MINUTES OF MEETING SOUTH VILLAGE COMMUNITY DEVELOPMENT DISTRICT The regular meeting of the Board of Supervisors of the South Village Community Development District was held Tuesday, August 6, 2024 at 6:30 p.m. at the Eagle Landing Residents Club, 3975 Eagle Landing Parkway, Orange Park, Florida. Present and constituting a quorum were: Chris Payton Chairman Glenn Warren Vice Chairman Allan Brink Supervisor David Frechette Supervisor Jennifer Osbeck Supervisor Also present were: Marilee Giles District Manager Katie Buchanan District Counsel Alex Acree District Engineer by telephone Matt Biagetti Director of Operations, Honours Golf Jim Hahn General Manager, Honours Golf Joe Halifco Operations, Honours Golf The following is a summary of the actions taken at the August 6, 2024 meeting. FIRST ORDER OF BUSINESS Roll Call Ms. Giles called the meeting to order at 6:30 p.m. and called the roll. SECOND ORDER OF BUSINESS Audience Comments There being none, the next item followed. THIRD ORDER OF BUSINESS Approval of the Minutes of the July 2, 2024 Meeting On MOTION by Mr. Payton seconded by Mr. Brink with all in favor the minutes of the July 2, 2024 meeting were approved as presented. FOURTH ORDER OF BUSINESS Fiscal Year 2025 Budget Matters Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2 August 6, 2024 South Village CDD 2 A. Overview of Budget Ms. Giles stated some of the changes to the budget include the budget summary page, adjustment to the golf fund with a near break-even, and a break even for the rec fund with the difference going to the capital reserve fund. B. Public Hearing On MOTION by Mr. Payton seconded by Mr. Warren with all in favor the public hearing was opened. A resident stated I like the summary page; it makes it easy to understand. On the golf fund it says a $71 variance, there is a tax on the CDD, is that before the tax or after the tax. Mr. Payton stated that tax amount is what we refer to as the social golf fee; we moved that full amount to the capital reserve fund. This amount is basically a break even amount for golf operations not including that additional social tax. A resident stated then golf is more or less self-supporting. Mr. Payton stated yes. On MOTION by Mr. Payton seconded by Mr. Warren with all in favor the public hearing was closed. C. Consideration of Resolution 2024-04 Relating to the Annual Appropriations and Adopting the Budget for Fiscal Year 2025 Mr. Payton stated I think you did a good job. The budget has changed a lot in the last two months. There is still an increase in assessments, but I think it is a lot less than we showed and I appreciate the work the management team did on that. On MOTION by Mr. Payton seconded by Mr. Brink with all in favor Resolution 2024-04 was approved. D. Consideration of Resolution 2024-05 Imposing Special Assessments and Certifying an Assessment Roll for Fiscal Year 2025 Ms. Buchanan stated this is the assessment resolution, it certifies assessments for collection, it also requires the district to assess and collect those amounts on the tax roll. That Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2 August 6, 2024 South Village CDD 3 means when you look at your tax bill you will see South Village CDD as a line item on the bill, it authorizes the district manager to make amendments to the assessment roll as required. On MOTION by Mr. Payton seconded by Mr. Warren with all in favor Resolution 2024-05 was approved. FIFTH ORDER OF BUSINESS Discussion Items: A. South Village CDD Amenity Policies This item tabled. B. Swim Team Agreement Mr. Biagetti stated it came back to the same terms we agreed to last year. We did include the swim meet schedule, there are two home meets. There were no issues last year, very little impact to our operations. It is a much smaller team that what we were used to. On MOTION by Mr. Payton seconded by Ms. Osbeck with all in favor the swim team agreement with Bishop Snyder was approved. C. Management Contract Extension Mr. Payton stated I had anticipated tonight to ask the board to consider preparing the RFP process for management services, to do that process ahead of the automatic third term on our existing contract with Troon/Honours Golf. In talking to the district manager and district counsel this past month the contract we have now with Troon on golf they are due to roll into their final phase of their three-year contract on October 1st of this year. The notice period to stop this extension was August 1st. That wasn’t going to work out so there is no reason to spend money on an RFP process this year. I would like the board to consider an opportunity around this extension period for the board to refocus on goals, guidance for amenities and golf operations. The past six months we have had very crowded board meetings, a lot of residents have expressed concerns and complaints over management on both sides of the house. I’m personally not satisfied with a lot of things especially in areas that have been discussed over the course of many meetings and are still out there. I ask the board to send a letter to Troon/Honours