Agenda Page 1

LIVE OAK NO. 2

COMMUNITY DEVELOPMENT DISTRICT

SEPTEMBER 18, 2018

AGENDA PACKAGE

Agenda Page 2

Live Oak No. 2 Community Development District

Inframark, Infrastructure Management Services
210 North University Drive Suite 702, Coral Springs, Florida 33071 Phone: 954-603-0033 Fax: 954-345-1292

September 11, 2018

Board of Supervisors

Live Oak No. 2 Community
Development District

Dear Board Members:

The meeting of the Board of Supervisors of the Live Oak No. 2 Community Development District will be held Tuesday, September 18, 2018 at 11:00 a.m. at the Live Oak Clubhouse, 9401 Oak Preserve Boulevard, Tampa, Florida. Following is the advanced agenda for the meeting:

1.	Call to Order and Roll Call
2.	Public Comment on Agenda Items
3.	Consent Agenda
A.	Approval of Minutes of the July 24, 2018 Meeting
B.	Financial Report
C.	AMTEC Rebate Report

4.	Staff Reports
A.	Manager
	i.   Insurance Renewal Proposal
B.	Attorney
C.	Engineer

5.	Supervisors’ Requests
6.	Audience Comments
7.	Adjournment

Any additional supporting material for the items listed above is enclosed or will be distributed at the meeting. The balance of the agenda is routine in nature. If you have any questions, please contact me.

Sincerely,

Andrew P. Mendenhall, PMP

Manager

Agenda Page 3

Third Order of Business

Agenda Page 4

3A.

Agenda Page 5

MINUTES OF MEETING
LIVE OAK NO. 2
COMMUNITY DEVELOPMENT DISTRICT

A meeting of the Board of Supervisors of the Live Oak No. 2 Community Development

District was held on Tuesday, July 24, 2018 at 6:30 p.m. in the Live Oak Clubhouse, 9401 Oak

Preserve Boulevard, Tampa, Florida.

Present and constituting a quorum were:

Elizabeth Hubbard	Chairperson
Richard Thatcher	Vice Chairman
Kathleen Thatcher	Assistant Secretary
Ronald Dell	Assistant Secretary
David A. Steele	Assistant Secretary

Also present:

Bob Nanni	District Manager
Andy Mendenhall	District Manager
Vinney Galiano	District Engineer
One resident

The following is a summary of the minutes and actions taken.

FIRST ORDER OF BUSINESS	Call to Order and Roll Call
Mr. Nanni called the meeting to order and all Board Members were present.

SECOND ORDER OF BUSINESS	Public Comment on Agenda Items
None.

THIRD ORDER OF BUSINESS	Consent Agenda

A.	Approval of Minutes of the May 23, 2018 Meeting

B.	Financial Report

C.	Approval of the FY 2017 Audit Report

D.	Proposed Meeting Dates for FY 2019

Unapproved

Agenda Page 6

July 24, 2018	Live Oak No. 2 CDD

ON MOTION by Ms. Hubbard seconded by Mr. Thatcher with all in favor the Consent Agenda was approved as presented. 5-0

FOURTH ORDER OF BUSINESS	Public Hearing to Consider Adoption of
the Budget for Fiscal Year 2019

ON MOTION by Ms. Thatcher seconded by Ms. Hubbard with all in favor the Public Hearing to Consider the Adoption of the Budget for Fiscal Year 2019 was opened. 5-0

A.	Consideration of Resolution 2018-03 Adopting the FY 2019 Budget

	ON MOTION by Mr. Thatcher seconded by Mr. Steele with all in favor Resolution 2018-03 Relating to the Annual Appropriations of the District and Adopting the Budget for the Fiscal Year Beginning October 1, 2018, and Ending September 30, 2019; And Referencing the Operations and Maintenance Special Assessments to be Levied by the District for Said Fiscal Year was adopted. 5-0

B.	Consideration of Resolution 2018-04 Levy of Non-Ad Valorem Assessments

	ON MOTION by Mr. Dell seconded by Ms. Hubbard with all in favor Resolution 2018-04 Levying and Imposing Special Assessments; Providing for Collection and Enforcement of Special Assessments; Adopting and Certifying an Assessment Roll; Providing for Amendment of the Assessment Roll; Providing a Severability Clause; and Providing an Effective Date was adopted. 5-0

ON MOTION by Ms. Hubbard seconded by Mr. Steele with all in favor the Public Hearing to Consider the Adoption of the Budget for Fiscal Year 2019 was closed. 5-0

FIFTH ORDER OF BUSINESS	Staff Reports
A.	Manager
Mr. Nanni reported on the following:
•	Live Oak I will continue to work with LMP.

B.	Attorney None.

unapproved

Agenda Page 7

July 24, 2018	Live Oak No. 2 CDD

C.	Engineer

Mr. Galiano reported on the following:

•	SWFWMD O&M inspection of Phase 2A Ponds is ongoing. A report will be sent out to the District upon completion.

•	Pond 9F 5 is still being mounted by Schroeder and the water level is up to the sod level due to the rain.

Miguel Botto, Brian Mortillaro and Felix Laporte, representatives from LMP addressed ongoing landscape issues

Let the record reflect Mr. Mendenhall joined the Meeting and Mr. Nanni left the Meeting.

A.	Manager (Continued)

Discussion ensued regarding general landscaping and combining HOA and CDD lawn maintenance services.

SIXTH ORDER OF BUSINESS	Supervisors’ Requests
•	Ms. Hubbard inquired about the dead trees around the ponds in front of Birchwood.

SEVENTH ORDER OF BUSINESS	Audience Comments
None.

EIGHTH ORDER OF BUSINESS	Adjournment

On MOTION by Mr. Thatcher seconded by Ms. Hubbard with all in favor the meeting was adjourned. 5-0

Elizabeth Hubbard
Chairperson

unapproved

Agenda Page 8

3B.

Agenda Page 9

LIVE OAK NO. 2

Community Development District

Financial Report

July 31, 2018

Prepared by:

				Agenda Page 10	
	LIVE OAK NO. 2			
	Community Development District			
					
			Table of Contents	
	FINANCIAL STATEMENTS				
	Balance Sheet	…………………………………………………. Page 1	
	Statement of Revenues, Expenditures and Changes in Fund Balances	
	General Fund	…………………………………………………. Page 2 - 3	
	Debt Service Fund	…………………………………………………. Page 4	
	SUPPORTING SCHEDULES			
				
	Non-Ad Valorem Special Assessments	…………………………………………………. Page 5	
	Cash & Investment Report	…………………………………………………. Page 6	
	SunTrust Bank Reconciliation	…………………………………………………. Page 7	
	Check Register	…………………………………………………. Page 8 - 9	

Agenda Page 11

LIVE OAK NO. 2
Community Development District

Financial Statements

(Unaudited)

July 31, 2018

LIVE OAK NO. 2										Agenda Page 12		
									Governmental Funds		
Community Development District											
												
					Balance Sheet									
					July 31, 2018									
										SERIES 2016						
											DEBT						
							GENERAL			SERVICE						
			ACCOUNT DESCRIPTION			FUND			FUND			TOTAL		
		ASSETS												
																	
		Cash - Checking Account	$	112,912	$	-	$	112,912			
		Investments:												
		Certificates of Deposit - 12 Months			101,025			-			101,025			
		Money Market Account			238,070			-			238,070			
		Reserve Fund			-			276,057			276,057			
		Revenue Fund			-			175,358			175,358			
											
	TOTAL ASSETS	$	452,007	$	451,415	$	903,422			
																	
		LIABILITIES													
		Accounts Payable	$	-	$	-	$	-			
		Accrued Expenses			5,245			-			5,245			
														
		TOTAL LIABILITIES			5,245			-			5,245			
		FUND BALANCES												
		Restricted for:													
		Debt Service			-			451,415			451,415			
		Assigned to:												
		Operating Reserves			52,831			-			52,831			
		Reserves - Ponds			170,751			-			170,751			
		Unassigned:			223,180			-			223,180			
											
	TOTAL FUND BALANCES	$	446,762	$	451,415	$	898,177			
											
	TOTAL LIABILITIES & FUND BALANCES	$	452,007	$	451,415	$	903,422			

1

LIVE OAK NO. 2												Agenda Page 13		
													General Fund		
Community Development District															
																
						Statement of Revenues, Expenditures and Changes in Fund Balances						
							For the Period Ending July 31, 2018									
										ANNUAL												
										ADOPTED		YEAR TO DATE		YEAR TO DATE		VARIANCE ($)		
					ACCOUNT DESCRIPTION				BUDGET			BUDGET			ACTUAL			FAV(UNFAV)		
		REVENUES																	
			Interest - Investments	$	-	$	-	$	2,783	$	2,783			
			Interest - Tax Collector				-			-			545			545			
			Special Assmnts- Tax Collector				256,049			256,049			256,049			-			
			Special Assmnts- Discounts				(10,242)			(10,242)			(9,761)			481			
																	
	TOTAL REVENUES				245,807			245,807			249,616			3,809			
	EXPENDITURES																
																					
			Administration																
																					
			P/R-Board of Supervisors				8,000			6,667			2,400			4,267			
			FICA Taxes				612			510			184			326			
			ProfServ-Arbitrage Rebate				600			-			-			-			
			ProfServ-Dissemination Agent				1,000			1,000			1,000			-			
			ProfServ-Engineering				15,000			12,500			14,395			(1,895)			
			ProfServ-Legal Services				3,000			2,500			1,641			859			
			ProfServ-Mgmt Consulting Serv				38,850			32,375			32,375			-			
			ProfServ-Special Assessment				12,500			12,500			12,500			-			
			ProfServ-Trustee Fees				3,717			3,717			3,971			(254)			
			Auditing Services				3,500			3,500			3,500			-			
			Postage and Freight				1,000			833			113			720			
			Insurance - General Liability				9,141			9,141			8,310			831			
			Printing and Binding				500			417			114			303			
			Legal Advertising				900			750			2,477			(1,727)			
			Misc-Bank Charges				600			500			219			281			
			Misc-Assessmnt Collection Cost				5,121			5,121			4,928			193			
			Misc-Web Hosting				775			775			-			775			
			Office Supplies				100			83			-			83			
			Annual District Filing Fee				175			175			175			-			
			Total Administration				105,091			93,064			88,302			4,762			
		Field																
																				
			Contracts-Envirom'l Monitoring				3,200			2,667			3,200			(533)			
			Contracts-Landscape				44,238			36,870			36,865			5			
			Contracts-Lakes				16,596			13,830			13,830			-			
			R&M-Fence				7,500			6,250			225			6,025			
			R&M-Lake				5,000			4,167			13,244			(9,077)			
			R&M-Wetland Monitoring				8,000			6,667			7,350			(683)			
			Misc-Contingency				25,000			20,833			9,739			11,094			
			Reserve - Ponds				31,182			25,985			-			25,985			
		Total Field				140,716			117,269			84,453			32,816			
																	
