Amelia Walk Community Development District

ANNUAL FINANCIAL REPORT

September 30, 2018

Amelia Walk Community Development District ANNUAL FINANCIAL REPORT
September 30, 2018 TABLE OF CONTENTS
Page Number
FINANCIAL SECTION

REPORT OF INDEPENDENT AUDITORS	1-2
MANAGEMENT’S DISCUSSION AND ANALYSIS	3-8

BASIC FINANCIAL STATEMENTS:
Government-wide Financial Statements:
Statement of Net Position	9
Statement of Activities	10
Fund Financial Statements:
Balance Sheet – Governmental Funds	11
Reconciliation of Total Governmental Fund Balances
to Net Position of Governmental Activities	12
Statement of Revenues, Expenditures and Changes in Fund
Balances – Governmental Funds	13
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds
to the Statement of Activities	14
Statement of Revenues, Expenditures and Changes in Fund
Balances – Budget and Actual – General Fund	15

Notes to Financial Statements	16-29
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN
ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS	30-31
MANAGEMENT LETTER	32-33
INDEPENDENT ACCOUNTANT’S REPORT/COMPLIANCE WITH
SECTION 218.415, FLORIDA STATUTES	34

REPORT OF INDEPENDENT AUDITORS

To the Board of Supervisors
Amelia Walk Community Development District Nassau County, Florida

Report on the Financial Statements
We have audited the accompanying financial statements of Amelia Walk Community Development District as of and for the year ended September 30, 2018, and the related notes to financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit.  We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the  financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

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To the Board of Supervisors
Amelia Walk Community Development District

Opinion

In our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of the governmental activities and each major fund as of September 30, 2018, and the respective changes in financial position and the budgetary comparison for the General Fund for the year then ended in conformity with accounting principles generally accepted in the United States of America.

Other Matters

Required Supplementary Information

Governmental accounting principles generally accepted in the United States of America require that the Management’s Discussion and Analysis and budgetary comparison be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures in accordance with governmental auditing standards generally accepted in the United States of America, which consisted principally of inquires of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued a report dated June 3, 2019 on our consideration of the District’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations and contracts.

The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering Amelia Walk Community Development District’s internal control over financial reporting and compliance.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 3, 2019
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Management’s discussion and analysis of Amelia Walk Community Development District's (the “District”) financial performance provides an objective and easily readable analysis of the District’s financial activities. The analysis provides summary financial information for the District and should be read in conjunction with the District’s financial statements.

OVERVIEW OF THE FINANCIAL STATEMENTS

The District’s basic financial statements comprise three components; 1) Government-wide financial statements, 2) Fund financial statements, and 3) Notes to financial statements. The Government-wide financial statements present an overall picture of the District’s financial position and results of operations. The Fund financial statements present financial information for the District’s major funds. The Notes to financial statements provide additional information concerning the District’s finances.

The Government-wide financial statements are the statement of net position and the statement of activities. These statements use accounting methods similar to those used by the private-sector. Emphasis is placed on the net position of governmental activities and the change in net position. Governmental activities are primarily supported by  special assessments.

The statement of net position presents information on all assets and liabilities of the District, with the difference between assets and liabilities reported as net position. Net position are reported in three categories; 1) net investment in capital assets, 2) restricted and 3) unrestricted. Assets, liabilities, and net position are reported for all Governmental activities.

The statement of activities presents information on all revenues and expenses of the District and the change in net position. Expenses are reported by major function and program revenues relating to those functions are reported, providing the net cost of all functions provided by the District. To assist in understanding the District’s operations, expenses have been reported as governmental activities. Governmental activities funded by the District include general government, physical environment, culture and recreation and interest on long-term debt.

Fund financial statements present financial information for governmental funds. These statements provide financial information for the major funds of the District. Governmental fund financial statements provide information on the current assets and liabilities of the funds, changes in current financial resources (revenues and expenditures), and current available resources.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Fund financial statements include a balance sheet and a statement of revenues, expenditures and changes in fund balances for all governmental funds. A statement of revenues, expenditures, and changes in fund balances – budget and actual, is provided for the District’s General Fund. Fund financial statements provide more detailed information about the District’s activities. Individual funds are established by the District to track revenues that are restricted to certain uses or to comply with legal requirements.

Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near- term inflows and outflows of spendable resources, as well as balances of spendable resources available at the end of the year. Such information may be useful in evaluating a government's near-term financing requirements.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the District's near-term financing decisions. Both the governmental fund balance sheet and the statement of revenues, expenditures, and changes in fund balances provide reconciliations to facilitate this comparison between governmental funds and governmental activities.

Notes to financial statements provide additional detail concerning the financial activities and financial balances of the District. Additional information about the accounting practices of the District, investments of the District, capital assets, and long-term debt are some of the items included in the notes to financial statements.

Financial Highlights:

The following are the highlights of financial activity for the year ended September 30, 2018.

The District’s total assets were exceeded by total liabilities by $(97,402) (net position). Net investment in capital assets was $7,908,325. Unrestricted net position was
$(8,096,526). Restricted net position was $90,799.

