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Backup Documents 02/13/2024 Item #16I1 BOARD OF COUNTY COMMISSIONERS MISCELLANEOUS CORRESPONDENCE February 13, 2024 1. MISCELLANEOUS ITEMS TO FILE FOR RECORD WITH ACTION AS DIRECTED: A. DISTRICTS: 1) Naples Heritage Community Development District: 11/07/2023 Signed Minutes, Agency Mailing & Agency Memo 2) Collier County Industrial Development Authority: 12/12/2023 Oath of Office—J. Oscar Perez Naples Heritage Community Development District I �. Inframark, Community Management Services 11 Im 210 North University Drive, Suite 702, Coral Springs, Florida 33071 Telephone (954) 603-0033 • Fax (954) 345-1292 DATE: January 8, 2024 TO: Marty Rustin Collier Clerk's Office minutesandrecords@collierclerk.com FROM: Janice Swade District Recording Secretary RE: Minutes of the November 7, 2023 Meeting as Approved at the January 2, 2024 Meeting Enclosed for your records is a copy of the minutes and updated corresponding attachments from the above referenced meeting of the Naples Heritage Community Development District, which are to be kept on file for public access during normal business hours. Cc: Mr. Gregory Urbancic Coleman, Yovanovich & Koester, P.A. gurbancic@cyklawfirm.com justin.faircloth@inframark.com Gm(a,nhgcc.com MINUTES OF MEETING 16 I I bin NAPLES HERITAGE COMMUNITY DEVELOPMENT DISTRICT The regular meeting of the Board of Supervisors of the Naples Heritage Community Development District was held Tuesday, November 7, 2023 at 9:00 a.m. at Naples Heritage Golf & Country Club Clubhouse, located at 8150 Heritage Club Way,Naples, Florida 34112. Present and constituting a quorum were: Kenneth Gaynor Chairperson Gerald James Vice Chairperson Philip Smith Assistant Secretary Gordon Mettam Assistant Secretary Also present were: Justin Faircloth District Manager Chad Montgomery Naples Heritage Golf& Country Club Tim Richards Naples Heritage Golf& Country Club Following is a summary of the discussions and actions taken. FIRST ORDER OF BUSINESS Roll Call Mr. Gaynor called the meeting to order, and Mr. Faircloth called the roll. A quorum was established. • Mr. Leonhard will not be available to attend the meeting in person or via phone. SECOND ORDER OF BUSINESS Approval of Agenda The following items were added to the agenda: • Under the Follow-up Items, include Assessment Issue. • Under Follow-up Items, include Email Discussion. On MOTION by Mr. Smith, seconded by Mr. Mettam, with all in favor, the agenda for the meeting was approved as amended (4-0) November 7, 2023 Meeting Naples Heritage CDD THIRD ORDER OF BUSINESS Public Comment on Agenda Items There being no members of the public present, the next order of business followed. 1. 6 L I P" FOURTH ORDER OF BUSINESS Approval of Minutes of the May 10, 2023 Meeting Mr. Gaynor requested any additions,corrections or deletions to the Minutes of the May 10, 2023 Meeting. • The walking path will now be called the nature trail. However,the minutes should not be changed. There being no further discussion, On MOTION by Mr. Mettam, seconded by Mr. James, with all in favor, the Minutes of the May 10, 2023 Meeting were approved as presented. (4-0) SIXTH ORDER OF BUSINESS Old Business A. Club Updates i. Nature Trail • The permit was approved for the nature trail. • Mr. Gaynor worked with the County to obtain a construction commencement notice, as required. • The stumps will be removed in-house. • There will be slip and fall coverage through the CDD's insurance. • A pavilion may be built in the future once it is financially viable to do so. Staff has five years once the permit has been approved to build such a pavilion. After five years, the permit will expire, and the request will have to be resubmitted. An extension may be filed for the permit, if necessary. • There will be a pre-construction meeting with SWFWMD at 10:30 a.m. this morning. FIFTH ORDER OF BUSINESS New Business B. FY 2024 Lake Bank Restoration Discussion • There will be a Lake Restoration Sub-Committee meeting in December, which includes individuals from the Associations. • Mr. James discussed concerns regarding Lake#10 with Mr. Montgomery. 2 November 7, 2023 Meeting Naples Heritage CDD 16 I I ➢ The original work was done in May, which Mr. Montgomery described. ➢ Mr. Montgomery noted it will take a few years from planting for everything to thrive. He discussed the planting/growing process. ➢ Mr. Montgomery commented the CDD may have to budget funds to address the process, as the growth is ongoing. ➢ He reminded the Board that lake plants may get washed away by heavy June and July rainstorms. ➢ He suggested reassessing the lake conditions on a bi-annual basis. ➢ The Board discussed budgeting approximately $1,000 per year for pond maintenance. • Mr. Montgomery will ensure the irrigation heads are checked and repaired. • The preserve should be checked to ensure there are no fire hazards if they are too dry. The record shall reflect Mr. Montgomery exited the meeting. A. Audit Committee Selection of Auditor • Mr. Faircloth discussed the process. • Grau & Associates has been the District's Auditor since 2017, and the District has a positive working relationship with them. • There was discussion regarding a three-year term from Berger, Toombs, Elam, Gaines & Frank versus a five-year term from Grau &Associates. • It is typically a three-year term with an option for two renewals. i. Ranking of Audit Firm Proposals • Berger, Toombs, Elam Gaines & Frank—20, 20, 20, 20 and 10. • Grau & Associates—20 across the board. ii. Authorization to Enter Into a Contract with Selected Auditor • The Board would like to contract with Grau &Associates for five years, subject to the attorney's opinion. On MOTION by Mr. James, seconded by Mr. Mettam, with all in favor, the District was authorized to enter into a contract with Grau & Associates to perform auditing services for five years, subject to the attorney's opinion. (4-0) 3 November 7, 2023 Meeting Naples Heritage CDD ' 6I1 — B. FY 2024 Lake Bank Restoration Discussion (Continued) • Mr. Gaynor received one bid, which will be tabled for discussion at the next meeting. SIXTH ORDER OF BUSINESS Old Business (Continued) A. Club Updates (Continued) ii. Gatehouse Repairs • The new floor was installed. • There are no leaks in the windows and sliders. Repairs complete. iii. Colonial Court Melaleuca Removal • The Club is responsible for removal. • Mr. Montgomery has been in contact with a couple of contractors. • Mr. Richards will have the funding in next year's budget. i. Nature Trail (Continued) • Mitigation costs were reduced, as the trail was only used four to five months per year, due to the fact it was under water most of the year. iv. Colonial Court Fence Installation • The area was surveyed, and the fence will be installed near the canal on the south side. • A permit will be needed. • The CDD is not required to install a fence at Davis Boulevard. SEVENTH ORDER OF BUSINESS Attorney's Report There being no attorney present, or any items for discussion, the next order of business followed. EIGHTH ORDER OF BUSINESS District Manager's Report A. Acceptance of Financial Report as of September 30,2023 • More funds were spent under Engineering, due to the work on the nature trail. Mr. James MOVED to accept the Financial Report as of September 30, 2023, and Mr. Mettam seconded the motion. 4 November 7, 2023 Meeting Naples Heritage CDD 16 I 1 • There is money in the budget for stormwater inspection and cleaning. There was a decision to take care of anything 60% or more clogged, and the rest during the upcoming Fiscal Year. The record shall reflect Mr. Richards exited the meeting. ➢ Mr. Faircloth discussed the associated expenses for the stormwater cleaning. ➢ The Board determined some of the expenses were budgeted,and some were not budgeted. ➢ Mr. Faircloth will follow up with accounting staff. There being no further discussion, On VOICE vote, with all in favor, the prior motion was approved (4-0) F. Follow-up Items i. Assessment Issue • The tax bill stated the amount was $200, even though the Board approved $225. • Mr. Faircloth has had the issue corrected with assessment staff and the County. • A letter will be sent to the Department of Revenue on behalf of the 799 parcels which were billed incorrectly, and the County will provide a new tax bill. • Mr. Faircloth discussed the outstanding assessment amount. Mr. Gaynor requested Mr. Faircloth find out which property is outstanding, and it will be discussed at the next meeting. • A full explanation will be given to residents. B. Resolution 2024-01, FY 2023 Budget Amendment • The District must not over-spend the budget. • A budget amendment is being proposed to cushion the District for anything the District receives this month related to Fiscal Year 2023. • If the money is not used, it will go back to the fund balance. On MOTION by Mr. Smith, seconded by Mr. James, with all in favor, Resolution 2023-01, Amending the District's General Fund Budget for Fiscal Year 2023, was adopted, as discussed. (4-0) 5 November 7, 2023 Meeting Naples Heritage CDD 1 6 I I C. Motion to Assign Fund Balance • There was a correction in the title, which should have been 2023. • Accounting staff are transferring funds to reserves, as outlined in the Fiscal Year 2023 Budget. On MOTION by Mr. Mettam, seconded by Mr. Smith, with all in favor, the Motion to Assign Fund Balance was approved. (4-0) D. SOLitude Reports Mr. Faircloth presented several SOLitude Lake Monitoring Reports, copies of which were included in the agenda package. E. Ratification of Items Approved Under Resolution 2021-01 i. SOLitude Quote 0003175 & 0004286 • Mr. Faircloth explained the Board did not previously authorize the work associated with the quotes. The Chairman was authorized to approve the work. • Mr. Faircloth noted the work on Quote 0003175 should be under the warranty. The charge should be approximately $800 less than the amount stated on the quote. On MOTION by Mr. James, seconded by Mr. Mettam, with all in favor, SOLitude Quotes 0003175 & 0004286 were ratified in accordance with Resolution 2021-01, as discussed. (4-0) F. Follow-up Items (Continued) i. Assessment Issue (Continued) • Communication between Board members regarding this issue is permitted, as long as there is no discussion. • Mr. Faircloth noted the County should be notifying residents regarding the assessment situation. • Club staff may be authorized to send letters to residents, if necessary. ii. Email Discussion • One of the CDD email accounts is currently not being used, and the data needs to be migrated to the Records Account, after which a CDD email may be created for Mr. Smith. • The Board uses their personal and CDD emails. Mr. Gaynor advised the Board to use their CDD emails only. 6 16I 1 November 7, 2023 Meeting Naples Heritage CDD • The migrating fee is approximately$300. The Board concurred to migrate the email data from the vacant email address, in the amount of$300, as discussed. NINTH ORDER OF BUSINESS Engineer's Report • Mr. Gaynor noted engineering services were used this past year. TENTH ORDER OF BUSINESS Supervisor Comments Hearing no comments from Supervisors,the next order of business followed. ELEVENTH ORDER OF BUSINESS Audience Comments There being no audience members present, the next order of business followed. TWELFTH ORDER OF BUSINESS Adjournment There being no further business,the meeting was adjourned at 10:15 a.m. Kenneth Gaynor Chairperson 7 • Naples Heritage Community Development District 1 6 I 1 Board of Supervisors District Staff Kenneth Gaynor, Chairperson Justin Faircloth, District Manager Gerald James, Vice Chairperson Gregory Urbancic, District Counsel Richard Leonhard,Assistant Secretary Terry Cole, District Engineer Philip Smith,Assistant Secretary Gordon Mettam,Assistant Secretary Revised Meeting Agenda Tuesday,November 7, 2023—9:00 a.m. 1. Roll Call 2. Approval of Agenda 3. Public Comment on Agenda Items 4. Approval of Minutes of the May 10,2023 Meeting 5. New Business A. Audit Committee Selection of Auditor i. Ranking of Audit Firm Proposals ii. Authorization to Enter Into a Contract With Selected Auditor B. FY 2024 Lake Bank Restoration Discussion 6. Old Business A. Club Updates i. Nature Trail ii. Gatehouse Repairs iii. Colonial Court Melaleuca Removal iv. Colonial Court Fence Installation 7. Attorney's Report 8. District Manager's Report A. Acceptance of Financial Report as of September 30,2023 B. Resolution 2024-01 FY 2023 Budget Amendment C. Motion to Assign Fund Balance D. SOLitude Reports E. Ratification of Items Approved Under Resolution 2021-01 i. SOLitude Quote 00003175 &0004286 F. Follow-up Items i. Assessment Issue ii. Email Discussion 9. Engineer's Report 10. Supervisor Comments 11. Audience Comments 12. Adjournment The next meeting is scheduled for Tuesday, January 2,2024 at 9:00 a.m. District Office: Meeting Location: Inframark,Community Management Services Naples Heritage Golf&Country Club Clubhouse 210 North University Drive,Suite 702 8150 Heritage Club Way Coral Springs,Florida 33071 Naples,Florida 34112 954-603-0033 239-417-2555 www.nanlesheritagecdd.com .ilr �• Napirs Battu 16 PART OF THE USA TODAY NETWORK Published Daily Naples, FL 34110 NAPLES HERITAGE CDD 15275 COLLIER BLVD#201-346 Notice of Regular Meeting Schedule NAPLES, FL 34119-6750 Naples Heritage Community Development District The Board of Supervisors of the Naples Heritage Community De- Affidavit of Publication velopment District will hold their meetings for Fiscal Year OF WISCONSIN 2023/2024 at the Naples Heritage Golf and Country Club Club- STATEhouse, 8150 Heritage Club Way, Naples, Florida at 9:00 a.m. as COUNTY OF BROWN follows: November 7,2023 Before the undersigned authority personally appeared,who January 2,2024 March 5,2024(FY 2025 Budget Approval) on oath says that he or she is the Legal Coordinator of the April 2,2024 Naples Daily News,published in Collier County, Florida; May 7,2024(FY 2025 Budget Adoption that the attached copy of advertisement,being a Public The meetings are open to the public and will be con- Notices,was published on the publicly accessible website ducted in accordance with the provision of Florida Law for Com- munity Development Districts. There may be occasions when of Collier and Lee Counties, Florida, or in a newspaper by one or more Supervisors may participate via phone. Any inter- print in the issues of,on: ested person can attend the meeting at the above location and be fully informed of the discussions taking place. Meetings may be continued to a date,time and location to be specified on the record at the meetings without additional publication of notice. Issue(s)dated:09/27/2023 A copy of the agenda for these meetings may be obtained from the District Manager's Office, 210 North University Drive, Suite 702, Coral Springs, Florida 33071, (954) 603-0033, or by visiting Affiant further says that the website or newspaper complies the District's website at www.naplesheritagecdd.com. Addition- with all legal requirements for publication in chapter 50, ally, interested parties may refer to the District's website for the Florida Statutes. latest District information. Pursuant to the provisions of the Americans with Disa- bilities Act, any person requiring special accommodations at these meetings because of a disability or physical impairment should contact the District Manager's Office at least forty-eight and sworn to before me, bythe legal clerk,who (48) hours prior to the meeting. If you are hearing or speech im- Subscribed 9 paired, please contact the Florida Relay Service by dialing 7-1-1, is personally Known to me, on September 27,2023: or 1-800-955-8771 (TTY)/1-800-955-8770 (Voice), for aid in con- tacting the District Manager's Office. Each person who decides to appeal any action taken at these meetings is advised that person will need a record of the pro- ceedings and that accordingly, the person may need to ensure that a verbatim record of the proceedings is made, including Notary,State I Dun y f awn the te stimony and evidence upon which such appeal is to be based. Justin Faircloth 5 15 -07-7 District Manager September 27,2023 #5831539 My commission expires Publication Cost: $357.00 Ad No:0005831539 Customer No: 1306647 _ PO#: NANCY HEYRMAN #of Affidavits 1 t N o L r Y' This is not an invoice I ,).ate of til,?isco '* LocaliQ Florida PO Box 631244 Cincinnati,OH 45263-1244 GANNETT t forfor PROOF OF PUBLICATION RequesAuditSerrvices osals for Annual Naples Heritage Community Development District Naples Heritage Community The Naples Heritage Community Naples Heritage Cdd Development District hereby requests proposals for annual 210 North University Drive,Suite 702 financial auditing services. The Coral Springs FL 33071 proposal must provide for the auditing of the District's financial records for the Fiscal Year ending September 30, 2023, 2024 and 2025 STATE OF WISCONSIN, COUNTY OF BROWN with an option for two additional annual renewals. The District is a local unit of special-purpose ned authoritygovernment created under Chapter Before the undersigned personally appeared,who 190, Florida Statutes, for the on oath says that he or she is the Legal Advertisingandpose of afin tainin, constructingubi and maintaining public Representative of the Naples DailyNews,a newspaper infrastructure. The District is p plocated in Collier County and is published in Collier County, Florida;that the attached copy approximately 557 acres in area. The District has an annual operating of advertisement, being a Legal Ad in the matter of Bids& budget of approximately $172,825 inclusive of debt service. Proposals,was published on the publicly accessible website The Auditing entity submitting a of Collier and Lee Counties, Florida,or in a newspaper by undersChapter 473,al must eFlorida duly Statutes print in the issues of, on: and be qualified to conduct audits in accordance with "Government Auditing Standards", as adopted by the Florida Board of Accountancy. 10/10/2023 Audits shall be conducted in accordance with Florida Law and particularly Section 218.39, Florida Statutes,and the rules of the Florida Affiant further says that the website or newspaper complies Auditor General. The firm must the audit field work at the with all legal requirements for publication in chapter 50, officerm where the District records are Florida Statutes. maintained. Proposal packages, which include Subscribed and sworn to before me, by the legal clerk,who evaluation criteria and instructions to proposers are available from the is personally known to me,on 10/10/2023 Office of the District Manager at Narisa.Desouza@inframark.com. Electronic proposals must be �.