	TOTAL EXPENDITURES				245,807			210,333			172,755			37,578			

2

LIVE OAK NO. 2											Agenda Page 14		
												General Fund		
Community Development District														
															
	Statement of Revenues, Expenditures and Changes in Fund Balances						
	For the Period Ending July 31, 2018									
				ANNUAL												
				ADOPTED		YEAR TO DATE		YEAR TO DATE		VARIANCE ($)		
	ACCOUNT DESCRIPTION			BUDGET			BUDGET			ACTUAL			FAV(UNFAV)		
	Excess (deficiency) of revenues															
	Over (under) expenditures			-			35,474			76,861			41,387			
																
	Net change in fund balance	$	-	$	35,474	$	76,861	$	41,387			
	FUND BALANCE, BEGINNING (OCT 1, 2017)			369,901			369,901			369,901						
	FUND BALANCE, ENDING	$	369,901	$	405,375	$	446,762						

3

LIVE OAK NO. 2											Agenda Page 15		
								Series 2016 Debt Service Fund		
Community Development District										
															
							Statement of Revenues, Expenditures and Changes in Fund Balances						
								For the Period Ending July 31, 2018									
											ANNUAL												
											ADOPTED		YEAR TO DATE		YEAR TO DATE		VARIANCE ($)		
				ACCOUNT DESCRIPTION			BUDGET			BUDGET			ACTUAL			FAV(UNFAV)		
		REVENUES																
			Interest - Investments	$	-	$	-	$	859	$	859			
			Special Assmnts- Tax Collector			600,454			600,454			600,455			1			
			Special Assmnts- Discounts			(24,018)			(24,018)			(22,891)			1,127			
																
	TOTAL REVENUES			576,436			576,436			578,423			1,987			
	EXPENDITURES															
																						
			Administration															
																					
			Misc-Assessmnt Collection Cost			12,009			12,009			11,557			452			
		Total Administration			12,009			12,009			11,557			452			
		Debt Service															
																				
			Principal Debt Retirement			315,000			315,000			315,000			-			
			Principal Prepayments			-			-			5,000			(5,000)			
			Interest Expense			238,324			238,324			238,324			-			
			Total Debt Service			553,324			553,324			558,324			(5,000)			
																	
		TOTAL EXPENDITURES			565,333			565,333			569,881			(4,548)			
			Excess (deficiency) of revenues															
			Over (under) expenditures			11,103			11,103			8,542			(2,561)			
		OTHER FINANCING SOURCES (USES)																
																		
			Contribution to (Use of) Fund Balance			11,103			-			-			-			
																	
		TOTAL FINANCING SOURCES (USES)			11,103			-			-			-			
	Net change in fund balance	$	11,103	$	11,103	$	8,542	$	(2,561)			
		FUND BALANCE, BEGINNING (OCT 1, 2017)			442,873			442,873			442,873						
	FUND BALANCE, ENDING	$	453,976	$	453,976	$	451,415						

4

Agenda Page 16

LIVE OAK NO. 2
Community Development District

Supporting Schedules

July 31, 2018

LIVE OAK NO. 2	Agenda Page 17

Community Development District

Non-Ad Valorem Special Assessments (Hillsborough County Tax Collector - Monthly Collection Distributions) For the Fiscal Year Ending September 30, 2018

												ALLOCATION BY FUND	
				Discount /						Gross					
Date		Net Amount		(Penalties)		Tax Coll	Prop Appr		Amount		General	Debt Service	
Received		Rcv'd		Amount		Cost		Cost		Received		Fund	Fund**	
Assessments Levied FY '18								$856,502		$256,048	$	600,454	
Allocation %										100%		30%		70%	
11/07/17	$	7,749	$	400	$	158	$	-	$	8,307	$	2,483	$	5,824	
11/16/17		41,807		1,777		853		-		44,438		13,285		31,153	
11/24/17		154,611		6,574		3,155		-		164,340		49,129		115,211	
12/11/17		494,009		21,003		10,082		-		525,094		156,975		368,119	
12/15/17		42,293		1,474		863		-		44,631		13,342		31,288	
01/10/18		21,970		1,082		448		-		23,500		7,025		16,475	
02/08/18		11,936		285		244		-		12,464		3,726		8,738	
03/06/18		5,625		58		115		-		5,797		1,733		4,064	
04/06/18		12,319		-		251		-		12,570		3,758		8,812	
05/08/18		1,153		-		24		-		1,176		352		825	
06/08/18		4,071		-		-		86		4,157		1,243		2,914	
06/15/18		9,823		-		-		207		10,029		2,998		7,031	
															
TOTAL	$	807,366	$	32,653	$	16,193	$	292	$	856,504	$	256,049	$	600,455	
															
% COLLECTED										100%		100%		100%	
															
TOTAL O/S									$	(2)	$	(1)	$	(1)	

5

														Agenda Page 18		
	LIVE OAK NO. 2														All Funds		
	Community Development District																
																				
					Cash and Investment Report													
						July 31, 2018													
																				
	General Fund																			
	Account Name		Bank Name		Investment Type	Maturity		Yield				Balance		
																					
	Checking Account-Operating		SunTrust	Checking Account	n/a	0.00%			$112,912  (1)		
	Certificate of Deposit	Florida Community Bank	12 MO CD - #2700	01/17/19		0.45%			101,025				
	MMA-0186		BankUnited	Money Market Account	n/a	0.78%			238,070				
											Total-GF							
														$452,007				
																				
	Debt Service Funds																			
	Account Name		Bank Name		Investment Type	Maturity		Yield				Balance		
																					
	Series 2016 Reserve Fund		US Bank	US Bank Open Ended CP	03/01/19		0.00%			276,057				
	Series 2016 Revenue Fund		US Bank	US Bank Open Ended CP	03/01/19		0.00%	(2)	164,810				
											Total-DS							
														$440,866				
												Total							
															$892,874				

Note (1) - Transferring $10K to the debt service in July.

6

Live Oak No. 2 CDD	Agenda Page 19	
Bank Reconciliation			
Bank Account No.	9534	SunTrust Bank N.A. - GF	
Statement No.	07-18		
Statement Date	7/31/2018		

G/L Balance (LCY)	112,911.75	Statement Balance	116,402.61				
	G/L Balance	112,911.75	Outstanding Deposits	0.00				
Positive Adjustments	0.00		Subtotal						
				116,402.61				

	Subtotal	112,911.75	Outstanding Checks	3,490.86				
Negative Adjustments	0.00		Differences	0.00				
Ending G/L Balance				Ending Balance						
	112,911.75		112,911.75				
	Difference	0.00								
Posting	Document	Document				Cleared			
Date	Type	No.	Description	Amount	Amount	Difference		
Outstanding Checks										
4/6/2018	Payment	003651		CREATIVE MAILBOX & SIGN DESIGNS	242.50	0.00	242.50		
7/27/2018	Payment	003693		INFRAMARK, LLC	3,248.36	0.00	3,248.36		
Total Outstanding Checks......................................................................................................................	3,490.86		3,490.86		

7

Agenda Page 20

								LIVE OAK NO. 2					
						Community Development District				
													
							Payment Register by Fund					
							For the Period from 06/1/2018 to 07/31/2018					
							(Sorted by Check / ACH No.)					
														
	Fund	Check /	Date		Payee		Invoice No.		Payment Description	Invoice / GL Description	G/L Account #	Amount		
	No.	ACH No.										Paid		

	GENERAL FUND - 001										
001	003671	06/01/18	AMERICAN ECOSYSTEMS, INC	1806212		WATER MGMT SVC JUNE 2018	Contracts-Lakes	534084-53901	$1,383.00		
001	003672	06/01/18	LANDSCAPE MAINTENANCE	133739		GRNDS MAINT JUNE 2018	Contracts-Landscape	534050-53901	$3,686.50		
001	003673	06/01/18	TIMES PUBLISHING	637734		BOARD CANDIDATES NOTICE	Legal Advertising	548002-51301	$259.00		
001	003674	06/06/18	INFRAMARK, LLC	30717		5/18 MANAGEMENT FEES	ProfServ-Mgmt Consulting Serv	531027-51201	$3,237.50		
001	003674	06/06/18	INFRAMARK, LLC	30717		5/18 MANAGEMENT FEES	Postage and Freight	541006-51301	$2.82		
001	003674	06/06/18	INFRAMARK, LLC	30717		5/18 MANAGEMENT FEES	Printing and Binding	547001-51301	$3.80		
001	003675	06/08/18	STRALEY &  ROBIN	15792		GEN MATTERS THRU MAY 2018	ProfServ-Legal Services	531023-51401	$135.00		
001	003676	06/14/18	FED EX	6-203-52801		JUNE POSTAGE	Postage and Freight	541006-51301	$22.30		
001	003677	06/15/18	BERGER TOOMBS ELAM	02116508		AUDIT SVC 9/30/17	Auditing Services	532002-51301	$3,500.00		
001	003678	06/15/18	DRIGGERS ENGINEERING SERVICE		TL12184		ENG'G SVC THRU MAY 2018	ProfServ-Engineering	531013-51501	$250.00		
001	003679	06/19/18	STRALEY &  ROBIN	15685		GEN MATTERS THRU APRIL 2018	ProfServ-Legal Services	531023-51401	$90.00		
001	003680	06/21/18	KING ENGINEERING ASSOCIATES, I	101877		ENGINEER SERVICE MAY 2018	ProfServ-Engineering	531013-51501	$2,446.50		
001	003680	06/21/18	KING ENGINEERING ASSOCIATES, I		CM101877		TO CORRECT AMOUNT OF INV	ProfServ-Engineering	531013-51501	($232.50)		
001	003682	06/25/18	INFRAMARK, LLC	31366		VACTORED CATCH BASIN	Misc-Contingency	549900-53901	$650.00		
001	003683	06/26/18	INFRAMARK, LLC	31627		JUNE 18 MANAGEMENT FEES	ProfServ-Mgmt Consulting Serv	531027-51201	$3,237.50		
001	003683	06/26/18	INFRAMARK, LLC	31627		JUNE 18 MANAGEMENT FEES	Postage and Freight	541006-51301	$6.11		
001	003683	06/26/18	INFRAMARK, LLC	31627		JUNE 18 MANAGEMENT FEES	Printing and Binding	547001-51301	$14.00		
001	003684	06/27/18	DRIGGERS ENGINEERING SERVICE		TL12127		SOIL INSPECTION 4/13/18	ProfServ-Engineering	531013-51501	$250.00		
001	003685	06/29/18	LANDSCAPE MAINTENANCE	134886		TREE REMOVAL	Misc-Contingency	549900-53901	$300.00		
001	003686	07/06/18	AMERICAN ECOSYSTEMS, INC	1807315		WATER MANAGEMENT JULY 2018	Contracts-Lakes	534084-53901	$1,383.00		
001	003687	07/06/18	LANDSCAPE MAINTENANCE	134641		JULY 18 MONTHLY MAINTENANCE	Contracts-Landscape	534050-53901	$3,686.50		
001	003688	07/06/18	STRALEY &  ROBIN	15822		GEN MATTERS THRU JUNE 2018	ProfServ-Legal Services	531023-51401	$529.00		
001	003689	07/11/18	FED EX	6-232-43230		JUNE POSTAGE	Postage and Freight	541006-51301	$12.91		
001	003690	07/12/18	TAMPA BAY TIMES	648584-1		NOTICE OF MEETING 6/22/18	Legal Advertising	548002-51301	$684.00		
001	003690	07/12/18	TAMPA BAY TIMES	648584-2		NOTICE OF MEETING 6/29/18	Legal Advertising	548002-51301	$680.00		
001	003692	07/25/18	KING ENGINEERING ASSOCIATES, I	101966		ENG'G SVCS THRU JUNE 2018	ProfServ-Engineering	531013-51501	$1,099.50		
001	003693	07/27/18	INFRAMARK, LLC	32391		JULY 2018 MGMT FEES	ProfServ-Mgmt Consulting Serv	531027-51201	$3,237.50		
001	003693	07/27/18	INFRAMARK, LLC	32391		JULY 2018 MGMT FEES	Postage and Freight	541006-51301	$6.11		
001	003693	07/27/18	INFRAMARK, LLC	32391		JULY 2018 MGMT FEES	Printing and Binding	547001-51301	$4.75		
001	252	07/24/18	LIVE OAK NO. 2 CDD	071818-0186		TRFR FNDS TO CHECKING - 9534	Due From Other Funds	131000	$100,000.00		

