Heron Isles
Community Development District

August  1, 2019

Heron Isles
Community Development District
475 West Town Place, Suite 114, St. Augustine, Florida 32092
Phone: 904-940-5850	Fax: 904-940-5899

July 25, 2019
Board of Supervisors
Heron Isles Community Development District Dear Board Members:
A meeting of the Board of Supervisors of the Heron Isles Community Development District will be held Thursday, August 1, 2019 at 6:00 p.m. at the Association of Realtors, 910 South 14th Street, Fernandina Beach, Florida.
Roll Call
Audience Comments
Affidavits of Publication
Approval of the Minutes of the May 2, 2019 Meeting
Update on Pending Projects
Additional Parking for Playground Park and Soccer Field
Mail Kiosk Cover
Public Hearing to Adopt the Fiscal Year 2020 Budget
Consideration of Resolution 2019-07, Relating to Annual Appropriations and Adopting the Budget for Fiscal Year 2020
Consideration of Resolution 2019-08, Imposing Special Assessments and Certifying an Assessment Roll
Public Hearing to Adopt Rates and Fees Relating to Access Cards
Consideration of Resolution 2019-09
Acceptance of the Fiscal Year 2018 Audit Report
Staff Reports
District Counsel
District Engineer
District Manager – Discussion of the Fiscal Year 2020 Meeting Schedule
Property Manager – Report
Supervisors’ Requests and Audience Comments
Financial Reports
Balance Sheet & Income Statement
Assessment Receipt Schedule
Approval of Check Register
Next Scheduled Meeting – TBD
Adjournment

Enclosed under the third order of business are copies of the affidavits of publications for the public hearings.

Enclosed under the fourth order of business is a copy of the minutes of the May 2, 2019 meeting.

The fifth order of business is update on pending projects. Cost estimates for the parking lot expansion are enclosed for your review.

The sixth order of business is the public hearing to adopt the Fiscal Year 202 budget. Enclosed for your review and approval are copies of the budget, resolution 2019-07, and resolution 2019-08.

The seventh order of business is the public hearing to adopt rates and fees relating to access cards. A copy of resolution 2019-09 with the proposed rates is enclosed for your review and approval.

The eighth order of business is acceptance of the Fiscal Year 2018 audit report. A copy of the report is enclosed for your review.
Copies of the financial reports are enclosed for your review and approval.

The balance of the agenda is routine in nature. Staff reports and any additional support material will be presented and discussed at the meeting. If you have any questions, please contact me.
I look forward to seeing you at the meeting and in the meantime if you have any questions, please contact me.
Sincerely,

Ernesto Torres

Ernesto Torres District Manager

AGENDA

Heron Isles Community Development District
Agenda
Thursday	Association of Realtors
August 1, 2019	910 South 14th Street
6:00 p.m.	Fernandina Beach, FL
Call in #: 800-264-8432
Passcode: 433354 www.heronislescdd.com

Roll Call

Audience Comments

Affidavits of Publication

Approval of the Minutes of the May 2, 2019 Meeting

Update on Pending Projects
Additional Parking for Playground Park and Soccer Field

Mail Kiosk Cover

Public Hearing to Adopt the Fiscal Year 2020 Budget
Consideration of Resolution 2019-07, Relating to Annual Appropriations and Adopting the Budget for Fiscal Year 2020

Consideration of Resolution 2019-08, Imposing Special Assessments and Certifying an Assessment Roll

Public Hearing to Adopt Rates and Fees Relating to Access Cards
Consideration of Resolution 2019-09

Acceptance of the Fiscal Year 2018 Audit Report

Staff Reports
District Counsel

District Engineer

District Manager – Discussion of the Fiscal Year 2020 Meeting Schedule

Property Manager – Report

Supervisors’ Requests and Audience Comments

Financial Reports
Balance Sheet & Income Statement

Assessment Receipt Schedule

Approval of Check Register
Next Scheduled Meeting – TBD
Adjournment

THIRD ORDER OF BUSINESS

NEWS-LEADER
Published WeeJdy
511 Ash Street/P.O. Box 16766 (904) 261-3696
Fernandina Beach, Nassau County, Floi-ida 32034 .

STATE OF FLORIDA COUNTY OF NASSAU:

Before the undersigned authority personally appeared
Foy R. Maloy, Jr

Who on oath says that (s)he is the Publisher of the
Fernandina Beach News-Leader, a weekly newspaper published at Fernandina Beach in Nassau County, Florida;  that  the  attached copy the advertisement, being a DISPLAY LEGAL NOTICE in the matter of

NI MEETING AND MAP HERON ISLES CDD

Was published in said newspaper in the issue(s) of

07/03/2019 07/10/2019
LEGAL DISPLAY

Affiant further says that the said News-Leader is
a newspaper published at Fernandina Beach, in said Nassau County, Florida and that the said newspaper has heretofore been continuously published in said Nassau County, Florida, each week and has been entered as second class mail matter at the post office in Fernandina Beach in said Nassau County, Florida,  for a period of one year preceding the first publication of the attached copy
of advertisement; and Affiant further says that (s)he has neither paid nor promised any person, firm or corporation any discount,
rebate, commission or refund for the purpose of securing this advertisement for publication in the said newspaper.
-··· .494	. ·
Sworn to and subscribed to beforme
This 10th day of July, A.O. 2019

Robert	. Fiege, Notary Public

ll;Known

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ROBERT O F\EGE

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EXPIRES June 09; 2020

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LOCATION:	Association ofRealtors •.••••i•< : •••i  i  ··•..•.•••·••·•..•J  //
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Fernandina Beach, Florida 32034 '	<..
The first   ub,l·i   hearuig is belll:g;   ei ?  i WsIl  ii; '.i rtj tr
receive public comment and obje tions 0[>1 thi Pis#ieJ' . P#,p.. for the fiscal .year beginning October I, iOl? aµq. tjdl# .:$ 2019/2020'').The second pul;,lic h(laring iii 1;,eJC1gh l<:I Pl#"	l'lf!A;
Statutes, to consider the unp<>sition of operatiOCl .Mel tn itjt¢pajiqe::,; 1,J .
Assessments") upon t eJaµcls Jocatecl wi in th{ Pi st:riqt,?t }fuA4 .·.·· ·

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Year 2019/2020; to consd(lrithe ad<>ption·of llfl.':asS(lSSµl_ ri.t{<> tt· Cl..,• collection, and enforcement ofassessments..At	oµc ip11 9(tfi(l.lt ijf	;
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purpose of funding the l)ish-jct'.s general'14 1:I" tfy ; RP(lf/1;t1}m • .........
provi_ding the funds necessary  to pay. d(lbt. (lryic(l i<>l:J:.:Q4  i•ft(@  j  ·.·· ···

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District's debt service b dget. A geogr,pw(: d(lpi ti<>q.9( tlt(l. pf9p{ proposed O&M Assessments is identified in the mapatta h(ld.hf · · schedule of the proposed O&M Assessme11ts, wlJ.ii:h stjpj!!c:t{ .

1 Includes collection fees and discolll)ts (7%)

The proposed O&M Assessments as stated include 9) &ti ri;Ji ¥i •
discounts, which Nass11u County ("Co1-nty")  lllay •imposeon 3$SC $aj(IJJ.  ··
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no assessment heijing shall b(l held or notic# provide in'.fy	·Y¢ l"S < proposed·to be lil,c:i-e ed.or another criterion v,,itl)i ·se1ti? J 7i § Arn> rbietJtit c( 1t;s;i: :  e feC:1jr1i  ff1 itl§,t?Jf f ¾Il:s!  i%
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NEWS-LEADER
Published Weekly
511 Ash Street/P.O. Box 16766 (904) 261-3696
Fernandina Beach, Nassau County, Florida 32034

STATE OF FLORIDA COUNTY OF NASSAU:

Before the undersigned authority personally appeared
Foy R. Maloy, Jr

Who on oath says that (s)he is the Publisher of the

NOTICE OF RULE DEVELOPMENT BY THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT
In accordance with Chapters 190 and 120,  Flor­ ida Statutes, the HERON ISLES COMMUNITY DEVELOPMENT DISTRICT ("District"), hereby gives notice of its intention to develop rules regard­ ing the establishment of fees related to the use of the District's recreational facilities and services. The purpose and effect of these rules is to provide for efficient and effective District operations by setting rates and fees to implement the provisions of Section 190.035, Florida Statutes. Specific legal authority for the rules includes Sections 190.035(2), 190.011(5),
120.54 and 120.81, Florida Statutes (2018). A public hearing will be conducted by the District on August 1, 2019, at 6:00 p.m., at the offices of the Association of Realtors, 910 S. 14th Street, Fernandina Beach, Florida 32034. A copy of the proposed rules may be obtained by contacting the District Manager, at 475 West Town Place, Suite 114, St. Augustine, Florida 32092 or at (904) 940-5850.
Ernesto Torres District Manager

Fernandina Beach News-Leader, a weekly newspaper published at Fernandina Beach in Nassau Coun ty, Florida;  that the attached copy the advertisement, being a DISPLAY LEGAL NOTICE in the matter of

N/ RULE DEVELOPMENT HERON ISLES CDD

Was published in said newspaper in the issue(s) of

06/26/2019
LEGAL DISPLAY

Affiant further says that the said News-Leader is
a newspaper published at Fernandina Beach, in said Nassau County, Florida and that the said newspaper has heretofore been continuously published in said Nassau County, Florida, each week and has been entered as second class mail matter at the post office in Fernandina Beach  in said Nassau County, Florida, for a period of one year preceding the first publication of the attached copy
of advertisement; and Affiant further says that (s)he has neither paid nor promised any person, firm or corporation any discount,
rebate, commission or refund for the purpose of securing this advertisement for publication in the said newspaper.

Sworn to and subscribed to before me

C	 Lei?

This 26th day of June, A.D. 2019

Robert 0. Fiege , Notary PU1C
 	@_ Personally Known

t,-r· a:·i	ROBERT O FIEGE 7  5
MY COMMISSION# GG0 00 0
:.	EXPIRES June 09, 2020
I   ,.f!.',"	F k)ridaNotl!ryServtO,  l COl'ft	
{407) 398.0153	

NEWS-LEADER
Published Weeldy
511 Ash Street/P.O. Box 16766 (904) 261-3696
Fernandina Beach, Nassau County, Florida 32034

STATE OF FLORIDA COUNTY OF NASSAU:

Before the undersigned authority personally appeared
Foy R. Maloy, Jr

Who on oath says that (s)he is the Publisher of the
Fernandina Beach News-Leader, a weekly newspaper published at Fernandina Beach in Nassau County, Florida;  that  the attached copy the advertisement, being a DISPLAY LEGAL NOTICE in the matter of

NOTICE OF RULE MAKING HERON ISLES CDD

Was published in said newspaper in the issue(s) of

06/28/2019
LEGAL DISPLAY

Affiant further says that the said News-Leader is
a newspaper published at Fernandina Beach, in said Nassau County, Florida and that the said newspaper has heretofore been continuously published in said Nassau County, Florida, each week and has been entered as second class mail matter at the post office in Fernandina Beach in said Nassau  County, Florida, for a period of one year preceding the first publication of the attached copy
of advertisement; and Affiant further says that (s)he has neither paid
nor promised any person, finn or corporation any discount, rebate, commission or refund f.or the purpose of securing this
advertisement for publication in the said newspaper.

Sworn to and subscribed to before me
This 28th day of June, A.D. 2019

NOTICE OF RULE MAKING FOR SETTING I HERON ISLES COMMUNITY DEVELOPMENT I
A  public hearing will be conducted by th   Bciard Of Supervisors of i:he Heron I le
District (the "Distrkt")_ on Thursday, August 1, 2019,,at 6:00 p,m. at the offices o:
S.14th Street_, Fernandina Beach,-Florida 32034.
The_p_llblkhearing will rro ide an oppo_rtunity fort _public to address a pr9pj
relating to the use of District amenity facilities. :Tue- purpqse and-effect _of the
-implement_t}ie provisions of SecHon 190.035! Flor da Statutes' and to provide for operatiOns,	-	-	-	'

Category	Pre	
Initial Key Card	$0;/	
Replacement of Lost, Damaged; or Stolen Key Card		

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The propose-d rates-ma}' be adjusted af th ptibHC' arin'g pursuant to discussiori­ and publ_lc _com_me_nt.   'Ute_ p_ rpose of :this rule is _,to; hnple,:P1eot the_ provisjoll Statutes, regarding the schedule of rates,:fees-i!lnd charges for the use of the Dis services.
Specific legal authority for the rule in_c!udes Sectio s 190.03_5_(2),:190.011(5) 8.nd 1 notic_e_ o_f Q-!le deveJoprpent;waspublis_hed in the-_fern;m_d_in<tBeach News-Leader cj who wishes to rovide the J?istrictwith_a proposal for: ,lowef costregula_tor:ralfer 120.541(1), Flori_da:Statutes, ustdo so ln_wiiting--within twenty-rme (21)-days aftj
A re()_uest_for a public hearing_ on the- l)istrict's intell._t to a_dopt its proposed ruJ:el the District Manager, c/o H_eron Isles Com_.flluntty DevClopment District, 475_-'V_ Augustine, FL 32092, and receiv_ed wi_thiit:twentyone (21) days after the date ofthj This p_ublic hearing may b_e conti_nued tQ_a_ date, tim_ - and pl ce to be specified 9 -! anyone chooses to appeal any decision of die Board with respect to any matter co person will need a rec9rd of the proceedings and should accordingly ensure th_at ceedings is made that includes the testimony and evidence upon which such .ippeii
requiring special accommodations at this heliring_becaus_e_ of a dfs!lbility or physi,, tact the District Ma ager at th_e address and numb_er pr_ovided below.  If you arel ple_ _se_contacuhe Flor1da Relay Service at l-80_0:9-ss s710,for_-ai -in c_ontacting tl
the propcised rule may be-o_bt i_ned _by co tactlrtg t ;J)J_Strlc -lyla_nager;- c/0' He:r:orl ent District, 475 West Town Place, Suite 114, St. Augusiin ; FL 32092 or at (904j

 	    Personally Known

EX• PIRES June 0. 9, 2020
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:{soclation of Realtors, 910

trule setting_ ceitain fees
!setting  rates or fees is to
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lsed Rate/Fee
I $10.00 .
t $50.00
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t,he BOard of supel"visoi.-s

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:se _tion  190.035, F,lorida
ricl'e.ition facilities· nd

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MINUTES

MINUTES OF MEETING
HERON ISLES COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Board of Supervisors of the Heron Isles Community Development District was held on Thursday, May 2, 2019 at 10:30 a.m. at the Compass Group Conference Room, 961687 Gateway Blvd., Suite 201K, Amelia Island, Florida.

Present and constituting a quorum were:

Kathleen Blessing	Supervisor
Robert Martyn	Supervisor
Justin Blessing	Supervisor

Also present were:

Ernesto Torres	District Manager
Jason Walters	District Counsel (by phone)
Cheryl Graham	Property Manager
Mike Yuro	District Engineer

FIRST ORDER OF BUSINESS	Roll Call
Mr. Torres called the meeting to order at 10:30 a.m.

SECOND ORDER OF BUSINESS	Audience Comments
Mr. Greg Watson, 85078 Furtherview Court, stated at the meeting in April the cleaning of the sidewalks was brought up in addition to the additional parking. I think you suggested that maybe we need a poo of funds before we start doing things, something to fall back on in case something happened to our roads or something like that. I looked at the sidewalks and they’re a little dirty, but they’re sidewalks. I think we need to get some money in savings in case something catastrophic happens so we would have something to fall back on.
Mr. Torres stated we are going to consider the FY 2020 budget today and at the last meeting we proposed that we start establishing a capital reserves account so we will get to that.
Mr. Watson stated I also think the sidewalks could probably be put off for a couple more years. I didn’t really see the need to do it when I drove around. The other thing, and I’ve brought

it up before, is I think we need to have every other meeting at least in the evening so more residents can come.
Mr. Pete Henry, 96109 Stoney Glen Court, asked is now the time to talk about the proposed budget or are we going to be able to talk during that discussion?
Mr. Torres stated you can provide your comments now because it is on the agenda and the board is going to consider the budget. In August we will have a public hearing where we will open it up to all that attend to provide comments prior to the board adopting the budget. Right now it’s just a proposed budget so we can propose it at a certain level and based on the public hearing it can be adjusted, as long as it is adjusted downwards, not upwards.
Mr. Henry stated I guess the question I have is I look at this and there’s projected to be about $400 in revenue from the bank. Who does the CDD use to invest the money? There’s a local bank that for a $10,000 minimum has a 2% money market. On $200,000 there’s $4,000 right there instead of $400. It also has a CD for 2.65% so I’m just curious as to who is investing the money and why are you not going for something that has a higher return.
Mr. Torres stated I don’t have the information on the accounts or interest in the financials but I’d be happy to get that.
Mr. Henry stated the other issue that I have is in 2016 the rates were at $376.58 and you’re proposing $505. That’s a 34% increase in four years. Our social security checks have only gone up 5.2% and I don’t know who here has gotten a 34% raise.
Mr. Torres stated I’m glad that you’re mentioning that because we are going to talk about that but the history of the expanses in repairs and replacements for the community that you live in such as the vandalism in the bathrooms, the issues with the fence, your utilities and insurance and everything else has gone up so we have to adjust the budget in order to meet our financial obligations.
Cheryl Graham and Mike Yuro joined the meeting at this time.

THIRD ORDER OF BUSINESS	Approval of Minutes
February 7, 2019 BOS Meeting
There were no comments on the minutes.
April 9, 2019 Special Meeting
There were no comments on the minutes.

