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12/16/2021 Minutes I611 MINUTES OF MEETING FLOW WAY COMMUNITY DEVELOPMENT DISTRICT The Regular Meeting of the Board of Directors of the Flow Way Community Development District was held on Thursday, December 16, 2021, at 1:00 P.M. at the Esplanade Golf and Country Club, 8910 Torre Vista Lane, Naples, FL 34119. Present and constituting a quorum: Zack Stamp Chairperson Ron Miller Vice Chairperson Tom Kleck Assistant Secretary Bart Bhatla Assistant Secretary Martinn Winters Assistant Secretary Also present were: James P. Ward District Manager James Messick District Engineer Greg Woods District Counsel Andrew Gill JP Ward and Associates Audience: Christopher Jackson Ms. Whitney Jackson Joe Sicliano (ph) All resident's names were not included with the minutes. If a resident did not identify themselves or the audio file did not pick up the name, the name was not recorded in these minutes. PORTIONS OF THIS MEETING WERE TRANSCRIBED VERBATIM. ALL VERBATIM PORTIONS WERE TRANSCRIBED IN ITALICS. FIRST ORDER OF BUSINESS Call to Order/Roll Call Public Comments for non-agenda items (Limited to three (3) minutes). Individuals are permitted to speak on items on the agenda during that item and will be announced by the Chairperson. Chairperson Zack Stamp called the meeting to order at approximately 1:00 p.m. Roll call was conducted, and all Members of the Board were present, constituting a quorum. SECOND ORDER OF BUSINESS Consideration of Minutes November 18,2021, Regular Meeting Minutes 1 ' Page loll Flow Way Community Development District December 16, 2021 Chairperson Stamp asked if there were any additions or corrections to the Minutes; hearing none, he called for a motion. On MOTION made by Mr. Ron Miller, seconded by Mr.Tom Kleck, and with all in favor, the November 18, 2021, Regular Meeting Minutes were approved. THIRD ORDER OF BUSINESS Consideration of Resolution 2022-1 Consideration of Resolution 2022-1, A Resolution of the Board of Supervisors of the Flow Way Community Development District approving the execution and delivery of an application to the South Florida Water Management District requesting a transfer of the existing Water Use Permit from Taylor Morrison to the District; (i) authorizing the District Manager to sign or execute such additional application documents as are necessary or required in connection with obtaining further approvals of any modifications to the water use permit Mr. Ward: In essence, in order to provide irrigation water to the community, there is an existing water use permit with the South Florida Water Management District that authorizes the withdrawal of that water in order to irrigate the community. As a part of what we were doing in terms of transferring those assets that were in with the maintenance of the homeowner's association to the CDD, one of the things that Jimmy had looked at was the existing South Florida Water Management Use Permit that is in place. That permit is in the name currently of Taylor Morrison. I believe it is set to expire 2025, so this item would be to authorize the Staff to effectuate the transfer of that permit from Taylor Morrison to the CDD. It is not urgent that it be done today, but it is something that at some point needs to be done. Mr. Bhatla: This is an opportunity to make any modifications we want to and approach the agency on that basis, and to understand if there were any compliance issues, any penalties, etc. I would propose that the engineer should advise us if we need any modifications. I propose that we meet with the agency. This is an opportunity to meet with the agency and establish a contact. Chairperson Stamp: Would it be your preference that we just delay this until January? Mr. Bhatla: I think we can wait and meet with the agency if we can get a date. Chairperson Stamp: Okay, we will defer this Item. FOURTH ORDER OF BUSINESS Staff Items I. District Attorney—Woods,Weidenmiller, Michetti,&Rudnick a. Arbitration Hearing-January 18,2022,at 9:30 a.m. Mr. Greg Woods: Arbitration was set in January. The other side has asked to potentially move it because we filed an action for the lakes and water retention system and fencing, so the court has 2IPage b11 " Flow Way Community Development District December 16, 2021 to grant us leave to add those points, and the hearing on that is January 12, so opposing counsel's position is, because it's now a part of the claim they want it to be part of the arbitration, so we are going to move with the other side and push the arbitration into February, so we have all our claims in front of the arbitrator before the arbitration. Discovery is going on. Mr. Stamp was deposed the other day. Mr. Ward has been deposed. We are taking Drew Miller's deposition on Tuesday. They also have a designated corporate representative from which we want a deposition before arbitration as well. Chairperson Stamp:Pursuant to the shade meeting, Tim Hall has been dismissed. Mr. Miller: Are Board Members allowed to attend that arbitration or would that represent a Board Meeting? Mr. Woods: That's the problem. I think you can only have a representative. Mr. Miller: I would volunteer to go, but if somebody would prefer for Zack to volunteer, that's fine. Mr. Woods: We have to have one representative of the Board in attendance. They can't make a final decision until the full