8

Agenda Page 21

								LIVE OAK NO. 2					
						Community Development District				
													
							Payment Register by Fund					
							For the Period from 06/1/2018 to 07/31/2018					
							(Sorted by Check / ACH No.)					
														
	Fund	Check /	Date	Payee		Invoice No.		Payment Description	Invoice / GL Description	G/L Account #	Amount		
	No.	ACH No.									Paid		

														
											Fund Total	$130,564.80		
										
	SERIES 2016 DEBT SERVICE FUND - 202										
202	003681	06/21/18	LIVE OAK 2 U.S. BANK, NA- CDD	061418-2016		TRFR FY18 ASSESSMENTS	Due From Other Funds	131000	$8,636.18		
202	003691	07/24/18	LIVE OAK 2 U.S. BANK, NA- CDD		071318-2016   TRFR FY18 ASSESS TO US BANK	Due From Other Funds	131000	$10,548.60		
														
											Fund Total	$19,184.78		

											Total Checks Paid	$149,749.58		

9

Agenda Page 22

3C

Agenda Page 23

REBATE REPORT

Live Oak No. 2
Community Development District

$7,620,000

(Hillsborough County, Florida)

Special Assessment Bonds, Series 2016

Dated: March 17, 2016
Delivered: March 17, 2016

_____________________________________________________

Rebate Report to the Computation Date
March 17, 2021
Reflecting Activity To
March 31, 2018

AMTEC

Agenda Page 24

TABLE OF CONTENTS

AMTEC Opinion	3	
Summary of Rebate Computations	4	
Summary of Computational Information and Definitions	5	
Methodology	7	
Sources and Uses	8	
Proof of Arbitrage Yield	9	
Bond Debt Service	10	
Arbitrage Rebate Calculation Detail Report – Escrow Fund	11	
Arbitrage Rebate Calculation Detail Report – Debt Service Reserve Fund	12	
Arbitrage Rebate Calculation Detail Report – Capitalized Interest Fund	13	
Arbitrage Rebate Calculation Detail Report – Rebate Computation Credits	14	

	Agenda Page 25		
ll\AMTEC	90 Avon Meadow Lane		
	(F)  860 - 321 - 7581		
	Avon, CT  06001		
	(T)  860 - 321 - 7521		
-i ■■■ i-   American Municipal Tax - Exempt Compliance	www.amteccorp.com		

August 31, 2018

Mr. Alan J. Baldwin
Accounting Manager
Inframark
210 North University Drive, Suite 702
Coral Springs, FL 33071

Re:	Live Oak No. 2 Community Development District, $7,620,000 (Hillsborough County, Florida), Special Assessment Bonds, Series 2016

Dear Mr. Baldwin:

AMTEC has prepared certain computations relating to the above referenced bond issue (the “Bonds”) at the request of the Live Oak No. 2 Community Development District (the “District”).

The scope of our engagement consisted of preparing the computations shown in the attached schedules to determine the Rebatable Arbitrage as described in Section 103 of the Internal Revenue Code of 1954, Section 148(f) of the Internal Revenue Code of 1986 (the "Code"), as amended, and all applicable Regulations issued thereunder. The methodology used is consistent with current tax law and regulations and may be relied upon in determining the rebate liability. Certain computational methods used in the preparation of the schedules are described in the Summary of Computational Information and Definitions.

Our engagement was limited to the computation of Rebatable Arbitrage based upon the information furnished to us by the District. In accordance with the terms of our engagement, we did not audit the information provided to us, and we express no opinion as to the completeness, accuracy or suitability of such information for purposes of calculating the Rebatable Arbitrage.

We have scheduled our next Report as of March 31, 2019. Thank you for this engagement and should you have any questions, please do not hesitate to contact us.

Very truly yours,

Michael J. Scarfo
Senior Vice President

Trong M. Tran

Analyst

Agenda Page 26

SUMMARY OF REBATE COMPUTATIONS

Our computations, contained in the attached schedules, are summarized as follows:

For the March 17, 2021 Computation Date
Reflecting Activity from March 17, 2016 through March 31, 2018

Fund	Taxable	Net Income	Rebatable		
Description	Investment Yield		Arbitrage		
Escrow Fund	0.000000%	$  0.00	$	0.00		
Debt Service Reserve Fund	0.156963%	885.33	(21,655.73)		
Capitalized Interest Fund	0.101865%	79.83		(3,139.80)		
	Totals	$965.16	$(24,795.53)		
Bond Yield	Summary	3.530424%				
						
Taxable Investment Yield	0.150235%				
Rebatable Arbitrage		$(24,795.53)				
Rebate Computation Credits	(3,809.12)				
	Net Rebatable Arbitrage	$(28,604.65)				

Based upon our computations, no rebate liability exists.

4

Agenda Page 27

SUMMARY OF COMPUTATIONAL INFORMATION
AND DEFINITIONS

COMPUTATIONAL INFORMATION										
1.	For the purpose of computing Rebatable Arbitrage, investment activity is reflected from March 17,	
	2016, the date of the closing, to March 31, 2018, the Computation Period. All nonpurpose payments	
	and receipts are future valued to the Computation Date of March 17, 2021.					
2.	Computations of yield are based on a 360-day year and semiannual compounding on the last day of	
	each compounding interval.   Compounding intervals end on a day in the calendar year	
	corresponding to Bond maturity dates or six months prior.					
3.	For purposes of computing Rebatable Arbitrage, interest earnings and yield, the value of	
	investments, outstanding and subject to rebate at the end of the Computation Period, was as follows:	
													
		Debt Service Reserve Fund		Value	Accrued Interest		Totals		
		-- Balance		$276,545.03		$47.62	$276,592.65		
													
		Totals		$276,545.03		$47.62	$276,592.65		
													
4.	For investment cash flow, debt service and yield computation purposes, all payments and receipts	
	are assumed to be paid or received respectively, as shown on the attached schedules.	
5.	Purchase prices on investments are assumed to be at fair market value, representing an arm's length	
	transaction.										
6.	During the period between March 17, 2016 and March 31, 2018, the District made periodic	
	payments into the Interest Account and Sinking Fund that were used, along with the interest earned,	
	to provide the required debt service payments.								

Under Section 148(f) (4) (A), the rebate requirement does not apply to amounts in certain bona fide debt service funds. The Regulations define a bona fide debt service fund as one that is used primarily to achieve a proper matching of revenues with principal and interest payments within each bond year. The fund must be depleted at least once each bond year, except for a reasonable carryover amount not to exceed the greater of the earnings on the fund for the immediately preceding bond year or 1/12th of the principal and interest payments on the issue for the immediately preceding bond year.

We have reviewed the Interest Account and Sinking Fund and have determined that the funds deposited have functioned as a bona fide debt service fund and are not subject to the rebate requirement.

5

Agenda Page 28

DEFINITIONS

7.	Computation Date March 17, 2021.

8.	Computation Period

The period beginning on March 17, 2016, the date of the closing, and ending on March 31, 2018.

9.  Bond Year

Each one-year period (or shorter period from the date of issue) that ends at the close of business on the day in the calendar year that is selected by the Issuer. If no day is selected by the Issuer before the earlier of the final maturity date of the issue or the date that is five years after the date of issue, each bond year ends at the close of business on the anniversary date of the issuance.

10. Bond Yield

The discount rate that, when used in computing the present value of all the unconditionally payable payments of principal and interest with respect to the Bonds, produces an amount equal to the present value of the issue price of the Bonds. Present value is computed as of the date of issue of the Bonds.

11. Taxable Investment Yield

The discount rate that, when used in computing the present value of all receipts of principal and interest to be received on an investment during the Computation Period, produces an amount equal to the fair market value of the investment at the time it became a nonpurpose investment.

12. Issue Price

The price determined on the basis of the initial offering price at which price a substantial amount of the Bonds was sold.

13. Rebatable Arbitrage

The Code defines the required rebate as the excess of the amount earned on all nonpurpose investments over the amount that would have been earned if such nonpurpose investments were invested at the Bond Yield, plus any income attributable to the excess. Accordingly, the Regulations require that this amount be computed as the excess of the future value of all the nonpurpose receipts over the future value of all the nonpurpose payments. The future value is computed as of the Computation Date using the Bond Yield.

14. Funds and Accounts

The Funds and Accounts activity used in the compilation of this Report were received from the District and US Bank, Trustee, as follows:

Fund	Account Number	
Interest	230706001	
Debt Service Reserve	230706003	
Sinking	230706004	

6

Agenda Page 29

METHODOLOGY

Bond Yield

The methodology used to calculate the bond yield was to determine the discount rate that produces the present value of all payments of principal and interest through the maturity date of the Bonds.

