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 Tuesday, June 27, 2023, at 12:30 pm CST / 1:30 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#

AUDITOR SELECTION COMMITTEE MEETING AGENDA
Call to Order & Roll Call
Public Comment Period
Review of Auditing Services Proposals
Berger, Toombs, Elam, Gaines & Frank
Carr Riggs & Ingram
Grau & Associates
Ranking of Auditing Services Proposals (provided under separate cover)
Adjournment

BOARD OF SUPERVISORS’ 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 17, 2023, at 12:30 p.m. CST at 4083 Challenger Blvd., Sunny Hills, Florida suggested)
Consideration of the Minutes of the December 20, 2022 Board of Supervisors’ Meeting
Letter from Supervisor of Elections – Washington County

Business Matters
Consideration of Resolution 2023-03, Approving an Annual Budget for the District’s 2023-2024 Fiscal Year (Beginning October 1, 2023)
Consideration of Fiscal Year 2023-2024 Funding Agreement
Review and Acceptance of Fiscal Year 2022 Audit
Review of Auditor Selection Committee Rankings & Selection of Auditor (provided under separate cover)
Ratification of Funding Request Nos. 87 – 91
Review of Statements of the District’s Financial Position

Staff Reports
District Counsel
District Manager

Supervisor’s Requests and/or Audience Comments Adjournment

Auditor Selection Committee Meeting

Auditing Services Proposals

Berger, Toombs, Elam, Gaines & Frank

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

PROPOSAL FOR AUDIT SERVICES

PROPOSED BY:

Berger, Toombs, Elam, Gaines & Frank CERTIFIED PUBLIC ACCOUNTANTS, PL

600 Citrus Avenue, Suite 200	(772) 461-6120 Fort Pierce, Florida 34950

CONTACT PERSON:

J. W. Gaines, CPA, Director

DATE OF PROPOSAL:

May 30, 2023

TABLE OF CONTENTS

DESCRIPTION OF SECTION	PAGE
Letter of Transmittal	1-2
Profile of the Proposer
Description and History of Audit Firm	3
Professional Staff Resources	4-5
Ability to Furnish the Required Services	5
Arbitrage Rebate Services	6
Governmental Auditing Experience	7-16
Fee Schedule	17
Scope of Work to be Performed	17
Resumes	18-34
Peer Review Letter	35
Instructions to Proposers	36-37
Evaluation Criteria	38

May 30, 2023

Sunny Hills Units 12-15 Dependent District PFM Group Consulting
3501 Quadrangle Blvd, Suite 270
Orlando, Florida 32817 Dear District Manager:
Thank you very much for the opportunity to present our professional credentials to provide audit services for Sunny Hills Units 12-15 Dependent District.

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has assembled a team of governmental and nonprofit specialists second to none to serve our clients. Our firm has the necessary qualifications and experience to serve as the independent auditors for Sunny Hills Units 12-15 Dependent District. We will provide you with top quality, responsive service.

Experience

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a recognized leader in providing services to governmental and nonprofit agencies throughout Florida. We have been the independent auditors for a number of local governmental agencies and through our experience in performing their audits, we have been able to increase our audit efficiency and; therefore, reduce costs. We have continually passed this cost savings on to our clients and will continue to do so in the future. As a result of our experience and expertise, we have developed an effective and efficient audit approach designed to meet or exceed the performance specifications 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 the standards for financial and compliance audits. We will conduct the audit in accordance with auditing standards generally accepted in the United States of America; “Government Auditing Standards” issued by the Comptroller General of the United States; the provisions of the Single Audit Act, Subpart F of Title 2 US Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, with minimal disruption to your operations. Our firm has frequent technical updates to keep our personnel informed and up-to-date on all changes that are occurring within the industry.

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Sunny Hills Units 12-15 Dependent District May 30, 2023

Our firm is a member of the Government Audit Quality Center, an organization dedicated to improving government audit quality. We also utilize the audit program software of a nationally recognized CPA firm to assure us that we are up to date with all auditing standards and to assist us maintain maximum audit efficiencies.

To facilitate your evaluation of our qualifications and experience, we have arranged this proposal to include a resume of our firm, including our available staff, our extensive prior governmental and nonprofit auditing experience and clients to be contacted.

You need a firm that will provide an efficient, cost-effective, high-quality audit within critical time constraints. You need a firm with the prerequisite governmental and nonprofit experience to perform your audit according to stringent legal and regulatory requirements, a firm that understands the complex nature of community development districts and their unique compliance requirements. You need a firm with recognized governmental and nonprofit specialists within the finance and governmental communities. And, certainly, you need a firm that will provide you with valuable feedback to enhance your current and future operations. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is that firm. J. W. Gaines is the person authorized to make representations for the firm.

Thank you again for the opportunity to submit this proposal to Sunny Hills Units 12-15 Dependent District.

Very truly yours,

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida

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PROFILE OF THE PROPOSER
Description and History of Audit Firm
Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is a Treasure Coast public accounting firm, which qualifies as a small business firm, as established by the Small Business Administration (13 CFR 121.38), with offices in Fort Pierce and Stuart. We are a member of the Florida Institute of Certified Public Accountants and the American Institute of Certified Public Accountants. The firm was formed from the merger of Edwards, Berger, Harris & Company (originated in 1972) and McAlpin, Curtis & Associates (originated in 1949). J. W. Gaines and Associates (originated in 1979) merged with the firm in 2004. Our tremendous growth rate experienced over the last 69 years is directly attributable to the firm’s unrelenting dedication to providing the highest quality, responsive professional services attainable to its clients.
We are a member of the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA) to assure we meet the highest standards. Membership in this practice section requires that our firm meet more stringent standards than standard AICPA membership. These rigorous requirements include the requirement of a triennial peer review of our firm’s auditing and accounting practice and annual Continuing Professional Education (CPE) for all accounting staff (whether CPA or non-CPA). For standard AICPA membership, only a quality review is required and only CPAs must meet CPE requirements.
We are also a member of the Government Audit Quality Center (“the Center”) of the American Institute of Certified Public Accountants to assure the quality of our government audits. Membership in the Center, which is voluntary, requires our firm to comply with additional standards to promote the quality of government audits.
We have been extensively involved in serving local government entities with professional accounting, auditing and consulting services throughout the entire 69 year history of our firm. Our substantial experience over the years makes us uniquely qualified to provide accounting, auditing, and consulting services to these clients. We are a recognized leader in providing services to governmental and nonprofit agencies on the Treasure Coast and in Central and South Florida, with extensive experience in auditing community development districts and water control districts. We were the independent auditors of the City of Fort Pierce for over 37 years and currently, we are the independent auditors for St. Lucie County since 2002, and for 34 of the 38 years that the county has been audited by CPA firms. Additionally, we have performed audits of the City of Stuart, the City of Vero Beach, Indian River County and Martin County. We also presently audit over 75 Community Development Districts throughout Florida.
Our firm was founded on the belief that we are better able to respond to our clients needs through education, experience, independence, quality control, and personal service. Our firm’s commitment to quality is reflected in our endeavor of professional excellence via continuing education, the use of the latest computer technology, professional membership in PCPS and peer review.
We believe our approach to audit engagements, intelligence and innovation teamed with sound professional judgment enables us to explore new concepts while remaining sensitive to the fundamental need for practical solutions. We take pride in giving you the assurance that the personal assistance you receive comes from years of advanced training, technical experience and financial acumen.

Professional Staff Resources

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has a total of
27 professional and administrative staff (including 12 professional staff with extensive experience servicing government entities). The work will be performed out of our Fort Pierce office with a proposed staff of one senior accountant and one or two staff accountants supervised by an audit manager and audit partner. With the exception of the directors of the firm’s offices, the professional staff is not specifically assigned to any of our individual offices. The professional and administrative staff resources available to you through Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL are as follows:
Total
Partners/Directors (CPA’s)	5	
Principals (CPA)	1	
Managers (CPA)	1	
Senior/Supervisor Accountants (2 CPA’s)	3	
Staff Accountants (1 CPA)	7	
Computer Specialist	1	
Paraprofessional	6	
Administrative	 4	
Total – all personnel	28	

Following is a brief description of each employee classification:

Staff Accountant – Staff accountants work directly under the constant supervision of the auditor-in-charge and, are responsible for the various testing of documents, account analysis and any other duties as his/her supervisor believes appropriate. Minimum qualification for a staff accountant is graduation from an accredited university or college with a degree in accounting or equivalent.

Senior Accountant – A senior accountant must possess all the qualifications of the staff accountant, in addition to being able to draft the necessary reports and financial statements, and supervise other staff accountants when necessary.

Managers – A manager must possess the qualifications of the senior accountant, plus be able to work without extensive supervision from the auditor-in-charge. The manager should be able to draft audit reports from start to finish and to supervise the audit team, if necessary.

Principal – A principal is a partner/director in training. He has been a manager for several years and possesses the technical skills to act as the auditor–in-charge. A principal has no financial interest in the firm.

Partner/Director – The director has extensive governmental auditing experience and acts as the auditor-in-charge. Directors have a financial interest in the firm.

Professional Staff Resources (Continued)

Independence – Independence of the public accounting firm, with respect to the audit client, is the foundation from which the public gains its trust in the opinion issued by the public accounting firm at the end of the audit process. This independence must be in appearance as well as in fact. The public must perceive that the accounting firm is independent of the audit entity to ensure that nothing would compromise the opinion issued by the public accounting firm. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is independent of Sunny Hills Units 12-15 Dependent District, including its elected officials and related parties, at the date of this proposal, as defined by the following rules, regulations, and standards:

AuSection 220 – Statements on Auditing Standards issued by the American Institute of Certified Public Accountants;

ET Sections 101 and 102 – Code of Professional Conduct of the American Institute of Certified Public Accountants;

Chapter 21A-1, Florida Administrative Code; Section 473.315, Florida Statutes; and,
Government Auditing Standards, issued by the Comptroller General of the United States.

On an annual basis, all members of the firm are required to confirm, in writing, that they have no personal or financial relationships or holding that would impair their independence with regard to the firm’s clients.

Independence is a hallmark of our profession. We encourage our staff to use professional judgment in situations where our independence could be impaired or the perception of a conflict of interest might exist. In the governmental sector, public perception is as important as professional standards. Therefore, the utmost care must be exercised by independent auditors in the performance of their duties.

Ability to Furnish the Required Services

As previously noted in the Profile of the Proposer section of this document, our firm has been in existence for over 69 years. We have provided audit services to some clients for over 30 years continually. Our firm is insured against physical loss through commercial insurance and we also carry liability insurance. The majority of our audit documentation is stored electronically, both on our office network and on each employee laptop or computer assigned to each specific job. Our office computer network is backed up on tape, so in the event of a total equipment loss, we can restore all data as soon as replacement equipment is acquired. In addition, our field laptop computers carry the same data and can be used in the event of emergency with virtually no delay in completing the required services.

Arbitrage Rebate Services

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL also provides arbitrage rebate compliance and related services to governmental issuers. The Tax Reform Act of 1986 requires issuers of most tax-exempt obligations to pay (i.e., “rebate”) to the United States government any arbitrage profits. Arbitrage profits are earnings on the investment of bond proceeds and certain other monies in excess of what would have been earned had such monies been invested at a yield equal to the yield on the bonds.

Federal tax law requires that interim rebate calculations and payments are due at the end of every fifth bond year. Final payment is required upon redemption of the bonds. More frequent calculations may be deemed advisable by an issuer’s auditor, trustee or bond counsel or to assure that accurate and current records are available. These more frequent requirements are usually contained in the Arbitrage or Rebate Certificate with respect to the bonds.

Our firm performs a comprehensive rebate analysis and includes the following:

Verifying that the issue is subject to rebate;
Calculating the bond yield;
Identifying, and separately accounting for, all “Gross Proceeds” (as that term is defined in the Code) of the bond issue, including those requiring analysis due to “transferred proceeds” and/or “commingled funds” circumstances;
Determining what general and/or elective options are available to Gross proceeds of the issue;
Calculating the issue’s excess investment earning (rebate liability), if any;
Delivering appropriate documentation to support all calculations;
Providing an executive summary identifying the methodology employed, major assumptions, conclusions, and any other recommendations for changes in recordkeeping and investment policies;
Assisting as necessary in the event of an Internal Revenue Service inquiry; and,
Consulting with issue staff, as necessary, regarding arbitrage related matters.

Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL has been practicing public accounting in Florida for 69 years. Our success over the years has been the result of a strong commitment to providing personalized quality service to our clients.

The current members of our firm have performed audits of over 900 community development districts, and over 1,800 audits of municipalities, counties and other governmental entities such as the City of Fort Pierce and St. Lucie County.

Our firm provides a variety of accounting, auditing, tax litigation support, and consulting services. Some of the professional accounting, auditing and management consulting services that are provided by our firm are listed below:

Performance of annual financial and compliance audits, including Single Audits of state and federal financial assistance programs, under the provisions of the Single Audit Act, Subpart F of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), with minimal disruptions to your operations;
Performance of special compliance audits to ascertain compliance with the applicable local, state and federal laws and regulations;
Issuance of comfort letters and consent letters in conjunction with the issuance of tax- exempt debt obligations, including compiling financial data and interim period financial statement reviews;
Calculation of estimated and actual federal arbitrage rebates;
Assistance in compiling historical financial data for first-time and supplemental submissions for GFOA Certificate of Achievement for Excellence in Financial Reporting;
Preparation of indirect cost allocation systems in accordance with Federal and State regulatory requirements;
Providing human resource and employee benefit consulting;
Performance of automation feasibility studies and disaster recovery plans;
Performance feasibility studies concerning major fixed asset acquisitions and utility plant expansion plans (including electric, water, pollution control, and sanitation utilities); and
Assistance in litigation, including testimony in civil and criminal court.
Assist clients who utilize QuickBooks software with their software needs. Our Certified QuickBooks Advisor has undergone extensive training through QuickBooks and has passed several exams to attain this Certification.

Continuing Professional Education

All members of the governmental audit staff of our firm, and audit team members assigned to this engagement, are in compliance with the Continuing Professional Education (CPE) requirements set forth in Government Auditing Standards issued by the Comptroller General of the United States. In addition, our firm is in compliance with the applicable provisions of the Florida Statutes that require CPA’s to have met certain CPE requirements prior to proposing on governmental audit engagements.

The audit team has extensive experience in performing governmental audits and is exposed to intensive and continuing concentration on these types of audits. Due to the total number of governmental audits our team performs, each member of our governmental staff must understand and be able to perform several types of governmental audits. It is our objective to provide each professional employee fifty hours or more of comprehensive continuing professional education each year. This is accomplished through attending seminars throughout Florida and is reinforced through in-house training.

Our firm has made a steadfast commitment to professional education. Our active attendance and participation in continuing professional education is a major part of our objective to obtain the most recent knowledge on issues which are of importance to our clients. We are growing on the reputation for work that our firm is providing today.

Quality Control Program

Quality control requires continuing commitment to professional excellence. Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants, PL is formally dedicated to that commitment.

To ensure maintaining the standards of working excellence required by our firm, we joined the Private Companies Practice Section (PCPS) of the American Institute of Certified Public Accountants (AICPA). To be a participating member firm of this practice section, a firm must obtain an independent Peer Review of its quality control policies and procedures to ascertain the firm’s compliance with existing auditing standards on the applicable engagements.

The scope of the Peer Review is comprehensive in that it specifically reviews the following quality control policies and procedures of the participating firm:

Professional, economic, and administrative independence;
Assignment of professional personnel to engagements;
Consultation on technical matters;
Supervision of engagement personnel;
Hiring and employment of personnel;
Professional development;
Advancement;
Acceptance and continuation of clients; and,
Inspection and review system.