On MOTION by Mr. Blessing seconded by Ms. Blessing with all in favor the minutes of the February 7, 2019 Board of Supervisors meeting and April 9, 2019 special meeting were approved.

FOURTH ORDER OF BUSINESS	Update on Pending Projects
Landscaping – HOA Contribution
Mr. Torres stated this came up at the last meeting and at the end of the meeting we discovered the HOA was willing to make a contribution towards the landscaping. We do not have the chair or vice chair present today so I will coordinate or have Cheryl coordinate for Ricky to sign the letter to the HOA, along with the other documents from this meeting. We will proceed with that once we have the chair and the HOA sign the document.
Additional Parking for Playground Park and Soccer Field
Mr. Yuro stated at our meeting last month I was asked to come up with a couple of scenarios and concept drawings for some additional parking at the soccer field area. I’ve shown them both here on one exhibit to give you a better overall view but I think clearly the board is looking at one or the other. Option number one, which is the angled parking off the Parkway, includes eight parking spaces. As I was laying that one out I thought it could potentially be problematic just because of the geometry of the road. The road is on a curve so people parking there and backing out could create some challenges, particularly if there is any landscaping along the edge of the road. I did reach out to the county to see if that would even be allowed because my understanding is this is a county road and I have not gotten an answer yet because what I did find out is the public works director is no longer there so the email I sent bounced back and I’m still trying to see if that angled parking option would even be allowable. As soon as I find out I will let you know. That kind of white square you see is an existing lift station and there is an area behind that that I did a concept sketch for that includes twelve spaces. This is also to give you guys some budget ideas. The other thing I want to make you aware of as far as budget numbers is these are fairly small projects so if the board wants to proceed I would want to get some budget numbers from a contractor. I used my best judgment having to actually bump up some unit pricing because the smaller the project the bigger the unit price per square foot or square yard. The other thing I want to point out, getting back to the angled parking, is there are several obstacles I was trying to make sure we avoided; one being the lift station, and that dark square you see I think is a well. It looks like there’s some electrical control. I’m not sure if it’s a well for irrigation but there is some kind of utility there we would need to avoid.

Ms. Graham stated it’s the infrastructure for the water service there.
Mr. Yuro stated okay that’s what I assumed. I’ve outlined where the playground currently is and then continuing left as you’re looking at the sheet there is an electrical box there so with the angled parking we would certainly need to establish where existing utilities and easements are. Knowing that there is an underground electric box there tells me there is likely an underground electric easement. I haven’t seen the plats for this but typically the electric companies like to have their easement outside of the right of ways, they like to have their own dedicated easement so that is just one other thing that could potentially be problematic with that angled parking. As we relate to the more traditional parking lot, certainly it’s going to be more expensive because you have more square footage of asphalt and base material and fill and so forth. You need a 26’ entry area for cars to come and go. That area is also fairly low so I was estimating at least three feet of fill would also be necessary to be brought in. With that being said, I put the numbers on there and the very rough cost estimates for the angled parking is in the neighborhood of $50,000 and about $130,000 for the more traditional parking layout. From a ratio perspective, even if my unit prices are off, I think that’s fair for you guys to get an idea that the traditional parking layout is likely going to be 2.5 times more expensive than the other one because it has to be bigger for the entry road and for the fill. I showed you guys a layout at the last meeting and this one really hasn’t changed other than the color. It is comparable to the angled parking and is in the neighborhood of $50,000. Again, that’s just based on adding eight parking spaces so it’s about the same square footage of asphalt and base material and so forth as the angled parking. I wouldn’t write those numbers in stone just yet but I’m just trying to give you guys something to react to and look at as you make decisions on whether you want to move forward or not with any of these options.
Mr. Blessing asked so this second one you just handed out there are no potential issues are far as putting these spaces in?
Mr. Yuro stated I think there are less potential issues because we already have something. I think there was a light pole on either end. Let me just back up a bit. The other thing I did not include in the cost estimate is any soft costs, engineering survey, geotechnical exploration, permitting fees or anything like that but to your question about this existing parking, I think there are much less issues because the area was already set up for parking so my expectation would be if there is a utility easement or utility lines I’m not expecting that we would have as many

potential impacts but we would certainly need to confirm that with survey to determine it. The only thing I do know for sure is right at the end of the one I just handed out there is a light pole on either end that we would want to identify and make sure we stay short of it but anything that is underground because there’s already a curved parking lot there, with extending it I would not expect to have as many potential issues as we might if there were no parking lot to begin with. Again, I do have a phone call into the county. I’m not sure if I’m getting the right person because in their directory other than the public works director that is the only person that had a title and that person is no longer there so hopefully I will be able to get some feedback from them on if the angled parking will even be an option.
Mr. Blessing stated people go so fast on that road anyway backing up from that angled parking lot would be dangerous.
Mr. Yuro stated particularly with that curve.
Ms. Blessing stated I think so too. I think the addition to our parking is the better option.
Mr. Torres stated I know the board also asked at the last meeting to explore financing options for these small projects that we’ve talked about. Jason, do you want to talk about funding options that may possibly exist for this? It appears without the soft costs we’re already at
$180,000 so I would say with soft costs I’d look at somewhere in the neighborhood of $200,000.
Mr. Walters stated in terms of a project that size you’re accessing the bond market similar to what we did at the beginning of the district. It isn’t economically feasible because of all of the costs associated with it. Generally the cost of issuing that size of the bond would be about as much as the proceeds that you would generate so it’s an extremely inefficient model. We can certainly talk to banks. I know Sete has talked to Ernesto a little bit and they have some good banking relationships so that’s an option we could explore. The only hesitancy banks generally have is they are more used to your general securities so like when you have a mortgage on your house, the value of that house and land is pledged as security. Since we’re a unit of government they can’t lien or execute against that lien on district property so their only real security is our pledge to levy assessments sufficient to cover the interest and principal payments on that loan. In terms of a financing option the other model is either a one-time special assessment that would entirely fund the project or a build up of assessments over time until there are sufficient funds in the bank account to complete the project.

Mr. Torres stated as he said I did have a conversation with MBS as well and I was told the same thing that Jason is saying so those would be the three options. It’s not feasible to consider a bond financing for this so there would be a smaller loan and increase of the capital reserves or even create an account that makes a contribution for the next three years or so towards something like this but understand the cost of the project would probably go up if we delay it. The last and less attractive option to the residents would be a one-time assessment for each rooftop. We can talk about that a little bit more when we get into the budget but that is your update on the parking.
Mail Kiosk Cover
Mr. Torres stated last month when we met I don’t believe Cheryl had heard back from any contractors.
Ms. Graham stated I had not but just in the last couple days I was able to get some quotes in. I’m going to give you a heads up they do exceed that $4,000 budget that I was initially provided. Bill Harvey has also been helping me trying to find quotes.
Mr. Torres stated Cheryl has provided us two quotes for the mail kiosk, one at $24,950 and the other at $49,601. Several months ago I know the board approved an amount not to exceed $4,000.
Ms. Graham stated there has been a challenge given the size. The dimensions have to be 17’x22’ so then it pushes it up to the next tier in cost. In the photo I provided I was trying to use it as an idea to have contractors bid. In their original design they were using cedar but I told them they could use pressure-treated and we could paint it to save on costs, and then there’s the metal roof but they’re still coming in at these prices. Shorebreak did say that they would get us a quote but I’m still waiting on him. He said they’ve just been swamped but he assured me they would get one over to us. That company is the one that reconstructed the restroom facility.
Mr. Torres stated I recommend the board continue to table this and continue to get updates from Cheryl and try to at least get the Short Break quote to compare.
Mr. Blessing asked are there any other options other than this gazebo thing? I don’t want to spend $25,000 on a gazebo.
Ms. Graham stated that’s why I gave them a photo of what I thought would be fairly simple framing and a metal roof. This particular photo came with the metal roof, which was nice because we have metal roofs on the pavilions and restroom facility.

Ms. Blessing stated we had something like that built in our backyard without the roof for
$1,000.
Mr. Blessing stated it’s going to be bigger.
Ms. Blessing stated I know but $25,000 or $50,000?
Mr. Blessing stated and our engineer is estimating an entire parking lot is going to cost
$50,000. It just seems high.
Ms. Graham stated I could continue to talk to other smaller contractors.
Ms. Blessing stated our old neighbor moved away but I can ask because he has a company.
Mr. Blessing asked is people’s mail getting wet inside the boxes? Ms. Graham stated yes.
A resident stated I had expensive photos ruined because we don’t have a cover over our mailboxes.
Ms. Graham stated out of curiosity I stopped at the center on 200 that has the pre- constructed sheds. Aesthetically it’s not going to give you a very nice look in the community but that was $17,000. I showed it to Bill and he said it won’t even look good in the neighborhood but I’m trying whatever option I can to get a price.
Mr. Torres stated let’s just keep working on it.

FIFTH ORDER OF BUSINESS	Discussion of Amenity Policies – Access
Cards
Mr. Torres stated this item came up as we realized we now have District equipment that was recently installed that requires access cards. Cheryl do you have a draft of what our new rules should be related to the access cards?
Ms. Graham stated the only thing we’ve created so far was a form for the owners to fill out to get a card but a card will be provided to every owner at no cost and if there is a tenant we need a copy of their lease, which the owner will provide, which will help us know who all of the renters are in the community and will give us a contact person. They would also have the ability to get a card. They are a resident in the community so they would have to have access. Additional cards could be purchased for $25. If they’re lost then we wanted to charge a $50 fee for replacements.

Mr. Torres stated anything that is rate related that you are going to charge residents in addition to their assessment for either rental fees for use of your facilities, or like in this case, access card replacement the fee has to be adopted by the district and we will have to have a public hearing for which we will publish a notice in the newspaper. At this point I’d like to have the public hearing during August’s meeting to adopt the $25 charge, or whatever the board chooses for replacement cards. It’s up to the board to decide what that rate is going to be. We need a max rate or range and then we would publish that for the August meeting.
Mr. Walters stated that’s correct. We will come up with a range and we will just include it all in the same notice for the meeting and then it will be up to the board to set that final rate for the cards.
Mr. Blessing asked how much do the cards cost? Ms. Graham stated they are about $7 a card.
Ms. Blessing stated I think $25 is good.
Mr. Torres stated if you put the range of $25-$50 and the board decided three years from now that cards cost more you would not have to have another public hearing to increase the fee if it’s within that range. We can decide on the final rate at the public hearing.
Mr. Blessing asked does it cost us money to deactivate the cards?
Ms. Graham stated it does. There is staff time to go into the system, the programming of it and also making the changes.
Mr. Blessing stated as someone who loses a lot of stuff I think we can go a little lower. Ms. Blessing stated it just encourages them not to lose the card.
Mr. Martyn stated I think $50 is pretty steep and personally I think $25 is a little steep. Mr. Blessing asked do you need a motion?
Mr. Torres stated no just some board guidance. Mr. Blessing stated so we will do $25-$50 range.
Mr. Torres stated just a range but again the board will approve the actual replacement rate at the August meeting. Cheryl I will work with you if you want to send me a draft policy and I will work with counsel to add to it and we will adopt it at the next meeting.
Ms. Graham asked is it okay in the meantime to start activating cards and get owners used to it? The system is in place it’s just not being used right now.
Mr. Torres stated that’s fine.

SIXTH ORDER OF BUSINESS	Ratification	of	Contract	with	Absolute
Contracting, Co. for Graylon Drive Storm Drain Repairs
Mr. Torres stated this issue came up in between meetings so it calls for ratification. There was an emergency repair needed for a storm drain that was causing erosion. Cheryl, has the project been completed?
Ms. Graham stated we have some more fill dirt to go into that area because it’s sunk down a little bit but the repair has been completed.
Mr. Torres asked will there be any additional repair to the sidewalk?
Ms. Graham stated not that I’m aware of. That was the worry that if it went further we would have to pull the sidewalk up.
Mr. Torres stated so what we’re looking for is ratification of the contract with Absolute Contracting not to exceed $5,250.

On MOTION by Ms. Blessing seconded by Mr. Blessing with all in favor the contract for storm drain repairs made by Absolute Contracting Co. was ratified.

Ms. Graham stated while we’re on that subject I just want you to know that we became aware of another location in Phase 3-C. We are going to look at it first. An owner reported that around a culvert it’s turned into some rather deep holes and it’s in a new area at the end of Breezeway Court so I’ve asked them to come look at it.
Mr. Torres asked is it something the developer could get involved in?
Ms. Graham stated that’s the newest area. I don’t know what the warranty period is for that but I’m definitely going to make them aware and I’ve got some photos to send over to Kathy Wilford and I’m having Rick look at it with a little camera that he puts in there to see if there are any breaks in the line. We’re hoping that it just for some reason needs dirt but we don’t want to just assume that. We want to make sure if it’s anything worse it gets fixed before it gets worse so we will know by tomorrow at the latest.

SEVENTH ORDER OF BUSINESS	Consideration	of	Resolution	2019-06,
Approving the Proposed Budget for Fiscal Year 2020 and Setting a Public Hearing Date for Adoption
Mr. Torres stated as I alluded to earlier our next meeting is scheduled for August 1st so I would recommend to the board we use August 1, 2019 at 10:30 a.m. and the location is 910 South 14th Street, Fernandina Beach, FL for the public hearing.
Mr. Blessing asked did you say 10:30 a.m.?
Mr. Torres stated yes we had some issues trying to get the hotel and the location we spoke about at the last meeting so the Recording Secretary has explored a few options. We are keeping the August 1st date since it was already announced at the beginning of the fiscal year and this is the best she could come up with. You think it will hold at least 90 people?
Ms. Graham stated it will. This is the evening meeting?
Mr. Torres stated we couldn’t get the evening time booked so it’s going to be 10:30. If you’ll turn to the budget, I can go over some of the increases that you will see. From fiscal year 2019 to what we’re proposing for FY20 you will see under administrative costs an increase  from
$100,000 to $117,000 and the biggest cost there is for charges that are paid to the county per our agreement, which was adopted many years ago when the CDD was first formed. We have an agreement with Nassau County and there is an administrative fee for collecting our assessments so you will see a $7,000 increase there. There are other administrative increases, such as insurance costs. The other increase you will find is under contract services. At our last meeting the board provided some guidance on adding a landscape contingency line of $15,000 so that we could do some necessary landscaping that was not included in our contract. Again, this is not a contractual obligation to have a contingency, but it’s nice to have. The other change to the budget is we wanted to establish a capital reserves account so the recommendation was to move the repairs and maintenance funds to our capital reserve account and increase our facility repairs to $15,000. That would give us two pools of funds if and when the facility repairs exceeded the
$15,000 for fiscal year 2020. As you can see from this past year there have been things we didn’t plan for. Although the vandalism may be done in the bathrooms and the cards certainly help, we’ve had a couple of other issues such as the drain issues. The proposed budget is up for discussion and we will adopt at our August meeting. The only thing we can’t do in August is realize we need additional funds and increase it. Under this draft budget there is no line for an

additional contribution to our future parking lot expansion project. If we don’t add a line all we can hope for is that we continue to build our capital reserves, we keep the repairs and replacements low then in three years from now you could fund the project out of your capital reserves account or if you’d rather continue to establish some sort of a contribution account towards a project such as the parking lot for the next few years you could do that but we’d have to add it as a line on your budget.
Mr. Martyn asked the assessments going from $320 to $354 - is that because of the new section?
Mr. Torres stated yes that’s because of all of the increases I just laid out. Mr. Martyn stated so the increase would show up in people’s taxes?
Mr. Torres stated yes. We would go from $404 to $505 if you keep this current budget. Mr. Martyn stated so residents would have to pay $101 additional.
Mr. Torres stated you’re going to have an increase just with the administrative fees, especially the ones collected by the county, and our insurance.
Ms. Blessing stated the insurance fees looked like they went up somewhere near 40%. Has there been a suggestion to look for different insurance companies and get some quotes? Why did they go up? Because we put claims in?
Mr. Torres stated the claims that we have, such as the fence, was of no fault to the district.
Ms. Blessing stated I think we should go out for quotes because as a homeowner you always go out for quotes. They will just keep raising it until you stop them. It seems like a big increase and when they do that to me I go with another company.
Mr. Torres stated okay I can come back in August and see if there are any other insurance providers that can provide the same coverage that we currently have.
Ms. Blessing stated another thing Cheryl had brought up a couple meetings ago were the wells to hopefully save us a little money on water, but they might cost us a little more on electric. Do you have any estimates on what they would cost?
Ms. Cheryl stated I know what I’ve worked with in other communities; I don’t know what exactly it would be for Heron Isles. Given the size and depth of them they will be on average around $11,000 for initial installation of a deep one. I don’t know how much it would cover and if two would be sufficient or if we would need three to make sure we had the right

amount of water to supply all of the common areas. Once you have them in place in time they would pay for themselves.
Mr. Blessing stated the water is costing us $44,000.
Ms. Blessing stated we might be able to cover some of the cost in the savings. We don’t have enough numbers to know, like how much would the electric go up. It seems like the water went down a lot.
Mr. Torres stated yes the water has gone down from $46,000 to $44,000.
Ms. Blessing stated I’m saying if we had wells it would go down a lot but electric would go up so we need to know.
Mr. Blessing asked what do we need to do to get that in motion? That’s a no brainer to
me.
Ms. Graham stated we just need some quotes. I had talked to Martex about that to work
with the layout of what we would need.
Ms. Blessing stated if they could give us some estimates of how much you would save and how much more it would cost in electric that would be good.
Ms. Graham stated it could be quite the savings because city water is very expensive.
Mr. Blessing stated and this gentleman’s idea of putting our reserves into a higher yield savings account - is that something we can talk about now? I think that’s a great idea.
Mr. Torres stated if that opportunity is available I’m sure we can do that. I don’t know the ins and outs.
Ms. Blessing stated I looked at that too and I’m not sure if we actually have that
$200,000 in there or if we pay off the loan each month.
Mr. Torres stated right now you have no capital reserves so there is no capital reserves account.
Ms. Blessing stated it looks like there’s about $50,000 generally monthly. Mr. Torres asked are you talking about the funds from the debt assessment? Ms. Blessing stated no the cash that we have that we could get interest on.
Mr. Torres stated I can bring back to the board where the accounts are and what interest we’re earning.

