Valencia Water Control District

Agenda July 9, 2024

Agenda

AGENDA

July 9, 2024

VALENCIA WATER CONTROL DISTRICT BOARD OF SUPERVISORS MEETING
1 P.M.

LAKE RIDGE VILLAGE CLUBHOUSE 10630 LARISSA STREET
WILLIAMSBURG, ORLANDO, FLORIDA 32821

Item

Call Meeting to Order

Public Comment Period

Approval of June 11, 2024 Annual Meeting Minutes

General Fund Financial Reports

Adoption of District Goals & Objectives

Review and Acceptance of Fiscal Year 2023 Audit Report

Engineer’s Report

Attorney’s Report

Director’s Report
Customer Call Log
Approval of Fiscal Year 2025 Meeting Schedule

Other Business

Adjournment

Minutes

MINUTES OF THE ANNUAL MEETING OF THE BOARD OF SUPERVISORS
OF VALENCIA WATER CONTROL DISTRICT June 11, 2024
The annual meeting of the Board of Supervisors of VALENCIA WATER CONTROL DISTRICT was held at 1:35 P.M. on Tuesday, June 11, 2024, at the Lake Ridge Village Clubhouse, 10630 Larissa Street, Orlando, Florida. Physically present were Supervisors Roy Miller, Debra Donton, and Amanda Whitney. Mr. William Ingle was on the phone. Also, in attendance were the following: George Flint, District Director, Stephen Broome, District Counsel; Allen Lane, District Engineer; Stacie Vanderbilt, District Administrative Assistant; Dan Brown, Sthern Environmental; and Robert Szozda, GMS.
ITEM #1	Call Meeting to Order

Mr. Flint called the meeting to order at 1:35 P.M. A quorum of three Board members were present.
ITEM #2	Public Comment Period

No members of the public were present to provide comment.

ITEM #3	Administer Oath of Office to Newly Elected Supervisor

Mr. Broome administered the Oath of Office to Ms. Amanda Whitney.

ITEM #4	Election	of	President	of	Board	of Supervisors

Mr. Flint asked any nominations?

On MOTION by Mr. Whitney, seconded by Ms. Donton, with all in favor Roy Miller was elected as President of Board of Supervisors.

ITEM #5	Appoint	District	Attorney	(Presently Stephen F. Broome)

On MOTION by Mr. Miller, seconded by Ms. Donton with all in favor Stephen F. Broome was appointed as District Attorney.

ITEM #6	Appoint	District	Engineer	(Presently David E. Mahler)

On MOTION by Ms. Donton, seconded by Ms. Whitney with all in favor David E. Mahler was appointed as District Engineer.

ITEM #7	Appoint District Treasurer & Director (Presently George S. Flint)

On MOTION by Ms. Whitney, seconded by Ms. Donton, with all in favor George S. Flint was appointed as District Treasurer & Director.

ITEM #8	Appoint	District	Deputy	Treasurer (Presently Roy Miller)

On MOTION by Ms. Donton, seconded by Ms. Whitney, with all in favor Roy Miller was appointed as District Deputy Treasurer.

ITEM #9	Appoint District Secretary (Presently Stephen F. Broome)

On MOTION by Ms. Donton, seconded by Ms. Whitney with all in favor Stephen F. Broome was appointed as District Secretary.

ITEM #10	Appoint District Deputy Secretaries (Presently William Ingle, Debra Donton, and Brian Andrelczyk)

On MOTION by Ms. Whitney, seconded by Ms. Donton with all in favor Debra Donton, William Ingle and Amanda Whitney were appointed as District Deputy Secretaries.

ITEM #11	Approval of May 14, 2024 Minutes

Mr. Flint stated the next item was the minutes from the May 14, 2024 meeting. He asked if there were any corrections, deletions, or additions.

On MOTION by Ms. Donton, seconded by Ms. Whitney with all in favor the Minutes from the May 14, 2024 Monthly Meeting were approved, as presented.

ITEM #12	General Fund Financial Reports

Mr. Flint reviewed the May 31, 2024 financial statements with the Board and noted that everything was in order and the District was in good shape financially.
ITEM #13	Engineer’s Report

Mr. Lane did a brief overview of the annual Engineer’s Report that had previously been presented to the Board and advised they would be presenting proposals in the future to handle the top priority CIP items listed in the FY2025 budget.
ITEM #14	Attorney’s Report

Mr. Broome had nothing new to report to the Board.

ITEM #15	Director’s Report

Customer Call Log
Mr. Flint reviewed the log with the Board. All the reported gators were authorized to be trapped and requested pond treatments done. He also noted that the signage in Waterview Reserve would be reviewed per an HOA member’s request since the signs were removed without the District’s knowledge or permission. He stated that a dead tree was also removed in Waterview Reserve that had knocked over a sign and the sign was replaced.
ITEM #16	Other Business

There being none,

ITEM #17	Adjournment

On MOTION by Ms. Whitney, seconded by Ms. Donton, the meeting was adjourned at 1:45 pm.

Stephen F. Broome, Secretary

Roy Miller

William Von Ingle

Debra Donton

Amanda Whitney

Brian Andrelczyk

Section IV

Valencia
Water Control District

Unaudited Financial Reporting
June 30, 2024

Table of Contents

1

2-3

4

5

6

Balance Sheet

General Fund Income Statement

Capital Reserve Fund

Month to Month

Assessment Receipt Schedule

Valencia
Water Control District Balance Sheet June 30, 2024

	General Fund	Capital Reserve Fund	Totals Governmental Funds	
Assets:				
Current Assets
Cash - Truist Bank	
$	186,912	
$	206,683	
$	393,595	
Petty Cash	$	100	$	-	$	100	
Investment:				
State Board of Administration	$	43,590	$	1,074,701	$	1,118,292	
Total Current Assets	$	230,602	$	1,281,384	$	1,511,986	