We believe that our commitment to the program is rewarding not only to our firm, but primarily to our clients.

The external independent Peer Review of the elements of our quality control policies and procedures performed by an independent certified public accountant, approved by the PCPS of the AICPA, provides you with the assurance that we continue to conform to standards of the profession in the conduct of our accounting and auditing practice.

Our firm is also a member of Governmental Audit Quality Center (GAQC), a voluntary membership center for CPA firms that perform governmental audits. This center promotes the quality of governmental audits.

Our firm has completed successive Peer Reviews. These reviews included a representative sample of our firm’s local governmental auditing engagements. As a result of these reviews, our firm obtained an unqualified opinion on our quality control program and work procedures. On page 31 is a copy of our most recent Peer Review report. It should be noted that we received a pass rating.

Our firm has never had any disciplinary actions by state regulatory bodies or professional organizations.

As our firm performs approximately one hundred audits each year that are reviewed by federal, state or local entities, we are constantly dealing with questions from these entities about our audits. We are pleased to say that any questions that have been raised were minor issues and were easily resolved without re-issuing any reports.

Certificate of Achievement for Excellence in Financial Reporting (CAFR)

We are proud and honored to have been involved with the City of Fort Pierce and the Fort Pierce Utilities Authority when they received their first Certificates of Achievement for Excellence in Financial Reporting for the fiscal years ended September 30, 1988 and 1994, respectively. We were also instrumental in the City of Stuart receiving the award, in our first year of performing their audit, for the year ended September 30, 1999.

We also assisted St. Lucie County, Florida for the year ended September 30, 2003, in preparing their first Comprehensive Annual Financial Report, and St. Lucie County has received their Certificate of Achievement for Excellence in Financial Reporting every year since.

As continued commitment to insuring that we are providing the highest level of experience, we have had at least one employee of our firm serve on the GFOA – Special Review Committee since the mid-1980s. This committee is made up of selective Certified Public Accountants throughout the United States who have demonstrated their high level of knowledge and expertise in governmental accounting. Each committee member attends a special review meeting at the Annual GFOA Conference. At this meeting, the committee reports on the Certificate of Achievement Program’s most recent results, future goals, and common reporting deficiencies.

We feel that our previous experience in assisting the City of Fort Pierce, the Fort Pierce Utilities Authority and St. Lucie County obtain their first CAFRs, and the City of Stuart in continuing to receive a CAFR and our firm’s continued involvement with the GFOA, and the CAFR review committee make us a valued asset for any client in the field of governmental financial reporting.

References

Terracina Community Development	Gateway Community Development District		District
Jeff Walker, Special District Services	Stephen Bloom, Severn Trent Management
(561) 630-4922	(954) 753-5841

The Reserve Community Development District	Port of the Islands Community Development
District
Darrin Mossing, Governmental Management	Cal Teague, Premier District Management Services LLC
(407) 841-5524	(239) 690-7100 ext 101

In addition to the above, we have the following additional governmental audit experience: Community Development Districts
Aberdeen Community Development	Beacon Lakes Community District		Development District

Alta Lakes Community Development	Beaumont Community Development District		District

Amelia Concourse Community	Bella Collina Community Development
Development District	District

Amelia Walk Communnity	Bonnet Creek Community
Development District	Development District

Aqua One Community Development	Buckeye Park Community District		Development District

Arborwood Community Development	Candler Hills East Community District		Development District

Arlington Ridge Community	Cedar Hammock Community
Development District	Development District

Bartram Springs Community	Central Lake Community
Development District	Development District

Baytree Community Development	Channing Park Community
District	Development District

Cheval West Community	Evergreen Community Development
Development District	District

Coconut Cay Community	Forest Brooke Community Development District		Development District

Colonial Country Club Community	Gateway Services Community
Development District	Development District

Connerton West Community	Gramercy Farms Community
Development District	Development District

Copperstone Community	Greenway Improvement District Development District

Creekside @ Twin Creeks Community	Greyhawk Landing Community Development District		Development District

Deer Run Community Development	Griffin Lakes Community Development District		District

Dowden West Community	Habitat Community Development
Development District	District

DP1 Community Development	Harbor Bay Community Development
District	District

Eagle Point Community Development	Harbourage at Braden River District		Community Development District

East Nassau Stewardship District	Harmony Community Development
District
Eastlake Oaks Community
Development District	Harmony West Community Development District
Easton Park Community Development
District	Harrison Ranch Community
Development District
Estancia @ Wiregrass Community
Development District	Hawkstone Community Development District

Heritage Harbor Community	Madeira Community Development
Development District	District

Heritage Isles Community	Marhsall Creek Community
Development District	Development District

Heritage Lake Park Community	Meadow Pointe IV Community
Development District	Development District

Heritage Landing Community	Meadow View at Twin Creek
Development District	Community Development District

Heritage Palms Community	Mediterra North Community
Development District	Development District

Heron Isles Community	Midtown Miami Community
Development District	Development District

Heron Isles Community Development	Mira Lago West Community District		Development District

Highland Meadows II Community	Montecito Community
Development District	Development District

Julington Creek Community	Narcoossee Community
Development District	Development District

Laguna Lakes Community	Naturewalk Community
Development District	Development District

Lake Bernadette Community	New Port Tampa Bay Community
Development District	Development District

Lakeside Plantation Community	Overoaks Community Development
Development District	District

Landings at Miami Community	Panther Trace II Community
Development District	Development District

Legends Bay Community	Paseo Community Development
Development District	District

Lexington Oaks Community	Pine Ridge Plantation Community
Development District	Development District

Live Oak No. 2 Community	Piney Z Community Development
Development District	District

Poinciana Community	Sampson Creek Community
Development District	Development District

Poinciana West Community	San Simeon Community
Development District	Development District

Port of the Islands Community	Six Mile Creek Community
Development District	Development District

Portofino Isles Community	South Village Community
Development District	Development District

Quarry Community Development	Southern Hills Plantation I
District	Community Development District

Renaissance Commons Community	Southern Hills Plantation III Development District		Community Development District

Reserve Community	South Fork Community
Development District	Development District

Reserve #2 Community	St. John's Forest Community
Development District	Development District

River Glen Community	Stoneybrook South Community
Development District	Development District

River Hall Community	Stoneybrook South at ChampionsGate
Development District	Community Development District

River Place on the St. Lucie	Stoneybrook West Community
Community Development District	Development District

Rivers Edge Community	Tern Bay Community
Development District	Development District

Riverwood Community	Terracina Community Development
Development District	District

Riverwood Estates Community	Tison's Landing Community
Development District	Development District

Rolling Hills Community	TPOST Community Development
Development District	District

Rolling Oaks Community Development District

Triple Creek Community	Vizcaya in Kendall	
Development District	Development District	
TSR Community Development	Waterset North Community	
District	Development District	
Turnbull Creek Community	Westside Community Development	
Development District	District	
Twin Creeks North Community	WildBlue Community Development	
Development District	District	
Urban Orlando Community	Willow Creek Community	
Development District	Development District	
Verano #2 Community	Willow Hammock Community	
Development District	Development District	
Viera East Community	Winston Trails Community	
Development District	Development District	
VillaMar Community	Zephyr Ridge Community	
Development District	Development District	

Other Governmental Organizations

City of Westlake	Office of the Medical Examiner, District 19

Florida Inland Navigation District	Rupert J. Smith Law Library of St. Lucie County
Fort Pierce Farms Water Control
District	St. Lucie Education Foundation

Indian River Regional Crime	Seminole Improvement District Laboratory, District 19, Florida
Troup Indiantown Water
Viera Stewardship District		Control District Current or Recent Single Audits,
St. Lucie County, Florida Early Learning Coalition, Inc.
Treasure Coast Food Bank, Inc.

Members of our audit team have acquired extensive experience from performing or participating in over 1,800 audits of governments, independent special taxing districts, school boards, and other agencies that receive public money and utilize fund accounting.

Much of our firm’s auditing experience is with compliance auditing, which is required for publicly financed agencies. In this type of audit, we do a financial examination and also confirm compliance with various statutory and regulatory guidelines.

Following is a summary of our other experience, including Auditor General experience, as it pertains to other governmental and fund accounting audits.

Counties
(Includes elected constitutional officers, utilities and dependent taxing districts)

Indian River Martin Okeechobee Palm Beach

Municipalities

City of Port St. Lucie City of Vero Beach Town of Orchid

Special Districts

Bannon Lakes Community Development District Boggy Creek Community Development District Capron Trail Community Development District Celebration Pointe Community Development District Coquina Water Control District
Diamond Hill Community Development District Dovera Community Development District
Durbin Crossing Community Development District Golden Lakes Community Development District Lakewood Ranch Community Development District Martin Soil and Water Conservation District Meadow Pointe III Community Development District Myrtle Creek Community Development District
St. Lucie County – Fort Pierce Fire District The Crossings at Fleming Island
St. Lucie West Services District
Indian River County Mosquito Control District St. John’s Water Control District
Westchase and Westchase East Community Development Districts Pier Park Community Development District
Verandahs Community Development District Magnolia Park Community Development District

Schools and Colleges

Federal Student Aid Programs – Indian River Community College Indian River Community College
Okeechobee County District School Board St. Lucie County District School Board

State and County Agencies

Central Florida Foreign-Trade Zone, Inc. (a nonprofit organization affiliated with the St. Lucie County Board of County Commissioners)
Florida School for Boys at Okeechobee
Indian River Community College Crime Laboratory Indian River Correctional Institution

We propose the fee for our audit services described below to be $4,285 for the years ended September 30, 2023 and 2024, $4,500 for the year ended September 30, 2025, and $4,625 for the years ended September 30, 2026 and 2027. The fee is contingent upon the financial records and accounting systems of Sunny Hills Units 12-15 Dependent District being “audit ready” and the financial activity for the District is not materially increased. If we discover that additional preparation work or subsidiary schedules are needed, we will consult with your authorized representative. We can assist with this additional work at our standard rates should you desire.

SCOPE OF WORK TO BE PERFORMED

If selected as the District's auditors, we will perform a financial and compliance audit in accordance with Section 11.45, Florida Statutes, in order to express an opinion on an annual basis on the financial statements of Sunny Hills Units 12-15 Dependent District as of September 30, 2023, 2024, 2025, 2026, and 2027. The audits will be performed to the extent necessary to express an opinion on the fairness in all material respects with which the financial statements present the financial position, results of operations and changes in financial position in conformity with generally accepted accounting principles and to determine whether, for selected transactions, operations are properly conducted in accordance with legal and regulatory requirements. Reportable conditions that are also material weaknesses shall be identified as such in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters. Other (non-reportable) conditions discovered during the course of the audit will be reported in a separate letter to management, which will be referred to in the Auditors' Report on Internal Control over Financial Reporting and on Compliance and Other Matters.

Our audit will be performed in accordance with standards for financial and compliance audits contained in Government Auditing Standards, as well as in compliance with rules and regulations of audits of special districts as set forth by the State Auditor General in Chapter 10.550, Local Governmental Entity Audits, and other relevant federal, state and county orders, statutes, ordinances, charter, resolutions, bond covenants, Administrative Code and procedures, or rules and regulations which may pertain to the work required in the engagement.

The primary purpose of our audit will be to express an opinion on the financial statements discussed above. It should be noted that such audits are subject to the inherent risk that errors or irregularities may not be detected. However, if conditions are discovered which lead to the belief that material errors, defalcations or other irregularities may exist or if other circumstances are encountered that require extended services, we will promptly notify the appropriate individual.

J. W. Gaines, CPA, CITP
Director – 41 years

Education
Stetson University, B.B.A. – Accounting

Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy
Certified Information Technology Professional (CITP) – American Institute of Certified Public Accountants

Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Affiliate member Government Finance Officers Association
Past President, Vice President-Campaign Chairman, Vice President and Board Member of United Way of St. Lucie County, 1989 - 1994
Past President, President Elect, Secretary and Treasurer of the Treasure Coast Chapter of the Florida Institute of Certified Public Accountants, 1988 - 1991
Past President of Ft. Pierce Kiwanis Club, 1994 - 95, Member/Board Member since 1982
Past President, Vice President and Treasurer of St. Lucie County Chapter of the American Cancer Society, 1980 -1986
Member of the St. Lucie County Chamber of Commerce, Member Board of Directors, Treasurer, September 2002 - 2006, Chairman Elect 2007, Chairman 2008, Past Chairman
2009
Member Lawnwood Regional Medical Center Board of Trustees, 2000 – Present, Chairman 2013 - Present
Member of St. Lucie County Citizens Budget Committee, 2001 – 2002
Member of Ft. Pierce Citizens Budget Advisory Committee, 2010 – 2011
Member of Ft. Pierce Civil Service Appeals Board, 2013 - Present

Professional Experience
Miles Grant Development/Country Club – Stuart, Florida, July 1975 – October 1976
State Auditor General’s Office – Public Accounts Auditor – November 1976 through September 1979
Director - Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for numerous government and nonprofit audits.
Over 40 years experience in all phases of public accounting and auditing experience, with a concentration in financial and compliance audits. Mr. Gaines has been involved in all phases of the audits listed on the preceding pages.

J. W. Gaines, CPA, CITP (Continued)
Director

Continuing Professional Education
Has participated in numerous continuing professional education courses provided by nationally recognized sponsors over the last two years to keep abreast of the latest developments in accounting and auditing such as:
Governmental Accounting Report and Audit Update Analytical Procedures, FICPA
Annual Update for Accountants and Auditors Single Audit Sampling and Other Considerations

David S. McGuire, CPA, CITP Accounting and Audit Principal – 18 years Accounting and Audit Manager – 4 years Staff Accountant	– 11 years
Education
University of Central Florida, B.A. – Accounting
Barry University – Master of Professional Accountancy
Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy
Certified Information Technology Professional (CITP) – American Institute of Certified Public Accountants
Certified Not-For-Profit Core Concepts 2018
Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Associate Member, Florida Government Finance Office Associates
Assistant Coach – St. Lucie County Youth Football Organization (1994 – 2005)
Assistant Coach – Greater Port St. Lucie Football League, Inc. (2006 – 2010)
Board Member – Greater Port St. Lucie Football League, Inc. (2011 – 2017)
Treasurer, AIDS Research and Treatment Center of the Treasure Coast, Inc. (2000 – 2003)
Board Member/Treasurer, North Treasure Coast Chapter, American Red Cross (2004 – 2010)
Member/Board Member of Port St. Lucie Kiwanis (1994 – 2001)
President (2014/15) of Sunrise Kiwanis of Fort Pierce (2004 – 2017)
St. Lucie District School Board Superintendent Search Committee (2013 – present)
Board Member – Phrozen Pharoes (2019-2021)
Professional Experience
Twenty-eight years public accounting experience with an emphasis on nonprofit and governmental organizations.
Audit Manager in-charge on a variety of audit and review engagements within several industries, including the following government and nonprofit organizations:
St. Lucie County, Florida
19th Circuit Office of Medical Examiner Troup Indiantown Water Control District
Exchange Club Center for the Prevention of Child Abuse, Inc. Healthy Kids of St. Lucie County
Mustard Seed Ministries of Ft. Pierce, Inc. Reaching Our Community Kids, Inc.
Reaching Our Community Kids - South
St. Lucie County Education Foundation, Inc. Treasure Coast Food Bank, Inc.
North Springs Improvement District
Four years of service in the United States Air Force in computer operations, with a top secret (SCI/SBI) security clearance.