Mr. Martyn stated this gentleman here mentioned earlier how five years ago it went up and now we’re talking about going up another $101. I think we need to look at where we can cut.
$15,000 in facility repairs, what would that be?
Mr. Torres stated we just had $5,200 worth or repairs that we just had to commit to the storm drain so those are the kinds of things that would fall under that line.
Ms. Blessing stated I actually think we are getting about $900 a year in interest.
Mr. Blessing stated so we have about $58,000 in a Wells Fargo and Bank of America account so if we’re getting $900 on $58,000 that’s pretty good.
Ms. Blessing stated yes because that came out to 1.5%, which is a fairly good savings account these days. You can get some information on that.
Mr. Blessing asked so if we want to start building up for the parking lot we need to raise the assessments even further? I don’t think we can just count on the capital reserve. We need the budget for it if we want to do it.
Mr. Martyn stated it would be more than the $101 a year. Mr. Blessing stated yes if that’s what we wanted to do.
Ms. Graham asked and that would have to be presented today to have it in the budget for discussion in August?
Mr. Torres stated that’s correct.
Ms. Blessing stated I would think a three-year plan because we don’t have the parking lot
now.
Mr. Blessing stated if we push this forward we’re just going to be raising the rates every
single year instead of just doing it now and getting it over with.
Mr. Martyn stated it sounds like we’ve already been doing that.
Ms. Blessing stated with 748 people that’s $70 a person for one parking lot in one year. I would pay $70 for a parking lot and I wouldn’t use it but I think we should have one. Maybe we could do a one-time fee for one parking lot.
Mr. Blessing asked a special assessment for one parking lot? Ms. Blessing stated yes.
Mr. Blessing stated that’s for one of the cheaper ones and that’s an estimated cost. Ms. Blessing stated I don’t think it would go more than $80,000 though.
Mr. Blessing asked would the special assessment have to be in the budget?

Mr. Torres stated Jason in the event the board decides to pursue the parking lot expansion by the playground it’s estimated at $49,000 but it could range up to maybe $54,000 or more when you add in the soft costs so what they’re entertaining is if there is a special one-time assessment is that something we structure with the adopted budget in August to where it would not occur again in 2021?
Mr. Walters stated I think the smartest way to do it would be to include an item in the budget for capital improvements or you could even label it capital improvements/parking and whatever that number is, $55,000 or $55,000, you would have that line item that would be included in the budget. We would obviously notice that as a hearing and once those assessments are collected we would use those funds to build the parking lot.
Mr. Torres asked and then in 2021 when we propose the budget that line is just zeroed out and not funded?
Mr. Walters stated correct and then we would bring the budget in line with the expected assessments for the next year.
Mr. Yuro stated I would add probably another 15% on for soft costs. If this is the one they want to go with I can talk to some contractors and fine-tune the unit costs.
Mr. Blessing asked what happens if the special assessment doesn’t fully fund it? Say it comes in way over budget.
Mr. Torres stated we would have to look into your capital reserves account. We adopt in August and we’re in May so if we’re planning for a worst-case scenario $58,000 then by August would you have some harder numbers?
Mr. Yuro stated I think I could. You’re not going to get hard numbers until you have final plans and make sure there’s nothing funky under the ground when you get a geotech done but if this is what you think you want to move forward with then I can at least start talking to some contractors and tighten up that budget number for sure.
Mr. Martyn asked how much did you come up with that we would increase it by? Ms. Blessing stated it’s $77.54 so you say $78.
Mr. Martyn stated plus the $101 so it would come out to $179 per resident.
Ms. Blessing stated yes but this is a one-time assessment that would go away and this is a proposed budget.

Mr. Torres stated exactly. This is a proposed budget and it gives the board a little time to think it through and it also gives the engineer time to maybe come closer to the numbers and in August we can always go down. You can decrease your contingency, you can decrease your capital reserves contribution, there are several things you can do to adjust the numbers it just gives us time. We have to at least propose the budget now. If you’re looking for a one-time assessment to fund the parking lot that’s certainly the way to do it.
Ms. Blessing stated and then everyone in the neighborhood can look at it and when they’re voicing their opinion on the budget they can voice their opinion on the parking lot. I think it’s reasonable. I don’t like taking loans out and it gets it done.
Mr. Blessing asked what if we did a special assessment on the smaller parking lot and then put extra reserves into the budget for the larger one long term maybe four or five years down the line and maybe that smaller parking increase will be enough and there won’t be as much issues out there and we can reroute that money. We’re going to increase assessments this year. Do we want to do this again next year? How many years in a row do we want to increase assessments?
Mr. Torres stated well you will continue to increase assessments until you start budgeting correctly. We have capital reserves; the repairs and replacements that are happening are unbudgeted so we have to find the money to fund these items. These improvements such as this parking lot came about at a meeting.
Mr. Blessing stated what I’m saying is I don’t want to be sitting here six months from now with Don and John and everybody and talking about building this parking lot again but it’s not budgeted and we’re six months away from another budget. I would rather just have the money budgeted and if we don’t want to do it we don’t have to do it but it’s in there.
Mr. Torres stated without the other two board members being present I would recommend you at least add it to the proposed budget and discuss it more later so we would add a capital project improvement line to the category where you see reserves so you would have capital reserves of $30,000 and then we would have a capital improvement project line of
$57,500.
Ms. Blessing stated the other 12 spaces would cost $203.87 apiece so say $205. That’s a lot for 12 spaces and plus it’s going to go up if you’re putting a contingency plan on it to go out three or four years.

Ms. Graham stated we do not have reserves for roadway repairs.
Mr. Torres stated we’re trying to get there by putting $30,000 in capital reserves.
Ms. Blessing stated I think the second parking lot is unrealistic at this time because we need other things more. If you want to add it in it’s $205 a person for one year and if you spread it out over three years it’s $68 a year per person.
Mr. Torres asked what is your proposed capital project improvement total? Ms. Blessing stated $152,500.
Mr. Torres stated if in August you decide not to do either parking lot or Mike comes back with a different cost, as he may, then we can adjust the line.
Ms. Blessing asked they’re going to be separate lines?
Mr. Torres stated no it’s just one capital improvement project line and the board will know it’s for the two parking lots.
Mr. Blessing stated she didn’t add them together. That’s just for one parking lot. Ms. Blessing stated if you add them together it’s $210,000.
Mr. Blessing stated we don’t have to do the second parking lot. I’m not in favor of the second parking lot necessarily; I just don’t want us going forward to be talking about this every meeting. I’m fine with doing the one-time assessment, get the smaller one and see if we need more parking after that and go from there. Maybe that will fix the whole problem and then we don’t have to spend this extra money. I make a motion that we approve the $15,000 landscaping, the $15,000 extra for facility maintenance, the $30,000 in capital reserves and the one-time assessment on the existing parking lot for $57,500.

On MOTION by Mr. Blessing seconded by Ms. Blessing with all in favor resolution 2019-06, approving the proposed budget as amended and setting the public hearing date for August 1, 2019 was approved.

EIGHTH ORDER OF BUSINESS	Staff Reports
District Counsel
There being none, the next item followed.
District Engineer

Mr. Yuro stated for clarification for the next meeting you want me to fine tune this budget estimate and maybe get some proposals for soft costs that might be necessary?
Ms. Blessing stated yes.
District Manager – Report on the Number of Registered Voters (1,230)
Mr. Torres stated as of April 15, 2019 Heron Isles Community Development District has 1,230 registered voters.
Property Manager - Report
Ms. Graham stated the packet that I presented to you is a duplicate for the most part from what was presented last month on the maintenance items that I still need approval on. Item four is listed on the agenda, which is the gazebo for the mail kiosk and we’ve already discussed that one. The proposals for the pressure washing of the sidewalks and play structures, those three service providers are still in place and interested in performing the services it’s just the direction from the board on whether you wish to have this done. Painting of the fence is the crown caps and repairs for which there are proposals from Crystal Clean, Gene Pruitt and HuGus. Just a thought, the crown caps are Styrofoam and when we get storms some always blow off no matter how we fasten them down. We’ve added some rebar to them to help secure them but they still pop off. The top of them is actually filled with concrete and what they did initially I discovered is there is a flat surface and they were just gluing them right on top, the glue dries out, a storm comes and off they go. Because they are Styrofoam they crack and get dinged up and over time they get stained to where regular pressure washing has not been successful and they do need ot be painted. What if we didn’t have those tops? Just riding around looking at other communities and their fencing structures I kept seeing more and more that are not using the caps. Then you have nothing to blow off. The columns are fine; that part is stable.
Ms. Blessing stated we spend a lot of money on those caps.
Ms. Graham stated just for those repairs alone you’re looking at $8,000; $2,400 for six new caps. That’s $350 each just to make a new cap. Repairing 27 of the caps you’re looking at another $2,509. I was looking at budgets and how we’re always trying to figure out the best deal and I’m not getting anyone to come down on their pricing to fix these things.
Ms. Blessing stated I can’t really visualize them without the caps. A resident asked isn’t there one without a cap on it right now?
Ms. Graham stated yes there are about six without caps.

A resident stated if the board will go around and look at it. I looked at it and it looks fine to me but we don’t get a vote.
Ms. Graham stated the surface is all formed and there are designed columns in place. I took a picture yesterday but it didn’t come out very well and theirs was just shadowbox fencing that they use but they have masonry and I’m seeing that more and more. I don’t know what they had previously and if they decided to take them off. I know other communities have the same problems. Sometimes it’s just a tree branch falls and cracks it and you have to replace it.
A resident stated why don’t we take them off, set them to the side, see how we like it and then go instead of just taking them off and throwing them away. We’re not going to know for sure until we see them without them and if they’re an eyesore then at least we still have them and we can figure something else out. I don’t know how hard it is to get them off but it’s something we might be able to do.
Ms. Graham stated they’re not hard at all to get off. Total there are 161 caps. Some of them are damaged and need to be repaired anyway. If we’re just going to take a section of them there’s a storage room at the restroom facility that we could put them in for now.
Mr. Torres asked you’re going to obtain quotes to have them removed?
Ms. Graham stated yes I don’t think it will cost anywhere around these numbers just to pop them off. The inside is just concrete. You can’t really see the top unless you’re on a ladder and then you’ll see that it’s just concrete. If you just stain it to where it’s just a brown color to match the masonry.
Mr. Blessing stated good idea.
Ms. Graham stated then you still have your sidewalks.
Ms. Blessing asked didn’t we discuss this last meeting and we didn’t have the money for the sidewalks?
Mr. Torres stated with the repairs we just had for the storm drain you have spent about
$8,000 for repairs and replacements out of $30,000.
Mr. Blessing stated so we’re still under the old budget if we approve this today, so no, we don’t have the money.
Mr. Torres stated you would have somewhere around $22,000.
Mr. Blessing stated that’s why we’re doing the $15,000 next year so we can do this so I say no on that still.

Ms. Graham stated I got some pricing on the rubber mulch as was requested. Mr. Torres asked was that part of the approval from the HOA?
Ms. Graham stated I’m sure the owners association would consider that if the district weren’t going to. The playground is the District’s. For using the red rubber mulch Martex’s quote is $6,839.93 versus their quote for regular certified playground mulch at $1,663.98. I checked with Mulch Masters as well and they had quoted for the wooden playground mulch
$3,800 and their rubber mulch is $13,800, which is amazing that it would cost so much. We’ve been checking to get a breakdown on that mulch direct.
Mr. Blessing asked how much does the rubber mulch last?
Ms. Blessing stated it would last forever but you’d still probably have to add some.
Ms. Graham stated it does move around in the rain and get washed out so we would still have to put a border around to keep it in place.
Ms. Blessing stated yes our rubber mulch moves over the borders if we don’t keep them high enough but we’ve had it for three years and we still have the same amount of mulch.
Mr. Blessing stated you would see a cost savings after a little over four years if you were to maintain most of the mulch at least. We need mulch on the playground.
Ms. Graham stated definitely.
Ms. Blessing stated I guess we have to go with the regular mulch for now.
Mr. Blessing stated maybe we can do the rubber when we’ve budgeted for it next year.
Mr. Torres stated if you can’t delay it and you want to add regular mulch, add the regular mulch and then see where we are at the end of September before the fiscal year ends and see how much we have remaining in the account.
Mr. Watson stated when I had a lawn care business I tried to talk a person into not putting the rubber mulch in and it got washed away after a couple years so he had to spend almost as much money to put it back in. I don’t know about this but I’ve seen playgrounds where it’s kind of painting in and it’s like rubber. That may get destroyed also or may be more expensive but replenishing mulch, either artificial or natural is going to be an ongoing process. If we put in the stuff that is painted or glued in or however they do it it’s really soft. You say it’s playground safe but that natural mulch can hurt kids. I’ve seen that happen and even the artificial mulch can. To me it’s a little bit of a hazard and that’s just from experience. My church just put it in and I thought it was beautiful but they have supervision to where it won’t get destroyed.

Ms. Graham stated there is one that has was you’re referring to; I think it’s the rec center over on Atlantic.
Mr. Martyn asked do you know how much that costs?
Ms. Graham stated it’s more than what’s been quoted but I can find out and at least have some numbers for the next meeting. I checked on it a few years ago because I was impressed when they did it over at the rec center.
Mr. Torres asked do you want to approve the regular mulch? Mr. Blessing made the motion below.
Mr. Martyn asked is that including something around it to keep it in?
Ms. Graham stated no that’s just the mulch itself. We could maybe put something like Mondo grass as a border around it.
Mr. Blessing asked what’s the best way to keep mulch in place?
Mr. Watson stated I put a huge PVC pipe, drilled down through it, and held it in place like that. Anything you put in people will find a way to destroy it. You could do landscaping but I don’t know if that would work as well as a PVC pipe and it probably wouldn’t be as safe.

On MOTION by Mr. Blessing seconded by Ms. Blessing with all in favor Martex’s proposal 4443 for natural mulch to be installed at the playground in the amount of $1,663.98 was approved.

NINTH ORDER OF BUSINESS	Supervisor’s	Requests	and	Audience
Comments
Supervisors’ Requests
Mr. Blessing stated with the gazebo if this Shorebreak offer comes in and it’s looking like it’s going to cost us somewhere around $25,000 could you get with the HOA maybe? They seem willing to help foot the cost on certain things.
Ms. Graham stated yes I will make Bill aware of it.
Audience Comments
Mr. Henry stated the point that I was trying to make about the interest on the account is that looking on your website you had mentioned the amount of voters but it also showed the District collected between $250,000 and $276,000 in December and you have to put that money somewhere. All I’m saying is there’s got to be something we can do to get a higher return. We’re not just talking about $50,000; we’re talking about a big chunk of money.

Ms. Blessing stated I agree but I don’t know how long we hold onto that money.
Mr. Henry stated it doesn’t matter. With a money market you just have to have at least
$10,000 in there.
Mr. Torres stated what he’s referring to is the debt service that you’ve collected.
Mr. Henry stated I’m talking about the ad valorem taxes that you get from the county. What I’m saying is taking that money and getting a higher interest return for us. Even if it’s
$3,000 or $4,000 it helps you pay for something. I personally agree that the lower parking lot is a good choice and it’s not that far of a walk from there to the other parking lot so if you’re going to put parking somewhere that seems like a reasonable idea. The other thing is I don’t think I’ve ever seen a budget go down so just to set it straight, we’re paying $460 now so prior to what you did today it’s only a $45 a year increase because you were going from $460 to $505, which is not unreasonable. What I’m saying by the budget not going down, if it goes through, you’re going to have next year to do that parking lot and the following year you’re going to have that additional
$70 dollars because you’re probably not going to lower the budget.
Ms. Blessing stated the expense is going to come off the budget so it should go down but if we need to spend money on something else it would go back up.
Mr. Henry stated I’m just saying if you kept that money in there for three years or so you would have your reserves built up so you’re not getting stuck. Just a thought.
Mr. Blessing asked is there anything we can do with that money in December? Is that a possibility because I’m all for getting more money in interest.
Mr. Torres stated I will bring more information back to the board on what’s available in the market.
Ms. Blessing stated I think it may actually be going into some kind of interest bearing

fund.

Mr. Torres stated I’m sure it is but it’s also cash that the district has.
Ms. Blessing stated I don’t think it’s kept for too long is what I’m thinking. You pay off

the notes rather quickly after you get the money.
Mr. Henry stated that’s a separate amount because our home builder when we bought our house that debt service was already paid off so we’re only paying the ad valorem. What you’re talking about is the additional $447 a year that all of the homeowners pay so we’re talking two different items.

