Sunny Hills Units 12-15 Dependent District
3501 Quadrangle Blvd., Suite 270, Orlando, FL 32817
Phone: 407-723-5900; Fax: 407-723-5901

The following is the proposed agenda for the Sunny Hills Units 12-15 Dependent District (“District”) Board of Supervisors’ Meeting, scheduled to be held at the Sunny Hills Community Center, 4083 Challenger Rd., Sunny Hills, Florida on Friday, June 24, 2022, at 1:30 pm CST / 2:30 pm EST. A quorum will be confirmed prior to the start of the Meeting.

Please use the following information to join the telephonic conferencing:

Phone:	1-844-621-3956	Participant Code:	796 580 192#

BOARD OF SUPERVISOR’S MEETING AGENDA

Organizational Matters
Call to Order & Roll Call
Public Comment Period [for any members of the public desiring to speak on any proposition before the Board]
Announcement of the Date, Time, and Location of the Annual Landowner’s Election (with Friday, November 4, 2022, at 1:30 p.m. CST at 4083 Challenger Blvd., Sunny Hills, Florida suggested)
Swearing in Newly Elected Supervisor
Appointment to Vacant Board of Supervisors Seat 1
Consideration of the Minutes of the June 25, 2021 Board of Supervisors Meeting
Consideration of the Minutes of the November 12, 2021 Landowner’s Election
Letter from Supervisor of Elections – Washington County
Consideration of Resolution 2022-01, Canvassing and Certifying the Results of the Landowner’s Election
Consideration of Resolution 2022-02, Appointing District Officers
Consideration of Resolution 2022-03, Designating Registered Agent
Consideration of Resolution 2022-04, Designating Primary Administrative Office

Business Matters
Ratification of Hopping Green & Sams and Kutak Rock Transition Letter
Ratification of Kutak Rock Fee Agreement
Consideration of Resolution 2022-05, Approving an Annual Budget for the District’s 2022-2023 Fiscal Year (Beginning October 1, 2022)
Consideration of Fiscal Year 2022-2023 Funding Agreement
Ratification of Fiscal Year 2021 Audit Engagement Letter
Review and Acceptance of Fiscal Year 2021 Audit
Appointment of Auditor Selection Committee
Ratification of Funding Request Nos. 62 – 77
Review of Statements of the District’s Financial Position

Staff Reports
District Counsel
District Manager

Supervisor’s Requests and/or Audience Comments Adjournment

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Oath of Office

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT BOARD OF SUPERVISORS OATH OF OFFICE

I,	, A CITIZEN OF THE STATE OF FLORIDA AND OF THE UNITED STATES OF AMERICA, AND BEING EMPLOYED BY OR AN OFFICER OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT AND A RECIPIENT OF PUBLIC FUNDS AS SUCH EMPLOYEE OR OFFICER, DO HEREBY SOLEMNLY SWEAR OR AFFIRM THAT I WILL SUPPORT THE CONSTITUTION OF THE UNITED STATES AND OF THE STATE OF FLORIDA.

Board Supervisor
ACKNOWLEDGMENT OF OATH BEING TAKEN STATE OF FLORIDA
COUNTY OF 	

The	foregoing	oath	was	administered	before	me	this			day
of			,	2022,	by									,	who personally appeared	before	me,	and	is	personally	known	to	me	or		has
produced			as	identification,	and	is	the	person
described in and who took the aforementioned oath as a Member of the Board of Supervisors of Sunny Hills Units 12-15 Dependent District and acknowledged to and before me that he/she took said oath for the purposes therein expressed.

(NOTARY SEAL)

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Appointment to Vacant Board of Supervisors Seat 1

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT BOARD OF SUPERVISORS OATH OF OFFICE

I,	, A CITIZEN OF THE STATE OF FLORIDA AND OF THE UNITED STATES OF AMERICA, AND BEING EMPLOYED BY OR AN OFFICER OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT AND A RECIPIENT OF PUBLIC FUNDS AS SUCH EMPLOYEE OR OFFICER, DO HEREBY SOLEMNLY SWEAR OR AFFIRM THAT I WILL SUPPORT THE CONSTITUTION OF THE UNITED STATES AND OF THE STATE OF FLORIDA.

Board Supervisor
ACKNOWLEDGMENT OF OATH BEING TAKEN STATE OF FLORIDA
COUNTY OF 	

The	foregoing	oath	was	administered	before	me	this			day
of			,	2022,	by									,	who personally appeared	before	me,	and	is	personally	known	to	me	or		has
produced			as	identification,	and	is	the	person
described in and who took the aforementioned oath as a Member of the Board of Supervisors of Sunny Hills Units 12-15 Dependent District and acknowledged to and before me that he/she took said oath for the purposes therein expressed.

(NOTARY SEAL)

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Minutes of the June 25, 2021 Board of Supervisors Meeting

MINUTES OF MEETING

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
Board of Supervisors’ Meeting Friday, June 25, 2021
1:31 p.m. CST / 2:31 p.m. EST
Sunny Hills Community Center, 4083 Challenger Road, Sunny Hills, Florida 32428

Present and constituting a quorum:

Jim Town	Board Member	
Larry Kaufmann	Board Member	
Also present were:			
Jennifer Walden	PFM		
Lynne Mullins	PFM	(via phone)	
Tucker Mackie	Hopping Green & Sams (via phone)	
Gary Hartman	Public		

FIRST ORDER OF BUSINESS	Call to Order and Roll Call

The Sunny Hills Units 12-15 Dependent District Board of Supervisor’s Meeting was called to order at approximately 1:31 p.m. CST / 2:31 p.m. EST and the roll was called. The persons in attendance are outlined above.

SECOND ORDER OF BUSINESS	Public Comment Period

Ms. Walden called for public comments but there were no public comments at this time.

THIRD ORDER OF BUSINESS	Announcement of the Date, Time, and Location of the Annual Landowners’ Election

Ms. Walden noted that District staff is setting the Annual Landowners’ Election for Friday, November 12, 2021 at 1:30 p.m. CST / 2:30 p.m. EST at the Sunny Hills Community Center.

FOURTH ORDER OF BUSINESS	Consideration of Swearing in Newly Elected Supervisor

Ms. Walden noted Mr. Town was administered the oath of office prior to the today’s meeting. No further action is necessary.

FIFTH ORDER OF BUSINESS	Consideration of the Minutes of the June 25, 2020 Auditor Selection Committee Meeting

The Board Members reviewed the minutes of the June 25, 2020 Auditor Selection Committee Meeting.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the minutes of the June 25, 2020 Auditor Selection Committee Meeting.

SIXTH ORDER OF BUSINESS	Consideration of the Minutes of the June 25, 2020 Board of Supervisors’ Meeting

The Board Members reviewed the minutes of the June 25, 2020 Board of Supervisors’ Meeting.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the minutes of the June 25, 2020 Board of Supervisors’ Meeting.

SEVENTH ORDER OF BUSINESS	Consideration of the Minutes of the November	13,	2020	Landowner’s Election

The Board Members reviewed the minutes of the November 13, 2022 Landowner’s Election.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the minutes of the November 13. 2020 Landowner’s Election.

EIGHTH ORDER OF BUSINESS	Discussion Regarding Materials on the District Website

Ms. Walden explained that included in the agenda packet is a memo from District Counsel which lists out the amendments to the District website requirements. There are three main items for discussion and District staff would like to have Board approval on how to move forward. The first item is the District Audit Report, which is no longer required to be posted on the website but a link to the Auditor General Website would be required. The second item is the Public Facilities Report which is no longer required to be posted. The third item is the meeting materials accompanying the agenda are no longer required to be posted but the agenda page is still required to be posted on the District website. If the Board decided to post only the agenda cover page, then District staff would put a footnote that the public can contact District Management to get the

backup materials if they are looking for it. Mr. Town asked about the effective date. Ms. Walden replied the amendments are already in place and if the District chooses to move forward with these amendments it would be effective today.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District adopted the revisions allowed under the new Amendments regarding Materials on the District Website.

NINTH ORDER OF BUSINESS	Letter from Supervisor of Elections – Washington County

Ms. Walden explained that the District must state on the record how many registered voters are within the District. There are no registered voters within this District as of April 15, 2021. No action is required by the Board.

TENTH ORDER OF BUSINESS	Consideration of Resolution 2021-01, Canvassing and Certifying the Results of the Landowners’ Election

Ms. Walden stated the Resolution is for the purpose of canvassing and certifying the results of the Landowners’ Election that took place in November. Mr. Jim Town was elected as Supervisor for Seat 1 with 6,411 votes and will serve a term of office of three years.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2021-11, Canvassing and Certifying the Results of the Landowners’ Election.

ELEVENTH ORDER OF BUSINESS	Consideration of Resolution 2021-02, Appointing District Officers

Ms. Walden stated the current slate of officers is as follows: Mr. Larry Kaufmann as Chairman, Mr. Jim Town as Vice Chairman, Ms. Jennifer Walden as Secretary, Ms. Lynne Mullins and Mr. Rob Adams as Assistant Secretaries, Ms. Amanda Lane as Treasurer, Ms. Jennifer Glasgow as Assistant Treasurer. Ms. Walden explained the Board is free to keep the slate of officers as it is or make changes.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2021-02, Appointing District Officers as follows: Mr. Larry Kaufmann as Chairman, Mr. Jim Town as Vice Chairman, Ms. Jennifer Walden as Secretary, Ms. Lynne Mullins and Mr. Rob Adams as Assistant Secretaries, Ms. Amanda Lane as Treasurer , and Ms. Jennifer Glasgow as Assistant Treasurer.

TWELFTH ORDER OF BUSINESS	Public Hearing on the Adoption of the Amended Rules of Procedure
Public Comments and Testimony
Board Comments
Consideration of Resolution 2021- 03, Adopting the Amended Rules of Procedure

Ms. Walden noted the public hearing was property noticed pursuant to Florida Statutes. She requested a motion to open the public hearing.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District opened the public hearing.

Ms. Walden called for public comments. Hearing none, she requested a motion to close the public hearing.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District closed the public hearing.

Ms. Walden explained the Rules of Procedure have not changed since the Board saw them as recommended at the last meeting. Ms. Mackie noted the purpose of the Amended and Restated Rules of Procedure are to incorporate both legislative changes that have occurred in the time period in which the Board last considered its Rules of Procedure and also any efficiencies District staff realized in terms of procedure have been incorporated in this document as well. Ms. Mackie requested a motion to approve.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2021-03, Adopting the Amended Rules of Procedure.

THIRTEENTH ORDER OF BUSINESS	Consideration of Resolution 2021-04, Approving an Annual Budget for the District’s 2021-2022 Fiscal Year

Ms. Walden presented the District’s Annual Budget for Fiscal Year 2021-2022. District staff altered a few line items that have proposed changes but the overall budget is staying the same at $38,500.00.

Mr. Town asked if it is true that the District is no longer required to provide handicap access to the District website. Ms. Mackie stated that is not correct. The District still needs to monitor to ensure that any links are accessible to those who are either hearing impaired to the extent the District is able to do so. She asked Ms. Walden if the District engaged a Consultant for all the Districts she manages and Sunny Hills is one of those. Ms. Walden confirmed.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2020-04, Approving an Annual Budget for the District’s 2021-2022 Fiscal Year.

FOURTEENTH ORDER OF BUSINESS	Consideration of Fiscal Year 2021- 2022 Funding Agreement

Ms. Walden explained the Fiscal Year 2021-2022 Funding Agreement with Spring Ridge Development, LLC is to fund the District’s Annual Budget for Fiscal Year 2021-2022.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the Fiscal Year 201-2022 Funding Agreement.

FIFTEENTH ORDER OF BUSINESS	Ratification of Fiscal Year 2020 Audit Engagement Letter

The Board reviewed the Fiscal Year Audit Engagement Letter. Ms. Walden noted this was previously approved by the Chairman so the auditors could work on the audit in a timely manner.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified the Fiscal Year 2020 Audit Engagement Letter.

SIXTEENTH ORDER OF BUSINESS	Review of Fiscal Year 2020 Audit

Ms. Walden noted this was a standard and clean audit. There were no deficiencies in internal controls that would be considered material weaknesses. District staff and the Chairman reviewed the audit and feedback was provided and given to the auditors in incorporate. Mr. Kaufmann asked Ms. Mackie if she read and approved the audit. She so confirmed.

