Verano #2 Community Development District

http://www.Verano2cdd.com

Darren Weimer, Chairman John Scott, Vice Chairman
Dave Yacoob, Assistant Secretary Tom Cann, Assistant Secretary Leon Magett, Assistant Secretary

January 15, 2026

Seat 2: Darren Weimer – (C.)		
Seat 1: John Scott – (V.C.)		
Seat 3: Dave Yacoob – (A.S.)		
Seat 4: Tom Cann – (A.S.)		
Seat 5: Leon Magett – (A.S.)		

Verano #2
Community Development District
Revised Meeting Agenda

Thursday	Verano Social Clubhouse
January 15, 2026	10291 SW Visconti Way, Port St. Lucie, FL 11:00 a.m.		Join the meeting now
Meeting ID: 221 658 881 196and Passcode: EL6Ak9xT
1 872-240-4685 and Phone Conference ID: 327 042 38#

Roll Call

Approval of Minutes of the October 30, 2025 Meeting – Page 4
Public Hearing to Adopt the Rules
Motion to Open the Public Hearing
Public Comment and Discussion
Consideration of Resolution #2026-04 Adopting the Rules – Page 13
Motion to Close the Public Hearing
Ratification of
Retention and Fee Agreement with Kutak Rock, LLP – Page 17

Addendum to Lake Maintenance Agreement – Crosstown Commons with SOLitude Lake Management, LLC – Page 22

Addendum to Lake Maintenance Agreement with SOLitude Lake Management, LLC – Page 27

Holiday Lighting Installation Services Agreement with Holiday Seasonal Lights, LLC – Page 33

Purchase Order (Florida Exotic a Landscape Company Inc. – Page 48
Agreement for Pond Landscape Maintenance Services Agreement with P.H.L Land Care, Inc. – Page 54
Agreement for Pond Landscape Maintenance Services Agreement with Toler Enterprises, Inc. – Page 65
Agreement for Engineering Services Agreement – Page 75

Acceptance of Audit for Fiscal Year Ending in September 30, 2025 – Page 93

Approval of CDD/HOA Agreement Regarding Parking Enforcement – Page 126

Staff Reports
Attorney

Engineer – Engineering Agreement

Field Manager – Master Infrastructure
Proposal #3 on Lake Bank Remediation – Page 132

Field Manager – Crosstown Commons
Pool Pavers Repairs
Venice Commercial Services, LLC – Page 133

Pristine Pavers, LLC – Page 134

Hoover Pump Maintenance Agreement MA#7802 with Hoover Pumping Systems – Page 135

Mosquito Control Services with Clarke Environmental Mosquito Management, Inc. – Page 139
Drainage Repairs Tessilli with AECOM – Page 149
Manager
Financial Reports
Check Run Summary – Page 161
Acceptance of Unaudited Financials – Page 167
Supervisors Requests and Audience Comments

Adjournment
Meetings are open to the public and may be continued to a time, date and place certain. For more information regarding this CDD please visit the website: http://www.verano2cdd.com

MINUTES OF MEETING VERANO #2
COMMUNITY DEVELOPMENT DISTRICT

The special meeting of the Board of Supervisors of the Verano #2 Community Development District was held on Thursday, October 30, 2025, at 11:00 a.m. at 10291 S.
W. Visconti Way, Port St. Lucie, Florida.

Present and constituting a quorum were:

Darren Weimer	Vice Chairman
John Scott	Assistant Secretary
David Yacoob	Assistant Secretary
Tom Cann	Assistant Secretary
Leon Magett	Assistant Secretary

Also present were:
Andressa Hinz Philippi	District Manager
Dmitry Gulyamov	Governmental Management Services
Jere Earlywine	District Counsel
Brandon Ulmer	Mills, Short & Associates
Frank Ducci	Lang Management - Field Manager

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

SECOND ORDER OF BUSINESS	Approval of Minutes of the August
21, 2025 Meeting
Ms. Hinz Philippi presented the minutes from the August 21, 2025 meeting, asked for any comments, additions, corrections or deletions, and upon hearing none, asked for a motion to approve the minutes.

On MOTION by Mr. Weimer seconded by Mr. Yacoob with all in favor, the Minutes of the August 21, 2025 Meeting were approved.

THIRD ORDER OF BUSINESS	Consideration of Resolution #2026-
Designating Jere Earlywine of Kutak Rock, LLP as the District’s Registered Agent
Ms. Hinz Philippi presented Resolution #2026-01 designating Jere Earlywine of Kutak Rock, LLC as the District’s registered agent and gave a brief explanation of this item. She then asked for any questions or comments, and upon hearing none, asked for a motion to approve the resolution.

On MOTION by Mr. Weimer seconded by Mr. Yacoob with all in favor, Resolution #2026-01 designating Jere Earlywine of Kutak Rock, LLC as the District’s Registered Agent was approved.

FOURTH ORDER OF BUSINESS	Consideration of Resolution #2026-
Setting the Public Hearing for Parking Rules
A. Rules Relating to Parking Enforcement
B. CDD/HOA Agreement Parking Enforcement
Ms. Hinz Philippi presented resolution #2026-02 setting the public hearing for parking rules stating this would be the agreement with the city to enforce the parking rules. She also stated both items A and B were discussed at the previous meeting and she was just bringing this back to the Board to set the public hearing because there was a 60-day notice requirement to advertise the public hearing.
(At this point there was a brief discussion among the Board members, Mr. Earlywine and District staff relating to this item)(Mr. Earlywine also made a few additional comments giving a brief explanation of the subsequent items following Resolution #2026-02, the CDD/HOA Agreement for Parking Enforcement, Resolution #2026-03, authorizing Traffic Enforcement Agreement and also the Quit Claim Deed)
Ms. Hinz Philippi then asked for any further questions or comments and upon hearing none, she asked for a motion to adopt resolution #2026-02 setting the public hearing on January 15, 2025 at 11:00 a.m. if the Board was in agreement.

On MOTION by Mr. Yacoob seconded by Mr. Caan with all in favor, Resolution #2026-02 setting the Public Hearing for Parking Rules on January 15, 2026 at 11:00 a.m. at 10291 SW Visconti Way, Port St. Lucie, Florida was approved.

Ms. Hinz Philippi stated they would table item 4B as discussed to the next meeting and work with the HOA and also appoint Mr. Magett as liaison on behalf of the District relating to the CDD/HOA parking enforcement agreement. She then asked for a motion from the Board to appoint Mr. Magett as liaison on behalf of the District.

On MOTION by Mr. Yacoob seconded by Mr. Caan with all in favor, appointing Mr. Leon Magett as liaison on behalf the District to work with District staff and the HOA on the parking enforcement agreement and tabling item 4B as discussed was approved.

FIFTH ORDER OF BUSINESS	Consideration of Resolution #2026-03
Authorizing the Traffic Enforcement Agreement
A. Agreement for Traffic Enforcement of CDD Roads
Mr. Earlywine then presented resolution #2026-03 authorizing the traffic enforcement agreement of CDD roads. He then gave a brief explanation of this item and asked for any comments or questions. Upon hearing none, he asked for a motion to adopt the resolution.

On MOTION by Mr. Weimer seconded by Mr. Magett with all in favor, Resolution #2026-03 authorizing the Traffic Enforcement Agreement of CDD roads was approved.

SIXTH ORDER OF BUSINESS	Approval of Quit Claim Deed
Ms. Hinz Philippi presented the approval of the quit claim deed and gave a brief explanation of this item. She then asked for any questions or comments and upon hearing none, asked for a motion to approve.

On MOTION by Mr. Yacoob seconded by Mr. Scott with all in favor, accepting the Quit Claim Deed was approved.

SEVENTH ORDER OF BUSINESS	Ranking	of	Respondents	to
Engineering Proposals
Ms. Hinz Philippi presented the ranking of respondents to engineering proposals stating they had received only one response from Mills, Short & Associates and Mr. Brandon

Ulmer was in attendance to answer any questions the Board may have regarding his proposal. She then stated the Board would need to rank Mills, Short & Associates as the #1 ranked engineering firm to move forward and authorize District staff to prepare an agreement.
Mr. Ulmer introduced himself to the Board and made a few additional comments relating to his historical background and his proposal.
Ms. Hinz Philippi then asked for any questions or comments, and upon hearing none, asked for a motion to rank Mills, Short & Associates as the #1 ranked engineering firm.

On MOTION by Mr. Yacoob seconded by Mr. Weimer with all in favor, accepting the ranking of respondents to the RFP, and ranking Mills, Short & Associates as the #1 ranked engineering firm and authorizing staff to enter into an agreement was approved.

EIGHTH ORDER OF BUSINESS	Discussion of Landscape Proposals
(Common Area)
Ms. Hinz Philippi presented the discussion of landscape proposals for the common area and stated before they discuss this item she would like Mr. Ducci to give a brief overview of the current landscape vendor.
Mr. Ducci stated the existing vendor failed to meet their contractual obligations, and there was also lack of supervision and so the Verano Master Board had recently selected a new landscape company to start on December 1st. He then gave a brief explanation of the multi-month RFP process that took place and stated they also asked the new vendor to bid on the Verano CDD #1 and #2 portions of the maintenance relating to the lake banks. Mr. Ducci then stated his recommendation to the Board would be to move forward with PHL Land Care, Inc. for continuity of the lake banks.
Mr. Earlywine stated that essentially the current landscaper, United Land Services, did not perform their contractual obligations and if the Board wished to move forward with Mr. Ducci’s recommendation they would need to terminate the current landscape vendor.
(At this point there was a brief discussion among the Board members, District staff and Mr. Ducci relating to this item)

On MOTION by Mr. Weimer seconded by Mr. Caan with all in favor, authorizing staff to terminate the current landscape company, United Land Services, with a 30-day notice and authorizing District Counsel to prepare the termination letter was approved.

Ms. Hinz Philippi presented the landscape proposals included in the agenda and gave a brief explanation stating that a comparative spreadsheet of those proposals was provided by Mr. Ducci which was also included in the agenda.
Mr. Ducci then gave a brief summary of the PHL Land Care proposal recommending the Board move forward with PHL Land Care at the same cost as the previous landscaper, United Land Services. Mr. Ducci then asked for any questions or comments from the Board.
(At this point there was a brief discussion among the Board members, District staff and Mr. Ducci relating to this item)

On MOTION by Mr. Caan seconded by Mr. Yacoob with all in favor, accepting the proposal from PHL Land Care, Inc, to provide landscape maintenance services for the lake banks was approved.

Mr. Ducci also stated that Verano #2 was now responsible for mowing the C-24 canal on the south side and stated he was recommending Toler Enterprises, Inc. to do only the maintenance of the C-24 canal south side for consistency purposes and then use PHL Land Care, Inc. for the lake banks.
(At this point there was a discussion among the Board members, District staff and Mr.
Ducci relating to this item)

Ms. Hinz Philippi also asked for a motion to approve Toler Enterprises, Inc. as the landscape vendor to do the maintenance of the C-24 south side canal.

On MOTION by Mr. Scott seconded by Mr. Caan with all in favor, accepting the proposal from Toler Enterprises, Inc, to provide landscape mowing services for the C-24 south side canal was approved.

NINTH ORDER OF BUSINESS	Discussion of Quotes/Estimates/
Proposals on:
Estimate #6887 for Mulch with Florida Exotic Landscaping Irrigation
Ms. Hinz Philippi presented the discussion of quotes, estimates and proposals and asked Mr. Gulyamov to give a brief overview of the estimate for mulch with Florida Exotic Landscaping.
Mr. Gulyamov then gave a brief explanation of the estimate stating he had finally obtained a proposal from Florida Exotic Landscaping which was a $50 difference from last year to this year to mulch the Crosstown Commons Verano #2 area in the amount of $7,650 for all the common areas.
Ms. Hinz Philippi then asked for any questions or comments, and upon hearing none she asked for a motion to approve the estimate.

On MOTION by Mr. Yacoob seconded by Mr. Scott with all in favor, accepting Estimate #6887 in the amount of $7,650 from Florida Exotic Landscaping Irrigation for mulching the common areas at Crosstown Commons for Verano #2 was approved.

Lounge Chairs Proposals
Mr. Gulyamov then gave a brief explanation on the two proposals he had received for the lounge chairs stating one proposal was way over priced at $10,000 but, he found a much better company which was recommended by a resident who had worked for a hotel and had supplied lounge chairs for the hotel, and that quote was for $4,103.41. Mr. Gulyamov also stated this particular company did not sell lounge chairs already assembled so they would have to be put together once delivered.
(At this point there was a discussion among the Board members, District staff, and Mr. Gulvamov relating to this item)

Ms. Hinz Philippi then asked for any further questions or comments, and upon hearing none she asked for a motion to approve the quote #36345409 from Restaurant Furniture Plus in the amount of $4,103.41.

On MOTION by Mr. Yacoob seconded by Mr. Scott with all in favor, accepting Quote #36345409 in the amount of $4,103.41 from Restaurant Furniture Plus to supply lounge chairs for Crosstown Commons at Verano #2 was approved.

Proposal for Pool Pavers with Venice Commercial Services
Mr. Gulyamov then gave a brief explanation on the proposals he had received for pool pavers repairs stating he obtained two proposals, one of them came back on the higher end at $58,265 and the other from Venice Commercial Services which was much lower with the same specs at $38,000.
(At this point there was a discussion among the Board members, District staff, and Mr. Gulvamov relating to this item)(The Board agreed to table this item to the next meeting and requested Mr. Gulyamov to bring back some potential concrete proposals for the pool pavers)

Holiday Lights with Holiday Seasonal Lights
Mr. Gulyamov then gave a brief explanation on the proposal for holiday lights stating the amount would be for $2,800.
Ms. Hinz Philippi stated this would just be to light up the monuments at the front.
(At this point there was a discussion among the Board members, District staff, and Mr. Gulvamov relating to this item)

Ms. Hinz Philippi then asked for any further questions or comments, and upon hearing none she asked for a motion to approve.

On MOTION by Mr. Yacoob seconded by Mr. Magett with all in favor, accepting the proposal for holiday lights in the amount of $2,800 to supply holiday lights for the monuments for Crosstown Commons at Verano #2 was approved.

New TV to Be Installed on Pool Deck Under the Lanai with Walmart
Ms. Hinz Philippi stated this item was brought in as an idea by Mr. Yacoob, and asked Mr. Gulyamov how much the proposal was for.
Mr. Gulyamov then gave a brief explanation on the proposal for a TVs to be installed at the pool deck stating it was $802.94 to purchase 2 swing arms brackets and 2 65” TVs and then they would get them installed in house.
(At this point there was a discussion among the Board members, District staff, and Mr. Gulvamov relating to this item)
Ms. Hinz Philippi then asked for any further questions or comments, and upon hearing none she asked for a motion to approve.

On MOTION by Mr. Yacoob seconded by Mr. Magett with all in favor, authorizing staff to purchase two 65” TVs including swing arm brackets in an amount not to exceed of $1,000 for Crosstown Commons at Verano #2 was approved.

TENTH ORDER OF BUSINESS	Ratification of:
Quote #q15294 with Krauss & Crane Air Conditioning
Addendum to Auditor Engagement Letter
Ms. Hinz Philippi presented the ratification of quote #q15294 with Krauss & Crane Air Conditioning and also the Addendum to the auditor’s engagement letter which were included in the agenda stating these items were approved at a previous meeting and she was just bringing them back for ratification. She then asked for any questions or comments and upon hearing none, she asked for a motion to ratify.

On MOTION by Mr. Yacoob seconded by Mr. Weimer with all in favor, ratifying quote #q15294 with Krauss & Crane Air Conditioning and also the Addendum to the Auditor Engagement letter were approved.

ELEVENTH ORDER OF BUSINESS	Staff Reports
Attorney
There not being any report, the next item followed.

Engineer
There not being any report, the next item followed.

Field Manager – Master Infrastructure
Ms. Hinz Philippi stated in the interest of time constraints Mr. Ducci had already given his comments on Master infrastructure matter.

Field Manager - Crosstown Commons
1) Memorandum with AECOM
Mr. Gulyamov gave a brief explanation of this item stating there was an additional engineer’s report needed.
Mr. Ulmer stated there is a problem with the easement drainage and according to the District’s engineers report, the CDD is responsible for that and he would need to inspect the easements with the drainage issues, then he would be able to come back to the Board with a recommendation.

Manager – Final Approval of the FY 2024 Report Performance Measures and Standards
Ms. Hinz Philippi presented the final approval of the FY2024 report performance measures and standards which was included in the agenda. She then gave a brief explanation of the report and asked for any questions or comments. Upon hearing none, she asked for a motion to accept the report.

On MOTION by Mr. Scott seconded by Mr. Yacoob with all in favor, the final approval of the FY2024 Report Performance Measures and Standards was approved.

TWELFTH ORDER OF BUSINESS	Financial Reports
Check Run Summary
Acceptance of Unaudited Financials
Ms. Hinz Philippi presented the check run summary and the unaudited financials and asked for any comments or questions. Upon hearing none, she asked for a motion to accept the financials.

On MOTION by Mr. Weimer seconded by Mr. Yacoob with all in favor, the check run summary and the unaudited financial were approved.

THIRTEENTH ORDER OF BUSINESS	Supervisors	Requests	and
Audience Comments
Ms. Hinz Philippi asked for any Supervisor’s requests at this time. There were none.
She then asked for any audience comments, there were none at this time.

FOURTEENTH ORDER OF BUSINESS	Adjournment
Ms. Hinz Philippi asked if there was anything further to discuss, and upon not hearing any asked for a motion to adjourn the meeting.

On MOTION by Mr. Magett seconded by Mr. Caan with all in favor, the Meeting was adjourned.

Secretary / Assistant Secretary	Chairman / Vice Chairman

RESOLUTION 2026-04

A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE VERANO 2 COMMUNITY DEVELOPMENT DISTRICT ADOPTING RULES RELATING TO PARKING AND PARKING ENFORCEMENT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, Verano 2 Community Development District (“District”) is a local unit of special purpose government created and existing pursuant to Chapter 190, Florida Statutes; and

WHEREAS, Chapter 190, Florida Statutes, authorizes the District to adopt rules to govern the administration of the District and to adopt resolutions as may be necessary for the conduct of District business; and

WHEREAS, to provide for efficient and effective District operations and to maintain compliance with Florida law, the Board of Supervisors finds that it is in the best interests of the District to adopt by resolution the Rules Relating to Parking Enforcement, attached hereto as Exhibit A for immediate use and application (“Rules”); and

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE VERANO 2 COMMUNITY DEVELOPMENT DISTRICT:

RULE ADOPTION. The attached Rules are hereby adopted pursuant to this resolution as necessary for the conduct of District business. These Rules shall stay in full force and effect until such time as the Board of Supervisors may amend these Rules in accordance with Chapter 190, Florida Statutes.

SEVERABILITY. If any provision of this resolution is held to be illegal or invalid, the other provisions shall remain in full force and effect.

EFFECTIVE DATE. This resolution shall become effective upon its passage and shall remain in effect unless rescinded or repealed.

PASSED AND ADOPTED this 	 day of 	 2026.

ATTEST:	VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

Secretary	Chair/Vice Chair, Board of Supervisors

Exhibit A:	Rule Relating to Parking Enforcement

EXHIBIT A

Verano 2 Community Development District
Rule Relating to Parking Enforcement

In accordance with Chapter 190, Florida Statutes, and on 	, 20 , at a duly noticed public meeting, and after a public hearing, the Board of Supervisors of the Verano 2 Community Development District (“District”) adopted the following rule to govern parking enforcement on certain District property.

INTRODUCTION. The District finds that parked vehicles can cause hazards and danger to the health, safety and welfare of District residents and the public. This rule is intended to provide the District with the ability to remove such vehicles and fine such owners consistent with this rule and as indicated herein.

PARKING RULES.

City Parking Prohibitions

The parking prohibitions set forth in Chapter 72, Article I, Sections 72.01 and 72.02 of the Code of Ordinances of the City of Port St. Lucie, Florida are applicable to District-owned property, including but not limited to District-owned rights-of-way. A copy of such prohibitions is attached hereto as Exhibit A. The City parking prohibitions shall be enforced pursuant to a traffic enforcement agreement between the District and the City, or as set forth herein.

CDD General Parking Prohibitions

The District hereby adopts the following parking prohibitions:

Vehicles must be parked in designated areas. Vehicles shall not be parked in any way that blocks the normal flow of traffic, and shall not be parked on any street other than on the right-hand side of any two-way street.
No parking is allowed on any District-owned right-of-ways or other property between the hours of 10:00 p.m. to 7:00 a.m., unless such vehicle has been duly registered by the Amenity Manager, the owner of such vehicle has a valid parking pass, and that parking pass is visibly displayed in the vehicle in question (”Permitted Vehicle”).
Households with more than three licensed drivers may request an annual parking pass from the Amenity Manager for the additional vehicle(s) owned by person(s) residing at that household. Annual parking passes will be effective from the date

issued until September 30 of the year issued. The annual parking passes will cost one hundred and twenty-five dollars ($125.00) per year. The cost of an annual pass issued after October 1 will be prorated.
Permitted Vehicles parking on the street must do so with the proper flow/direction of traffic. No person may park their vehicle with the left side of their vehicle against a curb and the right side of the vehicle facing the road at any time, regardless of permitting status.
No person may park a vehicle directly across from another vehicle, regardless of permitting status.
Parking on grassy areas owned by the District or in which the District owns an easement is strictly prohibited for both vehicles and Permitted Vehicles.
Permitted Vehicles may not park in front of street signs or fire hydrants or on top of curbs.
Parking in the clubhouse/amenity centers shall be on a first come/first serve basis.
No vehicles used in business for the purpose of transporting good, equipment and the like, shall be parked on District property, except during the period of delivery of goods or during the provision of services. No vehicles used in business for the purpose of transporting good, equipment and the like, shall be parked on District property overnight.
No vehicles which cannot operate on its own power shall remain on District property for more than (12) hours.

Clubhouse
Amenity area parking is for amenity patrons and guests only and limited while enjoying the amenity area. No overnight parking is allowed, except for in certain designated spots as permitted by the District’s amenity manager.
Golf cart parking spaces are for golf cart use only.

TOWING/REMOVAL PROCEDURES.

SIGNAGE AND LANGUAGE REQUIREMENTS. Notice of these rules, and the parking prohibitions stated herein, shall be approved by the District’s Board of Supervisors and shall be posted on District property in the manner set forth in section 715.07, Florida Statutes. Such signage is to be placed in conspicuous locations, in accordance with section 715.07, Florida Statutes.

AGREEMENT WITH AUTHORIZED TOWING SERVICE. The District’s Board of
Supervisors is hereby authorized to enter into and maintain an agreement with a firm authorized by Florida law to tow/remove unauthorized vehicles in accordance with Florida law and with the rules set forth herein(“Towing Operator”).

TOWING/REMOVAL AUTHORITY. The Towing Operator will/shall be permitted to conduct “roam” towing from 10:00 p.m. to 7:00 a.m., in accordance with this Rule. The Towing Operator does not require authorization from the District to tow any vehicles in violation of this Rule. However, the Towing Operator shall render its services in accordance with this Rule, the Towing Agreement and Florida law, specifically the provisions set forth in section 715.07, Florida Statutes.

OTHER DISTRICT PENALTIES. If any person is found to have violated any of the provisions of this rule, and pursuant to Sections 120.69(2) and (7), Florida Statutes and other applicable law, the District shall have the right to impose a fine of up to the amount of
$1,000 and collect such fine and attorney’s fees as a contractual lien or as otherwise provided by Florida law.

PARKING AT YOUR OWN RISK. Vehicles may be parked on District property pursuant to this rule, provided however that the District assumes no liability for any theft, vandalism and/ or damage that might occur to personal property and/or to such vehicles.

Effective date:	, 202

RETENTION AND FEE AGREEMENT

PARTIES

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

Verano 2 CDD (“Client”)
c/o Governmental Management Services 5385 N. Nob Hill Road
Sunrise, FL 33351 and
Kutak Rock LLP (“Kutak Rock”) 107 West College Avenue Tallahassee, Florida 32301

SCOPE OF SERVICES
In consideration of the mutual undertakings and agreements contained herein, the parties agree as follows:
The Client agrees to employ and retain Kutak Rock as its attorney and legal representative for general advice, counseling and representation of Client and its Board of Supervisors.
Kutak Rock accepts such employment and agrees to serve as attorney for and provide legal representation to the Client in connection with those matters referenced above. No other legal representation is contemplated by this Agreement. Any additional legal services to be provided under the terms of this Agreement shall be agreed to by Client and Kutak Rock in writing. Unless set forth in a separate agreement to which Client consents in writing, Kutak Rock does not represent individual members of the Client’s Board of Supervisors

CLIENT FILES

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

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

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

Kutak Rock’s regular hourly billing rates are reevaluated annually and are subject to change not more than once in a calendar year. Client agrees to Kutak Rock’s annual rate increases to the extent hourly rates are not increased beyond $15/hour per year.
To the extent practicable and consistent with the requirements of sound legal representation, Kutak Rock will attempt to reduce Client’s bills by assigning each task to the person best able to perform it at the lowest rate, so long as he or she has the requisite knowledge and experience.
Upon consent of Client, Kutak Rock may subcontract for legal services in the event that Client requires legal services for which Kutak Rock does not have adequate capabilities.
Kutak Rock will include costs and expenses (including interest charges on past due statements) on its billing statements for Client reimbursement in accordance with the attached Expense Reimbursement Policy.
BILLING AND PAYMENT
The Client agrees to pay Kutak Rock’s monthly billings for fees and expenses incurred within thirty (30) days following receipt of an invoice, or the time permitted by Florida law, whichever is greater. Kutak Rock shall not be obligated to perform further legal services under this Agreement if any such billing statement remains unpaid longer than thirty (30) days after submittal to and receipt by Client. Non-payment of billing statements shall be a basis for Kutak Rock to immediately withdraw from the representation without regard to remaining actions necessitating attention by Kutak Rock as part of the representation.

DEFAULT; VENUE
In any legal proceeding to collect outstanding balances due under this Agreement, the prevailing party shall be entitled to recover reasonable attorneys’ fees in addition to costs and outstanding balances due under this Agreement. Venue of any such action shall be exclusive in the state courts of the Second Judicial Circuit in and for Leon County, Florida.
CONFLICTS
It is important to disclose that Kutak Rock represents a number of special districts, trustees (“Trustees”), bondholders, developers, builders, and other entities throughout Florida and the United States of America relating to community development districts, special districts, local governments and land development. Kutak Rock or its attorneys may also have represented the entity which petitioned for the formation of the Client. Kutak Rock understands that Client may enter into an agreement with a Trustee in connection with the issuance of bonds, and that Client may request that Kutak Rock simultaneously represent Client in connection with the issuance of bonds, while Kutak Rock is also representing such Trustee on unrelated matters. By accepting this Agreement Client agrees that (1) Client was provided with an explanation of the implications of the common representation(s) and the advantages and risks involved; (2) Kutak Rock will be able to provide competent and diligent representation of Client, regardless of Kutak Rock’s other representations, and (3) there is not a substantial risk that Kutak Rock’s representation of Client would be materially limited by Kutak Rock’s responsibilities to another client, a former client or a third person or by a personal interest. Acceptance of this Agreement will constitute Client’s waiver of any “conflict” with Kutak Rock’s representation of various special districts, Trustees, bondholders, developers, builders, and other entities relating to community development districts, special districts, local governments and land development.
ACKNOWLEDGMENT
Client acknowledges that the Kutak Rock cannot make any promises to Client as to the outcome of any legal dispute or guarantee that Client will prevail in any legal dispute.
TERMINATION
Either party may terminate this Agreement upon providing prior written notice to the other party at its regular place of business. All fees due and payable in accordance with this Agreement shall accrue and become payable pursuant to the terms of this Agreement through the date of termination.
EXECUTION OF AGREEMENT
This Agreement shall be deemed fully executed upon its signing by Kutak Rock and the Client. The contract formed between Kutak Rock and the Client shall be the operational contract between the parties.

ENTIRE CONTRACT
This Agreement constitutes the entire agreement between the parties.
Accepted and Agreed to:

VERANO 2 CDD

By:	 Date:2025-09-09

KUTAK ROCK LLP

Jere L. Earlywine

By:		 Date:	August 13, 2025

ATTACHMENT A KUTAK ROCK LLP
EXPENSE REIMBURSEMENT POLICY

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

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

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

Postage. Postage is billed at actual cost.

Overnight Delivery. Overnight delivery is billed at actual cost.

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

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

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

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

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

ADDENDUM TO LAKE MAINTENANCE AGREEMENT – CROSSTOWN COMMONS

THIS ADDENDUM TO LAKE MAINTENANCE AGREEMENT (“Addendum”) is made to be effective as of November 1, 2025, and is by and between:

VERANO #2 COMMUNITY DEVELOPMENT DISTRICT, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and whose mailing address is 5385 N. Nob Hill Road, Sunrise, Florida 33351 (“District”), and

SOLITUDE LAKE MANAGEMENT, LLC, a Virginia Limited Liability Company, with a mailing address of 1320 Brookwood Dr, Suite H, Little Rock Arkansas 72202 (“Contractor”).

RECITALS

WHEREAS, the District and Contractor entered into that certain Agreement Between the Verano #2 Community Development District and Solitude Lake Management, LLC for Lake Maintenance Services – Crosstown Commons, dated November 30, 2023 (“Agreement”); and

WHEREAS, Section 2(B) of the Agreement provides that the Agreement may be renewed for three (3) additional one (1) year terms, “upon the mutual consent of the parties via an addendum to this Agreement;” and

NOW, THEREFORE, based upon good and valuable consideration and the mutual covenants of the parties, the receipt and sufficiency of which are hereby acknowledged, the District and Contractor agree as follows:

RECITALS. The recitals stated above are true and correct and by this reference are incorporated herein and form a material part of this Addendum.

RENEWAL. The Agreement is hereby affirmed and continues to constitute a valid and binding agreement between the parties for the District’s Fiscal Year beginning November 1, 2025 and through October 31, 2026. Except as described in this Addendum, nothing herein shall modify the rights and obligations of the parties under the Agreement. Except as set forth herein, all of the remaining provisions, including, but not limited to, the engagement of services, compensation, indemnification, and sovereign immunity provisions, remain in full force and effect.

TERMINATION. Section 5A of the Agreement is hereby replaced in its entirety with the following language:

The Agreement may be terminated immediately upon written notice by the District for cause, or for no reason upon 30 days written notice by either party. Contractor shall not be entitled to lost profits or any other damages of any kind resulting from any such termination by the District, provided however that Contractor shall be entitled to payment for any work provided through the effective date of termination, subject to any offsets.

SCOPE OF SERVICES. Exhibit A attached to the Agreement is hereby replaced in its entirety with Exhibit A attached hereto.

IN WITNESS WHEREOF, the parties execute this Addendum.

SOLITUDE LAKE MANAGEMENT, LLC	VERANO #2 COMMUNITY DEVELOPMENT DISTRICT

__________________________
u_s_in_e_s_s_M_a_n_a_g_e_r _____________

By: _	By:	
Its: _B_	Its:_Secretary	
10/06/2025

EXHIBIT A:

hab�eo loc □-am by wrn.ng aff oulside fighlin,g if poss:.'ble_ Compcmy llighly recommendls aeration ond/or fi5ih stocidng □span of hi� program to help conirol 1hese □quolic 'irlSect specie� Comp□ny cannot g11o:r□n ee 1he comple e con rol of midges·. masqu oes or black flfes_.

:Serw::e R:elJQlfjag-
I _	Cus1o mer wlll be provided wiih.a se�e rapori det{Jilirt.g all of the wmk performed m parl o• h� Agreemenl olfter each 11-i 1.

f'ermitiing: (When A!Opticoble'I
I_ SOlihme �1-□f wil be raspon.si� far !he f0Uowir19:
o_ Ob!aining =Y E'edetral, s ote, or Joca pem,ifs rnq ire io perform cmv wad:.�:peci"ied in 1ti� Agreement Where op>plicable_
b_ Attending □n'(pubk hearings-orm1'!e lngs	hre_gulatorsc.sreq lredlnsupporto the
permit ing proc-e:;�.
filing of a riy nolic-e,�or ','e□r-end r,e;parn ,...,;1 ihe □JPproprl□le agency -Cl�ie•quired by onv re .led permit_
d_ Notifying the Cudomer of Gn:rf reslrictiom or special condili:ms pu on flle si:e with re.spec to ar1v perm•i rec ei•,•ed. wllere opplic□l::ile_

Cu�tomer iRsspon.siblme5 jw.hen □pplicoble]:
L  Cuslome, wlll be r-e-spomlble for he followir1g�
a_ J>ro�idiflg WT'liormaitir.m reql:M8d fo:r the perm- opplica1i\:m pro,e-e,s,-s upon request-b_ Pro..,jdlng Certiied A!bullerslM Jar o:bLJi ar r10tifJc□ tlon whesre required.
c . .Perform an'( public Ei  g� orrecor,:f gs wi h any a.gency or commi55ian mi:oci□ted w'ilh
tne permit in,g process, if required_
. C�mpic:mce ,,m any otiher special reqLM"ements or condi1ions :required by tile loca,I munic.Tpaiity_
Compkmce □nd enforcemanl" of "empor□rr watef-\Jsa r�fric ion� where applicable_

G.-eneral Qualific□tiorn:
I_	Company i, a licensed pesocide □pplicafor in lhe s1:aie in. which service is to be pra-.ided_
2.		ndivid•J Applica;tof5-are Cer1ifiad l'es icide Applicct'orsin Aquaocs, Pub He□I1h. fores ry. RTgilJ 01 Woy, □nd iurf/Om□menkll m required-	he £tole fn wtiich service is to be provided.
3_		Company is a S:eP RO Pie femtd Appfic□tOJ and dediooted S:tewmd of We er_ Each indi-ooual applicator h□s-be&Jl ral:ned an-d educo!ed in he -waleirquo ly te,�ling and cmofysis requiecl far prescl!iptlve .�te-�ec-1.c w□1er quali y man□g emer1 and 1.1 lize� on ln sgrcfedl ap:proacti 1110 eocompmses □IIaspects af ecologic	bal□11ced man□g_emen,i_ Eadl □pp-ca or hes racewed a� emrve training in ine proper selecrton.. Ltsa, □nd oppico1ion •Oi all aquolic
erbicldes, o!gaecldes. adjLNa h. and wat-er quell y en.hcncemant prod1Jc s necessrny 1a propefii' 1rEa our Cus:lom'!!IS' lme, □nd p.onds as pmt o □n o\'ern:11 fn egmtedpe5 mor1Cg'!!ilTIE!llt pmgram,
4_	Company gu□ra:nlee!i tihOJtall pmducts us;,e.d for t,reatment ore Ell'A re-gl!. ered o,r.cl lobe d □s app:ropriate ond !ia-a for use ir1l'a;:m, ponds. an-d other □qua le �le�.. and are bein,g applied'
o m□nn.er cor1Sis en with tneir labeling_

5_		All pesffc'. a appflc□tlcn.smode dlree  1o the w□ter ar □kmg the .shorenne lar hBcon rol of al90:e, o,qu□tic waed,, oro her aquatic pesls m specified 1n !his AgJeemen	me.el or ec1ecaecl □IIof the Company's lagpl regulafory require-men s. m sel f-orih by th.e BPA and
reb eds ate agenda-�lar PDf:S □nd FII\RA_ Comp□n:l will pe�fOlTll fi:-aolments liho □re
con:.;is en with Nf'DES compli□nce s am:i□rd.; □s □ppllc□bls·in IJ'lld deta!mined by the·:;p,ecific. sto e in wllic:h 1raa·men1s are made_ A. slaff will be fu y rained to perform all cpplic□tiollS in compll□nce wi h-all federal., s/{J!e, and local law..
.;!,_		Company wil fumi5h Iha pe,P.iannal. vehic.ies, ba-ais, aq;-pmen.1, mo.teri□ls, o.nd otller ilem.; requifed·o provide !he fmegaln§ a� its e:q,anse_ The applic□1ic:mme1hod arid eq ipment (boat. ATI/. b□ctp□cll:_.etc_l �ad � detftrll'Wled by our tee r.n�bn, ol the lime of 1he 1Teo1me11J o ensure the mosl effec1i\'e me11hod is provided for op lm□rI ewlh_
y_		A.!7\1 lechnicion �ls.it tihoi will req [re Iha appllc.oticm o'f rniy p,e-s.·lic ide fto include herbicides en.a alg1:Jecides.} mus! be scheduled by he Wednesday prior to the wee-to .. ha 11isit.