Mr. Torres stated I understand what you’re saying. I’ll find out.
Mr. Henry stated I may be totally wrong and you may be getting a great interest rate but it’s something to look at.
Mr. Torres stated absolutely.
Ms. Sonya Henry, 96109 Stoney Glen County stated I have a question for Cheryl. Where is the heron that was on top of the gazebo? It isn’t back there that I recall now.
Ms. Graham stated it is not. It broke when they were working on the roof. I planned to relocate and it broke.
Mr. Watson stated I think the budget hearing needs to be in evening. You saw how many people showed up last year. It’s like night and day. If you’re going to have a budget meeting you ought to give the residents an opportunity to be there.
Ms. Henry stated a lot of people have commented on the CDD meetings being during the day. Most people work. You really should have the meeting in the evening so people can voice their opinions.
Ms. Blessing asked Cheryl you had looked into the college? Ms. Graham stated it wasn’t available that day.
Mr. Watson asked have you checked with local churches. We can’t get the realtor’s office for that meeting?
Ms. Graham stated probably. That’s where the meeting is scheduled to be.
Mr. Torres stated if you’d like to reschedule and have a meeting next month so we can talk about the time and location but the resolution we just proposed is to set the public hearing date. We have to have a meeting in order to discuss this.

TENTH ORDER OF BUSINESS	Financial Reports
Balance Sheet & Income Statement
Mr. Torres stated pages one through two give you your general and debt service break out. Pages three and four are your actual expenditures year to date. There are no variances at this point that I feel the district can’t cover with our current budget.
Assessment Receipt Schedule
Mr. Torres stated you are 100% collected already, which is good.
Approval of Check Register

Mr. Torres stated these are checks that have been paid from January 1, 2019 through March 31, 2019 from your general fund for a total of $42,923.43 as well as some online payments for utilities in the amount of $15,131.13.

On MOTION by Mr. Blessing seconded by Mr. Martyn with all in favor the Check Register was approved.

ELEVENTH ORDER OF BUSINESS	Next Scheduled Meeting
Mr. Torres stated our next scheduled meeting is August 1, 2019 at 10:30 a.m. at the Association of Realtors. The address is 910 South 14th Street, Fernandina Beach.

Following the meeting it was discovered the agenda listed the August 1st meeting time at 10:30
in error. The meeting will be held at 6:00 p.m. on August 1, 2019 at the Association of Realtors.

TWELFTH ORDER OF BUSINESS	Adjournment

On MOTION by Ms. Blessing seconded by Mr. Martyn with all in favor the meeting was adjourned.

Secretary/Assistant Secretary	Chairman/Vice Chairman

FIFTH ORDER OF BUSINESS

A.

Yuro
& Associates, LLC

Engineering / Permitting
Development Services
Property Management
Construction Management
ADA Consulting

7/24/2019

Heron Isles CDD - Parking Lot Expansion
Cost Estimate
Item	Unit	Quantity	Unit Cost	Price

Construction Cost		
Mobilization	LS	1	$3,500.00	$3,500.00	
Clearing & Grubbing	AC	0.3	$6,500.00	$1,625.00	
Embankment (Fill)	CY	100	$12.00	$1,200.00	
Stabilized Subgrade	SF	1,600	$4.50	$7,200.00	
Limerock Base (6")	SF	1,600	$6.50	$10,400.00	
Asphalt (1.5")	SF	1,600	$6.00	$9,600.00	
Concrete Curb	LF	130	$19.00	$2,470.00	
Concrete Sidewalk (flatwork)	SF	740	$4.50	$3,330.00	
parking lot striping	LF	216	$6.00	$1,296.00	
Grassing (Sod)	SF	1,200	$1.50	$1,800.00	
Maintenance of Traffic	LS	1	$1,500.00	$1,500.00	
Irrigation Repairs	LS	1	$1,200.00	$1,200.00	
			Sub Total	$45,121.00	

Soft Costs		
Engineering Design	LS	1	$12,500.00	$12,500.00	
Permitting (Nassau County & SJRWMD)	LS	1	$3,500.00	$3,500.00	
Topographic Survey	LS	1	$3,500.00	$3,500.00	
Geotechnical Investigation	LS	1	$3,750.00	$3,750.00	
			Sub Total	$23,250.00	
			Continegncy (15%)	$10,255.65	
Total	$78,626.65	

145 Hilden Road, Unit 108, Ponte Vedra FL 32081
(904) 343-0929  * myuro@mjyuro.com

--	

PARKING ADDITION

B SPACES ADDED (12 TOTAL)
RELOCATE ±150 LF OF SIDEWALK
CONSTRUCT ±1,600 SF OF NEW ASPHALT

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NlI CHAE L J. YURO, P.E.

PLAYGROUND -,P '\ RKING IMPRO\'E1fENTS
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(904) 342-5199

f'LORlDA P.E. LICENSE NO. 65247

HERON ISLES - CDD	2

D.lTL:c	7/ 24/ 19

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REGJSTbRED PROFbSSJQ.",1A,J

CONCEPTUAL SITE PLAN

SIXTH ORDER OF BUSINESS

Approved Budget
Fiscal Year 2020

Heron Isles Community Development District

August 1, 2019

Heron Isles
Community Development District

TABLE OF CONTENTS

General Fund
Budget	Page 1
Narrative	Page 2 - 6

Debt Service Fund
Budget - Series 2017A1/A2	Page 7
Amortization Schedule - 2017A1	Page 8
Amortization Schedule - 2017A2	Page 9 Capital Reserves	Page 10

Heron Isles
Community Development District										

General Fund	
		Adopted		Actual		Projected		Total		Approved	
		Budget		Thru		Next		Projected		Budget	
 Description			 	FY 2019			 	6/30/19			 	3 Months			 	9/30/19			 	FY 2020		
Revenues											
Assessments - On Roll		$320,236		$324,160		$0		$324,160		$412,343	
Interest Income		$400		$628		$150		$778		$400	
Carryforward Surplus		$0		$0		$0		$0		$750	
 TOTAL REVENUES			 	$320,637 		 	$324,788 		 	$150 		 	$324,938 		 	$413,494 	
Expenditures											
Administrative											
Supervisor Fees		$4,000		$3,400		$1,000		$4,400		$6,000	
FICA Expense		$306		$260		$77		$337		$459	
Engineering		$5,000		$2,600		$2,400		$5,000		$5,000	
Assessment Roll		$7,500		$7,500		$0		$7,500		$7,500	
Dissemination		$1,500		$1,125		$375		$1,500		$1,500	
Attorney		$15,000		$7,504		$5,496		$13,000		$15,000	
Annual Audit		$4,000		$0		$3,250		$3,250		$3,250	
Trustee Fees		$2,200		$0		$3,717		$3,717		$3,800	
Management Fees		$45,423		$34,067		$11,356		$45,423		$45,423	
Computer Time		$1,000		$750		$250		$1,000		$1,000	
Website Compliance		$500		$2,125		$125		$2,250		$1,700	
Telephone		$100		$139		$68		$207		$200	
Postage		$500		$735		$39		$773		$800	
Printing & Binding		$1,250		$1,013		$245		$1,258		$1,500	
Rental & Leases		$0		$640		$80		$720		$120	
Meeting Room Rental		$1,300		$400		$200		$600		$1,000	
Insurance		$6,700		$10,663		$0		$10,663		$11,196	
Legal Advertising		$2,500		$5,724		$0		$5,724		$5,350	
Other Current Charges		$1,000		$6,252		$165		$6,417		$7,000	
Office Supplies		$100		$59		$41		$100		$100	
Dues, Licenses & Subscriptions		$175		$175		$0		$175		$175	
Capital Outlay		$250		$0		$0		$0		$0	
TOTAL ADMINISTRATIVE EXPENDITURES		$100,304		$85,132		$28,883		$114,015		$118,073	

UTILITIES:
Electric		

$32,005		

$18,501		

$6,300		

$24,801		

$31,740	
Water & Sewer		 	$46,813 		 	$25,316 		 	$14,041 		 	$39,357 		 	$44,064 	
SUBTOTAL UTILITIES		 	$78,818 		 	$43,817 		 	$20,341 		 	$64,158 		 	$75,804 	
CONTRACT SERVICES
Landscape Maintenance		
$64,250		
$74,814		
$15,213		
$90,027		
$60,852	
Landscape Contingency		$0		$0		$0		$0		$15,000	
Irrigation Maintenance		$3,000		$2,679		$321		$3,000		$3,000	
Lake Maintenance		$12,900		$9,675		$3,225		$12,900		$12,900	
Janitorial Services		$7,200		$4,800		$2,400		$7,200		$7,200	
Trash Removal Services		$7,440		$4,500		$1,500		$6,000		$7,440	
Management Company		$9,000		$6,000		$3,000		$9,000		$9,000	
Pest Control Services		$225		$227		$0		$227		$225	
Holiday Decorations		 	$1,500 		 	$1,710 		 	$0 		 	$1,710 		 	$1,500 	
SUBTOTAL CONTRACT SERVICES		 	$105,515 		 	$104,405 		 	$25,659 		 	$130,064 		 	$117,117 	
REPAIRS & MAINTENANCE
Repairs & Maintenance		
$30,000		
$7,113		
$1,360		
$8,473		
$0	
Facility Repairs		 	$0 		 	$0 		 	$0 		 	$0 		 	$15,000 	
SUBTOTAL REPAIRS & MAINTENANCE		 	$30,000 		 	$7,113 		 	$1,360 		 	$8,473 		 	$15,000 	
RESERVES
Capital Reserve		
$6,000		
$500		
$5,500		
$6,000		
$30,000	
Capital Project Improvements		 	$0 		 	$0 		 	$0 		 	$0 		 	$57,500 	
SUBTOTAL RESERVES		 	$6,000 		 	$500 		 	$5,500 		 	$6,000 		 	$87,500 	
 TOTAL FIELD EXPENDITURES			 	$220,333 		 	$155,835 		 	$52,861 		 	$208,695 		 	$295,421 	
 TOTAL  EXPENDITURES			 	$320,637 		 	$240,967 		 	$81,743 		 	$322,710 		 	$413,494 	
 Excess Revenues			 	$0 		 	$83,821 		 	($81,593)		 	$2,228 		 	$0 	
						
FY 2018		
FY 2019		
FY 2020	

NET ASSESSMENTS	$281,122	$320,236	$412,343	
PLUS COLLECTION FEES (7%)	$21,160	$24,104	$31,037	
GROSS ASSESSMENTS	$302,281	$344,340	$443,380	
NO. OF UNITS	749	749	748	
PER UNIT ASSESSMENT	$404	$460	$593	

REVENUES:
Maintenance Assessments
The District will levy a non ad-valorem special assessment on all assessable property within the District to fund all of the General Operating Expenditures for the fiscal year.

Interest Income
The District will have all excess funds invested with U.S. Bank. The amount is based upon the estimated average balance of funds available during the fiscal year.

EXPENDITURES:
Administrative:

Supervisor Fees
The Florida Statutes allows each board member to receive $200 per meeting not to exceed $4,000 in one year. The amount for the fiscal year is based upon all five supervisors attending the estimated 4 annual meetings.

FICA Expense
Represents the Employer’s share of Social Security and Medicare taxes withheld from Board of Supervisors checks.

Engineering Fees
The District's engineer will be providing general engineering services to the District including attendance and preparation for board meetings, etc.

Assessment Roll
Governmental Management Services serves as the District's collection agent and certifies the District's non-ad valorem assessments with the county tax collector.

Dissemination Agent
The District is required by the Security and Exchange Commission to comply with Rule 15(c) (2)-12(b) (5), which relates to additional reporting requirements for un-rated bond issues.

Attorney
The District's legal counsel will be providing general legal services to the District, i.e., attendance and preparation for monthly meetings, review operating and maintenance contracts.

Annual Audit
The District is required annually to conduct an audit of its financial records by an Independent Certified Public Accounting Firm.

Trustee Fees
The District issued Series 2005 Capital Improvement Revenue Bonds, which are held with a Trustee at US Bank. The amount of the trustee fees is based on the agreement between US Bank and the District.

Management Fees
The District receives Management, Accounting and Administrative services as part of a Management Agreement with Governmental Management Services. These services are further outlined in Exhibit "A" of the Management Agreement.

Computer Time
The District processes all of its financial activities, i.e., accounts payable, financial statements, etc. on a mainframe computer leased by Governmental Management Services.

Website Compliance
Per Chapter 2014-22, Laws of Florida, all Districts must have a website by October 1, 2015 to provide detailed information on the CDD as well as links to useful websites regarding Compliance issues. This website will be maintained by GMS, LLC and updated monthly. ADA Human audit fee will be included in this line.

Telephone
Telephone and fax machine.

Postage
Mailing of agenda packages, overnight deliveries, correspondence, etc.

Printing & Binding
Printing and Binding agenda packages for board meetings, printing of computerized checks, stationary, envelopes etc.

Rental & Leases
Record storage fees to maintain district files by McCranie &Associates Inc at $10/month.

Insurance
The District's General Liability & Public Officials Liability Insurance policy is with Florida Insurance Alliance. Florida Insurance Alliance specializes in providing insurance coverage to governmental agencies.

Legal Advertising
The District is required to advertise various notices for monthly Board meetings, public hearings, etc. in a newspaper of general circulation.

Other Current Charges
Bank charges and any other miscellaneous expenses that are incurred during the year.

Office Supplies
Miscellaneous office supplies.

Meeting Room Rental
This item includes the cost to rent a boardroom for the Heron Isles Community Development District monthly supervisor meetings. The rental fees are based on the quarterly meetings.

Dues, Licenses & Subscriptions
The District is required to pay an annual fee to the Department of Economic Opportunity for $175. This is the only expense under this category for the District.

Capital Outlay
Represents any minor capital expenditures the District may need to make during the Fiscal Year such as a file cabinet for District files.

Utilities:

Electric
This item includes the cost of electricity for Heron Isles CDD that will be provided by FPL.

Location	Account #	Monthly	Annual	

100 Heron Isles Pkwy	
55251-34119	
$2,000	
$24,000	
96103 Heron Isles Pkwy	79367-06030	$15	$180	
96116 Heron Isles Pkwy	15371-18034	$15	$180	
961164 Heron Isles Pkwy #IRR	17007-82129	$15	$180	
96139 Heron Isles Pkwy	89411-73059	$25	$300	
96148 Heron Isles Pkwy	59739-27030	$15	$180	
96443 Heron Isles Pkwy #IRR	62356-51129	$15	$180	
96638 Heron Isles Pkwy #IRR	62602-83129	$15	$180	
96331 Starfish Dr entwall	39110-92496	$15	$180	
928 Chester Rd# Entrance	62761-04061	$15	$180	
Contingency		$500	$6,000	
	Total	$2667	$31,740	

Water & Sewer
This item includes the cost of water and/or sewer from JEA.

Location	Meter #	Monthly	Annual	

96059 Heron Isles PY	
82505651	$1210	$14,520	
96059 Heron Isles PY	82505651	$384	$4,608	
96259 Heron Isles PY	83582184	$847	$10,164	
96320 Starfish Dr	67059090	$20	$240	
96416 Heron Isles PY	67133229	$579	$6,948	
96572 Heron Isles PY	67133293	$600	$7,200	
928 Chester Road Apt IR01	83714954	$32	$384	
	Totals	$3,036	$44,064	

Contract Services:

Landscape Maintenance
Landscape services are to maintain the common areas within the District. The District has contracted with Martex Services for these services pertaining to entryway maintenance. The contract provides for a 30 day termination.

Vendor	Monthly	Annual	
Martex	$5,071	$60,852	

Landscape Contingency
Other Landscape service cost such as tree trimmings, tree and plant disposal and replacements.

Vendor	Monthly	Annual	
Martex	$1,250	$15,000	

Irrigation Maintenance
Irrigation services are to maintain the common areas within the District. The District has contracted with Martex Services for these services pertaining to entryway maintenance. The contract provides for a 30 day termination.

Lake Maintenance
The District has a contract with The Lake Doctors who provide monthly water management services to all the lakes throughout the District.

Janitorial Services
The District has a contract with All Repairs & Maintenance for Janitorial services for the District.

Trash Removal Service
The District has a contract with All Repairs & Maintenance for Trash Removal Services.

Management Company
Management Fees include managing, supervising and coordinating the management, operation and maintenance. The District has a contract with Leland Management Inc. to provide these services, the monthly charge is $750.00 and the contract can be terminated by either party within 30 days notice.

Pest Control
The District has a contract with Kelly Termite for pest control services.

Holiday Decorations:
Represents estimated costs for the District to decorate the amenity center throughout the Fiscal Year.

REPAIRS & MAINTENANCE:

Repairs & Maintenance

Unscheduled repairs and maintenance to the District’s facilities through the community

Facility Repairs
Repairs and maintenance for the District’s amenity center.

RESERVES:

Capital Reserve:
Represents any Capital expenditures the District may need outside of the regular maintenance.

Capital Project Improvements:
Used to fund minor construction or improvements to District property. This includes renovations, repairs, parking lot expansion, or road repairs.