David S. McGuire, CPA, CITP (Continued)
Accounting and Audit Principal

Continuing Professional Education
Mr. McGuire has attended numerous continuing professional education courses and seminars taught by nationally recognized sponsors in the accounting auditing and single audit compliance areas. He has attended courses over the last two years in those areas as follows:
Not-for-Profit Auditing Financial Results and Compliance Requirements Update: Government Accounting Reporting and Auditing
Annual Update for Accountants and Auditors

David F. Haughton, CPA
Accounting and Audit Manager – 30 years

Education
Stetson University, B.B.A. – Accounting

Registrations
Certified Public Accountant – State of Florida, State Board of Accountancy

Professional Affiliations/Community Service
Member of the American and Florida Institutes of Certified Public Accountants
Former Member of Florida Institute of Certified Public Accountants Committee on State and Local Government
Affiliate Member Government Finance Officers Association (GFOA) for over 10 years
Affiliate Member Florida Government Finance Officers Association (FGFOA) for over 10 years
Technical Review – 1997 FICPA Course on State and Local Governments in Florida
Board of Directors – Kiwanis of Ft. Pierce, Treasurer – 1994-1999; Vice President – 1999- 2001

Professional Experience
Twenty-seven years public accounting experience with an emphasis on governmental and nonprofit organizations.
State Auditor General’s Office – West Palm Beach, Staff Auditor, June 1985 to September 1985
Accounting and Audit Manager of Berger, Toombs, Elam, Gaines & Frank, Certified Public Accountants PL, responsible for audit and accounting services including governmental and not-for-profit audits.
Over 20 years of public accounting and governmental experience, specializing in governmental and nonprofit organizations with concentration in special districts, including Community Development Districts which provide services including water and sewer utilities. Governmental and non-profit entities served include the following:

Counties:
St. Lucie County

Municipalities: City of Fort Pierce City of Stuart

David F. Haughton, CPA (Continued)
Accounting and Audit Manager

Professional Experience (Continued) Special Districts:
Bluewaters Community Development District
Country Club of Mount Dora Community Development District Fiddler’s Creek Community Development District #1 and #2 Indigo Community Development District
North Springs Improvement District
Renaissance Commons Community Development District St. Lucie West Services District
Stoneybrook Community Development District Summerville Community Development District Terracina Community Development District Thousand Oaks Community Development District Tree Island Estates Community Development District Valencia Acres Community Development District

Non-Profits:
The Dunbar Center, Inc.
Hibiscus Children’s Foundation, Inc. Hope Rural School, Inc.
Maritime and Yachting Museum of Florida, Inc. Tykes and Teens, Inc.
United Way of Martin County, Inc.
Workforce Development Board of the Treasure Coast, Inc.
While with the Auditor General’s Office he was on the staff for the state audits of the Martin County School District and Okeechobee County School District.
During 1997 he performed a technical review of the Florida Institute of Certified Public Accountants state CPE course on Audits of State and Local Governments in Florida. His comments were well received by the author and were utilized in future updates to the course.
Continuing Professional Education
During the past several years, he has participated in numerous professional development training programs sponsored by the AICPA and FICPA, including state conferences on special districts and governmental auditing in Florida. He averages in excess of 100 hours bi-annually of advanced training which exceeds the 80 hours required in accordance with the continuing professional education requirements of the Florida State Board of accountancy and the AICPA Private Companies Practice Section. He has over 75 hours of governmental CPE credit within the past two years.

Matthew Gonano, CPA
Senior Staff Accountant – 10 years

Education
University of North Florida, B.B.A. – Accounting
University of Alicante, Spain – International Business
Florida Atlantic University – Masters of Accounting

Professional Affiliations/Community Service

American Institute of Certified Public Accountants
Florida Institute of Certified Public Accountants

Professional Experience

Senior Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.
Performed audits of nonprofit and governmental organizations in accordance with Governmental Accounting Auditing Standards (GAAS)
Performed Single Audits of nonprofit organizations in accordance with OMB Circular A-133, Audits of State, Local Governments, and Non-Profit Organizations.

Continuing Professional Education
Mr. Gonano has participated in numerous continuing professional education courses.

Paul Daly
Staff Accountant – 9 years

Education
Florida Atlantic University, B.S. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Working to attain the requirements to take the Certified Public Accounting (CPA) exam.

Melissa Marlin, CPA
Senior Staff Accountant – 9 years

Education
Indian River State College, A.A. – Accounting
Florida Atlantic University, B.B.A. – Accounting

Professional Experience
Staff accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mrs. Marlin participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Bryan Snyder
Staff Accountant – 8 years

Education
Florida Atlantic University, B.B.A. – Accounting

Professional Experience
Accountant beginning his professional auditing career with Berger, Toombs, Elam, Gaines, & Frank.
Mr. Snyder is gaining experience auditing governmental & nonprofit entities.

Continuing Professional Education
Mr. Snyder participates in numerous continuing education courses and plans on working to acquire his CPA certificate.
Mr. Snyder is currently studying to pass the CPA exam.

Maritza Stonebraker, CPA
Senior Accountant – 7 years

Education
Indian River State College, B.S. – Accounting

Professional Experience
Staff Accountant beginning her professional auditing career with Berger, Toombs, Elam, Gaines, & Frank.

Continuing Professional Education
Mrs. Stonebraker participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Jonathan Herman, CPA
Senior Staff Accountant – 9 years

Education
University of Central Florida, B.S. – Accounting
Florida Atlantic University, MACC

Professional Experience
Accounting graduate with nine years experience with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mr. Herman participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Sean Stanton, CPA
Staff Accountant – 5 years

Education
University of South Florida, B.S. – Accounting
Florida Atlantic University, M.B.A. – Accounting

Professional Experience
Staff accountant with Berger, Toombs, Elam, Gaines, & Frank auditing governmental and non-profit entities.

Continuing Professional Education
Mr. Stanton participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.

Tifanee Terrell
Staff Accountant – 2 years

Education
Florida Atlantic University, M.A.C.C. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Ms. Terrell participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Ms. Terrell is currently studying to pass the CPA exam.

Dylan Dixon
Staff Accountant – 1 year

Education
Indian River State College, A.A. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mr. Dixon is currently pursuing a bachelor’s degree in Accounting.
Mr. Dixon participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Mr. Dixon is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

Brennen Moore
Staff Accountant

Education
Indian River State College, A.A. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Mr. Moore is currently enrolled at Indian River State College and will complete his bachelor’s degree in spring of 2023.
Mr. Moore participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Mr. Moore is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

Jordan Wood
Staff Accountant

Education
Indian River State College, A.A. – Accounting

Professional Experience
Staff Accountant with Berger, Toombs, Elam, Gaines, & Frank providing professional services to nonprofit and governmental entities.

Continuing Professional Education
Ms. Wood is currently enrolled at Indian River State College to complete her bachelor’s degree.
Ms. Wood participates in numerous continuing professional education courses provided by nationally recognized sponsors to keep abreast of the latest developments.
Ms. Wood is currently working towards completing an additional 30 hours of education to qualify to sit for CPA exam.

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT REQUEST FOR PROPOSALS

District Auditing Services for Fiscal Year 2023
Washington County, Florida

INSTRUCTIONS TO PROPOSERS

SECTION 1. DUE DATE. Sealed proposals must be received no later than May 30, 2023, at 1:00 p.m., at the offices of the District Manager, PFM Group Consulting LLC, located at 3501 Quadrangle Boulevard, Suite 270, Orlando, Florida 32817.

SECTION 2. FAMILIARITY WITH THE LAW. By submitting a proposal, the Proposer is assumed to be familiar with all federal, state, and local laws, ordinances, rules and regulations that in any manner affect the work. Ignorance on the part of the Proposer will in no way relieve it from responsibility to perform the work covered by the proposal in compliance with all such laws, ordinances and regulations.

SECTION 3. QUALIFICATIONS OF PROPOSER.  The contract, if awarded, will only be awarded to a responsible Proposer who is qualified by experience and licensing to do the work specified herein. The Proposer shall submit with its proposal satisfactory evidence of experience in similar work and show that it is fully prepared to complete the work to the satisfaction of the District.

SECTION 4. SUBMISSION OF ONLY ONE PROPOSAL.	Proposers shall be
disqualified and their proposals rejected if the District has reason to believe that collusion may exist among the Proposers, the Proposer has defaulted on any previous contract or is in arrears on any previous or existing contract, or for failure to demonstrate proper licensure and business organization.

SECTION 5. SUBMISSION OF PROPOSAL. Each Proposer shall submit two
(2) hard copies and one (1) electronic copy of the Proposal Documents (defined below), and other requested attachments at the time and place indicated herein, which shall be enclosed in an opaque sealed envelope, marked with the title “Auditing Services – Sunny Hills Units 12-15 Dependent District ” on the face of it.

SECTION 6. MODIFICATION AND WITHDRAWAL.	Proposals may be
modified or withdrawn by an appropriate document duly executed and delivered to the place where proposals are to be submitted at any time prior to the time and date the proposals are due. No proposal may be withdrawn after opening for a period of ninety
(90) days.

SECTION 7. PROPOSAL DOCUMENTS. The proposal documents shall consist of the notice announcing the request for proposals, these instructions, the evaluation criteria and a proposal with all required documentation pursuant to Section 12 of these instructions (the “Proposal Documents”).

SECTION 8. PROPOSAL. In making its proposal, each Proposer represents that it has read and understands the Proposal Documents and that the proposal is made in accordance therewith.

SECTION 9. BASIS OF AWARD/RIGHT TO REJECT. The District reserves the right to reject any and all proposals, make modifications to the work, and waive any informalities or irregularities in proposals as it is deemed in the best interests of the District.

SECTION 10. CONTRACT AWARD. Within fourteen (14) days of receipt of the Notice of Award from the District, the Proposer shall enter into and execute a contract or engagement letter with the District.

SECTION 11. LIMITATION OF LIABILITY.  Nothing herein shall be construed as or constitute a waiver of District’s limited waiver of liability contained in section 768.28, Florida Statutes, or any other statute or law.

SECTION 12. CONTENTS OF PROPOSALS. All proposals shall include the following information in addition to any other requirements of the Proposal Documents.

List position or title of all personnel to perform work on the District audit. Include resumes for each person listed; list years of experience in present position for each party listed and years of related experience.

Describe proposed staffing levels, including resumes with applicable certifications.

Provide three (3) references from projects of similar size and scope.	The Proposer should include information relating to the work it conducted for each reference as well as a name, address and phone number of a contact person. Identify any work previously conducted for other community development districts.

The lump sum cost of the provision of the services under the proposal, plus the cost of four (4) annual renewals.

SECTION 13. PROTESTS. In accordance with the District’s Rules of Procedure, any protest regarding the Proposal Documents, must be filed in writing, at the offices of the District Manager, within seventy-two (72) hours after the receipt of the proposed contract documents. The formal protest setting forth with particularity the facts and law upon which the protest is based shall be filed within seven (7) calendar days after the initial notice of protest was filed. Failure to timely file a notice of protest or failure to timely file a formal written protest shall constitute a waiver of any right to object or protest with respect to aforesaid contract award.

SECTION 14. EVALUATION OF PROPOSALS. The criteria to be used in the evaluation of proposals are presented in the evaluation criteria, contained within the Proposal Documents.

AUDITOR SELECTION EVALUATION CRITERIA (WITH PRICE)

Ability of Personnel.	(20 Points)

This includes the geographic locations of the firm’s headquarters or permanent office in relation to the project; capabilities and experience of key personnel; present ability to manage this project; evaluation of existing work load; proposed staffing levels, etc.

Proposer’s Experience.	(20 Points)

This includes past record and experience of the Proposer in similar projects; volume of work previously performed by the firm; past performance for other community development districts in other contracts; character, integrity, reputation, of respondent, etc.

Understanding of Scope of Work.	(20 Points)

Extent to which the proposal demonstrates an understanding of the District’s needs for the services requested.

Ability to Furnish the Required Services.	(20 Points)

Extent to which the proposal demonstrates the adequacy of Proposer’s financial resources and stability as a business entity necessary to complete the services required.

Price.	(20 Points)

Points will be awarded based upon the lowest total bid for rendering the services and the reasonableness of the proposal.

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Carr Riggs & Ingram

Professional Services Proposal for
Sunny Hills Units 12-15 Dependent District

May 30, 2023

Proposer
Carr, Riggs & Ingram CPAs and Advisors 500 Grand Blvd., Suite 210
Miramar Beach, FL 32550 Phone: 850.837.3141
Fax: 850.654-4619

Submitted by
K. Alan Jowers Engagement Partner AJowers@CRlcpa.com

CRI IN1GtRcA:M:
CPAs and Advisors
CRlcpa.com

■■

Dear Sunny Hills Units 12-15 Dependent District:

Carr, Riggs & Ingram, LLC (CRI) appreciates the opportunity to propose on audit services to Sunny Hills Units 12-15 Dependent District. We are genuinely excited about the prospect of continuing to serve you and strengthening our long-term relationship. We pride ourselves on getting to know our clients and illuminating solutions by providing innovative ideas to move them from compliance to providing them a competitive advantage.

Investment in You. We believe in developing long-term, mutually beneficial relationships and quickly demonstrating value with a fee structure and service solutions that provide immediate and continued savings. Our investment starts on "Day 1" as your assigned team begins with our proven, streamlined process that minimizes your time and disruption during the service provider change and continues throughout the relationship.

Dedicated Team. CRl's team consists of more than 1,900 professionals, which allows us to tailor your service team by aligning their industry, service, and specialty skills with your needs. Our dedicated teams deliver the highest level of business acumen and knowledge to your organization; our commitment to consistent staffing allows you to maximize savings and remain focused on your needs.

Equilibrium. CRI delivers big firm expertise with small firm service. Of approximately 45,000 public accounting firms in the United States, CRI currently ranks in the top 25. Additionally, as a part of PrimeGlobal, an association of independent accounting firms, we have access to international resources as - and when - needed. Leveraging these resources while maintaining local decision-making authority means that simplified solutions are only a phone call away. And we believe that's the best of both worlds for our clients.

Active Partner Participation. Collectively, our partners deliver expertise derived from more than 7,500 years of business experience. With this level of talent, we thoughtfully choose a partner that aligns with your business' needs and industry. Our hands-on, working partners "show up" to convey our genuine commitment to your success. They strive to earn trusted advisor roles by digging in, proactively learning your business, and producing long-term value for you.

Simplified Solutions. While our 500+ cumulative partner certifications is an impressive statistic, success is measured by translating complex concepts into client solutions. While accounting is the language of business, we're here to decipher the jargon and help you make educated decisions. CRlnnovate embraces agility and invention.

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Our CRI vSTAR™ process provides a transformational approach to client service by encompassing every service we offer in a completely virtual format. Regardless of physical location, our processes are designed to provide clients with increased efficiencies, reduced travel costs, and crisis-proofing for business functions.

We have enjoyed being your business partner for the last 13 years and we welcome the opportunity to continue demonstrating the same teamwork, expertise, innovation, and responsiveness that have made us one of the fastest growing public accounting firms in the United States. Again, we appreciate your consideration.

Sincerely,

K. Alan Jowers Engagement Partner
Carr, Riggs & Ingram, LLC

TABLE OF CONTENTS	■■
YOUR NEEDS

YOUR SERVICES & FEES

r	UNDERSTANDING & MEETING YOUR NEEDS	4

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r	YOUR SERVICES & FEES	5
YOUR CHOICE: CRI

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FIRM PROFILE	6
GOVERNMENT CREDENTIALS	7
RELEVANT EXPERIENCE	8
YOUR SOLUTION TEAM	9
DELIVERING QUALITY TO YOU	13
WORKING TOGETHER: OVERVIEW
SHARING CRl'S VALUES WITH YOU	14
TRANSITIONING YOU	15
CRl'S GLOBAL RESOURCES	16
JOIN OUR CONVERSATION	17

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WORKING TOGETHER: DETAILS
CRI AUDIT FRAMEWORK	18
CRI AUDIT APPROACH	20
APPENDIX
L	APPENDIX A- RFP DOCUMENTS	22

UNDERSTANDING & MEETING YOUR NEEDS	■■
From the RFP or during our recent visit with your team, we understood your team to express the following needs, requests, and/or issues. We've detailed our proposed solutions below and are happy to discuss other related projects as they arise and upon request.

