MINUTES OF MEETING LAKE ASHTON COMMUNITY DEVELOPMENT DISTRICT The regular meeting of the Board of Supervisors of the Lake Ashton Community Development District was held on Monday, September 18, 2023 at 9:30 a.m. at the Lake Ashton Clubhouse Ballroom, 4141 Ashton Club Drive, Lake Wales, FL. Present and constituting a quorum were: Lloyd Howison Chairman Brenda VanSickle Vice Chairman Steve Realmuto Assistant Secretary Mike Costello Assistant Secretary Debby Landgrebe Assistant Secretary Also present were: Jill Burns by Zoom District Manager, GMS Jan Carpenter Latham Luna, District Counsel Alan Rayl District Engineer, Rayl Engineering Christine Wells Community Director Matt Fisher Operations Manager Pete Wittman Yellowstone Landscaping The following is a summary of the discussions and actions taken at the September 18, 2023 Lake Ashton Community Development District Board of Supervisors meeting. FIRST ORDER OF BUSINESS Roll Call and Pledge of Allegiance Ms. Burns called the meeting to order at 9:30 a.m., called roll, and the pledge of allegiance was recited. Five Supervisors were present constituting a quorum. SECOND ORDER OF BUSINESS Approval of Meeting Agenda Mr. Howison asked for any changes to the agenda. Hearing none, he asked for a motion to approve the meeting agenda. On MOTION by Ms. VanSickle, seconded by Ms. Landgrebe, with all in favor, the Meeting Agenda, was approved. September 18, 2023 Lake Ashton CDD 2 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) Mr. Howison opened up the public comment period. There were no forms submitted and no members on Zoom. There being no comments, the next item followed. FOURTH ORDER OF BUSINESS Consideration of Minutes from the August 21, 2023 Board of Supervisors Meeting Mr. Howison presented the minutes from the August 21, 2023 Board of Supervisors meeting. He asked for any comments or corrections to the minutes. Ms. Burns noted there were comments from Ms. Landgrebe that are incorporated in the new version. Ms. VanSickle noted changes on page 5 and page 14 should read official word instead of official work. On MOTION by Ms. VanSickle seconded by Ms. Landgrebe with all in favor, the Minutes of the August 21, 2023 Board of Supervisors Meeting, were approved as amended. FIFTH ORDER OF BUSINESS Landscaping Update A. Presentation of Monthly Landscaping Checklist and Report Mr. Fisher presented the landscape report to the Board. The landscaping update included planting of annuals, clubhouse roses were removed and they are relocating the Birds of Paradise. Other comments from Mr. Williams on specific plants, locations, dog park, weed control application, regular fertilization to begin, artificial turf, mowing, and slow down for this time of year. Perennial planting costs were discussed as well as the timeline for that, the contract amount will be lowered. Other questions were regarding Boulevards and the clubhouse. SIXTH ORDER OF BUSINESS Old Business A. Discussion Regarding Revised Joint Amenity Facilities Policies September 18, 2023 Lake Ashton CDD 3 The policies were reviewed to examine the unauthorized use of the amenities by guests and non-residents. Some editorial updates for clarity were made to include the access credentials, and recommendations and feedback were received. Ms. Landgrebe reviewed specific changes including amenity access credentials, guest wording from patron to guest and guest is limited to 12 guest registrations per year, guests under the age of 21 must be accompanied by a patron/parent/guardian over 21 years of age. She noted that CDD II had mixed views on the 21-age limit. Page three change to proper credentials, guest access credentials, non-resident member rate increase to $4,500, the fee is changed from two people to one person, and attorney research may be needed. On the CDD II Board, Ms. Littlewood was concerned about renters and lease holders on page 5 and how would they get access credentials. Ms. Landgrebe noted that on page 5 it reads that there will be a fee charged for replacement credentials. Suggestion from CDD II to change the wording to pets are not allowed on golf course. Ms. Burns commented on the non-resident user fees and Chapter 2 is not necessary anymore due to the agreement. Mr. Realmuto stated he wanted them outlined and approve the document quicker. Ms. Burns noted both CDDs could not make changes separately. Mr. Realmuto had concerns on the number of guests a resident can have per year, number of times guest can visit, and definition of guests. Mr. Costello had concerns with the limitation of guests for a resident. Discussion ensued on the definition of guests, accompanied by residents, issues of groups visiting, approval from the Community Director, percentage of guests/residents, unattended guests’ clarification, access cards will assist with this issue. Other topics of discussion was the age requirement for being accompanied, proposal for under 18 must be accompanied by someone over 21, Valid ID access and credentials, annual fees for amenity usage, number of people in a household, $4,500 