►+v'�-- received no later than 11:00 a.m. on Friday, October 27, 2023 by the lotriell Office of the District Manager, Legal Clerk I esouza k, Attention: Narisa Desouza at Narisa.Desouza@inframark.com. Please direct all questions regarding Notary,State of WI,County of Brown _ this Notice to the Office of the / District Manager. l Naples Heritage Community Development District My commision expires Justin Faircloth, District Manager Oct 10,2023 No.9384091 Publication Cost: $231.28 Order No: 9384091 #of Copies: Customer No: 1125653 1 PO#: THIS IS NOT AN INVOICE! Please do not use this form for payment remittance. K AT H L E E N ALL E N Notary Public State of WiIfSin,,� ..a l Pagel of 1 16I1 , LocaliQ Florida PO Box 631244 Cincinnati,OH 45263-1244 GANNETT PROOF OF PUBLICATIONNAPLECOMMUNITYS D DEVVELLOPOP MENT DISTRICT NOTICE OF AUDIT COMMITTEE Naples Heritage Community M EEMEETING ETINGATH R BARDR NG O OF THE BOARD OF Naples Heritage Cdd Notice issue SUPERVISORS�lgiven that the of 210 North University Drive,Suite 702 Board of supervisors ("Board unity the Naples Her(toge Community Development District ("District") Coral Springs FL 33071 will hold o regular meeting of the Board on Tuesday,November 7,2023 at 9:00 a.m.at Naples Heritage Golf and Country Club Clubhouse, 8150 Heritage Club Way,Naples,Florida. STATE OF WISCONSIN, COUNTY OF BROWN Notice Is further given that the Audit Committee of the District will hold a meeting during the regular Board meeting to rank the proposals received to perform the Audit for Before the undersigned authority personally appeared,who the Fiscal Year ending September aon oath says that he or she is the Legal Advertising a additional annual r e opti enewals,for two(a) r as previously advertised in accordance Representative of the Naples DailyNews,a newspaper with Florida law. p pA copy of the agendas may be obtained by accessing the District's published in Collier County, Florida;that the attached copy website at www.naplesheritagecdd.com or by of advertisement, being a Legal Ad in the matter of Public contacting the District Manager at Justin.Fa irclathein frame rk.com. Notices, was published on the publicly accessible website of The meetings ore open to the public and will be conducted In accordance with the provisions of Florida law Collier and Lee Counties, Florida, or in a newspaper by print for Community Development Districts. The meetings may be in the issues of, on: continued to a date and time certain which will be announced at the meetings, without additional publication of notice. 10/27/2023 There may be occasions when one or more Supervisors will participate via telephone or other telecommunication means. Any interested person can attend the Affiant further s says that the website or newspaper com lie meeting the o location d Yp fully Inforatmed abofve the discussionanbe s with all legal requirements for publication in chapter 50, taking specialp occE. Any person tu commodations In order to to access and participate in the Florida Statutes. meetings because of a disability or physical impairment should contact Subscribed and sworn to before me, bythe legal clerk,who the District Manager's Office at ii least forty-eight (48) hours prior to is personally known to me on 10/27/2023 the meetings. If youare hearingtor , speech Impaired,please contact the Florida Relay Service by dialing 7-1- 1,or 1.800.955.8771 (TTY)/1-800-955- _r 8770 (Voice), for aid in contacting the District Manager's Office. Each person who decides to appeal any decision made bythe Board Legal Clerk with respect to any matter A.4*(AL considered at the meetings is ,uadvised person will need a record of proceedings and that accordingly,the person moy need to ensure that o verbatim record of the Notary,State of WI,County of BrOWti proceedings (s made, including the— (! testimony and evidence upon which such appeal Is to be based. Justin Falrclath My commision expires District Manager October 27,2023 09399413 Publication Cost: $297.92 Order No: 9399413 #of Copies: Customer No: 1125653 1 PO#: THiS IS NOT AN INVOICE,! Please do not use this form for payment remittance. KATHLEEN ALLEN Notary Public State of Wisconsin• Page 1 of 1 1, 6 I 1 N NAPLES HERITAGE COMMUNITY DEVELOPMENT DISTRICT PROPOSAL FOR AUDIT SERVICES PROPOSED BY: Berger, Toombs, Elam, Gaines & Frank CERTIFIED PUBLIC ACCOUNTANTS, PL 600 Citrus Avenue, Suite 200 (772) 461-6120 Fort Pierce, Florida 34950 CONTACT PERSON: J. W. Gaines, CPA, Director DATE OF PROPOSAL: October 27, 2023 TABLE OF CONTENTS U ' DESCRIPTION OF SECTION PAGE A. Letter of Transmittal 1-2 B. Profile of the Proposer Description and History of Audit Firm 3 Professional Staff Resources 4-5 Ability to Furnish the Required Services 5 Arbitrage Rebate Services 6 A. Governmental Auditing Experience 7-16 B. Fee Schedule 17 C. Scope of Work to be Performed 17 D. Resumes 18-36 E. Peer Review Letter 37 Instructions to Proposers 38-39 Evaluation Criteria 40 ta r Berger, Toombs, Elam, 1 Gaines & Frank Certified Public Accountants PL 600 Citrus Avenue Suite 200 Fort Pierce,Florida 34950 772/461-6120//461-1155 FAX: 772/468-9278 October 30, 2023 Naples Heritage Community Development District Inframark Infrastructure Management Services 210 N University Drive, Suite 702 Coral Springs, FL 33071 Dear District Manager: Thank you very much for the opportunity to present our professional credentials to provide audit services for Naples Heritage Community Development District. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has assembled a team of governmental and nonprofit specialists second to none to serve our clients. Our firm has the necessary qualifications and experience to serve as the independent auditors for Naples Heritage Community Development District. We will provide you with top quality, responsive service. Experience Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a recognized leader in providing services to governmental and nonprofit agencies throughout Florida. We have been the independent auditors for a number of local governmental agencies and through our experience in performing their audits, we have been able to increase our audit efficiency and; therefore, reduce costs. We have continually passed this cost savings on to our clients and will continue to do so in the future. As a result of our experience and expertise, we have developed an effective and efficient audit approach designed to meet or exceed the performance specifications in accordance with auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and the standards for financial and compliance audits. We will conduct the audit in accordance with auditing standards generally accepted in the United States of America; "Government Auditing Standards" issued by the Comptroller General of the United States; the provisions of the Single Audit Act, Subpart F of Title 2 US Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, with minimal disruption to your operations. Our firm has frequent technical updates to keep our personnel informed and up-to-date on all changes that are occurring within the industry. Fort Pierce/Stuart Member AICPA Member AICPA Division for CPA Firms Member FICPA Private Companies practice Section b Berger,Toombs, Elam, fit}/ Games& Frank 16 L 1 CMMd Publk Accountant, PL Naples Heritage Community Development District October 27, 2023 Our firm is a member of the Government Audit Quality Center, an organization dedicated to improving government audit quality. We also utilize the audit program software of a nationally recognized CPA firm to assure us that we are up to date with all auditing standards and to assist us maintain maximum audit efficiencies. To facilitate your evaluation of our qualifications and experience, we have arranged this proposal to include a resume of our firm, including our available staff, our extensive prior governmental and nonprofit auditing experience and clients to be contacted. You need a firm that will provide an efficient, cost-effective, high-quality audit within critical time constraints. You need a firm with the prerequisite governmental and nonprofit experience to perform your audit according to stringent legal and regulatory requirements, a firm that understands the complex nature of community development districts and their unique compliance requirements. You need a firm with recognized governmental and nonprofit specialists within the finance and governmental communities. And, certainly, you need a firm that will provide you with valuable feedback to enhance your current and future operations. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is that firm. J. W. Gaines is the person authorized to make representations for the firm. Thank you again for the opportunity to submit this proposal to Naples Heritage Community Development District. Very truly yours, aa 1wuIx' C1a r O04.0,0) ,t Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL Fort Pierce, Florida - 2 - 16I1 - PROFILE OF THE PROPOSER Description and History of Audit Firm Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a Treasure Coast public accounting firm, which qualifies as a small business firm, as established by the Small Business Administration (13 CFR 121.38), with offices in Fort Pierce and Stuart. We are a member of the Florida Institute of Certified Public Accountants and the American Institute of Certified Public Accountants. The firm was formed from the merger of Edwards, Berger, Harris & Company (originated in 1972) and McAlpin, Curtis & Associates (originated in 1949). J. W. Gaines and Associates (originated in 1979) merged with the firm in 2004. Our tremendous growth rate experienced over the last 69 years is directly attributable to the firm's unrelenting dedication to providing the highest quality, responsive professional services attainable to its clients. We are a member of the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA) to assure we meet the highest standards. Membership in this practice section requires that our firm meet more stringent standards than standard AICPA membership. These rigorous requirements include the requirement of a triennial peer review of our firm's auditing and accounting practice and annual Continuing Professional Education (CPE) for all accounting staff (whether CPA or non-CPA). For standard AICPA membership, only a quality review is required and only CPAs must meet CPE requirements. We are also a member of the Government Audit Quality Center ("the Center") of the American Institute of Certified Public Accountants to assure the quality of our government audits. Membership in the Center, which is voluntary, requires our firm to comply with additional standards to promote the quality of government audits. We have been extensively involved in serving local government entities with professional accounting, auditing and consulting services throughout the entire 69 year history of our firm. Our substantial experience over the years makes us uniquely qualified to provide accounting, auditing, and consulting services to these clients. We are a recognized leader in providing services to governmental and nonprofit agencies on the Treasure Coast and in Central and South Florida, with extensive experience in auditing community development districts and water control districts. We were the independent auditors of the City of Fort Pierce for over 37 years and currently, we are the independent auditors for St. Lucie County since 2002, and for 34 of the 38 years that the county has been audited by CPA firms. Additionally, we have performed audits of the City of Stuart, the City of Vero Beach, Indian River County and Martin County. We also presently audit over 75 Community Development Districts throughout Florida. Our firm was founded on the belief that we are better able to respond to our clients needs through education, experience, independence, quality control, and personal service. Our firm's commitment to quality is reflected in our endeavor of professional excellence via continuing education, the use of the latest computer technology, professional membership in PCPS and peer review. We believe our approach to audit engagements, intelligence and innovation teamed with sound professional judgment enables us to explore new concepts while remaining sensitive to the fundamental need for practical solutions. We take pride in giving you the assurance that the personal assistance you receive comes from years of advanced training, technical experience and financial acumen. - 3 - 16 1 "— Professional Staff Resources Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has a total of 27 professional and administrative staff (including 12 professional staff with extensive experience servicing government entities). The work will be performed out of our Fort Pierce office with a proposed staff of one senior accountant and one or two staff accountants supervised by an audit manager and audit partner. With the exception of the directors of the firm's offices, the professional staff is not specifically assigned to any of our individual offices. The professional and administrative staff resources available to you through Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL are as follows: Total Partners/Directors (CPA's) 6 Managers (2 CPA's) 2 Senior/Supervisor Accountants (3 CPA's) 3 Staff Accountants (2 CPA) 11 Computer Specialist 1 Paraprofessional 7 Administrative 5 Total — all personnel 35 Following is a brief description of each employee classification: Staff Accountant — Staff accountants work directly under the constant supervision of the auditor-in-charge and, are responsible for the various testing of documents, account analysis and any other duties as his/her supervisor believes appropriate. Minimum qualification for a staff accountant is graduation from an accredited university or college with a degree in accounting or equivalent. Senior Accountant — A senior accountant must possess all the qualifications of the staff accountant, in addition to being able to draft the necessary reports and financial statements, and supervise other staff accountants when necessary. Managers — A manager must possess the qualifications of the senior accountant, plus be able to work without extensive supervision from the auditor-in-charge. The manager should be able to draft audit reports from start to finish and to supervise the audit team, if necessary. Principal —A principal is a partner/director in training. He has been a manager for several years and possesses the technical skills to act as the auditor—in-charge. A principal has no financial interest in the firm. Partner/Director — The director has extensive governmental auditing experience and acts as the auditor-in-charge. Directors have a financial interest in the firm. - 4 - 16 "°- Professional Staff Resources (Continued) Independence — Independence of the public accounting firm, with respect to the audit client, is the foundation from which the public gains its trust in the opinion issued by the public accounting firm at the end of the audit process. This independence must be in appearance as well as in fact. The public must perceive that the accounting firm is independent of the audit entity to ensure that nothing would compromise the opinion issued by the public accounting firm. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is independent of Naples Heritage Community Development District, including its elected officials and related parties, at the date of this proposal, as defined by the following rules, regulations, and standards: AuSection 220 — Statements on Auditing Standards issued by the American Institute of Certified Public Accountants; ET Sections 101 and 102 — Code of Professional Conduct of the American Institute of Certified Public Accountants; Chapter 21A-1, Florida Administrative Code; Section 473.315, Florida Statutes; and, Government Auditing Standards, issued by the Comptroller General of the United States. On an annual basis, all members of the firm are required to confirm, in writing, that they have no personal or financial relationships or holding that would impair their independence with regard to the firm's clients. Independence is a hallmark of our profession. We encourage our staff to use professional judgment in situations where our independence could be impaired or the perception of a conflict of interest might exist. In the governmental sector, public perception is as important as professional standards. Therefore, the utmost care must be exercised by independent auditors in the performance of their duties. Ability to Furnish the Required Services As previously noted in the Profile of the Proposer section of this document, our firm has been in existence for over 74 years. We have provided audit services to some clients for over 30 years continually. Our firm is insured against physical loss through commercial insurance and we also carry liability insurance. The majority of our audit documentation is stored electronically, both on our office network and on each employee laptop or computer assigned to each specific job. Our office computer network is backed up on tape, so in the event of a total equipment loss, we can restore all data as soon as replacement equipment is acquired. In addition, our field laptop computers carry the same data and can be used in the event of emergency with virtually no delay in completing the required services. - 5 - 16 � 1 ADDITIONAL SERVICES PROVIDED Arbitrage Rebate Services Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL also provides arbitrage rebate compliance and related services to governmental issuers. The Tax Reform Act of 1986 requires issuers of most tax-exempt obligations to pay (i.e., "rebate") to the United States government any arbitrage profits. Arbitrage profits are earnings on the investment of bond proceeds and certain other monies in excess of what would have been earned had such monies been invested at a yield equal to the yield on the bonds. Federal tax law requires that interim rebate calculations and payments are due at the end of every fifth bond year. Final payment is required upon redemption of the bonds. More frequent calculations may be deemed advisable by an issuer's auditor, trustee or bond counsel or to assure that accurate and current records are available. These more frequent requirements are usually contained in the Arbitrage or Rebate Certificate with respect to the bonds. Our firm performs a comprehensive rebate analysis and includes the following: • Verifying that the issue is subject to rebate; • Calculating the bond yield; • Identifying, and separately accounting for, all "Gross Proceeds" (as that term is defined in the Code) of the bond issue, including those requiring analysis due to "transferred proceeds" and/or"commingled funds" circumstances; • Determining what general and/or elective options are available to Gross proceeds of the issue; • Calculating the issue's excess investment earning (rebate liability), if any; • Delivering appropriate documentation to support all calculations; • Providing an executive summary identifying the methodology employed, major assumptions, conclusions, and any other