the City of Fort Pierce for over 37 years and currently, we are the independent auditors for St. Lucie County since 2002, and for 38 of the 42 years that the county has been audited by CPA firms. Additionally, we have performed audits of the City of Stuart, the City of Vero Beach, Indian River County and Martin County. We also presently audit over 75 Community Development Districts throughout Florida.
Our firm was founded on the belief that we are better able to respond to our clients needs through education, experience, independence, quality control, and personal service. Our firm’s commitment to quality is reflected in our endeavor of professional excellence via continuing education, the use of the latest computer technology, professional membership in PCPS and peer review.
We believe our approach to audit engagements, intelligence and innovation teamed with sound professional judgment enables us to explore new concepts while remaining sensitive to the fundamental need for practical solutions. We take pride in giving you the assurance that the personal assistance you receive comes from years of advanced training, technical experience and financial acumen.

Professional Staff Resources

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has a total of
32 professional and administrative staff (including 14 professional staff with extensive experience servicing government entities). The work will be performed out of our Fort  Pierce office with a proposed staff of one senior accountant and one or two staff accountants supervised by an audit manager and audit partner. With the exception of the directors of the firm’s offices, the professional staff is not specifically assigned to any of our individual offices. The professional and administrative staff resources available to you through Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL are as follows:
Total
Partners/Directors (CPA’s)	5	
Principals (CPA)	1	
Managers (CPA)	1	
Senior/Supervisor Accountants (2 CPA’s)	3	
Staff Accountants (1 CPA)	9	
Computer Specialist	1	
Paraprofessional	8	
Administrative	  4	
Total – all personnel	32	

Following is a brief description of each employee classification:

Staff Accountant – Staff accountants work directly under the constant supervision of the auditor-in-charge and, are responsible for the various testing of documents, account analysis and any other duties as his/her supervisor believes appropriate. Minimum qualification for a staff accountant is graduation from an accredited university or college with a degree in accounting or equivalent.

Senior Accountant – A senior accountant must possess all the qualifications of the staff accountant, in addition to being able to draft the necessary reports and financial statements, and supervise other staff accountants when necessary.

Managers – A manager must possess the qualifications of the senior accountant, plus be able to work without extensive supervision from the auditor-in-charge. The manager should be able to draft audit reports from start to finish and to supervise the audit team, if necessary.

Principal – A principal is a partner/director in training. He has been a manager for several years and possesses the technical skills to act as the auditor–in-charge. A principal has no financial interest in the firm.

Partner/Director – The director has extensive governmental auditing experience and acts as the auditor-in-charge. Directors have a financial interest in the firm.

Professional Staff Resources (Continued)

Independence – Independence of the public accounting firm, with respect to the audit  client, is the foundation from which the public gains its trust in the opinion issued by the public accounting firm at the end of the audit process. This independence must be in appearance as well as in fact. The public must perceive that the accounting firm is independent of the audit entity to ensure that nothing would compromise the opinion issued by the public accounting firm. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is independent of Lake Ashton Community Development District, including its elected officials and related parties, at the date of this proposal, as defined by the following rules, regulations, and standards:

AuSection 220 – Statements on Auditing Standards issued by the American Institute of Certified Public Accountants;

ET Sections 101 and 102 – Code of Professional Conduct of the American Institute of Certified Public Accountants;

Chapter 21A-1, Florida Administrative Code; Section 473.315, Florida Statutes; and,
Government Auditing Standards, issued by the Comptroller General of the United States.

On an annual basis, all members of the firm are required to confirm, in writing, that they have no personal or financial relationships or holding that would impair their independence with regard to the firm’s clients.

Independence is a hallmark of our profession. We encourage our staff to use professional judgment in situations where our independence could be impaired or the perception of a conflict of interest might exist. In the governmental sector, public perception is as important as professional standards. Therefore, the utmost care must be exercised by independent auditors in the performance of their duties.

Ability to Furnish the Required Services

As previously noted in the Profile of the Proposer section of this document, our firm has been in existence for over 69 years. We have provided audit services to some clients for over 30 years continually. Our firm is insured against physical loss through commercial insurance and we also carry liability insurance.  The majority of our audit documentation is stored electronically, both  on our office network and on each employee laptop or computer assigned to each specific job. Our office computer network is backed up on tape, so in the event of a total equipment loss, we can restore all data as soon as replacement equipment is acquired. In addition, our field laptop computers carry the same data and can be used in the event of emergency with virtually no delay in completing the required services.

ADDITIONAL SERVICES PROVIDED

Arbitrage Rebate Services

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL also provides arbitrage rebate compliance and related services to governmental issuers. The Tax Reform Act of 1986 requires issuers of most tax-exempt obligations to pay (i.e., “rebate”) to the United States government any arbitrage profits. Arbitrage profits are earnings on the investment of bond proceeds and certain other monies in excess of what would have been earned had such monies been invested at a yield equal to the yield on the bonds.

Federal tax law requires that interim rebate calculations and payments are due at the end of every fifth bond year. Final payment is required upon redemption of the bonds. More frequent calculations may be deemed advisable by an issuer’s auditor, trustee or bond counsel or to assure that accurate and current records are available. These more frequent requirements are usually contained in the Arbitrage or Rebate Certificate with respect to the bonds.

Our firm performs a comprehensive rebate analysis and includes the following:

Verifying that the issue is subject to rebate;
Calculating the bond yield;
Identifying, and separately accounting for, all “Gross Proceeds” (as that term is defined in the Code) of the bond issue, including those requiring analysis due to “transferred proceeds” and/or “commingled funds” circumstances;
Determining what general and/or elective options are available to Gross proceeds of the issue;
Calculating the issue’s excess investment earning (rebate liability), if any;
Delivering appropriate documentation to support all calculations;
Providing an executive summary identifying the methodology employed, major assumptions, conclusions, and any other recommendations for changes in recordkeeping and investment policies;
Assisting as necessary in the event of an Internal Revenue Service inquiry; and,
Consulting with issue staff, as necessary, regarding arbitrage related matters.

GOVERNMENTAL AUDITING EXPERIENCE

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has been practicing public accounting in Florida for 69 years. Our success over the years has been the result of a strong commitment to providing personalized quality service to our clients.

The current members of our firm have performed audits of over 900 community development districts, and over 1,800 audits of municipalities, counties and other governmental entities such as the City of Fort Pierce and St. Lucie County.

Our firm provides a variety of accounting, auditing, tax litigation support, and consulting services. Some of the professional accounting, auditing and management consulting services that are provided by our firm are listed below:

Performance of annual financial and compliance audits, including Single Audits of state and federal financial assistance programs, under the provisions of the Single Audit Act, Subpart F of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), with minimal disruptions to your operations;
Performance of special compliance audits to ascertain compliance with the applicable local, state and federal laws and regulations;
Issuance of comfort letters and consent letters in conjunction with the issuance of tax- exempt debt obligations, including compiling financial data and interim period financial statement reviews;
Calculation of estimated and actual federal arbitrage rebates;
Assistance in compiling historical financial data for first-time and supplemental submissions for GFOA Certificate of Achievement for Excellence in Financial Reporting;
Preparation of indirect cost allocation systems in accordance with Federal and State regulatory requirements;
Providing human resource and employee benefit consulting;
Performance of automation feasibility studies and disaster recovery plans;
Performance feasibility studies concerning major fixed asset acquisitions and utility plant expansion plans (including electric, water, pollution control, and sanitation utilities); and
Assistance in litigation, including testimony in civil and criminal court.
Assist clients who utilize QuickBooks software with their software needs. Our Certified QuickBooks Advisor has undergone extensive training through QuickBooks and has passed several exams to attain this Certification.

Continuing Professional Education

All members of the governmental audit staff of our firm, and audit team members assigned to this engagement, are in compliance with the Continuing Professional Education (CPE) requirements set forth in Government Auditing Standards issued by the Comptroller General of the United States. In addition, our firm is in compliance with the applicable provisions of the Florida Statutes that require CPA’s to have met certain CPE requirements prior to proposing on governmental audit engagements.

GOVERNMENTAL AUDITING EXPERIENCE (CONTINUED)

The audit team has extensive experience in performing governmental audits and is exposed to intensive and continuing concentration on these types of audits. Due to the total number of governmental audits our team performs, each member of our governmental staff must understand and be able to perform several types of governmental audits. It is our objective to provide each professional employee fifty hours or more of comprehensive continuing professional education each year. This is accomplished through attending seminars throughout Florida and is reinforced through in-house training.

Our firm has made a steadfast commitment to professional education. Our active attendance and participation in continuing professional education is a major part of our objective to obtain the most recent knowledge on issues which are of importance to our clients. We are growing on the reputation for work that our firm is providing today.

Quality Control Program

Quality control requires continuing commitment to professional excellence. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is formally dedicated to that commitment.

To ensure maintaining the standards of working excellence required by our firm, we joined the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA). To be a participating member firm of this practice section, a firm must obtain an independent Peer Review of its quality control policies and procedures to ascertain the firm’s compliance with existing auditing standards on the applicable engagements.

The scope of the Peer Review is comprehensive in that it specifically reviews the following quality control policies and procedures of the participating firm:

Professional, economic, and administrative independence;
Assignment of professional personnel to engagements;
Consultation on technical matters;
Supervision of engagement personnel;
Hiring and employment of personnel;
Professional development;
Advancement;
Acceptance and continuation of clients; and,
Inspection and review system.

We believe that our commitment to the program is rewarding not only to our firm, but primarily to our clients.

The external independent Peer Review of the elements of our quality control policies and procedures performed by an independent certified public accountant, approved by the PCPS of the AICPA, provides you with the assurance that we continue to conform to standards of the profession in the conduct of our accounting and auditing practice.

GOVERNMENTAL AUDITING EXPERIENCE (CONTINUED)

Our firm is also a member of Governmental Audit Quality Center (GAQC), a voluntary membership center for CPA firms that perform governmental audits. This center promotes the quality of governmental audits.

Our firm has completed successive Peer Reviews. These reviews included a representative sample of our firm’s local governmental auditing engagements. As a result of these reviews,  our firm obtained an unqualified opinion on our quality control program and work procedures. On page 31 is a copy of our most recent Peer Review report. It should be noted that we received a pass rating.

Our firm has never had any disciplinary actions by state regulatory bodies or professional organizations.

As our firm performs approximately one hundred fifty audits each year that are reviewed by federal, state or local entities, we are constantly dealing with questions from these entities about our audits. We are pleased to say that any questions that have been raised were minor issues and were easily resolved without re-issuing any reports.

Certificate of Achievement for Excellence in Financial Reporting (CAFR)

We are proud and honored to have been involved with the City of Fort Pierce and the Fort Pierce Utilities Authority when they received their first Certificates of Achievement for Excellence in Financial Reporting for the fiscal years ended September 30, 1988 and 1994, respectively. We were also instrumental in the City of Stuart receiving the award, in our first  year of performing their audit, for the year ended September 30, 1999.

We also assisted St. Lucie County, Florida for the year ended September 30, 2003, in preparing their first Comprehensive Annual Financial Report, and St. Lucie County has received their Certificate of Achievement for Excellence in Financial Reporting every year since.

As continued commitment to insuring that we are providing the highest level of experience, we have had at least one employee of our firm serve on the GFOA – Special Review Committee since the mid-1980s. This committee is made up of selective Certified Public Accountants throughout the United States who have demonstrated their high level of knowledge and expertise in governmental accounting. Each committee member attends a special review meeting at the Annual GFOA Conference. At this meeting, the committee reports on the Certificate of Achievement Program’s most recent results, future goals, and common reporting deficiencies.

We feel that our previous experience in assisting the City of Fort Pierce, the Fort Pierce Utilities Authority and St. Lucie County obtain their first CAFRs, and the City of Stuart in continuing to receive a CAFR and our firm’s continued involvement with the GFOA, and the CAFR review committee make us a valued asset for any client in the field of governmental financial reporting.

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

References

Terracina Community Development	Gateway Community Development District		District
Jeff Walker, Special District Services	Stephen Bloom, Severn Trent Management (561) 630-4922	(954) 753-5841

The Reserve Community Development District	Port of the Islands Community Development
District
Darrin Mossing, Governmental Management	Cal Teague, Premier District Management Services LLC
(407) 841-5524	(239) 690-7100 ext 101

In addition to the above, we have the following additional governmental audit experience: Community Development Districts
Aberdeen Community Development	Beacon Lakes Community District		Development District

Alta Lakes Community Development	Beaumont Community Development District		District

Amelia Concourse Community	Bella Collina Community Development
Development District	District

Amelia Walk Communnity	Bonnet Creek Community
Development District	Development District

Aqua One Community Development	Buckeye Park Community District		Development District

Arborwood Community Development	Candler Hills East Community District		Development District

Arlington Ridge Community	Cedar Hammock Community
Development District	Development District

Bartram Springs Community	Central Lake Community
Development District	Development District

Baytree Community Development	Channing Park Community
District	Development District

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

Cheval West Community	Evergreen Community Development
Development District	District

Coconut Cay Community	Forest Brooke Community Development District		Development District

Colonial Country Club Community	Gateway Services Community
Development District	Development District

Connerton West Community	Gramercy Farms Community
Development District	Development District

Copperstone Community	Greenway Improvement District Development District

Creekside @ Twin Creeks Community	Greyhawk Landing Community Development District		Development District

Deer Run Community Development	Griffin Lakes Community Development District		District

Dowden West Community	Habitat Community Development
Development District	District

DP1 Community Development	Harbor Bay Community Development
District	District

Eagle Point Community Development	Harbourage at Braden River District		Community  Development District

East Nassau Stewardship District	Harmony  Community Development
District
Eastlake Oaks Community
Development District	Harmony West Community Development District
Easton Park Community Development
District	Harrison Ranch Community
Development District
Estancia @ Wiregrass Community
Development District	Hawkstone Community Development District

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

Heritage Harbor Community	Madeira Community Development
Development District	District

Heritage Isles Community	Marhsall Creek Community
Development District	Development District

Heritage Lake Park Community	Meadow Pointe IV Community
Development District	Development District

Heritage Landing Community	Meadow View at Twin Creek
Development District	Community Development District

Heritage Palms Community	Mediterra North Community
Development District	Development District

Heron Isles Community	Midtown Miami Community
Development District	Development District

Heron Isles Community Development	Mira Lago West Community District		Development District

Highland Meadows II Community	Montecito Community
Development District	Development District

Julington Creek Community	Narcoossee Community
Development District	Development District

Laguna Lakes Community	Naturewalk Community
Development District	Development District

Lake Bernadette Community	New Port Tampa Bay Community
Development District	Development District

Lakeside Plantation Community	Overoaks Community Development
Development District	District

Landings at Miami Community	Panther Trace II Community
Development District	Development District

Legends Bay Community	Paseo Community Development
Development District	District

Lexington Oaks Community	Pine Ridge Plantation Community
Development District	Development District

Live Oak No. 2 Community	Piney Z Community Development
Development District	District

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)
Poinciana Community	Sampson Creek Community
Development District	Development District

Poinciana West Community	San Simeon Community
Development District	Development District

Port of the Islands Community	Six Mile Creek Community
Development District	Development District

Portofino Isles Community	South Village Community
Development District	Development District

Quarry Community Development	Southern Hills Plantation I
District	Community Development District

Renaissance Commons Community	Southern Hills Plantation III Development District		Community Development District

Reserve Community	South Fork Community
Development District	Development District

Reserve #2 Community	St. John's Forest Community
Development District	Development District

River Glen Community	Stoneybrook South Community
Development District	Development District

River Hall Community	Stoneybrook South at ChampionsGate
Development District	Community Development District

River Place on the St. Lucie	Stoneybrook West Community
Community Development District	Development District

Rivers Edge Community	Tern Bay Community
Development District	Development District

Riverwood Community	Terracina Community Development
Development District	District

Riverwood Estates Community	Tison's Landing Community
Development District	Development District

Rolling Hills Community	TPOST Community Development
Development District	District

Rolling Oaks Community Development District

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

Triple Creek Community	Vizcaya in Kendall
Development District	Development District

TSR Community Development	Waterset North Community
District	Development District

Turnbull Creek Community	Westside Community Development
Development District	District

Twin Creeks North Community	WildBlue Community Development
Development District	District

Urban Orlando Community	Willow Creek Community
Development District	Development District

Verano #2 Community	Willow Hammock Community
Development District	Development District

Viera East Community	Winston Trails Community
Development District	Development District

VillaMar Community	Zephyr Ridge Community
Development District	Development District

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

Other Governmental Organizations

City of Westlake

Florida Inland Navigation District Fort Pierce Farms Water Control
District

Indian River Regional Crime Laboratory, District 19, Florida

Viera Stewardship District

Office of the Medical Examiner, District 19

Rupert J. Smith Law Library of St. Lucie County
St. Lucie Education Foundation Seminole Improvement District Troup Indiantown Water
Control District

Current or Recent Single Audits,

St. Lucie County, Florida Early Learning Coalition, Inc.
Treasure Coast Food Bank, Inc.

Gateway Services Community Development Disrict

Members of our audit team have acquired extensive experience from performing or participating in over 2,100 audits of governments, independent special taxing districts, school boards, and other agencies that receive public money and utilize fund accounting.

Much of our firm’s auditing experience is with compliance auditing, which is required for publicly financed agencies. In this type of audit, we do a financial examination and also confirm compliance with various statutory and regulatory guidelines.

Following is a summary of our other experience, including Auditor General experience, as it pertains to other governmental and fund accounting audits.

Counties
(Includes elected constitutional officers, utilities and dependent taxing districts)

Indian River Martin Okeechobee Palm Beach

Municipalities

City of Port St. Lucie City of Vero Beach Town of Orchid

GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED)

Special Districts

Bannon Lakes Community Development District Boggy Creek Community Development District Capron Trail Community Development District Celebration Pointe Community Development District Coquina Water Control District
Diamond Hill Community Development District Dovera Community Development District
Durbin Crossing Community Development District Golden Lakes Community Development District Lakewood Ranch Community Development District Martin Soil and Water Conservation District Meadow Pointe III Community Development District Myrtle Creek Community Development District
St. Lucie County – Fort Pierce Fire District The Crossings at Fleming Island
St. Lucie West Services District
Indian River County Mosquito Control District St. John’s Water Control District
Westchase and Westchase East Community Development Districts Pier Park Community Development District
Verandahs Community Development District Magnolia Park Community Development District

Schools and Colleges

Federal Student Aid Programs – Indian River Community College Indian River Community College
Okeechobee County District School Board St. Lucie County District School Board

State and County Agencies

Central Florida Foreign-Trade Zone, Inc. (a nonprofit organization affiliated with the St. Lucie County Board of County Commissioners)
Florida School for Boys at Okeechobee
Indian River Community College Crime Laboratory Indian River Correctional Institution

FEE SCHEDULE

We propose the fee for our audit services described below to be $3,750 for the years ended September 30, 2020, 2021, and 2022, and $3,930 for the years ended September 30, 2023 and 2024. The fee is contingent upon the financial records and accounting systems of Lake Ashton Community Development District being “audit ready” and the financial activity for the District is not materially increased. If we discover that additional preparation work or subsidiary schedules are needed, we will consult with your authorized representative. We can assist with this additional work at our standard rates should you desire.

SCOPE OF WORK TO BE PERFORMED

If selected as the District's auditors, we will perform a financial and compliance audit in accordance with Section 11.45, Florida Statutes, in order to express an opinion on an annual basis on the financial statements of Lake Ashton Community Development District as of September 30, 2020, 2021, 2022, 2023, and 2024. The audits will be performed to the extent necessary to express an opinion on the fairness in all material respects with which the financial statements present the financial position, results of operations and changes in financial position in conformity with generally accepted accounting principles and to determine whether, for selected transactions, operations are properly conducted in accordance with legal and regulatory requirements. Reportable conditions that are also material weaknesses shall be identified as such in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters. Other (non-reportable) conditions discovered during the course of the audit will be reported in a separate letter to management, which will be referred to in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters.

Our audit will be performed in accordance with standards for financial and compliance audits contained in Government Auditing Standards, as well as in compliance with rules and regulations of audits of special districts  as  set  forth  by  the  State  Auditor  General  in Chapter 10.550, Local Governmental Entity Audits, and other relevant federal, state and county orders, statutes, ordinances, charter, resolutions, bond covenants, Administrative Code and procedures, or rules and regulations which may pertain to the work required in the engagement.

The primary purpose of our audit will be to express an opinion on the financial statements discussed above. It should be noted that such audits are subject to the inherent risk that errors or irregularities may not be detected. However, if conditions are discovered which lead to the belief that material errors, defalcations or other irregularities may exist or if other circumstances are encountered that require extended services, we will promptly notify the appropriate individual.

Commitment to Quality Service

Personnel Qualifications and Experience

J. W. Gaines, CPA, CITP
Director – 41 years

Education
Stetson University, B.B.A. – Accounting

Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy
Certified Information Technology Professional (CITP) – American Institute of Certified Public Accountants

Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Affiliate member Government Finance Officers Association
Past President, Vice President-Campaign Chairman, Vice President and Board Member of United Way of St. Lucie County, 1989 - 1994
Past President, President Elect, Secretary and Treasurer of the Treasure Coast Chapter of the Florida Institute of Certified Public Accountants, 1988 - 1991
Past President of Ft. Pierce Kiwanis Club, 1994 - 95, Member/Board Member since 1982
Past President, Vice President and Treasurer of St. Lucie County Chapter of the American Cancer Society, 1980 -1986
Member of the St. Lucie County Chamber of Commerce, Member Board of Directors, Treasurer, September 2002 - 2006, Chairman Elect 2007, Chairman 2008, Past Chairman
2009
Member Lawnwood Regional Medical Center Board of Trustees, 2000 – Present, Chairman 2013 - Present
Member of St. Lucie County Citizens Budget Committee, 2001 – 2002
Member of Ft. Pierce Citizens Budget Advisory Committee, 2010 – 2011
Member of Ft. Pierce Civil Service Appeals Board, 2013 - Present

Professional Experience
Miles Grant Development/Country Club – Stuart, Florida, July 1975 – October 1976
State Auditor General’s Office – Public Accounts Auditor – November 1976 through September 1979
Director - Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for numerous government and nonprofit audits.
Over 30 years experience in all phases of public accounting and auditing experience, with a concentration in financial and compliance audits. Mr. Gaines has been involved in all  phases of the audits listed on the preceding pages.

Commitment to Quality Service

Personnel Qualifications and Experience

J. W. Gaines, CPA, CITP (Continued)
Director

Continuing Professional Education
Has participated in numerous continuing professional education courses provided by nationally recognized sponsors over the last two years to keep abreast of the latest developments in accounting and auditing such as:
Governmental Accounting Report and Audit Update Analytical Procedures, FICPA
Annual Update for Accountants and Auditors Single Audit Sampling and Other Considerations

Commitment to Quality Service

Personnel Qualifications and Experience

David S. McGuire, CPA, CITP Accounting and Audit Principal – 12 years Accounting and Audit Manager – 4 years Staff Accountant	– 11 years

Education
University of Central Florida, B.A. – Accounting
Barry University – Master of Professional Accountancy

Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy
Certified Information Technology Professional (CITP) – American Institute of Certified Public Accountants
Certified Not-For-Profit Core Concepts 2018

Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Associate Member, Florida Government Finance Office Associates
Assistant Coach – St. Lucie County Youth Football Organization (1994 – 2005)
Assistant Coach – Greater Port St. Lucie Football League, Inc. (2006 – 2010)
Board Member – Greater Port St. Lucie Football League, Inc. (2011 – present)
Treasurer, AIDS Research and Treatment Center of the Treasure Coast, Inc. (2000 – 2003)
Board Member/Treasurer, North Treasure Coast Chapter, American Red Cross (2004 – 2010)
Member/Board Member of Port St. Lucie Kiwanis (1994 – 2001)
President (2014/15) of Sunrise Kiwanis of Fort Pierce (2004 – present)
St. Lucie District School Board Superintendent Search Committee (2013 – present)

Professional Experience
Twenty-four years public accounting experience with an emphasis on nonprofit and governmental organizations.
Audit Manager in-charge on a variety of audit and review engagements within several industries, including the following government and nonprofit organizations:
St. Lucie County, Florida
19th Circuit Office of Medical Examiner Troup Indiantown Water Control District
Exchange Club Center for the Prevention of Child Abuse, Inc. Healthy Kids of St. Lucie County
Mustard Seed Ministries of Ft. Pierce, Inc. Reaching Our Community Kids, Inc.
Reaching Our Community Kids - South
St. Lucie County Education Foundation, Inc. Treasure Coast Food Bank, Inc.
North Springs Improvement District
Four years of service in the United States Air Force in computer operations, with a top  secret (SCI/SBI) security clearance.

Commitment to Quality Service

Personnel Qualifications and Experience

David S. McGuire, CPA, CITP (Continued)
Accounting and Audit Principal

Continuing Professional Education
Mr. McGuire has attended numerous continuing professional education courses and seminars taught by nationally recognized sponsors in the accounting auditing and single audit compliance areas. He has attended courses over the last two years in those areas as follows:
Not-for-Profit Auditing Financial Results and Compliance Requirements Update: Government Accounting Reporting and Auditing
Annual Update for Accountants and Auditors

Commitment to Quality Service

Personnel Qualifications and Experience

David F. Haughton, CPA
Accounting and Audit Manager – 30 years

Education
Stetson University, B.B.A. – Accounting

Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy

Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Former Member of Florida Institute of Certified Public Accountants Committee on State and Local Government
Affiliate Member Government Finance Officers Association (GFOA) for over 10 years
Affiliate Member Florida Government Finance Officers Association (FGFOA) for over 10 years
Technical Review – 1997 FICPA Course on State and Local Governments in Florida
Board of Directors – Kiwanis of Ft. Pierce, Treasurer – 1994-1999; Vice President – 1999- 2001

Professional Experience
Twenty-seven years public accounting experience with an emphasis on governmental and nonprofit organizations.
State Auditor General’s Office – West Palm Beach, Staff Auditor, June 1985 to September 1985
Accounting and Audit Manager of Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for audit and accounting services including governmental and not-for-profit audits.
Over 20 years of public accounting and governmental experience, specializing in governmental and nonprofit organizations with concentration in special districts, including Community Development Districts which provide services including water and sewer utilities. Governmental and non-profit entities served include the following:

Counties:
St. Lucie County

Municipalities: City of Fort Pierce City of Stuart

Commitment to Quality Service

Personnel Qualifications and Experience

David F. Haughton, CPA (Continued)
Accounting and Audit Manager

Professional Experience (Continued) Special Districts:
Bluewaters Community Development District
Country Club of Mount Dora Community Development District Fiddler’s Creek Community Development District #1 and #2 Indigo Community Development District
North Springs Improvement District
Renaissance Commons Community Development District St. Lucie West Services District
Stoneybrook Community Development District Summerville Community Development District Terracina Community Development District Thousand Oaks Community Development District Tree Island Estates Community Development District Valencia Acres Community Development District

Non-Profits:
The Dunbar Center, Inc.
Hibiscus Children’s Foundation, Inc. Hope Rural School, Inc.
Maritime and Yachting Museum of Florida, Inc. Tykes and Teens, Inc.
United Way of Martin County, Inc.
Workforce Development Board of the Treasure Coast, Inc.
While with the Auditor General’s Office he was on the staff for the state audits of the Martin County School District and Okeechobee County School District.
During 1997 he performed a technical review of the Florida Institute of Certified Public Accountants state CPE course on Audits of State and Local Governments in Florida. His comments were well received by the author and were utilized in future updates to the course.
Continuing Professional Education
During the past several years, he has participated in numerous professional development training programs sponsored by the AICPA and FICPA, including state conferences on special districts and governmental auditing in Florida. He averages in excess of 100 hours bi-annually of advanced training which exceeds the 80 hours required in accordance with the continuing professional education requirements of the Florida State Board of accountancy and the AICPA Private Companies Practice Section. He has over 75 hours of governmental CPE credit within the past two years.