Investment Yield and Rebate Amount

The methodology used to calculate the Rebatable Arbitrage, as of March 31, 2018, was to calculate the future value of the disbursements from all funds, subject to rebate, and the value of the remaining bond proceeds, at the yield on the Bonds, to March 17, 2021. This figure was then compared to the future value of the deposit of bond proceeds into the various investment accounts at the same yield. The difference between the future values of the two cash flows, on March 17, 2021, is the Rebatable Arbitrage.

7

Agenda Page 30

Live Oak No. 2 Community Development District
$7,620,000
(Hillsborough County, Florida)
Special Assessment Bonds, Series 2016
Delivered: March 17, 2006

Sources of Funds

Par Amount	$7,620,000.00	
Original Issue Discount	-2,958.40	
Monies from Prior 2004 Bonds	888,964.81	
Total	$8,506,006.41	
Uses of Funds		
Escrow Fund	$7,826,787.75	
Debt Service Reserve Fund	276,538.76	
Capitalized Interest Fund	149,939.89	
Costs of Issuance	138,440.01	
Underwriter’s Discount	114,300.00	
Total	$8,506,006.41	

8

Agenda Page 31

Prepared by AMTEC	(Finance 7.017)

PROOF OF ARBITRAGE YIELD

Live Oak No. 2 Community Development District

$7,620,000

(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

				Present Value	
				to 03/17/2016	
	Date	Debt Service	@ 3.5304237975%	
							
05/01/2016	30,041.76		29,913.54		
11/01/2016	122,898.13		120,250.89		
05/01/2017	432,898.13		416,226.20		
11/01/2017	119,410.63	112,820.33	
05/01/2018	434,410.63		403,316.01		
11/01/2018	115,866.88	105,707.30		
05/01/2019	440,866.88		395,233.56		
11/01/2019	112,210.63	98,850.98		
05/01/2020	442,210.63		382,804.32		
11/01/2020	108,498.13		92,293.38		
05/01/2021	443,498.13		370,715.52		
11/01/2021	105,148.13		86,367.67		
05/01/2022	450,148.13		363,333.75		
11/01/2022	101,266.88		80,319.02		
05/01/2023	456,266.88		355,607.20		
11/01/2023	96,651.88		74,022.30		
05/01/2024	456,651.88		343,667.27		
11/01/2024	91,701.88		67,815.95		
05/01/2025	466,701.88		339,151.54		
11/01/2025	85,842.50		61,299.55		
05/01/2026	470,842.50		330,393.29		
11/01/2026	79,682.50		54,943.86		
05/01/2027	479,682.50		325,020.50		
11/01/2027	73,082.50		48,659.87		
05/01/2028	483,082.50		316,067.25		
11/01/2028	65,497.50		42,109.84		
05/01/2029	495,497.50		313,040.82		
11/01/2029	57,542.50		35,723.08		
05/01/2030	502,542.50		306,572.80		
11/01/2030	49,310.00		29,559.46		
05/01/2031	509,310.00		300,015.95		
11/01/2031	40,800.00		23,616.90		
05/01/2032	520,800.00		296,233.68		
11/01/2032	31,200.00		17,438.89		
05/01/2033	531,200.00		291,758.05		
11/01/2033	21,200.00		11,441.98	
05/01/2034	541,200.00		287,027.75		
11/01/2034	10,800.00		5,628.47		
05/01/2035	550,800.00		282,072.89		
							
		10,627,263.10		7,617,041.60		

		Proceeds Summary	
Delivery date			03/17/2016			
Par Value			7,620,000.00			
Premium (Discount)			-2,958.40			
					
Target for yield calculation	7,617,041.60			

9

Agenda Page 32

Prepared by AMTEC	(Finance 7.017)

BOND DEBT SERVICE

Live Oak No. 2 Community Development District

$7,620,000

(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

			Dated Date	03/17/2016				
			Delivery Date	03/17/2016				
	Period					Annual	
	Ending	Principal	Coupon	Interest	Debt Service	Debt Service	
								
03/17/2016							
05/01/2016			30,041.76	30,041.76	30,041.76		
11/01/2016			122,898.13	122,898.13			
05/01/2017	310,000	2.250%	122,898.13	432,898.13	555,796.26		
11/01/2017			119,410.63	119,410.63			
05/01/2018	315,000	2.250%	119,410.63	434,410.63	553,821.26		
11/01/2018			115,866.88	115,866.88			
05/01/2019	325,000	2.250%	115,866.88	440,866.88	556,733.76		
11/01/2019			112,210.63	112,210.63			
05/01/2020	330,000	2.250%	112,210.63	442,210.63	554,421.26		
11/01/2020			108,498.13	108,498.13			
05/01/2021	335,000	2.000%	108,498.13	443,498.13	551,996.26		
11/01/2021			105,148.13	105,148.13			
05/01/2022	345,000	2.250%	105,148.13	450,148.13	555,296.26		
11/01/2022			101,266.88	101,266.88			
05/01/2023	355,000	2.600%	101,266.88	456,266.88	557,533.76		
11/01/2023			96,651.88	96,651.88			
05/01/2024	360,000	2.750%	96,651.88	456,651.88	553,303.76		
11/01/2024			91,701.88	91,701.88			
05/01/2025	375,000	3.125%	91,701.88	466,701.88	558,403.76		
11/01/2025			85,842.50	85,842.50			
05/01/2026	385,000	3.200%	85,842.50	470,842.50	556,685.00		
11/01/2026			79,682.50	79,682.50			
05/01/2027	400,000	3.300%	79,682.50	479,682.50	559,365.00		
11/01/2027			73,082.50	73,082.50			
05/01/2028	410,000	3.700%	73,082.50	483,082.50	556,165.00		
11/01/2028			65,497.50	65,497.50			
05/01/2029	430,000	3.700%	65,497.50	495,497.50	560,995.00		
11/01/2029			57,542.50	57,542.50			
05/01/2030	445,000	3.700%	57,542.50	502,542.50	560,085.00		
11/01/2030			49,310.00	49,310.00			
05/01/2031	460,000	3.700%	49,310.00	509,310.00	558,620.00		
11/01/2031			40,800.00	40,800.00			
05/01/2032	480,000	4.000%	40,800.00	520,800.00	561,600.00		
11/01/2032			31,200.00	31,200.00			
05/01/2033	500,000	4.000%	31,200.00	531,200.00	562,400.00		
11/01/2033			21,200.00	21,200.00			
05/01/2034	520,000	4.000%	21,200.00	541,200.00	562,400.00		
11/01/2034			10,800.00	10,800.00			
05/01/2035	540,000	4.000%	10,800.00	550,800.00	561,600.00		
								
		7,620,000		3,007,263.10	10,627,263.10	10,627,263.10		

								

10

Agenda Page 33

Live Oak No. 2 Community Development District
$7,620,000
(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

Escrow Fund

ARBITRAGE REBATE CALCULATION
DETAIL REPORT

		RECEIPTS	FUTURE VALUE @		
DATE	DESCRIPTION		BOND YIELD OF		
		(PAYMENTS)	(3.530424%)		
03/17/16	Beg Bal	-7,826,787.75	-9,323,456.93		
03/17/16		7,826,787.75	9,323,456.93		
----------------------------------------------------------------
03/17/21  TOTALS:	0.00	0.00	
----------------------------------------------------------------

ISSUE DATE:	03/17/16	REBATABLE ARBITRAGE:	0.00	
COMP DATE:	03/17/21	NET INCOME:	0.00	
BOND YIELD:	3.530424%	TAX INV YIELD:	0.000000%	

11

Agenda Page 34

Live Oak No. 2 Community Development District
$7,620,000
(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

Debt Service Reserve Fund

ARBITRAGE REBATE CALCULATION
DETAIL REPORT

		RECEIPTS	FUTURE VALUE @		
DATE	DESCRIPTION		BOND YIELD OF		
		(PAYMENTS)	(3.530424%)		
03/17/16	Beg Bal	-276,538.76	-329,419.59		
11/01/16		128.32	149.57		
11/01/17	DSRF Bal	703.12	791.35		
03/31/18		276,545.03	306,770.13		
03/31/18	DSRF Acc	47.62	52.82		
----------------------------------------------------------------
03/17/21  TOTALS:	885.33	-21,655.73	
----------------------------------------------------------------

ISSUE DATE:	03/17/16	REBATABLE ARBITRAGE:	-21,655.73	
COMP DATE:	03/17/21	NET INCOME:	885.33	
BOND YIELD:	3.530424%	TAX INV YIELD:	0.156963%	

12

Agenda Page 35

Live Oak No. 2 Community Development District
$7,620,000
(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

Capitalized Interest Fund

ARBITRAGE REBATE CALCULATION
DETAIL REPORT

		RECEIPTS	FUTURE VALUE @		
DATE	DESCRIPTION		BOND YIELD OF		
		(PAYMENTS)	(3.530424%)		
03/17/16	Beg Bal	-149,939.89	-178,611.99		
05/02/16		30,041.76	35,630.26		
11/01/16		-2,930.17	-3,415.30		
11/01/16		122,898.13	143,245.74		
03/31/17		10.00	11.49		
----------------------------------------------------------------
03/17/21  TOTALS:	79.83	-3,139.80	
----------------------------------------------------------------

ISSUE DATE:	03/17/16	REBATABLE ARBITRAGE:	-3,139.80	
COMP DATE:	03/17/21	NET INCOME:	79.83	
BOND YIELD:	3.530424%	TAX INV YIELD:	0.101865%	

13

Agenda Page 36

Live Oak No. 2 Community Development District
$7,620,000
(Hillsborough County, Florida)

Special Assessment Refunding Bonds, Series 2016

Rebate Computation Credits

ARBITRAGE REBATE CALCULATION
DETAIL REPORT

		RECEIPTS	FUTURE VALUE @		
DATE	DESCRIPTION		BOND YIELD OF		
		(PAYMENTS)	(3.530424%)		
03/17/17		-1,670.00	-1,920.93		
03/17/18		-1,700.00	-1,888.19		
----------------------------------------------------------------
03/17/21  TOTALS:	-3,370.00	-3,809.12	
----------------------------------------------------------------

ISSUE DATE:	03/17/16	REBATABLE ARBITRAGE:	-3,809.12
COMP DATE:	03/17/21

BOND YIELD:	3.530424%

14

Agenda Page 37

Fourth Order of Business

Agenda Page 38

4Ai.

