RECREATION DISTRICT REGULAR BOARD MEETING 
June 6, 2022, at 9:00 a.m. in Card Room C 
MINUTES

BOARD MEMBERS	PRESENT	OTHERS	PRESENT	
Chair Howard Young		GM J.B. Belknap		
Vice-Chair Peter Overs		Controller Lynn Brew		
Treasurer Jayne Schwarz		District Counsel Tom Hart		
Secretary Mary Ann Polvinen		Executive Assistant Karon Bennett		
Assistant Sec/Treas William Kulkoski		Residents		

I.	CALL TO ORDER – Vice-Chair Overs opened the meeting at 9:00 a.m. Chair Young attended via Zoom. 

II.	PLEDGE OF ALLEGIANCE – Supervisor Polvinen led the Pledge of Allegiance.

III.	ROLL CALL – Executive Assistant Karon Bennett took roll call (attendees are listed above).

IV.	APPROVAL OF MINUTES
•	Supervisor Kulkoski made a motion to approve the minutes from the Regular Board Meeting on Regular Board Meeting on May 18, 2022, and May 23, 2022. Supervisor Polvinen seconded the motion. The motion was approved unanimously.

V.	DISTRICT COUNSEL’S REPORT - Thomas Hart, Esq. was excused from the meeting. In his absence, Vice-Chair Overs presented the following resolutions to the Board: 
•	RESOLUTION 2022-10: Supervisor Kulkoski moved to approve Resolution 2022-10, Chair Young seconded the motion, and the Resolution was approved as follows: A RESOLUTION OF THE HERONS GLEN RECREATION DISTRICT APPROVING EXPENDITURES FROM 2020 BOND FUNDS FOR BALLROOM RENOVATIONS PROJECT, SPECIFICALLY DARKENING SHADES; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE.
•	RESOLUTION 2022-11: Supervisor Kulkoski moved to approve Resolution 2022-10, Supervisor Polvinen seconded the motion, and the Resolution was approved as follows: A RESOLUTION OF THE HERONS GLEN RECREATION DISTRICT APPROVING EXPENDITURE FROM 2021/2022 OPERATING BUDGET FOR PREPARATION OF DISTRICT’S ANNUAL TAX ROLL; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE.
VI.	COMMITTEE REPORTS – Due to the lack of meetings since the last Board meeting, the Committee Reports have been moved forward to the June 24, 2022, Board Meeting. This will occur regularly in balance with the Board meeting schedule.

VII.	RECOMMENDATIONS 
Adopt-A-Hole Program - Becky Gignac, Chris Ewing, and Tim Kortanek met concerning the Adopt-A-Hole Program and agreed to allow volunteers on the golf course three Monday afternoon’s a month. Mr. Kortanek will communicate any issues on those days. The program was re-written to be clearer on roles. In speaking with Green Committee Chair Jon Edinger, it was determined that the volunteers need more time on the course. More discussion will take place to determine if more volunteers can be on the course on non-shotguns days, at the end of the day with the understanding that most volunteers will be golfers themselves who will understand the program. The Green Committee will put together the program and adjust it going forward. Discussion took place on the policy for the Adopt-A-Hole Program and procedures will be maintained by the Golf Shop. 
Strategic Planning Review – Fred Gignac clarified a few things before turning to Jeff Buxton’s comments. The committee has started a “Project prioritization by category”, which is something that capital planners use a lot. This is basically a financial plan. Capital planners are trying to describe and develop the need. He suggests that we take a look from a different aspect when developing projects and getting them implemented. For example, the bridge looks like we do not need anything done to the bridge by the Golf Pro Shop, Mr. Gignac assumes that will be taken off of the bond list. Do we have a need to have something in the long term for funding? Part of the long-term plan is designed to get folks thinking, what if? What if we can’t? Are there compromises? Things like this will affect the Bond Projects and the capital plan. 
Jeff Buxton led a discussion on the updated draft of the Strategic Plan, its proposed action items, template to address an implementation plan for the action items and the positions of responsibility. One key action item owned by LRP is to develop an annual survey to gain resident input on amenities and services. This will show us how we are doing with service and where we can improve. The survey is in draft form within LRP to be sent to residents in the Fall. The results of that survey will be used for planning purposes. Supervisor Kulkoski is giving the Facilities & Amenities a master plan is a huge job and cannot be completed within 2 years. Depending on the timeline, the plan is to develop and align with facilities development. GM Belknap and Mr. Buxton have worked on the analysis of the restaurant operations to give a framework for restaurant goals from an operational and financial perspective. 
VIII.	GENERAL MANAGER’S REPORT – GM Belknap and Problem-Solving Taskforce Chair Jon Cowgill updated the Board on Bond Projects. In Attachment A you can read GM Belknap’s entire GM Report which includes 3 options of budget comparisons for the renovation of the restaurant and lounge. An extensive discussion took place on the subject. The Board discussed postponing the project and restarting it in November, the driver on the end date is the order of the FF&Es and bar equipment.