Governmental activities revenues totaled $5,276,925 while governmental activities expenses totaled $1,401,221.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Financial Analysis of the District

The following schedule provides a summary of the assets, deferred outflows of resources liabilities and net position of the District.
Net Position	
	Governmental Activities

 	2018		 	2017		
Current assets	$	95,603	$	231,292	
Restricted assets		5,065,815	643,143	
Capital assets, net of depreciation	 	7,737,664 	5,467,841	
Total Assets	
 	12,899,082 	
6,342,276	

Deferred outflows of resources	

 	12,068	-	

Current liabilities		
808,454	
470,382	
Non-current liabilities	 	12,200,098	9,845,000	
Total Liabilities	 	13,008,552	10,315,382	

Net position - net investment in			
capital assets		7,908,325	(4,552,159)	
Net position-restricted		90,799	540,405	
Net position-unrestricted		 	(8,096,526) 	68,645	
Total Net Position	$	(97,402)	$ (3,943,109)	

The decrease in current assets is related to the assessments receivable in the prior year. The increase in restricted assets was related to the bond refunding in the current year.
The increase in capital assets is primarily related to the new capital project initiated in the current year.

The increase in current liabilities is related to the increase in contracts payable in the current year.

The decrease in unrestricted net position and the increase in net investment in capital assets is primarily related to the allocation of debt in the current year.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Financial Analysis of the District (Continued)

The following schedule provides a summary of the changes in net position of the District.

Change in Net Position	
	Governmen
 	2018		tal Activities
 	2017		
Program Revenues			
Charges for services	$	3,648,452	$	1,019,507	
Grants and contributions	778	2,550	
General Revenues			
Investment earnings	43,064	133	
Other revenues	2,131	1,600	
Gain on debt cancellation	 	1,582,500 	 	- 	
Total Revenues	 	5,276,925 	 	1,023,790 	
Expenses			
General government	145,770	155,009	
Physical environment	284,971	248,162	
Culture and recreation	168,655	162,373	
Interest on long-term debt Total Expenses

Change in Net Position	 	801,825 

 	1,401,221 	568,921

 	1,134,465 	
	3,875,704	(110,675)	
Net Position - Beginning of Year	 	(3,973,106)	 	(3,862,431)	
Net Position - End of Year	  $	(97,402)	  $	(3,973,106)	

The increase in charges for services relates to prepayments in the current year to pay down the Series 2012 Bonds.

The gain on debt cancellation and the increase in interest is related to the refunding of the Series 2012 Bonds.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Capital Assets Activity

The following schedule provides a summary of the District’s capital assets as of September 30, 2018 and 2017.

Governmental Activities

 	Description	

 	2018	

 	2017	

Land	$	881,686	$	881,686	
Construction in progress	5,150,597	2,791,798	
Recreational facility and amenities	2,669,290	2,669,290	
Equipment	6,232	6,232	
Accumulated depreciation	 	(970,141)	 	(881,165)	
Total Capital Assets (Net)	 $	7,737,664	 $	5,467,841 
During the year, $2,358,799 was added to construction in progress and depreciation was
$88,976.

General Fund Budgetary Highlights

The budget was exceeded by actual expenditures primarily because landscape extras expenditures were greater than were anticipated.

The September 30, 2018 budget was amended for increased streetlighting and wastewater expenditures.

Debt Management

Governmental Activities debt includes the following:

In March 2012, the District trifurcated the Series 2006A Special Assessment Bonds with an outstanding balance of $8,565,000 into $1,675,000 Series 2012A-1, $1,535,000 Series 2012A-2 and $5,355,000 Series 2012A-3. The Series 2012A-2 Bonds were retired May 1, 2016 and the Series 2012A-3 Bonds were paid off during the current fiscal year. The balance outstanding at September 30, 2018 for the Series 2012A-1 Bonds was $1,405,000.

In January 2016, the District issued $3,875,000 Series 2016 Special Assessment Bonds (Assessment Area A-2). The bonds were issued to finance the acquisition and construction of certain improvements for the benefit of Assessment Area A-2 of the District. The balance outstanding at September 30, 2018 was $3,770,000.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Debt Management (Continued)

In April 2018, the District issued $7,135,000 Series 2018A Special Assessment Bonds (Assessment Area A-3) to currently refund a portion of the Series 2012A-3 Special Assessment Bonds, pay a portion of the costs of the 2018 Project, make a deposit to the 2018A Debt Service Reserve Fund and pay certain associated costs associated with the issuance of the Series 2018A Special Assessment Bonds. The balance outstanding at September 30, 2018 was
$7,135,000.

Economic Factors and Next Year’s Budget

Amelia Walk Community Development District does not expect any economic factors to have a significant effect on the financial position or the results of operations of the District in fiscal year 2019.

Request for Information

The financial report is designed to provide a general overview of District’s finances for all those with an interest. Questions concerning any of the information provided in this report or requests for additional information should be addressed to Amelia Walk Community Development District, c/o Governmental Management Services, 475 West Town Place, Suite 114, St. Augustine, FL 32092.

	Governmental
Activities	
ASSETS		
Current Assets
Cash and cash equivalents	
$	32,587	
Investments	32,622	
Accrued interest receivable	6,782	
Assessments receivable	1,272	
Prepaid expenses	 	22,340 	
Total Current Assets	 	95,603 	
Non-Current Assets Restricted assets
Investments	5,065,815
Capital assets, not being depreciated
Land	881,686
Construction in progress	5,150,597
Capital assets, being depreciated
Recreation facilities and amenities	2,669,290	
Equipment	6,232	
Less: accumulated depreciation	 	(970,141)	
Total Non-Current Assets	 	12,803,479 	
Total Assets	 	12,899,082 	

DEFERRED OUTFLOWS OF RESOURCES
Deferred amount on refunding, net

LIABILITIES
Current Liabilities

 	12,068 

Accounts payable and accrued expenses	422,234	
Deposits	200	
Accrued interest	286,020	
Bonds payable	 	100,000 	
Total Current Liabilities	 	808,454 	

Non-Current Liabilities Bonds payable
Total Liabilities

 	12,200,098 
13,008,552

NET POSITION		
Net investment in capital assets	7,908,325	
Restricted for debt service	90,799	
Unrestricted	 	(8,096,526)	
Total Net Position	  $	(97,402)	

See accompanying notes.