Agenda Page 39

Live Oak No 2

Community Development District

2018/2019 Insurance Proposal

Robin Faircloth

Public Risk Insurance Agency

P O Box 2416
Daytona Beach, FL 32115
Phone: 386-252-6176
Fax: 386-239-4049

B.[own	PRIA

--nr~vn

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage40

PUBLIC RISK INSURANCE AGENCY
TABLE OF CONTENTS

Overview	1	
The Agency of Public Risk Insurance Agency
An Introduction to Your Service Team
Preferred Governmental Insurance Trust

Preferred Board of Trustees and Risk Advisory Members

Claims Services & Safety and Risk Management Services

General Liability	2	
Automobile Liability	3	
Public Officials & Employment Practices Liability	4	
Broker Recommendation/Premium Recapitulation	5	
Notes of Importance
Compensation Disclosures
Carrier Financial Status
Guide to Best’s Ratings

Items Required Prior to Binding	6	
Acceptance of Proposal – Premium Recapitulation
Signed Acknowledgement of Non-Admitted Carrier Statement (if accepted)
Signed POL Application page (if accepted)

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage41

THE AGENCY

Risk Management Associates, Inc. dba Public Risk Insurance Agency (PRIA) has established itself as one of the premier insurance services organizations for public entities in the United States. Our in-depth understanding of the unique risk exposures and operating environment of public entities allows us to tailor insurance products and services to effectively meet their needs. As the only independent insurance agency solely dedicated to the public entity market, we are uniquely qualified to meet and exceed the expectations of our clients. Our 20 years of insuring local governments has afforded us significant experience and insight into the unique challenges and constraints that our clients face. PRIA currently represents over 250 public entities in Florida.

PRIA is a wholly owned subsidiary of Brown & Brown, Inc. - the 6th largest independent insurance agency in the United States and 7th largest worldwide as ranked by Business Insurance Magazine. Brown & Brown brings the experience of representing hundreds of public entities nationally in addition to PRIA’s focus in Florida.

As a Brown & Brown company, PRIA has access to hundreds of insurance markets nationwide and in the international market. With premium volume exceeding $2,500,000,000 Brown & Brown’s volume results in a superior negotiating position and leverage with state specific, regional, national, and international insurers. The focus and experience of our team in all of these markets produces superior risk transfer options and risk control expertise for your entity.

PRIA develops customized and innovative approaches towards effectively managing your risk. Cost effective insurance products, professional service, and commitment to client’s needs are our primary goals. Proof of account satisfaction is reflected by a 97% business retention rate.

To fully serve our clientele, Public Risk Insurance Agency can offer coverage for other exposures such as:

Bonds	Accidental Death & Dismemberment
Fiduciary Liability	Special Events
Primary and Excess Flood	Airport Liability
Workers’ Compensation	Aboveground & Underground Petroleum Tank Liability
Environmental Liability

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage42 AN INTRODUCTION TO YOUR SERVICE TEAM

Account Executives

	Matt Montgomery			(386) 239-7245				mmontgomery@bbpria.com			
	Executive Vice President										

	Robin Faircloth, CISR, CSRM			(386) 239-4044				rfaircloth@bbpria.com			
	Director of Operations										

	Paul Dawson, ARM-P			(386) 239-4045				pdawson@bbpria.com			
	Senior Vice President / Account Executive										

	Michelle Martin, CIC			(386) 239-4047				mmartin@bbpria.com			
	Vice President / Account Executive										

	Brian Cottrell, CIC, CRM			(386) 239-4060				bcottrell@bbpria.com			
	Vice President / Account Executive										

	Kyle Stoekel			(386) 944-5805				kstoekel@bbpria.com			
	Account Executive										

	Michelle Perry			(386) 333-6047				mperry@bbpria.com			
	Account Executive										

	Service Representatives									
											
	Brittany O’Brien, CIC, CRM			(386) 239-8823				bobrien@bbpria.com			
	Risk Management Department Leader										

	Melody Blake, ACSR			(386) 239-4050				mblake@bbpria.com			
	Account Representative										

	Patricia Jenkins, CPSR			(386) 239-4042				pjenkins@bbpria.com			
	Account Representative										

	Karen Bryan			(386) 239-4056				kbryan@bbpria.com			
	Account Representative										

	Linda Burtchett			(386) 239-4043				lburtchett@bbpria.com			
	Account Representative										

	Danielle Coggon, CISR			(386) 239-4048				dcoggon@bbpria.com			
	Account Representative										

	Christina Carter, CIC			(386) 333-6069				ccarter@bbpria.com			
	Account Representative										

	Alexa Gray			(386) 239-4040				agray@bbpria.com			
	Assistant Account Representative										

Certificate Requests: certificates@bbpria.com Claim Reporting: claims@bbpria.com

Our Service Team philosophy focuses on accountability at all levels of account management. Our goal is not simply to meet your service needs, but to exceed them. All of the employees at PRIA are dedicated to achieving this goal and distinguishing ourselves from the competition.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage43

PREFERRED GOVERNMENTAL INSURANCE TRUST (Preferred)

OVERVIEW

Several hundred members and millions in premiums prove that the Preferred Governmental Insurance Trust® fulfills what Florida needs: an insurance program exclusively customized and dedicated to the public sector. Preferred stays on the forefront of specialized insurance for property, casualty and workers’ compensation because it is non-profit and self-governed with a membership comprised solely of Florida public entities.

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The Power of Groups and People

What does a specialized insurance trust do for you? In the case of Preferred, it gives you the purchasing power of a very large trust with billions of covered property values—far more financial negotiating power than a single public entity can muster. As a Preferred member, you are part of a formidable Florida insurance trust.

The trust also transfers risks from any one public entity to the larger group. This provides all members of the trust better rating structures with less volatility. Preferred’s sole focus on government ensures that members’ unique needs are met.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage44

Underwriting and Administration
Behind Preferred’s underwriting platform are decades of success built on integrity and market relationships. Our team of underwriters’ vast insurance expertise enhances the actuarial and scientific data used to underwrite individual risks within the trust. Services delivered are both broad and precise. Reliability is assured. The administrator for Preferred is Public Risk Underwriters of Florida, Inc.® (PRU), Florida’s premier public entity specialist of its kind. Preferred’s claims administrator is PGCS Claim Services. With more than 25 years in claims experience, PGCS is Florida’s foremost governmental third-party administration company.
lfffil	nderwriters of Florida	Pr~rr!d®		
	Public			
	Risk			
i nsurance Sollltions fo r Public Entities	INSURANCE TRUST	Claim Services	

Underwriting Highlights

•	Diverse risk financing options: guaranteed cost, deductible, self-insured retention, all lines aggregate

•	Competitive premium discounts based on favorable experience and sound safety practices

•	Flexibility of coverage design, including mono-line or package basis

•	Dynamic financial analysis conducted periodically to validate the trust’s superior financial standing

Administration

•	General counsel, defense counsel and litigation services by specialists in governmental law

•	Membership relations for networking and professional development

•	Legislative Pulse newsletter from Tallahassee-based law firm

•	Professional marketing that guarantees local agent support, governmental knowledge and an ever-growing group of members

•	Preferred News—a quarterly publication covering the spectrum of government insurance issues

•	State filing, accounting and independent CPA audited financials as needed

Preferred’s Expert Boards Know Your Business

Preferred is governed and guided by people working daily in all segments of Florida’s public sector – from municipalities to counties to schools to special taxing districts.

The Board of Trustees is comprised of elected public officials who work wisely and diligently to set policy, keeping Preferred as the premier public entity insurer of its kind.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage45

Preferred Governmental Insurance Trust

					Board of Trustees						
											
	Dwight E. “Ed” Wolf, II				Chair				City of Wildwood			
									Mayor			

	Chris Hoffman				Vice Chair				City of Jacksonville Beach			
									Commissioner			

	Kathy Bryant				Secretary				Marin County			
									Commissioner			

	Charles Walsey				Trustee				Cypress Grove, CDD			
									Chairman			

	Fred Hawkins, Jr.				Trustee				Osceola County			
									Commissioner			

	Gary Bruhn				Trustee				Town of Windermere			
									Mayor			

	Tim Sullivan				Trustee				Lake County			
									Commissioner			

	Brett Lowry				Trustee				City of Port St. Joe			
									Commissioner			

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage46 PREFERRED CLAIMS ADMINISTRATION

Preferred Governmental Claim Solutions, Inc. ® (PGCS) is the premier governmental third party claims administrator in the state of Florida and also administers the claims for Preferred Governmental Insurance Trust (Preferred). Since its founding in 1956, PGCS has provided claims administration services exclusively to over 450 governmental entities including schools, cities, towns, counties, community development districts, and fire districts. Therefore, PGCS’s adjusters are extremely qualified to handle governmental tort liability and public sector workers’ compensation claims. They are experts at investigating and handling police and firefighters presumption claims. PGCS is sensitive to the politics involved in the handling of public entity claims.

PGCS’s claims administration program consists of workers’ compensation, general liability, bodily injury, personal injury, property, auto liability, auto physical damage, employment practices liability, school leaders/educators liability and public officials liability. Their claims staff has over 630 years of combined insurance experience and each has been with PGCS an average of 8 years. Claims are handled under strict supervision in accordance with the PGCS workers’ compensation and liability claim handling procedure manuals and the PGCS claim best practices manual. A random sampling of each adjuster’s claim files are audited on a monthly basis by a Quality Assurance Manager to ensure compliance.

PGCS provides their clients with a dedicated Subrogation Unit to pursue reimbursements from at-fault third parties. Their current recovery rate is fifty-nine (59) percent of the claim costs expended. PGCS also has a dedicated excess reporting and recovery unit for communication to and securing reimbursement from the excess and/or reinsurance carriers. In addition, PGCS provides a state-approved Special Investigation Unit (SIU) to prevent and pursue fraudulent claims. PGCS offers rewards up to $10,000.00 for the arrest and conviction of persons committing workers’ compensation fraud. This service is provided via a twenty-four hour seven day a week hotline.

PGCS utilizes the RiskMaster system for claims processing. This system captures a wide variety of data, and allows the adjuster to enter an unlimited number of claim notes, process reserve changes, and issue claim payments. Customized reports can be obtained from PGCS’s on-line system containing a multitude of data parameters that a client may choose to analyze. The system can be accessed by clients via their website at www.pgcs-tpa.com.

Communication with PGCS’s clients is the cornerstone of their claims administration program. Professional adjusters, nurses, management, quarterly in-depth claim review meetings, 24/7 claim reporting, utilization of attorneys specializing in public entity defense, litigation management, and return to work programs are just a sample of how PGCS has set the standard for the industry.

PGCS is committed to partnering with their clients to provide professional and aggressive claim management programs. While they are recognized as the leader in the industry, PGCS is always striving to improve the quality of their programs and expand the services that they offer.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage47 PREFERRED SAFETY AND RISK MANAGEMENT SERVICES

The success of any public sector community is clearly tied to its ability to protect and preserve its human physical assets. This basic premise serves as the cornerstone of an effective Safety Management program and underscores the importance of Risk Control to the community. Preferred’s Safety and Risk Management Department is very aware of the valuable contribution a comprehensive risk control program makes to the bottom-line of any organization.