Heron Isles
Community Development District	Debt Service Fund
Series 2017A1-A2

	Adopted
Budget		Actual
Thru		Projected
Next		Total
Projected		Approved
Budget	
	 Description			 	FY 2019			 	6/30/19			 	3 Months			 	9/30/19			 	FY 2020		
	
Revenues											

(1)	Special Assessments - On Roll		$233,370		$228,957		$4,413		$233,370		$233,370	
	Interest Income		$0		$402		$69		$471		$0	
	Prepayments		$0		$5,196		$0		$5,196		$0	
(2)	Carry Forward Surplus		$58,302		$95,331		$0		$95,331		$65,405	

TOTAL REVENUES	$291,672		$329,886		$4,482		$334,368		$298,775	

Expenditures											
Series 2017A1											
Interest - 11/1		$29,863		$29,863		$0		$29,863		$28,475	
Special Call - 11/1		$0		$30,000		$0		$30,000		$0	
Interest - 5/1		$29,863		$29,475		$0		$29,475		$28,475	
Principal - 5/1		$100,000		$100,000		$0		$100,000		$100,000	
Special Call - 5/1		$0		$0		$0		$0		$0	
Series 2017A2											
Interest - 11/1		$20,000		$20,000		$0		$20,000		$19,000	
Special Call - 11/1		$0		$15,000		$0		$15,000		$5,000	
Interest - 5/1		$20,000		$19,625		$0		$19,625		$19,000	
Principal - 5/1		$30,000		$25,000		$0		$25,000		$30,000	
TOTAL EXPENDITURES		$229,725		$268,963		$0		$268,963		$229,950	

Other Sources/(Uses)											
(3)	Interfund Transfer In/(Out)	$0	
$0	
$0	
$0	
$0	
 	    
TOTAL OTHER SOURCES/USES	$0	$0	$0	$0	$0

EXCESS REVENUES	$61,947	$60,924	$4,482	$65,405	$68,825

11/1/2020 Debt Service	$	45,725.00

(1)	Maximum Annual Debt Service
(2)	Carry forward  surplus is net of  the reserve requirement	FY 2020

$17,565
$250,935
543
$447

PLUS COLLECTION FEES (7%)
GROSS ASSESSMENTS NO. OF UNITS
PER UNIT ASSESSMENT:

DATE

BALANCE

PRINCIPAL

INTEREST

TOTAL

11/01/19	$
05/01/20	$
11/01/20	$
05/01/21	$
11/01/21	$
05/01/22	$
11/01/22	$
05/01/23	$
11/01/23	$
05/01/24	$
11/01/24	$
05/01/25	$
11/01/25	$
05/01/26	$
11/01/26	$
05/01/27	$
11/01/27	$
05/01/28	$
11/01/28	$
05/01/29	$
11/01/29	$
05/01/30	$
11/01/30	$
05/01/31	$
11/01/31	$
05/01/32	$
11/01/32	$
05/01/33	$

2,055,000.00	$
2,055,000.00    $
1,955,000.00	$
1,955,000.00    $
1,850,000.00	$
1,850,000.00    $
1,745,000.00	$
1,745,000.00    $
1,635,000.00	$
1,635,000.00    $
1,530,000.00	$
1,530,000.00    $
1,415,000.00	$
1,415,000.00    $
1,305,000.00	$
1,305,000.00    $
1,185,000.00	$
1,185,000.00    $
1,065,000.00	$
1,065,000.00    $
945,000.00	$
945,000.00    $
825,000.00	$
825,000.00    $
700,000.00	$
700,000.00    $
570,000.00	$
570,000.00    $

-	$
100,000.00    $
-	$
100,000.00    $
-	$
105,000.00    $
-	$
105,000.00    $
-	$
105,000.00    $
-	$
110,000.00    $
-	$
110,000.00    $
-	$
115,000.00    $
-	$
120,000.00    $
-	$
115,000.00    $
-	$
120,000.00    $
-	$
125,000.00    $
-	$
130,000.00    $
-	$
135,000.00	$

28,475.00 $
28,475.00
27,475.00 $
27,475.00
26,475.00 $
26,475.00
25,425.00 $
25,425.00
24,375.00 $
24,375.00
23,193.75 $
23,193.75
21,887.50 $
21,887.50
20,512.50 $
20,512.50
19,003.13 $
19,003.13
17,353.13 $
17,353.13
15,556.25 $
15,556.25
13,681.25 $
13,681.25
11,728.13 $
11,728.13
9,534.38 $
9,534.38

157,950.00

155,950.00

153,950.00

156,900.00

154,800.00

152,568.75

155,081.25

152,400.00

154,515.63

156,356.26

147,909.38

149,237.50

150,409.38

151,262.51

11/01/33	$	435,000.00	$	-	$	7,256.25	$	151,790.63	
05/01/34	$	435,000.00    $	140,000.00	$	7,256.25		
11/01/34	$	295,000.00	$	-	$	4,893.75	$	152,150.00	
05/01/35	$	295,000.00    $	140,000.00	$	4,893.75		
11/01/35	$	150,000.00	$	-	$	2,531.25	$	147,425.00	
05/01/36	$	150,000.00	$	150,000.00	$	2,531.25	$	152,531.25	
		$2,025,000	$	598,712.54	$	2,753,187.54	

DATE	BALANCE	RATE	PRINCIPAL	INTEREST	TOTAL	
					
11/01/19	$	760,000.00	5.000%	$	-	$	19,000.00	$	-	
05/01/20	$	760,000.00	5.000%	$	30,000.00    $	19,000.00	$	68,000.00	
11/01/20	$	730,000.00	5.000%	$	-	$	18,250.00	$	-	
05/01/21	$	730,000.00	5.000%	$	30,000.00    $	18,250.00	$	66,500.00	
11/01/21	$	700,000.00	5.000%	$	-	$	17,500.00	$	-	
05/01/22	$	700,000.00	5.000%	$	30,000.00    $	17,500.00	$	65,000.00	
11/01/22	$	670,000.00	5.000%	$	-	$	16,750.00	$	-	
05/01/23	$	670,000.00	5.000%	$	35,000.00    $	16,750.00	$	68,500.00	
11/01/23	$	635,000.00	5.000%	$	-	$	15,875.00	$	-	
05/01/24	$	635,000.00	5.000%	$	35,000.00    $	15,875.00	$	66,750.00	
11/01/24	$	600,000.00	5.000%	$	-	$	15,000.00	$	-	
05/01/25	$	600,000.00	5.000%	$	35,000.00    $	15,000.00	$	65,000.00	
11/01/25	$	565,000.00	5.000%	$	-	$	14,125.00	$	-	
05/01/26	$	565,000.00	5.000%	$	40,000.00    $	14,125.00	$	68,250.00	
11/01/26	$	525,000.00	5.000%	$	-	$	13,125.00	$	-	
05/01/27	$	525,000.00	5.000%	$	40,000.00    $	13,125.00	$	66,250.00	
11/01/27	$	485,000.00	5.000%	$	-	$	12,125.00	$	-	
05/01/28	$	485,000.00	5.000%	$	45,000.00    $	12,125.00	$	69,250.00	
11/01/28	$	440,000.00	5.000%	$	-	$	11,000.00	$	-	
05/01/29	$	440,000.00	5.000%	$	45,000.00    $	11,000.00	$	67,000.00	
11/01/29	$	395,000.00	5.000%	$	-	$	9,875.00	$	-	
05/01/30	$	395,000.00	5.000%	$	50,000.00    $	9,875.00	$	69,750.00	
11/01/30	$	345,000.00	5.000%	$	-	$	8,625.00	$	-	
05/01/31	$	345,000.00	5.000%	$	50,000.00    $	8,625.00	$	67,250.00	
11/01/31	$	295,000.00	5.000%	$	-	$	7,375.00	$	-	
05/01/32	$	295,000.00	5.000%	$	55,000.00    $	7,375.00	$	69,750.00	
11/01/32	$	240,000.00	5.000%	$	-	$	6,000.00	$	-	
05/01/33	$	240,000.00	5.000%	$	55,000.00    $	6,000.00	$	67,000.00	
11/01/33	$	185,000.00	5.000%	$	-	$	4,625.00	$	-	
05/01/34	$	185,000.00	5.000%	$	60,000.00    $	4,625.00	$	69,250.00	
11/01/34	$	125,000.00	5.000%	$	-	$	3,125.00	$	-	
05/01/35	$	125,000.00	5.000%	$	60,000.00    $	3,125.00	$	66,250.00	
11/01/35	$	65,000.00	5.000%	$	-	$	1,625.00	$	-	
05/01/36	$	65,000.00	5.000%	$	65,000.00    $	1,625.00	$	68,250.00	
			$	760,000.00    $	388,000.00	$	1,148,000.00	

Heron Isles
Community Development District	Capital Reserve Fund

	Proposed
Budget		Actual
Thru		Projected
Next		Total
Projected		Approved
Budget	
 Description			 	FY 2019			 	6/30/19			 	3 Months			 	9/30/19			 	FY 2020		

Revenues											
Capital Reserve Transfer In		$0		$0		$5,500		$5,500		$30,000	
Carry Forward Surplus		$0		$0		$0		$0		$5,500	
Interest Income		$0		$0		$0		$0		$250	
TOTAL REVENUES		$0		$0		$5,500		$5,500		$35,750	

Expenditures											
Capital Outlay		$0		$0		$0		$0		$0	
TOTAL EXPENDITURES		$0		$0		$0		$0		$0	
											
EXCESS REVENUES		$0		$0		$5,500		$5,500		$35,750	

A.

RESOLUTION 2019-07

THE ANNUAL APPROPRIATION RESOLUTION OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT (“DISTRICT”) RELATING TO THE ANNUAL APPROPRIATIONS AND ADOPTING THE BUDGETS FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2019, AND ENDING SEPTEMBER 30, 2020; AUTHORIZING BUDGET AMENDMENTS; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, the District Manager has, prior to the fifteenth (15th) day in June, 2019, submitted to the Board of Supervisors (“Board”) of the Heron Isles Community Development District (“District”) proposed budgets (“Proposed Budget”) for the fiscal year beginning October 1, 2019 and ending September 30, 2020 (“Fiscal Year 2019/2020”) along with an explanatory and complete financial plan for each fund of the District, pursuant to the provisions of Section 190.008(2)(a), Florida Statutes; and

WHEREAS, at least sixty (60) days prior to the adoption of the Proposed Budget, the District filed a copy of the Proposed Budget with the local governing authorities having jurisdiction over the area included in the District pursuant to the provisions of Section 190.008(2)(b), Florida Statutes; and

WHEREAS, the Board set a public hearing thereon and caused notice of such public hearing to be given by publication pursuant to Section 190.008(2)(a), Florida Statutes; and

WHEREAS, the District Manager posted the Proposed Budget on the District’s website at least two days before the public hearing; and

WHEREAS, Section 190.008(2)(a), Florida Statutes, requires that, prior to October 1st of each year, the Board, by passage of the Annual Appropriation Resolution, shall adopt a budget for the ensuing fiscal year and appropriate such sums of money as the Board deems necessary to defray all expenditures of the District during the ensuing fiscal year; and

WHEREAS, the District Manager has prepared a Proposed Budget, whereby the budget shall project the cash receipts and disbursements anticipated during a given time period, including reserves for contingencies for emergency or other unanticipated expenditures during the fiscal year.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT:

SECTION 1.	BUDGET

The Board has reviewed the Proposed Budget, a copy of which is on file with the office of the District Manager and at the District’s Local Records Office, and hereby approves certain amendments thereto, as shown in Section 2 below.

The Proposed Budget, attached hereto as Exhibit “A,” as amended by the Board, is hereby adopted in accordance with the provisions of Section 190.008(2)(a), Florida Statutes (“Adopted Budget”), and incorporated herein by reference; provided, however, that the comparative figures contained in the Adopted Budget may be subsequently revised as deemed necessary by the District Manager to reflect actual revenues and expenditures.

The Adopted Budget, as amended, shall be maintained in the office of the District Manager and at the District’s Local Records Office and identified as “The Budget for the Heron Isles Community Development District for the Fiscal Year Ending September 30, 2020.”

The Adopted Budget shall be posted by the District Manager on the District’s official website within thirty (30) days after adoption, and shall remain on the website for at least 2 years.

SECTION 2.	APPROPRIATIONS

There  is  hereby  appropriated  out  of  the  revenues  of  the  District,  for  Fiscal  Year
2019/2020,  the  sum of $ 	to be raised by the levy of assessments and/or
otherwise, which sum is deemed by the Board to be necessary to defray all expenditures of the District during said budget year, to be divided and appropriated in the following fashion:

TOTAL GENERAL FUND	$ 	

DEBT SERVICE FUND(S)	$ 	

CAPITAL RESERVE FUND	$ 	

TOTAL ALL FUNDS	$ 	

SECTION 3.	BUDGET AMENDMENTS

Pursuant to Section 189.016, Florida Statutes, the District at any time within Fiscal Year 2019/2020 or within 60 days following the end of the Fiscal Year 2019/2020 may amend its Adopted Budget for that fiscal year as follows:

The Board may authorize an increase or decrease in line item appropriations within a fund by motion recorded in the minutes if the total appropriations of the fund do not increase.

The District Manager or Treasurer may authorize an increase or decrease in line item appropriations within a fund if the total appropriations of the fund do not increase and if the aggregate change in the original appropriation item does not exceed $10,000 or 10% of the original appropriation.

By resolution, the Board may increase any appropriation item and/or fund to reflect receipt of any additional unbudgeted monies and make the corresponding change to appropriations or the unappropriated balance.

Any other budget amendments shall be adopted by resolution and consistent with Florida law.

The District Manager or Treasurer must establish administrative procedures to ensure that any budget amendments are in compliance with this Section 3 and Section 189.016, Florida Statutes, among other applicable laws. Among other procedures, the District Manager or Treasurer must ensure that any amendments to budget under subparagraphs c. and d. above are posted on the District’s website within 5 days after adoption and remain on the website for at least 2 years.

SECTION 4. EFFECTIVE DATE. This Resolution shall take effect immediately upon adoption.

PASSED AND ADOPTED THIS 1ST DAY OF AUGUST, 2019.

ATTEST:	HERON ISLES COMMUNITY DEVELOPMENT DISTRICT

Secretary/Assistant Secretary

By:	 Its: 	

B.

RESOLUTION 2019-08

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT MAKING A DETERMINATION OF BENEFIT AND IMPOSING SPECIAL ASSESSMENTS FOR FISCAL YEAR 2019/2020; PROVIDING FOR THE COLLECTION AND ENFORCEMENT OF SPECIAL ASSESSMENTS; CERTIFYING AN ASSESSMENT ROLL; PROVIDING FOR AMENDMENTS TO THE ASSESSMENT ROLL; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, the Heron Isles Community Development District (“District”) is a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, for the purpose of providing, operating and maintaining infrastructure improvements, facilities and services to the lands within the District; and

WHEREAS, the District is located in Nassau County, Florida (“County”); and

WHEREAS, the District has constructed or acquired various infrastructure improvements and provides certain services in accordance with the District’s adopted capital improvement plan and Chapter 190, Florida Statutes; and

WHEREAS, the Board of Supervisors (“Board”) of the District hereby determines to undertake various operations and maintenance and other activities described in the District’s budget (“Adopted Budget”) for the fiscal year beginning October 1, 2019 and ending September 30, 2020 (“Fiscal Year 2019/2020”), attached hereto as Exhibit “A” and incorporated by reference herein; and

WHEREAS, the District must obtain sufficient funds to provide for the operation and maintenance of the services and facilities provided by the District as described in the Adopted Budget; and

WHEREAS, the provision of such services, facilities, and operations is a benefit to lands within the District; and

WHEREAS, Chapter 190, Florida Statutes, provides that the District may impose special assessments on benefitted lands within the District; and

WHEREAS, it is in the best interests of the District to proceed with the imposition of the special assessments for operations and maintenance in the amount set forth in the Adopted Budget; and

WHEREAS, the District has previously levied an assessment for debt service, which the District desires to collect for Fiscal Year 2019/2020; and

WHEREAS, Chapter 197, Florida Statutes, provides a mechanism pursuant to which such special assessments may be placed on the tax roll and collected by the local tax collector (“Uniform Method”), and the District has previously authorized the use of the Uniform Method by, among other things, entering into agreements with the Property Appraiser and Tax Collector of the County for that purpose; and

WHEREAS, it is in the best interests of the District to adopt the Assessment Roll of the Heron Isles Community Development District (“Assessment Roll”) attached to this Resolution as Exhibit “B” and incorporated as a material part of this Resolution by this reference, and to certify the Assessment Roll to the County Tax Collector pursuant to the Uniform Method; and

WHEREAS, it is in the best interests of the District to permit the District Manager to amend the Assessment Roll, certified to the County Tax Collector by this Resolution, as the Property Appraiser updates the property roll for the County, for such time as authorized by Florida law.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT:

SECTION 1. BENEFIT & ALLOCATION FINDINGS.  The  Board  hereby  finds  and determines that the provision of the services, facilities, and operations as described in Exhibit “A” confers a special and peculiar benefit to the lands within the District, which benefit exceeds or equals the cost of the assessments. The allocation of the assessments to the specially benefitted lands, as shown in Exhibits “A” and “B,” is hereby found to be fair and reasonable.

SECTION 2. ASSESSMENT IMPOSITION. Pursuant to Chapters 190 and 197,  Florida Statutes, and using the procedures authorized by Florida law for the levy and collection of special assessments, a special assessment for operation and maintenance is hereby imposed and levied on benefitted lands within the District, and in accordance with Exhibits “A” and “B.” The lien of the special assessments for operations and maintenance imposed and levied by this Resolution shall be effective upon passage of this Resolution. Moreover, pursuant to Section 197.3632(4), Florida Statutes, the lien amount shall serve as the “maximum rate” authorized by law for operation and maintenance assessments.

SECTION 3. COLLECTION. The collection of the operation and maintenance special assessments and previously levied debt service assessments shall be at the same time and in the same manner as County taxes in accordance with the Uniform Method, as indicated on Exhibits “A” and “B.” The decision to collect special assessments by any particular method – e.g., on  the tax roll or by direct bill – does not mean that such method will be used to collect special assessments in future years, and the District reserves the right in its sole discretion to select collection methods in any given year, regardless of past practices.