On Motion by Mr. Town, second by Mr. Kaufmann, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District accepted the Fiscal Year 2020 Audit.

SEVENTEENTH ORDER OF BUSINESS	Ratification of Funding Request No.
36 – 61

The Board reviewed Funding Request No. 36 – 61. These have been approved by the Chair and just need to be ratified by the Board.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified Funding Request No. 36 – 61.

EIGHTEENTH ORDER OF BUSINESS	Review of Statements of the District’s Financial Position

The Board reviewed the updated financials. Ms. Walden stated that that the District has incurred expenses of $17,000.00 vs a budget of $38,500.00 through the end of May. The District is running under budget by almost $21,000.00. There was no action required by the Board.

NINETEENTH ORDER OF BUSINESS	Staff Reports

Attorney – Ms. Mackie stated during the prior legislative session, the Florida Legislature mandated that local governments including the District are required to comply with the Department of Homeland Security’s E-Verify System. The District does not have any employees that would subject it to further requirements under the E-Verify System, the purpose of which is to document the status of immigration of individual working within the District, but the District does need to file with E-Verify. This would require the District to complete and file a memorandum of understanding. Ms. Walden already completed this step on behalf of the District so it would remain in compliance with the time period in which the law went into effect. Were the District to engage with any vendors, the other requirement is to make sure the District is including E-Verify language within those agreements to ensure that the District’s Subcontractors are also complying with E- Verify. Ms. Mackie requested a motion to authorize the Secretary to file the Memorandum of Understanding with the E-Verify System.

Mr. Kaufmann asked about the process of E-Verify in regard to engaging vendors. Ms. Mackie stated the District is required to include language within its contract documents that the vendor is required to comply with E-Verify and there is no subsequent requirement on the District’s part to follow up and ensure their compliance with E-Verify.

On Motion by Mr. Kaufmann, second by Mr. Town, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District authorized the Secretary to file the Memorandum of Understanding with the E-Verify System.

Manager – No Report

TWENTIETH ORDER OF BUSINESS	Supervisor’s	Requests	and/or Audience Comments

Mr. Kaufmann stated the Developer is trying to work out a deal with the County to swap some lots that they have acquired in tax sales in return for some of the Spring Ridge lots in order to facilitate some road construction the County wishes to do. It should not have any impact on the Board. Ms. Mackie stated if it does not implicate District owned improvements and property the District is neutral in that. She hopes that gets advanced and construction begins as quickly as possible. Mr. Town stated the Landowner will execute the deeds and the District is not part of that negotiation. Mr. Kaufmann stated the District is willing to be a co-signer of the permit if it is needed.

TWENTY-FIRST ORDER OF BUSINESS	Adjournment

There was no other business to discuss. Ms. Walden requested a motion to adjourn.

On MOTION by Mr. Town, seconded by Mr. Kaufmann, with all in favor, the June 25, 2021 Sunny Hills Units 12-15 Dependent District Board Meeting was adjourned.

Secretary/Assistant Secretary	Chairperson/Vice-Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Minutes of the November 12, 2021 Landowner’s Election

MINUTES OF MEETING

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
Landowners’ Election Meeting Friday, November 12, 2021 Sunny Hills Community Center 4083 Challenger Road
Sunny Hills, FL 32428
1:34 p.m. CST / 2:34 p.m. EST

Present:

Gary Hartman	Proxy Holder - Spring Ridge Development LLC	
Jennifer Walden	PFM Group Consulting LLC	(via phone)	
Lynne Mullins	PFM Group Consulting LLC	(via phone)	

FIRST ORDER OF BUSINESS	Call to Order and Roll Call

The meeting was called to order at 1:34 p.m. CST.

SECOND ORDER OF BUSINESS	Appointment of Meeting Chairman

Ms. Walden, an employee of the District Manager’s office, served as Chairperson of the meeting.

THIRD ORDER OF BUSINESS	Determine Number of Voting Units Represented or Assigned by Proxy

The owners of lands within the District or any landowner proxy holders were asked to identify themselves. Mr. Hartman presented a landowner proxy form, which outlined that Mr. Hartman was named proxy holder for Spring Ridge Development LLC. The form also indicates that he is authorized to cast 6,411 votes on behalf of Spring Ridge Development LCC. No other landowners or proxy holders were identified.

FOURTH ORDER OF BUSINESS	Acceptance of Nominations for the Board of Supervisors, Casting of

Ballots, Ballot Tabulations, and Announcement of Election Results

Mr. Hartman cast 6,411 votes for Mr. Larry Kaufmann. Ms. Walden stated Mr. Kaufmann was elected to Seat 2 for an additional three years by 6,411 votes.

FIFTH ORDER OF BUSINESS	Adjournment

The Landowners’ Election was adjourned.

Secretary/Assistant Secretary	Chairperson/Vice-Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Supervisor of Elections Washington County

From:	Judy Cooley
To:	Jennifer Walden
Subject:	Sunny Hills Units
Date:	Tuesday, April 19, 2022 11:52:02 AM

ALERT: This message is from an external source.BE CAUTIOUS before clicking any link or attachment

Ms. Walden,

There are zero (0) registered voters in the District of Sunny Hills Units 12- 15.

Thank You,

Judy E. Cooley,
Judy E. Cooley, M.F.C.E.P.
Asst. Supervisor of Election
Washington County Supervisor of Elections 1424 Jackson Ave., Suite C
Phone: 850-638-6230
Web: www.wcsoe.gov

# WASHINGTON VOTE S # YOUR VOTE COUNTS

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2022-01,
Canvassing and Certifying the Results of the Landowner’s Election

RESOLUTION 2022-01

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12- 15 DEPENDENT DISTRICT CANVASSING AND CERTIFYING THE RESULTS OF THE LANDOWNERS ELECTION OF SUPERVISORS HELD PURSUANT TO WASHINGTON COUNTY BOARD OF COUNTY COMMISSIONERS ORDINANCE 2006-12, AS AMENDED BY ORDINANCE 2009-5, AND PROVIDING FOR AN EFFECTIVE DATE.

WHEREAS, the Sunny Hills Units 12-15 Dependent District (the “District”) was established by Ordinance No. 2006-12 of the Board of County Commissioners of Washington County, Florida (as further amended by Ordinance No. 2009-5; together, the “Ordinance”) pursuant to the Uniform Special District Accountability Act of 1989, Chapter 189, Florida Statutes, and is validly existing under the Constitution and laws of the State of Florida; and

WHEREAS, pursuant to the Ordinance, a landowners meeting is required to be held annually for the purpose of electing one (1) supervisor of the District to a three (3) year term; and

WHEREAS, such landowners meeting was held on November 12, 2021, the Minutes of which are attached hereto as Exhibit A, and at which the below recited person was duly elected by virtue of the votes cast in his/her favor; and

WHEREAS, the Board of Supervisors of the District, by means of this Resolution, desires to canvas the votes and declare and certify the results of said election.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT:

SECTION 1.  The following persons is found, certified, and declared to have been duly elected as a Supervisor of and for the District, having been elected by the votes cast in his/her favor as shown:

Larry Kaufmann	Seat 2	6,411 Votes

SECTION 2.   In accordance with the Ordinance and by virtue of the number of votes cast for the Supervisor, the above-named person is declared to have been elected for the following term of office:

Larry Kaufmann	3 Year term

SECTION 3.	This Resolution shall take effect immediately upon adoption.

PASSED AND ADOPTED this 24th day of June 2022.

ATTEST:	SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Secretary/Assistant Secretary	Chairperson, Board of Supervisors

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2022-02, Appointing District Officers

RESOLUTION 2022-02

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12- 15 DEPENDENT DISTRICT APPOINTING OFFICERS OF THE SUNNY HILLS UNITS 12-
15 DEPENDENT DISTRICT.

WHEREAS, the Sunny Hills Units 12-15 Dependent District (the “District”) is a dependent special district pursuant to Chapter 189, Florida Statutes, being situated entirely within Washington County, Florida; and

WHEREAS, the Board of Supervisors of the District (the “Board”) desires to appoint officers of the District.

NOW, THEREFORE, BE IT RESOLVED BY THE DISTRICT BOARD OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT:

		 is appointed Chairman.
		 is appointed Vice Chairman.
		 is appointed Secretary.
		 is appointed Assistant Secretary.
		 is appointed Assistant Secretary.
		 is appointed Treasurer.
		 is appointed Assistant Treasurer.

PASSED AND ADOPTED THIS 24th DAY OF JUNE 2022.

ATTEST:	SUNNY HILLS UNITS 12-15
DEPENDENT DISTRICT

By:	
Secretary	Its:	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2022-03, Designating Registered Agent

RESOLUTION 2022-03

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT DESIGNATING A REGISTERED AGENT AND REGISTERED OFFICE OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT.

WHEREAS, the Sunny Hills Units 12-15 Dependent District (the “District”) is a dependent special district pursuant to Chapter 189, Florida Statutes, being situated entirely within Washington County, Florida; and

WHEREAS, the District is statutorily required to designate a registered agent and a registered office location for the purposes of accepting any process, notice, or demand required or permitted by law to be served upon the District in accordance with Section 189.014(1), Florida Statutes.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT:

SECTION 1. Tucker F. Mackie of Kutak Rock LLP (Tucker.Mackie@kutakrock.com) is hereby designated as the Registered Agent for the Sunny Hills Units 12-15 Dependent District.

SECTION 2. The District’s Registered Office shall be located at the office of Kutak Rock LLP, 107 West College Avenue, Tallahassee, Florida 32301; Ph: (850) 692-7300, Fax: (850) 692-
7319.

SECTION 3. In accordance with Section 189.014, Florida Statutes, the District’s Secretary is hereby directed to file certified copies of this Resolution with Washington County and the Florida Department of Economic Opportunity.

SECTION 4. This Resolution shall become effective immediately upon adoption and any provisions of any previous resolutions in conflict with the provisions hereof are hereby superseded.

PASSED AND ADOPTED this 24th day of June 2022.

ATTEST:	SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Secretary/Assistant Secretary	Chairperson, Board of Supervisors

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2022-04, Designating Primary Administrative Office

RESOLUTION 2022-04

A RESOLUTION BY THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12- 15 DEPENDENT DISTRICT DESIGNATING THE PRIMARY ADMINISTRATIVE OFFICE AND PRINCIPAL HEADQUARTERS OF THE DISTRICT AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, the Sunny Hills Units 12-15 Dependent District (the “District”) is a dependent special district pursuant to Chapter 189, Florida Statutes, being situated entirely within Washington County, Florida; and

WHEREAS, the District desires to designate its primary administrative office as the location where the District’s public records are routinely created, sent, received, maintained, and requested, for the purposes of prominently posting the contact information of the District’s Record’s Custodian in order to provide citizens with the ability to access the District’s records and ensure that the public is informed of the activities of the District in accordance with Chapter 119, Florida Statutes; and

WHEREAS, the District additionally desires to specify the location of the District’s principal headquarters for the purpose of establishing proper venue under the common law home venue privilege applicable to the District.

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT:

SECTION 1.	The District’s primary administrative office for purposes of Chapter 119,
Florida Statutes, shall be located at 3501 Quadrangle Blvd., Suite 270, Orlando, Florida 32817.

SECTION 2.  The District’s principal headquarters for purposes of establishing proper venue is Washington County, Florida.

SECTION 3.    This Resolution shall take effect immediately upon adoption.

PASSED AND ADOPTED this 24th day of June 2022.

