.	MINUTES OF :MEETING		
GARDENS AT HAMMOCK BEACH		
COMMUNITY DEVELOPMENT DISTRICT		
The	of Supervisors of the		
meeting of the Board			
	Gardens at Hammock Beach Community		
Development			
District was held on Monday, June 5, 2018 at 9:30 a.m. at City Centre at Palm		
Coast Town Center, 145 City Place, Suite 300, Palm Coast, Florida.		
Present and constituting a quorum were:		
Kenneth Belshe	Chairman		
Clint Smith	Vice Chairman		
Daniel Baker	Assistant Secretary		
Carlton Grant	Assistant Secretary		
William Livingston	Assistant Secretary		
Also present was:			
George Flint	District Manager		

FIRST

ORDER

OF

BUSINESS

Roll Call

Mr.

however, a

Flint called resignation

the meeting to order at 9:00 a.m.	Mr. Baker and Mr.	
	Grant were present;	
was received from Terry Bechtold, which reduced the	
	number of Board	

Members to two.	The rules contemplate that when you have two members, a third person could

be

appointed for purposes

of

a quorum.

SECOND

ORDER

OF

BUSINESS

Public Comment Period

There being none, the next item followed.

TIDRD

ORDER

OF

BUSNESS

Organizational Matters

Mr. Flint:	Before we accept the		
	resignation of Terry Bechtold,		
For purposes of a	quorum, the two remaining Board Members need to		
			
to conduct .business.  Are there any nominations?		
Mr.	I nominate Kenneth Belshe to Seat 3.		
Baker:			

we have three seats appoint someone in

open. order

June

5, 2018

Gardens

at

Hammock

Beach

CDD

On	Mr.	Baker, seconded by	Mr.			
MOTION by				Grant, with all in		
favor, the appointment of				
				
		Kenneth Belshe to Seat 3, was aooroved.		

Mr.

Flint administered the

Oath

of

Office

to

Mr.

Be/she.

Mr.  Flint:	I	will  notarize the  oath for  you.	In	your  Supervisor packet,  there  is an		
								
informational	sheet and Form	1, Statement of Financial	Interest, which is a financial disclosure		

form							Florida,														
required by the State of		which has to be filed with the					
																	Supervisor of Elections in		
the County that you live in.  It is important to file this form within 30	days of today's meeting,		
																				
because	it's tracked by	the Commission on	Ethics, and you have the					
																	potential of being fined $25		
a																						
day, for maximum of	$1,500.	Each year, the	Supervisor of Elections will			
										
																			mail a renewal to you		
on June	1, which is due on July	I of														
								each year.  When you leave the Board, you must file Form		
IF within 60	days	of leaving the Board.	We	will mail Form	IF to you as a			
																			reminder, but we		
included it in here for your information.		As	a Board member, under  Chapter  190, you are		
entitled	to  receive	compensation  of	$200  per meeting.	If	you  don't	choose	to  accept  the		

compensation, you can waive it.  In this case, you would probably be			of one pocket		
																	taking it out			
and putting it in the other.	It's	up to the Board	Members on whether you choose to waive it or		

accept it.	If you choose to	accept it, W-4 and I-9	Forms are in your packet.				

Mr.

Belshe:	Is the form to waive or accept in here?

	Mr.	Flint:  You	would waive it on the						
								record.  If you accept it, you can file the W-4 and 1-		
9 Forms	with my office, as we process those payments.  As a Board Member, you are a public		
				
official, so	you are subject to the Sunshine and Public Record Laws and other laws that apply to		
					
public officials.	I'm	sure that you are	aware	of those laws.  The	Government in the Sunshine		

													
Law is the	most	important one.   The	basic  premise  is that you cannot	talk to other Board		
														
Members about CDD  business,	outside of a	publicly	noticed meeting.   That goes for texts,		

emails, verbal communication, that	of thing.  The other important law has to do with public		
							sort			
records.		Anything you have in your possession that's CDD related, could be subject to a public		
				
records	request,  so we always suggest that you keep it separate from your other business or		
			
personal information.										

A.

Acceptance

of

Resignation

of

Terry Bechtold

Mr.

resignation

Flint: Since we now have three Board Members, the Board can accept the from Mr. Bechtold.

2

June

5,

2018

Gardens

at

Hammock Beach CDD

On MOTION

favor, the resi

by Mr. Baker, ation of Te

seconded by Mr. Grant, Bechtold, was acce ted.

with

all in

B.

Discussion

of

Appointment

of

Individuals to Fulfill Board Vacancies

Mr.

seats?

Mr.

Flint:  We have two remaining seats.  Are there any nominations to fill		
Belshe:	I nominate Bill Livingston and Clint Smith.		
On		Belshe,				
MOTION by Mr.		seconded by Mr. Baker, with all in		
favor, the				
	appointments of Bill Livingston and	Clint Smith to the		
CDD Board. were approved.				

either

of

those

to

Mr.