ADDENDUM TO LAKE MAINTENANCE AGREEMENT

THIS ADDENDUM TO LAKE MAINTENANCE AGREEMENT (“Addendum”) is made to be effective as of November 1, 2025, and is by and between:

VERANO #2 COMMUNITY DEVELOPMENT DISTRICT, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and whose mailing address is 5385 N. Nob Hill Road, Sunrise, Florida 33351 (“District”), and

SOLITUDE LAKE MANAGEMENT, LLC, a Virginia Limited Liability Company, with a mailing address of 1320 Brookwood Dr, Suite H, Little Rock Arkansas 72202 (“Contractor”).

RECITALS

WHEREAS, the District and Contractor entered into that certain Agreement Between the Verano #2 Community Development District and Solitude Lake Management, LLC for Lake Maintenance Services – Crosstown Commons, dated October 20, 2022 (“Agreement”); and

WHEREAS, Section 2(B) of the Agreement provides that the Agreement may be renewed for three (3) additional one (1) year terms, “upon the mutual consent of the parties via an addendum to this Agreement;” and

NOW, THEREFORE, based upon good and valuable consideration and the mutual covenants of the parties, the receipt and sufficiency of which are hereby acknowledged, the District and Contractor agree as follows:

RECITALS. The recitals stated above are true and correct and by this reference are incorporated herein and form a material part of this Addendum.

RENEWAL. The Agreement is hereby affirmed and continues to constitute a valid and binding agreement between the parties for the District’s Fiscal Year beginning December 1, 2025 and through November 30, 2026. Except as described in this Addendum, nothing herein shall modify the rights and obligations of the parties under the Agreement. Except as set forth herein, all of the remaining provisions, including, but not limited to, the engagement of services, compensation, indemnification, and sovereign immunity provisions, remain in full force and effect.

TERMINATION. Section 5A of the Agreement is hereby replaced in its entirety with the following language:

The Agreement may be terminated immediately upon written notice by the District for cause, or for no reason upon 30 days written notice by either party. Contractor shall not be entitled to lost profits or any other damages of any kind resulting from any such termination by the District, provided however that Contractor shall be entitled to payment for any work provided through the effective date of termination, subject to any offsets.

SCOPE OF SERVICES. Exhibit A attached to the Agreement is hereby replaced in its entirety with Exhibit A attached hereto.

IN WITNESS WHEREOF, the parties execute this Addendum.

SOLITUDE LAKE MANAGEMENT, LLC

By: _ Its: _B

VERANO #2 COMMUNITY DEVELOPMENT DISTRICT

__________________________
_u_s_in_e_s_s_M_a_n_a_g_e_r _____________

10/06/2025

By:		 Its:_Secretary	

EXHIBIT A:

HOLIDAY LIGHTING INSTALLATION SERVICES AGREEMENT

This Agreement (“Agreement”) is made and entered into this  12th day of  November ,
2025, by and between:

Verano 2 Community Development District, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, whose mailing address is 5385 N. Nob Hill Road, Sunrise, Florida 33351 (“District”); and

Holiday Seasonal Lights LLC, with a mailing address of 11280 SW Village Court, Port Saint Lucie, Florida 34987 ("Contractor", together with District, “Parties”).

RECITALS

Whereas, the District was established for the purpose of planning, financing, constructing, installing, operating and/or maintaining certain infrastructure; and

Whereas, the District has a need to retain an independent contractor to provide for the installation of seasonal landscape lighting and enhancements (“Lighting”); and

WHEREAS, Contractor submitted a proposal and represents that it is qualified to provide to the District those Lighting services identified in Exhibit A, attached hereto and incorporated by reference herein (“Services”); and

Whereas, the District and Contractor warrant and agree that they have all right, power and authority to enter into and be bound by this Agreement.

Now, therefore, in consideration of the recitals, agreements, and mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the Parties, the Parties agree as follows:

Section 1. Incorporation of Recitals. The recitals stated above are true and correct and by this reference are incorporated by reference as a material part of this Agreement.

SECTION 2. DUTIES. The District agrees to use Contractor to provide the Services in accordance with the terms of this Agreement. The duties, obligations, and responsibilities of the Contractor are described in Exhibit A hereto.

Contractor shall provide the services as described in Exhibit A. The Services shall include any effort specifically required by this Agreement and Exhibit A reasonably necessary to allow the District to receive the maximum benefit of all of the Services and items described herein and demonstrated in Exhibit A, including but not limited to, the repair, construction, installation, and all materials reasonably necessary. To the extent any of the provisions of this Agreement are in conflict

with the provisions of Exhibit A, this Agreement controls.

Services shall commence and be completed with all components installed and ready to be illuminated, on or before November 28 , 2025. The removal of the Decorations shall commence no sooner than January 5, 2026, and be completed no later than January 31, 2026. This schedule may only be altered in writing by the District in its sole discretion.

This Agreement grants to Contractor the right to enter the lands that are subject to this Agreement, for those purposes described in this Agreement, and Contractor hereby agrees to comply with all applicable laws, rules, and regulations.

Contractor shall perform all Services in a neat and workmanlike manner. In the event the District in its sole determination, finds that the work of Contractor is not satisfactory to District, District shall have the right to immediately terminate this Agreement and will only be responsible for payment of work satisfactorily completed and for materials actually incorporated into the Services.

Contractor shall be solely responsible for the means, manner and methods by which its duties, obligations and responsibilities are met to the satisfaction of the District. While providing the Services, the Contractor shall assign such staff as may be required, and such staff shall be responsible for coordinating, expediting, and controlling all aspects to assure completion of the Services.

Contractor shall report directly to the District Manager. Contractor shall use all due care to protect the property of the District, its residents and landowners from damage. Contractor agrees to repair any damage resulting from Contractor’s activities and work within twenty-four (24) hours.

Contractor shall keep the premises and surrounding area free from accumulation of waste materials or rubbish caused by operations under the Agreement. At completion of the Services, the Contractor shall remove from the site waste materials, rubbish, tools, construction equipment, machinery and surplus materials. If the Contractor fails to clean up as provided herein, the District may do so and the cost thereof shall be charged to the Contractor.

Section 3. Compensation, Payment, and Retainage.

The District shall pay Contractor Two Thousand Eight Hundred Dollars ($2,800.00) for the Services as identified in Exhibit A attached hereto and incorporated herein by reference. The District shall provide payment within forty-five (45) days of receipt of Contractor’s invoice. Such amounts include all materials and labor provided for in Exhibit A and all items, labor, materials, or otherwise, to provide

the District the maximum benefits of the Work.

If the District should desire additional work or services, the Contractor agrees to negotiate in good faith to undertake such additional work or services. Upon successful negotiations, the Parties shall agree in writing to an addendum, addenda, or change order(s) to this Agreement. The Contractor shall be compensated for such agreed additional work or services based upon a payment amount acceptable to the parties and agreed to in writing.

The District may require, as a condition precedent to making any payment to the Contractor, that all subcontractors, material men, suppliers or laborers be paid and require evidence, in the form of lien releases or partial waivers of lien, to be submitted to the District by those subcontractors, material men, suppliers or laborers, and further require that the Contractor provide an Affidavit relating to the payment of said indebtedness. Further, the District shall have the right to require, as a condition precedent to making any payment, evidence from the Contractor, in a form satisfactory to the District, that any indebtedness of the Contractor, as to services to the District, has been paid and that the Contractor has met all of the obligations with regard to the withholding and payment of taxes, Social Security payments, Workmen’s Compensation, Unemployment Compensation contributions, and similar payroll deductions from the wages of employees.

SECTION 4. WARRANTY. The Contractor warrants to the District that all materials furnished under this Agreement shall be new, and that all services and materials shall be of good quality, free from faults and defects, and will conform to the standards and practices for projects of similar design and complexity in an expeditious and economical manner consistent with the best interest of the District. In addition to all manufacturer warranties for materials purchased for purposes of this Agreement, all Work provided by the Contractor pursuant to this Agreement shall be warranted for two (2) years from the date of acceptance of the Work by the District. Contractor shall replace or repair warranted items to the District’s satisfaction and in the District’s discretion. Neither final acceptance of the Work, nor final payment therefore, nor any provision of the Agreement shall relieve Contractor of responsibility for defective or deficient materials or Services. If any of the materials or Services are found to be defective, deficient or not in accordance with the Agreement, Contractor shall correct, remove and replace it promptly after receipt of a written notice from the District and correct and pay for any other damage resulting therefrom to District property or the property of landowner’s within the District.

Section 5.	Insurance.

The Contractor shall maintain throughout the term of this Agreement the following insurance:

Worker’s Compensation Insurance in accordance with the laws of

the State of Florida.

Commercial General Liability Insurance covering the Contractor’s
legal liability for bodily injuries, with limits of not less than
$1,000,000 combined single limit bodily injury and property damage liability, and covering at least the following hazards:

(i) Independent Contractors Coverage for bodily injury and property damage in connection with any subcontractors’ operation.

Employer’s Liability Coverage with limits of at least $1,000,000 (one
million dollars) per accident or disease.

Automobile Liability Insurance for bodily injuries in limits of not less than $1,000,000 combined single limit bodily injury and for property damage, providing coverage for any accident arising out of or resulting from the operation, maintenance, or use by the Contractor of any owned, non-owned, or hired automobiles, trailers, or other equipment required to be licensed.

The District, its staff, consultants and supervisors shall be named as additional insured. The Contractor shall furnish the District with the Certificate of Insurance evidencing compliance with this requirement. No certificate shall be acceptable to the District unless it provides that any change or termination within the policy periods of the insurance coverage, as certified, shall not be effective within thirty (30) days of prior written notice to the District. Insurance coverage shall be from a reputable insurance carrier, licensed to conduct business in the State of Florida.

If the Contractor fails to have secured and maintained the required insurance, the District has the right but not the obligation to secure such required insurance in which event the Contractor shall pay the cost for that required insurance and shall furnish, upon demand, all information that may be required in connection with the District’s obtaining the required insurance.

Section 6.	Indemnification.

Contractor agrees to defend, indemnify, and hold harmless the District and its officers, agents, employees, successors, assigns, members, affiliates, or representatives from any and all liability, claims, actions, suits, liens, demands, costs, interest, expenses, damages, penalties, fines, judgments against the District, or loss or damage, whether monetary or otherwise, arising out of, wholly or in part by, or in connection with the

Services to be performed by Contractor, its subcontractors, its employees and agents in connection with this Agreement, including litigation, mediation, arbitration, appellate, or settlement proceedings with respect thereto. Additionally, nothing in this Agreement requires Contractor to indemnify the District for the District’s percentage of fault if the District is adjudged to be more than 50% at fault for any claims against the District and Contractor as jointly liable parties; however, Contractor shall indemnify the District for any and all percentage of fault attributable to Contractor for claims against the District, regardless whether the District is adjudged to be more or less than 50% at fault.

Obligations under this section shall include the payment of all settlements, judgments, damages, liquidated damages, penalties, forfeitures, back pay awards, court costs, arbitration and/or mediation costs, litigation expenses, attorneys’ fees, paralegal fees, expert witness fees (incurred in court, out of court, on appeal, or in bankruptcy proceedings), any interest, expenses, damages, penalties, fines, or judgments against the District.

Section 7. Limitations on Governmental Liability. Nothing in this Agreement shall be deemed as a waiver of the District’s sovereign immunity or the District’s limits of liability as set forth in Section 768.28, Florida Statutes, or other statute, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under such limitations of liability or by operation of law.

Section 8.	Compliance with Governmental Regulation. The Contractor shall keep,
observe, and perform all requirements of applicable local, State, and Federal laws, rules, regulations, or ordinances. If the Contractor fails to notify the District in writing within five (5) days of the receipt of any notice, order, required to comply notice, or a report of a violation or an alleged violation, made by any local, State, or Federal governmental body or agency or subdivision thereof with respect to the services being rendered under this Agreement or any action of the Contractor or any of its agents, servants, employees, or materialmen, or with respect to terms, wages, hours, conditions of employment, safety appliances, or any other requirements applicable to provision of services, or fails to comply with any requirement of such agency within five (5) days after receipt of any such notice, order, request to comply notice, or report of a violation or an alleged violation, the District may terminate this Agreement, such termination to be effective upon the giving of notice of termination.

Section 9. Liens and Claims. The Contractor shall promptly and properly pay for all labor employed, materials purchased, and equipment hired by it to perform under this Agreement. The Contractor shall keep the District’s property free from any materialmen’s or mechanic’s liens and claims or notices in respect to such liens and claims, which arise by reason of the Contractor’s performance under this Agreement, and the Contractor shall immediately discharge any such claim or lien. In the event that the Contractor does not pay or satisfy such claim or lien within three (3) business days after the filing of notice thereof, the District, in addition to any and all other remedies available under this Agreement, may terminate this

Agreement to be effective immediately upon the giving of notice of termination.

Section 10.	Default and Protection Against Third Party Interference. A default by
either party under this Agreement shall entitle the other to all remedies available at law or in equity, which may include, but not be limited to, the right of damages, injunctive relief, and/or specific performance. The District shall be solely responsible for enforcing its rights under this Agreement against any interfering third party. Nothing contained in this Agreement shall limit or impair the District’s right to protect its rights from interference by a third party to this Agreement.

Section 11. Custom and Usage. It is hereby agreed, any law, custom, or usage to the contrary notwithstanding, that the District shall have the right at all times to enforce the conditions and agreements contained in this Agreement in strict accordance with the terms of this Agreement, notwithstanding any conduct or custom on the part of the District in refraining from so doing; and further, that the failure of the District at any time or times to strictly enforce its rights under this Agreement shall not be construed as having created a custom in any way or manner contrary to the specific conditions and agreements of this Agreement, or as having in any way modified or waived the same.

Section 12. Successors. This Agreement shall inure to the benefit of and be binding upon the heirs, executors, administrators, successors, and assigns of the Parties to this Agreement, except as expressly limited in this Agreement.

Section 13. Termination. The District agrees that the Contractor may terminate this Agreement with cause by providing thirty (30) days’ written notice of termination to the District stating a failure of the District to perform according to the terms of this Agreement; provided, however, that the District shall be provided a reasonable opportunity to cure any failure under this Agreement. The Contractor agrees that the District may terminate this Agreement immediately for cause by providing written notice of termination to the Contractor. The District shall provide thirty (30) days’ written notice of termination without cause. Upon any termination of this Agreement, the Contractor shall be entitled to payment for all work and/or services rendered up until the effective termination of this Agreement, subject to whatever claims or off-sets the District may have against the Contractor.

Section 14. Permits and Licenses. All permits and licenses required by any governmental agency directly for the District shall be obtained and paid for by the District. All other permits or licenses necessary for the Contractor to perform under this Agreement shall be obtained and paid for by the Contractor.

Section 15. Assignment. Neither the District nor the Contractor may assign this Agreement without the prior written approval of the other. Any purported assignment without such approval shall be void.

Section 16.	Independent Contractor Status. In all matters relating to this Agreement,

the Contractor shall be acting as an independent contractor. Neither the Contractor nor employees of the Contractor, if there are any, are employees of the District under the meaning or application of any Federal or State Unemployment or Insurance Laws or Old Age Laws or otherwise. The Contractor agrees to assume all liabilities or obligations imposed by any one or more of such laws with respect to employees of the Contractor, if there are any, in the performance of this Agreement. The Contractor shall not have any authority to assume or create any obligation, express or implied, on behalf of the District and the Contractor shall have no authority to represent the District as an agent, employee, or in any other capacity, unless otherwise set forth in this Agreement.

Section 17. Headings for Convenience Only. The descriptive headings in this Agreement are for convenience only and shall neither control nor affect the meaning or construction of any of the provisions of this Agreement.

Section 18. Enforcement of Agreement. In the event that either the District or the Contractor is required to enforce this Agreement by court proceedings or otherwise, then the prevailing party shall be entitled to recover all fees and costs incurred, including reasonable attorneys' fees and costs for trial, alternative dispute resolution, or appellate proceedings.

SECTION 19. AGREEMENT. This instrument shall constitute the final and complete expression of this Agreement between the Parties relating to the subject matter of this Agreement. None of the provisions of Exhibit A shall apply to this Agreement and Exhibit A shall not be incorporated herein, except that Exhibit A is applicable to the extent that it states the scope of services for the labor and materials to be provided under this Agreement.

Section 20. Amendments. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both Parties.

Section 21. Authorization. The execution of this Agreement has been duly authorized by the appropriate body or official of the Parties, the Parties have complied with all the requirements of law, and the Parties have full power and authority to comply with the terms and provisions of this Agreement.

SECTION 22. NOTICES. All notices, requests, consents and other communications under this Agreement (“Notice” or "Notices") shall be in writing and shall be hand delivered, mailed by First Class Mail, postage prepaid, or sent by overnight delivery service, to the Parties, as follows:

If to District:	Verano 2 Community Development District
5385 N. Nob Hill Road Sunrise, Florida 33351 Attn: District Manager

With a copy to:	Kutak Rock LLP

107 West College Avenue Tallahassee, Florida 32301 Attn: District Counsel

If to the Contractor:	Holiday Seasonal Lights LLC
11280 SW Village Court Port St. Lucie, Florida 34987
Attn:  Anthony Law	

Except as otherwise provided in this Agreement, any Notice shall be deemed received only upon actual delivery at the address set forth above. Notices delivered after 5:00 p.m. (at the place of delivery) or on a non-business day, shall be deemed received on the next business day. If any time for giving Notice contained in this Agreement would otherwise expire on a non-business day, the Notice period shall be extended to the next succeeding business day. Saturdays, Sundays, and legal holidays recognized by the United States government shall not be regarded as business days. Counsel for the District and counsel for the Contractor may deliver Notices on behalf of the District and the Contractor. Any party or other person to whom Notices are to be sent or copied may notify the Parties and addressees of any change in name or address to which Notices shall be sent by providing the same on five (5) days written notice to the Parties and addressees set forth in this Agreement.

Section 23. Third Party Beneficiaries. This Agreement is solely for the benefit of the Parties hereto and no right or cause of action shall accrue upon or by reason, to or for the benefit of any third party not a formal party to this Agreement. Nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person or corporation other than the Parties hereto any right, remedy, or claim under or by reason of this Agreement or any of the provisions or conditions of this Agreement; and all of the provisions, representations, covenants, and conditions contained in this Agreement shall inure to the sole benefit of and shall be binding upon the Parties hereto and their respective representatives, successors, and assigns.

Section 24.  Controlling Law and Venue. This Agreement and the provisions contained in this Agreement shall be construed, interpreted, and controlled according to the laws of the State of Florida. All actions and disputes shall be brought in the proper court and venue, which shall be St. Lucie County, Florida.

Section 25. Compliance with Public Records Laws. Contractor understands and agrees that all documents of any kind provided to the District in connection with this Agreement may be public records, and, accordingly, Contractor agrees to comply with all applicable provisions of Florida law in handling such records, including but not limited to Section 119.0701, Florida Statutes. Contractor acknowledges that the designated public records custodian for the District is Jim Oliver (“Public Records Custodian”). Among other requirements and to the extent applicable by law, the Contractor shall 1) keep and maintain public records required by the District to perform the service; 2) upon request by the Public Records Custodian, provide the District with the requested public records or allow the records to be inspected or copied within

a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the contract term and following the contract term if the Contractor does not transfer the records to the Public Records Custodian of the District; and 4) upon completion of the contract, transfer to the District, at no cost, all public records in Contractor’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. When such public records are transferred by the Contractor, the Contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. All records stored electronically must be provided to the District in a format that is compatible with Microsoft Word or Adobe PDF formats.

IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE CONTRACTOR’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS AT 5385 N. NOB HILL ROAD, SUNRISE, FLORIDA 33351, AHPHILIPPI@GMSSF.COM, (954)
721-8681.
Section 26. Severability. The invalidity or unenforceability of any one or more provisions of this Agreement shall not affect the validity or enforceability of the remaining portions of this Agreement, or any part of this Agreement not held to be invalid or unenforceable.

Section 27. Arm’s Length Transaction. This Agreement has been negotiated fully between the Parties as an arm's length transaction. The Parties participated fully in the preparation of this Agreement with the assistance of their respective counsel. In the case of a dispute concerning the interpretation of any provision of this Agreement, the Parties are each deemed to have drafted, chosen, and selected the language, and any doubtful language will not be interpreted or construed against any party.

Section 28. Counterparts. This Agreement may be executed in any number of counterparts, each of which when executed and delivered shall be an original; however, all such counterparts together shall constitute, but one and the same instrument. Additionally, the Parties acknowledge and agree that the Agreement may be executed by electronic signature, which shall be considered as an original signature for all purposes and shall have the same force and effect as an original signature. Without limitation, “electronic signature” shall include faxed versions of an original signature, electronically scanned and transmitted versions (e.g. via PDF) of an original signature, or signatures created in a digital format.

SECTION 29. E-VERIFY. The Contractor shall comply with and perform all applicable provisions of Section 448.095, Florida Statutes. Accordingly, to the extent required by Florida Statute, Contractor shall register with and use the United States Department of Homeland Security’s E-Verify system to verify the work authorization status of all newly hired employees.

The District may terminate this Agreement immediately for cause if there is a good faith belief that the Contractor has knowingly violated Section 448.091, Florida Statutes. By entering into this Agreement, the Contractor represents that no public employer has terminated a contract with the Contractor under Section 448.095(2)(c), Florida Statutes, within the year immediately preceding the date of this Agreement.

[CONTINUED ON FOLLOWING PAGE]

IN WITNESS WHEREOF, the parties hereto have signed this Agreement on the day and year first written above.

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

Chairperson, Board of Supervisors

HOLIDAY SEASONAL LIGHTS LLC

By: Anthony Law	
Its: Owner	

Exhibit A: Scope of Services

Exhibit A

Certificate Of Completion

Envelope Id: 36FF4DCB-3B23-4E86-93B7-BCC638BE5E47	Status: Completed Subject: Verano #2: Complete with Docusign: Holiday Lighting Installation Agreement (Holiday Seasonal Lights)
Source Envelope:
Document Pages: 13	Signatures: 2	Envelope Originator:
Certificate Pages: 2	Initials: 0	Ellen Acosta

AutoNav: Enabled
EnvelopeId Stamping: Enabled
Time Zone: (UTC-08:00) Pacific Time (US & Canada)

1001 Bradford Way
Kingston, TN 37763 eacosta@gmssf.com
IP Address: 162.199.192.217

Record Tracking

Status: Original
11/12/2025 2:03:23 PM

Holder: Ellen Acosta
eacosta@gmssf.com

Location: DocuSign

Signer Events	Signature	Timestamp

Andressa Hinz Philippi AHPhilippi@gmssf.com Assistant Secretary
Security Level: Email, Account Authentication (None)

Completed

Using IP Address: 2601:58b:c00:4380:3908:bb0f:c15d:bf21

Sent: 11/12/2025 2:06:15 PM Viewed: 11/12/2025 6:14:26 PM Signed: 11/12/2025 6:14:36 PM

Electronic Record and Signature Disclosure:
Not Offered via Docusign

Anthony Law anthony@holidayseasonallights.com Owner
Security Level: Email, Account Authentication
(None)	Signature Adoption: Drawn on Device
Using IP Address: 2600:1006:b200:f968:e90a:39a6:373b:3cb
Signed using mobile

Sent: 11/12/2025 2:06:16 PM Viewed: 11/13/2025 4:41:14 AM Signed: 11/13/2025 4:42:30 AM

Electronic Record and Signature Disclosure:
Not Offered via Docusign

Darren Weimer dweimer@kolter.com Secretary

(None)	Signature Adoption: Pre-selected Style
Using IP Address: 2601:58b:4b81:2cc0:c5e4:5cf3:a4cc:5c71		
Electronic Record and Signature Disclosure:
Not Offered via Docusign			
In Person Signer Events	Signature	Timestamp	
			
Editor Delivery Events	Status	Timestamp	
			
Agent Delivery Events	Status	Timestamp	
			
Intermediary Delivery Events	Status	Timestamp	
			
Certified Delivery Events	Status	Timestamp	
			
Carbon Copy Events	Status	Timestamp	

Security Level: Email, Account Authentication

Sent: 11/12/2025 2:06:15 PM Viewed: 11/12/2025 4:56:08 PM Signed: 11/12/2025 4:56:19 PM

Witness Events	Signature	Timestamp	
			
Notary Events	Signature	Timestamp	
			
Envelope Summary Events	Status	Timestamps	
Envelope Sent	Hashed/Encrypted	11/12/2025 2:06:16 PM	
Certified Delivered	Security Checked	11/12/2025 4:56:08 PM	
Signing Complete	Security Checked	11/12/2025 4:56:19 PM	
Completed	Security Checked	11/13/2025 4:42:30 AM	
Payment Events	Status	Timestamps	

PURCHASE ORDER
[Florida Exotic a Landscape Company, Inc.]

1.	Verano 2 Community Development District State of Florida sales tax exemption certificate number: 858013622273SC-5

Description of Goods or Services – The Owner and Seller are entering into this Purchase Order Agreement for the purpose of the Owner purchasing the items supplied by Seller listed in the Seller’s proposal attached as Exhibit A (“Goods”).

Price – $7,650.00

IN WITNESS HEREOF, the parties have executed this Order effective as of the date executed below. By executing this document below, Seller acknowledges that it has read all of the terms and provisions of this Order, including the Terms and Conditions attached hereto as Exhibit B, and agrees to deliver the Goods as described herein and comply fully with the terms and conditions hereof.

Owner		Seller	
By: VERANO 2 CDD		By:	FLORIDA	EXOTIC	A	LANDSCAPE COMPANY INC.	
Name: Darren Weimer		Name: Laura Halt	
Title:
 Secretary			Title:
Office Assistant	
Date Executed: 2026-01-08		Date Executed: 2026-01-08	

EXHIBIT A:	Proposal and Warranty
EXHIBIT B:	Terms and Conditions

PURCHASE ORDER
VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

“Owner”	“Seller”
Owner:	Verano 2 Community Development District	Seller:	Florida Exotic a Landscape Company,
Inc.	
Address:	c/o 5385 N/ Nob Hill Road Sunrise, Florida 33351	Address:	4016 SW Moore Street Palm City, Florida 34990	
Phone:	(954) 721-8681	Phone:	(772) 286-2924	

“Project”
Project Name:	Verano 2	Contract
Date:	December 30th,2025	
Project
Address:	9351 Ligorio Way
Port St. Lucie, Florida			

Description of Goods or Services – The Owner and Seller are entering into this Purchase Order Agreement for the purpose of the Owner purchasing the items (“Goods”) listed in the proposal attached as Exhibit A.
Schedule – The Goods shall be delivered within 15 days from the date of this Order.
Price – $7,650.00
Certificate of Exemption # 858013622273SC-5

IN WITNESS HEREOF, the parties have executed this Order effective as of the date executed below. By executing this document below, Seller acknowledges that it has read all of the terms and provisions of this Order, including the Terms and Conditions attached hereto as Exhibit B, and agrees to deliver the Goods as described herein and comply fully with the terms and conditions hereof.

VERANO 2 COMMUNITY DEVELOPMENT
DISTRICT		FLORIDA EXOTIC A LANDSCAPE COMPANY, INC.	
Owner		Seller	
By:		By:	
Name:	Darren Weimer		Name:	Laura Halt	
 Title: Secretary			 Title: Office Assistant		
 Date Executed: 2026-01-08			Date Executed: 2026-01-08	

EXHIBIT A VENDOR’S PROPOSAL

EXHIBIT B
TERMS AND CONDITIONS

PRICE. The Price set forth above includes all Goods, insurance, warranties and other materials or services (including without limitation all packing, loading or freight) necessary to produce and deliver the Goods.
SCHEDULE. Time is of the essence with respect to this Order, and all Goods shall be produced and delivered within the times set forth in the Schedule. Owner may cancel this Order or any part thereof or reject delivery of Goods if such delivery or performance is not in material accordance with the specifications of this Order, including the Schedule.
DELIVERY AND INSPECTION.
All shipments of Goods are to be made, with all shipping costs prepaid by Seller (e.g., insurance, packing, loading, freight, etc.), to the receiving point specified above. Title, and risk of loss, shall pass to Owner at the time such Goods are delivered at the Project site and accepted by Owner or Owner’s contractor, provided however that Owner shall have a reasonable opportunity to inspect such Goods prior to acceptance.
All Goods are subject to inspection and approval by Owner at a reasonable time post-delivery. Owner may return Goods not meeting specifications (including over-shipments) at the Seller’s expense and risk. Owner will notify Seller of failure. Return authorizations for Goods not received within 30 days will deem such Goods as donations to Owner.
TERMS OF PAYMENT. Seller’s Invoice (“Invoice”) must be submitted before payment will be made by Owner pursuant to this Order. Owner shall make payment within 30 days of receipt of a proper invoice, and pursuant to the Local Government Prompt Payment Act, Sections 218.70 et seq., Florida Statutes (2021). Any indebtedness of Seller to Owner may, at Owner’s option, be credited against amounts owing by Owner hereunder.
WARRANTY. Seller shall take all necessary steps to assign any manufacturer’s warranties to the Owner. Seller warrants that the title to Goods conveyed shall be good, that the transfer of the Goods shall be rightful, and that the Goods shall be free from any security interest, lien or encumbrance. Seller further warrants that the Goods are free of any rightful claim of infringement, and shall indemnify, defend, and hold harmless the Indemnitees (defined below) against any such claim. Further, the Goods shall be new, shall be free from defects, shall be of merchantable quality, and shall be fit for the Owner’s uses. Seller agrees, without prejudice to any other rights Owner may have, to replace or otherwise remedy any defective Goods without further cost to Owner or, at Owner’s option, to reimburse Owner for its cost of replacing defective Goods. All Goods are subject to inspection by Owner before, upon, and within a reasonable time after delivery. Goods shall not be replaced without Owner’s prior written instructions. Any acceptance by Owner shall not prevent Ownerfrom later rejecting non-conforming Goods. The warranty provided herein shall survive the completion or termination of this Order and is in addition to any warranties provided by law.
COMPLIANCE WITH LAW. Seller agrees that at all times it will comply with all applicable federal, state, municipal and local laws, orders and regulations.
INDEMNITY. To the fullest extent permitted by law, and in addition to any other obligations of Seller under the Order or otherwise, Seller shall indemnify, hold harmless, and defend Owner, and its respective officers, directors, Supervisors, Board members, employees, staff, managers, representatives, successors, and assigns of each and any of all of the foregoing entities and individuals (together, “Indemnitees”) from all liabilities, damages, losses and costs, including, but not limited to, reasonable attorney’s fees, to the extent caused in whole or in part by the negligence, recklessness or intentional wrongful misconduct of the Seller, or any subcontractor, any supplier, or any individual or entity directly or indirectly employed by any of them, and arising out of or incidental to the performance of this Order. The Seller shall ensure that any and all subcontractors include this express provision for the benefit of the Indemnitees. The parties agree that this paragraph is fully enforceable pursuant to Florida law. In the event that this section is determined to be unenforceable, this paragraph shall be reformed to give the paragraph the maximum effect allowed by Florida law and for the benefit of the Indemnitees. The provisions of this section shall survive the completion or earlier termination of this Order, and are not intended to limit any of the other rights and/or remedies provided to the Owner hereunder.
INSURANCE. At all times during the term of this Order agreement, Seller, at its sole cost and expense, shall maintain insurance coverages of the types and amounts set forth below:
Commercial general liability insurance with minimum limits of liability not less than $1,000,000. Such insurance shall include coverage for contractual liability.
Workers’ Compensation Insurance covering all employees of Seller in statutory amounts, and employer's liability insurance with limits of not less than $1,000,000 each accident.
Comprehensive automobile liability insurance covering all automobiles used by Seller, with limits of liability of not less than $1,000,000 each occurrence combined single limit bodily injury and property damage.
DEFAULT. Upon any material default by Seller hereunder, Owner may, in addition to any other remedies available to Owner at law or in equity, cancel this Order without penalty or liability by written notice to Seller.
LIMITATION OF LIABILITY. Nothing herein shall be construed to be a waiver of the Owner’s limit of liability contained in section 768.28, Florida Statutes or other statute or law.