ATTEST:	SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Secretary/Assistant Secretary	Chairperson, Board of Supervisors

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Hopping Green & Sams and Kutak Rock Transition Letter

Hopping Green & Sams
Attorneys and Counselors

October 19, 2021

VIA EMAIL

Jennifer Walden District Manager
PFM Group Consulting LLC waldenj@pfm.com

RE:	SUNNY HILLS UNITS 12-15 DEPENDENT Improvement District ("Client'')

JOINT LETTER BY HOPPING GREEN & SAMS, P.A. AND KUTAK ROCK LLP, ANNOUNCING THE DEPARTURE OF JONATHAN JOHNSON, KATIE BUCHANAN, MIKE ECKERT, TUCKER MACKIE, WES HABER, LINDSAY WHELAN, JOE BROWN, SARAH SANDY, ALYSSA WILLSON AND MICHELLE RIGONI TO KUTAK ROCK LLP

Dear Ms. Walden:

As of November 15, 2021, Jonathan Johnson, Katie Buchanan, Mike Eckert, Tucker Mackie, Wes Haber, Lindsay Whelan, Joe Brown, Sarah Sandy, Alyssa Willson and Michelle Rigoni (the "Special District Practice Group") will be withdrawing as attorneys from Hopping Green & Sams, P.A. ("HGS") and will be joining Kutak Rock LLP ("Kutak"). The members of the Special District Practice Group have provided services in connection with HGS's representation of the Client on the above referenced matter(s) (the "Client Matters").
In the coming months, HGS will no longer be providing legal services. Kutak is prepared to continue as the Client's legal counsel with respect to the Client Matters; however, it is the Client's choice as to who should serve as its legal counsel, and whether the Client Matters and all electronic files and active and closed hardcopy files (collectively, the "Files") should be transferred to Kutak.
Please select one of the following alternatives; however, please be advised that as of November 15, 2021, HGS will no longer be competent to provide legal services to the Client; accordingly, representation by HGS will cease on November 15, 2021, whether or not the Client makes an election below:

#1·,

ALTERNATIVE #1. The Client asks that the Client Matters be transferred with the Special District Practice Group to their new firm, Kutak. Please transfer all Files relating to the Client Matters. HGS's legal representation of the Client will cease on the date of HGS's receipt of their written notice. After that date, the Special District Practice Group and their new firm, Kutak, will be responsible for legal representation of the Client in the Client Matters. To the extent that HGS is holding any trust funds or other property of the Client, HGS is further instructed to transfer such funds and/a  operty to Kutak.

ID rl-Z 2/

otherwise, do not sign on this line.)

Post Office Box 6526 Tallahassee, Florida 32314 119 South Monroe Street, Suite 300 (32301) 850.222.7500 850.224.8551fax www.hgslaw.com

ALTERNATIVE #2. If you do not want Alternative #1, please advise us what HGS should do regarding the Client Matters and all Files relating to the Client Matters by December 1, 2021. HGS's legal representation of the Client will cease on November 15, 2021. If HGS does not receive a response by December 1, 2021, that will confirm HGS's understanding that all Files are not needed or desired and HGS will shred them.

(Please si{r;here if you have
given instructions under Alternative #2; otherwise do not sign on this line.)

[DATE]

After you have completed and signed this form, please send a copy via electronic mail to JasonM@hgslaw.com, MarkS@hgslaw.com, TuckerM@hgslaw.com, and KimH@hgslaw.com.
Thank you for your consideration and assistance.

HOPPING GREEN & SAMS, P.A.

B	Jonathan Johnson Its: President
Date: October 19, 2021

cc:	Larry Kaufmann (BoardMember2@sunnyhillsunits12to15dd.com)

Hopping Green eSams
Attorneys ano Counselors

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Kutak Rock Fee Agreement

RETENTION AND FEE AGREEMENT

PARTIES

THIS RETENTION AND FEE AGREEMENT ("Agreement") is made and entered into by and between the following parties:

Sunny Hills Community Development District ("Client")
c/o PFM Group Consulting, LLC
3501 Quadrangle Boulevard, Suite 270
Orlando, FL 32817 and
Kutak Rock LLP ("Kutak Rock") 107 West College Avenue Tallahassee, FL 32301

SCOPE OF SERVICES

In consideration of the mutual undertakings and agreements contained herein, the parties agree as follows:

The Client agrees to employ and retain Kutak Rock as its attorney and legal representative for general advice, counseling and representation of Client and its Board of Supervisors.

Kutak Rock accepts such employment and agrees to serve as attorney for and provide legal representation to the Client in connection with those matters referenced above. No other legal representation is contemplated by this Agreement. Any additional legal services to be provided under the terms of this Agreement shall be agreed to by Client and Kutak Rock in writing. Unless set forth in a separate agreement to which Client consents in writing, Kutak Rock does not represent individual members of the Client's Board of Supervisors.

CLIENT FILES

The files and work product materials ("Client File") of the Client generated or received by Kutak Rock will be maintained confidentially to the extent permitted by law and in accordance with the Florida Bar rules. At the conclusion of the representation, the Client File will be stored by Kutak Rock for a minimum of five (5) years. After the five (5) year storage period, the Client hereby acknowledges and consents that Kutak Rock may confidentially destroy or shred the Client File. Notwithstanding the prior sentence, if the Client provides Kutak Rock with a written request for the return of the Client File before the end of the five (5) year storage period, then Kutak Rock will return the Client File to Client at Client's expense.

FEES

The Client agrees to compensate Kutak Rock for services rendered in connection with any matters covered by this Agreement on an hourly rate basis plus actual expenses incurred by Kutak Rock in accordance with the attached Expense Reimbursement Policy (Attachment A, incorporated herein by reference). Time will be billed in increments of one-tenth (1/10) of an hour. Certain work related to issuance of bonds and bond anticipation notes may be performed under a flat fee to be separately established prior to or at the time of bond or note issuance.

Attorneys and staff, if applicable, who perform work for Client will be billed at their regular hourly rates, as may be adjusted from time to time. The regular hourly rates of those initially expected to handle the bulk of Client's work are as follows:

Tucker F. Mackie	$290	
Associates	$235	
Paralegals	$130	

Kutak Rock's regular hourly billing rates are reevaluated annually and are subject to change not more than once in a calendar year. Client agrees to Kutak Rock's annual rate increases to the extent hourly rates are not increased beyond $15/hour.

To the extent practicable and consistent with the requirements of sound legal representation, Kutak Rock will attempt to reduce Client's bills by assigning each task to the person best able to perform it at the lowest rate, so long as he or she has the requisite knowledge and experience.

Upon consent of Client, Kutak Rock may subcontract for legal services in the event that Client requires legal services for which Kutak Rock does not have adequate capabilities.

Kutak Rock will include costs and expenses (including interest charges on past due statements) on its billing statements for Client reimbursement in accordance with the attached Expense Reimbursement Policy.

BILLING AND PAYMENT

The Client agrees to pay Kutak Rock's monthly billings for fees and expenses incurred within thirty (30) days following receipt of an invoice, or the time permitted by Florida law, whichever is greater. Kutak Rock shall not be obligated to perform further legal services under this Agreement if any such billing statement remains unpaid longer than thirty (30) days after submittal to and receipt by Client. Non-payment of billing statements shall be a basis for Kutak Rock to immediately withdraw from the representation without regard to remaining actions necessitating attention by Kutak Rock as part of the representation.

DEFAULT; VENUE

In any legal proceeding to collect outstanding balances due under this Agreement, the prevailing party shall be entitled to recover reasonable attorneys' fees in addition to costs and outstanding balances due under this Agreement. Venue of any such action shall be exclusive in the state courts of the Second Judicial Circuit in and for Leon County, Florida.

CONFLICTS

It is important to disclose that Kutak Rock represents a number of special districts, trustees ("Trustees"), bondholders, developers, builders, and other entities throughout Florida and the United States of America relating to community development districts, special districts, local governments and land development. Kutak Rock or its attorneys may also have represented the entity which petitioned for the formation of the Client. Kutak Rock understands that Client may enter into an agreement with a Trustee in connection with the issuance of bonds, and that Client may request that Kutak Rock simultaneously represent Client in connection with the issuance of bonds, while Kutak Rock is also representing such Trustee on unrelated matters. By accepting this Agreement Client agrees that (I) Client was provided with an explanation of the implications of the common representation(s) and the advantages and risks involved; (2) Kutak Rock will be able to provide competent and diligent representation of Client, regardless of Kutak Rock's other representations, and (3) there is not a substantial risk that Kutak Rock's representation of Client would be materially limited by Kutak Rock's responsibilities to another client, a former client or a third person or by a personal interest. Acceptance of this Agreement will constitute Client's waiver of any "conflict" with Kutak Rock's representation of various special districts, Trustees, bondholders, developers, builders, and other entities relating to community development districts, special districts, local governments and land development.·

ACKNOWLEDGMENT

Client acknowledges that the Kutak Rock cannot make any promises to Client as to the outcome of any legal dispute or guarantee that Client will prevail in any legal dispute.

TERMINATION

Either party may terminate this Agreement upon providing prior written notice to the other party at its regular place of business. All fees due and payable in accordance with this Agreement shall accrue and become payable pursuant to the terms of this Agreement through the date of termination.

EXECUTION OF AGREEMENT

This Agreement shall be deemed fully executed upon its signing by Kutak Rock and the Client. The contract formed between Kutak Rock and the Client shall be the operational contract between the parties.

ENTIRE CONTRACT

This Agreement constitutes the entire agreement between the parties.

Accepted and Agreed to:

SUNNY HILLS COMMUNITY DEVELOP	ENT DISTRICT

4866-4119-0916.1

KUTAKROCKLLP

By: ef£j/1A-	

Tucker F. e, Transition Partner

Date:--- "'5-/2'7-/'2-2 '=------

4

ATTACHMENT A

KUTAK ROCK LLP
CDD EXPENSE REIMBURSEMENT POLICY

The following is Kutak Rock's expense reimbursement policy for community development district representation. This policy applies unless a different arrangement has been negotiated based on the unique circumstances of a particular client or matter.

All expenses are billed monthly. Billings ordinarily reflect expenses for the most recent month, except where there are delays in receiving bills from third party vendors.

Photocopying and Printing. In-house photocopying and printing are charged at $0.25 per page (black & white) and $0.50 per page (color). Outside copying is billed as a pass-through of the outside vendor's charges.

Postage. Postage is billed at actual cost.

Overnight Delivery. Overnight delivery is billed at actual cost.

Local Messenger Service. Local messenger service is billed at 44.5 cents per mile pursuant to Section 112.061, Florida Statutes. Should the State increase the mileage allowance specified in Section 112.061, Florida Statutes, Kutak Rock shall, without further action, be entitled to reimbursement at the increased rate.

Computerized Legal Research. Charges for computerized legal research are billed at an amount approximating actual cost.

Travel. Travel (including air fare, rental cars, taxicabs, hotel, meals, tips, etc.) is billed at actual cost. Where air travel is required, coach class is used wherever feasible. Out-of-town mileage is billed at 44.5 cents per mile pursuant to Section 112.061, Florida Statutes. Should the State increase the mileage allowance specified in Section 112.061, Florida Statutes, Kutak Rock shall, without further action, be entitled to reimbursement at the increased rate. Reasonable travel­ related expenses for meals, lodging, gratuities, taxi fares, tolls, and parking fees shall also be reimbursed.

Consultants. Unless prior arrangements are made, consultants are ordinarily employed directly by the client. Where consulting or testifying experts are employed by the firm, their charges are passed through with no mark-up. The client is responsible for notifying the firm of any particular billing arrangements or procedures which the client requires of the consulting or testifying experts.

Other Expenses.	Other outside expenses, such as court reporters, agency copies, conference calls, etc. are billed at actual cost.

5
4866-41I 9-09 I 6.1

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2022-05, Approving an Annual Budget for the
District’s 2022-2023 Fiscal Year

RESOLUTION 2022-05

A RESOLUTION OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT APPROVING THE DISTRICT’S PROPOSED BUDGET FOR FISCAL YEAR 2022/2023 AND TRANSMITTING SAID BUDGET TO WASHINGTON COUNTY FOR ADOPTION.

WHEREAS, the District Manager has prepared the proposed budget for Fiscal Year 2022/2023, attached hereto as Exhibit A; and

WHEREAS, the District Board approves the proposed budget for purpose of transmitting said budget to the County Administrator of Washington County, Florida, for adoption by the Washington County Board of County Commissioners.

NOW, THEREFORE, BE IT RESOLVED BY THE DISTRICT BOARD OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT:

1. The proposed budget for Fiscal Year 2022/2023 in the amount of $	 is hereby approved for the purpose of transmitting said budget to the County Administrator of Washington County, Florida, for adoption by the Washington County Board of County Commissioners.

PASSED AND ADOPTED THIS 24th DAY OF JUNE 2022.