Commitment to Quality Service

Personnel Qualifications and Experience

Matthew Gonano, CPA
Senior Staff Accountant – 10 years

Education
University of North Florida, B.B.A. – Accounting
University of Alicante, Spain – International Business
Florida Atlantic University – Masters of Accounting

Professional Affiliations/Community Service

American Institute of Certified Public Accountants
Florida Institute of Certified Public Accountants

Professional Experience

Senior Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.
Performed audits of nonprofit and governmental organizations in accordance with Governmental Accounting Auditing Standards (GAAS)
Performed Single Audits of nonprofit organizations in accordance with OMB Circular A-133, Audits of State, Local Governments, and Non-Profit Organizations.

Continuing Professional Education
Mr. Gonano has participated in numerous continuing professional education courses.

Commitment to Quality Service

Personnel Qualifications and Experience

Paul Daly
Staff Accountant – 9 years

Education
Florida Atlantic University, B.S. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Working to attain the requirements to take the Certified Public Accounting (CPA) exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Melissa Marlin
Senior Staff Accountant – 7 years

Education
Indian River State College, A.A. – Accounting
Florida Atlantic University, B.B.A. – Accounting

Professional Experience
Staff accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mrs. Marlin participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Mrs. Marlin is currently studying to pass the CPA exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Bryan Snyder
Staff Accountant – 5 years

Education
Florida Atlantic University, B.B.A. – Accounting

Professional Experience
Accountant beginning his professional auditing career with Berger, Toombs, Elam, Gaines, & Frank.
Mr. Snyder is gaining experience auditing governmental & nonprofit entities.

Continuing Professional Education
Mr. Snyder participates in numerous continuing education courses and plans on working to acquire his CPA certificate.
Mr. Snyder is currently studying to pass the CPA exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Maritza Stonebraker
Staff Accountant – 4 years

Education
Indian River State College, B.S.A. – Accounting

Professional Experience
Staff Accountant beginning her professional auditing career with Berger, Toombs, Elam, Gaines, & Frank.

Continuing Professional Education
Mrs. Stonebraker participates in numerous continuing education courses and plans on acquiring her CPA.
Mrs. Stonebraker is currently studying to pass the CPA exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Jonathan Herman, CPA
Senior Staff Accountant – 7 years

Education
University of Central Florida, B.S. – Accounting
Florida Atlantic University, MACC

Professional Experience
Accounting graduate with five years experience with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mr. Herman participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Commitment to Quality Service

Personnel Qualifications and Experience

Sean Stanton, CPA
Staff Accountant – 4 years

Education
University of South Florida, B.S. – Accounting
Florida Atlantic University, M.B.A. – Accounting

Professional Experience
Staff accountant with Berger, Toombs, Elam, Gaines, & Frank auditing governmental and non-profit entities.

Continuing Professional Education
Mr. Stanton participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Commitment to Quality Service

Personnel Qualifications and Experience

Taylor Nuccio
Staff Accountant – 3 years

Education
Indian River State College, B.S.A. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Ms. Nuccio participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Ms. Nuccio is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Kirk Vasser
Staff Accountant – 1 year

Education
Indian River State College, B.S.A. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mr. Vasser participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Mr. Vasser is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

Commitment to Quality Service

Personnel Qualifications and Experience

Madison Ballash
Staff Accountant – 1 year

Education
Indian River State College, B.S.A. – Accounting (May 2020)

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Ms. Ballash participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Ms. Ballash is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT REQUEST FOR PROPOSALS

District Auditing Services for Fiscal Year 2020
City of Lake Wales, Polk County, Florida

INSTRUCTIONS TO PROPOSERS

SECTION 1. DUE DATE. Sealed proposals must be received no later than Friday, October 9, 2020 at 5:00 p.m., at the offices of Governmental Management Services – Central Florida, LLC, Attn: Jill Burns, District Manager, 219 East Livingston Street, Orlando, Florida 32801. Proposals will be publicly opened at that time.

SECTION 2. FAMILIARITY WITH THE LAW. By submitting a proposal, the Proposer is assumed to be familiar with all federal, state, and local laws, ordinances, rules and regulations that in any manner affect the work. Ignorance on the part of the Proposer will in no way relieve it from responsibility to perform the work covered by the proposal in compliance with all such laws, ordinances and regulations.

SECTION 3. QUALIFICATIONS OF PROPOSER. The contract, if awarded, will only be awarded to a responsible Proposer who is qualified by experience and licensing to do the work specified herein. The Proposer shall submit with its proposal satisfactory evidence of experience in similar work and show that it is fully prepared to complete the work to the satisfaction of the District.

SECTION 4. SUBMISSION OF ONLY ONE PROPOSAL. Proposers shall be
disqualified, and their proposals rejected if the District has reason to believe that collusion may exist among the Proposers, the Proposer has defaulted on any previous contract or is in arrears on any previous or existing contract, or for failure to demonstrate proper licensure and business organization.

SECTION 5. SUBMISSION OF PROPOSAL. Submit one (1) original hard copy and one
electronic copy of the Proposal Documents, and other requested attachments, at the time and place indicated herein, which shall be enclosed in an opaque sealed envelope, marked with the title “Auditing Services – Lake Ashton Community Development District” on the face of it.

SECTION 6. MODIFICATION AND WITHDRAWAL. Proposals may be modified or withdrawn by an appropriate document duly executed and delivered to the place where proposals are to be submitted at any time prior to the time and date the proposals are due. No proposal may be withdrawn after opening for a period of ninety (90) days.

SECTION 7. PROPOSAL DOCUMENTS. The proposal documents shall consist of the notice announcing the request for proposals, these instructions, the Evaluation Criteria Sheet and a proposal with all required documentation pursuant to Section 12 of these instructions (the “Proposal Documents”).

SECTION 8. PROPOSAL. In making its proposal, each Proposer represents that it has read and understands the Proposal Documents and that the proposal is made in accordance therewith.

SECTION 9. BASIS OF AWARD/RIGHT TO REJECT. The District reserves the right to reject any and all proposals, make modifications to the work, and waive any informalities or irregularities in proposals as it is deemed in the best interests of the District.

SECTION 10. CONTRACT AWARD. Within fourteen (14) days of receipt of the Notice of Award from the District, the Proposer shall enter into and execute a Contract (engagement letter) with the District.

SECTION 11. LIMITATION OF LIABILITY. Nothing herein shall be construed as or constitute a waiver of District’s limited waiver of liability contained in Section 768.28, Florida Statutes, or any other statute or law.

SECTION 12. MISCELLANEOUS. All proposals shall include the following information in addition to any other requirements of the proposal documents.

List position or title of all personnel to perform work on the District audit.  Include résumés for each person listed; list years of experience in present position for each party listed and years of related experience.

Describe proposed staffing levels, including résumés with applicable certifications.

Three references from projects of similar size and scope. The Proposer should include information relating to the work it conducted for each reference as well as a name, address and phone number of a contact person.

The lump sum cost of the provision of the services under the proposal for Fiscal Year 2020, plus the lump sum cost of four (4) annual renewals.

Provide a proposed schedule for performance of the audit.

SECTION 13. PROTESTS. In accordance with the District’s Rules of Procedure, any protest regarding the Proposal Documents, must be filed in writing, at the offices of the District Manager, within seventy-two (72) calendar hours (excluding Saturday, Sunday, and state holidays) after the receipt of the Proposal Documents. The formal protest setting forth with particularity the facts and law upon which the protest is based shall be filed within seven (7) calendar days (including Saturday, Sunday, and state holidays) after the initial notice of protest was filed. Failure to timely file a notice of protest or failure to timely file a formal written protest shall constitute a waiver of any right to object or protest with respect to the aforesaid Proposal Documents.

SECTION 14. EVALUATION OF PROPOSALS. The criteria to be used in the evaluation of proposals are presented in the Evaluation Criteria Sheet, contained within the Proposal Documents.

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT AUDITOR SELECTION
EVALUATION CRITERIA

Ability of Personnel.	(20 Points)

(E.g., geographic location of the firm’s headquarters or permanent office in relation to the project; capabilities and experience of key personnel; present ability to manage this project; evaluation of existing workload; proposed staffing levels, etc.)

Proposer’s Experience.	(20 Points)

(E.g. past record and experience of the Proposer in similar projects; volume of work previously performed by the firm; past performance for other community development districts in other contracts; character, integrity, reputation of Proposer, etc.)

Understanding of Scope of Work.	(20 Points)

Extent to which the proposal demonstrates an understanding of the District’s needs for the services requested.

Ability to Furnish the Required Services.	(20 Points)

Extent to which the proposal demonstrates the adequacy of Proposer’s financial resources and stability as a business entity necessary to complete the services required.

Price.	(20 Points)

Points will be awarded based upon the lowest total proposal for rendering the services and the reasonableness of the proposal.

TOTAL	(100 Points)

Lake Ashton CDD Auditor Selection	
	
Ability of Personnel (20 pts)	
Proposer's Experience (20 pts)	
Understading of Scope of Work (20 pts)	
Ability to Furnish the Required Services (20 pts)	

Price (20 pts)	
Total Points Earned	
Ranking
(1 being highest)	

2020- $4,000			
					2021- $4,100			
					2022- $4,200			
					2023- $4,300			
Grau & Associates					2024- $4,400			

2020- $4,000			
					2021- $4,000			
					2022- $4,000			
					2023- $4,100			
McDirmit Davis					2024- $4,100			

2020- $3,750			
					2021- $3,750			
					2022- $3,750			
Berger, Toombs, Elam, Gaines &					2023- $3,930			
Frank					2024- $3,930			

BOS Meeting

M INUTES

BOS Meeting

MINUTES OF MEETING LAKE ASHTON I
COMMUNITY DEVELOPMENT DISTRICT

A communications media technology meeting of the Board of Supervisors of the Lake Ashton Community Development District was held on Monday, September 21, 2020 at 10:30 a.m. via Zoom video conferencing, in accordance with the Office of the Governor, Executive Orders 20-52 and 20-69, due to the COVID-19 virus.

Present and constituting a quorum were:

Mike Costello	Chairman
Robert “Bob” Plummer	Assistant Secretary
Bob Ference	Assistant Secretary
Harry Krumrie	Assistant Secretary Also present were:
Jill Burns	District Manager, GMS
Jan Carpenter	District Counsel
Molly Magiano	District Counsel
Christine Wells	Community Director
Alan Rayl	District Engineer
Matt Fisher	Field Manager
Residents

FIRST ORDER OF BUSINESS	Roll Call and Pledge of Allegiance
Ms. Burns called the meeting to order at 10:34 a.m., called the roll, and the pledge of allegiance was recited. Four supervisors were present at roll call.

SECOND ORDER OF BUSINESS	Approval of Meeting Agenda
Ms. Burns: Did the Board have any additions to the agenda? Hearing none,

On MOTION by Mr. Ference seconded by Mr. Costello, with all in favor, the Meeting Agenda, was approved.

September 21, 2020	Lake Ashton CDD

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)
Ms. Burns: This public comment period is for any comments on specific agenda items. We have the public comments portion at the end for anything not on the agenda. I received one public comment that was sent to me ahead of time that was asked to be read. The comment is from Maxine Ritter, I will read that comment for her at the end of the meeting.
Resident (Steve Realmuto): My comments are mostly on the restaurant. I would like to first thank Supervisor Krumrie for the time he spent on this and he did a fairly thorough analysis of the restaurant proposers. There seem to be some valid concerns about our ability to meet the revenue projections, given the expenses Metz is proposing in these challenging times. In the times of COVID, our biggest challenge with a new restaurant coming in is going to be the number of people and therefore the revenue that a restaurant will bring in. Metz is very capable and would provide us with very good service, the question is can we realistically expect to obtain the revenue that is need to keep that high level of service. I realize the Supervisors have not discussed this yet, I just wanted to remind you not to be rash with any yes/no decisions, and perhaps think out of the box. It might not be a time to rush forward and go all in, because of the challenges we face. Perhaps we could invite Metz to come into the community to cater a meal to get a better feel for how they operate before diving all in. There are other ideas we could do, similar to the food trucks and local restaurants. I’m trying to think of ideas that would delay going all in with the rather large expenses that are necessary to make the restaurant successful. This might not be the time to start it. One other comment on the bridges, I believe the Supervisors wisely chose last month to delay any repairs involving purchasing wood because the cost of wood had gone up so much. I do believe that we should apply a preservative to the bridges that would help increase the life of the existing wood bridges. It’s a low cost item that I would like to see the Board consider.
Mr. Krumrie: The Metz corporation wants to get in on the Zoom call.
Ms. Burns: I will look for them on the Zoom call and add them to our meeting.

September 21, 2020	Lake Ashton CDD

Resident (Debbie): I agree with Steve, I don’t think we should rush into anything. We really need to have success with the restaurant. My other comment is about the Bingo contract under Section 8. People are wondering if this means that Bingo is going to start. I am also wondering, if the contract is effective starting October does that mean they are going to pay rent regardless of if they meet or not? When we do start Bingo back, I would like to see the Supervisors consider a clause, that Bingo participants are not allowed to bring in outside food or beverages other than water, and that Bingo shall not provide or sell any food or drinks of any kind.
Ms. Burns: At this time, I will read Maxine Ritter’s comment that she emailed to me. It states, “Why are the minutes of the prior CDD meetings not being posted to the Lake Ashton CDD website? The last minutes posted are 5/18/2020. Is not the posting of minutes some type of legal requirement? Also, on 6/26/20 Mike Costello and Jim Mecsic sent out an email advising that the CDD would take action if any residents tested positive for COVID19. Residents were to advise the CDD of any positive virus tests. Notices to the community were to be sent out. No further emails on this subject have been received, giving, I believe, a false sense that no cases of COVID19 had come into the attention of the CDD and the community was relatively virus free. Since we were assured that the board was on top of the this and that the community would be notified, and subsequently no notice had been received, it was logical for the community as a whole to feel that we were relatively safe to go to the pool and the food trucks and such, while practicing safe protocols. Imagine my surprise when I heard that one of our board members was reported to have tested positive recently. No notices have been sent. I don’t need to know who has the virus, but if the CDD is indeed compiling this information, a general email blast that we ten cases, or a hundred, or a thousand would be helpful in assessing the risks and in protecting the residents who are at risk. If the CDD is no longer monitoring the virus numbers or contact information, please let the community know!! If the CDD is monitoring the virus information, what are you doing with it? Thank you, Maxine Ritter.”
Mr. Costello: Was there a comment in there that one of our Board members tested positive?
Ms. Burns: I don’t think you should respond to that.

September 21, 2020	Lake Ashton CDD

Ms. Carpenter: We don’t have information about that or have authority on who is reporting that.
Ms. Burns: I did write a response to Ms. Ritter to clarify that the CDD is not gathering COVID information. We are notifying residents should we be made aware that somebody tested positive who has utilized the amenity facilities within the community. That is the extent of our notification. To this point, we do not have any cases that were reported to the CDD where a resident has utilized the facilities within 14 days and then tested positive.

FOURTH ORDER OF BUSINESS	Approval of the Minutes of the August
17,	2020	Board	of	Supervisors Meeting
Ms. Burns: Did the Board have any questions, comments, or corrections to the August 17, 2020 Board of Supervisor meeting minutes? Hearing none,

On MOTION by Mr. Krumrie seconded by Mr. Ference with all in favor, the Minutes of the August 17, 2020 Board of Supervisor meeting, were approved.

FIFTH ORDER OF BUSINESS	Unfinished Business
Ms. Burns: There being none, the next item followed.

SIXTH ORDER OF BUSINESS	New Business/Supervisors Requests
Public Hearing
Public Hearing on the Adoption of Revised Golf Course User Fees and Rates
Ms. Burns: If you remember at our previous meeting, we set the public hearing for today September 21, 2020. Lake Ashton II per the lease agreement set the rates at a prior meeting. Administratively, because the golf course lies in both counties, this Board needs to adopt those rates as well. The advertisement for the public hearing was placed in the paper. At this time, I would ask for a motion to open the public hearing.

On MOTION by Mr. Costello seconded by Mr. Plummer with all in favor, Opening the Public Hearing, was approved.

September 21, 2020	Lake Ashton CDD

Ms. Burns: At this time I will open the meeting up for any public comments on the golf course user fees and rates. Hearing no public comments and seeing no hands raised on the Zoom call, I will ask for a motion to close the public hearing.

On MOTION by Mr. Costello seconded by Mr. Plummer with all in favor, Closing the Public Hearing, was approved.

Consideration of Resolution 2020-11 Adopting the Revised Golf Course User Fees and Rates
Ms. Burns: The rates are attached as Exhibit ‘A’ in your agenda package under Resolution 2020-11. I would be glad to answer any questions that the Board has.
Mr. Krumrie: In addition to the fees and the rates, are we also approving the Revised Amenity Policy?
Ms. Burns: No, this is just on the rates for Fiscal Year 2021. Mr. Krumrie: Good, thank you.

On MOTION by Mr. Plummer seconded by Mr. Krumrie with all in favor, Resolution 2020-11 Adopting the Revised Golf Course User Fees and Rates, was approved.

SEVENTH ORDER OF BUSINESS	Discussion to Amend and Extend
Existing Service Contracts
Ms. Burns: Christine, do you want to review this?
Ms. Wells: Yes, I will. There was a spreadsheet included in the agenda package that shows there are no increases from the current maintenance service contracts. The Applied Aquatics contract is currently $6,795 per monthly totaling $81,540 per year. Heartland Pools is $1,465 per month totaling $17,580. Yellowstone is $15,442 per monthly totaling $185,300 per year.
Mr. Ference: Christine, are you satisfied with the performance of all these folks?
Ms. Wells: We are. We are working with Yellowstone to get on the same page on a few things.
Mr. Costello: Yellowstone, we have had several conversations in the last week with them about the fact that certain things that need to be done have not been done. Due to

September 21, 2020	Lake Ashton CDD

the weather I understand that they are limited in the hours they can work. But, there have been things that were grossly neglected. I know that you spoke to them and I’m not saying we shouldn’t go forward, but if that behavior does continue there is an out clause on these contracts. If we pay for a service, I want to see it done.
Mr. Ference: Mike, what are you referring to that they are not doing?
Mr. Costello: One of the trees taken down last week, several weeks Christine had spoken with Yellowstone. They said it just needs this and that. Next thing we knew, they were telling us that the tree has to come down. We’ve had several complaints. One person came in complaining about Yellowstone doing work and not cleaning it up properly. My biggest contention is that if we are going to pay for a service, I want the service done. It irks me to see good money going to waste, in the fact that we have to continuously talk to them on different items. They’ve been made aware of the problems and hopefully we don’t see a problem going forward.
Mr. Ference: Mike, when you bring it to their attention that they’ve been neglecting things, do they come back and remedy that problem?
Mr. Costello: In some cases yes they have. Bob, my problem is that this has been going on for several months now. Christine, I would hope that you have a listing of the problems that we’ve had over the last several months. I’m not saying this is a major thing, I just want everyone to be aware that Yellowstone has been talked to over the course of the last several months, several times.
Mr. Ference: Christine, who oversees their work?
Ms. Wells: Matt and I just had a meeting with our account manager, his boss (the site manager), and that person’s boss (the District manager). We made it very clear that we can see some slipping in their duties that they are supposed to do according to contract. The account manager has been more responsive in getting some of the things we need, and his boss has been more responsive as well. Time will tell if those will be permanent changes or if they are just correcting them because we just talked with them. For the other contracts, Applied Aquatics and Heartland Pools have been great. Applied Aquatics has been doing great with the transition of all the extra golf course ponds.
Mr. Costello: We couldn’t have gotten a better response than what got from Applied Aquatics when we took over the lakes. The next day, they were here doing the work.

September 21, 2020	Lake Ashton CDD

Ms. Krumrie: I have one question. What is the escape clause in the contract with Yellowstone.
Ms. Burns: It’s usually 30 days, that is what is standard in most District agreements. Ms. Carpenter: That’s correct.

On MOTION by Mr. Ference seconded by Mr. Krumrie with all in favor, Authorization for Counsel to Draft Renewal Agreements for Fiscal Year 2021 for Applied Aquatics, Heartland Pools, and Yellowstone, and Authorization for Chairman to sing, was approved.

EIGHTH ORDER OF BUSINESS	Consideration	of	Room	Rental
Contract for Lake Ashton Bingo
Ms. Wells: This contract is renewed every year, and it is renewed on September 30th. John DeWinkler did reach out to see if we would be renewing. He did not indicate whether he was going to be starting Bingo again. My understanding is that they are looking at the first of the year.
Mr. Costello: I don’t believe that John has a date in mind for reopening Bingo up. We’re talking about 200 or 300 people in a room, and I don’t think we’re ready for something of that nature. Bingo has been very good to Lake Ashton, they are $20,000 under normal circumstances, of our normal income. It’s a considerable amount of money. They’ve always been a good neighbor, as far as helping us out. I think the contract should be approved and should remain at the same amount they’ve been paying all along.

On MOTION by Mr. Costello seconded by Mr. Plummer with all in favor, the Room Rental Contract for Lake Ashton Bingo, was approved.

NINTH ORDER OF BUSINESS	Discussion	Regarding	Cleaning
Services Agreement
Ms. Wells: The cleaning service agreement is renewable on November 1st. Staff has been having quite a few issues with the cleaning company over a few years. We’ve been trying to work with them for years. It’s becoming a full time job trying to submit an email every time something is wrong. It’s almost daily that there are items they are not

September 21, 2020	Lake Ashton CDD

doing. We do feel that staff can take over some of their cleaning duties in the interim, since staff has been doing a lot of sanitizing themselves since COVID began.
Mr. Fisher: A lot of the items on the contract are things that Jared and I could do for now. Jared has background in janitorial services, and we feel like we could do this job and save the District a lot of money.
Mr. Costello: Christine and I have spoken about this for two weeks. Matt, I appreciate that your team is looking to step up and do it. I don’t mind paying for a service, but I want the job. It’s their obligation to do the work if we pay the bill. We’re paying but they’re not working.
Ms. Wells: We do feel it’s possible that our staff could do this or we wouldn’t have brought it up. If we get to doing it and we find that it is just too much, then we would come back to you guys with another cleaning company for a contract.
Mr. Plummer: When is their contract expiring? Ms. Wells: October 31st.

On MOTION by Mr. Costello seconded by Mr. Ference with all in favor, Not Renewing the Cleaning Services Agreement on October 31st, was approved.

TENTH ORDER OF BUSINESS	Discussion Regarding Contract with
Metz	Culinary	Management	for Restaurant Services
Ms. Burns: I’m going to turn it over to Harry to take it over from here. Mr. Krumrie: It’s Metz on the phone?
Ms. Burns: Yes, the representative is on the Zoom call. Mr. Krumrie: Did they have any opening comments?
Mr. Jack Brill: Harry, this is Jack Brill. I have a few other people joining us. Jeff Brown is back on with us. Thank you for your time and the Board’s consideration this morning. It’s been a lot of fun the last several visits. I’m pleased to introduce Rick Sell, the Vice President of Restaurant Operations, and Greg Polk our Chief Operating Officer. For the other Board members, Harry met our founder and chairman John Metz. We spent

September 21, 2020	Lake Ashton CDD

a morning looking at the operation a few weeks ago. I am excited to answering an additional questions and I look forward to a discussion with the Board.
Mr. Krumrie: They are proposing that the restaurant will start November 1st, but we’re probably looking more around November 15th. They would operate 7 days a week and have a grand opening as well. They will need access to the restaurant two to three weeks before opening to train and hire staff. They are proposing to bring in someone to evaluate our current equipment. There are three or four items we are in immediate need of that we would have to buy before they took possession of the restaurant. The restaurant capacity is 150 people. Since we’re at 50% capacity we are at 75 people in the restaurant at one time. In the proposed budget, Metz is proposing that retail sales would be
$943,000. That does not include catering of any sort. That comes out to about 80 plates for lunch every day, and 120 plates for dinner. Serving of the plates can come in different forms, it does not mean people have to be in the restaurant. That also means take out and home delivery. Alcoholic beverages represent about 20% of sales. We talked about catering, because there was a big number in there for catering initially. I think it was
$218,000. We talked and decided we are probably not going to be able to do catering for at least 6 months if not longer. We had to back out some numbers from that. That took the number from $218,000 to $72,000. We depend on catering, because there is a good markup on catering. The management that I talked to want to include a general manager and an executive chef. Those salaries are in the range of 70,000 to 75,000 each. I asked if we could get by on less than what they are proposing, but their response is that their reputation is on the line. They want to start out the right way, and I agree with them. They are still proposing a $60,000 startup cost that they would bear, but then amortize that startup cost over 5 years or the length of the agreement. We talked about food and liquor inventory, because we are going to own the inventory. They would help us get rid of that to the extent that the agreement was terminated. Going back to the 80 plates for lunch and 120 for dinner, we have about 1,000 houses occupied in Lake Ashton on average. That equates to about 1,900 residents that are available to use the restaurant. When you start dividing that out, somebody would have to use the restaurant about once a week in order to meet the budgetary amounts. The new budget in front of me says that we’ll lose

September 21, 2020	Lake Ashton CDD

$142,000 on the restaurant side and $8,000 on the catering side for a total of $150,000. That does not include the $60,000 out of the gate.
Mr. Costello: One of the things proposed was that each house would be assessed
$500 for using the restaurant. I don’t look forward to doing the $500 mandatory payout. Could we do this in a way where people could take advantage of the $500 up front, and we could kick in 5%.
Mr. Krumrie: We talked about that Mike, we actually talked about using a card. I’m not sure it would increase the revenue, but it would make it more convenient in terms of payment.
Mr. Costello: Is there any way to incentivize people to not use credit cards? I saw that they expect it to cost them $38,000 from people using credit cards. Right now our meeting room is doing nothing, can we also utilize that as space in order for Metz to bring meals into the clubhouse and meeting room?
Mr. Brown: It’s common marketing practice to give a discount for purchasing a card in advance. It’s a great way to get people to purchase in advance.
Mr. Brill: Having the golf cart delivery service with everything going on, I think is going to be a significant amount of our business.
Mr. Costello: We are dealing with the pandemic right now, people are going to do what they feel comfortable doing. When you’re trying to project how many people we are trying to bring in, it becomes tough. I know you guys are dealing with that everywhere at this time.
Mr. Brill: That’s why it’s good to have delivery options, pickup options, dine in options, options for people to eat on the patio, etc. We are offering all sorts of variety to make the guests feel comfortable in participating and purchasing a meal for a good dining experience.
Mr. Krumrie: Can you comment more about the clubhouse manager and the chef that you need. You need those off the bat?
Mr. Brown: You get one great chance to make an impression on everybody. If you come in and you don’t have the proper staff, menu, and quality, then there’s a good chance they won’t come back. It’s important we get those people in before we open and that they work on developing the recipes to match the menu so that we have consistent

September 21, 2020	Lake Ashton CDD

quality. We need a general manager who can oversee the whole operation, because it’s all about service and food.
Mr. Krumrie: They also added a marketplace as another way of potential form of revenue. We could sell three, four, or five frozen meals at a time to residents. That generates revenue.
Mr. Brill: We have our culinary center in Sarasota which produces those every day.
We were trying to think of residents that might not have the mobility to eat out.
Mr. Krumrie: We are at $150,000 loss, protected. My question is what is our chances of hitting that. What’s our confidence in that number of that projected $150,000 loss. How do we know it won’t be more.
Mr. Brown: I’m fairly confident in it. It’s a tough year to guess that number, but we’ve taken out a lot of things that would in the future improve those finances, like catering, so that they didn’t make that number better than it’s going to be. Part of our responsibility is to manage the cost. If we were not doing the revenue that we are projecting, we will be looking daily at our staffing levels to make sure we’re doing everything we can to control costs.
Mr. Plummer: Harry, I’ve been pleasantly surprised at the input that I’ve had personally from residents who have looked at Metz’s proposals. There’s excitement of having Metz onboard here. Some people did not support the previous restaurants but were excited about this company. There seems to be a significant amount of excitement about the patio service as well as the pool and outdoor bar. One advantage we have that we’ve never had before is that Metz has a marketing division.
Mr. Costello: Is there any advantage to going to six days versus seven?
Mr. Brown: If we were to come in the door and see that certain days are extremely slow, that’s a prudent move. You haven’t had anything running in a while, so we need an opportunity to see how it goes first.
Mr. Costello: We meet monthly. Will you have a representative at the meetings?
Mr. Brown: Our general manager would be at every meeting, and I would be at quite a few of them as well.
Mr. Krumrie: Bottom line now, if we achieve the number of $150,000 loss the only way we are going to be able to cover that is if we take it out of Capital Reserve. Next year

September 21, 2020	Lake Ashton CDD

at this time, the Capital Reserve will have to be replenished. What happens if next year if we have a $100,000 loss? We could tax the East side but not the West. We need to decide if we are willing to take the $150,000 out of the Capital Reserve.
Mr. Ference: Things are not normal right now, so I don’t know if it’s the time for us to consider opening a restaurant.
Mr. Krumrie: I agree with you 100% Bob. But there are people who want a restaurant here now.
Mr. Costello: I think the majority of people do want to see somebody in that restaurant period.
Mr. Ference: At any cost?
Mr. Costello: I’m not going to put people’s lives in jeopardy. People have had it with sitting home. They want a restaurant in there. It will be up to the individual if they’re going to take the risk of going to a restaurant or not. There are a lot of people in this neighborhood who are going out right now.
Mr. Ference: But the losses they are projecting are for normal times, these are not normal times so the losses should be far greater.
Mr. Brill: We really went on a conservative nature based on the current times, based on 50% capacity, based on have a significant to go business. We did factor those conditions in. We’re seeing a pattern in Florida, based on the Florida Lodging Restaurant Association numbers, you’re seeing a significant number of restaurants both chain and independent that are only open at 50% capacity but they’re running between 75% and 90% of their pre-COVID volume. They’re doing it with less labor because they have 50% capacity, so their bottom line is doing fairly well. I want Robert to know that we were very very cautious in these projections. We know these are not normal times.
Mr. Ference: But how many restaurants have gone out of business exactly for that same reason?
Mr. Brill: A significant number, and a lot were small and didn’t have the capital to withstand.
Mr. Plummer: Jack, in your experience, how often do you think a person will use the restaurant?