C.	Administration of Oath of Office to	
	Newly Appointed Board Members	
Mr.	Flint being a Notary	
	Public of the State ofFlorida administered the Oaths of Office	
Livingston and Mr. Smith.	

D.

Consideration

of

Resolution 2018-01 Electing Officers

	Mr. Flint:  Resolution 2018-01	provides for the election of a			
											Chairman, Vice Chairman,		
Secretary,		Assistant  Secretary,  Treasurer  and  Assistant  Treasurer.   The  Chairman  and  Vice		
					
Chairman must  be  Board Members.   The other offices do  not need to  be Board Members.		
Typically,		the	Chairman and Vice  Chairman are Board Members and the other three Board		
						
Members would be Assistant	Secretaries, so	they can attest the signature if they need to, of the		
										
Chairman and	Vice Chairman.   The District Manager has historically been Secretary and the		
						
District	Accountant serves as Treasurer.   That allows us to  administratively handle the bank		
			
accounts,	sign checks,	etc.	I	request that I	be	appointed	an Assistant	Secretary and that the		

Accountant, Ariel Lovera, be elected Assistant Treasurer.				
Mr.	Belshe:  I think	we	should do it in the easiest and efficient way.		

Mr. Livingston:	I propose electing Ken as Chairman, Clint as Vice Chairman, I will be		
an Assistant											
			Secretary, George will be Secretary and the Accountant as Assistant Treasurer.		

3

June

5,

2018

Gardens

at Hammock Beach CDD

On		Livingston, seconded by Mr. Smith, with all		
in	MOTION by Mr.			
	favor,  Resolution  2018-01   Electing  Officers,  designating		
Kenneth	Belshe  as	Chairman,  Clint	Smith  as  Vice  Chairman,		
						
Daniel Baker, Carlton Grant and William Livingston as Assistant		
Secretaries,  George  Flint  as  Secretary  and  Ariel  Lovera  as		
Treasurer, was adopted.			

FOURTH

ORDER

OF

BUSINESS

Approval

Meeting

of

Minutes

of

the  July	17,  2017

Mr.

Flint: _The minutes were provided in the agenda package.

Mr.	Belshe:	I assume that	the new Board Members		
					
weren't in attendance at that meeting.		
Mr.	Flint:  You are			
		required to vote on the minutes.  The		
if you have a conflict of interest.			
	On MOTION by Mr.	Baker, seconded by Mr.		
	favor, the			
		minutes of the July 17, 2017 meeting,		
	approved.			

don't have to vote,  because we

only time that you cannot vote is

Grant, with all in as presented, was

FIFTH ORDER OF BUSINESS

Consideration Assignment of

of	District   Consent	to		
				
Developer Funding Agreement		

Mr.

Flint:  In the current fiscal year, the budget was attached to	a Developer Funding	

Agreement, that obligated the Hammock Beach River Club, LLC.

to

fund the expenses

of

the

District.	As  part

of

the  transaction,  the  Funding  Agreement  was  assigned  to  Palm  Coast

Intercoastal, LLC., so this consent is consenting to that assignment.  There will be a new Funding		
Agreement in August when you adopt your budget for next year, as this consent expires at the		
end of the fiscal year.										
On	Mr.	Belshe, seconded by Mr.	Smith, with all in			
MOTION by						
favor,   approving	the  District's	Consent	to	Assignment	of			
Developer Funding Agreement, was approved.							
SIXTH ORDER OF BUSINESS	Consideration	of	Resolution	2018-02		
							
		Approving  the  Proposed  Fiscal  Year  2019		
		Budget and Setting a Public Hearing			

4

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5,

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at Hammock Beach CDD

	Mr. Flint:  Resolution 2018-02 approves the Proposed				
														Budget and sets the date, place and		
time of the  public	hearing for  its final	consideration.   The Board is required to  approved a		
							
Proposed	Budget by June	15	th	of each year.  It's	not a binding	document, but it is a requirement.		

																	
There is also a requirement that we send the budget to Flagler County, at least 60 days before the		
public hearing.  They have the ability to comment on it.  They don't have any approval authority.		
We've never received a comment from Flagler County or any other city or county we ever sent		
one to, but it is a	process that we have to go through.  The Proposed Budget is not binding on the		
					
Board.  You can make changes						at the public hearing, if the Board chooses to.		
								between now and			
	Mr. Belshe:  You can't increase it though, right?				
	Mr. Flint:  At this point, it's a Developer Funding Agreement for the Operating Budget,		
so you could increase it.	If we imposed	assessments, then there are some additional noticing		
															
requirements that we would have to go	through,	if it was going to	increase.  At this point, this		

budget	could go up or down, because no	assessments are associated with it.		

