THE VILLAGE AT GULFSTREAM PARK COMMUNITY DEVELOPMENT DISTRICT CITY OF HALLANDALE BEACH, FLORIDA FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2016

THE VILLAGE AT GULFSTREAM PARK COMMUNITY DEVELOPMENT DISTRICT CITY OF HALLANDALE BEACH, FLORIDA

TABLE OF CONTENTS

    Page	
INDEPENDENT AUDITOR’S REPORT	1-2
MANAGEMENT’S DISCUSSION AND ANALYSIS	3-6
BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements:
Statement of Net Position	7
Statement of Activities	8
Fund Financial Statements:
Balance Sheet – Governmental Funds	9
Statement of Revenues, Expenditures and Changes in Fund Balances –
Governmental Fund	10
Notes to Financial Statements	11-19
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues, Expenditures and Changes in Fund Balance –
Budget and Actual – General Fund	20
Notes to Required Supplementary Information	21
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS	22-23
INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES, REQUIRED BY RULE 10.556(10)
OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA	24
MANAGEMENT LETTER REQUIRED BY CHAPTER 10.550 OF THE RULES
OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA	25-26

INDEPENDENT AUDITOR’S REPORT

To the Board of Supervisors
The Village at Gulfstream Park Community Development District City of Hallandale Beach, Florida

Report on the Financial Statements

2700 North Military Trail ▪ Suite 350 Boca Raton, Florida 33431
(561) 994-9299 ▪ (800) 299-4728
Fax (561) 994-5823
www.graucpa.com

We have audited the accompanying financial statements of the governmental activities and each major fund of The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida (the “District”) as of and for the fiscal year ended September 30, 2016, which collectively comprise the District’s basic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the District as of September 30, 2016, and the respective changes in financial position thereof for the fiscal year then ended in accordance with accounting principles generally accepted in the United States of America.

Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and budgetary comparison information be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated May 15, 2017, on our consideration of the District’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, 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 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.
Report on Other Legal and Regulatory Requirements
We have also issued our report dated May 15, 2017, on our consideration of the District’s compliance  with the requirements of Section 218.415, Florida Statutes, as required by Rule 10.556(10) of the Auditor General of the State of Florida. The purpose of that report is to provide an opinion based on our examination conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants.

May 15, 2017

MANAGEMENT’S DISCUSSION AND ANLAYSIS

Our discussion and analysis of The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida (“District”) provides a narrative overview of the District’s financial activities for the fiscal year ended September 30, 2016. Please read it in conjunction with the District’s Independent Auditor’s Report, basic financial statements, accompanying notes and supplementary information to the basic financial statements.

FINANCIAL HIGHLIGHTS

The liabilities of the District exceeded its assets at the close of the fiscal year ended September 30, 2016 resulting in a net position deficit balance of ($24,069,717).

The change in the District’s total net position in comparison with the prior year was ($1,448,251), a decrease. The key components of the District’s net position and change in net position are reflected in the table in the government-wide financial analysis section.

At September 30, 2016, the District’s governmental funds reported combined ending fund balances of $2,854,780, a decrease of ($45,190) in comparison with the prior fiscal year. A portion of fund balance is restricted for debt service, nonspendable for prepaids and the remainder is unassigned fund balance which is available for spending at the District’s discretion.

During fiscal year 2016, the District implemented Governmental Accounting Standards Board (“GASB”) Statement No. 72, Fair Value Measurement and Application, GASB Statement No. 76, The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments, and GASB Statement No. 79, Certain External Investment Pools and Pool Participants. Please see New Accounting Standards Adopted in Note 2 of the financial statements for additional information.

OVERVIEW OF FINANCIAL STATEMENTS

This discussion and analysis are intended to serve as the introduction to the District’s basic financial statements. The District’s basic financial statements are comprised of three components: 1) government- wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves.

Government-Wide Financial Statements

The government-wide financial statements are designed to provide readers with a broad overview of the District’s finances, in a manner similar to a private-sector business.

The statement of net position presents information on all the District’s assets and liabilities, with the difference between the two reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the District is improving or deteriorating.

The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows.  Thus, revenues  and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods.

The government-wide financial statements include all governmental activities that are principally supported by Developer contributions, user fees and tenant fees. The District does not have any business-type activities. The governmental activities of the District include the general government (management) and maintenance functions.

OVERVIEW OF FINANCIAL STATEMENTS (Continued)

Fund Financial Statements

A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The District, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. The District maintains only one category of funds, the governmental funds.

Governmental Funds

Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflow of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a District’s near-term financing requirements.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the District’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities.

The District maintains two governmental funds. Information is presented separately in the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances for the general and debt service funds which are considered major funds.

The District adopts an annual appropriated budget for its general fund. A budgetary comparison schedule has been provided for the general fund to demonstrate compliance with the budget.