WAIVER. Any failure of Owner to enforce at any time, or for any period of time, any of the provisions of this Order shall not constitute a waiver of such provisions or a waiver of Owner’s right to enforce each and every provision.
MODIFICATIONS. This Order supersedes all prior discussions, agreements and understandings between the parties and constitutes the entire agreement between the parties with respect to the transaction herein contemplated. Changes, modifications, waivers, additions or amendments to the terms and conditions of this Order shall be binding on Owner only if such changes, modifications, waivers, additions or amendments are in writing and signed by a duly authorized representative of Owner.
APPLICABLE LAW. The validity, interpretation, and performance of this Order shall be governed by the laws of the State of Florida, in force at the date of this Order. Where not modified by the terms herein, the provisions of Florida’s enactment of Article 2 of the Uniform Commercial Code shall apply to this transaction.
MECHANIC’S LIENS. Notwithstanding that Owner is a local unit of special purpose government and not subject to the lien provisions of Chapter 713, Florida Statutes, Seller agrees to keep the District’s property free of all liens, including equitable liens, claims or encumbrances (collectively, “Liens”) arising out of the delivery of any Goods by Seller, and shall furnish Owner with appropriate lien waivers from all potential claimants upon request of Owner. If any Liens are filed, Owner may without waiving its rights based on such breach by Seller or releasing Seller from any obligations hereunder, pay or satisfy the same and in such event the sums so paid by Owner shall be due and payable by Seller immediately and without notice or demand, with interest from the date paid by Owner through the date paid by Seller, at the highest rate permitted by law.
PERMITS AND LICENSES. Before commencing performance hereunder, Seller shall obtain all permits, approvals, certificates and licenses necessary for the proper performance of this Order and pay all fees and charges therefore. The originals of all such documents shall be delivered to Owner upon receipt by Seller.
PARTIAL INVALIDITY. If in any instance any provision of this Order shall be determined to be invalid or unenforceable under any applicable law, such provision shall not apply in such instance, but the remaining provisions shall be given effect in accordance with their terms.
ASSIGNMENT AND SUBCONTRACTING. This Order shall not be assigned or transferred by Seller without prior written approval by Owner, and any attempted assignment or transfer without such consent shall be void.
RELATIONSHIP. The relationship between Owner and Seller shall be that of independent contractor, and Seller, its agents and employees, shall under no circumstances be deemed employees, agents or representatives of Owner.
NOTICES. Any notice, approval or other communication required hereunder must be in writing and shall be deemed given if delivered by hand or mailed by registered mail or certified mail addressed to the parties hereto as indicated on page 1.
PUBLIC ENTITY CRIMES. Seller certifies, by acceptance of this purchase order, that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction per the provisions of section 287.133(2)(a), Florida Statutes.
SCRUTINIZED COMPANIES. Supplier certifies, by acceptance of this purchase order, that neither it nor any of its officers, directors, executives, partners, shareholders, members, or agents is on the Scrutinized Companies with Activities in Sudan List or the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, created pursuant to section 215.473, Florida Statutes, and in the event such status changes, Seller shall immediately notify Owner.
TERMINATION. Notwithstanding anything herein to the contrary, Owner shall have the right, at its sole election, to terminate this Order for any cause whatsoever upon the delivery of written notice to Seller. Upon such termination, Seller shall have no remedy against Owner, other than for payment of Goods already produced pursuant to specific written direction by Owner pursuant to Section 2 above, subject to any offsets or claims that Owner may have.
PUBLIC RECORDS. Seller acknowledges that this Agreement and all the documents pertaining thereto may be public records and subject to the provisions of Chapter 119, Florida Statutes.
CONFLICTS. To the extent of any conflict between this Terms and Conditions document (Exhibit B) and the Purchase Order, or Vendor Proposal (Exhibit A), these Terms and Conditions (Exhibit B) shall control. Notwithstanding anything in this Agreement to the contrary, the entire contract between the parties shall consist of the Purchase Order, these Terms and Conditions (Exhibit B), and the Vendor Proposal (Exhibit A), with the exception that only the terms within the Vendor Proposal (Exhibit A) that set the price, schedule and quantity / type of materials shall apply and all other terms shall be deemed rejected, and, in an abundance of caution, no terms of any Seller’s Credit Application or other document shall be deemed to be a binding agreement between the parties.

CERTIFICATE OF ENTITLEMENT

The undersigned authorized representative of the Verano 2 Community Development District (hereinafter "Governmental Entity"), Florida Consumer's Certificate of Exemption Number 	, affirms that the tangible personal property purchased pursuant to a Purchase Order from Florida Exotic a Landscape Company, Inc. will be incorporated into or become a part of a public facility as part of a public works contract for the construction of public infrastructure associated with the project.
Governmental Entity affirms that the purchase of the tangible personal property contained in the attached Purchase Order meets the following exemption requirements contained in section 212.08(6), Florida Statutes, and Rule 12A- 1.094, Florida Administrative Code:

You must initial each of the following requirements.
	1. The attached Purchase Order is issued directly to the vendor supplying the tangible personal property the Contractor will use in the identified public works.
	2. The vendor's invoice will be issued directly to Governmental Entity.
  3. Payment of the vendor's invoice will be made directly by Governmental Entity to the vendor from public funds.
	 4. Governmental Entity will take title to the tangible personal property from the vendor at the time ofpurchase or of delivery by the vendor.
	5. Governmental Entity assumes the risk of damage or loss at the time of purchase or delivery by the vendor.

Governmental Entity affirms that if the tangible personal property identified in the attached Purchase Order does not qualify for the exemption provided in section 212.08(6), Florida Statutes, and Rule 12A-1.094, Florida Administrative Code, Governmental Entity will be subject to the tax, interest, and penalties due on the tangible personal property purchased. If the Florida Department of Revenue determines that the tangible personal property purchased tax-exempt by issuing this Certificate does not qualify for the exemption, Governmental Entity will be liable for any tax, penalty, and interest determined to be due.

I understand that if I fraudulently issue this certificate to evade the payment of sales tax I will be liable for paymentof the sales tax plus a penalty of 200% of the tax and may be subject to conviction of a third degree felony. Under the penalties of perjury, I declare that I have read the foregoing Certificate and the facts stated in it are true.

Signature of Authorized Representative	Title

Purchaser's Name (Print or Type)	Date

Federal Employer Identification Number: 	Telephone Number: 	

You must attach a copy of the Purchase Order to this Certificate of Entitlement. Do not send to the Florida Department of Revenue. This Certificate of Entitlement must be retained in the vendor's and the contractor's books and records. This form supplements and supersedes (to the extent of any conflict) any prior certificates addressing the same purchase.

AGREEMENT FOR
POND LANDSCAPE MAINTENANCE SERVICES AGREEMENT

THIS AGREEMENT (“Agreement”) is made, and entered into, by and between:

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and with a mailing address of c/o 5385 N Nob Hill Road, Sunrise Fl 33351 (“District”), and

P.H.L. LAND CARE, INC., a Florida Corporation, with a principal address of 13300A Okeechobee Rd, Fort Pierce, Florida 34945 mail: PO Box 13767 FT Pierce, FL 34979 (“Contractor”).

RECITALS

WHEREAS, the District is a local unit of special-purpose government established pursuant to and governed by Chapter 190 of the Florida Statutes; and

WHEREAS, the District owns, operates and maintains landscaping areas in and around lakes and ponds (“Landscape Areas”); and

WHEREAS, the District desires to enter into an agreement with an independent contractor to provide pond landscape maintenance services for the Landscape Areas, as outlined in Exhibit A (“Services”); and

WHEREAS, Contractor represents and warrants that it is qualified to provide such Services and desires to enter into an agreement with the District to provide the Services in accordance with the terms and specifications in this Agreement and Exhibit A.

NOW, THREEFORE, based upon good and valuable consideration and the mutual covenants of the parties, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

RECITALS. The recitals stated above are true and correct and by this reference are incorporated herein as a material part of this Agreement.

SERVICES. The Contractor agrees to provide the Services outlined in Exhibit A. Contractor hereby covenants to the District that it shall perform the services: (i) using its best skill and judgment and in accordance with generally accepted professional standards, and (ii) in compliance with all applicable federal, state, county, municipal, building and zoning, land use, environmental, public safety, non-discrimination and disability accessibility laws, codes, ordinances, rules and regulations, permits and approvals (including any permits and approvals relating to water rights), including, without limitation, all professional registration (both corporate and individual) for all required basic disciplines that it shall perform. While providing the Services, the Contractor shall assign such staff as may be required, and such staff shall be responsible for coordinating, expediting, and controlling all aspects to assure completion of the Services. Contractor represents that the Services are sufficient to ensure that the Landscape Areas are being operated in a manner consistent with applicable permits and approvals, if any. Contractor shall solely be responsible for the means, manner and methods by which its duties, obligations and responsibilities are met to the satisfaction of the District. This Agreement grants to Contractor the right

to enter the District property that is the subject of this Agreement, and for those purposes described in this Agreement.

Additional Work. The Contractor agrees that the District shall not be liable for the payment of any additional work and/or services unless the District first authorizes the Contractor to perform such additional work and/or services through an authorized and fully executed change order. Nothing herein shall be construed to require the District to use the Contractor for any such additional work and/or services, and the District reserves the right to retain a different contractor to perform any additional work and/or services.

TERM. Contractor shall provide the Services beginning upon the full execution of this Agreement, and continue through September 30 of the year in which this Agreement becomes effective, unless terminated earlier pursuant to its terms. This Agreement shall automatically renew for one-year periods beginning October 1 (i.e., based on the District’s fiscal year), unless terminated pursuant to the terms herein.

COMPENSATION; PAYMENT. As compensation for the Services described in this Agreement, the District agrees to pay the Contractor the amounts set forth in Exhibit A. The Contractor shall maintain records conforming to usual accounting practices. Further, the Contractor agrees to render monthly invoices to the District, in writing, which shall be delivered or mailed to the District by the fifth (5th) day of the next succeeding month. Each monthly invoice shall contain, at a minimum, the District’s name, the Contractor’s name, the invoice date, an invoice number, an itemized listing of all costs billed on the invoice with a description of each sufficient for the District to approve each cost, the time frame within which the services were provided, and the address or bank information to which payment is to be remitted. Consistent with Florida’s Prompt Payment Act, Section 218.70 et al. of the Florida Statutes, these monthly invoices are due and payable within forty-five (45) days of receipt by the District.

CARE OF DISTRICT PROPERTY. Contractor shall use all due care to protect the property of the District, its patrons, landowners and authorized guests from damage by Contractor or its employees or agents. Contractor agrees to repair any damage resulting from the Services within twenty-four (24) hours. Any such repairs shall be at Contractor’s sole expense, unless otherwise agreed, in writing, by the District.

COMPLIANCE WITH LAW. In providing the Services, Contractor shall comply with all applicable laws, rules, and regulations, including but not limited to all orders or requirements affecting the District property placed thereon by any governmental authority having jurisdiction.

PERMITS AND LICENSES. All other permits or licenses necessary for the Contractor to perform under this Agreement shall be obtained and paid for by the Contractor.

WARRANTY AND COVENANT. The Contractor warrants to the District that all materials furnished under this Agreement shall be new, and that all services and materials shall be of good quality, free from faults and defects. The Contractor hereby warrants any materials and services for a period of one (1) year after acceptance by the District or longer as required under Florida law. With respect to any and all plant material provided pursuant to this Agreement or any separate work authorization issued hereunder, all plant material shall be guaranteed to be in a satisfactory growing condition and to live for a period of one (1) year from planting except for annuals, which will be replaced seasonally. All plants that fail to survive under the guarantee shall be replaced as they fail with the same type and size as originally

specified. Contractor further warrants to the District those warranties which Contractor otherwise warrants to others and the duration of such warranties is as provided by Florida law unless longer guarantees or warranties are provided for elsewhere in the Agreement (in which case the longer periods of time shall prevail). Contractor shall replace or repair warranted items to the District’s satisfaction and in the District’s discretion. Neither final acceptance of the services, nor monthly or final payment therefore, nor any provision of the Agreement shall relieve Contractor of responsibility for defective or deficient materials or services. If any of the services or materials are found to be defective, deficient or not in accordance with the Agreement, Contractor shall correct remove and replace it promptly after receipt of a written notice from the District and correct and pay for any other damage resulting therefrom to District property or the property of landowners within the District. Contractor hereby certifies it is receiving the property in its as-is condition and has thoroughly inspected the property and addressed any present deficiencies, if any, with the District. Contractor shall be responsible for maintaining and warranting all plant material maintained by Contractor as of the first date of the services.

ACCIDENTS/CLAIMS. Contractor shall promptly and in no event within more than seventy-two (72) hours provide a written report as to all accidents, injuries or claims for damage relating to the Amenity Landscape Areas or related to the Services, including any damage or destruction of property, and shall cooperate and make any and all reports required by any insurance company, law enforcement agency or the District in connection therewith, unless the District’s Board of Supervisors (“Board”) expressly directs Contractor otherwise, in writing.

INDEPENDENT CONTRACTOR. In all matters relating to this Agreement, Contractor shall be acting as an independent contractor. Neither Contractor nor employees of Contractor are employees of the District under the meaning or application of any Federal or State Unemployment or Insurance Laws or otherwise. Contractor agrees to assume all liabilities or obligations imposed by any one or more of such laws with respect to employees of Contractor, if any, in the performance of this Agreement. Contractor shall not have any authority to assume or create any obligation, express or implied, on behalf of the District and Contractor shall have no authority to represent the District as an agent, employee, or in any other capacity, unless otherwise set forth in this Agreement.

TERMINATION. The District shall have the right to terminate this Agreement immediately upon written notice for cause, or upon thirty (30) days’ written notice without cause. Contractor shall have the right to terminate this Agreement upon sixty (60) days’ written notice to the District. In the event either party terminates this Agreement, Contractor’s sole remedy shall be to recover the balance of money due and owing to it at the effective date of termination for the work actually performed up to that date, subject to any off-sets the District might have against Contractor.

INSURANCE. Contractor shall maintain throughout the term of this Agreement the insurance listed in Exhibit B. The District, its staff, consultants and supervisors shall be named as additional insured. The Contractor shall furnish the District with the Certificate of Insurance evidencing compliance with this requirement. No certificate shall be acceptable to the District unless it provides that any change or termination within the policy periods of the insurance coverage, as certified, shall not be effective within thirty (30) days of prior written notice to the District. Insurance coverage shall be from a reputable insurance carrier, licensed to conduct business in the State of Florida.

INDEMNIFICATION. Contractor agrees to defend, indemnify, and hold harmless the District and its officers, agents, employees, successors, assigns, members, affiliates, or representatives from any and all liability, claims, actions, suits, liens, demands, costs, interest, expenses, damages,

penalties, fines, judgments against the District, or loss or damage, whether monetary or otherwise, arising out of, wholly or in part by, or in connection with the Services to be performed by Contractor, its subcontractors, its employees and agents in connection with this Agreement, including litigation, mediation, arbitration, appellate, or settlement proceedings with respect thereto. Additionally, nothing in this Agreement requires Contractor to indemnify the District for the District’s percentage of fault if the District is adjudged to be more than 50% at fault for any claims against the District and Contractor as jointly liable parties; however, Contractor shall indemnify the District for any and all percentages of fault attributable to Contractor for claims against the District, regardless of whether the District is adjudged to be more or less than 50% at fault. Contractor further agrees that nothing herein shall constitute or be construed as a waiver of the District’s limitations on liability contained in Section 768.28, Florida Statutes, or other statute. Obligations under this section shall include the payment of all settlements, judgments, damages, liquidated damages, penalties, fines, forfeitures, back pay awards, court costs, arbitration and/or mediation costs, litigation expenses, attorneys’ fees, paralegal fees (incurred in court, out of court, on appeal, or in bankruptcy proceedings), any interest accrued against the District, all as actually incurred. The indemnification rights herein contained shall be cumulative of, and in addition to, any and all rights, remedies and recourse to which the District shall be entitled, whether pursuant to some other provision of this Agreement, at law, or in equity. The provisions of this Section shall survive the termination or expiration of this Agreement.

DEFAULT; THIRD-PARTY INTERFERENCE. A default by either party under this Agreement shall entitle the other to all remedies available at law or in equity, which may include, but not be limited to, the right of damages, injunctive relief, and/or specific performance. The District shall be solely responsible for enforcing its rights under this Agreement against any interfering third-party. Nothing contained herein shall limit or impair the District’s right to protect its rights from interference by a third-party to this Agreement.

ATTORNEY’S FEES. In the event that either the District or Contractor is required to enforce this Agreement by court proceedings or otherwise, then the prevailing party shall be entitled to recover all fees and costs incurred, including reasonable attorneys’ fees and costs for trial, alternative dispute resolution, or appellate proceedings.

ENTIRE AGREEMENT. This instrument shall constitute the final and complete expression of the agreement between the parties hereto relating to the subject matter of this Agreement.

AMENDMENTS. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both parties hereto.

NOTICES. All notices, requests, consents, and other communications under this Agreement (“Notices”) shall be in writing and shall be delivered, mailed by Overnight Delivery or First Class Mail, postage prepaid, to the parties, at the addresses first listed above. Except as otherwise provided in this Agreement, any Notice shall be deemed received only upon actual delivery at the address set forth above. Notices delivered after 5:00 p.m. (at the place of delivery) or on a non-business day, shall be deemed received on the next business day. If any time for giving Notice contained in this Agreement would otherwise expire on a non-business day, the Notice period shall be extended to the next succeeding business day. Saturdays, Sundays, and legal holidays recognized by the United States government shall not be regarded as business days. Counsel for the District and counsel for Contractor may deliver Notice on behalf of the District and Contractor. Any party or other person to whom Notices are to be sent or copied may notify the other parties and addressees of any change in name or address to which Notices

shall be sent by providing the same on five (5) days’ written notice to the parties and addressees set forth
herein.

THIRD-PARTY BENEFICIARIES. This Agreement is solely for the benefit of the District and Contractor and no right or cause of action shall accrue upon or by reason, to or for the benefit of any third-party not a formal party to this Agreement. Nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person or corporation other than the District and Contractor any right, remedy, or claim under or by reason of this Agreement or any of the provisions or conditions of this Agreement; and all of the provisions, representations, covenants, and conditions contained in this Agreement shall inure to the sole benefit of and shall be binding upon the District and Contractor and their respective representatives, successors, and assigns.

ASSIGNMENT. Neither the District nor Contractor may assign this Agreement or any monies to become due hereunder without the prior written approval of the other. Any purported assignment without such written approval shall be void.

CONTROLLING LAW; VENUE. This Agreement and the provisions contained in this Agreement shall be construed, interpreted, and controlled according to the laws of the State of Florida. The parties agree that venue for any action arising hereunder shall be in a court of appropriate jurisdiction in the County in which the District is located.

PUBLIC RECORDS. Contractor understands and agrees that all documents of any kind provided to the District in connection with this Agreement may be public records, and, accordingly, Contractor agrees to comply with all applicable provisions of Florida law in handling such records, including but not limited to section 119.0701, Florida Statutes. Contractor acknowledges that the designated public records custodian for the District is the District’s Manager (“Public Records Custodian”). Among other requirements and to the extent applicable by law, Contractor shall 1) keep and maintain public records required by the District to perform the service; 2) upon request by the Public Records Custodian, provide the District with the requested public records or allow the records to be inspected or copied within a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the contract term and following the contract term if Contractor does not transfer the records to the Public Records Custodian of the District; and 4) upon completion of the contract, transfer to the District, at no cost, all public records in Contractor’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. When such public records are transferred by Contractor, Contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. All records stored electronically must be provided to the District in a format that is compatible with Microsoft Word or Adobe PDF formats.

IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE CONTRACTOR’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS AGREEMENT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS, C/O GOVERNMENTAL MANAGEMENT SERVICES, 5385 N NOB HILL RD, SUNRISE FLORIDA, 33351

SEVERABILITY. The invalidity or unenforceability of any one or more provisions of this Agreement shall not affect the validity or enforceability of the remaining portions of this Agreement or any part of this Agreement not held to be invalid or unenforceable.

HEADINGS. The descriptive headings in this Agreement are for convenience only and shall not control nor affect the meaning or construction of any of the provisions of this Agreement.

NEGOTIATIONS AT ARM’S LENGTH. This Agreement has been negotiated fully between the parties as an arm’s length transaction. The parties participated fully in the preparation of this Agreement and received, or had the opportunity to receive, the advice of counsel. In the case of a dispute concerning the interpretation of any provision of this Agreement, all parties are deemed to have drafted, chosen, and selected the language, and the doubtful language will not be interpreted or construed against any party.

LIMITATIONS ON LIABILITY. Nothing in this Agreement shall be deemed as a waiver of immunity or limits of liability of the District beyond any statutory limited waiver of immunity or limits of liability which may have been adopted by the Florida Legislature in section 768.28, Florida Statutes, or other statute or law, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the Doctrine of Sovereign Immunity or by operation of law.

SCRUTINIZED COMPANIES. Contractor certifies that it is not in violation of section 287.135, Florida Statutes, and is not prohibited from doing business with the District under Florida law, including but not limited to Scrutinized Companies with Activities in Sudan List or Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List. If Contractor is found to have submitted a false statement, has been placed on the Scrutinized Companies with Activities in Sudan List or the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or has been engaged in business operations in Cuba or Syria, or is now or in the future on the Scrutinized Companies that Boycott Israel List, or engaged in a boycott of Israel, the District may immediately terminate this Agreement.

E-VERIFY. Contractor shall comply with and perform all applicable provisions of Section 448.095, Florida Statutes. Accordingly, to the extent required by Florida Statute, Contractor shall register with and use the United States Department of Homeland Security’s E-Verify system to verify the work authorization status of all newly hired employees and shall comply with all requirements of Section 448.095, Florida Statutes, as to the use of subcontractors. The District may terminate the Agreement immediately for cause if there is a good faith belief that the Contractor has knowingly violated Section 448.091, Florida Statutes. By entering into this Agreement, the Contractor represents that no public employer has terminated a contract with the Contractor under Section 448.095(2)©, Florida Statutes, within the year immediately preceding the date of this Agreement.

CONFLICTS. In the event that there are any conflicts between the terms of this Agreement and its exhibits, the terms of this Agreement shall control.
AUTHORIZATION. The execution of this Agreement has been duly authorized by the appropriate body or official of both parties hereto, both parties have complied with all the requirements of law, and both parties have full power and authority to comply with the terms and provisions of this Agreement.

E-SIGNATURE; COUNTERPARTS. This Agreement may be executed by electronic signature, and in any number of counterparts; however, all such counterparts together shall constitute but one and the same instrument.

[CONTINUED ON NEXT PAGE]

IN WITNESS WHEREOF, the parties execute the foregoing Agreement.

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

By: Darren Weimer
Its: Secretary	 Date: 2026-01-08	

P.H.L. LAND CARE INC

John Fagarass	
By:John Fagarass	 Its: CEO		 Date: 11/21/25		 

Exhibit A:	Proposal
Exhibit B:	Insurance Certificate with Endorsements

EXHIBIT A: PROPOSAL

EXHIBIT B: CERTIFICATE OF INSURANCE

AGREEMENT FOR
POND LANDSCAPE MAINTENANCE SERVICES AGREEMENT

THIS AGREEMENT (“Agreement”) is made, and entered into, by and between:

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and with a mailing address of c/o 5385 N Nob Hill Road, Sunrise Fl 33351 (“District”), and

TOLER ENTERPRISES, INC., a Florida Corporation, with a principal address of 16101 SW Kanner HWY, Indiantown, Florida 34956 (“Contractor”).

RECITALS

WHEREAS, the District is a local unit of special-purpose government established pursuant to and governed by Chapter 190 of the Florida Statutes; and

WHEREAS, the District owns, operates and maintains landscaping areas in and around lakes and ponds (“Landscape Areas”); and

WHEREAS, the District desires to enter into an agreement with an independent contractor to provide pond landscape maintenance services for the Landscape Areas, as outlined in Exhibit A (“Services”); and

WHEREAS, Contractor represents and warrants that it is qualified to provide such Services and desires to enter into an agreement with the District to provide the Services in accordance with the terms and specifications in this Agreement and Exhibit A.

NOW, THREEFORE, based upon good and valuable consideration and the mutual covenants of the parties, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

RECITALS. The recitals stated above are true and correct and by this reference are incorporated herein as a material part of this Agreement.

SERVICES. The Contractor agrees to provide the Services outlined in Exhibit A. Contractor hereby covenants to the District that it shall perform the services: (i) using its best skill and judgment and in accordance with generally accepted professional standards, and (ii) in compliance with all applicable federal, state, county, municipal, building and zoning, land use, environmental, public safety, non-discrimination and disability accessibility laws, codes, ordinances, rules and regulations, permits and approvals (including any permits and approvals relating to water rights), including, without limitation, all professional registration (both corporate and individual) for all required basic disciplines that it shall perform. While providing the Services, the Contractor shall assign such staff as may be required, and such staff shall be responsible for coordinating, expediting, and controlling all aspects to assure completion of the Services. Contractor represents that the Services are sufficient to ensure that the Landscape Areas are being operated in a manner consistent with applicable permits and approvals, if any. Contractor shall solely be responsible for the means, manner and methods by which its duties, obligations and responsibilities are met to the satisfaction of the District. This Agreement grants to Contractor the right

to enter the District property that is the subject of this Agreement, and for those purposes described in this Agreement.

Additional Work. The Contractor agrees that the District shall not be liable for the payment of any additional work and/or services unless the District first authorizes the Contractor to perform such additional work and/or services through an authorized and fully executed change order. Nothing herein shall be construed to require the District to use the Contractor for any such additional work and/or services, and the District reserves the right to retain a different contractor to perform any additional work and/or services.

TERM. Contractor shall provide the Services beginning upon the full execution of this Agreement, and continue through September 30 of the year in which this Agreement becomes effective, unless terminated earlier pursuant to its terms. This Agreement shall automatically renew for one-year periods beginning October 1 (i.e., based on the District’s fiscal year), unless terminated pursuant to the terms herein.

COMPENSATION; PAYMENT. As compensation for the Services described in this Agreement, the District agrees to pay the Contractor the amounts set forth in Exhibit A. The Contractor shall maintain records conforming to usual accounting practices. Further, the Contractor agrees to render monthly invoices to the District, in writing, which shall be delivered or mailed to the District by the fifth (5th) day of the next succeeding month. Each monthly invoice shall contain, at a minimum, the District’s name, the Contractor’s name, the invoice date, an invoice number, an itemized listing of all costs billed on the invoice with a description of each sufficient for the District to approve each cost, the time frame within which the services were provided, and the address or bank information to which payment is to be remitted. Consistent with Florida’s Prompt Payment Act, Section 218.70 et al. of the Florida Statutes, these monthly invoices are due and payable within forty-five (45) days of receipt by the District.

CARE OF DISTRICT PROPERTY. Contractor shall use all due care to protect the property of the District, its patrons, landowners and authorized guests from damage by Contractor or its employees or agents. Contractor agrees to repair any damage resulting from the Services within twenty-four (24) hours. Any such repairs shall be at Contractor’s sole expense, unless otherwise agreed, in writing, by the District.

COMPLIANCE WITH LAW. In providing the Services, Contractor shall comply with all applicable laws, rules, and regulations, including but not limited to all orders or requirements affecting the District property placed thereon by any governmental authority having jurisdiction.

PERMITS AND LICENSES. All other permits or licenses necessary for the Contractor to perform under this Agreement shall be obtained and paid for by the Contractor.

WARRANTY AND COVENANT. The Contractor warrants to the District that all materials furnished under this Agreement shall be new, and that all services and materials shall be of good quality, free from faults and defects. The Contractor hereby warrants any materials and services for a period of one (1) year after acceptance by the District or longer as required under Florida law. With respect to any and all plant material provided pursuant to this Agreement or any separate work authorization issued hereunder, all plant material shall be guaranteed to be in a satisfactory growing condition and to live for a period of one (1) year from planting except for annuals, which will be replaced seasonally. All plants that fail to survive under the guarantee shall be replaced as they fail with the same type and size as originally

specified. Contractor further warrants to the District those warranties which Contractor otherwise warrants to others and the duration of such warranties is as provided by Florida law unless longer guarantees or warranties are provided for elsewhere in the Agreement (in which case the longer periods of time shall prevail). Contractor shall replace or repair warranted items to the District’s satisfaction and in the District’s discretion. Neither final acceptance of the services, nor monthly or final payment therefore, nor any provision of the Agreement shall relieve Contractor of responsibility for defective or deficient materials or services. If any of the services or materials are found to be defective, deficient or not in accordance with the Agreement, Contractor shall correct remove and replace it promptly after receipt of a written notice from the District and correct and pay for any other damage resulting therefrom to District property or the property of landowners within the District. Contractor hereby certifies it is receiving the property in its as-is condition and has thoroughly inspected the property and addressed any present deficiencies, if any, with the District. Contractor shall be responsible for maintaining and warranting all plant material maintained by Contractor as of the first date of the services.

ACCIDENTS/CLAIMS. Contractor shall promptly and in no event within more than seventy-two (72) hours provide a written report as to all accidents, injuries or claims for damage relating to the Amenity Landscape Areas or related to the Services, including any damage or destruction of property, and shall cooperate and make any and all reports required by any insurance company, law enforcement agency or the District in connection therewith, unless the District’s Board of Supervisors (“Board”) expressly directs Contractor otherwise, in writing.

INDEPENDENT CONTRACTOR. In all matters relating to this Agreement, Contractor shall be acting as an independent contractor. Neither Contractor nor employees of Contractor are employees of the District under the meaning or application of any Federal or State Unemployment or Insurance Laws or otherwise. Contractor agrees to assume all liabilities or obligations imposed by any one or more of such laws with respect to employees of Contractor, if any, in the performance of this Agreement. Contractor shall not have any authority to assume or create any obligation, express or implied, on behalf of the District and Contractor shall have no authority to represent the District as an agent, employee, or in any other capacity, unless otherwise set forth in this Agreement.

TERMINATION. The District shall have the right to terminate this Agreement immediately upon written notice for cause, or upon thirty (30) days’ written notice without cause. Contractor shall have the right to terminate this Agreement upon sixty (60) days’ written notice to the District. In the event either party terminates this Agreement, Contractor’s sole remedy shall be to recover the balance of money due and owing to it at the effective date of termination for the work actually performed up to that date, subject to any off-sets the District might have against Contractor.

INSURANCE. Contractor shall maintain throughout the term of this Agreement the insurance listed in Exhibit B. The District, its staff, consultants and supervisors shall be named as additional insured. The Contractor shall furnish the District with the Certificate of Insurance evidencing compliance with this requirement. No certificate shall be acceptable to the District unless it provides that any change or termination within the policy periods of the insurance coverage, as certified, shall not be effective within thirty (30) days of prior written notice to the District. Insurance coverage shall be from a reputable insurance carrier, licensed to conduct business in the State of Florida.

INDEMNIFICATION. Contractor agrees to defend, indemnify, and hold harmless the District and its officers, agents, employees, successors, assigns, members, affiliates, or representatives from any and all liability, claims, actions, suits, liens, demands, costs, interest, expenses, damages,

penalties, fines, judgments against the District, or loss or damage, whether monetary or otherwise, arising out of, wholly or in part by, or in connection with the Services to be performed by Contractor, its subcontractors, its employees and agents in connection with this Agreement, including litigation, mediation, arbitration, appellate, or settlement proceedings with respect thereto. Additionally, nothing in this Agreement requires Contractor to indemnify the District for the District’s percentage of fault if the District is adjudged to be more than 50% at fault for any claims against the District and Contractor as jointly liable parties; however, Contractor shall indemnify the District for any and all percentages of fault attributable to Contractor for claims against the District, regardless of whether the District is adjudged to be more or less than 50% at fault. Contractor further agrees that nothing herein shall constitute or be construed as a waiver of the District’s limitations on liability contained in Section 768.28, Florida Statutes, or other statute. Obligations under this section shall include the payment of all settlements, judgments, damages, liquidated damages, penalties, fines, forfeitures, back pay awards, court costs, arbitration and/or mediation costs, litigation expenses, attorneys’ fees, paralegal fees (incurred in court, out of court, on appeal, or in bankruptcy proceedings), any interest accrued against the District, all as actually incurred. The indemnification rights herein contained shall be cumulative of, and in addition to, any and all rights, remedies and recourse to which the District shall be entitled, whether pursuant to some other provision of this Agreement, at law, or in equity. The provisions of this Section shall survive the termination or expiration of this Agreement.

DEFAULT; THIRD-PARTY INTERFERENCE. A default by either party under this Agreement shall entitle the other to all remedies available at law or in equity, which may include, but not be limited to, the right of damages, injunctive relief, and/or specific performance. The District shall be solely responsible for enforcing its rights under this Agreement against any interfering third-party. Nothing contained herein shall limit or impair the District’s right to protect its rights from interference by a third-party to this Agreement.

ATTORNEY’S FEES. In the event that either the District or Contractor is required to enforce this Agreement by court proceedings or otherwise, then the prevailing party shall be entitled to recover all fees and costs incurred, including reasonable attorneys’ fees and costs for trial, alternative dispute resolution, or appellate proceedings.

ENTIRE AGREEMENT. This instrument shall constitute the final and complete expression of the agreement between the parties hereto relating to the subject matter of this Agreement.

AMENDMENTS. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both parties hereto.

NOTICES. All notices, requests, consents, and other communications under this Agreement (“Notices”) shall be in writing and shall be delivered, mailed by Overnight Delivery or First Class Mail, postage prepaid, to the parties, at the addresses first listed above. Except as otherwise provided in this Agreement, any Notice shall be deemed received only upon actual delivery at the address set forth above. Notices delivered after 5:00 p.m. (at the place of delivery) or on a non-business day, shall be deemed received on the next business day. If any time for giving Notice contained in this Agreement would otherwise expire on a non-business day, the Notice period shall be extended to the next succeeding business day. Saturdays, Sundays, and legal holidays recognized by the United States government shall not be regarded as business days. Counsel for the District and counsel for Contractor may deliver Notice on behalf of the District and Contractor. Any party or other person to whom Notices are to be sent or copied may notify the other parties and addressees of any change in name or address to which Notices

shall be sent by providing the same on five (5) days’ written notice to the parties and addressees set forth
herein.

THIRD-PARTY BENEFICIARIES. This Agreement is solely for the benefit of the District and Contractor and no right or cause of action shall accrue upon or by reason, to or for the benefit of any third-party not a formal party to this Agreement. Nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person or corporation other than the District and Contractor any right, remedy, or claim under or by reason of this Agreement or any of the provisions or conditions of this Agreement; and all of the provisions, representations, covenants, and conditions contained in this Agreement shall inure to the sole benefit of and shall be binding upon the District and Contractor and their respective representatives, successors, and assigns.

ASSIGNMENT. Neither the District nor Contractor may assign this Agreement or any monies to become due hereunder without the prior written approval of the other. Any purported assignment without such written approval shall be void.