recommendations for changes in recordkeeping and investment policies; • Assisting as necessary in the event of an Internal Revenue Service inquiry; and, • Consulting with issue staff, as necessary, regarding arbitrage related matters. - 6 - 16 x. GOVERNMENTAL AUDITING EXPERIENCE Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has been practicing public accounting in Florida for 69 years. Our success over the years has been the result of a strong commitment to providing personalized quality service to our clients. The current members of our firm have performed audits of over 1,100 community development districts, and over 2,100 audits of municipalities, counties and other governmental entities such as the City of Fort Pierce and St. Lucie County. Our firm provides a variety of accounting, auditing, tax litigation support, and consulting services. Some of the professional accounting, auditing and management consulting services that are provided by our firm are listed below: • Performance of annual financial and compliance audits, including Single Audits of state and federal financial assistance programs, under the provisions of the Single Audit Act, Subpart F of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), with minimal disruptions to your operations; • Performance of special compliance audits to ascertain compliance with the applicable local, state and federal laws and regulations; • Issuance of comfort letters and consent letters in conjunction with the issuance of tax- exempt debt obligations, including compiling financial data and interim period financial statement reviews; • Calculation of estimated and actual federal arbitrage rebates; • Assistance in compiling historical financial data for first-time and supplemental submissions for GFOA Certificate of Achievement for Excellence in Financial Reporting; • Preparation of indirect cost allocation systems in accordance with Federal and State regulatory requirements; • Providing human resource and employee benefit consulting; • Performance of automation feasibility studies and disaster recovery plans; • Performance feasibility studies concerning major fixed asset acquisitions and utility plant expansion plans (including electric, water, pollution control, and sanitation utilities); and • Assistance in litigation, including testimony in civil and criminal court. • Assist clients who utilize QuickBooks software with their software needs. Our Certified QuickBooks Advisor has undergone extensive training through QuickBooks and has passed several exams to attain this Certification. Continuing Professional Education All members of the governmental audit staff of our firm, and audit team members assigned to this engagement, are in compliance with the Continuing Professional Education (CPE) requirements set forth in Government Auditing Standards issued by the Comptroller General of the United States. In addition, our firm is in compliance with the applicable provisions of the Florida Statutes that require CPA's to have met certain CPE requirements prior to proposing on governmental audit engagements. - 7 - 16 1 . GOVERNMENTAL AUDITING EXPERIENCE (CONTINUED) The audit team has extensive experience in performing governmental audits and is exposed to intensive and continuing concentration on these types of audits. Due to the total number of governmental audits our team performs, each member of our governmental staff must understand and be able to perform several types of governmental audits. It is our objective to provide each professional employee fifty hours or more of comprehensive continuing professional education each year. This is accomplished through attending seminars throughout Florida and is reinforced through in-house training. Our firm has made a steadfast commitment to professional education. Our active attendance and participation in continuing professional education is a major part of our objective to obtain the most recent knowledge on issues which are of importance to our clients. We are growing on the reputation for work that our firm is providing today. Quality Control Program Quality control requires continuing commitment to professional excellence. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is formally dedicated to that commitment. To ensure maintaining the standards of working excellence required by our firm, we joined the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA). To be a participating member firm of this practice section, a firm must obtain an independent Peer Review of its quality control policies and procedures to ascertain the firm's compliance with existing auditing standards on the applicable engagements. The scope of the Peer Review is comprehensive in that it specifically reviews the following quality control policies and procedures of the participating firm: • Professional, economic, and administrative independence; • Assignment of professional personnel to engagements; • Consultation on technical matters; • Supervision of engagement personnel; • Hiring and employment of personnel; • Professional development; • Advancement; • Acceptance and continuation of clients; and, • Inspection and review system. We believe that our commitment to the program is rewarding not only to our firm, but primarily to our clients. The external independent Peer Review of the elements of our quality control policies and procedures performed by an independent certified public accountant, approved by the PCPS of the AICPA, provides you with the assurance that we continue to conform to standards of the profession in the conduct of our accounting and auditing practice. - 8 - 6 I 1 GOVERNMENTAL AUDITING EXPERIENCE (CONTINUED) Our firm is also a member of Governmental Audit Quality Center (GAQC), a voluntary membership center for CPA firms that perform governmental audits. This center promotes the quality of governmental audits. Our firm has completed successive Peer Reviews. These reviews included a representative sample of our firm's local governmental auditing engagements. As a result of these reviews, our firm obtained an unqualified opinion on our quality control program and work procedures. On page 31 is a copy of our most recent Peer Review report. It should be noted that we received a pass rating. Our firm has never had any disciplinary actions by state regulatory bodies or professional organizations. As our firm performs approximately one hundred audits each year that are reviewed by federal, state or local entities, we are constantly dealing with questions from these entities about our audits. We are pleased to say that any questions that have been raised were minor issues and were easily resolved without re-issuing any reports. Certificate of Achievement for Excellence in Financial Reporting (CAFR) We are proud and honored to have been involved with the City of Fort Pierce and the Fort Pierce Utilities Authority when they received their first Certificates of Achievement for Excellence in Financial Reporting for the fiscal years ended September 30, 1988 and 1994, respectively. We were also instrumental in the City of Stuart receiving the award, in our first year of performing their audit, for the year ended September 30, 1999. We also assisted St. Lucie County, Florida for the year ended September 30, 2003, in preparing their first Comprehensive Annual Financial Report, and St. Lucie County has received their Certificate of Achievement for Excellence in Financial Reporting every year since. As continued commitment to insuring that we are providing the highest level of experience, we have had at least one employee of our firm serve on the GFOA — Special Review Committee since the mid-1980s. This committee is made up of selective Certified Public Accountants throughout the United States who have demonstrated their high level of knowledge and expertise in governmental accounting. Each committee member attends a special review meeting at the Annual GFOA Conference. At this meeting, the committee reports on the Certificate of Achievement Program's most recent results, future goals, and common reporting deficiencies. We feel that our previous experience in assisting the City of Fort Pierce, the Fort Pierce Utilities Authority and St. Lucie County obtain their first CAFRs, and the City of Stuart in continuing to receive a CAFR and our firm's continued involvement with the GFOA, and the CAFR review committee make us a valued asset for any client in the field of governmental financial reporting. - 9 - 1 6 I I ' GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) References Terracina Community Development Gateway Community Development District District Jeff Walker, Special District Services Stephen Bloom, Severn Trent Management (561) 630-4922 (954) 753-5841 The Reserve Community Development District Clearwater Cay Community Development District Darrin Mossing, Governmental Management Cal Teague, Premier District Management Services LLC (407) 841-5524 (239) 690-7100 ext 101 In addition to the above, we have the following additional governmental audit experience: Community Development Districts Aberdeen Community Development Beacon Lakes Community District Development District Alta Lakes Community Development Beaumont Community Development District District Amelia Concourse Community Bella Collina Community Development Development District District Amelia Walk Communnity Bonnet Creek Community Development District Development District Aqua One Community Development Buckeye Park Community District Development District ArbonNood Community Development Candler Hills East Community District Development District Arlington Ridge Community Cedar Hammock Community Development District Development District Bartram Springs Community Central Lake Community Development District Development District Baytree Community Development Channing Park Community District Development District - 10 - i6 1 via GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Cheval West Community Evergreen Community Development Development District District Coconut Cay Community Forest Brooke Community Development District Development District Colonial Country Club Community Gateway Services Community Development District Development District Connerton West Community Gramercy Farms Community Development District Development District Copperstone Community Greenway Improvement District Development District Creekside @ Twin Creeks Community Greyhawk Landing Community Development District Development District Deer Run Community Development Griffin Lakes Community Development District District Dowden West Community Habitat Community Development Development District District DP1 Community Development Harbor Bay Community Development District District Eagle Point Community Development Harbourage at Braden River District Community Development District East Nassau Stewardship District Harmony Community Development District Eastlake Oaks Community Development District Harmony West Community Development District Easton Park Community Development District Harrison Ranch Community Development District Estancia @ Wiregrass Community Development District Hawkstone Community Development District - 11 - 16I 1 GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Heritage Harbor Community Madeira Community Development Development District District Heritage Isles Community Marhsall Creek Community Development District Development District Heritage Lake Park Community Meadow Pointe IV Community Development District Development District Heritage Landing Community Meadow View at Twin Creek Development District Community Development District Heritage Palms Community Mediterra North Community Development District Development District Heron Isles Community Midtown Miami Community Development District Development District Heron Isles Community Development Mira Lago West Community District Development District Highland Meadows II Community Montecito Community Development District Development District Julington Creek Community Narcoossee Community Development District Development District Laguna Lakes Community Naturewalk Community Development District Development District Lake Bernadette Community New Port Tampa Bay Community Development District Development District Lakeside Plantation Community Overoaks Community Development Development District District Landings at Miami Community Panther Trace II Community Development District Development District Legends Bay Community Paseo Community Development Development District District Lexington Oaks Community Pine Ridge Plantation Community Development District Development District Live Oak No. 2 Community Piney Z Community Development Development District District - 12 - 16 1 GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Poinciana Community Sampson Creek Community Development District Development District Poinciana West Community San Simeon Community Development District Development District Port of the Islands Community Six Mile Creek Community Development District Development District Portofino Isles Community South Village Community Development District Development District Quarry Community Development Southern Hills Plantation I District Community Development District Renaissance Commons Community Southern Hills Plantation III Development District Community Development District Reserve Community South Fork Community Development District Development District Reserve#2 Community St. John's Forest Community Development District Development District River Glen Community Stoneybrook South Community Development District Development District River Hall Community Stoneybrook South at ChampionsGate Development District Community Development District River Place on the St. Lucie Stoneybrook West Community Community Development District Development District Rivers Edge Community Tern Bay Community Development District Development District Riverwood Community Terracina Community Development Development District District Riverwood Estates Community Tison's Landing Community Development District Development District Rolling Hills Community TPOST Community Development Development District District Rolling Oaks Community Development District - 13 - 161 I ; GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Triple Creek Community Vizcaya in Kendall Development District Development District TSR Community Development Waterset North Community District Development District Turnbull Creek Community Westside Community Development Development District District Twin Creeks North Community WildBlue Community Development Development District District Urban Orlando Community Willow Creek Community Development District Development District Verano#2 Community Willow Hammock Community Development District Development District Viera East Community Winston Trails Community Development District Development District VillaMar Community Zephyr Ridge Community Development District Development District - 14 - 1611 — GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Other Governmental Organizations City of Westlake Office of the Medical Examiner, District 19 Florida Inland Navigation District Rupert J. Smith Law Library of St. Lucie County Fort Pierce Farms Water Control District St. Lucie Education Foundation Indian River Regional Crime Seminole Improvement District Laboratory, District 19, Florida Troup Indiantown Water Viera Stewardship District Control District Current or Recent Single Audits, St. Lucie County, Florida Early Learning Coalition, Inc. Gateway Services Community Development District. Members of our audit team have acquired extensive experience from performing or participating in over 1,800 audits of governments, independent special taxing districts, school boards, and other agencies that receive public money and utilize fund accounting. Much of our firm's auditing experience is with compliance auditing, which is required for publicly financed agencies. In this type of audit, we do a financial examination and also confirm compliance with various statutory and regulatory guidelines. Following is a summary of our other experience, including Auditor General experience, as it pertains to other governmental and fund accounting audits. Counties (Includes elected constitutional officers, utilities and dependent taxing districts) Indian River Martin Okeechobee Palm Beach Municipalities City of Port St. Lucie City of Vero Beach Town of Orchid - 15 - 16I1P." GOVERNMENTAL AUDIT EXPERIENCE (CONTINUED) Special Districts Bannon Lakes Community Development District Boggy Creek Community Development District Capron Trail Community Development District Celebration Pointe Community Development District Coquina Water Control District Diamond Hill Community Development District Dovera Community Development District Durbin Crossing Community Development District Golden Lakes Community Development District Lakewood Ranch Community Development District Martin Soil and Water Conservation District Meadow Pointe III Community Development District Myrtle Creek Community Development District St. Lucie County— Fort Pierce Fire District The Crossings at Fleming Island St. Lucie West Services District Indian River County Mosquito Control District St. John's Water Control District Westchase and Westchase East Community Development Districts Pier Park Community Development District Verandahs Community Development District Magnolia Park Community Development District Schools and Colleges Federal Student Aid Programs— Indian River Community College Indian River Community College Okeechobee County District School Board St. Lucie County District School Board State and County Agencies Central Florida Foreign-Trade Zone, Inc. (a nonprofit organization affiliated with the St. Lucie County Board of County Commissioners) Florida School for Boys at Okeechobee Indian River Community College Crime Laboratory Indian River Correctional Institution - 16 - 16 $ 1 FEE SCHEDULE We propose the fee for our audit services described below to be $3,125 for the years ended September 30, 2023, 2024, and 2025. The fee is contingent upon the financial records and accounting systems of Naples Heritage Community Development District being "audit ready" and the financial activity for the District is not materially increased. If we discover that additional preparation work or subsidiary schedules are needed, we will consult with your authorized representative. We can assist with this additional work at our standard rates should you desire. SCOPE OF WORK TO BE PERFORMED If selected as the District's auditors, we will perform a financial and compliance audit in accordance with Section 11.45, Florida Statutes, in order to express an opinion on an annual basis on the financial statements of Naples Heritage Community Development District as of September 30, 2023, 2024, and 2025. The audits will be performed to the extent necessary to express an opinion on