Notes to the Financial Statements

The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements.

GOVERNMENT-WIDE FINANCIAL ANALYSIS

As noted earlier, net position may serve over time as a useful indicator of an entity’s financial position. In the case of the District, liabilities exceeded assets at the close of the fiscal year ended September 30, 2016.

Key components of the District’s net position are reflected in the following table:

NET POSITION SEPTEMBER 30,
2016	2015
Assets, excluding capital assets	$	2,864,368	$	2,909,494	
Capital assets, net of depreciation	24,286,636	25,689,697	
Total assets	27,151,004	28,599,191	
Liabilities, excluding long-term liabilities	1,435,721	1,435,657	
Long-term liabilities	49,785,000	49,785,000	
Total liabilities	51,220,721	51,220,657	
Net position			
Net investment in capital assets	(25,498,364)	(24,095,303)	
Restricted	1,414,127	1,459,317	
Unrestricted	14,520	14,520	
Total net position	$ (24,069,717)	$ (22,621,466)	

GOVERNMENT-WIDE FINANCIAL ANALYSIS (Continued)

A portion of the District’s net position reflects its investment in capital assets (e.g. land, land improvements, and infrastructure) less any related debt used to acquire those assets that is still outstanding. These assets are used to provide services to residents; consequently, these assets are not available for future spending. Although the District’s investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.

The restricted portion of the District’s net position represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net position may be used to meet the District’s other obligations.

The District’s net position decreased during the most recent fiscal year. The majority of the decrease is the result of the cost of operations and depreciation exceeding ongoing program revenues.

Key elements of the change in net position are reflected in the following table:

CHANGES IN NET POSITION
FOR THE FISCAL YEAR ENDED SEPTEMBER 30,
Revenues:	2016	2015
Program revenues

Charges for services

$	652,096	$

651,387

Operating grants and contributions	2,801,842	2,798,757 General revenues
Unrestricted investment earnings	-	9
Total revenues	3,453,938	3,450,153 Expenses:
General government	76,409	119,307
Maintenance and operations	1,403,061	1,403,061
Interest	3,422,719	3,482,875
Total expenses	4,902,189	5,005,243 Special items		-	1,613,008
Change in net position	(1,448,251)	57,918
Net position - beginning	(22,621,466)	(22,679,384)

Net position - ending

$ (24,069,717)

$ (22,621,466)

As noted above and in the statement of activities, the cost of all governmental activities during the fiscal year ended September 30, 2016 was $4,902,189 which decreased from fiscal year 2015. The decrease  is mainly the result of a decrease in interest expense as a result of the exchange of parking garage spaces for the cancellation of bonds outstanding. The costs of the District’s activities were primarily funded by program revenues. Program revenues were comprised primarily of funds from the Developer  to fund operations and for the payment of interest on its long-term debt. Program revenues increased slightly from the prior fiscal year. The District also received funds from user fee revenues and tenant fee revenues which are included in program revenues and are discussed in the notes to the financial statements.

GENERAL BUDGETING HIGHLIGHTS

An operating budget was adopted and maintained by the governing board for the District pursuant to the requirements of Florida Statutes. The budget is adopted using the same basis of accounting that is used in preparation of the fund financial statements. The legal level of budgetary control, the level at which expenditures may not exceed budget, is in the aggregate. Any budget amendments that increase the aggregate budgeted appropriations must be approved by the Board of Supervisors.

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

At September 30, 2016, the District had $32,705,000 invested in infrastructure, and improvements, for its governmental  activities.	In the government-wide financial statements accumulated depreciation of
$8,418,364 has been taken, which resulted in a net book value of $24,286,636. More detailed information about the District’s capital assets is presented in the notes of the financial statements.

Capital Debt

At September 30, 2016, the District had $49,785,000 Bonds outstanding for its governmental activities. More detailed information about the District’s capital debt is presented in the notes of the financial statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS AND OTHER EVENTS

The District does not anticipate any major projects or significant changes to its infrastructure maintenance program for the subsequent fiscal year. In addition, it is anticipated that the general operations of the District will remain fairly constant.

CONTACTING THE DISTRICT’S FINANCIAL MANAGEMENT

This financial report is designed to provide our citizens, land owners, customers, investors and creditors with a general overview of the District’s finances and to demonstrate the District’s accountability for the financial resources it manages and the stewardship of the facilities it maintains. If you have questions about this report or need additional financial information, contact The Village at Gulfstream Park Community Development District’s Finance department at 12051 Corporate Boulevard, Orlando, FL 32817.

