Waterstone Community Development District

David Jackson – Chairman Joann DeRosa – Vice Chair
Colton Case – Assistant Secretary Susan Hofman – Assistant Secretary Bob Frien

http://www.waterstonecdd.com

February 12, 2026

Seat 4: David Jackson – (C.)		
Seat 3: Joann DeRosa – (V.C.)		
Seat 2: Bob Frien		
Seat 1: Colton Case – (A.S.)		
Seat 5: Susan Hofman – (A.S.)		

Waterstone
Community Development District
Agenda

Thursday	2160 NW Reserve Park Trace
February 12, 2026	Port St. Lucie, Florida 34986-3223 11:00 a.m.		Join the Meeting Now
Meeting ID: 263 460 512 153 7 and Passcode: K4TJ7En9
1 872-240-4685 and Phone Conference ID: 836 332 294#

Oath of Office for Mr. Bob Frien – Page 5

Roll Call

Approval of the Minutes of the November 13, 2025 Meeting – Page 6

Acceptance of Audit for Fiscal Year Ending September 30, 2025 – Page 28

Review of Legal Counsel Proposals
Kutak Rock – Page 63

Billing Cochran – Page 89

Kilinski Van Wyk – Page 91

Discussion of:
Sidewalk Proposals
Atlanti Structural, LLC – Page 103

K.G. Concrete & Development – Page 104

Upgrade for Pool Electrical Box
Veterans Air and Electric – Page 106

St. Lucie Electric – Page 107

Change Order Gate Exit Proposal with St. Moritz – Page 108

Change Order# #001 for Road Work with All County Pavement Management Solutions – Page 111

Staff Reports
Attorney

Engineer
Field Manager – Monthly Report – Page 113
Manager

Financial Statements
Approval of Check Run Summary – Page 118

Acceptance of Unaudited Financials – Page 130

Supervisors Requests and Audience Comments

Adjournment
Meetings are open to the public and may be continued to a time, date and place certain. For more information regarding this CDD please visit the website: http://www.waterstonecdd.com

Waterstone Community Development District

David Jackson – Chairman Joann DeRosa – Vice Chair
Colton Case – Assistant Secretary Susan Hofman – Assistant Secretary Bob Frien

http://www.waterstonecdd.com

February 12, 2026

Oath of Office

I, 	 a resident of the State of Florida and citizen of the United
States of America, and being a Supervisor of the W	a t e r Cs t o mn em	u n i t y	D	e v e l o
and a recipient of public funds on behalf of the District, do hereby solemnly swear or affirm that I will support the Constitution of the United States and of the State of Florida, and will faithfully, honestly and impartially discharge the duties devolving upon me in the office of Supervisor of the W	a t e r s t
C	o m	m Du ne vi teyl o p m	e n t D	i s t r iCc ot , u_ ,_nF _lt oy_ _r. i_d_ a_ _ _ _ _ _ _

S i g n a t u r e	 H	o m	e  A	d d r e s s	

o u n t y o f R  e s i d e n c e :	 T e l e p h  o n e #:	 E -m  a i l :	
a t e :	

Sworn	to	(or	affirmed)	before	me	this			day	of		,	by
	 whose signature appears hereinabove.

Notary Public State of Florida

Print Name

My Commission expires Personally known 	 or produced identification 	
Type of identification	

MINUTES OF MEETING WATERSTONE
COMMUNITY DEVELOPMENT DISTRICT
The regular meeting of the Board of Supervisors of the Waterstone Community Development District was held on Thursday, November 13, 2025, at 11:00 a.m. at 2160 NW Reserve Park Trace, Port St. Lucie, Florida 34984.

Present and constituting a quorum were:

David Jackson	Chairman
Colton Case	Assistant Secretary
Susan Hofman	Assistant Secretary

Also present were:

Andressa Hinz Philippi	District Manager
Matthew Hans	Governmental Management Services

FIRST ORDER OF BUSINESS	Oath of Office for Mr. Bob Frien
Mr. Jackson: So, Bob is on the Board. Ms. Hinz Philippi: Yes.
Mr. Jackson: Because I reminded Bob of the meeting this morning and he said, I’m not on the Board, and I said, are you sure, I thought we took care of that.
Ms. Hinz Philippi: Well, he was appointed, but he needs to come to do his oath. Mr. Jackson: That’s what I was thinking.
Ms. Hoffman: And I thought he was on the agenda for that.
Ms. Hinz Philippi: Yes, and I think I sent you an email to give his information to me. Mr. Jackson: I don’t know, maybe I missed that one, ok.
Ms. Hinz Philippi:	So, just send him this, I will forward you the email, so I can contact him before the meeting.
Mr. Jackson: Ok, I give it to you at the end of the meeting. Mr. Case: Remind me on that what’s the 4-hour course?
Ms. Hinz Philippi: So, that is the ethics course, and you have until December 31st, and I’ll ask the attorney to send a link for you guys.

Ms. Hoffman: Ok, because that was one of my questions.
Ms. Hinz Philippi: So, it’s self-reporting so when you do it you just make a note what the website was that you did and the date, and if you ever have to tell anyone you have it in your notes. So, you just do it, and then you’re only going to report that next year on your Form 1, when you do the Form 1 they’re going to ask you, did you do your training, and then you’re going to check the box that you did.
Ms. Hoffman: Ok, so you’re going to send the link for the course.
Ms. Hinz Philippi: Yes, there are a couple that are free, so usually the attorney puts together the email with the links for us and then we send that out, so I’ll her to send that.
Ms. Hoffman: Ok, because we only have a little over a month to get it done.
Ms. Hinz Philippi: Yes, so probably we’ll have the oath of office for Bob next time. Mr. Jackson: Yes, we’ll make sure he’s here.
Ms. Hinz Philippi: Alright.

SECOND ORDER OF BUSINESS	Roll Call
Ms. Hinz Philippi called the meeting to order and called the roll.

THIRD ORDER OF BUSINESS	Approval of the Minutes of the
September 11, 2025 Meeting
Ms. Hinz Philippi: So, the next item would be approval of the minutes of the September 11, 2025 meeting. If you have any deletions, additions or corrections, I can take those, and if not, a motion to approve would be in order.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, the Minutes of the September 11, 2025 Meeting were approved.

FOURTH ORDER OF BUSINESS	Ratification of:
Amenity	Center/Field	Operations	Management	and	Janitorial	Services Agreement with Community Associations and Lifestyle Management IV, LLC
Asphalt Pavement Milling and Re-Surfacing Work Agreement with M&M Asphalt Maintenance, Inc.
Reimbursement of Order Summary for Resident’s Ripped Tires on Pothole
Ms. Hinz Philippi: The next item is just a ratification of amenity center/field operations management and janitorial services agreement, then the asphalt pavement milling and re-surfacing work agreement and then reimbursement of ripped tires for resident, I need a motion to ratify all of them. These were approved initially already, we’re just bringing them back to be part of the District’s records.
Mr. Jackson: Ok.
Ms. Hinz Philippi: So, this was already approved we just need to bring them back to this meeting to be part of the agenda.
Mr. Jackson: Ok, alright.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, ratifying items A though C listed above was approved.

FIFTH ORDER OF BUSINESS	Staff Reports
Attorney
Ms. Hinz Philippi: The next item would be staff reports, so we don’t have the attorney with us today.

Engineer
Ms. Hinz Philippi: Also the engineer is not present.

Field Manager
Field Report
Discussion of Landscape Proposals
Ms. Hinz Philippi: So, we’re going to go to field manager report, and Matt has his report there, do you need to discuss anything Matt.
Mr. Hans: Nothing that really needs to be elaborated on the report. I don’t know if I actually included in the report that they had replaced the plants that were damaged by the falling powerline but, we did replace those Azores so there’s not a giant burned out gap at

our front entrance anymore. At our last meeting we had discussed bringing back some proposals to upgrade the landscaping at that front entrance to make up for the lack of appeal, from removing the crest to asphalt. So, these are $28,000 worth of landscape work but, this is upgrading the front entrance, filling in any gaps that we have there, and then putting in annuals as well in the flower beds up front. It also involves us upgrading the landscaping on the medians throughout the community as you come in through Waterstone Blvd. filling in a lot of the gaps that we have there. The landscaping when you drive down Waterstone Blvd. needs a lot to be desired, to say the least. This would fill things in and just make it look fresh and new.
Mr. Jackson: Ok, and is this in the budget? Is this going to be accounted for next year, or how is it looking?
Ms. Hinz Phlippi: We do have the reserves.
Mr. Jackson: Is there any competitive bid on it?
Mr. Hans: Before this I did not have a competitive bid directly on this one, we have in the past but, they’re pretty much right in line with everybody else that we’ve been using for landscape bid installs but, they’re also the company that’s going to be taking care of it, so it leads to a lot less finger pointing if something goes wrong.
Mr. Jackson: Ok.
Ms. Hofman: I have a question, is this going to be before or after you finish all of the gates?
Mr. Hans: This would be after all of that.
Ms. Hofman: Yes, I think that would be a good idea to get all of that construction and painting out of the way and then kind of brighten it up with some beautiful flowers and make it look presentable.
Mr. Hans: Yes, that’s exactly the plan on this, this work would be done early or mid-December essentially.
Ms. Hofman: And I personally think the entranceway could us a little bit of sprucing
up.
Mr. Hans: Yes.
Mr. Jackson: Yes, if it’s in the budget.
Mr. Hans:	And that landscaping that’s at that center island and throughout the
community, it’s been there for 20 years now, so it definitely needs some fresh life.

Mr. Jackson: So, the budget there for this year, what does that look like, how close are we getting on that?
Mr. Hans: Well, we’re in the new fiscal year now, our fiscal year ending September 31st and started October 1st for fiscal year 2026, so we’re in the new year.
Mr. Jackson: Got it. Ok, well I’ll make a motion to approve this bid. Ms. Hinz Philippi: So, how much is it Matt?
Mr. Hans: It is $28,286.94. Ms. Hinz Philippi: Ok.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, accepting the proposal from Down to Earth in the amount of $28,286.94 for landscaping improvements was approved.

Update and Directions on Gate Project
Ms. Hinz Philippi: The next item would be update and directions on gate project, so I don’t know if you guys know but, our gate project in underway, they are working there.
Mr. Jackson: I’ve seen the cameras up this morning.
Mr. Hans: Yes, they should be back out I think in about 7 more days to finish the install with everything for the gates, we have training for the residents on the 19th, there should be an email coming out from the HOA today for that. We have a mail out that should also be arriving on Monday or Tuesday to let everybody know as well.
Ms. Hofman: I have a question on that, the App, that Zulu App, that’s not mandatory is it?
Mr. Hans: I mean you don’t really have to use it but, we encourage everybody to download it, it will make your guest process a lot quicker for them.
Ms. Hofman: I’m assuming it will be open during the day anyway for delivery.
Mr. Hans: Yes, during the construction process, it’s more for afterwards, and after
hours.
Mr. Jackson: After the builder is out then they’ll remain closed during the day.
Mr. Hans: Yes, exactly, and then I believe the plan right now is we’re going to close
it at 6:00 to 12:00 since we discussed that for construction, and sales are done, that way. So, it’s not 100% necessary but, the process of going through and talking to the gate and

all that, it’s going to take a little bit of time, so if they have the scan, they just scan it and come right through it saves them some time because there is typically with those little kiosks a delay for the guard coming to the camera to get to you but, if you have the QR code to scan you skip that whole process and it just opens up for you the second you scan it, so that’s really the advantage to using the App, you save your guests a little bit of time, and should hopefully avoid the gate backing up too much if we have enough people doing it that way.
Ms. Hofman: Ok.
Mr. Jackson: The construction entrance we were just going to shut for now?
Mr. Hans: Yes, we’re just going to shut it at 6:00 I believe, whenever your guys leave, you shut it down.
Ms. Hinz Philippi: And I know that David, you’re on the HOA Board, right? Mr. Jackson: Yes.
Ms. Hinz Philippi: So, we need some direction in how many transponders we’re going allow for household.
Mr. Jackson: Ok.
Ms. Hinz Philippi: And direction in how much to charge them for extra ones too, and if they lose them how much will it be to replace them but, we also were thinking that there are various problems that we have because of renters in the community, and it would be a good opportunity for the HOA to include some different rules for renting because we are doing this process and when the online part finishes they’re going to have to come in because they’re putting it in their household name, license plate number, the car, and whatever. So, they’re going to come in physically to do that, and then I’m going to schedule with Matt, we’re going to have somebody help that person probably for a week where people come and we are going to install it on their car, so you come with your car, and I’m going to put the transponder on, I’m not going to give you the transponder because then you can have that and switch it to another car or whatever.
Mr. Jackson: Right.
Ms. Hinz Philippi: So, I’m going to put it on your car in the right place so that the reader can read it and you know where to put it and whatever. So, when you do that, I’m going to look to see if you have your house documents on you, or if I look it up on the Property Appraiser website, and it’s under your name, the house, and then you’re going to

give me your ID so I know it’s you, and I’m going to say ok, and that same process is for the renters. They’re going to have to have their lease and their ID, and if they don’t then I’m not going to assign it out.
Mr. Jackson: Right, that might create some frustration because people probably don’t have their leases just laying around but, they should be able to get it.
Ms. Hofman: Yes, they should absolutely have a copy of their leases especially because it’s only a couple years old the community and it’s not like they’ve been long time tenants over there, and lot of them are probably less than a year, I mean the two houses down from me have had 5 tenants in there, and 4 evictions, and now we have a taxi cab driver in there.
Mr. Jackson: And we could probably create a document in lieu of a thing anyway that’s signed by the homeowner.
Mr. Hans: Well, we’d rather have their lease on file that way when it expires, their pass expires.
Ms. Hinz Philippi: I’m going to keep any documentation and we’re going to put a note, like this person, their lease goes to until 2028.
Ms. Hans: And I was planning that on file. Ms. Hofman: I like that idea.
Ms. Hinz Philippi: And you know how I feel about it because everything we keep is public record.
Ms. Hans: Right, exactly.
Ms. Hofman: I mean as long as you verify with the lease.
Ms. Hinz Philippi: And even our emails also, everything that we do.
Mr. Case: So, I can get on the Property Appraiser website and see who owns the house, and get on the public records, I see what they financed, I can see everything for a homeowner but not the renter, because homeowner stuff is all public knowledge.
Mr. Hans: Yes.
Ms. Hofman: Yes, the homeowner’s information is public knowledge I agree with you 100% but, I do think that you need to have a copy of the lease and an ID before you give out a transponder to anybody, that I agree, but as far as who owns the property, I mean you just plug in your address on St. Lucie County website.

Mr. Hans: Yes, that’s part easy, getting that for the homeowners, it’s more just for the rentals.
Mr. Jackson: Right, so just give them a heads up they need to bring a copy of their lease and they can contact their landlord if they don’t have one and get one sent over, and we can work hand in hand with the HOA manager, Kalin.
Ms. Hinz Philippi: Yes, and the thing is for the HOA, you need to put it in the rules. Mr. Jackson: Renter, I think we tried to do that.
Ms. Hofman: It was so unsatisfactory, I had to walk out of that meeting because we tried to get an amendment ratified to have these tenants vetted.
Mr. Jackson: Right, a background check and it did not pass.
Ms. Hofman: Right, it did not pass which is baffling to me, it didn’t pass, so you could rent to anybody and there’s no vetting process whatsoever, and that was extremely disappointing.
Mr. Jackson: I think to change the rules and regulations of the community, it think it was a two thirds majority vote and so that’s tough. At any point, unless you have a really good campaign leading up to that because don’t show up, people don’t vote, there’s so many absentee owners.
Ms. Hofman: Right, we tried to get a lot of proxies for that and that was the only reason why I went to that meeting was because we had tried to get that done.
Mr. Jackson: The problem is there’s probably a lot of renters already, and they’re not going to come and vote.
Ms. Hofman: Right, and that’s 100% but, as many as we could tried to get that implemented because it’s just you can tell.
Mr. Jackson: Theirs is still something about a lease has to be, and I don’t know if it has to be reviewed or what but, there’s some sort of regulation there with Kalin, we should talk to her about it and see what the docs say.
Ms. Hofman: I don’t think so, I think it was pretty basic, I think it was three lines, I looked at it, it was like $100 deposit, application fee and something else.
Mr. Jackson: Ok, well they still do an application fee, so there’s something there, so at least we know who’s renting.
Ms. Hinz Philippi: So, this is what we need to do, to make sure we don’t have to do is to give different transponders for like 3 different families that live in the household.

Mr. Jackson: Well, what would be good to do is when people come, they say I’m renting here, here’s a copy of our lease, it would be good to have Kalin involved in that to make sure she has them on record as a tenant.
Mr. Hans: Right.
Mr. Jackson: And then she can fill in the gaps of people that she doesn’t have because she’s keeping a list of renters but, there’s some people who do not go through the application process and just put a renter in there.
Ms. Hofman: That is true.
Ms. Jackson: And then we could make it more or less a form that has to be signed off by Kalin, HOA manager, and she can retain their lease agreement and be responsible for that record so it doesn’t have to be public knowledge.
Ms. Hinz Philippi: I think that would be great because if they had to go there and get a form signed by her and bring it to us that would be perfect.
Mr. Jackson: So, maybe we set up a time to chat with her.
Ms. Hinz Philippi: Yes, because that would be perfect and then she has the documents and I don’t have them, and she can just give me confirmation and say, these people are good to go until December, 2029 and then say I ok I put that in my system and then at that time the transponders would shut off, then if they renew, then she sends me a new lease and then she says, oh those people renewed, that would be great.
Mr. Jackson: It seems to be like the way to go with the transponders too would be like 2 per household and offer like a third one at like a low rate, like for an additional $50 then thereafter, they either have to turn in their defective one, or it’s $100 for replacement or something like that, it’s a little steeper because some people might have 3 cars.
Ms. Hinz Philppi: And there are people that have 6 cars.
Mr. Hans: Yes, so I think we should probably cap it at like 4 because hypothetically you’re doing the houses with driveways that accommodates 4 cars essentially.
Mr. Jackson: Right, and if they have defective one, they can turn it in and get a working one.
Mr. Hans: Yes.
Ms. Hinz Philippi: And we’re giving them 2 per household.
Mr. Hans: Right, the first 2 would be free, and then the next 2, I guess if you pick up at the initial pick up, you do the next 2 at a discounted rate, and then for lost ones.

Mr. Jackson: Replacements after that it’s full replacement cost, unless you can turn in your defective one, and then it would be warrantied out basically. Like if they have a problem with one they shouldn’t have to buy one.
Mr. Hans: Exactly.
Mr. Jackson: And then would you just do new clickers every 5 years or something. Mr. Hans: So, it’s a sticker that goes on the car.
Mr. Jackson: Ok.
Ms. Hofman: But the thing is if your lease is up and you’re changing cars.
Mr. Hans: Right, well the homeowner, I think it’s if you’re leasing, you just have the person that’s renting has to buy another 2 transponder.
Ms. Hofman: No, I mean if you’re leasing your cars because I’ve had issues where we’ve had to change on the car because I lease them every 3 years, and my lease is going to be up in March, if we get these things going.
Mr. Hans: Well, if you’re able to take it off, I think we can put it back on.
Ms. Hinz Philippi: No, but if you lease and you’re keeping your car, or if you sell your car.
Mr. Hans: That’s what I mean you at least take it off the car when you’re done with it, and you bring us back the one that you can’t use anymore and then we replace that at a discounted rate versus if your renters don’t give it back.
Ms. Hinz Philippi: Yes, we replace it.
Ms. Hofman: And I showed him, the one that I showed you when I came in that was
$20 and that was a card but, stickers were a little bit less.
Mr. Hans: Yes, I think the stickers cost us about $10 a sticker when we were getting the pricing on it for the CDD to purchase them, and we were doing the discounted rate for like the first pickup maybe $15 just to offset.
Mr. Case: Maybe we could just buy, let them buy as many as they want but you have to put it on and they have to be registered to the vehicle.
Ms. Hinz Philippi: Well, I think we need to do more.
Ms. Hofman: This was like $20 but the stickers that we had in the windows were
less.
Ms. Hinz Philippi: But we have to think about it, you’re not just paying $10, you’re
paying for his time there, and the extra person who is going to be there, and the monthly

system that you’re paying for, so I think we should do for the first time I would suggest $15 or $20 for the extra two if they want, and then you can have four all, if you want more than four, then your rate goes up, like if you want to pay for more, it’s going to be like $30 or
$35, and then if you lose it then you’re going to be like $30 or $35 because it can’t be the same price because people are going to just abuse this, I know because I’ve done this in other communities.
Mr. Jackson: Right, they’ll give it to a friend that visits frequently or grandparents and all sorts of stuff.
Mr. Case: So, it sounds like this is a permanent sticker. Mr. Hans: Yes.
Mr. Case: So, once you try to remove it, it’s no good, so I don’t think people are going to be losing it.
Mr. Jackson: I think if there’s like a situation like she’s saying where it’s a car.
Ms. Hinz Philippi: Yes, but we have to put it on the car, that’s the thing because if we give it to them, they might put it on one and then they change it, or whatever.
Mr. Hans: Right or you hypothetically try to put it on something that doesn’t make
sense.
Ms. Hinz Philippi: So, that’s why we have to install it to make sure that it’s on your
car, and then of course if you sell the car, or if you lease the car and you change cars, just bring it with you and we’ll exchange it for the better rate.
Mr. Jackson: Does the App allow you to open the gate remotely from the App?
Mr. Hans: It should let me, as the Admin, but you guys as residents no, but you could send like a permanent pass to your phone that you could just scan, and on our end as the administrators we’ll be able to choose how long this permanent pass can be good for, so that’s also another thing.
Mr. Jackson: How many households get to register, like how many per household for the register?
Mr. Hans: That I don’t think there’s a limit at moment but, we can set a limit too for how many permanent guests you can have as well.
Mr. Jackson: Well, I don’t care about that but, like if they have some teenagers in the house, and everybody wants to have the App on their phone, I’m just wondering about that.

