Board of Supervisors Nathan Price Raymond Benjamin Tamara Price Josianne Stewart Eric Moss Chairman Vice-Chairman/Treasurer Secretary Assistant Secretary Assistant Secretary

MAJORCA ISLES COMMUNITY DEVELOPMENT DISTRICT 19821 NW 2ND Avenue Box 373 Miami Gardens FL 33169

Tel: 305-925-0218|Fax: 888-699-8704| e-mail: manager@pdmsfirm.com

Established February 16, 2007

November 20, 2018 Board of Supervisors Majorca Isles Community Development District

Dear Board Members: A regular meeting of the Board of Supervisors of Majorca Isles Community Development District will be held on November 28, 2018 at 3:00pm at the City of Miami Gardens City Hall 18605 N.W 27th Avenue

Miami Gardens, Florida 33056. The advance agenda for the meeting is as follows: 1. Oath of Office for Newly Elected Supervisors Elected at General Election held November 6, 2018 for

Seat #3, Seat #4 and Seat #5

2. Roll Call 3. Audience Comments (Related to right to Speak Statute Changes) 4. Organizational Matters A. Consideration of Resolution #2018-05 Confirming the General Election Results B. Consideration of Resolution #2018-06 Electing Officers 5. Approval of Minutes of October 2, 2018 and November 14, 2018 Meetings 6. Consideration of Engagement Letter and Addendum to Engagement Letter with Grau & Associates to perform the Audit for Fiscal Year Ending September 30, 2018 7. Staff reports

a. Attorney b. Engineer c. Manager

8. Supervisors Request and Audience Comments 9. Adjournment After the newly elected supervisors subscribes to an oath of office, we will then call the meeting to order, and then consider Resolution #2018-03 Confirming the General Election Results and Resolution #2018·04 Electing Officers, Copies of the resolutions are enclosed for your review. The financials are also enclosed for your review. The balance of the agenda is routine in nature and will be discussed at the meeting. I look forward to seeing you at the meeting and in the meantime, if you have any questions, please contact me.

Each person who decides to appeal any action taken at these meetings is advised that person will need a record of the proceedings and that accordingly, the person may need to ensure that a verbatim record of the proceedings is made, including the testimony and evidence upon which such appeal is to be based.

Sincerely Raymond Benjamin / District Manager CC: James Weintraub

MINUTES OF MEETING

MAJORCA ISLES COMMUNITY DEVELOPMENT DISTRICT

A regularly scheduled meeting of the Board of Supervisors of the Majorca Isles Community

Development District was held on November 14, 2018 at 3:00 p.m. at the City of Miami Gardens

City Hall, 18605 N. W. 27th Avenue, Miami Gardens, Florida.

Board of Supervisors Present and constituting a quorum were:

Nathan Price………………………………………Chairman

Raymond Benjamin……………………………….Vice-Chairman / Treasurer

Tamara Price……………………………………....Secretary (call in)

Josianne Stewart…………………………………. Assistant Secretary (call in)

FIRST ORDER OF BUSINESS ROLL CALL

Mr. Benjamin called the meeting to order and completed the roll call completed with above

captioned persons confirmed present. Meeting called to order at 3:00pm

SECOND ORDER OF BUSINESS AUDIENCE COMMENTS

Audience Comments – There were no audience comments

THIRD ORDER OF BUSINESS MOTION TO ADOPT

RESOLUTION 2018-06 DFAC

RESOLUTION NO. 2018-06

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE MAJORCA ISLES COMMUNITY

DEVELOPMENT DISTRICT, FLORIDA; ESTABLISHING THE DISTRICT FINANCE, AUDIT AND

ACCOUNTING COMMITTEE (DFAAC) PROVIDING FOR ITS PURPOSE, FUNCTIONS, POWERS AND

DUTIES; PROVIDING FOR MEMBERSHIP AND APPOINTMENT; PROVIDING FOR COMPLIANCE WITH

APPLICABLE LAWS: PROVIDING FOR AN EFFECTIVE DATE.

