Title: Heritage Springs CDD FY24 Proposed Budget
Author: Sherman Glass
Company: Jet Reports

HERITAGE SPRINGS
Community Development District

Annual Operating and Debt Service Budget
Fiscal Year 2024

Version 5.2 - Approved Budget:
(Approved 5/13/23)

Prepared by:

HERITAGE SPRINGS

Community Development District

Table of Contents

OPERATING BUDGET
General Fund

Summary of Revenues, Expenditures and Changes in Fund Balances …………………………….. Budget Narrative …………………………………………………………………………………………… Exhibit A - Allocation of Fund Balances ………………………………………………………………….

Page # 

1

2-4

5

DEBT SERVICE BUDGET
Series 2006

Summary of Revenues, Expenditures and Changes in Fund Balances …………………………….. Amortization Schedule ……………………………………………………………………………………..

6

7

SUPPORTING BUDGET SCHEDULE

2024 vs 2023 Non-Ad Valorem Assessment Summary

……………………………………………………

8

Heritage Springs
Community Development District

Operating Budget
Fiscal Year 2024

HERITAGE SPRINGS

Community Development District	General Fund
Summary of Revenues, Expenditures and Changes in Fund Balances
Fiscal Year 2024 Approved Budget

| | | ADOPTED | ACTUAL | PROJECTED | TOTAL | ANNUAL
| | ACTUAL | BUDGET | THRU | | MAY - | PROJECTED | BUDGET
ACCOUNT DESCRIPTION | | FY 2022 | FY 2023 | APR-2023 | SEP-2023 | FY 2023 | FY 2024
REVENUES | | | | | | | |
Interest - Investments | | $	5,782 | $	2,000 | $	27,640 | $	2,360 | $	30,000 | $	10,000
Special Assmnts- Tax Collector | | 399,429 | 432,860 | 428,453 | | 4,407 | 432,860 | 558,883
Special Assmnts- Discounts | | (15,053) | (17,314) | (16,422) | | (892) | (17,314) | (22,355)
Other Miscellaneous Revenues | | 56 | - | - | | - | - | -
TOTAL REVENUES | | 390,214 | 417,546 | 439,671 | | 5,875 | 445,546 | 546,528
EXPENDITURES | | | | | | | |
Administrative | | | | | | | |
P/R-Board of Supervisors | | 6,800 | 9,000 | 6,800 | | 2,000 | 8,800 | 11,000
FICA Taxes | | 520 | 689 | 520 | | 153 | 673 | 842
ProfServ-Dissemination Agent | | 1,000 | 1,000 | - | | 1,000 | 1,000 | 1,000
ProfServ-Engineering | | 43,255 | 55,000 | 20,885 | | 34,115 | 55,000 | 55,000
ProfServ-Legal Services | | 5,065 | 5,000 | 2,652 | | 2,348 | 5,000 | 5,000
ProfServ-Mgmt Consulting | | 36,950 | 38,060 | 22,202 | | 15,858 | 38,060 | 38,060
ProfServ-Property Appraiser | | 150 | 150 | - | | 150 | 150 | 150
ProfServ-Special Assessment | | 7,500 | 7,500 | 7,500 | | - | 7,500 | 7,500
ProfServ-Trustee Fees | | 4,771 | 4,771 | 4,771 | | - | 4,771 | 4,771
ProfServ-Web Site Maintenance | | 187 | 750 | 14 | | 736 | 750 | 750
Auditing Services | | 5,800 | 5,800 | 5,800 | | - | 5,800 | 5,800
Postage and Freight | | 1,653 | 400 | 102 | | 298 | 400 | 400
Insurance - General Liability | | 5,420 | 5,963 | 5,959 | | - | 5,959 | 6,555
Printing and Binding | | 366 | 600 | 217 | | 383 | 600 | 600
Legal Advertising | | 1,520 | 1,500 | 209 | | 1,291 | 1,500 | 1,500
Miscellaneous Services | | - | 500 | - | | 500 | 500 | 500
Misc-Assessment Collection Cost | | 6,232 | 8,657 | 8,241 | | 88 | 8,329 | 11,178
Office Supplies | | 450 | 525 | 330 | | 195 | 525 | 525
Annual District Filing Fee | | 175 | 175 | 175 | | - | 175 | 175
Total Administrative | | 127,814 | 146,040 | 86,377 | | 59,115 | 145,492 | 151,305
Field | | | | | | | |
Contracts-Lakes | | 43,061 | 43,176 | 24,841 | | 17,875 | 42,716 | 43,176
Electricity - Streetlights | | 48,551 | 62,000 | 26,902 | | 19,865 | 46,767 | 53,011
R&M-Aquascaping | | - | 5,000 | - | | 5,000 | 5,000 | 5,000
R&M-Ponds | | 74,964 | 106,425 | 124,859 | | - | 124,859 | -
R&M-Stormwater System | | 66,445 | 15,000 | 95,434 | | - | 95,434 | -
R&M-Strategic Pond Embankment Repairs | | - | - | - | | - | - | 166,470
Lake & Wetlands Maintenance | | - | - | - | | - | - | 56,566
Misc-Contingency | | 1,778 | 6,000 | 185 | | 5,815 | 6,000 | 6,000
Infrastructure Repair Project | | - | - | - | | - | - | 65,000
Reserve - Ponds | | - | 33,905 | - | | - | - | -
Total Field | | 234,799 | 271,506 | 272,221 | | 48,555 | 320,776 | 395,223
TOTAL EXPENDITURES | | 362,613 | 417,546 | 358,598 | | 107,670 | 466,268 | 546,528
Excess (deficiency) of revenues | | | | | | | |
Over (under) expenditures | | 27,601 | - | 81,073 | | (101,795) | (20,722) | -
Net change in fund balance | | 27,601 | - | 81,073 | | (101,795) | (20,722) | -
FUND BALANCE, BEGINNING | | 1,304,752 | 1,332,352 | 1,332,352 | | - | 1,332,352 | 1,311,630
FUND BALANCE, ENDING | | $ 1,332,352 | $ 1,332,352 | $ 1,413,425 | $ | (101,795) | $ 1,311,630 | $ 1,311,630