September 21, 2020	Lake Ashton CDD

Mr. Sell: In our budget, we’ve built in one visit a week. In regular freestanding restaurants, you’re looking to see a guest once a month. I do think this is a realistic and conservative budget. Like Jack said, it’s remarkable to see how strong restaurants have been amidst the pandemic. Even with reduced capacity, we have restaurants that are actually beating prior year sales. I think messaging to the residents about safety and about precautions we are taking to make sure we’re serving safely will also help. I think the to go component has a strong potential for us here.
Mr. Costello: If we end up with a $150,000 loss, Harry you said we would have to take that from the reserve. We could put a special assessment out there instead of putting it into our normal assessment.
Mr. Krumrie: For the first time in the history of Lake Ashton, we have somebody that would be willing to communicate with us more than anyone else has in the past.
Mr. Costello: I am one of four that would like to move ahead with this.
Mr. Plummer: I’ve heard mostly positive and very few negatives from people I’ve talked to. I think if we’re going to do a restaurant this is our best option.
Mr. Costello: Jan, where are you on this?
Ms. Carpenter: From my standpoint, we need to do some revising to the contract to make it work with our program and layout. Once we get through that, we’d need bond counsel to approve the structure. I would suggest waiting until the next meeting to approve a contract. That way we could get our draft to bond counsel, and after we get that back Metz will be able to go through it to review.
Mr. Krumrie: Could we give authority to the Chairman to sign off on that before the next meeting?
Ms. Carpenter: Yes, we could delegate authority for that.
Mr. Krumrie: I think we are leaning towards a start date of November 1.
Mr. Costello: We could also continue the meeting, then we could approve it at the continued meeting.
Ms. Burns: We don’t need any action on this if we are continuing the meeting.

September 21, 2020	Lake Ashton CDD

ELEVENTH ORDER OF BUSINESS	Monthly Reports
Attorney
Ms. Carpenter: We’ve been working on a couple contract addendums and the restaurant issue.

Lake Ashton Community Director
Ms. Wells: The Project Tracking List was included in the agenda packet. We reached out to Blackburns after the last meeting and they agreed to match the quote of the previous contractor. We issued an agreement with them and put in the deposit. They said it’s going to be about 3 to 4 weeks to receive materials. As soon as we send them a check number, they’ll be able to order the materials. The bowling alley is still going on, and we are still scheduled to finish on October 13th. The plants on the west side of the entrance, the soil is going to be replaced there because the plants keep failing in that area. The palm tree that Mike mentioned has been removed. I got a quote on Friday for a replacement. One quote is to replace with a 16’ – 20’ medjool palm, that would include removing and grinding the stump and that totals $6,239.89. Another quote was to replace with a pygmy date palm, which is a triple palm that is 4’ tall and it would include grinding and installation. That quote totals $1,077.93.

On MOTION by Mr. Ference, seconded by Mr. Krumrie with all in favor, the Quote to Replace the Palm Tree taken down with a Pygmy Date Palm totaling $1,077.93, was approved.

Ms. Wells: We did away with the annuals in front of the clubhouse. We are looking at some filler for that area to brighten it up some. It could be absorbed in our current budget. I just want to make sure it’s okay to move forward with the project. It’s $1,603.90.
Mr. Costello: I think that’s fine with the Board.
Ms. Wells: I don’t hear any objection to that so we will move forward. Applied Aquatic is still working on the grass carp. They’re waiting on the biologists with the FWC to get permission to move forward. A supervisor had asked that I obtain a quote to extend the awning over the horseshoe bar. We only received one quote because I wanted to make sure it was something the Board wanted to move forward with.

September 21, 2020	Lake Ashton CDD

Mr. Krumrie: Should we check with Metz that it will be enough? I don’t want to have to go back and do it twice because the awning doesn’t offer any protection from the sun.
Ms. Wells: We can do that. The other item was in an effort to update the look of the dining room, we would like to remove the chandeliers in the restaurant. Matt feels confident they can do that in house.
Mr. Krumrie: Again, I think Metz should be included in that decision.
Ms. Wells: Okay, the next item was painting the foyer in the main hallway. We’ve gotten the new furniture in place and the designer recommended that we paint the foyer to give an updated color. While we’re on the foyer I have two quotes to remove the chandelier and replace with two recessed lightings.

On MOTION by Mr. Costello, seconded by Mr. Krumrie with all in favor, Removing the Chandelier in the Foyer, was approved.

Ms. Wells: I have a list of surplus items. The chandelier that Kincaid is removing, broken desk chair, and the palms.

On MOTION by Mr. Costello, seconded by Mr. Krumrie with all in favor, Surplus Items including the chandelier, broken desk chair, and palms, was approved.

Mr. Costello: We had discussed letting more people in the rooms. Jan, what is your opinion on that?
Ms. Carpenter: I think it’s fine as long as you’re following CDC, county, and state guidelines.

Engineer
Mr. Rayl: I have a few updates. First, the improvements at Dunmore and Mulligan I’m going to call 99% complete. There’s a little bit of asphalt work to do at the interface of those two roads, but beyond that all the improvements have been made and everything is worked as expected. On 4325 Heathland we made a repair in the road. We found that

September 21, 2020	Lake Ashton CDD

the source of the issue was a separated conduit. The work on Ponds 2 and 3 was completed. For less than $10,000 the contractors was able to modify the berms on both the ponds to lower the elevation at which they could outfall. Between 6 inches to 12 inches of additional freeboard has been added to those ponds so they will discharge before the water rises up into anyone’s homes. I’ll be meeting with the contractor to get pricing for some of the bridge repairs. The gate installed on 15th hole was installed on our side of the fence. Once we get everything agreed upon with the rancher, we can cut his fence, connect this gate to it, and immediately have a point of access to be able to work through. We heard from a resident about not moving forward with the running board decking on the bridges. I still maintain the position that lumber costs are way too high right now. Lake Ashton II did a seal on their bridge decks in the interim to extend the life.
Mr. Costello: Do we have a price on what it would cost to seal our bridges?
Mr. Rayl: We don’t but I can check with CDD II and see how they went about it and provide some recommendations.

Field Operation’s Report
Ms. Wells: I included a summary of the projects we’ve done in the agenda. We’ve been trying to keep a lot of stuff in house. We have a great addition to our team and he has been doing a lot.

District Manager’s Report
Ms. Burns: The executive order on remote meetings is currently in place through the end of the month and we will continue to monitor that.
*Mr. Ference left the meeting at this time.

TWELTH ORDER OF BUSINESS	Financial Report
Approval of Check Run Summary
Ms. Burns: The check run summary is through today September 21st totaling
$188,372. If there are any questions I would be glad to answer those.
Mr. Plummer: We spent $23,153 on property appraisal. Why was that done? Ms. Burns: It’s the tax collector.

September 21, 2020	Lake Ashton CDD

On MOTION by Mr. Plummer seconded by Mr. Costello with all in favor the Check Run Summary, was approved.

Combined Balance Sheet
Ms. Burns: The financials are included in your package for review. There is no action that needs to be taken from the Board they are for informational purposes only.
Mr. Krumrie: What would it take for us to get a more current financial statement? This statement is dated July 31. Could we get the August financials before the end of September?
Ms. Burns: The agenda package went out before the 15th, but I’m sure we have the August financials now. I can circulate that to the Board after the meeting.
Mr. Krumrie: We budget $45,000 for an engineer and attorney, and to date we’ve spent $142,000 and we’ll probably have more bills coming in.
Ms. Burns: A lot of that has to do with the frequency of meetings. I think it was a lot of the golf course related items we had earlier in the year, we were meeting multiple times a month. We also had litigation with the restaurant which required a lot of additional work from the attorneys that was not contemplated when this budget was adopted.
Mr. Krumrie: It’s just a big number, it makes me shake my head. My other question is what month are you going transfer the money out of administrative expenses for the contingency golf course and put that under capital?
Ms. Burns: The payment to Lake Ashton II?
Mr. Krumrie: The payment occurred in December, and we haven’t transferred it out of there. It showed up under administration under an operating expense.
Ms. Burns: We had it set for the next year to put it out of capital. This was the payment for the previous year where it wasn’t in the capital budget. For the next year when we make that payment, it will show as a capital reserve expense.
Mr. Krumrie: Next question I have, under revenues and then under contributions, we received $8,409 in contributions. I assume most of that was related to the pet park.
Ms. Burns: That was from the HOA I believe.
Mr. Krumrie: Under capital expenditures, why do we show pet park for $9,900?

September 21, 2020	Lake Ashton CDD

Ms. Burns: We had the quote to install the dog park with the HOA providing $8,000 so the district was paying the additional expenses. They weren’t covering the entire cost.
Mr. Krumrie: Why isn’t the revenue showing up under capital? Ms. Burns: We can transfer that revenue.
Mr. Krumrie: Let’s do that all the time Jill.
Ms. Burns: We transfer what the Board approves in the budget, if you want additional funds transferred all we need is Board direction to do that. We are not just automatically going to transfer funds into the capital reserve without Board direction.

On MOTION by Mr. Krumrie seconded by Mr. Costello with all in favor, Moving Revenue from HOA for Pet Park to Capital Reserve, was approved.

THIRTEENTH ORDER OF BUSINESS	Appointment of Audit Committee
Ms. Burns: The last item we have is the appointment of the Audit Committee. We are having an Audit Committee meeting right after the adjournment or continuation of the Board meeting. I suggest that the Board appointment themselves as the Audit Committee.

On MOTION by Mr. Costello seconded by Mr. Plummer with all in favor, Appointment of the Board of Supervisors as the Audit Committee, was approved.

FOURTEENTH ORDER OF BUSINESS	Public Comments
Ms. Burns: I will open up the public comments at this time for anything that was not on the agenda.
Resident (Debbie): I have several questions and comments. Let me start with the chandeliers. While I understand the vote and the explanation, I’m wondering if this might now be a good opportunity to do a quick computer survey from residents to see if they want a chandelier replace. The clubhouse creates a lot of emotional feelings. One of them when you walk in is that wow factor. This could be a nice opportunity to help residents feel a part of the decision. The other opportunity to include residents could be a quick survey in regards to the restaurant, especially on the East side if we are going to potentially absorb a loss. See what the residents think. I do want to thank you guys for

September 21, 2020	Lake Ashton CDD

staying on top of Yellowstone and recognizing how important quality of service is. Sometimes suppliers can become lackadaisical when they’ve had a job for a long time. In regards to the restaurant proposal, great idea about discounting for residents. Would that be for the East side since they are the ones absorbing the cost? Or would they have a greater discount than the West side? Also, possibility of a rewards program is a good idea. In regards to the marketplace that Metz was talking about, would that be a pass through? You talked about it being a revenue stream. If that’s the case, what kind of percent increase would you be looking at? In regards to a menu, residents versus outside people using the restaurant. If the East is absorbing the cost is there a way to further discount or compensate for the residents. My last question is who would own the alcohol license, us or the management company? That’s all I have. Thank you.
Resident (John): I raised my hand to speak when Christine was giving her report and talking about painting the foyer and the hallways. I believe it was skipped over and no action was taken. I agree with Debbie that we need a wow factor. That yellow with the brand new floor is the wrong color. I would like to see one of the Supervisors put that on the list to get some quotes for the foyer to get that painted. The other comment I had, is Mike is thinking about opening things up in the community a little bit. I would like to suggest opening the gym and the clubhouse on Saturday and Sunday, maybe for limited hours like 6:00 a.m. to 2:00 p.m. That’s all I have.
Resident (Stan): When we go with Metz, please make sure you have this coupon option available. We used to go to Manny’s quite often and every Christmas they would have a $100 gift card that you would get an extra $50 or $20 if you got one. I’d buy $300 or $400 worth of those every year. I know a lot of other folks that did to. I think the coupon option would be something that a lot of people would look forward to.

FIFTEENTH ORDER OF BUSINESS	Supervisor Request / Open
Discussion
Mr. Costello: I was at the Republican Club meeting for candidates running for office, and one of the things I noticed was that they would like to have office hours for people to come and talk to them. That’s something that tells me that people feel they don’t have a way to contact us. I spend a lot of time in the clubhouse and people can talk to me there. However, in order to put us out there a little more, I would like to have business

September 21, 2020	Lake Ashton CDD

cards made up for each Supervisor. I would like to see our names and numbers published in the LA Times every month. If you don’t want your phone number in there, we won’t advertise that.
Ms. Burns: Supervisor’s phone numbers and emails are on the District’s website, which is required by the statutes. If residents are looking for that information we already have that available to them on the CDD website.
Mr. Costello: Yes, I know. But if it’s in the magazine, everybody gets one of those. Mr. Plummer: I’m in favor of that, I’d be fine with my number in there.
Mr. Krumrie: I like the idea.
Ms. Burns: Will you reach out to Bob Ference and make sure he is okay with that? Mr. Costello: Yes. It’s up to him, I don’t want to make him do that.
Ms. Burns: We need to pick a date to continue this meeting. Two weeks from today is October 5th. We were looking at 2:00 p.m.
Mr. Costello: That sounds good.

SIXTEENTH ORDER OF BUSINESS	Adjournment
Ms. Burns continued the meeting to October 5th at 2:00 p.m. to be held via Zoom if the governor’s order was extended or in person.

On MOTION by Mr. Costello seconded by Mr. Plummer with all in favor, was adjourned.

Secretary / Assistant Secretary	Chairman / Vice Chairman

Audit Committee Meeting

MINUTES OF MEETING LAKE ASHTON I
COMMUNITY DEVELOPMENT DISTRICT

A communications media technology Audit Committee meeting of the Lake Ashton Community Development District was held on Monday, September 21, 2020 at 12:30 p.m. via Zoom video conferencing, in accordance with the Office of the Governor, Executive Orders 20-52 and 20-69, due to the COVID-19 virus.

Present and constituting a quorum were:

Mike Costello	Chairman
Robert “Bob” Plummer	Assistant Secretary
Harry Krumrie	Assistant Secretary Also present were:
Jill Burns	District Manager, GMS
Jan Carpenter	District Counsel
Molly Magiano	District Counsel

FIRST ORDER OF BUSINESS	Roll Call
Ms. Burns called the meeting to order at 12:30 p.m. and called the roll. Three supervisors were present at roll call.

SECOND ORDER OF BUSINESS	Public Comments Period
Ms. Burns: Are there any public comments on the Audit Committee meeting?

THIRD ORDER OF BUSINESS	Audit Services
A. Approval of Request for Proposals and Selection Criteria
Ms. Burns: You can see in your package a form of an RFP for auditing services. This is for the Fiscal Year 2020 audit as well as some renewals. The proposal contemplates the RFP’s to be due October 9th which would allow us for enough time to review those before our October meeting and select an auditor.

On MOTION by Mr. Krumrie, seconded by Mr. Costello, with all in favor, the Form of RFP and Selection Criteria and Authorization for Staff to Issues the RFP, were approved.

September 21, 2020	Lake Ashton CDD

FOURTH ORDER OF BUSINESS	Adjournment
Ms. Burns adjourned the Audit Committee meeting.

On MOTION by Mr. Plummer, seconded by Mr. Costello, with all in favor, was adjourned.

Secretary / Assistant Secretary	Chairman / Vice Chairman

2

SECTION VI

S ECTION A

AGREEMENT

THIS AGREEMENT, (the “Agreement”), is made effective this day of October, 2020 (the “Effective Date”) by and between Lake Ashton Community Development District c/o Governmental Management Services – Central Florida, LLC, 219 E. Livingston Street, Orlando, Florida 32801 (the “Client”) and Metz Culinary Management, Inc., a corporation organized and existing under the laws of the Commonwealth of Pennsylvania and authorized to transact business in Florida (“Metz”) with offices located at Two Woodland Drive, Dallas, Pennsylvania 18612.

BACKGROUND

Client is a local unit of special purpose government created in accordance with the Uniform Community Development District Act of 1980, Chapter 190, Florida Statutes, as amended and pursuant to City of Lake Wales, Florida Ordinance No. 2000-11, as amended by Ordinances 2001-01, 2002-06 and 2005-11.

Metz is engaged in the business of supplying food management service to public and private institutions in the continental United States in connection with the operation of such institutions’ food services programs.

Client desires to have Metz operate and manage Client’s dietary and food services operation and provide such other services or operate and manage such other activities as more fully described in Article 1 hereof.

Metz desires to provide Client with the Services (as such term is defined in Article 1 hereof) on the terms and conditions set forth herein.

Now therefore, in consideration of the premises and the mutual agreements and covenants hereinafter set forth, the receipt and sufficiency of which is hereby acknowledged, the parties mutually agree as follows with the intention of being legally bound hereby:

ARTICLE 1 SCOPE OF SERVICES

All paragraphs of the Background are incorporated herein by reference as if fully set forth at length.

Client agrees to retain Metz and Metz agrees to accept such engagement from Client, to operate and manage Client’s food services program (the “Program”) and such other activities as set forth in this Article 1 (collectively referred to as the “Services”). The Services shall commence on December 14, 2020 (the “Service Commencement Date”).

Client agrees to furnish to Metz for its Services under this Agreement and through the throughout the term of this Agreement, and any extensions or renewals thereof, that certain restaurant space and the adjacent covered patio area within the Lake Ashton Clubhouse (the “Clubhouse”) located at 4141 Ashton Club Drive, Lake Wales, Florida 33859, as more fully described on Exhibit “A” attached hereto, the terms of which are made a part of this Agreement (the “Facility or the “Facilities”). After the execution of this Agreement and in any event prior to the Metz’s rendering of any Services hereunder, Client shall ensure that the Facility, including but not limited to the kitchen in the Facility, shall be in good and clean condition.

Client will assure that the Facilities remain in compliance with all statutes, regulations, ordinances, directives and/or rules of governmental bodies or agencies or public health agencies applicable to Client and the operation of the Program (“Applicable Law”). All items furnished by Client (the “Personal Property”) shall remain the sole property of Client, including any Investment Property described in Section
2.7 herein, and Client shall, at its sole cost and expense, maintain and make all necessary and reasonable repairs or replacements to such Personal Property, except that Metz shall be responsible for all damage to the Personal Property and Facilities caused by the negligence of its employees, principles, assigns and agents in the performance of their duties for Metz. Client shall at all times have ready access to the Personal Property and Facilities to inspect and ensure that the Personal Property and Facilities are being used in compliance with this Agreement, provided, however, that such access shall not interfere with Metz’s performance under this Agreement.

Metz agrees to employ and furnish any and all necessary qualified personnel as such positions and salary ranges are approved in advance by Client (the “Metz Personnel”) to operate Client’s Program. Metz agrees that Client shall have the right to approve personnel prior to their hiring, specifically the General Manager and Chef for the Facility. Client shall not be, and will not be deemed to be an employer or a joint employer of the Metz Personnel for any reason whatsoever. Metz shall pay the Metz Personnel and shall bill Client who shall pay to Metz, in accordance with Article 2 hereof, the costs of the wages and/or salaries of the Metz Personnel together with a percentage rate (the “Percentage Rate”) of payroll that relates to direct and indirect payroll taxes, workers’ compensation insurance, employer’s portion of state and federal unemployment compensation tax, social security tax, accident and health insurance, life insurance and 401(k) contributions, incentive pay, fringe benefits and related overhead. In additional to the Percentage Rate, Metz shall invoice Client a payroll processing and administrative charge equal to five percent (5%) of payroll, which charge is already factored into the budgeted Taxes and Benefits expense in Exhibit “B,” as such Exhibit is described in Section 2.1. Metz shall notify Client from time to time of any changes in the Percentage Rate, which may be adjusted annually by Metz to cover increases in costs or expenses.

Metz shall obtain, or cause to be obtained, at a cost that shall be reimbursed to Metz pursuant to Section 2.1 below, for each Metz Personnel employed at the Facility at any time, a criminal background check performed by an appropriate federal or state agency, or by a professional and licensed private investigator or investigation company, and shall make employment suitability determinations for each employee that are reasonable and customary within Metz’s industry for a high quality clubhouse restaurant. Metz shall maintain a copy of said background check on file for the duration of this Agreement. The Metz shall enforce strict discipline and good order among its employees on the Facility.

If requested in advance in writing by Client, Metz agrees to provide and carry on Metz’s payroll other employees required for the Program, such as Chefs, Consultants and Nutritionists, at wages, work hours and responsibilities to be mutually agreed upon by Metz and Client. Client agrees to pay Metz for the wages, payroll expenses and fringe benefits of any such employees in the same manner and under the same terms as Client pays Metz for the costs of the Metz Personnel as set forth in 1.5 above.

All hourly personnel of the Program who work at the Facilities will be part of the Metz Personnel.

Metz will determine the specifications for food and other supplies to be used in the Program and shall order quality food and supplies based on such specifications. Except as otherwise set forth herein, Metz shall be entitled to utilize Metz’s national account or other vendor systems to purchase food and supplies for the Program and Services. In the event any of Metz’s national account of vendors extend to Metz any credits, rebates or discounts related to Metz’s business or related to Metz’s relationships or business dealings with such respective vendors, including but not limited to any early payment discounts or volume discounts, Metz shall be entitled to exclusively retain such credits, rebates or discounts. Metz

shall not be obligated to use or accept food or supplies from any vendor that does not meet the insurance and/or quality assurance requirements as may be established by Metz from time to time in its sole discretion.

The parties’ respective operational responsibilities for providing and paying vendors directly for the following items are indicated below unless the parties agree in advance in writing to any changes:
	METZ	CLIENT	
Food	X		
Office supplies/stationery	X		
In-service training materials/supplies	X		
Shortlife equipment (pots/pans/utensils/knives for preparation and/or	X		
service			
Telephone service, including long distance		X	
Laundry	X		
China/Silverware/Glassware and Replacements	X		
Cleaning/Dishwashing Supplies	X		
Menu paper and printing	X		
Kitchen paper/plastic	X		
Advertising	X		
Marketing/merchandising materials for operation	X		
Business licenses and permits			
Repairs – purchased services		X	
Rented/leased equipment			
Non-electric equipment replacement (Smallwares)	X		
Minor equipment replacement		X	
Major equipment replacement		X	
Utilities – Garbage/trash removal		X	
Pest Control		X	
Service Contracts		X	
Postage	X		
Uniforms	X		
Recruitment	X		

The parties shall provide cleaning responsibilities as follows:

	METZ	CLIENT	
Kitchen			
Floors	X		
Walls	X		
Equipment	X		
Refrigerators and Freezers	X		
Vents		X	
Ceiling		X	
Duct Work		X	
Light Replacement		X	
Storage Areas			
Floors	X		
Wall	X		
Ceiling		X	
Shelving	X		

Café Dining Areas
Serving line/equipment	X		
Serving line walls	X		
Serving line floor/tile	X		
Ceiling		X	
Table tops and chairs	X		
Furniture	X		
Floors/carpet		X	
Windows/walls		X	
Drapery		X	
Receiving Area			
Pick-up/spot mop	X		
Daily cleaning	X		

Operation of Facility
Duties and Prohibited Conduct. Metz shall not use, or knowingly permit any invitee or other person to use the Facility for the sale or display of, or for any activity involving, pornography, nudity, violence, drug paraphernalia, or any goods and/or services and/or conduct which, in the sole discretion of Client, are inconsistent with the image of a community or senior-oriented club establishment, Metz shall not cause or permit waste to occur in the Facility, or overload any floor, or abuse the plumbing in the Facility. Metz shall keep the Facility and every part thereof in a clean and wholesome condition, free from any objectionable noise, music volumes, lights, odors or nuisances, which may be detected from outside the Facility (unless approved by Client in writing in advance), shall comply with all requirements of all governmental authorities, and shall conduct its activities in a manner which is environmentally sound. Unless otherwise permitted by the Agreement or approved by the Client in writing: (i) Metz shall not, without prior written approval from Client, display or sell merchandise, or place carts, portable signs, devices or any other objects, outside the defined exterior walls or roof and permanent doorways of the Facility; (ii) Metz shall not solicit or distribute material in any manner in any of the Common Areas of the Facility without prior approval of Client; and (iii) Metz shall not sell merchandise from vending machines or allow any coin- or token-operated vending, video, pinball or gaming machines in the Facility.

Covenants. Metz covenants and agrees that it will, throughout the Agreement term and without interruption (except for approved renovations with scheduled “down time”), from and after its initial opening of the Facility for business, operate and manage Facility under the provisions hereof during the mutually agreed upon hours of operation set forth below, except while the Facility is un-useable by reason of fire or other casualty or governmental health order prohibiting opening.

Metz acknowledges that the Facility is intended to provide only quality service and food and beverage service for the patrons of the Facility and that Metz will operate and conduct all aspects of its operations in accordance with this standard. Prior to the commencement of the Agreement Term, Metz shall provide the names and contact information of the manager, assistant manager(s) and any other key employees(s) hired by Metz for its business operations.