the fairness in all material respects with which the financial statements present the financial position, results of operations and changes in financial position in conformity with generally accepted accounting principles and to determine whether, for selected transactions, operations are properly conducted in accordance with legal and regulatory requirements. Reportable conditions that are also material weaknesses shall be identified as such in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters. Other (non-reportable) conditions discovered during the course of the audit will be reported in a separate letter to management, which will be referred to in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters. Our audit will be performed in accordance with standards for financial and compliance audits contained in Government Auditing Standards, as well as in compliance with rules and regulations of audits of special districts as set forth by the State Auditor General in Chapter 10.550, Local Governmental Entity Audits, and other relevant federal, state and county orders, statutes, ordinances, charter, resolutions, bond covenants, Administrative Code and procedures, or rules and regulations which may pertain to the work required in the engagement. The primary purpose of our audit will be to express an opinion on the financial statements discussed above. It should be noted that such audits are subject to the inherent risk that errors or irregularities may not be detected. However, if conditions are discovered which lead to the belief that material errors, defalcations or other irregularities may exist or if other circumstances are encountered that require extended services, we will promptly notify the appropriate individual. - 17 - 16L Commitment to Quality Service Personnel Qualifications and Experience J. W. Gaines, CPA, CITP Director—44 years Education • Stetson University, B.B.A. —Accounting Registrations • Certified Public Accountant—State of Florida, State Board of Accountancy • Certified Information Technology Professional (CITP) —American Institute of Certified Public Accountants Professional Affiliations/Community Service • Member of the American and Florida Institutes of Certified Public Accountants • Affiliate member Government Finance Officers Association • Past President, Vice President-Campaign Chairman, Vice President and Board Member of United Way of St. Lucie County, 1989 - 1994 • Past President, President Elect, Secretary and Treasurer of the Treasure Coast Chapter of the Florida Institute of Certified Public Accountants, 1988 - 1991 • Past President of Ft. Pierce Kiwanis Club, 1994 - 95, Member/Board Member since 1982 • Past President, Vice President and Treasurer of St. Lucie County Chapter of the American Cancer Society, 1980 -1986 • Member of the St. Lucie County Chamber of Commerce, Member Board of Directors, Treasurer, September 2002 - 2006, Chairman Elect 2007, Chairman 2008, Past Chairman 2009 • Member Lawnwood Regional Medical Center Board of Trustees, 2000 — Present, Chairman 2013 - Present • Member of St. Lucie County Citizens Budget Committee, 2001 —2002 • Member of Ft. Pierce Citizens Budget Advisory Committee, 2010 —2011 • Member of Ft. Pierce Civil Service Appeals Board, 2013 - Present Professional Experience • Miles Grant Development/Country Club— Stuart, Florida, July 1975—October 1976 • State Auditor General's Office — Public Accounts Auditor — November 1976 through September 1979 • Director - Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for numerous government and nonprofit audits. • Over 40 years experience in all phases of public accounting and auditing experience, with a concentration in financial and compliance audits. Mr. Gaines has been involved in all phases of the audits listed on the preceding pages. - 18 - 160 Commitment to Quality Service Personnel Qualifications and Experience J. W. Gaines, CPA, CITP (Continued) Director Continuing Professional Education • Has participated in numerous continuing professional education courses provided by nationally recognized sponsors over the last two years to keep abreast of the latest developments in accounting and auditing such as: Governmental Accounting Report and Audit Update Analytical Procedures, FICPA Annual Update for Accountants and Auditors Single Audit Sampling and Other Considerations - 19 - i6 1 Commitment to Quality Service Personnel Qualifications and Experience David S. McGuire, CPA, CITP Director— 36 years experience Education • University of Central Florida, B.A. —Accounting • Barry University— Master of Professional Accountancy Registrations • Certified Public Accountant—State of Florida, State Board of Accountancy • Certified Information Technology Professional (CITP) —American Institute of Certified Public Accountants • Certified Not-For-Profit Core Concepts 2018 Professional Affiliations/Community Service • Member of the American and Florida Institutes of Certified Public Accountants • Associate Member, Florida Government Finance Office Associates • Assistant Coach — St. Lucie County Youth Football Organization (1994—2005) • Assistant Coach — Greater Port St. Lucie Football League, Inc. (2006— 2010) • Board Member—Greater Port St. Lucie Football League, Inc. (2011 —2017) • Treasurer, AIDS Research and Treatment Center of the Treasure Coast, Inc. (2000 — 2003) • Board Member/Treasurer, North Treasure Coast Chapter, American Red Cross (2004—2010) • Member/Board Member of Port St. Lucie Kiwanis (1994 —2001) • President (2014/15) of Sunrise Kiwanis of Fort Pierce (2004 —2017) • St. Lucie District School Board Superintendent Search Committee (2013— present) • Board Member— Phrozen Pharoes (2019-2021) Professional Experience • Twenty-eight years public accounting experience with an emphasis on nonprofit and governmental organizations. • Audit Manager in-charge on a variety of audit and review engagements within several industries, including the following government and nonprofit organizations: St. Lucie County, Florida 19th Circuit Office of Medical Examiner Troup Indiantown Water Control District Exchange Club Center for the Prevention of Child Abuse, Inc. Healthy Kids of St. Lucie County Mustard Seed Ministries of Ft. Pierce, Inc. Reaching Our Community Kids, Inc. Reaching Our Community Kids - South St. Lucie County Education Foundation, Inc. Treasure Coast Food Bank, Inc. North Springs Improvement District • Four years of service in the United States Air Force in computer operations, with a top secret (SCl/SBI) security clearance. - 20 - 16 1 Commitment to Quality Service Personnel Qualifications and Experience David S. McGuire, CPA, CITP (Continued) Director Continuing Professional Education • Mr. McGuire has attended numerous continuing professional education courses and seminars taught by nationally recognized sponsors in the accounting auditing and single audit compliance areas. He has attended courses over the last two years in those areas as follows: Not-for-Profit Auditing Financial Results and Compliance Requirements Update: Government Accounting Reporting and Auditing Annual Update for Accountants and Auditors - 21 - 16I 1 . Commitment to Quality Service Personnel Qualifications and Experience Matthew Gonano, CPA Director— 13 years total experience Education • University of North Florida, B.B.A. —Accounting • University of Alicante, Spain — International Business • Florida Atlantic University— Masters of Accounting Professional Affiliations/Community Service • American Institute of Certified Public Accountants • Florida Institute of Certified Public Accountants Professional Experience • Senior Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. • Performed audits of nonprofit and governmental organizations in accordance with Governmental Accounting Auditing Standards (GAAS) • Performed Single Audits of nonprofit organizations in accordance with OMB Circular A-133, Audits of State, Local Governments, and Non-Profit Organizations. Continuing Professional Education • Mr. Gonano has participated in numerous continuing professional education courses. - 22 - 16I1 Commitment to Quality Service Personnel Qualifications and Experience David F. Haughton, CPA Accounting and Audit Manager—33 years Education • Stetson University, B.B.A. —Accounting Registrations • Certified Public Accountant—State of Florida, State Board of Accountancy Professional Affiliations/Community Service • Member of the American and Florida Institutes of Certified Public Accountants • Former Member of Florida Institute of Certified Public Accountants Committee on State and Local Government • Affiliate Member Government Finance Officers Association (GFOA) for over 10 years • Affiliate Member Florida Government Finance Officers Association (FGFOA) for over 10 years • Technical Review— 1997 FICPA Course on State and Local Governments in Florida • Board of Directors — Kiwanis of Ft. Pierce, Treasurer — 1994-1999; Vice President — 1999- 2001 Professional Experience • Twenty-seven years public accounting experience with an emphasis on governmental and nonprofit organizations. • State Auditor General's Office — West Palm Beach, Staff Auditor, June 1985 to September 1985 • Accounting and Audit Manager of Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for audit and accounting services including governmental and not-for-profit audits. • Over 20 years of public accounting and governmental experience, specializing in governmental and nonprofit organizations with concentration in special districts, including Community Development Districts which provide services including water and sewer utilities. Governmental and non-profit entities served include the following: Counties: St. Lucie County Municipalities: City of Fort Pierce City of Stuart - 23 - 1611 . Commitment to Quality Service Personnel Qualifications and Experience David F. Haughton, CPA (Continued) Accounting and Audit Manager Professional Experience (Continued) Special Districts: Bluewaters Community Development District Country Club of Mount Dora Community Development District Fiddler's Creek Community Development District#1 and #2 Indigo Community Development District North Springs Improvement District Renaissance Commons Community Development District St. Lucie West Services District Stoneybrook Community Development District Summerville Community Development District Terracina Community Development District Thousand Oaks Community Development District Tree Island Estates Community Development District Valencia Acres Community Development District Non-Profits: The Dunbar Center, Inc. Hibiscus Children's Foundation, Inc. Hope Rural School, Inc. Maritime and Yachting Museum of Florida, Inc. Tykes and Teens, Inc. United Way of Martin County, Inc. Workforce Development Board of the Treasure Coast, Inc. • While with the Auditor General's Office he was on the staff for the state audits of the Martin County School District and Okeechobee County School District. • During 1997 he performed a technical review of the Florida Institute of Certified Public Accountants state CPE course on Audits of State and Local Governments in Florida. His comments were well received by the author and were utilized in future updates to the course. Continuing Professional Education • During the past several years, he has participated in numerous professional development training programs sponsored by the AICPA and FICPA, including state conferences on special districts and governmental auditing in Florida. He averages in excess of 100 hours bi-annually of advanced training which exceeds the 80 hours required in accordance with the continuing professional education requirements of the Florida State Board of accountancy and the AICPA Private Companies Practice Section. He has over 75 hours of governmental CPE credit within the past two years. - 24 - 161 1 -- Commitment to Quality Service Personnel Qualifications and Experience Paul Daly Staff Accountant— 11 years Education • Florida Atlantic University, B.S. —Accounting Professional Experience • Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Working to attain the requirements to take the Certified Public Accounting (CPA) exam. - 25 - 16 1 1 Commitment to Quality Service Personnel Qualifications and Experience Melissa Marlin, CPA Senior Staff Accountant— 9 years Education • Indian River State College, A.A. —Accounting • Florida Atlantic University, B.B.A. —Accounting Professional Experience • Staff accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Mrs. Marlin participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 26 - 16 1 1 Commitment to Quality Service Personnel Qualifications and Experience Bryan Snyder Staff Accountant—8 years Education • Florida Atlantic University, B.B.A. —Accounting Professional Experience • Accountant beginning his professional auditing career with Berger, Toombs, Elam, Gaines, & Frank. • Mr. Snyder is gaining experience auditing governmental & nonprofit entities. Continuing Professional Education • Mr. Snyder participates in numerous continuing education courses and plans on working to acquire his CPA certificate. • Mr. Snyder is currently studying to pass the CPA exam. - 27 - 16I1 • Commitment to Quality Service Personnel Qualifications and Experience Maritza Stonebraker, CPA Senior Accountant—7 years Education ♦ Indian River State College, B.S. —Accounting Professional Experience ♦ Staff Accountant beginning her professional auditing career with Berger, Toombs, Elam, Gaines, & Frank. Continuing Professional Education ♦ Mrs. Stonebraker participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 28 - Commitment to Quality Service Personnel Qualifications and Experience Jonathan Herman, CPA Senior Staff Accountant— 9 years Education • University of Central Florida, B.S. —Accounting • Florida Atlantic University, MACC Professional Experience • Accounting graduate with nine years experience with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Mr. Herman participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 29 - 16I1 - Commitment to Quality Service Personnel Qualifications and Experience Sean Stanton, CPA Staff Accountant—5 years Education • University of South Florida, B.S. —Accounting • Florida Atlantic University, M.B.A. —Accounting Professional Experience • Staff accountant with Berger, Toombs, Elam, Gaines, & Frank auditing governmental and non-profit entities. Continuing Professional Education • Mr. Stanton participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 30 - 16 1 1 R.. Commitment to Quality Service Personnel Qualifications and Experience Tifanee Terrell Staff Accountant— 3 years Education • Florida Atlantic University, M.A.C.C. —Accounting Professional Experience • Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Ms. Terrell participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. • Ms. Terrell is currently studying to pass the CPA exam. - 31 - 16I1 - Commitment to Quality Service Personnel Qualifications and Experience Dylan Dixon Staff Accountant— 1 year Education • Indian River State College, B.S. —Accounting Professional Experience • Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Mr. Dixon participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 32 - 16 1 1 ' Commitment to Quality Service Personnel Qualifications and Experience Brennen Moore Staff Accountant Education • Indian River State College, B.S. —Accounting Professional Experience • Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional Services to nonprofit and governmental entities. Continuing Professional Education • Mr. Moore participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 33 - 1 6 I 1 Commitment to Quality Service Personnel Qualifications and Experience Jordan Wood Staff Accountant— 1 year Education • Indian River State College, A.A. —Accounting Professional Experience • Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education • Ms. Wood is currently enrolled at Indian River State College to complete her bachelor's degree. • Ms. Wood participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. • Ms. Wood is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam. - 34 - 1 6 I 1 VP Commitment to Quality Service Personnel Qualifications and Experience Katie Gifford Staff Accountant Education ♦ Indian River State College, B.S. —Accounting Professional Experience ♦ Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education ♦ Ms. Gifford participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. - 35 - 16 1 I sal Commitment to Quality Service Personnel Qualifications and Experience Rayna Zicari Staff Accountant Education ♦ Stetson University, B.B.A. —Accounting Professional Experience ♦ Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities. Continuing Professional Education ♦ Ms. Zicari participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments. ♦ Ms. Zicari is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam. - 36 - Ilp6815 Dairy Road Zephyrhills,FL 33542 813.788.2155 BodinePerry corn Report on the Firm's System of Quality Control To the Partners of November 30,2022 ow Berger,Toombs,Elam,Gaines&Frank,CPAs,PL and the Peer Review Committee of the Florida Institute of Certified Public Accountants We have reviewed the system of quality control for the accounting and auditing practice of Berger, Toombs,Elam,Gaines&Frank,CPAs,PL(the firm),in effect for the year ended May 31,2022. Our peer review was conducted in accordance with the Standards for Performing and Reporting on Peer Reviews established by the Peer Review Board of the American Institute of Certified Public Accountants(Standards). A summary of the nature,objectives,scope, limitations of, and the procedures performed in a System Review as described in the Standards may be found at aicpa.org/prsummary.The summary also includes an explanation of how engagements identified as not performed or reported in conformity with applicable professional standards, if any, are evaluated by a peer reviewer to determine a peer review rating. Firm's Responsibility The firm is responsible for designing a system of quality control and complying with it to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects.The firm is also responsible for evaluating actions to promptly remediate engagements deemed as not performed or reported in conformity with professional standards,when appropriate,and for remediating weaknesses in its system of quality control,if any. Peer Reviewer's Responsibility Our responsibility is to express an opinion on the design of the system of quality control,and the firm's compliance therewith based on our review. Required Selections and Considerations Engagements selected for review included engagements performed under Government Auditing Standards,including a compliance audit under the Single Audit Act. As a part of our peer review,we considered reviews by regulatory entities as communicated by the firm,if applicable,in determining