NEEDS & ISSUES	SOLUTIONS & SERVICES	
Technical	The District is required to have independent audits performed on its financial statements.	Perform external audit services in accordance with auditing standards generally accepted in the United States of America (GAAS), in order to express an opinion on the Sunny Hills Units 12-15 Dependent District's financial statements.	
Relational	The District's Board of Supervisors and management expect open and
continuous communication with their CPA firm in order to avoid surprise findings at the end of the audit.	Communicate
contemporaneously and directly with management regarding the results of our procedures.

Anticipate and respond to concerns of management and/or the Audit Committee (if/when formed).	

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YOUR SERVICES AND FEES	■■
We value creating mutually rewarding, long-term relationships with our clients. Our goal is to provide high quality, responsive service that yields returns far greater than your investment in our professional fees. Please find below our proposal of fees to provide the requested services for the upcoming fiscal years.

CRI FEES
2023

CRI FEES
2024

CRI FEES
2025

CRI FEES
2026

CRI FEES
2027

SERVICE

Perform external audit services in accordance with auditing standards generally accepted in the United States of America (GAAS)	$5,000	$5,250	$5,500	$5,750	$6,000	

The above fee quote is based in part on the fact that the District has not yet issued bonds or other debt instruments to finance capital asset acquisition and construction. In the event the District issues such debt instruments or upon construction of major infrastructure additions, the audit fee will increase by an amount not to exceed $5,000 per year.

If Sunny Hills Units 12-15 Dependent Districtrequests additional services outside of this proposal, professional fee hourly rates are as follows, but may be negotiated depending on the project request:

CLASSIFICATION	HOURLY RATE	
Partner	$325	
Manager	$225	
Senior	$150	
Staff	$110	
IT Specialist	$400	
Fraud Specialist	$400	

Our professional fees are based on the key assumptions that Sunny Hills Units 12-15 Dependent District will:

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Make available documents and work papers for review at Sunny Hills Units 12-15 Dependent District's headquarters location, although we may choose to review at alternate locations.
Prepare certain schedules and analyses and provide supporting documents as requested.
Assist us in obtaining an understanding of the accounting systems of Sunny Hills Units 12-15 Dependent District. Not experience a significant change in business operations or financial reporting standards.

u

D I	1997

2,000+
PROFESSIONALS

12 ST J	

400+
PARTNERS

30+	R	T

SERVICES
Accounting & Auditing Advisory
Business Support & Transactions Business Tax
Employee Benefit Plans
Governance, Risk & Assurance Individual Tax & Planning

•

TOP 25 CPA FIRM
(as ranked by Accounting Today)

Ill

100,000+

CLIENTS

25+ YEARS
OF CONSISTENT GROWTH
[_	SINCE FORMATION

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CRI FIRM VALUES:

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CLIENT SERVICE. RESPECT. INTEGRITY.
L	UNYIELDING  INTEGRITY
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IT Audits & Assurance

INDUSTRY EXPERTISE
Captive Insurance Commercial Real Estate Construction
Financial Institutions Governments Healthcare
Insurance
Manufacturing & Distribution Nonprofit

CRI FAMILY OF COMPANIES
U  Auditwerx
ul  CRI Advanced Analytics
CRI Capital Advisors
Dt .# CRI Simple Numbers
CRI TPA Services
Level Four Advisory Services Paywerx
?> Preferred Legacy Trust

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Audit and Consulting Services for

$26 Billion

500+governmental entities with annual revenues
totaling

150+single audits performed annually with federal expenditures up to
$1+ Billion
and with total expenditures of

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$4.78 Billion

1 2 0  +

Consulting and other agreed upon procedures engagements for
government entities

Single Audit Resource Center's Award for Excellence in Knowledge, Value, and Overall Client Satisfaction

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Member of AICPA's Government Audit Quality Center

Governmental Partner Designations

Including: CPA, CGFM, CITP, CFE, CMA, CISA, CGEIT, CTGA, CFF, CGMA, and CGAP

CLIENTS WITH ANNUAL REVENUES IJJ:11•1
80+ School Districts
$1.1 Billion
11O+ Municipalities/Counties
$4.8 Billion
e 115+ Agencies/Authorities
$9.7 Billion

RELEVANT EXPERIENCE	■■
CRI delivers a depth of resources that ensures our understanding of your challenges and innovative solutions for overcoming them. Our team's combined experience is derived from providing audit, tax, consulting, and accounting outsourcing services. We parlay this vast experience and derived best practices into proven solutions that benefit you. Below we share specific, relevant client references; we encourage you to consult with them.

RELATIONSHIP	TIMELINE	SERVICE DESCRIPTION	RELEVANT POINTS TO CONSIDER	
Rizzetta & Company	2006 - Present	Annual Financial	..
.
.	Client service experience Responsiveness to client needs
Long-term relationship COD management co.	
Shawn Wildermuth		Statement Audits of			
3434 Colwell Avenue		Multiple CDDs			
Suite 200					
Tampa, FL 33614					
813.933.5571					
GMS, LLC	2006 - Present	Annual Financial	.
.
.	Client service experience Responsiveness to client needs
Long-term relationship COD management co.	
Dave DeNagy		Statement Audits of			
14785 Old St. Augustine Road		Multiple CDDs			
Suite 4					
Jacksonville, FL 32258					
904.288.9130					
Wrathell, Hunt & Associates, LLC Jeffrey Pinder
2300 Glades Road Suite 410W
Boca Raton, FL 33431 561.571.0010	2006 - Present	Annual Financial Statement Audits of Multiple CDDs	.
.
.	Client service experience Responsiveness to client needs
Long-term relationship COD management co.	
PFM Group Consulting, LLC	2007 - Present	Annual Financial	.	Client service experience	
Jennifer Glasgow 12051 Corporate Blvd.
Orlando, FL 32817
407.382.3256		Statement Audits of Multiple CDDs	.
.	Responsiveness to client needs
Long-term relationship COD management co.	

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K. Alan Jowers
Engagement Partner

AJowers@CRlcpa.com 850.337.3213 I Direct

Representative Clients
Santa Rosa County District School Board
Okaloosa Gas District Santa Rosa Island Authority Pasco County
Okaloosa County District School Board
Pinellas County School District
Celebration Community Development District Hammock Bay Community Development District Amelia National Community Development District

Experience
Alan has over 25 years of experience in public accounting primarily with financial statement assurance engagements. His practice includes local governmental entities, condominium and homeowner associations, non-profit organizations, and nonpublic companies. He currently has direct engagement responsibility for a significant number of audits throughout the state of Florida .

Alan is licensed to practice as a certified public accountant in Florida and Georgia. He is a member of the Board of Directors of the Florida Institute of Certified Public Accountants (FICPA), has been an active member of the FICPA's State and Local Governmental Committee, and is a past chair of its Common Interest Realty Association Committee. He is also active in the Panhandle Chapter of the Florida Governmental Finance Officers Association (FGFOA) and is a former member of the FGFOA's statewide Technical Resource Committee.

Education, Licenses & Certifications
Masters of Accountancy, University of Alabama BS, Accounting, Florida State University Certified Public Accountant

Professional Affiliations
American Institute of Certified Public Accountants (AICPA)
Florida Institute of Certified Public Accountants (FICPA) - member of the Board of Governors
Governmental Finance Officers Association (GFOA)
Florida Governmental Finance Officers Association (FGFOA)

Chad Branson
Consulting Partner

CBranson@CRlcpa.com 850.337.3226 I Direct

Representative Service Areas Local Governments including Water and Sewer Organizations and Fire Districts
School Districts including Foundations
Nonprofit Organizations

Representative Clients (including previous clients)
School Districts - Pinellas County, Okaloosa County, Pasco County, Santa Rosa County
Florida Office of Early Learning Coalition
Florida Department of Elder Affairs
Fire Districts -Destin, Ocean
City, North Bay Utilities - Regional Utilities.Midway Water

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Systems, lnc.,Emerald Coast Utilities Authority
Escambia County

Experience
Chad Branson has over 20 years of experience in public accounting, with practice concentrations in auditing governmental, nonprofit, and for profit entities. Chad has accumulated experience throughout his career in Federal and Florida Single Audit Acts compliance monitoring and auditing. During his career he has supervised and managed audit engagements for a wide variety of governmental and nonprofit organization clients. In addition, he has performed internal audit work, information technology general controls testing, forensic investigations, and risk assessments for governmental entities.

Chad has been with Carr, Riggs and Ingram, LLC since 2005.

Education, Licenses & Certifications
Bachelor and Master of Accountancy - University of Mississippi, Oxford MS Certified Public Accountant (CPA) - Licensed in Florida and Mississippi Community Association Manager (CAM) - Florida
Certified Information Technology Professional -AICPA

Professional Affiliations
American Institute of Certified Public Accountants (AICPA) Florida Institute of Certified Public Accountants (FICPA) Emerald Coast Chapter (FICPA) Board
Florida Governmental Finance Officers Association (FGFOA)

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Grace Hartness
Senior Manager

GHartness@CRlcpa.com 850.337.3243 I Direct

Representative Clients
Community Development Districts
Condominium and Homeowner Associations Utility Services
School Districts County and Local Governments
Non-Profit Organizations

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Experience
Grace has over 15 years accounting and audit experience with CRI. She has worked on several major construction companies, government entities, community development districts, condominium and homeowner associations and non-profit organizations. In addition, she has been involved in special audit projects for the Miami-Dade Airport Authority. Grace is licensed to practice as a certified public accountant in Florida and exceeds all continuing professional education requirements related to Government Auditing Standards. In addition, Grace fluently speaks several languages including French and Arabic. Grace currently supervises engagements for many special districts in the State of Florida including community development districts and school districts. She is active in our firm's condominium and homeowner association practice. Grace started with CRI in August 2006, upon completion of her master's degree, and was promoted to manager in 2011.

Education, Licenses & Certifications
MAcc, Accounting, University of West Florida Certified Public Accountant
Community Association Manager (CAM), Licensed in Florida

Professional Affiliations
American Institute of Certified Public Accountants (AICPA) Florida Institute of Certified Public Accountants (FICPA)

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Lauren Villarreal
Senior Manager

LVillarreal@CRlcpa.com 850.337.3223 I Direct
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Representative Service Areas Community Development Districts

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Condominium and Homeowner Associations Employee Benefit Plans County and Local Governments
Non-Profit Organizations

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Experience
Lauren has six years auditing and accounting experience in the Destin office of CRI. She is an audit senior manager with primary responsibility for fieldwork and reporting on audits of clients in a variety of industries including local governmental and non­ profit entities as well as employee benefit plans and commercial businesses. She is currently the in-charge auditor for over two dozen community development districts with several COD management companies in the State of Florida.

Lauren is licensed to practice as a Certified Public Accountant in Florida. She is a member of the American Institute of Certified Public Accountants and the Florida Institute of Certified Public Accountants. She exceeds all continuing professional education requirements related to Government Auditing Standards.

Lauren currently supervises engagements for many governmental entities in the State of Florida including community development districts and other special governments. She is active in our firm's governmental industry line as well as the condominium and homeowner association practice. In addition, Lauren has accumulated experience in Federal and Florida Single Audit Acts compliance monitoring and auditing. Lauren has performed several single audits of federal grants under 0MB Circular A-133.

Education, Licenses & Certifications
BS, Accounting, Florida State University
BS, Business Administration, Florida State University Certified Public Accountant
Community Association Manager (CAM), Licensed in Florida

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Professional Affiliations
American Institute of Certified Public Accountants (AICPA) Florida Institute of Certified Public Accountants (FICPA)

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AUDIT METHODOLOGY
Our audit, tax, consulting, and client accounting services documentation is maintained electronically. Compliance with our methodology is regularly reviewed and evaluated as part of our internal quality program, which is further discussed in this section under INTERNAL QUALITY CONTROL REVIEWS AND EXTERNAL REVIEWS. Comprehensive policies and procedures governing all of our practices and addressing professional and regulatory standards and implementation issues are constantly updated for new professional developments and emerging issues. See the table of contents to identify the relevant audit approach and methodology detailed description section.

ENGAGEMENT QUALITY REVIEW PARTNER (CONCURRING PARTNER)
Audit engagements are assigned engagement quality review (EQR) partner, as appropriate. This role is one of the most important elements of our quality assurance process, as it provides for a timely, independent review of key accounting and auditing issues. The EQR partner also reviews the financial statements and related supporting documentation-including the disclosures-to evaluate their fair presentation under accounting principles generally accepted in the United States of America (GAAP).

INTERNAL QUALITY CONTROL REVIEWS AND EXTERNAL REVIEWS
Experienced partners and professional staff of our firm conduct quality control reviews of our audits. Our partners' work is reviewed annually, and the inspection process includes periodic testing of the effectiveness of our quality controls and a continuous improvement program. This risk-based annual inspection is intended to mimic the triennial peer review described in the following paragraph and are performed on completed engagements. In addition to this inspection, we perform in-process, "pre-issuance" reviews of partners' work that are chosen for using a risk-based selection process; these reviews are performed by our corporate quality control team. The combination of the in-process and completed engagements is part of our continuous improvement processes.

Peer reviews are performed every three years by another independent public accounting firm. The most recent review of our firm was performed in 2019 by Brown Edwards, whose report was the most favorable possible "Pass".

In addition, we are registered with the PCAOB and our 2018 PCAOB inspection report was also the most favorable possible­ no audit deficiencies or quality control defects identified. The 2018 PCAOB report can be viewed at:
httP-s://Rcaobus.org/lnsRections/ReRorts/Documents/104-2019-029-Carr-Riggs-lngram-LLC.Rdf.

SHARING CRl'S VALUES WITH YOU	■■
We are proud of our hands-on, service-centric, and results-oriented approach. Combining that approach with quality controls and superior talent allows us to help you achieve your goals and strengthen your management systems and processes. This approach is further emphasized through our three core values which guide our team's behavior and function as the foundation for interactions with our clients and each other.

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UNYIELDING INTEGRITY
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CLIENT SERVICE /	

Defining our brand by meeting or exceeding the highest
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RESPECT/

Building productive, long­ term relationships with each other that are based on mutual respect, trust, and sharing

INTEGRITY /	

Living with sincerity, transparency, and honesty

TRANSITIONING YOU	■■
When choosing to change firms, the time involved in working with new accounting professionals is often a concern. CRl's well­ defined efficient, seamless transition process is designed to:

Provide you with value from the very first encounter, Avoid interruption of service,
Minimize disruption and investment of management's time, Raise the standard of service, and
Establish ongoing channels of communication with Sunny Hills Units 12-15 Dependent District's management.

The transition plan is comprised of the following key activities and can occur within approximately two weeks, depending on the availability of the parties involved:

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Management approves the change in firms, pending new firm's completion of client acceptance procedures.
CRI performs client acceptance procedures, such as:
Interview key service provider relationships
Interview predecessor firm.
Internal firm review and approval.

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Management notifies predecessor firm of decision to change service providers.
CRI makes inquiries of and reviews predecessor firm workpa pers related to your prior year's audit and tax services (as applicable).
Predecessorfirm provides copies of requested workpa pers.