THE VILLAGE AT GULFSTREAM PARK COMMUNITY DEVELOPMENT DISTRICT CITY OF HALLANDALE BEACH, FLORIDA
STATEMENT OF NET POSITION SEPTEMBER 30, 2016

	Governmental
Activities	
ASSETS
Cash	
$	9,099	
Prepaid items	14,009	
Restricted assets: Investments	
2,841,260	
Capital assets:
Depreciable, net	
24,286,636	
Total assets	27,151,004	

LIABILITIES
Accounts payable	

5,518	
Unearned revenue	4,070	
Accrued interest payable	1,426,133	
Non-current liabilities:
Due in more than one year	
49,785,000	
Total liabilities	51,220,721	

NET POSITION
Net investment in capital assets	

(25,498,364)	
Restricted	1,414,127	
Unrestricted	14,520	
Total net position	$ (24,069,717)	

See notes to the financial statements

THE VILLAGE AT GULFSTREAM PARK COMMUNITY DEVELOPMENT DISTRICT CITY OF HALLANDALE BEACH, FLORIDA
STATEMENT OF ACTIVITIES FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2016

Program Revenues Charges	Operating

Net (Expense) Revenue and Changes in Net Position

for	Grants and	Governmental
Functions/Programs	Expenses	Services	Contributions	Activities
Governmental activities:
General government	
$	76,409	
$	-	$	74,409	
$	(2,000)	
Maintenance and operations	1,403,061	-	-	(1,403,061)	
Interest on long-term debt	3,422,719	652,096	2,727,433	(43,190)	
Total governmental activities	4,902,189	652,096	2,801,842	(1,448,251)	

Change in net position	
(1,448,251)	
Net position - beginning	(22,621,466)	
Net position - ending	$	(24,069,717)	

See notes to the financial statements

8

BALANCE SHEET GOVERNMENTAL FUNDS SEPTEMBER 30, 2016

Major Funds
Debt
General	Service

Total Governmental Funds

ASSETS		
Cash	$	9,099	$	-	$	9,099	
Investments	-	2,841,260	2,841,260	
Prepaid items	14,009	-	14,009	
Total assets	$	23,108	$ 2,841,260	$ 2,864,368	

LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable	$	4,518	$	1,000	$	5,518	
Unearned revenue	4,070	-	4,070	
Total liabilities	8,588	1,000	9,588	

Fund balances:
Nonspendable:
Prepaid items
Restricted for:	14,009	-	14,009	
Debt service	-	2,840,260	2,840,260	
Unassigned	511	-	511	
Total fund balances	14,520	2,840,260	2,854,780	

Total liabilities and fund balances	
$	23,108	$ 2,841,260	$ 2,864,368	
Total fund balances - governmental funds	$	2,854,780	
Amounts reported for governmental activities in the statement of net position are different because:
Capital assets used in governmental activities are not financial resources and, therefore, are not reported as assets in the governmental funds. The statement of net position includes those capital assets, net of any accumulated depreciation, in the net position of the government as a whole.
Cost of capital assets	32,705,000
Accumulated depreciation	(8,418,364)	24,286,636
Liabilities not due and payable from current available resources are not reported as liabilities in the governmental fund statements. All liabilities, both current and long-term, are reported in the government-wide financial statements.
Accrued interest payable	(1,426,133)		
Bonds payable	(49,785,000)	(51,211,133)	
Net position of governmental activities		$ (24,069,717)	

STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2016

 	Major Funds		Total
Debt	Governmental
 	General	Service	Funds	
REVENUES
Developer contributions	
$	74,409	
$ 2,718,610	
$	2,793,019	
User fee revenue	-	339,397	339,397	
Tenant fees	-	312,699	312,699	
Interest	 	-	8,823	8,823 	
Total revenues	 	74,409	3,379,529	3,453,938 	
EXPENDITURES		
Current:				
General government	74,409	2,000	76,409	
Debt service:
Interest	 	-	3,422,719	3,422,719 
Total expenditures	 	74,409	3,424,719	3,499,128 

Excess (deficiency) of revenues
over (under) expenditures	-	(45,190)	(45,190)

Fund balances - beginning	 	14,520	2,885,450	2,899,970 

Fund balances - ending	 $	14,520	$  2,840,260	$	2,854,780 

Net  change in fund balances  - total governmental funds	$ Amounts reported for governmental activities in the statement of activities
are different because:
Depreciation of capital assets is not recognized  in  the  governmental fund financial statements, but is reported as an  expense  in  the statement of activities.
Change  in net  position of governmental activities	$

(45,190)

(1,403,061)
(1,448,251)

NOTES TO FINANCIAL STATEMENTS NOTE 1 – NATURE OF ORGANIZATION AND REPORTING ENTITY
The Village at Gulfstream Park Community Development District ("District") was established May 2, 2007. The District was created by ordinance number 2007-05 of the City of Hallandale Beach, Florida, pursuant to the Uniform Community Development District Act of 1980, otherwise known as Chapter 190, Florida Statutes. The Act provides among other things, the power to manage basic services for community development, the power to borrow money and issue bonds, and to levy and assess non-ad valorem assessments for the financing and delivery of capital infrastructure.