Mr. Hans: So that, it’s one account per household. Mr. Jackson: Ok, just one account.
Mr. Hans: Yes, creating a master account. Mr. Jackson: So, they would have one login.
Mr. Hans: Yes, so it’s a master account typically, because we haven’t done our full training on how this App works yet but I have that on Monday with Zulu and then they’re doing work for the community on Wednesday but, I’m using similar Apps at other places. Your master account can send invites out to like subaccounts under them but, everything would have to be approved and go through the master account, so your high school kids, they want to start inviting friends, the parents would see exactly who they’re inviting and all of that.
Mr. Jackson: Ok. Alright, well let’s have a meeting with Kalin and we’ll work out the details on it.
Ms. Hofman: And Matt did you say the rear gate is going to be permanently locked?
Mr. Hans: It’s going to turn into an emergency access. Ms. Hofman: Only?
Mr. Hans: Yes.
Mr. Case: It’s not DOT approved gate, there’s no turn lane, it’s a traffic liability. Ms. Hofman: That is correct.
Mr. Case: And it’s not really wide enough.
Ms. Hofman: So, when is that going to be permanent?
Mr. Hans: When construction is completed is when that gate will get turned over to the emergency services, essentially there will be a lock put on there that they have access to and that’s about it. We have gotten quite a few complaints from people in the community about that gate eventually shutting down.
Mr. Case: It’s not our option, it’s not DOT approved.
Mr. Hans: Exactly, it’s one of those things, I tell them, when the residents get on the Board, if you guys want to bite the bullet it’s petitioning the DOT, seeing what the requirements are because it’s going to involve widening the road there.
Mr. Case: Right and onsite cops.
Mr. Hans: Exactly, it’s extremely expensive.

Ms. Hofman: I thought they were going to do that already because it made no sense, they did all the piping and all that infrastructure work, and all that sidewalk relandscaping and they did not widen the road.
Mr. Hans: Right and their plan is to widen the sidewalk and I think we might have gotten an extra foot of road, if that in some areas.
Ms. Hofman: That is baffling to me with all they had planning in terms of incoming commercially.
Mr. Hans: Right. So, for the permanent guest passes are we cool with doing like you have to renew it every 6 months hypothetically, that way someone is not accidently leaving a landscaper on there or something like that because we have to set the numbers and prices for this stuff as well.
Mr. Jackson: That sounds good, ok.
Mr. Hans: So, we’ll put it altogether and then make a motion at the end if that sounds good Andressa on the pricing for the transponders, how long the permanent guest pass will last for, how many transponders we can do.
Ms. Hinz Philippi: So let’s do that, so let’s talk about that and then we do one motion.
Mr. Hans: Yes. Mr. Jackson: Ok.
(At this point several people were talking at one time, and no one conversation could be heard)

Mr. Jackson: So maybe we can cap it at 4 because we don’t want to encourage people.
Ms. Hofman: I love that idea.
Ms. Hinz Philippi: And then others ones they’re going to have to be on the App or something that’s going to be inconvenient for them, and let it be inconvenient for them because you don’t make everybody buy 6 cars.
Mr. Hans: Alright, so the first 2 transponders are free, and we’re really hoping that we can hire this janitor before the gates go down and that way we had someone that is onsite at all times as backup.
Mr. Case: The CDD is not liable for damaged cause by a gate strike, right?

Mr. Hans: No, the homeowner, we could actually go after their car insurance for hitting it.
Mr. Case: Ok.
Mr. Jackson: As long as it’s not a defective gate on our part. Mr. Hans: Correct.
Ms. Hinz Philippi: Right, the only thing is, we could go after the resident for doing that, however, that would probably cost us more to have all that in place than to fix it. The only thing that we could do is, oh you damaged this and we could put some penalties, like we’re going to turn your transponder off.
(At this point several people were talking at one time, and no one conversation could be heard)

Mr. Hans: So, as long as the license plate camera and cameras are getting good video we should be able to just send it directly to their insurance and their insurance pays us is how it usually works from past experience.
Ms. Hinz Philippi: Ok, so 4 maximum.
Mr. Hans: Yes, so the first 2 are free, it’s $10 for the CDD to buy the transponders, do we want to give them their initial extra 2 at cost, or like $15 for those, and then $25 for all future replacements.
Mr. Jackson: That sounds good.
Mr. Case: You could give the first 2 for free, and charge $20 for the next 2 and get your money back.
Mr. Jackson: That’s true, $20 for the next two.
Mr. Case: I mean if you need, it’s $40 for doing 2 more cars if you need transponders, then it’s $20 per transponder thereafter, and then we can at least get the money back.
Ms. Hinz Philippi: So 4 maximum, and then the other 2 are $20 each.
Mr. Jackson: Yes, and then that will pay back for people that have 4 cars, that will pay back for the first ones and the CDD will get their money back.
Mr. Hans: Right.
Ms. Hinz Philippi: And then if people need replacements, or something like that, how much, like $25?

Mr. Jackson: Yes, so proof of their last one being destroyed or turned in and then
$20 if they turn in the old one.
Ms. Hofman: So, I have to pay more if I have a leased vehicle because I can’t scrape that thing off.
Ms. Hinz Philippi: No, you can take it off, you just pull it off and bring it in. Mr. Hans: Yes.
Ms. Hinz Philippi: So, $20 for a replacement. Mr. Case: Does that sound fair to you David? Mr. Jackson: Sure, that’s pretty reasonable.
Mr. Case: Yes, eventually over the course of time the money is going to come back that we spent on the initial free ones.
Mr. Hans: Exactly.
Mr. Jackson: Ok.
Mr. Hans: So, we do need to get a motion for this.
Ms. Hinz Philippi: So, let’s get a motion then to approve that the CDD would give two transponders for each household, maximum of 4 cars that are going to get the transponders from us and then the extra 2 are going to be $20 each, for replacements we’re going to have $20 for each replacement.
Mr. Jackson: Correct.
Mr. Hans: And then for issuing permanent guest passes, the cap is 6 months long for a permanent guest pass.
Ms. Hinz Philippi: Ok
Mr. Jackson: Yes. Anything else you want to add to this? Ms. Hofman: No, that’s good.
Ms. Hinz Philippi: So, 6 months for residents or for renters?
Mr. Hans: When their account gets shut down it doesn’t matter. Ms. Hinz Phlippi: Ok, so everything shuts down, alright.
Mr. Hans: Yes.
Ms. Hinz Philippi: So, 6 months for permanent passes. Mr. Hans: Yes.
Mr. Jackson: Ok, I’ll make a motion to approve all of that.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, approving 2 transponders per household provided by the CDD allowing 4 cars each, extra $20 for replacements and $20 for permanent passes up to 6 months and also coordinating with HOA for renters approval to get transponders as stated on the record was approved.

Ms. Hinz Philippi: Alright, so anything else from the gates that we need Matt?
Mr. Hans: That’s all, I covered pretty much anything we needed to make any official decision on at the moment.
Ms. Hinz Philippi: Ok, so one topic that I wanted to bring up on here, and I think I forgot to put it on the agenda was the golf cart. We looked at some golf carts to see how much it would be to have one and I’m trying to hire a janitor which has not been an easy task, we’ve been set up a lot of times, we schedule the interviews and they don’t show up. So, I had several interviews schedule and now I have a new batch of resumes to take a look at to go over again and I’m hoping to get one good person from all of this, and once we have the janitor I would like to have a golf cart for him to first, keep the grounds looking nice from trash that people are throwing out even on the neighbors property. Also, to do like the doggie bags and stations, to keep them clean, and also for other reasons like when the gates aren’t working, and if an arm had fallen off, he can go and fix that and come back, so like for him to be able to do more on the property.
Mr. Jackson: Where would we keep it?
Mr. Case: I have an idea but I don’t know, so we have a cleaning company that lives in Waterstone that we use every now and then, Adams, is that something that you guys would want their contact information, and she lives in the community, and do that now?
Ms. Hinz Philippi: No, we already have a janitor on our payroll so he’s going to do that for free.
Mr. Case: Ok, I thought you said you were having a hard time finding one.
Ms. Hinz Philippi: Yes, I’m having a hard time finding one but, I’m going to find one, and I think it’s just the time of the year.

Mr. Hans: We’re probably going to add another property too, and it’s a night and day difference having someone in house onsite, and they don’t worry about what’s in the contract or what areas they should be taking care of, it’s all the areas.
Mr. Jackson: Ok, so where would they keep their golf cart?
Mr. Hans: So realistically they could park in one of the parking spaces overnight, we’d get a cover for the golf cart to protect it, and it would be an electric golf cart and you’d have to plug it in the side of the building to charge it as well when it’s not in use when he’s onsite.
Mr. Jackson: And take the key with him.
Mr. Hans: Yes, and he’s store the key in the storage closet that we have onsite that way if he we ever out and we needed the golf cart for whatever purpose, we still had it.
Mr. Jackson: Ok.
Mr. Hans: The one we’re looking at, it’s a used golf cart, it’s a 2022 Kushman Hauler, it’s designed for exactly what we’re looking for, it’s the older style that uses 6 smaller batteries instead of one giant lithium ion battery, it’s literally half the price of a brand new one.
Mr. Jackson: Is that like one that has a cargo area in the back?
Mr. Hans: Yes, exactly, it’s got a big cargo bed in the back, it has a very slight lift, so it can handle curbs as needed and driving off road and like I said it’s half the price of getting a brand new electric one.
Mr. Jackson: So, that’s like what $5,000 or $6,000 or what?
Mr. Hans: Yes, $6,000 all in with like getting it shipped here as well from the location, the one we found is in Gainesville at the moment.
Ms. Hinz Philippi: Matt, my question about that is do we have any warranty?
Mr. Hans: The warranty is on the batteries, there’s a lemon law if we buy it and the next week the engine dies, we can go back after them but, these electric motors we have an identical golf cart from 1998 that’s been sitting out in the salt at my parents place, and it has never not worked, these electric motors are literally bulletproof.
Mr. Jackson: But there is a warranty on the batteries?
Mr. Hans: Yes, there’s a warranty on the batteries, the batteries that it’s getting are brand new, they have a 1 year warranty and with those batteries you can get 4 to 5 years

of life out of them, you just have to periodically make sure all the connections are tight, that’s really the only maintenance on them.
Mr. Case: Ok, I agree with the golf cart thing but, I’m still skeptical on like where actually it would be kept and I know you have some power around the mailboxes and stuff, but our houses get vandalized all the time, and there is no way a golf cart is going to sit there and those kids aren’t going to slice those tires.
Ms. Hofman: Or try to steal it.
Mr. Case: Right, or try to steal it, or steal the charger from it which is also really expensive.
Mr. Jackson:	I’d like to put a camera on it and then maybe a sign that says surveillance or something like that, if we can park it in a spot with the camera.
Mr. Hans: Yes, and directly in front of the clubhouse there’s a camera that faces right out the front door that would catch it.
Mr. Jackson: Ok.
Mr. Case: And does it have the cabinet on the back where you can like lock it up, like that or is it just a bed like a truck bed?
Mr. Hans: It has a bend in the back but, we have a storage closet inside the clubhouse for any tools or any supplies would be kept essentially, the golf cart would just be for hauling stuff around the community.
Mr. Jackson: Well, we can always give it a try for $5,000 or $6,000, it’s not a huge investment, so we can give it a try and if it doesn’t work out and it gets vandalized too frequently we could say, well we tried. Then we’ll get him a moped that he can take around, do you think that would be better than a small truck, like a little Ford Ranger or something that has a whole truck bed that he can work out of and it fits right in the parking spot and you don’t have to charge it?
Mr. Hans: Price-wise for the community this is a lot less investment, a lot less maintenance to it than a truck. I’m sure we could find a used Ford Ranger for a decent price.
Mr. Jackson: Maybe we do that as the next option. Mr. Case: If this doesn’t work out.
Mr. Jackson: Yes, and my thought is you don’t have to put gas in it, you don’t have to deal with charging, or don’t have to deal with cords on the ground, you have an old truck

that you can use, you could put a bed cover on it even and be able to keep things out of sight.
Mr. Hinz Phlippi: Or we could get a gas one too, that’s another option, it’s just more expensive, and the gas one is a little more expensive but maybe it’s something to think about because of the cord.
Mr. Jackson: Right, the cord might be an issue, I wonder is there a place around the side of the building?
Mr. Hans: We could definitely check that out.
Mr. Case: Like a PVC fence and you just open the gate and pull it in there. Mr. Hans: Right, then you could put a lock on the outside.
Ms. Hinz Philippi: I think that would be a good idea. Mr. Case: So maybe we should look at that.
Mr. Jackson: So, we could do a light fence just a light fence that’s way it’s also out of sight.
Ms. Hinz Philippi: Exactly, then they are not going to be watching it. Mr. Hans: And I have a picture of what the golf cart looks like.
(At this point several people were talking at one time, and no one conversation could be heard)
Mr. Jackson: I think you should put a camera on it. Mr. Hinz Philippi: Yes.
Mr. Case: Somewhere on the side of the clubhouse if possible. Mr. Hans: Yes.
Mr. Jackson: Alright, so do you want to make a motion on that. Mr. Case: Yes.
Ms. Hinz Philippi: So, let’s make a motion on the golf cart, but it’s going to be on the condition hiring the janitor. So, once we hire the janitor we will go ahead and buy that because we’re not going to buy it so it can be sitting there waiting for the guy to work.
Mr. Jackson: Right.
Mr. Case: Alright, I’ll make a motion to do it conditional on hire the janitor.
Mr. Hans:	And the golf cart is $6,013 and that’s including shipping and waste battery fees from the state.

On MOTION by Mr. Case seconded by Mr. Jackson with all in favor, authorizing staff to purchase a golf cart in the amount of $6,013 subject to hiring a janitor was approved.

Manager – Final Approval of the FY2024-FY2025 Report Performance Measures and Standards
Ms. Hinz Philippi: Ok, so for me, it’s just the final approval for the fiscal year 2024 report for performance measures and standards. That was something that we brought to you guys because it’s a requirement of the law and we did this project and we’re just bringing it back saying that we achieved our goals for the year for our standard and measures. I just need a motion to approve.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, final approval of the FY2024-FY2025 Report Performance Measures and Standards was approved.

SIXTH ORDER OF BUSINESS	Financial Statements
Approval of Check Run Summary
Acceptance of Unaudited Financials
Ms. Hinz Philippi: The next item would be approval of the check run summary under tab A, and tab B is the acceptance of the unaudited financials. If you have any questions I can take those, if not, I just need a motion to approve both.

On MOTION by Mr. Jackson seconded by Mr. Case with all in favor, the Check Run Summary and the Unaudited Financials were approved.

SEVENTH ORDER OF BUSINESS	Supervisors	Requests	and
Audience Comments
Ms. Hinz Philippi: The next item would be Supervisor’s requests, do we have any Supervisor’s?
Mr. Case: I just wanted to circle back on one thing that came up a year ago on here, is there any plan to get those street signs DOT approved so the police can patrol?
Mr. Hans: We can definitely work on that, I’ll have them do an inspection, tell us exactly what we need to do.

Mr. Case: Whatever needs for DOT standard that way the police can start patrolling out there and get people for running stops signs and speeding and stuff like that.
Mr. Hans: Also, I forgot to do this under my section, we have complaints from residents about people riding ATVs and golf carts and stuff like that through the community and they were just requesting that we put signage up saying that you’re not able to ride golf carts or ATVs on CDD property. Is that something the Board wants us to do?
Mr. Case: They’re going off the road?
Mr. Hans: They’re on the road which is also CDD property.
Mr. Case: The golf carts have to be on the sidewalk or something or what?
Ms. Hinz Philippi: To be on the road they need to be street legal, they need to have a license plate and everything, and then turn signals to turn and all of that, and I don’t think those people have street legal carts.
Mr. Hans: Right.
Ms. Hofman: I mean I don’t care, it is what it is.
Mr. Case: I think there’s definitely going to be an uproar, there’s a lot of golf carts in the neighborhood, I’m allowed to drive golf carts around my neighborhood, most people are in their neighborhood.
Mr. Hans: 100%, this was just a resident request.
Mr. Case: The ATVs and stuff, I think low speed vehicles only should be, or kids should be able to play in the street and be safe, so understand it’s a road but it’s also a community, and I think the ATVs and dirt bikes are a different story.
Ms. Hofman: I agree.
Mr. Hans: I agree.
Mr. Jackson: But we have conveyed the concern. Mr. Hans: Yes.
Mr. Case: And if we get the DOT street signs, the police can help with stuff like the ATV situation and stuff and we can voice that’s one of our concerns.
Mr. Hans: Yes, and the residents that complained, they complained a few weeks ago, and yesterday or 2 days ago they had sent me and Kalin an email. So, I guess we can table that for another time.
Mr. Jackson: Sounds good.

Mr. Hans: So, we’re going to check, do an inspection, and see what we need to do to get in DOT compliance for our signs so we can sign the agreement with the police.
Mr. Case: And I would probably word it, no off road vehicles or whatever that is, no non-street legal vehicles without putting the sign, no golf carts, so no off road vehicles, so that should be find for anything under 25 mph which it’s 25 mph in the community and the sheriff’s department, they’ll help distinguish what they want to enforce or not.
Ms. Hinz Philippi: Alright.
Mr. Case: So, can we start the process of looking for options on another attorney for the CDD?
Ms. Hinz Philippi: Yes, we can send out an RFP, request for proposals. Mr. Jackson: Yes, that would be great.
Ms. Hinz Philippi: Ok, so we have a request here to work with the engineer on the DOT signs, and then I will put in a request for proposal for an attorney, and that takes care of our Supervisors requests. Just for the record we do not have any audience today.

EIGHTH ORDER OF BUSINESS	Adjournment
Ms. Hinz Philippi: So, our next item is adjournment, do I have a motion to adjourn?

On MOTION by Ms. Hofman seconded by Mr. Case with all in favor, the Meeting was adjourned.

Secretary /Assistant Secretary	Chairman / Vice Chairman

Boca Raton, Florida 33431
(561) 994-9299 ▪ (800) 299-4728
Fax (561) 994-5823
www.graucpa.com

November 24, 2025

To the Board of Supervisors
Waterstone Community Development District St. Lucie County, Florida

We have audited the financial statements of Waterstone Community Development District (“District”) as of and for the fiscal year ended September 30, 2025, and have issued our report thereon dated November 24, 2025. Professional standards require that we advise you of the following matters relating to our audit.
We have also examined the District’s 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, 2025 which was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants.

Our Responsibility in Relation to the Financial Statement Audit

Our responsibility, as described by professional standards, is to form and express an opinion(s) about whether the financial statements that have been prepared by management with your oversight are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States of America. Our audit of the financial statements does not relieve you or management of your respective responsibilities.

Our responsibility, as prescribed by professional standards, is to plan and perform our audit to obtain reasonable, rather than absolute, assurance about whether the financial statements are free of material misstatement. An audit of financial statements includes consideration of internal control over financial reporting as a basis for designing 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 over financial reporting. Accordingly, as part of our audit, we considered the internal control of the District solely for the purpose of determining our audit procedures and not to provide any assurance concerning such internal control.

We are also responsible for communicating significant matters related to the audit that are, in our professional judgment, relevant to your responsibilities in overseeing the financial reporting process.

However, we are not required to design procedures for the purpose of identifying other matters to communicate to you.

Any findings regarding significant deficiencies or material weaknesses in internal control over financial reporting, material noncompliance, or other matters noted during our audit, if any, are communicated in separate reports included in the District’s financial report—titled 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 and Management Letter Pursuant to the Rules of the Auditor General of the State of Florida.

Planned Scope and Timing of the Audit
We conducted our audit consistent with the planned scope and timing we previously communicated to you.

Compliance with All Ethics Requirements Regarding Independence

The engagement team, others in our firm, as appropriate, and our firm, have complied with all relevant ethical requirements regarding independence.
With respect to financial statement preparation, the following safeguards are in place:
Management made all decisions and performed all management functions;
A competent individual was assigned to oversee the services;
Management evaluated the adequacy of the services performed;
Management evaluated and accepted responsibility for the result of the service performed; and
Management established and maintained internal controls, including monitoring ongoing activities.
Qualitative Aspects of the Entity’s Significant Accounting Practices
Significant Accounting Policies

Management is responsible for selecting and applying appropriate accounting policies. A summary of the significant accounting policies adopted by the District is included in Note 2 to the financial statements. There were no new accounting policies adopted and no changes in existing significant accounting policies or their application during the fiscal year, other than those described in Note 2, if any. No matters came to our attention that, under professional standards, we are required to inform you about concerning (1) the methods used to account for significant unusual transactions or (2) the effect of significant accounting policies in controversial or emerging areas for which there is a lack of authoritative guidance or consensus.
Significant Accounting Estimates

Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s current judgments. Those judgments normally reflect management’s knowledge and experience about past and current events and assumptions about future events.

Certain accounting estimates, if present, may be particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them could differ markedly from management’s current judgments.

In connection with our audit, we considered the reasonableness of the accounting estimates used by management. The most sensitive accounting estimate(s) affecting the financial statements included, as applicable:

Management’s estimate of the useful lives of capital assets.
Management’s estimate of the liability for employee compensated absences.
Management’s estimate of the Net Other Post-Employment Benefits (OPEB) liability.
Management’s estimate of the Net Pension Liability.

If none of the above estimates or other sensitive estimates were applicable in the current year, this section should be read to indicate that no such significant accounting estimates were identified.

We evaluated the key factors and assumptions used by management to develop the estimate(s) and determined that they were reasonable in relation to the financial statements taken as a whole.

Financial Statement Disclosures

Certain financial statement disclosures involve significant judgment and are particularly sensitive because of their significance to financial statement users. The most sensitive disclosures affecting the District’s financial statements included, as applicable:

Long-term liabilities related to bonds payable and debt service requirements.
Litigation, claims, and assessments related to pending legal matters; and
Pension and Other Post-Employment Benefit (OPEB) plan disclosures.
If no such disclosures were identified for the current year, this section should be read to indicate that we did not note any financial statement disclosures involving significant judgment or sensitivity.