CRI and management sign engagement letter.
CRI and management developcommunication plan protocol.
CRI and management finalize timetable and key dates.
CRI develops initial understanding of your business processes.
CRI reports to management process review items subsequent to initial planning stage.

CLIENT UNDERSTANDING & PLANNING

CRl'S GLOBAL RESOURCES	■■
Many businesses are expanding and/or evaluating their global reach, and they require assistance in order to comprehensively
consider the various financial implications of growing in international markets. In addition to CRl's internal resources, we deliver the expertise and support of some of the world's most highly regarded accounting firms through shared alliance as members of PrimeGlobal.

WHO IS PRIMEGLOBAL?

PrimeGlobal
An Association of Independent Accounting Firms

Revenue
$2.98+

Countries
90+

Locations
850+

Staff
24,000+

Partners
2,100+

Firms
300+

HOW OUR PRIMEGLOBAL MEMBERS CAN BENEFIT YOU
We supplement our in-depth, industry knowledge and specialized services through our collaborations with other PrimeGlobal firms to help you evaluate your options globally. CRl's goal is to provide you with the information you need to make well­ informed, smart business decisions.

4 KEY BENEFITS TO CRI CLIENTS FROM OUR PRIMEGLOBAL MEMBERSHIP

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SOLUTIONS
that are worldwide and world-class.

ACCESSIBILITY
to knowledge and resources of statutory, regulatory, and compliance requirements throughout the world.

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DECISION MAKING
with the support of local connections and cultural understanding throughout regions of the world.

SINGLE POINT OF CONTACT
CR I's team serves as your contact for each engagement, and we project manage across the entire team - including other PrimeGlobal firms and specialists.

JOIN OUR CONVERSATION	■■
We know that some information that makes perfect sense to a CPA may not be as clear to our clients. Therefore, we produce original content in the form of articles, videos, white papers, webinars, and more to provide timely, down-to-earth translations of complex subjects. We publish this original content on CRICP-a.com and across all our many social channels.

FOLLOW CRI ON SOCIAL MEDIA @C ICPA
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SUBSCRIBE TO THE CRI E-NEWSLETTER

CRICP .COM/ E	s TYE -SIG UP

IT  FIGURES: THE CRI PODCAST

Created to provide insight into the latest developments and regulations in the accounting and finance space, It Figures is an accounting and advisory focused podcast for business and organization leaders, entrepreneurs, and anyone who is looking to go beyond the status quo.

Listen on Apple Podcasts, Spotify, iHeart Radio, and more.
itfiguresP-odcast.com

CRl'S CEO ACTION FOR DIVERSITY AND INCLUSION

Carr, Riggs & Ingram is committed to fostering an inclusive and diverse place for all employees to work in and engage. When our managing partner and chairman, Bill Carr, signed the CEO Action for Diversity & Inclusion TM pledge, he made a public commitment to building a productive, diverse, and inclusive workplace. Learn more about CRl's commitment to Diversity and Inclusion.

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Our proposed services require a coordinated effort between us and Sunny Hills Units 12-15 Dependent District's team. Planning and continual communication are essential to developing the appropriate procedures, working collaboratively to resolve any identified issues, and meeting your timelines.
CRl's audit approach occurs within a framework of our client's business and industry; therefore, we assess risk by: Understanding management's perspectives and goals, and
Considering business conditions and threats that could prevent management from achieving its business objectives.

We assess risks in the following areas:

Materiality
Financial Reporting Compliance
New Accounting Pronouncements

Acquisition, Divestiture & Reorganization
Audit Committee & Management Expectations
Operating Results
Banking Covenant Requirements

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Investor/Market Expectations
Technological Innovation
Legislative/Regulatory Changes

Internal Control Environmen
IT Systems & Support

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Our ultimate intent is to drill down from these broad risks to specific financial reporting risks. We understand both these risks and management's processes and procedures for mitigating them (i.e. internal controls) in order to develop our procedures to carry out our audit responsibilities.

Although our audits are conducted through a structured, risk-based model, we focus on understanding the client's needs, requirements, and expectations. We work collaboratively with management and the Audit Committee (or similar function) to develop a communication and work plan to continuously improve client service, by doing so we help in moving your team from simple compliance to providing you with a competitive advantage.

In planning, we concentrate on "key risks," (items with a greater risk of a material misstatement, a material weakness in internal controls, or other matters resulting in the issuance of an inappropriate audit report). We focus on "material" items (i.e. those items that would be important to the user of your financial statements). When evaluating materiality of identified misstatements, certain quantitative and qualitative factors must be considered-which may include:

Impact on operating trends (revenue/income, expenses, net income, etc).
Nature of the misstatement (i.e., did the misstatement result from an unlawful transaction?). Impact on liquidity, capital/surplus, earnings capacity, etc.
Impact to loan covenants and contractual and regulatory requirements.

Consistent communication is a key to completion of the audit. By ensuring constant involvement, we are in a better position to respond to your issues timely and efficiently. Therefore, we plan to meet with your management to:

Set-up the audit by reviewing the mapping of Sunny Hills Units 12-15 Dependent District's financial information (financial statements and notes) to significant processes and IT systems to ensure that all significant account balances, transactions, procedures, and systems are tested as deemed necessary.
Discuss ongoing changes-specifically new accounting pronouncements and key business transactions in their early stages, enabling us to agree on the resolution of various complex business issues on a timely basis.

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Our audit approach is a four stage approach, as depicted in the summary below. Our client acceptance and risk assessment procedures occur during detailed conversations and observations with your team. The results of those procedures allow us to tailor an audit program to your specific risks and needs. We then execute the audit, report the results, and evaluate continuous improvement opportunities for ongoing service and benefit to you.

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COMPLIANCE TO COMPETITIVE ADVANTAGE
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Perform client acceptance procedures.
Collaborate with management to agree to expectations and scope.

Interview client personnel and others to understand client-specific objectives and risks.
Assess following aspects of the organization for their impact on the audit plan:
environmental and other external risks,
management's fraud and IT risk assessment models,
entity level controls including:
control environment
risk assessment,
information and communication,
and monitoring controls.
IT General Computer (ITGC) controls, such as
IT Environment
Developing and Delivering IT, and
Operating and Monitoring IT.
Determine materiality.
Develop and document our understanding of and/or reliance on:
linkage of financial statements to:
significant transactions,
processes,
IT systems, and
related controls,
existence of/reliance on SOC entities and their reports,
internal audi and
specialists (e.g. valuation, pension costs, etc.).
If elected, test controls including ITGC, through a mix of:
inquiry,
observation
examination, and
re-performance.
Perform preliminary analytical procedures.
Finalize risk assessments and develop a final audit strategy.

Assign appropriate staff based on client needs and assessed risk.

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Where possible to test as efficiently as possible:
develop detailed analytical procedures to use as substantive tests (benefit= reducing tests of details): Examples include:
ratio analysis,
regression analysis,
trend analysis,
predictive tests, or
reasonableness test,
utilize Computer-Assisted Audit Techniques (CAATs) (benefit= automation of testing for more coverage and less disruption to the client), and
perform targeted testing (also known as "coverage" testing) to test large portions of account balances (benefit= more coverage with smaller selections).
Perform tests of details, including sampling.
Perform general audit procedures such as tests related to:
commitments and contingencies,
legal letters,
management representations,
reviews of Board minutes,
related party transactions,
debt covenants, and
going concern.
Perform other tests for compliance such as Yellow Book or Single Audit tests.

Continually monitor throughout the audit - providing feedback as agreed during scoping.
Conclude the audit (i.e. issue opinions and reports).
Develop and present:
reports,
required communications,
management letter comments, and
other audit-related deliverables.
Perform debriefings to identify opportunities for improvement with our:
engagement team, and/or
client's team.

L	CARR, RIGGS & INGRAM	21	CRlcpa.com

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT REQUEST FOR PROPOSALS FOR ANNUAL AUDIT SERVICES

The Sunny Hills Units 12-15 Dependent District hereby requests proposals for annual financial auditing services. The proposal must provide for the auditing of the District's financial records for the fiscal year ending September 30, 2023, with an option for four (4) additional annual renewals. The District is a local unit of special-purpose government created under Chapter 190, Florida Statutes, for the purpose of financing, constructing, and maintaining public infrastructure. The District is located in Washington County and has an operating budget of approximately $39,440. The final contract will require that, among other things, the audit for Fiscal Year 2023 be completed no later than June 1, 2024.

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Each auditing entity submitting a proposal must be authorized to do business in Florida; hold all applicable state and federal professional licenses in good standing, including but not limited to a license under Chapter 473, Florida Statutes; and be qualified to conduct audits in accordance with uGovernment Auditing Standards," as adopted by the Florida Board of Accountancy. Audits shall be conducted in accordance with Florida law and particularly Section 218.39, Florida Statutes, and the rules of the Florida Auditor General.

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Proposal packages, which include additional qualification requirements, evaluation criteria and instructions to proposers, are available from the District Manager at the address and telephone number listed below.

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Proposers must provide two (2) hard copies of their proposal and one (1) electronic copy (flash drive) to Jennifer Walden, District Manager, located at 3501 Quadrangle Blvd., Suite 270 Orlando, Florida 32817, in an envelope marked on the outside uAuditing Services - Sunny Hills Units 12-15 Dependent District." Proposals must be received by May 30, 2023, at 1:00 p.m., at the office of the District Manager. Please direct all questions regarding this Request for Proposals to the District Manager, who can be reached at (407} 723-5900 or mullinsl@pfm.com.

Any protest regarding the terms of this Notice, or the proposal packages on file with the District Manager, must be filed in writing at the offices of the District Manager within seventy-two (72) calendar hours (excluding weekends) after publication of this Notice. The formal protest setting forth with particularity the facts and law upon which the protest is based shall be filed within seven (7) calendar days after the initial notice of protest was filed. Failure to timely file a notice of protest or failure to timely file a formal written protest shall constitute a waiver of any right to object or protest with respect to aforesaid Notice or proposal package pro visions.

Sunny Hills Units 12-15 Dependent District Jennifer Walden, District Manager

RUN DATE: April 19th, 2023

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT REQUEST FOR PROPOSALS

District Auditinc Services for Fiscal Year 2023
Washington County, Florida

INSTRUCTIONS TO PROPOSERS

SECTION 1.	DUE DATE, Sealed proposals must be received no later than May 30, 2023, at 1:00 p.m., at the offices of the District Manager, PFM Group Consulting LLC, located at 3501 Quadrangle Boulevard, Suite 270, Orlando, Florida 32817.

SECTION 2.	FAMILIARITY WITH THE LAW. By submitting a proposal, the Proposer is assumed to be familiar with all federal, state, and local laws, ordinances, rules and regulations that in any manner affect the work. Ignorance on the part of the Proposer will in no way relieve it from responsibility to perform the work covered by the proposal in compliance with all such laws, ordinances and regulations.

SECTION 3.	QUALIFICATIONS OF PROPOSER. The contract, if awarded, will only be awarded to a responsible Proposer who is qualified by experience and licensing to do the work specified herein. The Proposer shall submit with its proposal satisfactory evidence of experience in similar work and show that it is fully prepared to complete the work to the satisfaction of the District.

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SECTION 4.	SUBMISSION OF ONLY ONE PROPOSAL. Proposers shall be disqualified and their proposals rejected if the District has reason to believe that collusion may exist among the Proposers, the Proposer has defaulted on any previous contract or is in arrears on any previous or existing contract, or for failure to demonstrate proper licensure and business organization.

SECTION s.	SUBMISSION OF PROPOSAL Each Proposer shall submit two (2) hard copies and one (1) electronic copy of the Proposal Documents (defined below), and other requested attachments at the time and place indicated herein, which shall be enclosed in an opaque sealed envelope, marked with the title "Auditing Services -Sunny Hills Units 12-15 Dependent District" on the face of it.

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SECTION 6.	MODIACATION AND WITHDRAWAL Proposals may be modified or withdrawn by an appropriate document duly executed and delivered to the place where proposals are to be submitted at any time prior to the time and date the proposals are due. No proposal may be withdrawn after opening for a period of ninety (90) days.

SECTION 7.	PROPOSAL DOCUMENTS. The proposal documents shall consist of the notice announcing the request for proposals, these instructions, the evaluation criteria and a proposal with all required documentation pursuant to Section 12 of these instructions (the "Proposal Documents").

SECTION 8.	PROPOSAL. In making its proposal, each Proposer represents that it has read and understands the Proposal Documents and that the proposal is mad_ein accordance therewith.

SECTION 9.	BAslS OF AWARD/RIGHT TO REJECT. The District reserves the right to reject any and all proposals, make modifications to the work, and waive any informalities or irregularities in proposals as it is deemed in the best interests of the District.

SECTION 10.	CONTRACT AWARD. Within fourteen (14) days of receipt of the Notice of Award from the District, the Proposer shall enter into and execute a contract or engagement letter with the District.

SECTION 11.  LIMITATION OF LIABILITY. Nothing herein shall be construed as or constitute a waiver of District's limited waiver of liability contained in section 768.28, Florida Statutes, or any other statute or law.

SECTION 12. CONTENTS OF PROPOSALS. All proposals shall include the following information in addition to any other requirements of the Proposal Documents.

List position or title of all personnel to perform work on the District audit. Include resumes for each person listed; list years of experience in present position for each party listed and years of related experience.

Describe proposed staffing levels, including resumes with applicable certifications.

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Provide three (3) references from projects of similar size and scope. The Proposer should include information relating to the work it conducted for each reference as well as a name, address and phone number of a contact person. Identify any work previously conducted for other community development districts.

The lump sum cost of the provision of the services under the proposal, plus the cost of four (4) annual renewals.

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SECTION 13.	PROTESTS. In accordance with the District's Rules of Procedure, any protest regarding the Proposal Documents, must be filed in writing, at the offices of the District Manager, within seventy-two (72) hours after the receipt of the proposed contract documents. The formal protest setting forth with particularity the facts and law upon which the protest is based shall be filed within seven (7) calendar days after the initial notice of protest was filed. Failure to timely file a notice of protest or failure to timely file a formal written protest shall constitute a waiver of any right to object or protest with respect to aforesaid contract award.

SECTION 14.	EVALUATION OF PROPOSALS. The criteria to be used in the evaluation of proposals are presented in the evaluation criteria, contained within the Proposal Documents.

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AUDITOR SELECTION EVALUATION CRITERIA (WITH PRICE)

l.	Ability of Personnel.	(20 Points)

This includes the geographic locations of the firm's headquarters or permanent office in relation to the project; capabilities and experience of key personnel; present ability to manage this project; evaluation of existing work load; proposed staffing levels, etc.

Proposer's Experience.	(20 Points)

This includes past record and experience of the Proposer in similar projects; volume of work previously performed by the firm; past performance for other community development districts in other contracts; character, integrity, reputation, of respondent, etc.

Understanding of Scope of Work.	(20 Points)

Extent to which the proposal demonstrates an understanding of the District's needs for the services requested.

Ability to Furnish the Required Services.	(20 Points)

Extent to which the proposal demonstrates the adequacy of Proposer's financial resources and stability as a business entity necessary to complete the services required.

Price.	(20 Points)

Points will be awarded based upon the lowest total bid for rendering the services and the reasonableness of the proposal.