the nature and extent of our procedures. Opinion In our opinion, the system of quality control for the accounting and auditing practice of Berger,Toombs,Elam,Gaines&Frank,CPAs,PL,in effect for the year ended May 31,2022,has been suitably designed and complied with to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects. Firms can receive a rating of pass,pass with deficiency(ies),or fail Berger,Toombs, Elam,Gaines&Frank,CPAs,PLC,has received a peer review rating of pass. Fraliw•C. P- Bodine Petty (BERGER_REPORT22) 0 BodinePerry GnME Pubic AKNunhSMl A Ad,ilpl - 37 - NAPLES HERITAGE 1 6 I 1 COMMUNITY DEVELOPMENT DISTRICT REQUEST FOR PROPOSALS District Auditing Services for Fiscal Years 2023, 2024 and 2025 with an Option for Two (2) Additional Annual Renewals Collier County, Florida INSTRUCTIONS TO PROPOSERS SECTION 1. DUE DATE. Electronic proposals must be received no later than 11:00 a.m. on Friday, October 27, 2023 by the Offices of the District Manager, Inframark, Attention: Narisa Desouza at Narisa.Desouza(c�inframark.com SECTION 2. FAMILIARITY WITH THE LAW. By submitting a proposal, the Proposer is assumed to be familiar with all federal, state, and local laws, ordinances, rules and regulations that in any manner affect the work. Ignorance on the part of the Proposer will in no way relieve it from responsibility to perform the work covered by the proposal in compliance with all such laws, ordinances and regulations. SECTION 3. QUALIFICATIONS OF PROPOSER. The contract, if awarded, will only be awarded to a responsible Proposer who is qualified by experience and licensing to do the work specified herein. The Proposer shall submit with its proposal satisfactory evidence of experience in similar work and show that it is fully prepared to complete the work to the satisfaction of the District. SECTION 4. SUBMISSION OF ONLY ONE PROPOSAL. Proposers shall be disqualified, and their proposals rejected if the District has reason to believe that collusion may exist among the Proposers, the Proposer has defaulted on any previous contract or is in arrears on any previous or existing contract, or for failure to demonstrate proper licensure and business organization. SECTION 5. SUBMISSION OF PROPOSAL. Submit an electronic version of the Proposal Documents, and other requested attachments at the time and to the email address indicated herein. The email should be titled "Auditing Services — Naples Heritage Community Development District" on the subject line. SECTION 6. MODIFICATION AND WITHDRAWAL. Proposals may be modified or withdrawn by an appropriate document duly executed and delivered to the place where proposals are to be submitted at any time prior to the time and date the proposals are due. No proposal may be withdrawn after opening for a period of ninety (90) days. SECTION 7. PROPOSAL DOCUMENTS. The proposal documents shall consist of the notice announcing the request for proposals, these instructions, the Evaluation Criteria Sheet and a proposal with all required documentation pursuant to Section 12 of these instructions (the "Proposal Documents"). SECTION 8. PROPOSAL. In making its proposal, each Proposer represents that it has read and understands the Proposal Documents and that the proposal is made in accordance therewith. - 38 - t6l SECTION 9. BASIS OF AWARD/RIGHT TO REJECT. The District reserves the right to reject any and all proposals, make modifications to the work, and waive any informalities or irregularities in proposals as it is deemed in the best interests of the District. SECTION 10. CONTRACT AWARD. Within fourteen (14) days of receipt of the Notice of Award from the District, the Proposer shall enter into and execute a Contract (engagement letter) with the District. SECTION 11. LIMITATION OF LIABILITY. Nothing herein shall be construed as or constitute a waiver of District's limited waiver of liability contained in Section 768.28, Florida Statutes, or any other Statute or law. SECTION 12. MISCELLANEOUS. All proposals shall include the following information in addition to any other requirements of the proposal documents. A. List position or title of all personnel to perform work on the District audit. Include resumes for each person listed; list years of experience in present position for each party listed and years of related experience. B. Describe proposed staffing levels, including resumes with applicable certifications. C. Three references from projects of similar size and scope. The Proposer should include information relating to the work it conducted for each reference as well as a name, address and phone number of a contact person. D. The lump sum cost of the provision of the services under the proposal. E. Must perform the audit field work at the office where the District records are maintained. SECTION 13. PROTESTS. Any protest regarding the Proposal Documents, must be filed in writing, at the Offices of the District Manager, within seventy-two (72) hours after the receipt of the proposed contract documents. The formal protest setting forth with particularity the facts and law upon which the protest is based shall be filed within seven (7) calendar days after the initial notice of protest was filed. Failure to timely file a notice of protest or failure to timely file a formal written protest shall constitute a waiver of any right to object or protest with respect to aforesaid contract award. SECTION 14. EVALUATION OF PROPOSALS. The criteria to be used in the evaluation of proposals are presented in the Evaluation Criteria Sheet, contained within the Proposal Documents. - 39 - 1 6 I 1 AUDITOR SELECTION EVALUATION CRITERIA 1. Ability of Personnel. (20 Points) (E.g., geographic locations of the firm's headquarters or permanent office in relation to the project; capabilities and experience of key personnel; present ability to manage this project; evaluation of existing workload; proposed staffing levels, etc.) 2. Proposer's Experience. (20 Points) (E.g. past record and experience of the Proposer in similar projects; volume of work previously performed by the firm; past performance for other Community Development Districts in other contracts; character, integrity, reputation, of respondent, etc.) 3. Understanding of Scope of Work. (20 Points) Extent to which the proposal demonstrates an understanding of the District's needs for the services requested. 4. Ability to Furnish the Required Services. (20 Points) Extent to which the proposal demonstrates the adequacy of Proposer's financial resources and stability as a business entity necessary to complete the services required (E.g., the existence of any natural disaster plan for business operations). 5. Price. (20 Points) Points will be awarded based upon the price bid for the rendering of the services and reasonableness of the price to the services. - 40 - 16I 1 • Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS Proposal to Provide Financial Auditing Services: NAPLES HERITAGE Community Development District Proposal Due: October 27, 2023 11:00AM Submitted to: Naples Heritage Community Development District Submitted by: Antonio J. Grau, Partner Grau &Associates 951 Yamato Road, Suite 280 Boca Raton, Florida 33431 Tel (561) 994-9299 (800) 229-4728 Fax (561) 994-5823 tgrau( graucpa.com www.graucpa.com �rau & Assoc 16 I 1 j(r CERTIFIED PUBLIC ACCOUNTANTS Table of Contents Page EXECUTIVE SUMMARY/TRANSMITTAL LETTER 1 FIRM QUALIFICATIONS 3 FIRM &STAFF EXPERIENCE 6 REFERENCES 11 SPECIFIC AUDIT APPROACH 13 COST OF SERVICES 17 SUPPLEMENTAL INFORMATION 19 If) Grau & Associates 16 1 1 "— CERTIFIED PUBLIC ACCOUNTANTS October 27,2023 Naples Heritage Community Development District Re: Request for Proposal for Professional Auditing Services for the fiscal year ended September 30, 2023-2025,with an option for two additional annual renewals. Grau & Associates (Grau) welcomes the opportunity to respond to the Naples Heritage Community Development District's (the "District") Request for Proposal (RFP), and we look forward to working with you on your audit. We are an energetic and robust team of knowledgeable professionals and are a recognized leader of providing services to Community Development Districts.As one of Florida's few firms to primarily focus on government,we are especially equipped to provide you an effective and efficient audit. Special district audits are at the core of our practice:we have a total of 360 clients,329 or 91%of which are special districts.We know the specifics of the professional services and work products needed to meet your RFP requirements like no other firm.With this level of experience,we are able to increase efficiency, to provide immediate and continued savings,and to minimize disturbances to client operations. Why Grau&Associates: Knowledgeable Audit Team Grau is proud that the personnel we assign to your audit are some of the most seasoned auditors in the field. Our staff performs governmental engagements year-round.When not working on your audit,your team is refining their audit approach for next year's audit. Our engagement partners have decades of experience and take a hands-on approach to our assignments,which all ensures a smoother process for you. Servicing your Individual Needs Our clients enjoy personalized service designed to satisfy their unique needs and requirements. Throughout the process of our audit,you will find that we welcome working with you to resolve any issues as swiftly and easily as possible. In addition, due to Grau's very low turnover rate for our industry,you also won't have to worry about retraining your auditors from year to year. Developing Relationships We strive to foster mutually beneficial relationships with our clients. We stay in touch year round, updating,collaborating and assisting you in implementing new legislation,rules and standards that affect your organization.We are also available as a sounding board and assist with technical questions. Maintaining an Impeccable Reputation We have never been involved in any litigation, proceeding or received any disciplinary action. Additionally,we have never been charged with,or convicted of,a public entity crime of any sort.We are financially stable and have never been involved in any bankruptcy proceedings. Complying With Standards Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards,issued by the Comptroller General of the United States,and the Rules of the Auditor General of the State of Florida, and any other applicable federal, state and local regulations. We will deliver our reports in accordance with your requirements. This proposal is a firm and irrevocable offer for 90 days.We certify this proposal is made without previous understanding,agreement or connection either with any previous firms or corporations offering a proposal for the same items. We also certify our proposal is in all respects fair, without outside control, collusion, fraud, or otherwise illegal action,and was prepared in good faith. Only the person(s), company or parties interested in the project as principals are named in the proposal.Grau has no existing or potential conflicts and anticipates no conflicts during the engagement.Our Federal I.D.number is 20-2067322. We would be happy to answer any questions or to provide any additional information. We are genuinely excited about the prospect of serving you and establishing a long-term relationship. Please do not hesitate to call or email either of our Partners,Antonio J. Grau, CPA(tgrau@igraucpa.com) or David Caplivski, CPA (dcaplivskiPgraucpa.com) at 561.994.9299. We thank you for considering our firm's qualifications and experience. Very truly yours, Grau&Associates Antonio J.Grau 2 16 I 1 : Firm Qualifications 0 Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS ..„) 3 Grau's Focus and Experience 16I1 Our Team O • S 9/132005 GM ill GMAu are CPAS Year founded 3 10 2 41, Partners Professional Administrative Staff Professionals Services Provided Community Development L ' 297 _ Districts Served . - _11../ .,,,V:r. Financial Compliance Auditing Auditing Properly registered ,` and licensed professional Accounting Attestation corporation by the , state of FLORIDA - ` \\ .,, Arbitrage Management Services Consulting We are proud Members of \''-' -- the American Institute of ---, Certified Public Accountants the Florida Institute of Certified Public y 9 Accountants 16C Professional Go, Groups �J� External quality review program:consistently receives a pass Internal:ongoing AICPA I FICPA I GFOA I FASD I FGFOA See next page for monitoring to maintain report and certificate quality 0 Grau&Associates 4 .I.N II41LIl 1'11tl411;A(:l:(III.YIA�IS 16 1 1 • $r* Peer Review CPA A I C PA Program Florida Institute of Cartified Puollc Accountarts FICPA Peer Review Program AICPA Peer Review Program Administered in Florida Administered in Florida by The Florida Institute of CPAs by the Florida Institute of CPAs March 17,2023 Antonio Grau Grau&Associates 951 Yamato Rd Ste 280 Boca Raton, FL 33431-1809 Dear Antonio Grau: It is my pleasure to notify you that on March 16, 2023, the Florida Peer Review Committee accepted the report on the most recent System Review of your firm.The due date for your next review is December 31, 2025. This is the date by which all review documents should be completed and submitted to the administering entity. As you know, the report had a peer review rating of pass. The Committee asked me to convey its congratulations to the firm. Thank you for your cooperation. Sincerely, R(OA P cc i eetia,,ew (2*, ,: cr Peer Review Team FICPA Peer Review Committee 850.224.2727,x5957 cc: Daniel Hevia, Racquel McIntosh Firm Number: 900004390114 Review Number. 594791 119 5 Monroe Street,Suite 121 I Tallahassee,FL 323011 850.224.2727,in Florida I www.ficpa.org Grau&Assodates 5 I.N 11411,D PUBLIC ACCOLIN IAN IS 16I1 __ Firm & Staff Experience 0 Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS 6 16I1 GRAU AND ASSOCIATES COMMUNITY Profile Briefs: DEVELOPMENT DISTRICT EXPERIENCE Antonio J GRAU, CPA BY MANAGEMENT COMPANY (Partner) Years Performing Audits:35+ CPE(last 2 years): Government PFM 12 Accounting,Auditing: 24 hours;Accounting, Auditing and Other: GMS 56 hours 78 Professional INFRAMARK Memberships:AICPA, 38 FICPA, FGFOA, GFOA David Caplivski, CPA (Partner) MERITUS Years Performing SOS RIZZETTA 23 60 47 Audits: 13+ CPE(last 2 years): Government Accounting,Auditing: 24 hours;Accounting, Auditing and Other: 64 hours Professional Memberships:AICPA, FICPA, FGFOA, FASD "Here at Grau &Associates,staying up to date with the current technological landscape is one of our top priorities. Not only does it provide a more positive experience for our clients,but it also allows us to perform a more effective and efficient audit. With the every changing technology available and utilized by our clients, we are constantly innovating our audit process." - Tony Grau "Quality audits and exceptional client service are at the heart of every decision we make. Our clients trust us to deliver a quality audit,adhering to high standards and assisting them with improvements for their organization." - David Caplivski Grau&Associates CLNI II ILO PUBLIC,\CCOUNI,.rS 7 YOUR ENGAGEMENT TEAM 16 I Grau's client-specific engagement team is meticulously organized in order to meet the unique needs of each client. Constant communication within our solution team allows for continuity of staff and audit team. Grau contracts with an An advisory consultant will outside group of IT be available as a sounding management consultants to board to advise in those assist with matters areas where problems are including,but not limited to; encountered. network and database security,internet security and vulnerability testing. G Audit Staff The assigned personnel will The Engagement Partner will work closely with the partner participate extensively during and the District to ensure that the various stages of the the financial statements and all engagement and has direct other reports are prepared in responsibility for engagement accordance with professional policy,direction,supervision, standards and firm policy. quality control,security, Responsibilities will include confidentiality of information planning the audit; of the engagement and communicating with the client communication with client and the partners the progress personnel.The engagement of the audit;and partner will also be involved determining that financial directing the development of statements and all reports the overall audit approach issued by the firm are accurate, and plan;performing an complete and are prepared in overriding review of work accordance with professional papers and ascertain client standards and firm policy. satisfaction. Grau&Associates 8 Antonio `Tony ` J. Gran, CPA 16 � Partner Contact: tgrau@graucpa.com I (561) 939-6672 _1 Experience For over 30 years, Tony has been providing audit,accounting and consulting services to the firm's governmental,non-profit, .► employee benefit,overhead and arbitrage clients.He provides l ; guidance to clients regarding complex accounting issues, internal controls and operations. As a member of the Government Finance Officers Association Special Review Committee, Tony participated in the review process for awarding the GFOA Certificate of Achievement in Pia Financial Reporting.Tony was also the review team leader for the Quality Review of the Office of Management Audits of ,. , School Board of Miami-Dade County.Tony received the AICPA advanced level certificate for governmental single audits. Education University of South Florida (1983) Bachelor of Arts Business Administration Clients Served (partial list) (>300) Various Special Districts, including: Bayside Improvement Community Development District St.Lucie West Services District Dunes Community Development District Ave Maria Stewardship Community District Fishhawk Community Development District(I,II,IV) Rivers Edge II Community Development District Grand Bay at Doral Community Development District Bartram Park Community Development District Heritage Harbor North Community Development District Bay Laurel Center Community Development District Boca Raton Airport Authority Greater Naples Fire Rescue District Key Largo Wastewater Treatment District Lake Worth Drainage District South Indian River Water Control Professional Associations/Memberships American Institute of Certified Public Accountants Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Government Finance Officers Association Member City of Boca Raton Financial Advisory Board Member Professional Education (over the last two years) Course Hours Government Accounting and Auditing 32 Accounting,Auditing and Other 41 Total Hours 73 (includes of 4 hours of Ethics CPE) Grau&Associates 9 David Caplivski, CPA/CITP, Partner Contact: dcaplivski@ graucpa.com/561-939-6676 _ - — —- - Experience Grau&Associates Partner 2021-Present Grau&Associates Manager 2014-2020 1" Grau&Associates Senior Auditor 2013-2014 A 1 '° Grau&Associates Staff Auditor 2010-2013 fEducation . 