MINUTES OF MEETING BELLA COLLINA
COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Bella Collina Community Development District was held Thursday, July 14, 2022 at 9:30 a.m. at the Bella Collina Clubhouse, 16350 Yetta Drive, Montverde, Florida.

Present and constituting a quorum were:

Randall Greene David Burman Duane Owen Andrew Gorrill Dewitt Holt by phone

Also present were:

Jason Showe Kristen Trucco
Steve Boyd by phone Jim Boyd by phone Alan Scheerer by phone

FIRST ORDER OF BUSINESS

Chairman
Vice Chairman Assistant Secretary Assistant Secretary Assistant Secretary

District Manager District Counsel District Engineer District Engineer Field Manager

Roll Call

Mr. Showe called the meeting to order. Four members of the Board were present constituting a quorum.

SECOND ORDER OF BUSINESS	Public Comment Period
Mr. Showe: There are only members of the District staff and the Board present.

THIRD ORDER OF BUSINESS	Approval of Minutes of the April 14, 2022
Meeting
Mr. Showe: You have the April 14, 2022 meeting minutes, those are included as part of your agenda package. We can take any corrections, changes, or a motion to approve.
Mr. Greene: I had no changes.

On MOTION by Mr. Greene, seconded by Mr. Burman, with all in favor, the Minutes of the April 14, 2022 Meeting, were approved as presented.

FOURTH ORDER OF BUSINESS	Review and Acceptance of Fiscal Year
2021 Audit Report
Mr. Showe: Next is review and acceptance of Fiscal Year 2021 audit. We have included that in your agenda and we have it as a hard copy. If you go to the last page, you will see the summary of the letter to management. Essentially these are all the categories that are required under Florida statutes to be reviewed. There are no prior year findings, there are no current year findings, and it is a clean audit for all purposes. Counsel, did you have any other comments on that?
Ms. Trucco: No, we would recommend approval.

On MOTION by Mr. Greene, seconded by Mr. Gorrill, with all in favor, Accepting the Fiscal Year 2021 Audit Report, was approved.

FIFTH ORDER OF BUSINESS	Consideration of Amendment to Interlocal
Services Boundary Agreement
Mr. Showe: Next is an amendment to the Interlocal Services Boundary Agreement. I believe this was presented to us from Lake County. I will let Counsel run through it with you.
Ms. Trucco: In 2010, the CDD entered into an Interlocal Agreement with the town of Montverde, the city of Clermont, Minneola, and Lake County. This identified lands that they deemed logical for future annexation into the cities and also set forth some guidelines regarding the density designation of the Ferndale Special Area. In that agreement, it stated that Ferndale Special Area was designated as conservation and rural. Since 2010, the Lake County Land Comprehensive Plan for 2030 has changed that designation from rural and conservation to permitting 1 dwelling unit per every 5 acres. The parties of the 2010 agreement would like to amend that Interlocal Agreement to change the density designation of the Ferndale Special Area to reflect the 2030 Land Comprehensive Plan of permitting 1 dwelling unit per every 5 acres of land.
Mr. Showe: This doesn't affect the CDD at all.
Ms. Trucco: We would just be looking for a motion to approve the amendment.

On MOTION by Mr. Greene, seconded by Mr. Burman, with all in favor, the Amendment to Interlocal Services Boundary Agreement, was approved.

SIXTH ORDER OF BUSINESS	Discussion of Booster Pump for Potable
Water / Fire Protection Service to Hilltop Future Development Area
Mr. Showe: Next up is the discussion on the booster pump for the potable water. Steve Boyd is on to discuss that.
Mr. Steve Boyd: This is on your agenda today for discussion as a result of the proposed Hilltop development which is just south of the wastewater treatment plant. Currently there is a plan for some single-family homes on the Hilltop. The water distribution system has been designed, but from Jim Boyd's evaluation of that we determined that due to the elevation, there is not sufficient pressure from the wastewater plant to provide fire protection at adequate levels at the Hilltop. After discussing this with Jim, he evaluated the plan they had prepared and looked at different routings of waterlines to get to the Hilltop. It is necessary for a booster pump to be installed in the plant to get fire protection to the Hilltop. The purpose of this being on the agenda is to initiate the conversation that would need to happen for the District to design and then build a booster pump that would provide adequate fire protection water pressure to the Hilltop. I don't know if it can be done concurrently with the other ones that are being done now. I wanted to get this on the agenda so the conversation could be started, and a plan could be put together. Jim is present as well. Jim, if you are able to weigh in on that, I would appreciate that.
Mr. Jim Boyd: Sure Steve, the original deMgn didn't contemplate serving the residential
area on top of the Hilltop especially at the elevations that are there that are proposed on the new
grading plan that was developed by Steve's company. There is an elevation difference of about 67 feet between the water plant site and the grading, which is about 30 PSI of pressure. The pressure
is typically around 60 PSI, so if nothing was done, the best case for the pressure on the Hilltop would be about 30 PSI and then when you start talking about delivering fire protection to that area, there is no way you could get there without having a pressure boost. I think it makes sense to put a booster plant station at the water plant site. Another important reason being that that the site already has emergency power, and it is obviously very important for fire protection purposes, that this station be provided with emergency power. So essentially, we could just tie into the electrical system at the existing water plant site and tie into that existing generator that is there. Then you