Circumstances Affecting the Auditor’s Report

Professional standards require us to communicate any circumstances that affect the form or content of our auditor’s report. If applicable, such circumstances—such as a modification of opinion, an emphasis-of-matter or other-matter paragraph, or a reference to substantial doubt about the District’s ability to continue as a going concern—are described in our auditor’s report included in the District’s financial report. If no such circumstances existed, this section should be read to indicate that our report was unmodified.

Significant Difficulties Encountered during the Audit

We encountered no significant difficulties in dealing with management relating to the performance of the audit.
Corrected Misstatements

Professional standards require us to communicate all material misstatements identified and corrected during the audit. Management has corrected all misstatements that were identified as a result of our audit procedures. Any such audit adjustments, if applicable, are summarized in the accompanying schedule of journal entries. If none were identified, this section should be read to indicate that we did not note any misstatements that were material, individually or in the aggregate, to the financial statements taken as a whole.

Disagreements with Management
For purposes of this letter, professional standards define a disagreement with management as a matter, whether or not resolved to our satisfaction, concerning a financial accounting, reporting, or auditing matter, which could be significant to the Districts’s financial statements or the auditor’s report. No such disagreements arose during the course of the audit.

Representations Requested from Management

Professional standards require that we obtain certain written representations from management as part of our audit. We have received such representations in a letter. A copy of this letter is available for your review upon request.

Management’s Consultations with Other Accountants
In some cases, management may decide to consult with other accountants about auditing and accounting matters. Management informed us that, and to our knowledge, there were no consultations with other accountants regarding auditing and accounting matters.

Other Significant Matters, Findings, or Issues

In the normal course of our professional association with the District, we generally discuss a variety of matters, including the application of accounting principles and auditing standards, significant events or transactions that occurred during the year, operating and regulatory conditions affecting the entity, and operational plans and strategies that may affect the risks of material misstatement. None of the matters discussed resulted in a condition to our retention as the District’s auditors.

As noted previously in this letter, any current-year findings identified during our audit are communicated in our separate reports titled Independent Auditor’ s Report on Internal Control Over Financial Reporting and Compliance and Oth er Matters B ased on an Audit of Financial Statements Performed in Accordance with	Government Auditing Standardsand Management Letter Pursuant to th e Rules of th e Auditor General of th e State of FloridIfa.no findings were identified, this section should be read to indicate that we did not note any additional significant matters or findings requiring communication to those charged with governance.

This report is intended solely for the information and use of the Board of Supervisors and management of the District and is not intended to be and should not be used by anyone other than these specified parties.

Grau & Associates

WATERSTONE COMMUNITY DEVELOPMENT DISTRICT
ST. LUCIE COUNTY, FLORIDA FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

WATERSTONE COMMUNITY DEVELOPMENT DISTRICT ST. LUCIE COUNTY, 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	
Reconciliation of the Balance Sheet – Governmental Funds
to the Statement of Net Position	
10	
Statement of Revenues, Expenditures and Changes in Fund Balances –
Governmental Funds	
11	
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds to the Statement of Activities	
12	
Notes to the Financial Statements	13-21	
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual – General Fund	

22	
Notes to Required Supplementary Information	23	
OTHER INFORMATION		
Data Elements required by FL Statute 218.39 (3) (c)	24	
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	

25-26	
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	

27	
MANAGEMENT LETTER REQUIRED BY CHAPTER 10.550 OF THE RULES OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA	
28-29	

INDEPENDENT AUDITOR’S REPORT

To the Board of Supervisors
Waterstone Community Development District St. Lucie County, Florida

1001 Yamato Road ▪ Suite 301 Boca Raton, Florida 33431
(561) 994-9299 ▪ (800) 299-4728
Fax (561) 994-5823
www.graucpa.com

Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities and each major fund of Waterstone Community Development District, St. Lucie County, Florida (“District”) as of and for the fiscal year ended September 30, 2025, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.
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, 2025, 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.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the District and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Responsibilities of Management for the Financial Statements
The District’s management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America; and for 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.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:
Exercise professional judgment and maintain professional skepticism throughout the audit.
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit 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 District’s internal control. Accordingly, no such opinion is expressed.
Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit.
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 is the responsibility of management and, 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 Information Included in the Financial Report
Management is responsible for the other information included in the financial report. The other information comprises the information for compliance with FL Statute 218.39 (3) (c) but does not include the financial statements and our auditor's report thereon. Our opinions on the financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated November 24, 2025, 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 solely 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 the effectiveness of the District’s 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.

November 24, 2025

MANAGEMENT’S DISCUSSION AND ANALYSIS

Our discussion and analysis of Waterstone Community Development District, St. Lucie County, Florida (“District”) provides a narrative overview of the District’s financial activities for the fiscal year ended September 30, 2025. 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 assets of the District exceeded its liabilities at the close of the most recent fiscal year resulting in a net position balance of $2,585,280.

The District’s total net position increased by $3,249,779 in comparison with the prior fiscal year. 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, 2025, the District’s governmental funds reported combined ending fund balances of
$3,463,733, an increase of $170,727 in comparison with the prior fiscal year. The fund balance is restricted for debt service, non-spendable for prepaid items, and the remainder is unassigned fund balance which is available for spending at the District’s discretion.
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, deferred outflows of resources, liabilities, and deferred inflows of resources with the residual amount being 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 assessments. The District does not have any business-type activities. The governmental activities of the District include the general government (management), recreation and maintenance functions.

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 has one fund category: 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 outflows 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 individual 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 fund and debt service, both of 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, assets exceeded liabilities at the close of the fiscal year ended September 30, 2025.
Key components of the District’s net position are reflected in the following table:

NET POSITION
SEPTEMBER 30,		
2025	2024	
Assets, excluding capital assets	$	3,492,964	$	3,344,961	
Capital assets, net of depreciation	8,601,341	8,906,446	
Total assets	12,094,305	12,251,407	
Liabilities, excluding long-term liabilities	1,027,114	882,788	
Long-term liabilities	8,484,911	12,036,118	
Total liabilities	9,512,025	12,918,906	
Net position		
Net investment in capital assets	116,430	(3,129,672)	
Restricted	1,737,909	2,036,364	
Unrestricted	727,941	425,809	
Total net position	$	2,582,280	$	(667,499)	

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 increased during the most recent fiscal year. The majority of the increase represents the extent to which ongoing program revenues exceeded the cost of operations and depreciation expense.

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,
2025	2024

Revenues:
Program revenues
Charges for services	$	4,787,244	$	4,410,973	
Operating grants and contributions	100,943	83,592	
General revenues	38,998	33,159	
Total revenues	4,927,185	4,527,724	
Expenses:	
General government	117,363	130,430	
Maintenance and operations	612,256	789,637	
Recreational	247,696	232,363	
Interest	700,091	601,026	
Total expenses	1,677,406	1,753,456	
Change in net position	3,249,779	2,774,268	
Net position - beginning	(667,499)	(3,441,767)	
Net position - ending	$	2,582,280	$	(667,499)	

As noted above and in the statement of activities, the cost of all governmental activities during the fiscal year ended September 30, 2025 was $1,677,406. Program revenues, which were comprised primarily of assessments in the current and prior year, increased from the prior fiscal year mainly as the result of and increase in the collection of prepaid assessments. In total, expenses decreased from the prior fiscal year. The decrease in expenses is mainly the result of a decrease in roadway repair expenses.

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. Actual general fund expenditures did not exceed appropriations for the fiscal year ended September 30, 2025.

Capital Assets
At September 30, 2025, the District had $10,431,971 invested in capital assets for its governmental activities. In the government-wide financial statements depreciation of $1,830,630 has been taken, which resulted in a net book value of $8,601,341. More detailed information about the District’s capital assets is presented in the notes of the financial statements.

Capital Debt
At September 30, 2025, the District had $8,484,911 in 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 Waterstone Community Development District’s Finance Department at 5385 N. Nob Hill Road Sunrise, Florida 33351.

WATERSTONE COMMUNITY DEVELOPMENT DISTRICT ST. LUCIE COUNTY, FLORIDA
STATEMENT OF NET POSITION SEPTEMBER 30, 2025

	Governmental
	Activities		
ASSETS		
Cash	$	16,010	
Investments	738,245	
Assessments receivable	210,150	
Accounts receivable	2,161	
Prepaid items	756	
Restricted assets:		
Investments	2,525,642	
Capital assets:		
Nondepreciable	4,619,280	
Depreciable, net		3,982,061 	
Total assets		12,094,305 	
LIABILITIES		
Accounts payable	28,881	
Unearned revenue	350	
Accrued interest payable	997,883	
Non-current liabilities:		
Due in more than one year		8,484,911 	
Total liabilities		9,512,025 	
NET POSITION		
Net investment in capital assets	116,430	
Restricted	1,737,909	
Unrestricted		727,941 	
Total net position	 $	2,582,280 	

See notes to the financial statements

WATERSTONE COMMUNITY DEVELOPMENT DISTRICT ST. LUCIE COUNTY, FLORIDA STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

Net (Expense) Revenue and Changes in Net
	Program Revenues	Position   

Charges for

Operating Grants and

Governmental

Functions/Programs		Expenses	Services	Contributions	Activities	 Governmental activities:
General government	$	117,363	$	117,363	$	-	$	-	
Maintenance and operations	612,256	563,047	-	(49,209)	
Recreational	247,696	247,696	-	-	
Interest on long-term debt		700,091	3,859,138	100,943	3,259,990 
Total governmental activities		1,677,406	4,787,244	100,943	3,210,781 

General revenues:
Unrestricted investment earnings	37,363	
Miscellaneous		1,635 	
Total general revenues		38,998 	
Change in net position		3,249,779 	
Net position - beginning		(667,499) 	
Net position - ending	 $	2,582,280 	

See notes to the financial statements

BALANCE SHEET GOVERNMENTAL FUNDS SEPTEMBER 30, 2025

	Major Funds	

Total Governmental

General

Debt Service

Funds

ASSETS		
Cash	$	16,010	$	-	$	16,010	
Investments	738,245	2,525,642	3,263,887	
Assessments receivable	-	210,150	210,150	
Accounts receivable	2,161	-	2,161	
Prepaid items	756	-	756	
Total assets	 $	757,172	$ 2,735,792	$	3,492,964 

LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable	$	28,881	$	-	$	28,881	
Unearned revenue	350	-	350	
Total liabilities	29,231	-	29,231	

Fund balances: Non-spendable: Prepaid items	

756	

-	

756	
Restricted for:
Debt service	
-	
2,735,792	
2,735,792	
Unassigned	
General fund		727,185		-		727,185	
Total fund balances		727,941		2,735,792		3,463,733	

Total liabilities and fund balances	
$	
757,172	
$	
2,735,792	
$	
3,492,964	

See notes to the financial statements

RECONCILIATION OF THE BALANCE SHEET - GOVERNMENTAL FUNDS TO THE STATEMENT OF NET POSITION
SEPTEMBER 30, 2025
Total fund balances - governmental funds	$ 3,463,733 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,
the net position of the government as a whole.	in			
Cost of capital assets		10,431,971		
Accumulated depreciation		(1,830,630)	8,601,341	

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, reported in the government-wide financial statements.
Accrued interest payable	are	

(997,883)	
Bonds payable		(8,484,911)	
Net position of governmental activities		$  2,582,280	

See notes to the financial statements

STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

	Major Funds	

Total Governmental

	General	Debt Service	Funds	
REVENUES
Assessments	
$	928,106	
$	3,859,138	
$	4,787,244	
Interest	37,363	100,943	138,306	
Miscellaneous revenue	1,635	-	1,635	
Total revenues	967,104	3,960,081	4,927,185	

EXPENDITURES
Current:
General government	110,125	7,238	117,363	
Maintenance and operations	370,697	-	370,697	
Recreational	184,150	-	184,150	
Debt Service:
Principal	
-	
4,084,248	
4,084,248	
Total expenditures	664,972	4,091,486	4,756,458	

Excess (deficiency) of revenues over (under) expenditures	

302,132	

(131,405)	

170,727	
Fund balances - beginning	425,809	2,867,197	3,293,006	

Fund balances - ending	
$	727,941	
$	2,735,792	
$	3,463,733	

See notes to the financial statements

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

Net change in fund balances - total governmental funds	$	170,727 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.
Accreted interest on Bonds are recognized as a component of interest expense in the statement of activities.
Repayment of long-term liabilities are reported as expenditures in the governmental fund statement but such repayments reduce liabilities in the statement of net position and are eliminated in the statement of activities.
The change in accrued interest on long-term liabilities between the current and prior fiscal year is recorded in the statement of activities but not in the fund financial statements.

(305,105)

(533,041)

4,084,248

	(167,050) 

Change in net position of governmental activities	$	3,249,779

See notes to the financial statements

NOTES TO FINANCIAL STATEMENTS

NOTE 1 – NATURE OF ORGANIZATION AND REPORTING ENTITY

Waterstone Community Development District ("the District") was created on May 16, 2006 pursuant to Ordinance No. 06-016 enacted by the Board of County Commissioners of St. Lucie County, Florida, under 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, 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 purposes 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.
The Board has the final 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 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. A blended component unit includes entities that provide services entirely, or almost entirely, to the primary government or otherwise exclusively, or almost exclusively, benefit the primary government even though it does not provide services directly to it. Blended component units, although legally separate entities, are, in substance, part of the government’s operations and therefore should be included as an integral part of the primary government.

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.

Government-Wide and Fund Financial 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.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

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 benefitted property within the District. Debt Service Assessments will be collected directly by the District on a semi-annual basis when interest payments are due. Operating and Maintenance Assessments are based upon adopted budget and levied annually at a public hearing of the District. The District may collect assessments directly or utilize the uniform method of collection (Chapter 197.3632, Florida Statutes). Assessments collected under the uniform method are mailed by County Tax Collector on November 1 and due on or before March 31 of each year. Property owners may prepay a portion or all of the Debt Service Assessments on their property subject to various provisions in the Bond documents.

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 debt.

As a general rule, the effect of inter-fund 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.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Assets, Liabilities and Net Position or Equity
Restricted Assets
These 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 (interest and non-interest bearing).
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.

The State Board of Administration’s (“SBA”) Local Government Surplus Funds Trust Fund (“Florida PRIME”) is a “2a-7 like” pool. A “2a-7 like” pool is an external investment pool that is not registered with the Securities and Exchange Commission (“SEC”) as an investment company, but nevertheless has a policy that it will, and does, operate in a manner consistent with the SEC’s Rule 2a-7 of the Investment Company Act of 1940, which comprises the rules governing money market funds. Thus, the pool operates essentially as a money market fund. The District has reported its investment in Florida PRIME at amortized cost for financial reporting purposes.

Securities listed in paragraph c and d shall be invested to provide sufficient liquidity to pay obligations as they come due.
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 acquisition 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.

Capital Assets (Continued)
Property, plant and equipment of the District are depreciated using the straight-line method over the following estimated useful lives:
Assets	Years	
Stormwater management	20	
Entrance features	15	
Roads	20	
Amenity center	20	

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 ratably 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
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then.

In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time.
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.

Fund Equity/Net Position (Continued)

Assigned fund balance – Includes spendable fund balance amounts established by the Board of Supervisors 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 generally 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 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.

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, 2025:

Investment	Maturities	Amortized Cost	Credit Risk	
US Bank Gcts 0490	N/A	$	2,525,642	N/A	
Investment in Local Government Surplus Funds Trust Fund (Florida PRIME)	Weighted average maturity: 47 days	
	738,245 	
S&P AAAm	
Total Investments		$	3,263,887		

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. For external investment pools that qualify to be measured at amortized cost, the pool’s participants should also measure their investments in that external investment pool at amortized cost for financial reporting purposes. Accordingly, the District’s investments have been reported at amortized cost above.

NOTE 4 – DEPOSITS AND INVESTMENTS (Continued)

Investments (Continued)
External Investment Pool – With regard to redemption gates, Chapter 218.409(8)(a), Florida Statutes, states that “The principal, and any part thereof, of each account constituting the trust fund is subject to payment at any time from the moneys in the trust fund. However, the Executive Director may, in good faith, on the occurrence of an event that has a material impact on liquidity or operations of the trust fund, for 48 hours limit contributions to or withdrawals from the trust fund to ensure that the Board can invest moneys entrusted to it in exercising its fiduciary responsibility. Such action must be immediately disclosed to all participants, the Trustees, the Joint Legislative Auditing Committee, the Investment Advisory Council, and the Participant Local Government Advisory Council. The Trustees shall convene an emergency meeting as soon as practicable from the time the Executive Director has instituted such measures and review the necessity of those measures. If the Trustees are unable to convene an emergency meeting before the expiration of the 48-hour moratorium on contributions and withdrawals, the moratorium may be extended by the Executive Director until the Trustees are able to meet to review the necessity for the moratorium. If the Trustees agree with such measures, the Trustees shall vote to continue the measures for up to an additional 15 days. The Trustees must convene and vote to continue any such measures before the expiration of the time limit set, but in no case may the time limit set by the Trustees exceed 15 days.” With regard to liquidity fees, Florida Statute 218.409(4) provides authority for the SBA to impose penalties for early withdrawal, subject to disclosure in the enrollment materials of the amount and purpose of such fees. At present, no such disclosure has been made.
As of September 30, 2025, there were no redemption fees or maximum transaction amounts, or any other requirements that serve to limit a participant’s daily access to 100% of their account value.

NOTE 5 – CAPITAL ASSETS

Capital assets activity for the fiscal year ended September 30, 2025 was as follows:

Beginning Balance

Increases	Decreases

Ending Balance

Governmental activities
Capital assets, not being depreciated		
Land and land improvements	$	4,619,280	$	-	$	-	$	4,619,280	
Total capital assets, not being depreciated	4,619,280	-	-	4,619,280	

Capital assets, being depreciated Stormwater management	

2,592,360	

-	

-	

2,592,360	
Entrance features	868,200	-	-	868,200	
Roads	1,081,211	-	-	1,081,211	
Amenity center	1,270,920	-	-	1,270,920	
Total capital assets, being depreciated	5,812,691	-	-	5,812,691	

Less accumulated depreciation for: Stormwater management	

648,090	

129,618	

-	

777,708	
Entrance features	289,400	57,880	-	347,280	
Roads	270,305	54,061	-	324,366	
Amenity center	317,730	63,546	-	381,276	
Total accumulated depreciation	1,525,525	305,105	-	1,830,630	

Total capital assets, being depreciated, net	
4,287,166	
(305,105)	
-	3,982,061	

Governmental activities capital assets	
$	8,906,446	
$	(305,105)	
$	-	$	8,601,341	
Depreciation expense was charged to function/programs as follows:

Maintenance and operations	$	241,559	
Recreational		63,546		
Total depreciation expense	  $	305,105		

NOTE 6 – LONG TERM LIABILITIES

Series 2007
On April 12, 2007, the District issued $17,000,000 of Capital Improvement Revenue Bonds, Series 2007B. The Bonds were originally due May 1, 2018 with a fixed interest rate of 5.5%. 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 and the principal was to be paid in one lump sum on May 1, 2018, however the amount was not paid as described below.

The former Developer stopped making the annual payments on the special assessments which ultimately secure the Bonds during a prior fiscal year. Furthermore, the District did not have sufficient funds to make any of the interest payments subsequent to November 1, 2008 and the lump sum principal payment of
$16,585,000 due on May 1, 2018, resulting in events of default. The events of default were remedied as a result of the bond bifurcation as described in the paragraph below.
Series 2018 Bifurcation
During the fiscal year ended September 30, 2019, the District bifurcated the $16,585,000 Series 2007B Bonds into the $2,608,243 Unexchanged Series 2007B Bonds, $3,391,252 Cancelled Series 2007B Bonds which were cancelled, and $10,585,505 Exchanged Series 2007B Bonds. The Exchanged Series 2007B Bonds were exchanged for the $1,360,734 Series 2018A Convertible Capital Appreciation Bonds and
$9,224,771 Series 2018B Capital Appreciation Bonds. The Series 2018A and 2018B Bonds are being issued at initial principal amounts of $1,360,734 and $9,224,771, respectively, but will accrete in value to $3,040,000 and $11,230,000, respectively, in accordance with the Bond indenture. The Unexchanged Series 2007B Bonds of $2,608,243 are to be paid from any Excess Series 2018A Special Assessments which are to be held in the Series 2018A Excess Revenue account in accordance with the terms of the Bond indenture. The District did not collect sufficient excess Series 2018A Special Assessments in the current fiscal year. As a result, no payments were made on the Series 2007B Bonds. The accrued interest on the Series 2007B Bonds have not been recorded at the fund level but the accrued interest has been recorded at the government wide level. The non-payment is not considered an event of default. The terms related to the Capital Appreciation Bonds are as follows:

Series	Initial Principal
Amount	Conversion Date
Accreted Value	Adjusted Accreted Value
Due to Prepayments	Interest
Rate	Principal Payments
Commencing	Interest Payments
Commencing	
2018A	$	1,360,734	$	3,040,000	$	3,040,000	6.88%	May 1, 2031	May 1, 2031	
2018B		9,224,771	11,230,000	3,957,072 	2.00%	November 1, 2028*	N/A	
	 $  10,585,505	$	14,270,000	$	6,997,072 				
*Full adjusted accreted amount of $3,957,072 due on November 1, 2028.

The Series 2018A and 2018B Bonds are not subject to optional redemption. 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. This occurred during the current fiscal year as the District collected assessments from lot closings and prepaid $4,084,248 of the Series 2018B Bonds. See Note 9 – Subsequent Events for additional prepayments made subsequent to September 30, 2025.

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 debt service Reserve Requirement was met at September 30, 2025.