SECTION 4. ASSESSMENT ROLL. The Assessment Roll, attached to this Resolution as
Exhibit “B,” is hereby certified to the County Tax Collector and shall be collected by the

County Tax Collector in the same manner and time as County taxes. The proceeds therefrom shall be paid to the District.

SECTION 5. ASSESSMENT ROLL  AMENDMENT.  The  District  Manager  shall  keep apprised of all updates made to the County property roll by the Property Appraiser after the date of this Resolution, and shall amend the Assessment Roll in accordance with any such updates, for such time as authorized by Florida law, to the County property roll. After any amendment of the Assessment Roll, the District Manager shall file the updates in the District records.

SECTION 6. SEVERABILITY. The invalidity or unenforceability of any one or more provisions of this Resolution shall not affect the validity or enforceability of the remaining portions of this Resolution, or any part thereof.

SECTION 7. EFFECTIVE DATE. This Resolution shall take effect upon the passage and adoption of this Resolution by the Board.

PASSED AND ADOPTED this 1st day of August, 2019.

ATTEST:	HERON ISLES COMMUNITY DEVELOPMENT DISTRICT

Secretary / Assistant Secretary

By:	 Its: 		

Exhibit A:	Budget
Exhibit B:	Assessment Roll

SEVENTH ORDER OF BUSINESS

A.

RESOLUTION 2019-09

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT ADOPTING RATES AND FEES; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, the Heron Isles Community Development District (“District”) is a local unit of special purpose government created and existing pursuant to Chapter 190, Florida Statutes, being situated in Nassau County, Florida; and

WHEREAS, Chapters 120 and 190, Florida Statutes, authorizes the District to adopt rules, rates, charges and fees to govern the administration of the District and defray costs of operation and to adopt resolutions as may be necessary for the conduct of District business; and

WHEREAS, the Board finds that the imposition of fees for utilization of the recreation facilities and related services is necessary in order to provide for the expenses associated with the operation and maintenance of the recreation facilities and is in the best interests of the District; and

WHEREAS, the Board finds that the fee structure outlined in Exhibit A is just and equitable having been based upon (i) the amount of service furnished; and (ii) other factors affecting the use of the facilities furnished; and

WHEREAS, the Board of Supervisors has complied with applicable Florida law concerning rule development and adoption.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE HERON ISLES COMMUNITY DEVELOPMENT DISTRICT:

SECTION 1. The fees in Exhibit A are just and equitable and have been based upon (i) the amount of service furnished; and (ii) other factors affecting the use of the facilities furnished.

SECTION 2. Fees for use of the District’s recreation facilities and services are adopted in accordance with Exhibit A for the purpose of providing revenues to maintain the operation and maintenance of the facilities, and are hereby ratified, approved and confirmed.

SECTION 3. If any provision of this resolution is held to be illegal or invalid, the other provisions shall remain in full force and effect.

SECTION 4. This resolution shall become effective upon its passage and shall remain in effect unless rescinded or repealed.

PASSED AND ADOPTED this 1st day of August, 2019.

ATTEST:	HERON ISLES COMMUNITY DEVELOPMENT DISTRICT

 	

Print Name: 	 Secretary/Assistant Secretary

Chairperson

Exhibit A:	Amenity Related Fees and Services

EXHIBIT A

Rates and Fees

Category	Proposed Rate/Fee	
Initial Key Card	$0.00 - $10.00	
Replacement of Lost, Damaged, or Stolen Key Card	$0.00 - $50.00	

EIGHTH ORDER OF BUSINESS

Heron Isles Community Development District

ANNUAL FINANCIAL REPORT

September 30, 2018

Heron Isles Community Development District	
ANNUAL FINANCIAL REPORT	
September 30, 2018	
TABLE OF CONTENTS	

Page Number	

REPORT OF INDEPENDENT AUDITORS	
1-2	
MANAGEMENT’S DISCUSSION AND ANALYSIS	3-8	
BASIC FINANCIAL STATEMENTS
Government-wide Financial Statements Statement of Net Position Statement of Activities
Fund Financial Statements
Balance Sheet – Governmental Funds Reconciliation of Total Governmental Fund Balances
to Net Position of Governmental Activities Statement of Revenues, Expenditures and Changes in
Fund Balances – Governmental Funds
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities
Statement of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual – General Fund	

9
10

11

12

13

14

15	
Notes to Financial Statements	16-29	
INDEPENDENT AUDITOR’S 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	

30-31	
MANAGEMENT LETTER	32-33	
INDEPENDENT ACCOUNTANT’S REPORT/COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES	
34	

REPORT OF INDEPENDENT AUDITORS

To the Board of Supervisors
Heron Isles Community Development District Nassau County, Florida
Report on the Financial Statements

We have audited the accompanying financial statements of the Heron Isles Community Development District as of and for the year ended September 30, 2018, and the related notes to financial statements that collectively comprise the District’s basic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit.  We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
- 1 -

To the Board of Supervisors
Heron Isles Community Development District

Opinion

In our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of the governmental activities and each major fund as of September 30, 2018, and the respective changes in financial position and the budgetary comparison for the General Fund for the year then ended in conformity with accounting principles generally accepted in the United States of America.

Other Matters

Required Supplementary Information

Governmental accounting principles generally accepted in the United States of America require that the Management’s Discussion and Analysis and budgetary comparison be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures in accordance with governmental auditing standards generally accepted in the United States of America, which consisted principally of inquires of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued a report dated June 26, 2019 on our consideration of the District’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations and contracts.

The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Heron Isles Community Development District’s internal control over financial reporting and compliance.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 26, 2019

- 2 -

Management’s discussion and analysis of Heron Isles Community Development District’s (the “District”) financial performance provides an objective and easily readable analysis of the District’s financial activities. The analysis provides summary financial information for the District and should be read in conjunction with the District’s financial statements.

OVERVIEW OF THE FINANCIAL STATEMENTS

The District’s basic financial statements comprise three components; 1) Government-wide financial statements, 2) Fund financial statements, and 3) Notes to financial statements. The Government-wide financial statements present an overall picture of the District’s financial position and results of operations. The Fund financial statements present financial information for the District’s major funds. The Notes to financial statements provide additional information concerning the District’s finances.

The Government-wide financial statements are the statement of net position and the statement of activities. These statements use accounting methods similar to those used by private-sector companies. Emphasis is placed on the net position of governmental activities  and the change in net position. Governmental activities are primarily supported by special assessments.

The statement of net position presents information on all assets and liabilities of the District, with the difference between assets and liabilities reported as net position. Net position is reported in three categories; 1) net investment in capital assets, 2) restricted, and 3) unrestricted. Assets, liabilities, and net position are reported for all Governmental activities.

The statement of activities presents information on all revenues and expenses of the District and the change in net position. Expenses are reported by major function and program revenues relating to those functions are reported, providing the net cost of all functions provided by the District. To assist in understanding the District’s operations, expenses have been reported as governmental activities. Governmental activities financed by the District include general government, physical environment and interest on long term debt.

Fund financial statements present financial information for governmental funds. These statements provide financial information for the major funds of the District. Governmental fund financial statements provide information on the current assets and liabilities of the funds, changes in current financial resources (revenues and expenditures), and current available resources.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Fund financial statements include a balance sheet and a statement of revenues, expenditures and changes in fund balances for all governmental funds. A statement of revenues, expenditures, and changes in fund balances – budget and actual is provided for the District’s General Fund. Fund financial statements provide more detailed information about the District’s activities. Individual funds are established by the District to track revenues that are restricted to certain uses or to comply with legal requirements.

The government-wide financial statements and the fund financial statements provide different pictures of the District. The government-wide financial statements provide an overall picture of the District’s financial standing. These statements are comparable to private-sector companies and give a good understanding of the District’s overall financial health and how the District paid for the various activities, or functions, provided by the District. All assets of  the District, including infrastructure and improvements are reported in the statement of net position. All liabilities, including principal outstanding on bonds are included. The statement of activities includes depreciation on all long lived assets of the District, but transactions between the different functions of the District have been eliminated in order to avoid “doubling up” the revenues and expenses. The fund financial statements provide a picture of the major funds of the District. In the case of governmental activities, outlays for long lived assets are reported as expenditures and long-term liabilities, such as general obligation bonds, are not included in the fund financial statements. To provide a link from the fund financial statements to the government-wide financial statements, a reconciliation is provided from the fund financial statements to the government-wide financial statements.

Notes to financial statements provide additional detail concerning the financial activities and financial balances of the District. Additional information about the accounting practices of the District, investments of the District, capital assets and long-term debt are some of the items included in the notes to financial statements.

Financial Highlights

The following are the highlights of the financial activity for the year ended September 30, 2018.

The District’s total liabilities exceeded total assets by $(1,136,951) (net position). Unrestricted net position for Governmental Activities was $(526,716). Restricted net position-debt service was $128,605. Net investment in capital assets was $(738,840).

Governmental activities revenues totaled $596,177 while governmental activities expenses totaled $491,264.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Financial Analysis of the District

The following schedule provides a summary of the assets, liabilities and net position of the District and is presented by category for comparison purposes.

Net Position

Governmental Activities
	 	2018				2017		

Current assets	
$	
126,663		
$	
133,890		
Prepaid bond insurance		75,888			80,184	*	
Restricted assets		130,144			118,231		
Capital assets	 		1,516,443 		 		1,590,327 		
Total Assets	 		1,849,138 		 		1,922,632 		
Current liabilities		243,248			164,019		
Non-current liabilities	 		2,742,841 		 		3,000,477 		
Total Liabilities	 		2,986,089 		 		3,164,496 		
Net position - net investment							
in capital assets		(738,840)	(1,521,506)		
Net position - restricted		128,605			159,995	*	
Net position - unrestricted	 	(526,716) 	 	119,647 		
Total Net Position	  $ (1,136,951)	$ (1,241,864) *	

*Restated			

The decrease in total liabilities is related primarily to the current year principal payments. The decrease in capital assets is primarily related to current year depreciation.
The increase in net investment in capital assets and the decrease in unrestricted net position is related to the reclassification of debt.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Financial Analysis of the District (Continued)

The following schedule provides a summary of the changes in net position of the District and is presented by category for comparison purposes.

Financial Activity	

Program Revenues Charges for services Grants and contributions
General Revenues Investment earnings
Total Revenues	 	Governmental  Activities	
 	2018		 	2017	

$	595,246	$	610,096
-	461

 	931	 	341 
 	596,177	 	610,898 		
Expenses
General government Physical environment Interest and other charges
Total Expenses	
96,905
287,317
 	107,042 
 	491,264 	
326,765
263,608
 	177,849 
 	768,222 	
*

*	
Change in Net Position	104,913	(157,324)		
Net Position - Beginning of Year	 	(1,241,864) *	 	(1,084,540)		
Net Position - End of Year	  $ (1,136,951)	  $ (1,241,864)	*	

*Restated				

The decrease in general government expenses is related to the bond issuance costs associated with the issuance of debt in the prior year.

The decrease in interest and other charges is related to current year principal payments and the bond refunding in the prior year.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Capital Assets Activity

The following schedule provides a summary	

of	

the District’s capital assets activity as of	
September 30, 2018 and 2017:			
		Governmental Activities	
 	Description			 	2018		 	2017		
Land and improvements		$	38,761	$	38,761	
Infrastructure		2,216,522	2,216,522	
Accumulated depreciation		 	(738,840)	 	(664,956)	
Capital assets, net		  $	1,516,443	 $	1,590,327 	

Depreciation was $73,844 in the current year.

General Fund Budgetary Highlights

Budgeted expenditures exceeded actual expenditures primarily due to lower utility costs than were anticipated.

The September 30, 2018 budget was amended primarily for increased capital outlay.

Debt Management

Governmental Activities debt includes the following:

In June 2017, the District issued $2,315,000 Series 2017A-1 Senior Capital  Improvement Revenue Refunding Bonds and $850,000 Series 2017A-2 Subordinate Capital Improvement Revenue Refunding Bonds. These bonds were issued to refund and redeem the Series 2005 Capital Improvement Revenue Bonds. The balance of the Series 2017A-1 and Series 2017A-2 Bonds were $2,155,000 and $800,000, respectively.

Economic Factors and Next Year’s Budget

Heron Isles Community Development District does not expect any economic factors to have any significant effect on the financial position or results of operations of the District in fiscal year 2019.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Request for Information

The financial report is designed to provide a general overview of Heron Isles Community Development District’s finances for all those with an interest. Questions concerning any of the information provided in this report or requests for additional information should be addressed to the Heron Isles Community Development District, Governmental Management Services, 475 West Town Place, Suite 114, St. Augustine, FL 32092.

Governmental	
		Activities	
ASSETS			
Current Assets:			
Cash and cash equivalents	$	45,543	
Investment		67,740	
Accounts receivable		1,137	
Prepaid expenses		10,663	
Deposits	 	1,580 	
Total Current Assets	 	126,663 	
Non-current Assets:		
Prepaid bond insurance		75,888	
Restricted assets:			
Investments		130,144	
Capital assets not being depreciated			
Land and improvements		38,761	
Capital assets being depreciated			
Infrastucture		2,216,522	
Accumulated depreciation	 	(738,840)	
Total Non-current Assets	 	1,722,475 	
Total Assets	 	1,849,138 	
LIABILITIES			
Current Liabilities:			
Accounts payable		31,696	
Accrued interest payable		41,552	
Bonds payable	 	170,000 	
Total Current Liabilities	 	243,248 	
Non-current Liabilities:		
Bonds payable, net	 	2,742,841 	
Total Liabilities	 	2,986,089 	
NET POSITION			
Net investment in capital assets		(738,840)	
Restricted-debt service		128,605	
Unrestricted
Total Net Position	
  $		 	(526,716)
(1,136,951)	

See accompanying notes to financial statements.

STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2018

Net (Expense)
Program	Revenues and
Revenues	Changes in

Charges for	Governmental
Functions/Programs	Expenses	Services	Activities Primary government
Governmental Activities
General government	$	(96,905)	$	89,047	$	(7,858)	
Physical environment	(287,317)	196,125	(91,192)	
Interest and other charges	 	(107,042)	 	310,074 	 	203,032 	
Total Governmental Activities	  $	(491,264)	  $	595,246 	103,982	

General revenues:
Investment earnings	 	931 	
Total General Revenues	 	931 	
Change in Net Position	104,913	
Net Position - October 1, 2017	 	(1,241,864)	
Net Position - September 30, 2018	  $	(1,136,951)	

BALANCE SHEET – GOVERNMENTAL FUNDS
September 30, 2018

					Total	
			Debt		Governmental	
ASSETS	General		Service		Funds	

Cash and cash equivalents	
$	45,543		
$	-		
$	45,543	
Investment	67,740		-		67,740	
Accounts receivable	1,137		-		1,137	
Prepaid expenses	10,663		-		10,663	
Deposits	1,580		-		1,580	
Restricted assets:						
Restricted investments	-		130,144		130,144	
Total Assets	  $ 126,663 		  $ 130,144 		  $	256,807 	

LIABILITIES AND FUND BALANCES						
LIABILITIES						
Accounts payable	$	31,696		$	-		$	31,696	

FUND BALANCES						
Nonspendable-prepaids/deposits	12,243		-		12,243	
Restricted for:						
Debt Service	-		130,144		130,144	
Unassigned	82,724		-		82,724	
Total Fund Balances	94,967		130,144		225,111	
Total Liabilities and Fund Balances	  $ 126,663 		  $ 130,144 		  $	256,807 	

RECONCILIATION OF TOTAL GOVERNMENTAL FUND BALANCES TO NET POSITION OF GOVERNMENTAL ACTIVITIES
September 30, 2018

Total Governmental Fund Balances	$	225,111	
Amounts reported for governmental activities in the Statement of Net Position are different because:			
Capital assets, land and improvements ($38,761), and infrastructure ($2,216,522), net of accumulated depreciation ($(738,840)) used in governmental activities are not current financial resources; and therefore, are not reported at the fund level.		

1,516,443	
Prepaid bond insurance was recognized as an other debt service cost at the fund level in the year the debt was issued, however ,at the government-wide level it is recognized as an asset an amortized over the life of the bonds.		

75,888	
Long-term liabilities, including bonds payable ($(2,955,000)), net of net bond discount ($42,159) are not due and payable in the current period; therefore, are not reported at the governmental fund level.		

(2,912,841)	
Accrued interest expense for long-term debt is not a current financial use; therefore, it is not reported at the governmental fund level.		
(41,552)	

Net Position of Governmental Activities	  	

$		

(1,136,951)	

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES – GOVERNMENTAL FUNDS
For the Year Ended September 30, 2018

				Total	
		Debt	Capital	Governmental	
    General		 	Service		 	Projects		 	Funds		
Revenues				
Special assessments	$ 285,172	$	310,074	$	-	$	595,246	
Investment earnings	 	486 	 	443 	 	2 	 	931 	
Total Revenues	 	285,658 	 	310,517 	 	2 	 	596,177 	
Expenditures					
Current					
General government	96,905	-	-	96,905	
Physical environment	213,433	-	-	213,433	
Debt service					
Principal	-	210,000	-	210,000	
Interest	 	- 	 	89,055 	 	- 	 	89,055 	
Total Expenditures	 	310,338 	 	299,055 	 	- 	 	609,393 	
Excess of Revenues over/(under) Expenditures	 	(24,680)	 	11,462 	 	2 	 	(13,216)	
Other Financing Sources/(Uses)					
Transfers in	-	8,646	-	8,646	
Transfers out	 	- 	 	- 	 	(8,646)	 	(8,646)	
Total Other Financing Sources/(Uses)	 	- 	 	8,646 	 	(8,646)	 	- 	
Net Change in Fund Balances	(24,680)	20,108	(8,644)	(13,216)	
Fund Balances - October 1, 2017	 	119,647 	 	110,036 	 	8,644 	 	238,327 	
Fund Balances - September 30, 2018	  $	94,967 	  $	130,144 	  $	- 	  $	225,111 	

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE
STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2018

Net Change in Fund Balances - Total Governmental Funds	$	(13,216)	
Amounts reported for governmental activities in the Statement of Activities are different because:			
Governmental funds report capital outlays as expenditures. However, at the government-wide level, the cost of those assets is allocated over their estimated useful lives as depreciation. This is the amount of depreciation in the current year.		