The District was established for the purpose 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 governed by the Board of Supervisors ("Board"), which is composed of five members. The Supervisors are elected by the owners of the property within the District. The Board of Supervisors of the District exercise all powers granted to the District pursuant to Chapter 190, Florida Statutes. At September 30, 2016, three Board members are affiliated with The Village at Gulfstream Park, LLC (the “Developer”) and its affiliates.

The Board has the responsibility for:
Assessing and levying 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.

The financial statements were prepared in accordance with Governmental Accounting Standards Board (“GASB”) Statements. Under the provisions of those standards, the financial reporting entity consists of the primary government, organizations for which the District Board of Supervisors is considered to be financially accountable, and other organizations for which the nature and significance of their relationship with the District are such that, if excluded, the financial statements of the District would be considered incomplete or misleading. There are no entities considered to be component units of the District; therefore, the financial statements include only the operations of the District.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING 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 of the non-fiduciary activities of the primary government. For the most part, the effect of interfund activity has been removed from these statements.

The statement of activities demonstrates the degree to which the direct expenses of a given function or segment is offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment; (Operating- type special assessments for maintenance and debt service are treated as charges for services.) and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Other items not included among program revenues are reported instead as general revenues.

Measurement Focus, Basis of Accounting and Financial Statement 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 related cash flows. Assessments are recognized as revenues in the year for which they are levied. Grants and 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 government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures are recorded only when payment is due.

Assessments
Assessments are non-ad valorem assessments on benefited lands, or interests therein, within the District. Assessments are levied each November 1 on property of record as of the previous January 1 to pay for the operations and maintenance and debt service of the District. The fiscal year for which annual assessments are levied begins on October 1 with discounts available for payments through February     28 and become delinquent on April 1.

Assessments and interest associated with the current fiscal period are considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. The portion of assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period.

The District reports the following major governmental funds:

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

Debt Service Fund
The debt service fund is used to account for the accumulation of resources for the annual payment of principal and interest on long-term debt.

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 government’s policy to use restricted resources first for qualifying expenditures, then unrestricted resources as they are needed.

New Accounting Standards Adopted
During fiscal year 2016, the District adopted three new accounting standards as follows:

GASB 72, Fair Value Measurement and Application
The Statement improves financial reporting by clarifying the definition of fair value for financial reporting purposes, establishing general principles for measuring fair value, providing additional fair value application guidance, and enhancing disclosures about fair value measurements. These improvements are based in part on the concepts and definitions established in Concepts Statement No. 6, Measurement of Elements of Financial Statements, and other relevant literature.

GASB 76 - The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments The Statement identifies—in the context of the current governmental financial reporting environment—the sources of accounting principles used to prepare financial statements of state and local governmental entities in conformity with generally accepted accounting principles (GAAP) and the framework for selecting those principles.

GASB 79 - Certain External Investment Pools and Pool Participants
This Statement establishes accounting and financial reporting standards for qualifying external  investment pools that elect to measure for financial reporting purposes all of their investments at amortized cost. This Statement also establishes accounting and financial reporting standards for state and local governments that participate in a qualifying external investment pool that measures for financial reporting purposes all of its investments at amortized cost.

Assets, Liabilities and Net Position or Equity

Restricted Assets
Restricted assets represent cash and investments set aside pursuant to Bond covenants or other contractual restrictions.

Deposits and Investments
The District’s cash and cash equivalents are considered to be cash on hand and demand deposits.

The District has elected to proceed under the Alternative Investment Guidelines as set forth in Section
218.415 (17) Florida Statutes. The District may invest any surplus public funds in the following:

The Local Government Surplus Trust Funds, or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act;
Securities and Exchange Commission registered money market funds with the highest credit quality rating from a nationally recognized rating agency;
Interest bearing time deposits or savings accounts in qualified public depositories;
Direct obligations of the U.S. Treasury.

Securities listed in paragraph c and d shall be invested to provide sufficient liquidity to pay obligations as they come due. In addition, surplus funds may be deposited into certificates of deposit which are insured and any unspent Bond proceeds are required to be held in investments as specified in the Bond Indenture.

The District records all interest revenue related to investment activities in the respective funds. Investments are measured at amortized cost or reported at fair value as required by generally accepted accounting principles.

Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements.

Capital Assets
Capital assets, which include property, plant and equipment, and infrastructure assets (e.g., roads, sidewalks and similar items) are reported in the government activities columns in the government-wide financial statements. Capital assets are defined by the government as assets with an initial, individual cost of more than $5,000 (amount not rounded) and an estimated useful life in excess of two years. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital 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 assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed.