CONTROLLING LAW; VENUE. This Agreement and the provisions contained in this Agreement shall be construed, interpreted, and controlled according to the laws of the State of Florida. The parties agree that venue for any action arising hereunder shall be in a court of appropriate jurisdiction in the County in which the District is located.

PUBLIC RECORDS. Contractor understands and agrees that all documents of any kind provided to the District in connection with this Agreement may be public records, and, accordingly, Contractor agrees to comply with all applicable provisions of Florida law in handling such records, including but not limited to section 119.0701, Florida Statutes. Contractor acknowledges that the designated public records custodian for the District is the District’s Manager (“Public Records Custodian”). Among other requirements and to the extent applicable by law, Contractor shall 1) keep and maintain public records required by the District to perform the service; 2) upon request by the Public Records Custodian, provide the District with the requested public records or allow the records to be inspected or copied within a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the contract term and following the contract term if Contractor does not transfer the records to the Public Records Custodian of the District; and 4) upon completion of the contract, transfer to the District, at no cost, all public records in Contractor’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. When such public records are transferred by Contractor, Contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. All records stored electronically must be provided to the District in a format that is compatible with Microsoft Word or Adobe PDF formats.

IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE CONTRACTOR’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS AGREEMENT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS, C/O GOVERNMENTAL MANAGEMENT SERVICES, 5385 N NOB HILL RD, SUNRISE FLORIDA, 33351

SEVERABILITY. The invalidity or unenforceability of any one or more provisions of this Agreement shall not affect the validity or enforceability of the remaining portions of this Agreement or any part of this Agreement not held to be invalid or unenforceable.

HEADINGS. The descriptive headings in this Agreement are for convenience only and shall not control nor affect the meaning or construction of any of the provisions of this Agreement.

NEGOTIATIONS AT ARM’S LENGTH. This Agreement has been negotiated fully between the parties as an arm’s length transaction. The parties participated fully in the preparation of this Agreement and received, or had the opportunity to receive, the advice of counsel. In the case of a dispute concerning the interpretation of any provision of this Agreement, all parties are deemed to have drafted, chosen, and selected the language, and the doubtful language will not be interpreted or construed against any party.

LIMITATIONS ON LIABILITY. Nothing in this Agreement shall be deemed as a waiver of immunity or limits of liability of the District beyond any statutory limited waiver of immunity or limits of liability which may have been adopted by the Florida Legislature in section 768.28, Florida Statutes, or other statute or law, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the Doctrine of Sovereign Immunity or by operation of law.

SCRUTINIZED COMPANIES. Contractor certifies that it is not in violation of section 287.135, Florida Statutes, and is not prohibited from doing business with the District under Florida law, including but not limited to Scrutinized Companies with Activities in Sudan List or Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List. If Contractor is found to have submitted a false statement, has been placed on the Scrutinized Companies with Activities in Sudan List or the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or has been engaged in business operations in Cuba or Syria, or is now or in the future on the Scrutinized Companies that Boycott Israel List, or engaged in a boycott of Israel, the District may immediately terminate this Agreement.

E-VERIFY. Contractor shall comply with and perform all applicable provisions of Section 448.095, Florida Statutes. Accordingly, to the extent required by Florida Statute, Contractor shall register with and use the United States Department of Homeland Security’s E-Verify system to verify the work authorization status of all newly hired employees and shall comply with all requirements of Section 448.095, Florida Statutes, as to the use of subcontractors. The District may terminate the Agreement immediately for cause if there is a good faith belief that the Contractor has knowingly violated Section 448.091, Florida Statutes. By entering into this Agreement, the Contractor represents that no public employer has terminated a contract with the Contractor under Section 448.095(2)©, Florida Statutes, within the year immediately preceding the date of this Agreement.

CONFLICTS. In the event that there are any conflicts between the terms of this Agreement and its exhibits, the terms of this Agreement shall control.
AUTHORIZATION. The execution of this Agreement has been duly authorized by the appropriate body or official of both parties hereto, both parties have complied with all the requirements of law, and both parties have full power and authority to comply with the terms and provisions of this Agreement

E-SIGNATURE; COUNTERPARTS. This Agreement may be executed by electronic signature, and in any number of counterparts; however, all such counterparts together shall constitute but one and the same instrument.

[CONTINUED ON NEXT PAGE]

IN WITNESS WHEREOF, the parties execute the foregoing Agreement.

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

By:Darren Weimer	 Its: Secretary	 Date: 2026-01-08	

TOLER ENTERPRISES, INC.

By: Chester Toler	  Its: President		 Date:2026-01-08	

Exhibit A:	Proposal
Exhibit B:	Insurance Certificate with Endorsements

EXHIBIT A: PROPOSAL

EXHIBIT B: CERTIFICATE OF INSURANCE

AGREEMENT FOR ENGINEERING SERVICES

THIS AGREEMENT (“Agreement”) is made and entered into this  3rd  day of
 December	, 2025, by and between:

Verano 2 Community Development District, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and located in the City of Port St. Lucie, Florida, with a mailing address of 5385 N. Nob Hill Road, Sunrise, Florida 33351 (“District”); and

Mills, Short & Associates, LLC, a Florida limited liability company, providing professional engineering services with a mailing address of 700 22nd Place, Suite 2C & 2D, Vero Beach, Florida 32960 (“Engineer”).

RECITAL

WHEREAS, the District is a local unit of special-purpose government established pursuant to the Uniform Community Development District Act of 1980, as codified in Chapter 190, Florida Statutes, and by an ordinance adopted by the City Council of the City of Port St. Lucie, Florida; and

WHEREAS, the District is authorized to plan, finance, construct, install, acquire and/or maintain improvements, facilities and services in conjunction with the development of the lands within the District; and

WHEREAS, pursuant to Sections 190.033 and 287.055, Florida Statutes, the District solicited proposals from qualified firms to provide professional engineering services on a continuing basis; and

WHEREAS, Engineer submitted a proposal to serve in this capacity; and

WHEREAS, the District's Board of Supervisors (“Board”) ranked Engineer as the most qualified firm to provide professional engineering services for the District and authorized the negotiation of a contract pursuant to Section 287.055, Florida Statutes; and

WHEREAS, the District intends to employ Engineer to perform engineering services including but not limited to construction administration, environmental management and permitting, financial and economic studies, as defined by a separate work authorization or work authorizations; and

WHEREAS, the Engineer shall serve as District’s professional representative in each service or project to which this Agreement applies and will give consultation and advice to the District during performance of these services.

NOW, THEREFORE, for and in consideration of the mutual covenants herein contained, the acts and deeds to be performed by the parties and the payments by the District to the Engineer of the sums of money herein specified, it is mutually covenanted and agreed as follows:

SCOPE OF SERVICES.

The Engineer will provide general engineering services, including:
Preparation of any necessary reports and attendance at meetings of the Board.
Providing professional engineering services including but not limited to review and execution of documents under the District’s Trust Indentures and monitoring of District projects. Performance of any other duties related to the provision of infrastructure and services as requested by the Board, District Manager, or District Counsel.
Any other items requested by the Board.
Engineer shall, when authorized by the Board, provide general services related to construction of any District projects including, but not limited to:
Periodic visits to the site, or full-time construction management of District projects, as directed by District.
Processing of contractor’s pay estimates.
Preparation of, and/or assistance with the preparation of, work authorizations, requisitions, change orders and acquisitions for review by the District Manager, District Counsel and the Board.
Final inspection and requested certificates for construction including the final certificate of construction.
Consultation and advice during construction, including performing all roles and actions required of any construction contract between District and any contractor(s) in which Engineer is named as owner’s representative or “Engineer.”
Any other activity related to construction as authorized by the Board.
With respect to maintenance of the facilities, Engineer shall render such services as authorized by the Board.

REPRESENTATIONS. The Engineer hereby represents to the District that:

It has the experience and skill to perform the services required to be performed by this Agreement.
It shall design to and comply with applicable federal, state, and local laws, and codes, including without limitation, professional registration and licensing requirements (both corporate and individual for all required basic disciplines) in effect during the term of this Agreement, and shall, if requested by District,

provide certification of compliance with all registration and licensing requirements.
It shall perform said services in accordance with generally accepted professional standards exercised by consultants performing the same or similar services in the same locality at the time the services are provided .
It is adequately financed to meet any financial obligations it may be required to incur under this Agreement.

METHOD OF AUTHORIZATION. Each service or project shall be authorized in writing by the District. The written authorization shall be incorporated in a work authorization which shall include the scope of work, compensation, project schedule, and special provisions or conditions specific to the service or project bring authorized (“Work Authorization”). Authorization of services or projects under the contract shall be at the sole option of the District. Work Authorization No. 1 attached hereto is hereby approved.

COMPENSATION. It is understood and agreed that the payment of compensation for services under this Agreement shall be stipulated in each Work Authorization. One of the following methods will be utilized:

Lump Sum Amount - The District and Engineer shall mutually agree to a lump sum amount for the services to be rendered payable monthly in direct proportion to the work accomplished. Payment of each invoice will be due within 30 days of receipt by the District. For any lump-sum or cost-plus-a-fixed-fee professional service contract over the threshold amount provided in Section 287.017, Florida Statutes, for CATEGORY FOUR, the District shall require the Engineer to execute a truth-in-negotiation certificate stating that wage rates and other factual unit costs supporting the compensation are accurate, complete, and current at the time of contracting. The price for any lump sum Work Authorization, and any additions thereto, will be adjusted to exclude any significant sums by which the District determines the Work Authorization was increased due to inaccurate, incomplete, or noncurrent wage rates and other factual unit costs. All such adjustments must be made within 1 year following the completion of the work contemplated by the lump sum Work Authorization.
Hourly Personnel Rates - For services or projects where scope of services is not clearly defined, or recurring services or other projects where the District desires to use the hourly compensation rates outlined in Exhibit A attached hereto. The District and Engineer may agree to a “not to exceed” amount when utilizing hourly personnel rates for a specific work authorization.

REIMBURSABLE EXPENSES. Reimbursable expenses consist of actual expenditures made by Engineer, its employees, or its consultants in the interest of the project for the incidental expenses as listed as follows:

Expenses of transportation and living when traveling in connection with a project, for long distance phone calls and telegrams, and fees paid for securing approval of authorities having jurisdiction over the project. All expenditures shall be made in accordance with Chapter 112, Florida Statutes, and with the District’s travel policy.
Expense of reproduction, postage and handling of drawings and specifications.

TERM OF CONTRACT. It is understood and agreed that this Agreement is for engineering services. It is further understood and agreed that the term of this Agreement will be from the time of execution of this Agreement until terminated pursuant the terms herein.

SPECIAL SERVICES. When authorized in writing by the District, additional special consulting services may be utilized by Engineer and paid for on an hourly basis at Consultant’s then-current hourly rates.

BOOKS AND RECORDS. Engineer shall maintain comprehensive books and records relating to any services performed under this Agreement, which shall be retained by Engineer for a period of at least four (4) years from and after completion of any services hereunder (or such longer period to the extent required by Florida’s public records retention laws). The District, or its authorized representative, shall have the right to audit such books and records at all reasonable times upon prior notice to Engineer.

OWNERSHIP OF DOCUMENTS.

All rights in and title to all plans, drawings, specifications, ideas, concepts, designs, sketches, models, programs, software, creation, inventions, reports, or other tangible work product originally developed by Engineer pursuant to this Agreement (“Work Product”) shall be and remain the sole and exclusive property of the District when developed and shall be considered work for hire.
The Engineer shall deliver all Work Product to the District upon completion thereof unless it is necessary for Engineer in the District’s sole discretion, to retain possession for a longer period of time. Upon early termination of Engineer’s services hereunder, Engineer shall deliver all such Work Product whether complete or not. The District shall have all rights to use any and all Work Product. Engineer shall retain copies of the Work Product for its permanent records, provided the Work Product is not used without the District’s prior express written consent. Engineer agrees not to recreate any Work Product contemplated by this Agreement, or portions thereof, which if constructed or otherwise materialized, would be reasonably identifiable with the project. If said work product is used by the District for any purpose other than that purpose which is intended by this Agreement, the District shall

indemnify Engineer from any and all claims and liabilities which may result from such re-use, in the event Engineer does not consent to such use.
The District exclusively retains all manufacturing rights to all materials or designs developed under this Agreement. To the extent the services performed under this Agreement produce or include copyrightable or patentable materials or designs, such materials or designs are work made for hire for the District as the author, creator, or inventor thereof upon creation, and the District shall have all rights therein including, without limitation, the right of reproduction, with respect to such work. Engineer hereby assigns to the District any and all rights Engineer may have including, without limitation, the copyright, with respect to such work. The Engineer acknowledges that the District is the motivating factor for, and for the purpose of copyright or patent, has the right to direct and supervise the preparation of such copyrightable or patentable materials or designs.

ACCOUNTING RECORDS. Records of Engineer pertaining to the services provided hereunder shall be kept on a basis of generally accepted accounting principles and shall be available to the District or its authorized representative for observation or audit at mutually agreeable times.

REUSE OF DOCUMENTS. All documents including drawings and specifications furnished by Engineer pursuant to this Agreement are instruments of service. They are not intended or represented to be suitable for reuse by District or others on extensions of the work for which they were provided or on any other project. Any reuse without specific written consent by Engineer will be at the District’s sole risk and without liability or legal exposure to Engineer. All documents including drawings, plans and specifications furnished by Engineer to District are subject to reuse in accordance with Section 287.055(10), Florida Statutes.

COST ESTIMATES. Since Engineer has no control over the cost of labor, materials or equipment or over a contractor’s methods of determining prices, or over competitive bidding or market conditions, his opinions of probable cost provided as a service hereunder are to be made on the basis of his experience and qualifications and represent his best judgment as a design professional familiar with the construction industry, but Engineer cannot and does not guarantee that proposals, bids, or the construction costs will not vary from opinions of probable cost prepared by him. If the District wishes greater assurance as to the construction costs, it shall employ an independent cost estimator at its own expense. Services to modify approved documents to bring the construction cost within any limitation established by the District will be considered additional services and justify additional fees.

INSURANCE. Engineer shall, at its own expense, maintain insurance during the performance of its services under this Agreement, with limits of liability not less than the following:

Workers’ Compensation	Statutory General Liability
Bodily Injury	$1,000,000/$2,000,000 (including Contractual)
Property Damage	$1,000,000/$2,000,000 (including Contractual)

Automobile Liability	Combined Single Limit $1,000,000 Bodily Injury / Property Damage

Professional Liability for
Errors and Omissions	$1,000,000

If any such policy of insurance is a “claims made” policy, and not an “occurrence” policy, the Engineer shall, without interruption, and at the District’s option, maintain the insurance during the term of this Agreement and for at least five years after the termination of this Agreement.

The District, its officers, supervisors, agents, staff, and representatives shall be named as additional insured parties, except with respect to the Worker’s Compensation Insurance and the Professional Liability for Errors and Omissions Insurance both for which only proof of insurance shall be provided. The Engineer shall furnish the District with the Certificate of Insurance evidencing compliance with the requirements of this Section. No certificate shall be acceptable to the District unless it provides that any change or termination within the policy periods of the insurance coverage, as certified, shall not be effective without written notice to the District per the terms of the applicable policy. Insurance coverage shall be from a reputable insurance carrier, licensed to conduct business in the state of Florida.

If the Engineer fails to have secured and maintained the required insurance, the District has the right (without any obligation to do so, however), to secure such required insurance in which event, the Engineer shall pay the cost for that required insurance and shall furnish, upon demand, all information that may be required in connection with the District’s obtaining the required insurance.

CONTINGENT FEE. The Engineer warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the Engineer, to solicit or secure this Agreement and that it has not paid or agreed to pay any person, company, corporation, individual, or firm, other than a bona fide employee working solely for the Engineer, any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or making of this Agreement.

AUDIT. The Engineer agrees that the District or any of its duly authorized representatives shall, until the expiration of three years after expenditure of funds under this Agreement, have access to and the right to examine any books, documents, papers, and records of the Engineer involving transactions related to the Agreement. The Engineer agrees that payment made under the Agreement shall be subject to reduction for amounts charged thereto that are found on the basis of audit examination not to constitute allowable costs. All required records shall be maintained until an audit is completed and all questions arising therefrom are resolved, or three years after completion of all work under the Agreement.

INDEMNIFICATION. Engineer agrees to indemnify, and hold the District and the District’s officers and employees wholly harmless from liabilities, damages, losses, and costs of any kind, including, but not limited to, reasonable attorney’s fees, which may come against the District and the District’s officers and employees, to the extent caused by the negligence, recklessness, or intentionally wrongful conduct, or defaults by Engineer or persons employed or utilized by Engineer in the course of any work done relating to this Agreement. To the extent a limitation on liability is required by Section 725.06, Florida Statutes or other applicable law, liability under this section shall in no event exceed the sum of One Million Dollars and Engineer shall carry, at his own expense, insurance in a company satisfactory to District to cover the aforementioned liability. Engineer agrees such limitation bears a reasonable commercial relationship to the contract and was part of the project specifications or bid documents.

INDIVIDUAL LIABILITY. UNDER THIS AGREEMENT, AND SUBJECT TO THE REQUIREMENTS OF SECTION 558.0035, FLORIDA STATUTES, WHICH REQUIREMENTS ARE EXPRESSLY INCORPORATED HEREIN, AN INDIVIDUAL EMPLOYEE OR AGENT MAY NOT BE HELD INDIVIDUALLY LIABLE FOR NEGLIGENCE.
SOVEREIGN IMMUNITY. The Engineer agrees and covenants that nothing in this Agreement shall constitute or be construed as a waiver of District’s limitations on liability pursuant to Section 768.28, Florida Statutes, or any other statute or law.

PUBLIC RECORDS. The Engineer agrees and understands that Chapter 119, Florida Statutes, may be applicable to documents prepared in connection with work provided to the District and agrees to cooperate with public record requests made thereunder. In connection with this Agreement, Engineer agrees to comply with all provisions of Florida’s public records laws, including but not limited to Section 119.0701, Florida Statutes, the terms of which are incorporated herein. Among other requirements, Engineer must:

Keep and maintain public records required by the District to perform the service.
Upon request from the District’s custodian of public records, provide the District with
a copy of the requested records or allow the records to be inspected or copied within

a reasonable time at a cost that does not exceed the cost provided in Chapter 119,
Florida Statutes or as otherwise provided by law.
Ensure that public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the Agreement if the Engineer does not transfer the records to the District.
Upon completion of this Agreement, transfer, at no cost, to the District all public records in possession of the Engineer or keep and maintain public records required by the District to perform the service. If the Engineer transfers all public records to the District upon completion of this Agreement, the Engineer shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. If the Engineer keeps and maintains public records upon completion of the Agreement, the Engineer shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the District, upon request from the District’s custodian of public records, in a format that is compatible with the information technology systems of the District.

IF THE ENGINEER HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE ENGINEER’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS AGREEMENT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS AT GOVERNMENTAL MANAGEMENT SERVICES – SF, LLC, AHPHILIPPI@GMSSF.COM, 954-721-8681, OR 5385 N. NOB HILL ROAD, SUNRISE, FLORIDA 33351.
EMPLOYMENT VERIFICATION. The Engineer agrees that it shall bear the responsibility for verifying the employment status, under the Immigration Reform and Control Act of 1986, of all persons it employs in the performance of this Agreement.

CONFLICTS OF INTEREST. The Engineer shall avoid any conflicts of interest and shall abide by all applicable ethical canons and professional standards relating to conflicts of interest.

SUBCONTRACTORS. The Engineer may subcontract portions of the services, subject to the terms of this Agreement and subject to the prior written consent of the District, which may be withheld for any or no reason. Without in any way limiting any terms and conditions set forth in this Agreement, all subcontractors of Engineer shall be deemed to have made all of the representations and warranties of Engineer set forth herein and shall be subject to any and all obligations of Engineer hereunder. Prior to any subcontractor providing any services, Engineer shall obtain from each subcontractor its written consent to and acknowledgment of the terms of this Agreement. Engineer shall be responsible for all acts or omissions of any subcontractors.

INDEPENDENT CONTRACTOR. The District and the Engineer agree and acknowledge that the Engineer shall serve as an independent contractor of the District. Neither the Engineer nor employees of the Engineer, if any, are employees of the District under the meaning or application of any federal or state unemployment, insurance laws, or any other potentially applicable laws. The Engineer agrees to assume all liabilities or obligations by any one or more of such laws with respect to employees of the Engineer, if any, in the performance of this Agreement. The Engineer shall not have any authority to assume or create any obligation, express or implied, on behalf of the District and the Engineer shall have no authority to represent as agent, employee, or in any other capacity the District unless set forth differently herein or authorized by vote of the Board.

ASSIGNMENT. Neither the District nor the Engineer shall assign, sublet, or transfer any rights under or interest in this Agreement without the express written consent of the other. Nothing in this paragraph shall prevent the Engineer from employing such independent professional associates and consultants as Engineer deems appropriate, pursuant to the terms of this Agreement.

THIRD PARTIES. Nothing in the Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred by operation of law.

CONTROLLING LAW. The Engineer and the District agree that this Agreement shall be controlled and governed by the laws of the State of Florida. Venue for any action arising under this Agreement shall be in the State Courts located in St. Lucie County, Florida.

WAIVER OF JURY TRIAL. The Parties hereby knowingly, irrevocably, voluntarily and intentionally waive any rights to a trial by jury in respect to any action, proceeding or counterclaim based on this contract or arising out of, under, or in connection with this contract or any document or instrument executed in connection with this contract, or any course of conduct, course of dealing, statements (whether verbal or written) or action of any party hereto. This provision is a material inducement for the parties entering into the subject agreement.

TERMINATION. The District may terminate this Agreement for cause immediately upon notice to Engineer. The District or the Engineer may terminate this Agreement without cause upon thirty (30) days written notice. At such time as the Engineer receives notification of the intent of the District to terminate the contract, the Engineer shall not perform any further services unless directed to do so in writing by the District. In the event of any termination or breach of any kind, the Engineer shall not be entitled to consequential damages of any kind (including but not limited to lost profits), but instead the Engineer’s sole remedy will be to recover payment for services rendered to the date of the notice of termination, subject to any offsets.

RECOVERY OF COSTS AND FEES. In the event either party is required to enforce this Agreement by court proceedings or otherwise, then the prevailing party shall be entitled to

recover from the other party all costs incurred, including reasonable attorneys’ fees at all judicial
levels.

AMENDMENTS. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both of the parties hereto and formally approved by the Board.

AGREEMENT. This Agreement reflects the negotiated agreement of the parties, each represented by competent legal counsel. Accordingly, this Agreement shall be construed as if both parties jointly prepared it, and no presumption against one party or the other shall govern the interpretation or construction of any of the provisions of this Agreement.

NOTICES. All notices, requests, consents and other communications hereunder (“Notices”) shall be in writing and shall be delivered, mailed by First Class Mail, postage prepaid, or tele-copied to the parties, and at the addresses first set forth above. Except as otherwise provided in this Agreement, any Notice shall be deemed received only upon actual delivery at the address set forth above. Notices delivered after 5:00 p.m. (at the place of delivery) or on a non-business day, shall be deemed received on the next business day. If any time for giving Notice contained in this Agreement would otherwise expire on a non-business day, the Notice period shall be extended to the next succeeding business day. Saturdays, Sundays, and legal holidays recognized by the United States government shall not be regarded as business days. Counsel for the District and counsel for the Engineer may deliver Notice on behalf of the District and the Engineer. Any party or other person to whom Notices are to be sent or copied may notify the other parties and addressees of any change in name or address to which Notices shall be sent by providing the same on five (5) day’s written notice to the parties and addressees set forth herein.

RECOVERY OF COSTS AND FEES. In the event either party is required to enforce this Agreement by court proceedings or otherwise, then the prevailing party shall be entitled to recover from the other party all costs incurred, including reasonable attorneys' fees.

E-VERIFY. The Engineer shall comply with and perform all applicable provisions of Section 448.095, Florida Statutes. Accordingly, to the extent required by Florida Statute, Engineer shall register with and use the United States Department of Homeland Security’s E-Verify system to verify the work authorization status of all newly hired employees. The District may terminate this Agreement immediately for cause if there is a good faith belief that the Engineer has knowingly violated Section 448.091, Florida Statutes. By entering into this Agreement, the Engineer represents that no public employer has terminated a contract with the Engineer under Section 448.095(2)(c), Florida Statutes, within the year immediately preceding the date of this Agreement.

SCRUTINIZED COMPANY CERTIFICATION. The Engineer hereby swears or affirms that as of the date below the Engineer is not listed on a Scrutinized Companies list created

pursuant to 215.4725, 215.473, or 287.135, Florida Statutes. Pursuant to 287.135, Florida Statutes the Engineer further affirms that:

The Engineer is not participating in a boycott of Israel such that is not refusing to deal, terminating business activities, or taking other actions to limit commercial relations with Israel, or person or entities doing business in Israel or in Israeli-controlled territories, in a discriminatory manner.
The Engineer does not appear on the Scrutinized Companies with Activities in Sudan List where the State Board of Administration has established the following criteria:
Have a material business relationship with the government of Sudan or a government-created project involving oil related, mineral extraction, or power generation activities, or
Have a material business relationship involving the supply of military equipment, or
Impact minimal benefit to disadvantaged citizens that are typically located in the geographic periphery of Sudan, or
Have been complicit in the genocidal campaign in Darfur.
The Engineer does not appear on the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List where the State Board of Administration has established the following criteria:
Have a material business relationship with the government of Iran or a government-created project involving oil related or mineral extraction activities, or
Have made material investments with the effect of significantly
enhancing Iran’s petroleum sector.
The Engineer is not engaged in business operations in Cuba or Syria.
The scrutinized company list is maintained by the State Board of Administration and available at http://www.sbafla.com/.

RESPONSIBLE VENDOR DETERMINATION. The Engineer is hereby notified that Section 287.05701, Florida Statutes, requires that the District may not request documentation of or consider a contractor’s, vendor’s, or service provider’s social, political, or ideological interests when determining if the contractor, vendor, or service provider is a responsible contractor, vendor, or service provider.

CONVICTED VENDOR LIST. Engineer hereby certifies that neither Engineer not any of its affiliates are currently on the Convicted Vendor List maintained pursuant to Section 287.133, Florida Statutes. Pursuant to Section 287.133(2)(a), Florida Statutes, a person or affiliate who has been placed on the convicted vendor list following a conviction for a public entity crime may not submit a bid, proposal, or reply on a contract to provide any goods or services to a public entity; may not submit a bid, proposal, or reply on a contract with a public entity for the construction or repair of a public building or public work; may not submit bids, proposals, or

replies on leases of real property to a public entity; may not be awarded or perform work as a contractor, supplier, subcontractor, or consultant under a contract with any public entity; and may not transact business with any public entity in excess of the threshold amount provided in Section 287.017, Florida Statutes, for CATEGORY TWO for a period of thirty-six (36) months following the date of being placed on the convicted vendor list.

ACCEPTANCE. Acceptance of this Agreement is indicated by the signature of the authorized representative of the District and the Engineer in the spaces provided below.

[CONTINUED ON FOLLOWING PAGE]

IN WITNESS WHEREOF, the parties hereto have caused these present to be executed the day and year first above written.

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

Secretary	Chairman, Board of Supervisors

MILLS, SHORT & ASSOCIATES, LLC

Witness	By: Brandon Ulmer

Its:  Partner	

EXHIBIT A HOURLY FEE SCHEDULE

	, 2025

Verano 2 Community Development District City of Port St. Lucie, Florida

Subject: Work Authorization Number 1
Verano 2 Community Development District

Dear Chairman, Board of Supervisors:

Mills, Short & Associates, LLC (“Engineer”) is pleased to submit this work authorization to provide engineering services for the Verano 2 Community Development District (“District”). We will provide these services pursuant to our current agreement dated 	, 2025 (“Engineering Agreement”) as follows:

Scope of Work
The District will engage Engineer to:
Perform those services as necessary pursuant to the Engineering Agreement including, but not limited to, attendance at Board of Supervisors meetings and preparation of reports or other activities as directed by the Board of Supervisors.

Fees
The District will compensate Engineer pursuant to the hourly rate schedule contained in the Engineering Agreement. The District will reimburse Engineer all direct costs which include items such as printing, drawings, travel, deliveries, et cetera, pursuant to the Agreement.

This proposal, together with the Engineering Agreement, represents the entire understanding between the District and Engineer with regard to the referenced work authorization. If you wish to accept this work authorization, please sign both copies where indicated, and return one complete copy to our office. Upon receipt, we will promptly schedule our services.

APPROVED AND ACCEPTED

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

By: 		 Authorized Representative
Date: 		Sincerely,

MILLS, SHORT & ASSOCIATES, LLC

		 By: 	
Date:			

Terms and Conditions for Professional Engineering Services

DEFINITIONS
“Client” shall mean the person, firm, or corporation identified in the Mills, Short & Associates Proposal for whom Services are to be performed.
“MSA” shall mean Mills, Short & Associates, LLC., Florida Limited Liability Company.
“Client Order” shall mean the purchase order, request, authorization, or other notification, and any addition or modification thereto, whereby Client indicates its desire that MSA furnish Services.
“MSA Proposal” shall mean the letter, proposal, quotation, or other notification, including any response to the Client Order, wherein MSA offers to furnish Services.
“Services” shall mean the Services of MSA personnel described in the MSA Proposal or Client Order and any other Services as may be added to or performed in connection this this Agreement. “Agreement” shall mean these Terms and Conditions and the MSA Proposal, and shall include, only to the extent consistent with the MSA Proposal and these Terms and Conditions, the provisions of the Client Order. In the event of a conflict between any terms and conditions deemed to be part of the Agreement and these Terms and Conditions, these Terms and Conditions shall govern.

STANDARD OF PERFORMANCE
The standard of care for all professional engineering, consulting, and related Services performed or furnished by MSA and its employees under this Agreement will be the care and skill ordinarily used by members of MSA’s profession practicing under the same or similar circumstances at the same time and in the same locality. MSA makes no warranties, express or implied, in connection with the Services, including any warranties of merchantability of fitness for a particular purpose.

INSURANCE
MSA agrees to procure and maintain, at its expense, Workers’ Compensation insurance as required by statute; Employer’s Liability of $500,000; Automobile Liability insurance of $500,000 combined single limit from bodily injury and property damage covering all vehicles, including hired vehicles, owned and non-owned vehicles; Commercial General Liability insurance of
$1,000,000 combined single limit for personal injury and property damage; and professional Liability insurance of $500,000 per claim for protection against claims arising out of the performance of Services under this Agreement caused by negligent acts, errors, or omissions for which MSA is legally liable. Upon request, Client shall be made an additional insured on Commercial General and Automobile Liability insurance policies and certificates of insurance will be furnished to the Client.

OPINIONS OF PROBABLE COST (COST ESTIMATES)
Any opinions of probable material or equipment cost, or probable construction cost, provided by MSA, are made on the basis of information available to MSA, and represents its judgment as an experienced and qualified professional engineer. However, since MSA has no control over the cost of labor, materials, equipment or

services furnished by others, or over competitive bidding or market conditions, MSA does not guarantee that proposals, bids or actual equipment, materials, or construction cost will not vary from opinions of probable cost MSA prepares.

CONSTRUCTION PROCEDURES
MSA’s observation or monitoring portions of the work performed under construction contracts shall not relieve the contractor from its responsibility for performing work in accordance with applicable contract documents. MSA shall not control or have charge of, and shall not be responsible for, construction means, methods, techniques, sequences, procedures of construction, health or safety programs or precautions connected with the work, and shall not manage, supervise, control or have charge of construction. MSA shall not be responsible for the acts or omissions of the contractor or other parties on the project.

CONTROLLING LAW
This Agreement is to be governed by the law of the state of Florida.

OWNER RESPONSIBILITIES
Without limiting any express or implied obligations of Client under applicable law, Client shall: (1) provide MSA, in writing, all information relating to Client’s requirements for the project; (2) correctly identify to MSA the location of subsurface structures, such as pipes, tanks, cables, and utilities; (3) notify MSA of any potential hazardous substances or other health and safety hazard or condition known to Client existing on or near the project site; (4) give MSA prompt written notice of any suspected deficiency in the Services;
(5) with reasonable promptness, provide required approvals and decisions; and (6) furnish or cause to be furnished to MSA full, unrestricted and legal access to, and use of, the site and all necessary rights of way and easements, in order to perform the Services. Client agrees to bear full responsibility for the accuracy and completeness of all documents, information, or services supplied by Client. Client acknowledges that opinions relating to environmental, geologic, and geotechnical conditions are based on limited data and that actual conditions may vary from those encountered at the times and locations where the data are obtained, despite the use of due professional care.

SUCCESSORS AND ASSIGNS
Client and MSA, respectively, bind themselves, their partners, successors, assigns, and legal representatives to the covenants of this Agreement. Neither Client nor MSA will assign, sublet, or transfer any interest in this Agreement or claims arising therefrom without the written consent of the other.

DOCUMENTS AND INTELLECTUAL PROPERTY
All documents, including all reports, drawings, specifications, computer software or other items prepared or furnished by MSA pursuant to this Agreement, are instruments of service with respect

to the project. MSA retains ownership of all such documents. Client may retain copies of the documents for its information and reference in connection with the project; however, none of the documents are intended or represented to be suitable for reuse by Client or others on extensions of the project or on any other project. Any reuse without written verification or adaptation by MSA for the specific purpose intended with be at Client’s sole risk and without liability or legal exposure to MSA, and Client will defend, indemnify and hold harmless MSA from all claims, damages, losses and expenses, including attorney’s fees, arising or resulting therefrom. Any such verification or adaptation will entitle MSA to further compensation at rates to be agreed upon by Client and MSA.

TERMINATION OF AGREEMENT
Client or MSA, after having afforded the other party a reasonable opportunity to cure, may terminate the Agreement, in whole or in part, by giving seven (7) days written notice, if the other party substantially fails to fulfill its obligations under the Agreement through no fault of the terminating party. Where the method of payment is “lump sum,” or cost reimbursement, the final invoice will include all Services and expenses associated with the project up to the effective date of termination. An equitable adjustment shall also be made to provide for cancellation charges and other termination settlement costs MSA incurs as a result of commitments that had become firm before termination, and for a reasonable profit for Services performed.

SEVERABILITY
If any provision of this Agreement is held invalid or unenforceable, the remaining provisions shall be valid and binding upon the parties. One or more waivers by either party of any provision, term or condition shall not be construed by the other party as a waiver of any subsequent breach of the same provision, term or condition.

INVOICES
MSA will submit monthly invoices for Services rendered and Client will make prompt payments in response to MSA’s Invoice.