NOTE 6 – LONG TERM LIABILITIES (Continued)

Long-term Debt Activity
Changes in long-term liability activity for the fiscal year ended September 30, 2025 were as follows:

Beginning
Balance	Increases	Bond Accretion	Decreases

Ending Balance

Due Within One Year

Governmental activities
Bonds payable:		
Series 2007B (Unexchanged)	$	2,608,243	$	-	$	-	$	-	$	2,608,243	$	-	
Series 2018A	2,014,140	-	140,961	-	2,155,101	-	
Series 2018B	7,413,735	-	392,080	4,084,248	3,721,567	-	
Total	$ 12,036,118	$	-	$	533,041	$	4,084,248	$	8,484,911	$	-	
At September 30, 2025, the scheduled debt service requirements based on the fully accreted bonds were as follows:

Year ending

	Governmental Activities	

  September 30:	Principal*	Interest	Total	
2026	$	-	$	-	$	-	
2027	-	-	-	
2028	-	-	-	
2029	-	-	-	
2030	3,957,072	-	3,957,072	
2031-2035	2,015,000	682,840	2,697,840	
2036-2038		1,025,000	106,984	1,131,984 	
Total	 $	6,997,072	$	789,824	$	7,786,896 	
* Includes accreted interest
The Unexchanged Series 2007B Bonds are not included in the amortization schedule.

NOTE 7 – 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; and natural disasters. 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.

NOTE 8 – MANAGEMENT COMPANY
The District has contracted with a management company to perform management 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 9 – SUBSEQUENT EVENTS
Subsequent to fiscal year end, the District did not collect sufficient excess Series 2018A Special Assessments. As a result, no payments were made on the Series 2007B Bonds. The non-payment is not considered an event of default.

Subsequent to fiscal year end, the District prepaid a total of $951,460 of the Series 2018B Bonds. The payments were considered extraordinary mandatory redemptions as outlined in the Bond indenture.

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL – GENERAL FUND FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

	
Budgeted
	Amounts	 Original & Final	

Actual Amounts	Variance with Final Budget - Positive
(Negative)	
REVENUES
Assessments	
$	902,805	
$	928,106	
$	25,301	
Interest	15,000	37,363	22,363	
Miscellaneous revenue	1,000	1,635	1,635	
Total revenues	918,805	967,104	49,299	

EXPENDITURES
Current:
General government	106,385	110,125	(3,740)	
Maintenance and operations	707,240	370,697	336,543	
Recreational	145,729	184,150	(38,421)	
Total expenditures	959,354	664,972	294,382	

Excess (deficiency) of revenues over (under) expenditures	

(40,549)	

302,132	

343,681	
OTHER FINANCING SOURCES
Carry forward surplus	
40,549	
-	
(40,549)	
Total other financing sources	40,549	-	(40,549)	

Net change in fund balances	
 $	-		
302,132	
 $	303,132 	

Fund balance - beginning	
	425,809 	
Fund balance - ending	 $	727,941 	

See notes to required supplementary information

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION

The District is required to establish a budgetary system and an approved Annual Budget for the general fund. The District’s budgeting process is based on estimates of cash receipts and cash expenditures which are approved by the Board. The budget approximates a basis consistent with accounting principles generally accepted in the United States of America (generally accepted accounting principles).

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. Actual general fund expenditures did not exceed appropriations for the fiscal year ended September 30, 2025.

OTHER INFORMATION – DATA ELEMENTS REQUIRED BY FL STATUTE 218.39(3)(C)
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025 UNAUDITED

Element	Comments
Number of District employees compensated in the last pay period of the District’s fiscal year being reported.	0	
Number of independent contractors compensated to whom nonemployee compensation was paid in the last month of the District’s fiscal year being reported.	
14	
Employee compensation	$0	
Independent contractor compensation	$676,323	
Construction projects to begin on or after October 1; ($65K)	Not applicable	

Budget variance report	See the Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual - General Fund	
Ad Valorem taxes;	Not applicable	
Non ad valorem special assessments;		
Special assessment rate	Operations and maintenance - $1,362.93 Debt service -
35' TH - $560.93
40' TH - $641.65
47' SF - $754.04
52' SF - $833.74
62' SF - $994.15
72' SF - $1,154.57	
Special assessments collected - Operations and Maintenance	$928,106	
Special assessments collected - Debt Service	$3,859,138	
Outstanding Bonds:
Series 2007B due May 1, 2018 (Unexchanged), see Note 6 for details Series 2018A due May 2037, see Note 6 for details
Series 2018B due May 2028, see Note 6 for details	
$2,608,243
$2,155,101
$3,721,567	

1001 Yamato Road ▪ Suite 301 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
Waterstone Community Development District St. Lucie County, 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 Waterstone Community Development District, St. Lucie County, Florida (“District”) as of and for the fiscal year ended September 30, 2025, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements and have issued our opinion thereon dated November 24, 2025.
Report on 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 or significant deficiencies may exist that were not identified.
Report on 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.

November 24, 2025

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
Waterstone Community Development District St. Lucie County, Florida

We have examined Waterstone Community Development District, St. Lucie County, 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, 2025. 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. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the District complied, in all material respects, with the specified requirements referenced in Section 218.415, Florida Statutes. An examination involves performing procedures to obtain evidence about whether the District complied with the specified requirements. The nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of the risks of material noncompliance, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion. Our examination does not provide a legal determination on the District’s compliance with specified requirements.

We are required to be independent and to meet our other ethical responsibilities in accordance with relevant ethical requirements relating to the examination engagement.
In our opinion, the District complied, in all material respects, with the aforementioned requirements for the fiscal year ended September 30, 2025.

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 Waterstone Community Development District, St. Lucie County, Florida and is not intended to be and should not be used by anyone other than these specified parties.

November 24, 2025

MANAGEMENT LETTER PURSUANT TO THE RULES OF THE AUDITOR GENERAL FOR THE STATE OF FLORIDA
To the Board of Supervisors
Waterstone Community Development District St. Lucie County, Florida

Report on the Financial Statements
We have audited the accompanying basic financial statements of Waterstone Community Development District ("District") as of and for the fiscal year ended September 30, 2025 and have issued our report thereon dated November 24, 2025.

Auditor’s Responsibility
Except as discussed in the explanatory paragraphs, we conducted our audit in accordance with auditing standards generally accepted in the United States of America; Government Auditing Standards, issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the Florida Auditor General. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.
Other Reporting Requirements

We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on 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, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated November 24, 2025, 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 District and the Auditor General of the State of Florida and is not intended to be and should not be used by anyone other than these specified parties.

We wish to thank Waterstone Community Development District, St. Lucie County, 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.

November 24, 2025

REPORT TO MANAGEMENT

CURRENT YEAR FINDINGS AND RECOMMENDATIONS
None

PRIOR YEAR FINDINGS AND RECOMMENDATIONS

None

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, 2024.
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, 2025.
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, 2025.
The name or official title and legal authority of the District are disclosed in the notes to the financial statements.

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, 2025. 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.
Management has provided the specific information required by Section 218.39(3)(c) in the Other Information section of the financial statements on page 24.

Proposal prepared for
Waterstone Community Development District

Kutak Rock LLP
107 West College Avenue, Tallahassee, Florida 32301-7707
office 850.692.7300

VIA ELECTRONIC DELIVERY
Andressa Philippi
District Manager
c/o Governmental Management Services 5385 N Nob Hill Road
Sunrise, Fl 33351 ahphilippi@gmssf.com

October 2, 2025

Jere Earlywine
850.692.7300
Jere.Earlywine@kutakrock.com

Re:	Proposal to Serve as District Counsel for Waterstone CDD Dear Ms. Philippi
Thank you for the invitation to submit a proposal to provide general counsel services to Waterstone Community Development District (“District”). This representation is ideally suited for our firm, and I am excited about this opportunity to support the District. Kutak Rock is a nation al, full-service law firm with approximately 550 attorneys located throughout 19 U.S. cities, includ ing 19 attorneys and 5 paralegals located in Florida. The firm serves local, regional and national cli ents in a broad commercial and municipal practice that spans more than two dozen service areas.

In light of our experience with other CDDs in the state in dealing with similar issues, we believe that we will be able to serve the Board well in advising on various aspects within the District. We are open to attending meetings virtually or in person as may be required by the Board.
For service to the District, I would be your primary attorney. I serve many special districts in central Florida including multiple districts in Hillsborough, Pasco, Manatee, Osc eola, Polk and Orange Counties. To the best of our knowledge, and following a review of our rec ords, we do not recognize any current or potential conflicts of interest.

We have included a draft Retainer and Fee Agreement for your consideration. It is based on an hourly rate structure. Our firm is also open to discussing a hybrid approach to compensation for legal services. If the District Board desired, we could explore a flat fee for meeting attendance or a flat fee for a specific scope of legal services, with all other services being performed at hourly rates. This is a business decision for the District Board to determine if such an approach should be explored further.

Andressa Philippi, District Manager Governmental Management Services Page 2

We are pleased to respond to your request for a proposal and welcome the opportunity to discuss how we can partner with you. Please contact me anytime at (850) 528-6152 or jere.earlywine@kutakrock.com.
Sincerely,

Jere Earlywine
Enclosure

TABLE OF CONTENTS
Kutak Rock’s Florida District Counsel Group	1
Personnel and Other Resources	1
Experience with Special Districts	1
Understanding Scope of Work	2
About Kutak Rock	2
Conclusion	3
Retention and Fee Agreement	4
CDD Expense Reimbursement Policy	8
Directory of Tallahassee Public Finance Attorneys	9
Kutak Rock Snapshot and Locations Map	10
Attorney Biography for Jere Earlywine	11
Kutak Rock Florida Special District Representations - Confidential List	12

Kutak Rock’s Florida District Counsel Group
Kutak Rock is a national law firm with a signature practice focused in the areas of special districts, administrative and governmental law, appellate practice, utility law, elections law, governmental affairs, public contract law, and trial practice. Our Florida District Counsel Group has decades of experience at every level of government and in virtually every part of our home state of Florida. We routinely navigate the labyrinths of governmental law, from financing infrastructure via special districts to guiding complex real estate transactions to drafting and advocating for the passage of legislation that governs Florida special districts. The competence and extensive experience of our lawyers is critical to providing the highest level of client service.

Personnel and Other Resources

Our Florida District Counsel Group has 19 attorneys who personally spend 100% of their legal practice in the area of special districts. We also have a partner, Joseph Brown, who spends part of his time representing special districts and also provides in house litigation and environmental law support. Our knowledge and experience means that our lawyers can provide services efficiently, and we offer flexible and competitive pricing arrangements based on client needs and circumstances. To ensure responsiveness, we are able to work in small teams, while keeping costs low by using associate lawyers or paralegals where appropriate. At present, we have 5 paralegals in our firm who work primarily with special districts. Additional information about us can be found at www.kutakrock.com.
Experience with Special Districts

Providing clients with advice regarding the operation of community development districts since 1985, lawyers from our group presently serve as general counsel to more than 330 special districts throughout Florida and have established a number of others. We regularly address all facets of legal issues affecting special districts, including recreation and restaurant operations, public finance, procurement, rulemaking, open meetings and records, ethics, real property conveyances, contracts, construction, assessments, foreclosure, and other such issues.
We currently represent several districts in Central Florida including Osceola, Sumter, Hillsborough, Manatee, Sarasota, Pasco, Orange, and Polk Counties. A list is attached for further review. Further, notable clients include some of the largest and most complex special districts in Florida, such as the Ave Maria Stewardship Community District, which encompasses over 10,800 acres in Collier County; Lakewood Ranch Stewardship District, which encompasses over 23,250 acres in Sarasota and Manatee Counties; Tolomato Community Development District, which encompasses over 11,000 acres in St. Johns and Duval Counties; the Boggy Creek Improvement District, home to the new “medical city” in Orlando; and the Babcock Ranch Independent Special District, a special district located in Charlotte County that validated
$10.5 billion in revenue bonds. Several of our clients own and operate multiple amenities and are home to thousands of residents. We also represent a number of resident-elected boards in smaller communities around the state and we are well versed in helping such boards navigate the needs that are important to their constituents and communities.

Understanding Scope of Work
We provide necessary legal services for special districts. This work varies widely by project but usually includes (1) advice on governmental meetings, ethics, and procurement matters, (2) assistance with maintenance contracts and activities, and (3) other legal needs of the district.
In addition to our virtual or physical attendance at Board meetings, our group works with the Board and District staff to prepare the Board meeting agendas, participate in agenda conference calls, and prepare various documents for distribution in the agenda packages. After a Board meeting, we will follow-up with the Board and District staff to address any outstanding issues and answer any questions raised at the Board meeting. We are also available by phone or email to promptly resolve issues that arise between meetings.
Our group also navigates the ever-changing laws and regulations affecting the District. When changes occur, we promptly advise the Board of these changes and work with District staff to update or adopt new policies when applicable. Recent examples include the ADA website implementation and fraud/waste/abuse policies. Our firm was able to monitor the legislation, research the issues, and draft the policies for all of our clients spreading out the cost accordingly. This quick response not only saves the District money when crafting new policies but also prevents the expense and liability stemming from being noncompliant with the law.
Our group’s experience in proactively counseling community development districts gives us insight on how to prevent expensive ligation. Often, thoughtful actions taken at the earliest stages of a dispute can save tens of thousands of unbudgeted dollars. However, not all litigation can or should be avoided. Our firm has access to several full-time litigation attorneys to protect the District’s interests if litigation arises.

About Kutak Rock
Kutak Rock, a limited liability partnership, is a U.S. law firm of more than 550 attorneys with locations in
19 cities, including Tallahassee, Florida. The firm serves local, regional and national clients in a multidisciplinary practice that spans dozens of discrete practices. For example and relevant to the work to be performed for Mirada CDD, we practice in the following areas:

Community Development Districts
Public Finance
Government Relations
Government Services

Insurance
Litigation
Real Estate
Tax

Although many of these ancillary areas may not be of interest to our community development district clients, the resources that we can bring to bear in unexpected situations distinguishes us from other firms. For example, when one of our district client’s lost over $1 million dollars in a bank account hack, our cybersecurity group in Omaha sprang into action. With experienced lawyers, contacts in

federal law enforcement and international banking, they were able to recover the vast majority of the funds.

Conclusion

As mentioned previously, we represent community development districts and independent special districts throughout the State of Florida. We believe that our experience and resources allow us to represent our clients with a degree of professionalism and cost effectiveness that is unique to our firm. Please take a moment to further review our qualifications at www.KutakRock.com. We would be happy to talk with you about our qualifications and experience. Jere Earlywine can be reached at (850) 528-6152.

KUTAK ROCK LLP RETENTION AND FEE AGREEMENT

PARTIES

THIS RETENTION AND FEE AGREEMENT (“Agreement”) is made and entered into by and between the following parties:

Waterstone CDD (“Client”)
c/o Governmental Management Services 5385 N Nob Hill Road
Sunrise, Fl 33351
and
Kutak Rock LLP
107 West College Avenue Tallahassee, FL 32301
SCOPE OF SERVICES

In consideration of the mutual undertakings and agreements contained herein, the parties agree as follows:

The Client agrees to employ and retain Kutak Rock as its attorney and legal representative for general advice, counseling and representation of Client and its Board of Supervisors.

Kutak Rock accepts such employment and agrees to serve as attorney for and provide legal representation to the Client in connection with those matters referenced above. No other legal representation is contemplated by this Agreement. Any additional legal services to be provided under the terms of this Agreement shall be agreed to by Client and Kutak Rock in writing. Unless set forth in a separate agreement to which Client consents in writing, Kutak Rock does not represent individual members of the Client’s Board of Supervisors

CLIENT FILES

The files and work product materials (“Client File”) of the Client generated or received by Kutak Rock will be maintained confidentially to the extent permitted by law and in accordance with the Florida Bar rules. At the conclusion of the representation, the Client File will be stored by Kutak Rock for a minimum of five (5) years. After the five (5) year storage period, the Client hereby acknowledges and consents that Kutak Rock may confidentially destroy or shred the Client File. Notwithstanding the prior sentence, if the Client provides Kutak Rock with a written request

CDD

for the return of the Client File before the end of the five (5) year storage period, then Kutak Rock will return the Client File at Client’s expense.

FEES
The Client agrees to compensate Kutak Rock for services rendered in connection with any matters covered by this Agreement on an hourly rate basis plus actual expenses incurred by Kutak Rock in accordance with the attached Expense Reimbursement Policy (Attachment A, incorporated herein by reference). Time will be billed in increments of one-tenth (1/10) of an hour. Certain work related to issuance of bonds and bond anticipation notes may be performed under a flat fee to be separately established prior to or at the time of bond or note issuance.
Attorneys and staff, if applicable, who perform work for Client will be billed at their regular hourly rates, as may be adjusted from time to time. The hourly rates of those initially expected to handle the bulk of Client’s work are as follows:

Jere Earlywine	$360	
Associates	$265-$305	
Contract Attorney	$260-$285	
Paralegals	$185-$220	

Kutak Rock’s regular hourly billing rates are reevaluated annually and are subject to change not more than once in a calendar year. Client agrees to Kutak Rock’s annual rate increases to the extent hourly rates are not increased beyond $15/hour per year.
To the extent practicable and consistent with the requirements of sound legal representation, Kutak Rock will attempt to reduce Client’s bills by assigning each task to the person best able to perform it at the lowest rate, so long as he or she has the requisite knowledge and experience.
Upon consent of Client, Kutak Rock may subcontract for legal services in the event that Client requires legal services for which Kutak Rock does not have adequate capabilities.
Kutak Rock will include costs and expenses (including interest charges on past due statements) on its billing statements for Client reimbursement in accordance with the attached Expense Reimbursement Policy.
BILLING AND PAYMENT

The Client agrees to pay Kutak Rock’s monthly billings for fees and expenses incurred within thirty (30) days following receipt of an invoice, or the time permitted by Florida law, whichever is greater. Kutak Rock shall not be obligated to perform further legal services under this Agreement if any such billing statement remains unpaid longer than thirty (30) days after submittal to and receipt by Client. Non-payment of billing statements shall be a basis for Kutak Rock to immediately withdraw from the representation without regard to remaining actions necessitating attention by Kutak Rock as part of the representation.
DEFAULT; VENUE
In any legal proceeding to collect outstanding balances due under this Agreement, the prevailing party shall be entitled to recover reasonable attorneys’ fees in addition to costs and outstanding balances due under this Agreement. Venue of any such action shall be exclusive in the state courts of the Second Judicial Circuit in and for Leon County, Florida.
CONFLICTS
It is important to disclose that Kutak Rock represents a number of special districts, trustees (“Trustees”), bondholders, developers, builders, and other entities throughout Florida and the United States of America relating to community development districts, special districts, local governments and land development. Kutak Rock or its attorneys may also have represented the entity which petitioned for the formation of the Client. Kutak Rock understands that Client may enter into an agreement with a Trustee in connection with the issuance of bonds, and that Client may request that Kutak Rock simultaneously represent Client in connection with the issuance of bonds, while Kutak Rock is also representing such Trustee on unrelated matters. By accepting this Agreement Client agrees that (1) Client was provided with an explanation of the implications of the common representation(s) and the advantages and risks involved; (2) Kutak Rock will be able to provide competent and diligent representation of Client, regardless of Kutak Rock’s other representations, and (3) there is not a substantial risk that Kutak Rock’s representation of Client would be materially limited by Kutak Rock’s responsibilities to another client, a former client or a third person or by a personal interest. Acceptance of this Agreement will constitute Client’s waiver of any “conflict” with Kutak Rock’s representation of various special districts, Trustees, bondholders, developers, builders, and other entities relating to community development districts, special districts, local governments and land development.
ACKNOWLEDGMENT
Client acknowledges that the Kutak Rock cannot make any promises to Client as to the outcome of any legal dispute or guarantee that Client will prevail in any legal dispute.
TERMINATION
Either party may terminate this Agreement upon providing prior written notice to the other party at its regular place of business. All fees due and payable in accordance with this Agreement

shall accrue and become payable pursuant to the terms of this Agreement through the date of termination.
EXECUTION OF AGREEMENT
This Agreement shall be deemed fully executed upon its signing by Kutak Rock and the Client. The contract formed between Kutak Rock and the Client shall be the operational contract between the parties.
ENTIRE CONTRACT
This Agreement constitutes the entire agreement between the parties.
Accepted and Agreed to:

Waterstone CDD

By:	 Date:	

KUTAK ROCK LLP

By:		 Jere L. Earlywine
Date:	October 2, 2025	

ATTACHMENT A KUTAK ROCK LLP
EXPENSE REIMBURSEMENT POLICY

The following is Kutak Rock’s standard expense reimbursement policy. This policy applies unless a different arrangement has been negotiated based on the unique circumstances of a particular client or matter.

All expenses are billed monthly. Billings ordinarily reflect expenses for the most recent month, except where there are delays in receiving bills from third party vendors.

Photocopying and Printing. In-house photocopying and printing are charged at $0.25 per page (black & white) and $0.50 per page (color). Outside copying is billed as a pass-through of the outside vendor's charges.

Postage. Postage is billed at actual cost.

Overnight Delivery. Overnight delivery is billed at actual cost.

Local Messenger Service. Local messenger service is billed at the IRS approved reimbursement rate.

Computerized Legal Research. Charges for computerized legal research are billed at an amount approximating actual cost.

Travel. Travel (including air fare, rental cars, taxicabs, hotel, meals, tips, etc.) is billed at actual cost. Where air travel is required, coach class is used wherever feasible. Out-of-town mileage is billed at the IRS approved reimbursement rate. Reasonable travel-related expenses for meals, lodging, gratuities, taxi fares, tolls, and parking fees shall also be reimbursed.

Consultants. Unless prior arrangements are made, consultants are ordinarily employed directly by the client. Where consulting or testifying experts are employed by the firm, their charges are passed through with no mark-up. The client is responsible for notifying the firm of any particular billing arrangements or procedures which the client requires of the consulting or testifying experts.

Other Expenses. Other outside expenses, such as court reporters, agency copies, conference calls, etc. are billed at actual cost.