Property, plant and equipment of the District are depreciated using the straight-line method over the following estimated useful lives:
Assets	Years	
Roadway and transportation improvements	30	
Stormwater management system	30	
Water distribution system	30	
Sanitary sewer system	30	
Parks, outdoor and cultural facilities	15	

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.

Unearned Revenue
Governmental funds report unearned revenue in connection with resources that have been received, but not yet earned.

Long-Term Obligations
In the government-wide financial statements long-term debt and other long-term obligations are reported as liabilities in the statement of net position. Bond premiums and discounts are deferred and amortized over the life of the Bonds. Bonds payable are reported net of applicable premiums or discounts. Bond issuance costs are expensed when incurred.

In the fund financial statements, governmental fund types recognize premiums and discounts, as well as issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.

Deferred Outflows/Inflows of Resources
Deferred outflows of resources represent a consumption of net position that applies to future reporting period(s). For example, the District would record deferred outflows of resources on the statement of net position related to debit amounts resulting from current and advance refundings resulting in the defeasance of debt (i.e. when there are differences between the reacquisition price and the net carrying amount of the old debt).

Deferred inflows of resources represent an acquisition of net position that applies to future reporting period(s). For example, when an asset is recorded in the governmental fund financial statements, but the revenue is unavailable, the District reports a deferred inflow of resources on the balance sheet until such times as the revenue becomes available.

Fund Equity/Net Position
In the fund financial statements, governmental funds report non spendable and restricted fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Assignments of fund balance represent tentative management plans that are subject to change.

The District can establish limitations on the use of fund balance as follows:

Committed fund balance – Amounts that can be used only for the specific purposes determined by a formal action (resolution) of the Board of Supervisors. Commitments may be changed or lifted only by the Board of Supervisors taking the same formal action (resolution) that imposed the constraint originally. Resources accumulated pursuant to stabilization arrangements sometimes are reported in this category.

Assigned fund balance – Includes spendable fund balance amounts that are intended to be used for specific purposes that are neither considered restricted nor committed. The Board may also assign fund balance as it does when appropriating fund balance to cover differences in estimated revenue and appropriations in the subsequent year’s appropriated budget. Assignments are generally temporary and normally the same formal action need not be taken to remove the assignment.

The District first uses committed fund balance, followed by assigned fund balance and then unassigned fund balance when expenditures are incurred for purposes for which amounts in any of the unrestricted fund balance classifications could be used.

Net position is the difference between assets and deferred outflows of resources less liabilities and deferred inflows of resources. Net position in the government-wide financial statements are categorized as net investment in capital assets, restricted or unrestricted. Net investment in capital assets represents net position related to infrastructure and property, plant and equipment. Restricted net position  represents the assets restricted by the District’s Bond covenants or other contractual restrictions. Unrestricted net position consists of the net position not meeting the definition of either of the other two components.

Other Disclosures

Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from those estimates.

NOTE 3 – BUDGETARY INFORMATION

The District is required to establish a budgetary system and an approved Annual Budget.  Annual Budgets are adopted on a basis consistent with generally accepted accounting principles for the general fund. All annual appropriations lapse at fiscal year end.

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

Each year, the District Manager submits to the District Board a proposed operating budget for the fiscal year commencing the following October 1.
Public hearings are conducted to obtain public comments.
Prior to October 1, the budget is legally adopted by the District Board.
All budget changes must be approved by the District Board.

The budgets are adopted on a basis consistent with generally accepted accounting principles.
Unused appropriation for annually budgeted funds lapse at the end of the year.

NOTE 4 – DEPOSITS AND INVESTMENTS

Deposits
The District’s cash balances were entirely covered by federal depository insurance or by a collateral pool pledged to the State Treasurer. Florida Statutes Chapter 280, "Florida Security for Public Deposits Act", requires all qualified depositories to deposit with the Treasurer or another banking institution eligible collateral equal to various percentages of the average daily balance for each month of all public deposits in excess of any applicable deposit insurance held. The percentage of eligible collateral (generally, U.S. Governmental and agency securities, state or local government debt, or corporate bonds) to public deposits is dependent upon the depository's financial history and its compliance with Chapter 280. In the event of a failure of a qualified public depository, the remaining public depositories would be responsible for covering any resulting losses.

Investments
The District’s investments were held as follows at September 30, 2016:

	Amortized Cost	Credit Risk	Maturities	

Fidelity Institutional Government Portfolio Class I	
$	350,872	
S&P AAAm	Weighted average maturity: 34
days	

Florida SAFE Investment Pool	
2,490,388	
S&P AAAm	Weighted average maturity not
to exceed 60 days	
	$	2,841,260			
Credit risk – For investments, credit risk is generally the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Investment ratings by investment type are included in the preceding summary of investments.

Concentration risk – The District places no limit on the amount the District may invest in any one issuer.