ATTEST:	SUNNY HILLS UNITS 12-15
DEPENDENT DISTRICT

By:	
Secretary	Its:	

EXHIBIT A:	Fiscal Year 2022/2023 Proposed Budget

4887-6333-0085.1

Sunny Hills Unit 12-15 Depen. District
FY 2023 O&M Proposed Budget

					Year To Date					
	Actual Though 05/31/2022		Anticipated June to Sept 2022		
Anticipated Total FY 2022		FY 2022
Adopted Budget		FY 2023
Proposed Budget	

Revenues										
Developer Contributions	$  13,114.41		$	9,080.58		$ 22,194.99		$ 38,500.00		$ 39,440.00	
Net Revenues	$  13,114.41		$	9,080.58		$ 22,194.99		$ 38,500.00		$ 39,440.00	
General & Administrative Expenses										
Supervisor Fees	$	-		$	200.00		$	200.00		$	400.00		$	200.00	
Travel and Per Diem			1,300.00		1,300.00		2,000.00		2,500.00	
Public Officials' Liability Insurance	3,337.00		-		3,337.00		3,295.00		3,800.00	
Management	5,833.31		4,166.69		10,000.00		10,000.00		10,000.00	
Engineering	-		666.67		666.67		2,000.00		2,000.00	
District Counsel	600.00		300.00		900.00		10,000.00		10,000.00	
Audit	4,500.00		-		4,500.00		4,750.00		4,750.00	
Office Expenses	-		-		-		-		175.00	
Telephone	-		8.33		8.33		25.00		25.00	
Postage & Shipping	27.76		16.67		44.43		50.00		100.00	
Copies	-		16.67		16.67		50.00		50.00	
Legal Advertising	288.00		144.00		432.00		1,250.00		1,250.00	
Miscellaneous	-		201.67		201.67		605.00		395.00	
Web Site Maintenance	910.00		1,560.00		2,470.00		2,400.00		2,520.00	
Dues, Licenses, and Fees	175.00		-		175.00		175.00		175.00	
Total General & Administrative Expenses	$  15,671.07		$	8,580.69		$ 24,251.76		$ 37,000.00		$ 37,940.00	
Capital Project Fund										
District Counsel	$	-		$	333.33		$	333.33		$	1,000.00		$	1,000.00	
Contingency	-		166.67		166.67		500.00		500.00	
Total Capital Project Expenses	$	-		$	500.00		$	500.00		$	1,500.00		$	1,500.00	
Total Expenses	 $  15,671.07 		 $	9,080.69 		 $ 24,751.76 		 $ 38,500.00 		 $ 39,440.00 	
Income (Loss) from Operations	$	(2,556.66)		$	(0.11)		$ (2,556.77)		$	-		$	-	
Other Income (Expense)										
Interest Income	$	0.23		$	0.12		$	0.35				$	-	
Total Other Income (Expense)	$	0.23		$	0.12		$	0.35		$	-		$	-	
Net Income (Loss)	$	(2,556.43)		$	0.00		$ (2,556.43)		$	-		$	-	

Page 1 of 1

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Fiscal Year 2022-2023 Funding Agreement

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT FISCAL YEAR 2022/2023 FUNDING AGREEMENT

This agreement (“Agreement”) is made and entered into this   day of 	, 2022, by and between:

Sunny Hills Units 12-15 Dependent District, a special dependent established pursuant to Chapter 189, Florida Statutes, and located in Washington County, Florida (hereinafter “District”), and

Spring Ridge Development, LLC, a Florida limited liability company, whose address of 6900 Tavistock Lakes Blvd., Suite 200, Orlando, Florida 32827 (hereinafter “Developer”).

RECITALS

WHEREAS, the District was established by Ordinance No. 2006-12 of the Board of County Commissioners of Washington County, Florida (hereinafter, the “County”), for the purpose of planning, financing, constructing, operating and/or maintaining certain infrastructure; and

WHEREAS, the District, pursuant to Chapter 189, Florida Statutes, and Washington County Ordinance No. 2006-12, is authorized to levy such taxes, special assessments, fees and other charges as may be necessary in furtherance of the District's activities and services; and

WHEREAS, Developer presently owns real property within the District, which property will benefit from the timely construction and acquisition of the District's facilities, activities and services and from the continued operations of the District; and

WHEREAS, the District is approving its proposed general fund budget for the fiscal year beginning October 1, 2022 and ending September 30, 2023 (“Fiscal Year 2022/2023 Budget”) and transmitting said budget to the County for final adoption; and

WHEREAS, the Fiscal Year 2022/2023 Budget, which both parties recognize may be amended from time to time by the County, is attached hereto and incorporated herein by reference as Exhibit A; and

WHEREAS, the District will need a funding mechanism to enable it to proceed with its operations and services during Fiscal Year 2022/2023 as described in Exhibit A; and

WHEREAS, the Developer desires to provide such funds as are necessary to allow the District to proceed with its operations for Fiscal Year 2022/2023 as described in Exhibit A, and as may be amended from time to time by the County; and

NOW, THEREFORE, based upon good and valuable consideration and the mutual covenants of the parties, the receipt of which and sufficiency of which are hereby acknowledged, the parties agree as follows:

The Developer agrees to make available to the District the monies necessary for the operation of the District as called for in the budget attached hereto as Exhibit A (as finalized and amended from time to time), within thirty (30) days of written request by the District. The funds shall be deposited in the District’s general checking account. These payments are made by the Developer in lieu of taxes, fees, or assessments which might otherwise be levied or imposed by the District.

This instrument shall constitute the final and complete expression of the agreement between the parties relating to the subject matter of this Agreement. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both of the parties hereto.

The execution of this Agreement has been duly authorized by the appropriate body or official of all parties hereto, each party has complied with all the requirements of law, and each party has full power and authority to comply with the terms and provisions of this instrument.

This Agreement may be assigned, in whole or in part, by either party only upon the written consent of the other, which consent shall not be unreasonably withheld.

A default by either party under this Agreement shall entitle the other to all remedies available at law or in equity, which shall include, but not be limited to, the right of damages, injunctive relief and specific performance and specifically including the ability of the District to enforce any and all payment obligations under this Agreement through the imposition and enforcement of a contractual or other lien on property owned by the Developer.

In the event that either party is required to enforce this Agreement by court proceedings or otherwise, then the parties agree that the prevailing party shall be entitled to recover from the other all costs incurred, including reasonable attorneys’ fees and costs for trial, alternative dispute resolution, or appellate proceedings.

This Agreement is solely for the benefit of the formal parties herein and no right or cause of action shall accrue upon or by reason hereof, to or for the benefit of any third party not a formal party hereto. Nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person or corporation other than the parties hereto any right, remedy or claim under or by reason of this Agreement or any provisions or conditions hereof; and all of the provisions, representations, covenants and conditions herein contained shall inure to the sole benefit of and shall be binding upon the parties hereto and their respective representatives, successors and assigns.

This Agreement and the provisions contained herein shall be construed, interpreted and controlled according to the laws of the State of Florida.

This Agreement has been negotiated fully between the parties as an arm's length transaction. The parties participated fully in the preparation of this Agreement with the assistance of their respective counsel. In the case of a dispute concerning the interpretation of any provision of this Agreement, the parties are each deemed to have drafted, chosen and selected the language, and the doubtful language will not be interpreted or construed against any party.

The Agreement shall take effect as of October 1, 2022.

IN WITNESS WHEREOF, the parties execute this Agreement the day and year first written above.

Attest:	Sunny	Hills	Units	12-15	Dependent District

Secretary/Assistant Secretary	By: 	  Its: 	

Spring Ridge Development, LLC, a Florida limited liability company

Witness	By:	
Its:	

EXHIBIT A: Fiscal Year 2022/2023 Budget

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Fiscal Year 2021 Audit Engagement Letter

l:G :

CRI IN GRAM
CPAs and Advisors

Carr, Riggs & Ingram, LLC Certified Public Accountants 500 Grand Boulevard
Suite 210
Miramar Beach,Florida 32550

October 1, 2021

Sunny Hills Units 12-15 Dependent District c/o PFM Group Consulting, LLC
3501 Quadrangle Blvd, Suite 270
Orlando, FL, 32817

(850) 837-3141
(850) 654-4619 (fax)
CRlcpa.com

We are pleased to confirm our understanding of the services we are to provide Sunny Hills Units 12- 15 Dependent District for the year ended September 30, 2021. We will audit the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information, including the related notes to the financial statements, which collectively comprise the basic financial statements of Sunny Hills Units 12-15 Dependent District as of and for the year ended September 30, 2021. Accounting standards generally accepted in the United States of America provide for certain required supplementary information (RSI), such as management's discussion and analysis (MD&A), to supplement Sunny Hills Units 12-15 Dependent	District's basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. As part of our engagement, we will apply certain limited procedures to Sunny Hills Units 12-15 Dependent District's RSI in accordance with auditing standards generally accepted in the United States of America. These limited procedures will consist of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We will not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. The following RSI is required by U.S. generally accepted accounting principles and will be subjected to certain limited procedures, but will not be audited:

Management's Discussion and Analysis.
Budgetary Comparison Schedule.

Audit Objectives

The objective of our audit is the expression of opinions as to whether your financial statements are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles and to report on the fairness of the supplementary information referred to in the second paragraph when considered in relation to the financial statements as a whole. Our audit will be conducted in accordance with auditing standards generally accepted in the United States of America and the standards for financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and will include tests of the accounting records of Sunny Hills Units 12-15 Dependent District and other procedures we consider necessary to enable us to express such opinions. We will issue a written report upon completion of our audit of Sunny Hills

Units 12-15 Dependent District's financial statements. Our report will be addressed to the Board of Supervisors of Sunny Hills Units 12-15 Dependent District. We cannot provide assurance that unmodified opinions will be expressed. Circumstances may arise in which it is necessary for us to modify our opinions or add emphasis-of-matter or other-matter paragraphs. If our opinions are other than unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to complete the audit or are unable to form or have not formed opinions, we may decline to express opinions or issue reports, or may withdraw from this engagement.

We will also provide a report (that does not include an opinion) on internal control related to the financial statements and compliance with the provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a material effect on the financial statements as required by Government Auditing Standards. The report on internal control and on compliance and other matters will include a paragraph that states (1) that the purpose of the report is solely to describe the scope of testing of internal control and compliance, and the results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control on compliance, and (2) that the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. The paragraph will also state that the report is not suitable for any other purpose. If during our audit we become aware that Sunny Hills Units 12-15 Dependent District is subject to an audit requirement that is not encompassed in the terms of this engagement, we will communicate to management and those charged with governance that an audit in accordance with U.S. generally accepted auditing standards and the standards for financial audits contained in Government Auditing Standards may not satisfy the relevant legal, regulatory, or contractual requirements.

Audit Procedures-General

An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; therefore, our audit will involve judgment about the number of transactions to be examined and the areas to be tested. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We will plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether from (1) errors, (2) fraudulent financial reporting, (3) misappropriation of assets, or (4) violations of laws or governmental regulations that are attributable to the government or to acts by management or employees acting on behalf of the government. Because the determination of waste and abuse is subjective, Government Auditing Standards do not expect auditors to perform specific procedures to detect waste or abuse in financials audits nor do they expect auditors to provide reasonable assurance of detecting waste and abuse.

Because of the inherent limitations of an audit, combined with the inherent limitations of internal control, and because we will not perform a detailed examination of all transactions, an unavoidable risk exists that some material misstatements may exist and not be detected by us, even though the audit is properly planned and performed in accordance with U.S. generally accepted auditing standards and Government Auditing Standards. In addition, an audit is not designed to detect immaterial misstatements or violations of laws or governmental regulations that do not have a direct and material effect on the financial statements. However, we will inform the appropriate level of

management of any material errors, fraudulent financial reporting, or misappropriation of assets that comes to our attention. We will also inform the appropriate level of management of any violations of laws or governmental regulations that come to our attention, unless clearly inconsequential, and of any material abuse that comes to our attention. Our responsibility as auditors is limited to the period covered by our audit and does not extend to later periods for which we are not engaged as auditors.

Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, and may include tests of the physical existence of inventories, and direct confirmation of receivables and certain other assets and liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions. We will request written representations from your attorneys as part of the engagement, and they may bill you for responding to this inquiry. At the conclusion of our audit, we will require certain written representations from you about your responsibilities for the financial statements; compliance with laws, regulations, contracts, and grant agreements; and other responsibilities required by generally accepted auditing standards.