Jonathan T. Johnson
Partner 850.264.6882
jonathan.johnson@kutakrock.com		

Sarah R. Sandy Partner 850.556.5947
sarah.sandy@kutakrock.com	

Lindsay G. Whelan Partner 704.609.7784
lindsay.whelan@kutakrock.com		

Alyssa C. Willson Partner 850.661.9973
alyssa.willson@kutakrock.com	

Jere L. Earlywine
850.692.7300
jere.earlywine@kutakrock.com		

Katie S. Buchanan Partner 850.294.5184
katie.buchanan@kutakrock.com	

Michael C. Eckert Partner 850.567.0558
michael.eckert@kutakrock.com		

Wesley S. Haber Partner 850.566.3413
wesley.haber@kutakrock.com	

Tucker F. Mackie Partner 404.222.4600
tucker.mackie@kutakrock.com		

Bennett Davenport Associate 850.692.7300
bennett.davenport@kutakrock.com	

Cheryl G. Stuart Staff Attorney 404.222.4600
cheryl.stuart@kutakrock.com		

Ashley Ligas Staff Attorney 850.692.7300
ashley.ligas@kutakrock.com	

Ryan J. Dugan Associate 850.692.7333
ryan.dugan@kutakrock.com		

Kate V. John Associate 850.692.7330
kate.john@kutakrock.com	

Kyle M. Magee Associate 404.222.4600
kyle.magee@kutakrock.com		

Michelle K. Rigoni Associate 850.692.7310
michelle.rigoni@kutakrock.com	

An enduring value proposition
More than 50 years ago, Kutak Rock’s founders set out to create a different kind of law firm—a firm where attorneys are empowered and entrusted to practice law with an entrepreneurial spirit, are committed to doing what is right for clients and are dedicated to putting high quality legal service within reach.

Inclusive, diverse and engaged
Kutak Rock opened its doors in 1965 with a stated commitment to a diverse and equal opportunity work environment and to improving diversity in the legal profession. That early commitment continues today in firmwide structures such as the firm’s national inclusiveness and diversity committee, successive three-year inclusiveness and diversity strategic plans and annual tactics, and multiple inclusiveness engagement groups designed to encourage every person at Kutak Rock to take responsibility for enhancing the firm’s inclusive and diverse working environment.

550+
Attorneys	19
U.S. Offices in 15 States +
Washington, D.C.	Attorneys licensed to practice in
40 States + Washington, D.C.	125+
Attorneys focused on Public Finance	

Jere Earlywine
107 W College Ave, Tallahassee, FL 32301 850.692.7300 | jere.earlywine@kutakrock.com

Jere’s practice focuses primarily on special taxing districts and related foreclosure and bankruptcy litigation. In this arena, he represents a variety of clients, including both developer and resident controlled districts, as well as bondholders who have interests in such districts.

Jere previously served as a Senior Assistant General Counsel with the Florida Department of Environmental Protection, assisting primarily with the Apalachicola-Chattahoochee-Flint River Basin litigation and Everglades restoration issues. He also previously worked as a federal judicial law clerk with the Honorable G. Kendall Sharp, United States District Judge.

Representative Experience

PR A C TICES 
Development and Improvement Districts
Public Finance

ADMISSIONS 
Florida

EDUC A TION 
Florida State University College of Law, J.D., summa cum laude, 1998

Serving as general counsel to special taxing districts, addressing among other issues, district establishment, boundary amendments, bond validation, bond issuance and financing, contracts, real property issues, procurement (and bid protests), Sunshine law and public records issues, and other local government issues.
Representing special district issuers and bondholders in complex, agreed upon debt restructuring transactions, including bond redemptions, tender offers, forbearance / forgiveness agreements, deeds-in-lieu of foreclosure, bond restructurings, and other “work-out” arrangements.

Representing special district issuers and bondholders in foreclosure and bankruptcy proceedings.
Representing clients in state and federal bankruptcy, trial and appellate courts, before the Florida Division of Administrative Hearings, before state and federal agencies, and in mediation proceedings.
Representing landowners and developers regarding the use of special taxing districts as a way to finance and manage infrastructure for development.

Graduated 1st of 217; Law Review
University of South Florida, B.S. in Finance, summa cum laude, 1994

MEMBERSHIPS 
Florida Bar Association

Page	| kutakrock.com

Kutak Rock Florida Special District Representations
CONFIDENTIAL 

Page 12 | kutakrock.com

Florida Special District Representations By County

Alachua

Kutak Rock represents more than 340 special districts throughout Florida. Districts with an asterisk denote client relationships led by Jere Earlywine[)5[)5 [)5[)5 [)5[)5 [)5 [)5[)5[)5[)5[)5[)5[)5[)5 [)5 [)5 [)5[)5[)5[)5[)5
Finley Woods	Alachua

Parker Road
Springhills North CDD* Westone[)5

Alachua Alachua
Alachua

Pier Park

Bay

Cypress Bay West * Emerald Lakes Heritage Isle at Viera * Malabar Springs *
Windward Preserve

Brevard Brevard Brevard Brevard
Brevard

Deering Park Stewardship

Brevard/Volusia

Hillcrest

Broward

Cove at Rotonda *
Firelight (fka Eagle Creek) * Firelight East
Harbor Village * Island Lake Estates * North Loop * Starling[)5
West Port*
West Port East*

Charlotte Charlotte Charlotte Charlotte Charlotte Charlotte Charlotte Charlotte
Charlotte

Babcock Ranch

Charlotte/Lee

Crystal Ridge

Citrus

Clay

Citrus

Charlotte/Lee

Charlotte

Broward

Brevard/Volusia

Brevard

Bay

Armstrong	Clay
Cross Creek North	Clay

Double Branch	Clay
Feed Mill	Clay

Fleming Island Plantation*	Clay

Governors Park South	Clay
Magnolia West	Clay

Middle Village	Clay
Pine Ridge Plantation[)5	Clay

Desoto

Cayman Lakes*

Desoto

Collier/Lee

Collier

Collier/Lee

Babcock Ranch

Collier Collier Collier Collier Collier Collier Collier Collier Collier Collier Collier Collier
Collier

Ave Maria Stewardship Big Cypress Stewardship Brightshore
Enbrook CDD* Fronterra
Orange Blossom Groves[)5 Orange Blossom Ranch[)5 Quarry
Talis Park Tamarindo CDD* Terreno
Winding Cypress
Mediterra

Clay Clay Clay Clay Clay Clay
Clay

Ridgewood Trails Rolling Hills Rookery Shadowlawn South Village Two Creeks*
Wilford Preserve[)5

Duval

Acree[)5	Duval
Alta Lakes*	Duval

Arbors*	Duval
Bainebridge*	Duval

Bartram Springs[)5	Duval
Beach[)5	Duval

Boggy Branch	Duval
Cedar Pointe	Duval

Cope's Landing*	Duval
Cypress Bluff	Duval

Darby[)5	Duval
District	Duval

Ryals Creek	Duval
Kings Creek I*	Duval

Seaton Creek Reserve[)5	Duval
Trails	Duval

Duval and St. Johns

Bartram Park[)5	Duval
Tolomato	Duval and St. Johns

Flagler

Coquina Shores	Flagler
Ormond Station*	Flagler
Palm Coast 145	Flagler
Radiance CDD*	Flagler
Seminole Palms CDD*	Flagler
Tomoka	Flagler

Glades

Deer Run	Flagler
Lakefront Estates	Glades

Hernando

Benton Hills CDD*	Hernando
Cabot Citrus Farms	Hernando
Caldera	Hernando

Hillsborough

Springside	Hernando
Belmont	Hillsborough
Belmont II	Hillsborough
Boyette Park	Hillsborough
Encore	Hillsborough
KBar Ranch III	Hillsborough
Magnolia Park	Hillsborough
Mangrove Point & Mangrove Manor CDD*	Hillsborough
MTERC	Hillsborough
Simmons Village North	Hillsborough
South Shore Corporate Park Industrial	Hillsborough
Spring Lake	Hillsborough
Stonebrier	Hillsborough
Triple Creek	Hillsborough
Varrea North	Hillsborough
Varrea South CDD	Hillsborough
Villages of Bloomingdale	Hillsborough
Water Street Tampa Improvement	Hillsborough
Waterset South	Hillsborough

Indian River

Wynnmere West	Hillsborough
Fellsmere Water Control District	Indian River

LP CDD	Indian River

Lake

Arbor Park Phase 1*	Lake
Avalon Groves CDD*	Lake

Bellaviva at Whispering Hills*	Lake
County Road 33	Lake

Cresswind Lake Harris CDD*	Lake
Cypress Reserve	Lake

Dewey Robbins	Lake
Enclave at Lake Geneva	Lake

Esplanade at McKinnon Groves*	Lake
Estates at Cherry Lake[)5	Lake

Founders Ridge	Lake
Hammock Oaks CDD*	Lake

Hicks Ditch	Lake
Lake Emma	Lake

Lake Harris	Lake
Langley South*	Lake

Louck’s Island	Lake
Olympus	Lake

Orange Bend*	Lake
Parkside Trails	Lake

Sorrento Pines CDD*	Lake
Sugarloaf	Lake
Tara Oaks CDD*	Lake

Lee

Windsor Cay	Lake
Arborwood[)5	Lee

Blue Lake[)5	Lee
CC	Lee

CFM	Lee
Coral Bay of Lee County CDD	Lee

Corkscrew Crossing*	Lee
Del Webb Oak Creek	Lee

East Bonita Beach*	Lee
Esplanade Lake Club[)5	Lee

Moody River Estates	Lee
Portico	Lee

Saltleaf*	Lee
Stonewater CDD*	Lee

Verandah East	Lee
Verandah West	Lee

Villagewalk of Bonita Springs[)5	Lee

WildBlue[)5

Lee

Capital Region

Leon

Manatee

Leon

Artisan Lakes CDD*	Manatee
Artisan Lakes East CDD*	Manatee

Aviary at Rutland Ranch CDD*	Manatee
Brookstone	Manatee

Coddington CDD*	Manatee
Del Webb Sunchase	Manatee
DW BayView CDD	Manatee
Eagle Pointe CDD*	Manatee
East River Ranch Stewardship	Manatee
Evergreen	Manatee
Firethorn*	Manatee
Heritage Harbour Market Place[)5	Manatee
Lake Flores CDD*	Manatee
Mandarin Groves CDD	Manatee
Newport Isles CDD*	Manatee
North River Ranch Improvement Stewardship	Manatee
Northlake Stewardship District*	Manatee
Paddocks	Manatee
Rye Crossing CDD*	Manatee
Rye Ranch CDD	Manatee
Saltmeadows CDD*	Manatee
Sanctuary Cove	Manatee
Southpointe of Manatee County*	Manatee
Summer Woods CDD*	Manatee
Water's Edge[)5	Manatee
Willow Hammock	Manatee
Willows	Manatee

Manatee/Sarasota

Woodland Preserve*	Manatee
Lakewood Ranch Stewardship	Manatee/Sarasota

Marion

Bellehaven*	Marion
Ocala Preserve CDD*	Marion
Ridge at Heath Brook CDD*	Marion

Martin

Winding Oaks*	Marion
Newfield	Martin

Terra Lago	Martin

Waterside CDD*

Martin

Miami-Dade

Nassau Nassau Nassau Nassau
Nassau

Independence

Okaloosa

Boggy Creek Falcon Trace FRERC
Golden Gem
Greeneway Grove Resort Kelly Park CDD* Midtown Myrtle Creek Poitras East
Ridge at Apopka CDD* Riverwalk
Shingle Creek Transit and Utility Urban Orlando
Westwood/OCC

Amelia National
East Nassau Stewardship Liberty Cove[)5
River Glen*
Three Rivers[)5

Osceola

Orange

Okaloosa

Nassau

Miami-Dade Miami-Dade Miami-Dade
Miami-Dade

Coconut Cay Coronado Parker Pointe*
Stellar North*

Orange Orange Orange Orange
Orange Orange Orange Orange Orange Orange Orange Orange Orange Orange
Orange

Antillia	Miami-Dade
Bella Tara*	Osceola

Brighton Lakes	Osceola
Buena Lago CDD*	Osceola

Center Lake Ranch West CDD*	Osceola
Edgewater East	Osceola

Edgewater West	Osceola

Enterprise	Osceola

Everest GMR	Osceola
GIR East	Osceola

Gramercy Farms[)5	Osceola
Ham Brown Reserve CDD[)5	Osceola

Harmony	Osceola
Harmony West CDD*	Osceola

Lake Lizzie	Osceola
Live Oak Lake	Osceola

Osceola Chain of Lakes	Osceola
Osceola Village Center	Osceola

Ovation	Osceola
Roan Bridge	Osceola

Sunbridge Stewardship	Osceola
Tapestry	Osceola

Town of Kindred*	Osceola
Town of Kindred II*	Osceola
Visions at Orlando West	Osceola

Palm Beach

Windsor at Westside	Osceola
Forest Oaks	Palm Beach

Gulfstream Polo	Palm Beach
Hamal	Palm Beach

Pasco

Reflection Bay*	Palm Beach
Avalon Park West CDD*	Pasco

Bexley	Pasco
Bridgewater at Wesley Chapel	Pasco

Deerbrook CDD*	Pasco
Del Webb Bexley	Pasco

Del Webb River Reserve	Pasco
Dupree Lakes*	Pasco

Estancia at Wiregrass	Pasco
Hidden Creek North	Pasco

Hope Innovation District	Pasco
KD52 CDD No. 1	Pasco

KD52 CDD No. 2	Pasco
Kenton*	Pasco

Long Lake Ranch	Pasco
Palmetto Ridge CDD*	Pasco

Parkview at Long Lake Ranch	Pasco
Pasadena Ridge	Pasco

River Landing CDD*	Pasco
Riverwood Estates[)5	Pasco

Summerstone CDD*	Pasco
Towns at Woodsdale	Pasco
TSR	Pasco
Two Ridges*	Pasco
Vida’s Way	Pasco
Westwood of Pasco	Pasco
Whispering Pines CDD*	Pasco
Wiregrass	Pasco
Wiregrass II	Pasco

Polk

Woodcreek CDD*	Pasco
Clear Springs Stewardship	Polk
Cypress Creek Reserve*	Polk
Fox Branch Ranch CDD*	Polk
Grenelefe*	Polk
Groves at Lake Marion*	Polk
Harmony on Lake Eloise CDD*	Polk
Hartford Terrace	Polk
Hawthorne Mill North CDD*	Polk
Horseshoe Creek	Polk
Lake Ashton II	Polk
Lowery Hills*	Polk
Peace Crossing	Polk
Reserve at Van Oaks CDD*	Polk
Sandmine Road	Polk
Silverlake CDD	Polk
Springs at Lake Alfred CDD*	Polk
Stuart Crossing CDD*	Polk
Wedgewood*	Polk

Polk/Osceola

Winslow’s Point*	Polk
Westview South CDD*	Polk/Osceola

Santa Rosa

Sarasota

Parkland*	Santa Rosa
Central Parc	Sarasota

Gracewater Sarasota	Sarasota
Lakeside Plantation	Sarasota

LT Ranch CDD*	Sarasota
Myakka Ranch[)5	Sarasota

Sarasota National	Sarasota
Three Rivers Stewardship	Sarasota

West Villages Improvement	Sarasota

Dovera

Seminole

St. Johns

Seminole

Aberdeen*	St. Johns
Bannon Lakes[)5	St. Johns

Brandy Creek	St. Johns
Bridgewater North	St. Johns

Cordova Palms[)5	St. Johns
DP1	St. Johns

Durbin Crossing	St. Johns
Elevation Pointe	St. Johns

Entrada	St. Johns
Glen St. Johns	St. Johns

Grand Oaks	St. Johns
Greenbriar	St. Johns

Heritage Landing[)5	St. Johns
Heritage Park*	St. Johns

Isles of Bartram Park[)5	St. Johns
Longleaf Pine	St. Johns

Madeira[)5	St. Johns
Marshall Creek	St. Johns

Meadow View at Twin Creeks CDD	St. Johns
Parkland Preserve CDD*	St. Johns

Sampson Creek[)5	St. Johns
Six Mile Creek[)5	St. Johns

Southaven	St. Johns
St. Augustine Lakes[)5	St. Johns

Stillwater[)5	St. Johns
Trout Creek*	St. Johns
World Commerce[)5	St. Johns

St. Lucie

Entrada*	St. Johns
Bedner Farms*	St. Lucie

Creekside*	St. Lucie
Koa Bay	St. Lucie

LTC Ranch West Residential	St. Lucie
Preserve at Savannah Lakes CDD*	St. Lucie

Silver Oaks CDD*	St. Lucie
Solaeris CDD*	St. Lucie

Sundance	St. Lucie
Sunrise*	St. Lucie

Veranda	St. Lucie
Veranda CDD II	St. Lucie

Sumter

Twisted Oaks Pointe CDD*
Village CDD No. 7

Sumter
Sumter

Volusia

Beaumont CDD*	Sumter
Cresswind DeLand*	Volusia

Indigo	Volusia
Kepler Road	Volusia

Ormond Crossings West	Volusia

Pioneer
Waypointe*

Volusia
Volusia

Walton

Hammock Bay	Walton
Magnolia Creek	Walton
NatureWalk	Walton

Washington

Somerset	Walton
Sunny Hills Units 12-15 Dependent District	Washington

LAW OFfJCES
BILLING©COCHRAN
ESTABLISHED 1977

KENNETH W. MORGAN, JR. MICHAEL J. PAWELCZYK MANUEL R. COMRAS ANDREW A. RIEF
JEFFERY R. LAWLEY GINGER E. WALD SCOTT C. COCHRAN
ALINE 0. MARCANTONIO
JOHN C. WEBBER

STEVEN F. BILLING (1947·1998)

BILLING COCHRAN, P.A. LAS OLAS SQUARE, SUITE 600
515 EAST LAS OLAS BOULEVARD FORT LAUDERDALE, FLORIDA 33301
(954) 764·7150
(954) 764·7279 FAX

PGANATIONAL OFFICE CENTER
300 AVENUE OF THE CHAMPIONS, SUITE 270 PALM BEACH GARDENS, FLORIDA 33418
(561) 659·5970
(561) 659·6173 FAX

CHRISTINE A. BROWN GABRIELLA A. FERNANDEZ PEREZ
MARLENE E. GONZALEZ LORI B. LEWELLEN LIZA E. SMOKER LUCAS A. WILLIAMS
OF COUNSEL: CLARK J. COCHRAN, JR. SUSAN F. OELEGAL DENNIS E. LYLES BRUCE M. RAMSEY

HAYWARD 0, GAY (1943•2007)		

RICHARD T. WOULFE

WWW .BILLINGCOCHRAN.COM PLEASE REPLY TO: FORT LAUDERDALE

February 3, 2026

Ms. Andressa Hinz Philippi
Governmental Management Services - South Florida, LLC 5385 N. Nob Hill Road
Sunrise, FL 33351

Re:		Proposal to serve as District Counsel for Waterstone Community Development District

Dear Andressa:

This letter will serve to memorialize previous discussions regarding the possibility of this fim1's undertaking to provide legal services as District Counsel to the Waterstone Community Development District. If accepted, general District legal services will be billed at the rate of
$325.00 per hour when that work is performed by a partner of the firm. Legal work carried out by associates will be billed at $250.00 per hour. Tasks assigned to paralegals are billed at $95.00 per hour. Unless otherwise determined by the Board of Supervisors, I will serve as registered agent and our office will be listed as the registered office for the Waterstone Community Development District pursuant to Florida law. There will be a monthly minimum fee of $500.00 for general/recurring legal services which may include, but shall not be limited to: communications with District Manager and District Staff re: routine operations of the COD; communications with state and local government agencies re: COD matters, requests for information, audits, etc.; updating and maintaining COD records, notices, filings, etc.; reviewing miscellaneous correspondence re: COD; scheduling matters involving the COD and Agendas re: meetings of the Board of Supervisors; monitoring litigation matters, receiving and processing all notices, service of process, etc., as Registered Agent of the COD; reviewing and reporting upon changes in legislation and regulatory measures affecting the COD. This fee structure will be adjusted on a periodic basis in connection with the District's budget process and no later than every third fiscal year to reflect changes in the Consumer Price Index published by the U.S. Department of Labor.

February 3, 2026
Page 2

Specialized legal services performed in connection with litigation, the validation and issuance of CDD bonds, as well as infrastructure construction activities funded by CDD bonds, will be invoiced separately and, when appropriate, charged against bond proceeds. Costs related to all of the above-listed activities will also be invoiced separately.

This firm currently serves as district counsel to over 150 community development districts. While the majority of our CDD clients are located in South Florida, we have several other CDD clients located throughout the State of Florida. As a result, our team has extensive experience in establishing CDDs, expanding and contracting CDD boundaries, validating, issuing, and refunding bonds for public infrastructure, providing for and addressing conveyances of interests in real property related to CDD projects, contract preparation, non-ad valorem special assessments, Florida Ethics, Public Records, and Sunshine laws, and other general aspects of providing legal services to CDDs and other special district clients.

It is my understanding that this proposal will be placed upon the District's agenda for review and approval by the Board of Supervisors at its next meeting. Should you or any members of the Board of Supervisors have any questions regarding the above, please feel free to contact me at your convenience.

DISTRICT COUNSEL SERVICES
Waterstone Community Development District St. Lucie County, Florida

Why Kilinski | Van Wyk
On behalf of Kilinski | Van Wyk PLLC (“Kilinski | Van Wyk” or “Firm”), thank you for considering our Firm to provide legal representation to Waterstone Community Development District (“District”). Kilinski | Van Wyk is a professional limited liability company with its practice focused in the areas of special districts, construction law, governmental law, public financing, public contract law, ethics, and related practice areas.
Founded in July 2021 by entrepreneurial-minded partners Jennifer Kilinski and Roy Van Wyk, our Firm combines decades of experience dedicated specifically to special district clients. Kilinski | Van Wyk was established to deliver exceptional, tailored legal services in a nimble and innovative environment. In just short of five years, our Firm has rapidly expanded to over twenty dedicated professionals, including thirteen experienced attorneys, three skilled paralegals, and robust administrative support staff. This growth underscores the confidence our clients place in our attorneys' extensive experience and high-quality legal services. We pride ourselves on our efficiency, responsiveness, and innovative strategic thinking.
Kilinski | Van Wyk serves clients throughout Florida from strategically located offices. Our originating office in Tallahassee, Florida’s capital city, provides convenient access to state administrative offices, the Florida Legislature, and key regulatory agencies vital to our clients. Our Tampa office includes ten professionals, while our Jacksonville office is staffed with two attorneys. We are currently evaluating a South Florida office in the end of 2026. This intentional geographic presence supports our successful growth and enhances our ability to serve special district clients effectively across the state.