would have a reliable system and it also allows you to eliminate a lot of post piping too that was showing on Steve's original plan. From an overall standpoint, from a liability standpoint and a service standpoint, I think it is necessary to construct that station on site.
Mr. Greene: Do we have a cost of the station?
Mr. Jim Boyd: I've sent one recently in the Celebration area. That was about $350,000. I think this one will be less because the one I just did had a higher capacity. Steve, what is the desired flow you are shooting for on the Hilltop?
Mr. Steve Boyd: I think we are looking at about 1500 GPM.
Mr. Jim Boyd: Okay. That is fairly sizable. I guess for budgeting purposes, I think the
$350,000 is a good budget number at this point in time.
Mr. Greene: Steve, how many units will be designed to serve in total?
Mr. Steve Boyd: I believe we've got 67 and that includes some that are not on the Hilltop.
I don't have the exact number. It is probably around 40 lots.
Mr. Showe: For the folks on the phone, both Steve and Jim, is this just to start the conversation and then you guys need to do some preliminary work and bring more back?
Mr. Steve Boyd: I guess what we need to happen and do is probably need to get a proposal from Jim and then present that to the Board and whether it is a CDD project or a joint developer CDD project, to determine how to move forward at that point. I think the first step is probably a formal proposal that could then be acted upon. We wanted to discuss it today, so everyone was aware of the situation and then be ready to take the next step.
Mr. Showe: Is there any direction from the Board not to proceed with the given quote? Mr. Greene: I think we should proceed.
Mr. Showe: Jim, if you want to go ahead and coordinate getting us a proposal for the future. Mr. Jim Boyd: Okay. Will do.
Mr. Showe: Perfect. Thank you.

SEVENTH ORDER OF BUSINESS	Public Hearing
Consideration of Resolution 2022-02 Adopting the Fiscal Year 2023 Budget and Relating to the Annual Appropriations
Mr. Showe: The next item we have is our budget section. We have two resolutions. Is there a motion to go ahead and open the public hearing for the budget?

On MOTION by Mr. Burman, seconded by Mr. Greene, with all in favor, Opening the Public Hearing, was approved.

Mr. Showe: We have two resolutions under our public hearing. The first is the consideration of Resolution 2022-02 which is adopting the Fiscal Year 2023 budget. That 2023 budget is included as part of your agenda and it is similar to what you saw as your proposed budget. There is no proposed assessment increase and I think it is pretty much in line with the same budgets you've seen over the past few years for some minor increases for inflation. For purposes of the recording, I will note again that there are only members of staff and the Board present, so there is no one to provide any public comments. We can open it up for the Board to ask any questions on the budget or a motion to approve if you don't have any questions.
Mr. Greene: I have a few questions. Mr. Showe: Sure.
Mr. Greene: What were the line items that were accounted for inflation?
Mr. Showe: We've got both the pond maintenance and the field maintenance. We don't have a whole lot on the general fund side.
Mr. Trucco: The Trustee fee went up to $1,500.
Mr. Showe: It's $3,500. That one actually went down over the current year. Mr. Trucco: Oh, I'm sorry. You're correct. That did go down by $1,500.
Mr. Showe: Yes, the insurance actually increases, but we are seeing that on all of our Districts throughout. Your general fund is pretty limited. It is normally the water and sewer.
Mr. Greene: So mostly it is tied to the fuel.
Mr. Showe: Yes. When you look at the maintenance side on the water and sewer obviously there is some landscape increases, fuel increases, and some of those things we expected. We are seeing that in all our Districts. We are fortunate that we are not projecting any assessment increases here.
Mr. Greene: I fully understand. What is the overall percentage? Mr. Showe: The overall is the same.
Mr. Greene: Oh, I'm sorry. Are we talking mostly minor line items?
Mr. Showe: Oh yes. It is very minor. For most of our Districts, we had much larger increases. You guys are just not as impacted by the utility costs and everything else as most of our other Districts. Any other questions? Hearing none,

On MOTION by Mr. Greene, seconded by Mr. Gorrill, with all in favor, Resolution 2022-02 Adopting the Fiscal Year 2023 Budget and Relating to the Annual Appropriations, was approved.