1114 Florida Atlantic University(2009) Master of Accounting .111 Nova Southeastern University(2002) Bachelor of Science Environmental Studies ...I I Certifications and Certificates Certified Public Accountant(2011) AICPA Certified Information Technology Professional(2018) AICPA Accreditation COSO Internal Control Certificate(2022) Clients Served(partial list) (>300)Various Special Districts Hispanic Human Resource Council Aid to Victims of Domestic Abuse Loxahatchee Groves Water Control District Boca Raton Airport Authority Old Plantation Water Control District Broward Education Foundation Pinetree Water Control District CareerSource Brevard San Carlos Park Fire&Rescue Retirement Plan CareerSource Central Florida 403 (b) Plan South Indian River Water Control District City of Lauderhill GERS South Trail Fire Protection&Rescue District City of Parkland Police Pension Fund Town of Haverhill City of Sunrise GERS Town of Hypoluxo Coquina Water Control District Town of Hillsboro Beach Central County Water Control District Town of Lantana City of Miami(program specific audits) Town of Lauderdale By-The-Sea Volunteer Fire Pension City of West Park Town of Pembroke Park Coquina Water Control District Village of Wellington East Central Regional Wastewater Treatment Fad. Village of Golf East Naples Fire Control&Rescue District Professional Education (over the last two years) Course Hours Government Accounting and Auditing 24 Accounting,Auditing and Other �4 Total Hours 88(includes 4 hours of Ethics CPE) Professional Associations Member,American Institute of Certified Public Accountants Member,Florida Institute of Certified Public Accountants Member,Florida Government Finance Officers Association Member,Florida Association of Special Districts Grau&Associates 10 16I References Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS 11 16I1 We have included three references of government engagements that require compliance with laws and regulations, follow fund accounting, and have financing requirements, which we believe are similar to the District. Dunes Community Development District Scope of Work Financial audit Engagement Partner Antonio J. Grau Dates Annually since 1998 Client Contact Darrin Mossing, Finance Director 475 W. Town Place, Suite 114 St.Augustine, Florida 32092 904-940-5850 Two Creeks Community Development District Scope of Work Financial audit Engagement Partner Antonio J. Grau Dates Annually since 2007 Client Contact William Rizzetta, President 3434 Colwell Avenue, Suite 200 Tampa, Florida 33614 813-933-5571 Journey's End Community Development District Scope of Work Financial audit Engagement Partner Antonio J. Grau Dates Annually since 2004 Client Contact Todd Wodraska,Vice President 2501 A Burns Road Palm Beach Gardens, Florida 33410 561-630-4922 0 Grau&Associates 12 a:x ixmn ruxi.ic nu;ourrnnrs 16 1 1 Specific Audit Approach Grau &Putti;cssociatsCERTIFIED ACCOUNTANTS 13 AUDIT APPROACH 16 ! . Grau's Understanding of Work Product/Scope of Services: We recognize the District is an important entity and we are confident our firm is eminently qualified to meet the challenges of this engagement and deliver quality audit services. You would be a valued client of our firm and we pledge to commit all firm resources to provide the level and quality of services(as described below) which not only meet the requirements set forth in the RFP but will exceed those expectations.Grau&Associates fully understands the scope of professional services and work products requested. Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards,issued by the Comptroller General of the United States,and the Rules of the Auditor General of the State of Florida and any other applicable Federal,State of Local regulations.We will deliver our reports in accordance with your requirements. Proposed segmentation of the engagement Our approach to the audit engagement is a risk-based approach which integrates the best of traditional auditing techniques and a total systems concept to enable the team to conduct a more efficient and effective audit.The audit will be conducted in three phases,which are as follows: PHASE I: PHASE II: PHASE III: f'relilninunv Execution of the Completion and Mannino Audit Plan Delivery Phase I - Preliminary Planning A thorough understanding of your organization, service objectives and operating environment is essential for the development of an audit plan and for an efficient, cost-effective audit. During this phase, we will meet with appropriate personnel to obtain and document our understanding of your operations and service objectives and, at the same time, give you the opportunity to express your expectations with respect to the services that we will provide. Our work effort will be coordinated so that there will be minimal disruption to your staff. During this phase we will perform the following activities: » Review the regulatory, statutory and compliance requirements.This will include a review of applicable federal and state statutes, resolutions, bond documents, contracts, and other agreements; » Read minutes of meetings; » Review major sources of information such as budgets, organization charts, procedures, manuals,financial systems,and management information systems; » Obtain an understanding of fraud detection and prevention systems; » Obtain and document an understanding of internal control, including knowledge about the design of relevant policies, procedures, and records, and whether they have been placed in operation; » Assess risk and determine what controls we are to rely upon and what tests we are going to perform and perform test of controls; » Develop audit programs to incorporate the consideration of financial statement assertions, specific audit objectives,and appropriate audit procedures to achieve the specified objectives; » Discuss and resolve any accounting, auditing and reporting matters which have been identified. Grau&Associates 14 L L Nll!1 Lll PUBLIC ACCOlI N'IAN'f 5 Phase II-Execution of Audit Plan 16 I I The audit team will complete a major portion of transaction testing and audit requirements during this phase. The procedures performed during this period will enable us to identify any matter that may impact the completion of our work or require the attention of management. Tasks to be performed in Phase II include,but are not limited to the following: » Apply analytical procedures to further assist in the determination of the nature, timing, and extent of auditing procedures used to obtain evidential matter for specific account balances or classes of transactions; » Perform tests of account balances and transactions through sampling,vouching,confirmation and other analytical procedures;and » Perform tests of compliance. Phase III- Completion and Delivery In this phase of the audit, we will complete the tasks related to year-end balances and financial reporting. All reports will be reviewed with management before issuance, and the partners will be available to meet and discuss our report and address any questions. Tasks to be performed in Phase III include,but are not limited to the following: » Perform final analytical procedures; » Review information and make inquiries for subsequent events;and » Meeting with Management to discuss preparation of draft financial statements and any potential findings or recommendations. You should expect more from your accounting firm than a signature in your annual financial report. Our concept of truly responsive professional service emphasizes taking an active interest in the issues of concern to our clients and serving as an effective resource in dealing with those issues.In following this approach,we not only audit financial information with hindsight but also consider the foresight you apply in managing operations. Application of this approach in developing our management letter is particularly important given the increasing financial pressures and public scrutiny facing today's public officials. We will prepare the management letter at the completion of our final procedures. In preparing this management letter,we will initially review any draft comments or recommendations with management.In addition,we will take necessary steps to ensure that matters are communicated to those charged with governance. In addition to communicating any recommendations,we will also communicate the following,if any: » Significant audit adjustments; » Significant deficiencies or material weaknesses; » Disagreements with management;and » Difficulties encountered in performing the audit. Grau&Associates LO11, 15 1,1,Ri I(ILII 1'IIHLI(.A(: 41.11 Our findings will contain a statement of condition describing the situation and the area that needs 1 6 ' 1. strengthening, what should be corrected and why. Our suggestions will withstand the basic tests of corrective action: Is the recommendation cost effective? Is the recommendation the simplest to effectuate in order to correct a problem? Is the recommendation at the heart of the problem and not just correcting a symptomatic matter? Is the corrective action taking into account why the deficiency occurred? To assure full agreement with facts and circumstances, we will fully discuss each item with Management prior to the final exit conference. This policy means there will be no "surprises" in the management letter and fosters a professional,cooperative atmosphere. Communications We emphasize a continuous,year-round dialogue between the District and our management team.We regularly communicate through personal telephone calls and electronic mail throughout the audit and on a regular basis. Our clients have the ability to transmit information to us on our secure client portal with the ability to assign different staff with separate log on and viewing capability. This further facilitates efficiency as all assigned users receive electronic mail notification as soon as new information has been posted into the portal. Grau&Associates CL 16 III'I LIEII PUBLIC ACCOLIN IAN"LS 16 1 1 Cost of Services Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS 17 Our proposed all-inclusive fees for the financial audit for the fiscal years ended September 30, 16 I I 2023-2027 are as follows: Year Ended September 30, Fee 2023 $3,100 2024 $3,200 2025 $3,300 2026 $3,400 2027 $3,500 TOTAL(2023-2027) $16,500 The above fees are based on the assumption that the District maintains its current level of operations.Should conditions change or Bonds are issued the fees would be adjusted accordingly upon approval from all parties concerned. Grau&Associates 18 161 1 -- Supplemental Information Grau & Associates CERTIFIED PUBLIC ACCOUNTANTS 19 esi PARTIAL LIST OF CLIENTS 16 1 SPECIAL DL711<LV 117 E a' a' w C = 2t c et _ ; >- C It i to y D U Boca Raton Airport Authority ✓ ✓ ✓ 9/30 Captain's Key Dependent District ✓ ✓ 9/30 Central Broward Water Control District ✓ ✓ 9/30 Collier Mosquito Control District ✓ ✓ 9/30 Coquina Water Control District ✓ ✓ 9/30 East Central Regional Wastewater Treatment Facility ✓ ✓ 9/30 Florida Green Finance Authority ✓ 9/30 Greater Boca Raton Beach and Park District ✓ ✓ 9/30 Greater Naples Fire Control and Rescue District ✓ ✓ ✓ 9/30 Green Corridor P.A.C.E. District ✓ V 9/30 Hobe-St. Lucie Conservancy District ✓ ✓ 9/30 Indian River Mosquito Control District ✓ 9/30 Indian Trail Improvement District ✓ ✓ 9/30 Key Largo Wastewater Treatment District ✓ ✓ ✓ V 9/30 Lake Padgett Estates Independent District ✓ ✓ 9/30 Lake Worth Drainage District ✓ ✓ 9/30 Lealman Special Fire Control District ✓ V 9/30 Loxahatchee Groves Water Control District ✓ 9/30 Old Plantation Control District ✓ ✓ 9/30 Pal Mar Water Control District ✓ ✓ 9/30 Pinellas Park Water Management District ✓ ✓ 9/30 Pine Tree Water Control District(Broward) ✓ ✓ 9/30 Pinetree Water Control District(Wellington) ✓ 9/30 Ranger Drainage District ✓ ✓ ✓ 9/30 Renaissance Improvement District ✓ ✓ 9/30 San Carlos Park Fire Protection and Rescue Service District ✓ ✓ 9/30 Sanibel Fire and Rescue District ✓ ✓ 9/30 South Central Regional Wastewater Treatment and Disposal Board ✓ V 9/30 South-Dade Venture Development District ✓ ✓ 9/30 South Indian River Water Control District ✓ ✓ ✓ 9/30 South Trail Fire Protection&Rescue District ✓ ✓ 9/30 Spring Lake Improvement District ✓ ✓ 9/30 St. Lucie West Services District ✓ ✓ ✓ 9/30 Sunshine Water Control District ✓ V 9/30 West Villages Improvement District ✓ ✓ 9/30 Various Community Development Districts(297) ✓ ✓ 9/30 TOTAL 333 5 3 328 0 Grau&Associates 20 V) lA N b 0 0 0 0 0 0 r 0 0 0 0 0 0 a) C N C) V U) N co-• 6169 w 696906969 � 16 a` a w o R M V O V, _LL LL LL I- LL LL LL LL LL 0 F V) U) C ` U C ° _Q I- N U Q U LL w raw fn °-U o.a U au) 0 a a) o _ c --- d r v"O N M m O o) C IT 3 C N .0 7 N @ -p "O Q .C �, N -O O 3 0_ (0 m co 0, d' C O C C .E co c(b)a) '3 N _O r II) C y up a M@@ 0.. @ N _ 2 -5 N N ° a) 0 , O) ° O C E m E N > .0 .N _ ` L O O N N N 7 N w LL 2 >O E Q' O @ 2 5 o p 0) U CO O. O '7 OJ TA -C 'N o a• co a ° N 17; m O N O N LL Q 0_ U) O N -C„ al ° @ O T.) 0 a@ O a) co ❑ (U C a ++ C -° U U @O y ON NL � w N Ua O .cN O , C C o o O ifl GO 'p E N N m O > a L C@ 5 o @ N C 0 , co@ 2 E o N NO O) -O O ma 6/ 0_ C d N O 'O O a U N d C `a C C +- 'O C) s U N CO ` ui W .- I- a) @w C1 � C a CD a) � c Q C N7 O a) tN @ @ U C_ YC rCEy@ p r p N -O U U) NC LL T N w O C -4 `6 Q 3 E O L O C U Q N U H s LL ON0 . ff ° N OW a) N . >. -o (cis, o >No Nda" C U 7 N T7 00 C E r c0 d a) ° J a "a 'O OO 5 O O 0., p p S• E c (n NONm . E. yp > � O y "O@a)L. x C O -0 p C .2 w co t O r NyyWp LL N OG O -@ N M @ U) >. @ > Es a Lo > OCa„ ° N O_ d N O@ >7 -0 � a "O -0 N p `O C y _ O • m 2a > C ry L >,r - a) O O C a G) U) °N O 0 u) U N O C N@ D U N (a; -5 O N a > > 0 N C N 'O C a) lv Y > a) O C - E w Q U W ❑ 0. ❑ a) C _ a U) @ .0 .0 13 O a) O N a 7 N C C N O p , >O E@ O d m ° ° a a Ema -CG ULLaN / E • OC ECC@ON U O N O a C NV • ' RI . a, .c 6J3 .- N 2 o m 0. O U a) O O ai O).N O N a C ( y a 0 C o m N ° C m@ 0 A^N @ d O w N @ ' N N N O @ co .0 v N o a N O) d Q ▪ (• @j ❑- O N '5 C N u) U)- N O Q j >. N 0_ E .E M a) O U @ >, Uct,m C a) U LL O >. N N. o u) @ (M L a Y (6 C N LL a) a) oa) E 0,5 N O 0o N Z 1- 2 Q co it co Eco a) ii w Z .— 16I1R I M C O Co. 0 U. a m cr c m ct m U C LL N N O ++ ✓ a �L ti • N N N Q >-. ✓ L.L V • W• N ° i E O ° a Q. N C O IL • N • N a' Q z, 2 d U C ° 0 E x C -0 •° i o Q mo o O c y a ca N L• wca d E om Z o a 4 Co m LL ob N y n- N m 4 l0 pC m U a_ m E y 2 0 o T w a C o LL o n 0 o m m N Co <0 Y1 E O Z, Naples Heritage Community Development District 5 161 1 FICPA Peer Review A I C PA Program Florida Instil to ut Cerified PUDlic Accountarts FICPA Peer Review Program AICPA Peer Review Program Administered in Florida Administered in Florida by The Florida Institute of CPAs by the Florida Institute of CPAs March 17,2023 Antonio Grau Grau&Associates 951 Yamato Rd Ste 280 Boca Raton, FL 33431-1809 Dear Antonio Grau: It is my pleasure to notify you that on March 16, 2023,the Florida Peer Review Committee accepted the report on the most recent System Review of your firm.The due date for your next review is December 31, 2025. This is the date by which all review documents should be completed and submitted to the administering entity. As you know, the report had a peer review rating of pass. The Committee asked me to convey its congratulations to the firm. Thank you for your cooperation. Sincerely, FrOP 1 Pee a tw �o}sr►s•: ct Peer Review Team FICPA Peer Review Committee 850.224.2727,x5957 cc: Daniel Hevia, Racquel McIntosh Firm Number. 900004390114 Review Number. 594791 119 S Monroe Street,Suite 121 I Tallahassee,FL 323011 850.224.2727,in Florida I www.ficpa.org ADDITIONAL SERVICES 16 I 1 CONSULTING/MANAGEMENT ADVISORY SERVICES Grau & Associates also provide a broad range of other management consulting services. Our expertise has been consistently utilized by Governmental and Non-Profit entities throughout Florida. Examples of engagements performed are as follows: • Accounting systems • Fixed asset records • Development of budgets • Cost reimbursement • Organizational structures • Indirect cost allocation • Financing alternatives • Grant administration and compliance • IT Auditing ARBITRAGE The federal government has imposed complex rules to restrict the use Current of tax-exempt financing. Their principal purpose is to eliminate any 73 Arbitrage significant arbitrage incentives in a tax-exempt issue. We have Calculations determined the applicability of these requirements and performed the rebate calculations for more than 150 bond issues, including both fixed and variable rate bonds. We look forward to providing Naples Heritage Community Development District with our resources and experience to accomplish not only those minimum requirements set forth in your Request for Proposal, but to exceed those expectations! For even more information on Grau &Associates please visit us on www.graucpa.com. Grau&Associates (�I.R.Il il.li'IINI If:AI 1:(11IN 1:1 "I\ 21 951 Yamato Road • Suite 280 Boca Raton, Florida 33431 1 6 I 1 .n Grau & Associates (561) 994-9299 • (800)299-4728 Fax(561) 994-5823 CERTIFIED PUBLIC ACCOUNTANTS www.graucpa.com November 29, 2023 To Board of Supervisors Naples Heritage Community Development District 210 N. University Drive, Suite 702 Coral Springs, FL 33071 We are pleased to confirm our understanding of the services we are to provide Naples Heritage Community Development District, Collier County, Florida ("the District") for the fiscal years ended September 30, 2023, 2024 and 2025, with an option for two additional annual renewals.We will audit the financial statements of the governmental activities and each major fund, including the related notes to the financial statements, which collectively comprise the basic financial statements of Naples Heritage Community Development District as of and for the fiscal years ended September 30, 2023, 2024 and 2025, with an option for two additional annual renewals. In addition, we will examine the District's compliance with the requirements of Section 218.415 Florida Statutes. Accounting principles generally accepted in the United States of America provide for certain required supplementary information (RSI), such as management's discussion and analysis (MD&A), to supplement the District's basic financial statements. Such information, although not a part of the basic financial statements, is required by the 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.As part of our engagement,we will apply certain limited procedures to the District's RSI in accordance with auditing standards generally accepted in the United States of America. These limited procedures will consist of inquiries 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 will 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. The following RSI is required by generally accepted accounting principles and will be subjected