Kilinski | Van Wyk was uniquely founded with a clear mission: providing excellent, solution-oriented, and responsive legal counsel tailored to the specific needs of special districts. By leveraging our substantial collective experience, we ensure that our clients receive seasoned, practical advice rather than experiencing "on-the-job training." Our approach involves active listening, strategic collaboration, and deploying decades of specialized legal and business acumen to achieve your goals. We dedicate ourselves to hiring, training, and retaining top-tier attorneys so that your District can thrive and succeed.

Our attorneys bring extensive experience representing various types of special districts, including stewardship districts, improvement districts, community development districts, and more, across virtually every region of Florida. The depth of our team's expertise and proven track record of success reflects our strong "bench strength," which includes accomplished senior attorneys and highly credentialed emerging talent. By choosing Kilinski | Van Wyk, you partner with an exceptional legal team committed to delivering outstanding service and measurable results.

KVW Personnel & Other Resources
Kilinski | Van Wyk attorneys concentrate their practice exclusively on special district law and related areas, leveraging significant expertise to deliver efficient, cost-effective legal services. Our approach allows us to offer flexible, competitive pricing tailored to our clients' specific needs and situations. By strategically deploying small, agile teams—including associate attorneys and paralegals as appropriate—we ensure timely responsiveness while managing expenses effectively.

As Firm partners, our names represent our personal commitment to providing proactive, business-oriented, and timely legal counsel aligned with your objectives. We actively supervise personnel assignments and resource allocation, guaranteeing each client receives personalized legal guidance suited to their unique circumstances. Additional details about our Firm, attorneys, and resources are available at www.cddlawyers.com.

KVW Experience with Special Districts
Kilinski | Van Wyk's founding partners, Jennifer Kilinski and Roy Van Wyk, previously served as partners at Hopping Green & Sams, PA, a firm renowned for representing community development districts (CDDs) since 1985. Today, our Firm serves as general counsel to over 180 special districts and similar entities across Florida, providing comprehensive legal guidance throughout all stages of district operation, from formation to ongoing management.

Our extensive experience encompasses virtually every issue facing special districts, including:
Establishment at city, county, and state levels
Real property transactions
Public finance
Procurement and contracts
Property acquisitions
Rulemaking
Open meetings and public records compliance
Ethics regulations
Construction law
District mergers and boundary amendments
Special assessments and foreclosure actions
Promulgation of policies, procedures and best practices in asset management There are few issues our lawyers have not faced.
With over 20 district clients in St. Lucie County and nearby counties, our South Florida or Tampa based attorneys are strategically positioned to serve your District effectively. Many of our special district clients operate extensive community amenities serving thousands of residents. As a result, our attorneys possess significant knowledge of best practices regarding amenity management, restaurant operations, DBPR licensing, policy development, operational management, and related due diligence activities, including detailed analyses of ownership and maintenance responsibilities.

KVW Understanding the Scope of Work
In our role as general counsel for special districts, we deliver comprehensive legal services tailored to each client's unique needs. Our scope of work typically includes advising on governmental meetings, ethics compliance, and procurement procedures; assisting with maintenance contracts and operational activities; and addressing the District's broader legal requirements.

We actively engage with the District's Board and staff by preparing meeting agendas, participating in agenda-planning calls as necessary, and drafting essential documents included in agenda packages. Consistent with our commitment to responsive service, our attorneys attend Board meetings either remotely or in person, as coordinated with the Board and District staff. After each meeting, we diligently follow up to resolve outstanding issues and promptly address questions or concerns. Additionally, we remain readily accessible by phone or email to manage and resolve any matters arising between scheduled meetings.

Drawing on extensive experience with community development districts, our proactive counsel helps clients minimize the risk of costly litigation. Strategic guidance and timely interventions at the onset of potential disputes can substantially reduce or eliminate unexpected expenses. However, should litigation become unavoidable or strategically necessary, our Firm provides experienced litigation support or offers referrals to trusted specialists suited to the District's specific circumstances.

Conclusion
Kilinski | Van Wyk proudly represents Florida’s community development districts and independent special districts, combining extensive experience and strategic resources to deliver legal services distinguished by professionalism, responsiveness, and cost-effectiveness. Our core values—being humble, hungry, and smart—guide every interaction and ensure that we approach each client’s unique needs with genuine collaboration, diligent advocacy, and innovative problem-solving. These values shape our commitment to excellence, enabling us to consistently achieve exceptional outcomes tailored to your district’s objectives.

We invite you to explore our qualifications and learn more about our approach at www.cddlawyers.com. As dedicated CDD attorneys, we look forward to partnering with you and contributing to your district's continued success.

Jennifer L. Kilinski,
Founding Partner

Kilinski | Van Wyk, PLLC 517 E. College Avenue Tallahassee, 32301
877.350.0372
Jennifer@cddlawyers.com

Experience
General Counsel to several special districts on a variety of matters including public finance, public procurement, open government and ethics, construction and real property transactions.
Represents clients before state agency and local government boards and commissions including county and city commissions, Florida Land and Water Adjudicatory Commission, and regulatory agencies.
Represents special districts and landowners before local governments regarding the establishment of community development districts and development issues and in complex construction transactions.
Represents clients before regulatory agencies, such as the Commission on Ethics, Department of Business and Professional Regulation and Department of Health for various licensing and procedural matters.
Provided legislative monitoring and support to special districts in conjunction with Legislative Session.

Education
Florida State University, J.D., 2009, Magna Cum Laude (Order of the Coif)
Florida State University, M.A., 2006, Summa Cum Laude (first in class)
University of Texas, B.S., 2003, Summa Cum Laude (first in class)

Bar & Court Admissions; Certifications & Recognition
Florida, 2009
Recognized in 2024 and 2025 as Legal Elite NOTABLE Women Leaders in Law

Mitchell Zwang
Attorney

Kilinski | Van Wyk, PLLC
Offices: Jacksonville, Tallahassee, Tampa 877.350.0372
Mitchell@cddlawyers.com

Experience
Mitchell Zwang is an associate attorney at Kilinski | Van Wyk PLLC, where he focuses on the establishment and representation of special districts, including community development districts, and brings a strong foundation in public finance, securities disclosure, and regulatory compliance.
He previously served as district and bond counsel at the Muller Law Group, PLLC, where he advised on Municipal Utility Districts (MUDs) and specialized public infrastructure projects.
Mitchell’s background also includes national public finance experience with Orrick, Herrington & Sutcliffe LLP, representing government entities, special districts, and financial institutions in municipal and school district financings nationwide, serving as bond counsel, underwriters counsel, and disclosure counsel.

Education
University of Houston Law Center, J.D., 2023
Order of the Barristers
Houston Journal of Health Law & Policy
University of Texas at Austin, B.B.A. in Finance, 2019

Bar Admissions
Texas Bar Admission; 2023
Florida Bar Admission; 2024

P.O. Box 6386, Tallahassee, Florida 32314

KILINSKI | VAN WYK PLLC FEE AGREEMENT WATERSTONE CDD

PARTIES

THIS AGREEMENT (“Agreement”) is made and entered into by and between the following parties:

Waterstone Community Development District (“Client”) c/o Governmental Management Services – SF, LLC 5385 N. Nob Hill Road
Sunrise, FL 33351 and
Kilinski | Van Wyk PLLC (“Kilinski | Van Wyk”) 517 E. College Avenue
Tallahassee, Florida 32301

SCOPE OF SERVICES

In consideration of the mutual agreements contained herein, the parties agree as follows:

The Client agrees to employ and retain Kilinski | Van Wyk as its general legal Counsel.

Kilinski | Van Wyk accepts such employment and agrees to serve as attorney for and provide legal representation to the Client regarding those matters referenced above.

FEES

The Client agrees to compensate Kilinski | Van Wyk for services rendered regarding any matters covered by this Agreement according to the hourly billing rates for individual Kilinski | Van Wyk lawyers set forth herein, plus actual expenses incurred by Kilinski | Van Wyk in accordance with the attached standard Expense Reimbursement Policy (Attachment A, incorporated herein by reference). Kilinski | Van Wyk proposes hourly rates of $365 - $400 per hour for partners, $355 - $400 per hour for senior of counsel lawyers, $325-$350 per hour for of counsel lawyers, $275 - $335 per hour for associates, and $185 - $200 per hour for paralegals. Hourly rates may be increased by up to five dollars an hour each calendar year starting with the next calendar year.

The Client agrees to pay Kilinski | Van Wyk monthly billings for fees and expenses incurred within thirty (30) days following receipt of a statement from Kilinski | Van Wyk. Kilinski | Van Wyk shall not be obligated to perform further legal services under this Fee Agreement if any such billing statement remains unpaid longer than thirty (30) days after submittal to and receipt by Client. Non-payment of billing statements shall be a basis for Kilinski | Van Wyk to withdraw from the representation upon reasonable notice and subject to applicable Florida Bar rules regarding withdrawal of representation.

CLIENT FILES

The files and work product materials (“Client File”) of the Client generated or received by Kilinski | Van Wyk will be maintained by Kilinski | Van Wyk in accordance with Florida Bar rules. At the conclusion of the representation, the Client File will be stored by Kilinski | Van Wyk for a minimum of five (5) years. After the five (5) year storage period, the Client hereby acknowledges and consents that Kilinski | Van Wyk may confidentially destroy or shred the Client File, unless Kilinski | Van Wyk is provided a written request from the Client requesting return of the Client File, to which Kilinski | Van Wyk will return the Client File at Client’s expense.

DEFAULT

In the event of a dispute arising under this Agreement, whether a lawsuit or other proceeding is filed, the prevailing party shall be entitled to recover its reasonable attorneys’ fees and costs, including attorneys’ fees and costs incurred in litigating entitlement to attorneys’ fees and costs, as well as in determining or quantifying the amount of recoverable attorneys’ fees and costs. The reasonable costs to which the prevailing party is entitled shall include costs that are taxable under any applicable statute, rule, or guideline, as well as non-taxable costs, including, but not limited to, costs of investigation, telephone charges, mailing and delivery charges, information technology support charges, consultant and expert witness fees, travel expenses, court reporter fees, and mediator fees, regardless of whether such costs are otherwise taxable. Venue of any such action shall be exclusive in the state courts of the Second Judicial Circuit in and for Leon County, Florida.

CONFLICTS

It is important to disclose that Kilinski | Van Wyk represents a number of special districts, builders, developers, property owners’ associations and other entities throughout Florida relating to community development districts and other special districts. In the course of Kilinski
| Van Wyk’s representation of Client, Kilinski | Van Wyk may be asked to represent Client on transactions between Client and the developer and/or builders involved in the Client’s project, when at the same time Kilinski | Van Wyk may be representing such developer and/or builders on matters unrelated to Client. By accepting this Agreement, Client agrees that (1) Client was provided with an explanation of the implications of the common representation(s) and the advantages and risks involved; (2) Kilinski | Van Wyk will be able to provide competent and diligent representation of Client, regardless of Kilinski | Van Wyk’s other representations; and, (3) there is not a substantial risk that Kilinski | Van Wyk’s representation of Client would be materially limited by Kilinski | Van Wyk’s responsibilities to another client, a former client or a third person or by a personal interest. Acceptance of this Agreement will constitute your advance waiver of

potential conflicts arising from Kilinski | Van Wyk’s representation of various special districts, builders, developers, and other entities relating to community development districts and other special districts in Florida. However, to the extent there is any perceived or real direct conflict of interest, Kilinski | Van Wyk agrees it shall present a separate request for conflict waiver.

TERMINATION

Either party may terminate this Agreement upon providing prior written notice to the other party at its regular place of business. All fees due and payable in accordance with this Agreement shall accrue and become payable pursuant to the terms of this Agreement through the date of termination. This Agreement shall automatically terminate upon creation of the community development district that is the subject of this Agreement and payment of all fees and expenses as provided for herein.

EXECUTION OF AGREEMENT

This Agreement shall be deemed fully executed upon its signing by Kilinski | Van Wyk and the Client. The contract formed between Kilinski | Van Wyk and the Client shall be the operational contract between the parties.

ENTIRE CONTRACT

This Agreement constitutes the entire agreement between the parties.

Accepted and agreed to by:

WATERSTONE CDD

By: 	 Its: 	 Date: 	

KILINSKI | VAN WYK PLLC

By: Jennifer Kilinski

Its: Authorized Member Date: February 4, 2025

		  

ATTACHMENT A

KILINSKI | VAN WYK PLLC EXPENSE REIMBURSEMENT POLICY

The following is the expense reimbursement policy for the Agreement. All expenses are billed monthly. Billings ordinarily reflect expenses for the most recent month, except when there are delays in receiving bills from third party vendors.

Telephone. All telephone charges are billed at an amount approximating actual cost. Facsimile. There are no charges for faxes.
Postage. Postage is billed at actual cost.

Overnight Delivery. Overnight delivery is billed at actual cost.

Travel. Travel (including airfare, rental cars, taxicabs, hotel, meals, tips, etc.) is billed at actual cost. Where air travel is required, coach class is used wherever feasible. Out-of-town mileage is billed at the IRS approved reimbursement rate.

Other Expenses. Other outside expenses, such as court reporters, agency copies, large print projects, etc., are billed at actual cost.

PROPOSAL

Date: 1/30/2026
Customer Name: Waterstone Community Development District Project Address: 8851 Waterstone Blvd, Fort Pierce, FL 34951
Contact Person: Ryan Fischer; 772-233-1755 E-Mail: ryanfisch95@gmail.com

Description of the Work Proposed

Remove and haul off site approximately 1290 Sq Ft of damaged sidewalk at 8 locations. Replace sidewalk sections with 3500 PSI concrete with fiber reinforcement at 4 inches thick.
Includes subgrade preparation and compaction, formwork, place and finish to a medium broom finish, strip, clean, and provide sawcut control joints as directed.

This work can be completed for:	$ 16,521.00 Sixteen Thousand Five Hundred Twenty One Dollars

Thank you, Ryan Fischer

Atlantix Structural, LLC
3261 SW Water Edge Way | Palm City, FL 34990 561-722-6533

K.G. Concrete & Development

+17729714153
kgconcretedevelopment@gmail.com

www.kgconcretellc.com		

Estimate						
ADDRESS			ESTIMATE	1896		
Matt Hans			DATE	1/26/2026		
8851 Waterstone Blvd			EXPIRATION DATE	03/26/2026		
Ft. Pierce, Fl 34951						

PHONE NUMBER 954-512-9580		
CROSS STREET
Waterstone blvd				
	DESCRIPTION				AMOUNT	

NOTE

Services

NOTE: •Subbase is thoroughly compacted •Reinforced w/ wire, fiber & dowels into existing concrete areas (if needed) •3,500 PSI concrete (unless otherwise noted) •If project requires permit the homeowner will be responsible for providing a survey •Not responsible for irrigation & sod (unless noted)

Remove 1300 Sq Ft of damaged sidewalk 8 total locations
Replace sidewalk with 3,500 PSI concrete at 4in thick.

$18,735.00

Walkway Install

Discount

Removal of existing sod/soil. Soil disposed on site •Level, grade, pitch, compact & install form work •Install rebar dowels & wire •Installation of 3500 psi fiber concrete, float, broom & grooved finish •Removal of forms & saw cut (if needed) •Backfill on inside of forms included •Not responsible for sod & irrigation

•Discount applied if contract signed prior to March 1st, 2026

Thank you for your business.
Payment methods: check, zelle, credit card (3% processing fee), wire & ach.
Mailing address: 725 SE Port St. Lucie Blvd. SUITE # 102, Port St Lucie, FL 34984
Contact the office for banking & credit card transactions.

SUBTOTAL DISCOUNT TAX

$18,735.00
-350.00
0.00

If you would like to move forward with this estimate, please e-mail or contact the office 772-971-4153.

We will gladly send you an invoice with proper details and attachments that are necessary to get your
project on schedule.

TOTAL	$18,385.00

We accept form of payment by check, zelle, credit card (3% processing fee) wire, ach & rtp. We look forward to working with you!

Thank you,
K.G. Concrete & Development

Accepted By Accepted Date

	
ESTIMATE	#3011
ESTIMATE DATE	Feb 4, 2026
SERVICE DATE	Feb 4, 2026	
TOTAL	$3,413.26	

Veterans Air and Electric
Waterstone CDD
5385 North Nob Hill Road Sunrise, FL 33351

CONTACT US

10612 SW Kelsey Way Port St. Lucie, FL 34987

 (954) 512-9580
 mhans@gmssf.com

 (772) 370-6095
 info@veteransairandelectric.com

Service completed by: Michael Cuevas

ESTIMATE

Services	qty

#1 Awg Stranded 4 Wire Pull Per 10 Ft	15.0
Stranded wires are multiple wires stranded together. It is generally considered a better option than solid wire

125 Amp Qp 22ka Two Pole Siemens Breaker	1.0
With 120v shunt trip a circuit breaker is an electrical switch designed to protect a circuit from overload. Some special breakers also guard against electrocution if a electrical item comes in contact with water and others protect against electrical surges

Subtotal	$3,413.26

Total	$3,413.26

Thank you for choosing Veterans Air and Electric. It is always an honor and privilege to continue to serve you and our community day by day. We are completely conﬁdent you will be satisﬁed with our work, but if you have any questions, comments or concerns; please do not hesitate to contact us and bring it to our attention. Reviews left on Google are greatly appreciated as well. Thanks again!

-The Veterans Air and Electric Team

**ALL JOBS OVER $1000.00 REQUIRE A 50% DEPOSIT BEFORE WORK COMMENCES.**

Veterans Air and Electric Cac1820600EC13002777	1 of 1

ESTIMATE

St Lucie Electric

Matthew Hans
Bill to
Matthew Hans
Waterstone CDD

Estimate details
Estimate no.: 1167 Estimate date: 01/06/2026

2808 Delaware Ave Fort Pierce, FL 34947

#	Date	Product or service	SKU	Qty	Rate	Amount	
1.	Custom Amount		1	$4,200.00	$4,200.00	
	Upgrade existing single phase power feeding pool equipment Install new 125 amp breaker and 200 ft of wire to feed pool equipment					

Note to customer
Thank you for your business.

stlucieelectric@yahoo.com (772) 216-2049

Total	$4,200.00

St. Moritz Security Services, Inc.
4600 Clairton Blvd
Pittsburgh, PA 15236

Proposal

PRO-20251212.001

DATE:	SERVICES PROPOSED BY:	SERVICES PROPOSED FOR:	
12/12/2025	St. Moritz Security Services, Inc.	South Florida Waterstone CDD	
	4600 Clairton Blvd	8935 NW 35 Lane	
	Pittsburgh, PA 15236	Suite 101	
	Evan Nardone	Doral, FL 33172	
	412-885-8650
enardone@smssi.com	Attn: Matthew Hans
954-721-8681 x225	
	Mike McConnell	MHans@gmssf.com	
	724-683-4306		
	mmcconnell@smssi.com		

This proposal is valid for 14 days from the date of issuance. If not accepted within this period, the proposal will be considered expired, and the terms may be subject to revision. Any acceptance beyond the 14-day period will require a revised/new proposal or written confirmation of extension.
Please note that a 50% deposit of the total project cost will be issued before the initial startup.

St. Moritz Security Services, Inc – Proposal for Services	1

St. Moritz Security Services, Inc. – Proposed Solution

If you have any questions, concerns, or queries regarding this proposal, please feel free to contact Evan Nardone at 412-885-3144 or Mike McConnell at 724-683-4306.

4600 Clairton Blvd.
Phone: 412-885-3144 Fax: 412-942-0263
Email: enardone@smssi.com | mmcconnell@smssi.com http://www.smssi.com

Matt Hans
Governmental Management Services South of Florida 5385 North Nob Hill Road
Sunrise, FL 33351 mhans@gmssf.com 954-512-9580

CHANGE ORDER REQUEST

PROJECT INFORMATION

Waterstone Waterstone Blvd Fort Pierce, FL 34951
Date: 11 / 14 / 2025
Job Number:10-017693 Change Order # #001

SCOPE OF WORK

ASPHALT PAVING FINAL LIFT: For onsite paving final lift, Up to 363 Sq. Yds.
Apply a DOT approved tack coat
Install 1" to 3" hot plant mixed asphalt Type SP-9.5
Roll and compact areas using a steel drum and rubber tire roller.
Haul away any related debris
*Proposal does not include sweeping and/or excessive clean-up of rock or bottom lift

MANHOLE/CATCH BASIN RIM ADJUSTMENT
Install (3) Ring risers to adjust manhole to the new asphlat elevations.
Haul away any related debris.

THERMOPLASTIC PAVEMENT MARKINGS
Clear away loose dirt and debris.
Pour thermoplastic road marking materials to include:5 Single line stalls, 1 Double stop bar, 2 stop bars, 60 LF of double yellow line, 9 blue RPM's, 2 Red RPM's
Thermoplastic will be applied at a rate of 90 wet mils.
Glass beads will be incorporated in the material for retro-reflectivity.

*Project bid with typical industry and municipal standards. City specifications, permit and code requirements are subject to change without notice.

16,321.00

Change Order Amount $

Customer to sign here in acceptance of the above change order details

Select if Billing Information is different from above

South FL. Corporate Office 1180 SW 10th St. Delray Beach, FL 33444
561-588-0949

Sales Representative Samuel Garcia
T: (561) 531-9534
E: jsgarcia@allcountypaving.com

www.ALLCOUNTYPAVING.com

Matt Hans
Governmental Management Services South of Florida 5385 North Nob Hill Road
Sunrise, FL 33351 mhans@gmssf.com 954-512-9580

The dollar amount listed above is to be added to the original contract amount. This revision becomes part of, and in conformance with, the existing contract. All work to be performed under the same terms and conditions as specified in the original contract unless otherwise stipulated.

ACCEPTANCE OF CHANGE ORDER REQUEST:
The above prices,specifications and conditions are satisfactory and are hereby accepted. You are authorized to do the work as specified. Payment will be made in accordance with the contract. All Prices quoted are valid for 30 days from the date of this change order request.