Interest rate risk – The District does not have a formal policy that limits investment maturities as a means of managing exposure to fair value losses arising from increasing interest rates.

However, the Bond Indenture limits the type of investments held using unspent proceeds.

Fair Value Measurement – When applicable, the District measures and records its investments using fair value measurement guidelines established in accordance with GASB Statements. The framework for measuring fair value provides a fair value hierarchy that prioritizes the inputs to valuation techniques.

These guidelines recognize a three-tiered fair value hierarchy, in order of highest priority, as follows:
Level  1:	Investments whose values are based on unadjusted quoted prices for identical investments in active markets that the District has the ability to access;
Level 2: Investments whose inputs - other than quoted market prices - are observable either directly or indirectly; and,
Level 3: Investments whose inputs are unobservable.

The fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the entire fair value measurement. Valuation techniques used should maximize the use of observable inputs and minimize the use of unobservable inputs.

Money market investments that have a maturity at the time of purchase of one year or less and are held by governments other than external investment pools should be measured at amortized cost. Accordingly, the District’s investments have been reported at amortized cost above.

Capital asset activity for the fiscal year ended September 30, 2016 was as follows:

	Beginning
Balance	Ending
Additions	Reductions	Balance	
Governmental activities
Capital assets, being depreciated
Roadw ay and transportation improvements, including parking garage	

$ 13,663,857	

$	-	$	-	$13,663,857	
Stormw ater management system	4,501,972	-	-	4,501,972	
Water distribution system	1,683,385	-	-	1,683,385	
Sanitary sew er system	3,468,988	-	-	3,468,988	
Parks, outdoor and cultural facilities	9,386,798	-	-	9,386,798	
Total capital assets, being depreciated	32,705,000	-	-	32,705,000	

Less accumulated depreciation for:
Roadw ay and transportation improvements, including parking garage	

2,277,308	

455,462	-	2,732,770	
Stormw ater management system	750,330	150,066	-	900,396	
Water distribution system	280,565	56,113	-	336,678	
Sanitary sew er system	578,165	115,633	-	693,798	
Parks, outdoor and cultural facilities	3,128,935	625,787	-	3,754,722	
Total accumulated depreciation	7,015,303	1,403,061	-	8,418,364	

Total capital assets, being depreciated, net	
25,689,697	
(1,403,061)	-	24,286,636	

Governmental activities capital assets, net	
$ 25,689,697	
$ (1,403,061)	$	-	$24,286,636	
The cost of the infrastructure development financed by the District had been estimated at approximately
$143,000,000. The project will include on-site and off-site roadways, a public parking garage, a storm- water and wastewater management system, a water distribution system and parks, outdoor recreation and cultural facilities. The capital improvements will be financed by the District’s Series 2008 Bonds in addition  to  future  bond  issuances  or  Developer  contributions.     Phase  I  includes  approximately
$50,000,000 in public improvements. Certain improvements were acquired directly from the Developer in accordance with the Acquisition Agreement between the District and the Developer. Certain improvements were conveyed to other entities in a prior fiscal year.

Depreciation expense was charged to the maintenance and operations costs function.

NOTE 6 – LONG TERM LIABILITIES

On January 30, 2008, the District issued $60,285,000 of Special Assessment Revenue Bonds, Series 2008 due May 1, 2039 with a fixed interest rate of 6.875%. The Bonds were issued to finance the acquisition and construction of certain improvements for the benefit of the District. Interest is to be paid semiannually on each May 1 and November 1. Principal on the Bonds is to be paid serially commencing May 1, 2018 through May 1, 2039.

The Series 2008 Bonds are subject to redemption prior to maturity at the option of the District in whole or in part at any time on or after May 1, 2016. The Bonds are subject to extraordinary  mandatory redemption prior to their selected maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Bond Indenture.

The Bond Indenture established a debt service reserve requirement as well as other restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements. The District is in compliance with those requirements of the Bond Indenture at September 30, 2016.

Changes in long-term liability activity for the fiscal year ended September 30, 2016 were as follows:

Governmental activities

Beginning
Balance	Additions	Reductions

Ending Balance

Due Within One Year

Series 2008	$ 49,785,000	$	-	$	-	$ 49,785,000	$	-	
Total	$ 49,785,000	$	-	$	-	$ 49,785,000	$	-	
At September 30, 2016, the scheduled debt service requirements on the long-term debt were as follows:

Year ending September 30

Governmental Activities

Principal	Interest	Total

2017	$

-	$	3,422,719

$	3,422,719

2018	415,000	3,422,719	3,837,719	
2019	515,000	3,394,188	3,909,188	
2020	620,000	3,358,781	3,978,781	
2021	735,000	3,316,156	4,051,156	
2022-2026	5,735,000	15,642,688	21,377,688	
2027-2031	10,325,000	13,087,594	23,412,594	
2032-2036	16,990,000	8,689,656	25,679,656	
2037-2039	14,450,000	2,037,750	16,487,750	
Total	$ 49,785,000	$ 56,372,251	$ 106,157,251	

NOTE 7 – DEFICIT NET POSITION

The District has a government-wide net position deficit balance of ($24,069,717) as of September 30, 2016. The deficit primarily relates to capital outlay which has been financed through the issuance of long term debt but will not be owned or maintained by the District as discussed in Note 5 – Capital Assets.