At Preferred, Safety consultations originate with one basic thought—Specific measures can be recommended to minimize or eliminate the exposures that cause accidents. This does not mean that the workplace become no-risk utopias, but we expect our consultants to recommend measures to control/minimize all types of accidents, injuries and illnesses to our Preferred clients’ operations and premises.

Stressing our problem solving skills… Preferred is dedicated to meeting the challenge of the complex problems facing public sector organizations…disarming these problems and converting them into factors, which work to the advantage of our clients. Our emphasis approach to risk control incorporates the following elements:

•	Exposure Identification – Assist management in determining areas where a chance of loss might exist.

•	Exposure Measurement and Analysis – Loss analysis and a review of the consequences of the exposures will be considered to develop alternative methods of control.

•	Determination and Selection of Appropriate Risk Control Methods – Based on measurement and analysis and after considering alternative approaches, specific recommendations and/or a custom design Risk Control plan will be formulated.

•	Training and Safety Management Consulting – After considering client needs specific training will be formulated and initiated to fit that need. Key personnel will be provided with the basic knowledge and skills they need to meet those identified needs. Program monitoring is accomplished through follow-up surveys with adjustments to the action plan made as needed. Specialty consulting services are available if necessary.

Preferred’s Safety and Risk Management Department evaluates the unique needs to each client, ultimately designing a program that is capable of being integrated into the overall risk control efforts of each client. Our management system’s direction to the problem solving approach is the foundation of our Safety and Risk Management Service.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

					Agenda Page 48		
					LIVE OAK No 2 COMMUNITY DEVELOPMENT DISTRICT		
					GENERAL LIABILITY		
	Term:	October 1, 2018 to October 1, 2019		
					Preferred Governmental Insurance Trust (Preferred)		
	Company:			
	Form:		Occurrence		
						
	Limits of Liability:			

General Liability

Bodily Injury and Property Damage	$1,000,000 per Occurrence

Personal Injury and Advertising Injury	Included per Person or Organization

Products / Completed Operation Agg	Included	
Fire Damage	Included	
Medical Payments	$5,000	
Employee Benefits Liability	$1,000,000 per Occurrence	
Deductible:	$0 per Occurrence	

Coverage:	10.	Vicarious Law Enforcement Liability with a		
1.		EMT/Paramedic Professional Services				
2.	Premises Operations		sublimit of $1,000,000.		
3.	“Insured” Contracts	11.	Principle  of  Eminent  Domain  Including		
4.	Host Liquor Liability		Inverse  Condemnation,  claims  brought		
5.	Broad Form Property Damage Subject to		under  the  “Bert  J.  Harris,  Jr.,  Private		
	$2,500 Personal Property of Others Sublimit		Property Rights Protection Act” $100,000		
6.	Watercraft Liability (under 52 feet). See		per Occurrence / Annual Aggregate.		
	policy form for limitations	12.	Sewer Backup and Water Damage with a		
7.	Limited Worldwide Coverage		sublimit  of  $10,000/$200,000  for  non-		
8.	Additional Covered Party		negligent claims and $200,000/$200,000 for		
9.	Failure to Supply Water		negligent claims.		
			13.	Herbicide  and  Pesticide  Sublimit  of		
				$1,000,000 or GL Limit, whichever is less.		

Notes of Importance:
1.	Premium is not audited.
2.	Defense Costs are paid in addition to policy limits.
3.	In the event that an occurrence, accident or offense continues beyond the policy period, the applicable deductible would apply separately to each policy period in which the occurrence, accident or offense was committed or was alleged to have been committed.
4.	Limits of Liability are subject to Florida Statute 768.28.
5.	Deductible does not apply to claims expense.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage49

GENERAL LIABILITY

Exclusions, but not limited to:

•	Expected or intended injury

•	Contractual Liability

•	Liquor Liability

•	Workers’ Compensation and similar laws

•	Employer’s Liability

•	Pollution

•	Aircraft, Auto or Watercraft

•	Mobile Equipment

•	War

•	Damage to Your Property, Product or Work

•	Damage to Impaired Property or Property Not Physically Injured

•	Recall of Products, Work or Impaired Property

•	Racketeering

•	Law Enforcement, except for vicarious liability arising out of an act or omission by a law enforcement agency that is not owned, operated or controlled by the “Covered party” if there is a contract with an outside agency to provide law enforcement for your entity.

•	Asbestos, Mold, Fungi, or Bacteria

•	Liability arising out of or caused or contributed to by any ownership, maintenance, operation, use, loading, unloading or control of or responsibility for any airfield, airport, aircraft, runway, hangar, building or other property or facility designed for, used, connected, associated or affiliated with or in any way related to aviation or aviation activities; this exclusion does not apply to premises exposure for those common areas open to the public including but not limited to parking areas, sidewalks, and terminal buildings.

•	Failure or inability to supply or any interruption of any adequate quantity of power, steam, pressure, or fuel

•	Subsidence, erosion or earth movement.

•	Hospital / Clinic Medical Malpractice or Health Care Facilities

•	Professional Health Care Services, but not including emergency medical services for first aid performed by emergency medical technicians, paramedics or Medical Director while in the course and scope of their duties.

•	ERISA

•	Actual or alleged illegal discrimination

•	Injunctive, declaratory or equitable relief

•	Actual or alleged deterioration, bursting breaking, leaking, inadequacy, design of, control of, maintenance of, or any other alleged responsibility for any structure device, or water course, natural or man-made, including, but not limited to: dams, reservoirs, levees, banks, embankments, gates, canals, ditches, gutters, sewers, aqueducts, channels, culvert, retaining walls, drains, tanks, watershed, or drains, a purpose of which is the containing, carrying, impeding, channeling, diverting, or draining of water or other liquid. Does not apply only as to the bursting or failure of man-made sewer, storm water, grey water or potable water supply pipes owned and maintained by Covered Party.

•	Sexual abuse after initial discover

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage50

AUTOMOBILE LIABILITY

Term:	October 1, 2018 to October 1, 2019		
					Preferred Governmental Insurance Trust (Preferred)		
Company:			
						
Limits of Liability:			
					
(Based on 00 Vehicles)			
Primary Bodily Injury and Property	$1,000,000 Any One Accident – Symbols 8, 9		
Damage Liability – Combined			
Personal Injury Protection	$10,000 – Statutory – Symbol 5		
Medical Payments	Not Included		
Uninsured Motorist	Rejected		
Liability Deductible:	$0 Each Accident		

Coverage and Notes of Importance:

1.	Defense Costs are paid in addition to policy limits.
2.	Hired and non-owned liability is included.
3.	Premium is based on number of vehicles and subject to adjustment if schedule is changed.
4.	Limits of Liability are subject to Florida Statute 768.28.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage51

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

Options Overview

			Preferred Governmental		Indian Harbor Insurance		
	Terms & Conditions		Insurance Trust		Co		
	Insuring Agreements						
	Limits						
	Public Officials Liability (POL)						
	Occurrence Limit	$1,000,000	$1,000,000		
	Aggregate Limit	$1,000,000	$1,000,000		
	Employment Practices Liability (EPL)						
	Occurrence Limit	$1,000,000	$1,000,000		
	Aggregate Limit	$1,000,000	$1,000,000		
	Cyber / Network Security / Privacy Liability	$2,000,000		Not Covered		
							
	Coverage Form		Claims Made		Claims Made		
	Retro-Date		None-Full Prior Acts		None- Full Prior Acts		
	Non-Monetary Coverage- DEFENSE ONLY						
	Each Claim	$100,000	$25,000		
	All Claims	$100,000	$50,000		
	Legal Expenses		Outside Limit /		Outside Limit /		
			Deductible does not apply		Deductible applies		
							
	Retentions		Each Claim		Each Claim		
	Public Officials	$0	$5,000		
	Non-Monetary Claims Defense	$0	$5,000		
	Employment Practices Liability	$0	$12,500		
	Premium		$2,812		$3,408		

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage52

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

OPTION 1 - INCUMBENT

Term:	October 1, 2018 to October 1, 2019		
										
Company:	Indian Harbor Insurance Company		
						(Rated A XV by A.M. Best)			
Limit of Liability:				

			Coverage:			Limit:		Retentions:		
			Policy Aggregate		$	1,000,000				
												
			Public Officials Management		$	1,000,000		$ 5,000		
											
			Employment Practices Liability		$	1,000,000		$12,500		
											
			Non-Monetary-Defense Only		$	25,000		$ 5,000		
										
			Non-Monetary-Defense Aggregate	$	50,000				
												
			Crisis Management		$	25,000		$ 5,000		
								
Form:	Claims Made			
						
Retroactive Date:	Full Prior Acts			

Terms and Conditions:

1.	Completed, signed and dated original application prior to binding
2.	25% Minimum Earned Premium
3.	Signed and dated Surplus Lines Non-Admitted Carrier Statement
4.	This insurance is issued pursuant to the Florida Surplus Lines Laws. Entities insured by surplus lines carriers do not have the protection of the Florida Insurance Guaranty Act to the extent of any right of recovery for the obligation of an insolvent, unlicensed insurer.

Public Officials Liability Notes of Importance:
1.	Defense costs are in addition to the policy limit.
2.	The SIR applies to the defense costs.
3.	Premium is not audited.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage53

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

OPTION 1 - INCUMBENT

Public Officials Liability Endorsements/Exclusions include but are not limited to:

Form Number	Edition Date	Description	
PN FL 10	2009-09-01	Florida Notice to Policyholders	
PGU POL 2000	2017-04-01	Public Officials and Employment Practices Liability Declarations	
IL MP 9104 0314 IHIO	2014-03-01	In Witness	
PGU 2002	2017-04-01	Schedule of Policy Forms and Endorsements	
PGU POL 2001	2017-04-01	Public Officials and Employment Practices Liability Insurance	
		Policy	
PUG 1007 (POL)	2017-04-01	Specific Person or Entity Exclusion	
PGU 1052 (POL)	2017-04-01	Minimum Earned Premium Upon Cancellation	
PGU POL 1110	2017-04-01	Community Development Districts-Additional Exclusions	
XL-FLSOP	2010-11-01	Service of Process	
PN FL 03	2015-10-01	Florida Notice to Policyholders	
PN CW 01	2015-09-01	Notice to Policyholders – Fraud Notice	
PN CW 02	2015-10-01	Notice to Policyholders – Privacy Policy	
PN CW 05	2014-09-01	Notice to Policyholders – U.S. Treasury Department’s Office of	
		Foreign	

Claims Made Policy:
When a policy is on a claims-made basis, coverage triggers based on the actual filing date or receipt of the claim, in addition to the date of loss or injury. It handles any insured loss or claim filed during the policy period, regardless of when the actual loss or injury occurred, subject to the retroactive date on the declarations. Claims-made coverage applies only to covered losses that occur after the retroactive date.