Amelia Walk Community Development District STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2018

Functions/Programs Primary government
Governmental Activities

Net (Expense) Revenues and
Program	Changes in
Revenues		Net Position Charges for	Operating Grants	Governmental
 	Expenses		Services	and Contributions	Activities

General government	$	(145,770)	$	139,262	$	778	$	(5,730)	
Physical environment	(284,971)	272,248	-	(12,723)	
Culture and recreation	(168,655)	76,122	-	(92,533)	
Interest on long-term debt	 	(801,825)	 	3,160,820 	 	- 	 	2,358,995 	
Total Governmental Activities   $  (1,401,221)    $	3,648,452	 $	778	2,248,009

General Revenues	
Investment earnings	43,064	
Miscellaneous revenues	 	2,131 	
Total General Revenues	 	45,195 	
Gain on cancellation of debt	 	1,582,500 	
Changes in Net Position	3,875,704	
Net Position - October 1, 2017	 	(3,973,106)	
Net Position - September 30, 2018	  $	(97,402)	

See accompanying notes.

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Amelia Walk Community Development District BALANCE SHEET
GOVERNMENTAL FUNDS
September 30, 2018

							Total	
			Debt		Capital		Governmental	
	General		Service		Projects		Funds	
ASSETS								
Cash and cash equivalents	$	32,587		$	-		$	-		$	32,587	
Investments	32,622		-		-		32,622	
Assessments receivable	1,272		-		-		1,272	
Accrued interest receivable	15		1,550		5,217		6,782	
Prepaid expenses	22,340		-		-		22,340	
Restricted assets								
Investments, at fair value	-		1,209,458		3,856,357		5,065,815

$  5,161,418	
Total Assets	$	88,836		$ 1,211,008		$ 3,861,574			

LIABILITIES AND FUND BALANCES								
Liabilities:								
Accounts payable and accrued expenses	$	50,751		$	-		$	371,483		$	422,234	
Deposits
Total Liabilities	200

50,951		-

-		-

371,483		200

422,434	

Fund Balances:								
Nonspendable - prepaid expenses	22,340		-		-		22,340	
Restricted - capital projects	-		-		3,490,091		3,490,091	
Restricted - debt service	-		1,211,008		-		1,211,008	
Unassigned
Total Fund Balances
Total Liabilities and Fund Balances	15,545

37,885

$	88,836		- 1,211,008
$  1,211,008		- 3,490,091
$  3,861,574		15,545

4,738,984

$  5,161,418	

Amelia Walk Community Development District RECONCILIATION OF TOTAL GOVERNMENTAL FUND BALANCES
TO NET POSTION OF GOVERNMENTAL ACTIVITIES
September 30, 2018

Total Governmental Fund Balances	$	4,738,984	
Amounts reported for governmental activities in the Statement of Net Position			
are different because:			
Capital assets (land, $881,686, construction in progress, $5,150,597, recreational			
facilities and amenities, $2,669,290, and equipment, $6,232, net of			
accumulated depreciation, $(970,141)) used in governmental activities are not			
current financial resources and; therefore, are not reported in the funds.		7,737,664	
Deferred outflows of resources are not current uses; and therefore, are not			
reported at the fund level.		12,068	
Long-term liabilities, including bonds payable, $(12,310,000), net of bond discount			
net, $9,902, are not due and payable in the current period and; therefore,	(12,300,098)	
are not reported at the fund level.			
Accrued interest expense for long-term debt is not a curent financial use and;			
therefore, is not reported in the funds.	 	(286,020)	
Net Position of Governmental Activities	  $		(97,402)	

Amelia Walk Community Development District STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
IN FUND BALANCES – GOVERNMENTAL FUNDS
For the Year Ended September 30, 2018

									Total	
					Debt		Capital		Governmental	
	General			Service		Projects		Funds	
Revenues										
Special assessments	$	487,632		$	3,160,820		$	-		$	3,648,452	
Developer contributions		778			-		-		778	
Investment earnings		217			11,466		31,381		43,064	
Miscellaneous revenues		2,131			-		-		2,131

3,694,425	
Total Revenues		490,758			3,172,286		31,381			

Expenditures										
Current										
General government		145,770			-		-		145,770	
Physical environment		284,971			-		-		284,971	
Culture and recreation		79,679			-		-		79,679	
Capital outlay		-			-		2,358,799		2,358,799	
Debt service										
Principal		-			4,845,000		-		4,845,000	
Interest		-			431,925		-		431,925	
Other debt service costs		-			12,393		317,800		330,193

8,476,337	
Total Expenditures		510,420			5,289,318		2,676,599			
Excess of revenues over expenditures		(19,662)			(2,117,032)		(2,645,218)		(4,781,912)	
Other financing sources (uses)										
Gain on debt estiguishment		-			1,582,500		-		1,582,500	
Issuance of long-term debt		-			1,000,624		6,134,376		7,135,000	
Bond discount
Total Other Financing Sources (Uses)		-
-			- 2,583,124		(10,168)
6,124,208		(10,168)

8,707,332	
Net change in fund balances		(19,662)			466,092		3,478,990		3,925,420	
Fund Balances - October 1, 2017		57,547			744,916		11,101		813,564	
Fund Balances - September 30, 2018	$	37,885		$	1,211,008		$3,490,091		$	4,738,984	

See accompanying notes.