Board approves. Chairperson Stamp: You expect this to take basically all day? Mr. Woods: Yes. It will be an all day affair. II. District Engineer-Calvin,Giordano&Associates Chairperson Stamp explained Mr. Messick was calling in for today's meeting due to an exposure to COVID. Mr. Messick: I want to mention that I found a separate water use permit for the Hatcher Parcel that is in Taylor Morrison's name. I'm going to get both of those over to Jim, and we can discuss them at January's meeting. I also reached out to South Florida Staff about some of the questions that our Board had. They forwarded my request on to public records and once we get a response from them, I will email that to you Bart. So, you see my current items are the usual suspects. The first is a Preserve Tree Removal. That should have been submitted. That's for the $7,500 dollars for the 30 trees in the top importance and then the remaining phases will be integrated into the strategic operations plans once that's been prepared. I think we have already pushed the first phase back into the next fiscal year, but we can go over that once we get more detail, and once we get approval from South Florida, we can decide on whether we want to take action on those trees or not. He asked if there were any questions;there were none. Mr. Messick: The next item is the Storm water Maintenance Plan and maintenance of the stormwater system. As requested, I got a proposal for Tying the entire stormwater management system, all the underground pipes. The copy of that proposal is attached in the exhibits. MRA gave us a price of$32,000 dollars. We still have the three structures that need additional work. We have included those three structures into our costs for the fiscal year 2022 and the Wing is not included at this time. Item 3 is the Strategic Operational Plan: We have gone through—we have started on—draft maps have been completed. I think they are working 3IPage 16I1 Flow Way Community Development District December 16, 2021 on the last couple. I have reviewed some of them and I would like to get those in your hands after the holiday break. I mean Jim needs to take a look at them first before we go to the Board, but we are working on evaluating, analyzing, the existing assets. We have reviewed approximately half of the assets; they've been investigated, and the next step is to assess and evaluate that inventory. The investigation is expected to be complete by the end of the month and we still need confirmation for maintenance and ownership of several of the landscape buffers and front area. I kind of put together some deliverables and percent completes. The fiscal year budget 2022 is attached and complete. We are working on almost halfway done, 40% complete,for fiscal year 2023. The 5 year CIP program is just getting started and is about 25% complete. The lake bank slope erosion reports are a little further along than 55%. We have completed and tallied all of the lake banks. We have approximately 77,000 lake bank feet in the lakes, and about 20,000 lake banks on the flow way. Together that's around 97,400 linear feet, about 18.4 miles of lake bank, that we have walked in the last couple of months. We will put that report together in January for Jim. Lastly is the Flow Way CDD Asset Valuation Report, an all encompassing report of the costs of the assets owned by Flow Way. I also included the revised estimates for operations for fiscal year 2022 and provided a table and definitions of those descriptions in that table. I am not going to get into detail on this, but I just wanted to give you a little snippet of what's to come. He asked if there were any questions. Mr. Miller: The littoral plantings that we see throughout the community, which have been expanding in the lakes, seem to have stopped expanding. Does it stop when it gets to a certain depth of water, or will those eventually encroach from shore to shore? Mr. Messick: No. they will stop. They only thrive in certain depths of lake area, so that they get enough sunlight through the environmental process of photosynthesis. They will spread all along the lake bank, and we try to keep them at bay to a point, but we do encourage those to protect the lakes, but you won't see them growing all the way across the lake. At some points we do try to keep the width of the littoral shelf limited so that you are not cutting away from the lake view that the residents have, but they are certainly there and a positive part of your storm water management plan. We want to keep a health amount there. Chairperson Stamp: I assume the exception to that is Lake 11 which is probably going to grow totally in with littorals or some kind of planting. Mr. Messick: Lake 11, as you know, they have proposed and constructed a littoral shelf for the southern half of that lake. During rainy season it will look like a wet marshy area, and during dry season it will be a littoral shelf. Chairperson Stamp: That's the one by the border of the Hatcher Property, Lake 11, the south end, we call it the mud pit. Mr.Joe Sicliano: What property does the CDD have control over? Looking at the map I couldn't find the lake behind my house. Chairperson Stamp: If you show us the map you are looking at, I'm sure we could get back to you. Give us your address and we can go look. 4IPage 16I1 Flow Way Community Development District December 16, 2021 