Supervisor Schwarz suggested that the Board let the community know what the interior design is, selected colors, etc proposed for FF&E, as it can be shared. Let residents know the three design options being discussed, and provide them with a survey to determine if the community wants more lounge and casual areas. 
Resident comments concerning the restaurant renovation were noted as follows:
•	Patty Cummings stated that the Board should devote as much time to other Bond projects as they have given to the golf course and the restaurant renovation. She would like all ideas shared with the community through emails and videos. One thing she felt strongly about was the lack of a discussion on the bocce renovation. Mrs. Cummings is concerned about being back to square one with the restaurant project. She reminded the group that the restaurant was originally an open floorplan until a certain group plan decided otherwise. Mrs. Cummings suggested that the Board pick a plan that is flexible, reasonable, and will work for many years to come. She stressed the importance of resident opinions. 
•	John Bock asked for solid numbers on the budget and what is under contract. The golf course was $5.9M, the signed contract bocce $758k, pickleball committed, and the storage building cost is unknown. What will be dropped? Mr. Bock suggested that numbers will come down because, in his opinion, nothing lasts at 8.5% inflation for over a year.
•	Ken Marohn questioned restaurant operations to determine why people don’t frequent the restaurant. He asked whether all operational aspects of the facility have been analyzed. He mentioned the following concerns:
o	Monetary losses
o	Low resident participation
o	Poor and slow service
o	Guaranteed gratuity with no incentive to do a better job
o	Food quality
o	Are we fine dining or casual dining?
o	Redesign necessary
o	People don’t go there, why? We are not required for a restaurant. 
o	Why are we not open full-time?
o	Get the restaurant operational at best before blowing good money.
•	Dave Drammel, who has a large golf group, asked why we don’t serve breakfast more often. GM Belknap responded by saying that we are constantly recruiting staff in order to add to provide more opportunities to dine at the restaurant. Hours of Operations will be reviewed at budget time. Chair Young stated that only 25% of the community currently uses the restaurant. 
•	Kim Bock asked if the issue with broken sprinklers is being addressed. Chair Young addressed this comment. The CLIS system has multiple issues, particularly in the historic district. This portion of the community has 30-year-old wiring that has been severed on many occasions and wiring in the ground must be replaced. GM Belknap and the CLIS Manager have reached out for quotes. Minimal issues in the back of the community will be addressed in a long-range plan. This is an essential piece of work to be done, the Board considers this a high priority.
IX.	OLD BUSINESS
Supervisor Kulkoski will draft a letter from the Board to the community with restaurant renovation details and floor plan to go out in the next few weeks. 

X.	NEW BUSINESS – None was presented.

XI.	RESIDENT COMMENTS

Beth Burnett suggested that a quote be provided by the company that handled her residential pool deck to resurface our commercial pool deck with rubber rock. Mrs. Burnett and Mrs. Cummings also suggested getting bids on different types of metal buildings. 
Richard Misener expressed concerns about the golf course maintenance blowing fresh-cut grass from hole #2 onto his property and into the lake. He would like to see the grass drug, vacuumed, or blown in a different direction. GM Belknap stated that the budget this year will include the addition of a vacuum-type mower. 
Kim Roerke would also like to see other options on rubber rock bids. She asked if we are we going to replace handles on the ladders to the pool. Dan Parker will be asked about the covers being put back on. 
Complaints concerning the restaurant were noted as follows:
•	Nick Rossi - How can staff dictate when they can close?
•	Beth Burnett – It’s time for a change, too many internal issues. 
•	Patty Cummings – The patrons would like to see the Tuesday dinner menu return during Bingo.
•	Richard Misener – “We want what we want, when we want it”.
•	Martin Shea - She hopes that the new F&B Director has marketing experience. 
•	Susan Darcy - In favor of more casual dining, however, it starts with service and the quality of food. 
•	Kenny Hartfield - Good ideas, lots of know-how, he is not for putting more money onto the restaurant.
XII.	UPCOMING MEETINGS
•	Monday, June 20 -23 – 2022-2023 Budget Workshops - Each Day at 9:00 a.m. - CR-C/Zoom
•	Friday, June 24, 2022 - Board of Supervisors - 9:00 a.m. - CR-C/Zoom
•	Thursday, June 30, 2022 - Green Committee - 9:00 a.m. - CR-C/Zoom
•	Monday, July 11, 2022 - Board of Supervisors - 9:00 a.m. - CR-C/Zoom
•	Monday, July 25, 2022 - Board of Supervisors - 9:00 a.m. - CR-C/Zoom