Extended Reporting Periods:
XL provides the following Extended Reporting Periods options in the event coverage is cancelled or non-renewed:

Basic Extended Reporting Period – continued coverage granted for a period of 60 days following the effective date of termination or nonrenewal, but only for Claims first made during the 60 days and arising from Wrongful Acts taking place prior to the effective date of the termination or nonrenewal.

Optional Extended Reporting Period – The Public Entity shall have the right to purchase an Optional Extended Reporting Period for up to 3 years following the effective date of the cancellation or nonrenewal, as shown below:

o	Option 1 – 75% for 1 Year Option 2 – 125% for 2 Years Option 3 – 150% for 3 Years

but only for Claims first made during the Optional Extended Reporting Period and arising from Wrongful Acts taking place prior to the effective date of the termination or nonrenewal.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage54

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

OPTION 2 - PREFERRED

Term:	October 1, 2018 to October 1, 2019		
						Preferred Governmental Insurance Trust (Preferred)		
Company:			
Form:		Claims Made – Duty to Defend		
							
Retroactive Date:	None-Full Prior Acts – POL and EPLI		
						10/01/2018 – Cyber Liability		
Coverage:	Pays damages the insured becomes legally obligated to pay		
						because of a “wrongful act” arising out of the discharge of		
						duties		
Limits of Liability:			
				
Public Officials Liability	$1,000,000 per Claim		
						$1,000,000 Annual Aggregate		
Employment Practices Liability	$1,000,000 per Claim		
						$1,000,000 Annual Aggregate		
Cyber Liability*	$2,000,000 each claim		
						$2,000,000 Aggregate for all Notification Costs		
						$2,000,000 Aggregate for all Regulatory Fines & Expenses		
						$250,000 Social Engineering Financial Fraud Sublimit		
						$250,000 PCI DSS Sublimit		

*Coverages included in Cyber Liability include the following:

•	Media Content Services•   First Party Business Interruption   •   Privacy

•   First Party Crisis Management	•   First Party Extortion Threat	•   Network Security	
Deductibles:			
				
Public Officials Liability	$0 per Claim		
Employment Practices Liability	$0 per Claim		
Cyber Liability	Same as Public Officials Liability Deductible	

Supplementary Payments:

1.	Employee pre-termination legal consultation services - $2,500 per employee/$5,000 aggregate.
2.	Non-Monetary claims defense costs subject to a $100,000 aggregate limit and the terms and conditions of the policy.
aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage55

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

OPTION 2 - PREFERRED

Notes of Importance:

1.	Defense Costs are paid in addition to policy limits.
2.	Deductible does not apply to claims expense.
3.	Broadened definition of “Who is an Insured.”
4.	Limits of Liability are subject to Florida Statute 768.28.

Exclusions, but not limited to:

•	Criminal Acts

•	Non-Monetary relief except as provided in the Supplementary Payments

•	Bodily Injury, Personal Injury, Property Damage, Advertising Injury

•	Damages arising out of Inverse Condemnation, Eminent Domain, Temporary or Permanent taking, Adverse Possession, Dedication by adverse Use, Condemnation Proceedings, or claims brought under Florida Statute 70.001 the “Bert J. Harris Jr., Private Property Rights Protection Act” or any similar claim by whatever named called.

•	War, Invasion, Acts of foreign enemies, hostiles or warlike operations, strike, lock-out, riot, civil war, rebellion, revolution, insurrection or civil commotion

•	Failure to effect and maintain insurance

•	Fiduciary Liability

•	Pollution

•	Workers’ Compensation, Employers Liability and similar laws

•	Nuclear

•	ERISA of 1974, any similar state or local laws, and any rules and regulations promulgated thereunder and amendments thereto.

•	Infringement of copyright, trademark, plagiarism, piracy or misappropriation of any ideas or other intellectual property

•	Contractual Liability

•	Health Care Professional or Health Care Facilities

•	Prior and Pending claims

•	Workers’ Adjustment and Retraining Notification Act, OSHA, RICO, or ADA

•	Law Enforcement Activities

•	Insured vs. Insured

•	Bonds, Taxes or Construction contracts

•	Collective Bargaining Agreements

•	Capital Improvement to make property more accessible or accommodating to disabled persons

•	Punitive Damages

•	Return or improper assessment of taxes, assessments, penalties, fines, fees

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage56

PUBLIC OFFICIALS LIABILITY
EMPLOYMENT PRACTICES LIABILITY

OPTION 2 - PREFERRED

Claims Made Policy:

When a policy is on a claims-made basis, coverage triggers based on the actual filing date or receipt of the claim, in addition to the date of loss or injury. It handles any insured loss or claim filed during the policy period, regardless of when the actual loss or injury occurred, subject to the retroactive date on the declarations. Claims-made coverage applies only to covered losses that occur after the retroactive date.

Extended Reporting Periods:

Preferred provides the following Extended Reporting Periods options in the event coverage is cancelled or non-renewed:

Automatic Extended Reporting Period – continued coverage granted for a period of 60 days following the effective date of termination or nonrenewal, but only for Claims first made during the 60 days and arising from Wrongful Acts taking place prior to the effective date of the termination or nonrenewal.

Optional Extended Reporting Period – The Public Entity shall have the right, upon payment of up to 200% of the expiring premium, to purchase an Optional Extended Reporting Period, for the period of 12 months following the effective date of the cancellation or nonrenewal, but only for Claims first made during the Optional Extended Reporting Period and arising from Wrongful Acts taking place prior to the effective date of the termination or nonrenewal.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage57 PREMIUM RECAPITULATION

Annual Premium	Check Option

Accept	Reject

Public Officials & Employment Practices Liability

Option 1- Public Officials/Employment Practices	$	3,373.00		
Liability - Incumbent				
				
Policy Fee	$	35.00		
Total – Option 1	$	3,408.00		
Option 2- Public Officials/Employment Practices	$	2,812.00		
Liability - Preferred				

	

	

Preferred Governmental Insurance Trust 2nd Year Anniversary Endorsement:
Package			
General Liability	$	4,500.00	
Automobile Liability	$	500.00	
TOTAL PREMIUM	$	5,000.00	

I authorize PRIA to request the underwriters to bind coverage on the items indicated above and acknowledge receipt of the Compensation and Financial Condition Disclosure(s) provided in this
proposal.	-__________________________________________
(Signature)
-__________________________________________________
(Name & Title)
-__________________________________________________

(Date)

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage58

Notes of Importance:

1.	Quotes provided in the proposal are valid until 10/01/2018. After this date terms and conditions are subject to change by the underwriters.

2.	Preferred is not subject to the Florida Insurance Guaranty Act, in the event it becomes unable to meet its claims payment obligations. However, insured is named on excess of loss policies.

3.	Some of the Carriers of the Preferred excess of loss policies are issued pursuant to the FL Surplus Lines laws. Entities insured by surplus lines carriers do not have the protection of the FL Insurance Guaranty Act to the extent of any right of recovery for the obligation of an insolvent, unlicensed insurer.

4.	Quote is subject to review and acceptance by Preferred Board of Trustees.

5.	Premiums are subject to change if all lines of coverage quoted are not bound. Premiums are subject to 25% minimum premium upon binding.

6.	Not all coverages requested may be provided in this quotation.

7.	Flood quotes from NFIP may be available. Please advise your agent if you have property located in zones A or V and would like to have separate NFIP quotes.

8.	The Trust requires all Members to maintain valid and current certificates of workers’ compensation insurance for all work performed by persons other than its employees.

9.	With the exception of Worker’s Compensation, the total premium is due within 30 days of inception. Premium financing can be arranged if needed.

10.	Quote is not bound until written orders to bind are received from the insured and the Trust subsequently accepts the risk.

11.	Should signed application reveal differing details/data than original application received, the entire quote/binder is subject to revision and possible retraction.

12.	Higher limits of liability may be available. Please consult with your agent.

13.	This proposal is based upon exposures to loss made known to the Public Risk Insurance Agency. Any changes in exposures (i.e. new operations, new acquisitions of property or change in liability exposure) need to be promptly reported to us in order that proper coverage may be put into place.

14.	This proposal is intended to give a brief overview. Please refer to coverage agreements for complete information regarding definition of terms, deductibles, sub-limits, restrictions and exclusions that may apply. In the event of any differences, the policy will prevail.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage59

Retail Compensation Disclosure

In addition to the commissions or fees received by us for assistance with the placement, servicing, claims handling, or renewal of your insurance coverages, other parties, such as excess and surplus lines brokers, wholesale brokers, reinsurance intermediaries, underwriting managers and similar parties, some of which may be owned in whole or in part by Brown & Brown, Inc., may also receive compensation for their role in providing insurance products or services to you pursuant to their separate contracts with insurance or reinsurance carriers. That compensation is derived from your premium payments. Additionally, it is possible that we, or our corporate parents or affiliates, may receive contingent payments or allowances from insurers based on factors which are not client-specific, such as the performance and/or size of an overall book of business produced with an insurer. We generally do not know if such a contingent payment will be made by a particular insurer, or the amount of any such contingent payments, until the underwriting year is closed. That compensation is partially derived from your premium dollars, after being combined (or “pooled”) with the premium dollars of other insured’s that have purchased similar types of coverage. We may also receive invitations to programs sponsored and paid for by insurance carriers to inform brokers regarding their products and services, including possible participation in company-sponsored events such as trips, seminars, and advisory council meetings, based upon the total volume of business placed with the carrier you select. We may, on occasion, receive loans or credit from insurance companies. Additionally, in the ordinary course of our business, we may receive and retain interest on premiums you pay from the date we receive them until the date of premiums are remitted to the insurance company or intermediary. In the event that we assist with placement and other details of arranging for the financing of your insurance premium, we may also receive a fee from the premium finance company.

Questions and Information Requests: Should you have any questions or require additional information, please contact this office at 386-252-6176 or, if you prefer, submit your question or request online at http://www.bbinsurance.com/customerinquiry.shtml.

Wholesale Business Compensation Disclosure

Wholesale Broker/Managing General Agent: MacDuff Underwriters Inc.

This intermediary is owned in whole or part by Brown & Brown, Inc., the parent company of Public Risk Insurance Agency. Brown & Brown entities operate independently and are not required to utilize other companies owned by Brown & Brown, Inc., but routinely do so. In addition to providing access to the insurance company, the Wholesale Insurance Broker/Managing General Agent may provide additional services including, but not limited to: underwriting; loss control; risk placement; coverage review; claims coordination with insurance company; and policy issuance. Compensation paid for those services may be up to 15% of the premium you pay for coverage, and any compensation paid for those services is derived from your premium payment.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage60

PREFERRED Compensation Disclosure

We appreciate the opportunity to assist with your insurance needs. Information concerning additional compensation paid to other entities for this placement and related services appears below. Please do not hesitate to contact us if any additional information is required.