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2018

Net Change in Fund Balances - Total Governmental Funds	$	3,925,420	
Amounts reported for governmental activities in the Statement of Activities are		
different because:		
Statement		
of Activities, the cost of those assets are allocated over their estimated useful lives		
as depreciation. This is the amount that capital outlay, $2,358,799, exceeded		
depreciation, $(88,976), in the current period.	2,269,823	
The issuance of long-term debt is reflected as an other financing source at the fund level.		
At the government-wide level the issuance of new debt increases liabilities.	(7,135,000)	
Repayments of bond principal are expenditures in the governmental funds, but the		
repayments reduce long-term liabilities in the Statement of Net Position.	4,845,000	
Bond discount is reflected as an other financing use at the fund level, but is a contra		
liability at the government-wide level.	10,168	
The deferred amount on refunding is reflected as an other debt service cost at the fund		
level; however, it is a deferred outflow of resources at the government-wide level.	12,393	
Bond discount and the deferred amount on refunding are amortized as interest expense		
at the government-wide level over the life of the bonds.	(591)	
The change in accrued interest on long-term liabilities is recorded in the Statement		
of Activities but not in the fund financial statements.	 	

Change in Net Position of Governmental Activites	 $ 	(51,509)	
	
3,875,704 	

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL - GENERAL FUND
For the Year Ended September 30, 2018

									Variance with	
									Final Budget	
	Original			Final					Positive	
	Budget		B	udget			Actual		(Negative)	
Revenues										
Special assessments	$ 484,768		$	484,768		$	487,632		$	2,864	
Developer contributions	-			-			778		778	
Investment earnings	100			100			217		117	
Miscellaneous revenues	500			500			2,131		1,631
5,390	
Total Revenues	485,368			485,368			490,758			

Expenditures										
Current										
General government	122,128			122,128			145,770		(23,642)	
Physical environment	270,742			292,997			284,971		8,026	
Culture and recreation	92,498			92,498			79,679		12,819
(2,797)

2,593

35,292	
Total Expenditures
Excess of revenues over expenditures Fund Balances - October 1, 2017	485,368

-

-			507,623

(22,255)

22,255			510,420

(19,662)

57,547			

Fund Balances - September 30, 2018	
  $	- 		
  $		
- 		
  $		
37,885 		
  $	37,885 	

NOTES TO FINANCIAL STATEMENTS
September 30, 2018

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The financial statements of the District have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The District's more significant accounting policies are described below.

Reporting Entity

The District was established on December 22, 2005, by County Ordinance 2005-81, Florida, of Nassau County, Florida pursuant to the Uniform Community Development District Act of 1980, otherwise known as Chapter 190, Florida Statutes. The District was established for the purposes of financing and managing the acquisition, construction, maintenance and operation of the infrastructure necessary for community development within its jurisdiction. The District is authorized to issue bonds for the purpose, among others, of financing, funding, planning, establishing, acquiring, constructing or re-constructing, enlarging or extending, equipping, operating and maintaining water management, bridges or culverts, district roads, landscaping, street lights and other basic infrastructure projects within or without the boundaries of the Amelia Walk Community Development District. The District is governed by a five-member Board of Supervisors who are elected for four year terms. The District operates within the criteria established by Chapter 190, Florida Statutes.

As required by GAAP, these financial statements present Amelia Walk Community Development District (the primary government) as a local unit of special-purpose government. The reporting entity for the District includes all functions of government in which the District’s Board exercises oversight responsibility including, but not limited to, financial interdependency, selection of governing authority, designation of management, significant ability to influence operations and accountability for fiscal matters.

Based upon the application of the above-mentioned criteria, as set forth in Governmental Accounting Standards, the District has identified no component units.

Measurement Focus and Basis of Accounting

The basic financial statements of the District are composed of the following:

Government-wide financial statements

Fund financial statements

Notes to financial statements

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting (Continued)

Government-wide Financial Statements

Government-wide financial statements report all non-fiduciary information about the reporting government as a whole. These statements include all the governmental activities of the primary government. The effect of interfund activity has been removed from these statements.

Governmental activities are supported by special assessments, developer contributions, intergovernmental revenues and interest. Program revenues are netted with program expenses in the Statement of Activities to present the net cost of each program.

Amounts paid to acquire capital assets are capitalized as assets, rather than reported as an expenditure. Proceeds of long-term debt are recorded as liabilities in the government-wide financial statements, rather than as an other financing source.

Amounts paid to reduce long-term indebtedness of the reporting government are reported as a reduction of the related liability, rather than as an expenditure.

Fund Financial Statements

The underlying accounting system of the District is organized and operated on the basis of separate funds, each of which is considered to be a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled.

Fund financial statements for the primary government’s governmental funds are presented after the government-wide financial statements. These statements display information about major funds individually.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

2.	Measurement Focus and Basis of Accounting (Continued)

b. Fund Financial Statements (Continued) Governmental Funds
The District implemented the Governmental Accounting Standards Board Statement
54 – Fund Balance Reporting and Governmental Fund Type Definitions. The Statement requires the fund balance for governmental funds to be reported in classifications that comprise a hierarchy based primarily on the extent to which the government is bound to honor constraints on the specific purposes for which amounts in those funds can be spent. The classifications include non-spendable, restricted, committed, assigned and unassigned.

