MINUTES OF MEETING INDIGO EAST COMMUNITY DEVELOPMENT DISTRICT The regular meeting of the Board of Supervisors of the Indigo East Community Development District was held on Tuesday, August 19, 2025 at 9:00 a.m. at Circle Square Commons, 8395 SW 80th Street, Ocala, Florida. Present and constituting a quorum: John Gysen Chairman Terrance Solan Vice Chairman Bob Hutson Assistant Secretary Harold Brouillard Assistant Secretary Maria Ziino by phone Assistant Secretary Also present were: George Flint District Manager Rachel Wagoner District Counsel Andy Jorgenson OTOW Bryan Schmalz BLCDD Robert Stepp Colen Built Robert Szozda Field Manager FIRST ORDER OF BUSINESS Roll Call Mr. Flint called the meeting to order. Four members of the Board were present in person constituting a quorum. Ms. Ziino joined the meeting via phone. SECOND ORDER OF BUSINESS Public Comment Period Mr. Flint: Next is public comment period, this is an opportunity for any members of the public to provide comment to the Indigo East Board of Supervisors on anything on the agenda or not on the agenda you would like to bring to the Board’s attention. There is a public hearing for the budget adoption. If you are here for Indigo, you may have received a mailed notice. If you have comments on the budget or questions, that would be the opportunity to do that. This is the general comments section but there will be another opportunity for public input under the budget hearing if you have comments on the budget. Any general public comments? When we get to the public hearing, if you do have comments, if you would approach the microphone and state your name and address. I will remind everyone of that when we get to that point. THIRD ORDER OF BUSINESS Approval of Minutes A. May 20 2025 Board of Supervisors Meeting Mr. Flint: The next item is approval of the minutes. You have the May 20, 2025 meeting minutes and then you have the continued June 17, 2025 meeting minutes. Were there any comments or corrections on the minutes from the Board? Hearing no change, I would ask for a motion to approve the minutes. On MOTION by Mr. Hutson, seconded by Mr. Solan, with all in favor, the Minutes of the May 20, 2025 Board of Supervisors Meeting, were approved. B. June 17, 2025 Board of Supervisors Meeting On MOTION by Mr. Hutson, seconded by Mr. Solan, with all in favor, the Minutes of the June 17, 2025 Board of Supervisors Meeting, were approved. FOURTH ORDER OF BUSINESS Public Hearing Mr. Flint: That brings us to item four, which is the public hearing to consider adoption of your Fiscal Year 2026 budget and also the public hearing to impose the assessments associated with that budget. We will start with a motion to open the hearing. Is there a motion to open the public hearing? On MOTION by Mr. Gysen, seconded by Mr. Brouillard, with all in favor, Opening the Public Hearing, was approved. A. Consideration of Resolution 2025-05 Adopting the Fiscal Year 2026 Budget and Relating to the Annual Appropriations Mr. Flint: As the Board recalls, the budget adoption process is a two-step process. In the spring you approved what is called a proposed budget. You did that at your May 20th meeting. In the adoption of that budget, it allowed us to meet the statutory requirement that you approve a proposed budget by June 15th and then you continued the meeting to June 17th to revisit the proposed budget because there was some additional information that staff needed to gather that may impact the budget. You had your continued meeting on the 17th. You amended the proposed budget at that meeting and the primary purpose of the amendment to the proposed budget was the increase in electric expenses which is under operations and maintenance. That line item covers the streetlights in Indigo. So, the CDD enters into a streetlight lease with SECO who is the electric provider. SECO, going into the current fiscal year imposed almost an almost a 100% on their streetlight lease cost. So, your line item for streetlights went from $30,360 to $56,042. Otherwise, your administrative costs went from $52,076 to $53,742. Some of that was a 3% increase in district management. A lot of that was in your liability insurance line item. Your operations and maintenance expenses increased from $259,000 to $287,000 and that was all primarily due to the streetlights. We increased your transfer out to your capitol reserve from $22,608 back up to $25,000 where it had been. Over the last few years, we have had to decrease that line item slightly to balance the budget. So, your annual assessments, and this is an annual assessment amount, you received a letter about a proposed increase. The annual assessments will increase from $587, if adopted today, to $644. The increase referenced in that letter was an annual amount of $58, I believe. Is that correct? $57? So, less than $5 a month for each resident in the community. Before we open the floor to public comment, did the Board have any comments? After public comment, we will bring it back to the Board for discussion. Any discussion prior to public comments? If not, this is a public hearing, so we will open the floor. If there are any members of the public that want to provide comment to the Board, this would be the opportunity for you to do that. Resident: Frank DiPiero, (7899 SW 83rd Place) Just a question; I have been here 16 years and I don’t ever recall the annual assessments or the taxes going up. Is this the very first time for all of that? Mr. Flint: No, they have increased. I do not have the historical information here; I just have back to 2023. There has been at least one that I am aware of and that was maybe four or five years ago. Mr. DiPiero: Well, I just have to compliment you guys, because in 16 years, you know how stuff goes up up up, it’s amazing that we’ve had very minimal increases in the past 16 years. Mr. Flint: One of the largest line items is the landscape maintenance and we do bid that out every two or three years. Any other public comments? Okay we’ll close the public comment section and we’ll bring