Our office is owned by Brown & Brown, Inc. Brown & Brown entities operate independently and are not required to utilize other companies owned by Brown & Brown, Inc., but routinely do so.

For the 2017 – 2018 policy year, your insurance was placed with Preferred Governmental Insurance Trust (Preferred). Preferred is an insurance trust formed by Florida public entities through an Interlocal Agreement for the purpose of providing its members with an array of insurance coverages and services. Preferred has contracted with entities owned by Brown & Brown, Inc. to perform various services. As explained below, those Brown & Brown entities are compensated for their services.

Preferred has contracted with Public Risk Underwriters (PRU), a company owned by Brown & Brown, Inc., to administer Preferred’s operations. The administrative services provided by PRU to Preferred include:

•	Underwriting

•	Coverage review

•	Marketing

•	Policy Review

•	Accounting

•	Issuance of Preferred Coverage Agreements

•	Preferred Member Liaison

•	Risk Assessment and Control

Pursuant to its contract with Preferred, PRU receives an administration fee, based on the size and complexity of the account, of up to 12.5% of the premium you pay to Preferred. PRU may also receive commissions from insurance companies with whom it places your coverage, which commissions are derived from the premium you pay to Preferred. Multiple underwriters may be involved in the placement of your coverage. If so, they also may be compensated for their services from the premium you pay to Preferred.

Preferred has also contracted with Preferred Governmental Claims Solutions (PGCS), a company owned by Brown & Brown, Inc., for purposes of administering the claims of Preferred members. The services provided by PGCS to Preferred may include:

•	Claims Liaison with Insurance Company

•	Claims Liaison with Preferred Members

•	Claims Adjustment

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage61

PREFERRED Compensation Disclosure (continued)

Pursuant to its contract with Preferred, PGCS receives a claims administration fee for those accounts which PGCS services of up to 5% of the non-property portion of the premiums you pay to Preferred.

Preferred also utilizes wholesale insurance brokers, some of which (such as Peachtree Special Risk Brokers and MacDuff Underwriters) are owned by Brown & Brown, Inc., for the placement of Preferred’s insurance policies, and for individual risk placements for some Preferred members (excess and surplus lines, professional liability coverage, etc.). The wholesale insurance broker may provide the following services:

•	Risk Placement

•	Coverage review

•	Claims Liaison with Insurance Company

•	Policy Review

•	Current Market Intelligence

The wholesale insurance broker’s compensation is derived from your premium, and is largely dictated by the insurance company. It typically ranges between 10% and 17% of the premiums you pay to Preferred for your coverage. Some wholesale brokers used by Brown & Brown to place your coverage may also act as Managing General Agents for various insurance companies, and may be compensated directly by those insurance companies for their services in placing and maintaining coverage with those particular companies.

The wholesale insurance brokerage utilized in the placement of property insurance was Peachtree Special Risk Brokers, which is a company owned by Brown & Brown Inc. Furthermore, any professional liability coverage afforded by the package of insurance you purchased was acquired through Apex Insurance Services, which is also a company affiliated with Brown & Brown Inc.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage62

NOTICE OF CARRIER FINANCIAL STATUS

Risk Management Associates, Inc. dba Public Risk Insurance Agency, and its parent company, Brown & Brown, Inc. (collectively “Brown & Brown”) do not certify, warrant or guarantee the financial soundness or stability of any insurance carrier or alternative risk transfer or pooling entity. We endeavored to place your coverage with an insurance carrier with an A.M. Best Company financial rating of “A-” or better.* While Brown & Brown cannot certify, warrant or guarantee the financial soundness or stability of any insurance carrier or alternative risk transfer or pooling entity or otherwise predict whether the financial condition of any such entity might improve or deteriorate, we are hereby providing you with notice and disclosure of financial condition so that you can make an informed decision regarding the placement of coverage. Accordingly, with receipt of this notice you acknowledge the following with regard to the placement and any subsequent renewal of the coverage indicated below:

•	Brown & Brown may have other options for your insurance placement, including quotations with insurance carriers holding an “A-” or better rating from A.M. Best Company. Alternative quotes may be available with an A- or better rated carrier upon your request.

•	Coverage is being placed through Preferred Governmental Insurance Trust (“Preferred”), which is as a Florida local government self-insurance fund established pursuant to Section 624.4622, Florida Statutes, as such Preferred is not rated by the A.M. Best Company.

•	Preferred is not subject to the protections afforded by any state guaranty fund or association.

•	The financial condition of insurance companies and other coverage providers including local government self-insurance funds like Preferred may change rapidly and that such changes are beyond the control of Brown & Brown.

•	You should review the financial and membership information from Preferred and agree to abide by the conditions of membership established by Preferred.

•	You should consider the information provided, including the Preferred coverage quote and coverage placement and review it with your accountants, legal counsel and advisors.

Named Insured:	Live Oak No 2 Community Development District

Policy Number:	PK2FL1 0294040 17-12
Policy Period:	10/1/2018-10/1/2019
Date of Notice:	09/05/2018

*	A.M. Best Rating Guide: Rating for Stability: A++ to D = Highest to lowest rating Rating for Assets/ Surplus: 15 to 1 - Largest to smallest rating

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage63

		Guide to Bests Ratings	
Best Category		Rating	Description	
Secure		A++	Superior	
Secure		A+	Superior	
Secure		A	Excellent	
Secure		A-	Excellent	
Secure		B++	Very Good	
Secure		B+	Very Good	
Vulnerable		B	Fair	
Vulnerable		B-	Fair	
Vulnerable		C++	Marginal	
Vulnerable		C+	Marginal	
Vulnerable		C	Weak	
Vulnerable		C-	Weak	
Vulnerable		D	Poor	
Vulnerable		E	Under Regulatory Supervision	
Vulnerable		F	In Liquidation	
Vulnerable		S	Rating Suspended	
Not Rated		NR-1	Insufficient Data	
Not Rated		NR-2	Insufficient Size and/or operating experience	
Not Rated		NR-3	Rating Procedure Inapplicable	
Not Rated		NR-4	Company Request	
Not Rated		NR-5	Not Formally Followed	
Rating Modifier		u	Under Review	
Rating Modifier		q	Qualified	
Affiliation Code		g	Group	
Affiliation Code		p	Pooled	
Affiliation Code		r	Reinsured	
		
	Guide to Best’s Financial Size Categories	
Reflects size of		I	Less than $1,000,000	
insurance company		II	$1,000,000 - $2,000,000	
based on their		III	$2,000,000 - $5,000,000	
capital, surplus		IV	$5,000,000 - $10,000,000	
and conditional		V	$10,000,000 - $25,000,000	
reserve funds in		VI	$25,000,000 - $50,000,000	
U.S. dollars.		VII	$50,000,000 - $100,000,000	
		VIII	$100,000,000 - $250,000,000	
		IX	$250,000,000 - $500,000,000	
		X	$500,000,000 - $750,000,000	
		XI	$750,000,000 - $1,000,000,000	
		XII	$1,000,000,000 - $1,250,000,000	
		XIII	$1,250,000,000 - $1,500,000,000	
		XIV	$1,500,000,000 - $2,000,000,000	
		XV	Greater than $2,000,000,000	

Public Risk Insurance Agency always strives to place your coverage with highly secure insurance companies. We cannot, however, guarantee the financial stability of any carrier.

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

LIVE OAK No 2 COMMUNITY DEVELOPMENTAgendaDISTRICTPage64 STATEMENT ACKNOWLEDGING THAT COVERAGE HAS

BEEN PLACED WITH A NON-ADMITTED CARRIER

Per Florida Statute, the insured is required to sign the following E&S disclosure:

The undersigned hereby agrees to place insurance coverage in the surplus lines market and understands that superior coverage may be available in the admitted market and at a lesser cost. Persons insured by surplus lines carriers are not protected by the Florida Insurance Guaranty Association with respect to any right of recovery for the obligation of an insolvent unlicensed insurer.

Live Oak No 2 Community Development District

Named Insured

	Signature of Insured’s Authorized Representative				Date			
	Indian Harbor Insurance Company							
	Name of Excess and Surplus Lines Carrier							
	Public Officials/Employment Practices Liability			POL0951222	
	Type of Insurance			Renewal of Policy Number		
	10/01/2018			Florida	
	Effective/Expiration Date of Coverage			State		

aPRIA

PUBLIC RISK INSURANCE AGENCY

This proposal is intended to give a brief overview. Higher limits may be available. Please refer to coverage forms for complete details regarding definition of terms, exclusions and limitations.

Agenda Page 65

NOTICE TO WEST VIRGINIA APPLICANTS: Any person who knowingly presents a false or fraudulent claim for payment of a loss or benefit or knowingly presents false information in an application for insurance is guilty of a crime and may be subject to fines and confinement in prison.

NOTICE TO ALL OTHER STATES: Any person who knowingly and willfully presents false information in an application for insurance may be guilty of insurance fraud and subject to fines and confinement in prison. (In Oregon, the aforementioned actions may constitute a fraudulent insurance act which may be a crime and may subject the person to penalties).

NOTICE TO NEW YORK APPLICANTS: Any person who knowingly and with intent to defraud any insurance company or other person files an application for insurance or statement of claim containing any materially false information, or conceals for the purpose of misleading, information concerning any fact material thereto, commits a fraudulent insurance act, which is a crime, and shall also be subject to a civil penalty not to exceed five thousand dollars and the stated value of the claim for each such violation.

VI.	AUTHORIZED REPRESENTATIVE; APPLICANT’S SIGNATURE:

1.	Provide the name and title of the individual designated to receive any and all notices from the insurer concerning any policy issued as a result of this application (please type or print).
Name:	Paula Davis
Title:	Insurance Coordinator

2.	Attestation: The authorized signer of this application attests to the best of his/her knowledge that statements set forth herein are true; that no fact, circumstance nor situation indicating the probability of a claim or action now known to any entity, official, or employee has not been declared; and it is agreed by all concerned that omission of such information shall exclude any such claim or action from coverage under the insurance being applied for. It is further acknowledged that the signing of this application does not bind the signer to purchase the insurance. However, it is agreed that this Application shall be the basis of the contract and any policy which might be issued.

Authorized Signatory of Entity	Date

Print Name and Title	Phone Number

VII.	AGENCY INFORMATION

Agency Name:	PRIA

Contact:	Karen Bryan					
Address	PO Box 2416					
City:	Daytona Beach		State:  FL	Zip:   32114	
Phone:	386-252-6176			Fax				
Will you make surplus lines filings if necessary?				Yes □ No □	
Provide your surplus lines license number:						

PGU POL REN APP 0417	Page 5 of 5