Audit Procedures-Internal Control

Our audit will include obtaining an understanding of the government and its environment, including internal control, sufficient to assess the risks of material misstatement of the financial statements and to design the nature, timing, and extent of further audit procedures. Tests of controls may be performed to test the effectiveness of certain controls that we consider relevant to preventing and detecting errors and fraud that are material to the financial statements and to preventing and detecting misstatements resulting from illegal acts and other noncompliance matters that have a direct and material effect on the financial statements. Our tests, if performed, will be less in scope than would be necessary to render an opinion on internal control and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to Government Auditing Standards.

An audit is not designed to provide assurance on internal control or to identify significant deficiencies or _material weaknesses. Accordingly, we will express no such opinion. However, during the audit, we will communicate to management and those charged with governance internal control related matters that are required to be communicated under AICPA professional standards and Government Auditing Standards.

Audit Procedures-Compliance

As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we will perform tests of Sunny Hills Units 12-15 Dependent Development District's compliance with the provisions of applicable laws, regulations, contracts, agreements, and grants. However, the objective of our audit will not be to provide an opinion on overall compliance and we will not express such an opinion in our report on compliance issued pursuant to Government Auditing Standards.

Other Services

We will also assist in preparing the financial statements and related notes of Sunny Hills Units 12-15 Dependent District in conformity with U.S. generally accepted accounting principles based on information provided by you. These nonaudit services do not constitute an audit under Government Auditing Standards and such services will not be conducted in accordance with Government Auditing Standards. We will perform the services in accordance with applicable professional standards. The other services are limited to the financial statement services previously defined. We, in our sole professional judgment, reserve the right to refuse to perform any procedure or take any action that could be construed as assuming management responsibilities.

We will also examine the District's compliance with the requirements of Section 218.415, Florida Statutes, Local Government Investment Policies, as of September 30, 2021. Our examination will be conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Accordingly, it will include examining, on a test basis, your records and other procedures to obtain evidence necessary to enable us to express our opinion. Our report will be addressed to the Board of Supervisors of the District. We cannot provide assurance that an unmodified opinion will be expressed. Circumstances may arise in which it is necessary for us to modify our opinion. If our opinion is other than unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to complete the examination or are unable to form or have not formed an opinion, we may decline to express an opinion or may withdraw from this engagement.

Management Responsibilities

Management is responsible for designing, implementing, establishing, and maintaining effective internal controls relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error, including evaluating and monitoring ongoing activities to help ensure that appropriate goals and objectives are met; following laws and regulations; and ensuring that management and financial information is reliable and properly reported. Management is also responsible for implementing systems designed to achieve compliance with applicable laws, regulations, contracts, and grant agreements. You are also responsible for the selection and application of accounting principles, for the preparation and fair presentation of the financial statements and all accompanying information in conformity with U.S. generally accepted accounting principles, and for compliance with applicable laws and regulations and the provisions of contracts and grant agreements.

Management is also responsible for making all financial records and related information available to us and for the accuracy and completeness of that information. You are also responsible for providing us with (1) access to all information of which you are aware that is relevant to the preparation and fair presentation of the financial statements, (2) additional information that we may request for the purpose of the audit, and (3) unrestricted access to persons within the government from whom we determine it necessary to obtain audit evidence.

Your responsibilities include adjusting the financial statements to correct material misstatements and for confirming to us in the written representation letter that the effects of any uncorrected misstatements aggregated by us during the current engagement and pertaining to the latest period

presented are immaterial, both individually and in the aggregate, to the financial statements taken as a whole.

You are responsible for the design and implementation of programs and controls to prevent and detect fraud, and for informing us about all known or suspected fraud affecting the government involving (1) management, (2) employees who have significant roles in internal control, and (3) others where the fraud could have a material effect on the financial statements. Your responsibilities include informing us of your knowledge of any allegations of fraud or suspected fraud affecting the government received in communications from employees, former employees, granters, regulators, or others. In addition, you are responsible for identifying and ensuring that the government complies with applicable laws, regulations, contracts, agreements, and grants and for taking timely and appropriate steps to remedy fraud and noncompliance with provisions of laws, regulations, contracts or grant agreements that we report.

You are responsible for the preparation of the supplementary information, which we have been engaged to report on, in conformity with U.S. generally accepted accounting principles. You agree to include our report on the supplementary information in any document that contains and indicates that we have reported on the supplementary information. You also agree to include the audited financial statements with any presentation of the supplementary information that includes our report thereon. Your responsibilities include acknowledging to us in the written representation letter that
you are responsible for presentation of the supplementary information in accordance with GAAP;
you believe the supplementary information, including its form and content, is fairly presented in accordance with GAAP; (3) the methods of measurement or presentation have not changed from those used in the prior period (or, if they have changed, the reasons for such changes); and (4) you have disclosed to us any significant assumptions or interpretations underlying the measurement or presentation of the supplementary information.

Management is responsible for establishing and maintaining a process for tracking the status of audit findings and recommendations. Management is also responsible for identifying and providing report copies of previous financial audits, attestation engagements, performance audits or other studies related to the objectives discussed in the Audit Objectives section of this letter. This responsibility includes relaying to us corrective actions taken to address significant findings and recommendations resulting from those audits, attestation engagements, performance audits, or other studies. You are also responsible for providing management's views on our current findings, conclusions, and recommendations, as well as your planned corrective actions, for the report, and for the timing and format for providing that information.

You agree to assume all management responsibilities relating to the financial statements and related notes and any other nonaudit services we provide. You will be required to acknowledge in the management representation letter our assistance with preparation of the financial statements and related notes and that you have reviewed and approved the financial statements and related notes prior to their issuance and have accepted responsibility for them. Further, you agree to oversee the nonaudit services by designating an individual, preferably from senior management, with suitable skill, knowledge, or experience; evaluate the adequacy and results of those services; and accept responsibility for them.

Engagement Administration, Fees, and Other

We understand that your employees will prepare all cash, accounts receivable, or other confirmations we request and will locate any documents selected by us for testing.

We will provide copies of our reports to the District; however, management is responsible for distribution of the reports and the financial statements. Unless restricted by law or regulation, or containing privileged and confidential information, copies of our reports are to be made available for public inspection.

The audit documentation for this engagement is the property of Carr, Riggs & Ingram, LLC and constitutes confidential information. However, subject to applicable laws and regulations, audit documentation and appropriate individuals will be made available upon request and in a timely manner to the Florida Auditor General or its designee, a federal agency providing direct or indirect funding, or the U.S. Government Accountability Office for purposes of a quality review of the audit, to resolve audit findings, or to carry out oversight responsibilities. We will notify you of any such request. If requested, access to such audit documentation will be provided under the supervision of CRI personnel. Furthermore, upon request, we may provide copies of selected audit documentation to the aforementioned parties. These parties may intend, or decide, to distribute the copies or information contained therein to others, including other governmental agencies.

Public Records. Auditor shall, pursuant to and in accordance with Section 119.0701, Florida Statutes, comply with the public records laws of the State of Florida, and specifically shall:

Keep and maintain public records required by the District to perform the services or work set forth in this Agreement; and

Upon the request of the District's custodian of public records, provide the District with a copy of the requested records or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes, or as otherwise provided by law; and

Ensure that public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the Agreement if the Auditor does not transfer the records to the District; and

Upon completion of the Agreement, transfer, at no cost to the District, all public records in possession of the Auditor or keep and maintain public records required by the District to perform the service or work provided for in this Agreement. If the Auditor transfers all public records to the District upon completion of the Agreement, the Auditor shall destroy (except as required by regulation or professional standard to maintain such records) any duplicate public records that are exempt or confidential and exempt from public disclosure requirements. If the Auditor keeps and maintains public records upon completion of the Agreement, the Auditor shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the

District, upon request from the District's custodian of public records, in a format that is compatible with the information technology systems of the District.

Auditor acknowledges that any requests to inspect or copy public records relating to this Agreement must be made directly to the District pursuant to Section 119.0701(3), Florida Statutes. If notified by the District of a public records request for records not in the possession of the District but in possession of the Auditor, the Auditor shall provide such records to the District or allow the records to be inspected or copied within a reasonable time. Auditor acknowledges that should Auditor fail to provide the public records to the District within a reasonable time, Auditor may be subject to penalties pursuant to Section 119.10, Florida Statutes.

IF THE AUDITOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE AUDITOR'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS AGREEMENT/CONTRACT, THE AUDITOR MAY CONTACT THE CUSTODIAN OF PUBLIC RECORDS FOR THE DISTRICT AT:

PFM Group Consulting, LLC
3501 Quadrangle Blvd, Suite 270
Orlando, FL, 32817
TELEPHONE: (407)723-5935
EMAIL: mullinsl@pfm.com

The audit documentation for this engagement will be retained for a minimum of five years after the report release date or for any additional period requested by the Florida Auditor General. If we are aware that a federal awarding agency or auditee is contesting an audit finding, we will contact the party(ies) contesting the audit finding for guidance prior to destroying the audit documentation.

We expect to begin our audit on approximately December 1, 2021 and to issue our reports no later than January 31, 2022. K. Alan Jowers is the engagement partner and is responsible for supervising the engagement and signing the reports or authorizing another individual to sign them.

Our fee for these services will be $4,500. This agreement provides for a contract period of one (1) year with the option for a one-year extension upon the written agreement of the parties. Our invoices for these fees will be rendered each month as work progresses and are payable on presentation. Invoices will be provided in sufficient detail to demonstrate compliance with the terms discussed herein. In accordance with our firm policies, work may be suspended if your account becomes 30 days or more overdue and may not be resumed until your account is paid in full. If we elect to terminate our services for nonpayment, our engagement will be deemed to have been completed upon written notification of termination, even if we have not completed our report. This agreement may be terminated at-will by either party with 30 days' written notice. The District will pay all invoices for services rendered prior to the date of the notice of termination. The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs.

Governing Law; Venue

This agreement and performance hereunder shall be governed by the laws of the State of Florida, without reference to any conflict of laws rules or principles. Any action or proceeding arising from or relating to this agreement must be brought in a state or federal court having jurisdiction in Leon County, Florida, and each party irrevocably submits to the jurisdiction and venue of any such court in any such action or proceeding and agrees to waive any defenses to venue and jurisdiction including forum non conveniens.

Electronic Data Communication and Storage and Use of Third Party Service Provider

In the interest of facilitating our services to your company, we may send data over the Internet, securely store electronic data via computer software applications hosted remotely on the Internet, or allow access to data through third-party vendors' secured portals or clouds. Electronic data that is confidential to your company may be transmitted or stored using these methods. We may use third­ party service providers to store or transmit this data, such as, but not limited to, providers of tax return preparation software. In using these data communication and storage methods, our firm employs measures designed to maintain data security. We use reasonable efforts to keep such communications and data access secure in accordance with our obligations under applicable laws and professional standards. We also require our third-party vendors to do the same.

To enhance our services to you, we will use a combination of remote access, secure file transfer, virtual private network or other collaborative, virtual workspace or other online tools or environments. Access through any combination of these tools allows for on-demand and/or real-time collaboration across geographic boundaries and time zones and allows CRI and you to share data, engagement information, knowledge, and deliverables in a protected environment. In order to use certain of these tools and in addition to execution of this acknowledgement and engagement letter, you may be required to execute a separate client acknowledgement or agreement and agree to be bound by the terms, conditions and limitations of such agreement. While we may back up your files to facilitate our services, you are solely responsible for the backup of your files and records; therefore, we recommend that you also maintain your own backup files of these records. In the event you suffer a loss of any files or records due to accident, inadvertent mistake, or Act of God, copies of which you have provided to us pursuant to this agreement, we shall not be responsible or obligated to provide you a copy of any such file or record which we may retain in our possession.

We appreciate the opportunity to be of service to Sunny Hills Units 12-15 Dependent District and believe this letter accurately summarizes the terms of our engagement. This letter constitutes the complete and exclusive statement of the agreement between CRI and the District. If you have any questions, please let us know. If you agree with the terms of our engagement as described in this letter, please sign the enclosed copy and return it to us.

Very truly yours,

CARR, RIGGS & INGRAM, LLC
Certified Public Accountants

RESPONSE:

This letter correctly sets forth the understanding of Sunny Hills Units 12-15 Dependent District.