Upon reading the resolution it was motioned for adoption

On MOTION by Mr. Benjamin to adopt Resolution

2018-06 (DFAC) which established the District Finance

and Audit Committee, Seconded by Ms. Price with all

in favor

FOURTH ORDER OF BUSINESS MOTION TO ADOPT RESOLUTION 2018-06 PWAC

RESOLUTION No. 2018-07

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE MAJORCA ISLES COMMUNITY

DEVELOPMENT DISTRICT, FLORIDA; ESTABLISHING THE PROJECT WIDE ADVISORY COMMITTEE

(PWAC); PROVIDING FOR ITS PURPOSE, FUNCTIONS, POWERS AND DUTIES; PROVIDING FOR

MEMBERSHIP AND APPOINTMENT; PROVIDING FOR COMPLIANCE WITH APPLICABLE LAWS:

PROVIDING FOR AN EFFECTIVE DATE.

Upon reading the resolution it was motioned for adoption

FIFTH ORDER OF BUSINESS ADOPTION OF AMMENDED RULES OF

PROCEDURE

SIXTH ORDER OF BUSINESS MOTION TO APPOINT PRESIDENT OF DFAC

On MOTION by Mr. Benjamin to adopt, Resolution

2018-07-a amended Rules of Procedure with

immediate effect. Ms. Price Seconded the motion with

all in favor

On MOTION by Mr. Benjamin to adopt Resolution

2018-07 (PWAC) PROJECT WIDE ADVISORY

COMMITTEE. Ms. Price seconded the motion with all

in favor

A Motion by Mr. Benjamin to adopt Resolution 2018-

07-b to appoint Nathan Price as President of the DFAC

the District Finance and Audit Committee was

seconded by Ms. Stewart. With three votes in favor.

One abstention recorded.

SEVENTH ORDER OF BUSINESS MOTION TO APPOINT PRESIDENT OF PWAC

SEVENTH ORDER OF BUSINESS MOTION TO ADJOURN MEETING

MOTION to adjourn the meeting was made by Ms.

Price and was seconded by Mr. Benjamin, the meeting

was adjourned at 3:45pm.

A Motion by Mr. Price to adopt Resolution 2018-07-c

appoint Raymond Benjamin as President of (PWAC)

Project wide Advisory Committee. Seconded by Ms.

Price with three votes in favor. One abstention

recorded.

MINUTES OF MEETING

MAJORCA ISLES COMMUNITY DEVELOPMENT DISTRICT

A regularly scheduled meeting of the Board of Supervisors of the Majorca Isles Community

Development District was held on October 2, 2018 at 3:00 p.m. at the City of Miami Gardens City

Hall, 18605 N. W. 27th Avenue, Miami Gardens, Florida.

Board of Supervisors Present and constituting a quorum were:

Nathan Price………………………………………Chairman

Raymond Benjamin……………………………….Vice-Chairman / Treasurer

Tamara Price……………………………………....Secretary (call in)

Josianne Stewart…………………………………. Assistant Secretary (call in)

Also present were

James Weintraub…………………………………. District Counsel (call in)

District Landowners / Residents

Karl Albertson……………………………………..DR Horton

Juan Alvarez ………………………………………District Engineer

Julie Reid…………………………………………..Walden Resident

FIRST ORDER OF BUSINESS ROLL CALL

Mr. Benjamin called the meeting to order and completed the roll call completed with above

captioned persons confirmed present

SECOND ORDER OF BUSINESS AUDIENCE COMMENTS

Audience Comments – There were no audience comments

THIRD ORDER OF BUSINESS APPROVAL OF AUGUST 14, 2018

MEETING MINUTES

Mr. Benjamin presented the minutes of the previous meeting of 08/14/2018 and gave an

overview of items discussed at that meeting

On MOTION by Mr. Price to accept the previous

minutes. Seconded by Mr. Benjamin approving

Resolution # 2018-03 confirming minutes of meeting

held on 08-14-2018 with all in favor

FOURTH ORDER OF BUSINESS OVERVIEW OF DR HORTON SITE PLAN FOR

PROPOSED PAVILLION AND DISTRICT

ANNEXATION

Karl Albertson (DR Horton) provided a detailed overview of the proposed pavilion approved with the single

family homes site plan approval and single family plat. Mr. Albertson explained that in its original design

it would be an open air pavilion with bathrooms and proposed playground and walking trails that go around

back to tract E.