and the definition on how many in a household and legal defense, and majority of community in two people per household. Decision was to keep the costs at $4,500/household for two people/household and having a defensible statement for this decision. September 18, 2023 Lake Ashton CDD 4 Discussion continued on definition of guests, change on establishment of violation procedure on unauthorized use of facility access credential and suspension of 7 days. Mr. Realmuto stated he felt it should refer to the suspension policy. Continued discussion was on maximum of 30-day suspension and violation procedures for appealing suspension. Renters and lease holders statement stay as it is currently. Another concern was regarding the definition of guests’ registration statement. Further discussion was on clarification of the redundancy of items either removed or stay as current. There will be further work on the updates and a new version will be submitted to the joint meeting for final approval in October. B. Updated Combined Reserve Study and Strategic Planning Projects List (tabled from August 21, 2023 Board of Supervisors Meeting) Mr. Howison questioned decisions based upon current need at the time. He asked for a quick discussion. The total amount exceeds contribution to the Capital project fund and a goal needs to be on reducing of the total amount. Substantial cuts need to be made. Recommendation for cuts on clubhouse credentials, reducing assessment forces us to charge for credentials. Mr. Realmuto went through an extensive list of recommendations to reduce to at least $204,000. SEVENTH ORDER OF BUSINESS New Business A. Consideration of Renewal of Bingo Room Rental Agreement Mr. John reviewed the renewal of the Bingo rental agreement and his desire to have a reduction in rent. He had reviewed records that reflected annual costs of $20,800 in rent. He reviewed the percentage of residents/non-residents participation. He recommended with 32 weeks to be reduced to $300/week for use of room. It was asked about the rate increases for the participants. Discussion ensued on the bingo history in the community and Ms. VanSickle commented the charges were unreasonable since other groups in this category are not charged a fee. She added she felt we are taking advantage of them. Ms. VanSickle made the motion to lower the charge to $300. Further discussion ensued on topics for the fee, resident participation, nonresident charges rental, costs for the rental. Mr. Realmuto commented on the specifics of September 18, 2023 Lake Ashton CDD 5 people, electrical costs, rental costs, fee, increases in expenses, reduction impact on budget. Ms. VanSickle made comments on history, donation, impact of the group on the community, volunteers for bingo, other work by the bingo group. Further discussion on having this bingo group for residents only and the statue requirement, hardship on the group, and impact on budget. Finally, it was suggested to reduce to $350 and how that impacts the members of the residents of this group. Ms. VanSickle adjusted her motion to $350/annually. On MOTION by Ms. VanSickle, seconded by Mr. Costello, with Ms. VanSickle, Mr. Costello, Ms. Landgrebe, and Mr. Howison in favor and Mr. Realmuto opposed, the Renewal of Bingo Room Rental Agreement to Lower the Charge to $350, was approved 4-1. B. Discussion Regarding Meeting Efficiency and Length of Meetings (requested by Supervisor VanSickle) Ms. VanSickle commented the meetings were getting long and redundant. She commented that residents have commented on the arguing in the group. She added comments on Sunshine Laws, discussion takes time and needs be respected. She added for Board member to avoid interruptions and personal attacks, be as concise as possible, and avoid repeating comments. She made other comments for recommendations for the Board behavior specifics. Board member Mr. Howison agreed with Ms. VanSickle’s comments on trusting staff decisions. He read the definition of the CDD to the Board. He added we are a policy Board and let should let the staff to their job. Ms. VanSickle commented on the staff and the good job they do. C. Discussion Regarding Previously Approved Resolution 2023-04 Designating Spending Authority (requested by Supervisor VanSickle) Ms. VanSickle stated this was drafted by GMS and we had added a phrase that could limit what our staff do and “restore to its current condition”. She added she would like to take that out. Ms. Burns noted this would give staff more flexibility and freedom to make decision. September 18, 2023 Lake Ashton CDD 6 On MOTION by Ms. VanSickle, seconded by Ms. Landgrebe, with all in favor, the Resolution 2023-04 Designating Spending Authority and Removing “Restore to Current Condition,” was approved. D. Discussion Regarding Security (requested by Supervisor Realmuto – NOT A CLOSED SESSION) Mr. Howison stated this is not a closed session. Mr. Realmuto asked to express his opinion on this topic. He stated primarily he wanted this on the agenda so we can make decisions as a Board. Mr. Costello