PAL-MAR WATER CONTROL DISTRICT

PAL-MAR WATER CONTROL DISTRICT LANDOWNERS MEETING & REGULAR BOARD MEETING JUNE 1, 2017 10:00 A.M. Special District Services, Inc. The Oaks Center 2501A Burns Road Palm Beach Gardens, FL 33410 www.palmarwcd.org 561.630.4922 Telephone 877.SDS.4922 Toll Free 561.630.4923 Facsimile

AGENDA PAL MAR WATER CONTROL DISTRICT Martin County Commission Chambers - Administrative Center 2401 SE Monterey Road Stuart, Florida 34996 LANDOWNERS MEETING June 1, 2017 10:00 a.m. A. Call to Order B. Proof of Publication.Page 1 C. Establish Quorum D. Consider Adoption of Election Procedures..Page 5 E. Election of Chair for Landowners Meeting F. Election of Secretary for Landowners Meeting G. Approval of Minutes 1. June 2, 2016 Landowners Meeting Minutes..Page 8 H. Election of Supervisors 1. Determine Number of Voting Units Represented or Assigned by Proxy...Page 12 2. Nomination of Candidates 3. Casting of Ballots...Page 13 4. Ballot Tabulations 5. Certification of the Results I. Other Business 1. Receive Treasurer s Report...Page 14 2. Receive Engineer s Report..Page 15 3. Consider Approval of Payment for Supervisors J. Landowners Comments K. Adjourn

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1. Annual Landowner s Meeting ELECTION PROCEDURES In accordance with the provisions of Chapter 298, Florida Statutes, it is required that a meeting of the Landowners of the District to be held every year during the month of June for the purpose of electing Supervisors and hearing reports of the Board of Supervisors. The Landowners when assembled shall organize by electing a Chairperson who shall preside at the meeting with the Secretary or Assistant Secretary of the Board of Supervisors to be the Secretary of the Landowners meeting. Those Landowners present or voting by proxy shall constitute a quorum at the meeting of the Landowners. 2. Voting At each Landowners meeting, each Landowner shall be entitled to cast one vote for each and every acre, or any fraction thereof, of land owned by him or her in the District and each Landowner shall be entitled to vote either in person or by representative present with a lawful written proxy. 3. Registration for Casting of Ballots The registration process for the casting of ballots by Landowners or their representatives holding their proxies shall be as follows: (A) At the annual Landowner s meeting and prior to the commencement of the first casting of ballots for a Board of Supervisor position, each Landowner or their representative, if proxies are being submitted in lieu thereof, shall be directed to register their attendance, and the total number of votes by acreage to which each claims to be entitled, with the District s Manager, who will be in attendance at the meeting. (B) At such registration, each Landowner or their representative with a lawful proxy, as the case may be, shall be provided a color coded ballot for each Board of Supervisor position open for election upon which ballot a District representative will fill in the number of votes that such Landowner or their representative is registered to cast for each Board of Supervisor position open for election. (C) All Landowner proxies shall be collected at the time of registration and retained with the Official Records of the District for subsequent certification or verification, if required. 4. Nominations for Supervisor Once the Landowners have organized by electing a Chairman and Secretary to conduct the election, the Chairman will call the nominations for Supervisors from the floor. Page 5

Nominations are not required to be seconded. After nominations are received, and the floor has been closed for nominations, those nominated will be asked if they accept the nominations (this will ensure those nominated for Supervisor wish to serve). 5. Casting of Ballots Registration and the issuance of ballots shall cease once the Chairperson calls for the commencement of the casting of ballots for the election of a Board of Supervisor and thereafter no additional ballots shall be issued. Taking each open Board of Supervisor position in the order determined by the Chairperson, the Landowners or their representatives, as the case may be, will be required to cast their ballots using the appropriately colored ballot for that particular Board of Supervisor position. Once the ballots have been cast, the Chairperson will call for a collection of the ballots for that particular open position by the Secretary. 6. Counting of Ballots Following the collection of the ballots for a particular Board of Supervisor position, the Secretary or Assistant Secretary shall be responsible for the tabulation of ballots for that position in order to determine the total votes cast for each candidate that is seeking election to that particular open position and for determination of the number of votes cast for each candidate for such position. The candidate receiving the highest number of votes for the particular Board of Supervisor position for which said votes were cast shall be declared by the Chairperson as elected for such Board of Supervisor position following the Secretary s submission of the tabulation for that election. The process shall be repeated for each Board of Supervisor position open for election until balloting has been conducted for all such positions. 7. Contesting of Election Results (A) Following the first election and announcement of the candidate receiving the highest number of votes, the Chairperson shall ask the Landowners present or those representatives holding proxies for Landowners, whether they wish to contest the election results. If no contests are received, said election results shall thereupon be certified and the newly elected Supervisor will thereupon take the Oath of Office and be seated as a member of the District s Board of Supervisors. If there is a contest, the contest must be addressed to the Chairperson and thereupon the individual casting a ballot that is being contested will be required to provide proof of ownership of the acreage for which they voted at the election within five (5) business days of the Landowner s meeting. The proof of ownership shall be submitted to the District Manager who will thereupon consult with the District s general counsel and Page 6