Fixed Assets			
Land	$	700,120	$	-	$	700,120	
Structures	$	672,531	$	-	$	672,531	
Canals	$	2,888,690	$	-	$	2,888,690	
Ponds	$	1,245,537	$	-	$	1,245,537	
Equipment & Office Furniture	$	6,703	$	-	$	6,703	
Accumulated Depreciation	$	(4,796,941)	$	-	$	(4,796,941)	
Total Fixed Assets	$	716,640	$	-	$	716,640	
				
Total Assets	$	947,243	$	1,281,384	$	2,228,627	
Liabilities:				
Accounts Payable	$	-	$	-	$	-	
Total Liabilities	$	-	$	-	$	-	

Fund Balances:				
Unassigned	$	230,603	$	1,281,384	$	1,511,987	
Net Assets Capitalized	$	716,640	$	-	$	716,640	
Total Fund Balances	$	947,243	$	1,281,384	$	2,228,627	
				
Total Liabilities & Fund Equity	$	947,243	$	1,281,384	$	2,228,627	

Revenues:		
Assessments - Tax Roll	$	552,179	$	552,179	$	527,219	$	(24,960)	
Interest	$	2,000	$	1,500	$	1,791	$	291	
Total Revenues	$	554,179	$	553,679	$	529,010	$	(24,669)	

Expenditures:					
Administrative:					
Supervisor Fees	$	2,500	$	1,875	$	1,150	$	725	
Engineering Fees	$	37,200	$	27,900	$	20,668	$	7,233	
Attorney Fees	$	12,000	$	9,000	$	9,000	$	-	
Annual Audit	$	5,200	$	5,200	$	-	$	5,200	
Assessment Roll Certification	$	5,000	$	5,000	$	5,000	$	-	
Management Fees	$	53,280	$	39,960	$	39,960	$	-	
Information Technology	$	1,800	$	1,350	$	1,350	$	-	
Website Maintenance	$	1,200	$	900	$	900	$	-	
Insurance	$	14,400	$	14,400	$	13,614	$	786	
Report Preparation - NPDES	$	15,000	$	11,250	$	1,363	$	9,888	
Office Lease/Storage	$	3,000	$	2,250	$	1,512	$	738	
Printing & Binding	$	500	$	375	$	319	$	56	
Postage	$	600	$	450	$	377	$	73	
Legal Advertising	$	2,500	$	1,875	$	805	$	1,070	
Bank Fees	$	600	$	450	$	358	$	92	
Other Current Charges	$	400	$	300	$	-	$	300	
Office Supplies	$	350	$	263	$	80	$	182	
Election Fees	$	4,250	$	4,250	$	5,101	$	(851)	
Meeting Rental Fee	$	500	$	375	$	300	$	75	
Property Appraiser Fee	$	5,417	$	5,417	$	-	$	5,417	
Dues, Licenses & Subscriptions	$	1,675	$	1,675	$	175	$	1,500	
Total Administrative:	$	167,372	$	134,515	$	102,031	$	32,484	
Operations & Maintenance					
Contracts:
Aquatic Weed Control	
$	40,000	
$	30,000	
$	33,439	
$	(3,439)	
Mowing	$	98,289	$	73,717	$	39,927	$	33,790	
Water Quality Monitoring	$	19,746	$	14,810	$	13,164	$	1,646	
Repairs & Maintenance:
Canal & Retention Pond Maintenance	
$	40,000	
$	30,000	
$	31,385	
$	(1,385)	
Security Gates & Signs	$	750	$	563	$	615	$	(53)	
NPDES Inspection & Fees	$	6,000	$	4,500	$	1,875	$	2,625	
Operating Supplies	$	500	$	375	$	-	$	375	
Contingency	$	2,500	$	1,875	$	-	$	1,875	
Total Operations & Maintenance:	$	207,785	$	155,839	$	120,405	$	35,434	

Capital Improvements					
Transfer Out - Capital Reserve	$	245,392	$	245,392	$	245,392	$	-	
Total Reserves	$	245,392	$	245,392	$	245,392	$	-	
					
Total Expenditures	$	620,549	$	535,745	$	467,828	$	67,918	
					
Excess Revenues (Expenditures)	$	(66,370)		$	61,182		
					
Fund Balance - Beginning	$	66,370		$	169,421		
					
Fund Balance - Ending	$	-		$	230,603		

Capital Reserve
Statement of Revenues, Expenditures, and Changes in Fund Balance For The Period Ending June 30, 2024

Adopted	Prorated Budget	Actual	
Budget	Thru 06/30/24	Thru 06/30/24	Variance	

Revenues:		
Transfer In	$	245,392	$	245,392	$	245,392	$	-	
Interest	$	35,000	$	26,250	$	38,420	$	12,170	
Total Revenues	$	280,392	$	271,642	$	283,812	$	12,170	

Expenditures:					
Contingency	$	600	$	450	$	352	$	98	
Capital Outlay	$	119,181	$	89,386	$	69,832	$	19,554	
Total Expenditures	$	119,781	$	89,836	$	70,184	$	19,651	
					
Excess Revenues (Expenditures)	$	160,611	$	181,806	$	213,627		
					
Fund Balance - Beginning	$	1,066,244		$	1,067,757		
					
Fund Balance - Ending	$	1,226,855		$	1,281,384		

Valencia
Water Control District Month to Month
	Oct	Nov	Dec	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sept	Total	
Revenues:														
Assessments - Tax Roll	$	-	$	24,725	$	183,984	$	51,868	$	107,233	$	63,351	$	29,457	$	50,993	$	15,609	$	-	$	-	$	-	$	527,219	
Interest	$	200	$	195	$	202	$	203	$	190	$	202	$	197	$	203	$	198	$	-	$	-	$	-	$	1,791	
										$	-	
Total Revenues	$	200	$	24,920	$	184,186	$	52,071	$	107,423	$	63,553	$	29,654	$	51,196	$	15,807	$	-	$	-	$	-	$	529,010	

