09/18/2018 Minutes �Z
161 1
MINUTES OF MEETING
FLOW WAY
COMMUNITY DEVELOPMENT DISTRICT
The Regular Meeting of the Board of Supervisors of Flow Way Community
Development District was held on Monday, September 18. 2018. at 3:00 p.m. at the offices
of Coleman, Yovanovich & Koester, PA, 4001 Tamiami Train North, Suite 300, Naples,
Florida 34103.
Present and constituting a quorum:
John Wollard Chairman
Adam Painter Vice Chairman
Andrew Miller Assistant Secretary
Chris Nirenberg Assistant Secretary
Absent:
Stephen Reiter Assistant Secretary
Also present were:
James P. Ward District Manager
Greg Urbancic District Counsel
Jeremy Fireline District Engineer
Tim Hall Turrell, Hall and Associates
Tammy Campbell McDirmit, Davis
FIRST ORDER OF BUSINESS Call to Order/Roll Call
Mr. Ward called the meeting to order at 3:04 p.m. and all members of the Board were
present at roll call with the exception of Supervisor Reiter.
SECOND ORDER OF BUSINESS Consideration of the Acceptance of the
Resignation of Mr. Tony Burdett
Mr. Ward stated he had put a copy of the resignation letter in the Board's agenda package
which would be affective, as a matter of law, on June 22, 2018. He called for a motion to
accept this resignation.
On MOTION made by Mr.r. Miller, seconded by Mr. Nirem b g
and with all in favor, the resignation of Mr. Tony Burdett was ,
accepted.
Mr. Ward asked for the Board to consider a replacement for Mr. Burdett's seat. The Board
made a motion to appoint John Wollard to this seat.
i � P
Flow Way Community Development District September 18, 2018
16I1
MOTION made by Mr. Miller, seconded by Mr. Painter, and
with all in favor, Mr. John Wollard as a replacement for Seat 1
was approved.
Mr. Ward stated Mr. Wollard was present at the meeting, and as Mr. Ward was a notary, he
administered the Oath of Office to him. Mr. Ward explained the Statement of Financial
Interest to Mr. Wollard. He asked him if he was familiar with CDDs, and Mr. Wollard
responded that he was. Mr. Ward provided him with a copy of the Sunshine Laws, and said
if Mr. Wollard had questions to please contact him.
THIRD ORDER OF BUSINESS Consideration of Resolution 2018-13
Mr. Ward stated this item named the officers of the District. He said the officers could be
left as is and the Board could name a Chairman. Mr. Ward called for a motion. A motion
was made to name Mr. John Wollard as Chairman.
On MOTION made by Mr. Miller, seconded by Mr. Painter, and
with all in favor, Resolution 2018-13 and naming Mr. John
bWollard as Chairman were approved. p
FOURTH ORDER OF BUSINESS Consideration of Minutes August 20,
2018
Mr. Ward stated copies of the minutes had been previously distributed and asked if there
were any deletions, corrections or additions. Hearing none, he called for a motion for
approval.
On MOTION made by Mr. Painter, seconded by Mr. Miller, and
with all in favor, the minutes of the August 20, 2018 meeting
were approved.
FIFTH ORDER OF BUSINESS Consideration of Landowners' Meeting
Mr. Ward asked the Board to consider December 18, 2018 at 3:00 p.m. at the offices of
Coleman, Yovanovich & Koester, PA as the date, time and location of the Landowners'
Meeting for Seat 1, which was the final landowners' seat for the Board. He said he had
enclosed in the agenda packet the required disclosure information. which were the
instructions, official ballot and proxy. He called for questions, and hearing none, called for a
motion.
2I P
16t l
Flow Way Community Development District September 18, 2018
On MOTION made by Mr. Painter, seconded by Mr. Miller, and
with all in favor, the Landowners' meeting was set as described
above.