Annual Operating and Debt Service Budget
Fiscal Year 2024	Page 1

Heritage Springs
Community Development District	General Fund

REVENUES:

Budget Narrative
Fiscal Year 2024

Interest Income - Investments
The District earns interest on the monthly average collected balance for their operating accounts.

Special Assessments –Tax Collector
The District will levy a non-ad valorem special assessment on all platted lots within Heritage Springs Community Development District in order to pay operating and maintenance expenses for the Fiscal Year.

Special Assessment – Discount
Per Section 197.162, Florida Statutes, discounts are allowed for early payment of assessments. The budgeted amount for the fiscal year is calculated at 4% of the anticipated Non-Ad Valorem assessments.

EXPENDITURES:
Administrative:
P/R- Board of Supervisors & FICA Taxes
Chapter 190 of the Florida Statutes allows for a member of the Board of Supervisors to be compensated
$200 per meeting, not to exceed $4,800 per year per supervisor.

Profserv-Dissemination Agent
The District is required by the Security and Exchange Commission to comply with Rule 15c2-12(b) (5), which relates to additional reporting requirements for unrelated bond issues. The District has contracted for this service and the amount is based on the contracted amount.

Profserv - Engineering
The District's engineer will be providing general engineering services to the District, i.e. attendance and preparation for monthly board meetings, review invoices, etc.

Profserv – Legal Services
The District's legal counsel will be providing general legal services to the District, i.e. attendance and preparation for monthly meetings, review operating & maintenance contracts, etc.

Profserv - Management Consulting Services
The District receives management, accounting and administrative services as part of a Management Agreement with Inframark.

Profserv - Property Appraiser
The District contracts with the Pasco County Property Appraiser for the purpose of placing the District’s non-ad valorem tax assessments on the Notice of Proposed Property Taxes, thereby allowing the Tax Collector to collect such assessments. The District will fund the Property Appraiser’s general budget in the amount of $150 for the annual inclusion of Notice of Proposed Property Taxes.

Annual Operating and Debt Service Budget Fiscal Year 2024

Page 2

Heritage Springs
Community Development District	General Fund

Budget Narrative
Fiscal Year 2024

Profserv - Special Assessment
The District has contracted with Inframark to prepare the assessment roll for the District. This includes collection of prepaid assessments, maintaining the assessment roll and annually levying a non- ad valorem assessment for operating and debt service expenses.