Expenditures:											
Administrative:
Supervisor Fees	
$	-	
$	150	
$	-	
$	150	
$	-	
$	250	
$	200	
$	200	
$	200	
$	-	$	-	$	-	$	1,150	
Engineering Fees	$	3,098	$	2,228	$	2,965	$	2,100	$	2,575	$	2,100	$	2,400	$	3,203	$	-	$	-	$	-	$	-	$	20,668	
Attorney Fees	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	-	$	-	$	-	$	9,000	
Annual Audit	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
Assessment Roll Certification	$	5,000	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	5,000	
Management Fees	$	4,440	$	4,440	$	4,440	$	4,440	$	4,440	$	4,440	$	4,440	$	4,440	$	4,440	$	-	$	-	$	-	$	39,960	
Information Technology	$	150	$	150	$	150	$	150	$	150	$	150	$	150	$	150	$	150	$	-	$	-	$	-	$	1,350	
Website Maintenance	$	100	$	100	$	100	$	100	$	100	$	100	$	100	$	100	$	100	$	-	$	-	$	-	$	900	
Insurance	$	13,614	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	13,614	
Report Preparation - NPDES	$	-	$	533	$	-	$	-	$	-	$	-	$	830	$	-	$	-	$	-	$	-	$	-	$	1,363	
Office Lease/Storage	$	216	$	216	$	216	$	216	$	216	$	216	$	216	$	-	$	-	$	-	$	-	$	-	$	1,512	
Printing & Binding	$	-	$	-	$	24	$	-	$	131	$	-	$	90	$	17	$	57	$	-	$	-	$	-	$	319	
Postage	$	4	$	4	$	165	$	33	$	44	$	-	$	65	$	36	$	27	$	-	$	-	$	-	$	377	
Legal Advertising	$	-	$	-	$	-	$	-	$	-	$	167	$	208	$	430	$	-	$	-	$	-	$	-	$	805	
Bank Fees	$	39	$	39	$	39	$	39	$	41	$	41	$	41	$	41	$	41	$	-	$	-	$	-	$	358	
Other Current Charges	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
Office Supplies	$	0	$	0	$	18	$	15	$	19	$	-	$	16	$	1	$	13	$	-	$	-	$	-	$	80	
Election Fees	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	5,101	$	-	$	-	$	-	$	-	$	5,101	
Meeting Rental Fee	$	-	$	50	$	-	$	50	$	-	$	50	$	50	$	50	$	50	$	-	$	-	$	-	$	300	
Property Appraiser Fee	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
Dues, Licenses & Subscriptions	$	175	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	175	
Total Administrative:	$	27,836	$	8,909	$	9,115	$	8,293	$	8,714	$	8,514	$	9,806	$	14,767	$	6,077	$	-	$	-	$	-	$	102,031	

Operations & Maintenance
Contracts:	

$	-	

$	-	

$	-	

$	-	

$	-	

$	-	

$	-	

$	-	

$	-	

$	-	$	-	$	-	$	-	
Aquatic Weed Control	$	2,322	$	2,322	$	2,322	$	2,322	$	2,322	$	2,322	$	14,862	$	2,322	$	2,322	$	-	$	-	$	-	$	33,439	
Mowing	$	15,892	$	4,590	$	-	$	-	$	-	$	-	$	-	$	15,104	$	4,340	$	-	$	-	$	-	$	39,927	
Water Quality Monitoring	$	1,646	$	1,646	$	1,646	$	1,646	$	1,646	$	1,646	$	1,646	$	1,646	$	-	$	-	$	-	$	-	$	13,164	
Repairs & Maintenance:														
Canal & Retention Pond Maintenance	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	1,000	$	24,385	$	-	$	-	$	-	$	-	$	31,385	
Security Gates & Signs	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	615	$	-	$	-	$	-	$	-	$	615	
NPDES Inspection & Fees	$	-	$	-	$	1,875	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	1,875	
Operating Supplies	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
Contingency	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	
Total Field Operations:	$	20,860	$	9,558	$	6,843	$	4,968	$	4,968	$	4,968	$	17,508	$	44,072	$	6,662	$	-	$	-	$	-	$	120,405	

Capital Improvements											
Transfer Out - Capital Reserves	$	-	$	-	$	-	$	-	$	245,392	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	245,392	
Total Reserves	$	-	$	-	$	-	$	-	$	245,392	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	245,392	
											
Total Expenditures	$	48,696	$	18,466	$	15,958	$	13,260	$	259,074	$	13,481	$	27,314	$	58,839	$	12,739	$	-	$	-	$	-	$	467,828	
											
Excess Revenues (Expenditures)	$	(48,496)	$	6,454	$	168,228	$	38,810	$  (151,650)	$	50,072	$	2,340	$	(7,643)	$	3,068	$	-	$	-	$	-	$	61,182	

Valencia

Gross Assessments	$	581,240.96	$	581,240.96	
Net Assessments	$	552,178.91	$	546,366.50	
	100.00%	100.00%	

Water Control District Special Assessment Receipts Fiscal Year 2024

ON ROLL ASSESSMENTS

Date	Distribution	Gross Amount	Commissions	Discount/Penalty	Interest	Net Receipts	O&M Portion	Total	

11/3/23	
1	
$2,181.53	
$20.71	
$110.34	
$0.00	
$2,050.48	
$2,050.48	
$2,050.48	
11/14/23	2	$5,493.59	$52.76	$217.98	$0.00	$5,222.85	$5,222.85	$5,222.85	
11/28/23	3	$18,361.18	$176.28	$733.42	$0.00	$17,451.48	$17,451.48	$17,451.48	
12/05/23	4	$32,105.09	$308.21	$1,283.85	$0.00	$30,513.03	$30,513.03	$30,513.03	
12/12/23	5	$115,214.90	$1,106.08	$4,607.27	$0.00	$109,501.55	$109,501.55	$109,501.55	
12/19/23	6	$45,896.80	$440.61	$1,835.53	$348.58	$43,969.24	$43,969.24	$43,969.24	
01/10/24	7	$54,572.61	$523.91	$2,181.12	$0.00	$51,867.58	$51,867.58	$51,867.58	
02/13/24	8	$112,827.68	$1,083.17	$4,511.03	$0.00	$107,233.48	$107,233.48	$107,233.48	
03/13/24	9	$62,931.04	$604.20	$2,511.42	$3,535.19	$63,350.61	$63,350.61	$63,350.61	
04/11/24	10	$30,963.47	$297.55	$1,208.80	$0.00	$29,457.12	$29,457.12	$29,457.12	
05/13/24	11	$53,131.68	$515.08	$1,623.96	$0.00	$50,992.64	$50,992.64	$50,992.64	
06/14/24	12	$13,951.47	$136.99	$252.14	$2,046.49	$15,608.83	$15,608.83	$15,608.83	
						$0.00	$0.00	$0.00	
	TOTAL	$	547,631.04	$	5,265.55	$	21,076.86	$	5,930.26	$	527,218.89	$	527,218.89	$	527,218.89	