it back to the Board. There are two public hearings, the first one is dealing with adoption of your budget. You have Resolution 2025-05 and attached to that resolution is exhibit A which is the proposed budget. Are there any comments or questions on the resolution or the exhibit? Is there a motion to adopt Resolution 2025-05 the annual appropriations resolution of the Indigo East Community Development District relating to the annual appropriations and adopting the budget for Fiscal Year beginning October 1, 2025 and ending September 30, 2026 and providing an effective date? On MOTION by Mr. Solan, seconded by Mr. Gysen, with all in favor, Resolution 2025-05 Adopting the Fiscal Year 2026 Budget and Relating to the Annual Appropriations, was approved. B. Consideration of Resolution 2025-06 Imposing Special Assessments and Certifying an Assessment Roll Mr. Flint: The next resolution is Resolution 2025-06. This is technically a separate public hearing. This resolution imposes the assessments that were included in the budget that you just adopted. So, attached to this resolution are two exhibits. One is the budget you just approved and the other is the assessment roll that lists all the properties within the CDD and their assessment amounts. Are there any public comments on the assessment resolution? Hearing none, we will close public comment and bring it back to the Board. Amy comments or questions from the Board on the resolution? If not, is there a motion to approve it? On MOTION by Mr. Gysn, seconded by Mr. Brouillard, with all in favor, Resolution 2025-06 Imposing Special Assessments and Certifying an Assessment Roll, was approved. Mr. Flint: Is there a motion to close the public hearings? On MOTION by Mr. Brouillard, seconded by Mr. Hutson, with all in favor, Closing the Public Hearing, was approved. FIFTH ORDER OF BUSINESS Discussion of Preliminary Landscape Remediation Designs Mr. Flint: I put item five on here hoping we would have information for the Board to discuss regarding remediation of the landscaping. We are continuing to work on that. As the Board has had discussions about the fact, well we have had discussions regarding maintenance, and I think there has been some improvements on the performance of Yellowstone. There is still some room for improvement there, but the other issue was a lot of the landscaping is aging out over time and the desire to come up with a plan and proposals to go through and remediate the landscaping to rehab and replant. I’d like to ask the Board to allow me to continue this item until the next agenda. We have reached out through Colen Built and On Top of the World, to a vendor called Quality by Design. They have been working on some concept plans and cost proposals, but I have also reached out to Yellowstone. I have asked them to come up with some proposals and design ideas as well. Yellowstone is a very large national company. They have their own inhouse landscape designers. I’d like some additional time to get that information from Yellowstone. Is that amenable to the Board? SIXTH ORDER OF BUSINESS Surface Depression Remediation Report and Proposals A. Presentation of Geotechnical Report Mr. Flint: We will move on to item six. As one of the responsibilities that the CDD has is, you own the stormwater system within Indigo. Included with that are the dry retention areas. Periodically, we have surface depressions within the dry retention areas. We had one that was identified. We had a Geotech company come out and prepare a report to repair it. Solicited proposals from vendors. I believe we received two proposals for the repair. Florida Fine Grading was the low bid on the repair. Once Florida Fine Grading started excavating as often occurs with these things you don’t really know the situation until you start excavating and uncovering it. They started excavating and uncovering it and they found a chimney. So, we got a change order from Florida Fine Grading and also proposals for grouting the chimney. This is in the dry retention area. It wasn’t near any structures or effecting any homes. Foundation Services was engaged to actually do the grouting work and the CDD purchased the grout directly from the supplier to save the sales tax. The total cost of the repair ended up being $7,718. The report and the proposals are in your agenda. The Foundation Services proposal and the Swift Concrete proposal for the grout were per unit. There was an allowance but we didn’t know how much it was going to actually take. The final cost ended up being $7,718. We’ve included the proposals in your agenda and I am asking the Board to ratify those. Any questions on the proposals? B. Ratification of Proposal for Pond B Repairs from Florida Find Grading C. Ratification of Proposal for Additional Repairs from Florida Fine Grading D. Ratification of Proposal from Foundation Services for Grout Injection E. Ratification of Proposal from Swift Concrete for Grout On MOTION by Mr. Hutson, seconded by Mr. Gysen, with all in favor, the Surface Depression Remediation Report and Ratification of Proposals, was approved. SEVENTH ORDER OF BUSINESS Consideration of Engagement Letter for Professional Audit Services from Grau & Associates Mr. Flint: Item seven, this deals with your annual independent audit. The CDD as a government entity is required to have an annual independent audit performed. You went through a bidding process prescribed by the Board of statutes. You selected Grau & Associates as your independent auditor. They provided pricing for five years and then you enter into an annual contract each year for their services. The engagement letter that’s in your agenda is to perform the audit for Fiscal Year 2025 which is the Fiscal Year we’re in. It ends on September 30th. The fee, it's the top of page four. The fee for the services will not exceed $3,300 for the September 30, 2025 audit. I did review their proposal that is consistent with what they provided in their proposal and it’s also consistent with what we have budgeted for the services. Any