(73,884)	
Payment of long-term liabilities are reported as expenditures in the
governmental fund statement but such repayments reduce long-term liabilities in the Statement of Net Position.		

210,000	
Prepaid bond insurance was recognized as an expenditure at the fund level the year the bond was issued, at the government-wide level it wa srecorded as an asset and is amortized over the life of the bond. This is the current year amortization.		

(4,296)	
Amortization expense of bond discounts does not require the use of current resources and therefore is not reported at the governmental funds level. This governmental funds level. This is the amount of amortization in the current period.		

(2,364)	
In the Statement of Activities, interest is accrued on outstanding bonds;
whereas at governmental funds level, interest expenditures are reported when due. This is the change in accrued interest from the prior year.		

(11,327)	

Change in Net Position of Governmental Activities	
$	
104,913	

Heron Isles Community Development District	
STATEMENT OF REVENUES, EXPENDITURES AND	
CHANGES IN FUND BALANCES – BUDGET AND ACTUAL –	
GENERAL FUND	
For the Year Ended September 30, 2018	

Variance with	
Final Budget	
	Original			Final			Positive	
	Budget			Budget		Actual	(Negative)	
Revenues										
Special assessments	$ 281,122		$ 284,035		$ 285,172		$	1,137	
Interest earnings		-		486		486			-	
Total Revenues	281,122		284,521		285,658			1,137	

Expenditures										
Current										
General government	96,837		103,690		96,905			6,785	
Physical environment	190,745		208,025		213,433			(5,408)	
Capital outlay	250		19,942		-			19,942	
Total Expenditures	287,832		331,657		310,338			21,319	

Net Change in Fund Balances	
(6,710)		
(47,136)		
(24,680)			
22,456	
Fund Balances - October 1, 2017	6,710		47,136		119,647			72,511	

Fund Balances - September 30, 2018	
$	
-	
$	-	$ 94,967	
$	94,967	

See accompanying notes to financial statements.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The financial statements of the District have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The District's more significant accounting policies are described below.

Reporting Entity

The District was established on September 1, 2004, pursuant to the Uniform Community Development District Act of 1980, Chapter 190, Florida Statutes and Nassau County, Florida Ordinance 2004-41. The District was established for the purposes of financing and managing the acquisition, construction, maintenance and operation of the infrastructure necessary for community development within its jurisdiction. The District is authorized to issue bonds for the purpose, among others, of financing, funding, planning, establishing, acquiring, constructing or re-constructing, enlarging or extending, equipping, operating and maintaining water management, bridges or culverts, district roads, landscaping, street lights and other basic infrastructure projects within or without the boundaries of the Heron Isles Community Development District. The District is governed by a five-member Board of Supervisors who are elected on an at-large basis by landowners within the District. The District operates within the criteria established by Chapter 190.

As required by GAAP, these financial statements present the Heron Isles Community Development District (the primary government) as a stand-alone government. The reporting entity for the District includes all functions of government in which the District’s Board exercises oversight responsibility including, but not limited to, financial interdependency, selection of governing authority, designation of management, significant ability to influence operations and accountability for fiscal matters.

Based upon the application of the above-mentioned criteria as set forth by  the Governmental Accounting Standards Board, the District has identified no component units.

Measurement Focus and Basis of Accounting

The basic financial statements of the District are composed of the following:

Government-wide financial statements

Fund financial statements

Notes to financial statements

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting (Continued)

Government-wide Financial Statements

Government-wide financial statements report all non-fiduciary information about the reporting government as a whole. These statements include all the governmental activities of the primary government. The effect of interfund activity has been removed from these statements.

Governmental activities are supported by special assessments. Program revenues include charges for services and payments made by parties outside of the reporting government’s citizenry if that money is restricted to a particular program. Program revenues are netted with program expenses in the Statement of Activities to present the net cost of each program.

Amounts paid to acquire capital assets are capitalized as assets, rather than reported as an expenditure. Proceeds of long-term debt are recorded as liabilities in the government-wide financial statements, rather than as an other financing source.

Amounts paid to reduce long-term indebtedness of the reporting government are reported as a reduction of the related liability, rather than as an expenditure.

Fund Financial Statements

The underlying accounting system of the District is organized and operated on the basis of separate funds, each of which is considered to be a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled.

Fund financial statements for the primary government’s governmental funds are presented after the government-wide financial statements. These statements display information about major funds individually.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

2.	Measurement Focus and Basis of Accounting (Continued)

b. Fund Financial Statements (Continued) Governmental Funds
The District implemented the Governmental Accounting Standards Board Statement 54
– Fund Balance Reporting and Governmental Fund Type Definitions. The Statement requires the fund balance for governmental funds to be reported in classifications that comprise a hierarchy based primarily on the extent to which the government is bound to honor constraints on the specific purposes for which amounts in those funds can be spent.

The District has various policies governing the fund balance classifications.

Nonspendable Fund Balance – This classification consists of amounts that cannot be spent because they are either not in spendable form or are legally or contractually required to be maintained intact.

Restricted Fund Balance – This classification includes amounts that can be spent only for specific purposes stipulated by constitution, external resource providers, or through enabling legislation.

Assigned Fund Balance – This classification consists of the Board of Supervisors’ intent to be used for specific purposes, but are neither restricted nor committed. The assigned fund balances can also be assigned by the District’s management company.

Unassigned Fund Balance – This classification is the residual classification for the government’s general fund and includes all spendable amounts not contained in the other classifications.

Fund Balance Spending Hierarchy – For all governmental funds except special revenue funds, when restricted, committed, assigned, and unassigned fund balances are combined in a fund, qualified expenditures are paid first from restricted or committed fund balance, as appropriate, then assigned and finally unassigned fund balances.

Expenditures generally are recorded when a liability is incurred, as under accrual accounting. Interest associated with the current fiscal period is considered to be an accrual item and so has been recognized as revenue of the current fiscal period.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting (Continued)

b. Fund Financial Statements (Continued) Governmental Funds (Continued)
Under the current financial resources measurement focus, only current assets and current liabilities are generally included on the balance sheet. The reported fund  balance is considered to be a measure of “available spendable resources”. Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Accordingly, they are said to present a summary of sources and uses of “available spendable resources” during a period.

Because of their spending measurement focus, expenditure recognition for governmental fund types excludes amounts represented by non-current liabilities. Since they do not affect net current assets, such long-term amounts are not recognized as governmental fund type expenditures or fund liabilities.

Amounts expended to acquire capital assets are recorded as expenditures in the year that resources are expended, rather than as fund assets. The proceeds of long-term debt are recorded as an other financing source rather than as a fund liability.

Debt service expenditures are recorded only when payment is due.

Basis of Presentation

Governmental Major Funds

General Fund – The General Fund is the District’s primary operating fund. It accounts  for all financial resources of the general government, except those required to be accounted for in another fund.

Debt Service Fund – Accounts for debt service requirements to retire the capital improvement bonds which were used to finance the construction of District infrastructure improvements.

Capital Projects Fund – Accounts for the remaining construction funds and the Board assigned capital reserves.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Basis of Presentation (Continued)

Non-current Governmental Assets/Liabilities

GASB Statement 34 requires that non-current governmental assets, such as land and buildings, and non-current governmental liabilities, such as general obligation bonds, be reported in the governmental activities column in the government-wide Statement of Net position.

Assets, Liabilities, and Net Position or Equity

Cash and Investments

Florida Statutes require state and local governmental units to deposit monies with financial institutions classified as "Qualified Public Depositories," a multiple financial institution pool whereby groups of securities pledged by the various financial institutions provide common collateral from their deposits of public funds. This pool is provided as additional insurance to the federal depository insurance and allows for additional assessments against the member institutions, providing full insurance for public deposits.

The District is authorized to invest in those financial instruments as established by Section 218.415, Florida Statutes. The authorized investments consist of:

Direct obligations of the United States Treasury;
The Local Government Surplus Funds Trust or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperative Act of 1969;
Interest-bearing time deposits or savings accounts in authorized qualified public depositories;
Securities and Exchange Commission registered money market funds with the highest credit quality rating from a nationally recognized rating agency.

Restricted Assets

Certain net position of the District will be classified as restricted assets on the statement of net position because their use is limited either by law through constitutional provisions or enabling legislation; or by restrictions imposed externally by creditors. In  a fund with both restricted and unrestricted assets, qualified expenses are considered to be paid first from restricted net position and then from unrestricted net position.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

4. Assets, Liabilities, and Net Position or Equity (Continued)
Capital Assets
Capital assets, which include land improvements, buildings and improvements, improvements other than buildings, and equipment are reported in governmental activities.
The District defines capital assets as assets with an initial, individual cost of $750 or more and an estimated useful life in excess of one year. The valuation basis for all assets is historical cost.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend its useful life are not capitalized.
Depreciation of capital assets is computed and recorded by utilizing the straight-line method over the assets’ estimated useful lives ranging from 3 to 39 years.
Bond Discounts
Bond discounts are amortized over the life of the bonds.
Prepaid Bond Insurance
Prepaid bond insurance associated with the issuance of refunding bonds are presented on the financial statements as a non-current asset and amortized over the life of the bonds using the straight-line method.
Budgets
Budgets are prepared and adopted after public hearings for the governmental funds, pursuant to Chapter 190, Florida Statutes. The District utilizes the same basis of accounting for budgets as it does for revenues and expenditures in its various funds. Formal budgets are adopted for the general fund. The legal level of budgetary control is at the fund level. All budgeted appropriations lapse at year end. Formal budgets are adopted for the general and debt service funds. As a result, deficits in the budget columns of the accompanying financial statements may occur.
Net Position
Net position represents the difference between assets and liabilities and is reported in three categories. Net investment in capital assets, represents capital assets, net of accumulated depreciation and any outstanding debt related to those assets. Net position is reported as restricted when there are legal limitations imposed on their use by legislation, or external restrictions imposed by other governments, creditors, or grantors. Unrestricted net position is assets that do not meet definitions of the classifications previously described.

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS
Explanation of Differences Between the Governmental Fund Balance Sheet and the Government-wide Statement of Net position
“Total fund balances” of the District’s governmental funds, $225,111, differs from “net position” of governmental activities, $(1,136,951), reported in the Statement of Net Position. This difference primarily results from the long-term economic focus of the Statement of Net position versus the current financial resources focus of the Governmental Fund Balance Sheet. The effect of the differences is illustrated below.
Capital related items
When capital assets (land improvements and infrastructure that are to be used in governmental activities) are purchased or constructed, the cost of those assets is reported as expenditures in governmental funds. However, the Statement of Net Position included those capital assets among the assets of the District as a whole.

Land and improvements	$	38,761	
Infrastructure	2,216,522	
Accumulated depreciation	 	(738,840)	
Net Capital Assets
Prepaid bond insurance	$	1,516,443	
Prepaid bond insurance is recognized	as an asset at the government-wide level and	
amortized over the life of the long-term debt.
Prepaid bond insurance	$	75,888
Long-term debt transactions
Long-term liabilities and the deferred amount on refunding applicable to the District’s governmental activities are not current uses or resources and accordingly are not reported at the fund level. All uses and resources (both current and long-term) are reported in the Statement of Net Position. Balances at September 30, 2018 were:

Bonds payable		$	(2,955,000)	
Bond discount, net		 	42,159 	
Total

Accrued interest

Accrued liabilities in the Statement	

of Net Position differ from	$	(2,912,841)

the amount reported in	
governmental funds due to the accrued interest on bonds.
Accrued interest	$	(41,552)

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS (CONTINUED)

Explanation of Differences Between the Governmental Fund Operating Statements and the Statement of Activities

The “net change in fund balances” for government funds, $(13,216), differs from the “change in net position” for governmental activities, $104,913, reported in the Statement of Activities. The differences arise primarily from the long-term economic focus of the Statement of Activities versus the current financial resources focus of the governmental funds. The effect of the differences is illustrated below.

Capital related items

When capital assets that are to be used in governmental activities are purchased or constructed, the resources expended for those assets are reported as expenditures in governmental funds. However, in the Statement of Activities, the costs of those assets are allocated over their estimated useful lives as depreciation. The loss on disposal of capital
assets is recognized at the government-wide level. The following depreciation in the current year.	is the amount of	
Depreciation	$		(73,884)	
Long-term debt transactions			
Repayment of long-term liabilities are reported as expenditures at the fund level but such repayments reduce liabilities at the government-wide level.
Debt principal payments	$	210,000

Amortization of the bond discount and prepaid bond insurance does not require the use of current resources and therefore is not reported at the fund level.

Bond discount	$	2,364

Prepaid bond insurance	$	4,296

Some expenses reported in the Statement of Activities do not require the use of current financial resources, therefore, are not reported as expenditures in governmental funds.
Change in accrued interest payable	$	(11,327)

NOTE C – CASH AND INVESTMENTS
All deposits are held in qualified public depositories and are included on the accompanying balance sheet as cash and investments.

Custodial Credit Risk – Deposits
Custodial credit risk is the risk that in the event of a bank failure, the District's deposits may not be returned to it. The District follows the provisions of Chapter 280, Florida Statutes regarding deposits and investments to manage custodial credit risk. The District maintains all deposits in  a qualified public depository, so that all deposits are fully insured by Federal Depositors Insurance or collateralized under Chapter 280, Florida Statutes. As of September 30, 2018, the District's bank balance was $55,848 and the carrying value was $45,543.
As of September 30, 2018, the District had the following investments and maturities:

 	Investment	
Local Government Surplus Funds, Florida PRIME	   Maturities 
33 Days*	   Fair Value 
$	205	
U S Bank Money Market	N/A	 	197,679 	
Total		  $	197,884 	

* Weighted Average Maturity
The District categorizes its fair value measurements within the fair value hierarchy recently established by generally accepted accounting principles. The fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The District uses a market approach in measuring fair value that uses prices and other relevant information generated by market transactions involving identical or similar assets, liabilities, or groups of assets and liabilities.
Assets or liabilities are classified into one of three levels. Level 1 is the most reliable and is based on quoted price for identical assets, or liabilities, in an active market. Level 2 uses significant other observable inputs when obtaining quoted prices for identical or similar assets, or liabilities, in markets that are not active. Level 3 is the least reliable and uses significant unobservable inputs that use the best information available under the circumstances, which includes the District’s own data in measuring unobservable inputs.
Based on the criteria in the preceding paragraph, the investment in U S Bank Money Market is a Level 1 asset.
Investments
The District’s investment policy allows management to invest funds in investments permitted under Section 218.415, Florida Statutes. Among other investments, the policy allows  the District to invest in the State Board of Administration Local Government Surplus Trust Funds.

NOTE C – CASH AND INVESTMENTS (CONTINUED)
Investments (Continued)
Cash placed with the State Board of Administration represents the District’s participation in the Local Government Surplus Trust Funds Investment Pool and is reported at fair value. As a pool participant the District invests in pools of investments in which shares are owned in the pool rather than the underlying investments.
Interest Rate Risk
The District does not have a formal investment policy that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates.
Credit Risk
The District's investments in treasury funds, commercial paper, and government loans are limited by state statutory requirements and bond compliance. The District has no investment policy that would further limit its investment choices. As of September 30, 2018, the District's investment in SBA Local Government Surplus Fund was rated AAAm by Standard & Poor's.
Concentration of Credit Risk
The District places no limit on the amount it may invest. The investments in U S Bank Money Market represent 99% and the investments in Local Government Surplus Fund, Florida PRIME represents 1% of the District’s total investments.
The types of deposits and investments and their level of risk exposure as of September 30, 2018 were typical of these items during the fiscal year then ended. The District considers any decline in fair value for certain investments to be temporary.

NOTE D – SPECIAL ASSESSMENT REVENUES
Assessments are non-ad valorem assessments on benefitted property within the District. Operating and Maintenance Assessments are based upon adopted general fund budget and levied annually. Debt Service Assessments are levied when bonds are issued and collected annually. The District may collect assessments directly or utilize the uniform method of collection (Chapter 197.3632, Florida Statutes). Direct collected assessments are due as determined by annual assessment resolution adopted by the Board of Supervisors. Assessments collected under the uniform method are mailed by the Nassau County Tax Collector on November 1 and due on or before March 31 of each year.

Assessments and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the portion of assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the government.

NOTE E – CAPITAL ASSETS

Capital Asset activity for the year ended September 30, 2018 was as follows:

Balance	Balance
October 1,	September 30,
 	2017		 Additions	 Deletions	 	2018	
Governmental Activities:
Capital assets, not being depreciated
Land and improvements	 $	38,761	 $	-	 $	-	 $	38,761 

Capital assets, being depreciated:
Infrastructure	 	2,216,522	 	2,216,522 
Less accumulated depreciation for:
Infrastructure	 	(664,956)	 	(73,884)	 	-	 	(738,840) 	
Total Capital Assets Depreciated, Net	1,551,566	(73,884)	-	1,477,682	

Governmental Activities, Capital Assets	 $  1,590,327	$  (73,884)	$	-	$	1,516,443

Depreciation of $73,844 was charged to physical environment.