Mr Albertson explained that they were hoping to finalize the details soon and needed to memorialize who

will maintain the pavilion in the future. The objective is to have the CDD own and operate the pavilion in the

future and that once complete it would become the property of the District. Mr. Albertson indicated that it

would be a simple transfer of ownership without monetary compensation. It was mentioned that there may

need to be mention of this area in the district engineering report.

District engineer interjected that the ownership agreement would need to be memorialized agreeing that the

attorney would need to look at the requirements and or legal mechanism for acquisition.

Additionally the attorney needs to determine whether it would be an agreement between DR Horton and the

District or whether the District creation ordinance would need to be amended, annexing that portion of the

property/land into the district. Attorney Weintraub confirmed that he will require the requirement and advise

the District on the proper process of acquisition. Mr. Alvarez also noted that the area in question was outside

the boundaries of the District

Mr. Benjamin commented on the fact that the district is interested in acquisition and operation of the pavilion

and addition of a pool and improvement of the pavilion building. Mr. Price posed the question as to building

a better pavilion, a pavilion where people can attend and hold events, a sort of clubhouse. Karl advised that

the pavilion was open with bathrooms on each side.

Mr. Benjamin mentioned that the District was willing to fund the upgrade. Mr. Albertson commented that he

did not see why not and that the smallest pool that they build ran about $140,000. Mr. Benjamin commented

that the folks at Walden needed an amenity and had indicated their support for an enhancement. Mr. Price

asked whether the pool at Walden II could be conveyed to the District to allow the pool to be shared by

Walden Place.

Attendee Julie Reid made comments as to the desire of the owner of Walden Place and the need to provide a

tangible amenity to the owners. Mr. Benjamin confirmed that it was indeed understood that some modification

would be needed.

Karl Albertson said he can confer with Lekesha about redesign he expressed concern that the approval process

would be protracted and would likely exceed the 90 days (three month) build time for the single family homes.

There was some other general discussion on space for the pool and general dimensions of the pavilion veranda

area.

Mr. Price question whether there would be two pools, Karl advised that the track C pool would be HOA

controlled. It was mentioned that access would be a problem for Walden Townhomes owners considering

numbers of persons would live there. Mr. Weintraub was advised that legal would need to advise on the

process of annexation including city and county or some statutory provision that would allow the district to

operate without annexation.

Mr. Moss posed a question of cost and unfinished items in Walden Townhome, which is HOA business.

Lastly, Karl confirmed that the objective of his attendance today was to make sure that the District would be

willing to take the pavilion and to determine the legal requirements for this acquisition. Elevation plan will

also be emailed for our review along with pool design options if any existed.

It was agreed that we need to see the legal requirements report from the attorney prior to proceeding. Mr.

Weintraub agreed to return a report in approximately two weeks at which point we will reconvene on this

matter.

FIFTH ORDER OF BUSINESS MOTION TO APPROVE ALLIED SECURITY POST

TRIAL PERIOD

The motion of approval requires incorporation of the following language in this vendors contract.

LIMITATIONS ON GOVERNMENTAL LIABILITY- Nothing in this Agreement shall be deemed

as a waiver of immunity or limits of liability of the School beyond any statutory limited waiver of

immunity or limits of liability which may have been adopted by the Florida Legislature in section

768.28, Florida Statutes, or other statute or law, and nothing in this Agreement shall inure to the

benefit of any third party for the purpose of allowing any claim which would otherwise be barred

under the Doctrine of Sovereign Immunity or by operation of law.

Verifying that all contracts include a duty to defend clause in favor of the District

SIXTH ORDER OF BUSINESS MANAGER CONTRACT TERMINATION

CLAUSE

The manager termination clause to be included in the management contract was put forward for

incorporation into the contract. It was agreed that the termination language needed to be

amended and that Mr. Weintraub would look at the added language. Mr. Weintraub also

confirmed that a motion was not required.