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Grau & Associates

Proposal to Provide
Financial Auditing Services:
SUNNY HILLS UNITS 12-15
Dependent District

Due Date: May 30, 2023 1:00PM

Submitted to:
Sunny Hills Units 12-15 Dependent District
c/o District Manager
3501 Quadrangle Blvd, Suite 270
Orlando, Florida 32817

Submitted by:
Antonio J. Grau, Partner Grau & Associates
951 Yamato Road, Suite 280 Boca Raton, Florida 33431 Tel	(561) 994-9299
(800) 229-4728
Fax	(561) 994-5823
tgrau@graucpa.com www.graucpa.com

Table of Contents

PAGE

EXECUTIVE SUMMARY / TRANSMITTAL LETTER	1
FIRM QUALIFICATIONS	3
FIRM & STAFF EXPERIENCE	6
REFERENCES	11
SPECIFIC AUDIT APPROACH	13
COST OF SERVICES	17
SUPPLEMENTAL INFORMATION	19

May 30, 2023

Sunny Hills Units 12-15 Dependent District c/o District Manager
12051 Corporate Boulevard
Orlando, Florida 32817

Re:	Request for Proposal for Professional Auditing Services for the fiscal year ended September 30, 2023, with an option for four (4) additional annual renewals.

Grau & Associates (Grau) welcomes the opportunity to respond to the Sunny Hills Units 12-15 Dependent District’s (the “District”) Request for Proposal (RFP), and we look forward to working with you on your audit. We are an energetic and robust team of knowledgeable professionals and are a recognized leader of providing services to Community Development Districts. As one of Florida’s few firms to primarily focus on government, we are especially equipped to provide you an effective and efficient audit.

Special district audits are at the core of our practice: we have a total of 360 clients, 329 or 91% of which are special districts. We know the specifics of the professional services and work products needed to meet your RFP requirements like no other firm. With this level of experience, we are able to increase efficiency, to provide immediate and continued savings, and to minimize disturbances to client operations.

Why Grau & Associates:

Knowledgeable Audit Team
Grau is proud that the personnel we assign to your audit are some of the most seasoned auditors in the field. Our staff performs governmental engagements year round. When not working on your audit, your team is refining their audit approach for next year’s audit. Our engagement partners have decades of experience and take a hands-on approach to our assignments, which all ensures a smoother process for you.

Servicing your Individual Needs
Our clients enjoy personalized service designed to satisfy their unique needs and requirements. Throughout the process of our audit, you will find that we welcome working with you to resolve any issues as swiftly and easily as possible. In addition, due to Grau’s very low turnover rate for our industry, you also won’t have to worry about retraining your auditors from year to year.

Developing Relationships
We strive to foster mutually beneficial relationships with our clients. We stay in touch year round, updating, collaborating and assisting you in implementing new legislation, rules and standards that affect your organization. We are also available as a sounding board and assist with technical questions.

Maintaining an Impeccable Reputation
We have never been involved in any litigation, proceeding or received any disciplinary action. Additionally, we have never been charged with, or convicted of, a public entity crime of any sort. We are financially stable and have never been involved in any bankruptcy proceedings.

Complying With Standards
Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards, issued by the Comptroller General of the United States, and the Rules of the Auditor General of the State of Florida, and any other applicable federal, state and local regulations. We will deliver our reports in accordance with your requirements.

This proposal is a firm and irrevocable offer for 90 days. We certify this proposal is made without previous understanding, agreement or connection either with any previous firms or corporations offering a proposal for the same items. We also certify our proposal is in all respects fair, without outside control, collusion, fraud, or otherwise illegal action, and was prepared in good faith. Only the person(s), company or parties interested in the project as principals are named in the proposal. Grau has no existing or potential conflicts, and anticipates no conflicts during the engagement. Our Federal I.D. number is 20-2067322.

We would be happy to answer any questions or to provide any additional information. We are genuinely excited about the prospect of serving you and establishing a long-term relationship. Please do not hesitate to call or email either of our Partners, Antonio J. Grau, CPA (tgrau@graucpa.com) or Racquel McIntosh, CPA (rmcintosh@graucpa.com) at 561.994.9299. We thank you for considering our firm’s qualifications and experience.

Very truly yours, Grau & Associates
Antonio J. Grau

Firm Qualifications

Grau’s Focus and Experience

Our Team

3	10	2
Partners	Professional Administrative
Staff	Professionals

9/13
Employees are CPAS

Year founded

Services Provided

297

Community Development Districts Served

Properly registered and
licensed professional corporation by the state of FLORIDA

9
Professional Groups

We are proud Members of the American Institute of Certified Public Accountants
&
the Florida Institute of Certified Public Accountants

See next page for report and certificate

 External quality review program: consistently receives a pass
 Internal: ongoing monitoring to maintain quality

AICPA | FICPA | GFOA | FASD | FGFOA

Firm & Staff Experience

GRAU AND ASSOCIATES COMMUNITY
DEVELOPMENT DISTRICT EXPERIENCE BY MANAGEMENT COMPANY

OTHER
19

PFM
12

WRATHELL
30

GMS
78

INFRAMARK
38

SDS
60

RIZZETTA
47

MERITUS
23

Profile Briefs:

Antonio J GRAU, CPA (Partner)
Years Performing Audits: 35+
CPE (last 2 years): Government Accounting, Auditing: 24 hours; Accounting, Auditing and Other: 58 hours
Professional Memberships: AICPA, FICPA, FGFOA, GFOA

Racquel McIntosh, CPA (Partner)
Years Performing Audits: 18+
CPE (last 2 years): Government Accounting, Auditing: 38 hours; Accounting, Auditing and Other: 56 hours
Professional Memberships: AICPA, FICPA, FGFOA, FASD

“Here at Grau & Associates, staying up to date with the current technological landscape is one of our top priorities. Not only does it provide a more positive experience for our clients, but it also allows us to perform a more effective and efficient audit. With the every changing technology available and utilized by our clients, we are constantly innovating our audit process.”
Tony Grau
“Quality audits and exceptional client service are at the heart of every decision we make. Our clients trust us to deliver a quality audit, adhering to high standards and assisting them with improvements for their organization.”
Racquel McIntosh

YOUR ENGAGEMENT TEAM

Grau’s client-specific engagement team is meticulously organized in order to meet the unique needs of each client. Constant communication within our solution team allows for continuity of staff and audit team.

Grau contracts with an outside group of IT management consultants to assist with matters including, but not limited to; network and database security, internet security and vulnerability testing.

An advisory consultant will be available as a sounding board to advise in those areas where problems are encountered.

The assigned personnel will work closely with the partner and the District to ensure that the financial statements and all other reports are prepared in accordance with professional standards and firm policy.
Responsibilities will include planning the audit; communicating with the client and the partners the progress of the audit; and
determining that financial statements and all reports issued by the firm are accurate, complete and are prepared in accordance with professional standards and firm policy.

The Engagement Partner will participate extensively during the various stages of the engagement and has direct responsibility for engagement policy, direction, supervision, quality control, security, confidentiality of information of the engagement and communication with client personnel. The engagement partner will also be involved directing the development of the overall audit approach and plan; performing an overriding review of work papers and ascertain client satisfaction.

Antonio ‘Tony ‘J. Grau, CPA
Partner
Contact: tgrau@graucpa.com | (561) 939-6672
Experience
For over 30 years, Tony has been providing audit, accounting and consulting services to the firm’s governmental, non-profit, employee benefit, overhead and arbitrage clients. He provides guidance to clients regarding complex accounting issues, internal controls and operations.
As a member of the Government Finance Officers Association Special Review Committee, Tony participated in the review process for awarding the GFOA Certificate of Achievement in Financial Reporting. Tony was also the review team leader for the Quality Review of the Office of Management Audits of School Board of Miami-Dade County. Tony received the AICPA advanced level certificate for governmental single audits.

Education
University of South Florida (1983)
Bachelor of Arts Business Administration

Clients Served (partial list)
(>300) Various Special Districts, including:

Bayside Improvement Community Development District	St. Lucie West Services District
Dunes Community Development District	Ave Maria Stewardship Community District Fishhawk Community Development District (I, II, IV)	Rivers Edge II Community Development District Grand Bay at Doral Community Development District	Bartram Park Community Development District Heritage Harbor North Community Development District	Bay Laurel Center Community Development District

Boca Raton Airport Authority Greater Naples Fire Rescue District
Key Largo Wastewater Treatment District Lake Worth Drainage District
South Indian River Water Control

Professional Associations/Memberships
American Institute of Certified Public Accountants Florida Government Finance Officers Association Florida Institute of Certified Public Accountants Government Finance Officers Association Member City of Boca Raton Financial Advisory Board Member

Professional Education (over the last two years)
Course	Hours
Government Accounting and Auditing	24
Accounting, Auditing and Other	58
Total Hours	82 (includes of 4 hours of Ethics CPE)

Racquel C. McIntosh, CPA
Partner
Contact : rmcintosh@graucpa.com | (561) 939-6669
Experience
Racquel has been providing government audit, accounting and advisory services to our clients for over 14 years. She serves as the firm’s quality control partner; in this capacity she closely monitors engagement quality ensuring standards are followed and maintained throughout the audit.
Racquel develops in-house training seminars on current government auditing, accounting, and legislative topics and also provides seminars for various government organizations. In addition, she assists clients with implementing new accounting software, legislation, and standards.

Education
Florida Atlantic University (2004)
Master of Accounting Florida Atlantic University (2003)
Bachelor of Arts: Finance, Accounting

Clients Served (partial list)
(>300) Various Special Districts, including: Carlton Lakes Community Development District Golden Lakes Community Development District Rivercrest Community Development District South Fork III Community Development District TPOST Community Development District

East Central Regional Wastewater Treatment Facilities Indian Trail Improvement District
Pinellas Park Water Management District Ranger Drainage District
South Trail Fire Protection and Rescue Service District

Professional Associations/ Memberships
American Institute of Certified Public Accountants Florida Institute of Certified Public Accountants

Professional Education (over the last two years)
Course
Government Accounting and Auditing Accounting, Auditing and Other
Total Hours

Westchase Community Development District Monterra Community Development District
Palm Coast Park Community Development District Long Leaf Community Development District Watergrass Community Development District

FICPA State & Local Government Committee FGFOA Palm Beach Chapter

Hours
38
56
94 (includes of 4 hours of Ethics CPE)

References

We have included three references of government engagements that require compliance with laws and regulations, follow fund accounting, and have financing requirements, which we believe are similar to the District.

 Dunes Community Development District	

Scope of Work	Financial audit	
Engagement Partner	Antonio J. Grau	
Dates	Annually since 1998	
Client Contact	Darrin Mossing, Finance Director	
	475 W. Town Place, Suite 114	
	St. Augustine, Florida 32092	
	                    904-940-5850		

 Two Creeks Community Development District	

Scope of Work	Financial audit	
Engagement Partner	Antonio J. Grau	
Dates	Annually since 2007	
Client Contact	William Rizzetta, President	
	3434 Colwell Avenue, Suite 200	
	Tampa, Florida 33614	
	                   813-933-5571		

 Journey’s End Community Development District	

Scope of Work	Financial audit	
Engagement Partner	Antonio J. Grau	
Dates	Annually since 2004	
Client Contact	Todd Wodraska, Vice President	
	2501 A Burns Road	
	Palm Beach Gardens, Florida 33410	
	                   561-630-4922		

Specific Audit Approach

AUDIT APPROACH
Grau’s Understanding of Work Product / Scope of Services:
We recognize the District is an important entity and we are confident our firm is eminently qualified to meet the challenges of this engagement and deliver quality audit services. You would be a valued client of our firm and we pledge to commit all firm resources to provide the level and quality of services (as described below) which not only meet the requirements set forth in the RFP but will exceed those expectations. Grau & Associates fully understands the scope of professional services and work products requested. Our audit will follow the Auditing Standards of the AICPA, Generally Accepted Government Auditing Standards, issued by the Comptroller General of the United States, and the Rules of the Auditor General of the State of Florida and any other applicable Federal, State of Local regulations. We will deliver our reports in accordance with your requirements.

Proposed segmentation of the engagement
Our approach to the audit engagement is a risk-based approach which integrates the best of traditional auditing techniques and a total systems concept to enable the team to conduct a more efficient and effective audit. The audit will be conducted in three phases, which are as follows:

PHASE I:
Preliminary Planning

PHASE II:
Execution of the Audit Plan

PHASE III:
Completion and Delivery

Phase I - Preliminary Planning
A thorough understanding of your organization, service objectives and operating environment is essential for the development of an audit plan and for an efficient, cost-effective audit. During this phase, we will meet with appropriate personnel to obtain and document our understanding of your operations and service objectives and, at the same time, give you the opportunity to express your expectations with respect to the services that we will provide. Our work effort will be coordinated so that there will be minimal disruption to your staff.

During this phase we will perform the following activities:
» Review the regulatory, statutory and compliance requirements. This will include a review of applicable federal and state statutes, resolutions, bond documents, contracts, and other agreements;
» Read minutes of meetings;
» Review major sources of information such as budgets, organization charts, procedures, manuals, financial systems, and management information systems;
» Obtain an understanding of fraud detection and prevention systems;
» Obtain and document an understanding of internal control, including knowledge about the design of relevant policies, procedures, and records, and whether they have been placed in operation;
» Assess risk and determine what controls we are to rely upon and what tests we are going to perform and perform test of controls;
» Develop audit programs to incorporate the consideration of financial statement assertions, specific audit objectives, and appropriate audit procedures to achieve the specified objectives;
» Discuss and resolve any accounting, auditing and reporting matters which have been identified.

Phase II – Execution of Audit Plan
The audit team will complete a major portion of transaction testing and audit requirements during this phase. The procedures performed during this period will enable us to identify any matter that may impact the completion of our work or require the attention of management. Tasks to be performed in Phase II include, but are not limited to the following:
» Apply analytical procedures to further assist in the determination of the nature, timing, and extent of auditing procedures used to obtain evidential matter for specific account balances or classes of transactions;
» Perform tests of account balances and transactions through sampling, vouching, confirmation and other analytical procedures; and
» Perform tests of compliance.
Phase III - Completion and Delivery

In this phase of the audit, we will complete the tasks related to year-end balances and financial reporting. All reports will be reviewed with management before issuance, and the partners will be available to meet and discuss our report and address any questions. Tasks to be performed in Phase III include, but are not limited to the following:

» Perform final analytical procedures;
» Review information and make inquiries for subsequent events; and
» Meeting with Management to discuss preparation of draft financial statements and any potential findings or recommendations.

You should expect more from your accounting firm than a signature in your annual financial report. Our concept of truly responsive professional service emphasizes taking an active interest in the issues of concern to our clients and serving as an effective resource in dealing with those issues. In following this approach, we not only audit financial information with hindsight but also consider the foresight you apply in managing operations.

Application of this approach in developing our management letter is particularly important given the increasing financial pressures and public scrutiny facing today’s public officials. We will prepare the management letter at the completion of our final procedures.

In preparing this management letter, we will initially review any draft comments or recommendations with management. In addition, we will take necessary steps to ensure that matters are communicated to those charged with governance.

In addition to communicating any recommendations, we will also communicate the following, if any:

» Significant audit adjustments;
» Significant deficiencies or material weaknesses;
» Disagreements with management; and
» Difficulties encountered in performing the audit.

Is the recommendation cost effective?

Is the recommendation the simplest to effectuate in order to correct a problem?

Is the recommendation at the heart of the problem and not just correcting a symptomatic matter?

Is the corrective action taking into account why the deficiency occurred?

Our findings will contain a statement of condition describing the situation and the area that needs strengthening, what should be corrected and why. Our suggestions will withstand the basic tests of corrective action:

To assure full agreement with facts and circumstances, we will fully discuss each item with Management prior to the final exit conference. This policy means there will be no “surprises” in the management letter and fosters a professional, cooperative atmosphere.

Communications
We emphasize a continuous, year-round dialogue between the District and our management team. We regularly communicate through personal telephone calls and electronic mail throughout the audit and on a regular basis.
Our clients have the ability to transmit information to us on our secure client portal with the ability to assign different staff with separate log on and viewing capability. This further facilitates efficiency as all assigned users receive electronic mail notification as soon as new information has been posted into the portal.