NOTE F – LONG-TERM DEBT

The following is a summary of debt activity for the District for the year ended September 30,
2018:			
Long-term debt at October 1, 2017	$	3,165,000	
Principal payments	 	(210,000)	
Long-term debt at September 30, 2018	$	2,955,000	
Less: bond discount, net	 	(42,159)	
Total long-term debt, September 30, 2018	$		2,912,841 	
Long-term debt for Governmental Activities is comprised of the following:	
Capital Improvement Revenue Refunding Bonds			
$2,315,000 Series 2017A-1 Senior Capital Improvement Revenue Refunding Bonds due in annual principal installments maturing May 2036. Interest is due semi-annually on May 1 and November 1, at various rates between 2% and 3.375%. Current portion is $130,000.	

$	

2,155,000	
$850,000 Series 2017A-2 Subordinate Capital Improvement Revenue Refunding Bonds due in annual principal installments maturing May 2036. Interest is due semi-annually on May 1 and November 1 with a fixed interest rate of 5%. Current portion is
$40,000.	

 	800,000	
Bond payable		2,955,000	
Bond discount, net	 	(42,159)	
Bonds Payable, Net	$		2,912,841	

NOTE F – LONG-TERM DEBT (CONTINUED)
The annual requirements to amortize the principal and interest of bonded debt outstanding as of September 30, 2018 are as follows:

Year Ending
   September 30, 	 	Principal		 	Interest		 	Total		
2019	$	170,000	$	98,963	$	268,963	
2020		130,000		94,950	224,950	
2021		130,000		91,450	221,450	
2022		135,000		87,950	222,950	
2023		140,000		84,350	224,350	
2024-2028		755,000		358,444	1,113,444	
2029-2033		880,000		221,457	1,101,457	
2034-2036	 	615,000 	 	48,114 	 	663,114 	
Totals	  $ 	2,955,000 	  $ 	1,085,678 	  $ 4,040,678 	

Summary of Significant Bond Resolution Terms and Covenants

Capital Improvement Revenue Refunding Bonds

Significant Bond Provisions

The Series 2017 Senior and Subordinate Bonds are subject to redemption at the option of the District prior to their maturity, in whole or in part, at any time after May 1, 2027 at a redemption price equal to the principal amount of the Series 2017 Senior and Subordinate Bonds to be redeemed, together with accrued interest to the date of redemption. The Series 2017 Senior and Subordinate Bonds are subject to extraordinary mandatory redemption prior to maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Trust Indenture.

The Trust Indenture established certain amounts be maintained in a reserve account. In addition, the Trust Indenture has certain restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements.

NOTE F – LONG-TERM DEBT (CONTINUED)

Depository Funds

The bond resolution establishes certain funds and determines the order in which revenues are to be deposited into these funds. A description of the significant funds, including their purposes, is as follows:

Reserve Fund – The Series 2017A-1 and Series 2017A-2 Reserve Account requirements are equal to 50 percent of the maximum annual debt outstanding for Series 2017A-1 and Series 2017A-2 Bonds. The Series 2017A-1 Bonds Reserves are satisfied by the Reserve Insurance Policy which will terminate on the final maturity date or upon earlier, in full, payment of the Series 2017A-1 Bonds. The Series 2017A-2 Bonds were funded from the proceeds of the Series 2017A-2 Bonds in amounts. Monies held in the reserve accounts will be used only for the purposes established in the Trust Indenture.

The following is a schedule of required reserve deposits as of September 30, 2018

 Capital Improvement Revenue Refunding Bonds		 	Balance		  Requirement 	

Senior Series 2017A-1 Subordinate Series 2017A-2	
$	81,258	$	81,258
$	35,875	$	34,250	
NOTE G – RISK MANAGEMENT		
The District is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the government carries commercial insurance.

INDEPENDENT AUDITOR'S 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

To the Board of Supervisors
Heron Isles Community Development District Nassau County, Florida

We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of Heron Isles Community Development District, as of and for the year ended September 30, 2018, and the related notes to the financial statements, and have issued our report thereon dated June 26, 2019.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered Heron Isles Community Development District's internal control over financial reporting to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Heron Isles Community Development District’s internal control. Accordingly, we do not express an opinion on the effectiveness of Heron Isles Community Development District's internal control over financial reporting.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

- 30 -

To the Board of Supervisors
Heron Isles Community Development District

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Heron Isles Community Development District's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants
Fort Pierce, Florida June 26, 2019

- 31 -

MANAGEMENT LETTER

To the Board of Supervisors
Heron Isles Community Development District Nassau County, Florida

Report on the Financial Statements

We have audited the financial statements of the Heron Isles Community Development District as of and for the year ended September 30, 2018, and have issued our report thereon dated June 26, 2019.

Auditor’s Responsibility

We conducted our audit in accordance with auditing standards generally accepted in the United States; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States and Chapter 10.550, Rules of the Florida Auditor General.

Other Reporting Requirements

We have issued our Independent Auditor’s 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 and our Independent Auditor’s Report on an examination conducted in accordance with AICPA Professionals Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated June 26, 2019, should be considered in conjunction with this management letter.

Prior Audit Findings

Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding financial audit report. There were no findings or recommendations in the preceding audit.

Financial Condition and Management

Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, require us to apply appropriate procedures and communicate the results of our determination as to whether or not Heron Isles Community Development District has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and to identify the specific conditions met. In  connection with our audit, we determined that Heron Isles Community Development District did not meet any of the conditions described in Section 218.503(1) Florida Statutes.

- 32 -

To the Board of Supervisors
Heron Isles Community Development District

Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures for Heron Isles Community Development District. It is management’s responsibility to monitor the Heron Isles Community Development District’s financial condition; our financial condition assessment was based in part on the representations made by management and the review of the financial information provided by the same as of September 30, 2018.

Section 10.554(1)(i)2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.

Additional Matters

Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but warrants the attention of those charged with governance. In connection with our audit, we did not note any such findings.

Purpose of this Letter

Our Management Letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, the Board of Supervisors, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 26, 2019

- 33 -

INDEPENDENT ACCOUNTANT’S REPORT/COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES

To the Board of Supervisors
Heron Isles Community Development District Nassau County, Florida

We have examined Heron Isles Community Development District's compliance with Section 218.415, Florida Statutes during the year ended September 30, 2018. Management is responsible for Heron Isles Community Development District’s compliance with those requirements. Our responsibility is to express an opinion on Heron Isles Community Development District’s compliance based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about Heron Isles Community Development District’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on Heron Isles Community Development District’s compliance with the specified requirements.

In our opinion, Heron Isles Community Development District complied, in all material respects, with the aforementioned requirements during the year ended September 30, 2018.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 26, 2019

- 34 -

NINTH ORDER OF BUSINESS

C.

Notice of Meetings Heron Isles
Community Development District

The Board of Supervisors of the Heron Isles Community Development District will hold their regularly scheduled public meetings for Fiscal Year 2020 at the Compass Group Conference Room, 961687 Gateway Blvd., Suite 201M, Amelia Island, Florida at 10:30 A.M. on the first Thursday of the following months (*exceptions noted):

November 7, 2019
February 6, 2019
May 7, 2019
August 6, 2019 (*to be held at 6:00 p.m., location TBD)

ELEVENTH ORDER OF BUSINESS

A.

HERON ISLES
Community Development District Unaudited Financial Statements as of
June 30, 2019

Meeting Date August 1, 2019

	Heron Isles		
	COMMUNITY DEVELOPMENT DISTRICT		
	BALANCE SHEET		
	June 30, 2019		
		Total	
	Debt	Governmental	
	 	General		 	Service		 	Funds		
ASSETS:			
Cash - Wells Fargo	$45,053	---	$45,053	
State Board	$209	---	$209	
Custody-Reserves	$752	---	$752	
Custody-Excess Funds	$132,492	---	$132,492	
Investments:			
Series 2017A-1			
Reserve	---	---	$0	
Revenue	---	$55,194	$55,194	
Excess Revenue	---	$0	$0	
Reserve	---		$34,813		$34,813	
Prepayment	---		$5,730		$5,730	
Prepaid Expenses	---		---		$0	
Electric Deposits	$1,580		---		$1,580	
Due from Other	$6,262		---		$6,262	
TOTAL ASSETS	 	$186,347 		 	$95,737 		 	$282,084 	
LIABILITIES:						
Accounts Payable	$5,619		---		$5,619	
Accrued Expenses	$1,940		---		$1,940	
FUND BALANCES:						
Restricted for Debt Service	---		$95,737		$95,737	
Restricted for Capital Projects	---		---		$0	
Nonspendable	$1,580		---		$1,580	
Assigned	$0		---		$0	
Unassigned	 	$177,208 		 	---		 	$177,208 	
TOTAL LIABILITIES & FUND EQUITY & OTHER CREDITS	
 	$186,347 		
 	$95,737 		
 	$282,084 	

Series 2017A-2

Revenues		
Assessments - On Roll	$320,236		$320,236		$324,160		$3,924	
Interest/Miscellaneous Income	$400		$300		$628		$327	
Total Revenues 	$320,637 		 	$320,537 		 	$324,788 		 	$4,251 	
Expenditures					
Administrative					
Supervisors	$4,000	$3,000	$3,400	($400)	
FICA Expense	$306	$230	$260	($31)	
Engineering	$5,000	$3,750	$2,600	$1,150	
Assessment Roll	$7,500	$7,500	$7,500	$0	
Dissemination	$1,500	$1,125	$1,125	$0	
Attorney	$15,000	$11,250	$7,504	$3,746	
Auditing	$4,000	$0	$0	$0	
Trustee Fees	$2,200	$0	$0	$0	
Management Fees	$45,423	$34,067	$34,067	$0	
Computer Time	$1,000	$750	$750	$0	
Website Compliance	$500	$375	$2,125	($1,750)	
Telephone	$100	$75	$139	($64)	
Postage	$500	$375	$735	($360)	
Printing & Binding	$1,250	$938	$1,013	($75)	
Rental & Leases	$0	$0	$640	($640)	
Meeting Room Rental	$1,300	$975	$400	$575	
Insurance	$6,700	$6,700	$10,663	($3,963)	
Legal Advertising	$2,500	$5,724	$5,724	$0	
Other Current Charges	$1,000	$750	$6,252	($5,502)	
Office Supplies	$100	$75	$59	$16	
Dues, Licenses & Subscriptions	$175	$175	$175	$0	
Capital Outlay	$250	$250	$0	$250	

Total Administrative Expenditures 	$100,304	 	$78,083	 	$85,132	 	($7,049)

Utilities		
Electric	$32,005		$24,004		$18,501		$5,502	
Water & Sewer	$46,813		$35,110		$25,316		$9,794	
	Total Utilities 	$78,818 		 	$59,114 		 	$43,817 		 	$15,296 	

Expenditures

Contract Services		
Landscape Maintenance	$64,250		$48,188		$74,814		($26,626)	
Irrigation Maintenance	$3,000		$2,250		$2,679		($429)	
Lake Maintenance	$12,900		$9,675		$9,675		$0	
Janitorial Services	$7,200		$5,400		$4,800		$600	
Trash Removal Services	$7,440		$5,580		$4,500		$1,080	
Management Company	$9,000		$6,750		$6,000		$750	
Pest Control Services	$225		$169		$227		($58)	
Holiday Decorations	$1,500		$1,500		$1,710		($210)	
Total Contract Services 	$105,515 		 	$79,511 		 	$104,405 		 	($24,893)	
Repairs & Maintenance							
Repairs & Maintenance	$30,000		$22,500		$7,113		$15,387	
Total Repairs & Maintenance 	$30,000 		 	$22,500 		 	$7,113 		 	$15,387 	
Reserves							
Capital Reserve	$6,000		$4,500		$500		$4,000	
Total Reserves 	$6,000 		 	$4,500 		 	$500 		 	$4,000 	
TOTAL EXPENDITURES 	$320,637 		 	$243,708 		 	$240,967 		 	$2,741 	
EXCESS REVENUES (EXPENDITURES)	 	$0 				 	$83,821 			
FUND BALANCE - Beginning	$0				$94,967			
FUND BALANCE - Ending	 	$0 				$178,788			

DEBT SERVICE FUND - SERIES 2017
Statement of Revenues, Expenditures and Changes in Fund Balance For The Period Ending June 30, 2019

ADOPTED BUDGET		PRORATED BUDGET THRU 6/30/2019		ACTUAL THRU 6/30/2019		
VARIANCE	

Revenues							
Special Assessments - On Roll	$233,370		$233,370		$228,957		($4,413)	
Prepayments	$0		$0		$5,196		$5,196	
Interest Income	$0		$0		$402		$402	
Total Revenues 	$233,370 		 	$233,370 		 	$234,555 		 	$1,185 	
Expenditures							
Series 2017A1
Interest - 11/1	$29,863		

$29,863		

$29,863		

$0	
Special Call - 11/1	$0		$0		$30,000		($30,000)	
Interest - 5/1	$29,863		$29,863		$29,475		$388	
Principal - 5/1	$100,000		$100,000		$100,000		$0	
Series 2017A2
Interest - 11/1	$20,000		

$20,000		

$20,000		

$0	
Special Call - 11/1	$0		$0		$15,000		($15,000)	
Interest - 5/1	$20,000		$20,000		$19,625		$375	
Principal - 5/1	$30,000		$30,000		$25,000		$5,000	
Total Expenditures 	$229,725 		 	$229,725 		 	$268,963 		 	($39,238)	
Other Sources/(Uses)							
Interfund Transfer In(Out)	$0		$0		$0		$0	
Total Other Sources/(Uses) 	$0 		 	$0 		 	$0 		 	$0 	
EXCESS REVENUES (EXPENDITURES)	 	$3,645 				 	($34,407)			
FUND BALANCE - Beginning	$58,302				$130,144			
FUND BALANCE - Ending	 	$61,947 				$95,737			

Heron Isles
Community Development District Long Term Debt Report

Series 2017A-1 Capital Improvement Revenue Bonds	
Interest Rate:	2.0%-3.375%	
Maturity Date:	11/1/36	
Reserve Fund Definition:	50% of Max Annual Debt Service	
Reserve Fund Requirement:	$78,975.00	
Reserve Balance:	---	
Bonds outstanding - 9/30/2018	$2,155,000	
Less: November 1, 2018	($30,000)	
Less: May 1, 2019	($100,000)	
		
Current Bonds Outstanding	$2,025,000	
		
Series 2017A-2 Capital Improvement	Revenue Bonds	
Interest Rate:	5.00%	
Maturity Date:	11/1/36	
Reserve Fund Definition:	50% of Max Annual Debt Service	
Reserve Fund Requirement:	$34,250.00	
Reserve Balance:	$34,812.50	
Bonds outstanding - 9/30/2018	$800,000	
Less: November 1, 2018	($15,000)	
Less: May 1, 2019	($25,000)	
		
Current Bonds Outstanding	$760,000	

B.

HERON ISLES COMMUNITY DEVELOPMENT DISTRICT
FISCAL YEAR 2019 ASSESSMENT RECEIPTS SUMMARY

SERIES 2017A-2
#UNITS	DEBT SERVICE	FY19 O&M	
ASSESSED
NET ASSESSMENTS TAX ROLL

TOTAL NET ASSESSMENTS	ASSESSED 748	ASSESSED 225,882.03	ASMT 319,806.58	TOTAL ASSESSED 545,688.61	
		225,882.03	319,806.58	545,688.61	

SUMMARY OF TAX ROLL RECEIPTS	

NASSAU COUNTY DISTRIBUTION	DATE
RECEIVED	
TOTAL RECEIVED	DEBT SERVICE
RECEIPTS	O&M
RECEIPTS	
1	11/7/18	2,349.39	972.51	1,376.88	
2	11/26/18	28,686.10	11,874.31	16,811.79	
3	12/7/18	477,143.00	197,508.30	279,634.70	
4	12/20/18	16,993.32	7,034.21	9,959.11	
5	1/9/19	5,141.13	2,128.12	3,013.01	
6	2/7/19	5,668.20	2,346.29	3,321.91	
7	3/8/19	3,966.03	1,641.70	2,324.33	
8	4/12/19	6,522.17	2,699.78	3,822.39	
9	5/10/19	1,039.24	430.18	609.06	
TAX CERTIFICATES	6/5/19	5,144.72	2,129.60	3,015.12	
11	6/6/19	464.05	192.09	271.96	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
		-	-	-	
TOTAL TAX ROLL RECEIPTS		$	553,117.35	$	228,957.10	$	324,160.25	

TOTAL DUE  TAX ROLL RECEIPTS	$	(7,428.74)  $	(3,075.07)  $	(4,353.67)

PERCENT COLLECTED	TOTAL	DEBT	O&M	
% COLLECTED TAX ROLL	101.36%	101.36%	101.36%	

C.

HERON ISLES
Community Development District Check Register Summary- General Fund 4/01/2019 - 6/31/2019
Check Date	Check #'s	Total Amount	
4/1/19 - 4/30/19	17-26	$27,018.37	
5/1/19 - 5/31/19	27-43	$26,862.58	
6/1/19 - 6/30/19	44-63	$46,530.59	
Total		 	$100,411.54		

4/5/19	FPL Online Payment	$2,064.14	
5/2/19	JEA Online Payment	$2,113.36	
5/7/19	FPL Online Payment	$2,113.88	
6/3/19	JEA Online Payment	$3,099.55	
6/4/19	FPL Online Payment	$2,111.68	
Total		 	$11,502.61