 Profserv - Trustee
The District issued Series 2006 Special Assessment Bond that is deposited with a Trustee to handle all trustee matters. The annual trustee fee is based on standard fees charged plus any out of pockets expenses.

Profserv – Web Site Maintenance
The cost of web hosting services and regular maintenance of the District’s website performed by Inframark.

Auditing Services
The District is required annually to conduct an audit of its financial records by an Independent Certified Public Accounting Firm. The budget is based on the current engagement fee with Grau & Associates CPA.

Postage & Freight
Represents the cost of mailing agenda packages, overnight deliveries, correspondence, etc.

Insurance – General Liability
The District's General Liability & Public Officials Liability Insurance policy is with The Florida League of Cities, Inc. The Florida League of Cities, Inc. specializes in providing insurance coverage to governmental agencies. A 10% increase is projected for FY24.

Printing & Binding
Printing and Binding agenda packages for board meetings, printing of computerized checks, etc.

Legal Advertising
The District is required to advertise various notices for monthly board meetings, public hearings etc in a newspaper of general circulation.

Miscellaneous Services
Bank charges and any other miscellaneous expenses that arise during the year.

Misc. Assessment Collection Fee
The District reimburses the Pasco County Tax Collector for necessary administrative costs. Per the Florida Statutes, administrative costs shall include, but not be limited to, those costs associated with personnel, forms, supplies, data processing, computer equipment, postage, and programming. The District also compensates the Tax Collector for the actual cost of collection or 2% on the amount of special assessments collected and remitted, whichever is greater. The budget for collection costs was based on a maximum of 2% of the anticipated assessment collections.

Office Supplies
Miscellaneous office supplies required for the preparation of agendas.

Annual District Filing Fee
The District is required to pay an annual fee of $175 to the Department of Economic Opportunity Division of Community Development.

Annual Operating and Debt Service Budget Fiscal Year 2024

Page 3

Heritage Springs
Community Development District	General Fund

Maintenance:

Budget Narrative
Fiscal Year 2024

Contracts-Lakes
The District has contracted American EcoSystems to perform lake maintenance services within the District. The estimated cost for services is $3,575 per month.

Electricity – Streetlighting
The District incurs electrical expenses which are paid to Duke Energy.

R&M - Aquascaping
Installation and maintenance of Aquatic Plants.

R&M - Ponds
Costs associated with the maintenance and repair of ponds throughout the district.

R&M – Stormwater System
Costs associated with the maintenance and repair of storm water system throughout the district.

R&M – Strategic Pond Embankment Repairs
Costs associated with the repair of strategic pond embankments within the District.

Lake & Wetlands Maintenance
Costs associated with the maintenance of District lakes and wetlands.

Misc. - Contingency
This category is for any unexpected expenditures that the District may incur during the Fiscal Year.

Infrastructure Repair Project
This category is for the repair of the District’s Infrastructure as determined by the BOS.

Annual Operating and Debt Service Budget Fiscal Year 2024

Page 4

HERITAGE SPRINGS

Community Development District	General Fund

Exhibit "A"
Allocation of Fund Balances

AVAILABLE FUNDS

Beginning Fund Balance - Fiscal Year 2024

Net Change in Fund Balance - Fiscal Year 2024 Reserves - Fiscal Year 2024 Additions
Total Funds Available (Estimated) - 9/30/2024

ALLOCATION OF AVAILABLE FUNDS

Assigned Fund Balance
Operating Reserve

Reserves - Ponds Reserves - Ponds (FY23) Reserves - Ponds (FY24)
Subtotal

Total Allocation of Available Funds

Total Unassigned (undesignated) Cash

Amount

$ | 1,311,630 |
| - |
| - |
| 1,311,630 |
| 136,632 | (1)
| 971,453 | (2)
| 33,905 |
| - |
| 1,005,358 |
| 1,141,990 |
$ | 169,640 |

Notes
Represents approximately 3 months of operating expenditures.
This ties to motion to assign fund balance at 09/30/22