Mr. Sicliano: It's very hard to identify which belongs to the CDD and which James P Ward, to the HOA. Chairperson Stamp: We have all the lakes at this point, so if there is a lake there, it is ours. It is our jurisdiction. Mr.Sicliano: (Indecipherable). Chairperson Stamp: That's a different question. Jimmy, did you hear that? Mr. Messick: No, you will have to repeat that for me. Chairperson Stamp: I think he would just like to have a better map that makes it clear which lakes are which, by number, so that it's easier for the residents to look at it and say I live on lake 2, or I live on lake 7. A better map than we currently have on the website. He would like the street names as well. Mr. Bhatla: Should we install signage at each of the lakes? We don't have signs there. Lake 2, Lake 7, so that it's easy to identify. Mr. Messick: I don't think signage at the lakes is necessary. We are working on CDD maps that we will provide to you, that you can put on your website, and they will be open for the public to look at and reference. They will be easy to read. They will have road names, and the lakes, so we can easily reference those moving forward. Mr. Miller: I agree with no signs. I think the people who would be looking at those signs would be unhappy. Chairperson Stamp: Did we get his name for the record? Mr. Ward recorded the speaker's name and address for the record. Mr. Bhatla: I assume that the inventory of the assets includes the groundwater wells and distribution system, and we are assuming responsibility of it. Mr. Ward: Correct. Mr. Messick: The last item is the USGS Surface Water Recorder Gauging Station Agreement. We discussed last month about receiving this and providing comments back to the District. They have modified it, and I have attached the agreement that I believe our legal team is in favor of and has accepted. If you could provide a digital signature or authorization for Jim to provide a digital signature, to get that back to the District, I would like to let them know we are on board for this coming dry season's installation at the location in our external preserves along our west property boundary line. Mr. Miller: One of your attachments was related to Taylor Morrison's original permit which shows quite a number of different items, like usages and permit fees, and I'm curious, were those SIPage 16I1 Flow Way Community Development District December 16, 2021 one-time permit fees that Taylor Morrison paid to get the permit? Or are these fees that are ongoing that we pay for the amount of water that we use? Mr. Bhatla: That is just a schedule, I think. Mr. Miller: Yes, but I don't understand what they mean. Were they original one-time fees or are they monthly or quarterly fees? Mr. Bhatla: Usually it is a one-time fee. I think it says we have to pay $300 dollars when we transfer the permit, but it is only a one-time fee. Mr. Miller: That's good. Ill. District Manager—JPWard&Associates, LLC a. Discussion of Future Operating Plans(Consideration of CGA Proposal) b. Financial Statements for period ending November 30,2021(unaudited) Mr. Ward: The revised operating expenditures for fiscal year 2022: Included in Jimmy's report was a chart that he and I both worked on with respect to the latest expenditure estimates based upon the fact that we have now terminated the homeowner's association agreement and that we have taken over the maintenance responsibilities for the assets that belong to the District. It is clear, what we had in the existing budget, and even in the higher budgets for operations, was woefully inadequate for handling what even the existing homeowner's association with resident control is paying for the operations and maintenance of all of those assets. The bad news is that there's about$700,000 dollars in expenditures that we will hit in operations only for the balance of this fiscal year. That clearly is over what we will have in cash at the end of the year in order to meet these operating expenditure requirements. At some point we will need to make the decision of what is outlined in this chart that Jimmy prepared for you for reductions in programs. The program reductions that I put in here are related to the preserves and obviously the drainage pipe video investigation for the year. As I said, that doesn't need to be made today, but that will have to be made. I want to point out to you also that our opening cash balance was $335,000 dollars when we started this fiscal year. If we expended all of the monies that are in this chart, we would be short over $200,000 dollars by September 30, so cash reductions, or reductions in certain programs, are going to be required at some point during the year. Even with the programs that are outlined in here, and the reductions that I anticipated, it is still going to bring our cash balance down to under$100,000 dollars with the reductions I've outlined, and that still doesn't meet our operating cash requirements going into the next fiscal year. So, this information I wanted to have available for you today. As I said, it is not urgent that we make decisions today, but going forward we are going to have to make some decisions on what to do. I will tell you; we do have under contract all of the vendors necessary to maintain the assets that are outlined here, and they have already started the work as of this point in time. Changes that