Except as otherwise provided for in Section 1.9 above, Metz shall pay all bills and costs related to its operation of the Facility as and when they come due or shall arrange for such payment to avoid the disruption or cancellation of any services required to be paid by Metz under this Agreement or the continuous operation of the Facility. Metz’s failure to pay or its inability to pay its vendors, shall, after applicable notice and cure period, constitute a default under this Agreement, and the Client shall not be

responsible for any such payment not made by Metz. Metz shall not place any liens or encumbrances on the Facilities or Clubhouse or any property of Client.

Metz shall insure that the Facility is locked and safeguarded after regular business hours, and shall maintain proper and appropriate staffing to safeguard the Facility throughout regular business hours.

Metz agrees to provide advice and, after approval of such actions, to perform marketing, advertising and other actions to increase public awareness of the Restaurant.

Metz shall provide notice to Client if it becomes aware of a needed repair to the Facilities.

Metz shall provide a point of sale system for providing cash receipts, inventory, cost receipts, etc. to the Client and will provide monthly reports in the form attached hereto; Client must approve the cost for such system in advance of this purchase.

Operating Days and Hours. At a minimum, Metz shall operate the Facility from [11am to 8pm, 7 days per week]; Metz shall be responsible for serving brunch and dinner on Sundays; the remaining six days will need to consist of lunch and dinner services. Metz may elect to extend restaurant hours and days beyond the aforementioned minimum for special occasions. Exceptions to this agreement would be for Holidays and Emergencies only. Any change(s) in the regular schedule that would deviate from the minimum days and hours of operation must be brought to the attention of Client and approved by the Client’s Board of Supervisors, which approval shall not be unreasonably withheld.

Special Events. Metz agrees to provide “theme nights” in the Facility as well as to provide delivery services of meals to residents, marketplace events, frozen meal delivery and/or other special offerings reasonably requested or approved by Client; Metz agrees to implement a plan for providing these services to the Boards within 180 days of the execution of this agreement. CDD shall provide a golf cart for Metz’s use. [Board must consider this issue]

Personnel Dress Code. Metz shall ensure that Metz Personnel shall wear uniforms or professional attire at all times that conform to safe work practices and the proper professional work environment for a similarly quality restaurant in Central Florida. Clothing that expresses or implies obscene language or graphics, degrading or demeaning connotations, as reasonably determined by the Client, shall be strictly prohibited.

Change of Restaurant Name. With Client’s prior approval, Metz may elect to change the trade name associated with the operation of the restaurant business on the Facility.

Duty to Report to Board of Supervisors. Metz agrees to provide to the Client’s Board of Supervisors a monthly report, which will include financials and a recap of events and/or news related to the Restaurant. The report will be submitted pursuant to Section 11.1 herein. Metz agrees to have a management level Metz Personnel attend all meetings of the Client’s Board of Supervisors and shall provide a verbal report at each meeting and be prepared to respond to questions of the Client’ Board of Supervisors.

ARTICLE 2 COMPENSATION

All costs of operating the Program and rendering the Services shall be borne by the Client, including but not limited to the above referenced payroll costs and all costs as reflected in Exhibit “B”

attached hereto. Metz shall invoice such costs to Client on a monthly basis, which invoices shall be due and payable by Client within thirty (30) days following receipt. Metz shall invoice the user of the catering services (“User”) directly for all catered events and special functions following each such function, which invoices shall be due and payable by User within thirty (30) days following receipt; if Client is the User, Client shall be similarly billed.

Metz and Client agree that the annual budget for the first year of the Agreement (which shall be adjusted as necessary to benefit Client’s fiscal year which runs from October 1st to September 30th) shall be as set forth in Exhibit “B” hereto ad made a part hereof. Prior to the commencement of each subsequent fiscal year of the Client, Metz shall enter into discussions and confer with Client for the purpose of formulating the proposed budget for such year in accordance with Article 12 herein. Client’s approval is necessary for the annual budget, capital expenditures with respect to the managed property, each disposition of property that is part of the Facilities, rates charged for use of the managed property, and the general nature and type of use of the managed Facilities. The Client shall be entitled to receive any net profits generated by the operation of the Program. However, should there be losses in the operation of the Program, such losses shall be borne by the Client. Nothing contained in this Agreement shall be construed as a representation by Metz that the operation of the Program shall result in a profit to the Client or a guarantee that any budgetary goals shall be attained.

Metz’s services and pricing for catered events and special functions shall be as mutually agreed upon by the parties. Metz shall be responsible for collecting revenues for catered events, special functions and all revenue generating activities from the User of the facilities.

All daily cash sales received from the Program shall be collected by Metz and credited against any sums owed Metz hereunder.

Client further agrees to pay to Metz a combined management and administrative fee of
$70,000 per year for the first year of the term and $80,0000 per year for the second year of the term, which shall be billed and paid in equal, consecutive monthly installments. For the third and subsequent years of the term, the management/administrative fee set forth above shall be subject to a negotiated increase annually, which increase shall in no event be no more than the lesser of (i) 5%, or (ii) the percentage increase, if any, in the “Consumer Price Index for All Urban Consumers (CPI-U) for the U.S. City Average for All Items, 1982-84=100” (unadjusted) as published monthly by the Bureau of Labor Statistics, United States Department of Labor (or a comparable index if that index is not available) during the preceding twelve (12) month period . If the Facilities are located in a jurisdiction that imposes a sales tax or other tax on the fees of Metz, such tax shall be paid monthly by Client together with the payment of fees. Metz’s compensation is not based on net losses, or both revenues and expenses of the managed property and the timing of compensation payments to Metz is not dependent on any net losses or gains.

In the event Client disputes any billing by Metz, Client shall notify Metz in writing within fifteen (15) days of the date of such billing as to the amount of the billing in dispute and the reason for such dispute. Any sums that are undisputed and unpaid after the above specified periods shall bear interest at the lesser of 1.5% per month or the maximum amount permitted by law accruing from the date such sums are due and owing to the date of payment. Acceptance by Metz of less than full payment on any billing or billings shall not be a waiver of any of Metz’s rights to collect the entire balance of such billing or billings plus interest, if any.

The parties acknowledge that Metz shall incur start-up expenses that shall be payable by Client as part of the first and/or subsequent monthly invoices pursuant to Section 2.1 above. The start-up expenses shall not exceed $58,000 and be used for the following: (i) two (2) months of pre-service management labor, (ii) two (2) weeks of opening and training expenses (including hourly labor), (iii) travel

and lodging expenses to support the account and (iv) supply costs (including food, cleaning supplies and paper supplies).

Metz shall provide an investment to the Program in the aggregate amount not to exceed
$60,000 (the “Investment”) for certain mutually agreed upon equipment purchases and/or improvements to the Facilities (the “Investment Property”). All items purchased (including advertising and other non- tangible property) purchased with the Investment shall be the property of the Client and Metz shall have no claim to such property. The Investment shall be amortized by Metz on a monthly straight-line basis over the sixty (60) consecutive months of the term. In the event that the Agreement were to terminate for any reason prior to the full amortization of the Investment, Client shall reimburse Metz for the unamortized portion of the Investment within thirty (30) days of the termination. The obligations of Client pursuant to this paragraph shall survive the expiration and/or termination of the Agreement.

ARTICLE 3
TERM AND TERMINATION

The initial term of this Agreement will extend from the Service Commencement Date for a period of five (5) years. Thereafter, Client shall have the option to renew this Agreement for successive one (1) year periods by providing written notice of intent to extend this Agreement to Metz sixty (60) days prior to the expiration of the initial term or any renewal thereof.

Client or Metz may terminate this Agreement, with or without cause, upon ninety (90) days’ prior written notice to the other party. In the case of an event of default by either party, as applicable, which default has not been cured within ten (10) days after receipt of written notice thereof from the non- defaulting party, the non-defaulting party may terminate this Agreement upon five days’ prior written notice to the defaulting party; provided, however, that if such default is of such a nature that it cannot be cured within such ten (10) day period, then such period shall be extended for such additional period as may be reasonable necessary to remedy the default, but in no event shall such remedy extend beyond sixty (60) days. Upon termination, Metz will surrender possession of the Facilities within three (3) days (which term can be extended upon the written mutual agreement of the parties) and the Facilities shall be in as good condition and order as when received, ordinary wear, tear excepted and excepting any changes in the condition of the Facilities resulting from the actions or omissions of Client or any other third party. Notwithstanding anything to the contrary contained herein, if Client or any other governmental entity determines that continued operation of the Facilities by Metz presents a risk to the health, safety or welfare of users of the Facilities or the public, or if continued operation of the Facilities would violate Florida or federal law, Client shall be permitted to terminate this Agreement immediately, with or without issuing the notice of allowing for a cure period. Upon termination of this Agreement, all rights and obligations of the parties under this Agreement will immediately cease and terminate (except for indemnification, compensation accrued and unpaid to Metz as of the date of termination and the rights of Metz and the obligations of Client pursuant to Articles 2, 6, 7 and 10, all of which will survive such termination).

In the event termination is due to the fault of Metz, Metz shall be not be entitled to return of the Investment or Investment Property described in Section 2.7 herein.

ARTICLE 4
PROVISIONS RELATING TO START-UP AND TERMINATION

4.1	Immediately following the Effective Date and prior to the provision by Metz of any Services hereunder, representatives of both parties hereto will jointly prepare an inventory (the “Inventory”) containing a list of the following:

all equipment of Client which is being furnished on the Service Commencement Date; and

all dishware, flatware, glassware and similar loose items of Client (the “Smallwares”).

If at any time during the term of this Agreement or any extension or renewal thereof, Metz determines, in its opinion, that there is not an adequate inventory of Smallwares for normal operating requirements, Metz shall provide notice to Client pursuant to Section 11.1 herein. If at any time Client requests Metz to provide food service for any additional customers and Metz agrees to provide such additional service, it will be Client’s responsibility to provide, at its sole cost and expense, adequate operating levels of Smallwares as required, in Metz’s reasonable opinion, for such additional service. In the event Metz furnishes dishware, flatware, glassware and similar loose items to be used in the Program, Metz shall provide notice to Client under Section 11.1, receive Client’s approval, and bill Client each month for the costs associated with the loss and breakage of such items and Client shall pay such costs in accordance with Article 2 hereof. The loss and breakage of such items will be determined based upon a monthly physical inventory.

The Inventory, including all property purchased as Investment Property, is and shall at all times remain property of the Client. Client’s Inventory list shall be updated at the conclusion or earlier termination of the Agreement term hereunder, and Metz shall be responsible for replacement/repair cost of any missing, damaged or otherwise unfit items resulting from Metz.

Within seven (7) business days following either party’s receipt of a notice of termination of this Agreement, the parties shall meet to discuss the transition of the Services and to account for any amounts due from one party to the other.

In the event of termination of this Agreement, it is Client’s responsibility to direct the disposition of all remaining food and liquor inventory. Metz agrees to help liquidate such inventory upon request.

ARTICLE 5 COMPLIANCE WITH LAWS

Metz agrees to comply with all Applicable Laws, and will operate the Program and provide the Services in accordance with good sanitation practices as mandated by federal and state ordinances and local laws applicable to the Program.

Client will collect, be responsible for and remit to the appropriate taxing authority all sales taxes imposed upon revenues generated from sales in Program and revenues generated from sales in in- house vending machines for which Client is directly responsible.

Client will pay or, if already paid by Metz, will reimburse Metz for all other taxes, fees, assessments and licenses related to the Program or the Services, including without limitation, all sales and use taxes, where applicable and permitted by law, personal property taxes on equipment or investments provided to Client by Metz, taxes or fees imposed upon the operation of the Facilities, and including any sales and use taxes imposed on Metz’s fees or other charges to Client pursuant to this Agreement. Metz shall coordinate with Client to obtain any liquor and restaurant licenses needed for the Facilities. Metz shall hold such license(s) and will be reimbursed by Client for the costs associated with the liquor license(s). Metz shall cause all activities at the Facilities to be performed in accordance with all applicable laws, rules and regulations governing the sale and service of food and alcoholic beverages at the Facilities, as well as Metz’s obligation to pay any and all fees and charges on behalf of Client. Metz shall require all employees selling food and/or beverages at the Facilities to undertake the applicable training program(s) to comply with all laws and license requirements. Client shall cooperate and assist Manager as necessary in connection therewith. Upon termination of this Agreement, whether in whole or in part, Metz shall take all

such actions as may be reasonably required to relinquish all rights and interests in such license(s), as applicable, to Client and/or a successor manager of the Facilities.

Client shall be responsible for the payment when due and payable of any taxes, fees, assessments or licenses being due any taxing authority resulting from any new taxes, legislation or enforcement position effectuated after the Effective Date hereof.

Neither party hereto shall discriminate because of race, color, religion, sex, age, national origin, known disability or status as a veteran or disabled veteran, and as further defined and prohibited by applicable federal and state government laws, in the recruitment, selection, training, utilization, promotion, termination, or other employment-related activities concerning food service personnel. The parties further agree to comply with the provisions of the Americans with Disabilities Act (ADA), and any changes to the physical facility necessary to comply with ADA shall be the responsibility of Client.

ARTICLE 6 EMPLOYEE/MANAGEMENT EMPLOYMENT RESTRICTION

Client acknowledges and agrees that Metz has provided to its employees, on a confidential basis, the Proprietary Information as defined in Article 10 below and that Metz has further made a significant investment of time, money and other resources in training its employees with respect to Metz’s methods, procedures and systems. Accordingly, Client agrees that during the term of this Agreement (including any extensions or renewals thereof) and for a period of one (1) year following the expiration, termination or non-renewal of this Agreement (the “Period of Restriction”), it shall not knowingly authorize the hiring and/or permit the hiring (including employment by any successor contractor) of current or former management personnel of Metz to work as part of or in connection with Client’s food service program or programs (whether at the Facilities that are the subject of this Agreement or elsewhere) nor shall it knowingly, on its own behalf or in the service of or on the behalf of others, solicit or contact current or former management personnel of Metz in an attempt to hire or employ said personnel. For purposes of this Section 6.1, “former personnel” shall mean a person that was employed by Metz during the then preceding twelve (12) month period, to which Client has knowledge of.

Notwithstanding the foregoing, Client shall not be deemed to have violated the foregoing solicitation/contact restrictions as a result of: (a) contact regarding possible employment prior to the date of this Agreement; (b) a general solicitation or advertisement that is not specifically directed to employees of Metz; or (c) referrals to Client by a search firm, employment agency or other similar entity provided that such entity has not been specifically instructed to solicit employees of Metz. However, in all such instances, even though the foregoing solicitation/contact restrictions would not apply, the foregoing hiring restrictions would still apply.

Client acknowledges that the restrictions contained in Section 6.1 of this Agreement are reasonable and necessary in view of the nature of Metz's business and in order to protect the legitimate business interests of Metz. Client further acknowledges that Client’s violation of the restrictions, or any one of them, would result in irreparable injury to Metz. Therefore, Client acknowledges that, in the event of Client’s violation or threatened violation of any of the restrictions set forth in Section 6.1, Metz shall be entitled to obtain from any court of competent jurisdiction, without being required to post a bond, preliminary and/or permanent injunctive relief restraining Client from any violation of these sections. Moreover, Client agrees that, in the event of Client’s violation of any of the restrictions set forth in Section 6.1, Client shall pay to Metz, at Metz’s election, an amount equal to 1.5 times the annual salary of the person or persons hired in violation of Section 6.1, which amount is to be considered to be liquidated damages and not a penalty.

ARTICLE 7 INSURANCE AND INDEMNITY

Metz agrees to maintain the following insurance coverage for the duration of this Agreement:

Commercial General liability insurance, including Products and Completed Operations coverage, in the amount of $1,000,000 each occurrence, $2,000,000 general aggregate. Metz’s insurance coverage shall name Client as an additional insured with respect to damage or personal injury caused by the acts or omissions of Metz at the Facility. Metz shall invoice Client for such insurance coverage based upon Metz’s company-wide rate applied to managed volume and Client shall pay such invoices in accordance with Article 2 hereof.

Liquor liability insurance in an amount not less than $1,000,000 per occurrence and $2,000,000 annual aggregate.

Metz shall furnish statutory workers’ compensation insurance as prescribed by the laws of the state in which the Facilities are located and employer’s liability insurance in the amount of $100,000 which insurance shall cover all of their respective employees in the Program. Each party agrees to furnish the other with a certificate evidencing such insurance.

Except to the extent that liability or damage is due to the fault of Client, which shall for the purposes of this section include Client’s officers, directors, supervisors, employees and agents and each of them in their governmental and individual capacities, Metz shall defend, indemnify and save and hold Client, its officers, directors, supervisors, employees and agents and each of them in their governmental and individual capacities, harmless from and against any and all liabilities, obligations, losses, damages, injunctions, suits, actions, fines, penalties, claims, demands, costs and expenses of every kind or nature, including reasonable attorneys’ fees and court costs, incurred by Client, to the extent arising directly or indirectly from or out of a violation of this Agreement by Metz and/or any failure of Metz, its officers, principals, agents and employees acting in the performance of their duties for Metz, to comply with any laws, ordinances, requirements, orders, directions, rules or regulations of any governmental authority and/or any willful or negligent act or omission of Metz or its employees, agents, invitees, customers, licensees or contractors acting in the performance of their duties for Metz. The obligations of Metz to indemnify and the rights of Client and its officers, directors, supervisors, employees and agents, to indemnification under this section shall survive termination or expiration of this Agreement.

To the extent allowable by law, Client hereby agrees to indemnify and hold harmless Metz, its officers, directors, shareholders and employees and each of them in their corporate and individual capacities, from any liability or damage any of them may incur, including reasonable attorneys’ fees, as a result of claims, demands, costs, or judgments of any kind or nature, by anyone whomsoever, arising out of any acts of Client in violation of this Agreement and/or any failure of Client, its officers, principals, agents and employees acting in the performance of their duties for Client, to comply with any laws, ordinances, requirements, orders, directions, rules or regulations of any governmental authority and/or any other negligent act or omission of Client, or its employees or agents, acting in the performance of their duties for Client, except to the extent such liability or damage is due to the willful acts, negligence or fault of Metz and/or Metz Personnel. Client’s obligations to indemnify and the rights of Metz and its officers, directors, shareholders, employees and agents, to indemnification under this section shall survive termination or expiration of this Agreement.

Each party waives all rights of recovery and subrogation against the other party for any loss to its property from perils which can be insured against under the standard form of fire insurance contract with extended coverage endorsement generally available in the state where the Facility is located,

whether or not the party has such insurance. Insurance policies carried by each party shall contain waiver of subrogation endorsements in favor of the other party.

Notwithstanding the foregoing, nothing in this Agreement shall be deemed as a waiver of immunity or limits of liability of Client beyond any statutory limited waiver of immunity or limits of liability which may have been adopted by the Florida Legislature in Section 768.28, Florida Statutes, or other statute or law, and nothing in this Agreement shall inure to the benefit of any third-party for the purpose of allowing any claim which would otherwise be barred under the Doctrine of Sovereign Immunity or by operation of law.

ARTICLE 8 FORCE MAJEURE

8.1   With the exception of the performance of payment obligations, neither Metz nor Client   shall have any liability for their respective failure to perform this Agreement when performance is prevented by force majeure. As used herein, the term “force majeure”, shall mean any requirement or request of any governmental authority or person purporting to act therefor, war, public disorders, acts of enemies, sabotage, strikes, lockouts, quarantines, declarations of State of Emergency for public health events, picketing, labor or employment difficulties, fires, acts of God, accidents or breakdowns, whether or not preventable, or any similar or dissimilar cause beyond the reasonable control of either party.

ARTICLE 9 DISSATISFACTORY PERFORMANCE
9.1  If Client becomes dissatisfied with Metz’s performance hereunder, Client agrees to give  Metz written notice detailing the specific aspects of Metz’s performance hereunder with which Client is dissatisfied and shall provide Metz a reasonable opportunity to respond to the notice within fifteen (15) days after Metz’s receipt thereof, by addressing with Client the issues identified in the notice and by outlining for Client the steps Metz intends to take, if any, to address such issues. Nothing herein shall prohibit Client’s right to terminate under Article 3.

ARTICLE 10
PROPRIETARY INFORMATION/PUBLIC RECORDS

During the term of this Agreement, Client acknowledges that it may acquire or obtain access to Proprietary Information of Metz. As used in this Agreement, “Proprietary Information” shall mean trade secrets related to the business of Metz or its affiliates.

All Proprietary Information and all physical embodiments thereof are confidential to and are and will remain the sole and exclusive property of Metz. In the event Client receives, obtains access or otherwise is exposed to any Proprietary Information, Client shall and shall cause its officers, employees and agents to, (1) hold the Proprietary Information in trust and in strictest confidence, (2) not produce, use, distribute or otherwise disseminate the Proprietary Information or any physical embodiments thereof, except to the extent required by the law or any lawful order of any court of competent jurisdiction or federal, state, or local agency having jurisdiction over Client.

employees of Client who are directly involved in performing the Services and have a specific need to know such information and who have agreed in writing to hold the Proprietary Information in trust and strictest confidence in accordance with the terms of this Agreement. Client will take reasonable precautions to prevent disclosure of Proprietary Information to those employees without a need to know such information.

Disclosure of Proprietary Information by Client will not be made to anyone other than to

10.3

Upon request by Metz, and in any event upon termination of this Agreement, Client shall return all Proprietary Information and other property belonging to Metz, including without limitation, all tangible materials containing or embodying Proprietary Information then in the custody, control or possession of Client or its officers, employees or agents.

If Client has any reason to believe that any of its officers, employees or agents has disclosed any Proprietary Information in violation of this Agreement, Client shall promptly notify Metz and shall cooperate with Metz to protect Metz’s interests in the Proprietary Information.

In view of the importance of the Proprietary Information to Metz and the incalculable and irreparable harm that would result to Metz if Client were to breach its covenants and agreements in connection with these matters, Client agrees that Metz may seek specific performance and/or injunctive relief to enforce the covenants and agreements in this Agreement, in addition to any other relief to which Metz may be entitled at law or in equity.

Notwithstanding the foregoing, Metz understands and agrees that certain documents prepared in connection to or provided to Client in connection with this Agreement may be public records, and accordingly, Metz agrees to comply with all applicable provisions of Florida law in handling such records, including, but not limited to, Section 119.0701, Florida Statutes. Metz acknowledges that the designated public records custodian for Client is Governmental Management Services – Central Florida, LLC (“Public Records Custodian”). Among other requirements and to the extent applicable by law, Metz shall 1) keep and maintain public records required by Client to perform the Services; 2) upon request by the Public Records Custodian, provide Client with the requested public records or allow the records to be inspected or copied within a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the Agreement term and following the contract term if Metz does not transfer the records to the Public Records Custodian of Client; and 4) upon completion of the term of this Agreement, transfer to Client, at no cost, all public records in Metz’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. All records stored electronically must be provided to Client in a format that is compatible with Microsoft Word or Adobe PDF formats, or as otherwise approved in advance by Client.

ARTICLE 11 MISCELLANEOUS

Notices. Any and all notices, consents, or directives by either party intended for the other shall be sent by registered or certified mail, return receipt requested, or by recognized overnight courier to the following addresses, unless either party shall have designated a different address by serving written notice of change of address on the other party by registered or certified mail. Notices shall be deemed receive upon actual receipt by the addressee

Addresses for Notices:

To Client:	Lake Ashton Community Development District
c/o Governmental Management Services – Central Florida, LLC 219 East Livingston Street
Orlando, Florida 32801 Attention: District Manager Telephone: (407) 841-5524

And:	Latham, Luna, Eden & Beaudine, LLP 111 North Magnolia Avenue, Suite 1400
Orlando, Florida 32801
Attention: Jan Albanese Carpenter, Esq., District Counsel Telephone: (407) 481-5872

To Metz:
Metz Culinary Management, Inc. Two Woodland Drive
Dallas, Pennsylvania 18612 Attention: Jeffrey C. Metz Telephone: (570) 675-8100

And:	Metz Culinary Management, Inc.
8274 Blaikie Court
Sarasota, Florida 34240
Telephone: (941) 554-4701

Severability; Construction of Provisions. In case one or more of the provisions contained in this Agreement, or parts hereof, should for any reason be held to be invalid, illegal or unenforceable in any respect by a court of competent jurisdiction, the same shall not affect any other provision in this Agreement, or part hereof, but rather this Agreement shall in that event be construed as if such invalid, illegal or unenforceable provision, or part hereof, had never been contained herein. The parties intend that if any provision of this Agreement is susceptible to two or more constructions, one of which would render the provision enforceable and the other or others of which would render the provision unenforceable, then the provision shall be given the meaning that renders it enforceable.

Entire Agreement. This Agreement constitutes the entire agreement of the parties with respect to the subject matter hereof, notwithstanding any additional, conflicting or different terms that may be contained in any statement, communication, quotation, acknowledgment, confirmation, purchase order, invoice, billing, or other form of either party. Further, neither party has relied on any representation, promise, agreement, condition or understanding which is not expressly set forth herein. The terms of this Agreement may not be amended or modified except by a further written statement signed by the parties hereto that specifically references the intent of the parties to amend or modify this Agreement. For the purposes of this Section, any such amendment or modification must be executed by a Vice President of Metz.

Beneficiaries of Agreement. This Agreement and the rights and obligations of the parties hereto will inure to the benefit of, will be binding upon, and will be enforceable by Client and Metz, and its lawful successors, representatives and permitted assigns.

Attorneys Fees. If either party brings an action to recover any sum due hereunder, or for any breach hereunder, and obtains a judgment or decree in its favor, the court may award to such prevailing party its reasonable costs and reasonable attorneys’ fees, specifically including reasonable attorneys’ fees incurred in connection with any appeals (whether or not taxable as such by law). No failure or delay on the part of either party hereto in exercising any right or remedy under this Agreement shall operate as a waiver thereof; nor shall any single or partial exercise of any such right or remedy preclude any other or further exercise thereof or of any other right or remedy. All remedies are cumulative hereunder. No provision of this Agreement may be waived except in writing signed by the party granting such waiver. For the purposes of this Section, any such waiver must be executed by a Vice President of Metz.

Applicable Law. This Agreement will be governed by and construed in accordance with the laws of the State of Florida. Any litigation arising under this Agreement shall be venued in the Circuit Court of Polk County Florida. THE PARTIES WAIVE TRIAL BY JURY AND AGREE TO SUBMIT TO THE PERSONAL JURIDICTION AND VENUE OF A COURT IN POLK COUNTY, FLORIDA.

Prior Dealings. No course of prior dealings between the parties and no usage of the trade shall be relevant to supplement or explain any term used in this Agreement. For the purposes of the interpretation of this Agreement and for the purposes of resolving any ambiguity herein, this Agreement was drafted by the joint efforts of both parties and no presumption shall be drawn in favor or against either of the parties by virtue of the Agreement’s authorship.

Headings. All heading and captions appearing herein are inserted for purposes of convenience and reference only, and shall not be used to construe or interpret any provision hereof.

Relationship of Parties. Notwithstanding anything herein to the contrary, the parties acknowledge and agree that Metz is an independent contractor and this Agreement does not constitute or appoint Metz as an agent of Client, which agency is hereby expressly disclaimed by Metz and Client. Client will have no right to control the means or method by which Metz performs the Services; the interest of Client in such respect is to ensure that the Services are performed in a competent, efficient, professional and satisfactory manner. Neither party shall hold itself out as, a partner, joint-venturer, agent, employee, or legal representative of the other, and neither party is otherwise authorized to act for or on behalf of the other as a result of this Agreement or any other agreement and neither party can act for nor legally bind the other. Neither party is authorized to make any agreement, warranty, covenant, or other representation nor to create any obligation, express or implied, on behalf of the other, nor shall either party represent that it has any right or power to do so.