$

96.50%
19,147.61

Net Percent Collected
Balance Remaining to Collect

Section V

Memorandum
To: Board of Supervisors From: District Management Date: June 11, 2024
RE:	HB7013 – Special Districts Performance Measures and Standards

To enhance accountability and transparency, new regulations were established for all special districts, by the Florida Legislature, during their 2024 legislative session. Starting on October 1, 2024, or by the end of the ﬁrst full ﬁscal year after its creation (whichever comes later), each special district must establish goals and objectives for each program and activity, as well as develop performance measures and standards to assess the achievement of these goals and objectives. Additionally, by December 1 each year (initial report due on December 1, 2025), each special district is required to publish an annual report on its website, detailing the goals and objectives achieved, the performance measures and standards used, and any goals or objectives that were not achieved.
District Management has identiﬁed the following key categories to focus on for Fiscal Year 2025 and develop statutorily compliant goals for each:
Community Communication and Engagement
Infrastructure and Facilities Maintenance
Financial Transparency and Accountability
Additionally, special districts must provide an annual reporting form to share with the public that reﬂects whether the goals & objectives were met for the year. District Management has streamlined these requirements into a single document that meets both the statutory requirements for goal/objective setting and annual reporting.
The proposed goals/objectives and the annual reporting form are attached as exhibit A to this memo. District Management recommends that the Board of Supervisors adopt these goals and objectives to maintain compliance with HB7013 and further enhance their commitment to the accountability and transparency of the District.

Exhibit A:
Goals, Objectives and Annual Reporting Form

Valencia Water Control District Performance Measures/Standards & Annual Reporting Form
October 1, 2024 – September 30, 2025

 Community Communication and Engagement
Goal 1.1: Public Meetings Compliance
Objective: Hold at least three regular Board of Supervisor meetings per year to conduct District related business and discuss community needs.
Measurement: Number of public board meetings held annually as evidenced by meeting minutes and legal advertisements.
Standard: A minimum of three board meetings were held during the Fiscal Year.
Achieved: Yes ☐ No ☐

Goal 1.2: Notice of Meetings Compliance
Objective: Provide public notice of meetings in accordance with Florida Statutes, using at least two communication methods.
Measurement: Timeliness and method of meeting notices as evidenced by posting to District website, publishing in local newspaper and via electronic communication. Standard: 100% of meetings were advertised per Florida statute on at least two mediums (i.e., newspaper, District website, electronic communications).
Achieved: Yes ☐ No ☐

Goal 1.3: Access to Records Compliance
Objective: Ensure that meeting minutes and other public records are readily available and easily accessible to the public by completing monthly District website checks.
Measurement: Monthly website reviews will be completed to ensure meeting minutes and other public records are up to date as evidenced by District Management’s records.
Standard: 100% of monthly website checks were completed by District Management.
Achieved: Yes ☐ No ☐

 Infrastructure and Facilities Maintenance
Goal 2.1: Field Management and/or District Management Site Inspections

Objective: Field manager and/or district manager will conduct inspections per District Management services agreement to ensure safety and proper functioning of the District’s infrastructure.
Measurement: Field manager and/or district manager visits were successfully completed per management agreement as evidenced by ﬁeld manager and/or district manager’s reports, notes or other record keeping method.
Standard: 100% of site visits were successfully completed as described within district management services agreement.
Achieved: Yes ☐ No ☐

Goal 2.2: District Infrastructure and Facilities Inspections
Objective: District Engineer will conduct an annual inspection of the District’s infrastructure and related systems.
Measurement: A minimum of one inspection completed per year as evidenced by district engineer’s report related to district’s infrastructure and related systems.
Standard: Minimum of one inspection was completed in the Fiscal Year by the district’s engineer.
Achieved: Yes ☐ No ☐

 Financial Transparency and Accountability
Goal 3.1: Annual Budget Preparation
Objective: Prepare and approve the annual proposed budget by June 15th and ﬁnal budget was adopted by September 30th each year.
Measurement: Proposed budget was approved by the Board before June 15th and ﬁnal budget was adopted by September 30th as evidenced by meeting minutes and budget documents listed on District website and/or within district records.
Standard: 100% of budget approval & adoption were completed by the statutory deadlines and posted to the District website.
Achieved: Yes ☐ No ☐

Goal 3.2: Financial Reports
Objective: Publish to the District website the most recent versions of the following documents: Annual audit, current ﬁscal year budget with any amendments, and most recent ﬁnancials within the latest agenda package.
Measurement: Annual audit, previous years’ budgets, and ﬁnancials are accessible to the public as evidenced by corresponding documents on the District’s website.
Standard: District website contains 100% of the following information: Most recent annual audit, most recent adopted/amended ﬁscal year budget, and most recent agenda package with updated ﬁnancials.
Achieved: Yes ☐ No ☐

Goal 3.3: Annual Financial Audit
Objective: Conduct an annual independent ﬁnancial audit per statutory requirements and publish the results to the District website for public inspection, and transmit to the State of Florida.
Measurement: Timeliness of audit completion and publication as evidenced by meeting minutes showing board approval and annual audit is available on the District’s website and transmitted to the State of Florida.
Standard: Audit was completed by an independent auditing ﬁrm per statutory requirements and results were posted to the District website and transmitted to the State of Florida.
Achieved: Yes ☐ No ☐