questions on the engagement letter with Grau? Is there a motion to approve it? On MOTION by Mr. Gysen, seconded by Mr. Solan, with all in favor, Engagement Letter for Professional Audit Services from Grau & Associates, was approved. EIGHTH ORDER OF BUSINESS Staff Reports A. Attorney Mr. Flint: Staff reports, attorney. Ms. Wagoner? Ms. Wagoner: I have nothing additional to report at this time. B. District Manager’s Report i. Consideration of Check Register ii. Balance Sheet and Income Statement Mr. Flint: You have consideration of the check register that was included in your agenda package. Were there any questions on that? It goes from May 7th to August 5th. For the general fund are checks 1741-1754 and then the Board compensation totaling $151,905.06. Included in those checks, anywhere you see Indigo East care of USBank, that is a transfer of the debt services revenue to the trustee for the debt service payment. So, it’s not a true expense, it’s just we get the check in from the County for O&M and debt in one check and then we transfer those funds to the trustee. Any questions on the check register? Is there a motion to approve it? On MOTION by Mr. Brouillard, seconded by Mr. Gysen, with all in favor, the Check Register, was approved. Mr. Flint: We also provided you the unaudited financials through June 30, 2025. There is no action required by the Board on these. If you have any questions, we can discuss those. It includes a combined balance sheet with the general fund, debt service fund, and capitol reserve fund. Then you have statements of revenue and expenditures for each of those funds. On page two, you see the general fund. We are over 100% collected on out on roll assessments. Our actual administrative expenses are $92 over our prorated budget, so we are right in line with our budget on that. And our actual O&M expenses are under our prorated budget. Any questions on the financials? iii. District Goals & Objectives a. Presentation of Fiscal Year 2025 Authorizing Chair to Execute b. Adoption of Fiscal Year 2026 Goals & Objectives Mr. Flint: Item three under the District Manager’s report, you may recall there was a legislative change last year that requires Special Districts to adopt goals and objectives annually and report on those annually. FY 2025 was the first year that the District is required to do the goals and objectives. The first item under this is the current year FY25 Goals & Objectives. Those are required to be reported on at the end of the Fiscal Year. We are not at the end of the reporting period yet, but what we are asking for there is that the Board consider a motion delegating authority to the Chair to execute the report at the end of the fiscal year and we’ll bring it back to the Board. The goals and objectives include three main areas. The first being community communication and engagement. Under that there are three goals. The first one dealing with public meetings compliance. The second one dealing with notice of meetings compliance. And the third one dealing with access to records. Under each of those we have measurements and a standard of whether it’s been achieved or not. Item two is infrastructure and facilities maintenance. There are two goals under that. The first one being Field Management or District Management site inspections. The second one being District infrastructure and facilities inspections. That’s your annual District Engineer’s inspection. And then the third area is financial transparency and accountability. The first goal deals with your annual budget preparation and adoption. The second with the financial reports that are included in your agenda and the third with the annual financial audit. Any questions on the current year Goals & Objectives? If not, is there a motion to delegate authority to the Chair to execute the final report? On MOTION by Mr. Hutson, seconded by Mr. Brouillard, with all in favor, Accepting the Fiscal Year 2025 Goals & Objectives and Authorizing Chair to Execute, was approved. Mr. Flint: For FY 2026 which October 1st, we have included the same goals and objectives has in the current year. If there are any comments or questions on those, we can discuss that. If not I would ask for a motion to approve the Goals & Objectives for FY2026. iv. Approval of Fiscal Year 2026 Meeting Schedule On MOTION by Ms. Ziino, seconded by Mr. Gysen, with all in favor, Adoption of Fiscal Year 2026 Goals & Objectives, was approved. Mr. Flint: Each year you’re required to adopt an annual meeting schedule. In the past you have approved a schedule with meeting quarterly at 9:00 a.m. in this location. So, we have listed November 18, 2025, February 17, 2026, May 19, 2026, and August 18, 2026. You can approve this schedule or if you want to make adjustments to it we can do that as well. On MOTION by Mr. Gysen, seconded by Mr. Solan, with all in favor, the Fiscal Year 2026 Meeting Schedule, was approved. NINTH ORDER OF BUSINESS Supervisors Requests Mr. Flint: Supervisors requests, was there anything not on the agenda that the Board wanted to discuss. I wanted to remind the Board, as you remember last year, the legislature adopted a law that required special Districts’ Board members to do four hours of ethics training annually. Last year was the first year of that requirement. It is something that needs to be done every year. We provided links in the past to the Attorney General and the Commission on Ethics for free sources of those ethics’ trainings. But it is something that needs to be done by December 31st again if you haven’t done it already. It will be reported on your financial disclosure report next July. TENTH ORDER OF BUSINESS Other Business Mr. Flint: Is there any other business the Board would like to discuss? ELEVENTH ORDER OF BUSINESS Adjournment Mr. Flint: If not is there a motion to adjourn. On MOTION by Mr. Hutson, seconded by Mr. Gysen, with all in favor, the meeting was adjourned. _______________________________ ______________________________ Secretary / Assistant Secretary Chairman / Vice Chairman