Damages Waiver. Neither Client nor Metz shall be liable to the other or shall make any claim for any incidental, indirect or consequential damages arising out of, or connected in any way to the Program, the Services or this Agreement. This mutual waiver includes, but is not limited to, damages related to loss of use, loss of profits, loss of income, loss of reputation, unrealized savings or diminution of property value and shall apply to any type of cause of action.

Warranties. Except as expressly set forth in this Agreement, neither party makes, and each such party hereby specifically disclaims, any and all representations and warranties express or implied, arising by law or otherwise, arising under or relating to this Agreement or the subject matter of this Agreement.

Sovereign Immunity. Nothing contained herein shall cause or be construed as a waiver of Client’s sovereign immunity or limitations on liability beyond any limited waiver granted pursuant to Section 768.28, Florida Statutes, or other law, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the doctrine of sovereign immunity or by operation of law.

No Inconsistent Tax Position. Metz agrees that it is not entitled to and will not take any tax position that is inconsistent with being a service provider to client with respect to the Facility. For example, Metz agrees not to claim any depreciation or amortization deduction, investment tax credit, or deduction for any payment as rent with respect to the Facility.

Rules and Regulations. Metz acknowledges that Client is a special purpose government, subject to applicable federal, state and local laws and regulations. Client may, from time to time, promulgate, amend and require the observance by Metz and the public rules, policies and regulations

uniformly imposed and enforced in a non-discriminatory manner for the proper and efficient operation and maintenance of the Facility.

Liens, Generally. Metz shall not create or cause to be imposed, claimed or filed upon the Facility, or any portion thereof, or upon the interest of Client therein, any lien, charge or encumbrance whatsoever. If, because of any act or omission of Metz, any such lien, charge or encumbrance shall be imposed, claimed or filed, Metz shall, at its sole cost and expense, within twenty (20) days following written notice from Client, cause the same to be fully paid and satisfied or otherwise discharged of record (by bonding or otherwise) and Metz shall indemnify and save and hold Client harmless from and against any and all costs, liabilities, suits, penalties, claims and demands whatsoever, and from and against any and all attorneys’ fees, at both trial and all appellate levels, resulting or on account thereof and there from. In the event that Metz shall fail to comply with the foregoing provision, Client shall have the option of paying, satisfying or otherwise discharging (by bonding or otherwise) such lien, charge or encumbrance and Metz agrees to reimburse Client for all sums so paid and for all costs and expenses reasonably incurred by Client in connection therewith, together with interest thereon, until paid.

Metz’s Personal Property. All personal property of Metz and/or Metz Personnel that is placed or moved into the Facilities shall be at risk of Metz or the owner thereof and the Client shall not be liable for any damage to said personal property or to the Metz and/or Metz Personnel.

Non-Assignability. This Agreement cannot be assigned, encumbered or subcontracted by either party without the prior written consent of the other party. However, this Agreement may be assigned by Metz without the consent of Client to a successor to Metz by merger, consolidation or the purchase of substantially all of the assets of Metz.

ARTICLE 12 ANNUAL PLAN AND BUDGET

Metz acknowledges that Client’s fiscal year commences on October 1st and concludes on September 30th (hereinafter, “Fiscal Year”). By April 1st of each year of the Agreement term, Metz shall submit to Client, for Client’s approval, a proposed annual plan (the “Annual Plan”). The Annual Plan shall describe the major management goals and intended actions for the ensuing year, in reasonable detail, so as to enable Client to evaluate the intended conduct of the affairs of the Facilities during that period and can anticipate any budget adjustments for the following fiscal year. The Annual Plan shall specifically address, at a minimum: i) the anticipated operating, marketing, and agronomic practices planned to be undertaken,
iii) the estimated rates and fees to be charged relative to the use of the Facilities by patrons, and iii) an estimated operating and capital budget including Gross Revenue, Operating Expenses, and planned capital expenditures (collectively, the “Budget”) for Client’s upcoming Fiscal Year. Metz understands that the Client shall formally approve an annual budget after a properly noticed public hearing in August of each year. Therefore, the Annual Plan must be approved well in advance of August annually.

Client shall approve or disapprove (and, if disapproving, shall provide written comment on) the Annual Plan, including the Budget, within forty-five (45) days following its receipt of same. Client’s approval of the Annual Plan shall not be unreasonably withheld, conditioned or delayed. Upon request of Client, Metz shall provide Client with the data and information utilized in preparing the Annual Plan or any revisions thereto. If Client is unable to approve or disapprove the Annual Plan within the timeframes stated herein, the Annual Plan proposed by Metz shall be deemed approved.

Metz agrees that Client’s approval will be required prior to any material change to the Annual Plan. A material change with respect to the Budget shall mean any change that results in a line item increase of ten percent (10%) not to exceed $10,000.00. Notwithstanding the foregoing, Metz may

reallocate all or any portion of any amount budgeted with respect to items in the Budget to another item in the Budget; provided, however, any reallocation that equals or exceeds ten percent (10%) of the total Budget shall require Client’s approval. If Client is unable to approve or disapprove any changes or reallocations within forty-five (45) days following its receipt of notification of same, such changes or reallocations proposed by Metz shall be deemed approved.

After the Annual Plan is approved, Metz shall use its commercially reasonable efforts to operate the Facilities pursuant to the Annual Plan. Notwithstanding the foregoing, Client acknowledges that Metz has not made and, by proposing the Annual Plan, (i) does not make any guarantee, warranty, or representation of any nature concerning the Annual Plan, the amounts of Gross Revenue or Operating Expenses or net operating income, and (ii) does not have any liability to Client for any deficits in the Budget arising from the operation of the Facilities by Metz so long as Metz employs good faith, commercially reasonable efforts to operate pursuant to the Annual Plan and within the Budget.

This Agreement may be simultaneously executed in multiple counterparts, all of which shall constitute one and the same instrument and each of which shall be deemed to be an original.

[SIGNATURES ON FOLLOWING PAGES]

SIGNATURE PAGE TO AGREEMENT
between Lake Ashton Community Development District and Metz Culinary Management, Inc.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and delivered, in duplicate, by their duly authorized officers, effective as of the Effective Date.

METZ CULINARY MANAGEMENT, INC.:

BY:  	
ATTEST	PRINT NAME: 	 TITLE: 	

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT:

BY:  	

ATTEST	PRINT NAME: 	 TITLE: 	

EXHIBIT “A”

The “Facility”

The parties agree that the Facility consists of the following: the restaurant space within the Clubhouse containing approximately 3,987 gross square feet of interior floor area and the outdoor patio area adjacent to the Restaurant.

Additionally, Metz has non-exclusive rights (for management, oversight and provision of food and beverage service to the ballroom facility in the Clubhouse (the “Ballroom”)) and other areas of the Clubhouse (the Ballroom and other areas of the clubhouse, are referred to as the “Catering Facilities”). Metz agrees that Client may permit other caterers to provide food and beverage or other catering services to the Catering Facilities, in Client’s discretion.

EXHIBIT “B”

AGREEMENT

THIS AGREEMENT, (the “Agreement”), is made effective this        day of 	,October, 2020 (the “Effective Date”) by and between Century Residential, LLC d/b/a “Lake Ashton”, 4141 Ashton Club Drive, Lake Wales, Community Development District c/o Governmental Management Services – Central Florida 33859, LLC, 219 E. Livingston Street, Orlando, Florida 32801 (the “Client”) and Metz Culinary Management, Inc., a corporation organized and existing under the laws of the Commonwealth of Pennsylvania and authorized to transact business in Florida (“Metz”) with offices located at Two Woodland Drive, Dallas, Pennsylvania 18612.

BACKGROUND

 	A. Client is a local unit of special purpose government created in accordance with the Uniform Community Development District Act of 1980, Chapter 190, Florida Statutes, as amended and pursuant to City of Lake Wales, Florida Ordinance No. 2000-11, as amended by Ordinances 2001-01, 2002- 06 and 2005-11.

Metz is engaged in the business of supplying food management service to public and private institutions in the continental United States in connection with the operation of such institutions’ food services programs.

BC. Client desires to have Metz operate and manage Client’s dietary and food services operation and provide such other services or operate and manage such other activities as more fully described in Article 1 hereof.

CD. Metz desires to provide Client with the Services (as such term is defined in Article 1 hereof) on the terms and conditions set forth herein.

Now therefore, in consideration of the premises and the mutual agreements and covenants hereinafter set forth, the receipt and sufficiency of which is hereby acknowledged, the parties mutually agree as follows with the intention of being legally bound hereby:

ARTICLE 1 SCOPE OF SERVICES

All paragraphs of the Background are incorporated herein by reference as if fully set forth at length.

Client agrees to retain Metz and Metz agrees to accept such engagement from Client, to operate and manage Client’s food services program (the “Program”) and such other activities as set forth in this Article 1 (collectively referred to as the “Services”). The Services shall commence on November 1December 14, 2020 (the “Service Commencement Date”).

Client agrees to furnish to Metz for its Services under this Agreement and through the throughout the term of this Agreement, and any extensions or renewals thereof a facility,, that certain restaurant space and the adjacent covered patio area within the Lake Ashton Clubhouse (the “Clubhouse”) located at 4141 Ashton Club Drive, Lake Wales, Florida 33859, for the performanceas more fully described on Exhibit “A” attached hereto, the terms of the Services, which facility shall be completely and fully equipped and furnished to the reasonable satisfactionare made a part of Metzthis Agreement (the “Facility or the “Facilities”). After the execution of this Agreement and in any event prior to the Metz’s rendering

of any Services hereunder, Client shall ensure that the Facility, including but not limited to the kitchen in the Facility, shall be in good and clean condition. In the event that Metz determines, in its opinion, that the Facility, including but not limited to the kitchen, must be cleaned, the cost of such cleaning shall be charged to Client and shall be payable in accordance with Article 2 hereof. Metz shall promptly advise Client of any such additional cost.

Client will maintainassure that the FacilityFacilities remain in accordancecompliance with all statutes, regulations, ordinances, directives and/or rules of governmental bodies or agencies or public health agencies applicable to Client and the operation of the Program (“Applicable Law”). All items furnished by Client for use in (the Facility (the ““Personal Property”) shall remain the sole property of  Client, including any Investment Property described in Section 2.7 herein, and Client shall, at its sole cost and expense, maintain and make all necessary and reasonable repairs or replacements to such Personal Property and the Facility, except that Metz shall be responsible for all damage to the Personal Property and the FacilityFacilities caused by the gross negligence of its employees, principles, assigns and agents in the performance of their duties for Metz. Client shall at all times have ready access to the FacilityPersonal Property and Facilities to inspect and ensure that the Personal Property isand Facilities are being used in compliance with this Agreement, provided, however, that such access shall not interfere with Metz’s performance under this Agreement.

Metz agrees to employ and furnish any and all necessary qualified personnel as such positions and salary ranges are approved in advance by Client (the “Metz Personnel”) to operate Client’s Program. Metz agrees that Client shall have the right to approve personnel prior to their hiring, specifically the General Manager and Chef for the Facility. Client shall not be, and will not be deemed to be an employer or a joint employer of the Metz Personnel. for any reason whatsoever. Metz shall pay the Metz Personnel and shall bill Client who shall pay to Metz, in accordance with Article 2 hereof, the costs of the wages and/or salaries of the Metz Personnel together with a percentage rate (the “Percentage Rate”) of payroll that relates to direct and indirect payroll taxes, workers’ compensation insurance, employer’s portion of state and federal unemployment compensation tax, social security tax, accident and health insurance, life insurance and 401(k) contributions, incentive pay, fringe benefits and related overhead. In additional to the Percentage Rate, Metz shall invoice Client a payroll processing and administrative charge equal to five percent (5%) of payroll, which charge is already factored into the budgeted Taxes and Benefits expense in Exhibit A.“B,” as such Exhibit is described in Section 2.1. Metz shall notify Client from time to time of any changes in the Percentage Rate, which may be adjusted periodicallyannually by Metz to cover increases in costs or expenses.

Metz shall obtain, or cause to be obtained, at a cost that shall be reimbursed to Metz pursuant to Section 2.1 below, for each Metz Personnel employed at the Facility at any time, a criminal background check performed by an appropriate federal or state agency, or by a professional and licensed private investigator or investigation company, and shall make employment suitability determinations for each employee that are reasonable and customary within Metz’s industry for a high quality clubhouse restaurant. Metz shall maintain a copy of said background check on file for the duration of this Agreement. The Metz shall enforce strict discipline and good order among its employees on the Facility.

If requested in advance in writing by Client, Metz agrees to provide and carry on Metz’s payroll other employees required for the Program, such as Chefs, Consultants and Nutritionists, at wages, work hours and responsibilities to be mutually agreed upon by Metz and Client. Client agrees to pay Metz for the wages, payroll expenses and fringe benefits of any such employees in the same manner and under the same terms as Client pays Metz for the costs of Managementthe Metz Personnel as set forth in 1.5 above.

All hourly personnel of the Program who work at the FacilityFacilities will be part of the Metz Personnel.

Metz will determine the specifications for food and other supplies to be used in the Program and shall order quality food and supplies based on such specifications. Except as otherwise set forth herein, Metz shall be entitled to utilize Metz’s national account or other vendor systems to purchase food and supplies for the Program and Services. In the event any of Metz’s national account of vendors extend to Metz any credits, rebates or discounts related to Metz’s business or related to Metz’s relationships or business dealings with such respective vendors, including but not limited to any early payment discounts or volume discounts, Metz shall be entitled to exclusively retain such credits, rebates or discounts. Metz shall not be obligated to use or accept food or supplies from any vendor that does not meet the insurance and/or quality assurance requirements as may be established by Metz from time to time in its sole discretion.

The parties’ respective operational responsibilities for providing and paying vendors directly for the following items are indicated below unless the parties agree in advance in writing to any changes:
METZ	CLIENT
Food	X
Office supplies/stationery	X
In-service training materials/supplies	X
Shortlife equipment (pots/pans/utensils/knives for preparation and/or	X	
Preparation and/or service	X Telephone service, including long distance	X
Laundry	X
METZ	CLIENT

China/Silverware/Glassware and Replacements	X  
Cleaning/Dishwashing Supplies	X
Menu paper and printing	X
Photocopying	X
Kitchen paper/plastic	X	
Advertising	X
Marketing/merchandising materials for operation	X
Business licenses and permits	X Repairs – purchased services	X
Rented/leased equipment	X
Non-electric equipment replacement (Smallwares)	X
Minor equipment replacement	X
Major equipment replacement	X
Utilities – Garbage/trash removal	X
Pest Control	X
Service Contracts	X
Postage	X
Uniforms	X
Recruitment	X

The parties shall provide cleaning responsibilities as follows:

Kitchen

METZ	CLIENT

Floors	X
Walls	X
Equipment	X

Refrigerators and Freezers	X		
Vents		X	
Ceiling		X	
Duct Work		X	
Light Replacement		X	
Storage Areas			
Floors	X		
Wall		X	
Ceiling		X	
Shelving	X		

Café Dining Areas
Serving line/equipment	X
Serving line walls	X
Serving line floor/tile	X
Ceiling	X
Table tops and chairs	X
Furniture	X
Floors/carpet	X
Windows/walls	X
Drapery	X
Receiving Area
Pick-up/spot mop	X
Daily cleaning	X

 	1.11	Operation of Facility
Duties and Prohibited Conduct. Metz shall not use, or knowingly permit any invitee or other person to use the Facility for the sale or display of, or for any activity involving, pornography, nudity, violence, drug paraphernalia, or any goods and/or services and/or conduct which, in the sole discretion of Client, are inconsistent with the image of a community or senior-oriented club establishment, Metz shall not cause or permit waste to occur in the Facility, or overload any floor, or abuse the plumbing in the Facility. Metz shall keep the Facility and every part thereof in a clean and wholesome condition, free from any objectionable noise, music volumes, lights, odors or nuisances, which may be detected from outside the Facility (unless approved by Client in writing in advance), shall comply with all requirements of all governmental authorities, and shall conduct its activities in a manner which is environmentally sound. Unless otherwise permitted by the Agreement or approved by the Client in writing: (i) Metz shall not, without prior written approval from Client, display or sell merchandise, or place carts, portable signs, devices or any other objects, outside the defined exterior walls or roof and permanent doorways of the Facility; (ii) Metz shall not solicit or distribute material in any manner in any of the Common Areas of the Facility without prior approval of Client; and (iii) Metz shall not sell merchandise from vending machines or allow any coin- or token-operated vending, video, pinball or gaming machines in the Facility.

Covenants. Metz covenants and agrees that it will, throughout the Agreement term and without interruption (except for approved renovations with scheduled “down time”), from and after its initial opening of the Facility for business, operate and manage Facility under the provisions hereof during the mutually agreed upon hours of operation set forth below, except while the Facility is un-useable by reason of fire or other casualty or governmental health order prohibiting opening.

Metz acknowledges that the Facility is intended to provide only quality service and food and beverage service for the patrons of the Facility and that Metz will operate and conduct all aspects of its operations in accordance with this standard. Prior to the commencement of the Agreement Term, Metz shall provide the names and contact information of the manager, assistant manager(s) and any other key employees(s) hired by Metz for its business operations.

Except as otherwise provided for in Section 1.9 above, Metz shall pay all bills and costs related to its operation of the Facility as and when they come due or shall arrange for such payment to avoid the disruption or cancellation of any services required to be paid by Metz under this Agreement or the continuous operation of the Facility. Metz’s failure to pay or its inability to pay its vendors, shall, after applicable notice and cure period, constitute a default under this Agreement, and the Client shall not be responsible for any such payment not made by Metz. Metz shall not place any liens or encumbrances on the Facilities or Clubhouse or any property of Client.

Metz shall insure that the Facility is locked and safeguarded after regular business hours, and shall maintain proper and appropriate staffing to safeguard the Facility throughout regular business hours.

Metz agrees to provide advice and, after approval of such actions, to perform marketing, advertising and other actions to increase public awareness of the Restaurant.

Metz shall provide notice to Client if it becomes aware of a needed repair to the Facilities.

 	Metz shall provide a point of sale system for providing cash receipts, inventory, cost receipts, etc. to the Client and will provide monthly reports in the form attached hereto; Client must approve the cost for such system in advance of this purchase.

Operating Days and Hours. At a minimum, Metz shall operate the Facility from [11am to 8pm, 7 days per week]; Metz shall be responsible for serving brunch and dinner on Sundays; the remaining six days will need to consist of lunch and dinner services. Metz may elect to extend restaurant hours and days beyond the aforementioned minimum for special occasions. Exceptions to this agreement would be for Holidays and Emergencies only. Any change(s) in the regular schedule that would deviate from the minimum days and hours of operation must be brought to the attention of Client and approved by the Client’s Board of Supervisors, which approval shall not be unreasonably withheld.

180 days of the execution of this agreement. CDD shall provide a golf cart

Special Events. Metz agrees to provide “theme nights” in the Facility as well as to provide delivery services of meals to residents, marketplace events, frozen meal delivery and/or other special offerings reasonably requested or approved by Client; Metz agrees to implement a plan for providing these services to the Boards within
for Metz’s use. [Board must consider this issue]

 (e) Personnel Dress Code. Metz shall ensure that Metz Personnel shall wear uniforms or professional attire at all times that conform to safe work practices and the proper professional work environment for a similarly quality restaurant in Central Florida. Clothing that expresses or implies obscene language or graphics, degrading or demeaning connotations, as reasonably determined by the Client, shall be strictly prohibited.

Change of Restaurant Name. With Client’s prior approval, Metz may elect to change the trade name associated with the operation of the restaurant business on the Facility.

Duty to Report to Board of Supervisors. Metz agrees to provide to the Client’s Board of Supervisors a monthly report, which will include financials and a recap of events and/or news related to the Restaurant. The report will be submitted pursuant to Section 11.1 herein. Metz agrees to have a management level Metz Personnel attend all meetings of the Client’s Board of Supervisors and shall provide a verbal report at each meeting and be prepared to respond to questions of the Client’ Board of Supervisors.

ARTICLE 2
COMPENSATION

2.1	All costs of operating the Program and rendering the Services shall be borne by the
Client, including but not limited to the above referenced payroll costs and all costs as reflected in Exhibit A“B” attached hereto. Metz shall invoice such costs to Client on a monthly basis, which invoices shall be due and payable by Client within thirty (30) days following receipt. Metz shall invoice Client forthe user of the catering services (“User”) directly for all catered events and special functions following each such function, which invoices shall be due and payable by ClientUser within thirty (30) days following receipt. ; if Client is the User, Client shall be similarly billed.

Metz and Client agree that the annual budget for the first year of the Agreement (which shall be adjusted as necessary to benefit Client’s fiscal year which runs from October 1st to September 30th) shall be as set forth in Exhibit A“B” hereto. ad made a part hereof. Prior to the commencement of each subsequent fiscal year of the AgreementClient, Metz shall enter into discussions and confer with Client for the purpose of formulating the proposed budget for such year and Metz shall prepare and present the proposed budget for approval by Client, which approval shall not be unreasonably withheld.in accordance with Article 12 herein. Client’s approval is necessary for the annual budget, capital expenditures with respect to the managed property, each disposition of property that is part of the Facilities, rates charged for use of the managed property, and the general nature and type of use of the managed Facilities. The Client shall be entitled to receive any net profits generated by the operation of the Program. However, should there be losses in the operation of the Program, such losses shall be borne by the Client. Nothing contained in this Agreement shall be construed as a representation by Metz that the operation of the Program shall result in a profit to the Client or a guarantee that any budgetary goals shall be attained.

Metz’s services and pricing for catered events and special functions shall be as mutually agreed upon by the parties. ClientMetz shall be responsible for collecting revenues for catered events, special functions and all revenue generating activities from the User of the facilities.

All daily cash sales received from the Program shall be collected by Metz and credited against any sums owed Metz hereunder.

Client further agrees to pay to Metz a combined management and administrative fee of
$8070,000 per year for the first year of the term and $80,0000 per year for the second year of the term, which shall be billed and paid in equal, consecutive monthly installments of $6,666.67. The. For the third and subsequent years of the term, the management/administrative fee set forth above shall be subject to a negotiated increase annually, which increase shall in no event be lessno more than the lesser of (i) 5%, or (ii) the percentage increase, if any, during the preceding twelve (12) month period in the “Consumer Price Index Food Away From Home for All Urban Consumers (CPI-U) for the U.S. City Average for All Items,  1982-84=100” (unadjusted) as published monthly by the Bureau of Labor Statistics, United States Department of Labor (or a comparable index if that index is not available.) during the preceding twelve (12) month period
. If the Facility isFacilities are located in a jurisdiction that imposes a sales tax or other tax on the fees of Metz, such tax shall be paid monthly by Client together with the payment of fees. Metz’s compensation is not based on net losses, or both revenues and expenses of the managed property and the timing of compensation payments to Metz is not dependent on any net losses or gains.

In the event Client disputes any billing by Metz, Client shall notify Metz in writing within fifteen (15) days of the date of such billing as to the amount of the billing in dispute and the reason for such dispute. Any sums that are undisputed and unpaid after the above specified periods shall bear interest at the lesser of 1.5% per month or the maximum amount permitted by law accruing from the date such sums are due and owing to the date of payment. Acceptance by Metz of less than full payment on any billing or billings shall not be a waiver of any of Metz’s rights to collect the entire balance of such billing or billings plus interest, if any.

The parties acknowledge that Metz shall incur start-up expenses that shall be payable by Client as part of the first and/or subsequent monthly invoices pursuant to Section 2.1 above. The start-up expenses shall not exceed $58,000 and be used for the following: (i) two (2) months of pre-service management labor, (ii) two (2) weeks of opening and training expenses (including hourly labor), (iii) travel and lodging expenses to support the account and (iv) supply costs (including food, cleaning supplies and paper supplies).

Metz shall provide an investment to the Program in the aggregate amount not to
exceed $60,000 (the “Investment”) for certain mutually agreed upon equipment purchases and/or improvements to the Facility.Facilities (the “Investment Property”). All items purchased (including advertising and other non-tangible property) purchased with the Investment shall be the property of the Client and Metz shall have no claim to such property. The Investment shall be amortized by Metz on a monthly straight-line basis over the sixty (60) consecutive months of the term. In the event that the Agreement were to terminate for any reason prior to the full amortization of the Investment, Client shall reimburse Metz for the unamortized portion of the Investment within ten (10thirty (30) days of the termination. The obligations of Client pursuant to this paragraph shall survive the expiration and/or termination of the Agreement.

ARTICLE 3
TERM AND TERMINATION

The initial term of this Agreement will extend from the Service Commencement Date for a period of five (5) years and shall be automatically renewed. Thereafter, Client shall have the option to renew this Agreement for successive one (1) year periods, unless earlier terminated as follows: (a) by either party at the endproviding written notice of intent to extend this Agreement to Metz sixty (60) days prior to the expiration of the initial term or any renewal period, thereof.

Client or Metz may terminate this Agreement, with or without cause, upon sixty (60) days prior written notice stating such party’s intention not to renew the Agreement, (b) by Metz, at its option, upon five (5) daysninety (90) days’ prior written notice of termination to Client following the failure of Client to pay any amount due pursuant to this Agreement and (c) by either party, immediately, upon written notice to the other party. In the case of an event of the other party’s default in its material obligations hereunder (other than the failure to pay any amounts due and other than as provided in Article 9 hereof) and such default is not remediedby either party, as applicable, which default has not been cured within thirty (30ten
(10) days after receipt of written notice thereof from the non-defaulting party, the non-defaulting party may terminate this Agreement upon five days’ prior written notice specifyingto the default.

As soon as practicable following termination defaulting party; provided, however, that if such default is of this Agreementsuch a nature that it cannot be cured within such ten (10) day period, then such period shall be extended for such additional period as may be reasonable necessary to remedy the default, but in no event shall such remedy extend beyond sixty (60) days. Upon termination, Metz will surrender

possession of the Facility and the Property Facilities within three (3) days (which term can be extended upon the written mutual agreement of the parties) and the Facilities shall be in as good condition and order as when received, ordinary wear, tear and depreciation and obsolescence excepted and excepting any changes in the condition of the Facility and PropertyFacilities resulting from the actions or omissions of Client or any other third party. Notwithstanding anything to the contrary contained herein, if Client or any other governmental entity determines that continued operation of the Facilities by Metz presents a risk to the health, safety or welfare of users of the Facilities or the public, or if continued operation of the Facilities would violate Florida or federal law, Client shall be permitted to terminate this Agreement immediately, with or without issuing the notice of allowing for a cure period. Upon termination of this Agreement, all rights and obligations of the parties under this Agreement will immediately cease and terminate (except for indemnification, compensation accrued and unpaid to Metz as of the date of termination and the rights of Metz and the obligations of Client pursuant to ArticleArticles 2, 6, 7 and 10, all of which will survive such termination).

In the event termination is due to the fault of Metz, Metz shall be not be entitled to return of the Investment or Investment Property described in Section 2.7 herein.

ARTICLE 4
PROVISIONS RELATING TO START-UP AND TERMINATION

4.1	Immediately following the Effective Date and prior to the provision by Metz of any
Services hereunder, representatives of both parties hereto will jointly prepare an inventory (the “Inventory”) containing a list of the following:

jointly prepare an inventory of  (a)	all equipment of Client which is being furnished on the Service Commencement Date; and

jointly prepare an inventory of all dishware, flatware, glassware and similar loose items of Client (the “Smallwares”).