Annual Operating and Debt Service Budget
Fiscal Year 2024	_Page _5

Heritage Springs
Community Development District

Debt Service Budgets
Fiscal Year 2024

HERITAGE SPRINGS

Community Development District	Series 2006 Debt Service Fund

Summary of Revenues, Expenditures and Changes in Fund Balances
Fiscal Year 2024 Approved Budget

| | ADOPTED | ACTUAL | PROJECTED | TOTAL | ANNUAL
ACTUAL | BUDGET | THRU | MAY - | PROJECTED | BUDGET
ACCOUNT DESCRIPTION | FY 2022 | FY 2023 | APR-2023 | SEP-2023 | FY 2023 | FY 2024
REVENUES | | | | | |
Interest - Investments | $	9 | $	- | $	8 | $	- | $	8 | $	-
Special Assmnts- Tax Collector | 141,027 | 141,027 | 139,593 | 1,434 | 141,027 | 141,027
Special Assmnts- Discounts | (5,315) | (5,641) | (5,350) | (291) | (5,641) | (5,641)
TOTAL REVENUES | 135,721 | 135,386 | 134,251 | 1,143 | 135,394 | 135,386

EXPENDITURES
Administrative

Misc-Assessment Collection Cost | 2,200 | 2,821 | 2,685 | 29 | 2,714 | 2,821
Total Administrative | 2,200 | 2,821 | 2,685 | 29 | 2,714 | 2,821
Debt Service | | | | | |
Debt Retirement Series A | 95,000 | 100,000 | - | 100,000 | 100,000 | 105,000
Prepayments Series A | - | - | 5,000 | 5,000 | 10,000 | -
Interest Expense Series A | 27,563 | 22,575 | 11,288 | 11,156 | 22,444 | 16,800
Total Debt Service | 122,563 | 122,575 | 16,288 | 116,156 | 132,444 | 121,800
TOTAL EXPENDITURES | 124,763 | 125,396 | 18,973 | 116,185 | 135,158 | 124,621
Excess (deficiency) of revenues Over (under) expenditures | 10,958 | 9,990 | 115,278 | (115,042) | 236 | 10,766
OTHER FINANCING SOURCES (USES) | | | | | |
Contribution to (Use of) Fund Balance | - | 9,990 | -	-	- | 10,766
TOTAL OTHER SOURCES (USES) | - | 9,990 | -	-	- | 10,766
Net change in fund balance | 10,958 | 9,990 | 115,278 | (115,042) | 236 | 10,766
FUND BALANCE, BEGINNING | 140,666 | 151,624 | 151,624 | - | 151,624 | 151,860
FUND BALANCE, ENDING | $	151,624 | $	161,614 | $	266,902 | $ (115,042) | $	151,860 | $	162,626

Annual Operating and Debt Service Budget
Fiscal Year 2024	^Page ^6

HERITAGE SPRINGS

Community Development District

Debt Service Amortization Schedule
Series 2006A Capital Improvement Revenue Bonds

| Regular | Principal | Interest | Outstanding
Date | Principal | Prepayments | Expense | Principal
11/1/2023 | | | $8,400.00 | $320,000.00
5/1/2024 | $105,000.00 | | $8,400.00 | $215,000.00
11/1/2024 | | | $5,643.75 | $215,000.00
5/1/2025 | $110,000.00 | | $5,643.75 | $105,000.00
11/1/2025 | | | $2,756.25 | $105,000.00
5/1/2026 | $105,000.00 | | $2,756.25 | $0.00
totals | $320,000.00 | $10,000.00 | $33,600.00 |

Annual Operating and Debt Service Budget
Fiscal Year 2024	^Page ^7

Heritage Springs
Community Development District

Supporting Budget Schedules
Fiscal Year 2024

HERITAGE SPRINGS

Community Development District

Comparison of Assessment Rates Fiscal Year 2024 vs. Fiscal Year 2023

Bond | General Fund | Debt Service | Total Assessments per Unit | Units |
Series | FY 2024  FY 2023  Percent Change | FY 2024 FY 2023 Percent Change | FY 2024 FY 2023  Percent Change | On-Roll | | Prepaid Units | GF Total | DS Total
2006 | $418.01	$323.75	29.1% | $198.63 $198.63	0.0% | $616.64	$522.38	18.0% | 739 | | 29 | $308,912 | $141,027
2008 | $418.01	$323.75	29.1% | $0.00	$0.00	n/a | $418.01	$323.75	29.1% | 598 | | 0 29 | $249,972 $558,883 | $0 $141,027
| | | | 1,337 | | | |

Annual Operating and Debt Service Budget
Fiscal Year 2024	Page 8