made comments on moving forward with roads, parking, and what Ms. Wells has done with landscapers and blocking the streets. He asked for Ms. Wells comments. Ms. Wells stated we are waiting on contract to be finalized and timeline. Other changes were on camera locations. Further discussion was held on problems, moving things, walk-through by Securitas, implementation of system, educating residents on how to use it, status and confirmation by Board, charging for cards, access cards, costs, sponsors, goal of making security enhancements, access for guests, temporary guest passes, minors, and limits on number per household. E. Discussion Regarding the Fiscal Year 2024 Adopted Budget (requested by Supervisor Realmuto) Mr. Realmuto thanked the staff for keeping expenses down. He added there was significantly more revenue than before, projections provided by GMS, and ending with income exceeding what we budgeted for by $200,000. He commented on expenditures, maintenance over spending, general fund budget projections. He added capital projections and noted expenses such as media center game room enhancements and other items that are taken out of capital projects and not added in this projected budget. Clarifications were made. EIGHTH ORDER OF BUSINESS Monthly Reports A. Attorney Ms. Carpenter had nothing to report to the Board. September 18, 2023 Lake Ashton CDD 7 B. Engineer I. Consideration of Proposals for Bridge Board Replacements a) EMC Docks b) S&S Contracting of Polk County, Inc. Mr. Rayl presented the proposals and gave an overview. It was noted there would be final quotes in the October meeting. He presented the proposal for bridge board replacements and noted the quotes were in the agenda packet. He added S&S has been less than reliable. Comments were made on the costs for both vendors and the current budget. On MOTION by Mr. Costello, seconded by Ms. Landgrebe, with all in favor, the Proposal with EMC Docks for Bridge Board Replacements with a Not To Exceed Amount of $10,000, was approved. Mr. Rayl also commented on repair items with roadways and projected budgeting for $100,000. There were questions on the incline, C. Lake Ashton Community Director Ms. Wells reviewed the Lake Ashton Community Director Report to the Board stating that it was included in the agenda packet for review. She discussed the costs for projected tracking list and projected costs. She added comments on upcoming events on Open House for the Clubhouse on November 18th, and other upcoming events. She added other comments on pool, washing, and items that will be upcoming. Board questions were on Spectrum, internet structure, pricing options on internet, level of service, 2 connections being paid for currently, and paying for services not being used could be eliminated. I. Consideration of Quotes for Bocce Ball Court Refurbishment Ms. Wells reviewed quotes for the refurbishment for Bocce Ball and specifics on the project. She noted that two vendors responded with quotes. She noted the bocce ball court refurbishment was a Capital Project for the 2023 Fiscal Year. September 18, 2023 Lake Ashton CDD 8 On MOTION by Mr. Costello, seconded by Ms. VanSickle, with all in favor, Awarding the Concrete Work for the Bocce Ball Court to David Wells with a Not to Exceed $22,000 for the total project, was approved. II. Consideration of Surplus List Ms. Wells reviewed the surplus list which was included in the agenda package for Board review. On MOTION by Mr. Realmuto, seconded by Ms. VanSickle with all in favor, the Surplus List was approved as amended. D. Operations Manager Mr. Fisher reviewed the Operations Manager Report which was included in the agenda package for review. E. District Manager’s Report Ms. Burns did not have anything to bring to the Board. NINTH ORDER OF BUSINESS Financial Report A. Combined Balance Sheet B. Capital Projects Reserve Fund C. Statement of Revenues, Expenditures, and Changes in Fund Balance D. Approval of Check Run Summary The financials were included in the agenda. Mr. Realmuto asked that after the fiscal year, can the Board get a final tally of where the CDD ended up, or what the actual expenditures were for the year. On MOTION by Mr. Realmuto, seconded by Ms. VanSickle, with all in favor, the Check Run Summary, was approved. TENTH ORDER OF BUSINESS Public Comments Mr. Howison opened the meeting up to public comments. Kathleen Schlipp (4492 Turnberry Lane) asked if they have been keeping a portfolio when they rent the ballroom out for weddings. Ms. Wells stated that they do have September 18,2023 Lake Ashton CDD a lot of pictures and they are in the process of compiling those. They do use recent pictures for marketing the ballroom. ELEVENTH ORDER OF BUSINESS Supervisor Requests I Supervisor Open Discussion Mr. Howison asked for any Supervisor comments or open discussion. There being no comments, the next item followed. TWELFTH ORDER OF BUSINESS Adjournment The meeting was adjourned. On MOTION by Ms. Landgrebe, seconded by Ms. VanSickle, with all in favor, the meetin was adiourned. 9