President:			Date:	 Print Name:		
Valencia Water Control District

District Manager:		Date:	 Print Name:	 
Valencia Water Control District

Section VI

Financial Report

September 30, 2023

Valencia Water Control District

Valencia Water Control District
Table of Contents

Page
Financial Section:
Independent Auditor's Report	1
Management's Discussion and Analysis	3
Basic Financial Statements:
Statement of Net Position	6
Statement of Revenues, Expenses and Changes in Net Position	7
Statement of Cash Flows	8
Notes to Financial Statements	9
Compliance Section:
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	14
Management Letter	15
Independent Accountant's Report on Compliance with the Requirements
of Section 218.415, Florida Statutes	17

INDEPENDENT AUDITOR'S REPORT

934 North Magnolia Avenue, Suite 100
Orlando, Florida 32803
Tel. 407-843-5406
www.mcdirmitdavis.com

To the Board of Supervisors
Valencia Water Control District

Report on the Audit of the Financial Statements Opinions
We have audited the financial statements of the business-type activities of Valencia Water Control District (the “District”), as of and for the year ended September 30, 2023, 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 accompanying financial statements present fairly, in all material respects, the respective financial position of the governmental activities of the District as of September 30, 2023, and the respective changes in financial position and cash flows thereof, for the 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 related 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 these 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 Responsibility for the Audit of 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 judgement 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.

the trusted partner

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 judgement, 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 starting on page 3, 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 Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued a report dated June 26, 2024, on our consideration of the District’s internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of 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.

Orlando, Florida June 26, 2024

Our discussion and analysis of Valencia Water Control District (the “District”) financial accomplishments provide an overview of the District’s financial activities for the year ended September 30, 2023. Please read it in conjunction with the District’s Independent Auditor’s Report, financial statements and accompanying notes.

This information is being presented to provide additional information regarding the activities of the District and to meet the disclosure requirements of Government Accounting Standards Board Statement (GASB) No. 34, Basic Financial Statements - and Management’s Discussion and Analysis - for State and Local Governments issued June 1999.

Financial Highlights
The assets of the District exceeded its liabilities at September 30, 2023 by $1,953,816, an increase in net position of
$152,573 in comparison with the prior year.
At September 30, 2023, the District ended the year with cash and cash equivalents of $410,043.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to Valencia Water Control District’s financial statements. The District’s financial statements comprise two components: 1) basic financial statements and 2) notes to financial statements.

Basic 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: Proprietary Fund.

Proprietary Funds
The District maintains one type of proprietary fund: enterprise. The District maintains one enterprise fund. An enterprise fund is used to report the same functions presented as business-type activities in the financial statements. The District uses an enterprise fund to account for the operations of the water control services within the District. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail.
Notes to Financial Statements
The notes provide additional information that is essential to a full understanding of the data provided in the financial statements.

Condensed Financial Analysis
Statement of Net Position
The District’s net position was $1,953,816 at September 30, 2023. The following analysis focuses on the net position of the District’s financial activities.
Business-Type Activities
	September 30,		September 30,	

Assets:		2023			2022	
Current and other assets	$	1,260,349		$	1,094,411	
Capital assets, net	716,640		724,398	
Total assets	1,976,989		1,818,809	
Liabilities:				
Current liabilities	23,173		17,566	
Total liabilities	23,173		17,566	
Net Position:				
Investment in capital assets	716,640		724,398	
Unrestricted	1,237,176		1,076,845	
Total net position	$	1,953,816		$	1,801,243	

The following is a summary of the District’s financial activities for the fiscal years ended September 30, 2023 and 2022.
Business-Type Activities
2023	2022	
Revenues:
Program revenues: Assessments for services	

$	557,896		

$	556,343	
General revenues:
Investment earnings	
42,158		
6,966	
Total revenues	600,054		563,309	
Expenses:
Business, type activities:
Water control	

447,481		

342,856	
Total expenses	447,481		342,856	
Increase (Decrease) in Net Position	152,573		220,453	
Net position, beginning	1,801,243		1,580,790	
Net position, ending	 $	1,953,816 		 $	1,801,243 	
Business-Type Activities
The cost of the business-type activities was $447,481, an 30.5% increase from the prior year. The costs of those activities were paid for by assessments for services, which accounted for 93.0% of total business-type revenues. Assessments for services increased $1,553 from the prior year.

Financial Analysis of the Government’s Fund
Proprietary Fund
The District’s Water Control Fund reported an operating income of $110,415, which is a decrease of $103,072 from the previous year. Of the total net position in the amount of $1,953,816; $716,640 is invested in capital assets.

Capital Asset Activity
Capital Assets
At September 30, 2023, the District had $716,640 invested in capital assets, net of accumulated depreciation. More detailed information about the District’s capital assets is presented in the notes to the financial statements.

Business-Type Activities
	2023		2022	
Land	$	700,120		$	700,120	
Ponds and canals	4,134,227		4,134,227	
Water control structures	672,531		672,531	
Furniture and equipment	6,703		6,703	
Accumulated depreciation	(4,796,941)		(4,789,183)	
Total	 $	716,640		 $	724,398	

Capital Debt Activity
Capital Debt
At September 30, 2023, the District has no long-term debt.
Economic Factors and Next Year’s Budget
It is difficult to predict what significant effect the current economic condition will have on the financial position or results of operations of the District in fiscal year 2024.

Requests for Information
If you have questions about this report or need additional financial information, contact Valencia Water Control District’s Finance Department at 219 E. Livingston Street, Orlando, Florida 32801.