MSA will retain receipts for reimbursable expenses in general accordance with Internal Revenue Service rules pertaining to the support of expenditures for income tax purposes. Receipts will be available for inspection by Client’s auditors upon request.

If Client disputes any items in MSA’s invoice for any reason, including the lack of supporting documentation, Client may temporarily delete the disputed item but shall pay all undisputed items appearing in the invoice. Client will promptly notify MSA of the dispute and request clarification and/or correction. After any dispute has been settled, MSA will include the disputed item on a subsequent, regularly-scheduled invoice or on a special invoice for the disputed item only.

Client recognizes that late payment of invoices results in extra expenses for MSA. MSA retains the right to assess Client interest at the rate of one percent (1%) per month, but not to exceed the maximum rate allowed by law, on invoices which are not paid within thirty (30) days from the date of the invoice. In the event undisputed portions of MSA’s invoices are not paid when due, MSA also reserves the right to suspend the performance of its Services under this Agreement until all past due amounts have been paid in full.
CHANGES

The parties agree that no change or modification to this Agreement, or any attachments hereto, shall have any force or effect unless the change is reduced to writing, dated, and made part of this Agreement. The execution of the change shall be authorized and signed in the same manner as this Agreement. Adjustments in the period of Services and in compensation shall be in accordance with applicable paragraphs and sections of this Agreement, As the project progresses, the facts developed may dictate a change in the Services to be performed, which may alter the scope. MSA will inform Client of such situations so that changes in scope and adjustments to the time of performance and compensation can be made as required. If such change, additional Services, or suspension of Services result in an increase or decrease in the cost of or time required for performance of the Services, and equitable adjustment shall be made, and the Agreement modified accordingly.

EXECUTION
This Agreement, including the exhibits and schedules made part hereof, constitute the entire Agreement between MSA and Client, and supersedes all prior written or oral understanding. This Agreement may be amended, supplemented or modified only by a written instrument duly executed by the parties.

NO CONSEQUENTIAL DAMAGES
To the fullest extent permitted by law, neither Client nor MSA shall be liable, whether liability arises from negligence, breach of contract, breach of warranty, indemnity, or any other theory of recovery, for any consequential, special, incidental, indirect, punitive or exemplary damages, or damages arising from or in connection with loss of use, loss of revenue or profit (Actual or Anticipated) loss by reason of shutdown or non-operation, increased cost of construction, cost of capital, cost of replacement power or customer claims, and MSA hereby releases Client and Client hereby releases MSA from any such liability.

LIMITATION OF LIABILITY
To the fullest extent permitted by law, the total liability of MSA, its subconsultants, and its employees to client for any loss or damage arising out of the performance of services under this agreement, including, without limitation, loss or damage arising from negligence, breach of contract, breach of warranty, indemnity, or any other theory of recovery, shall not exceed the total charges for services performed under this agreement, and client hereby releases MSA, its subconsultants, and its employees from any liability above such amount.

LITIGATION SUPPORT
In the event MSA is required to respond to a subpoena, government inquiry or other legal process related to the Services in connection with a legal or dispute resolution proceeding to which MSA is not a party, Client shall reimburse MSA for reasonable costs in responding and compensate MSA at its then standard rates for reasonable time incurred in gathering information and documents and attending depositions, hearing, and trial.

SURVIVAL
The provisions of this Agreement which by their nature are intended to survive the termination, cancellation, completion, or expiration of the Agreement, including, but not limited to, any expressed limitations of, or releases from, liability, shall continue as valid and enforceable obligations of the parties notwithstanding any such termination, cancellation, completion, or expiration.

MILLS, SHORT & ASSOCIATES, LLC SCHEDULE OF FEES AND CHARGES

JANUARY 1, 2025

The following describes the basis for compensation for services to be performed by Mills, Short & Associates during the calendar year. This Schedule of Fees and Charges may be revised annually on January 1 of each subsequent year to reflect merit and economic salary and expense increases, and changes in the expected level and mode of operations for the new year.

PERSONNEL CHARGES:

The charge for all time required in the performance of the Scope of Services, including office, field and travel time, will be at the Standard Hourly Rate set forth below for the Responsibility Level indicated.

Standard Hourly Rates:

Document Reprographic Services:
Reproductive efforts normally expected during the course of engineering will be billed at the following rates:

< 11”x17”:
B&W Photocopy	$0.08/copy
Color Photocopy	$1.00/copy

Responsibility Level	Standard Hourly Rate	
Principal	$300	
Structural Engineer	$250	
Civil Engineer	$150	
Design Technician	$100	
Land Planner	$175	
Landscape Architect	$175	
Clerical	$50	
Inspector	$100	
Construction Administrator	$100	

11”x17”:

≤ 24”x36”:

B&W Photocopy	$0.15/copy
Color Photocopy	$1.00/copy

B&W Photocopy	$1.25/copy
Color Photocopy	$2.00/copy

Travel Time:
A maximum of eight (8) hours of travel time per day per employee will be charged for travel.

Litigation Support:
When MSA staff appear as expert witnesses at court trials, arbitration hearings, mediation and depositions (including standby time when requested by client and/or client’s attorney), their time will be invoiced at $250/hour with a minimum of four (4) hours.

Time spent by personnel preparing for such trials, hearings, and depositions, will be charged at the Standard Hourly Rate.

SUBCONTRACTORS AND EXPENSES:

Subcontractors:
The cost of expenses incurred and services subcontracted by MSA to others, including but not limited to; surveyors, geotechnical engineers, material testing laboratory analyses, traffic engineering, and consultants will be invoiced at cost.

Vehicles and Mileage:
The mileage charged for personal and MSA owned vehicles used on project assignments will be the current mileage rate established by the Internal Revenue Service for tax purposes.

Procurement and Contract Administration Fee:
A procurement and administrative fee of 10% will be invoiced on all costs identified in Subcontractors and Expenses.

VERANO #2
COMMUNITY DEVELOPMENT DISTRICT CITY OF PORT ST. LUCIE, FLORIDA FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

VERANO #2 COMMUNITY DEVELOPMENT DISTRICT CITY OF PORT ST. LUCIE, FLORIDA

TABLE OF CONTENTS

	  Page		
INDEPENDENT AUDITOR’S REPORT	1-2	
MANAGEMENT’S DISCUSSION AND ANALYSIS	3-6	
BASIC FINANCIAL STATEMENTS		
Government-Wide Financial Statements:		
Statement of Net Position	7	
Statement of Activities	8	
Fund Financial Statements:		
Balance Sheet – Governmental Funds	9	
Reconciliation of the Balance Sheet of Governmental Funds to the
Statement of Net Position	
10	
Statement of Revenues, Expenditures and Changes in Fund Balances –
Governmental Funds	
11	
Reconciliation of the Statement of Revenues, Expenditures and Changes in
Fund Balances of Governmental Funds to the Statement of Activities	
12	
Notes to the Financial Statements	13-23	
REQUIRED SUPPLEMENTARY INFORMATION		
Schedule of Revenues, Expenditures and Changes in Fund Balances –
Budget and Actual – General Fund	
24	
Notes to Required Supplementary Information	25	
OTHER INFORMATION		
Data Elements required by FL Statute 218.39 (3) (c)	26	
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS	

27-28	
INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES, REQUIRED BY RULE 10.556(10)
OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA	

29	
MANAGEMENT LETTER REQUIRED BY CHAPTER 10.550 OF THE RULES OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA	
30-31	

INDEPENDENT AUDITOR’S REPORT

To the Board of Supervisors
Verano #2 Community Development District City of Port St. Lucie, Florida

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

Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying financial statements of the governmental activities and each major fund of Verano #2 Community Development District, City of Port St. Lucie, Florida (“District”) as of and for the fiscal year ended September 30, 2025, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the District as of September 30, 2025, and the respective changes in financial position thereof for the fiscal year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the District and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Responsibilities of Management for the Financial Statements
The District’s management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America; and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:
Exercise professional judgment and maintain professional skepticism throughout the audit.
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the District’s internal control. Accordingly, no such opinion is expressed.
Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis and budgetary comparison information be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Other Information Included in the Financial Report
Management is responsible for the other information included in the financial report. The other information comprises the information for compliance with FL Statute 218.39 (3) (c) but does not include the financial statements and our auditor's report thereon. Our opinions on the financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated December 4, 2025, on our consideration of the District’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the District’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the District’s internal control over financial reporting and compliance.

December 4, 2025

MANAGEMENT’S DISCUSSION AND ANALYSIS

Our discussion and analysis of Verano #2 Community Development District, City of Port St. Lucie, Florida (“District”) provides a narrative overview of the District’s financial activities for the fiscal year ended September 30, 2025. Please read it in conjunction with the District’s Independent Auditor’s Report, basic financial statements, accompanying notes and supplementary information to the basic financial statements.

FINANCIAL HIGHLIGHTS

The liabilities of the District exceeded its assets at the close of the most recent fiscal year resulting in a net position deficit balance of ($6,017,713).

The change in the District’s total net position in comparison with the prior fiscal year was $386,781, an increase. The key components of the District’s net position and change in net position are reflected in the table in the government-wide financial analysis section.

At September 30, 2025, the District’s governmental funds reported combined ending fund balances of
$13,671,769, an increase of $4,656,740, in comparison with the prior fiscal year. The total fund balance is non-spendable for prepaid items and deposits, restricted for debt service and capital projects, and the remainder is unassigned fund balance which is available for spending at the District’s discretion.
OVERVIEW OF FINANCIAL STATEMENTS

This discussion and analysis are intended to serve as the introduction to the District’s basic financial statements. The District’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves.
Government-Wide Financial Statements

The government-wide financial statements are designed to provide readers with a broad overview of the District’s finances, in a manner similar to a private-sector business.
The statement of net position presents information on all the District’s assets, deferred outflows of resources, liabilities, and deferred inflows of resources with the residual amount being reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the District is improving or deteriorating.

The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods.

The government-wide financial statements include all governmental activities that are principally supported by special assessment revenues. The District does not have any business-type activities. The governmental activities of the District include the general government (management), maintenance and recreation functions.

Fund Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The District, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. The District has one fund category: governmental funds.

OVERVIEW OF FINANCIAL STATEMENTS (Continued)

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

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

The District maintains three governmental funds for external reporting. Information is presented separately in the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances for the general fund, debt service fund and capital projects fund which are considered major funds.

The District adopts an annual appropriated budget for its general fund. A budgetary comparison schedule has been provided for the general fund to demonstrate compliance with the budget.

Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements.

GOVERNMENT-WIDE FINANCIAL ANALYSIS
As noted earlier, net position may serve over time as a useful indicator of an entity’s financial position. In the case of the District, liabilities exceeded assets at the close of the most recent fiscal year.

Key components of the District’s net position are reflected in the following table:
NET POSITION SEPTEMBER 30,
	2025	2024	
Current and other assets	$  13,677,044	$	9,026,457	
Capital assets, net of depreciation	18,358,090	18,089,347	
Total assets	32,035,134	27,115,804	
Current liabilities	752,943	662,982	
Long-term liabilities	37,299,904	32,857,316	
Total liabilities	38,052,847	33,520,298	
Net position	
Net investment in capital assets	(18,941,814)	(14,767,969)	
Restricted	12,184,745	7,795,979	
Unrestricted	739,356	567,496	
Total net position	$  (6,017,713)	$  (6,404,494)	

GOVERNMENT-WIDE FINANCIAL ANALYSIS (Continued)

The District’s net position reflects its investment in capital assets (e.g. land, land improvements, and infrastructure); less any related debt used to acquire those assets that is still outstanding. These assets are used to provide services to residents; consequently, these assets are not available for future spending. Although the District’s investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.

The restricted portion of the District’s net position represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net position may be used to meet the District’s other obligations.

The District’s net position increased during the most recent fiscal year. The majority of the increase represents the extent to which ongoing program revenues exceeded the cost of operations and depreciation expense.
Key elements of the change in net position are reflected in the following table:

CHANGES IN NET POSITION
FOR THE FISCAL YEAR ENDED SEPTEMBER 30,
2025	2024

Revenues:
Program revenues
Charges for services	$	2,757,177	$	2,035,778	
Operating grants and contributions	150,866	121,020	
Capital grants and contributions	454,200	198,318	
General revenues	33,465	24,314	
Total revenues	3,395,708	2,379,430	
Expenses:	
General government	64,069	38,589	
Maintenance and operations	765,452	737,062	
Recreation	126,890	135,090	
Interest	1,764,516	1,231,839	
Bond issue cost	288,000	397,810	
Total expenses	3,008,927	2,540,390	
Change in net position	386,781	(160,960)	
Net position - beginning	(6,404,494)	(6,243,534)	
Net position - ending	$	(6,017,713)	$	(6,404,494)	

As noted above and in the statement of activities, the cost of all governmental activities during the fiscal year ended September 30, 2025 was $3,008,927. The costs of the District’s activities are primarily funded by program revenues. Program revenues were comprised primarily of assessments and interest revenue. In total, expenses increased over the prior year primarily as a result of an increase in interest expense.

GENERAL BUDGETING HIGHLIGHTS
An operating budget was adopted and maintained by the governing board for the District pursuant to the requirements of Florida Statutes. The budget is adopted using the same basis of accounting that is used in preparation of the fund financial statements. The legal level of budgetary control, the level at which expenditures may not exceed budgeted amounts, is in the aggregate. Any budget amendments that increase the aggregate budgeted appropriations must be approved by the Board of Supervisors. Actual general fund expenditures did not exceed appropriations for the fiscal year ended September 30, 2025.

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets
At September 30, 2025, the District had $20,212,887 invested in capital assets for its governmental activities. In the government-wide financial statements depreciation of $1,854,797 has been taken, which resulted in a net book value of $18,358,090. More detailed information about the District’s capital assets is presented in the notes of the financial statements.

Capital Debt
At September 30, 2025, the District had $37,120,000 in Bonds outstanding. More detailed information about the District’s capital debt is presented in the notes of the financial statements.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS AND OTHER EVENTS
It is anticipated that the general operations of the District will continue to increase as the District is built out. CONTACTING THE DISTRICT’S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, land owners, customers, investors and creditors with a general overview of the District’s finances and to demonstrate the District’s accountability for the financial resources it manages and the stewardship of the facilities it maintains. If you have questions about this report or need additional financial information, contact the Verano #2 Community Development District’s Finance Department at 5385 N. Nob Hill Road, Sunrise, Florida, 33351.

STATEMENT OF NET POSITION SEPTEMBER 30, 2025		
	
Governmental	
		Activities		
ASSETS		
Cash	$	260,952	
Accounts receivable	2,553	
Assessments receivable	270,503	
Prepaid items and deposits	2,211	
Restricted assets:		
Investments	13,140,825	
Capital assets		
Nondepreciable	4,690,611	
Depreciable, net		13,667,479 	
Total assets		32,035,134 	
LIABILITIES		
Accounts payable	5,275	
Accrued interest payable	747,668	
Non-current liabilities:		
Due within one year	760,000	
Due in more than one year		36,539,904 	
Total liabilities		38,052,847 	
NET POSITION		
Net investment in capital assets	(18,941,814)	
Restricted for debt service	2,880,797	
Restricted for capital projects	9,303,948	
Unrestricted		739,356 	
Total net position	 $	(6,017,713)	

See notes to the financial statements

STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2025

Charges for

Program Revenues Operating Grants and

Capital Grants and

Net (Expense) Revenue and Changes in Net Position

Governmental

Functions/Programs	Expenses Primary government:
Governmental activities:

Services

Contributions

Contributions

Activities

General government

$	64,069	$

64,069	$	-	$	-	$	-

Maintenance and operations	765,452	394,116	-	454,200	82,864	
Recreation	126,890	-	-	-	(126,890)	
Interest on long-term debt	1,764,516	2,298,992	150,866	-	685,342	
Bond issuance costs	288,000	-	-	-	(288,000)	
Total governmental activities	3,008,927	2,757,177	150,866	454,200	353,316	

General revenues:
Unrestricted investment earnings		33,465  Total general revenues		33,465 

Change in net position		386,781 	
Net position - beginning		(6,404,494)	
Net position - ending	 $	(6,017,713)	

See notes to the financial statements

BALANCE SHEET GOVERNMENTAL FUNDS SEPTEMBER 30, 2025

	Major Funds	
Capital

Total Governmental

General

Debt Service

Projects

Funds

ASSETS		
Cash	$	260,952	$	-	$	-	$	260,952	
Investments	478,915	3,357,962	9,303,948	13,140,825	
Assessments receivable	-	270,503	-	270,503	
Accounts receivable	2,553	-	-	2,553	
Prepaid items and deposits	2,211	-	-	2,211	
Total assets	 $	744,631	$  3,628,465	$	9,303,948	$ 13,677,044 

LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable	$	5,275	$	-	$	-	$	5,275	
Total liabilities	5,275	-	-	5,275	

Fund balances:
Nonspendable:
Prepaid items and deposits	2,211	-	-	2,211	
Restricted for:					
Debt service	-	3,628,465	-	3,628,465	
Capital projects	-	-	9,303,948	9,303,948	
Unassigned	
General fund		737,145		-		-		737,145	
Total fund balances		739,356		3,628,465		9,303,948		13,671,769	

Total liabilities and fund balances	
$	
744,631	
$	
3,628,465	
$	
9,303,948	
$	
13,677,044	

See notes to the financial statements

RECONCILIATION OF THE BALANCE SHEET - GOVERNMENTAL FUNDS TO THE STATEMENT OF NET POSITION
SEPTEMBER 30, 2025

Fund balance - governmental funds	$	13,671,769
Amounts reported for governmental activities in the statement of net position are different because:
Capital assets used in governmental activities are not financial resources and, therefore, are not reported as assets in the governmental funds. The statement of net position includes those capital assets, net of any accumulated depreciation, in the net position of the government as a whole.
Cost of capital assets	20,212,887
Accumulated depreciation	(1,854,797)	18,358,090
Liabilities not due and payable from current available resources are not reported  as liabilities  in the governmental fund
statements.	All liabilities, both current and long-term, reported in the government-wide financial statements.
Accrued interest payable	are	

(747,668)		
Bonds payable		(37,299,904)	(38,047,572)	
Net position of governmental activities			$	(6,017,713)	

See notes to the financial statements

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

	Major Funds		Total

REVENUES

General

Debt Service

Capital Project

Governmental Funds

Assessments	$	458,185	$	2,298,992	$	-	$	2,757,177	
Developer contribution	-	-	58,431	58,431	
Interest	33,465	150,866	395,769	580,100	
Total revenues	491,650	2,449,858	454,200	3,395,708	

EXPENDITURES
Current:
General government	48,163	15,906		64,069	
Maintenance and operations	165,974	-	-	165,974	
Recreation	105,653	-	-	105,653	
Debt service:
Principal	
-	
655,000	
-	
655,000	
Interest	-	1,675,814	-	1,675,814	
Bond issue costs	-	-	288,000	288,000	
Capital outlay	-	-	889,458	889,458	
Total expenditures	319,790	2,346,720	1,177,458	3,843,968	
Excess (deficiency) of revenues over (under) expenditures	

171,860	

103,138	

(723,258)	

(448,260)	

OTHER FINANCING SOURCES (USES)
Interfund transfers in / (out)	

-	

(49,897)	

49,897	

-	
Bond proceeds	-	617,722	4,487,278	5,105,000	
Total other financing sources (uses)	-	567,825	4,537,175	5,105,000	
Net change in fund balances	171,860	670,963	3,813,917	4,656,740	
Fund balances - beginning	567,496	2,957,502	5,490,031	9,015,029	
Fund balances - ending	$	739,356	$	3,628,465	$ 9,303,948	$ 13,671,769	

See notes to the financial statements

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

Net change in fund balances - total governmental funds
Amounts reported for governmental activities in the statement of activities are different because:	$	4,656,740	
Governmental funds report capital outlays as expenditures; however, the cost of those assets is eliminated in the statement of activities and capitalized in the statement of net position.	

889,458	
Governmental funds report the face amount of Bonds issued as financial resources when debt is first issued, whereas these amounts are eliminated in the statement of activities and recognized as long-term liabilities in the statement of net position.	

(5,105,000)	
Depreciation on capital assets is not recognized in the governmental fund financial statements but is reported as an expense in the statement of activities.	

(620,715)	
Repayment of long-term liabilities are reported as expenditures in the governmental fund financial statements, but such repayments reduce liabilities in the statement of net position and are eliminated in the statement of activities.	

655,000	
Amortization of Bond discounts/premiums is not recognized in the governmental fund financial statements, but is reported as an expense in the statement of activities.	

7,412	
The change in accrued interest on long-term liabilities between the current and prior fiscal years is recorded in the statement of activities, but not in the governmental fund financial statements.	

(96,114)	
Change in net position of governmental activities	$	386,781	

See notes to the financial statements

CITY OF PORT ST. LUCIE, FLORIDA NOTES TO FINANCIAL STATEMENTS
NOTE 1 – NATURE OF ORGANIZATION AND REPORTING ENTITY

Verano #2 Community Development District ("the District") (formerly Montage Reserve #2 Community Development District prior to a name change on February 13, 2006) was created on April 25, 2005 pursuant to Ordinance No. 05-19 enacted by the City Commission of the City of Port St. Lucie, Florida, under the "Uniform Community Development District Act of 1980", otherwise known as Chapter 190, Florida Statutes. The Act provides among other things, the power to manage basic services for community development, power to borrow money and issue Bonds, and to levy and assess non-ad valorem assessments for the financing and delivery of capital infrastructure.

The District was established for the purposes of financing and managing the acquisition, construction, maintenance and operation of a portion of the infrastructure necessary for community development within the District.
The District is governed by the Board of Supervisors ("Board"), which is composed of five members. The Supervisors are elected by the owners of the property and registered voters within the District. The Board of Supervisors of the District exercise all powers granted to the District pursuant to Chapter 190, Florida Statutes. Verano Development LLC (“Developer”), which is indirectly owned by Kolter Homes LLC (“Kolter”), owns a majority of the land within the District. At September 30, 2025, one of the Board members is affiliated with Kolter.

The Board has the final responsibility for:
Assessing and levying assessments.
Approving budgets.
Exercising control over facilities and properties.
Controlling the use of funds generated by the District.
Approving the hiring and firing of key personnel.
Financing improvements.
The financial statements were prepared in accordance with Governmental Accounting Standards Board (“GASB”) Statements. Under the provisions of those standards, the financial reporting entity consists of the primary government, organizations for which the District is considered to be financially accountable and other organizations for which the nature and significance of their relationship with the District are such that, if excluded, the financial statements of the District would be considered incomplete or misleading. There are no entities considered to be component units of the District; therefore, the financial statements include only the operations of the District.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Government-Wide and Fund Financial Statements
The basic financial statements include both government-wide and fund financial statements.
The government-wide financial statements (i.e., the statement of net position and the statement of activities) report information on all of the non-fiduciary activities of the primary government. For the most part, the effect of interfund activity has been removed from these statements.

The statement of activities demonstrates the degree to which the direct expenses of a given function or segment is offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment. (Operating-type special assessments for maintenance and debt service are treated as charges for services.); and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Other items not included among program revenues are reported instead as general revenues.

Measurement Focus, Basis of Accounting and Financial Statement Presentation
The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Assessments are recognized as revenues in the year for which they are levied. Grants and similar items are to be recognized as revenue as soon as all eligibility requirements imposed by the provider have been met.

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures are recorded only when payment is due.
Assessments
Assessments are non-ad valorem assessments on benefitted property within the District. Operating and Maintenance Assessments are based upon adopted budget and levied annually at a public hearing of the District. Debt Service Assessments are levied when Bonds are issued and assessed and collected on an annual basis. The District may collect assessments directly or utilize the uniform method of collection (Chapter 197.3632, Florida Statutes). Direct collected assessments are due as determined by annual assessment resolution adopted by the Board of Supervisors. Assessments collected under the uniform method are mailed by County Tax Collector on November 1 and due on or before March 31 of each year. Property owners may prepay a portion or all of the Debt Service Assessments on their property subject to various provisions in the Bond documents.

Assessments and interest associated with the current fiscal period are considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. The portion of assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period.

The District reports the following major governmental funds:

General Fund
The general fund is the general operating fund of the District. It is used to account for all financial resources except those required to be accounted for in another fund.

Debt Service Fund
The debt service funds are used to account for the accumulation of resources for the annual payment of principal and interest on debt.

Capital Projects Fund
This fund accounts for the financial resources to be used for the acquisition or construction of major infrastructure within the District.
As a general rule, the effect of inter-fund activity has been eliminated from the government-wide financial statements.

When both restricted and unrestricted resources are available for use, it is the government’s policy to use restricted resources first for qualifying expenditures, then unrestricted resources as they are needed.

Assets, Liabilities and Net Position or Equity
Restricted Assets
These assets represent cash and investments set aside pursuant to Bond covenants or other contractual restrictions.

Deposits and Investments
The District’s cash and cash equivalents are considered to be cash on hand and demand deposits (interest and non-interest bearing).
The District has elected to proceed under the Alternative Investment Guidelines as set forth in Section
218.415 (17) Florida Statutes. The District may invest any surplus public funds in the following:
The Local Government Surplus Trust Funds, or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act;
Securities and Exchange Commission registered money market funds with the highest credit quality rating from a nationally recognized rating agency;
Interest bearing time deposits or savings accounts in qualified public depositories;
Direct obligations of the U.S. Treasury.

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

The District records all interest revenue related to investment activities in the respective funds. Investments are measured at amortized cost or reported at fair value as required by generally accepted accounting principles.
Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements.
Capital Assets
Capital assets which include property, plant and equipment, and infrastructure assets (e.g., roads, sidewalks and similar items) are reported in the government activities columns in the government-wide financial statements. Capital assets are defined by the government as assets with an initial, individual cost of more than $5,000 (amount not rounded) and an estimated useful life in excess of two years. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at acquisition value at the date of donation.

The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed.

Property, plant and equipment of the District are depreciated using the straight-line method over the following estimated useful lives:

Assets	Years	
Infrastructure - roadway	25	
Stormwater	25	
Streetlighting landscaping	25	
Amenities	25	

In the governmental fund financial statements, amounts incurred for the acquisition of capital assets are reported as fund expenditures. Depreciation expense is not reported in the governmental fund financial statements.

Unearned Revenue
Governmental funds report unearned revenue in connection with resources that have been received, but not yet earned.

Long-Term Obligations
In the government-wide financial statements long-term debt and other long-term obligations are reported as liabilities in the statement of net position. Bond premiums and discounts are deferred and amortized over the life of the Bonds. Bonds payable are reported net of applicable premiums or discounts. Bond issuance costs are expensed when incurred.

In the fund financial statements, governmental fund types recognize premiums and discounts, as well as issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures.
Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then.

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

Fund Equity/Net Position
In the fund financial statements, governmental funds report non spendable and restricted fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Assignments of fund balance represent tentative management plans that are subject to change.

The District can establish limitations on the use of fund balance as follows:
Committed fund balance – Amounts that can be used only for the specific purposes determined by a formal action (resolution) of the Board of Supervisors. Commitments may be changed or lifted only by the Board of Supervisors taking the same formal action (resolution) that imposed the constraint originally. Resources accumulated pursuant to stabilization arrangements sometimes are reported in this category.

Assigned fund balance – Includes spendable fund balance amounts established by the Board of Supervisors that are intended to be used for specific purposes that are neither considered restricted nor committed. The Board may also assign fund balance as it does when appropriating fund balance to cover differences in estimated revenue and appropriations in the subsequent year’s appropriated budget. Assignments are generally temporary and normally the same formal action need not be taken to remove the assignment.
The District first uses committed fund balance, followed by assigned fund balance and then unassigned fund balance when expenditures are incurred for purposes for which amounts in any of the unrestricted fund balance classifications could be used.

Net position is the difference between assets and deferred outflows of resources less liabilities and deferred inflows of resources. Net position in the government-wide financial statements are categorized as net investment in capital assets, restricted or unrestricted. Net investment in capital assets represents net position related to infrastructure and property, plant and equipment. Restricted net position represents the assets restricted by the District’s Bond covenants or other contractual restrictions. Unrestricted net position consists of the net position not meeting the definition of either of the other two components.
Other Disclosures

Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from those estimates.

NOTE 3 – BUDGETARY INFORMATION

The District is required to establish a budgetary system and an approved Annual Budget. Annual Budgets are adopted on a basis consistent with generally accepted accounting principles for all governmental funds. All annual appropriations lapse at fiscal year-end.
The District follows these procedures in establishing the budgetary data reflected in the financial statements.
Each year the District Manager submits to the District Board a proposed operating budget for the fiscal year commencing the following October 1.
Public hearings are conducted to obtain comments.
Prior to October 1, the budget is legally adopted by the District Board.
All budget changes must be approved by the District Board.
The budgets are adopted on a basis consistent with generally accepted accounting principles.
Unused appropriation for annually budgeted funds lapse at the end of the year.

The District’s cash balances were entirely covered by federal depository insurance or by a collateral pool pledged to the State Treasurer. Florida Statutes Chapter 280, "Florida Security for Public Deposits Act", requires all qualified depositories to deposit with the Treasurer or another banking institution eligible collateral equal to various percentages of the average daily balance for each month of all public deposits in excess of any applicable deposit insurance held. The percentage of eligible collateral (generally, U.S. Governmental and agency securities, state or local government debt, or corporate bonds) to public deposits is dependent upon the depository's financial history and its compliance with Chapter 280. In the event of a failure of a qualified public depository, the remaining public depositories would be responsible for covering any resulting losses.
Investments
The District’s investments were held as follows at September 30, 2025:
Amortized Cost	Credit Risk	Maturities

First American Government Obligations Fund
Class Z	$

2,192,427

S&P AAAm

Weighted average of the fund portfolio: 45 days

US Bank GCTS 0490	10,469,483	N/A	N/A

Investment in Local Government Surplus
Funds Trust Fund (Florida PRIME)		478,915 	S&P AAAm
 $	13,140,825 

Weighted average of the fund portfolio: 47 days

Custodial credit risk – For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty, the District will not be able to recover the value of the investments or collateral securities that are in the possession of an outside party. The District has no formal policy for custodial risk.

The U.S. Treasury investment is held by the trustee or agent but not in the District’s name.

Credit risk – For investments, credit risk is generally the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Investment ratings by investment type are included in the preceding summary of investments.

Concentration risk – The District places no limit on the amount the District may invest in any one issuer.
Interest rate risk – The District does not have a formal policy that limits investment maturities as a means of managing exposure to fair value losses arising from increasing interest rates.

However, the Bond Indentures limit the type of investments held using unspent proceeds.
Fair Value Measurement – When applicable, the District measures and records its investments using fair value measurement guidelines established in accordance with GASB Statements. The framework for measuring fair value provides a fair value hierarchy that prioritizes the inputs to valuation techniques.

These guidelines recognize a three-tiered fair value hierarchy, in order of highest priority, as follows:
Level 1: Investments whose values are based on unadjusted quoted prices for identical investments in active markets that the District has the ability to access;
Level 2: Investments whose inputs - other than quoted market prices - are observable either directly or indirectly; and,
Level 3: Investments whose inputs are unobservable.
The fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the entire fair value measurement. Valuation techniques used should maximize the use of observable inputs and minimize the use of unobservable inputs.

NOTE 4 – DEPOSITS AND INVESTMENTS (Continued)

Investments (Continued)
Money market investments that have a maturity at the time of purchase of one year or less and are held by governments other than external investment pools should be measured at amortized cost. For external investment pools that qualify to be measured at amortized cost, the pool’s participants should also measure their investments in that external investment pool at amortized cost for financial reporting purposes. Accordingly, the District’s investments have been reported at amortized cost above.

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

As of September 30, 2025, there were no redemption fees or maximum transaction amounts, or any other requirements that serve to limit a participant’s daily access to 100% of their account value.

NOTE 5 – INTERFUND TRANSFERS
Interfund transfers for the fiscal year ended September 30, 2025 were as follows:

Fund	Transfer in	Transfer out

Debt service

$	-	$

49,897

Capital projects		49,897	-	

Total

 $	49,897	$	49,897 

Transfers are used to move revenues from the fund where collection occurs to the fund where funds have been reallocated for use. In the case of the District, transfers from the debt service fund to the capital projects fund were made in accordance with the Bond Indentures.

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

Ending

Balance

Additions	Reductions

Balance

Governmental activities
Capital assets, not being depreciated		
Construction in progress	$	3,897,425	$	793,186	$	-	$	4,690,611	
Total capital assets, not being depreciated	3,897,425	793,186	-	4,690,611	

Capital assets, being depreciated Infrastructure - roadway	

1,678,045	

4,438	

-	

1,682,483	
Stormwater	12,554,294	91,834	-	12,646,128	
Streetlighting landscaping	662,726	-	-	662,726	
Amenities	530,939	-	-	530,939	
Total capital assets, being depreciated	15,426,004	96,272	-	15,522,276	

Less accumulated depreciation for: Infrastructure - roadway	

134,244	

67,122	

-	

201,366	
Stormwater	1,004,344	505,847	-	1,510,191	
Streetlighting landscaping	53,018	26,509	-	79,527	
Amenities	42,476	21,237	-	63,713	
Total accumulated depreciation	1,234,082	620,715	-	1,854,797	

Total capital assets, being depreciated, net	
14,191,922	
(524,443)	
-	13,667,479	

Governmental activities capital assets	
$ 18,089,347	
$	268,743	
$	-	$  18,358,090	
The infrastructure intended to serve the District has been estimated at a total cost of approximately $47.5 million and will be developed in phases. The infrastructure will include roadways, stormwater management system, water/sewer facilities, and other improvements. A portion of the project costs was expected to be financed with the proceeds from the issuance of Bonds with the remainder to be funded by the Developer and conveyed to the District. Certain improvements will be conveyed to other entities upon completion of the project. During the current fiscal year the paid the Developer $831,027 for the acquisition of infrastructure improvements that were valued at $889,458, recognizing a Developer contribution in the amount of $58,431 which was recorded in the capital projects fund.

Depreciation expense was charged to programs as follows:

Maintenance and operations	$	599,478	
Recreation		21,237 	
Total depreciation expense	  $	620,715 	

NOTE 7 – LONG TERM LIABILITIES

Series 2017
On December 21, 2017 the District issued $5,350,000 of Special Assessment Bonds Series 2017 Pod A,
$4,220,000 of Special Assessment Bonds Series 2017 Pod B, $6,400,000 of Special Assessment Bonds Series 2017 Pod C, consisting of multiple Term Bonds with maturity dates from November 1, 2023 to November 1, 2048 and fixed interest rates ranging from 3.625% to 5.125%. The Bonds were issued to finance the acquisition and construction of certain improvements for the benefit of the District. Interest is to be paid semiannually on each May 1 and November 1. Principal on the Bonds is to be paid serially commencing November 1, 2019 through November 1, 2048.