Cost of Services

Our proposed all-inclusive fees for the financial audit for the fiscal years ended September 30, 2023-2027 are as follows:

  Year Ended September 30,			Fee		
2023	$3,200	
2024	$3,300	
2025	$3,400	
2026	$3,500	
2027	$3,600	
TOTAL (2023-2027)	$17,000	

The above fees are based on the assumption that the District maintains its current level of operations. Should conditions change or additional Bonds are issued the fees would be adjusted accordingly upon approval from all parties concerned.

Supplemental Information

PARTIAL LIST OF CLIENTS

	Governmental Audit	Single Audit	Utility Audit	
Current Client	
Year End	
Boca Raton Airport Authority					9/30	
Captain's Key Dependent District					9/30	
Central Broward Water Control District					9/30	
Collier Mosquito Control District					9/30	
Coquina Water Control District					9/30	
East Central Regional Wastewater Treatment Facility					9/30	
Florida Green Finance Authority					9/30	
Greater Boca Raton Beach and Park District					9/30	
Greater Naples Fire Control and Rescue District					9/30	
Green Corridor P.A.C.E. District					9/30	
Hobe-St. Lucie Conservancy District					9/30	
Indian River Mosquito Control District					9/30	
Indian Trail Improvement District					9/30	
Key Largo Wastewater Treatment District					9/30	
Lake Padgett Estates Independent District					9/30	
Lake Worth Drainage District					9/30	
Loxahatchee Groves Water Control District					9/30	
Old Plantation Control District					9/30	
Pal Mar Water Control District					9/30	
Pinellas Park Water Management District					9/30	
Pine Tree Water Control District (Broward)					9/30	
Pinetree Water Control District (Wellington)					9/30	
Ranger Drainage District					9/30	
Renaissance Improvement District					9/30	
San Carlos Park Fire Protection and Rescue Service District					9/30	
Sanibel Fire and Rescue District					9/30	
South Central Regional Wastewater Treatment and Disposal Board					9/30	
South-Dade Venture Development District					9/30	
South Indian River Water Control District					9/30	
South Trail Fire Protection & Rescue District					9/30	
Spring Lake Improvement District					9/30	
St. Lucie West Services District					9/30	
Sunshine Water Control District					9/30	
West Villages Improvement District					9/30	
Various Community Development Districts (297)					9/30	
TOTAL	332	5	3	327		

ADDITIONAL SERVICES

CONSULTING / MANAGEMENT ADVISORY SERVICES

Grau & Associates also provide a broad range of other management consulting services. Our expertise has been consistently utilized by Governmental and Non-Profit entities throughout Florida. Examples of engagements performed are as follows:

Accounting systems	 Fixed asset records
Development of budgets	 Cost reimbursement
Organizational structures	 Indirect cost allocation
Financing alternatives	 Grant administration and compliance
IT Auditing

ARBITRAGE

The federal government has imposed complex rules to restrict the use	Current

of tax-exempt financing. Their principal purpose is to eliminate any

73 Arbitrage

significant arbitrage incentives in a tax-exempt issue. We have	Calculations determined the applicability of these requirements and performed the
rebate calculations for more than 150 bond issues, including both fixed and variable rate bonds.

We look forward to providing Sunny Hills Units 12-15 Dependent District with our resources and experience to accomplish not only those minimum requirements set forth in your Request for Proposal, but to exceed those expectations!

For even more information on Grau & Associates please visit us on www.graucpa.com.

Ranking of Auditing Services Proposals
(provided under separate cover)

Board of Supervisors’ Meeting

Minutes of the December 20, 2022 Board of Supervisors’ Meeting

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
Board of Supervisors’ Meeting Tuesday, December 20, 2022 Sunny Hills Community Center 4083 Challenger Blvd
Sunny Hills, FL 32428
12:30 p.m. CST / 1:30 p.m. EST

Present and constituting a quorum:

Rob Adams	Board Member

Also present were:			
Jennifer Walden	PFM		
Amanda Lane	PFM	(via phone)	
Tucker Mackie	Kutak Rock		
Ryan Dugan	Kutak Rock	(via phone)	
Sharon Hummerhielm	Deltona Corporation		
Alice Edwards	Deltona Corporation		
Jessica Hawkins	Deltona Corporation		
Steve Helis	MSBU Coordinator		
Gary Hartman	Public		

FIRST ORDER OF BUSINESS	Call to Order and Roll Call

The Sunny Hills Units 12-15 Dependent District Board of Supervisors’ Meeting was called to order at approximately 12:30 p.m. CST / 1:30 p.m. EST and the roll was called. The persons in attendance are outlined above. Ms. Walden noted that she received resignations from Chris Wilson and Larry Kaufmann prior to the start of the meeting so today’s quorum is Mr. Rob Adams.

SECOND ORDER OF BUSINESS	Public Comment Period

Ms. Walden noted there were no public comments.

Results	of	the	Landowner’s Election

Ms. Walden stated the Resolution states that Mr. Rob Adams was elected to Seat 3 with 6,411 votes and will serve a 3-year long term.

On Motion by Mr. Adams, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2023-01, Canvassing and Certifying the Results of the Landowner’s Election.

FOURTH ORDER OF BUSINESS	Presentation	of	Supervisor	
	Resignations			
Ms. Walden addressed this at the start of the meeting.			

FIFTH ORDER OF BUSINESS	Consideration of Appointments to Vacant Board Seats

Ms. Walden asked for nominations to fill vacant Seat 1 with a term expiring November 2023.

On Motion by Mr. Adams, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District appointed Ms. Jessica Hawkins to Seat 1.

Ms. Walden asked for nominations to fill vacant Seat 2 with a term expiring November 2024.

On Motion by Mr. Adams, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District appointed Ms. Alice Edwards to the Seat 2.

SIXTH ORDER OF BUSINESS	Swearing	in	Newly	Appointed Supervisors

Ms. Walden administered the Oath of Office to Ms. Hawkins and Ms. Edwards.

On Motion by Ms. Hawkins, second by Ms. Edwards, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District accepted the resignation of Mr. Adams.

Ms. Hawkins nominated Ms. Sharon Hummerhielm for the vacant Seat 3 with a term expiring November 2025.

On Motion by Ms. Hawkins, second by Ms. Edwards, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the appointment of Ms. Sharon Hummerhielm to the vacant Board of Supervisors Seat 3.

Ms. Walden administered the Oath of Office to Ms. Hummerhielm.

SEVENTH ORDER OF BUSINESS	Overview of the Florida “Government in the Sunshine” Regulations and Other Board Member Responsibilities
Statement of Financial Interest,
Form 1
Board Member Compensation

Ms. Walden reviewed the “Government in the Sunshine” Regulations for the new Board Members including emails and social media. She recommended keeping a separate email folder for District business in case of a public records request. She reminded the Board will need to fill out and complete Form 1 and submit it to the Supervisor of Elections in the county they reside. All members of the Board decided to waive compensation for Board meetings.

EIGHTH ORDER OF BUSINESS	Consideration of Resolution 2023- 02, Appointing District Officers

Ms. Walden noted that new District officers need to be appointed since there is a new Board. She recommended keeping those with District staff in their current positions so that business items could continue to be handled.

On Motion by Ms. Hummerhielm, second by Ms. Edwards, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved Resolution 2023-02, Appointing District Officers as follows: Ms. Sharon Hummerhielm as Chair, Ms. Alice Edwards as Vice Chair, Ms. Jennifer Walden as Secretary, Ms. Mullins and Ms. Jessica Hawkins as Assistant Secretaries, Ms. Amanda Lane as Treasurer and Ms. Jennifer Glasgow as Assistant Treasurer.

NINTH ORDER OF BUSINESS	Consideration of the Minutes of the June 24, 2022, Board of Supervisors Meeting

The Board reviewed the minutes of the June 24, 2022, Board of Supervisors Meeting.

On Motion by Ms. Hawkins, second by Ms. Edwards, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the Minutes of the June 24, 2022, Board of Supervisors Meeting.

TENTH ORDER OF BUSINESS	Consideration of the Minutes of the June 24, 2022, Auditor Selection Committee Meeting

The Board reviewed the minutes of the June 24, 2022, Auditor Selection Committee Meeting.

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the Minutes of the June 24, 2022, Auditor Selection Committee Meeting.

ELEVENTH ORDER OF BUSINESS	Consideration of the Minutes of the November 4, 2022, Landowners’ Election

The Board reviewed the minutes of the November 4, 2022, Landowners’ Election Meeting.

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District approved the Minutes of the November 4, 2022, Landowners’ Election.

TWELFTH ORDER OF BUSINESS	Ratification of Acknowledgment of Assignment of Fiscal Year 2022- 2023 Budget Funding Agreement

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified the Acknowledgment of Assignment of Fiscal Year 2022-2023 Budget Funding Agreement.

THIRTEENTH ORDER OF BUSINESS	Ratification of Acknowledgment of
Termination of Bond Financing Team Funding Agreement

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified Acknowledgment of Termination of Bond Financing Team Funding Agreement.

FOURTEENTH ORDER OF BUSINESS	Ratification of Acknowledgment of
Termination	of	Construction Funding Agreement

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified the Acknowledgment of Termination of Construction Funding Agreement.

FIFTEENTH ORDER OF BUSINESS	Ratification of Fiscal Year 2022
Audit Engagement Letter

Ms. Walden noted that the District staff has reviewed the Agreement and provided edits. She stated that the fee amounts to $4,500.00 which is under the initial budgeted amount. The agreement needs to be ratified as it was signed outside of a meeting so the Auditor could begin the necessary work.

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified the Fiscal Year 2022 Audit Engagement Letter.

SIXTEENTH ORDER OF BUSINESS	Ratification of Funding Request
Nos. 78 – 86

Ms. Walden stated that these Funding Requests have been approved and paid.

On Motion by Ms. Hummerhielm, second by Ms. Hawkins, with all in favor, the Board of Supervisors for the Sunny Hills Units 12-15 Dependent District ratified Funding Request Nos. 78 – 86.

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

Ms. Walden noted that the District had expenses of $6,700.00 versus a budget of $39,700.00, making the District well under budget through the month of November. No action is required by the Board.

EIGHTEENTH ORDER OF BUSINESS	Staff Reports

Attorney – Ms. Mackie stated that her office will be sending over a new Supervisor notebook electronically. If there are any questions on items in the documents, please reach out to her. She also mentioned that her firm will be monitoring legislation that may impact the District and will be providing a weekly update via a newsletter.

Manager – Ms. Walden noted that the Form 1 will need to be submitted within 30 days and some counties do accept an electronic copy.

NINETEENTH ORDER OF BUSINESS	Supervisor’s	Requests	and/or	
	Audience Comments		
No comments.		

TWENTIETH ORDER OF BUSINESS	Adjournment

As there was no further business, Ms. Walden asked for a motion to adjourn.

On MOTION by Ms. Hawkins, seconded by Ms. Edwards, with all in favor, the December 20, 2022 Sunny Hills Units 12-15 Dependent District Board Meeting was adjourned.

Secretary/Assistant Secretary	Chairperson/Vice-Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Letter from Supervisor of Election – Washington County

From:	Wendy Mayo
To:	Jennifer Walden
Cc:	Carol Rudd
Subject:	Sunny Hills Units 12-15 Dependent District
Date:	Tuesday, April 18, 2023 10:23:56 AM

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

Good morning Jennifer,

We received your correspondence yesterday concerning registered voters in the Sunny Hills Units 12-15 Dependent District. Be advised that there is none.

Please let me know if you have any other questions or need anything else.

Wendy Mayo
Assistant Supervisor of Elections Washington County
1424 Jackson Avenue, Suite C Chipley, FL 32428
(850) 638-6230 Office
(850) 397-4564 Fax
wmayo@wcsoe.gov

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Resolution 2023-03, Approving an Annual Budget for the
District’s 2023-2024 Fiscal Year

RESOLUTION 2023-03

A RESOLUTION OF THE SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT APPROVING THE DISTRICT’S PROPOSED BUDGET FOR FISCAL YEAR 2023/2024 AND TRANSMITTING SAID BUDGET TO WASHINGTON COUNTY FOR ADOPTION.

WHEREAS, the District Manager has prepared the proposed budget for Fiscal Year 2023/2024, 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 2023/2024 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     DAY OF 	 2023.

ATTEST:	SUNNY HILLS UNITS 12-15
DEPENDENT DISTRICT

By:	
Secretary	Its:	

EXHIBIT A:	Fiscal Year 2023/2024 Proposed Budget

4896-0854-4861.1

Sunny Hills Unit 12-15 Depen. District
Proposed FY 2024 Budget

Year To Date

Actual to 03/31/2023		Anticipated to 09/30/2023	Anticipated Total at 09/30/2023	FY 2023
Adopted Budget	FY 2024
Proposed Budget	

Revenues														
Developer Contributions	$ 11,419.97		$ 24,259.99	$ 35,679.96	$  39,440.00	$ 39,815.00	
Net Revenues	$ 11,419.97		$ 24,259.99	
$ 35,679.96	
$  39,440.00	$ 39,815.00	
General & Administrative Expenses														
Supervisor Fees	$	-		$	200.00	$	200.00	$	200.00		$	-	
Public Officials' Liability Insurance	3,587.00		-	3,587.00	3,800.00			4,125.00	
Management	4,758.05		5,241.95	10,000.00	10,000.00	10,000.00	
Engineering		-		1,000.00	1,000.00	2,000.00			2,000.00	
District Counsel	1,898.50		8,101.50	10,000.00	10,000.00	10,000.00	
Audit	4,500.00		-	4,500.00	4,750.00			5,000.00	
Travel and Per Diem		-		2,500.00	2,500.00	2,500.00			2,500.00	
Telephone		-		12.50			12.50			25.00			25.00	
Postage & Shipping		11.58		50.00			61.58			100.00			100.00	
Copies		-		25.00			25.00			50.00			50.00	
Legal Advertising		82.00		82.00			164.00	1,250.00			1,250.00	
Miscellaneous		-		197.50			197.50			395.00			395.00	
Office Supplies		-		87.50			87.50			175.00			175.00	
Web Site Maintenance		740.00		1,780.00	2,520.00	2,520.00			2,520.00	
Dues, Licenses, and Fees		200.00		-			200.00			175.00			175.00	
Total General & Administrative Expenses	$ 15,777.13		$ 19,277.95	$ 35,055.08	$  37,940.00	$ 38,315.00	
Capital Project Fund														
District Counsel	$	-		$	416.65	$	416.65	$	1,000.00	$	1,000.00	
Contingency		-		208.40	$	208.40			500.00		$	500.00	
Total Capital Project Fund	$	-		$	625.05	
$	625.05	$	1,500.00	$	1,500.00	
Total Expenses	 $ 15,777.13 		 $ 19,903.00 	 $ 35,680.13 	 $  39,440.00 	 $ 39,815.00 	
Income (Loss) from Operations	$ (4,357.16)		$  4,356.99		$	(0.17)		$	-		$	-	
Other Income (Expense)														
Interest Income	$	0.17		$	-	$	0.17		$	-		$	-	
Total Other Income (Expense)	$	0.17		$	-	
$	0.17		$	-		$	-	
Net Income (Loss)	$ (4,356.99)		$  4,356.99		$	-		$	-		$	-	

Page 1 of 1

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Fiscal Year 2023-2024 Funding Agreement

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT FISCAL YEAR 2023/2024 FUNDING AGREEMENT

This agreement (“Agreement”) is made and entered into this   day of 	, 2023, 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

The Deltona Corporation, a Delaware corporation, whose address of 8014 SW 135th Street Road, Ocala, Florida 34473 (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, 2023 and ending September 30, 2024 (“Fiscal Year 2023/2024 Budget”) and transmitting said budget to the County for final adoption; and

WHEREAS, the Fiscal Year 2023/2024 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 2023/2024 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 2023/2024 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, 2023.