NOTE 8 – DEVELOPER TRANSACTIONS AND INFORMATION

The Developer is the sole landowner in the District. The Developer funds the general operations of the District. Developer contributions to the general fund in fiscal year 2016 were $74,409.

The Developer has also agreed to fund the debt service on the Bonds which is not paid through user fee revenue, intergovernmental revenue and tenant fee revenue. During the current fiscal year, the Developer provided $2,718,610 to the Debt Service Fund.

On July 20, 2012, the Stronach Group, through its subsidiary GPRA Commercial Enterprises, Inc., purchased the portion of the Developer that was previously owned by FC Gulfstream Park, Inc. The Stronach Group, through its subsidiary GPRA Commercial Enterprises, Inc., now owns 100% of the Developer.

The Developer is also affiliated with the sole-owner of the Series 2008 bonds.

NOTE 9 – CONCENTRATION

The District’s activity is dependent upon the continued involvement of the Developer, the loss of which could have a material adverse effect on the District’s operations.

NOTE 10 – PUBLIC USER FEE

The Developer has imposed a public user fee on all sales occurring on property for which it holds a leasehold interest within the District. The Developer has assigned the District as beneficiary of the public user fee. In a prior fiscal year, the District entered into a user fee collection agreement with  the Developer, Regions Bank and MuniCap (collecting agent), where the public user fee is collected and paid to the District. During the term of the outstanding Bonds, the public user fees collected are applied by the Bond Trustee in accordance with the Bond Indenture. Subsequent to the amortization of the Bonds, the public user fees will be used to finance the operations of the District and then pay deferred costs of the Developer. The amount received from public user fees during the fiscal year ended September 30, 2016 was $339,397.

NOTE 11 – TENANT FEES

The Developer leases out retail space within the District. As part of its lease agreements with tenants the Developer charges a fee which is computed on a per square foot basis per year and billed monthly. These amounts are not charged or imposed by the District, but rather are part of the contractual obligations between the Developer and the tenants. Collections are received in a custodial account held in the Developer’s name by a trustee. The trustee makes disbursements twice a month to the District’s Revenue account. The Developer is directly billed for Debt Service after available amounts in the trust accounts are factored in. The amount received by the District from the custodial account is part of available amounts. The amount received from the Developer’s custodial account during the fiscal year ended September 30, 2016 was $312,699.

NOTE 12 – INTERGOVERNMENTAL REVENUE

In May 2009, the District entered into an agreement with the Hallandale Beach Community Redevelopment Agency (CRA) and the Developer, where the CRA will pay to the District, from tax increment revenue, the lesser of $900,000 or 100% of the ad-valorem taxes levied within the District less the amount of ad-valorem taxes that would have been produced by the millage rate for the applicable year. Payment to the District was to be received on May 1, 2011 and on May 1 of each of the following four years. After the initial five years, the CRA will pay to the District the lesser of $900,000 or 50% of the ad-valorem taxes levied within the District less the amount of ad-valorem taxes that would have been produced by the millage rate for the applicable year. Payments and benefits under this agreement will terminate on September 30, 2026 or upon certain other conditions as set forth in the agreement. The payments are dependent on a series of contingencies set forth in the agreement. During the fiscal year ended September 30, 2016, the District did not receive any funds in relation to this agreement. Since the inception of the agreement the District has received $192,872.

NOTE 13 – MANAGEMENT COMPANY

The District has contracted with a management company to perform management advisory services, which include financial and accounting services. Certain employees of the management company also serve as officers of the District. Under the agreement, the District compensates the management company for management, accounting, financial reporting, computer and other administrative costs.

NOTE 14 – 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; natural disasters; and environmental remediation. The District has obtained commercial insurance from independent third parties to mitigate the costs of these risks; coverage may not extend to all situations. There were no settled claims during the past three years.