The Series 2017 Bonds (Pod A, B and C) are subject to redemption at the option of the District prior to their maturity. The Bonds are subject to extraordinary mandatory redemption prior to their selected maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Bond indenture.

The Bond Indenture established a debt service reserve requirement as well as other restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements. The District was in compliance with the requirements at September 30, 2025.

Series 2020
On March 12, 2020, the District issued $3,765,000 of Special Assessment Bonds Series 2020 Pod C,
$4,955,000 of Special Assessment Bonds Series 2020 Pod D, $3,735,000 of Special Assessment Bonds Series 2020 Pod E, consisting of multiple Term Bonds with maturity dates from May 1, 2025 to May 1, 2050, and fixed interest rates ranging from 2.875% to 4%. The Bonds were issued to finance the acquisition and construction of certain improvements for the benefit of the District. Interest is to be paid semiannually on each May 1 and November 1. Principal on the Bonds is to be paid serially commencing May 1, 2021 through May 1, 2050.

The Series 2020 Bonds (Pod C, D and E) are subject to redemption at the option of the District prior to their maturity. The Bonds are subject to extraordinary mandatory redemption prior to their selected maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Bond indenture.
The Bond Indenture established a debt service reserve requirement as well as other restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements. The District was in compliance with the requirements at September 30, 2025.
Series 2024
On April 24, 2024, the District issued $9,780,000 of Special Assessment Bonds, Series 2024, consisting of multiple Term Bonds with maturity dates from May 1, 2031 to May 1, 2054, and fixed interest rates ranging from 4.625% to 5.8%. The Bonds were issued to finance the acquisition and construction of certain improvements for the benefit of the District. Interest is to be paid semiannually on each May 1 and November
Principal on the Bonds is to be paid serially commencing May 1, 2025 through May 1, 2054.

The Series 2024 Bonds are subject to redemption at the option of the District prior to their maturity. The Bonds are subject to extraordinary mandatory redemption prior to their selected maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Bond indenture.

The Bond Indenture established a debt service reserve requirement as well as other restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements. Upon satisfaction of certain conditions, a portion of the original reserve requirements will be released to the Developer for construction costs paid on behalf of the District; this did not occur during the current fiscal year. The District was in compliance with the requirements at September 30, 2025.

Series 2024 - Pod D7
On November 14, 2024, the District issued $5,105,000 of Special Assessment Bonds, Series 2024 Pod D7, consisting of multiple Term Bonds with maturity dates from May 1, 2031 to May 1, 2055, and fixed interest rates ranging from 4.55% to 5.625%. The Bonds were issued to finance the acquisition and construction of certain improvements for the benefit of the District. Interest is to be paid semiannually on each May 1 and November 1. Principal on the Bonds is to be paid serially commencing May 1, 2025 through May 1, 2055.

The Series 2024 Pod D7 Bonds are subject to redemption at the option of the District prior to their maturity. The Bonds are subject to extraordinary mandatory redemption prior to their selected maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Bond indenture.

The Bond Indenture established a debt service reserve requirement as well as other restrictions and requirements relating principally to the use of proceeds to pay for the infrastructure improvements and the procedures to be followed by the District on assessments to property owners. The District agrees to levy special assessments in annual amounts adequate to provide payment of debt service and to meet the reserve requirements. Upon satisfaction of certain conditions, a portion of the original reserve requirements will be released to the Developer for construction costs paid on behalf of the District; this did not occur during the current fiscal year. The District was in compliance with the requirements at September 30, 2025.
Long-term Debt Activity
Changes in long-term liability activity for the fiscal year ended September 30, 2025 were as follows:

Beginning Balance

Additions	Reductions

Ending Balance

Due Within One Year

Governmental activities
Bonds payable:		
Series 2017	$  11,435,000	$	-	$	255,000	$  11,180,000	$	265,000	
Plus: Original issue premium	9,546	-	411	9,135	-	
Series 2020	11,455,000	-	265,000	11,190,000	275,000	
Plus: Original issue premium	184,882	-	7,246	177,636	-	
Series 2024	9,780,000	-	135,000	9,645,000	145,000	
Less: Original issue discount	(7,112)	-	(245)	(6,867)	-	
Series 2024 Pod D7	-	5,105,000	-	5,105,000	75,000	
Total	$  32,857,316	$	5,105,000	$	662,412	$  37,299,904	$	760,000	
At September 30, 2025, the scheduled debt service requirements on the long-term debt were as follows:

	Governmental Activities	
Year ending
September 30:	
Principal	
Interest	
Total	
2026	$	760,000	$	1,788,694	$	2,548,694	
2027	780,000	1,758,113	2,538,113	
2028	815,000	1,726,653	2,541,653	
2029	845,000	1,693,638	2,538,638	
2030	890,000	1,658,575	2,548,575	
2031-2035	5,055,000	7,665,335	12,720,335	
2036-2040	6,400,000	6,340,876	12,740,876	
2041-2045	8,105,000	4,635,335	12,740,335	
2046-2050	9,530,000	2,440,737	11,970,737	
2051-2055	3,940,000	627,396	4,567,396	
Total	 $  37,120,000	$  30,335,352	$  67,455,352 	

NOTE 8 – DEVELOPER TRANSACTIONS

The Developer owns a portion of land within the District; therefore, assessment revenues in the general and debt service funds include the assessments levied on those lots owned by the Developer.

NOTE 9 – CONCENTRATION
A significant portion of the District’s activity is dependent upon the continued involvement of the Developer, the loss of which could have a material adverse effect on the District’s operations.

The District is part of the Verano Community Development Districts which is a combination of six separate community development districts. To facilitate the financing, construction, acquisition, operation, and maintenance of community-wide infrastructure and District-specific infrastructure for the mixed-use development of regional impact currently encompassing all of the lands located within the District and to better assure compliance with the development order pertaining to the Verano Community Development Districts as it relates to such infrastructure, the Districts have entered into a District Interlocal Agreement. Verano Center and Verano Districts # 1 - 5 (“Verano Districts”) have delegated to Verano #5 Community Development District (“Verano #5”), among other things, the power and authority to act on behalf of all the Verano Districts to finance, acquire, construct, operate, and maintain community infrastructure benefiting only the property within a single District, such as Community Infrastructure and District Infrastructure collectively referred to as Public Infrastructure. The interlocal agreement originally named Verano Center as the administrative District. During the fiscal year ended September 30, 2019, the Interlocal Agreement was amended to transfer administrative responsibilities from Verano Center to Verano #5. The interlocal agreement allows for any of the Verano Districts to become the issuer to finance the public infrastructure. Verano #5 would act as the administrative entity on behalf of all of the Districts but would no longer issue any debt.

NOTE 11 – MANAGEMENT AGREEMENTS
The District has contracted with a management company to perform management advisory services, which include financial and accounting advisory services. Certain employees of the management company also serve as officers of the District. Under the agreement, the District compensates the management company for management, accounting, financial reporting, computer and other administrative costs.

The Verano Districts have also entered into an Inter-local Agreement to provide maintenance of stormwater management for Verano Districts with the City of Port St. Lucie (“City”). Maintenance of the storm water system shall include, but is not limited to: maintenance of swales, conveyance channels, and waterways to ensure proper functioning; maintenance of berms and drainage way to ensure structural integrity; and the operation and maintenance of storm water control structures. The City agrees to pay the Verano Districts a sum equal to 75% of the stormwater utility fees collected by the City from within the District area (as defined in the agreement). This agreement shall run in perpetuity; however, each party has the right to terminate the agreement, with or without cause, by written notice sent six months prior to such termination.

During a prior year, the Inter-local agreement was amended and restated. The amended agreement specifies that Verano #5 will be responsible for maintenance of the storm water systems within the Verano Districts. The City will now remit 75% of the stormwater utility fees collected to Verano #5.
NOTE 12 – RISK MANAGEMENT

The District is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; and natural disasters. The District is covered by commercial insurance obtained by the Center District from independent third parties to mitigate the costs of these risks; coverage may not extend to all situations. There were no settled claims during the past three years.

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

	
Budgeted
	Amounts	 Original & Final	

Actual Amounts	Variance with Final Budget - Positive
(Negative)	
REVENUES				
Assessments	$	466,275	$	458,185	$	(8,090)	
Interest	-	33,465	33,465	
Total revenues	466,275	491,650	25,375	

EXPENDITURES
Current:				
General government	50,173	48,163	2,010	
Maintenance and operations	223,182	165,974	57,208	
Recreation	192,920	105,653	87,267	
Total expenditures	466,275	319,790	146,485	

Excess (deficiency) of revenues over (under) expenditures	

 $	-		

171,860	

 $	171,860 	
Fund balance - beginning			567,496 		
Fund balance - ending		$	739,356		

See notes to required supplementary information

NOTES TO REQUIRED SUPPLEMENTARY INFORMATION

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

The legal level of budgetary control, the level at which expenditures may not exceed budget, is in the aggregate. Any budget amendments that increase the aggregate budgeted appropriations must be approved by the Board of Supervisors. Actual general fund expenditures did not exceed appropriations for the fiscal year ended September 30, 2025.

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

Element	Comments	
Number of District employees compensated in the last pay period of the District’s fiscal year being reported.	

4	
Number of independent contractors compensated to whom nonemployee compensation was paid in the last month of the District’s fiscal year being reported.	

17	
Employee compensation	$2,200	
Independent contractor compensation	$304,318	
Construction projects to begin on or after October 1, ($65,000)		
Series 2020	$889,458	

Budget variance report	
See the Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual - General Fund	
Non Ad valorem special assessments: Special assessment rate	Operation and Maintenance	$121.66 - $1,186.15 Debt Service	 $1,021.74 - $1,834.78	
		
Special assessment collected - Operations and Maintenance	$458,185	
Special assessment collected - Debt Service	$2,298,992	

Outstanding Bonds:		
Series 2017 due Nov 1, 2048, see Note 7 for details
Series 2020 due May 1, 2050, see Note 7 for details
Series 2024 due May 1, 2054, see Note 7 for details
Series 2024 Pod D7 due May 1, 2055, see Note 7 for details	$11,180,000
$11,190,000
$9,645,000
$5,105,000	

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

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

To the Board of Supervisors
Verano #2 Community Development District City of Port St. Lucie, Florida
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities and each major fund of Verano #2 Community Development District, City of Port St. Lucie, Florida (“District”) as of and for the fiscal year ended September 30, 2025, and the related notes to the financial statements, which collectively comprise the District’s basic financial statements, and have issued our opinion thereon December 4, 2025.
Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the District’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the District’s internal control. Accordingly, we do not express an opinion on the effectiveness of the District’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified.
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the District’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

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

December 4, 2025

INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES, REQUIRED BY RULE 10.556(10) OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA
To the Board of Supervisors
Verano #2 Community Development District City of Port St. Lucie, Florida

We have examined Verano #2 Community Development District, City of Port St. Lucie, Florida’s (“District”) compliance with the requirements of Section 218.415, Florida Statutes, in accordance with Rule 10.556(10) of the Auditor General of the State of Florida during the fiscal year ended September 30, 2025. Management is responsible for District’s compliance with those requirements. Our responsibility is to express an opinion on District’s compliance based on our examination.

Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the District complied, in all material respects, with the specified requirements referenced in Section 218.415, Florida Statutes. An examination involves performing procedures to obtain evidence about whether the District complied with the specified requirements. The nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of the risks of material noncompliance, whether due to fraud or error. We believe that the evidence we obtained is sufficient and appropriate to provide a reasonable basis for our opinion. Our examination does not provide a legal determination on the District’s compliance with specified requirements.

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

This report is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, management, and the Board of Supervisors of Verano #2 Community Development District, City of Port St. Lucie, Florida and is not intended to be and should not be used by anyone other than these specified parties.

December 4, 2025

MANAGEMENT LETTER PURSUANT TO THE RULES OF THE AUDITOR GENERAL FOR THE STATE OF FLORIDA
To the Board of Supervisors
Verano #2 Community Development District City of Port St. Lucie, Florida

Report on the Financial Statements
We have audited the accompanying basic financial statements of Verano #2 Community Development District, City of Port St. Lucie, Florida ("District") as of and for the fiscal year ended September 30, 2025 and have issued our report thereon dated December 4, 2025.

Auditor’s Responsibility
We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the 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 the Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Auditor’s Report on an examination conducted in accordance with AICPA Professional Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated December 4, 2025, should be considered in conjunction with this management letter.

Purpose of this Letter

The purpose of this letter is to comment on those matters required by Chapter 10.550 of the Rules of the Auditor General for the State of Florida. Accordingly, in connection with our audit of the financial statements of the District, as described in the first paragraph, we report the following:
Current year findings and recommendations.
Status of prior year findings and recommendations.
Compliance with the Provisions of the Auditor General of the State of Florida.
Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, as applicable, management, and the Board of Supervisors of Verano #2 Community Development District, City of Port St. Lucie, Florida and is not intended to be and should not be used by anyone other than these specified parties.

We wish to thank Verano #2 Community Development District, St Lucie County, Florida and the personnel associated with it, for the opportunity to be of service to them in this endeavor as well as future engagements, and the courtesies extended to us.

December 4, 2025

REPORT TO MANAGEMENT

CURRENT YEAR FINDINGS AND RECOMMENDATIONS
None

PRIOR YEAR FINDINGS AND RECOMMENDATIONS

None
COMPLIANCE WITH THE PROVISIONS OF THE AUDITOR GENERAL OF THE STATE OF FLORIDA

Unless otherwise required to be reported in the auditor’s report on compliance and internal controls, the management letter shall include, but not be limited to the following:

A statement as to whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report.

There were no significant findings and recommendations made in the preceding annual financial audit report for the fiscal year ended September 30, 2024.
Any recommendations to improve the local governmental entity's financial management.

There were no such matters discovered by, or that came to the attention of, the auditor, to be reported for the fiscal year ended September 30, 2025.
Noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance.

There were no such matters discovered by, or that came to the attention of, the auditor, to be reported, for the fiscal year ended September 30, 2025.

The name or official title and legal authority of the District are disclosed in the notes to the financial statements.
The District has not met one or more of the financial emergency conditions described in Section 218.503(1), Florida Statutes.
We applied financial condition assessment procedures and no deteriorating financial conditions were noted. It is management’s responsibility to monitor financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same.

Management has provided the specific information required by Section 218.39(3)(c) in the Other Information section of the financial statements on page 26.

CDD / HOA AGREEMENT REGARDING PARKING ENFORCEMENT

THIS CDD / HOA AGREEMENT REGARDING PARKING ENFORCEMENT is made and entered into this
	 day of 	, 20	, by and between:

Verano 2 Community Development District, a local unit of special-purpose government established pursuant to Chapter 190, Florida Statutes, and whose mailing address is c/o GMS-SF, LLC, 5385 N. Nob Hill Road, Sunrise, Florida 33351, or by calling (954)721-8681 (“District”); and

	, a Florida not-for-profit corporation, whose address is c/o
	 (“Association”).

RECITALS

WHEREAS, the District was established pursuant to the Uniform Community Development District Act of 1980, Chapter 190, Florida Statutes, as amended (“Act”), and is validly existing under the Constitution and laws of the State of Florida; and

WHEREAS, the District presently owns and operates certain roadways within the Verano 2 community, and, pursuant to Chapter 190, Florida Statutes, has taken the necessary steps for the District to enforce parking rules for the roadways (e.g., the District has adopted a “Parking Enforcement Rule” in the form attached hereto as Exhibit B, entered into a “Towing Agreement” in the form attached hereto as Exhibit C, and caused to be provided parking signage on the District roads); and

WHEREAS, the Association is a not-for-profit corporation owning, operating and maintaining various improvements and facilities for the community that the District serves; and

WHEREAS, the District desires to enter into an agreement with the Association such that the Association’s on-site personnel can serve as the District’s representative with respect to administering the Parking Enforcement Rule and Towing Agreement (together, “Work”);

WHEREAS, the residents within the community that are served by both the Association and the District benefit from the improvements and may be required to pay for the cost of the Work, regardless of whether such Work is conducted by the Association or the District; and

WHEREAS, for ease of administration, potential cost savings to property owners and residents and the benefits of full-time, on-site operation and maintenance personnel, the District desires to contract with the Association to provide the Work; and

WHEREAS, the Association represents that it is qualified, either in its own right or through its officers, employees, contractors and/or affiliates, to provide the Work and desires to contract with the District to do so in accordance with the terms of this Agreement.

NOW, THEREFORE, in consideration of the recitals, agreements, and mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the parties, the parties agree as follows:

RECITALS. The recitals so stated are true and correct and by this reference are incorporated into and form a material part of this Agreement.

SCOPE OF WORK.

Work. Association shall be responsible for providing, or causing to be provided, the Work in an efficient, lawful and satisfactory manner – specifically, Association shall monitor parking within the District, coordinate towing by the District’s towing contractor when required by the District’s rules and policies, address resident inquiries regarding towing, advise the District’s Board and Manager regarding recommended changes to the District’s parking program, and otherwise implement the District’s towing rules and policies. All Work, including the scope of the Work, shall be performed in a neat and professional manner reasonably acceptable to the District and shall be in accordance with industry standards. Association shall be responsible for all of its contractors or subcontractors that perform the Work as if the Association itself were performing such Work. Notwithstanding anything to the contrary in this Agreement, the parties understand and agree that the District shall have the contractual relationship with the contractor under the Towing Agreement, and the District shall be responsible for making payment thereunder, as well as taking any action to continue, modify, or terminate the Towing Agreement.
Investigation and Report of Accidents/Claims. Association shall promptly investigate and provide a full written report to the District Manager as to all accidents or claims for damage relating to the improvements or the Work. Such report shall at a minimum include a description of any damage or destruction of property and the estimated cost of repair. Association shall cooperate and make any and all reports required by any insurance company or the District in connection with any accident or claim. Association shall not file any claims with the District’s insurance company without the prior consent of the District’s Board of Supervisors.
Adherence to District Rules, Regulations and Policies. Association shall ensure that Association’s officers, employees, contractors and affiliates are familiar with all District policies and procedures and are informed with respect to the rules, regulations and notices as may be promulgated by the District from time to time and Association shall ensure that said persons conform therewith. Association assures the District that all third parties will be dealt with at arm’s length, and that the District’s interest will be best served at all times.
Care of the District’s Improvements. Association shall use all due care to protect the property of the District, its residents and landowners from damage by Association or its officers, employees, contractors and affiliates. Association agrees to repair any damage resulting from the activities and work of the Association or its officers, employees, contractors and affiliates. The District is not responsible for the cost of repairs from damage resulting from the acts or omissions of the Association or its officers, employees, contractors and affiliates.
Reporting. The Association shall require that contractors provide – and shall provide to the District – periodic reports (at least once per quarter) describing the Work being performed and the status of any items of concern.

COMPENSATION. The Association shall provide the Work at no cost to the District. The Association shall not be entitled, for any reason, to reimbursement or refund of any funds expended in the performance of its obligations under this Agreement. The Association agrees that there is sufficient consideration for this Agreement because, among other reasons, the Association benefits from the contracting efficiencies in having all of the public and community infrastructure maintained by a single entity.

TERM. This Agreement commences on the date first written above and continues through September 30, 2026 (“Initial Term”). This Agreement shall automatically renew for annual periods thereafter unless terminated pursuant to the terms of this Agreement.

INSURANCE. The Association and its contractors performing any part of the Work shall maintain or cause to be maintained, at its / or their own expense throughout the term of this Agreement, industry standard Worker’s Compensation Insurance, Commercial General Liability Insurance and Automobile Liability Insurance. The District shall be an additional insured under all such insurance.

INDEMNIFICATION. Association agrees to defend, indemnify, and hold harmless the District and its officers, agents, employees, successors, assigns, members, affiliates, or representatives from any and all liability, claims, actions, suits, liens, demands, costs, interest, expenses, damages, penalties, fines, judgments against the District, or loss or damage, whether monetary or otherwise, arising out of, wholly or in part by, or in connection with the Services to be performed by Association, its subcontractors, its employees and agents in connection with this Agreement, including litigation, mediation, arbitration, appellate, or settlement proceedings with respect thereto. Additionally, nothing in this Agreement requires Association to indemnify the District for the District’s percentage of fault if the District is adjudged to be more than 50% at fault for any claims against the District and Association as jointly liable parties; however, Association shall indemnify the District for any and all percentages of fault attributable to Association for claims against the District, regardless of whether the District is adjudged to be more or less than 50% at fault. Association further agrees that nothing in this Agreement shall constitute or be construed as a waiver of the District's limitations on liability contained in Section 768.28, Florida Statutes, or other statute. Obligations under this section shall include the payment of all settlements, judgments, damages, liquidated damages, penalties, fines, forfeitures, back pay awards, court costs, arbitration and/or mediation costs, litigation expenses, attorneys’ fees, paralegal fees (incurred in court, out of court, on appeal, or in bankruptcy proceedings), any interest accrued against the District, all as actually incurred. The indemnification rights herein contained shall be cumulative of, and in addition to, any and all rights, remedies and recourse to which the District shall be entitled, whether pursuant to some other provision of this Agreement, at law, or in equity. The provisions of this Section shall survive the termination or expiration of this Agreement.

LIMITATIONS ON LIABILITY. Nothing in this Agreement shall be deemed as a waiver of immunity or limits of liability of the District beyond any statutory limited waiver of immunity or limits of liability which may have been adopted by the Florida Legislature in Section 768.28, Florida Statutes, or other statute, and nothing in this Agreement shall inure to the benefit of any third party for the purpose of allowing any claim which would otherwise be barred under the Doctrine of Sovereign Immunity or by operation of law.

COMPLIANCE WITH LAWS. The Association shall keep, observe, and perform all requirements of applicable local, State, and Federal laws, rules, regulations, or ordinances relating to the Property, including but not limited to any applicable permits or other regulatory approvals.

DEFAULT; THIRD PARTY INTERFERENCE. A default by either party under this Agreement shall entitle the other to all remedies available at law or in equity, which may include, but not be limited to, the right of damages, injunctive relief, and/or specific performance. Nothing contained in this Agreement shall limit or impair the District’s right to protect its rights from interference by a third party to this Agreement.

CUSTOM AND USAGE. It is hereby agreed, any law, custom, or usage to the contrary notwithstanding, that each party shall have the right at all times to enforce the conditions and agreements contained in this Agreement in strict accordance with the terms of this Agreement, notwithstanding any conduct or custom on the part of the party seeking to enforce the conditions and agreements in refraining from so doing; and further, that the failure of a party at any time or times to strictly enforce its rights under this Agreement shall not be construed as having created a custom in any way or manner contrary to the specific conditions and agreements of this Agreement, or as having in any way modified or waived the same.

SUCCESSORS. This Agreement shall inure to the benefit of and be binding upon the heirs, executors, administrators, successors, and assigns of the parties to this Agreement, except as expressly limited in this Agreement.

TERMINATION. At any time, either party may terminate this Agreement for cause immediately upon provision of written notice, or without cause by providing at least thirty days written notice to the other party of its intent to terminate.

ASSIGNMENT. No party may assign this Agreement without the prior written approval of the other. Any purported assignment without such written consent shall be void.

INDEPENDENT CONTRACTOR. In all matters relating to this Agreement, the Association shall be acting as an independent contractor. Neither the Association nor employees of the Association, if there are any, are employees of the District. The Association agrees to assume all liabilities or obligations imposed by any applicable laws with respect to employees of the Association, if there are any, in the performance of this Agreement. The Association shall not have any authority to assume or create any obligation, express or implied, on behalf of the District and the Association shall have no authority to represent the District as an agent, employee, or in any other capacity.

HEADINGS FOR CONVENIENCE. The descriptive headings in this Agreement are for convenience only and shall neither control nor affect the meaning or construction of any of the provisions of this Agreement.

AGREEMENT. This instrument shall constitute the final and complete expression of this Agreement between the District and Association relating to the subject matter of this Agreement.

AMENDMENTS. Amendments to and waivers of the provisions contained in this Agreement may be made only by an instrument in writing which is executed by both the District and the Association.

AUTHORIZATION. The execution of this Agreement has been duly authorized by the appropriate body or official of the District and the Association, both the District and the Association have complied with all the requirements of law, and both the District and the Association have full power and authority to comply with the terms and provisions of this instrument.

NOTICES. All notices, requests, consents and other communications under this Agreement (“Notices”) shall be in writing and shall be delivered, mailed by First Class Mail, postage prepaid, certified/registered mail, or overnight delivery service, to the parties, at the addresses first set forth above. Except as otherwise provided in this Agreement, any Notice shall be deemed received only upon actual delivery at the address set forth above. Notices delivered after 5:00 p.m. (at the place of delivery) or on a non-business day, shall be deemed received on the next business day. If any time for giving Notice contained in this Agreement would otherwise expire on a non-business day, the Notice period shall be extended to the next succeeding business day. Saturdays, Sundays, and legal holidays recognized by the United States government shall not be regarded as business days. Counsel for the District and counsel for the Association may deliver Notice on behalf of the District and the Association, respectively. Any party or other person to whom Notices are to be sent or copied may notify the other parties and addressees of any change in name or address to which Notices shall be sent by providing the same on five (5) days written notice to the parties and addressees set forth herein.

THIRD PARTY BENEFICIARIES. This Agreement is solely for the benefit of the District and the Association and no right or cause of action shall accrue upon or by reason, to or for the benefit of any third party not a formal party to this Agreement. Nothing in this Agreement expressed or implied is intended or shall be construed to confer upon any person or corporation other than the District and the Association any right, remedy, or claim under or by reason of this Agreement or any of the provisions or conditions of this Agreement; and all of the provisions, representations, covenants, and conditions contained in this Agreement shall inure to the sole benefit of and shall be binding upon the District and the Association and their respective representatives, successors and assigns.

APPLICABLE LAW AND VENUE. This Agreement and the provisions contained herein shall be construed, interpreted and controlled according to the laws of the State of Florida. Venue for any dispute shall be in a court of appropriate jurisdiction in the County in which the District is located.

PUBLIC RECORDS. The Association understands and agrees that all documents of any kind provided to the District in connection with this Agreement may be public records, and, accordingly, Association agrees to comply with all applicable provisions of Florida law in handling such records, including but not limited to Section 119.0701, Florida Statutes. Association acknowledges that the designated public records custodian for the District is its District Manager (“Public Records Custodian”). Among other requirements and to the extent applicable by law, the Association shall 1) keep and maintain public records required by the District to perform the service; 2) upon request by the Public Records Custodian, provide the District with the requested public records or allow the records to be inspected or copied within a reasonable time period at a cost that does not exceed the cost provided in Chapter 119, Florida Statutes; 3) ensure that public records which are exempt or confidential, and exempt from public records disclosure requirements, are not disclosed except as authorized by law for the duration of the contract term and following the contract term if the Association does not transfer the records to the Public Records Custodian of the District; and 4) upon completion of the contract, transfer to the District, at no cost, all public records in Association’s possession or, alternatively, keep, maintain and meet all applicable requirements for retaining public records pursuant to Florida laws. When such public records are

transferred by the Association, the Association shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. All records stored electronically must be provided to the District in a format that is compatible with Microsoft Word or Adobe PDF formats.

IF THE ASSOCIATION HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE ASSOCIATION’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS AGREEMENT, CONTACT THE PUBLIC RECORDS CUSTODIAN AT C/O ANDRESSA HINZ PHILIPPI, GMS-SF, LLC, 5385 N. NOB HILL ROAD, SUNRISE, FLORIDA 33351 PHONE (954)721-8681, AND E-MAIL AHPHILIPPI@GMSSF.COM
SEVERABILITY. The invalidity or unenforceability of any one or more provisions of this Agreement shall not affect the validity or enforceability of the remaining portions of this Agreement, or any part of this Agreement not held to be invalid or unenforceable.

ARM’S LENGTH. This Agreement has been negotiated fully between the District and the Association as an arm's length transaction. The District and the Association participated fully in the preparation of this Agreement with the assistance of their respective counsel. In the case of a dispute concerning the interpretation of any provision of this Agreement, the parties are each deemed to have drafted, chosen, and selected the language, and any doubtful language will not be interpreted or construed against any party.

COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which when executed and delivered shall be an original; however, all such counterparts together shall constitute, but one and the same instrument.

IN WITNESS WHEREOF, the parties execute this Agreement to be effective the day and year first written above.

VERANO 2 COMMUNITY DEVELOPMENT DISTRICT

By:	 Its:	

By:	 Its:	

PHL Land Care Inc.
PO Box 13767 | Fort Pierce , FL 34979
772-466-3617 | admin@phllandcare.com | https://phllandcare.com/

$2,000.00

Total

Jan 06, 2026

Sent on

Quote #15151

RECIPIENT:
Verano CDD#2 Governmental Management Services
5385 North Nob Hill Road Sunrise, Florida 33351

Product/Service	Description	Qty.	Unit Price	Total

Labor & Material

8934 Matilda
lake banks - repair wash out -soil refurbishment and sod replacement

1	$400.00	$400.00

Labor & Material

8652 Carrara Way
lake banks - repair wash out -soil refurbishment and sod replacement

1	$400.00	$400.00

Labor & Material

8728 Flutto
lake banks - repair wash out -soil refurbishment and sod replacement

1	$400.00	$400.00

Labor & Material

Breve Lake East Side
lake banks - repair wash out -soil refurbishment and sod replacement

1	$400.00	$400.00

Labor & Material

9242 Pepoli
lake banks - repair wash out -soil refurbishment and sod replacement

1	$400.00	$400.00

$2,000.00

Total

Thank you for your business ! If you wish to move forward with project please contact our office. 8934 Matilda
8652 Carrara
8728 Flutto
Breve Lake East side 9242 Pepoli
lake banks - repair wash out -soil refurbishment and sod replacement
This quote is valid for the next 30 days, after which values may be subject to change.

1699 SW Fortune Rd. Port St. Lucie, FL. 34953.		CGC 1529328. VENICE COMMERCIAL SERVICES, INC.	Tel: 772-480-5861.

PROPOSAL
Customer name: Verano #2 Community Development District

Job site Address:  9351 Ligorio Wy. Port St Lucie, FL. Contact:	Dmitriy Gulyamov.
Phone number:    561.420.1722.
E-mail:	Dgulyamov@calmfla.com
Date:	10/02/2025.
Proposal for Paver Repair and Reset at the Club House’s Pool area: Scope of Work:
We propose to remove and reset unleveled paver sections located at the Club House’s pool area and restrooms. This work is intended to restore safety, appearance, and functionality in these high-traffic areas.
Work Description:
Carefully remove existing pavers in the affected areas.
Fill and compact the base to proper grade and specifications.
Reinstall existing pavers with proper alignment and leveling.
Ensure clean finishing, flush transitions, and secure compaction for long-term durability.
Project Area: Total estimated work area: approximately 9,500 square feet.
Inclusions:
Paver removal and storage during repair.
Base material replacement and compaction.
Paver resetting and leveling.
Site clean-up and debris removal.
Price: $58,265.

ESTIMATE
Pristine Pavers, LLC PO Box 1304
Palm City, FL 34991-6304

rubiog@pristinepaverss.com

+1 (772) 209-2111
Progressive BOP

Bill to
Verano #2 CDD
5385 N. Nob Hill Road, Sunrise, Florida 33351

Ship to
Verano #2 CDD
9351 Ligorio Way, Port St Licie, FL 34987

Estimate details
Estimate no.: 2566 Estimate date: 10/23/2025

#	Product or service	Description	Qty	Amount	
1.	Paver Repair	Approximately 6000 sq ft of pool deck repair - remove current paver and re-level and install pavers	1	$29,900.00	
2.	Services	Replace approximately 40 linear feet of coping	1	$600.00	
3.	Services	Replace 20 ft of deco drain	1	$200.00	
4.	Services	Approximately 50 sq ft extension to playground	1	$700.00	
5.	Services	Pressure wash pool deck only followed by sanding for paver joints	1	$6,600.00	
6.		Please note a $5000.00 deposit is required upon approval of estimate.			
		Upon 50% completion of project 2nd draw is required $10,000.00			
		Final payment is due upon completion of project
$23,000.0066			
		
Total		$38,000.00	

Accepted date	Accepted by

Date:	12/1/2025
To:	Verano CDD #2 (Crosstown Commons) Dmitriy Gulyamov
Subject: Hoover Maintenance Agreement, MA#7802
Contract Term:12 months 3/1/2026 - 2/28/2027
Site IDs:  #8703, #9010

Phone: 561-420-1722

Th e H oover M a i n ten a n ce P rog ra m ( n clu d es 2 p re ve n ta t( ve m a ( n te n a n ce s( te v( s( ts p er ye a r b y a H oo ver
Cert( f( e d P um p Te chn ( c( a n . Th e fo ll o w( n g p re ve n ta t( ve m a ( n te n a n ce w( ll b e fu rn ( sh e d for e a ch p um p syste m a s re q u( re d: 

  P ri ori ty Sch ed ul i n g - Wh e n re p a ( r serv( ce ( s re q u( re d , n o sta n d a rd d ( a g n o st( c fee for e va lu a t( o n w( ll b e ch a rg e d - o nl y t( m e a n d m a ter( a l s w( ll a pp l y.
  P um p Con trol P a n el - Test co n tro l l o g ( c, torq u e e l e ctr( ca l co nn e ct( o n s to sp e c( f( ca t( o n , tre a t co m p o n e n ts w( th a n t( -o x( d a n t p ro te ct( ve sp ra y, test su rg e p ro te ct( o n co m p o n e n ts, ch e ck HM I.
  Va ri ab l e F req u en cy D ri ve(s) (( f a pp l ( ca b l e ) - Test a n d co n f( rm p ro p er o p era t( o n . Ch a n g e p a ra m e ters ( f re q u( re d. 
   P um p m otor(s) - Serv( ce b e a r( n g s, ch e ck o p era t( o n a n d cu rre n t d ra w a g a ( n st sp e c( f( ca t( o n , ch e ck m o tor co nn e ct( o n s.
   P um p (s) - Ch e ck co n d ( t( o n o f se a l . Co n f( rm fl o w a n d p ressu re p erform a n ce .
   Ai r Con d i ti on er (( f a pp l ( ca b l e ) - Ch e ck a n d co n f( rm p ro p er o p era t( o n . Cl e a n f( l ter.
   Con trol Va l ve (( f a pp l ( ca b l e ) -Ch e ck p ( l o ts a n d serv( ce . Cl e a n f( l ter. Ca l ( b ra te va l ve a n d re p l a ce worn d ( a p h ra g m ( f re q u( re d. 
  F l ow M eter (( f a pp l ( ca b l e ) -Test fl o w m e ter a n d p ressu re tra n sd u cer for p ro p er o p era t( o n . Ca l ( b ra te fl o w m e ter a s re q u( re d b y F l or( d a Wa ter M a n a g e m e n t D( str( ct u p o n cl ( e n t re q u est.
  P ressu re Ta n k (( f a pp l ( ca b l e ) - Ch e ck a n d a d ju st ta n k p re ch a rg e p ressu re a s re q u( re d. 
   Su cti on In ta ke (( f a pp l ( ca b l e ) - E va lu a te ( n ta ke p erform a n ce a n d re co mm e n d scree n cl e a n ( n g a s re q u( re d. 
   Di sch a rg e Fi l ter (( f a pp l ( ca b l e ) - Ch e ck o p era t( o n , cl e a n co mm a n d f( l ters, a n d flu sh tu b ( n g. 
   Ra i n B u cket (( f a pp l ( ca b l e ) - Ch e ck o p era t( o n . Re p l a ce f( l ter. Cl e a n b u cke t.
   U P S B a ttery (( f a pp l ( ca b l e ) - Ch e ck co n d ( t( o n .
  RCS (( f a pp l ( ca b l e ) - Ch e ck p ( l o t o p era t( o n a n d serv( ce . Re p l a ce worn d ( a p h ra g m o n shu to ff va l ve ( f re q u( re d
   L evel Tra n sd u cer (( f a pp l ( ca b l e ) - Ch e ck o p era t( o n a n d re p ort( n g. 
   Tu b i n g - F lu sh tu b ( n g to h yd ra ul ( c co n tro l s.
   G a u g es - Re p l a ce a s n ee d e d. 
   Fi b erg l a ss En cl osu re (( f a pp l ( ca b l e ) - Ch e ck l o cka b l e h a n d l e , h ( n g es a n d o p e n ( n g m e ch a n ( sm .
  Rep ort - To b e su b m ( tte d u p o n co m p l e t( o n o f serv( ce ca ll w( th f( n d ( n g s a n d re co mm e n d a t( o n s.