Management Signaturer!J&		£..
Title:	D, -re;c,,7	fV1NAGE:g.

Governance Signature:	

Title:  _e._h_,_tJ_w_·,.,,_._e.n---+_'il_('J_P_litdi		_

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Fiscal Year 2021 Audit

Sunny Hills Units 12‐15 Dependent District
Financial Statements

September 30, 2021

Table of Contents

REPORT
Independent Auditors’ Report ........................................................................................	1
FINANCIAL STATEMENTS
Management’s Discussion And Analysis (required supplemental information).............	3
Basic Financial Statements Government‐Wide Financial Statements
Statement of Net Position ........................................................................................	7
Statement of Activities .............................................................................................	8
Fund Financial Statements
Balance Sheet – Governmental Funds ......................................................................	9
Reconciliation of the Balance Sheet of Governmental Funds to the Statement
of Net Position ..........................................................................................................	10
Statement of Revenue, Expenditures and Changes in Fund Balances –
Governmental Funds ................................................................................................	11
Reconciliation of the Statement of Revenue, Expenditures and Changes in
Fund Balances – Governmental Funds to the Statement of Activities .....................	12
Notes to Financial Statements ........................................................................................	13
Required Supplemental Information (other than MD&A)
Budget to Actual Comparison Schedule ‐ General Fund..............................................	19
Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed
in Accordance With Government Auditing Standards ....................................................	20
Management Letter ........................................................................................................	22
Attestation Report on Compliance with Section 218.415 Florida Statutes ....................	25

INDEPENDENT AUDITORS’ REPORT

To the Board of Supervisors
Sunny Hills Units 12‐15 Dependent District Washington County, Florida

Report on the Financial Statements

We have audited the accompanying financial statements of the governmental activities and each major fund of Sunny Hills Units 12‐15 Dependent District (hereinafter referred to as “District”), as of and for the year ended September 30, 2021, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors’ judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.

Opinions

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the District as of September 30, 2021, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Other Matters

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and budgetary comparison information, as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated March 14, 2022, on our consideration of the District's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the District’s internal control over financial reporting and compliance.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida March 14, 2022

Management’s Discussion And Analysis

Sunny Hills Units 12‐15 Dependent District Management’s Discussion and Analysis

Our discussion and analysis of the Sunny Hills Units 12‐15 Dependent District’s financial performance provides an overview of the District’s financial activities for the fiscal year ended September 30, 2021. Please read it in conjunction with the District’s financial statements, which begin on page 7.

FINANCIAL HIGHLIGHTS

At September 30, 2021, the assets of the District exceed its liabilities by approximately $1.8 million.

As of September 30, 2021, the District has temporarily stopped its infrastructure construction project. Its activities were minimal and were largely administrative in nature.

USING THE ANNUAL REPORT

This annual report consists of a series of financial statements. The Statement of Net Position and the Statement of Activities on pages 7 – 8 provide information about the activities of the District as a whole and present a longer‐term view of the District’s finances. Fund financial statements start on page 9. For governmental activities, these statements tell how these services were financed in the short‐term as well as what remains for future spending. Fund financial statements also report the District’s operations in more detail than the government‐wide statements by providing information about the District’s most significant funds.

Reporting the District as a Whole

Our analysis of the District as a whole begins on page 4. One of the most important questions asked about the District’s finances is, “Is the District as a whole better off or worse off as a result of the year’s activities?” The Statement of Net Position and the Statement of Activities report information about the District as a whole and about its activities in a way that helps answer this question. These statements include all assets and liabilities using the accrual basis of accounting, which is similar to the accounting used by most private‐sector companies. All of the current year’s revenues and expenses are taken into account regardless of when cash is received or paid.

These two statements report the District’s net position and related changes during the current year. You can think of the Districts’ net position – the difference between assets and liabilities – as one way to measure the District’s financial health, or financial position. Over time, increases or decreases in the District’s net position is one indicator of whether its financial health is improving or deteriorating. You will need to consider other nonfinancial factors; however, such as changes in the District’s assessment base and the condition of the District’s infrastructure, to assess the overall health of the District.

Sunny Hills Units 12‐15 Dependent District Management’s Discussion and Analysis

Reporting the District’s Most Significant Funds

Our analysis of the District’s major funds begins on page 5. The fund financial statements begin on page 9 and provide detailed information about the most significant funds – not the District as a whole. Some funds are required to be established by State law and by bond covenants. All of the District’s funds are governmental fund‐types.

Governmental funds – All of the District’s basic services are reported in governmental funds, which focus on how money flows into and out of those funds and the balances left at year‐end that are available for spending. The governmental fund statements provide a detailed short‐ term view of the District’s general government operations and the basic services it provides. Governmental fund information helps you determine whether there are more or fewer financial resources that can be spent in the near future to finance the District’s programs.

THE DISTRICT AS A WHOLE

The following table reflects the condensed Statement of Net Position and is compared to the prior year.

September 30,
Assets
Current and other assets Capital assets	2021	2020

$	3,074	$	4,473
1,770,313	1,770,313	

$	Change

(1,399)
‐	

Total assets	
$	1,773,387	$	1,774,786	
$	
(1,399)	

Liabilities
Current liabilities	$	2,011	$	3,410	$	(1,399)	
Total liabilities	2,011	3,410	(1,399)	

Net position
Net investment in capital assets	1,770,313	1,770,313	‐	
Unrestricted	1,063	1,063	‐	
Total net position		1,771,376		1,771,376		‐	

Total liabilities, deferred inflows of resources	
and net position	$	1,773,387	$	1,774,786	$	(1,399)	

For more detailed information, see the accompanying Statement of Net Position.

During the fiscal year ended September 30, 2021, total assets and liabilities decreased from the prior year by approximately $1,400, respectively. The variances in assets and liabilities are primarily due to timing of developer contributions and vendor payments.

Sunny Hills Units 12‐15 Dependent District Management’s Discussion and Analysis

The following schedule compares the Statement of Activities for the current and previous fiscal year.

For the year ended September 30,	2021	2020	Change	
Revenue:
Program revenue:
Grants and contributions	

$	24,332	

$	23,749	

$	583	

Total revenue	
24,332	
23,749	
583	

Expenses:
General government	

24,332	

23,778	

554	
Total expenses	24,332	23,778	554	

Change in net position	
‐	
(29)	
29	
Net position, beginning of year	1,771,376	1,771,405	(29)	

Net position, end of year	
$	1,771,376	
$	1,771,376	
$	‐	

For more detailed information, see the accompanying Statement of Activities.

Total revenue and expenses increased by approximately $600 over the prior year. The increases in both revenue and expenses are primarily due to an increase in District activity as the Developer is funding the general operations of the District. The overall result was a no change in net position for fiscal year 2021.

THE DISTRICT’S FUNDS

As the District completed the year, its governmental funds (as presented in the balance sheet on page 9) reported a fund balance of $1,063, which is an increase from last year’s fund balance deficit that totaled
$21. Significant transactions are discussed below.

During the fiscal year ended September 30, 2021, the Developer contributed approximately
$25,000 to fund the operations of the District.

GOVERNMENTAL FUNDS BUDGETARY HIGHLIGHTS

An operating budget was established by the District’s governing board and approved by the Washington County, Florida Board of County Commissioners pursuant to the requirements of the Florida Statues and Washington County Ordinance 2006‐12. The budget to actual comparison for the General Fund, including the original budget and final adopted budget, is shown at page 19.

Sunny Hills Units 12‐15 Dependent District Management’s Discussion and Analysis

The District experienced an unfavorable variance in revenue and a favorable variance in expenditures as compared to the budget in the amount of approximately $13,000. The variance in expenditures occurred primarily due to the District anticipating operating expenditures for district counsel that were not incurred during the year. The variance in revenue is a result of the lower expenditure level.

CAPITAL ASSETS

At September 30, 2021, the District had approximately $1.8 million invested in capital assets. This amount did not change from the prior year.

A listing of capital assets by major category for the current and prior year follows:

September 30,	2021	2020		Change		

Infrastructure under construction	
$	1,770,313	
$	1,770,313	
$		
‐	

Total capital assets, not being depreciated	
$	1,770,313	
$	1,770,313	
$		
‐	

More information about the District’s capital assets is presented in Note 3 to the financial statements.

FUTURE FINANCIAL FACTORS

Sunny Hills Units 12‐15 Dependent District is a dependent special district that operates under the provisions of Chapter 189, Florida Statutes. The District operates under an elected Board of Supervisors, which has the authority to establish policy and impose special assessments. For the fiscal year 2022, the Developer has agreed to fund the operations of the District.

CONTACTING THE DISTRICT’S FINANCIAL MANAGEMENT

This financial report is designed to provide a general overview of the District’s finances. If you have questions about this report or need additional financial information, contact the Sunny Hills Units 12‐15 Dependent District’s management company at 3501 Quadrangle Blvd., Suite 270, Orlando, Florida 32817.

Basic Financial Statements

Sunny Hills Units 12‐15 Dependent District
Statement of Net Position	
September 30,	2021

Governmental Activities
Assets
Cash and cash equivalents	$	1,063
Due from developer	2,011
Capital assets:
Not being depreciated	1,770,313

Total assets	1,773,387

Liabilities
Accounts payable	2,011

Total liabilities	2,011

Net position
Net investment in capital assets	1,770,313
Unrestricted	1,063

Total net position	$	1,771,376	

Sunny Hills Units 12‐15 Dependent District
Statement of Activities

For the year ended September 30,	2021

Net (Expense) Revenue and Changes in

Program Revenue	Net Position

Operating
Grants and	Governmental
Functions/Programs	Expenses	Contributions	Activities Primary government:
Governmental activities:
General government	$	(24,332)  $	24,332	$	‐

Total governmental activities	$	(24,332) $	24,332	‐

Change in net position	‐

 Net position ‐ beginning of the year	1,771,376 

 Net position ‐ end of the year	$	1,771,376 

Sunny Hills Units 12‐15 Dependent District Balance Sheet – Governmental Funds
September 30,	2021
General Fund
Assets
Cash and cash equivalents Due from developer	
$	
1,063
2,011	

Total assets	
$	
3,074	

Liabilities and fund balance
Liabilities Accounts payable
Total liabilities	

$	

2,011
2,011	

Fund balance Unassigned
Total fund balance		

1,063
1,063	

Total liabilities and fund balance	
$	
3,074	

Sunny Hills Units 12‐15 Dependent District Reconciliation of the Balance Sheet of Governmental Funds to the Statement of
Net Position
September 30,	2021
Total fund balance, governmental funds	
$	
1,063	
Capital assets used in governmental activities are not financial resources and therefore are not reported in the fund level statements.		
1,770,313	

Total net position ‐ governmental activities	
$	
1,771,376	

Sunny Hills Units 12‐15 Dependent District Statement of Revenue, Expenditures and Changes in Fund Balances –
Governmental Funds
For the year ended September 30,	2021
General Fund
Revenue
Developer contributions
Total revenue	
$	
25,416
25,416	

Expenditures
Current:
General government Total expenditures		

24,332
24,332	

Excess of revenue over expenditures		
1,084	
Fund balance (deficit), beginning of year		(21)	

Fund balance, end of year	
$	
1,063	

Sunny Hills Units 12‐15 Dependent District Reconciliation of the Statement of Revenue, Expenditures and Changes in Fund Balance – Governmental Funds to the Statement of Activities

For the year ended September 30,	2021	

Net change in fund balances ‐ governmental funds	
$	1,084	
Certain revenues that did not represent current financial resources in the prior year were deferred in the fund level financial statements but were recognized as revenue in the government‐wide financial statements in the prior year.	

(1,084)	

Change in net position of governmental activities	
$	‐	

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 1: NATURE OF ORGANIZATION

The Sunny Hills Units 12‐15 Dependent District (the “District”) was established on August 14, 2006 pursuant to Chapter 189, Florida Statutes, by Washington County Ordinance 2006‐12. The Act provides, among other things, the power to manage basic services for community development, power to borrow money and issue bonds, and the power to levy ad valorem taxes and assess non‐ad valorem assessments for the financing and delivery of capital infrastructure.

The District was established for the purposes of financing and managing the acquisition, construction, maintenance and operation of a portion of the infrastructure necessary for community development within the District. The District is required to have their budget approved by Washington County, Florida on an annual basis. For the fiscal year ended September 30, 2021, the District did not engage in construction activities and its expenditures were largely administrative in nature.