SIXTH ORDER OF BUSINESS MANAGER REPORT AND FINANCIAL

REPORTING.

The manager provided a comprehensive report on ongoing projects including the water management drain

cleaning project, which was recently, completed in phase 1 and 4.

Attorney James Weintraub confirmed that the default judgement against the District which is related

to foreclosure will be vacated. Mr. Weintraub confirmed that he had arrived at an agreement with opposing.

Counsel.

The supervisors reviewed the financial reports as at October 2, 2018 and approved the check runs

for the operating period ended September 30, 2018.

On MOTION by Mr. Benjamin to confirm the Allied

Security Contract inclusive of the statutory limitation

of Governmental Liability clause, and duty to defend

clause in favor of the District. Seconded by Ms. Price

approving Resolution # 2018-04 confirming the Allied

contract.

Mr. Benjamin confirmed completion of payment $178,034.34 which is due on November 1, 2018.

He confirmed that the fund was pre funded and that US Bank will draw amounts due at that time.

Audit report, was received and all delivery obligation have been met. Mr. Benjamin thanked the

supervisors for their hard work during the last fiscal year and a clean independent audit of FY16/17.

SIXTH ORDER OF BUSINESS CHECK RUN AND FINANCIAL REPORT

APPROVAL.

COMMENTS FROM SUPERVISOR PRICE Ms. Price took some time to discuss telephone calls related to purchasing within the district and that she was

processing those calls and educating those people on the purpose and function of the District, its tax structure

and benefit to the landowners.

SEVENTH ORDER OF BUSINESS MOTION TO ADJOURN MEETING

MOTION to adjourn the meeting was made by Ms.

Price and was seconded by Mr. Benjamin The meeting

was adjourned at 4:00pm.

On MOTION by Mr. Benjamin to approve the check run

for period ended 9-30-2018. Seconded by Mr. Price

approving Resolution # 2018-05 approving check run

and financial report. Approved with three in favor and

two abstentions.

Page 1 of 6

RESOLUTION NO. 2018-06

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE MAJORCA ISLES COMMUNITY

DEVELOPMENT DISTRICT, FLORIDA; ESTABLISHING THE DISTRICT FINANCE, AUDIT AND

ACCOUNTING COMMITTEE (DFAAC) PROVIDING FOR ITS PURPOSE, FUNCTIONS, POWERS AND

DUTIES; PROVIDING FOR MEMBERSHIP AND APPOINTMENT; PROVIDING FOR COMPLIANCE

WITH APPLICABLE LAWS: PROVIDING FOR AN EFFECTIVE DATE.

WHEREAS, the DISTRICT FINANCE, AUDIT AND ACCOUNTING COMMITTEE will be responsible for

assisting the Majorca Isles Community Development District ("MICDD") Board and Officers by providing

oversight of the integrity of the District’s financial statements, District financial strategy and objectives,

and their relationship to the annual strategic priorities, Performance of the District’s investments,

Compliance with legal and regulatory requirements, District Management, independent auditor’s

qualifications and independence, the performance of the District’s independent auditors, administration

of the District’s General Obligation Bonds and assets, review and approve the Audited Financial

Statements.

WHEREAS, the MICDD currently administers 7.9 million dollars in 2015 General Obligation Bonds,

Construction Fund and review of U.S. Bank Trustee Operations.

WHEREAS, the MICDD is responsible for quarterly and annual disclosure to bond investors and for State

and Federal regulatory review.

WHEREAS, an advisory committee can provide an important communication link between governmental

agencies, the public and the MICDD and it can lead to improve services and decision-making; and

WHEREAS, the board wishes to establish the District Finance Audit and Accounting Committee to provide

input, explore issues and provide advice and recommendations to Board on issues related its’

aforementioned contractual legal and regulatory obligations set forth and any agreements; and

NOW, THEREFORE, BE IT RESOLVED, by Majorca Isles Community Development District, Florida:

1. Advisory Committee Established. There is hereby established a District Finance Audit and Accounting

Committee (DFAAC).