we make going forward we will have to make over the next couple months or so. Mr. Kleck: What does our fiscal year end? Mr. Ward: October 1 through September 30 of 2022. Wage 16I 1 ' Flow Way Community Development District December 16, 2021 Mr. Miller: When I was looking at the financials, I was looking at the General Fund Balance Sheet, it has an item on there for $500,000-plus thousand dollars which has been designated as debt structure money, and I'm wondering if that is something totally obligated in order to fund the debt service or whether that is a contingency for debt service? Could some or all of that money potentially become available for the operating fund? Mr. Ward: Any of the monies that are in the debt service funds are for the bonds and are reserved solely for debt service. They can't be used for any other purpose. There are two basic accounts that we have in there. One is called a revenue account which is when the resident pays their assessment, that money goes in there to pay minimum debt service, and then there is a reserve account that is something you cannot touch. It is there in case of a default on the bonds, but it is pledged to the bond issue in its entirety through the life of those bonds. Mr. Miller: So, it will stay in the general fund, but it's not available for use? Mr. Ward: It's in what we call a debt service fund. It's available for use for principal and interest on bonds, but not for use in general operations. Chairperson Stamp: Clearly, we do not have to make a decision today. I would encourage people after the holidays to feel free to call Jim with specific questions or ideas, but with the responsibilities that Taylor Morrison has dumped on us for the lakes and for the preserves and the fencing and assuming the contracts from the HOA, we do not have enough money and some of these things are going to be cut. Whether we cut proportionately or we cut some of these out entirely, and what the consequences of those actions are, are things we are going to have to talk about going forward. Maybe in January or February. You have to present the budget June 30? Mr. Ward: I am required by law to present a budget to you no later than June 15. As I mentioned, I would like to get that to you no later than March or April. That gives us two or three months to go through the process. Assessment rates are obviously going to go up proportionately based upon what these new operating requirements are going to be. That's going to trigger a mailed notice public hearing to all residents on what the new assessment rates will be once we get to that, so I would like to have as much time as possible to get through that process before we have to finally adopt a budget generally by the mid to later part of August. Chairperson Stamp: If we did everything on here for next year what would that do to our rates? Mr. Ward: You are currently at$525 dollars per unit now. It's going to be$1,100 dollars to$1,300 dollars next year if we did everything based upon what I know today. Chairperson Stamp: So, we are going to have to talk about phasing some stuff in or doubling the rates. Mr. Kleck: The list of projects that we will be voting on to either cut or eliminate, will those be separated out so we can delineate which we need to discuss or how we are going to handle? Mr. Ward: Yes sir. We will do that for you. 7IPage 16I1 '4 Flow Way Community Development District December 16, 2021 Chairperson Stamp: Now that we are resident controlled, we can do that. We are going to do things in a little more democratic way. Mr. Bhatla: The landscaping at the entrance, we are planning on spending $108,000 dollars. Is that one time? That's pretty expensive. Mr. Ward: That is from basically December through September 30, 2022. A full year's budget will be slightly over that, but that's almost a whole year's maintenance program. Mr. Bhatla: You expect to stay at that? Mr. Ward: I expect it to go up in 2023 because this is basically only 11 months' worth of expenditures, so you are going to go up at least another month's worth of service, plus whatever the scope of service you all decide will be in 2023. Chairperson Stamp: You are going to see this chart several more times. There are going to be some choices that need to be made. Mr. Christopher Jackson: This is my first gated community. Is there that much disorganization for a community? I mean this community has been here for five,six years. Or is it just Taylor Morrison hand-over time and now things are hell in a hand-basket? Chairperson Stamp: I would say it's the latter. Mr.Sicliano: This just sounds like monetary disorganization, and I'm not an accountant, but it does not sound good for a resident who bought here and expects to live here for quite some time. Chairperson Stamp: Taylor Morrison clearly did not do much, or any, maintenance over the lakes, the fencing around the preserves, and they have thrown all that to us. The lakes are around $900,000 in things that need to be done, and there is $190,000 dollars' worth of fencing that should have been done. The south weir was in danger of being eroded away, and they just threw all that at us. Discussion ensued regarding Taylor Morrison's negligence and the lawsuit; needing to make decisions regarding the budget prior to resolution of the lawsuit; and Taylor Morrison having control of the Board upon creation of the