SIXTH ORDER OF BUSINESS Consideration of Resolution 2018-14
Mr. Ward explained this Resolution accepted the conveyance of tracts P-1, P-2, P-3, P-4. P-6
and P-7, which were essentially the preserve area within the boundaries of the District. He
said the Resolution also was an acceptance of the Bill of Sale for the transferred
improvements, and the Resolution from the Board of Directors of the HOA, and a quit claim
deed conveying the transferred interests. He said he had enclosed a copy of the exhibit
which had the tracts. He called for questions.
Mr. Ward stated the only other thing the resolution did was recognize that the value of the
tracts are $18,289,962.50, based on 1.024.82 acres at a price of $17,847 per acre, which
was the original land price by the developer. He said this would also satisfy any outstanding
obligations of the developer, whether it was a contribution, either financial and/or assets for
all of the existing series of bonds that had previously been issued and the anticipated 2018
or any further bond issues beyond that. He said there was also a map attached to the letter
from Waldrop identifying the value for the preserve areas. He called for questions, and
hearing none, called for a motion.
The question was asked if once the transfer was done on the tracts, then would the Water
Management District's permits need to be made. Mr. Ward responded positively.
,On MOTION made by Mr. Miller, seconded by Mr. Painter, and
°with all in favor, Resolution 2018-14, as described above, was
.approved.
SEVENTH ORDER OF BUSINESS Consideration of Resolution 2018-15
Mr. Ward stated this Resolution appointed Turrell, Hall & Associates as the Environmental
Asset Management and Field Services provider for the District. He said a copy of the
agreement and the fee structure was enclosed in the agenda package. He called for
questions, and hearing none, called for a motion.
On MOTION made by Mr. Miller, seconded by Mr. Painter, and 1
with all in favor, Resolution 2018-15 was approved.
EIGHTH ORDER OF BUSINESS Consideration of Award of Bid for Exotic
& Nuisance Vegetation Maintenance
Wage
16I 1
Flow Way Community Development District September 18,2018
Mr. Ward stated this item awarded the bid for maintenance of the exotic and nuisance
vegetation of the 1, 024 acre preserve. He asked Mr. Tim Hall to give information on the
bidding along with his recommendation for award.
Mr. Hall said he had received bids from only four of the original six companies who had
expressed interest. He stated as the preserves would need less maintenance as time went
on, he had structured the maintenance on a progressive basis. He said the bids received
ranged from $895.000 to $1.37 million. He explained he reviewed the bids on an annual
basis and an overall basis. He said there was an issue with the lowest bidder in the way the
cost breakdown was presented with 80% of the cost in the first two years with the amount in
the last three years being really low. He felt this arrangement would be problematic. He
also considered the highest bidder as not responsible as well. He said the two bids in the
middle were less than $10,000 apart. He recommended Aquatic Weed Control due to the
lower up front cost as well as the lower overall cost. He called for questions.
It was asked if Mr. Hall had a working relationship with Aquatic Weed Control, and he said
he did.
Mr. Ward called for a motion to approve Aquatic Weed Control as the lowest responsive
bidder.
On MOTION made by Mr. Miller, seconded by Mr. Painter, and
with all in favor, Aquatic Weed Control's bid for Maintenance of
Exotic and Nuisance Vegetation was accepted.
NINTH ORDER OF BUSINESS Consideration of Audited Financial
Statements for Fiscal Year 2017
Mr. Ward stated from the firm of McDirmit Davis, Tammy Campbell was on the phone to give
this information and review the audited financial statements. He said these statements had
been filed as a matter of law.
Ms. Campbell stated Page 1 of the audit report showed the District had received an
unmodified opinion, the best that can be received. She said Page 5 showed some
comparisons of balances between 2016 and 2017. She noted overall assets had
decreased $122,000 as a result of decreases in capital assets, which was offset by an
increase in investments; liabilities increased $3.9 million primarily due to the new bonds;
revenues increased $426,000 due to increased assessments received: expenses increased
$4.6 million due to $3.7 million in infrastructure which had been conveyed to the County
and reported as an expense. She said Page 12 showed expenses were slightly over
budgeted amount. She pointed out Note 4 on P. 22 showed the detail of capital assets;
Note 6 showed the details of various bonds; Note 8 disclosed the concentration of revenue
received from the developer. She said Page 29 showed the District was in compliance with
various laws and regulations. There were no comments or recommendations for
improvement, and the District was in compliance with the Florida Statutes on investment of
public funds.