FINANCIAL STATEMENTS

Statement of Net Position
September 30, 2023

	Enterprise Fund	
	Water Control	
Assets		
Current Assets:		
Cash and cash equivalents	$	410,043	
Investments	832,721	
Accounts receivable, net	3,971	
Prepaid expenses and deposits	13,614	
Total current assets	1,260,349	
Noncurrent Assets: Capital Assets:
Land	

700,120	
Infrastructure and equipment	4,813,461	
Less accumulated depreciation	(4,796,941)	
Total noncurrent assets	716,640	
Total assets	1,976,989	
Liabilities
Current Liabilities:
Accounts payable and accrued expenses	

23,173	
Total liabilities	23,173	
Net Position		
Investment in capital assets	716,640	
Unrestricted	1,237,176	
Total net position	$	1,953,816	

Statement of Revenues, Expenses and Changes in Net Position
Year Ended September 30, 2023

	Enterprise Fund	
	Water Control	
Revenues:
Charges for services	
 $	557,896 	
Total operating revenues		557,896 	
Operating Expenses:
Salaries and benefits	
2,000	
Property maintenance	378,947	
Other supplies and expenses	58,776	
Depreciation		7,758 	
Total Operating Expenses		447,481 	
Operating income (loss)		110,415 	
Nonoperating Revenues (Expenses):
Interest and investment revenue	
42,158	
Total nonoperating revenue (expenses)	42,158	
Income (loss)	152,573	
Total net position, beginning	1,801,243	
Total net position, ending	$	1,953,816	

Statement of Cash Flows
Year Ended September 30, 2023

	Enterprise Fund	
	Water	
		Control	
Cash Flows from Operating Activities:		
Receipts from customers and users	$	560,414	
Payments to suppliers of goods and services		(432,051)	
Net cash provided by (used in) operating activities		128,363 	
Cash Flows from Investing Activities:		
Interest earnings	42,158	
Sale (purchase) of investments		31,381 	
Net cash provided by (used in) investing activities	73,539	
Net increase in cash and cash equivalents	201,902	
Cash and cash equivalents, beginning	208,141	
Cash and cash equivalents, ending	$	410,043	

Reconciliation of Operating Income to Net Cash		
Provided By (Used In) Operating Activities
Operating income (loss)	
 $	110,415 	
Adjustments Not Affecting Cash:		
Depreciation and amortization	7,758	
Change in Assets and Liabilities:		
(Increase) Decrease in accounts receivable	2,518	
(Increase) Decrease in prepaids	2,065	
Increase (Decrease) in accounts payable		5,607 	
Total adjustments	17,948	

Net Cash Provided by (Used In) Operating Activities	$	128,363

NOTES TO FINANCIAL STATEMENTS

NOTE 1	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Reporting Entity
Valencia Water Control District, (the “District”) was established in May 1970 by Orange County, Florida under the authority of Chapters 298 and 72-291, Florida Statutes. The District was established for the purpose of storm water run-off that will minimize water pollution and maintain groundwater tables for the benefit of the landowners. In order to achieve these goals, several miles of canals, bridges, control structures, and other appurtenances have been constructed.

The District is governed by the Board of Supervisors (the “Board”), which is composed of five members. At present, the Supervisors are elected to a five-year term. Their length of service is staggered so that one supervisor is elected or re-elected by the landowners at the Annual landowners Meeting held in June each year. The Board of Supervisors of the District exercises all powers granted to the District pursuant to Chapter 298, Florida Statutes.

The Board has the final responsibility for, among other things:

Allocating 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 14, 39, and 61. Under the provisions of those standards, the financial reporting entity consists of the primary government, organizations for which the District Board of Supervisors is considered to be financially accountable, and other organizations for which the nature and significance of their relationship with the District are such that, if excluded, the financial statements of the District would be considered incomplete or misleading. There are no entities considered to be component units of the District; therefore, the financial statements include only the operations of the District.
Basic Financial Statements
Separate financial statements are provided for proprietary funds. The District’s enterprise fund is reported in the fund financial statements.
Measurement Focus, Basis of Accounting and Financial Statement Presentation
The enterprise fund 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 recognized as revenues as soon as all eligibility requirements imposed by the provider have been met.

Assessments are non-ad valorem assessments imposed on all lands located within the District and benefited by the District’s activities. The assessments are levied by the District prior to the start of the fiscal year which begins October 1st and ends on September 30th. These assessments are imposed upon all benefited lands located in the District.
Assessments and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only 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 proprietary fund:
Water Control Fund
This enterprise fund is used to account for the operations of the water control services within the District. The costs of providing services to the residents are recovered primarily through user assessments.

NOTE 1	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

As a general rule, when both restricted and unrestricted resources are available for use, it is the District’s policy to use restricted resources first, then unrestricted resources as they are needed.
Assets, Liabilities, Deferred Outflows/Inflows of Resources and Net Position
Deposits and Investments
The District’s cash and cash equivalents are considered to be cash on hand and demand deposits.
Investments of the District are reported at fair value and are categorized within the fair value hierarchy established in accordance with GASB Statement No. 72, Fair Value Measurement and Application. The District’s investments consist of investments authorized in accordance with Section 218.415, Florida Statutes.

Inventories
Inventories are valued at cost which approximates market value using the first-in, first-out (FIFO) method.
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.
Receivables
Accounts receivable and assessments receivable are shown net of an allowance for uncollectible amounts.

Capital Assets
Capital assets, which include property, storm water improvements, equipment and infrastructure assets (e.g., drainage system, storm water system, and similar items), are reported in the applicable financial statements. Capital assets are defined by the government as assets with an initial, individual cost of more than $5,000 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.
Property, plant, and equipment of the District are depreciated using the straight-line method over the following estimated useful lives:

Assets		Years	
Canals and ponds		25	
Water control structures		15 - 25	
Furniture and equipment		5 - 10	

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. The District does not have any item that qualifies for reporting in this category for the year ended September 30, 2023.

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. The District does not have any item that qualifies for reporting in this category for the year ended September 30, 2023.

NOTE 1	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Net Position Flow Assumption
Sometimes the District will fund outlays for a particular purpose from both restricted and unrestricted resources. In order to calculate the amounts to report as restricted net position and unrestricted net position in the financial statements, a flow assumption must be made about the order in which the resources are considered to be applied. It is the District’s policy to consider restricted net position to have been depleted before unrestricted net position is applied.

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.
New Accounting Standards
In fiscal year 2023, the District has not implemented any new accounting standards with a material effect on the District’s financial statements.