The District is governed by a Board of Supervisors (“Board”), which is comprised of three members. The Supervisors are elected on an at large basis by the owners of the property within the District. The majority of the Board of Supervisors are currently affiliated with the Developer, Spring Ridge Development, LLC or its affiliates. The District is economically dependent on the Developer. The Board of Supervisors of the District exercises all powers granted to the District pursuant to Chapter 189, Florida Statutes.

The Board has the final responsibility for:
Allocating and levying special assessments.
Approving budgets.
Exercising control over facilities and properties.
Controlling the use of funds generated by the District.
Approving the hiring and firing of key personnel.
Financing improvements.

In evaluating how to define the government, for financial reporting purposes, management has considered all potential component units. The decision to include or exclude a potential component unit in the reporting entity was made by applying the criteria set forth by Generally Accepted Accounting Principles (GAAP) as defined by the Governmental Accounting Standards Board (GASB). Based on the criteria identified therein, no potential component units were found.

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accounting policies of the District conform to GAAP as applicable to governments in accordance with those promulgated by GASB. The following is a summary of the more significant policies:

Government‐wide and Fund Financial Statements

The basic financial statements include both government‐wide and fund financial statements.

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

The government‐wide financial statements (i.e., the Statement of Net Position and the Statement of Activities) report information on all non‐fiduciary activities of the primary government. Governmental activities, which normally are supported by assessments, are reported separately from business‐type activities, which rely to a significant extent on fees and charges for support. The business‐type activities are reported separately in government‐wide financial statements; however, at September 30, 2021, the District did not have any significant business‐type activities. Therefore, no business‐type activities are reported. Assessments and other items not properly included as program revenues (i.e., charges to customers or applicants who purchase, use, or directly benefit from goods or services) are reported as general revenues.

Separate financial statements are provided for governmental funds. Major individual governmental funds are reported as separate columns in the fund financial statements.

Measurement Focus, Basis of Accounting and Basis of Presentation

The government‐wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of the related cash flows. Assessments are recognized as revenues in the year for which they are levied. Grants and other similar items are to be recognized as revenue as soon as all eligibility requirements imposed by the provider have been met.

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the District considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures are recorded only when payment is due.

Developer contributions and interest associated with the current fiscal period are all considered to be susceptible to accrual and have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the District.

The District reports the following major governmental fund:

General Fund – The General Fund is the primary operating fund of the District. It is used to account for all financial resources except those required to be accounted for in other funds.

For the year ended September 30, 2021, the District does not report any proprietary funds.

As a general rule, the effect of interfund activity has been eliminated from the government‐wide financial statements.

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

When both restricted and unrestricted resources are available for use, it is the District’s policy to use restricted resources first, then unrestricted resources as they are needed. When committed, assigned, or unassigned resources are available for use in governmental fund financial statements, it is the District's policy to use committed resources first, followed by assigned resources, and then unassigned resources as needed.

Cash, Deposits and Investments

The District maintains deposits with "Qualified Public Depositories" as defined in Chapter 280, Florida Statutes. All Qualified Public Depositories must place with the Treasurer of the State of Florida securities in accordance with collateral requirements determined by the State’s Chief Financial Officer. In the event of default by a Qualified Public Depository, the State Treasurer will pay public depositors all losses. Losses in excess of insurance and collateral will be paid through assessments between all Qualified Public Depositories.

Under this method, all the District's deposits are fully insured or collateralized at the highest level of security as defined by GASB Statement Number 40, Deposits and Investment Disclosures (An Amendment of GASB Statement Number 3).

The District is authorized to invest in financial instruments as established by Section 218.415, Florida Statutes. The authorized investments include among others, direct obligations of the United States Treasury; the Local Government Surplus Funds Trust as created by Section 218.405, Florida Statutes; SEC registered money market funds with the highest credit quality rating from a nationally recognized rating agency; and interest‐bearing time deposits or savings accounts in authorized financial institutions.

Capital Assets

Capital assets, which include primarily infrastructure assets (e.g. roads, sidewalks, water management systems and similar items), are reported in the governmental activities column in the government‐wide financial statements. Capital assets are defined by the District as assets with an initial/individual cost of more than $5,000 and an estimated useful life in excess of two years. Such assets are recorded at historical cost and estimated historical cost if purchased or constructed. Donated assets are recorded at estimated fair market value at the date of donation.

The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed. Property, plant and equipment of the primary government will be depreciated using the straight‐line method upon completion and being placed into service.

In the governmental fund financial statements, amounts incurred for the acquisition of capital assets are reported as fund expenditures. Depreciation expense is not reported in the governmental fund financial statements.

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Deferred Outflows/Inflows of Resources

In addition to assets, the statement of net position and/or balance sheet – governmental funds will sometimes include a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then. The District does not have any of this type of item at September 30, 2021.

In addition to liabilities, the statement of net position and/or balance sheet – governmental funds will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The District does not have any of this type of item at September 30, 2021.

Fund Equity

Net position in the government‐wide financial statements is categorized as net investment in capital assets, restricted or unrestricted. Net investment in capital assets represents net assets related to infrastructure and property, plant and equipment. Restricted net position represents the net position restricted by outside parties. At September 30, 2021, the District did not have restricted net position.

Governmental fund equity is classified as fund balance. Fund balance is further classified as nonspendable, restricted, committed, assigned or unassigned. Nonspendable fund balance cannot be spent because of its form. Restricted fund balance has limitations imposed by creditors, grantors, or contributors or by enabling legislation or constitutional provisions. Committed fund balance is a limitation imposed by the District board through approval of resolutions. Assigned fund balance is a limitation imposed by a designee of the District board. Unassigned fund balance in the General Fund is the net resources in excess of what can be properly classified in one of the above four categories. Negative unassigned fund balance in other governmental funds represents excess expenditures incurred over the amounts restricted, committed, or assigned to those purposes.

Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Budgets

The District is required to establish a budgetary system and an annual budget, which is submitted for approval to the Washington County, Florida Board of County Commissioners. Annual budgets are legally adopted on a basis consistent with GAAP for the General Fund. Any revision to the budget must also be approved by the County. The budgets are compared to actual expenditures. In instances where budget appropriations and estimated revenues have been revised during the year, budget data presented in the financial statements represent final authorization amounts.

The District follows these procedures in establishing the budgetary data reflected in the financial statements:

On or before each July 15, the District shall prepare a proposed budget for the ensuing fiscal year.
No later than each August 1, the proposed budget shall be delivered to the County Manager.
The budget for the District shall be approved and adopted by the Board of County Commissioners no later than September 30.
All significant budget changes must be approved by the Board of County Commissioners.
Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America.

NOTE 3: CAPITAL ASSETS

The following is a summary of changes in the capital assets for the year ended September 30, 2021:

	Beginning
Balance	
Additions	Disposals and
Conveyances	Ending
Balance	
Governmental Activities:
Capital assets not being depreciated
Land	

$  1,770,313	

$	‐	

$	‐	

$ 1,770,313	
Total capital assets, not being depreciated	1,770,313	‐	‐	1,770,313	

Governmental activities capital assets, net	
$  1,770,313	
$	‐	
$	‐	
$ 1,770,313	

The total project costs of the infrastructure improvements for the District have been estimated at $96.5 million. The Developer has agreed to fund the ongoing construction of the District. See Note 4 – Related Party Transactions. The infrastructure will include roadways, utilities, potable water and stormwater management systems, and land improvements. Upon completion, certain improvements are to be maintained and operated by Washington County.

Sunny Hills Units 12‐15 Dependent District Notes to the Financial Statements

NOTE 3: CAPITAL ASSETS (Continued)

Because of current economic conditions, the District is not currently pursuing the implementation of the capital improvement program, and development activities are on hold. The District believes any erosion or loss of value related to the infrastructure under construction is temporary in nature until the development stoppage is ended; thus, no permanent impairment charge has been recorded.

NOTE 4: RELATED PARTY TRANSACTIONS

A significant portion of the District’s activity is dependent upon the continued involvement of the Developer, Spring Ridge Development, LLC, the loss of which could have a materially adverse effect on the District’s operations. At September 30, 2021, the Developer owned a majority of the assessable property located within the District’s boundaries.

The Developer has agreed to fund the General Fund operations of the District. In connection with that agreement, Developer contributions to the General Fund for the year ended September 30, 2021 totaled $25,416. A total of $2,011 is recorded as Due from developer on the accompanying Statement of Net Position and Balance Sheet – Governmental Funds.

NOTE 5: RISK MANAGEMENT

The District is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters. The District maintains commercial insurance coverage to mitigate the risk of loss. Coverage may not extend to all situations. Management believes such coverage is sufficient to preclude any significant uninsured losses to the District. Settled claims have not exceeded this commercial coverage in the previous three years, as there have been no claims.

NOTE 6: MANAGEMENT COMPANY

The District has contracted with a management company to perform management advisory services, which include financial and accounting advisory services. Certain employees of the management company also serve as officers (Board appointed non‐voting positions) of the District. Under the agreement, the District compensates the management company for management, accounting, financial reporting, and other administrative costs.

Required Supplemental Information (Other Than MD&A)

Sunny Hills Units 12‐15 Dependent District Budget to Actual Comparison Schedule – General Fund

For the year ended September 30,	2021	
	Original and		Variance with	
	Final Budget	Actual Amounts	Final Budget	
Revenue		
Developer contributions	$	38,500	$	25,416	$	(13,084)	
Total revenue	38,500	25,416	(13,084)	

Expenditures		
General government	37,000	24,332	12,668	
Total expenditures	37,000	24,332	12,668	

Excess of revenue over expenditures	
$	1,500	
$	1,084	
$	(416)	

INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

To the Board of Supervisors
Sunny Hills Units 12‐15 Dependent District Washington County, Florida

We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities and each major fund of Sunny Hills Units 12‐15 Dependent District (hereinafter referred to as the “District”), as of and for the year ended September 30, 2021, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements, and have issued our report dated March 14, 2022.

Internal Control Over Financial Reporting

In planning and performing our audit of the financial statements, we considered the District’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the District’s internal control. Accordingly, we do not express an opinion on the effectiveness of the District’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of the internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit, we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether the District's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the result of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida March 14, 2022

MANAGEMENT LETTER

To the Board of Supervisors
Sunny Hills Units 12‐15 Dependent District Washington County, Florida

Report on the Financial Statements

We have audited the financial statements of Sunny Hills Units 12‐15 Dependent District (“District”) as of and for the fiscal year ended September 30, 2021, and have issued our report thereon dated March 14, 2022.

Auditors’ Responsibility

We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the Florida Auditor General.

Other Reporting Requirements

We have issued our Independent Auditors’ Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Accountants' Report on an examination conducted in accordance with AICPA Professional Standards, AT‐C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in these reports, which are dated March 14, 2022, should be considered in conjunction with this management letter.

Prior Audit Findings

Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no recommendations made in the preceding annual audit report.

Official Title and Legal Authority

Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. The information required is disclosed in the notes to the financial statements.

Financial Condition and Management

Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, require us to communicate whether or not the District has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific condition(s) met. In connection with our audit, we determined that the District did not meet any of the conditions described in Section 218.503(1), Florida Statutes.

Pursuant to Sections 10.554(1)(i)5.b. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures for the District. It is management’s responsibility to monitor the District’s financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same.

Section 10.554(1)(i)2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.

Special District Component Units

Section 10.554(1)(i)5.c, Rules of the Auditor General, requires that we determine whether or not a special district that is a component unit of a county, municipality, or special district, provided the financial information necessary for proper reporting of the component unit, within the audited financial statements of the county, municipality, or special district in accordance with Section 218.39(3)(b), Florida Statutes. In connection with our audit, we determined that all special district component units provided the necessary information for proper reporting in accordance with Section 218.39(3)(b), Florida Statutes.

Specific Information

As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)(i)6, Rules of the Auditor General, the Sunny Hills Units 12‐15 Dependent District reported:

The total number of district employees compensated in the last pay period of the district’s fiscal year as 0.

The total number of independent contractors to whom nonemployee compensation was paid in the last month of the district’s fiscal year as 0.

All compensation earned by or awarded to employees, whether paid or accrued, regardless of contingency as $0.