together they will review the material provided and attempt to determine the legality of the contested ballots. Once the contests are resolved, the Chairperson shall reconvene the Landowner s meeting and thereupon certify the election results with the newly elected Supervisor to thereupon take the oath of office and be seated as a member of the Board of Supervisors. (B) If, following any balloting for a particular Board of Supervisor position, there is a contest of the election results, any subsequent ballot shall proceed but the results of the subsequent ballots for those subsequent Board of Supervisor position(s) shall be on a conditional basis pending resolution of the challenged ballot results. If the contest over the challenged balloting is resolved and the candidate that was initially announced as receiving the highest number of votes is elected, then the subsequent uncontested ballot(s) shall thereupon be closed and the candidate that received the highest number of votes during the subsequent balloting for a particular Board of Supervisor position shall thereupon take the Oath of Office and be seated as a member of the Board of Supervisors for that particular position. If, however, there is a contest of the election results of any subsequent balloting, then the procedure for resolving the contest of such election shall be done in the same fashion as that set forth above for each such round of balloting so contested. 8. Recessing of Annual Landowner s Meeting In the event there is a contest of a ballot or of the election, the Landowner s meeting shall be recessed to a future time certain date and location at which time the election findings on the contest shall be reported in accordance with the procedure above and the newly elected Supervisor(s) shall thereupon take their Oath of Office. 9. Miscellaneous Provisions (A) Each Landowner shall only be entitled to vote in person or by means of a representative attending in person and holding a lawful written proxy in order to cast said Landowner s votes. (B) Proxies will not require that proof of acreage ownership be attached. Rather, proof of ownership must be timely provided by the holder of the proxy if the proxy is contested in accordance with the procedure above. Page 7

PAL MAR WATER CONTROL DISTRICT LANDOWNERS MEETING JUNE 2, 2016 A. CALL TO ORDER District Manager Todd Wodraska called the June 2, 2016, Landowners Meeting of the Pal Mar Water Control District to order at 10:05 a.m. in the Martin County Commission Chambers, Administrative Center, 2401 SE Monterey Road, Stuart, Florida 34996. B. PROOF OF PUBLICATION District Manager Todd Wodraska offered Proof of Publication showing that notice of the Landowners Meeting was published in the Palm Beach Post and in the Stuart News on May 12, 2016 and May 19, 2016, as legally required. C. ESTABLISH QUORUM There was a quorum established with several landowners/proxy holders (see sign in sheet attached). Also in attendance were staff members: District Manager Todd Wodraska, Michael McElligott, and Tricia LasCasas of Special District Services, Inc.; General Counsel Mary Viator of Caldwell & Pacetti, P.A.; District Engineer Bob Higgins of Higgins Engineering, Inc.; Field Maintenance Supervisor T.J. Mansell of Mansell Land Services, District, and Commissioner Ed Fielding, Jeff Dougherty, Deborah Drum, and Elizabeth Lenihan of Martin County. D. CONSIDER ADOPTION OF ELECTION PROCEDURES Ms. Viator explained the purpose of the annual landowners meeting and the process for the election. Ms. Viator asked that the landowner names and the number of votes be read into the record. Mrs. LasCasas read the landowners and their number of votes (see sign in sheet attached) into the record. The Elections Procedures were adopted, as presented, with no objection. E. ELECTION OF CHAIR FOR LANDOWNERS MEETING Mr. Wodraska asked for nominations for a Chair for the Landowners meeting. There was a nomination for Commissioner Sarah Heard. Commissioner Heard was unanimously elected to serve as Chair for the meeting. 1 Page 8

PAL MAR WATER CONTROL DISTRICT LANDOWNERS MEETING JUNE 2, 2016 F. ELECTION OF SECRETARY FOR LANDOWNERS MEETING Commissioner Heard recommended that Mr. Wodraska serve as the Secretary for the Landowners meeting. There were no objections and Mr. Wodraska was elected as the Secretary for the meeting. G. APPROVAL OF MINUTES 1. June 4, 2015, Landowners Meeting Minutes The June 4, 2015, Landowners Meeting Minutes were approved unanimously as presented following a motion from Mr. Gore and seconded by Commissioner Valeche. H. ELECTION OF SUPERVISORS 1. Determine Number of Voting Units Mr. Wodraska noted that the main purpose of the Landowners Meeting is to elect a Supervisor for a three year term of the seat most recently held by Gearl Gore. District Counsel Mary Viator reviewed the election procedures for Chapter 298 Water Control Districts and recommended Mr. Wodraska announce the number of votes represented at the meeting. Mr. Wodraska read the total number of votes totaled 16,906. Landowner Acres/Votes Ray Palmer (SFWMD) 10,723 H. Gearl Gore 1 Hal Valeche 253 T.J. Mansell 5 Cory Beaton 41 Bob Berman 5,431 Lew Lolmaugh 1 Charlene & Lee Arcadipane 1 Sarah Heard (Martin County) 450 Total 16,906 2 Page 9