The District has various policies governing the fund balance classifications.
Nonspendable Fund Balance – This classification consists of amounts that cannot be spent because they are either not in spendable form or are legally or contractually required to be maintained intact.
Restricted Fund Balance – This classification includes amounts that can be spent only for specific purposes stipulated by constitution, external resource providers, or through enabling legislation.
Committed Fund Balance – This classification consists of amounts that can only be used for specific purposes pursuant to the constraints imposed by a formal action of the government’s highest level of decision making authority.
Assigned Fund Balance – This classification consists of the Board of Supervisors’ intent to be used for specific purposes, but are neither restricted nor committed. The assigned fund balances can also be assigned by the District’s management company.
Unassigned Fund Balance – This classification is the residual classification for the government’s general fund and includes all spendable amounts not contained in the other classifications. Unassigned fund balance is considered to be utilized first when an expenditure is incurred for purposes for which amounts in any of those unrestricted fund balance classifications could be used.
Fund Balance Spending Hierarchy – When restricted, committed, assigned, and unassigned fund balances are combined in a fund, qualified expenditures are paid first from restricted or committed fund balance, as appropriate, then assigned and finally unassigned fund balances.
Expenditures generally are recorded when a liability is incurred, as under accrual accounting. Interest associated with the current fiscal period is considered to be an accrual item and so has been recognized as revenue of the current fiscal period.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting (Continued)

b. Fund Financial Statements (Continued) Governmental Funds (Continued)
Under the current financial resources measurement focus, only current assets and current liabilities are generally included on the balance sheet. The reported fund  balance is considered to be a measure of “available spendable resources”. Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Accordingly, they are said to present a summary of sources and uses of “available spendable resources” during a period.

Because of their spending measurement focus, expenditure recognition for governmental fund types excludes amounts represented by non-current liabilities. Since they do not affect net current assets, such long-term amounts are not recognized as governmental fund type expenditures or fund liabilities.

Amounts expended to acquire capital assets are recorded as expenditures in the year that resources are expended, rather than as fund assets. In addition, the proceeds of long-term debt are recorded as an other financing source rather than as a fund liability.

Debt service expenditures are recorded only when payment is due.

Basis of Presentation

Governmental Major Funds

General Fund – The General Fund is the District’s primary operating fund. It accounts  for all financial resources of the general government, except those required to be accounted for in another fund.

Debt Service Fund – Accounts for debt service requirements to retire the special assessment bonds which were used to finance the construction of District infrastructure improvements. The bond series are secured by a pledge of all available special assessment revenues in any fiscal year related to the improvements and a first lien on the special assessment revenues from the District lien on all acreage of benefited land.

Capital Projects Fund – Accounts for construction of infrastructure improvements within the District.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Basis of Presentation (Continued)
Non-current Governmental Assets/Liabilities
GASB Statement 34 requires that non-current governmental assets, such as infrastructure and improvements, and non-current governmental liabilities, such as general obligation bonds, be reported in the governmental activities column in the government-wide Statement of Net Position.

Assets, Liabilities, and Net Position or Equity
Cash and Investments
Florida Statutes require state and local governmental units to deposit monies with financial institutions classified as "Qualified Public Depositories," a multiple financial institution pool whereby groups of securities pledged by the various financial institutions provide common collateral from their deposits of public funds. This pool is provided as additional insurance to the federal depository insurance and allows for additional assessments against the member institutions, providing full insurance for public deposits.
The District is authorized to invest in those financial instruments as established by Section 218.415, Florida Statutes. The authorized investments consist of:
Direct obligations of the United States Treasury;
The Local Government Surplus Funds Trust or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperative Act of 1969;
Interest-bearing time deposits or savings accounts in authorized qualified public depositories;
Securities and Exchange Commission, registered money market funds with the highest credit quality rating from a nationally recognized rating agency.
Cash equivalents include time deposits and certificates of deposit with original maturities of three months or less and held in a qualified public depository as defined by Section 280.02, Florida Statutes.
Restricted Assets
Certain assets of the District and a corresponding liability or portion of net position is classified as restricted assets on the statement of net position because their use is limited either by law through constitutional provisions or enabling legislation, or by restrictions imposed externally by creditors. In a fund with both restricted and unrestricted assets, qualified expenses are considered to be paid first from restricted net position and then from unrestricted net position.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

4. Assets, Liabilities, and Net Position or Equity (Continued)
Capital Assets
Capital assets, which include land, construction in progress, equipment and infrastructure, are reported in the governmental activities column in the government-wide statements.
The District defines capital assets as assets with an initial, individual cost of $5,000 or more and an estimated useful life in excess of two years. The valuation basis for all assets is historical cost.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend its useful life are not capitalized.

Major outlays for capital assets and improvements are capitalized as projects are constructed.
Depreciation of capital assets is computed and recorded by utilizing the straight-line method. Estimated useful lives of the various classes of depreciable capital assets are as follows:
Equipment	5 years
Recreational facilities	30 years
Deferred Outflows of Resources
Deferred outflows of resources is the consumption of net position by the government that is applicable to a future reported period. Deferred amount on refunding is amortized and recognized as a component of interest expense over the life of the bond
Unamortized Bond Discounts

Bond discounts associated with the issuance of revenue bonds are amortized according to the straight-line method of accounting. For financial reporting, unamortized bond discounts are netted against the applicable long-term debt.
Budgets
Budgets are prepared and adopted after public hearings for the governmental funds, pursuant to Chapter 190, Florida Statutes. The District utilizes the same basis of accounting for budgets as it does for revenues and expenditures in its various funds. The legal level of budgetary control is at the fund level. All budgeted appropriations lapse at year end. Formal budgets are adopted for the general and debt service funds.