South FL. Corporate Office 1180 SW 10th St. Delray Beach, FL 33444
561-588-0949

Sales Representative Samuel Garcia
T: (561) 531-9534
E: jsgarcia@allcountypaving.com

www.ALLCOUNTYPAVING.com

WATERSTONE CDD

FIELD REPORT

FEBRAUARY 12, 2026
Governmental Management Services-South Florida, LLC 5385 N. Nob Hill Road Sunrise, FL 33351

WATERSTONE CDD

POOL

Power issues for heaters
After the proper impeller was installed on the pool pump the pool equipment started drawing more power, the panel was overloaded and was tripping the breakers for the pump
The pool heaters had to be shut off, we only had enough amps to power one of the heaters and out of extreme caution we shut off the other heater to avoid burning out the heating element

The panel needs to be upgraded to accommodate the increase in load
New pool furniture arrived December 8th

COMMON AREA’S

Damaged fence at lift station

The winds that came with the cold front had taken out a section of the lift stations fence. The damage has been reported to st lucie counties utilities and they will be sending someone out to address the week of 2/2-2/6/26
Potholes: 3 potholes have been repaired since our last meeting

Entrance gate installation completed
Installation of the gate is at a stand still until current change orders can be approved
Damaged sidewalks around community
All Cdd sidewalks in the community were inspected and 8 locations were marked and noted as tripping hazards. We have bids to present at the meeting to correct these issues

 

LANDSCAPING

Landscape installation

down to earth started prepping the community for the approved landscape installation
the plan was to hold off till after the winter storm had passed, their production manager had ignored the requests of CDD management and stated the installation on Friday 1/30/26
all newly installed plants damaged by the storm will be replaced

Winter storm damage
A large percentage of out existing plants were severely damaged by the storm, we will be giving them till be beginning of march to do a true analysis of the loss.

Currently it appears we lost most of our green island Ficus and sevre damage to our dwarf exora’s

LAKES & PRESERVE

Monthly lake treatment
Lakes were last treated on January 26th..
No algae growth to report, cattails have been treated
Water levels are extremely low in all the lakes

Waterstone	
COMMUNITY DEVELOPMENT DISTRICT	

Fiscal Year 2026	
Check Register	

Date

check #'s

Amount

10/1 - 10/31/25	1847-1867	$128,206.98	

11/1 - 11/30/25	1868-1884	$102,918.80	

12/1 - 12/31/25	1885-1902	$1,276,745.49	

TOTAL CHECKS	$1,507,871.27	

Date

ACH

Amount

10/1 - 10/31/25	80005-80006	$4,812.83	

11/1 - 11/30/25	80007-80008	$4,724.84	

12/1 - 12/31/25	80009-80011	$6,367.73	

TOTAL ACH	$15,905.40	

TOTAL	$1,523,776.67	

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#
10/03/25 00023	9/29/25 30361	202510 310-51300-45000	*	4,800.00
FY26 GENERAL LIABILITY
9/29/25 30361	202510 310-51300-45000	*	3,321.00
FY26 PUBLIC OFFICIALS
9/29/25 30361	202510 320-57200-45000	*	13,169.00
FY26 PROPERTY
EGIS INSURANCE ADVISORS, LLC	21,290.00 001847

10/03/25 00004	9/15/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	
	10/01/25	

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
248	202510 310-51300-31700	*	2,120.00
ASSESSMENT ROLL CERT FY26
249	202510 310-51300-34000	*	3,751.33
OCT 25 - MGMT FEES
249	202510 310-51300-35100	*	94.50
OCT 25 - COMPUTER TIME
249	202510 310-51300-35110	*	141.75
OCT 25 - WEBSITE ADMIN
249	202510 310-51300-42000	*	56.68
OCT 25 - POSTAGE
249	202510 310-51300-42500	*	.15
OCT 25 - COPIES
250	202510 320-54100-34000	*	833.33
OCT 25 - FIELD SERVICES
250	202510 320-57200-46000	*	365.85
WAYFAIR-CLUBH CHAIRS
250	202510 320-57200-52000	*	23.71
WINN DIXIE-CLEANING SUPP
250	202510 320-57200-52000	*	116.64
SAMS CLUB-PPR TWL/TOILET
GMS - SO FLORIDA, LLC	7,503.94 001848
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/03/25 00050	9/19/25 IV007355 202510 320-57200-34500	*	48.00
PKLBALL/TENNIS 10/1-12/31
PYE BARKER FIRE & SAFETY	48.00 001849
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/03/25 00121 10/02/25 14180153 202510 320-54100-60000	*	35,992.60
50% DEP RFID TRANSP GATE
ST MORITZ SECURITY SERVICES, INC.	35,992.60 001850
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/03/25 00034	9/30/25 27245	202508 310-51300-31500	*	1,205.00
LEGAL SERVICES THRU 8/31
STRALEY ROBIN VERICKER	1,205.00 001851
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/10/25 00122	9/02/25 906	202509 320-57200-60000	*	2,152.00
4-42" ROUND TABLE N HOLE
9/02/25 906	202509 320-57200-60000	*	1,076.00
2-42" ROUND TABLE W HOLE
WATS WATERSTONE	TCESSNA

DATE	DATE	
	9/02/25	
	9/02/25	
	9/02/25	
	9/02/25	
	9/02/25	

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...	VENDOR NAME	STATUS	AMOUNT	....CHECK.....
INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	AMOUNT	#
906	202509 320-57200-60000	*	8,780.00
20-ECLIPSE CHAISE W/OARMS
906	202509 320-57200-60000	*	5,256.00
24-DINING CHAIRS
906	202509 320-57200-60000	*	1,396.00
4-9FT FIBERGL CRANK
906	202509 320-57200-60000	*	398.00
2-75 LB CEMENT BASE
906	202509 320-57200-60000	*	798.00
2-UMBRELLA BASE
A PLUS PATIO FURNITURE, LLC	19,856.00 001852
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/20/25 00116 10/06/25 9319	202510 320-57200-34550	*	1,512.00
SECURITY 10/10-10/19/25
ALL FLORIDA SECURITY SERVICES INC	1,512.00 001853
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/20/25 00033	9/30/25 8781	202509 310-51300-31100	*	1,732.50

- - - - - - - -	- - - - - - -	ALVAREZ ENGINEERS
- - - - - - - - - - - - - - - - - - - - -	-	-	-	-	-	-	-	-	-	-	- -	-	-	-	-	-	- - - - -	1,732.50
- - - - -	001854
- - -	
10/20/25 00123	10/01/25 5
OCT
10/01/25 5	202510 320-57200-34000
202510 320-57200-45300											*
*						5,200.00
6,333.33			
	OCT	25 - JANITORIAL																				

ENGINEERING THRU 9/30/25

25 - FIELD MANAGEMENT

CALM IV	11,533.33 001855
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/20/25 00072 10/02/25 201071	202510 320-57200-45300	*	2,025.00

- - - - - - - -	- - - - - - - - -	CRYSTAL CLEAN TEAM
- - - - - - - - - - - - - - - - - - -	INC
- -	-	-	-	-	-	-	-	-	- -	-	-	-	-	-	- - - - -	2,025.00
- - - - -	001856
- - -	
10/20/25 00091	10/01/25	155676	202510 320-54100-46200	*	15,067.50	
OCT 25-	LANDSC MAINT	
DOWN TO EARTH OPCO	LLC	15,067.50	001857	
- - - - - - - -	- - - - - - - - -	- - - - - - - - - - - - - - - - - - -	- -	-	-	-	-	-	-	-	-	- -	-	-	-	-	-	-	- - - -	- - - - -	- - -	
10/20/25 00002	10/01/25	93015	202510 310-51300-54000	*	175.00	
SPECIAL	DISTRICT FEE FY26	
FLORIDACOMMERCE	175.00	001858	
- - - - - - - -	- - - - - - - - -	- - - - - - - - - - - - - - - - - - -	- -	-	-	-	-	-	-	-	-	- -	-	-	-	-	-	-	- - - -	-	- - - -	- - -	
10/20/25 00103	9/30/25	7353461	202509 310-51300-48000	*	127.44	

OCT 25 - CLUBH CLEANING

NOTICE OF MTG FY26

GANNET FLORIDA LOCALIQ	127.44 001859

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/20/25 00110 10/06/25 25111001 202510 320-57200-46400	*	2,300.00
OCT 25 - POOL SERVICE
SANDY GORDON INC	2,300.00 001860
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
WATS WATERSTONE	TCESSNA

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS		STATUS		AMOUNT	....CHECK..... AMOUNT	#	
10/20/25 00125	10/17/25 REFUND D 202510 300-22000-10000
RADCLIFFE MCLEAN		*		250.00	
250.00 001861	
- - - - - - - - 10/20/25 00051	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/13/25 4512302	202510 320-57200-46500
REYNOLDS PEST MANAGEMENT	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

80.00 001862	
- - - - - - - - 10/20/25 00074	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/02/25 PSI21210 202510 320-54100-46300
SOLITUDE LAKE MANAGEMENT LLC	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

2,303.81 001863	
- - - - - - - - 10/21/25 00125	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/21/25 REFUND R 202510 300-36200-10000
RADCLIFFE MCLEAN	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

100.00 001864	
- - - - - - - - 10/22/25 00049	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/16/25 3625	202510 320-57200-49000
ELITE CHRISTMAS LIGHTING	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

2,699.86 001865	
- - - - - - - - 10/22/25 00126	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/22/25 10222025 202510 320-57200-46410
LITTLEJOHN POOLS INC	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

1,475.00 001866	
- - - - - - - - 10/22/25 00034	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/20/25 27335	202509 310-51300-31500
STRALEY ROBIN VERICKER	- - -	- - - -
*	- - - - -	- - - - -	- - - - - - - -

930.00 001867	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - -	- - - -	- - - - -	- - - - -	- - - - - - - -	

REF DEP R MCLEAN

PERIM PEST RODENT 10/13

80.00

OCT 25 - LAKE MAINT

2,303.81

REFUND RENT 10/11/25

100.00

HOLIDAY LIGHTING DEPOSIT

2,699.86

50% DEP POOL TILE REPAIR

1,475.00

LEGAL SV THRU 9/30/25

930.00

TOTAL FOR BANK A	128,206.98

WATS WATERSTONE	TCESSNA

DATE	DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS			AMOUNT	#	
10/06/25 00030	9/23/25 SEP 25	202509 320-54100-43000	*	3,431.80			
9/23/25	ST LTS 8/22-9/23/25
SEP 25	202509 320-54100-43001	*	26.92	
	PUMP C 8/22-9/23/25			
9/23/25	SEP 25	202509 320-54100-43001	*	26.92	
	WELL 2 8/22-9/23/25			
9/23/25	SEP 25	202509 320-54100-43001	*	26.92	
	PUMP B 8/22-9/23/25			
9/23/25	SEP 25	202509 320-54100-43001	*	84.62	
	GUARD 8/22-9/23/25			
9/23/25	SEP 25	202509 320-57200-43001	*	965.98	
	CLUBH 8/22-9/23/25			
9/23/25	SEP 25	202509 320-57200-43001	*	29.09	
	PUMP B 8/22-9/23/25			

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...	VENDOR NAME	STATUS	AMOUNT	....CHECK.....

FPL (AUTO PAY)	4,592.25 080005
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/06/25 00028	9/11/25 11921-34 202508 320-57200-43100	*	220.58
WATER 08/12-09/09/25
ST LUCIE COUNTY UTILITIES-AUTO PAY	220.58 080006
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
TOTAL FOR BANK Z		4,812.83 TOTAL FOR REGISTER	133,019.81

WATS WATERSTONE	TCESSNA

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#
11/05/25 00116 10/27/25 9378	202510 320-57200-34550	*	1,512.00
SECURITY 10/24-11/02/25
ALL FLORIDA SECURITY SERVICES INC	1,512.00 001868

11/05/25	00004	11/01/25	
		11/01/25	
		11/01/25	
		11/01/25	
		11/01/25	
		11/01/25	
		11/01/25	
- - - - - - - -
11/05/25 00110	- - - -
10/16/25	

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
253	202511 320-54100-34000	*	833.33
NOV 25 - FIELD SERVICES
253	202511 320-57200-49000	*	14.03
ST. LUCIE DUMP FEES
254	202511 310-51300-34000	*	3,751.33
NOV 25 - MGMT FEES
254	202511 310-51300-35100	*	94.50
NOV 25 - COMPUTER TIME
254	202511 310-51300-35110	*	141.75
NOV 25 - WEBSITE ADMIN
254	202511 310-51300-42000	*	61.12
NOV 25 - POSTAGE
254	202511 310-51300-42500	*	120.70
NOV 25 - COPIES
GMS - SO FLORIDA, LLC	5,016.76 001869
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
25111002 202510 320-57200-46410	*	412.67
STRAINER BASKET
SANDY GORDON INC	412.67 001870
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/05/25 00015 11/04/25 28262	202511 310-51300-32200	*	2,500.00
AUDIT FYE 9/30/2025
GRAU & ASSOCIATES	2,500.00 001871
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/05/25 00127	8/29/25 REIMB TI 202511 320-54100-49000	*	178.84
S HOFMAN REIMB TIRE
SUSAN HOFMAN	178.84 001872
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/05/25 00050 11/21/25 IV007897 202511 320-57200-34500	*	231.51
MONIT 11/1-1/31/26
PYE BARKER FIRE & SAFETY	231.51 001873
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/05/25 00094 10/19/25 2272	202510 320-57200-46700	*	210.00
OCT 25 - MAINTENANCE
TCA FITNESS SERVICES LLC	210.00 001874
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/19/25 00116 11/10/25 9445	202511 320-57200-34550	*	1,512.00
SECURITY 11/07-11/16/25
ALL FLORIDA SECURITY SERVICES INC	1,512.00 001875
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/19/25 00033 11/04/25 8834	202510 310-51300-31100	*	602.50
ENGINEERING THRU 10/31/25
ALVAREZ ENGINEERS	602.50 001876
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
WATS WATERSTONE	TCESSNA

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS		AMOUNT	....CHECK.....
AMOUNT	#	
11/19/25 00123	11/01/25 9	202511 320-57200-34000	*		5,200.00	
	NOV 25 - FIELD MANAGEMENT 11/01/25 9	202511 320-57200-45300
CALM IV	*		6,333.33
11,533.33 001877	
- - - - - - - - 11/19/25 00072

- - - - - - - - 11/19/25 00091	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/01/25 201080	202511 320-57200-45300
CRYSTAL CLEAN TEAM INC
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/01/25 157596	202511 320-54100-46200
11/07/25 159159	202511 320-54100-46250	- - - - - - -
*

- - - - - - -
*
*	- - - -

- - - -	- - - - - - - - - - - - - -
1,800.00
1,800.00 001878
- - - - - - - - - - - - - -
15,067.50
1,056.05	
	REMOVE DEAD PLANTS
DOWN TO EARTH OPCO LLC			16,123.55 001879	
- - - - - - - - 11/19/25 00110	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/06/25 25111101 202511 320-57200-46400
11/06/25 25111102 202511 320-57200-46410	- - - - - - -
*
*	- - - -	- - - - - - - - - - - - - -
2,300.00
1,023.63	
	CHLORINE FEEDER
SANDY GORDON INC			3,323.63 001880	
- - - - - - - - 11/19/25 00126

- - - - - - - - 11/19/25 00128

- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/10/25 11102025 202511 320-57200-46410
LITTLEJOHN POOLS INC
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/29/25 096463	202510 320-54100-61000
M&M ASHPALT MAINTENANCE INC
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - -
*

- - - - - - -
*

- - - - - - -	- - - -

- - - -

- - - -	- - - - - - - - - - - - - -
1,475.00
1,475.00 001881
- - - - - - - - - - - - - -
54,103.20
54,103.20 001882
- - - - - - - - - - - - - -	
11/19/25 00051	11/13/25 4514550	202511 320-57200-46500
REYNOLDS PEST MANAGEMENT	*		80.00
80.00 001883	
- - - - - - - - 11/19/25 00074

- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/02/25 PSI21901 202511 320-54100-46300
SOLITUDE LAKE MANAGEMENT LLC
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - -
*

- - - - - - -	- - - -

- - - -	- - - - - - - - - - - - - -
2,303.81
2,303.81 001884
- - - - - - - - - - - - - -	
	TOTAL FOR	BANK A		102,918.80	

NOV 25 - JANITORIAL

NOV 25 - CLUBH CLEANING

NOV 25- LANDSC MAINT

NOV 25 - POOL SERVICE

BALANCE POOL TILE REPAIR

50% ASPHALT PAVING

PERIM PEST RODENT 11/13

NOV 25 - LAKE MAINT

WATS WATERSTONE	TCESSNA

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#
11/05/25 00030 10/23/25 OCT 25	202510 320-54100-43000	*	3,431.80 ST LTS 9/23-10/23/23
10/23/25 OCT 25	202510 320-54100-43001	*	26.92
PUMP C 9/23-10/23/23
10/23/25 OCT 25	202510 320-54100-43001	*	26.92
WELL 2 9/23-10/23/23
10/23/25 OCT 25	202510 320-54100-43001	*	26.92
PUMP B 9/23-10/23/23
10/23/25 OCT 25	202510 320-54100-43001	*	75.71
GUARD 9/23-10/23/23
10/23/25 OCT 25	202510 320-57200-43001	*	890.26
CLUBH 9/23-10/23/23
10/23/25 OCT 25	202510 320-57200-43001	*	29.04
PUMP B 9/23-10/23/23
FPL (AUTO PAY)	4,507.57 080007
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/05/25 00028 10/16/25 11921-34 202509 320-57200-43100	*	217.27
WATER 9/9-10/14/25
ST LUCIE COUNTY UTILITIES-AUTO PAY	217.27 080008
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
TOTAL FOR BANK Z		4,724.84 TOTAL FOR REGISTER	107,643.64

WATS WATERSTONE	TCESSNA

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS	AMOUNT	....CHECK..... AMOUNT	#	
12/04/25 00116	11/24/25 9474	202511 320-57200-34550
ALL FLORIDA SECURITY SERVICES INC	*	1,512.00	
1,512.00 001885	
- - - - - - - - 12/04/25 00123	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/01/25 13	202512 320-57200-34000
CALM IV	- - - - - - - - -
*	- - - - -	- - - - - - - -

5,200.00 001886	
- - - - - - - - 12/04/25 00049	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/18/25 3626	202511 320-57200-49000
ELITE CHRISTMAS LIGHTING	- - - - - - - - -
*	- - - - -	- - - - - - - -

2,699.86 001887	
- - - - - - - - 12/04/25 00004	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/01/25 255	202512 320-54100-34000
12/01/25 255	202512 320-54100-46000	- - - - - - - - -
*
*	- - - - -

46.71	- - - - - - - -	
	PHOTO CELLS PKG LOT LGTS
12/01/25 255	202512 320-54100-46000	*	16.09		
	STORAGE HANGER & SCREWS
12/01/25 255	202512 320-54100-46000	*	258.58		
	ASPHALT PATCH KITS
12/01/25 255	202512 320-54100-46000	*	67.56		
	CAULK ANCHOR ADHESIVE
12/01/25 255	202512 320-54100-46000	*	307.61		
	PRINTER
12/01/25 255	202512 320-54100-46000	*	50.06		
	WEED KILLER
12/01/25 255	202512 320-57200-52000	*	158.70		
	GARBAGE BAGS
12/01/25 255	202512 320-57200-52000	*	17.83		
	12/01/25 256	202512 310-51300-34000
12/01/25 256	202512 310-51300-35100	*
*	3,751.33
94.50		
	DEC 25 - COMPUTER TIME
12/01/25 256	202512 310-51300-35110	*	141.75		
	DEC 25 - WEBSITE ADMIN
12/01/25 256	202512 310-51300-42000	*	808.47		
	DEC 25 - POSTAGE
12/01/25 256	202512 310-51300-51000	*	38.40		
	DEC 25 - OFFICE SUPPLIES
12/01/25 256	202512 310-51300-42500	*	72.00		
	DEC 25 - COPIES
GMS - SO FLORIDA, LLC			6,662.92 001888	
- - - - - - - - 12/04/25 00015	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/01/25 28362	202512 310-51300-32200
GRAU & ASSOCIATES	- - - - - - - - -
*	- - - - -	- - - - - - - -

1,800.00 001889	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - -	- - - - -	- - - - - - - -	

SECURITY 11/21-11/30/25

DEC 25 - FIELD MANAGEMENT

5,200.00

FINAL HOLIDAY LIGHTING

2,699.86

DEC 25 - FIELD SERVICES

833.33

BATHROOM SOAP
DEC 25 - MGMT FEES

AUDIT FYE 9/30/2025

1,800.00

WATS WATERSTONE	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN	1/06/26	PAGE	2
*** CHECK DATES 12/01/2025 - 12/31/2025 ***	WATERSTONE - GENERAL FUND
BANK A WATERSTONE - GENERAL
CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#
12/04/25 00034 11/24/25 27576	202510 310-51300-31500	*	590.60
LEGAL SERVICES THRU 10/31
STRALEY ROBIN VERICKER	590.60 001890
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/08/25 00077 12/08/25 12082025 202512 300-15100-10100	*	750,000.00
TXFER EXCESS FUNDS TO SBA
STATE BOARD OF ADMINISTRATION	750,000.00 001891
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/15/25 00077 12/08/25 12082025 202512 300-15100-10100	V	750,000.00-TXFER EXCESS FUNDS TO SBA
STATE BOARD OF ADMINISTRATION	750,000.00-001891
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/08/25 00040 12/08/25 12082025 202512 300-20700-10100	*	461,849.78
TXFER TAX COLLECTION
US BANK NA	461,849.78 001892
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/15/25 00077 12/08/25 12082025 202512 300-15100-10100	*	750,000.00
TXFER EXCESS FUNDS TO SBA
STATE BOARD OF ADMINISTRATION	750,000.00 001893
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/16/25 00116 12/08/25 9498	202512 320-57200-34550	*	1,512.00
SECURITY 12/05-12/14/25
ALL FLORIDA SECURITY SERVICES INC	1,512.00 001894
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/16/25 00033 12/01/25 8870	202511 310-51300-31100	*	981.00
NOV 25 - ENGINEERING SVC
ALVAREZ ENGINEERS	981.00 001895
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/16/25 00072 12/01/25 201088	202512 320-57200-45300	*	2,025.00
DEC 25 - CLUBH CLEANING
CRYSTAL CLEAN TEAM INC	2,025.00 001896
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/16/25 00091 12/01/25 161197	202512 320-54100-46200	*	15,067.50
DEC 25- LANDSC MAINT
12/05/25 161792	202512 320-54100-46250	*	3,300.00
CUT BUTTONWOOD TO FENCE
DOWN TO EARTH OPCO LLC	18,367.50 001897
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/16/25 00110 11/23/25 25111103 202511 320-57200-46410	*	1,600.00
HP IMPELLER
12/04/25 25111201 202512 320-57200-46400	*	2,300.00
DEC 25 - POOL SERVICE
12/04/25 25111202 202512 320-57200-46410	*	112.58
RAIN ROOFS
SANDY GORDON INC	4,012.58 001898
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
WATS WATERSTONE	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN	1/06/26	PAGE	3
*** CHECK DATES 12/01/2025 - 12/31/2025 ***	WATERSTONE - GENERAL FUND