PAL MAR WATER CONTROL DISTRICT LANDOWNERS MEETING JUNE 2, 2016 2. Nomination of Candidates Mr. Wodraska called for nominations of candidates for the three year term. There were was only one nomination made by Commissioner Valeche: Gearl Gore 3. Casting of Ballots Casting of ballots was not necessary since there was only one nomination for one seat. 4. Ballot Tabulations Gearl Gore received all votes represented and were elected by acclamation. 5. Certifications of the Results Mr. Wodraska asked if there were any objections to the election results. There were no objections. Commissioner Heard certified the results of the election with Mr. Gore receiving a threeyear term as Supervisor of the Pal Mar Water Control District. I. OTHER BUSINESS 1. Receive Treasurer s Report Mr. Wodraska presented the Annual Treasurer s Report that was in the agenda package noting that the District collected 94% of budgeted assessments and spent 86% of the budgeted expenses from the previous year and is in a healthy financial position. The board received the report with no additional questions or comments. 2. Receive Engineer s Report 3 Page 10

PAL MAR WATER CONTROL DISTRICT LANDOWNERS MEETING JUNE 2, 2016 District Engineer Bob Higgins presented and briefly reviewed the Annual Engineer s Report that was handed out at the meeting. Mr. Higgins briefly discussed the report and specifically one of the bigger items to happen during the year being the Amendment to the Second Amended Water Control Plan to recognize a legal positive outfall that has been prepared and agreed to by SFWMD and Martin County and will go in front of the Pal-Mar Board for approval. The board received the report with no additional questions or comments. 3. Consider Approval of Payment for Supervisors Commissioner Heard asked if there were any objections to the approval of payment of $50 per meeting for Supervisors. Hearing non supervisor payments were approved. J. LANDOWNERS COMMENTS Mr. Wodraska asked if there were any landowner comments. Landowner Charlene Arcadipane stated that she was a new land owner and asked what the purpose of the district is. Mr. Wodraska and Ms. Viator gave a brief history and brief description of the district powers. There were no other question. K. ADJOURN There being no further business for the Landowners Meeting, the meeting adjourned at 10:19 a.m. Secretary/Assistant Secretary Chair/Vice-Chair 4 Page 11

LANDOWNER PROXY PAL-MAR WATER CONTROL DISTRICT LANDOWNERS MEETING KNOW ALL MEN BY THESE PRESENTS, that the undersigned, the fee simple owner of the lands described herein, hereby constitutes and appoints ( Proxy Holder ) for and on behalf of the undersigned, to vote as proxy at the meeting of the landowners of the Pal-Mar Water Control District to be held on June 1, 2017 at 10:00 a.m. in the Martin County Commission Chambers, 2401 S.E. Monterey Road, Stuart, Florida 34996 and at any adjournments thereof, according to the number of acres of unplatted land and/or platted lots owned by the undersigned landowner which the undersigned would be entitled to vote if then personally present, upon any question, proposition, or resolution or any other matter or thing which may be considered at said meeting including, but not limited to the Board of Supervisors. Said Proxy Holder may vote in accordance with their discretion on all matters not known or determined at the time of solicitation of this proxy, which may be legally considered at said meeting. This proxy is to continue in full force and effect from the hereof until the conclusion of the above noted landowners meeting and any adjournment or adjournments thereof, but may be revoked at any time by written notice of such revocation presented at the annual meeting prior to the Proxy Holder exercising the voting rights conferred herein. Printed Name of Legal Owner Signature of Legal Owner Date Parcel Description* # of Acres * Insert in the space above the street address of each parcel, the legal description of each parcel, or the tax identification number of each parcel. [If more space is needed, identification of Parcels owned may be incorporated by reference to an attachment hereto.] TOTAL NUMBER OF AUTHORIZED VOTES: Please note that each eligible acre of land or fraction thereof is entitled to only one vote, for example, a husband and wife are together entitled to only one vote per their residence if it is located on one acre or less of real property. If the Legal Owner is not an individual, and is instead a corporation, limited liability company, limited partnership or other entity, evidence that the individual signing on behalf of the entity has the authority to do so should be attached hereto. (e.g. bylaws, corporate resolution, etc.) Page 12