to certain limited procedures, but will not be audited: 1) Management's Discussion and Analysis 2) Budgetary comparison schedule The following other information accompanying the financial statements will not be subjected to the auditing procedures applied in our audit of the financial statements,and our auditor's report will not provide an opinion or any assurance on that information: 1) Compliance with FL Statute 218.39(3)(c) Audit Objectives The objective of our audit is the expression of opinions as to whether your financial statements are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles and to report on the fairness of the supplementary information referred to in the second paragraph when considered in relation to the financial statements as a whole. Our audit will be conducted in accordance with auditing standards generally accepted in the United States of America and the standards for financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and will include tests of the accounting records of the District and other procedures we consider necessary to enable us to express such opinions.We will issue a written report upon completion of our audit of the District's financial statements.We cannot provide assurance that an unmodified opinion will be expressed. Circumstances may arise in which it is necessary for us to modify our opinion or add emphasis-of-matter or other-matter paragraphs. If our opinion on the financial statements is other than unmodified, we will discuss the reasons with you in advance. If,for any reason,we are unable to complete the audit or are unable to form or have not formed an opinion,we may decline to express an opinion or issue a report, or may withdraw from this engagement. We will also provide a report (that does not include an opinion) on internal control related to the financial statements and compliance with the provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a material effect on the financial statements as required by Government Auditing Standards.The report on internal control and on compliance and other matters will include a paragraph that states (1) that the purpose of the report is solely to describe the scope of testing of internal control and compliance, and the results of that testing, and not to provide an opinion on the effectiveness of the District's internal control on compliance, and (2)that the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the District's internal control and compliance. The paragraph will also state that the report is not suitable for any other purpose. If during our audit we become aware that the District is subject to an audit requirement that is not encompassed in the terms of this engagement, we will communicate to management and those charged with governance that an audit in accordance with U.S. generally accepted auditing standards and the standards for financial audits contained in Government Auditing Standards may not satisfy the relevant legal, regulatory, or contractual requirements. Naples Heritage Community Development District 1 6 ' 12 ' Examination Objective The objective of our examination is the expression of an opinion as to whether the District is in compliance with Florida Statute 218.415 in accordance with Rule 10.556(10) of the Auditor General of the State of Florida. Our examination will be conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and will include tests of your records and other procedures we consider necessary to enable us to express such an opinion. We will issue a written report upon completion of our examination of the District's compliance.The report will include a statement that the report is intended solely for the information and use of management,those charged with governance, and the Florida Auditor General, and is not intended to be and should not be used by anyone other than these specified parties. We cannot provide assurance that an unmodified opinion will be expressed. Circumstances may arise in which it is necessary for us to modify our opinion or add emphasis-of-matter or other-matter paragraphs. If our opinion on the District's compliance is other than unmodified,we will discuss the reasons with you in advance. If, for any reason,we are unable to complete the examination or are unable to form or have not formed an opinion,we may decline to express an opinion or issue a report, or may withdraw from this engagement. Other Services We will assist in preparing the financial statements and related notes of the District in conformity with U.S. generally accepted accounting principles based on information provided by you. These nonaudit services do not constitute an audit under Government Auditing Standards and such services will not be conducted in accordance with Government Auditing Standards. The other services are limited to the financial statement services previously defined. We, in our sole professional judgment, reserve the right to refuse to perform any procedure or take any action that could be construed as assuming management responsibilities. Management Responsibilities Management is responsible for compliance with Florida Statute 218.415 and will provide us with the information required for the examination. The accuracy and completeness of such information is also management's responsibility.You agree to assume all management responsibilities relating to the financial statements and related notes and any other nonaudit services we provide. You will be required to acknowledge in the management representation letter our assistance with preparation of the financial statements and related notes and that you have reviewed and approved the financial statements and related notes prior to their issuance and have accepted responsibility for them. In addition, you will be required to make certain representations regarding compliance with Florida Statute 218.415 in the management representation letter. Further, you agree to oversee the nonaudit services by designating an individual, preferably from senior management, who possesses suitable skill, knowledge, or experience; evaluate the adequacy and results of those services; and accept responsibility for them. Management is responsible for designing, implementing and maintaining effective internal controls, including evaluating and monitoring ongoing activities, to help ensure that appropriate goals and objectives are met; following laws and regulations; and ensuring that management and financial information is reliable and properly reported. Management is also responsible for implementing systems designed to achieve compliance with applicable laws, regulations,contracts, and grant agreements.You are also responsible for the selection and application of accounting principles, for the preparation and fair presentation of the financial statements and all accompanying information in conformity with U.S.generally accepted accounting principles, and for compliance with applicable laws and regulations and the provisions of contracts and grant agreements. Management is also responsible for making all financial records and related information available to us and for the accuracy and completeness of that information. You are also responsible for providing us with (1)access to all information of which you are aware that is relevant to the preparation and fair presentation of the financial statements, (2)additional information that we may request for the purpose of the audit, and (3) unrestricted access to persons within the government from whom we determine it necessary to obtain audit evidence. Your responsibilities include adjusting the financial statements to correct material misstatements and for confirming to us in the written representation letter that the effects of any uncorrected misstatements aggregated by us during the current engagement and pertaining to the latest period presented are immaterial, both individually and in the aggregate, to the financial statements taken as a whole. You are responsible for the design and implementation of programs and controls to prevent and detect fraud, and for informing us about all known or suspected fraud affecting the government involving(1)management, (2)employees who have significant roles in internal control, and (3) others where the fraud could have a material effect on the financial statements. Your responsibilities include informing us of your knowledge of any allegations of fraud or suspected fraud affecting the government received in communications from employees, former employees,grantors, regulators,or others. In addition,you are responsible for identifying and ensuring that the government complies with applicable laws, regulations, contracts, agreements, and grants and for taking timely and appropriate steps to remedy fraud and noncompliance with provisions of laws, regulations, contracts or grant agreements, or abuse that we report. Management is responsible for establishing and maintaining a process for tracking the status of audit findings and recommendations. Management is also responsible for identifying and providing report copies of previous financial audits, attestation engagements, performance audits or other studies related to the objectives discussed in the Audit Objectives section of this letter. This responsibility includes relaying to us corrective actions taken to address significant findings and recommendations resulting from those audits, attestation engagements, performance audits, or other studies. You are also responsible for providing management's views on our current findings, conclusions, and recommendations, as well as your planned corrective actions, for the report, and for the timing and format for providing that information. Naples Heritage Community Development District 6 t i With regard to the electronic dissemination of audited financial statements,including financial statements published electronically on your website, you understand that electronic sites are a means to distribute information and, therefore,we are not required to read the information contained in these sites or to consider the consistency of other information in the electronic site with the original document. Audit Procedures—General An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; therefore, our audit will involve judgment about the number of transactions to be examined and the areas to be tested.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 will plan and perform the audit to obtain reasonable rather than absolute assurance about whether the financial statements are free of material misstatement, whether from (1)errors, (2)fraudulent financial reporting, (3)misappropriation of assets, or(4)violations of laws or governmental regulations that are attributable to the government or to acts by management or employees acting on behalf of the government. Because the determination of abuse is subjective, Government Auditing Standards do not expect auditors to provide reasonable assurance of detecting abuse. Because of the inherent limitations of an audit, combined with the inherent limitations of internal control, and because we will not perform a detailed examination of all transactions, there is a risk that material misstatements may exist and not be detected by us, even though the audit is properly planned and performed in accordance with U.S. generally accepted auditing standards and Government Auditing Standards. In addition, an audit is not designed to detect immaterial misstatements or violations of laws or governmental regulations that do not have a direct and material effect on the financial statements. Our responsibility as auditors is limited to the period covered by our audit and does not extend to later periods for which we are not engaged as auditors. Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, and may include tests of the physical existence of inventories,and direct confirmation of receivables and certain other assets and liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions. We will request written representations from your attorneys as part of the engagement, and they may bill you for responding to this inquiry. At the conclusion of our audit, we will require certain written representations from you about your responsibilities for the financial statements;compliance with laws, regulations,contracts, and grant agreements;and other responsibilities required by generally accepted auditing standards. Audit Procedures—Internal Control Our audit will include obtaining an understanding of the government and its environment, including internal control,sufficient to assess the risks of material misstatement of the financial statements and to design the nature,timing, and extent of further audit procedures. Tests of controls may be performed to test the effectiveness of certain controls that we consider relevant to preventing and detecting errors and fraud that are material to the financial statements and to preventing and detecting misstatements resulting from illegal acts and other noncompliance matters that have a direct and material effect on the financial statements. Our tests, if performed,will be less in scope than would be necessary to render an opinion on internal control and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to Government Auditing Standards. An audit is not designed to provide assurance on internal control or to identify significant deficiencies or material weaknesses. However, during the audit, we will communicate to management and those charged with governance internal control related matters that are required to be communicated under AICPA professional standards and Government Auditing Standards. Audit Procedures—Compliance As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we will perform tests of the District's compliance with the provisions of applicable laws, regulations,contracts, agreements, and grants. However, the objective of our audit will not be to provide an opinion on overall compliance and we will not express such an opinion in our report on compliance issued pursuant to Government Auditing Standards. Engagement Administration, Fees,and Other We understand that your employees will prepare all confirmations we request and will locate any documents selected by us for testing. The audit documentation for this engagement is the property of Grau & Associates and constitutes confidential information. However, subject to applicable laws and regulations, audit documentation and appropriate individuals will be made available upon request and in a timely manner to a cognizant or oversight agency or its designee, a federal agency providing direct or indirect funding, or the U.S. Government Accountability Office for purposes of a quality review of the audit, to resolve audit findings, or to carry out oversight responsibilities. We will notify you of any such request. If requested, access to such audit documentation will be provided under the supervision of Grau & Associates personnel. Furthermore, upon request, we may provide copies of selected audit documentation to the aforementioned parties.These parties may intend, or decide,to distribute the copies or information contained therein to others, including other governmental agencies. Notwithstanding the foregoing,the parties acknowledge that various documents reviewed or produced during the conduct of the audit may be public records under Florida law. The District agrees to notify Grau & Associates of any public record request it receives that involves audit documentation. Our fee for these services will not exceed $3,100, $3,200 and $3,300 for the September 30, 2023, 2024 and 2025 audits, respectively. The fees for the two additional annual renewals for the fiscal years 2025 and 2026 will be $3,400 and $3,500, respectively, unless there is a change in activity by the District which results in additional audit work or if additional Bonds are issued. Naples Heritage Community Development District 16 i 1 - 4 Grau & Associates and its subcontractors warrant compliance with all federal immigration laws and regulations that relate to their employees. Grau agrees and acknowledges that the District is a public employer subject to the E-Verify requirements as set forth in Section 448.095, Florida Statutes, and that the provisions of Section 448.095, Florida Statutes apply to this Agreement. If the District has a good faith belief that the Grau has knowingly hired, recruited or referred an alien who is not authorized to work by the immigration laws or the Attorney General of the United States for employment under this Agreement, the District shall terminate this Agreement. If the District has a good faith belief that a subcontractor performing work under this Agreement knowingly hired, recruited or referred an alien who is not duly authorized to work by the immigration laws or the Attorney General of the United States for employment under this Agreement, the District shall promptly notify Grau and order Grau to immediately terminate the contract with the subcontractor. Grau shall be liable for any additional costs incurred by the District as a result of the termination of a contract based on Grau's failure to comply with E-Verify requirements evidenced herein. We will complete the audit within prescribed statutory deadlines, with the understanding that your employees will provide information needed to perform the audit on a timely basis.We acknowledge that the District must submit its annual Audit to the Auditor General no later than nine(9)months after the end of the audited fiscal year. The audit documentation for this engagement will be retained for a minimum of five years after the report release date. If we are aware that a federal awarding agency or auditee is contesting an audit finding, we will contact the party(ies)contesting the audit finding for guidance prior to destroying the audit documentation. Our invoices for these fees will be rendered each month as work progresses and are payable on presentation. Invoices will be submitted in sufficient detail to demonstrate compliance with the terms of this agreement. In accordance with our firm policies, work may be suspended if your account becomes 60 days or more overdue and may not be resumed until your account is paid in full. If we elect to terminate our services for nonpayment, our engagement will be deemed to have been completed upon written notification of termination, even if we have not completed our report. You will be obligated to compensate us for all time expended and to reimburse us for all out-of-pocket costs through the date of termination. The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessary, we will discuss it with you and arrive at a new fee estimate. This agreement may be renewed each year thereafter subject to the mutual agreement by both parties to all terms and fees. The fee for each annual renewal will be agreed upon separately. The District has the option to terminate this agreement with or without cause by providing thirty (30) days written notice of termination to Grau &Associates. Upon any termination of this agreement, Grau &Associates shall be entitled to payment of all work and/or services rendered up until the effective termination of this agreement, subject to whatever claims or off-sets the District may have against Grau &Associates. We will provide you with a copy of our most recent external peer review report and any letter of comment, and any subsequent peer review reports and letters of comment received during the period of the contract. Our 2023 peer review report accompanies this letter. We appreciate the opportunity to be of service to Naples Heritage Community Development District and believe this letter accurately summarizes the significant terms of our engagement. If you have any questions, please let us know. If you agree with the terms of our engagement as described in this letter, please sign the enclosed copy and return it to us. Very truly yours, Grau&Associates Antonio J. Grau RESPONSE: This letter correctly sets forth the understanding of pies , rita mmunity Development District. Justin Faircloth By: lu As approved by the Board at their 11/7/23 meeting. Title: District Manager/ Secretary Approved for Fiscal years 2023, 2024 & 2025 after review with the attorney. We will need to Date: 12/26/23 go out for bid for the FY2026 audit. Naples Heritage Community Development District 5 tr4 16 1 1 - FICPA Peer Review `.ry A I C PA Program Florida Institute of Ceritied Puolic 4ccountarts FICPA Peer Review Program AICPA Peer Review Program Administered in Florida Administered in Florida by The Florida Institute of CPAs by the Florida Institute of CPAs March 17,2023 Antonio Grau Grau&Associates 951 Yamato Rd Ste 280 Boca Raton, FL 33431-1809 Dear Antonio Grau: It is my pleasure to notify you that on March 16, 2023, the Florida Peer Review Committee accepted the report on the most recent System Review of your firm.The due date for your next review is December 31, 2025. This is the date by which all review documents should be completed and submitted to the administering entity. As you know, the report had a peer review rating of pass. The Committee asked me to convey its congratulations to the firm. Thank you for your cooperation. Sincerely, R OA Aui ket4tw eos:. ,6ticc Peer Review Team FICPA Peer Review Committee 850.224.2727,x5957 cc: Daniel Hevia, Racquet McIntosh Firm Number: 900004390114 Review Number. 