	Mr. Baker:  Just for context, we established the budget in the event that we wanted to		
activate the					it was a								
		development, so		placeholder, but we operated efficiently.  You may want to		
													
take a look at the structure.														
	Mr. Belshe:  The actual is not much.					
	Mr. Baker:  George did a	good job	and I recommend the continuation of GMS.		
													
	Mr. Flint:  Obviously, this is not a realistic budget going forward, but you can amend the		
budget at any time,	if you	chose to do it later.   The bottom line is, because you don't have		
								
assessments funding this, you											
							have a lot of flexibility.				
	Mr. Belshe:  What is the	actual cost of operation for a year?			
												
	Mr. Baker:  $4,000.														
	Mr. Flint:  That is for two meetings and GMS charges $2,000.  There are also bank fees		
and advertising costs.														
	Mr. Belshe:  You don't have an attorney or engineer.				
	Mr. Flint:  No, so I	recommend that you engage District Counsel and a District Engineer.		
							
Are there any other questions on the proposed budget?  Hearing none, we need a motion to		
approve the Resolution.														

5

(

June 5, 2018		Gardens at		
				
		Hammock Beach CDD		
On				
MOTION by Mr. Belshe, seconded by Mr.	Smith, with all in		
favor,  Resolution 2018-02 Approving the Proposed  Fiscal  Year		
2019 Budget and Setting a Public Hearing for August 20, 2018 at		
9:30 a.m. at the City Centre at Palm Coast Town Center, 145 City		
Place, Suite 300, Palm Coast, Florida, was adopted.		
SEVENTH ORDER OF BUSINESS	Staff Reports			

A.	District Manager's Report

				i.		Balance Sheet and Income Statement								
														
		Mr.	Flint:	You have the unaudited financial  statements through April 30, 2017.  No		
							
action is	required by the Board.	I	will note on Page 4, that the schedule needs to be corrected.		
							
There are no outstanding funding requests.												
		Mr. Belshe:  You have some money in the bank.									
		Mr.	Baker:	$466.99.															
		Mr.	Flint:  Part of that was to cover bank fees.									
				ii.		Ratification	of												
											Fiscal Year 2017 Funding Request #5			
		Mr.	Flint:		Funding		Request #5, in the	amount	of $1,110.99, was	paid on February 12,		

																						
2018.  This								It includes advertising, FedEx and bank fees.	It has		
				was for the prior fiscal year.				
already been																			
				funded, so we are asking for the	Board to ratify it.							
																				
				On	MOTION by Mr. Belshe, seconded by Mr.	Livingston, with all			
				in						
					favor, ratification	of Funding Request					
							#5 for	Fiscal Year 2017,			
											
				was approved.											
																		
				iii.		Presentation of Number of									
														Registered Voters - 0					
		Mr.	Flint:	We are																	
						required each year to				registered voters within		
														announce the number of			
the	District as of	April 15	th	•	We	included a letter				of				
																		
														from the Supervisor		Elections, indicating		
																						
that		there  are no	registered	voters	within the	boundaries of the District.	Once you hit 250		

																						
registered voters	and the District is six years old,	of the five seats					
														,two		transition to General		
																					
Election,																					
		which means you have to live within the District and be a registered voter, to serve on		
the Board.  Each year we track this, as required by the Florida Statutes.  There is no action on		
that.																						
				iv.		Designation of November 26, 2018 as								
															Landowners' Meeting Date			

6

June

5,

2018

Gardens

at

Hammock Beach

CDD

Mr.	Flint:		There  is  a	Landowners'  Meeting	that	needs	to  be		scheduled  for  this		

November.	It can	occur at any time in	November.	We	are suggesting November 26, 2018,		

which  is	the	Monday	after	Thanksgiving,  but it's	not	a	Board  Meeting,	it's  a  Landowner		
																									
Election.	The only one who needs to attend is a landowner or proxyholder				
						
																					that is designated by		
the landowner	and myself.	A sample agenda for the Landowner Election is in your agenda		
							
package, as																						
			well as the form of the														
											landowner proxy.									
Mr. Baker:  All you have to do is sign a	proxy as the landowner or Jerry could sign it.		
																	
Mr. Flint:  You can make anyone a proxyholder.								
Mr. Baker:	I never	went to one.	I always	signed a proxy.					

Mr.	Flint:		If	you are okay	with that date, I would ask for a motion designating November		

26, 2018 as the Landowners' Meeting.													
			On	MOTION by Mr. Belshe, seconded by Mr.	Smith, with all in		
									
			favor,  designating  November  26,  2018					
				as  the  Landowners'		
			Meeting, was approved.													
EIGHTH ORDER OF BUSINESS				Other Business					
Mr. Flint:	That's all we have on	the											
														agenda.  Is there any other business?		
Mr.																							
		Belshe:  How is the District named in the agreement?  There was a prohibition on the		
use of certain names.																			
Mr. Baker:  Correct.																	
Mr. Belshe:	Obviously, this is a standalone legal entity.	I don't know how anybody feels		
									
about the	name	of	the District.																
																			
