MINUTES OF MEETING BANNON LAKES
COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Board of Supervisors of the Bannon Lakes Community Development District was held on Wednesday, May 4, 2022 at 1:00 p.m. at the World Golf Village Renaissance Hotel, 500 S. Legacy Trail, St. Augustine, Florida.

Present and constituting a quorum were:

Art Lancaster	Chairman
John Dodson	Vice Chairman
Chris d’Aquin	Supervisor
Chris Hill	Supervisor

Also present were:

Jim Oliver	District Manager
Wes Haber by phone	District Counsel
Denise Powers	Amenity Manager

FIRST ORDER OF BUSINESS	Roll Call
Mr. Oliver called the meeting to order at 1:00 p.m. Four members of the Board were present constituting a quorum.

SECOND ORDER OF BUSINESS	Public Comment
Mr. Oliver noted there were two sections on this agenda for public comment. There were no public comments at this time.

THIRD ORDER OF BUSINESS	Approval of Minutes
February 2, 2022 Meeting
March 2, 2022 Special Meeting
Mr. Oliver presented the February 2, 2022 regular meeting and March 2, 2022 special meeting minutes and asked for any comments, corrections, or changes. The Board had no changes to either set of minutes.

May 4, 2022	Bannon Lakes CDD

On MOTION by Mr. Lancaster, seconded by Mr. Dodson, with all in favor, the Minutes of the February 2, 2022 Meeting and the March 2, 2022 Special Meeting, were approved.

FOURTH ORDER OF BUSINESS	Consideration	of	Resolution	2022-05,
Ratifying Board & Staff Actions Related to Series 2022 Bond
Mr. Haber stated the Board initially adopted a Delegation Resolution that delegated authority to the Board Chairperson and staff to take actions in order to close on the most recent series of bonds. He added these bonds have closed, and this resolution just ratifies that action. It was asked for the abbreviations to be explained. Mr. Haber explained all abbreviations for the Board.

On MOTION by Mr. Lancaster, seconded by Mr. d’Aquin, with all in favor, Resolution 2022-05, Ratifying Board & Staff Actions Related to Series 2022 Bond, was approved.

FIFTH ORDER OF BUSINESS	Consideration  of  Resolution  2022-06,
Approving FY 2023 Budget & Setting a Public Hearing Date for Adoption
Mr. Oliver noted that these numbers are projections based on March 31st financials. The budget adoption will be at the public hearing and he suggested the public hearing be held on August 3, 2022 at 1:00 p.m. He noted the budget would change and this budget is projecting no increase in per unit assessments. Assessments for operations & maintenance remain at current levels of
$830 net for each platted lot. The proposed O&M budget totals $676,017.
Mr. Oliver explained the difference between tax roll assessments and the direct assessments based on the platted lot increase from $444,000 to $573,000. The direct assessments are for collection of assessments for properties not yet on the tax roll. He explained the increases in expenditures in administrative, amenities, and ground maintenance. The management and vendor increase is around 5%. Mr. Oliver noted pool chemicals has an 8% surcharge added to cost so the expected increase in this line item is increased by 20% from $10,000 to $12,000. He added that grounds maintenance current expenditure is at $151,000 and will increase due to labor costs. The assessment table is based on a net assessment of $830 but now they are showing 691 units versus the previous of 536 units. The debt service and amortization schedules are in the budget. Those

May 4, 2022	Bannon Lakes CDD
assessments were previously approved when bonds were issues and are not subject to change during this budget process.
Mr. Oliver explained the extra POA contribution is for construction or installation of playground equipment. This includes $175,000 that will be used towards capital projects. Mr. Oliver further explained the capital reserve funds.

On MOTION by Mr. d’Aquin, seconded by Mr. Hill, with all in favor, Resolution 2022-06, Approving FY 2023 Budget & Setting a Public Hearing Date for Adoption for August 3, 2022 at 1:00 p.m., was approved.

SIXTH ORDER OF BUSINESS	Consideration	of	Resolution	2022-07,
Prompt Payment Policies
Mr. Haber explained that this resolution is a requirement. It states that there will be an increase in the interest rate if the District is late on a payment to a vendor or contract. Mr. Haber recommended adoption of this updated policy in order to be in line with Florida law.

On MOTION by Mr. Lancaster, seconded by Mr. d’Aquin, with all in favor, Resolution 2022-07, Prompt Payment Policies, was approved.