BALLOT PAL-MAR WATER CONTROL DISTRICT LANDOWNERS MEETING BALLOT # ELECTION OF BOARD SUPERVISORS JUNE 1, 2017 The undersigned certifies that he/she is the owner ( ) or duly authorized representative of lawful proxy of an owner ( ) of land in the Pal-Mar Water Control District, constituting acre(s) and hereby casts up to the corresponding number of his/her vote(s) for the following candidate/candidates to hold the above-named open position: Name of Candidate Number of Votes Signature: Printed Name: Street Address or Tax Parcel Id Number for your Real Property: Page 13

June 1, 2017 Pal Mar Water Control District Treasurer s Report For Annual Landowners Meeting The fund balance for the Pal Mar Water Control District at the close of Fiscal Year 2014/2015 (September 30, 2015) was $176,344. The fund balance for the Pal Mar Water Control District at the close of Fiscal Year 2015/2016 (September 30, 2016) was $193,040. The following table illustrates Fiscal Year 2015/2016 revenues and expenditures budgeted versus actuals: Budgeted Actual Percentage Revenue $173,455 $169,725 97% Expenditures $173,455 $153,029 88% Excess/(Shortfall) ($0) $16,696 Special District Services, Inc. Page 14

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AGENDA PAL MAR WATER CONTROL DISTRICT Martin County Commission Chambers - Administrative Center 2401 SE Monterey Road Stuart, Florida 34996 REGULAR BOARD MEETING June 1, 2017 10:00 a.m. A. Call to Order B. Proof of Publication..Page 18 C. Seat New Board Members D. Administer Oath of Office & Review Board Member Responsibilities and Duties E. Establish Quorum F. Election of Officers Chairman Vice Chairman Secretary/Treasurer Assistant Secretaries G. Additions or Deletions to Agenda H. Approval of Minutes 1. April 6, 2017 Regular Board Meeting...Page 19 I. Status Reports 1. Legal Status Report.Page 25 2. Engineer Status Report Page 26 3. Field Maintenance Report 4. District Manager Report J. Old Business K. New Business 1. Consider Resolution No. 2017-02 Compelling SFWMD to Pay the Non-Ad Valorem Assessments on Property Owned within the District..Page 27 2. Consider Resolution No. 2017-03 Adopting a Fiscal Year 2017/2018 Proposed Budget..Page 29 L. Administrative Matters 1. Financial Report.Page 38 2. Consider Invoices...Page 39 M. Comments from the Public for Items Not on the Agenda N. Board Member Comments O. Adjourn Page 17

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PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 A. CALL TO ORDER Chair Commissioner Sarah Heard called the April 6, 2017 Regular Board Meeting of the Pal Mar Water Control District to order at 10:06 a.m. at the Old Jupiter Town Hall, 1000 Town Hall Avenue, Jupiter, Florida 33458. B. PROOF OF PUBLICATION Proof of publication was presented to show that notice of the Regular Board Meeting and Public Hearing was published in the Palm Beach Post and in the Scripps Treasure Coast on October 24, 2016, as legally required. C. ESTABLISH QUORUM A quorum was established: Supervisor Commissioner Sarah Heard Vice Chair Gearl Gore Commissioner Hal Valeche Lew Lolmaugh Kathy LaMartina Present Present Present Present Present Staff members in attendance: District Manager Todd Wodraska Special District Services, Inc General Counsel Mary Viator Caldwell & Pacetti, P.A District Engineer Bob Higgins Higgins Engineering, Inc Field Maintenance Supervisor T.J. Mansell Mansell Land Services Secretary/Treasurer Michael McElligott Special District Services, Inc Also in attendance: Bob Berman Marge Ketter Corey Beaton Jeff Dougherty Martin County D. ADDITIONS OR DELETIONS TO THE AGENDA There were none. 1 Page 19

PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 E. APPROVAL OF MINUTES 1. November 3, 2016 Regular Board Meeting The minutes of the November 3, 2016, Regular Meeting were approved, as presented, on a motion made by Mr. Gore, seconded by Mr. Lolmaugh. The motion carried unanimously. F. STATUS REPORTS 1. Legal Status Report Ms. Viator stated that the main legal issue deals with the decision of not paying Pal-Mar assessment by the South Florida Water Management District (SFWMD), and that issues is a specific item later on this agenda, so she will reserve her discussion on it until then. 2. Engineer Status Report Mr. Higgins said his main issue is the item regarding SFWMD decision to not pay Pal- Mar assessments, and like Mrs. Viator he will wait until that specific agenda item comes up for discussion. 3. Field Maintenance Report Mr. Mansell reported having to deter some people trying to come in from the game lands. T.J. also stated that he got some calls asking for access to district lands and he informed them he does not grant access. He reported that it is still pretty slow out there and that it is looking nice and clean. Other than that everything is good. 4. District Manager Report Mr. Wodraska asked everyone to turn to page 19 so that he could point out the current finance situation of the district which will aid in the discussion later in the agenda of SFWMD not paying their assessment. Todd pointed out our current fund balance and showed the potential impacts on that fund balance should SFWMD not pay their assessments by the due date of April 30 th. Mr. Wodraska also discussed some calls he got 2 Page 20

PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 regarding people wanting access to some district gates and locks. He referred those people to T.J. and T.J. handled it. G. OLD BUSINESS 1. Discussion Regarding SFWMD Decision to Not Pay Assessments Mary Viator brought the board up to date on activity happening on this issue since the last meeting. She described 2 meetings she and other district staff had with SFWMD. The result of those meetings is a feeling that SFWMD is taking the position that they do not legally have to pay the Pal-Mar WCD assessments. Mary also described several misstatements made by SFWMD regarding Pal-Mar and described how she brought those misstatements to light to the various parties involved. Commissioner Valeche asked if there is case law determining the difference between ad valorem taxes and non-ad valorem assessments. Mrs. Viator said yes there is. There was discussion on how SFWMD in house counsel is advising the SFWMD board. Commissioner Heard commented on SFWMD indicating that they would pay for specific services but SFWMD has not responded to Pal-Mars letters regarding that. Commissioner Heard also asked what types of services other districts in the same situation as Pal-mar provide. Mr. Higgins describe some of the services that Hobe St Lucie CD provided and pointed out the similarities and differences. Corey Beaton asked about access gated owned by Pal-Mar and if it was possible to lock all the gates to restrict access to SFWMD until they pay. Mr. Higgins explained the situation regarding access gates. Mr. Wodraska stated that the assessments are not technically delinquent until after April 30 th, but that as of now no payments have been made. Mr. Wodraska described the memo sent to the SFWMD that we have not received any response. Mr. Wodraska explained that for private owner s nonpayment of the Pal-Mar assessments will result in tax certificates which results in Pal-Mar still receiving its assessments. The problem is that with government agencies the county cannot sell those tax certificates which makes Pal-Mars ability to collect those delinquent assessments very difficult. There was a discussion as to what our current options are. Mrs. Viator brought up that Mr. Burlington in a previous meeting stated the process of Writ of Mandamus. We could try to just send a direct invoice to see if SFWMD will pay it. We could enter into a lawsuit seeking declaratory action. Mary also stated that she has spoken to other district 3 Page 21

PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 in a similar situation would be willing to join in legal action. She also said there is the lobbying option. Commissioner Valeche asked if there are similar situations in other water management districts around the state. Mr. Higgins and Mr. Viator could not speak to all other water management district but the few they are familiar with they do not have as much land as SFWMD and also, their positions were based on not paying ad valorem. Mr. Lolmaugh asked when we sent the memo to SFWMD. Mrs. Viator explained that it had been 2 weeks with no response. Mr. Berman asked if FASD was aware of this situation and if there was any chance of assistance from FASD. Mrs. Viator explained that FASD is aware but that we have not received any indication of assistance. The idea of changing the locks was brought up again by Corey Beaton and Marge Ketter and Mr. Higgins explained that due to the interspersed nature of the SFWMD lands changing the locks could adversely affect other individual land owners. Commissioner Valeche asked Mrs. Viator which court would hear Pal-Mars case. Mrs. Viator indicated it would be the Florida Supreme Court through a Writ of Mandamus process. Commissioner Valeche asked if we had a cost estimate and Mrs. Viator referred back to Mr. Burlington s presentation at a prior meeting where he estimated upwards of $30,000. Commissioner Valeche asked if the landowners could sue the Pal-Mar district if we increase assessments to pay for SFWMD lack of payment. He also asked about the political options previously discussed. Mrs. Viator explained that board had previously discussed lobbying with Mr. Ramba. Mr. Wodraska pointed out that while we spoke to Mr. Ramba and his estimated fee of $20,000 was less than the estimated legal cost to going the Florida Supreme Court path, which was estimated at $40,000 to $50,000 range, that the likelihood of lobbying success with the current Governor would be very low. Mrs. Viator suggested sending an invoice to SFWMD and seeing their response. Several board members expressed that they agreed with sending the invoice. Mr. Gore also suggested staff should check the appetite of the other 298 districts being affected in joining in on seeking a legal resolution. T.J. also commented that he has approached the mower on the possible need to try to cut out the mowing of at least some of the SFWMD lands that can be separated. A motion was made by Commissioner Valeche and seconded by Mr. Lolmaugh. to send SFWMD a direct invoice for their unpaid Pal-Mar WCD assessments, to have district 4 Page 22

PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 staff pursue the 6 other 298 district also being affected by the non-payment of assessments by SFWMD to see their appetite to join in with challenging the non-payment of assessment by SFWMD, and to discontinue any services we can to SFWMD lands. The motion passes 4-0 with Mrs. LaMartina declaring a conflict and abstaining. H. NEW BUSINESS 1. Consider Resolution No 2017-01 Electronic Approval Process and Authorized Signatories. RESOLUTION NO. 2017-01 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE PAL-MAR WATER CONTROL DISTRICT, AUTHORIZING THE ESTABLISHMENT OF A DISTRICT CHECKING/OPERATING ACCOUNT, DESIGNATING DISTRICT OFFICIALS AND/OR AUTHORIZED STAFF TO REVIEW, APPROVE AND ISSUE PAYMENT OF EXPENDITURES, SELECTING THE SIGNATORIES THEREOF; AND PROVIDING AN EFFECTIVE DATE. Mr. Wodraska presented Resolution No. 2017-01 Mr. Wodraska explained that although the Board recently adopted a similar resolution, due to retirements at SDS, and the addition of Len Lindahl, payment approvers needed to be updated. Mr. Wodraska explained that the document did have to be amended to remove Michael McElligott as he may be involved with the preparation of financial reports so he should not also be a check signer. Also he recommended to fill in the blank with the sitting chair on the board. A motion was made by Mr. Gore, seconded by Mr. Lolmaugh to approve Resolution No. 2017-01 as amended. The motion passes unanimously. I. ADMINISTRATIVE MATTERS 1. Financial Report Mr. Wodraska stated the current financials were previously discussed in the meeting. 2. Consider Invoices None. 3. Announce Landowners Meeting June 1, 2017 5 Page 23

PAL MAR WATER CONTROL DISTRICT REGULAR BOARD MEETING April 6, 2017 Mr. Wodraska explained that we are sending out the letter to landowners to inform them of the annual Landowners Meeting of June 1, 2017. J. COMMENTS FROM THE PUBLIC FOR ITEMS NOT ON THE AGENDA Cody Beaton commented on his ongoing culvert issue. Mr. Higgins informed Cody to email him with his request so he can review it and bring a recommendation to the board. Mr. Lolmaugh also notated that Cody put up a new gate. Cody informed the board that he simply replaced and existing gate that was damaged. Marge Ketter asked Mrs. LaMartina who she reports to at SFWMD regarding Pal-mar issues and what has been relayed back to her. Mrs. LaMartina explained that she has not been informed about any of the SFWMD issues from her employer. Mrs. Ketter also asked if Martin County or Palm Beach County has relayed these issues to the SFWMD board of supervisors. Mr. Higgins explained that the SFWMD board has been made fully aware of the issues from multiple sources. K. BOARD MEMBER COMMENTS None. L. ADJOURN There being no further business to come before the Board, the meeting was adjourned at 11:21 a.m., as announced by Commissioner Heard. Secretary/Assistant Secretary Chair/Vice-Chair 6 Page 24

CALDWELL PACETTI EDWARDS SCHOECH & VIATOR LLP MANLEY P. CALDWELL, JR. KENNETH W. EDWARDS CHARLES F. SCHOECH MARY M. VIATOR WILLIAM P. DONEY FRANK S. PALEN JOHN A. WEIG OF COUNSEL BETSY S. BURDEN RUTH P. CLEMENTS ATTORNEYS AT LAW ONE CLEARLAKE CENTRE 1555 PALM BEACH LAKES BLVD. SUITE 1200 WEST PALM BEACH, FLORIDA 33401 PARALEGAL EMILIE PEARSON, CP www.caldwellpacetti.com TELEPHONE: (561) 655-0620 TELECOPIER: (561) 655-3775 Legal Status Report TO: FROM: Board of Supervisors Pal-Mar Water Control District Caldwell Pacetti Edwards Schoech & Viator DATE: May 22, 2017 RE: Legal Status Report for the June 2, 2017 Board of Supervisors Meetings The following is a summary of the work in progress and status thereof for the Pal-Mar Water Control District: (1) Coordinated with the District re: Administrative Issues (2) Non-Ad Valorem Assessments and Budget Coordination (3) Annual Landowner Meeting Coordination (4) SFWMD Budget Issues (A) Coordinated, Researched and Followed Up regarding SFWMD Budget Issues (B) Prepared Response regarding SFWMD s Non-payment of Non-Ad Valorem Assessments (C) Follow up Coordination regarding collection of SFWMD s Non Ad Valorem Assessments Page 25