Mr. Grant:  Is there a process to change the name?								
Mr.	Flint:		You	have the petition Flagler County to	amend it.	It's	not as easy as you		

																								
think, to change						a															
				the name of																
										Government, and there would be some costs			
																						associated with it.		
You would want to engage in an attorney to prepare a petition to submit to the County.		
Mr. Belshe:	Daniel, as you understand it, did that prohibition include using this?		
								
Mr. Baker:		I	thought about it when I saw this agenda.	It's not a marketing tool.  I can		
										
talk to our folks	and see	if it's	a hard	and fast process.									

7

June

5,

2018

Gardens at Hammock Beach CDD

Mr.	Belshe:	If you decide to						
						issue bonds, it would be worth going through the process,		
because	of the confusion of having						
						the CDD called				
								"Gardens at Hammock		
										Beach", when you		
call the	development "Casa					it's fine.			
				__. " In the meantime,				
Mr.	Grant:  We will just leave it	alone for now.				
											
Mr.	Baker:		That's fine.								
												
Mr.	Flint:  Normally the							
					CDD's name is not				
								out front anyway.		
Mr.	Belshe:	Eventually, down the road, there will be elections and people will have signs		
						
out in their	yard.	If you make the						
						decision not to use the CDD for anything, then it should be		
dissolved, because there• s an ongoing						
						cost of having it.			
Mr.	Flint:  We can deal	with that later, if				
								you want to.  Is there anything else?		
Mr.	Baker:	In terms of	my						
						seat on the Board, I	appreciate all	of your		
										service, George and		
the												
opportunity to participate in setting up this CDD, but that service has come to an end, so I am		
going to formally resign		I will						
				my seat.							
						send a formal letter.			
Mr. Flint:  We need a				Mr.				
				motion to accept					
								Baker's resignation.		

On MOTION by Mr.

favor, the resignation

Belshe, seconded by Mr. Smith, with all in of Daniel Baker, was accepted.

Mr.

Grant:  George,	following Daniel's resignation,	I would like to formally submit my		

resignation.								
Mr. Flint:  We need a motion to accept Mr. Grant's resignation.		
On								
MOTION by Mr. Belshe,	seconded by	Mr.	Smith, with all in		
favor, the						
	of Carlton		was				
resign.ation		Grant,		accepted.		

NINTH ORDER OF BUSINESS

Supervisor's Request

	Mr. Flint:  Is						
			there anything else from the Board?					
	Mr. Belshe:  Yes.  Is our next meeting, August 20	th	?			
									
	Mr.	Flint:	Yes.  Its set by Resolution, for the	primary purpose	of		
							
							adopting the annual		
budget.	The public hearing was scheduled for August 20, 2018 at 9:30 a.m. at this location.		
			
	Mr.	Belshe:	Could it be held by telephone?						

8

June

5,

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Gardens

at

Hammock

Beach

CDD

Mr. Flint:	You	
	need to have three Board members physically here.	
phone or not attend.	

They

could

be

on

the

Mr.	I will not be in the State on August 20	th	•				
	Belshe:							
Mr.	Smith:	I may not be here either.								
										
Mr.	Flint:  Do we want to								
		reconsider the Resolution?				
Mr. Belshe:  Is there a date certain that the public hearing has to occur before?		
Mr.	Flint:	It must happen before September 30  •		If you were			
				th				doing assessments, the		
										
public hearing									
	must occur in August, but since you are not issuing assessments, you can schedule		
the public				, which is the end of the Fiscal Year.		
hearing all the way up to September 30	th			
										
Mr. Belshe:  Can we								
		choose that date later or does it need to be done today?		
Mr. Flint:  It					need to advertise it.		
		should be set by Resolution, because we			
Mr.	Belshe:	I								
		would like to go out as far as we can.						

***Due to a technical issue with the audio recording, summarized. ***

the

remainder

of

the meeting was

On			
MOTION by Mr. Belshe, seconded by Mr. Smith, with all in	
favor,	amending  the  adoption of	
		Resolution 2018-02  Approving	
the Proposed Fiscal Year 2019 Budget, to reschedule the Public	
Hearing for September 18, 2018 at 9:30 a.m. at the City Centre at	
Palm Coast Town		
	Center, 145 City Place, Suite 300, Palm Coast,	
Florida, was approved.		
TENTH ORDER OF BUSINESS	Adjournment	

On MOTION by Mr.

in favor, the meeting

Smith, seconded was adj ourned.

by

Mr.

Livingston, with all

ce.±:::-:1~

Chairman / Vice Chairman

9