and asking them to accept instead of a three-year extension, a one-year extension. During that one-year allow the board an opportunity Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2 August 6, 2024 South Village CDD 4 to republish goals, redefine goals, to work on long term plans both for golf and the amenity centers. I would hope Troon will see that as an opportunity to strengthen their relationship with us and ensure for themselves that at the end of their term that there would not be an RFP process and we would roll right into the new contract with them. Troon is within their rights to say, no thank you and take their three-year extension. It was the consensus of the board to write the letter to Troon as proposed. On MOTION by Mr. Payton seconded by Mr. Warren with all in favor a letter will be sent to Troon/Honours to request accept a oneyear extension on their contract versus the three-year extension. SIXTH ORDER OF BUSINESS Staff Reports A. General Manager - Report Mr. Hahn stated the focus for the last month or two has been the budget. An update for everyone, I did send a notice on the weather, there was no major damage to the golf course or any of our properties. We were able to put away the outdoor furniture on Sunday and the only major thing was a big palm tree in the front snapped off. It is in the waterfall, and we will be getting that out. We are going to aerify tomorrow the entire golf course and pick up debris from the storm. We have been working on a few projects with some of our vendors and the waste management contract will become a corporate account with Troon and the savings will be $18,000 to $20,000 annually. We are also working on our POS system and credit card processors to see if we can save money there. Mr. Biagetti stated I think you saw on an email we set the court date for the defendants that damaged our golf carts. We attended that court date and the important thing for the district is that restitution was in the courts and agreed upon. Sooner rather than later will be repaid the expenses that we had to pay. We are back to the original engineer for the drawings on the monument signs to update the date on it so we can submit that to the county for a permit. B. District Counsel There being none, the next item followed. Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2 August 6, 2024 South Village CDD 5 C. District Manager There being none, the next item followed. D. District Engineer There being none, the next item followed. SEVENTH ORDER OF BUSINESS Supervisor’s Requests Additional comments: Very successful championship tournament, phone system pricing, delivery of new mower, request for Sunday and Monday night football, TVs not working in workout room, when will capital reserve study be discussed, pickleball, staff at gym needs to have shirts and pay attention, upgrades to beverage cart, menus on golf carts, less payouts on tournament, mention sponsorships, capital reserve floor to be put in resolution, reason for chairs breaking, repair of sign, report on year to date for non-resident tennis team fees, broken umbrellas on backside of athletic facility, moving chairs to court should be returned, expect extra trash in dumpsters due to increase of county trash pickup fees, cost of extra pickup or dumpster. EIGHTH ORDER OF BUSINESS Audience Comments Additional comments: Hear about costs but not about generating revenue, do a one-year extension and an RFP, same assessment after significant savings, money moved to capital reserves, disagrees with suspension letter and the fact that management enforces the suspension and not the board, what kind of support for the Juneteenth event, wood in area by sales office needs repair, slide needs repair or replacement due to rust, reason to increase capital reserves rather than decreasing assessment increases, how does the community find out about assessments increasing other than attending the meetings, who to contact about issues at the dog park such as the fence and the water fountain that was not properly installed, proposal for Top Tracer. NINTH ORDER OF BUSINESS Financial Reports A. Balance Sheet as of June 30, 2024 and Statement of Revenues and Expenses for the Period Ending June 30, 2024 The balance sheet and income statement were included as part of the agenda package. B. Assessment Receipt Schedule Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2 August 6, 2024 South Village CDD 6 The assessment receipt Schedule was included as part of the agenda package. C. Approval of Check Register On MOTION by Mr. Payton seconded by Mr. Warren with all in favor the check register was approved. TENTH ORDER OF BUSINESS Next Meeting Scheduled for Tuesday, September 3, 2024 at 6:30 p.m. at Eagle Landing Residents Club Ms. Giles stated the next meeting will be held Tuesday, September 3, 2024 at 6:30 p.m. in the same location. On MOTION by Mr. Payton seconded by Mr. Warren with all in favor the meeting adjourned at 7:46 p.m. Secretary/Assistant Secretary Chairman/Vice Chairman Docusign Envelope ID: 7957211D-A4B3-490B-AEEC-C09CF76056D2