SEVENTH ORDER OF BUSINESS	Consideration	of	Resolution	2022-08,
Designating Landowners’ Meeting Date
Mr. Haber explained the Landowner election requirements and process and noted this resolution designates a meeting date. He added a notice is required and explained that the difference in the Landowner and the General election is the Landowner election can have anyone that is a resident of the State of Florida over the age of 18. He added in the General election a qualified person must reside in the District. Mr. Oliver recommended the date for this Landowner election be Wednesday, November 2, 2022. He added it does not coincide with the regular meeting date. It was noted there is one seat up for the Landowner’s election. Discussion ensued on the dates for the next regular Board meeting date. Mr. Oliver noted he would reach out to Board members individually to come up with a 2nd date and ratify actions associated with the resolution.

May 4, 2022	Bannon Lakes CDD

On MOTION by Mr. Lancaster, seconded by Mr. Dodson with all in favor, Resolution 2022-08, Designating Landowner’s Meeting Date as November 2, 2022 at 1:00 p.m. at the same location, was approved.

EIGHTH ORDER OF BUSINESS	Consideration of Third Amendment with
Riverside Management Services, Inc. for Amenity Management Services to Increase Janitorial Services
Mr. Oliver noted this is for an increase in janitorial services which started in March from one service per week to two services per week. It was noted they can explore other companies to provide the service. Budget expenses were discussed.

On MOTION by Mr. Lancaster, seconded by Mr. d’Aquin, with all in favor, Ratification of the Third Amendment with Riverside Management Services, Inc. for Amenity Management Services to Increase Janitorial Services, was approved.

Mr. Oliver noted that Ms. Powers had received two proposals and one was at a lower rate. Mr. Oliver recommended the Board approve the proposal with JaniKing and terminate the agreement with Riverside for janitorial services.

On MOTION by Mr. d’Aquin, seconded by Mr. Dodson, with all in favor, the Acceptance of the Proposal with JaniKing and Direction to Terminate the Riverside Agreement, was approved.

Mr. Oliver noted he would get with Mr. Haber to develop the new contract and termination letter for Riverside.

NINTH ORDER OF BUSINESS	Acceptance	of	Audit	Committee
Recommendations
Mr. Oliver noted the audit committee met earlier and they approved the evaluation criteria, and he asked the Board to accept the committee findings and direct staff to issue and RFP for audit proposals.

May 4, 2022	Bannon Lakes CDD

On MOTION by Mr. Dodson, seconded by Mr. Hill with all in favor, Accepting the Audit Committee Recommendations, was approved.

TENTH ORDER OF BUSINESS	Presentation of Draft FY 2021 Financial
Audit Report
Mr. Oliver noted the draft was in the agenda packet and this audit was completed for Fiscal Year 2021. He added that CDDs are units of government in Florida and annual financial audits by an independent auditor are required by Florida Statutes. He added the financial statements are included to the auditor, and the auditor noted no material weaknesses in internal control. There were no recommendations or findings noted by the auditor, and no conditions of financial emergency. He added the District is in good financial shape and he stated that this is a clean audit and will help with issuance of bonds.

On MOTION by Mr. d, Aquin, seconded by Mr. Dodson, with all in favor, the Draft FY 2021 Financial Audit Report, was approved.

ELEVENTH ORDER OF BUSINESS	Other Business
There was no other business.

TWELFTH ORDER OF BUSINESS	Staff Reports
Attorney
Mr. Haber noted he had sent an email to bond counsel and asked about the GP noted earlier.
He added he is still awaiting a response. Further clarification on abbreviations were given.

Engineer
Mr. Oliver noted these requisitions have been executed and processed. We are seeking ratification. There were some questions about a request that the engineer should provide a close out package stating that the project is complete. It was noted these were all done at the closing table of bond issuance. There was a question about wetlands impact analysis, and it was explained the Engineer had to update and provide backup.

May 4, 2022	Bannon Lakes CDD
Ratification of Series 2021 Requisitions No 27-33
Ratification of Series 2022 Requisitions No 1-3

On MOTION by Mr. d’Aquin, seconded by Mr. Lancaster, with all in favor, Series 2021 Requisitions No. 27-33 and Series 2022 Requisitions 1-3, were ratified.