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS		AMOUNT	....CHECK..... AMOUNT	#	
12/16/25 00051	12/09/25 4516071	202512 320-57200-46500
REYNOLDS PEST MANAGEMENT	*		80.00	
80.00 001899	
- - - - - - - - 12/16/25 00074	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/01/25 PSI22593 202512 320-54100-46300
SOLITUDE LAKE MANAGEMENT LLC	- - - - - - -
*	- - -	- - - - - - -	- - - - - - - -

2,303.81 001900	
- - - - - - - - 12/17/25 00040	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/17/25 12172025 202512 300-20700-10100
US BANK NA	- - - - - - -
*	- - -	- - - - - - -	- - - - - - - -

16,898.44 001901	
- - - - - - - - 12/18/25 00129	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/17/25 REFUND D 202512 300-22000-10000
VANESSA ABREU	- - - - - - -
*	- - -	- - - - - - -	- - - - - - - -

250.00 001902	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - -	- - -	- - - - - - -	- - - - - - - -	
	TOTAL FOR	BANK A		1,276,745.49		

BANK A WATERSTONE - GENERAL

PERIM PEST RODENT 12/09

DEC 25 - LAKE MAINT

2,303.81

TXFER TAX COLLECTIONS

16,898.44

REF DEP V ABREU

250.00

WATS WATERSTONE	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN	1/06/26	PAGE	4
*** CHECK DATES 12/01/2025 - 12/31/2025 ***	WATERSTONE - GENERAL FUND
BANK Z WATERSTONE -	AUTOPY

DATE	DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS			AMOUNT	#	
12/12/25 00030	11/20/25	NOVEMBER 202511 320-54100-43000	*	3,431.80			
	STREET LIGHTS 10/23-11/20			
11/20/25	NOVEMBER 202511 320-54100-43001	*	26.92	
	PUMP C 10/23-11/20/25			
11/20/25	NOVEMBER 202511 320-54100-43001	*	26.92	
	PUMP B 10/23-11/20/25			
11/20/25	NOVEMBER 202511 320-54100-43001	*	26.92	
	WELL 10/23-11/20/25			
11/20/25	NOVEMBER 202511 320-54100-43001	*	61.26	
	GUARD 10/23-11/20/25			
11/20/25	NOVEMBER 202511 320-57200-43001	*	989.99	
	CLUBH 10/23-11/20/25			
11/20/25	NOVEMBER 202511 320-57200-43001	*	28.76	
	PUMP B 10/23-11/20/25			

CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...	VENDOR NAME	STATUS	AMOUNT	....CHECK.....

FPL (AUTO PAY)	4,592.57 080009
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/12/25 00028 11/13/25 11921-34 202510 320-57200-43100	*	1,408.54
WATER 10/14-11/11/25
ST LUCIE COUNTY UTILITIES-AUTO PAY	1,408.54 080010
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
12/31/25 00028 12/11/25 11921-34 202511 320-57200-43100	*	366.62
WATER 11/11-12/9/25
ST LUCIE COUNTY UTILITIES-AUTO PAY	366.62 080011
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
TOTAL FOR BANK Z		6,367.73 TOTAL FOR REGISTER	1,283,113.22

WATS WATERSTONE	TCESSNA

Waterstone

Community Development District

Waterstone
Community Development District

Unaudited Financial Reporting

December 31, 2025

Unaudited Financial Reporting
December 31, 2025

Table of Contents

1		Balance Sheet	

2-3	
	General Fund	

4	
	Debt Service Fund Series 2018A/B	

5-6	
	Month to Month	

7	
	Long Term Debt Report	

8	
	Assessment Receipt Schedule	

Waterstone	
Community Development District	
Combined Balance Sheet	
December 31, 2025	
General	Debt Service	Totals	
Fund	Fund	Governmental Funds	

Assets:	
Cash:	
Operating Account	

$	58,012	$	-	$	58,012

Due From General Fund	-	4,382	4,382

Investments:	
State Board of Administration (SBA)	

1,254,831	-	1,254,831

Series 2018	
Reserve A	
Reserve B	
Revenue A	
Prepayment B	

-	
-	
-	
-	

313,307	
129,145	
1,643,612	
752,652	

-	
313,307	
129,145	
1,643,612	
752,652	

Total Assets	$	1,312,844	$	2,843,098	$	4,155,942	
Liabilities:	
Accounts Payable	$	33,996	$	-		$	33,996	
Due To Debt Service	4,382		-	4,382	

Total Liabilites	$	38,228	$	-	$	38,228

Fund Balance:	
Restricted for:	
Debt Service - Series	
Assigned for:	
General Fund-Road Improvement	
Reserves	
Unassigned	

$	-	$

2,843,098	$

2,843,098

470,421	
425,000	
379,195	

	
-	
-	
-	

	
470,421	
425,000	
379,195	

Total Fund Balances	$	1,274,615	$	2,843,098	$	4,117,714	
				
Total Liabilities & Fund Balance	$	1,312,844	$	2,843,098	$	4,155,942	

Waterstone	
Community Development District	
General Fund	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending December 31, 2025	

Revenues:					
Special Assessments - Tax Roll	$	902,805	$	798,331	$	798,331	$	-	
Interest Income	25,000	6,250	6,586	336	
Clubhouse Income	1,000	250	320	-	
Total Revenues	$	928,805	$	804,831	$	805,237	$	336	
Expenditures:					
General & Administrative:					
Supervisor Fees	$	2,400	$	-	$	-	$	-	
PR-FICA	184	-	-	-	
Engineering	20,000	5,000	1,584	3,417	
Attorney	20,000	5,000	591	4,409	
Annual Audit	4,300	4,300	4,300	-	
Assessment Administration	2,120	2,120	2,120	-	
Arbitrage Rebate	550	-	-	-	
Dissemination Agent	4,000	-	-	-	
Trustee Fees	7,600	-	-	-	
Management Fees	45,016	11,254	11,254	0	
Information Technology	1,134	284	284	0	
Website Maintenance	1,701	425	425	0	
Telephone	50	13	-	13	
Postage & Delivery	200	200	926	(726)	
Insurance General Liability	9,119	9,119	8,121	998	
Printing & Binding	300	75	193	(118)	
Legal Advertising	1,000	250	-	250	
Other Current Charges	569	142	204	(62)	
Office Supplies	50	13	38	(26)	
Dues, Licenses & Subscriptions	175	175	175	-	
Total General & Administrative	$	120,468	$	38,369	$	30,215	$	8,154	

Waterstone	
Community Development District	
General Fund	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending December 31, 2025	

Operations & Maintenance

Field Expenditures		
Field Management	$	10,000	
Electric Streetlights	45,000	
Electric Pumps/Well/Guardhouse	2,400	
Landscape Maintenance	197,310	
Tree Service	15,000	
Lake Maintenance	27,380	
Irrigation Maintenance	10,000	
Repairs and Maintenance	10,428	
Street Maintenance	10,000	
Sign Maintenance	5,000	
Gate Maintenance	10,000	
Fence Maintenance	10,000	
Preserve Maintenance	10,171	
Contingency	5,000	
Capital Outlay	-	
Reserve- Roadways Improvements	100,000	
Reserve	165,000	

$	2,500	
11,250	
600	
49,328	
4,356	
6,845	
2,500	
2,607	
2,500	
1,250	
2,500	
2,500	
2,543	
1,250	
-	
54,103	
41,250	

$	2,500	
10,295	
431	
45,203	
4,356	
6,911	
-	
747	
-	
-	
-	
-	
-	
179	
35,993	
54,103	
-	

$	0	
955	
169	
4,125	
-	
(66)	
2,500	
1,860	
2,500	
1,250	
2,500	
2,500	
2,543	
1,071	
(35,993)	
-	
41,250	

Subtotal Field Expenditures	$	632,689	$	187,882	$	160,717	$	27,164	

Recreation Building Expenditures		
Amenity Management	$	8,000	
Security System	8,020	
Security Service	-	
Electric Rec Building	14,800	
Water/Sewer	1,200	
Buliding Insurance	14,068	
Pool Maintenance	32,600	
Pool Repair	5,000	
Equipment Maintenance	5,000	
Janitorial Maintenance	23,400	
Repairs and Maintenance	5,000	
Sporting Courts Maintenance	7,700	
Playground Maintenance	23,200	
R&M Pool Heater	3,000	
Pest Control	960	
Licenses, Permits, Fees	300	
Contingency	8,400	
Capital Outlay	5,000	
Reserve	10,000	

$	2,000	
2,005	
-	
3,700	
300	
14,068	
8,150	
6,099	
1,250	
5,850	
1,250	
1,925	
5,800	
750	
240	
75	
2,100	
1,250	
2,500	

$	15,600	
280	
8,316	
2,901	
1,969	
13,169	
6,900	
6,099	
210	
5,850	
366	
-	
-	
-	
240	
-	
5,731	
-	
-	

$	(13,600)	
1,725	
(8,316)	
799	
(1,669)	
899	
1,250	
-	
1,040	
-	
884	
1,925	
5,800	
750	
-	
75	
(3,631)	
1,250	
2,500	

Subtotal Rec Building Expenditures	$	175,648	$	59,312	$	67,630	$	(8,318)	

Total Operations & Maintenance	$	808,337	$	247,193	$	228,347	$	18,846	

Total Expenditures	$	928,805	$	285,563	$	258,562	$	27,000	
	
Excess (Deficiency) of Revenues over Expenditures	$	-	$	519,268	$	546,674	$	27,336	

Net Change in Fund Balance	$	-	$	519,268	$	546,674	$	27,336	
	
Fund Balance - Beginning	$	-		$	727,941		
	
Fund Balance - Ending	$	-		$  1,274,615		

Waterstone	
Community Development District	
Debt Service Fund Series 2018A/B	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending December 31, 2025	

Adopted	Prorated Budget	Actual	
Budget	Thru 12/31/25	Thru 12/31/25	Variance	

Revenues:		
Special Assessments - Tax Roll	$	546,355	
Special Assessments - Estoppels	-	
Special Assessments - Prepayments	-	
Interest Income	30,000	

$	483,130	
-	
-	
7,500	

$	483,130	
19,236	
532,533	
23,867	

$	-	
19,236	
532,533	
16,367	

Total Revenues	$	576,355	$	490,630	$  1,058,767	$	568,137	
Expenditures:			
Special Call B- 11/1	$	-	$	-	$	951,460	$	(951,460)	
Total Expenditures	$	-	$	-	$	951,460	$	(951,460)	

Excess (Deficiency) of Revenues over Expenditur	$	576,355	$	490,630	$	107,306	$	(383,324)	

Net Change in Fund Balance	$	576,355	$	490,630	$	107,306	$	(383,324)	
		
Fund Balance - Beginning	$	1,172,820	$	2,735,792	
		
Fund Balance - Ending	$  1,749,176	$  2,843,098	

Waterstone	
Community Development District	
Month to Month	

Revenues:														
Special Assessments - Tax Roll	$	-	$  164,688	$  633,643	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  798,331	
Interest Income	2,319	1,911	2,356	-	-	-	-	-	-	-	-	-	6,586	
Clubhouse Income	-	320	-	-	-	-	-	-	-	-	-	-	320	

Total Revenues	$	2,319	$ 166,918	$ 635,999	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 805,237	

Expenditures:														
General & Administrative:														
Supervisor Fees	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
PR-FICA	-	-	-	-	-	-	-	-	-	-	-	-	-	
Engineering	603	981	-	-	-	-	-	-	-	-	-	-	1,584	
Attorney	591	-	-	-	-	-	-	-	-	-	-	-	591	
Annual Audit	-	2,500	1,800	-	-	-	-	-	-	-	-	-	4,300	
Assessment Administration	2,120	-	-	-	-	-	-	-	-	-	-	-	2,120	
Arbitrage Rebate	-	-	-	-	-	-	-	-	-	-	-	-	-	
Dissemination Agent	-	-	-	-	-	-	-	-	-	-	-	-	-	
Trustee Fees	-	-	-	-	-	-	-	-	-	-	-	-	-	
Management Fees	3,751	3,751	3,751	-	-	-	-	-	-	-	-	-	11,254	
Information Technology	95	95	95	-	-	-	-	-	-	-	-	-	284	
Website Maintenance	142	142	142	-	-	-	-	-	-	-	-	-	425	
Telephone	-	-	-	-	-	-	-	-	-	-	-	-	-	
Postage & Delivery	57	61	808	-	-	-	-	-	-	-	-	-	926	
Insurance General Liability	8,121	-	-	-	-	-	-	-	-	-	-	-	8,121	
Printing & Binding	0	121	72	-	-	-	-	-	-	-	-	-	193	
Legal Advertising	-	-	-	-	-	-	-	-	-	-	-	-	-	
Other Current Charges	77	92	36	-	-	-	-	-	-	-	-	-	204	
Office Supplies	-	-	38	-	-	-	-	-	-	-	-	-	38	
Dues, Licenses & Subscriptions	175	-	-	-	-	-	-	-	-	-	-	-	175	

Total General & Administrative	$  15,731	$	7,742	$	6,742	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  30,215	

Waterstone	
Community Development District	
Month to Month	

Operations & Maintenance

Field Expenditures														
Field Management	$	833	$	833	$	833	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	2,500	
Electric Streetlights	3,432	3,432	3,432	-	-	-	-	-	-	-	-	-	10,295	
Electric Pumps/Well/Guardhouse	156	142	132	-	-	-	-	-	-	-	-	-	431	
Landscape Maintenance	15,068	15,068	15,068	-	-	-	-	-	-	-	-	-	45,203	
Tree Service	-	1,056	3,300	-	-	-	-	-	-	-	-	-	4,356	
Lake Maintenance	2,304	2,304	2,304	-	-	-	-	-	-	-	-	-	6,911	
Irrigation Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Repairs and Maintenance	-	-	747	-	-	-	-	-	-	-	-	-	747	
Street Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Sign Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Gate Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Fence Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Preserve Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Contingency	-	179	-	-	-	-	-	-	-	-	-	-	179	
Capital Outlay	35,993	-	-	-	-	-	-	-	-	-	-	-	35,993	
Reserve- Roadways Improvements	-	54,103	-	-	-	-	-	-	-	-	-	-	54,103	
Reserve	-	-	-	-	-	-	-	-	-	-	-	-	-	

Subtotal Field Expenditures	$  57,786	$  77,117	$  25,815	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 160,717	

Recreation Building Expenditures														
Amenity Management	$	5,200	$	5,200	$	5,200	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	15,600	
Security System	48	232	-	-	-	-	-	-	-	-	-	-	280	
Security Service	3,780	3,024	1,512	-	-	-	-	-	-	-	-	-	8,316	
Electric Rec Building	919	1,019	963	-	-	-	-	-	-	-	-	-	2,901	
Water/Sewer	1,409	367	194	-	-	-	-	-	-	-	-	-	1,969	
Buliding Insurance	13,169	-	-	-	-	-	-	-	-	-	-	-	13,169	
Pool Maintenance	2,300	2,300	2,300	-	-	-	-	-	-	-	-	-	6,900	
Pool Repair	1,888	4,099	113	-	-	-	-	-	-	-	-	-	6,099	
Equipment Maintenance	210	-	-	-	-	-	-	-	-	-	-	-	210	
Janitorial Maintenance	2,025	1,800	2,025	-	-	-	-	-	-	-	-	-	5,850	
Repairs and Maintenance	366	-	-	-	-	-	-	-	-	-	-	-	366	
Sporting Courts Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Playground Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
R&M Pool Heater	-	-	-	-	-	-	-	-	-	-	-	-	-	
Pest Control	80	80	80	-	-	-	-	-	-	-	-	-	240	
Licenses, Permits, Fees	-	-	-	-	-	-	-	-	-	-	-	-	-	
Contingency	2,840	2,714	177										5,731	
Capital Outlay	-	-	-	-	-	-	-	-	-	-	-	-	-	
Reserve	-	-	-	-	-	-	-	-	-	-	-	-	-	

Subtotal Amenity Expenditures	$  34,234	$  20,833	$  12,563	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  67,630	

Total Operations & Maintenance	$  92,019	$  97,950	$  38,378	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 228,347	

Total Expenditures	$ 107,750	$ 105,692	$  45,120	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 258,562	

Excess (Deficiency) of Revenues over Expe	$ (105,431)	$	61,227	$  590,879	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  546,674	

Net Change in Fund Balance	$ (105,431)	$  61,227	$ 590,879	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 546,674	

Waterstone	
Community Development District	
Long Term Debt Report	

	

	

Series 2007 B Capital Improvement Revenue Bonds	

Bonds Issued 4/12/2007		
$17,000,000	
Interest Rate:	5.50%		
Maturity Date:	5/1/2018	
Less: Principal Payment 11/1/08	($135,000)	
Less: Special Call 8/1/08		($280,000) 	
Outstanding Bonds (restructured see below)	$16,585,000	

In December 13, 2018 the bonds were restructured into	
Convertible Capital Appreciation Bonds (2018A)	($1,360,734)	
Capital Appreciation Bonds (2018B)	($9,224,771)	
Capital Improvement Revenue Bonds, Series 2007B "Cancelled"	($3,391,252)	
Capital Improvement Revenue Bonds, Series 2007B "Unexchanged"		($2,608,243) 	
Bonds Restructured	($16,585,000)	
Series 2018A, Convertible Capital Appreciation Bonds	

Interest Rate:	
6.88%		
Maturity Date:	11/1/2037		
Bonds restructured 12/13/18		$1,360,734	
Less: Principal Payment - 5/1/31		$0	
Current Bonds Outstanding		$1,360,734	
	
Series 2018B, Capital Appreciation bonds	

Interest Rate:	
2.00%		
Maturity Date:	11/1/2028		
Bonds restructured 12/13/18		$9,224,771	
Less: Special Call- 5/1/19		($129,201)	
Less: Special Call- 11/1/22		($421,534)	
Less: Special Call- 2/1/23		($291,304)	
Less: Special Call- 5/1/23		($329,987)	
Less: Special Call- 8/1/23		($148,629)	
Less: Special Call- 11/1/23		($325,901)	
Less: Special Call- 2/1/24		($386,657)	
Less: Special Call- 5/1/24		($466,308)	
Less: Special Call- 8/1/24		($689,160)	
Less: Special Call- 11/1/24		($1,593,003)	
Less: Special Call- 2/1/25		($765,663)	
Less: Special Call- 5/1/25		($769,486)	
Less: Special Call- 11/1/25		($951,460)	
Current Bonds Outstanding		$1,956,478	
	
Series 2007 B (Unexchanged) Capital Improvement Revenue Bonds	

Interest Rate: Maturity Date:

Bonds Issued 4/12/2007	
5.50%
5/1/2018	

$2,608,243	
Current Bonds Outstanding		$2,608,243	

Page 7

Waterstone
COMMUNITY DEVELOPMENT DISTRICT

Gross Assessments	$	981,309.60	$	593,864.61	$  1,575,174.21	
Net Assessments	$	902,804.83	$	546,355.44	$  1,449,160.27	
allocation in %	62.30%	37.70%	100.00%	

Special Assessment Receipts - St. Lucie County Fiscal Year 2026

ON ROLL ASSESSMENTS

Date	
Distribution	
Gross Amount	Discount/
(Penalty)	
Commission	
Interest	Property
Appraiser	
Net Receipts	O&M Portion	2018A
Debt Service	
Total	

11/10/25	
2/28-11/1/25	
$	4,594.61	
$	241.21	
$	87.07	
$	-	
$	-	
$	4,266.33	
$	2,657.86	
$	1,608.47	
$	4,266.33	
11/17/25	11/01-11/06/25	16,179.76	647.18	310.65	-	-	15,221.93	9,483.03	5,738.90	15,221.93	
11/24/25	11/07-11/13/25	260,272.76	10,411.02	4,997.22	-	-	244,864.52	152,546.88	92,317.64	244,864.52	
12/03/25	11/14-11/20/25	19,781.11	769.71	380.24	-	-	18,631.16	11,606.93	7,024.23	18,631.16	
12/09/25	11/21-11/27/25	1,032,427.43	41,297.04	19,822.61	-	-	971,307.78	605,109.99	366,197.79	971,307.78	
12/12/25	11/28-12/04/25	47,642.06	1,905.69	914.73	-	-	44,821.64	27,923.20	16,898.44	44,821.64	
12/18/25	12/05-12/14/25	9,925.77	352.29	191.47	-	-	9,382.01	5,844.85	3,537.16	9,382.01	
12/31/25	12/12-12/18/25	2,357.08	70.71	45.72	-	-	2,240.65	1,395.89	844.76	2,240.65	
12/31/25	Property Appraiser	-	-	-	-	29,275.34	(29,275.34)	(18,238.09)	(11,037.25)	(29,275.34)	
	TOTAL	$ 1,393,180.58	$	55,694.85	$	26,749.71	$	-	$	29,275.34	$ 1,281,460.68	$	798,330.54	$	483,130.14	$ 1,281,460.68	

88.45%
$	181,993.63

Percent Collected Balance Remaining to Collect

Page 8