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL – GENERAL FUND FOR THE FISCAL YEAR ENDED
SEPTEMBER 30, 2016

Budgeted Amounts	

Actual	Variance with Final Budget -
Positive	
	Original & Final	Amounts	(Negative)	
REVENUES
Developer contributions	
$	110,825	
$	74,409	
$	(36,416)	
Total revenues	110,825	74,409	(36,416)	

EXPENDITURES
Current:
General government	110,825	74,409	36,416
Total expenditures	110,825	74,409	36,416

Excess (deficiency) of revenues
over (under) expenditures	$	-

-	$	-

Fund balance - beginning	14,520

Fund balance - ending	$	14,520

See notes to required supplementary information

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION

An operating budget was adopted and maintained by the governing board for the District pursuant to the requirements of Florida Statutes. The budget is adopted using the same basis of accounting that is used in preparation of the fund financial statements. The legal level of budgetary control, the level at which expenditures may not exceed budget, is in the aggregate. Any budget amendments that increase the aggregate budgeted appropriations must be approved by the Board of Supervisors.

2700 North Military Trail ▪ Suite 350 Boca Raton, Florida 33431
(561) 994-9299 ▪ (800) 299-4728
Fax (561) 994-5823
www.graucpa.com

INDEPENDENT AUDITOR’S 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
The Village at Gulfstream Park Community Development District City of Hallandale Beach, 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 The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida (“District”) as of and for the fiscal year ended September 30, 2016, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements, and have issued our opinion thereon dated May 15, 2017.
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) to determine the 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 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 from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. 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 results 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.
May 15, 2017

INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES, REQUIRED BY RULE 10.556(10) OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA

To the Board of Supervisors
The Village at Gulfstream Park Community Development District City of Hallandale Beach, Florida

We have examined The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida's (“District”) compliance with the requirements of Section 218.415, Florida Statutes, in accordance with Rule 10.556(10) of the Auditor General of the State of Florida during the fiscal year ended September 30, 2016. Management is responsible for District’s compliance with those requirements. Our responsibility is to express an opinion on District’s compliance based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about District’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on District’s compliance with specified requirements.

In our opinion, the District complied, in all material respects, with the aforementioned requirements for the fiscal year ended September 30, 2016.

This report is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, management, and the Board of Supervisors of The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida and is not intended to be and should not be used by anyone other than these specified parties.

May 15, 2017

MANAGEMENT LETTER PURSUANT TO THE RULES OF THE AUDITOR GENERAL FOR THE STATE OF FLORIDA

To the Board of Supervisors
The Village at Gulfstream Park Community Development District City of Hallandale Beach, Florida

Report on the Financial Statements

We have audited the accompanying basic financial statements of The Village at Gulfstream Park Community Development District ("District") as of and for the fiscal year ended September 30, 2016, and have issued our report thereon dated May 15, 2017.

Auditor’s 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 Reports and Schedule

We have issued our Independent Auditor’s 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 Auditor’s Report on an examination conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated May 15, 2017, should be considered in conjunction with this management letter.

Purpose of this Letter

The purpose of this letter is to comment on those matters required by Chapter 10.550 of the Rules of the Auditor General for the State of Florida. Accordingly, in connection with our audit of the financial statements of the District, as described in the first paragraph, we report the following:

Current year findings and recommendations.
Status of prior year findings and recommendations.
Compliance with the Provisions of the Auditor General of the State of Florida.

Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, as applicable, management, and the Board of Supervisors of The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida and is not intended to be and should not be used by anyone other than these specified parties.

We wish to thank The Village at Gulfstream Park Community Development District, City of Hallandale Beach, Florida and the personnel associated with it, for the opportunity to be of service to them in this endeavor as well as future engagements, and the courtesies extended to us.
May 15, 2017

REPORT TO MANAGEMENT

CURRENT YEAR FINDINGS AND RECOMMENDATIONS

None

PRIOR YEAR FINDINGS AND RECOMMENDATIONS

2015-01: Budget

Current Status: Recommendation has been implemented

COMPLIANCE WITH THE PROVISIONS OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA

Unless otherwise required to be reported in the auditor’s report on compliance and internal controls, the management letter shall include, but not be limited to the following:

A statement as  to whether or  not corrective actions have been taken to address findings  and recommendations made in the preceding annual financial audit report.

There were no significant findings and recommendations made in the preceding annual financial audit report for the fiscal year ended September 30, 2015, except as noted above.

Any recommendations to improve the local governmental entity's financial management.

There were no such matters discovered by, or that came to the attention of, the auditor, to be reported for the fiscal year ended September 30, 2016.

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.

There were no such matters discovered by, or that came to the attention of, the auditor, to be reported, for the fiscal year ended September 30, 2016.

The name or official title and legal authority of the District are disclosed in the notes to the financial statements.

The financial report filed with the Florida Department of Financial Services pursuant to Section 218.32(1)(a), Florida Statutes agrees with the September 30, 2016 financial audit report.

The District has not met one or more of the financial emergency conditions described in Section 218.503(1), Florida Statutes.

We applied financial condition assessment procedures and no deteriorating financial conditions were noted as of September 30, 2016. It is management’s responsibility to monitor 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.