community until recently. Mr. Sicliano stated he felt there should have been some due diligence by the Board prior to taking on this budget. Mr. Woods: You have to appreciate the size of this community and how many different issues there are, and then engineering reports take months. Once turnover occurs, then you have control of financing, and you have control of force. That's when you do the investigation and develop a final solution. Mr.Sicliano:(Indecipherable). Wage i 6 I 1 Flow Way Community Development District December 16, 2021 Chairperson Stamp: It's an automatic turnover. There didn't have to be an agreement. It wasn't a voluntary transaction. Discussion continued regarding the turnover of control from Taylor Morrison to the residents. Mr. Sicliano: This community, a lot of it is being run by corporate components, but you've got to realize there is also social political components, which is sticky and horrible and noisy, so my advice to both boards is when these things come up, give a foundation. Don't just say we stepped in the pond, and it was 10 feet deep, not 2 feet, so give us something on social political(indecipherable). Just communication. Ms. Jackson: I'm in Coach Homes III, turning over at the end of January, so I'm a member on the Board with Taylor Morrison, so I've had the exact problem you were saying. I have my list of things and I can't get anything done, and I'm trying to get things done before they turn over, but I can't get these things done. (Indecipherable). I tried to get things done but got the runaround from Taylor Morrison and trying to get things fixed. The CDD did the right thing and I appreciate that. (Indecipherable), but they still won't do it, I've documented this, but I'm in that same situation where I have no real power. So, I appreciate the situation you are in. FIFTH ORDER OF BUSINESS Old Business Future Funding of Preserve Mitigation and Maintenance Chairperson Stamp: Obviously, this gets rolled up in the budget discussions we are going to have. SIXTH ORDER OF BUSINESS Audience Comments Audience Comments: Public comment period is for items NOT listed on the Agenda, comments are limited to three (3) minutes per person, assignment of speaking time is not permitted, however the Presiding Officer may extend or reduce the time for the public comment period consistent with Section 286.0114, Florida Statutes Chairperson Stamp asked if there were any additional audience comments. Mr. Sicliano: I have some questions. The first thing is, the CDD, the budget runs from October 31 through October 31, correct? Mr. Ward: October 1 through September 30. Mr.Sicliano: The HOA, their budget runs from January 1? They are on a calendar budget? Mr. Miller: A calendar I believe. Mr. Sicliano: When it comes to money allocation to (indecipherable). Is there any way you can retro- settle this and then both entities (indecipherable) on the same budget? I know you have to work up a Chapter 190 and there just so much room you have for legal, but if you think about it, we are on two 9IPage 16I1 :. Flow Way Community Development District December 16, 2021 different budget years, and you have to make their projections. They have to make their projections. Your projections are going to over run theirs. They don't have any money set aside. Think about if it's legally possible to work out some sort of deal(indecipherable) the same budget year. Now is the time to do it, when it's in its infancy, before budgets start, and money gets put aside for (indecipherable). The other one is, and a lot of it is dealing with the process. The CDD is going to take over the operation, maintenance and care of many parts of this facility, so I would ask the CDD to come up with a preventative maintenance plan, in which you will identify all of your equipment, make, model, serial numbers, etc., and then share that with the HOA, so the HOA can see you are maintaining the assets. That's an important part. It's a big process. You can both work together. The HOA can — Taylor Morrison may still have this data — Taylor Morrison should have had a preventative maintenance schedule, but I don't know where it is. (Indecipherable). There should be some continuity of records. I'm going to tell you what the answer is: (indecipherable). They work for the HOA, but they worked under direction of Taylor Morrison. Mr. Kleck: I don't think so. (Indecipherable). Mr. Sicliano: (Indecipherable) with Taylor Morrison paying bills. Who paid them, Taylor Morrison, or the HOA? Mr. Kleck: I don't think— Mr. Sicliano: I'm not trying to sandbag it but look into it. Plus, (indecipherable) was here before, so technically there should be a lot of continuity of records with the ARC as far as what was approved, what wasn't. I suspect everybody is going to say I was just following orders and those records were left with Taylor Morrison. That's probably what you are going to get, but you should look back and talk to these people and try to maintain some continuity. The next thing, the budget: (indecipherable). Statute 190. You were issued these bonds which we have to pay off. What interest rate were those bonds issued at? Chairperson Stamp: It's about 4.5 across the board. Mr.Sicliano:(Indecipherable)reissued here? Chairperson Stamp: 10 years. Mr. Sicliano: Okay, so we have a little more time, but sometimes (indecipherable), we might want to refinance. Chairperson Stamp: We'd love to do it today. Mr. Miller: We are keenly aware of the refinance situation. The bonds have a 10 year call privilege like other bonds on the open market, so we cannot call those bonds for 10 years. We then have the privilege of refinancing. This Board is aware of that, and I promise you we will be on top of that. But I want to take it a step further in that there are probably five or six phases of bonds which have been issued and they can only each be refinanced after a 10 year call period. So, the 2013 bonds will be eligible for refinancing in 2023. You may be living in a phase that is 3 years after that. Refinancing of the bonds of the phase you are living in may not be the first ones because each bond issuance has a 10 year call period. 