Consideration of Resolution 2022-03 Imposing Special Assessments and Certifying an Assessment Roll
Mr. Showe: The next item related to that is the second portion which is the Assessment Resolution. Attached to this Assessment Resolution will be the adopted budget, which is the budget that you just approved in final form plus the assessment roll. The assessment roll is just a large excel spreadsheet that lays out all of the District's property. I've got it here with me if anyone would like to inspect it. Essentially that is how we transmit the roll to the county for them to place those assessments on the tax bill. Again, we can take any questions, comments, or just a motion to approve. Hearing none,

On MOTION by Mr. Greene, seconded by Mr. Burman, with all in favor, Resolution 2022-03 Imposing Special Assessments and Certifying an Assessment Roll, was approved.

Mr. Showe: Is there a motion to close the public hearing?

On MOTION by Mr. Burman, seconded by Mr. Greene, with all in favor, Closing the Public Hearing, was approved.

EIGHTH ORDER OF BUSINESS	Discussion of Payoff of Series 2016 Utility
Bonds
Mr. Showe: The next item is the discussion of the Series 2016 Utility Bonds. We have provided you with the agreement, which is from the bond document. Obviously, we are getting close to making the final payment on those bonds and there is a flow of funds that would go back to the developer. In order to get to that point, we need to have a reserve study done because the District has to make sure it has an adequate supply of reserves in accordance with the agreement. We have provided that to you under section 3, item number 2.
Ms. Trucco: I will add that this is for the potable water and wastewater systems. Originally it was 2004 utility funds refunded to the 2016.

Mr. Showe: What we would like is to have some direction from the Board so that staff can get some proposals and start soliciting someone to put the reserve study together so that we can ensure that the District has adequate reserves in accordance with those bonds.
Ms. Trucco: Right. We want to engage a methodology consultant to give us opinions about what should be assessed.
Mr. Showe: Yes.
Mr. Greene: I'll make a motion to approve that.

On MOTION by Mr. Greene, seconded by Mr. Gorrill, with all in favor, Authorizing Staff to get a Reserve Methodology Proposal for the Series 2016 Utility Bonds, was approved.

NINTH ORDER OF BUSINESS	Approval	of	Interim	Miscellaneous
Charges and Fees and Authorization to Set Rate Hearing
Mr. Showe: We also wanted to have an approval of some miscellaneous charges and fees for the District. We will note that currently due to some increasing in the pricing for the meters and the pumps, we are not actually able to fund with the fees that the District currently has the full costs. What we would like is two things: the Board to approve some interim immediate fees so that the District is no longer losing money on those items when we charge and also authority for us to go ahead and set a rate hearing at the earliest available time to have those approved formally by the Board.

On MOTION by Mr. Greene, seconded by Mr. Gorrill, with all in favor, the Interim Rate Increases and Authorizing Staff to Proceed with Rule Hearing Process, was approved.

TENTH ORDER OF BUSINESS	Consideration of Proposals for Pine Island
WWTF Corrosion Repair
Mr. Showe: The next item is consideration of proposals for some corrosion repair. I know we've got Jim and Alan on to discuss that.
Mr. Jim Boyd: At the wastewater plant, we have what is called a Reclaimed Water facility, which essentially consists of curing contact chambers and a couple of wet wells where the plant water pumps were there and the treated wastewater that reaches that portion of the facility,