If at any time during the term of this Agreement or any extension or renewal thereof, Metz determines, in its opinion, that there is not an adequate inventory of Smallwares for normal operating requirements, the inventory of Smallwares shall be increased to normal operating levels at Client’s sole expense.Metz shall provide notice to Client pursuant to Section 11.1 herein. If at any time Client requests Metz to provide food service for any additional customers and Metz agrees to provide such additional service, it will be Client’s responsibility to provide, at its sole cost and expense, adequate operating levels of Smallwares as required, in Metz’s reasonable opinion, for such additional service. In the event Metz furnishes dishware, flatware, glassware and similar loose items to be used in the Program, Metz shall provide notice to Client under Section 11.1, receive Client’s approval, and bill Client each month for the costs associated with the loss and breakage of such items and Client shall pay such costs in accordance with Article 2 hereof. The loss and breakage of such items will be determined based upon a monthly physical inventory.

(c(d) The Inventory, including all property purchased as Investment Property, is and shall at all times remain property of the Client. Client’s Inventory list shall be updated at the conclusion or earlier termination of the Agreement term hereunder, and Metz shall be responsible for replacement/repair cost of any missing, damaged or otherwise unfit items resulting from Metz.

Within seven (7) business days following either party’s receipt of a notice of termination of this Agreement, the parties shall meet to discuss the transition of the Services and to account for any

amounts due from one party to the other. Notwithstanding Section 2.1, once a notice of termination is issued for any reason, all invoices shall be due within seven (7) days of Client’s receipt of the invoice.

In the event of termination of this Agreement, it is Client’s responsibility to direct the disposition of all remaining food and liquor inventory. Metz agrees to help liquidate such inventory upon request.

ARTICLE 5 COMPLIANCE WITH LAWS

Metz agrees to comply with all Applicable Laws, and will operate the Program and provide the Services in accordance with good sanitation practices as mandated by federal and state ordinances and local laws applicable to the Program.

Client will collect, be responsible for and remit to the appropriate taxing authority all sales taxes imposed upon revenues generated from sales in Program and revenues generated from sales in in- house vending machines for which Client is directly responsible.

Client will pay or, if already paid by Metz, will reimburse Metz for all other taxes, fees, assessments and licenses related to the Program or the Services, including without limitation, all sales and use taxes, liquor licenses where applicable and permitted by law, personal property taxes on equipment or investments provided to Client by Metz, taxes or fees imposed upon the operation of the FacilityFacilities, and including any sales and use taxes imposed on Metz’s fees or other charges to Client pursuant to this Agreement. Metz shall coordinate with Client to obtain any liquor and restaurant licenses needed for the Facilities. Metz shall hold such license(s) and will be reimbursed by Client for the costs associated with the liquor license(s). Metz shall cause all activities at the Facilities to be performed in accordance with all applicable laws, rules and regulations governing the sale and service of food and alcoholic beverages at the Facilities, as well as Metz’s obligation to pay any and all fees and charges on behalf of Client. Metz shall require all employees selling food and/or beverages at the Facilities to undertake the applicable training program(s) to comply with all laws and license requirements. Client shall cooperate and assist Manager as necessary in connection therewith. Upon termination of this Agreement, whether in whole or in part, Metz shall take all such actions as may be reasonably required to relinquish all rights and interests in such license(s), as applicable, to Client and/or a successor manager of the Facilities.

Client shall be responsible for the payment when due and payable of any taxes, fees, assessments or licenses being due any taxing authority resulting from any new taxes, legislation or enforcement position effectuated after the Effective Date hereof.

Neither party hereto shall discriminate because of race, color, religion, sex, age, national origin, known disability or status as a Vietnam era veteran or disabled veteran, and as further defined and prohibited by applicable federal and state government laws, in the recruitment, selection, training, utilization, promotion, termination, or other employment-related activities concerning food service personnel. The parties further agree to comply with the provisions of the Americans with Disabilities Act (ADA), and any changes to the physical facility necessary to comply with ADA shall be the responsibility of Client.

ARTICLE 6 EMPLOYEE/MANAGEMENT EMPLOYMENT RESTRICTION

Client acknowledges and agrees that Metz has provided to its employees, on a confidential basis, the Proprietary Information as defined in Article 10 below and that Metz has further made a significant investment of time, money and other resources in training its employees with respect to Metz’s

methods, procedures and systems. Accordingly, Client agrees that during the term of this Agreement (including any extensions or renewals thereof) and for a period of one (1) year following the expiration, termination or non-renewal of this Agreement (the “Period of Restriction”), it shall not directly or indirectly hire,knowingly authorize the hiring and/or permit the hiring (including employment by any successor contractor) of current or former management personnel of Metz to work as part of or in connection with Client’s food service program or programs (whether at the FacilityFacilities that isare the subject of this Agreement or elsewhere) nor shall it directly or indirectlyknowingly, on its own behalf or in the service of or on the behalf of others, solicit or contact current or former management personnel of Metz in an attempt to hire or employ said personnel. For purposes of this Section 6.1, “former personnel” shall mean a person that was employed by Metz during the then preceding twelve (12) month period., to which Client has knowledge of.

Notwithstanding the foregoing, Client shall not be deemed to have violated the foregoing solicitation/contact restrictions as a result of: (a) contact regarding possible employment prior to the date of this Agreement; (b) a general solicitation or advertisement that is not specifically directed to employees of Metz; or (c) referrals to Client by a search firm, employment agency or other similar entity provided that such entity has not been specifically instructed to solicit employees of Metz. However, in all such instances, even though the foregoing solicitation/contact restrictions would not apply, the foregoing hiring restrictions would still apply.

Client acknowledges that the restrictions contained in Section 6.1 of this Agreement are reasonable and necessary in view of the nature of Metz's business and in order to protect the legitimate business interests of Metz. Client further acknowledges that Client’s violation of the restrictions, or any one of them, would result in irreparable injury to Metz. Therefore, Client acknowledges that, in the event of Client’s violation or threatened violation of any of the restrictions set forth in Section 6.1, Metz shall be entitled to obtain from any court of competent jurisdiction, without being required to post a bond, preliminary and/or permanent injunctive relief restraining Client from any violation of these sections. Moreover, Client agrees that, in the event of Client’s violation of any of the restrictions set forth in Section 6.1, Client shall pay to Metz, at Metz’s election, an amount equal to 1.5 times the annual salary of the person or persons hired in violation of Section 6.1, which amount is to be considered to be liquidated damages and not a penalty.

ARTICLE 7 INSURANCE AND INDEMNITY

Metz agrees to maintain the following insurance coverage for the duration of this Agreement:

	Commercial General liability insurance, including Products and Completed Operations coverage, in the amount of $1,000,000 each occurrence, $2,000,000 general aggregate. Metz’s insurance coverage shall name Client as an additional insured with respect to damage or personal injury caused by the acts or omissions of Metz at the Facility. Metz shall invoice Client for such insurance coverage based upon Metz’s company-wide rate applied to managed volume and Client shall pay such invoices in accordance with Article 2 hereof.

Liquor liability insurance in an amount not less than $1,000,000 per occurrence and $2,000,000 annual aggregate.

Both partiesMetz shall furnish statutory workers’ compensation insurance as prescribed by the laws of the state in which the Facility isFacilities are located and employer’s liability insurance in the amount of $100,000 which insurance shall cover all of their respective employees in the Program. Each party agrees to furnish the other with a certificate evidencing such insurance.

Metz hereby agrees to indemnify and hold harmless Client, its officers, directors, shareholders, employees and agents     7.3     Except to the extent that liability or damage is due to the fault of Client, which shall for the purposes of this section include Client’s officers, directors, supervisors, employees and agents and each of them in their governmental and individual capacities, Metz shall defend, indemnify and save and hold Client, its officers, directors, supervisors, employees and agents and each of them in their governmental and individual capacities, harmless from and against any and all liabilities, obligations, losses, damages, injunctions, suits, actions, fines, penalties, claims, demands, costs and expenses of every kind or nature, including reasonable attorneys’ fees and court costs, incurred by Client, to the extent arising directly or indirectly from or out of a violation of this Agreement by Metz and/or any failure of Metz, its officers, principals, agents and employees acting in the performance of their duties for Metz, to comply with any laws, ordinances, requirements, orders, directions, rules or regulations of any governmental authority and/or any willful or negligent act or omission of Metz or its employees, agents, invitees, customers, licensees or contractors acting in the performance of their duties for Metz. The obligations of Metz to indemnify and the rights of Client and its officers, directors, supervisors, employees and agents, to indemnification under this section shall survive termination or expiration of this Agreement.

To the extent allowable by law, Client hereby agrees to indemnify and hold harmless Metz, its officers, directors, shareholders and employees and each of them in their corporate and individual capacities, from any liability or damage any of them may incur, including reasonable attorneys fees, as a result of claims, demands, costs, or judgments of any kind or nature, by anyone whomsoever, arising out of any acts of Metz in violation of this Agreement or any negligent or intentionally wrongful acts or omissions of Metz, except to the extent such liability or damage is due to the negligence or fault of Client. The obligations of Metz to indemnify and the rights of Client and its officers, directors, shareholders, employees and agents, to indemnification under this section shall survive termination or expiration of this Agreement.

Client hereby agrees to indemnify and hold harmless Metz, its officers, directors, shareholders, employees and agents and each of them in their corporate and individual capacities, from any liability or damage any of them may incur, including reasonable attorneysattorneys’ fees, as a result of claims, demands, costs, or judgments of any kind or nature, by anyone whomsoever, arising out of any acts of Client in violation of this Agreement and/or any negligent or intentionally wrongful acts or omissionsfailure of Client, its officers, principals, agents and employees acting in the performance of their duties for Client, to comply with any laws, ordinances, requirements, orders, directions, rules or regulations of any governmental authority and/or any other negligent act or omission of Client, or its employees or agents, acting in the performance of their duties for Client, except to the extent such liability or damage is due to the willful acts, negligence or fault of Metz and/or Metz Personnel. Client’s obligations to indemnify and the rights of Metz and its officers, directors, shareholders, employees and agents, to indemnification under this section shall survive termination or expiration of this Agreement.

Each party waives all rights of recovery and subrogation against the other party for any loss to its property from perils which can be insured against under the standard form of fire insurance contract with extended coverage endorsement generally available in the state where the Facility is located, whether or not the party has such insurance. Insurance policies carried by each party shall contain waiver of subrogation endorsements in favor of the other party.

Notwithstanding the foregoing, nothing in this Agreement shall be deemed as a waiver of immunity or limits of liability of Client beyond any statutory limited waiver of immunity or limits of liability which may have been adopted by the Florida Legislature in Section 768.28, Florida Statutes, or other statute or law, and nothing in this Agreement shall inure to the benefit of any third-party for the purpose of allowing any claim which would otherwise be barred under the Doctrine of Sovereign Immunity or by operation of law.

ARTICLE 8 FORCE MAJEURE

8.1   With the exception of the performance of payment obligations, neither Metz nor Client   shall have any liability for their respective failure to perform this Agreement when performance is prevented by force majeure. As used herein, the term “force majeure”, shall mean any requirement or request of any governmental authority or person purporting to act therefor, war, public disorders, acts of enemies, sabotage, strikes, lockouts, quarantines, declarations of State of Emergency for public health events, picketing, labor or employment difficulties, fires, acts of God, accidents or breakdowns, whether or not preventable, or any similar or dissimilar cause beyond the reasonable control of either party.

ARTICLE 9 DISSATISFACTORY PERFORMANCE
9.1 Notwithstanding anything to the contrary in Section 3.1 hereof, ifIf Client becomes dissatisfied with Metz’s performance hereunder, Client shallagrees to give Metz written notice detailing the specific aspects of Metz’s performance hereunder with which Client is dissatisfied and shall provide Metz a reasonable opportunity to respond to the notice within thirty (30fifteen (15) days after Metz’s receipt thereof, by addressing with Client the issues identified in the notice and by outlining for Client the steps Metz intends to take, if any, to address such issues. Nothing herein shall prohibit Client’s right to terminate under Article 3.

ARTICLE 10
PROPRIETARY INFORMATION/PUBLIC RECORDS

During the term of this Agreement, Client acknowledges that it may acquire or obtain access to Proprietary Information of Metz. As used in this Agreement, “Proprietary Information” shall mean trade secrets or confidential information related to the business of Metz or its affiliates which includes, but is not limited to, technical and nontechnical data, information and depictions related to the operations, systems, computer programs, software, diet manuals, videotapes, methods, techniques, processes, finances (including but not limited to pricing, fee and cost information), actual or potential customers and suppliers, existing and future products, recipes, procedures, personnel manuals and procedures, and employment and staffing of Metz and its affiliates. Proprietary Information also includes but is not limited to information that has been stamped or otherwise designated by Metz to be Proprietary Information or confidential and information disclosed to Metz by a third party that Metz is obligated to treat as confidentialrelated to the business of Metz or its affiliates.

All Proprietary Information and all physical embodiments thereof are confidential to and are and will remain the sole and exclusive property of Metz. In the event Client receives, obtains access or otherwise is exposed to any Proprietary Information, Client shall and shall cause its officers, employees and agents to, (1) hold the Proprietary Information in trust and in strictest confidence, (2) not produce, use, distribute or otherwise disseminate the Proprietary Information or any physical embodiments thereof, except to the extent required by the law or any lawful order of any court of competent jurisdiction or federal, state, or local agency having jurisdiction over Client, provided that Client shall give Metz prior notice of such disclosure such that Metz shall have the opportunity to obtain an order of court prohibiting or limiting such disclosure and (3) otherwise protect the Proprietary Information from disclosure..

employees of Client who are directly involved in performing the Services and have a specific need to know such information and who have agreed in writing to hold the Proprietary Information in trust and strictest

Disclosure of Proprietary Information by Client will not be made to anyone other than to

10.3

confidence in accordance with the terms of this Agreement. Client will take reasonable precautions to prevent disclosure of Proprietary Information to those employees without a need to know such information.

Upon request by Metz, and in any event upon termination of this Agreement, Client shall return all Proprietary Information and other property belonging to Metz, including without limitation, all tangible materials containing or embodying Proprietary Information then in the custody, control or possession of Client or its officers, employees or agents.

If Client has any reason to believe that any of its officers, employees or agents has disclosed any Proprietary Information in violation of this Agreement, Client shall promptly notify Metz and shall cooperate with Metz to protect Metz’s interests in the Proprietary Information.

In view of the importance of the Proprietary Information to Metz and the incalculable and irreparable harm that would result to Metz if Client were to breach its covenants and agreements in connection with these matters, Client agrees that Metz may seek specific performance and/or injunctive relief to enforce the covenants and agreements in this Agreement, in addition to any other relief to which Metz may be entitled at law or in equity.

Client shall not disclose the substance of this Agreement to any third party except as or to the extent required by law or the lawful order of any court of competent jurisdiction or federal, state, or local agency having jurisdiction over Client, provided that Client shall give Metz prior notice of such disclosure such that Metz shall have the opportunity to obtain an order of court prohibiting or limiting such disclosure.
10.7 Notwithstanding the foregoing, Metz understands and agrees that certain documents prepared in connection to or provided to Client in connection with this Agreement may be public records, and accordingly, Metz agrees to comply with all applicable provisions of Florida law in handling such records, including, but not limited to, Section 119.0701, Florida Statutes. Metz acknowledges that the designated public records custodian for Client is Governmental Management Services – Central Florida, LLC (“Public Records Custodian”). Among other requirements and to the extent applicable by law, Metz shall 1) keep and maintain public records required by Client to perform the Services; 2) upon request by the Public Records Custodian, provide Client with the requested public records or allow the records to be inspected or copied within a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the Agreement term and following the contract term if Metz does not transfer the records to the Public Records Custodian of Client; and 4) upon completion of the term of this Agreement, transfer to Client, at no cost, all public records in Metz’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. All records stored electronically must be provided to Client in a format that is compatible with Microsoft Word or Adobe PDF formats, or as otherwise approved in advance by Client.

ARTICLE 11 MISCELLANEOUS

All  noticesNotices.	Any and communications permittedall notices, consents, or requireddirectives by this Agreement either party intended for the other
shall be in writing and shall be deliveredsent by nationally registered or certified mail, return receipt requested, or by recognized overnight courier with the receipt of recipient acknowledged by signature at theto the following addresses, unless either party shall have designated a different address set forth above (or at such other by serving written notice of change of address as either party shall designate in writing to the on the other party during the term of this Agreement, or any extensionby registered or renewal thereof).

In addition, Client shall also deliver a copy of any all notices to Metz at the Facility by hand delivering such copy to a Manager of Metz. certified mail. Notices shall be deemed receivedreceive upon actual receipt by the addressee.

 	11.2	
Addresses for Notices:

To Client:	Lake Ashton Community Development District
 	c/o Governmental Management Services – Central Florida, LLC
 	219 East Livingston Street
Orlando, Florida 32801
 	Attention: District Manager
 	Telephone: (407) 841-5524

And:	Latham, Luna, Eden & Beaudine, LLP
 	111 North Magnolia Avenue, Suite 1400
 	Orlando, Florida 32801
 	Attention: Jan Albanese Carpenter, Esq., District Counsel
 	Telephone: (407) 481-5872

To Metz:	
 	Metz Culinary Management, Inc.
Two Woodland Drive Dallas, Pennsylvania 18612
 	Attention: Jeffrey C. Metz
Telephone: (570) 675-8100

And:	Metz Culinary Management, Inc.
 	8274 Blaikie Court
 	Sarasota, Florida 34240
 	Telephone: (941) 554-4701

Severability; Construction of Provisions. In case one or more of the provisions contained
in this Agreement, or parts hereof, should for any reason be held to be invalid, illegal or unenforceable in any respect by a court of competent jurisdiction, the same shall not affect any other provision in this Agreement, or part hereof, but rather this Agreement shall in that event be construed as if such invalid, illegal or unenforceable provision, or part hereof, had never been contained herein. The parties intend that if any provision of this Agreement is susceptible to two or more constructions, one of which would render the provision enforceable and the other or others of which would render the provision unenforceable, then the provision shall be given the meaning that renders it enforceable.

Entire Agreement. This Agreement constitutes the entire agreement of the parties with respect to the subject matter hereof, notwithstanding any additional, conflicting or different terms that may be contained in any statement, communication, quotation, acknowledgment, confirmation, purchase order, invoice, billing, or other form of either party. Further, neither party has relied on any representation, promise, agreement, condition or understanding which is not expressly set forth herein. The terms of this Agreement may not be amended or modified except by a further written statement signed by the parties hereto that specifically references the intent of the parties to amend or modify this Agreement. For the purposes of this Section, any such amendment or modification must be executed by a Vice President of Metz.

Beneficiaries of Agreement. This Agreement and the rights and obligations of the parties hereto will inure to the benefit of, will be binding upon, and will be enforceable by Client and Metz, and its lawful successors, representatives and permitted assigns.

 	11.5 If Metz deems it necessary to enforce this Agreement by or through an attorney at law, Client shall pay to Metz upon demand all costs and expenses incurred by Metz in connection with such enforcement, including, without limitation, attorney’s fees.   11.5   Attorneys Fees.   If either party   brings an action to recover any sum due hereunder, or for any breach hereunder, and obtains a judgment or decree in its favor, the court may award to such prevailing party its reasonable costs and reasonable attorneys’ fees, specifically including reasonable attorneys’ fees incurred in connection with any appeals (whether or not taxable as such by law). No failure or delay on the part of either party hereto in exercising any right or remedy under this Agreement shall operate as a waiver thereof; nor shall any single or partial exercise of any such right or remedy preclude any other or further exercise thereof or of any other right or remedy. All remedies are cumulative hereunder. No provision of this Agreement may be waived except  in writing signed by the party granting such waiver. For the purposes of this Section, any such waiver must be executed by a Vice President of Metz.

Applicable Law. This Agreement will be governed by and construed in accordance with the laws of the State of Georgia. Florida. Any litigation arising under this Agreement shall be venued in the Circuit Court of Polk County Florida. THE PARTIES WAIVE TRIAL BY JURY AND AGREE TO SUBMIT TO THE PERSONAL JURIDICTION AND VENUE OF A COURT IN POLK COUNTY, FLORIDA.

Prior Dealings. No course of prior dealings between the parties and no usage of the trade shall be relevant to supplement or explain any term used in this Agreement. For the purposes of the interpretation of this Agreement and for the purposes of resolving any ambiguity herein, this Agreement was drafted by the joint efforts of both parties and no presumption shall be drawn in favor or against either of the parties by virtue of the Agreement’s authorship.

Headings. All heading and captions appearing herein are inserted for purposes of convenience and reference only, and shall not be used to construe or interpret any provision hereof.

Relationship of Parties. Notwithstanding anything herein to the contrary, excluding Section 1.11, the parties acknowledge and agree that Metz is an independent contractor and this Agreement does not constitute or appoint Metz as an agent of Client, which agency is hereby expressly disclaimed by Metz and Client, except for the limited agency as set forth in Section 1.11.. Client will have no right to control the means or method by which Metz performs the Services; the interest of Client in such respect is to ensure that the Services are performed in a competent, efficient, professional and satisfactory manner. Neither party shall hold itself out as, a partner, joint-venturer, agent (except for the limited agency as set forth in Section 1.11),, employee, or legal representative of the other, and neither party is otherwise authorized to act for or on behalf of the other as a result of this Agreement or any other agreement and neither party can act for nor legally bind the other, except for the limited agency as set forth in Section 1.11. Except for the limited agency as set forth in Section 1.11, neither. Neither party is authorized to make any agreement, warranty, covenant, or other representation nor to create any obligation, express or implied, on behalf of the other, nor shall either party represent that it has any right or power to do so.

Damages Waiver. Neither Client nor Metz shall be liable to the other or shall make any claim for any incidental, indirect or consequential damages arising out of, or connected in any way to the Program, the Services or this Agreement. This mutual waiver includes, but is not limited to, damages related to loss of use, loss of profits, loss of income, loss of reputation, unrealized savings or diminution of property value and shall apply to any type of cause of action.

Warranties. Except as expressly set forth in this Agreement, neither party makes, and each such party hereby specifically disclaims, any and all representations and warranties express or implied, arising by law or otherwise, arising under or relating to this Agreement or the subject matter of this Agreement.

 	11.12 Sovereign Immunity. Nothing contained herein shall cause or be construed as a waiver of Client’s sovereign immunity or limitations on liability beyond any limited waiver granted pursuant to Section 768.28, Florida Statutes, or other law, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the doctrine of sovereign immunity or by operation of law.

 	11.13 No Inconsistent Tax Position.  Metz agrees that it is not entitled to and will not take any  tax position that is inconsistent with being a service provider to client with respect to the Facility. For example, Metz agrees not to claim any depreciation or amortization deduction, investment tax credit, or deduction for any payment as rent with respect to the Facility.

 	11.14 Rules and Regulations. Metz acknowledges that Client is a special purpose government, subject to applicable federal, state and local laws and regulations. Client may, from time to time, promulgate, amend and require the observance by Metz and the public rules, policies and regulations uniformly imposed and enforced in a non-discriminatory manner for the proper and efficient operation and maintenance of the Facility.

11.15 Liens, Generally. Metz shall not create or cause to be imposed, claimed or filed upon the Facility, or any portion thereof, or upon the interest of Client therein, any lien, charge or encumbrance whatsoever. If, because of any act or omission of Metz, any such lien, charge or encumbrance shall be imposed, claimed or filed, Metz shall, at its sole cost and expense, within twenty (20) days following written notice from Client, cause the same to be fully paid and satisfied or otherwise discharged of record (by bonding or otherwise) and Metz shall indemnify and save and hold Client harmless from and against any and all costs, liabilities, suits, penalties, claims and demands whatsoever, and from and against any and all attorneys’ fees, at both trial and all appellate levels, resulting or on account thereof and there from. In the event that Metz shall fail to comply with the foregoing provision, Client shall have the option of paying, satisfying or otherwise discharging (by bonding or otherwise) such lien, charge or encumbrance and Metz agrees to reimburse Client for all sums so paid and for all costs and expenses reasonably incurred by Client in connection therewith, together with interest thereon, until paid.

 	11.16 Metz’s Personal Property. All personal property of Metz and/or Metz Personnel that is placed or moved into the Facilities shall be at risk of Metz or the owner thereof and the Client shall not be liable for any damage to said personal property or to the Metz and/or Metz Personnel.

 	11.17 Non-Assignability. This Agreement cannot be assigned, encumbered or subcontracted by either party without the prior written consent of the other party. However, this Agreement may be assigned by Metz without the consent of Client to a successor to Metz by merger, consolidation or the purchase of substantially all of the assets of Metz.

ARTICLE 12 ANNUAL PLAN AND BUDGET

12.1 Metz acknowledges that Client’s fiscal year commences on October 1st and concludes on September 30th (hereinafter, “Fiscal Year”). By April 1st of each year of the Agreement term, Metz shall submit to Client, for Client’s approval, a proposed annual plan (the “Annual Plan”). The Annual Plan shall describe the major management goals and intended actions for the ensuing year, in reasonable detail, so as

to enable Client to evaluate the intended conduct of the affairs of the Facilities during that period and can anticipate any budget adjustments for the following fiscal year. The Annual Plan shall specifically address, at a minimum: i) the anticipated operating, marketing, and agronomic practices planned to be undertaken, iii) the estimated rates and fees to be charged relative to the use of the Facilities by patrons, and iii) an estimated operating and capital budget including Gross Revenue, Operating Expenses, and planned capital expenditures (collectively, the “Budget”) for Client’s upcoming Fiscal Year. Metz understands that the Client shall formally approve an annual budget after a properly noticed public hearing in August of each year. Therefore, the Annual Plan must be approved well in advance of August annually.

 	12.2  Client shall approve or disapprove (and, if disapproving, shall provide written comment   on) the Annual Plan, including the Budget, within forty-five (45) days following its receipt of same. Client’s approval of the Annual Plan shall not be unreasonably withheld, conditioned or delayed. Upon request of Client, Metz shall provide Client with the data and information utilized in preparing the Annual Plan or any revisions thereto. If Client is unable to approve or disapprove the Annual Plan within the timeframes stated herein, the Annual Plan proposed by Metz shall be deemed approved.

increase of ten percent (10%) not to exceed $10,000.00.

 	12.3	Metz agrees that Client’s approval will be required prior to any material change to the Annual Plan. A material change with respect to the Budget shall mean any change that results in a line item
Notwithstanding the foregoing, Metz may reallocate all or any portion of any amount budgeted with respect to items in the Budget to another item in the Budget; provided, however, any reallocation that equals or exceeds ten percent (10%) of the total Budget shall require Client’s approval. If Client is unable to approve or disapprove any changes or reallocations within forty-five (45) days following its receipt of notification of same, such changes or reallocations proposed by Metz shall be deemed approved.

12.4 After the Annual Plan is approved, Metz shall use its commercially reasonable efforts to operate the Facilities pursuant to the Annual Plan. Notwithstanding the foregoing, Client acknowledges that Metz has not made and, by proposing the Annual Plan, (i) does not make any guarantee, warranty, or representation of any nature concerning the Annual Plan, the amounts of Gross Revenue or Operating Expenses or net operating income, and (ii) does not have any liability to Client for any deficits in the Budget arising from the operation of the Facilities by Metz so long as Metz employs good faith, commercially reasonable efforts to operate pursuant to the Annual Plan and within the Budget.

 	This Agreement may be simultaneously executed in multiple counterparts, all of which shall constitute one and the same instrument and each of which shall be deemed to be an original.

[SIGNATURES ON FOLLOWING PAGES]

SIGNATURE PAGE TO AGREEMENT
between Lake Ashton Community Development District and Metz Culinary Management, Inc.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and delivered, in duplicate, by their duly authorized officers, effective as of the Effective Date.