District Manager – Presentation of Number of Registered Voters
Mr. Oliver stated that there was an annual requirement for the District to report the number of registered voters residing in the District. He presented the letter from the Supervisor of Elections which shows that there are 966 registered voters in the District. He explained what triggers a general election and the process. Mr. Oliver noted a notice on the general election will be posted and the requirements.

General Manager
Report
Ms. Powers introduced herself and explained her role. She reviewed the updates on activities in the community. She reviewed comments from the community and the possibility of needing access control of the pickleball courts. Discussion ensued on current rules and policies. She added a request was made for trespassing signs and discussion ensued on the specifics of locations and needs. She added another resident concern was protocols on wildlife on the CDD property. Board discussion continued on animal control problems and if this was an HOA issue. It was further noted the transitional Board will address surveys and the needs on expansion plans. She noted the quote for landscaping was for $670 to do fence install. The Board directed Ms. Powers to proceed with that quote. Ms. Powers asked about waivers in the policies on liability insurance with parties on property. She will follow-up with Mr. Haber. She explained other events and asked for clarification on policies.

On MOTION by Mr. d’Aquin, seconded by Mr. Lancaster, with all in favor, the Proposal for Gym Rules Signage, was approved.

She brought up the concern on the Fitness center policies and age requirement that is needed in policies. She added there had been complaints on this issue with adults bringing in small

May 4, 2022	Bannon Lakes CDD
children while working out. She asked for the Board to give a minimum age that would be permitted in the fitness center. Mr. Oliver noted that all Districts have restrictions. After Board discussion they decided to have Mr. Haber develop a change to the policy and have it ratified at the next meeting. The Board decided to have the minimum age requirement for minors changed. It was also discussed about having signage updated to reflect this new policy.
Ms. Powers asked the Board about upgrading the security system with the number of cameras. Discussion ensued on harassment issues and calling 911. It was noted there was no camera in the parking lot. Further discussion on investigating companies and system upgrades to bring back to the Board. Ms. Powers discussed the new summer office hours for amenity center and programs provided.

Ratification of Court Surfaces Proposal for Windscreen Replacement
Ms. Powers noted the courts and been cleaned and look great. She added the resurfacing was not needed. She noted the proposal for windscreen replacements needed ratified.

On MOTION by Mr. d’Aquin, seconded by Mr. Hill, with all in favor, the Proposal from Court Surfaces for Windscreen Replacement, was ratified.

THIRTEENTH ORDER OF BUSINESS	Audience Comments
A resident commented on the condition of sod and the fence condition. It was noted this fence was on another property.
A resident commented on HOA issues.
Resident commented on children’s bus stops and bike racks, and other property issues. There was discussion on the stormwater drainage. Some concerns were discussed and clarified on the lakes maintained by the CDD.
There was further discussion about bicycle racks and the number of bicycles near the bus
stops.

FOURTEENTH ORDER OF BUSINESS	Supervisor’s Requests
Supervisors had no comments. There being none, the next item followed.

May 4, 2022	Bannon Lakes CDD
FIFTEENTH ORDER OF BUSINESS	Financial Reports
Balance Sheet and Statement of Revenues & Expenditures for the Period Ending March 31, 2022
Mr. Oliver stated that the balance sheet can be found in the agenda package as of March 31, 2022.

Assessment Receipt Schedule
Mr. Oliver reviewed the assessment receipt schedule and noted they were 94.36% collected
on roll.

Approval of Check Register
Mr. Oliver noted that the check register required Board approval.

On MOTION by Mr. Lancaster, seconded by Mr. d’Aquin, with all in favor, the Check Register was approved.

SIXTEENTH ORDER OF BUSINESS	Next Scheduled Meeting – August 3, 2022
@ 1:00 p.m. at the World Golf Renaissance Hotel, 500 S. Legacy Trail, St. Augustine, FL 32092
Mr. Oliver stated the next scheduled regular meeting date would be August 3, 2022 at 1:00
p.m. at the World Golf Renaissance Hotel, 500 S. Legacy Trail, St. Augustine, FL 32092. He noted this would be for the budget meeting.

SEVENTEENTH ORDER OF BUSINESS	Adjournment

The meeting was adjourned.

On MOTION by Mr. Lancaster, seconded by Mr. d’Aquin, with all in favor, the Meeting was adjourned.

Secretary / Assistant Secretary	Chairperson / Vice Chairperson