ENGINEER STATUS REPORT TO BE DISTRIBUTED UNDER SEPARATE COVER Page 26

RESOLUTION NO. 2017-02 RESOLUTION OF THE BOARD OF SUPERVISORS OF PAL-MAR WATER CONTROL DISTRICT ( DISTRICT ) IN ACCORDANCE WITH THE FLORIDA GOVERNMENTAL CONFLICT RESOLUTION ACT, CHAPTER 164, FLORIDA STATUTES, PROVIDING SOUTH FLORIDA WATER MANAGEMENT DISTRICT ( SFWMD ), WITH NOTICE OF THE DISTRICT S INTENT TO FILE SUIT TO COMPEL SFWMD TO PAY THE NON-AD VALOREM ASSESSMENTS ON PROPERTY OWNED BY SFWMD WITHIN THE JURISDICTIONAL BOUNDARIES OF THE DISTRICT WHICH ARE DUE AND OWING THE DISTRICT; DIRECTING THE DISTRICT MANAGER TO PREPARE A LETTER TO SFWMD IN COMPLIANCE WITH THE PROVISIONS OF THE FLORIDA GOVERNMENTAL CONFLICT RESOLUTION ACT; DIRECTING THE DISTRICT MANAGER TO SEND THE LETTER TOGETHER WITH A CERTIFIED COPY OF THIS RESOLUTION TO THE EXECUTIVE DIRECTOR OF SFWMD AND OTHERS WITHIN FIVE DAYS AFTER THE PASSAGE OF THIS RESOLUTION, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Florida Governmental Conflict Resolution Act, Chapter 164, Florida Statutes (the Act ), requires the District to initiate the Act s conflict resolution procedures through the passage of a resolution by the Board of Supervisors prior to filing suit; and WHEREAS, pursuant to the provisions of 164.1052(1), Florida Statutes, it is the intention of the District Board of Supervisors to initiate the conflict resolution procedures provided by Chapter 164 prior to initiating Court proceedings; and WHEREAS, the issues of conflict are that SFWMD has refused to pay the District s non-ad valorem assessments on property owned by SFWMD within the jurisdictional boundaries of the District which are due and owing the District; and WHEREAS, despite the execution of the proper non-ad valorem collection procedures pursuant to applicable law, SFWMD has withheld payment of these assessments; and WHEREAS, it is the District s desire and intention to resolve this conflict with SFWMD without the necessity of court proceedings, if possible. NOW, THEREFORE, be it resolved by the Board of Supervisors of PAL-MAR WATER CONTROL DISTRICT as follows: Section 1. Recitals. The above recitals are true and correct and are incorporated herein by this reference. Section 2. Pursuant to Chapter 164, Florida Statutes, this Resolution shall constitute notice to SFWMD of the District s initiation of conflict resolution procedures pursuant to the Act. Page 27

Section 3. The District Manager is directed to send, within five days after the passage of this Resolution, by certified mail, return receipt requested, a certified copy of this Resolution together with a letter to the Executive Director of SFWMD. Section 4. The letter from the District Manager shall contain a statement of the conflict between the District and SFWMD, any other governmental entities in conflict with the District regarding this matter, the justification for the District s initiation of the Act s conflict resolution procedures, proposed dates and location for a conflict assessment meeting to be held between the District and SFWMD pursuant to 164.1053, Florida Statutes, and shall suggest which SFWMD officials should be present at the meeting. Section 5. The District Manager shall mail a copy of the letter and this Resolution also to any other state, regional, or local governmental entity which may have a role in approving or implementing a particular element or aspect of any settlement of the conflict, or whose substantial interests may be affected by the resolution of the conflict; and to any other governmental entity deemed appropriate by the District Manager. Section 6. its adoption. Effective Date. This Resolution shall become effective immediately upon PASSED AND ADOPTED this 1 st day of June, 2017. PAL-MAR WATER CONTROL DISTRICT ATTEST: President Secretary (DISTRICT SEAL) Page 28

RESOLUTION NO. 2017-03 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE PAL- MAR WATER CONTROL DISTRICT APPROVING A PROPOSED BUDGET FOR FISCAL YEAR 2017/2018. WHEREAS, the Board of Supervisors ( Board ) of the Pal-Mar Water Control District ( District ) is required to approve a proposed Budget for each fiscal year; and, WHEREAS, the Proposed Budget for Fiscal Year 2017/2018 has been prepared and considered by the Board. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE PAL-MAR WATER CONTROL DISTRICT THAT: Section 1. The Proposed Budget for Fiscal Year 2017/2018 attached hereto as Exhibit A is approved and adopted. Section 2. A Public Hearing is hereby scheduled for, 2017 at 10:00 a.m. at the Old Jupiter Town Hall located at 1000 Town Hall Avenue, Jupiter, Florida 33458, for the purpose of receiving public comments on the Proposed Fiscal Year 2017/2018 Budget. PASSED, ADOPTED and EFFECTIVE this 1 st day of June, 2017. ATTEST: PAL-MAR WATER CONTROL DISTRICT By: Secretary/Assistant Secretary By: Chairman/Vice Chairman Page 29

Pal Mar Water Control District Proposed Budget For Fiscal Year 2017/2018 October 1, 2017 - September 30, 2018 Page 30

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Pal Mar Water Control District Proposed Budget For Fiscal Year 2017/2018 October 1, 2017 - September 30, 2018 Page 34