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS
Explanation of Differences Between the Governmental Fund Balance Sheet and the Government-wide Statement of Net Position
“Total fund balances” of the District’s governmental funds, $4,738,984, differs from “net position” of governmental activities, $(97,402), reported in the Statement of Net Position. This difference primarily results from the long-term economic focus of the Statement of Net Position versus the current financial resources focus of the Governmental Fund Balance Sheet. The effect of the differences is illustrated below.
Capital related items
When capital assets (infrastructure and improvements that are to be used in governmental activities) are purchased or constructed, the cost of those assets is reported as expenditures in governmental funds. However, the Statement of Net Position included those capital assets among the assets of the District as a whole.

Land	$	881,686	
Construction in progress	5,150,597	
Recreational facilities	2,669,290	
Equipment	6,232	
Accumulated depreciation	 	(970,141)	
Total	$	$7,737,664 	
Deferred outflows of resources
Deferred outflows of resources applicable to the District’s governmental activities are not current financial resources and therefore, are not reported as fund deferred outflows of resources.

Deferred amount on refunding	$	12,068
Long-term debt transactions
Long-term liabilities net of discounts applicable to the District’s governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. All liabilities (both current and long-term) are reported in the Statement of Net Position.

Bonds payable	$ (12,310,000)	
Bond discount	 	9,902	
Total	$ (12,300,098)	
Accrued interest
Accrued liabilities in the	

Statement of Net Position differ from the amount reported in	
governmental funds due to the accrued interest on bonds.
Accrued interest	$	(286,020)

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS (CONTINUED)
Explanation of Differences Between the Governmental Fund Operating Statements and the Statement of Activities
The “net change in fund balances” for government funds, $3,925,420, differs from the “change in net position” for governmental activities, $(3,875,704), reported in the Statement of Activities. The differences arise primarily from the long-term economic focus of the Statement of Activities versus the current financial resources focus of the governmental funds. The effect of the differences is illustrated below.
Capital related items
When capital assets that are to be used in governmental activities are purchased or constructed, the resources expended for those assets are reported as expenditures in governmental funds. However, in the Statement of Activities, the costs of those assets are allocated over their estimated useful lives as depreciation.
Depreciation	$	(88,976)
Capital asset acquisitions	 	2,358,799 Total	$	2,269,823
Deferred outflows of resources
The deferred amount on refunding is reported at the fund level as an other financing source, at the government-wide level it is reported as a deferred outflow of resources.
Deferred amount on refunding, net	$	(12,068)
Long-term debt transactions
Repayments of bond principal are reported as expenditures in the governmental funds and, thus, have the effect of reducing fund balance because current financial resources have been used.
Bond principal payments	$	4,845,000
Some expenses reported in the Statement of Activities do not require the use of current financial resources, therefore, are not reported as expenditures in governmental funds.
Decrease in accrued interest payable	$	51,509
The bond discount is an other financing use at the fund level and is reflected as a contra liability at the government-wide level.
Bond discount, net	$	(9,902)

NOTE C – CASH AND INVESTMENTS

All deposits are held in qualified public depositories and are included on the accompanying balance sheet and statement of net position as cash and investments.

Custodial Credit Risk – Deposits

Custodial credit risk is the risk that in the event of a bank failure, the District’s deposits may not be returned. The investment policy of the District follows the provisions of Chapter 280, Florida Statutes regarding deposits and investments. As of September 30, 2018, the District’s bank balance was $32,956 and the carrying value was $32,587. The District controls its exposure to custodial credit risk because it maintains all deposits in a qualified public depository in accordance with the provisions of Chapter 280, Florida Statutes, which means that all deposits are fully insured by Federal Depositors Insurance or collateralized under Chapter 280, Florida Statutes.

As of September 30, 2018, the District had the following investments and maturities.

 	Investment		Maturity	Fair Value

U.S. Bank Managed Money Market	N/A	$	32,622 First American Government
Obligation Fund Cl Y	26 days*	 	5,065,815 
  $	5,098,437 
* Weighted Average Maturity

The District categorizes its fair value measurements within the fair value hierarchy recently established by generally accepted accounting principles. The fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The District uses a market approach in measuring fair value that uses prices and other relevant information generated by market transactions involving identical or similar assets, liabilities, or groups of assets and liabilities.

Assets or liabilities are classified into one of three levels. Level 1 is the most reliable and is based on quoted price for identical assets, or liabilities, in an active market. Level 2 uses significant other observable inputs when obtaining quoted prices for identical or similar assets, or liabilities, in markets that are not active. Level 3 is the least reliable and uses significant unobservable inputs that use the best information available under the circumstances, which includes the District’s own data in measuring unobservable inputs.

Based on the criteria in the preceding paragraph, the investments in US Bank Managed Money Market and First American Government Obligation Cl Y are Level 1 assets.

NOTE C – CASH AND INVESTMENTS (CONTINUED)

Interest Rate Risk

The District monitors investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates.