NOTE 2	DEPOSITS AND INVESTMENTS
Deposits
The District’s cash balances were entirely covered by federal depository insurance or by a collateral pool pledged to the State Treasurer. Florida Statutes Chapter 280, “Florida Security for Public Deposits Act”, requires all qualified depositories to deposit with the Treasurer or another banking institution eligible collateral equal to various percentages of the average daily balance for each month of all public deposits in excess of any applicable deposit insurance held. The percentage of eligible collateral (generally, U.S. Governmental and agency securities, state or local government debt, or corporate bonds) to public deposits is dependent upon the depository’s financial history and its compliance with Chapter 280. In the event of a failure of a qualified public depository, the remaining public depositories would be responsible for covering any resulting losses.

Investments
The District categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The District uses a market approach in measuring fair value that uses prices and other relevant information generated by market transactions involving identical or similar assets, liabilities, or groups of assets and liabilities.
Assets or liabilities are classified into one of three levels. Level 1 is the most reliable and is based on quoted prices for identical assets, or liabilities, in an active market. Level 2 uses significant other observable inputs when obtaining quoted prices for identical or similar assets, or liabilities, in markets that are not active. Level 3 is the least reliable, and uses significant unobservable inputs that use the best information available under the circumstances, which includes the District’s own data in measuring unobservable inputs.
Investments held in the State Board of Administration Fund Florida Prime (SBA) consist of short-term federal agency obligations, treasury bills, repurchase agreements and commercial paper. The SBA is not a registrant with the Securities and Exchange Commission (SEC); however, the SBA has adopted operating procedures consistent with the requirements of a 2a-7 like pool for it’s fund and the fair value of the position in the pool is equal to the fair value of the statements. Investment income is recognized as earned and is allocated to the participating funds based on their equity participation.

NOTE 2	DEPOSITS AND INVESTMENTS (CONTINUED)

Investments made by the District as of September 30, 2023 are summarized below. Investments are reported at fair value, except for the investment in the SBA, which is carried at amortized cost and approximates fair value.

 Investment Type		Amortized Cost	Credit Rating

Weighted Average
Maturity

Florida Prime

 $	832,721 

AAAm	35 days

The District’s investment policies are governed by State Statutes. The District investment policy allows investments in any financial institution that is a qualified public depository of the State of Florida as identified by the State Treasurer, in accordance with Chapter 280 of the Florida Statutes. Authorized District investments include, but are not limited to:
The Local Government Surplus Funds Trust Fund (SBA);
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.

Credit Risk:
The District’s investment policy limits credit risk by restricting authorized investments to those described. Investments in U.S. Government securities and agencies must be backed by the full faith and credit of the United States Government. Short-term bond funds shall be rated by a nationally recognized ratings agency and shall maintain the highest credit quality rating.

Custodial Credit Risk:
In the case of deposits, this is the risk that in the event of a bank failure, the District’s deposits may not be returned to it. The District’s investment policy requires that bank deposits be secured as provided by Chapter 280, Florida Statutes. This law requires local governments to deposit funds only in financial institutions designated as qualified public depositories by the Chief Financial Officer of the State of Florida, and creates the Public Deposits Trust Fund, a multiple financial institution pool with the ability to assess its member financial institutions for collateral shortfalls if a default or insolvency has occurred. At September 30, 2023, all of the District’s bank deposits were in qualified public depositories.

For an investment, this is the risk that, in the event of the failure of the counterparty, the government will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. At September 30, 2023, none of the investments listed are exposed to custodial credit risk because their existence is not evidenced by securities that exist in physical or book entry form.

Concentration of Credit Risk:
The District’s investment policy does not specify limits on the amount the District may invest in any one issuer.

Interest Rate Risk:
The District’s investment policy does not specifically address interest rate risk; however, the general investment policy is to apply the prudent-person rule: Investments are made as a prudent person would be expected to act, with discretion and intelligence, to seek reasonable income, preserve capital, and in general, avoid speculative investments. The District manages its exposure to declines in fair values by investing primarily in pooled investments that have a weighted average maturity of less than three months.

NOTE 3	CAPITAL ASSETS

The following is a summary of changes in capital assets for the year ended September 30, 2023:

Beginning
Balance	Additions	Disposals

Ending Balance

Business-type Activities:		
Capital Assets, not being depreciated:		
Land
Total capital assets, not being	 $	700,120 		 $	- 		 $	- 		 $	700,120 	
depreciated	700,120		-	-		700,120	
Capital Assets Being Depreciated:						
Canals	2,888,690		-	-		2,888,690	
Ponds	1,245,537		-	-		1,245,537	
Water control structures	672,531		-	-		672,531	
Furniture and equipment	6,703		-	-		6,703	
Total capital assets,			 			
being depreciated	4,813,461		-	-		4,813,461	
Less accumulated depreciation for:								
Canals		(2,888,690)			-			-			(2,888,690)	
Ponds		(1,238,337)			(3,600)			-			(1,241,937)	
Water control structures		(655,453)			(4,158)			-			(659,611)	
Furniture and equipment		(6,703)			-			-			(6,703)	
Total accumulated depreciation,												
net		(4,789,183)			(7,758)			-			(4,796,941)	

Total capital assets being												
depreciated, net		24,278			(7,758)			-			16,520	
Business-type activities capital												
assets, net	$	724,398		$	(7,758)		$	-		$	716,640	

NOTE 4	MANAGEMENT COMPANY

District Operations
The District has contracted with a management company (“GMS”) to perform management services, which include financial and accounting services. Certain employees of GMS also serve as officers (Board appointed non-voting positions) of the District. Under the agreement, the District compensates the management company for management, accounting, financial reporting and other administrative costs.
NOTE 5	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. These risks are covered by commercial insurance from independent third parties. The District has not filed any claims under this commercial coverage during the last three years.