All compensation earned by or awarded to nonemployee independent contractors, whether paid or accrued, regardless of contingency as $0.

The District does not have any construction projects with a total cost of at least $65,000 that are scheduled to begin on or after October 1 of the fiscal year being reported.

The District did not amend its final adopted budget under Section 189.016(6), Florida Statutes.

Additional Matters

Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings.

Purpose of this Letter

Our management letter is intended solely for the information and use of Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida March 14, 2022

INDEPENDENT ACCOUNTANTS’ REPORT

To the Board of Supervisors
Sunny Hills Units 12‐15 Dependent District Washington County, Florida

We have examined Sunny Hills Units 12‐15 Dependent District’s compliance with the requirements of Section 218.415, Florida Statutes, Local Government Investment Policies, during the year ended September 30, 2021. Management of the District is responsible for the District’s compliance with the specified requirements. Our responsibility is to express an opinion on the District’s compliance with the specified requirements based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the District complied, in all material respects, with the specified requirements referenced above. An examination involves performing procedures to obtain evidence about whether the District complied with the specified requirements. The nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of the risks of material noncompliance, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion.

Our examination does not provide a legal determination on the District’s compliance with specified requirements.

In our opinion, the District complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2021.

This report is intended solely for the information and use of management and the State of Florida Auditor General and is not intended to be and should not be used by anyone other than these specified parties.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida March 14, 2022

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Appointment of Auditor Selection Committee

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Funding Request 62-77

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 62
5/18/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	PFM Group Consulting
April postage
DM Fees May 2021 January postage	
OE-EXP-05-48 DM-05-2021-0044 OE-EXP-02-45	
$
$
$	
0.51
833.33
4.74	
2	VGlobalTech
May Web maintenance	
2681	
$	
100.00	
3	Hopping Green & Sams General Counsel General Counsel	
122573
120836	
$
$	
110.00
355.50	

TOTAL	$  1,404.08

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 63
6/21/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	
PFM Group Consulting				
	May postage	OE-EXP-06-48	$	0.51	
	DM Fees June 2021	DM-06-2021-0044	$	833.33	
2	VGlobalTech				
	June Web maintenance	2757	$	100.00	
		
TOTAL	
$	
933.84	

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 64

7/7/2021		
Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	
Kaufmann Development Services
Board Meeting plane ticket	

87	

$	666.40	

TOTAL	$	666.40	

	

Secretary/Assistant Secretary	
Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 65
7/26/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	PFM Group Consulting				
	DM Fees July 2020	DM-07-2021-46	$	833.33	
	June postage	OE-EXP-07-41	$	13.04	
	Billable Expenses	116264	$	885.39	
2	VGlobalTech				
	Quarterly Audit	2846	$	300.00	
	Monthly Maintenance	2889	$	100.00	

TOTAL	$  2,131.76

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 66
8/20/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	
Hopping Green & Sams			
	Legal Services thru 06/30/2021	124150	$436.00	
2	PFM Group Consulting			
	DM Fees August 2021	DM-08-2021-46	$	833.33	
	Postage July 2021	OE-EXP-08-38	$	2.04	
		
TOTAL	
$	
835.37	

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 67
8/27/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1	
Hopping Green & Sams			
	Legal Services thru 07/31/2021	124653	$145.00	
2	VGlobalTech			
	Monthly Maintenance	2970	$	100.00	
		
TOTAL	
$245.00	

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 68
9/13/2021

Item
No.	Payee	Invoice
Number	FY 2021
Amount	

1	
Egis Insurance & Risk Advisors
Insurance Renewal 2022	

14111	

$3,337.00	
		
TOTAL	
$3,337.00	

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 69
9/29/2021

Item	Payee	Invoice	FY 2021	
No.		Number	Amount	

1

2	
PFM Group Consulting
DM Fees September 2021

VGlobalTech
Monthly Maintenance	

DM-08-2021-47

3056	

$

$	

833.37

100.00	
		
TOTAL	
$933.37	

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900	

Funding Request 70
10/21/2021	
Item No.	Payee	Invoice Number	FY 2021
Amount	FY 2022
Amount	

1	
PFM Group Consulting
DM Fees October 2021					
		DM-10-2021-46			$ 833.33	
2	Neves Media Publishing
Legal Ads					
		2021ci-331	$	533.00		
3	DEO Special District
FY 2022					
		85047			$ 175.00	

TOTAL	$1,541.33

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900	

Funding Request 71
11/5/2021	
Item No.	Payee	Invoice Number	FY 2021
Amount	FY 2022
Amount	

1	
VGlobalTech
Quarterly ADA Audit
Monthly Website Fee Oct. 2021					
		3150
3193	$	300.00		
					$ 100.00	
2	Neves Media Group
Legal Ads					
		2021ci-986			288	
$300.00	$ 100.00

TOTAL	$688.00

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 72

11/24/2021		
Item No.	Payee	Invoice Number	FY 2022
Amount	

1

2

3

4	VGlobalTech
Monthly Website Fee Nov. 2021

Neves Media Group
Legal Ads

PFM Group Consulting LLC
DM fees Nov 2021

Hopping Green & Sams
General Counsel	
3274

2021ci-331

DM-11-2021-46

126070	
$	100.00

$	533.00

$	833.33

$	348.00

$  1,814.33	
		TOTAL	$1,814.33	

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT	
12051 Corporate Boulevard, Orlando, FL 32817	
(407) 723-5900	

Funding Request 73	
12/16/2021	
Item	Payee	Invoice	FY 2021	FY 2022	
No.		Number	Amount	Amount	

1	
PFM Group Consulting				
	DM Fees December 2021	DM-12-2021-46	$	833.33	
	Postage October 2021	OE-EXP-11-37	$	1.59	
	Postage November 2021	OE-EXP-12-34	$	3.71	
2	VGlobalTech				
	Quarterly ADA Audit	3434	$	300.00	
	Monthly Website Fee Oct. 2021	3360	$	100.00	

$0.00	$ 1,238.63

TOTAL	$1,238.63

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900	

Funding Request 74
1/27/2022	
Item No.	Payee		Invoice Number	FY 2021
Amount	FY 2022
Amount	

1	
PFM Group Consulting DM Fees January 2022 Postage December 2021						
			DM-01-2022-046 OE-EXP-01-037		$
$	833.33
10.12	
2	VGlobalTech
Monthly Website Fee Jan. 2022						
			3495		$	100.00	
				
$0.00	
$	
943.45	
			TOTAL	$943.45			

			
	
Secretary/Assistant Secretary	
Chairperson			

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 75

3/1/2022		
Item No.	Payee	Invoice Number	FY 2022
Amount	

1	
Carr Riggs & Ingram				
	Initial Billing September 30 ,2021		17283917	$ 3,500.00	
2	Kutak Rock LLP				
	Legal Services		3009768	$	39.00	
3	PFM Group Consulting				
	DM Fees Febuary 2022		DM-02-2022-046	$	833.33	
	Postage January 2022		OE-EXP-02-047	$	12.34	
				
$ 4,384.67	
			TOTAL		

Secretary/Assistant Secretary		
Chairperson		

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 76
3/17/2022

Item	Payee	Invoice	FY 2022	
No.		Number	Amount	

1

2	
PFM Group Consulting
DM Fees Mar 2022

VGlobalTech
Monthly Website Fee Feb. 2022 Monthly Website Fee Mar. 2022	

DM-03-2022-046

3571
3657	

$

$
$	

833.33

100.00
110.00	
			
$ 1,043.33	
		TOTAL			

Secretary/Assistant Secretary	

Chairperson	

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
12051 Corporate Boulevard, Orlando, FL 32817
(407) 723-5900

Funding Request 77
4/27/2022

Item	Payee	Invoice	FY 2022	
No.		Number	Amount	

1	Carr Riggs & Ingram
Initial Billing September 30 ,2021	
17308948	
$ 1,000.00	
2	Kutak Rock LLP
Legal Services	
3038442	
$	
213.00	
3	PFM Group Consulting
DM Fees Apr 2022	
DM-04-2022-046	
$	
833.33	

$ 2,046.33

TOTAL	$ 2,046.33

Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Statements of the District’s Financial Position

Sunny Hills Unit 12-15 Depen. District	
Statement of Financial Position			
As of 5/31/2022			

General	
		Fund	

Assets			
Current Assets			
General Checking Account	$	553.17	
Accounts Receivable - Due from Developer	3,089.66	
Total Current Assets	$ 3,642.83	
Total Assets	$ 3,642.83	

Liabilities and Net Assets			
Current Liabilities			
Accounts Payable	$ 2,046.33	
Deferred Revenue	3,089.66	
Total Current Liabilities	$ 5,135.99	
Total Liabilities	$ 5,135.99	

Net Assets			
Net Assets, Unrestricted	$ (4,537.99)	
Net Assets - General Government	5,601.26	
Current Year Net Assets - General Government	(2,556.43)	
Total Net Assets	$ (1,493.16)	
		
Total Liabilities and Net Assets	$ 3,642.83	

Sunny Hills Unit 12-15 Depen. District	
Statement of Activities			
As of 5/31/2022			
		
General	
		Fund	
Revenues			
Developer Contributions	$ 13,114.41	
Total Revenues	$ 13,114.41	
Expenses			
Public Officials' Liability Insurance	$	3,337.00	
Management		5,833.31	
District Counsel		600.00	
Audit		4,500.00	
Postage & Shipping		27.76	
Legal Advertising		288.00	
Web Site Maintenance		910.00	
Dues, Licenses, and Fees		175.00	
Total Expenses	$ 15,671.07	
Other Revenues (Expenses) & Gains (Losses)			
Interest Income	$	0.23	
Total Other Revenues (Expenses) & Gains (Losses)	$	0.23	
Change In Net Assets	$	(2,556.43)	

Net Assets At Beginning Of Year	
$	
1,063.27	

Net Assets At End Of Year	

$	

(1,493.16)	

Sunny Hills Unit 12-15 Depen. District
Budget to Actual
For the Month Ending 5/31/2022

Year To Date
FY 2022
Actual	Budget	Variance	Adopted
Budget

Revenues

Developer Contributions	$ 13,114.41		$ 25,666.64		$(12,552.23)		$ 38,500.00	
Net Revenues	$ 13,114.41		$ 25,666.64		$(12,552.23)		$ 38,500.00	

Supervisor Fees	$	-		$	133.36		$	(133.36)		$	200.00	
Public Officials' Liability Insurance	3,337.00		2,406.64		930.36		3,610.00	
Management	5,833.31		6,666.64		(833.33)		10,000.00	
Engineering	-		1,333.36		(1,333.36)		2,000.00	
District Counsel	600.00		6,666.64		(6,066.64)		10,000.00	
Audit	4,500.00		3,000.00		1,500.00		4,500.00	
Travel and Per Diem	-		1,333.36		(1,333.36)		2,000.00	
Telephone	-		16.64		(16.64)		25.00	
Postage & Shipping	27.76		66.64		(38.88)		100.00	
Copies	-		33.36		(33.36)		50.00	
Legal Advertising	288.00		833.36		(545.36)		1,250.00	
Bank Fees	-		56.64		(56.64)		85.00	
Miscellaneous	-		403.36		(403.36)		605.00	
Web Site Maintenance	910.00		1,600.00		(690.00)		2,400.00	
Dues, Licenses, and Fees	175.00		116.64		58.36		175.00	
Total General & Administrative Expenses	$ 15,671.07		$ 24,666.64		$ (8,995.57)		$ 37,000.00	

District Counsel	$	-	$	666.64	$	(666.64)	$ 1,000.00	
Contingency	-		333.36		(333.36)		500.00	
Total General & Administrative Expenses	$	-		$ 1,000.00		$ (1,000.00)		$ 1,500.00	
Total Expenses	 $ 15,671.07 		 $ 25,666.64 		 $ (9,995.57)		 $ 38,500.00 	
Income (Loss) from Operations	$ (2,556.66)		$	-		$ (2,556.66)		$	-	

General & Administrative Expenses

Capital Project Fund

Other Income (Expense)

Interest Income	$	0.23		$	-	$	0.23		$	-	
Total Other Income (Expense)	$	0.23		 
$	-	$	0.23		$	-	
Net Income (Loss)	$ (2,556.43)		 
$	-	$ (2,556.43)		$	-