METZ CULINARY MANAGEMENT, INC.:

BY:  	
ATTEST	PRINT NAME: 	 TITLE: 	

CENTURY RESIDENTIAL, LLC:

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT:

BY:  	
ATTEST	PRINT NAME: 	 TITLE: 	

EXHIBIT “A”

Proforma - Year 1	
Lake Ashton	
Note: Including $500 Annual Household Minimum Spend	
						
			Total		
			$	%		
	Sales					
		Retail	1,285,020	85.5%		
		Catering	217,800	14.5%		
						
	Total Sales and Revenue	1,502,820	100.0%		
						
	Cost of Goods SManual.Sales				
		Retail	360,096	24.0%		
		Catering	60,984	4.1%		
						
	Total COGS	421,080	28.0%		
						
	Gross Profit	1,081,740	72.0%		
						
	Labor Cost				
		Management Salaries	152,250	10.1%		
		Hourly Wages	439,291	29.2%		
		Vacation Salaries & Wages	10,931	0.7%		
		Taxes & Benefits	171,737	11.4%		
						
	Total Labor Cost	774,208	51.5%		
						
	Controllable Costs				
		Laundry	15,137	1.0%		
		Cleaning & Mtce	10,520	0.7%		
		Paper Goods	28,786	1.9%		
		Menus/Printing	800	0.1%		
		Office Supplies/Postage	3,500	0.2%		
		Uniforms	4,000	0.3%		
		Repairs & Mtce	8,000	0.5%		
		Promo/Decorations/Flowers/Advertising	8,000	0.5%		
		Drug Testing/Employee Training	1,300	0.1%		
		Marketing/Advertising	12,000	0.8%		
		Travel & Lodging	4,000	0.3%		
		Fuel & Auto Mtce	3,600	0.2%		
		Service Contracts / Pest Control	2,000	0.1%		
		Misc	7,514	0.5%		
						
	Total Controllable Cost	$109,157	7.3%		
						
	Non-Controllable Costs				
		Equipment Rental	3,000	0.2%		
		Admin & Supv Fee	40,000	2.7%		
		Management Fee	40,000	2.7%		
		Computer Exp (Inc CTUIT)	4,935	0.3%		
		CC Fees	38,768	2.6%		
		Insurance - G/L	10,820	0.7%		
		Liquor License	3,400	0.2%		
						
	Total Non-Controllable Cost	$140,924	9.4%		
						
	Sub-Total Cost of On-going Operations	1,445,369	96.2%		
						
	Net Income	57,451	3.8%		
						
	Opening Costs / Smallwares (incl 25K to build inventory stocks)	$60,000		

 The “Facility”

The parties agree that the Facility consists of the following: the restaurant space within the Clubhouse containing approximately 3,987 gross square feet of interior floor area and the outdoor patio area adjacent to the Restaurant.

Additionally, Metz has non-exclusive rights (for management, oversight and provision of food and beverage service to the ballroom facility in the Clubhouse (the “Ballroom”)) and other areas of the Clubhouse (the Ballroom and other areas of the clubhouse, are referred to as the “Catering Facilities”). Metz agrees that Client may permit other caterers to provide food and beverage or other catering services to the Catering Facilities, in Client’s discretion.

 EXHIBIT “B”

SECTION VII

SECTION B

Lake Ashton Community Development District

Community Director Report	

Submitted by: Christine Wells – Community Director October 19, 2020	

Events and Activities
“Under the Stars” Outdoor Movies have been a hit with residents. There have been 2 outdoor movies so far and each event averaged about 15-20 golf carts. Sponsorships have been sold for $200 each from October-December for a total of $1,200 received so far.
October is Breast Cancer Awareness month. Staff has a collection in place to collect hat, scarves, and other head coverings to be donated to American Cancer Society. A motivational speaker is scheduled, a free beading class will be held and the last event will be the Girls Night In event on October 17.
Flu Shots by Walgreens are scheduled for October 19 in the Ballroom.
A free Tie Dye Class will be held on October 21, a pallet painting class on October 23, and an essential oils class on October 29. Astronomy Night has returned and is on October 29 followed by the Fall Festival and Pet Parade ending the month. Sponsorships are continuing to be sold
for the Fall Festival. A total of $2,450 has been collected so far.
The following sanitation procedures are in place for all events in the Clubhouse:
Masks will be worn for all events.
Hand sanitizer will be available in multiple locations at each event.
Tables will be placed 6 feet apart and a maximum of 4 chairs will be placed at each table.
Tables and chairs will be sanitized before and after each event.
Disposable gloves will be available at all events.
All snack items will be individually wrapped, when provided.
Phase III of the Clubhouse reopening plan was put in place on Wednesday, October 7. The new operating hours for the Clubhouse are 6 am – 10 pm, 7 days per week. A copy of the full plan has been sent out via email blast to residents.
Shows have been scheduled for the 2021 entertainment season and will be advertised in the November LA Times. Tickets for these shows will go on sale in December and will follow Ballroom capacity guidelines in place. Staff is recommending these shows to be individual shows versus Entertainment Series shows. Staff is recommending to put the Entertainment Series on hold until the 2022 season with renewals and new season tickets going on sale starting October 2021. Staff will offer individual shows and other special events for the 2021 season.
There are two Entertainment Series shows, The Doo Wop Reunion and Celebrate from the 2020 season that have been rescheduled to March and April 2021. These shows will be available to only those residents that already have a ticket. No other tickets will be sold for these 2 shows.
Staff purchased a sanitizing fogger designed to cover large areas and this will be used before and after each event in the Ballroom. This will also be used in each room throughout the day between uses.
Staff will be presenting bus trips and the sanitation procedures in place by Small World Tours for resident consideration in the November LA Times. In addition to air purifiers installed on the coaches, there will be capacity restrictions as well as a seating chart allowing residents to load the coach from back to front. Masks will be required while on the bus and hand sanitizer will be used every time residents get on and off the coach.

Newsletter Ad Revenue:
The October LA Times newsletter generated $8,721.75 in newsletter revenue.

Landscaping Projects Complete:
The Blue Daze that was approved at the September BOS meeting was installed on the northeast side of the Clubhouse and under the magnolia trees in the west parking lot.

Oyster plants were replaced at the Thompson Nursery Road Entrance. These were covered under warranty so there was no charge to the District for the replacement.

The following declining plants will be removed over the next month. No replacement is needed at this time for a few of the options. The declining willow tree will be replaced by LAVA, once approved.

Clubhouse Completed Projects:

The Chandelier has been removed in the Foyer and lights have been replaced to give a brighter look in the area.
Pavement/Stormwater Management: These are concerns brought up by residents since the September BOS Meeting. The District Engineer is working on finalizing the report for Pavement Management. The report for Stormwater Management was previously sent to the Board.
A few residents have reported a hole behind the outfall structure on pond 17. The District Engineer has this, in addition to other items throughout the community, on the list of items to be repaired once water levels lower.

A couple of residents reported drainage issues near 3616 Blackmoor Lane. The issue was passed along to the District Engineer and he replied that he is finalizing the lists of areas that are most in need of repair and this is on the list of items, in addition to other items throughout the community.

Lake Ashton Community Development District Project Tracking List

Project Name	Budget	Board of Supervisor
Approval	Scheduled
Start Time	Scheduled
Completion	Current Status	Status
Updated	
Clubhouse Projects							

Fitness Center Restroom Refurbishment	
$31,450.00	
6/15/2020	
approx 3-4 weeks	
Approx 2 weeks	Blackburn's Interiors agreed to match the previous contractors price and will begin as soon as materials are in stock (approximately 3-4 weeks)	
9/14/2020	

Bowling Alley Well Point System	

Insurance Claim	

Insurance Claim	

7/13/2020	

Approximately 4 weeks	
Week of 10-12-20: Contractor will be back this week to accomplish the following: Try and close of the wall to keep water from entering the bowling pit area.Seal floor and stem walls of bowling pit.Close up kitchen floor and install tile the cleanup area. If no further water issues found.
Install well point tubing.Monitor water levels as this may have an impact on schedule.
Week of 10-19-20: Install pump and final well points in stem walls.Close stem wall and final coat of sealant.Test well point system. Monitor water levels as this may have an impact on schedule.
Week of 10-26-20: Repair all electrical conduit and lines in pit area. Begin framing of approach floor and if time begin to install approach.
Week of 11-02-20: Final close up of approach and testing of bowling lanes and equipment. Install of carpet and final clean up. This is all dependent of resolution of the water intrusion and CPH (contractor's Engineer) getting drawings to the contractor the week of 10/12/20. PLEASE NOTE
SCHEDULE IS SUBJECT TO CHANGE.	

10/12/2020	

Vanity Replacement in Restrooms	
$4,946.13	
7/13/2020	
TBD		Project is on hold until Fitness Center Tile Replacement project is finished so contractor can complete the entire project at one time.	
8/10/2020	

Replace Current Faucets with Hands-Free Faucets	
$2,500.00	
7/13/2020	
TBD		
Faucets will be replaced at the same time the vanities are installed	
8/10/2020	

Lake Ashton Community Development District Project Tracking List

Project Name	Budget	Board of Supervisor
Approval	Scheduled
Start Time	Scheduled
Completion	Current Status	Status
Updated	

Audio/Visual for Meetings					Staff is working with members of the Lake Ashton Performing Arts Committee on options to broadcast meetings to residents that prefer to attend virtually when in-person meeting resume.	

10/12/2020	

Local Insertion Channel					Staff is looking into setting up for residents that have Spectrum or FIOS cable services. Staff is working with the Spectrum account rep and has also reached out to Verizon FIOS to explore options for that service provider. This is still on-going	

10/12/2020	
Restaurant							

New and Replacement Equipment in the Restaurant			
10/15/2020		Metz will be out the week of 10/12 to evaluate the equipment in the Restaurant and will recommend replacements or new equipment needed.	
10/12/2020	
Landscape Management							

Palm Tree Replacement on Blvd	Plant replacement budget	
9/21/2020	
10/19/2020		A Roebelenii Palm was approved as the replacement for the Medjool palm that was struck by lightning. Replacement will occure the week of 10/12/20.	
10/12/2020	
Lake Management							

Grass Carp Installation	
$2,970.00	
6/15/2020	
2-4 weeks		The permit was approved on 10/7/2020. Applied
Aquatic is working on getting the fish for install. The
farm informed them the fish will be ready in a few weeks.	
10/12/2020	
Pavement/Stormwater Management					
Pavement Management
Evaluation	$7,000.00	6/15/2020			District Engineer Project. Finalized report in progress.	6/15/2020	
Lake Ashton Lake Level
Management					The District Engineer will provide an update	10/12/2020	

Lake Ashton Community Development District Project Tracking List

Project Name	Budget	Board of Supervisor
Approval	Scheduled
Start Time	Scheduled
Completion	Current Status	Status
Updated	
Golf Course Pathways and
Bridges Evaluation		6/15/2020			District Engineer Project. Finalized report in progress.	6/15/2020	

Golf Course Flumes					The District Engineer is working on quotes to repair failing flumes on a few ponds on the golf course.	
8/10/2020	
Cart Path Going to 10 East			The golf cart pathway has collapsed leaving a deep
hole	9/21/2020	
Projects for Consideration					

Installation of Air Purifiers in the Clubhouse					Staff is recommending the installion of air purifiers
on all Clubhouse air conditioning units to help sanitize the air and rid it of bacteria, viruses and allergens. Staff is working on a quote to give the board an approximate cost for consideration of the project.	

10/12/2020	
Projects on Hold					
Extend Awning Over Horseshoe Bar					The Board decided at the 9/21/20 BOS meeting to
table this project until the new operator of the Restaurant is in place.	
10/12/2020	

Chandeliers in Restaurant					The Board decided at the 9/21/20 BOS meeting to
table this project until the new operator of the Restaurant is in place.	
10/12/2020	

Painting Foyer and Main Hallway					Staff is working with the interior designer on the refurbishment of the Clubhouse décor. Staff is seeking approval to move forward with selecting a paint color for the Foyer and hallway to update the look of the Clubhouse. Staff will do the painting so only the cost of materials will be incurred.	

9/14/2020	
Online Payments					This project is tabled until beginning of 2021	10/12/2020	
Golf Course Bridges - Running
Boards and Maint.					The District Engineer recommended to wait on this
project until cost of lumber decreases	8/17/2020	

SECTION C

S ECTION 1

Item	will			be provided		under separate	cover.

SECTION D

Lake Ashton Community Development District
Operations Manager Report
DATE:	October 19, 2020

FROM:	Matthew Fisher
Operations Manager

RE:	Lake Ashton CDD Monthly Managers Report – October 19, 2020

The following is a summary of activities related to the field operations of the Lake Ashton Community Development District:

Ballroom:

Staff replacing lights and ballast as needed.
A/C working properly.

Pool/Spa:

The pool and spa are operating properly.
Timer installed to spa shutting it down at 10 pm and turning on at 5:30 am. This will help conserve gas.

Lakes/Ponds:

Lakes and ponds are being treated according to our contract with Applied Aquatic.
Pond water levels are elevated due to the amount of rain.

Landscaping:

Staff has been meeting on a biweekly basis with Yellowstone Landscape to review CDD property.
Blue Daze installed around Clubhouse.
Medjool Palms fertilized and injected with a preventative treatment.
Oyster Plants installed at the Community entrance.
Mulch is scheduled to be installed the week of 10/12.

Other:

Repaired north Foyer door to open properly when handicap button is pressed.
Replaced three broken legs to the banquet tables in Ballroom.
Removed the Foyer chandelier.
Replaced the bulbs in the Foyer and hallway with daylight color bulbs.
Treated the algae growth on the floor of the Pavilion.
Replaced a bad ballast in the Fitness Center.
Replaced the handrail covers around the pool. Added handrail covers to the North and South ladder entrance as well.

S ECTION 1

Home

Back

C ompare Products

Hide Similarities

Simpson Aluminum 4200 PSI at 4.0 GPM HONDA GX390 Cold
Water Gas Pressure Washer

Model ALH4240

(71)

$1,199.00 / carton

ADD TO CART	

	

CHAMPION POWER EQUIPMENT 4200
PSI 4.0 GPM
Commercial Duty Low Profile Gas Cold Water Pressure Washer

Model 100790

(4)

$849.00 / each

ADD TO CART	

Simpson SIMPSON PowerShot PS4240 4200 PSI at 4.0 GPM HONDA GX390 Cold
Water Pressure Washer	

DEWALT 4200 PSI 4.0
GPM Gas Pressure Washer Powered by HONDA		
	Model 60456	Model 60605		
	(271)	(61)		
	$979.00 / box	$1,229.99 / carton		

ADD TO CART	

ADD TO CART		
My Store: Winter Haven	Change			
Buy Online, Ship to Store

Free Shipping to Home	

DIMENSIONS

Assembled Depth (in.)

38 in	38 in	28 in	49.5 in

Assembled Height (in.)

29 in	29 in	26.5 in	28.1 in

Assembled Width (in.)

23.5 in	23.5 in	24.5 in	23.9 in

Hose length (in.)

600	600	600	50

Interior Hose Diameter (In.)

3/8 in	.375 in	3/8 in	5/8 in

Wheel Diameter (in.)	
13 in	13 in	13 in	10 in	
DETAILS

Assembly Required

Yes

Yes

Yes

Yes

Brand Name

Simpson

Simpson

DEWALT

CHAMPION POWER EQUIPMENT

CA (CARB) Compliant

CARB Compliant

CARB Compliant

CARB Compliant

Not CARB Compliant

Commercial / Residential

Commercial

Commercial

Commercial

Residential

Connection Type

3/8 in. Quick Connect Hose & Trigger Handle

3/8 in. Quick Connect Hose & Trigger Handle

3/8 in. Quick Connect Hose & Trigger Handle

M22 Universal Threaded Twist On Hose & Trigger Handle

Engine Displacement (cc)

389	389	389	389

Engine Make

Honda	Honda	Honda	OEM Branded

Engine Type

GX	Direct Drive	Air-cooled, 4-stroke, OHV

4-stroke

Features

Abrasion Resistant,Adjustable pressure,Chemical/deter gent injection,Cold water,Interchangeable wand,Kink free hose,Quick connect tips

Chemical/detergent injection,Quick connect tips

Abrasion Resistant,Chemical/dete rgent injection,Cold water,Interchangeable wand,Quick connect tips

Adjustable wand,Cold water,Quick connect tips

Fuel Tank Capacity (gallons)

1.6	1.6	1.6	1.6

GPM

4.0	4	4.0	4

Hose Material

Steel	Steel	Other	Reinforced

Included

Hose,Wheels	Onboard cord storage,Wheels

Engine oil,Hose,Onboard storage,Wheels

Detergent tank,Engine oil,Hose,Onboard cord storage,Wheels

Maximum Pressure (PSI)

4200	4200	4200	4200 psi

Nozzle Type

Multi-Pattern	Multi-Pattern	Multi-Pattern	Pro Style tips with quick
disconnect

Number of tips included

5	5	5	5

PSI Range

-	3200+ PSI	-	-

Pressure Washer Power Type

Gas	Gas	Gas	Gas

Product Weight (lb.)

133 lb	136 lb	157 lb	124.6 lb

Pump Brand

CAT	AAA	CAT	AR (Annovi Reverberi)

Pump Type

Triplex	Triplex	Triplex	Axial

Reconditioned

New	New	New	New

Returnable

30-Day	30-Day	30-Day	30-Day

Start Type

Recoil Start	Recoil Start	Recoil Start	Recoil Start

Suggested Use

Car,Decking,Driveway,G	Decking,Driveway,Grill,P	Car,Decking,Driveway,G	Car,Decking,Driveway,P rill,Paint	atio	rill,Paint	aint Preparation,Patio Preparation,Patio	Furniture,Siding,Window	Preparation,Patio	Furniture,Siding,Window Furniture,Siding,Window		Furniture,Siding,Window

Water capability	
Cold	Cold	Cold	Cold	
WARRANTY / CERTIFICATIONS

Manufacturer Warranty	
3 Year limited commercial engine warranty : 5 Year limited pump warranty : 10 Year limited frame warranty : 90 Day limited accessory warranty	3 Year limited commercial engine warranty : 5 Year limited pump warranty : 10 Year limited frame warranty : 90 Day limited accessory warranty	3 year limited commercial engine warranty : 5 year limited pump warranty : 10 year limited frame warranty : 90 Day limited accessory warranty	2-Year Limited Warranty	

SECTION VIII

S ECTION A

	LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT		
	Check Run Summary		
	October 19, 2020		
Date	Check Numbers	Amount	
General Fund			
9/17/20	7265-7266	$25,888.48	
9/21/20	7267-7280	$67,402.12	
10/1/20	7281-7290	$35,815.30	
General Fund Total		 	$129,105.90 	

Capital Projects Fund			
9/18/20	306	$35,851.19	
9/21/20	307	$15,725.00	
Capital Projects Fund Total		 	$51,576.19 	

LAKE ASHTON CDD
FY 2020 CASH RECEIPTS

	October-19	November-19	December-19	January-20	February-20	March-20	
ENTERTAINMENT	$	120,713.00	$	14,095.00	$	6,968.50	$	7,609.00	$	5,053.00	$	1,812.00	
BALLROOM RENTAL	$	8,600.00	$	5,850.00	$	10,125.00	$	7,250.00	$	6,850.00	$	2,000.00	
BALLROOM RENTAL-DEFERRED	$	-	$	-	$	-	$	1,750.00	$	3,500.00	$	3,250.00	
DAMAGE DEPOSITS	$	4,000.00	$	-	$	-	$	1,500.00	$	(2,000.00)	$	1,000.00	
NEWSLETTER INCOME	$	18,288.25	$	6,496.81	$	5,405.94	$	8,154.75	$	12,280.25	$	5,020.25	
COFFEE INCOME	$	300.00	$	200.00	$	300.00	$	1,425.00	$	450.00	$	425.00	
CLERICAL	$	120.50	$	533.00	$	136.00	$	143.50	$	35.00	$	232.00	
SECURITY FEE	$	747.50	$	493.75	$	410.00	$	647.00	$	118.75	$	12.50	
ENTRANCE GATE OPENERS	$	148.00	$	111.00	$	222.00	$	296.00	$	222.00	$	148.00	
RESTAURANT LEASE	$	930.00	$	930.00	$	930.00	$	930.00	$	930.00	$	930.00	
MISCELLANEOUS	$	50.00	$	150.64	$	359.47	$	8,057.60	$	455.00	$	-	
SALES TAX PAYABLE	$	70.00	$	70.00	$	70.00	$	70.00	$	70.00	$	70.00	
	$	153,967.25	$	28,930.20	$	24,926.91	$	37,832.85	$	27,964.00	$	14,899.75	

	April-20	May-20	June-20	July-20	August-20	September-20	
ENTERTAINMENT	$	17,665.67	$	9,046.10	$	1,316.00	$	250.00	$	45.00	$	-	
BALLROOM RENTAL	$	(1,500.00)	$	250.00	$	(1,750.00)	$	-	$	(1,275.00)	$	-	
DAMAGE DEPOSITS	$	-	$	-	$	-	$	-	$	-	$	-	
NEWSLETTER INCOME	$	5,532.25	$	3,300.25	$	6,990.25	$	8,132.75	$	3,060.25	$	-	
COFFEE INCOME	$	-	$	-	$	50.00	$	50.00	$	-	$	-	
CLERICAL	$	1,092.20	$	75.00	$	63.00	$	107.00	$	30.00	$	-	
SECURITY FEE	$	-	$	-	$	-	$	-	$	-	$	-	
ENTRANCE GATE OPENERS	$	-	$	-	$	185.00	$	111.00	$	148.00	$	-	
INSURANCE PROCEEDS	$	-	$	-	$	-	$	-	$	-	$	-	
MISCELLANEOUS	$	-	$	19.00	$	409.00	$	12.00	$	-	$	-	
RESTAURANT LEASE	$	-	$	-	$	-	$	-	$	-	$	-	
SALES TAX PAYABLE	$	-	$	-	$	-	$	-	$	-	$	-	
	$	26,290.12	$	14,440.35	$	7,263.25	$	13,662.75	$	258.25	$	-	

FISCAL YEAR 2020 TOTAL	
ENTERTAINMENT FEES	$	184,573.27	
BALLROOM RENTAL	$	36,400.00	
DAMAGE DEPOSITS	$	4,500.00	
NEWSLETTER INCOME	$	82,662.00	
COFFEE INCOME	$	3,200.00	
CLERICAL	$	2,567.20	
SECURITY FEE	$	2,429.50	
ENTRANCE GATE OPENERS	$	1,591.00	
MISCELLANEOUS	$	9,512.71	
RESTAURANT LEASE	$	5,580.00	
SALES TAX PAYABLE	$	420.00	
	$	350,435.68	
Page 1

LAKE ASHTON CDD
AUGUST 2020 CASH RECEIPTS
ENTERTAINMENT
DATE	DESCRIPTION	NAME	AMOUNT	DESCRIPTION	
8/10/20	1046	Creek	$	10.00		
8/13/20	1047	Sandel	$	10.00		
8/17/20	1049	Przygoda	$	10.00		
8/18/20	1050	Dunn	$	20.00		
8/20/20	1052	Williams	$	(5.00)		
TOTAL			$	45.00		

RENTALS
DATE	DESCRIPTION	NAME	AMOUNT	DESCRIPTION	
8/7/20	CK 24098	Meals on Wheels	$	1,725.00	Ballroom Rental - 2-26-2021	
8/31/20	1054	Cordova	$	(1,500.00)	Ballroom Rental Refund - 8-29-2020	
8/31/20	1054	Garcia - Rios	$	(1,750.00)	Ballroom Rental Refund - 11-14-2020	
8/31/20	1054	Cobb	$	(1,500.00)	Ballroom Rental Refund - 8-22-2020	
TOTAL			$	(3,025.00)		

NEWSLETTER
DATE	DESCRIPTION	NAME	AMOUNT	DESCRIPTION	
8/7/20	CK 06884597	Edward Jones - M. Kennedy	$	360.00	LAT - August Ad	
8/14/20	1048	Dan;s City Fan's	$	185.00	LAT Ad - Sept	
8/31/20	1054	Art's Golf Carts	$	360.00	LAT Ad - Sept	
8/31/20	1054	Blackburn's Interiors	$	400.00	LAT Ad - Sept	
8/31/20	1054	Family Elder Law	$	350.00	LAT Ad - Sept	
8/31/20	1054	Florida Dermatology	$	350.00	LAT Ad - Sept	
8/31/20	1054	Weaver Law	$	360.00	LAT Ad - Sept	
8/31/20	1054	Morgan Stanley - Grubb	$	160.00	LAT Ad - Sept	
8/31/20	1054	Performance Plus Carts	$	360.00	LAT Ad - Sept	
8/31/20	1054	Robinson's Aluminum	$	175.25	LAT Ad - Sept	
TOTAL			$	3,060.25		
CLERICAL
DATE	DESCRIPTION	NAME	AMOUNT	DESCRIPTION	
8/7/20	Cash	Contreras	$	10.00	ID replacement	
8/7/20	Cash	Ferguson	$	10.00	ID replacement	
8/7/20	Cash	Cash	$	10.00	Faxes & Copies	
TOTAL			$	30.00		

ENTRANCE GATE OPENERS
DATE	DESCRIPTION	NAME	AMOUNT	DESCRIPTION	
8/14/20	1048	Ebdon	$	37.00	Gate Opener #40035	
8/19/20	1051	McFadden	$	37.00	Gate Opener #40030	
8/21/20	1053	Buchs	$	37.00	Gate Opener #40029	
8/31/20	1054	Buchs	$	37.00	Gate Opener #40026	
TOTAL			$	148.00		

TOTAL CASH RECEIPTS - AUGUST 2020	$	258.25

SUMMARY	
ENTERTAINMENT	$	45.00	
ENTERTAINMENT-DEFERRED	$	-	
ROOM RENTALS	$	(1,275.00)	
ROOM RENTALS-DEFERRED	$	(1,750.00)	
NEWSLETTER	$	3,060.25	
NEWSLETTER-DEFERRED	$	-	
CLERICAL	$	30.00	
COFFEE	$	-	
DEPOSITS	$	-	
ENTRANCE GATE OPENER	$	148.00	
RESTAURANT/SALES TAXES	$	-	
SECURITY	$	-	
MISCELLANEOUS	$	-	
TOTAL	$	258.25	

Page 2

Lake Ashton CDD
Special Assessment Receipts
Fiscal Year Ending September 30, 2020

Date Received	

Collection Period	

O&M Receipts	

O&M Interest	

Debt Svc Receipts	

Debt Svc Interest	
O&M Discounts/ Penalties	
Debt Discounts/ Penalties	

Commissions Paid	

Property Appraiser	

Net Amount Received	$1,848,750.01
.36300.10100
General Fund 100.00%	$444,384.65 2015-1
Debt Svc Fund
89.583%	$51,674.31 2015-2
Debt Svc Fund
10.417%	$496,058.96