2. Role and General Responsibilities of the DFAAC. The Finance Committee is a standing committee of the

Board of Directors and is typically chaired by the Board Treasurer. The committee is responsible for

reviewing and providing guidance for the organization’s financial matters. Specifically, the committee

assures internal controls, independent audit and financial analysis for the organization. The Committee is

responsible for:

a. Reviewing revenues and expenses at Committee meetings held at scheduled times as deemed

necessary.

b. Reviewing financial performance relative to achievement of the strategic objectives.

Page 2 of 6

c. Reviewing investment reports to determine if organizational funds are allocated and spent

appropriately (i.e., restricted funds).

d. Developing and recommending to the Board an investment strategy and reviewing the progress of said

strategy.

e. Reviewing annual budget assuring correlation to the strategic objectives and recommending its

approval to the Board

f. Reviewing the annual audit report and recommending its approval to the Board. (See attachment A)

g. Reviewing and approving all applicable tax forms (990).

h. Providing guidance to staff as needed.

TIMING AND COMMUNICATION:

The DFAAC Committee shall meet on a monthly basis. Meetings shall include discussions of the prior

month’s financial statement as well as any other issues related to committee including investment policy,

investment performance, quarterly financial statements, quarterly disclosure statements prepared by the

Controller and reviewed by the committee shall be sent to MICDD members and officers. via conference

call as it deems necessary with the ideal schedule on a monthly basis.

The Committee shall periodically meet separately with management and the independent auditor (if

applicable) to discuss issues and concerns warranting Committee attention. The Committee may delegate

authority to subcommittees or individuals when appropriate. Any such subcommittee or individual acting

under authority delegated by the Committee shall report any actions taken to the Committee at its next

scheduled meeting. The Committee shall report regularly to the Board.

PRIORITIES

MONTHLY REVIEW OF FINANCIAL STATEMENTS

Staff is responsible for the preparation, presentation, and integrity of MICDD’s financial statements and

for the appropriateness of the accounting principles and reporting policies that are used.

The Committee should review the financial statements presented by the Controller on a monthly basis

and provide guidance related to additional reports or presentation format for these reports.

OVERSIGHT

The Committee shall coordinate the Board’s oversight of MICDD internal control over financial reporting,

MICDD’s code of ethics for principal financial officers and MICDD’s code of business ethics and conduct.

The Committee shall receive and review the reports of the Controller.

Page 3 of 6

RISK MANAGEMENT

The Committee shall discuss MICDD’s policies with respect to risk assessment and risk management,

including guidelines and policies to govern the process by which the Association’s exposure to risk is

handled. The Committee should discuss with management the major financial risk exposures and the

steps management has taken to monitor and control such exposures.

LEGAL COMPLIANCE

The Committee shall consult with MICDD’s General Counsel regarding (i) legal matters that may have a

material impact on the financial statements of MICDD; (ii) any significant reports to, or inquiries from,

regulators or governmental authorities; (iii) significant legal compliance policies that may affect the

financial statements and (iv) any “whistleblower” complaints, employee grievances or other complaints

regarding the integrity of MICDD’s financial statements, internal controls or significant accounting

policies.

PROCEDURES FOR COMPLAINTS

The Committee shall establish procedures for (i) the receipt, retention and treatment of complaints

received by MICDD regarding accounting, internal accounting controls or auditing matters; and (ii) the

confidential, anonymous submission by employees of MICDD of concerns regarding questionable

accounting or auditing matters.

EVALUATION OF FINANCIAL STRATEGY AND OBJECTIVES

The Committee shall review and discuss with management MICDD’s financial strategy and objectives in

relationship to the budget and the strategic priorities for the budgeting period.

ADDITIONAL POWERS

The Committee shall have such other duties that may be delegated from time to time by the Board.

a. The Committee shall keep such records of its meetings as it shall deem appropriate.

b. Subcommittees. The Committee may form and delegate authority to one or more subcommittees

(including a subcommittee consisting of a single member), as it deems appropriate from time to time

under the circumstances. Any decision of a subcommittee to pre-approve audit, review, attest or non-

audit services shall be presented to the full Committee at its next scheduled meeting.

c. Reports to Board. The Committee shall report regularly to the Board. The Committee should review

with the full Board any issues that arise with respect to the quality or integrity of MICDD’s financial

statements, MICDD’s compliance with legal or regulatory requirements, the performance and

independence of the MICDD’s independent auditors or the performance of the internal audit function.