COMPLIANCE SECTION

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
Valencia Water Control District

We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the business-type activities of Valencia Water Control District (the “District”) as of and for the year ended September 30, 2023, which collectively comprise the District’s financial statements and have issued our report thereon dated June 26, 2024.
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) as a basis for designing procedures that are appropriate in the circumstances for the purpose of expressing opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the District’s internal control. Accordingly, we do not express an opinion on the effectiveness of the District’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit, we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

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 grant agreements, noncompliance with which could have a direct and material effect on the financial statements. 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 District’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 District’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Orlando, Florida June 26, 2024

MANAGEMENT LETTER

Board of Supervisors
Valencia Water Control District

We have audited the financial statements of Valencia Water Control District (the “District”), as of and for the fiscal year ended September 30, 2023, and have issued our report thereon dated June 26, 2024.

Auditor’s Responsibility
We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States and Chapter 10.550, Rules of the Auditor General.

Other Reporting Requirements
We have issued our 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 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 these reports, which are dated June 26, 2024, should be considered in conjunction with this management letter.
Prior Audit Findings
Section 10.554(1)(i.)1., Rules of the Auditor General, require that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no such findings in the preceding annual financial audit report.

Official Title and Legal Authority
Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. This information has been disclosed in the notes to the financial statements.
Financial Condition and Management
Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, requires us to apply appropriate procedures and communicate the results of our determination as to whether or not the District has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and to identify the specific condition(s) met. In connection with our audit, we determined that the District did not meet any of the conditions described in Section 218.503(1), Florida Statutes.
Pursuant to Sections 10.554(1)(i)5.b. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures for the District. It is management’s responsibility to monitor the District’s 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.

Section 10.554(1)(i)2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.

Specific Information (Unaudited)
As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)(i)6, Rules of the Auditor General, the District reported:
The total number of District employees compensated in the last pay period of the District’s fiscal year as zero.
The total number of independent contractors to whom nonemployee compensation was paid in the last month of the District’s fiscal year as 8.
All compensation earned by or awarded to employees, whether paid or accrued, regardless of contingency as zero.
All compensation earned by or awarded to nonemployee independent contractors, whether paid or accrued, regardless of contingency as $430,987.

Each construction project with a total cost of at least $65,000 approved by the District that is scheduled to begin on or after October 1 of the fiscal year being reported, together with the total expenditures for such project as: Not Applicable.
A budget variance based on the budget adopted under Section 189.016(4), Florida Statutes, before the beginning of the fiscal year being reported if the District amends a final budget under Section 189.016(6), Florida Statutes, as $0. The District does not have a budget amendment.
As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)(i)7, Rules of the Auditor General, the District reported:
The rate or rates of non-ad valorem special assessments imposed by the District as operations and maintenance- $61.52.
The total amount of special assessments collected by or on behalf of the District as $557,602.
The total amount of outstanding bonds issued by the District and the terms of such bonds as not applicable.
Additional Matters
Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate 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. In connection with our audit, we did not note any such findings.
Purpose of this Letter
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, the Board of Supervisors and applicable management, and is not intended to be and should not be used by anyone other than these specified parties.

Orlando, Florida June 26, 2024

934 North Magnolia Avenue, Suite 100
Orlando, Florida 32803
Tel. 407-843-5406
www.mcdirmitdavis.com

INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES

To the Board of Supervisors
Valencia Water Control District

We have examined the Valencia Water Control District’s (the “District”) compliance with the requirements of Section 218.415, Florida Statutes, during the year ended September 30, 2023. Management is responsible for the District’s compliance with those requirements. Our responsibility is to express an opinion on the District’s compliance based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and the standards applicable to attestation engagements contained in Government Auditing Standards issued by the Comptroller General of the United States, and, accordingly, included examining, on a test basis, evidence about the District’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the District’s compliance with specified requirements.
In our opinion, the District complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2023.

Orlando, Florida June 26, 2024

the trusted partner

Section IX

Section A

Customer Call Log - Valencia Water Control District	
Date	Name	Subdivision	Address	Issue	Pond/Canal Name	Resolution	Date Resolved	

6/26/24	

Sunny Ruiz	

Windsor Walk	

n/a	Wanted to notify the District that she reached out to Orange County Mosquito Safety department to have larvae eating fish put in the neighborhood ponds. The service was free for Orange County residents and she wanted District permission if necessary.	

Windsor Walk Ponds (3)	
Orange County sent a technician to the ponds and noted that they already contained the fish and that they would add more. Inspection of the pond found no breeding of mosquitios. Also pretreated other areas of concern. District involvement was not necessary.	

6/28/24	

Section B

IN THE CIRCUIT COURT, NINTH JUDICIAL CIRCUIT, IN AND FOR ORANGE
COUNTY, FLORIDA CASE NO. 70-125

IN RE: VALENCIA WATER CONTROL DISTRICT
	/ TO ALL OWNERS OF LAND WITHIN VALENCIA WATER CONTROL DISTRICT
YOU  ARE  HEREBY  NOTIFIED  that  VALENCIA  WATER  CONTROL  DISTRICT,
incorporated by an Order of the Circuit Court in and for Orange County, Florida, on May 27, 1970, has established their regular meeting schedules for the Fiscal Year 2025 to be held the second Tuesday of each month at 1:00 P.M. at the Lake Ridge Village Clubhouse, 10630 Larissa Street, Williamsburg, Orlando, Florida 32821, pursuant to Section 189.417 (1) Florida Statutes:
October 8, 2024
November 12, 2024
December 10, 2024
January 14, 2025
February 11, 2025
March 11, 2025
April 8, 2025
May 13, 2025
June 10, 2025
July 8, 2025
August 12, 2025
September 9, 2025

“Persons are advised that if they decide to appeal any decisions made at these meetings/hearings, they will need a record of the proceedings and for such purpose they may need to ensure that a verbatim record of the proceedings is made which includes the testimony and evidence upon which the appeal is to be based, per section 298.0105, Florida Statutes.”
“In accordance with the Americans with Disabilities Act, persons with disabilities needing a special accommodation should contact Valencia Water Control District at (407) 841-5524 x 101, not later than forty-eight (48) hours prior to the meeting.”