Debt Total 100%	

11/14/19	
10/01/19-10/31/19	
$	1,875.00	
$	-	
$	977.74	
$	-	
$	75.00	
$	39.11	
$	54.77	
$	-	
$	2,683.86	
$	1,756.81	
$	830.47	
$	96.57	
$	927.04	
11/18/19	06/01/19-10/15/19	$	27,879.15	$	-	$ 8,270.64	$	-	$ 1,417.82	$	415.52	$	686.33	$	-	$	33,630.12	$	25,920.20	$	6,906.78	$	803.14	$ 7,709.92	
11/22/19	11/01/19-11/06/19	$	41,250.00	$	-	$ 10,348.18	$	-	$ 1,650.00	$	413.93	$	990.70	$	-	$	48,543.56	$	38,818.89	$	8,711.65	$	1,013.02	$ 9,724.66	
11/29/19	11/07/19-11/15/19	$ 423,750.00	$	-	$ 101,462.64	$	-	$ 16,950.00	$ 4,058.39	$ 10,084.10	$	-	$ 494,120.16	$ 398,849.26	$	85,346.56	$	9,924.34	$ 95,270.90	
12/06/19	11/16/19-11/24/19	$ 500,625.00	$	-	$ 123,833.01	$	-	$ 20,025.00	$ 4,953.15	$ 11,989.60	$	-	$ 587,490.26	$ 471,146.88	$	104,223.93	$ 12,119.45	$ 116,343.39	
12/13/19	11/25/19-11/30/19	$ 648,750.00	$	-	$ 191,369.10	$	-	$ 25,950.00	$ 7,654.48	$ 16,130.29	$	-	$ 790,384.33	$ 610,082.17	$	161,520.14	$ 18,782.02	$ 180,302.16	
01/14/20	12/01/19-12/31/19	$ 111,463.77	$	-	$ 35,749.74	$	-	$ 3,432.33	$ 1,090.96	$ 2,853.80	$	-	$ 139,836.42	$ 105,781.38	$	30,507.54	$	3,547.50	$ 34,055.04	
01/31/20	INTEREST	$	-	$ 940.76	$	-	$ 252.55	$	-	$	-	$	-	$	-	$	1,193.31	$	940.76	$	226.24	$	26.31	$	252.55	
02/14/20	01/01/20-01/31/20	$	29,093.59	$	-	$ 8,662.22	$	-	$	577.13	$	169.38	$	740.19	$	-	$	36,269.11	$	27,932.86	$	7,467.86	$	868.38	$ 8,336.25	
03/13/20	02/01/20-02/29/20	$	20,213.64	$	-	$ 3,435.01	$	-	$	187.50	$	28.38	$	468.65	$	-	$	22,964.12	$	19,656.64	$	2,962.95	$	344.54	$ 3,307.49	
04/15/20	03/01/20-03/31/20	$	24,123.68	$	-	$ 6,323.09	$	-	$	-	$	-	$	608.93	$	-	$	29,837.84	$	23,643.58	$	5,549.01	$	645.26	$ 6,194.27	
04/30/20	INTEREST	$	-	$	61.97	$	-	$ 15.55	$	-	$	-	$	-	$	-	$	77.52	$	61.97	$	13.93	$	1.62	$	15.55	
05/15/20	04/01/20-04/30/20	$	6,601.18	$	-	$ 1,046.82	$	-	$	(56.25)	$	(22.97)	$	154.55	$	-	$	7,572.67	$	6,535.57	$	929.06	$	108.03	$ 1,037.09	
06/15/20	05/01/20-05/31/20	$	3,750.00	$	-	$	765.82	$	-	$ (112.50)	$	(22.97)	$	93.03	$	-	$	4,558.26	$	3,789.15	$	688.99	$	80.12	$	769.11	
07/08/20	06/15/20-06/15/20	$	7,500.00	$	-	$ 3,049.12	$	-	$ (337.49)	$ (137.21)	$	220.48	$	-	$	10,803.34	$	7,663.66	$	2,812.63	$	327.06	$ 3,139.69	
07/15/20	06/01/20-06/30/20	$	1,875.00	$	-	$	765.82	$	-	$ (112.49)	$	(45.95)	$	55.99	$	-	$	2,743.27	$	1,943.35	$	716.60	$	83.33	$	799.93	
07/31/20	INTEREST	$	-	$	12.27	$	-	$ 3.38	$	-	$	-	$	-	$	-	$	15.65	$	12.27	$	3.03	$	0.35	$	3.38	
8/7/20	PRO APPRAISER	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 23,153.38	$ (23,153.38)	$ (18,318.75)	$	(4,331.01)	$	(503.62)	$ (4,834.63)	
		$ 1,848,750.01	$ 1,015.00	$ 496,058.95	$ 271.48	$ 69,646.05	$ 18,594.20	$ 45,131.38	$ 23,153.38	$ 2,189,570.43	$ 1,726,216.65	$	415,086.35	$ 48,267.42	$ 463,353.77	
BALANCE REMAINING		$0.00		$0.01									

100.00%
$0.01

Gross Percent Collected Balance Due

S ECTION 8

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT
COMBINED BALANCE SHEET
August 31, 2020

	 	Major Funds	
Debt	Capital
 	General		 	Service		 	Reserve		Total Governmental
 	Funds		
ASSETS:			
Cash-Wells Fargo	$53,040	---	$18,161	$71,201	
Due from Other Funds	$6,305	---	$8,000	$14,305	
Investment - State Board	$273,838	---	---	$273,838	
Investment - State Board Capital Reserve	---	---	$681,002	$681,002	
Investments:			
Series 2015			
Reserve A	---	$226,813	---	$226,813	
Interest A	---	$1,744	---	$1,744	
Revenue A	---	$120,945	---	$120,945	
Prepayment A-1	---	$75,380	---	$75,380	
Prepayment A-2	---	$6,508	---	$6,508	
Prepaid Expenses	$616	---	---	$616	

TOTAL ASSETS	 	$333,799	$431,389	$707,163	$1,472,351

LIABILITIES:		
Accounts Payable		$89,019	---	$35,851	$124,870	
Due to Other Funds		---	$9,669	$4,636	$14,305	
Deposits-Restaurant		$3,000	---	---	$3,000	
Deposits-Room Rentals		$4,975	---	---	$4,975	
Deferred Revenue		 	$16,750 	 	--- 	 	--- 	 	$16,750 	
	TOTAL LIABILITIES	 	$113,744 	 	$9,669 	 	$40,487 	 	$163,901 	

FUND BALANCES:
Restricted:
Debt Service	---	$421,720	---	$421,720 Assigned:
Capital Reserve		---	---	$666,676	$666,676	
Assigned		$164,826	---	---	$164,826	
Unassigned		 	$54,614 	 	--- 	 	--- 	 	$54,614 	
	TOTAL FUND BALANCES	 	$220,055 	 	$421,720 	 	$666,676 	 	$1,308,450 	
TOTAL LIABILITIES & FUND BALANCES	 	$333,799	$431,389	$707,163	$1,472,351

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT GENERAL FUND
Statement of Revenues, Expenditures, and Changes in Fund Balance
For the Period Ended August 31, 2020

 DESCRIPTION	

REVENUES:		ADOPTED
 	BUDGET			PRORATED BUDGET
     THRU 08/31/20			ACTUAL
     THRU 08/31/20			 	VARIANCE		
Special Assessments - Levy (1)		$1,719,338		$1,719,338		$1,726,217		$6,879	
Rental Income		$50,000		$45,833		$40,650		($5,183)	
Special Events Revenue		$130,000		$130,000		$184,573		$54,573	
Newsletter Ad Revenue		$70,000		$64,167		$82,662		$18,495	
Interest Income		$1,000		$917		$5,859		$4,943	
Contributions		$0		$0		$409		$409	
Miscellaneous Income		$5,000		$4,583		$11,070		$6,486	
Restaurant Lease		$12,000		$11,000		$5,580		($5,420)	
Insurance Proceeds		$0		$0		$13,990		$13,990	
TOTAL REVENUES		 	$1,987,338 		 	$1,975,838 		 	$2,071,010 		 	$95,172 	
EXPENDITURES:									
ADMINISTRATIVE:
Supervisor Fees		
$3,000		
$2,750		
$4,050		
($1,300)	
FICA Expense		$230		$210		$310		($100)	
Engineering		$20,000		$18,333		$101,258		($82,924)	
Arbitrage		$600		$600		$600		$0	
Dissemination		$1,000		$917		$1,517		($600)	
Attorney		$25,000		$22,917		$51,247		($28,331)	
Attorney-Golf Course		$25,000		$25,000		$30,632		($5,632)	
Annual Audit		$4,223		$4,223		$4,300		($77)	
Trustee Fees		$4,310		$4,310		$4,310		$0	
Management Fees		$60,236		$55,217		$55,216		$0	
Computer Time		$1,000		$917		$917		$0	
Postage		$3,200		$2,933		$2,385		$549	
Printing & Binding		$2,000		$1,833		$686		$1,147	
Newsletter Printing		$35,000		$32,083		$36,979		($4,895)	
Rentals & Leases		$6,500		$5,958		$3,739		$2,219	
Insurance		$40,411		$40,411		$38,956		$1,455	
Legal Advertising		$1,200		$1,100		$1,741		($641)	
Other Current Charges		$1,250		$1,146		$1,010		$136	
Contingency-Golf Course		$15,000		$13,750		$136,150		($122,400)	
Property Taxes		$13,500		$13,500		$13,325		$175	
Office Supplies		$125		$115		$27		$88	
Dues, Licenses & Subscriptions		$175		$175		$175		$0	
TOTAL ADMINISTRATIVE		 	$262,960 		 	$248,398 		 	$489,529 		 	($241,131) 	

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT GENERAL FUND
Statement of Revenues, Expenditures, and Changes in Fund Balance
For the Period Ended August 31, 2020

 DESCRIPTION			ADOPTED
 	BUDGET			PRORATED BUDGET
     THRU 08/31/20			ACTUAL
     THRU 08/31/20			 	VARIANCE		
Field:									
Field Management Services		$341,960		$313,464		$295,620		$17,843	
Gate Attendants		$195,565		$179,268		$197,269		($18,001)	
Pool Attendants		$0		$0		$6,646		($6,646)	
Pest Control		$1,800		$1,650		$2,497		($847)	
Pest Control-Special (One Time)		$0		$0		$9,150		($9,150)	
Security/Fire Alarm/Gate Repairs		$7,500		$6,875		$10,282		($3,407)	
Telephone/Internet		$13,600		$12,467		$11,659		$808	
Electric		$216,000		$198,000		$173,807		$24,193	
Water		$15,000		$13,750		$18,394		($4,644)	
Gas		$22,000		$20,167		$13,831		$6,336	
Refuse		$10,500		$9,625		$10,085		($460)	
Clubhouse Maintenance		$110,000		$100,833		$85,085		$15,749	
Stormwater Preventive Maintenance		$15,000		$13,750		$0		$13,750	
Golf Cart Preventative Maintenance		$1,140		$1,045		$1,330		($285)	
Pool and Fountain Maintenance		$20,000		$18,333		$22,160		($3,826)	
Landscape Maintenance		$164,007		$150,340		$157,374		($7,034)	
Plant Replacement		$7,000		$6,417		$441		$5,976	
Irrigation Repairs		$3,500		$3,208		$1,634		$1,575	
Lake Maintenance		$18,540		$16,995		$33,755		($16,760)	
Wetland Mitigation and Maintenance		$34,800		$31,900		$10,100		$21,800	
Permits/Inspections		$1,500		$1,375		$600		$775	
Office Supplies/Printing/Binding		$7,000		$6,417		$2,709		$3,707	
Operating Supplies		$23,000		$21,083		$19,969		$1,114	
Credit Card Processing Fees		$4,000		$3,667		$3,478		$189	
Dues & Subscriptions		$8,500		$7,792		$9,129		($1,337)	
Decorations		$2,000		$1,833		$1,060		$774	
Special Events		$130,000		$130,000		$144,207		($14,207)	
Water Damage Repairs		$0		$0		$47,815		($47,815)	
Traffic Accident Damage		$0		$0		$0		$0	
TOTAL FIELD	 	$1,373,912 		 	$1,270,253 		 	$1,290,085 		 	($19,832) 	
TOTAL EXPENDITURES	 	$1,636,872 		 	$1,518,651 		 	$1,779,614 		 	($260,963) 	
Excess (deficiency) of revenues
over (under) expenditures	 	$350,466 		 	$457,187 		 	$291,396 		 	($165,791) 	
OTHER FINANCING SOURCES/(USES)								
Capital Reserve-Transfer Out	($515,291)		($515,291)		($515,291)		$0	
TOTAL OTHER FINANCING SOURCES/(USES)	 	($515,291) 		 	($515,291) 		 	($515,291) 		 	$0 	
Net change in fund balance	($164,825)		($58,104)		($223,895)		($165,791)	
FUND BALANCE - Beginning	$164,826				$443,950			
FUND BALANCE - Ending	 	$0 				$220,055			
(1) Assessments are shown net of Discounts and Collection Fees.								

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT CAPITAL PROJECTS RESERVE FUND
Statement of Revenues, Expenditures, and Changes in Fund Balance
For the Period Ended August 31, 2020

 DESCRIPTION	

REVENUES:		ADOPTED
 	BUDGET			PRORATED BUDGET
 	THRU 08/31/20			ACTUAL
 	THRU 08/31/20			     VARIANCE		
Interest Income		$100		$92		$3,792		$3,701	
Capital Reserve-Transfer In FY 20		$515,291		$515,291		$515,291		$0	
Contributions		$0		$0		$8,000		$8,000	
TOTAL REVENUES		 	$515,391 		 	$515,383 		 	$527,083 		 	$11,701 	
EXPENDITURES:									
Capital Projects:
Capital Reserves-FY20		
$4,700		
$4,308		
$868		
$3,441	
Restaurant Equipment Allowance		$15,000		$13,750		$12,057		$1,693	
Stormwater Management		$0		$0		$65,656		($65,656)	
Pet Park		$0		$0		$9,909		($9,909)	
Guardhouse Exterior Painting		$0		$0		$2,085		($2,085)	
Flooring Replacement		$0		$0		$50,477		($50,477)	
Partitions		$0		$0		$1,017		($1,017)	
Furniture		$0		$0		$3,000		($3,000)	
HVAC		$0		$0		$659		($659)	
Other Current Charges		$500		$458		$521		($63)	
TOTAL EXPENDITURES	 	$20,200 		 	$18,517 		 	$146,250 		 	($127,733) 	
Excess (deficiency) of revenues
over (under) expenditures	 	$495,191 		
 	$496,866 		
 	$380,833 		
 	($116,033) 	
Net change in fund balance	$495,191		$496,866		$380,833		($116,033)	
								
FUND BALANCE - Beginning	$173,239				$285,842			
FUND BALANCE - Ending	 	$668,430 				 	$666,676 			

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT SERIES 2015
DEBT SERVICE FUND
Statement of Revenues, Expenditures, and Changes in Fund Balance For the Period Ended August 31, 2020

 DESCRIPTION	

REVENUES:		ADOPTED
 	BUDGET			PRORATED
 	THRU 08/31/20			ACTUAL
 	THRU 08/31/20			    VARIANCE		
Interest Income		$0		$0		$244		$244	
Assessments - Levy		$470,241		$470,241		$463,354		($6,887)	
Assessments - Prepayments A-1		$0		$0		$135,628		$135,628	
Assessments - Direct		$0		$0		$1,741		$1,741	
TOTAL REVENUES		 	$470,241 		 	$470,241 		 	$600,967 		 	$130,726 	
EXPENDITURES:									
Series 2015A-1
Interest - 11/01		
$98,125		
$98,125		
$98,125		
$0	
Interest - 5/01		$98,125		$98,125		$96,375		$1,750	
Principal - 5/01		$220,000		$220,000		$215,000		$5,000	
Special Call - 11/01		$10,000		$10,000		$70,000		($60,000)	
Special Call - 05/01		$0		$0		$85,000		($85,000)	
Series 2015A-2
Interest - 11/01		
$13,750		
$13,750		
$13,750		
$0	
Interest - 5/01		$13,750		$13,750		$13,250		$500	
Principal - 5/01		$20,000		$20,000		$20,000		$0	
Special Call - 11/01		$0		$0		$20,000		($20,000)	
TOTAL EXPENDITURES		 	$473,750 		 	$473,750 		 	$631,500 		 	($157,750) 	
Excess (deficiency) of revenues over (under) expenditures		
 	($3,509) 		
 	($3,509) 		
 	($30,533) 		
 	($27,024) 	
Net change in fund balance		($3,509)		($3,509)		($30,533)		($27,024)	
									
FUND BALANCE - Beginning		$137,638				$452,253			
FUND BALANCE - Ending		 	$134,129 				 	$421,720 			

LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT
Long Term Debt Report FY 2020

Series 2015-1, Special Assessment Bonds	
Interest Rate:	5.000%		
Maturity Date:	5/1/25	$1,425,000.00	
Interest Rate:	5.000%		
Maturity Date:	5/1/32	$2,500,000.00	
Reserve Requirement:	50% Maximum Annual Debt Service		
Bonds outstanding - 9/30/2019		$3,925,000.00	
	November 1, 2019 (Special Call)	($70,000.00)	
	May 1, 2020 (Mandatory)	($215,000.00)	
	May 1, 2020 (Special Call)	($85,000.00)	
Current Bonds Outstanding		$3,555,000.00	

Series 2015-2, Special Assessment Bonds	
Interest Rate:	5.000%		
Maturity Date:	5/1/25	$115,000.00	
Interest Rate:	5.000%		
Maturity Date:	5/1/37	$435,000.00	
Reserve Requirement:	50% Maximum Annual Debt Service		
Bonds outstanding - 9/30/2019		$550,000.00	
	November 1, 2019 (Special Call)	($20,000.00)	
	May 1, 2020 (Mandatory)	($20,000.00)	
Current Bonds Outstanding		$510,000.00	

Total Current Bonds Outstanding	$4,065,000.00	

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT
General Fund
Statement of Revenues and Expenditures (Month by Month)
FY 2020

	OCT	NOV	DEC	JAN	FEB	MAR	APR	MAY	JUN	JUL	AUG	SEP		TOTAL	
	2019	2019	2019	2020	2020	2020	2020	2020	2020	2020	2020	2020			
Revenues															

Maintenance Assessments	
$0	
$1,546,574	
$106,722	
$0	
$27,933	
$43,362	
$6,536	
$3,789	
$9,619	
($18,319)	
$0		
$0	
$1,726,217	
Rental Income	$8,600	$5,850	$10,125	$7,250	$6,850	$2,000	$2,000	$1,750	($1,750)	$0	($2,025)		$0	$40,650	
Special Events Revenue	$120,713	$14,095	$6,969	$7,609	$5,053	$1,812	$17,666	$9,046	$1,316	$250	$45		$0	$184,573	
Newsletter Ad Revenue	$18,288	$6,497	$5,406	$8,155	$12,280	$5,020	$5,532	$3,300	$6,990	$8,133	$3,060		$0	$82,662	
Interest Income	$448	$353	$286	$284	$953	$1,568	$967	$491	$248	$152	$110		$0	$5,859	
Contributions	$0	$0	$0	$8,000	$0	$0	$0	$0	$409	$0	$0		$0	$8,409	
Miscellaneous Income	$1,371	$1,490	$1,427	$2,673	$1,349	$818	$1,092	$94	$298	$280	$178		$0	$11,070	
Restaurant Lease	$930	$930	$930	$930	$930	$930	$0	$0	$0	$0	$0		$0	$5,580	
Insurance Proceeds	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$13,990		$0	$13,990	
Total Revenues	$150,351	$1,575,789	$131,865	$34,900	$55,348	$55,510	$33,792	$18,470	$17,131	($9,504)	$15,358		$0	$2,079,010	
ADMINISTRATIVE:
Supervisor Fees	
$650	
$900	
$200	
$400	
$200	
$200	
$400	
$200	
$400	
$200	
$300		
$0	
$4,050	
FICA Expense	$50	$69	$15	$31	$15	$15	$31	$15	$31	$15	$23		$0	$310	
Engineering	$11,853	$9,265	$960	$4,776	$13,207	$16,492	$12,864	$3,513	$9,489	$8,243	$10,596		$0	$101,258	
Arbitrage	$0	$0	$0	$0	$0	$0	$0	$0	$0	$600	$0		$0	$600	
Dissemination	$83	$83	$83	$83	$433	$83	$83	$333	$83	$83	$83		$0	$1,517	
Attorney	$3,770	$2,597	$3,609	$4,275	$7,233	$11,219	$5,833	$3,970	$5,606	$3,134	$0		$0	$51,247	
Attorney-Golf Course	$3,306	$13,776	$8,086	$1,087	$506	$632	$2,453	$788	$0	$0	$0		$0	$30,632	
Annual Audit	$500	$0	$0	$0	$0	$0	$0	$3,800	$0	$0	$0		$0	$4,300	
Trustee Fees	$0	$0	$0	$0	$0	$0	$4,310	$0	$0	$0	$0		$0	$4,310	
Management Fees	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020	$5,020		$0	$55,216	
Computer Time	$83	$83	$83	$83	$83	$83	$83	$83	$83	$83	$83		$0	$917	
Travel & Per Diem	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0		$0	$0	
Postage	$134	$327	$143	$528	$286	$257	$138	$131	$130	$178	$134		$0	$2,385	
Printing & Binding	$55	$140	$99	$48	$30	$85	$152	$24	$46	$8	$0		$0	$686	
Newsletter Printing	$4,204	$3,707	$3,892	$3,748	$3,748	$3,788	$2,575	$2,667	$2,778	$2,910	$2,962		$0	$36,979	
Rentals & Leases	$163	$163	$1,075	$163	$0	$964	$163	$163	$401	$163	$325		$0	$3,739	
Insurance	$37,794	$0	$0	$0	$0	$1,162	$0	$0	$0	$0	$0		$0	$38,956	
Legal Advertising	$0	$132	$0	$73	$224	$316	$127	$0	$0	$224	$647		$0	$1,741	
Other Current Charges	$142	$106	$99	($7)	$0	$66	$109	$147	$182	$124	$42		$0	$1,010	
Contingency-Golf Course	$0	$2,250	$115,000	$18,900	$0	$0	$0	$0	$0	$0	$0		$0	$136,150	
Property Taxes	$0	$13,325	$0	$0	$0	$0	$0	$0	$0	$0	$0		$0	$13,325	
Office Supplies	$3	$12	$0	$0	$0	$6	$0	$0	$0	$0	$5		$0	$27	
Dues, Licenses & Subscriptions	$175	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0		$0	$175	
Total Administrative	$67,984	$51,954	$138,364	$39,208	$30,986	$40,388	$34,340	$20,853	$24,248	$20,985	$20,220		$0	$489,529	

LAKE ASHTON
COMMUNITY DEVELOPMENT DISTRICT
General Fund
Statement of Revenues and Expenditures (Month by Month)
FY 2020

	OCT	NOV	DEC	JAN	FEB	MAR	APR	MAY	JUN	JUL	AUG	SEP		TOTAL	
	2019	2019	2019	2020	2020	2020	2020	2020	2020	2020	2020	2020			

Field:
Field Management Services	

$24,450	

$33,484	

$26,059	

$25,470	

$25,915	

$26,224	

$25,194	

$39,667	

$25,908	

$22,241	

$21,009		

$0	

$295,620	
Gate Attendants	$18,043	$17,220	$18,027	$17,976	$16,794	$18,618	$17,722	$18,501	$17,640	$18,501	$18,228		$0	$197,269	
Pool Attendants	$0	$0	$459	$1,033	$425	$980	$977	$0	$1,393	$1,379	$0		$0	$6,646	
Pest Control	$593	$0	$0	$300	$390	$0	$195	$60	$195	$765	$0		$0	$2,497	
Pest Control-Special (One Time)	$0	$9,150	$0	$0	$0	$0	$0	$0	$0	$0	$0		$0	$9,150	
Security/Fire Alarm/Gate Repairs	$928	$2,100	$988	$130	$195	$2,204	$0	$195	$557	$2,039	$945		$0	$10,282	
Telephone/Internet	$1,137	$1,046	$1,063	$1,049	$1,052	$1,052	$1,052	$1,051	$1,066	$1,030	$1,059		$0	$11,659	
Electric	$18,124	$16,727	$16,226	$15,494	$16,304	$16,179	$15,689	$14,790	$14,625	$15,110	$14,540		$0	$173,807	
Water	$1,775	$1,840	$1,930	$0	$4,693	$2,357	$1,254	$1,315	$1,864	$1,368	$0		$0	$18,394	
Gas	$934	$1,999	$2,854	$2,324	$2,058	$1,359	$0	$757	$284	$0	$1,261		$0	$13,831	
Refuse	$1,063	$1,015	$1,018	$1,018	$1,015	$399	$1,606	$399	$1,527	$26	$1,000		$0	$10,085	
Clubhouse Maintenance	$9,041	$10,792	$6,562	$8,034	$12,397	$9,597	$6,074	$6,953	$6,581	$6,519	$2,535		$0	$85,085	
Stormwater Preventive Maintenance	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0		$0	$0	
Golf Cart Preventative Maintenance	$0	$0	$0	$190	$190	$190	$190	$190	$190	$190	$0		$0	$1,330	
Pool and Fountain Maintenance	$2,045	$1,496	$1,514	$2,245	$5,595	$1,465	$1,465	$1,815	$1,465	$1,590	$1,465		$0	$22,160	
Landscape Maintenance	$13,667	$13,109	$13,109	$13,464	$13,109	$13,109	$15,442	$15,442	$15,442	$16,042	$15,442		$0	$157,374	
Plant Replacement	$0	$0	$0	$220	$86	$0	$135	$0	$0	$0	$0		$0	$441	
Irrigation Repairs	$0	$209	$1,164	$0	$0	$0	$0	$260	$0	$0	$0		$0	$1,634	
Lake Maintenance	$1,545	$1,545	$1,545	$5,750	$3,895	$3,895	$3,895	$3,895	$3,895	$3,895	$0		$0	$33,755	
Wetland Mitigation and Maintenance	$0	$0	$10,100	$0	$0	$0	$0	$0	$0	$0	$0		$0	$10,100	
Permits/Inspections	$0	$0	$0	$0	$0	$0	$600	$0	$0	$0	$0		$0	$600	
Office Supplies/Printing/Binding	$955	$295	$478	$240	$314	$185	$0	$0	$136	$95	$13		$0	$2,709	
Operating Supplies	$1,352	$1,881	$1,152	$2,157	$1,181	$2,374	$4,188	$863	$1,493	$1,699	$1,630		$0	$19,969	
Credit Card Processing Fees	$327	$1,617	$215	$235	$337	$181	$135	($42)	$156	$130	$186		$0	$3,478	
Dues & Subscriptions	$511	$570	$304	$1,509	$244	$0	$3,753	$357	$887	$994	$0		$0	$9,129	
Decorations	$0	$0	$200	$0	$0	$0	$0	$432	$286	$141	$0		$0	$1,060	
Special Events	$18,545	$5,177	$9,678	$27,991	$19,654	$34,704	$18,272	$14,963	$312	($5,688)	$600		$0	$144,207	
Water Damage Repairs	$16,490	$0	$0	$0	$0	$0	$0	$0	$31,325	$0	$0		$0	$47,815	
TOTAL FIELD	$131,524	$121,272	$114,642	$126,828	$125,844	$135,070	$117,837	$121,863	$127,228	$88,065	$79,912		$0	$1,290,085	

OTHER FINANCING SOURCES/(USES)															
Capital Reserve-Transfer Out	$0	$0	$0	$0	$0	$0	$0	($515,291)	$0	$0	$0		$0	($515,291)	
TOTAL OTHER FINANCING SOURCES/(USES)	$0	$0	$0	$0	$0	$0	$0	($515,291)	$0	$0	$0		$0	($515,291)	
															
Subtotal Operating Expenses	$199,507	$173,226	$253,006	$166,035	$156,830	$175,458	$152,177	$658,007	$151,476	$109,050	$100,133		$0	$2,294,905	
															
Excess Revenues (Expenditures)	($49,156)	$1,402,563	($121,141)	($131,136)	($101,482)	($119,948)	($118,385)	($639,537)	($134,345)	($118,554)	($84,775)		$0	($215,895)