Page 4 of 6

d. Charter. At least annually, the Committee shall review and reassess the adequacy of this Charter and

recommend any proposed changes to the Board for approval.

e. Investigations. The Committee shall have the authority to conduct or authorize investigations into any

matters within the scope of its responsibilities as it shall deem appropriate, including the authority to

request any officer, employee or advisor of MICDD to meet with the Committee or any advisors engaged

by the Committee.

f. Annual Self-Evaluation. At least annually, the Committee shall evaluate its performance. The President

of the Committee, together with MICDD’s Chairman, shall determine the form and nature of the annual

self-evaluation. The President of the Committee shall report the results of the evaluation to the Board.

ANNUAL AUDIT

The Committee is responsible for the appointment, evaluation, retaining and when necessary terminating

the engagement of the independent auditor. In addition, the Committee should review the RFP process

related to the hiring of a new Independent Auditor.

Every five years, the Committee shall assess whether to retain the current auditor for the next audit or

decide upon a rotation of the independent audit firm. The Committee shall consult with the independent

auditor regarding rotation of the lead partner in compliance with applicable regulatory requirements.

The Committee should actively engage in a dialogue with the auditors with respect to any disclosed

relationships or services that may impact their objectivity and independence.

Committee members shall review with the independent auditors and financial management the

adequacy and effectiveness of the accounting and financial controls and elicit any recommendations for

the improvement of such internal control procedures or areas where new or more detailed controls or

procedures are desirable.

The independent auditors are responsible for auditing MICDD’s financial statements. The authority and

responsibilities set forth in this Charter do not reflect or create any duty or obligation of the Committee

to plan or conduct any audit, to determine or certify that MICDD’s financial statements are complete,

accurate, fairly presented, or in accordance with generally accepted accounting principles or applicable

law, or to guarantee the independent auditor’s report.

AUDITED FINANCIAL STATEMENTS

Review and Discussion. The Committee shall review and discuss with the Board and MICDD’s management

and independent auditor MICDD’s annual audited financial statements.

Oversight. The independent auditor shall report directly to the Committee, and the Committee shall be

directly responsible for oversight of the work of the independent auditor, including resolution of

disagreements between Company management and the independent auditor regarding financial

reporting.

Page 5 of 6

In connection with its oversight role, the Committee shall, from time to time as appropriate receive and

consider the reports required to be made by the independent auditor regarding:

1. critical accounting policies and practices

2. other material written communications between the independent auditor and Company management.

The Committee shall also review, in consultation with the independent auditor:

a. any audit problems or difficulties the independent auditor encountered in the course of the audit work

and management’s response, including any restrictions on the scope of the independent auditor’s

activities or on access to requested information and any significant disagreements with management;

b. significant issues as to the adequacy of MICDD’s internal controls and any special audit steps adopted

in light the determination that any significant deficiencies or material weaknesses

c. analyses prepared by management and/or the independent auditor setting forth significant financial

reporting issues and judgments made in connection with the preparation of the financial statements,

including analyses of the effects of alternative GAAP methods on the financial statements

d. any accounting adjustments that were noted or proposed by the auditor but were “passed” (as

immaterial or otherwise)

OFFICERS, QUORUM AND RULES OF PROCEDURE

a. MICDD Board Members will appoint President of DFAAC. President of District Finance Audit and

Accounting Committee shall serve a 4 (Four) year term with eligibility for reappointment.

b. President of DFAAC shall serve 4-year term as Ex Officio Officer/member of Majorca Isles Community

Development District Board of Supervisors and shall have all the powers, duties, functions, voting rights

as any board member or Officer and shall count toward a quorum to conduct District business.

c. President of DFAAC will appoint committee members. Members terms shall be for 2 (Two) years, with

eligibility for reappointment.

d. The presence of a majority of the members constitute a quorum of the DFAAC necessary to take action

and transact business. In addition, once quorum requirements have been met, an affirmative vote of the

majority of the DFAAC members present at the meeting shall be necessary in order to take official action.