Th e fo ll o w( n g ( te m s a re e xclu d e d fro m th e H oo ver M a ( n te n a n ce P ro g ra m :
   Su ct( o n ( n ta ke cl e a n ( n g or a d ju stm e n ts d u e to ch a n g ( n g wa ter l e ve l s
  Re p a ( rs d u e to fa ( lu re o f a n y e l e ctr( ca l or m e ch a n ( ca l co m p o n e n ts d u e to m ( stre a tm e n t o f th e syste m a n d o th er ca u ses n o t co vere d b y H oo ver P um p ( n g Syste m s wa rra n ty

Date:	12/1/2025
To:	Verano CDD #2 (Crosstown Commons) Dmitriy Gulyamov
Subject: Hoover Maintenance Agreement, MA#7802
Contract Term:12 months 3/1/2026 - 2/28/2027
Site IDs:  #8703, #9010

Phone: 561-420-1722

  Re p a l rs d u e to fa l lu res or re cu rrl n g p ro b l e m s ca u se d b y p oor wa ter q u a l l ty l n clu d l n g ch e m l ca l or b l o l o g l ca l fo ul l n g or fl e l d l rrl g a tl o n syste m p ro b l e m s
  Re p a l rs d u e to va n d a l l sm , a ccl d e n ts, n e g l l g e n ce or n a tu ra l e ve n ts l n clu d l n g wl n d , fl oo d , p o wer su rg e a n d l l g h tn l n g
  Re p a l rs d u e to o p era tl n g th e l rrl g a tl o n syste m l n a m a nn er th a t e xcee d s th e l l m l ts o f p um p syste m d esl g n p erform a n ce , or d u e to re p e a te d ra p l d cycl l n g o f p um p syste m d u e to l rrl g a tl o n syste m l e a ks.
   Dl sc-F l l ter cl e a n l n g n o t l n clu d e d

F or H oover F l owg u a rd p um p system s th e H oover M a i n ten a n ce P rog ra m l n clu d es:
   24/7 Con trol a n d re m o te a u to m a tl c m o n l torl n g o f th e l rrl g a tl o n a n d p um p syste m
  Au tom a ted system a l erts a n d wa rn l n g s vl a e -m a l l , p ro a ctl ve syste m su pp ort, a n d u p to 8 h o u rs a ssl sta n ce fro m th e H oo ver H e l p D esk.
   B roadba n d In tern et Servi ce Conn ecti on .
   G rap h i ca l web d i sp l a y o f Wa ter M a n a g e m e n t syste m sta tu s, a l a rm e nun cl a tors, co n tro l s, h l story, tre n d s, d a ta l o g s, m a l n te n a n ce a l erts, servl ce co un ters, a n d co n fl g u ra tl o n .
   U nl imi ted F ree web i n a rs to l e a rn b est p ra ctl ces for u sl n g F l o wg u a rd. 
  Wa ter restri cti on con trol s to p re ve n t o ver/un d er wa terl n g , sa ve e n erg y a n d wa ter co n sum p tl o n , a n d ra p l d cycl l n g d u e to fl e l d l ssu es.
   Rem ote system Shu t-d own a n d Rese t fe a tu res wl th shu to ff va l ves.
   P rotecti on fea tu res to l n d l ca te l o w p ressu re , h l g h fl o w ra te l n clu d l n g a u to m a tl c, a d ju sta b l e shu t d o wn .
  P ri n tab l e wa ter m a n ag em en t u sag e rep orts for g ra p h l n g , e ve n ts, u sa g e , a n d co n fl g u ra tl o n s.

The following are the Flowguard Sites on this agreement

Site ID	Site Name	Model #	
8703	Crosstown Commons Pump Station #1	HC2F-20PDV-460/3-MR3L-Z	
9010	Crosstown Commons Pump Station #2	HC2F-20PDV-460/3-MR3L-Z	

Total Annual Price	$5,180.00

**Save Time and Costs of additional service visits by pre-authorizing a Hoover tech to repair non-maintenance related, system performance, or safety-critical component problems while on site for maintenance. Please select ONE of two options:
 YES, I authorize Hoover to complete non-maintenance related repairs up to $750.00 while on site during a Maintenance visit. The Hoover Technician will call the on-site manager to discuss the repair prior to completing the work. For repairs exceeding $750.00, approval will be obtained immediately or in advance.
 NO, I want to approve each non-maintenance related repair. If an authorized manager is not available to provide immediate approval, an additional service visit will be scheduled after approval is obtained.

Terms: This agreement is automatically renewable for one year unless written notice is provided by either party 30 days prior to its expiration. We still require a signed copy for our records. Hoover Pumping systems Standard Terms and Conditions of Sales will apply. Hoover will use care, but is not responsible for the repair of hardscape, non-located customer owned utilities, or landscape damaged in the course of performing work and accessing work areas.

Accepted by:
Hoover Pumping Systems

Ramona Mingo 12/1/2025

Accepted by:

Verano CDD #2 (Crosstown Commons)

Signature/Date Name Printed

P.O. Number (if required)

PROPOSAL FOR MOSQUITO MANAGEMENT VERANO 2 CDD.
August 18, 2022

Dear Dmitriy Gulyamov,
Thank you for the opportunity to offer our integrated mosquito control program to Verano 2 CDD. We understand the unique demands of the South Florida environment. We have designed a unique and flexible program to meet your residents' needs, providing maximum comfort to your residents' outdoor experiences. Clarke is the first and only public health mosquito control program to utilize products listed with the Organic Materials Review Institute (OMRI). By being OMRI listed, both the larvicide and adulticide are recognized for use in and around organic crops and gardens. Both the larvicide and adulticide used in the program are made from naturally-derived active that are registered by the U.S EPA and meet all requirements of the Organic Materials Review Institute.

With the knowledge gained from providing similar service to other luxury communities, we have an intimate experience of the environmental influences to the community's mosquito population. On the pages to follow, you will find a Professional Services Outline. The services provided through the program focus on mosquito education to residents, the inspection of mosquito breeding habitats, and treatment with larvicides, and adulticides to minimize the mosquito population.

Clarke will operate an ultra-low volume (ULV) sprayer for property-wide adulticide application to reduce the adult flying mosquitoes. ULV sprayers dispense very fine aerosol droplets that stay aloft and kill flying midges & mosquitoes on contact. ULV application, we will be using Clarke's dual-action Duet®. Our truck ULV route will follow the paved roads throughout the property using our quiet electric sprayer. Our ATV ULV application will be made by a side by side to treat along the routed miles off the paved road around stormwater ponds and hitting the backyard of the homes around the side-by-side community. All ULV treatments will be completed after dusk or before dawn.

Other factors about Clarke that you may consider as you make this critical decision:
Clarke has over 65 years of experience in providing community mosquito control across the country.
Clarke has over 25 years of experience providing midge & mosquito control programs to communities in Florida.
Clarke mosquito control programs are highly successful, personalized, visible, and professionally managed and executed.
When comparing exact service levels and efficacy, our pricing is the most competitive in the industry.
Clarke invests back into the industry, being the leader in mosquito product development. Your support allows us to impact millions all over the world with our cutting-edge formulations and technology.
To combat the Zika virus threat, Clarke has accumulated several tools that are made available to the public through https://www.clarke.com/zika-support-center-for-mosquito-control-programs

Partnering with Clarke to meet your mosquito control needs will provide you access to our in-house biologist, public relations, and marketing teams. We look forward to the potential of working with you for your upcoming season.
Sincerely, Darrel Bagiotti

Timeline and Commitment of Resources
Clarke has provided mosquito services to the local territory for over twenty years. Over time, Clarke has gained intimate knowledge of local waterways and developed a strong understanding of local conditions and expectations. Clarke will continue to service from our existing Wellington office. Our facilities, trucks, boats, assets, and personnel are in place and stand by, ready to serve the community of Verano 2 CDD. This local facility will function as our command center for operations. To best serve Verano 2 CDD, all the facilities, assets, and personnel will remain in place for the Agreement's duration.

Verano 2 CDD, along with Clarke Employees, have immediate access to our company-wide resources to help facilitate the most efficient and effective program. Departments that are, and will be, serving Verano 2 CDD are:

Regulatory Compliance
Safety
Biology Department
Technical Services
Human Resources
Information Technologies
Operations Support
Equipment Technical Services
Product Production/Manufacturing
Finance
Insurance
Public Relations

Our local facility maintains sufficient stock of products to meet and/or exceed Verano 2 CDD requirements. Our local Wellington office has the required experience, licensed staff, assets, and expertise to meet and exceed all of the specified services.

Work Plan
Overview
The work to be performed at this site will consist of applying EPA, and the State of Florida approved product in the designated waterway and properties covered in this contract. The storm drain larvicide product used has also been certified by the Organic Materials Review Institute (OMRI). The insecticides will be applied via hand application to ensure the product is getting to the areas the mosquitoes will be breeding. This application will take place in the Fall.
Clarke's work includes furnishing all labor, material, equipment, tools, transportation, supplies, workforce, and supervision to complete the job. Clarke will provide services in accordance with Verano 2 CDD requirements listed in the scope of work.

Communications
Clarke is firmly committed to an open and honest communication strategy with its clients. Communication is critical in maintaining a successful aquatics program. All

technicians on site will have a GPS tracking/WIFI smartphone with them at all times, even while in a boat. They will be in contact with the designated field supervisor. The Clarke designated field supervisor will be in charge of schedule progress, any adjustments being made, and submitting treatment reports and inspection logs. Schedule adjustments and treatment procedures will be discussed and verified to coordinate with special events, unexpected occurrences, outbreaks, and other issues that may arise during the contract period. Clarke strives to reach a strong professional working relationship with its clients in a partnership effort to get our combined goals. At the end of each treatment day, the treatment data can be emailed within 72 hours to achieve constant monitoring of the chemicals administered into the water. The local
operations supervisor and control consultant will monitor communications to ensure that these channels are open and used effectively. In the event an emergency treatment, outbreak, or complaint call surfaces that require immediate attention, the field supervisor shall contact the local operations supervisor to have additional resources allocated to these areas not to disrupt the established monthly schedule. Any disruptions of the set monthly schedule will be done with the express authorization of Verano 2 CDD. Darrel Bagiotti, the Control Consultant, will serve as a back-up communication venue, assuring that this program is working as intended and that communication between Clarke and the client is consistent, constant, and effective.
Electronic Notification

Clarke's Customer Portal once signed up can provide email notifications to let you know we were on-site and performed work. Electronic Notifications would be sent-out whenever an Applicator has been to the site and reported through the Supervisor's smartphones accepting the treatment and approving the job (that night or the next day).
Resources
Clarke has a Fleet of 30+ vehicles available for use in the State of Florida. All employees are versed and trained with calibrations and the most advanced application techniques.
Equipment used for requested services

(1) 2003 or better Chevy 2500 4x4 pick-up truck.
(1) Polaris or John Deere Gator.

Personnel

One of Clarke's key benefits is the depth of our overall organization, including 150 full-time people and their respective experience and expertise. Within the Clarke, Structure is the numerous departments listed above, critical in supporting local Clarke offices' work and operations. These dedicated departments and employees help to ensure that Clarke operates efficiently and effectively and are available for any support that our Regional and local offices may need and provide support to customers like Verano 2 CDD.

Clarke has six offices located in Florida, with 25+ full-time employees dedicated to Florida Operations. Clarke also hires and staffed multiple seasonal crews and temporary employees to cover the seasonality of the industry and contractual needs.

Clarke currently has 15+ Florida State Certified licensed applicators in Public Health, Chapter 482 applicators working under a Certified Operator in General Pest, Aquatics / Natural Areas, and Right of Way through the Florida Department Agriculture and Consumer Sciences. Clarke's Public Health applicator license and Certified Operation License in General Pest legally distinguish us from other aquatic vendors or pest operators who can't make these (in-lake or on-land) applications because they don't hold the appropriate license. Targeting midges and mosquitoes is not covered under an aquatics license. Clarke specializes and certifies employees with Safety and Regulatory Compliance to meet OSHA, DEP, EPA, DOT, FDACS, and multiple other agency requirements. Clarke also ensures that all offices have personnel trained in Hazardous Waste and Emergency Operations and Recovery if a spill takes place. This helps us to limit and reduce liability both for Clarke and for our customers.
Chemicals and Substances Used
All work performed in the designated lakes or areas shall be performed by, or under the direct supervision of, a Florida state-licensed applicator. At Clarke, we make sure that we adjust the rates within what's allowed by law on the label for maximum effect on the target species while minimizing or eliminating any effect on non-targets.
Clarke has identified the following chemicals as treatment options based on the current condition: OMRI Certified Natular XRT, and Duet.

Clarke Personnel Appearance
All Clarke personnel must wear a strict dress code, including a logo identifying long-sleeved shirt, long pants, and work boots, all in good clean condition and adequately maintained while working in the designated waterways. They are further instructed always to conduct themselves professionally and courteously when approached by residents with inquiries or comments or working in Verano 2 CDD.

Clarke Experience
Clarke currently services several luxurious communities in Palm Beach County including, Medalist Country Club, Mirasol County Club, Frenchman's Reserve, The Fields, and Broken Sound Master Association for all their midge and mosquito needs, to name a few. These relationships have allowed us to establish trust and an effective and efficient working relationship with our contacts in Palm Beach County. We believe in maintaining personnel's consistency to ensure that our treatments' relationship and effectiveness remain consistently high.
Clarke's Commitment to Sustainability
Clarke is committed to being earth-friendly by delivering products, services, and strategies that save our customers money and reduce the impact we make on the earth. This is reflected in everything we do and in everyone who works at Clarke. It allows us to be the best at what we do and allows us to do the right thing. The long term result is a winning strategy for us and our customers. Please see our sustainability report enclosed.

Licenses and Permits
Clarke will continue to adhere to all local, County, State, and Federal regulations and permits to execute the work to be performed under this contract. Any additional permits required for the execution of the work under this contract will be Clarke's responsibility to acquire.

Proposal Price
Clarke Environmental Mosquito Management, Inc.
Professional Services Outline for 2025-26 Verano 2 CDD
Environmental Mosquito Management (EMM) Program
Part I.	General Service
Computer System and Record-Keeping Database
Public Relations and Educational Brochures
Mosquito Hotline Citizen Response – (800) 443-2034
Comprehensive Insurance Coverage naming Verano 2 CDD additionally insured
Program Consulting and Quality Control Staff
Regulatory compliance on local, state, and federal levels
Part II.   Larval Control- Mosquito Control- October Treatment
One (1) Larvicide Storm Drain Treatment- Clarke will provide one (1) Natular XRT larvicide treatment in up to 40 storm drains within the Verano 2 CDD-mapped out area. The treatment lasts up to 180 days of control during Florida’s dry season.
Part III.   Adult Control- Mosquito Control- April- November
Twice (2) a Month ULV Treatments -- Prescription Adult Control will be performed with Duet0®,and/or equivalent.

Adult Control- Truck ULV Treatments: ATV ULV adulticide applications will be performed with Duet® and/ or equivalent. The program provides applications twice a month for 8 months around the paved roads within the boundary map identified below. We will treat up to 2.5 miles per treatment.
Adult Control- UTV ULV Treatments: UTV ULV adulticide applications will be performed with Duet® and/ or equivalent. The program provides applications twice a month for 8 months around the communities easements around the stormwater ponds to target mosquitoes in homeowner backyards within the boundary map identified below. We will treat up to 2.5 miles per treatment.
EMM Payment Total Cost for Parts I, II, & III	$1,426.10/ month Adulticiding Operational Procedures

Notification of community contact.
Weather limit monitoring and compliance.
ULV particle size evaluation.
Insecticide dosage and quality control analysis

**NPDES Permit:  A National Pollutant Discharge Elimination System (NPDES) permit is necessary for the execution of the work for mosquito control effective October 31, 2011. Any additional costs associated with activities and/or services that may be required by Clarke in order to comply with an NPDES permit are not included in this proposal.

Clarke Environmental Mosquito Management, Inc. Client Agreement and Authorization for 2025-26
Verano 2 CDD
Environmental Mosquito Management (EMM) Program
TERM AND TERMINATION: This Agreement has an automatic Renewal Clause. The terms and conditions outlined in this Agreement shall commence on the date when both parties have executed this Agreement and shall continue for a period ending on December 31, 2026 (the "Initial Term"). Unless either party hereto provides the other party with written notice at least thirty (30) days prior to the end of the Initial Term or any subsequent renewal term, the terms and conditions within the Agreement shall automatically continue to renew for an additional term, each term having a duration equal to the Initial Agreement. If a party hereto fails to comply with a provision of this Agreement, then the other party shall have the right to terminate this Agreement if it gives written notice of the default to the defaulting party and the defaulting party fails to cure the default within thirty (30) days of receipt of said notice. Activity within specific lakes will require a minimum three (3) month commitment; however, it may be terminated at any time by either party with a 30 days written notice, which will not affect the terms and conditions within this Agreement.

Program Payment Plan: Any additional treatments beyond the core program will be invoiced when the treatment is completed. Verano 2 CDD has the option to extend this program from year to year at a rate that does not to exceed a (5%) annual increase that both parties agree to.

For Verano 2 CDD:

Sign Name:	Title:	Date:

For Clarke Environmental Mosquito Management, Inc.:

Name:	Darrel Bagiotti	Title:	Control Consultant	Date:

Clarke Environmental Mosquito Management, Inc.
Client Authorization for 2025-26 Verano 2 CDD
Environmental Mosquito Management (EMM) Program
Administrative Information:
Invoices should be sent to:
Name:							 Address:							 City:				 State: 		 Zip 	 Office Phone:			 Fax: 		 P.O. # 		
Accounts Payable Email:		 County:	
**In an effort to be more sustainable, we ask that you provide us with an email address that the invoices should be sent to.**

Treatment Address (if different from above):

Address:	 				 City:	 		 State: 	 Zip 	 County:		
Contact Person for Verano 2 CDD:

Name: 		 Title: 		 Office Phone: 	 Fax: 		 Email: 	 Home Phone: 	 Cell: 		 Pager: 	

Alternate Contact Person for Verano 2 CDD:

Name:				 Title: 		 Office Phone:			 Fax: 		 Email: 	 Home Phone:			 Cell: 		 Pager: 	

Please sign and return a copy of the complete contract for our files to:
Clarke Environmental Mosquito Management, Inc., Attn: Darrel Bagiotti –dbagiotti@clarke.com – (954) 594-0079

`

Memorandum

AECOM
2090 Palm Beach Lakes Blvd. Suite 600
West Plam Beach, Florida 33409 www.aecom.com

772 286 3883	tel
772 286 3925	fax

To	Matthew Hans	Page 1 of 4
CC	Andressa Hinz Phillipi

Subject

Observations of Drainage Issues at 10983 & 10977 SW Tessili Way and Recommended Steps to Resolve Same

From	Thomas F. McGowan, PE
Date	September 25, 2025

As requested, April 8, 2025, I visited the site in, and around, 10977 & 10983 SW Tessili Way (“property”, “properties”) situated within Crosstown Commons. I was met at the site by Mr. Rich Rudder, the owner of 10977 SW Tessili Way. During my site visit, Mr. Rudder explained the issues he was experiencing during heavy rain and subsequent ponded water, and that he had in place a sump pump as a last resort to remove ponded water behind his property. I took photographs of the site to document the current conditions. Subsequently, I was able to compile the grading and drainage information from the original design drawings (which spread across several sheets) and onto one page copy included) and perform multiple hydraulic calculations.
To summarize the issue, Verano CDD #2 has been dedicated for operation and maintenance, a 6-foot-wide drainage easement centered on the rear lot line, buried beneath which there is a 12-inch diameter HDPE drainage line interspersed with 12-inch diameter yard drains. At intervals along the rear lot line there are also ditch bottom inlets which collect the water from the HDPE pipes and excess surface runoff from the swale and direct it to the main drainage conveyance system in the area.
The plans indicate; 1) the centerline crown of road at the properties is 24.75 feet, 2) the lowest elevation along the rear lot easement is 24.80 feet, and 3) that the water control elevation of the lakes is 19.75 feet ~ providing over four feet of depth to the maintained groundwater table. That said, as a point that I will come back to later, the soils in and around the Port St. Lucie area are well known in the engineering community to be “heavy” soils that retain water and display what is known as dilatant behavior. Dilatant soils are generally dense, fine-grained soils, and are such that if you marched in place on a seemingly dry patch of ground, water would shortly wick to the surface.
The plans assign an elevation to the mid-point of the side lot line, suggesting that the lots are to be graded such that stormwater runoff is to flow from the middle of the lot either to the front and the road right-of-way, or to the rear lot drainage easement. The plans are silent as to the typical back of sidewalk grades, in general, they are typically at or above the adjacent crown of road grade. With a few exceptions, the pattern of grading along the mid-lot line suggests that the elevation mid-lot is intended to be up to 1-foot higher than the grade assigned along the rear lot line.

Memorandum

10977 & 10983 Tessili Way Drainage Issues
Page 2 of 4
September 25, 2025

However, and while it may be a scrivener’s error, the grade assigned to the lot line between the properties is an elevation of 25.25 feet, which is below the assigned rear lot line elevation of 25.30 feet, but slightly above the assumed back of sidewalk elevation of
25.75 feet.

Based on the plan grading, there are three (3) possible scenarios which could be derived from the plan grading. First, the surface runoff is to flow the length of the easement to the inlets spaced approximately 500-feet apart. In this scenario the yard drains are meant to collect localized ponded water and help to maintain groundwater levels. Second, the yard drains function as the primary drainage system, and during heavy rainfalls runoff exceeding of the capacity of the yard drains is intended to flow along the length of the easement to the inlets. In this scenario, the yard drains still function to help eliminate localized ponding water and help control groundwater levels. Thirdly, the system is intended to function as a combination of both.
Easement as the Primary Drainage
Assuming the stormwater runoff is primarily intended to flow the length of the rear lot swale to the inlets, based on my review of the grading information shown on the plans, I would categorize the rear lot drainage design as being on the low end of acceptable for residential lots. The elevation difference and hence the slope of the surface grading between high points to the inlet, and/or the intervening yard drains is 0.35% which is relatively flat for residential areas ~ especially when considering the thick grass ground cover which can impede the flow of the drainage runoff. Therefore, the performance of the swale is easily compromised in the event of even small disruptions (such as lawn mower ruts) in the flow line.
There is no defined swale within the drainage easement as it appears to generally conform to the plan grades. Based on a 1-foot elevation change from middle of the side lot line to the rear lot line (1-foot in 60 feet), the elevation change within a three (3) foot wide easement strip is only 0.5-inches. This is not sufficient to contain the surface water runoff from a heavy rainfall event within the easement.
With all the flow going to the inlet to the east of the properties, this inlet would accept water from approximately 480 feet, producing a calculated 3.2 cubic feet per second (cfs) and requiring 0.35 feet of head (elevation above the inlet grate) to pass the required flow rates. Thereby making the water surface at this inlet 25.15 feet, which increases to the west behind the properties.
The approximate average depth of flow behind the properties is between 2.5 and 3-inches. Given the flat slope of the easement, and assuming uniformity in lot grading, this water would spread outward 12.5-15-feet from the center of the easement.
Note that the width assumes no constrictions along the path such as fences and other structures which tend to channel and redistribute the volumes and depths of flow along the path. However, we know that such structures exist, the full extent of the impact of such has not been evaluated, Suffice it to say that the 2.5-3.0-inches referenced above should be considered a minimum depth.

Yard Drains as the Primary Drainage
If instead of using the yard drains as a tool to manage the collection of water in “low spots”, and reduce the groundwater elevation after rainfalls, it was intended that all, or at least a significant portion of the runoff is intended to flow to the yard drains, similar hydrologic requirements must be met.
Per my calculations for the yard drain directly behind 10977, at the design flow condition, and depending upon the degree of blockage you wish to assign to the small drain grate, a minimum of 3-inches head above the yard drain grate is necessary for the drain to pass the runoff from the “assigned” contributory area. Given the shallow design grades, and without obstructions, this would allow water to spread 15 feet, or more into the adjacent lots.
Based on my evaluation, the 12-inch pipe connecting the yard drains to the inlet is sized adequately.
Taken together, the hydraulic head required to convey the stormwater runoff is approximately the same between the two alternatives. Given the narrowness of the easement, the lack of a proper swale within the easement, and the likelihood of fences or other structures being placed in close proximity of the easement this would suggest that the yard drains were intended to be the primary drainage feature, and that the inlet to the east of the properties is yard drains is secondary. To that point, there have been grading changes along the path of, and adjacent to the 6-foot drainage easement. I have attached a progression of aerial photographs from 2023 through 2025 to depict the changes made along the swale easement. These include the addition of fences to both the east and west of the properties and the construction of a pool and enclosure at 10977.
These changes in use will, by default, have had some impact on the grading and drainage flows in the area. Whether that be in the case of a pool, changing (thereby impacting) the flow line of the swale, or in the case of a fence, constricting the area available to the swale to spread out and convey water thereby increasing the depth of the water upstream of the inlets.
I have included pictures of the swale from the yard drain to the west of 10983 easterly behind 10977 to the inlet location. Based on the vegetation growth, it is not readily apparent whether, or not, significant obstructions occur along the flow line of the swale. Note however in the two pictures of the yard drains, they are recessed (probably too far in the case of the westerly one). Mr. Rudder told me that when he bought the house, the yard drain was buried under the fill brought in for the house. Which brings into question another variable, being whether, or not, the small diameter HDPE pipe is obstructed by sediments or debris. Note in the picture, sump pump is positioned directly over the yard drain, and that the hose from the sump pump is not directed to the drain or further along the swale, but rather toward the road right-of-way. In addition to not functioning during a rain event, if the yard drain behind 10977 is obstructed downstream, upstream water would likely “bubble up” in the yard drain behind 10977 potentially causing persistent ponding of water at this location.

Based on my review of the plans, independent calculations, and the empirical evidence from the site, my recommendations to further evaluate and/or resolve the issue are ~ generally in the order of priority, as follows:

Verify that the drain line is not obstructed. This can be done relatively quickly and inexpensively given the diameter and lengths of pipe in question,
Regrade the area around the yard drain to the west of the properties to ensure that this drain functions, and that runoff generated further to the west, does not bypass this structure and overload those downstream.
In reference to the comment on dilatant soils above, and their ability to hold moisture, as a means of controlling the groundwater it could be beneficial to install fittings in the existing 12-inch HDPE pipe and allowing the property owners to connect fabric wrapped underdrains within their yards. Per the plan grades, the 12-inch drain is between 3 and 4-feet deep between the properties.
Have the flow line of the swale surveyed at very short intervals ~ 10 feet to determine if the flowline is per plan, or at least that it is not obstructed and uniform between the high point and the inlet, this would include the elevations of the high point, yard drain grates and inlet grate. Based on the results of the survey, a determination would be made regarding further remedial actions that may be necessary,
Look at the possibility of installing additional yard drains. It is worth noting and as shown on the attached of plan of the grading and drainage plan, the yard drain spacing to the west of the Properties is approximately 42-feet, whereas the yard drain spacing to the rear and either side of the Properties is approximately 82-feet – which then obviously doubles the contributary drainage area to these small yard drains. While beneficial, these drains would still require approximately 2-inches of head to function. Therefore, water seeking its own level would still want to spread up to 10 feet from the center of the easement.
While an extensive alteration, there is enough room for a shallow swale within the 6-foot easement ~ on the order of 0.5 - 0.75 feet in depth with side slopes no greater than 4:1. Such a swale, with reset yard drain inlets, would provide positive drainage to the inlet, and would help, but not (at least in heavy rainfalls) eliminate water spread out of the easement.
If you have any questions, please do not hesitate to contact me at your earliest convenience.