XIII.	ADJOURNMENT took place at 11:36 a.m.

Attachment A

GM Weekly Board Report for June 4, 2022
J.B. Belknap
Restaurant Reno: This past Thursday, a meeting was held with Mary Ann, John Cowgill, myself, Jeff Stultz and Ryan from RG Architecture. Discussion centered around the restaurant scope of work, cost ranges, and timelines. Attached to  this email are two documents developed by John following the meeting. This first attachment outlines three options along with the corresponding range of magnitude costs for a full plan, a mid-range plan, and a basic plan. The second
attachment is a basic schedule or Gantt chart showing project tasks displayed against time for those three options. John and Mary Ann will expand on this further in Monday’s meeting.
Sports Complex & Pickleball: Jeff Stultz said the site contractor and Mor Sports are coordinating a timeline and schedule for demo. He said the demo work should start by the end of the month but he will have more details this week. Multi-Use Path: The pre-application meeting with the Department of Community Development took place on May 26th. Charlie Krebs with Hole Montes led the Zoom meeting which had at least 8 county employees in attendance. From what I gathered; the County considers this is a pretty basic project so Charlie is still optimistic we can receive an LDO between 4-6 months.
Bridge Inspection: We are awaiting the written report from Hans Wilson engineering to confirm what their on-site engineer said on May 24th that the “bridge pilings are fine”, “the bridge is in good shape” and “it’s not going anywhere.” They did return last week to do a “stringer” measurement to get a baseline for flex. Another measurement should be taken in 3-5 years to determine the rate of decline, if any.
Storage Building Update: I asked Jeff Stultz to comment on whether or not the $700K budget for the storage building was still a viable budget number. Yesterday, he responded: “In our original $715k budget, we had $45k for the development order, which I believe our LDO covers and on which money has already been spent. There’s still another $50k in Precon costs for engineering and permitting. That leaves $620k for actual construction. Steel costs for the building have stabilized, but they’re not going down. A lot of other items (electrical and utilities, in particular) are increasing significantly and/or are experiencing long leads times. Plus, this isn’t just an empty storage warehouse. This building had some partitions and insulation, so it’s a bit more like a standard building that one might think. So, I wouldn’t decrease the budget and, as we go through design, we might need to make some choices to help keep us on track.”
John Cowgill also mentioned that the Stultz proposal for the Storage Building is for a total project, not purchasing a metal building package and that we would have around 37 weeks to occupancy from the start date. He said items that need to be considered include: Construction documents for permit, impact fees if required, utility fees; Metal building package-erected on the concrete pad; grading, site work and building pad; site utilities-sewer, water, electric; paving area; footing and foundation; concrete slab; electrical service panel; electrical service-outlets and lighting; plumbing-water, sewer and toilet; HVAC; fire sprinklers, fire alarm; security alarm; telephone service; framing, drywall, insulation-ceiling if desired in some areas; shelving and fencing; overhead doors; two exterior man doors; windows if desired; hardware; interior doors; data, telephone, low voltage wiring; construction general conditions; caulking, sealing and weather proofing. Pool Deck: Jeff provided an initial cost estimate yesterday for the pool deck of $350K. I’ve asked him to visit with us to drop off paver samples and look at the pool deck again just to make sure he is clear on the scope and ensure that Rich Small provided him all the information.
Roof Update: Last week, Dan was able to speak with the Crowther Roofing representative who provided us with a roofing quote back in February 2020. In his estimation, costs have risen 20% from his last quote which was $640K. That would put us at $770K today.
CLIS Project: We are still awaiting one more bid before going to the Bid Oversight & Finance committee for Controller #1.
Budget Meetings: On Thursday and Friday, Lynn and I finished up our second round of meetings with each department head. With the various challenges facing us in this upcoming budget cycle, we will be meeting again this coming week to refine the numbers.
Jeff Buxton Golf Membership Analysis: Howard and the LRP asked Jeff to work with me and analyze data regarding the golf operation and golf membership. Jeff will present his analysis during my report on Monday.
GM Meeting: A few highlights from my 2-hr. Zoom meeting Tuesday, May 24th with 30 other GM’s in SW Fla. Bundled Club communities:
•	Experiencing 30% or more price escalations with regard to CapX projects
•	All were experiencing staff shortages following the departure of their H2-B staff. Multiple GM’s stated that people were exiting the service industry due to a multitude of reasons, including working nights, weekends and holidays. Work/Life balance was also sighted.
•	All are experiencing increased home sales in their communities. New resident fees are increasing from $4k to $5$6k. Those who already live in the community and purchase another home within the community, most clubs are offering a discount of 10%. Many clubs stated that if the existing resident didn’t purchase the home, another new buyer would have paid the $5k resale fee. A few Clubs offer 1/2 off but HG is the only club that doesn’t charge a fee to existing owners purchasing a new home within the community.
•	Golf was a highly discussed topic. Based on the hot real estate market, many of the new residents in these communities have been purchasing homes “sight unseen” and without really knowing how a bundled community operates. I was surprised by the number of GM’s who were receiving complaints that their members weren’t able to play the amount of golf they wanted to because of the Chelsea system. Based on their membership rolls, most GM’s said their members are limited to 2 or 3 plays per week during the height of the season. Many new golfing members didn’t understand the tee time allocation process: i.e. 600 golfing members with a max. capacity of 240 tee times available per day. (2 cross-overs at 120 per.) One GM at Vanderbilt in Naples commented about the difference between living in a Bundled community versus being a member at an Equity club which limits membership but is more costly. He said he has new members who maintain their membership at Vanderbilt, but have joined other Equity clubs so they can play more golf.
Thank you, J.B.