undergoes this detection and then the reclaimed waters pumped to the golf course for irrigation purposes. Over the years, the chlorine concentration in the chambers has begun to eat away at the concrete that's in there. We've got some severely pitted concrete all throughout the structure that we need to address. The best way to do that is to apply a very thick coating of what is called the Raven 405 that is a very robust painting system. It is almost like tar that you could apply to the concrete surfaces, and it will stabilize the situation and essentially provide a barrier the chlorinated water and the concrete surfaces. This is what we need to do. We had a couple of vendors come out and give us proposals. One was Exceletech and the other was Danus Utilities, Inc. We had several options just to coat the walls or coat the walls and the ceilings or coat everything: walls, ceilings and floors, which is really the best way to go. lfwe are going to go spend this money, I think it is best that we go ahead and take care of the complete problem so we can put this to rest and not have to worry about it for a long time. If you look at the cost differences between the two vendors, Danus came in at $104,895 and Exceletech came in at $115,350. There are some important differences between what they are each proposing. They are each proposing to apply the regular 405 coating system, but Exceletech is basically proposing twice the thickness of the material, which would obviously be better. Also, when they are preparing the concrete surface, they are going to pressure wash and sandblast to get a surface that is really well prepared for the coating to be applied. Danus is just going to pressure wash. Given the differences and the quality of the work, I am recommending that we go with the Exceletech proposal and to do all of the interior of the structures, which comes out to a price of$115,350. Alan, is there anything else you wanted to add to that?
Mr. Scheerer: No, I believe Jim went through the description of what is being proposed by both contractors. The other thing for the Board to know is the $115,350 is what is in our budget. We have already accounted for this Exceletech proposal in our budget. We would like the Board to go ahead and give a popularization to get moving forward as quickly as possible.
Mr. Showe: Any discussion from the Board? Mr. Holt: It's already in our budget?
Mr. Showe: Correct.
Mr. Greene: Did I hear that the number is exactly what is in our budget?
Mr. Showe: Yes, that is the highest of all the quotes we got. So that is typically what we put in the budget anyway so that we make sure we are accommodated.

On MOTION by Mr. Burman, seconded by Mr. Greene, with all in favor, the Proposal for Pine Island WWTF Corrosion Repair from Exceletech for $115,350, was approved.

ELEVENTH ORDER OF BUSINESS
Attorney
Mr. Showe: We'll start with Counsel.

Staff Reports

Ms. Trucco: We have no reports for the Board today.

Engineer
Mr. Showe: Engineer.
Mr. Steve Boyd: Nothing further really, we did send the 2022 stormwater needs analysis report showing the CDD has been adequately funding the stormwater management system with projections for the next five years. We've completed the annual review, and everything looks good.

District Manager's Report
Approval of the Check Register
Mr. Showe: In your general fund we have checks 1312 through 1327 enterprise funds checks 1757 through 1806. April payroll for a total of $1,257,050.32. Staff can answer any questions on those invoices that follow should the Board have any.

On MOTION by Mr. Greene, seconded by Mr. Burman, with all in favor, the Check Register, was approved.

Balance Sheet and Income Statement
Mr. Showe: There is no action required by the Board. On the general fund side we are in line of where we would expect. We are at 100% collected on our assessments. We are in great shape there.

Presentation of Number of Registered Voters-255
Mr. Showe: We are required every year to announce the number of registered voters. As of April 15, there are 255 registered voters in the District. What that means is in 2024 will be the first time we will start doing the transition to general elected seats. We will coordinate that as we get closer to that election cycle.

Approval of Fiscal Year 2023 Meeting Schedule
Mr. Showe: Finally, we got the approval of the meeting schedule for 2023. We've kept the same meeting schedule, which is 9:30 a.m. here. We have scheduled them for once a month and obviously will cancel them as needed.
Mr. Greene: Can we talk about changing the meeting time. Moving it up for the folks that are coming from other locations.
Mr. Showe: Absolutely.
Mr. Burman: I 0:00 a.m. would be fine.
Mr. Greene: We've discussed this a couple ohimes.
Mr. Showe: So 10:00 a.m. would work?
Mr. Gorrill: 10:00 a.m. is fine.
Mr. Showe: The motion would be to approve the meeting schedule as presented with a meeting time of 10:00 a.m.

On MOTION by Mr. Gorrill, seconded by Mr. Burman, wi all in favor, Accepting the Meeting Schedule as Presented with Meeting Time of 10:00 a.m., was approved.·

SBA Florida PRIME Monthly Summary Report
Mr. Showe: We included the PRIME report as normal. With that, that is all I have for District manager's report.
TWELFTH ORDER OF BUSINESS	Other Business
Mr. Showe: Any other business or Supervisor's requests? Hearing none,

THIRTEENTH ORDER OF BUSINESS
There being none, the next item followed.

FOURTEENTH ORDER OF BUSINESS
Mr. Showe: Is there a motion to adjourn?

Supervisor's Request

Adjournment

On MOTION by Mr. Greene, seconded by Mr. Gorrill, with all in favor, the meeting was adjourned.

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