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: 	

The Deltona Corporation, a Delaware corporation

Witness	By: Sharon Hummerhielm
Its: Executive Vice President

EXHIBIT A: Fiscal Year 2023/2024 Budget

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Fiscal Year 2022 Audit

Sunny Hills Units 12‐15 Dependent District
Financial Statements

September 30, 2022

Table of Contents

REPORT
Independent Auditors’ Report ........................................................................................	1
FINANCIAL STATEMENTS
Management’s Discussion and Analysis (required supplemental information) .............	4
Basic Financial Statements Government‐Wide Financial Statements
Statement of Net Position ........................................................................................	8
Statement of Activities .............................................................................................	9
Fund Financial Statements
Balance Sheet – Governmental Funds ......................................................................	10
Reconciliation of the Balance Sheet of Governmental Funds to the Statement
of Net Position ..........................................................................................................	11
Statement of Revenue, Expenditures and Changes in Fund Balances –
Governmental Funds ................................................................................................	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

Opinions

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, 2022, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.

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 Sunny Hills Units 12‐15 Dependent District as of September 30, 2022, 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.

Basis for Opinions

We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Sunny Hills Units 12‐15 Dependent District, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.

Responsibilities of Management 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, and for 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.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.

Auditors’ Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with generally accepted auditing standards and Government Auditing Standards, we:

Exercise professional judgment and maintain professional skepticism throughout the audit.
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.

Obtain an understanding of internal control relevant to the audit 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 District’s internal control. Accordingly, no such opinion is expressed.

Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.

Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control‐related matters that we identified during the audit.

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 on pages 4 ‐ 7 and 19 be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the
‐ 2 ‐

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 6, 2023, 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 6, 2023

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, 2022. Please read it in conjunction with the District’s financial statements, which begin on page 8.

FINANCIAL HIGHLIGHTS

At September 30, 2022, the assets of the District exceed its liabilities by approximately $1.8 million.

As of September 30, 2022, 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 8 – 9 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 10. 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 5. 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.

Reporting the District’s Most Significant Funds

Our analysis of the District’s major funds begins on page 6. The fund financial statements begin on page 10 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	2022	2021	Change

$	5,643	$	3,074	$	2,569
1,770,313	1,770,313	‐	

Total assets	
$	1,775,956	$	1,773,387	$	2,569	

Liabilities							
Current liabilities	$	4,046	$	2,011	$	2,035	
Total liabilities		4,046		2,011		2,035	

Net position							
Net investment in capital assets		1,770,313		1,770,313		‐	
Unrestricted		1,597		1,063		534	
Total net position		1,771,910		1,771,376		534	

Total liabilities and net position	
$	
1,775,956	
$	
1,773,387	
$	
2,569	

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

During the fiscal year ended September 30, 2022, total assets and liabilities increased from the prior year by approximately $2,600 and $2,000, respectively. The variances in assets and liabilities are primarily due to timing of developer contributions and vendor payments.

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

For the year ended September 30,
Revenue:
Program revenue:
Grants and contributions	2022	2021

$	24,049	$	24,332	

$	Change

(283)	

Total revenue	
24,049	
24,332		
(283)	

Expenses:
General government	

23,515	

24,332		

(817)	
Total expenses	23,515	24,332		(817)	

Change in net position	
534	
‐		
534	
Net position, beginning of year	1,771,376	1,771,376		‐	

Net position, end of year	
$	1,771,910	$	1,771,376	
$	
534	

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

Total revenue remained consistent with the prior fiscal year while expenses decreased by approximately
$800 from the prior year. The decrease in expenses is primarily due to a decrease in the District’s travel and legal advertising fees. The overall result has a change of $534 in net position for fiscal year 2022.

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 $1,597, which is an increase from last year’s fund balance surplus that totaled $1,063. Significant transactions are discussed below.

During the fiscal year ended September 30, 2022, the Developer contributed approximately
$24,000 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.

The District experienced an unfavorable variance in revenue and a favorable variance in expenditures as compared to the budget in the amount of approximately $14,000 and $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, 2022, 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,	2022	2021		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 2023, 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,	2022

Governmental Activities
Assets
Cash and cash equivalents	$	761
Due from developer	4,882
Capital assets:
Not being depreciated	1,770,313

Total assets	1,775,956

Liabilities
Accounts payable	4,046

Total liabilities	4,046

Net position
Net investment in capital assets	1,770,313
Unrestricted	1,597

Total net position	$	1,771,910	

Statement of Activities

For the year ended September 30,	2022
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	$	(23,515)  $	24,049	$	534

Total governmental activities	$	(23,515)  $	24,049	534

Change in net position	534

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

 Net position ‐ end of the year	$	1,771,910 

Balance Sheet – Governmental Funds
September 30,	2022
General Fund
Assets
Cash and cash equivalents Due from developer	
$	
761
4,882	

Total assets	
$	
5,643	

Liabilities and fund balance
Liabilities  Accounts payable
Total liabilities	

$	

4,046
4,046	

Fund balance Unassigned
Total fund balance		

1,597
1,597	

Total liabilities and fund balance	
$	
5,643	

Reconciliation of the Balance Sheet of Governmental Funds to the Statement of
Net Position
September 30,	2022
Total fund balance, governmental funds	
$	
1,597	
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	

$	

1,771,910	

Statement of Revenue, Expenditures and Changes in Fund Balances –
Governmental Funds
For the year ended September 30,	2022
General Fund
Revenue
Developer contributions
Total revenue	
$	
24,049
24,049	

Expenditures
Current:
General government Total expenditures		

23,515
23,515	

Excess of revenue over expenditures		
534	
Fund balance, beginning of year		1,063	

Fund balance, end of year	
$	
1,597	

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, 2022, 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. As of September 30, 2022, the majority of the Board of Supervisors were 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.

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, 2022, 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, 2022, 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.

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.

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, 2022.

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, 2022.

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, 2022, 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.

Subsequent Events

Management has evaluated subsequent events through the date that the financial statements were available to be issued, March 6, 2023. See Note 4 for relevant disclosure. No subsequent events occurring after this date have been evaluated for inclusion in these financial statements.

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, 2022:

	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.

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, the loss of which could have a materially adverse effect on the District’s operations. At September 30, 2022, the initial Developer, Spring Ridge Development, LLC owned a majority of the assessable property located within the District’s boundaries. Subsequent to fiscal year‐end, the initial Developer sold all assessable property located within the District’s boundaries to the Deltona Corporation.

The initial Developer 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, 2022 totaled $24,049. A total of $4,882 is recorded as Due from developer on the accompanying Statement of Net Position and Balance Sheet – Governmental Funds. The Deltona Corporation has agreed to fund the General Fund operations of the District for fiscal year 2023.

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)

Budget to Actual Comparison Schedule – General Fund

For the year ended September 30,	2022	
	Original and		Variance with	
	Final Budget	Actual Amounts	Final Budget	
Revenue		
Developer contributions	$	38,500	$	24,049	$	(14,451)	
Total revenue	38,500	24,049	(14,451)	

Expenditures		
General government	37,000	23,515	13,485	
Total expenditures	37,000	23,515	13,485	

Excess of revenue over expenditures	
$	1,500	
$	534	
$	(966)	

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, 2022, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements, and have issued our report dated March 6, 2023.

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 6, 2023

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, 2022, and have issued our report thereon dated March 6, 2023.

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 6, 2023, 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.

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 did not note any special district component units that failed to provide 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.

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 6, 2023

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, 2022. 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, 2022.

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 6, 2023

Auditor Selection Committee Rankings & Selection of Auditor
(provided under separate cover)

Funding Request Nos. 87 – 9191

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
3501 Quadrangle Blvd., Suite 270, Orlando, FL 32817
(407) 723-5900

Funding Request 87
1/15/2023

Item
No.	Payee	Invoice
Number	FY 2023
Amount	

1	
Neves Media Publishing
Legal Ad Dec 2023	

2022-63314	

$	82.00	
2	PFM Group Consulting LLC
OM fees Jan 2023	
DM-01-2023-46	
$	833.33	
	Postage Nov 2022	OE-EXP-12-2022-24	$	1.71	
	Postage Dec 2022	OE-EXP-01-2023-26	$	4.56	
			$	921.60	
		TOTAL	$	921.60	

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S\\	c;A) \-\u M lY) 'iZe ,£Lt.\.
Secretary/Assistant Secretary	Chairperson

SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT
3501 Quadrangle Blvd., Suite 270, Orlando, FL 32817
(407) 723-5900

Funding Request 88

2/4/2023		
Item	Payee	Invoice	FY 2023	
No.		Number	Amount	

1	
Carr Riggs & Ingram			
	Initial Billing Audit 2022	17511550	$2,500.00	
2	Kutak Rock LLP
General Counsel	
3170034	
$	87.00	
3	VGlobalTech
Website maintenance Jan 2023	
4655	
$	110.00	
		TOTAL	$2,697.00	

Secretary/Assistant Secretary	Chairperson

Funding Request 89

04/25/2023		
Item No.	Payee	Invoice Number	
FY 2023
Amount	

1	
Carr Riggs & Ingram
Second Billing Audit 2022	

17533208	

$1,500.00	
Final Billing Audit 2022	17555858	$	500.00	

2	PFM Group Consulting LLC
Postage Jan 2023
Postage Feb 2023 OM fees Feb 2023 OM fees Mar 2023

3	Kutak Rock LLP
General Counsel

Secretary/Assistant Secretary

OE-EXP-02-2023-45	$	2.40
OE-EXP-03-2023-26	$	1.20
OM-02-2023-46	$	833.33
OM-03-2023-46	$	833.33
3194643	$	569.50
TOTAL	$4,239.76

Chairperson

Funding Request 90
5/31/2023

Item No.		. Payee	Invoice Number	FY 2023
Amount	
1	
Kutak Rock LLP
General Counsel		

3210415	
$	237.50	
	General Counsel		3225505	$	159.00	

2	PFM Group Consulting LLC
Billable Expenses	124942	$	168.10	
Postage Mar 2023	OE-EXP-04-2023-23	$	1.80	
OM fees Apr 2023	OM-04-2023-4 7	$	833.33	
OM fees May 2023	OM-05-2023-4 7	$	833.33	

TOTAL

$2,233.06

 	
District Manager/Assistant District Manager	Chairperson
-:S RD0	l-'L>t'<\IYl e ..\tELP--..

Item
No.	Payee	Invoice
Number	FY 2023
Amount	

1	
Kutak Rock LLP
General Counsel	

3182157	
$	251.50	
2	PFM Group Consulting LLC			
	DM fees June 2023	DM-06-2023-48	$	833.33	
	Postage Apr 2023	OE-EXP-05-2023-47	$	0.60	
	Postage May 2023	OE-EXP-06-2023-39	$	1.80	
3	VGlobalTech			
	Website maintenance Feb 2023	4750	$	110.00	
	Website maintenance Mar 2023	4820	$	110.00	
	Quarterly Audit	4891	$	300.00	
	Website maintenance Apr 2023	4943	$	110.00	
	Website maintenance May 2023	5021	$	110.00	
	Website maintenance June 2023	5085	$	110.00	
		TOTAL	$2,047.23	

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District Manager/Assistant District Manager	Chairperson
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SUNNY HILLS UNITS 12-15 DEPENDENT DISTRICT

Sunny Hills Unit 12-15 Depen. District	
Statement of Financial Position			
As of 5/31/2023			

General Fund	

Assets			
Current Assets			
General Checking Account	$	980.48	
Accounts Receivable - Due from Developer		2,233.06	
Total Current Assets	$	3,213.54	
Total Assets	$	3,213.54	

Liabilities and Net Assets			
Current Liabilities			
Accounts Payable	$	2,233.06	
Deferred Revenue		2,233.06	
Total Current Liabilities	$	4,466.12	
Total Liabilities	$	4,466.12	

Net Assets			
Net Assets, Unrestricted	$	(4,537.99)	
Net Assets - General Government		5,635.60	
Current Year Net Assets - General Government		(2,350.19)	
Total Net Assets	$	(1,252.58)	
			
Total Liabilities and Net Assets	$	3,213.54	

Sunny Hills Unit 12-15 Depen. District	
Statement of Activities			
As of 5/31/2023			
		
General	
		Fund	
Revenues			
Developer Contributions	$	15,659.73	
Total Revenues	$	15,659.73	
Expenses			
Public Officials' Liability Insurance	$	3,587.00	
Management		6,424.71	
District Counsel		2,295.00	
Audit		4,500.00	
Postage & Shipping		13.38	
Legal Advertising		250.10	
Web Site Maintenance		740.00	
Dues, Licenses, and Fees		200.00	
Total Expenses	$	18,010.19	
Other Revenues (Expenses) & Gains (Losses)			
Interest Income	$	0.27	
Total Other Revenues (Expenses) & Gains (Losses)	$	0.27	
Change In Net Assets	$	(2,350.19)	

Net Assets At Beginning Of Year	
$	
1,097.61	

Net Assets At End Of Year	
$	
(1,252.58)	

Sunny Hills Unit 12-15 Depen. District
Budget to Actual
For the Month Ending 5/31/2023

Year To Date	
		
Actual	
Budget	
Variance	FY 2023 Adopted Budget	

Revenues												
Developer Contributions	$ 15,659.73	$ 26,293.36	$ (10,633.63)	$	39,440.00	
Net Revenues	$ 15,659.73	
$ 26,293.36	
$ (10,633.63)	
$	39,440.00	
General & Administrative Expenses												
Supervisor Fees	$	-	$	133.36	$	(133.36)	$	200.00	
Public Officials' Liability Insurance		3,587.00	2,533.36			1,053.64			3,800.00	
Management		6,424.71	6,666.64			(241.93)	10,000.00	
Engineering		-	1,333.36			(1,333.36)			2,000.00	
District Counsel		2,295.00	6,666.64			(4,371.64)	10,000.00	
Audit		4,500.00	3,166.64			1,333.36			4,750.00	
Travel and Per Diem		-	1,666.64			(1,666.64)			2,500.00	
Telephone		-			16.64			(16.64)			25.00	
Postage & Shipping		13.38			66.64			(53.26)			100.00	
Copies		-			33.36			(33.36)			50.00	
Legal Advertising		250.10			833.36			(583.26)			1,250.00	
Miscellaneous		-			263.36			(263.36)			395.00	
Office Supplies		-			116.64			(116.64)			175.00	
Web Site Maintenance		740.00	1,680.00			(940.00)			2,520.00	
Dues, Licenses, and Fees		200.00			116.64			83.36			175.00	
Total General & Administrative Expenses	$ 18,010.19	$ 25,293.28	$	(7,283.09)	$	37,940.00	
Capital Project												
District Counsel	$	-	$	666.64	$	(666.64)	$	1,000.00	
Contingency		-			333.44			(333.44)			500.00	
Total Capital Project	$	-	$	1,000.08	$	(1,000.08)	$	1,500.00	
Total Expenses	 $ 18,010.19 	 $ 26,293.36 	 $	(8,283.17)	 $	39,440.00 	
Income (Loss) from Operations	$	(2,350.46)		$	-		$	(2,350.46)		$	-	
Other Income (Expense)												
Interest Income	$	0.27	$	-	$	0.27		$	-	
Total Other Income (Expense)	$	0.27	 	
$	-	$	0.27		$	-	
Net Income (Loss)	$	(2,350.19)		$	-		$	(2,350.19)		$	-