A tie vote shall not be considered an affirmative vote.

e. The DFAAC may by a majority vote of the entire membership adopt rules of procedure for the

transaction of business. The DFAAC shall keep a written record of meetings, actions, findings and

recommendations. Copies of all DFAAC minutes, actions, reports, findings and recommendations shall be

submitted to the Board.

Page 1 of 3

RESOLUTION No. 2018-07

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE MAJORCA ISLES COMMUNITY

DEVELOPMENT DISTRICT, FLORIDA; ESTABLISHING THE PROJECT WIDE ADVISORY COMMITTEE

(PWAC); PROVIDING FOR ITS PURPOSE, FUNCTIONS, POWERS AND DUTIES; PROVIDING FOR

MEMBERSHIP AND APPOINTMENT; PROVIDING FOR COMPLIANCE WITH APPLICABLE LAWS:

PROVIDING FOR AN EFFECTIVE DATE.

WHEREAS, the Majorca Isles Community Development District ("MICDD") and City Of Miami Gardens

Public Works, Miami Gardens Police and Allied Universal Security have entered into an inter-local

Governmental Agreement For Maintenance of Project Wide Improvements on November 14, 2018 , to

provide funding and maintenance for certain defined common areas as provided for in Exhibit "A" of the

inter-local agreement of general benefit to all residents and users of said common areas ("Project Wide

Improvements"); and other projects within or outside of District boundaries.

WHEREAS, MICDD is currently exploring development projects with developer DR Horton.

WHEREAS, the interlocal agreement provides that MICDD shall coordinate and supervise the

maintenance of the Project Wide Improvements; and

WHEREAS, an advisory committee can provide an important communication link between governmental

agencies, the public and the members of the MICDD board and can lead to improved service and decision

making; and

WHEREAS, the Board wishes to establish a Project Wide Advisory Committee

("PWAC") to provide input, explore issues and provide advice and recommendations to Board on issues

related to its aforementioned contractual obligations set forth in any inter local agreements; and

NOW, THEREFORE, BE IT RESOLVED, by the Board of Supervisors of the Majorca Isles Community

Development District, Florida:

I. Advisory Committee Established. There is hereby established a Project Wide Advisory Committee

("PWAC").

2. Purpose of the PWAC. The purpose of the PWAC is to provide input, explore issues and provide advice

and recommendations to the Board on issues related to the Board's management of Project Wide

Improvements which include but not limited to: Any development, improvement, property, utility, facility,

works, enterprise, service now existing or hereafter under taken or established.

3. Full Disclosure of Information relating to the Public Financing and maintenance of improvements to

Real Property under taken by the District. Specific authority: Florida Statues 190.009 Disclosure of Public

Financing.

DUTIES

a. Monitor and recommend pertinent and significant aspects of the project wide maintenance and

development process as follows:

Page 2 of 3

b. Review and recommend an annual budget to the Board, review budget to actual statements and review

and recommend all capital expenditures through the budget process or outside the budget process as the

need develops.

c. Review and recommend contract renewals and bid and proposal awards to the Board.

d. Explore significant and important issues as they arise and provide advice and recommendations to the

Board.

e. Perform any other duties as assigned by the Board.

MEMBERSHIP

a. The PWAC shall consist of up to seven (7) members. Members do not need to be residents of the

District. Homeowner and Condominium Association Officials as well as District residents can also be

committee members.

b. The PWAC shall meet at a minimum once each month.

c. Members of the PWAC shall serve without compensation and all members shall be able to devote the

time necessary to participate in the activities of the committee.