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Pal Mar Water Control District Budget vs. Actual October 2016 through April 2017 Oct '16 - Apr 17 Budget $ Over Budget % of Budget Ordinary Income/Expense Income 363.100 O & M Assessments 47,097.59 184,527.00-137,429.41 25.52% 363.830 Assessment Fees -2,130.25-3,691.00 1,560.75 57.72% 363.831 Assessment Discounts -1,116.97-7,381.00 6,264.03 15.13% 369.401 Interest Income 810.54 420.00 390.54 192.99% Total Income 44,660.91 173,875.00-129,214.09 25.69% Expense 511.122 Payroll Taxes (Admin) 19.15 100.00-80.85 19.15% 511.131 Supervisors Fees 250.00 1,200.00-950.00 20.83% 511.310 Engineering 2,936.99 20,000.00-17,063.01 14.69% 511.311 Management Fees 14,000.00 24,000.00-10,000.00 58.33% 511.315 Legal Fees 9,321.50 25,000.00-15,678.50 37.29% 511.318 Assessment/Tax Roll 0.00 5,000.00-5,000.00 0.0% 511.320 Audit Fees 0.00 5,100.00-5,100.00 0.0% 511.450 Insurance 5,778.00 6,250.00-472.00 92.45% 511.480 Legal Advertisements 401.41 2,000.00-1,598.59 20.07% 511.512 Miscellaneous 949.01 2,000.00-1,050.99 47.45% 511.513 Postage and Delivery 2,242.22 2,300.00-57.78 97.49% 511.514 Office Supplies 959.50 2,500.00-1,540.50 38.38% 511.515 Website Management Fee 875.00 1,500.00-625.00 58.33% 511.540 Dues, License & Subscriptions 175.00 175.00 0.00 100.0% 512.201 Contract Labor - Maint/Security 16,333.31 28,000.00-11,666.69 58.33% 512.305 Contingencies 0.00 10,750.00-10,750.00 0.0% 512.308 Repairs & Maintenance 0.00 15,000.00-15,000.00 0.0% 512.464 Mowing 23,000.00 23,000.00 0.00 100.0% Total Expense 77,241.09 173,875.00-96,633.91 44.42% Net Income -32,580.18 0.00-32,580.18 100.0% Bank Balance As Of 4/30/17 $ 46,335.84 Investment Acct Balance As Of 4/30/17 $ 117,391.13 Accounts Payable As Of 4/30/17 $ 3,266.73 Total Fund Balance As Of 4/30/17 $ 160,460.24 Page 38

1:11 PM 05/18/17 Accrual Basis Pal Mar Water Control District Transaction Detail Report March 30 through May 18, 2017 Type Date Num Name Memo Paid Due Advertising Higgins Engineering, Inc. Check 04/01/2017 1518 Engineering Higgins Engineering, Inc. Job No. 08-20 Invoice 1171 period 11-16-2016 to 03-15-2016 1,246.50 Total Higgins Engineering, Inc. 1,246.50 0.00 Caldwell Pacetti Edwards Schoech & Viator Legal Fees Check 04/01/2017 1517 Caldwell Pacetti Edwards Schoech & Viator Bill 04/06/2017 125430 Caldwell Pacetti Edwards Schoech & Viator Legal fees from 01-23-2017 to 03-24-2017 Invoice 125283 6,194.00 Legal fees from 03.27.17 to 04.06.2017 Invoice 125430 4,241.49 Total Caldwell Pacetti Edwards Schoech & Viator 6,194.00 4,241.49 Landscape Mansell Land Mgt, LLC (monthly) Check 04/01/2017 1519 Mansell Land Mgt, LLC (monthly) Monthly Mainteance for APRIL 2017 2,333.33 Check 05/01/2017 1523 Mansell Land Mgt, LLC (monthly) Monthly Mainteance for MAY 2017 2,333.33 Total Mansell Land Mgt, LLC (monthly) 4,666.66 0.00 Management Fees Special District Services, Inc. Check 04/01/2017 1520 Special District Services, Inc. Invoice 2017-409 for month of March 2017 2,175.66 Check 05/01/2017 1525 Special District Services, Inc. Invoice 2017-757 for month of April 2017 2,204.73 Total Special District Services, Inc. 4,380.39 0.00 Miscellaneous Anne M. Gannon Check 05/01/2017 1522 Anne M. Gannon Prorated share of the postage cost 2.00 Total Anne M. Gannon 2.00 0.00 Mike Baldwin Check 05/01/2017 1524 Mike Baldwin Invoice 4171 cost of mailing 1,060.00 Total Mike Baldwin 1,060.00 0.00 Palm Beach County Property Appraiser Bill 05/17/2017 2016 Tax Roll Palm Beach County Property Appraiser 2016 Administrative Tax Roll Cost 150.00 Total Palm Beach County Property Appraiser 0.00 150.00 Postmaster Check 04/18/2017 1521 Postmaster Mailing for 4000 letter/fliers 2,212.00 Total Postmaster 2,212.00 0.00 TOTAL 19,761.55 4,391.49 Page 39 Page 1 of 1