4 « <,
t6I
Flow Way Community Development District September 18, 2018
Mr. Ward called for questions, and hearing none, called for a motion.
On MOTION made by Mr. Painter, seconded by Mr. Miller, and
with all in favor, the Audited Financial Statements for Fiscal
Year 2017 were accepted.
TENTH ORDER OF BUSINESS Consideration of Resolution 2018-16
Mr. Ward said this Resolution authorized the acquisition of certain potable water,
wastewater and utility facilities from the developer and then transferring of them on to
Collier County.
Mr. Urbancic said the material which was in the Board's agenda package included the
engineer's certificate of standard completion which certified the cost of $262,853.11. He
said typically Taylor Morrison would convey to the CDD and the CDD would convey to County.
He said in this case bonds had not been issued yet for these particular funds, so there was a
promissory note for $262,853.11. He said included was the utility facility bill of sale, the
owner's affidavit, utility facility's warranty deed and bill of sale, owner's affidavit, and
attorney's affidavit. He said these would be given to Collier County. He said this resolution
would approve those documents and authorize him to convey them to the County.
Mr. Ward called for questions, and hearing none, called for a motion.
On MOTION made by Mr. Painter, seconded by Mr. Miller, and I
with all in favor, Resolution 2018-16 was adopted.
ELEVENTH ORDER OF BUSINESS Consideration of Resolution 2018-17
Mr. Ward said items 11 and 12 were the start of the special assessments process for the
issuance for the next series of bonds. He said the first resolution declared the special
assessments and attached an engineer's report and a methodology which were the same as
what the Board had seen for the last five bond issues that had been done.
Mr. Ward said the second resolution set the Public Hearing. He said this was set for
November 7, 2018, at 10:00 a.m. at the offices of Coleman, Yovanovich and Koester, PA.
Mr. Ward stated the assessment levels were consistent with past levels with one difference:
It financed the Phase 7 Esplanade units which were part of the last series hearings, but the
bond issue had not been done, plus the balance of the 2018 project. He said the final
change was a new product line was a multi-family Esplanade Large which was to deal with a
potential annexation of land by the developer. Other than that, he said the assessment
5I ;.
1 6 I 1
Flow Way Community Development District September 18, 2ui8
levels, the methodology and the engineer's report were consistent with what had been seen
in the past.
He called questions, and hearing none, called for a motion to adopt.
On MOTION made by Mr. Miller, seconded by Mr. Painter, and
with all in favor, Resolution 2018-17 was adopted.
TWELFTH ORDER OF BUSINESS Consideration of Resolution 2018-18
Mr. Ward said this Resolution set November 7, 2018 as the Public Hearing date, time and
location, Wednesday at 10:00 a.m. at the offices of Coleman. Yovanovich, and Koester, PA.
jOn MOTION made by Mr. Miller, seconded by Mr. Painter, and
dwith all in favor, Resolution 2018-18 was adopted.
THIRTEENTH ORDER OF BUSINESS Staff Reports
a) District Counsel - No report given.
b) District Engineer - No report given.
c) District Manager - No report given.
FOURTEENTH ORDER OF BUSINESS Supervisors' Requests and Audience
Comments
There were no supervisor's requests and no audience comments.
FIFTEENTH ORDER OF BUSINESS Adjournment
Mr. Ward adjourned the meeting at 3:30 p.m.
On MOTION made by Mr. Miller, seconded by Mr. Painter, and
with all in favor, the meeting was adjourned.
Flow Way Community Development District
Wage
16I 1
Flow Way Community Development District September 18, 2018
6W1-0,404eG6A,
Jam . Ward, Secretary Adam Painter, Vice Chairman
7IPage