10IPage i. 6 l 1 A Flow Way Community Development District December 16, 2021 Mr. Sicliano:1 realize that. All I said is(indecipherable). 1 realize there is a process, but it is coming up on some of them in the next 3 to 5 years and you should look at it; maybe interest rates will be better. You can't do a bond issue by going to a local bank either. I realize that too. But the general statement is, one day they can be refinanced, and I assume you will look at the rates. Mr. Miller: Indeed, we are looking at that. Mr. Sicliano: The CDD has a lot of power. It can raise, through our annual taxes, the fees. Whatever the CDD agrees to, the HOA has no authority to approve or disapprove. We just have to pay it. Now, to be a member of the CDD you have to be a citizen of the United States, and a resident of Florida. You don't have to be a resident of Esplanade. Mr.Stamp: Yes, you do. Mr. Sicliano: I'm just going to warn you about this, looking at the Board Members, what happens is, if there is a vacancy, or an election, or need to fill that spot until it turns over. Chairperson Stamp: We are aware of that. That's how Bart got here. Mr. Sicliano:(Indecipherable). Why not(indecipherable)a CDD through these appointments, that there's a majority of 9 residents on there(indecipherable). Mr. Ward: That's actually not true. Two of your points are correct, the rest of it is they have to be a registered voter here in Collier County and live in Esplanade. Discussion continued regarding how individuals were appointed to the CDD and the legal requirements to be a qualifying Board Member. Mr. 53:00:(Indecipherable). Chairperson Stamp: Send us the letter. We will respond. Mr.Sicliano: (Indecipherable). Mr. Ward: That is not true. Chairperson Stamp: Legally, we cannot. Mr.Sicliano: (Indecipherable). Last one, I read about in a previous (indecipherable). In your contracts do you have clauses for terminating with or without cause? Or just a 30 termination clause? How do you terminate the agreement with the COD? The CDD may have (indecipherable) with cause or without cause, and some people may say it will never happen, but trust me, I've seen it happen, and be careful about these clauses. (Indecipherable). You should get something in writing. (Indecipherable). Mr. Chris Jackson:It's just come to my attention that the new development Hatcher will not be paying or will be paying a reduced price and why is that? Because another 34 homes would help everyone else to take on the burden. 11IPage 41 Flow Way Community Development District December 16,2021 Chairperson Stamp: They do not have the bond portion to pay because we as a Board say Taylor Morrison should pay that. We are not going to fund any more bonds for Taylor Morrison. They will pay the operation and maintenance fees just like everyone else. Some of them may be surprised when they get the bill because I think Taylor Morrison made them think they might not be paying that, but they will be paying that. Is there anything else to come before the Board? Mr. Miller: I recently came across some information that stated with respect to a majority of the external preserves that they have not yet met the success criteria, and the success criteria is expected to be met in 2022 or 2023. Does anybody know, does Taylor Morrison as the permittee, have responsibilities to follow through on that success criteria? Or have they done a Pontius Pilot washing of the hands? Mr. Woods: It is not a clear issue. It depends on what the court says honestly. We technically own them now. It is one of our positions in the lawsuit, that they should comply with all of their obligations to the community, including those set forth in the permits. That's one of the things we are litigating. Mr. Miller: So, they would be alleging that we (indecipherable)and it's not their problem? Mr. Woods: They are alleging that we are the owner, so it's our problem. That's what their contention is. Chairperson Stamp: That's part of what they have thrown at us and just from speaking quickly on my deposition, they kept reiterating what a big favor they have done for us, and we should be very appreciative of the obligation of the preserves. SEVENTH ORDER OF BUSINESS Announcement of Next Meeting Announcement of Next Meeting—January 20,2022 Quorum Call for January 20,2022 EIGHTH ORDER OF BUSINESS Adjournment Chairperson Stamp: Okay,motion to adjourn, anybody? On MOTION made by Mr. Ron Miller,seconded by Mr.Tom Kleck, and with all in favor,the Meeting was adjourned. Flow Way Co elopment District • �ei* eV P.Ward,Secretary Zac Stamp,Chairpers 12IPage