594791 119 S Monroe Street,Suite 121 I Tallahassee,FL 323011 850.224.2727,in Florida I www.ficoa.org 161 1 : NAPLES HERITAGE Community Development District Financial Report September 30,2023 Prepared by 6INFRAMARK INFRASTRUCTURE MANAGEMENT SERVICES NAPLES HERITAGE 16 I , -- Community Development District Table of Contents FINANCIAL STATEMENTS Balance Sheet Page 1 Statement of Revenues, Expenditures and Changes in Fund Balances General Fund Page 2-3 SUPPORTING SCHEDULES Non-Ad Valorem Special Assessments Page 4 Cash and Investment Balances Page 5 Check Register Page 6-8 16I = _ NAPLES HERITAGE Community Development District Financial Statements (Unaudited) September 30, 2023 NAPLES HERITAGE b 1 Community Development District General Fund Balance Sheet September 30, 2023 ACCOUNT DESCRIPTION TOTAL ASSETS Cash-Checking Account $ 65,423 Due From Other Gov'tl Units 35 Investments: Money Market Account 7,574 Deposits 560 TOTAL ASSETS $ 73,592 LIABILITIES Accounts Payable $ 2,163 Accrued Expenses 19,059 TOTAL LIABILITIES 21,222 FUND BALANCES Nonspendable: Deposits 560 Assigned to: Operating Reserves 21,939 Reserves-Fountains 1,200 Reserves-Road and Lakes 27,671 Unassigned: 1,000 TOTAL FUND BALANCES $ 52,370 TOTAL LIABILITIES&FUND BALANCES $ 73,592 Page 1 NAPLES HERITAGE 16 1 Community Development District General Fund Statement of Revenues, Expenditures and Changes in Fund Balances For the Period Ending September 30, 2023 ANNUAL YTD ACTUAL ADOPTED YEAR TO DATE YEAR TO DATE VARIANCE($) AS A%OF SEP-23 SEP-23 ACCOUNT DESCRIPTION BUDGET BUDGET ACTUAL FAV(UNFAV) ADOPTED BUD BUDGET ACTUAL REVENUES Interest-Investments $ 240 $ 240 $ 4,825 $ 4,585 2010.42% $ 20 $ 348 Interest-Tax Collector - - 279 279 0.00% - - Special Assmnts-Tax Collector 119,850 119,850 119,695 (155) 99.87% - - Special Assmnts-Discounts (4,794) (4,794) (4,385) 409 91.47% - - TOTAL REVENUES 115,296 115,296 120,414 5,118 104.44% 20 348 EXPENDITURES Administration P/R-Board of Supervisors 5,000 5,000 5,000 - 100.00% - - FICA Taxes 383 383 383 - 100.00% - - ProfServ-Engineering 2,000 2,000 4,208 (2,208) 210.40% 2,000 1,137 ProfServ-Field Management 895 895 895 - 100.00% 895 895 ProfServ-Legal Services 3,500 3,500 7,128 (3,628) 203.66% 3,500 1,390 ProfServ-Mgmt Consulting 24,708 24,708 24,708 - 100.00% 2,059 4,118 ProfServ-Property Appraiser 1,798 1,798 258 1,540 14.35% - - ProfServ-Web Site Maintenance 715 715 715 - 100.00% 60 119 Auditing Services 3,000 3,000 3,100 (100) 103.33% - - Postage and Freight 750 750 1,504 (754) 200.53% 63 41 Insurance-General Liability 7,747 7,747 7,747 - 100.00% - - Printing and Binding 900 900 438 462 48.67% 75 6 Legal Advertising 2,400 2,400 1,904 496 79.33% - - Misc-Bank Charges 546 546 - 546 0.00% 46 - Misc-Assessment Collection Cost 2,397 2,397 2,306 91 96.20% - - Misc-Contingency 376 376 1,400 (1,024) 372.34% 376 - Misc-Web Hosting 1,850 1,850 2,146 (296) 116.00% 250 - Office Expense 250 250 300 (50) 120.00% 21 - Annual District Filing Fee 175 175 175 - 100.00% - - Total Administration 59,390 59,390 64,315 (4,925) 108.29% 9,345 7,706 Field Contracts-Fountain 716 716 737 (21) 102.93% - - Contracts-Aerator Maintenance 3,550 3,550 4,084 (534) 115.04% - - Electricity-Aerator 8,100 8,100 9,182 (1,082) 113.36% 675 1,469 R&M-Fence 480 480 - 480 0.00% 480 - Misc-Contingency 15,520 15,520 15,520 - 100.00% 15,520 - Capital Outlay - - 16,000 (16,000) 0.00% - - Total Field 28,366 28,366 45,523 (17,157) 160.48% 16,675 1,469 Reserves Reserve-Fountain 200 200 - 200 0.00% 200 - Reserve-Roads and Lakes 27,340 27,340 26,130 1,210 95.57% 27,340 - Total Reserves 27,540 27,540 26,130 1,410 94.88% 27,540 - TOTAL EXPENDITURES&RESERVES 115,296 115,296 135,968 (20,672) 117.93% 53,560 9,175 Page 2 NAPLES HERITAGE Community Development District General Fund Statement of Revenues, Expenditures and Changes in Fund Balances For the Period Ending September 30, 2023 ANNUAL YTD ACTUAL ADOPTED YEAR TO DATE YEAR TO DATE VARIANCE($) AS A%OF SEP-23 SEP-23 ACCOUNT DESCRIPTION BUDGET BUDGET ACTUAL FAV(UNFAV) ADOPTED BUD BUDGET ACTUAL Excess(deficiency)of revenues Over(under)expenditures - - (15,554) (15,554) 0.00% (53,540) (8,827) Net change in fund balance $ - $ - $ (15,554) $ (15,554) 0.00% $ (53,540) $ (8,827) FUND BALANCE,BEGINNING(OCT 1,2022) 67,924 67,924 67,924 FUND BALANCE,ENDING $ 67,924 $ 67,924 $ 52,370 Page 3 16 l 1 ~- NAPLES HERITAGE Community Development District Supporting Schedules September 30, 2023 NAPLES HERITAGE 16 1 I Community Development District Non-Ad Valorem Special Assessments - Collier County Tax Collector Monthly Collection Distributions For the Fiscal Year Ending September 30, 2023 Discount/ Gross Date Net Amount (Penalties) Collection Amount Received Received Amount Costs Received Assessments Levied $ 119,850 Allocation % 100% 10/27/22 $ 673 $ 38 $ 14 $ 725 11/09/22 1,273 54 26 1,353 11/14/22 8,326 354 170 8,850 11/21/22 24,273 1,032 495 25,800 12/05/22 40,925 1,740 835 43,500 12/10/22 16,802 705 343 17,850 12/20/22 5,182 193 106 5,480 01/09/23 4,242 135 87 4,464 02/26/23 5,214 121 106 5,441 03/06/23 1,164 12 24 1,200 04/10/23 3,531 - 72 3,603 05/11/23 744 - 15 759 06/12/23 352 - 7 359 06/23/23 303 - 6 309 TOTAL $ 113,004 $ 4,384 $ 2,306 $ 119,693 % COLLECTED 99.9% TOTAL OUTSTANDING $ 157 Page 4 NAPLES HERITAGE 16 1 Community Development District Cash and Investment Balances September 30, 2023 ACCOUNT NAME BANK NAME YIELD MATURITY BALANCE GENERAL FUND Checking Account-Operating Valley National 5.46% N/A 65,423 Money Market Account BankUnited 5.15% N/A 7,574 Total $ 72,997 Page 5 16I1 ..' 0 0 W O O M o m W O r N 0) 0 0 0 0 0 W W M 0 0 0 0 0 0 N O o 0 0 0 m 0 0 0 0 m 0 0 0 0 00 O r N O .- N O W r O N W O M W W O O (O .- O N .- .- O O O O O O N O O o O W N O O N O N O N o 0 N O M P C .O O P N W O N W r m P 0 of W M P N 0i W m P 0 0 0 Ci O P O CO W m W O) o N 1� N W o N O O P M 5 .0N O N N C9 N r N P W W N O N C9 P r N 0 N N N O W O N .- O6969W O r N N m O _ NtoPO 9C9V9N9 WdiNO CO� O NO fA b9ONNfA M Ea w(V 69 f9 69 69 N 69 fA N W N M O M M N N fA 69 f9 i9 fA fA f9 fA 4 * 69 69 696969 69V9 99 49 69 69 CO N it d 00000000000000000000000080000000000000000000000 0 o P M N N M M M M M W O W W O N M M M M M M M W W M M P O N M M M N M M M M M N P P M N M N o Cf� N"� N N N N (n (n N N N N C? 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NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF NAPLES HERITAGE COMMMUNITY 11 DEVELOPMENT DISTRICT THE FOLLOWING: 1. The General Fund Budget is hereby amended in accordance with Exhibit "A" attached. 7 2. This resolution shall become effective this 7th day of November 2023 and be reflected in the monthly and Fiscal Year End 9/30/2023 Financial Statements and Audit Report of the District. Naples Heritage Community Development District i:eChairm Attest: By: r/" tee + Secretary NAPLES HERITAGE 16 ' 1 rm Community Development District General Fund Proposed Budget Amendment For the Period Ending September 30, 2023 Exhibit A CURRENT PROPOSED FINAL YEAR TO DATE VARIANCE($) ACCOUNT DESCRIPTION BUDGET AMENDMENT BUDGET ACTUAL FAV(UNFAV) REVENUES Interest-Investments $ 240 $ - $ 240 $ 4,825 $ 4,585 Interest-Tax Collector - - - 279 279 Special Assmnts-Tax Collector 119,850 - 119,850 119,695 (155) Special Assmnts-Discounts (4,794) - (4,794) (4,385) 409 TOTAL REVENUES 115,296 - 115,296 120,414 5,118 EXPENDITURES Administration P/R-Board of Supervisors 5,000 - 5,000 5,000 - FICA Taxes 383 - 383 383 - ProfServ-Engineering 2,000 2,200 4,200 4,208 (8) ProfServ-Field Management 895 - 895 895 - ProfServ-Legal Services 3,500 3,600 7,100 7,128 (28) ProfServ-Mgmt Consulting 24,708 - 24,708 24,708 - ProfServ-Property Appraiser 1,798 - 1,798 258 1,540 ProfServ-Web Site Maintenance 715 - 715 715 - Auditing Services 3,000 - 3,000 3,100 (100) Postage and Freight 750 754 1,504 1,504 - Insurance-General Liability 7,747 - 7,747 7,747 - Printing and Binding 900 - 900 438 462 Legal Advertising 2,400 - 2,400 1,904 496 Misc-Bank Charges 546 - 546 - 546 Misc-Assessment Collection Cost 2,397 - 2,397 2,306 91 Misc-Contingency 376 1,024 1,400 1,400 - Misc-Web Hosting 1,850 296 2,146 2,146 - Office Expense 250 - 250 300 (50) Annual District Filing Fee 175 - _ 175 175 - Total Administration 59,390 7,874 67,264 64,315 2,949 Field Contracts-Fountain 716 - 716 737 (21) Contracts-Aerator Maintenance 3,550 - 3,550 4,084 (534) Electricity-Aerator 8,100 1,082 9,182 9,182 - R&M-Fence 480 - 480 - 480 Misc-Contingency 15,520 2,212 17,732 15,520 2,212 Capital Outlay - 16,000 16,000 16,000 - Total Field 28,366 19,294 47,660 45,523 2,137 Reserves Reserve-Fountain 200 - 200 - 200 Reserve-Roads and Lakes 27,340 - 27,340 26,130 1,210 Report Date: 10/26/2023 16I 1 " NAPLES HERITAGE Community Development District General Fund Proposed Budget Amendment For the Period Ending September 30, 2023 CURRENT PROPOSED FINAL YEAR TO DATE VARIANCE($) ACCOUNT DESCRIPTION BUDGET AMENDMENT BUDGET ACTUAL FAV(UNFAV) Total Reserves 27,540 - 27,540 26,130 1,410 TOTAL EXPENDITURES&RESERVES 115,296 27,168 142,464 135,968 6,496 Excess(deficiency)of revenues Over(under)expenditures - (27,168) (27,168) (15,554) 11,614 Net change in fund balance - (27,168) (27,168) (15,554) 11,614 FUND BALANCE,BEGINNING(OCT 1,2022) 67,924 - 67,924 67,924 - FUND BALANCE,ENDING $ 67,924 $ (27,168) $ 40,756 $ 52,370 $ 11,614 Report Date: 10/26/2023 I t �en NAPLES HERITAGE COMMUNITY DEVELOPMENT DISTRICT Motion:Assigning Fund Balance as of 09/30/23 The Board hereby assigns the FY 2023 Reserves as follows: FY2022 Operating Reserves $ 21,939 Reserves - Fountains 1,200 Reserves- Roads and Lakes 27,671 Total Assigned Reserves $ 50,810 1611 - 8D Service Report SQLITUDE 16 I 1 �. LAKE MANAGEMENT Account Naples Heritage CDD Work Order Contact Justin Faircloth Work Order 00164698 Address 8150 Heritage Club Way Number Naples,FL 34112 Created Date 5/15/2023 Work Details Specialist Completed fountain maintenance-Reset Prepared By Eric CarnalI Comments to breaker,cleaned spinnin display head. Customer Specialist State License Number Work Order Assets Asset Status Product Work Type Naples Herit AQUA Fountain 1 Site#14 FTN Serviced Service Parameters Asset Product Work Type Specialist Comments to Customer Naples Herit AQUA CHECK POWER Fountain 1 Site#14 CABLE FTN Naples Herit AQUA PANEL Fountain 1 Site#14 COMPONENT FTN CHECK Naples Herit AQUA LIGHTING Fountain 1 Site#14 INSPECTION(IF FTN APPLICABLE) Naples Herit AQUA FOUNTAIN Fountain 1 Site#14 FUNCTIONALITY FTN Naples Herit AQUA Fountain 1 Site#14 Completed maintenance on fountain.Main breaker for fountain was tripped upon arrival reset FTN and fountain ran under normal parameters.Cleaned fountain including spinning head. Service Report 16 I SQLITUDE LAKE MANAGEMENT Account Naples Heritage CDD Work Order Contact Justin Faircloth Work Order 00292983 Address 7503 Arbor Lake Court Number Naples,FL 34112 Created Date 6/7/2023 Work Details Specialist Responded to a request for service for Lake 6 Prepared By Eric Carnal) Comments to (Holes 6/8).Replaced start capacitor and Customer balanced the air stations. Specialist State License Number Work Order Assets Asset Status Product Work Type Naples Heritage-Aerator#6 Lake 6 Included Service Parameters Asset Product Work Type Specialist Comments to Customer Naples Heritage-Aerator#6 Lake 6 Service Report SQLITUDE 16 I - LAKE MANAGEMENT Account Naples Heritage CDD Work Order Contact Justin Faircloth Work Order 00312281 Address 7543 Stoney Brook Drive Number Naples,FL 34112 Created Date 7/12/2023 Work Details Specialist Installed new compressor on site 5(Hole 7). Prepared By Eric Carnal) Comments to Observed all air stations running.All functions Customer normal at departure. Specialist State License Number Work Order Assets Asset Status Product Work Type Naples Heritage-Aerator#7 Lake 5 Included Service Parameters Asset Product Work Type Specialist Comments to Customer Naples Heritage-Aerator#7 Lake 5 Service Report SQLITUDE i6 I LAKE MANAGEMENT Account Naples Heritage CDD Work Order Contact Justin Faircloth Work Order 00285762 Address 8150 Heritage Club Way Number Naples,FL 34112 Created Date 7/18/2023 Work Details Specialist Completed fountain maintenance-Pressure Prepared By Eric Carnall Comments to washed float,spinning head,and intake. Customer Removed fishing line from spinning display head. All functions normal at departure. Specialist State License Number Work Order Assets Asset Status Product Work Type Naples Herit AQUA Fountain 1 Site#14 FTN Inspected Service Parameters Asset Product Work Type Specialist Comments to Customer Naples Herit AQUA Fountain 1 Site#14 FTN CHECK POWER CABLE Naples Herit AQUA Fountain 1 Site#14 FTN PANEL COMPONENT CHECK Naples Herit AQUA Fountain 1 Site#14 FTN LIGHTING INSPECTION(IF APPLICABLE) Naples Herit AQUA Fountain 1 Site#14 FTN FOUNTAIN FUNCTIONALITY Naples Herit AQUA Fountain 1 Site#14 FTN Service Report �j j ,w SQL1TUDE LAKE MANAGEMENT Account Naples Heritage CDD Work Order Contact Justin Faircloth Work Order 00288306 Address 8150 Heritage Club Way Number Naples,FL 34112 Created Date 7/21/2023 Work Details Specialist Completed aeration maintenance-Replaced Prepared By Eric Carnall Comments to filters,cleaned cabinet,and balanced deiffusers. Customer Specialist State License Number Work Order Assets Asset Status Product Work Type Naples Herit VTX Aerator 3 Site#2 Aer Serviced Naples Herit VTX Aerator 4 Site#4 Serviced Naples Herit VTX Aerator 5 Site#1 Aer Serviced Naples Herit VTX Aerator 1 Site#16 Aer Serviced Naples Herit VTX Aerator 2 Site#17 Serviced Service Parameters Asset Product Work Type Specialist Comments to Customer Naples Herit VTX Aerator 5 Site#1 Aer DIFFUSER OPERATION Naples Herit VTX Aerator 5 Site#1 Aer CABINET OPERATION Naples Herit VTX Aerator 4 Site#4 DIFFUSER OPERATION Naples Herit VTX Aerator 4 Site#4 CABINET OPERATION Naples Herit VTX Aerator 3 Site#2 Aer DIFFUSER OPERATION Naples Herit VTX Aerator 3 Site#2 Aer CABINET OPERATION Naples Herit VTX Aerator 2 Site#17 DIFFUSER OPERATION Naples Herit VTX Aerator 2 Site#17 CABINET OPERATION Naples Herit VTX Aerator 1 Site#16 Aer DIFFUSER OPERATION Naples Herit VTX Aerator 1 Site#16 Aer CABINET OPERATION Naples Herit VTX Aerator 2 Site#17 Naples Herit VTX Aerator 1 Site#16 Aer Naples Herit VTX Aerator 5 Site#1 Aer Naples Herit VTX Aerator 4 Site#4 Naples Herit VTX Aerator 3 Site#2 Aer 16I1 SQL1TUDE LAKE MANAGEMENT Property Name Naples Heritage CDD Created Date 6/20/2023 Description Quote to replace one of the compressors which Quote Number 00003175 runs Lake 5 aeration system.1 yr warranty on compressor. Prepared By Eric Carnal) Phone (727)580-8822 Email ecarnall@solitudelake.com Product Quantity Sales Price Total Price 1/2 HP Dual Piston 115V Compressor+ 1.00 $685.83 $685.83 Freight 1.00 $25.00 $25.00 Labor Fee 1.00 $107.00 $107.00 Taxes may be applicable Total Price $817.83 Quote Acceptance Information Signature Name Title Date 1611 - SQLITUDE LAKE MANAGEMENT Property Name Naples Heritage CDD Created Date 9/18/2023 Description Quote includes service fee,labor and repair Quote Number 00004286 parts for aerators in lake 6 and 14. Prepared By Collin Brown Phone (561)889-7385 Email collin.brown@solitudelake.com Product Quantity Sales Price Total Price 1/2 HP COM106 Maintenance Kit 2.00 $151.80 $303.60 9 inch Self-cleaning disc 5.00 $71.30 $356.50 General Cost 1.00 $30.00 $30.00 Labor 8.50 $107.00 $909.50 Service Fee 1.00 $82.00 $82.00 General Cost Lake 6-3.5 hrs of labor.2 rebuild kits and GFCI weatherproof cover(general cost).Completed on 09/15. Description Lake 14-5 new stations needed.5 hours of labor.To be completed. Taxes may be applicable Total Price $1,681.60 Quote Acceptance Information Signature Name Title Date 16Ii OATH OF OFFICE "I, J. Oscar Perez, do solemnly swear (or affirm) that I will support, protect, and defend the Constitution and government of the United States of America and of the State of Florida; that I am duly qualified to hold office under the Constitution of the State; and that I will well and faithfully perform the duties as a member of the Collier County Industrial Development Authority on which I am now about to enter. So help me d." STATE OF FLORIDA COUNTY OF COLLIER The foregoing instrument was acknowledged before me this day of January, 2024 by J. Oscar Perez, who is personally known to me and who did take an oath. .RL.: i:ic) _ aQppglp A.PICKWORTN '�' �q,�c�,11S310tJ#NH252282Notary Pu he � 202s My Commission Expires.