Credit Risk

The Local Government Surplus Funds Trust is an authorized investment under Section 218.415, Florida Statutes. The District’s investments in the state investment pool and government loans are limited by state statutory requirements and bond compliance. As of September 30, 2018, the District's investment in the First American Government Obligation Fund Class Y and Local Government Surplus Funds were rated AAAm by Standard & Poor's.

Concentration of Credit Risk

The District places no limit on the amount it may invest in any one issuer. The investment in First American Government Obligation Fund Class Y is 99%, and the Managed Money Market Funds are 1 % of total investments.

The types of deposits and investments and their level of risk exposure as of September 30, 2018 were typical of these items during the fiscal year then ended. The District considers any decline in fair value for certain investments to be temporary. In addition, the District has the ability to hold investments to maturity which may have fair values less than cost. The District’s investments are recorded at fair value.

NOTE D – SPECIAL ASSESSMENT REVENUES

Special assessment revenues recognized for the 2017-2018 fiscal year were levied in October 2017. All assessments are payable on November 1 or as soon as the assessment roll is certified and delivered to the Tax Collector. Per Section 197.162, Florida Statutes, discounts  are allowed for early payment at the rate of 4% in November, 3% in December, 2% in January, and 1% in February. Assessments paid in March are without discount. All unpaid assessments become delinquent as of April 1. Virtually all unpaid assessments that were on the assessment roll certified and delivered to the Tax Collector are collected via the sale of tax certificates on or prior to June 1. For certain parcels, the District bills and collects the annual assessments.

NOTE E – CAPITAL ASSETS

Capital Asset activity for the year ended September 30, 2018 was as follows:

	Balance			Balance	
	October 1,			September 30,	
	 	2017		    Additions		  Deletions 	 	2018		
Governmental Activities:					
Capital assets, not being depreciated:					
Land	$	881,686	$	-	$	-	$	881,686	
Construction in progress
Total Capital Assets, Not Being Depreciated

Capital assets, being depreciated:	 	2,791,798 
 	3,673,484 	 	2,358,799 
 	2,358,799 	 	- 
 	- 	 	5,150,597 
 	6,032,283 	
Equipment	6,232	-	-	6,232	
Recreational facilities and amenities	 	2,669,290 	 	- 	 	- 	 	2,669,290 
 	2,675,522 	
Total Capital Assets Being Depreciated

Less accumulated depreciation for:	 	2,675,522 	 	- 	 	- 		
Equipment	(6,232)	-	-	(6,232)	
Recreational facility and amenities Total Accumulated Depreciation

Governmental Activities Capital Assets	 	(874,933) 
 	(881,165) 

  $	5,467,841 	 	(88,976)
 	(88,976)

  $ 2,269,823 	 	- 
 	- 

  $	- 	 	(963,909) 
 	(970,141) 

  $	7,737,664 	
   
Depreciation of $88,976 was charged to culture and recreation during the year.

NOTE F – LONG-TERM DEBT

The following is a summary of activity in the long-term debt of the District for the year ended September 30, 2018:
Long-term debt at October 1, 2017	$	10,020,000

Bond proceeds	7,135,000
Principal payments	 	(4,845,000)

Long-term debt at September 30, 2018	12,310,000	
Bond discount, net	 	(9,902)	
Long-term debt at September 30, 2018, net	$	12,300,098 	

NOTE F – LONG-TERM DEBT (CONTINUED)		
Long-term debt is comprised of the following:		
Special Assessment Revenue Bonds		
$1,675,000 Series 2012A-1 Special Assessment Bonds due in annual principal installments beginning May 2012, maturing in May 2037. Interest at a rate of 5.50% is due May 1 and November 1 beginning May 2012. Current portion is $45,000.	

$	1,405,000	
$3,875,000 Series 2016 Special Assessment Bonds due in annual principal installments beginning November 2018, maturing in November 2047. Interest rates ranging from 4.25% to 6.00% is due May 1 and November 1 beginning May 2016. Current portion is $55,000.	

$	3,770,000	
$7,135,000 Series 2018A Special Assessment Bonds (Assessment Area 3A) due in annual principal installments beginning November 2019, maturing in November 2048. Interest rates ranging from 4.00% to 5.375% is due May 1 and
November 1 beginning November 2018.	

$	7,135,000	

The annual requirements to amortize the principal and interest of long-term debt outstanding as of September 30, 2018 are as follows:

Year Ending					
 	September 30, 

2019	

$	 	Principal	

100,000	 	Interest	

$	673,077	 	Total	

$	773,077	
2020		210,000	653,863	863,863	
2021		225,000	644,444	869,444	
2022		230,000	605,206	835,206	
2023		240,000	623,869	863,869	
2024-2028		1,390,000	2,929,188	4,319,188	
2029-2033		1,790,000	2,524,038	4,314,038	
2034-2038		2,225,000	1,965,125	4,190,125	
2039-2043		2,350,000	1,332,800	3,682,800	
2044-2048		3,095,000	574,313	3,669,313	
2049

Totals	

  $		 	455,000 

12,310,000 	 	12,228 

  $	12,538,151 	 	467,228 

  $	24,848,151 	

NOTE F – LONG-TERM DEBT (CONTINUED)

Summary of Significant Bonds Resolution Terms and Covenants

Special Assessment Revenue Bonds
Significant Bond Provisions

The Series 2018A Bonds (Assessment Area 3A) were issued to currently refund and redeem the Special Assessment Bonds, Series 2012A-3 and pay a portion of the costs of the 2018 Project. The District levies special assessments pursuant to Section 190.022, Florida Statutes and the assessment rolls are approved by resolutions of the District Board. The collections are to be strictly accounted for and applied to the debt service of the bond series for which they were levied. The District covenants to levy special assessments in annual amounts adequate to provide for payment of principal and interest on the bonds. Payment of principal and interest is dependent on the money available in the debt service fund and the District’s ability to collect special assessments levied.