OFFICERS, QUORUM, AND RULES OF PROCEDURE

a. MICDD Board Members will appoint President of PWAC. President of Project Wide Advisory Committee

shall serve a 4 (Four) year term with eligibility for reappointment.

b. President of PWAC shall serve 4- year term as Ex Officio Officer/member of Majorca Isles Community

Development District Board and shall have all the powers, duties, functions, voting rights as any board

member or Officer and will count toward a quorum to conduct District business.

c. President of PWAC will appoint committee members. Members terms shall be for 2 (Two) years, with

eligibility for reappointment.

d. The presence of a majority of the members constitute a quorum of the PWAC necessary to take action

and transact business. In addition, once quorum requirements have been met, an affirmative vote of the

majority of the PWAC members present at the meeting shall be necessary in order to take official action.

A tie vote shall not be considered an affirmative vote.

e. The PWAC may, by a majority vote of the entire membership of the PWAC, adopt rules of procedure

for the transaction of business. The PWAC shall keep a written record of meetings, actions, findings and

recommendations. Copies of all PWAC minutes, actions, reports, findings and recommendations shall be

submitted to the Board.

Nov 28, 18

ASSETSCurrent Assets

Checking/Savings255904010-BOND REDEMPTION 4,179.3110100 ꞏ 2000036879834 -GENERAL FUND 141,253.1915100 ꞏ 322550 SBA Account 39,063.69600-100 ꞏ 255904001- ACQ CONSTRUCTION A/c 4,715,971.44700-100 ꞏ 255904008 DEBIT SERVICE RESERVE 230,715.63700-200 ꞏ 255904007 - CAPITALIZED INT 1,653.23700-400 ꞏ 255904000 - REVENUE FUND 216,993.49

Total Checking/Savings 5,349,829.98

Total Current Assets 5,349,829.98

TOTAL ASSETS 5,349,829.98

LIABILITIES & EQUITYLiabilities

Current LiabilitiesAccounts Payable

20200 ꞏ Accounts Payable 2,487.40

Total Accounts Payable 2,487.40

Other Current Liabilities20201 ꞏ Payroll Liabilities 236.80

Total Other Current Liabilities 236.80

Total Current Liabilities 2,724.20

Long Term Liabilities38400 ꞏ Bond Series 2015 Principal Liab 7,280,197.6472000 ꞏ Bond Series 2015 Interest Liab 5,995,887.48

Total Long Term Liabilities 13,276,085.12

Total Liabilities 13,278,809.32

Equity30000 ꞏ Opening Balance Equity -9,044,678.6132000 ꞏ Retained Earnings 1,114,718.33Net Income 980.94

Total Equity -7,928,979.34

TOTAL LIABILITIES & EQUITY 5,349,829.98

1:09 AM MAJORCA ISLES CDDBalance Sheet

Accrual Basis As of November 28, 2018

Page 1

Nov 28, 18

ASSETSCurrent Assets

Checking/Savings255904010-BOND REDEMPTION 4,179.3110100 ꞏ 2000036879834 -GENERAL FUND 141,253.1915100 ꞏ 322550 SBA Account 39,063.69600-100 ꞏ 255904001- ACQ CONSTRUCTION A/c 4,715,971.44700-100 ꞏ 255904008 DEBIT SERVICE RESERVE 230,715.63700-200 ꞏ 255904007 - CAPITALIZED INT 1,653.23700-400 ꞏ 255904000 - REVENUE FUND 216,993.49

Total Checking/Savings 5,349,829.98

Total Current Assets 5,349,829.98

TOTAL ASSETS 5,349,829.98

LIABILITIES & EQUITYLiabilities

Current LiabilitiesOther Current Liabilities

20201 ꞏ Payroll Liabilities 236.80

Total Other Current Liabilities 236.80

Total Current Liabilities 236.80

Long Term Liabilities38400 ꞏ Bond Series 2015 Principal Liab 7,280,197.6472000 ꞏ Bond Series 2015 Interest Liab 5,995,887.48

Total Long Term Liabilities 13,276,085.12

Total Liabilities 13,276,321.92

Equity30000 ꞏ Opening Balance Equity -9,044,678.6132000 ꞏ Retained Earnings 1,129,397.98Net Income -11,211.31

Total Equity -7,926,491.94

TOTAL LIABILITIES & EQUITY 5,349,829.98

1:11 AM MAJORCA ISLES CDDBalance Sheet

Cash Basis As of November 28, 2018

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