The Series 2012A-3, 2016 and 2018A Bonds are subject to redemption at the option of the District prior to their maturity, in whole or in part, in the manner provided by the Bond Indenture. The Bonds are also subject to extraordinary mandatory redemption prior to maturity in the manner determined by the Bond Registrar if certain events occur as outlined in the Trust Indenture.

The Trust Indenture established certain amounts be maintained in a reserve account. In addition, the Trust Indenture has certain restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements.
Depository Funds

The bond resolution establishes certain funds and determines the order in which revenues are to be deposited into these funds.
The following is a schedule of required reserve deposits as of September 30, 2018:

Reserve	Reserve	
	 	B	alance		  Requirement 
$	61,758	
Special Assessment Bonds, Series 2012A-3	$	60,861		
Special Assessment Bonds, Series 2016	$	278,525	$	274,300	
Special Assessment Bonds, Series 2018A (Assessment Area 3A)	$	360,427	$	360,427	

In April 2018, the District issued $7,135,000 of Series 2018A (Assessment Area 3A) Special Assessment Bonds, which retired the Series 2012A-3 Special Assessment Bonds. The current refunding of the Series 2012A-3 Special Assessment Bonds resulted in a deferred amount on refunding of $12,393. As a result of this transaction, the District increases its aggregate debt payment for Series 2018A Bonds by $236,800 over the next 30 years and realized an economic loss of approximately $26,337.

NOTE G – RISK MANAGEMENT

The District is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters. These risks are covered by commercial insurance from independent third parties. Settled claims from these risks have not exceeded commercial insurance coverage over the past three years.

NOTE H – ECONOMIC DEPENDENCY AND RELATED PARTIES

A substantial portion of the District’s activity is dependent upon the continued involvement of the developers, the loss of which could have a materially adverse effect on the District. At September 30, 2018, the developers owned or controlled a large portion of the assessable property located within the District boundaries. Some members of the Board of Supervisors are employed by the developer or its affiliates at September 30, 2018.

NOTE I – SUBSEQUENT EVENTS

In December 2018, the District issued $8,300,000 Series 2018A (Assessment Area 3B) Special Assessment Bonds. The proceeds will be used to pay a portion of the costs of the 2018A Project.

INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

To the Board of Supervisors
Amelia Walk Community Development District Nassau County, Florida

We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of Amelia Walk Community Development District, as of and for the year ended September 30, 2018, and the related notes to the financial statements, and have issued our report thereon dated June 3, 2019.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered Amelia Walk Community Development District's internal control over financial reporting to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Amelia Walk Community Development District’s internal control. Accordingly, we do not express an opinion on the effectiveness of Amelia Walk Community Development District's internal control over financial reporting.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

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Board of Supervisors
Amelia Walk Community Development District

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Amelia Walk Community Development District's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

The District’s responses to the findings identified in our audit are described in the accompanying Management Letter. We did not audit the District’s responses and, accordingly, we express no opinion on them.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants
Fort Pierce, Florida June 3, 2019

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MANAGEMENT LETTER

To the Board of Supervisors
Amelia Walk Community Development District Nassau County, Florida

Report on the Financial Statements

We have audited the financial statements of the Amelia Walk Community Development District as of and for the year ended September 30, 2018, and have issued our report thereon dated June 3, 2019.

Auditor’s Responsibility

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

Other Reporting Requirements

We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards and our Independent Auditor’s Report on an examination conducted in accordance with AICPA Professionals Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated June 3, 2019, should be considered in conjunction with this management letter.

Prior Audit Findings

Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding financial audit report. There were no findings or recommendations in the preceding audit.

Financial Condition and Management

Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, require us to apply appropriate procedures and communicate the results of our determination as to whether or not Amelia Walk Community Development District has met one or more of the  conditions  described in Section 218.503(1), Florida Statutes, and to identify the specific conditions met. In connection with our audit, we determined that Amelia Walk Community Development District did not meet any of the conditions described in Section 218.503(1) Florida Statutes.

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To the Board of Supervisors
Amelia Walk Community Development District

Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures for Amelia Walk Community Development District. It is management’s responsibility to monitor the Amelia Walk Community Development District’s financial condition; our financial condition assessment was based in part on the representations made by management and the review of the financial information provided by the same as of September 30, 2018.

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

Additional Matters

Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but warrants the attention of those charged with governance. In connection with our audit, we did not note any such findings.

Purpose of this Letter

Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, the Board of Supervisors, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 3, 2019

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INDEPENDENT ACCOUNTANT’S REPORT/COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES

To the Board of Supervisors
Amelia Walk Community Development District Nassau County, Florida

We have examined Amelia Walk Community Development District's compliance with Section 218.415, Florida Statutes during the year ended September 30, 2018. Management is responsible for Amelia Walk Community Development District’s compliance with those requirements. Our responsibility is to express an opinion on Amelia Walk Community Development District’s compliance based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about Amelia Walk Community Development District’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on Amelia Walk Community Development District’s compliance with the specified requirements.

In our opinion, Amelia Walk Community Development District complied, in all material respects, with the aforementioned requirements during the year ended September 30, 2018.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida June 3, 2019

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