0

0

SWTESSILIWAY

52.00

1109771
359

I
360
26.25	I
126.501

VERANO #2 CDD CROSSTOWN COMMONS
TESSILI WAY REAR LOT DRAINAGE ISSUES

345	344

42.00'

Janauary 14, 2023

Legend
10977 SW Tessili Wy
Q  Feature 1
Feature 2 Line Measure

Legend
10977 SW Tessili Wy
0  Feature 1
O  Feature 2
t.> Line Measure

�  �	W.fi{/

Verano #2	
COMMUNITY DEVELOPMENT DISTRICT	

Check Register

Date

check #'s

Amount

10/1 - 10/31/25	950-956	$32,794.42	

11/1 - 11/30/25	957-965	$12,653.43	

TOTAL CHECKS	$45,447.85	

Date

ACH

Amount

10/1 - 10/31/25	80011-80015	$3,934.70	

11/1 - 11/30/25	80016-80017	$3,532.08	

TOTAL ACH	$7,466.78	

TOTAL	$52,914.63	

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN 12/04/25	PAGE	1
*** CHECK DATES 10/01/2025 - 10/31/2025 ***	VERANO#2 GENERAL FUND

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS		AMOUNT	....CHECK..... AMOUNT	#	
10/03/25 00017	9/14/25 8240	202509 320-57200-45300	*		1,050.00		
	CLEAN 09/01-09/14 CSTNCOM 9/29/25 8241	202509 320-57200-45300
CHARLES CLEANING SERVICES LLC	*		1,050.00	

2,100.00 000950	
- - - - - - - - 10/03/25 00019	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
9/28/25 30356	202510 310-51300-45000
EGIS INSURANCE ADVISORS, LLC	- - - -
*	- - - -	- - - - - -	- - - - - - - -

19,485.00 000951	
- - - - - - - - 10/03/25 00001	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/01/25 245	202510 310-51300-31300
10/01/25 245	202510 310-51300-35100	- - - -
*
*	- - - -	- - - - - -

65.67	- - - - - - - -	
	OCT 25 - WEBSITE ADMIN
GOVERNMENTAL MANAGEMENT SERVICES -				284.42 000952	
- - - - - - - - 10/21/25 00063	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/01/25 3	202510 320-57200-34000
10/01/25 3	202510 320-53800-34000	- - - -
*
*	- - - -	- - - - - -

500.00	- - - - - - - -	
	OCT 25- FIELD SV
CALM IV				1,000.00 000953	
- - - - - - - - 10/21/25 00002	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/01/25 92946	202510 310-51300-54000
FLORIDACOMMERCE	- - - -
*	- - - -	- - - - - -	- - - - - - - -

175.00 000954	
- - - - - - - - 10/21/25 00056	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/15/25 11203	202510 320-53800-46200
10/15/25 11203	202510 320-57200-46200	- - - -
*
*	- - - -	- - - - - -

1,829.00	- - - - - - - -	
- - - - - - - -	FLORIDA EXOTIC LANDSCAPING
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - -	- - - -	- - - - - -	7,950.00 000955
- - - - - - - -	
10/21/25 00018	10/06/25 2541001	202510 320-57200-46400
SANDY GORDON, INC	*		1,800.00	
1,800.00 000956	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - -	- - - -	- - - - - -	- - - - - - - -	

BANK A VERANO #2 CDD

CLEAN 09/15-09/29 CSTNCOM

FY2026 INSURANCE

19,485.00

OCT 25 - DISSEMINATION

218.75

OCT 25- AMENITY MGMT

500.00

SPECIAL DISTRICT FEE FY26

175.00

OCT 25- LANDSCAPE MAINT OCT 25- LANDSCAPE MAINT

6,121.00

OCT 25- POOL SV

TOTAL FOR BANK A	32,794.42

MR2	--VERANO #2--	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN 12/04/25	PAGE	2
*** CHECK DATES 10/01/2025 - 10/31/2025 ***	VERANO#2 GENERAL FUND

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS		AMOUNT	....CHECK..... AMOUNT	#	
10/14/25 00023	9/23/25 16715214 202508 320-57200-43001
CITY OF PORT ST LUCIE (AUTOPAY)	*		154.52	
154.52 080011	
- - - - - - - - 10/14/25 00009	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
9/23/25 SEPTEMBE 202509 320-53800-43000
9/23/25 SEPTEMBE 202509 320-53800-43000	- - - -
*
*	- - - - -	- - - - -

562.22	- - - - - - - -	
	IRR PUMP 9/4-10/6/25
9/23/25 SEPTEMBE 202509 320-53800-43100	*		2,139.73		
	SL 8/27-9/26/25
9/23/25 SEPTEMBE 202509 320-57200-43000	*		674.58		
	AMENITY 8/22-9/23/25
FPL (AUTO PAY)				3,407.88 080012	
- - - - - - - - 10/14/25 00022	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
9/23/25 89154660 202510 320-57200-41010
BLUE STREAM (AUTOPAY)	- - - -
*	- - - - -	- - - - -	- - - - - - - -

59.99 080013	
- - - - - - - - 10/28/25 00022	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/23/25 89154660 202511 320-57200-41010
BLUE STREAM (AUTOPAY)	- - - -
*	- - - - -	- - - - -	- - - - - - - -

63.99 080014	
- - - - - - - - 10/28/25 00021	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/01/25 15977383 202511 320-57200-34510
EVERON LLC (AUTOPAY)	- - - -
*	- - - - -	- - - - -	- - - - - - - -

248.32 080015	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - -	- - - - -	- - - - -	- - - - - - - -	

BANK Z VERANO #2 CDD AUTOPY

W/S 8/11-9/12/25

ENTRY WALL 8/27-9/26/25

31.35

INTERNET 10/9-11/8/25

59.99

INTERNET 11/9-12/8/25

63.99

MONITORING 10/30-1/29/26

248.32

TOTAL FOR BANK Z	3,934.70
TOTAL FOR REGISTER	36,729.12

MR2	--VERANO #2--	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN 12/04/25	PAGE	1
*** CHECK DATES 11/01/2025 - 11/30/2025 ***	VERANO#2 GENERAL FUND
BANK A VERANO #2 CDD
CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#
11/05/25 00017 11/05/25 8250	202510 320-57200-45300	*	1,050.00
CLEAN 9/29-10/12 CSTNCOM
11/05/25 8251	202510 320-57200-45300	*	1,050.00

CHARLES	CLEANING SERVICES	LLC	2,100.00	000957	
- - - -	- - -	-	- - - -	- - -	-	- - - - - - - - - - - - - - - - - - - - - - - - - - -	-	-	-	- - - -	- - - - - - -	-	- - - - -	- - -	
11/05/25	00001	11/01/25	247	202511 310-51300-31300	*	218.75	
NOV	25 - DISSEMINATION	
11/01/25	247	202511 310-51300-35100	*	65.67	
NOV	25 - WEBSITE ADMIN	
GOVERNMENTAL MANAGEMENT SERVICES	-	284.42	000958	
- - - -	- - -	-	- - - -	- - -	-	- - - - - - - - - - - - - - - - - - - - -	- - -	-	- -	-	-	-	- - - -	- - - - - - -	-	-	- - - -	- - -	
11/05/25	00049	11/04/25	28253	202511 310-51300-32200	*	500.00	
AUDIT	FYE 9/30/2025	
GRAU AND ASSOCIATES	500.00	000959	
- - - -	- - -	-	- - - -	- - - -	- - - - - - - - - - - - - - - - - - - - -	-	-	-	-	-	-	-	-	-	- - - -	- - - - - - -	-	-	- - - -	- - -	
11/05/25	00018	10/24/25	2541002	202510 320-57200-46400	*	65.60	
LIFE HOOK/BOLT/WING NUT	
SANDY GORDON, INC	65.60	000960	
- - - -	- - -	-	- - - -	- - - - - - - - - - - - - - - - - - - - - - - - -	-	-	-	-	-	-	-	-	-	- - - -	- - - - - - -	-	-	- - - -	- - -	
11/05/25	00064	10/31/25	S13787	202511 320-57200-60000	*	4,103.41	

CLEAN 10/13-10/26 CSTNCOM

30 CHAISE LOUNGE

- - - - - -	

- - - - - -	

- - - - - -	

- - - - - -	

- - - - - -	

-	
-	
-	
-	
-	
-	

RESTAURANT FURNITURES PLUS	4,103.41 000961

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
11/07/25 00064 10/31/25 S13787	202511 320-57200-60000	V	4,103.41-
30 CHAISE LOUNGE
RESTAURANT FURNITURES PLUS	4,103.41-000961
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
11/07/25 00064 10/31/25 S13787	202511 320-57200-60000	*	4,103.41
30 CHAISE LOUNGE
RESTAURANT FURNITURES PLUS	4,103.41 000962
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
11/18/25 00063 11/01/25 7	202511 320-57200-34000	*	500.00
NOV 25- AMENITY MGMT
11/01/25 7	202511 320-53800-34000	*	500.00
NOV 25- FIELD SV
CALM IV	1,000.00 000963
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
11/18/25 00065 11/16/25 78	202511 320-53800-49500	*	2,800.00
HOLIDAY LIGHTS
HOLIDAY SEASONAL LIGHTS	2,800.00 000964
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
11/18/25 00018 11/06/25 2541101	202511 320-57200-46400	*	1,800.00
NOV 25- POOL SV
SANDY GORDON, INC	1,800.00 000965
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - -
TOTAL FOR BANK A	12,653.43 MR2	--VERANO #2--	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN 12/04/25	PAGE	2
*** CHECK DATES 11/01/2025 - 11/30/2025 ***	VERANO#2 GENERAL FUND
BANK A VERANO #2 CDD
CHECK	VEND#	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME	STATUS	AMOUNT	....CHECK..... DATE			DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS				AMOUNT	#

MR2	--VERANO #2--	TCESSNA

AP300R	YEAR-TO-DATE ACCOUNTS PAYABLE PREPAID/COMPUTER CHECK REGISTER	RUN 12/04/25	PAGE	3
*** CHECK DATES 11/01/2025 - 11/30/2025 ***	VERANO#2 GENERAL FUND

CHECK	VEND# DATE	.....INVOICE..... ...EXPENSED TO...		VENDOR NAME DATE	INVOICE	YRMO	DPT ACCT# SUB	SUBCLASS	STATUS		AMOUNT	....CHECK..... AMOUNT	#	
11/19/25 00023	10/28/25 16842140 202509 320-57200-43001
CITY OF PORT ST LUCIE (AUTOPAY)	*		231.81	
231.81 080016	
- - - - - - - - 11/13/25 00009	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
10/23/25 OCTOBER	202510 320-53800-43000
10/23/25 OCTOBER	202510 320-53800-43000	- - - -
*
*	- - - - -	- - - - -

501.84	- - - - - - - -	
	IRRIG PUMP 10/6-11/4/25
10/23/25 OCTOBER	202510 320-53800-43100	*		2,139.73		
	STREETLIGHTS 9/26-10/28
10/23/25 OCTOBER	202510 320-57200-43000	*		586.89		
	AMENITY 9/23-10/23/25
FPL (AUTO PAY)				3,260.12 080017	
- - - - - - - - 11/27/25 00021	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
11/02/25 15994295 202512 320-57200-34510
EVERON LLC (AUTOPAY)	- - - -
*	- - - - -	- - - - -	- - - - - - - -

40.15 080018	
- - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - -	- - - - -	- - - - -	- - - - - - - -	

BANK Z VERANO #2 CDD AUTOPY

W/S 9/12-10/13/25

ENTRY WALL 9/26-10/28/25

31.66

MONITORING 11/30-12/29/25

40.15

TOTAL FOR BANK Z	3,532.08
TOTAL FOR REGISTER	16,185.51

MR2	--VERANO #2--	TCESSNA

Verano #2	
Community Development District	

Unaudited Financial Reporting	
November 30, 2025	

Table of Contents

1

2-3

4

5

6-7

8

9

10-11

12-13

14

15

16-17

	Balance Sheet

	General Fund

	Debt Service Fund Series 2017

	Debt Service Fund Series 2020

	Debt Service Fund Series 2024

	Capital Project Fund Series 2017

	Capital Project Fund Series 2020

	Capital Project Fund Series 2024

	Month to Month

	Long Term Debt Report

	Construction Schedule Series 2020

	Construction Schedule Series 2024

18		Assessment Receipts Schedule

Verano #2	
Community Development District	
Combined Balance Sheet	
November 30, 2025	
General	Debt Service	Capital Project	Totals	
Fund	Funds	Funds	Governmental Funds	
Assets:

$	102,247	$	-	$	-	$	102,247	
50,478	253,628	-	304,105	

Cash:
Operating Account Due from Verano # 5

Investments:	
Bank United - MMA	
State Board of Administation (SBA)	

219,053	-	-	219,053	
432,062	-	-	432,062	

-	
-	
-	
-	
-	
-	
-	
-	
-	

208,644	
164,611	
172,404	
136,201	
61,247	
138,453	
130	
1,473	
3,497	

-	
-	
-	
-	
-	
-	
-	
-	
-	

208,644	
164,611	
172,404	
136,201	
61,247	
138,453	
130	
1,473	
3,497	

-	
-	
-	
-	
-	
-	

-	
-	
-	
-	
-	
-	

Series 2017 Pod (A,B,C)	
Reserve - Pod A	
Reserve - Pod B	
Reserve - Pod C	
Revenue - Pod A	
Revenue - Pod B	
Revenue - Pod C	
Prepayment - Pod A	
Prepayment - Pod B	
Prepayment - Pod C	
Series 2020 (Pod C,D,E)	
Reserve - Pod C	
Reserve - Pod D	
Reserve - Pod E	
Revenue - Pod C	
Revenue - Pod D	
Revenue - Pod E	
Prepayment - Pod C	
Prepayment - Pod E	
Construction - Pod D	
Series 2024 (Pod D 4,5,6)	
Reserve	
Revenue	
Construction	
Series 2024 (Pod D 7)	
Reserve	
Cap Interest	
Revenue	
Interest	
Construction	

108,432	
141,494	
107,545	
37,591	
90,635	
48,654	
2,875	
1,555	
-	

108,432	
141,494	
107,545	
37,591	
90,635	
48,654	
2,875	
1,555	
12,141	
-	
680,035	
13,916	
4,976,885	

-	12,141

-	
-	
-	

680,035	
13,916	
-	

-	
-	
4,976,885	

-	
-	
-	
-	
-	

350,703	
8,377	
44	
2,668	
-	

-	
-	
-	
-	
4,385,836	

350,703	
8,377	
44	
2,668	
4,385,836	

Deposits	2,171	-	-	2,171

Total Assets	$	806,011	$	2,734,811	$	9,374,862	$	12,915,684	
Liabilities:	
Accounts Payable	$	33,497	$	-	$	-	$	33,497	

Total Liabilites	$	33,497	$	-	$	-	$	33,497	
Fund Balance:	
Nonspendable:	
Deposits	$	2,171	$	-	$	-	$	2,171	
Restricted for:	
Debt Service	-	2,734,811	-	2,734,811	
Capital Project			9,374,862	9,374,862	
Unassigned	770,344	-	-	770,344	

Total Fund Balances	$	772,515	$	2,734,811	$	9,374,862	$	12,882,188

Total Liabilities & Fund Balance	$	806,011	$	2,734,811	$	9,374,862	$	12,915,684

Verano #2	
Community Development District	
General Fund	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	

Revenues:		
Special Assessments - Tax Roll	$	406,102	
Intergrovernmental Transfer*	60,465	
Interest Income	15,000	

	
$	50,478	
60,465	
2,500	

	
$	50,478	
60,465	
4,480	

	
$	-	
1	
1,980	

Total Revenues	$  481,566	$  113,442	$  115,422	$	1,980	
Expenditures:					
General & Administrative:					
Supervisor Fee	$	6,000	$	1,000	$	800	$	200	
FICA Tax	459	77	61	15	
Annual Audit	6,400	500	500	-	
Arbitrage Rebate	4,400	-	-	-	
Dissemination Agent	2,625	438	438	-	
Trustee Fees	30,150	-	-	-	
Website Maintenance	788	131	131	(0)	
Insurance General Liability	8,268	8,268	8,033	235	
Other Current Charges	1,200	200	224	(24)	
Dues, Licenses & Subscriptions	175	175	175	-	
Total General & Administrative	$	60,465	$	10,788	$	10,362	$	426	
Operations & Maintenance

Common Area Maintenance Expenditures		
Field Management	$	6,300	
Electric Utility Services	17,600	
Electric Utility Services- Streetlights	26,400	
Irrigation Utility Services	3,000	
Midge Control	4,000	
Landscape Maintenance	73,458	
Mulch	15,000	
Pest Control	1,800	
Entry & Walls Maintenance	4,000	
Plant Replacement	12,000	
Irrigation Maintenance	10,800	
Irrigation Water Monitoring	1,200	
Pump System Maintenance	6,000	
Trash Collection	840	
Street Sweeping	1,677	
Roadways Repairs & Maintenance	10,000	
Streetsigns Maintenance	10,000	
Pressure Cleaning	5,000	
Holiday Décor	-	
Contingency	19,107	
Capital Outlay	-	

$	1,050	
2,933	
4,400	
500	
667	
12,243	
2,500	
300	
667	
2,000	
1,800	
200	
1,000	
140	
280	
1,667	
1,667	
833	
-	
3,185	
-	

$	1,000	
2,192	
4,279	
-	
-	
12,242	
-	
-	
-	
850	
-	
-	
-	
-	
-	
-	
-	
-	
2,800	
-	
18,716	

$	50	
741	
121	
500	
667	
1	
2,500	
300	
667	
1,150	
1,800	
200	
1,000	
140	
280	
1,667	
1,667	
833	
(2,800)	
3,185	
(18,716)	

Subtotal Field Expenditures	$  228,182	$	38,030	$	42,079	$	(4,049)	

Verano #2	
Community Development District	
General Fund	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	

Amenity Center Expenditures		
Amenity Center Management	$	6,300	
Clubhouse Maintenance	40,000	
Access Control	2,000	
Telephone/Internet	840	
Electric Utility Services	7,200	
Water Utility Services	1,800	
Property Insurance	13,589	
Pool Maintenance	51,600	
Landscape Maintenance	21,942	
Mulch	5,000	
Pest Control	1,800	
Janitorial Services/Supplies	32,300	
A/C Maintenance	1,226	
Trash Collection	1,000	
Pressure Cleaning	5,000	
Contingency	1,323	
Capital Outlay	-	

	
$	1,050	
6,667	
333	
140	
1,200	
300	
13,589	
8,600	
3,657	
833	
300	
5,383	
204	
167	
833	
221	
-	

	
$	1,000	
-	
288	
124	
1,172	
159	
11,452	
3,666	
3,658	
-	
-	
4,200	
-	
-	
-	
-	
4,103	

	
$	50	
6,667	
45	
16	
28	
141	
2,137	
4,934	
(1)	
833	
300	
1,183	
204	
167	
833	
221	
(4,103)	

Subtotal Amenity Center Expenditures	$  192,920	$	43,478	$	29,822	$	13,656	

Total Operations & Maintenance	$  421,102	$	81,508	$	71,901	$	9,607	

Total Expenditures	$  481,567	$	92,296	$	82,263	$	10,033	

Excess (Deficiency) of Revenues over Expenditure	$	-	$	21,146	$	33,159	$	12,013	

Other Financing Sources/(Uses):

Interfund Transfer In/(Out)	$	-	$	-	$	-	$	-	

Total Other Financing Sources/(Uses)	$	-	$	-	$	-	$	-	
	
Net Change in Fund Balance	$	-	$	21,146	$	33,159	$	12,013	
	
Fund Balance - Beginning	$	-		$	739,356		
	
Fund Balance - Ending	$	-		$  772,515		
* Transfer from Verano # 5 for Administrative Expenditures	

Verano #2	
Community Development District	
Debt Service Fund Series 2017	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	
Adopted	Prorated Budge	Actual		
Budget	Thru 11/30/25	Thru 11/30/25	Variance	

Revenues:		
Special Assessments Pod A- Tax Roll	$	364,385	
Special Assessments Pod B- Tax Roll	271,950	
Special Assessments Pod C- Tax Roll	213,001	
Interest Income	30,000	

$	48,362	
36,094	
28,271	
5,000	

$	48,362	
36,094	
28,271	
9,613	

$	-	
-	
-	
4,613	

Total Revenues	$  879,336	$  117,726	$  122,340	$	4,613	
Expenditures:		
Series 2017 - Pod A		
Interest - 11/01	$	115,044	$	115,044	115,044	$	-	
Principal - 11/01	115,000	115,000	115,000	-	
Interest - 05/01	112,600	-	-	-	

Series 2017 - Pod B		
Interest - 11/01	$	90,475	
Principal - 11/01	90,000	
Interest - 05/01	88,563	

$	90,475	
90,000	
-	

90,475	
90,000	
-	

$	-	
-	
-	

Series 2017 - Pod C		
Interest - 11/01	$	67,413	$	67,413	67,413	$	-	
Principal - 11/01	60,000	60,000	60,000	-	
Interest - 05/01	66,063	-	-	-	
Total Expenditures	$  805,156	$  537,931	$  537,931	$	-	

Excess (Deficiency) of Revenues over Expenditure	$	74,180	$ (420,205)	$ (415,592)	$	4,613	

Other Financing Sources/(Uses):

Interfund Transfer In/(Out)	$	-	$	-	$	-	$	-	

Total Other Financing Sources/(Uses)	$	-	$	-	$	-	$	-	
	
Net Change in Fund Balance	$	74,180	$ (420,205)	$ (415,592)	$	4,613	
	
Fund Balance - Beginning	$	883,650		$ 1,414,978		
	
Fund Balance - Ending	$  957,830		$  999,386		

Verano #2	
Community Development District	
Debt Service Fund Series 2020	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	
Adopted	Prorated Budge	Actual		
Budget	Thru 11/30/25	Thru 11/30/25	Variance	

Revenues:		
Special Assessments Pod C - Tax Roll	$	216,001	
Special Assessments Pod D - Tax Roll	305,354	
Special Assessments Pod E - Tax Roll	240,579	
Interest Income	10,000	

$	25,056	
35,419	
27,905	
1,667	

25,056	
35,419	
27,905	
5,095	

$	-	
-	
-	
3,428	

Total Revenues	$  771,933	$	90,046	$	93,474	$	3,428	

Expenditures:		
Series 2020 - Pod C		
Interest - 11/01	$	65,656	$	65,656	65,656	$	-	
Interest - 05/01	65,656	-	-	-	
Principal - 05/01	85,000	-	-	-	

Series 2020 - Pod D		
Interest - 11/01	$	86,319	
Interest - 05/01	86,319	
Principal - 05/01	110,000	

$	86,319	
-	
-	

86,319	
-	
-	

$	-	
-	
-	

Series 2020 - Pod E		
Interest - 11/01	$	65,094	
Interest - 05/01	65,094	
Principal - 05/01	80,000	

$	65,094	
-	
-	

65,094	
-	
-	

$	-	
-	
-	

Total Expenditures	$  709,138	$  217,069	$  217,069	$	-	

Excess (Deficiency) of Revenues over Expenditure	$	62,796	$ (127,022)	$ (123,594)	$	3,428	

Other Financing Sources/(Uses):

Interfund Transfer In/(Out)	$	(10,000)	$	(960)	$	(960)	$	-	

Total Other Financing Sources/(Uses)	$	(10,000)	$	(960)	$	(960)	$	-	
	
Net Change in Fund Balance	$	52,796	$ (127,982)	$ (124,554)	$	3,428	
	
Fund Balance - Beginning	$	371,586		$	751,714		
	
Fund Balance - Ending	$  424,381		$  627,160		

Verano #2	
Community Development District	
Debt Service Fund Series 2024 Pod D 4,5,6	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	

Amended	Prorated Budge	Actual	
Budget	Thru 11/30/25	Thru 11/30/25	Variance	

Revenues:		
Special Assessments - Tax Roll	$	678,124	
Interest Income	20,000	

$	52,522	
3,333	

$	52,522	
4,762	

$	-	
1,429	

Total Revenues	$  698,124	$	55,855	$	57,284	$	1,429	
Expenditures:		
Series 2024 Pod D 4,5,6		
Interest - 11/01	$	268,689	$	268,689	$	268,689	$	-	
Interest - 05/01	268,689	-	-	-	
Principal - 05/01	145,000	-	-	-	
Total Expenditures	$  682,379	$  268,689	$  268,689	$	-	

Excess (Deficiency) of Revenues over Expenditure	$	15,746	$ (212,834)	$ (211,406)	$	1,429	

Other Financing Sources/(Uses):

Interfund Transfer In/(Out)	$	(15,000)	

$	(4,596)	$	(4,596)	$	-

Total Other Financing Sources/(Uses)	$	(15,000)	$	(4,596)	$	(4,596)	$	-	
		
Net Change in Fund Balance	$	746	$ (217,430)	$ (216,002)	$	1,429	
		
Fund Balance - Beginning	$	287,683	$	962,474	
		
Fund Balance - Ending	$  288,429	$  746,472	

Verano #2	
Community Development District	
Debt Service Fund Series 2024 Pod D 7	
Statement of Revenues, Expenditures, and Changes in Fund Balance	
For The Period Ending November 30, 2025	

Proposed	Prorated Budge	Actual	
Budget	Thru 11/30/25	Thru 11/30/25	Variance	

Revenues:		
Special Assessments - Direct Bill	$	350,732	
Interest Income	10,000	

$	-	
1,667	

$	-	
3,376	

$	-	
1,709	

Total Revenues	$  360,732	$	1,667	$	3,376	$	1,709	
Expenditures:		
Series 2024 Pod D 7		
Interest - 11/01	$	138,511	$	138,511	$	138,511	$	-	
Interest - 05/01	138,511	-	-	-	
Principal - 05/01	75,000	-	-	-	
Total Expenditures	$  352,023	$  138,511	$  138,511	$	-	

Excess (Deficiency) of Revenues over Expenditure	$	8,709	$ (136,845)	$ (135,135)	$	1,709	

Other Financing Sources/(Uses):

Interfund Transfer In/(Out)	$	(10,000)	

$	(2,370)	$	(2,370)	$	-

Total Other Financing Sources/(Uses)	$	(10,000)	$	(2,370)	$	(2,370)	$	-	
		
Net Change in Fund Balance	$	(1,291)	$ (139,215)	$ (137,505)	$	1,709	
		
Fund Balance - Beginning	$	147,529	$	499,298	
		
Fund Balance - Ending	$  146,239	$  361,792	

Revenues		
Interest Income	$	-	$	-	$	77	77	
Developer Contribution	-	-	-	-	
Total Revenues	$	-	$	-	$	77	$	77	
Expenditures:			
Capital Outlay - Pod C	$	-	$	-	$	-	$	-	
Capital Outlay - Pod D	-	-	-	-	
Capital Outlay - Pod E	-	-	-	-	
Total Expenditures	$	-	$	-	$	-	$	-	
			
Excess (Deficiency) of Revenues over Expenditure	$	-	$	-	$	77	$	77	

Other Financing Sources/(Uses)			
Interfund Transfer In/(Out)	$	-	$	-	$	960	$	960	
Total Other Financing Sources (Uses)	$	-	$	-	$	960	$	960	
			
Net Change in Fund Balance	$	-	$	1,037		
			
Fund Balance - Beginning	$	-	$	11,104		
			
Fund Balance - Ending	$	-	$	12,141		

Revenues			
Interest Income	$	-	$	-	$	33,437	33,437	
Total Revenues	$	-	$	-	$	33,437	$	33,437	
Expenditures:

Capital Outlay - Pod D 4,5,6	

$	-	$	-	$	-	

$	-	
Total Expenditures	$	-	$	-	$	-	$	-	
			
Excess (Deficiency) of Revenues over Expenditure	$	-	$	-	$	33,437	$	33,437	

Other Financing Sources/(Uses)			
Interfund Transfer In/(Out)	$	-	$	-	$	4,596	$	4,596	
Total Other Financing Sources (Uses)	$	-	$	-	$	4,596	$	4,596	
			
Net Change in Fund Balance	$	-	$	38,033		
			
Fund Balance - Beginning	$	-	$ 4,938,853		
			
Fund Balance - Ending	$	-	$4,976,885		

Revenues			
Interest Income	$	-	$	-	$	29,474	29,474	
Total Revenues	$	-	$	-	$	29,474	$	29,474	
Expenditures:			
Capital Outlay - Pod D 7	$	-	$	-	$	-	$	-	
Cost of Issuance	-	-	-	-	
Total Expenditures	$	-	$	-	$	-	$	-	
			
Excess (Deficiency) of Revenues over Expenditure	$	-	$	-	$	29,474	$	29,474	

Other Financing Sources/(Uses)			
Interfund Transfer In/(Out)	$	-	$	-	$	2,370	$	2,370	
Total Other Financing Sources (Uses)	$	-	$	-	$	2,370	$	2,370	
			
Net Change in Fund Balance	$	-	$	31,845		
			
Fund Balance - Beginning	$	-	$ 4,353,991		
			
Fund Balance - Ending	$	-	$4,385,836		

Verano #2	
Community Development District	
Month to Month	

Revenues:														
Special Assessments - Tax Roll	$	-	$	50,478	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	50,478	
Intergrovernmental Transfer*	-	60,465	-	-	-	-	-	-	-	-	-	-	60,465	
Interest Income	2,368	2,112	-	-	-	-	-	-	-	-	-	-	4,480	

Total Revenues	$	2,368	$ 113,055	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$ 115,422	
Expenditures:														
General & Administrative:														
Supervisor Fee	$	-	$	800	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	800	
FICA Tax	-	61	-	-	-	-	-	-	-	-	-	-	61	
Annual Audit	-	500	-	-	-	-	-	-	-	-	-	-	500	
Arbitrage Rebate	-	-	-	-	-	-	-	-	-	-	-	-	-	
Dissemination Agent	219	219	-	-	-	-	-	-	-	-	-	-	438	
Trustee Fees	-	-	-	-	-	-	-	-	-	-	-	-	-	
Website Maintenance	66	66	-	-	-	-	-	-	-	-	-	-	131	
Insurance General Liability	8,033	-	-	-	-	-	-	-	-	-	-	-	8,033	
Other Current Charges	125	100	-	-	-	-	-	-	-	-	-	-	224	
Dues, Licenses & Subscriptions	175	-	-	-	-	-	-	-	-	-	-	-	175	
Total General & Administrative	$	8,617	$	1,745	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  10,362	
Operations & Maintenance

Common Area Maintenance Expenditures														
Field Management	$	500	$	500	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	1,000	
Electric Utility Services	1,095	1,097	-	-	-	-	-	-	-	-	-	-	2,192	
Electric Utility Services- Streetlights	2,140	2,140	-	-	-	-	-	-	-	-	-	-	4,279	
Irrigation Utility Services	-	-	-	-	-	-	-	-	-	-	-	-	-	
Midge Control	-	-	-	-	-	-	-	-	-	-	-	-	-	
Landscape Maintenance	6,121	6,121	-	-	-	-	-	-	-	-	-	-	12,242	
Mulch	-	-	-	-	-	-	-	-	-	-	-	-	-	
Pest Control	-	-	-	-	-	-	-	-	-	-	-	-	-	
Entry & Walls Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Plant Replacement	-	850	-	-	-	-	-	-	-	-	-	-	850	
Irrigation Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Irrigation Water Monitoring	-	-	-	-	-	-	-	-	-	-	-	-	-	
Pump System Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Trash Collection	-	-	-	-	-	-	-	-	-	-	-	-	-	
Street Sweeping	-	-	-	-	-	-	-	-	-	-	-	-	-	
Roadways Repairs & Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Streetsigns Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Pressure Cleaning	-	-	-	-	-	-	-	-	-	-	-	-	-	
Holiday Décor	-	2,800	-	-	-	-	-	-	-	-	-	-	2,800	
Contingency	-	-	-	-	-	-	-	-	-	-	-	-	-	

Subtotal Field Expenditures	$	9,855	$  13,508	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  23,364	

Verano #2	
Community Development District	
Month to Month	

Amenity Center Expenditures														
Amenity Center Management	$	500	$	500	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	1,000	
Clubhouse Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Access Control	40	248	-	-	-	-	-	-	-	-	-	-	288	
Security	-	-	-	-	-	-	-	-	-	-	-	-	-	
Telephone/Internet	60	64	-	-	-	-	-	-	-	-	-	-	124	
Electric Utility Services	587	585	-	-	-	-	-	-	-	-	-	-	1,172	
Water Utility Services	159	-	-	-	-	-	-	-	-	-	-	-	159	
Property Insurance	11,452	-	-	-	-	-	-	-	-	-	-	-	11,452	
Pool Maintenance	1,866	1,800	-	-	-	-	-	-	-	-	-	-	3,666	
Landscape Maintenance	1,829	1,829	-	-	-	-	-	-	-	-	-	-	3,658	
Mulch	-	-	-	-	-	-	-	-	-	-	-		-	
Pest Control	-	-	-	-	-	-	-	-	-	-	-	-	-	
Janitorial Services/Supplies	2,100	2,100	-	-	-	-	-	-	-	-	-	-	4,200	
A/C Maintenance	-	-	-	-	-	-	-	-	-	-	-	-	-	
Trash Collection	-	-	-	-	-	-	-	-	-	-	-	-	-	
Pressure Cleaning	-	-	-	-	-	-	-	-	-	-	-	-	-	
Contingency	-	-	-	-	-	-	-	-	-	-	-	-	-	
Capital Outlay	-	4,103	-	-	-	-	-	-	-	-	-	-	4,103	

Subtotal Amenity Expenditures	$  18,592	$  11,230	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  29,822	

Total Operations & Maintenance	$  28,448	$  24,738	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  53,185	

Total Expenditures	$  37,065	$  26,483	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  63,548	

Excess (Deficiency) of Revenues over Expenditur	$  (34,697)	$	86,572	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	51,875	

Net Change in Fund Balance	$ (34,697)	$  86,572	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$  51,875	

Verano #2	
Community Development District	
Long Term Debt Report	

Serie

Interest Rate;	s 2017 Pod A, Special Assessment Bonds

3.625%,4.25%,4.75%,5.0%	
Maturity Date:	11/1/2048	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	50% Maximum Annual Debt Service

$4,755,000	
Less:	Nov 1, 2025 (Mandatory)	($115,000)	
Current Bonds Outstanding	$4,640,000	

Serie

Interest Rate;	s 2017 Pod B, Special Assessment Bonds

3.625%,4.25%,4.75%,5.0%	
Maturity Date:	11/1/2048	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	50% Maximum Annual Debt Service

$3,740,000	
Less:	Nov 1, 2025 (Mandatory)	($90,000)	
Current Bonds Outstanding	$3,650,000	

Serie

Interest Rate;	s 2017 Pod C, Special Assessment Bonds

3.75%,4.5%,5.0%,5.125%	
Maturity Date:	11/4/2048	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	75% Maximum Annual Debt Service

$2,685,000	
Less:	Nov 1, 2025 (Mandatory)	($60,000)	
Current Bonds Outstanding	$2,625,000	

Serie

Interest Rate;	s 2020 Pod C, Special Assessment Bonds

2.875%,3.25%,4.0%	
Maturity Date:	11/1/2050	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	50% Maximum Annual Debt Service

$3,385,000	
Less:	May 1, 2026 (Mandatory)	$0	
Current Bonds Outstanding	$3,385,000	

Serie

Interest Rate;	s 2020 Pod D, Special Assessment Bonds

2.875%,3.25%,4.0%	
Maturity Date:	11/1/2050	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	50% Maximum Annual Debt Service

$4,450,000	
Less:	May 1, 2026 (Mandatory)	$0	
Current Bonds Outstanding	$4,450,000	

Serie

Interest Rate;	s 2020 Pod E, Special Assessment Bonds

2.875%,3.25%,4.0%	
Maturity Date:	5/1/2054	
Reserve Fund Requirement:

Bonds outstanding - 9/30/2024	50% Maximum Annual Debt Service

$3,355,000	
Less:	May 1, 2026 (Mandatory)	$0	
Current Bonds Outstanding	$3,355,000	

Series 2024,

Interest Rate;	Special Assessment Bonds (Pods D4, D5, D6)

4.625%, 5.5%, 5.8%	
Maturity Date:	5/1/2054	
Reserve Fund Requirement:	50% Maximum Annual Debt Service	
Reserve Requirement amount:

Bonds Issuance: 4/24/2024	$680,035

$9,645,000	
Less:	May 1, 2026 (Mandatory)	$0	
Current Bonds Outstanding	$9,645,000	

Series 20

Interest Rate;	24, Special Assessment Bonds (Pods D7)

4.55%,4.35%,5.625%	
Maturity Date:	5/1/2055	
Reserve Fund Requirement:	50% Maximum Annual Debt Service	
Reserve Requirement amount:

Bonds Issuance: 11/7/24	$350,703

$5,105,000	
Less:	May 1, 2026 (Mandatory)	$0	
Current Bonds Outstanding	$5,105,000	

Total Current Bonds Outstanding	$36,855,000

Verano #2	
Community Development District	
Capital Projects Fund Series 2020	

1. Recap of Capital Project Fund Activity Through November 30, 2025	
Opening Balance in Construction Account	

$	11,767,987

Interest Earned	
Developer Contribution	
Interfund Transfer In/(Out)	

109,173	
198,593	
47,259	

Source of Funds:

Use of Funds:	
Disbursements:	

Roadways Improvements	
Stormwater Management	
Water Distribution System	
Streetlighting & Landcscaping	
Amenities	
Professional Fees	
 COI		
Total	

$	(858,695)	
(5,428,748)	
(4,737,522)	
(208,263)	
(355,660)	
(307,798)	
      (214,188)	
$	(11,252,178)	

Adjusted Balance in Construction Account at November 30, 2025	 $	12,141 

 Funds Available For Construction at November 30, 2025
Book Balance of Construction Fund November 30, 2025	$

12,141

Construction Funds available at November 30, 2025	 $	12,141 

 Investments - US Bank

November 30, 2025	
Construction Fund:	

Principal
$	12,141

Contracts Payable		0 	
Balance at 11/30/2025	 $	12,141 	

Verano #2	
Community Development District	
Capital Projects Fund Series 2024 Pod 4,5,6	

1. Recap of Capital Project Fund Activity Through November 30, 2025	
Opening Balance in Construction Account	

$	8,817,583

Interest Earned	
Developer Contribution	
Interfund Transfer In/(Out)	

$414,884	
$0	
$47,010	

Source of Funds:

Use of Funds:	
Disbursements:	

Roadways Improvements	
Stormwater Management	
Water Distribution System	
Streetlighting & Landcscaping	
Professional Fees	
 Cost of Issuance	
Total	

$	-	
(1,523,496)	
(2,373,928)	
-	
-	
      (405,167)	
$	(4,302,592)	

Adjusted Balance in Construction Account at November 30, 2025		$4,976,885 

 Funds Available For Construction at November 30, 2025
Book Balance of Construction Fund November 30, 2025	$

4,976,885

Construction Funds available at November 30, 2025	 $	4,976,885 

 Investments - US Bank

November 30, 2025	
Construction Fund:	

Principal
$	4,976,885

Contracts Payable		-		
Balance at 11/30/2025	 $	4,976,885 	

Verano #2	
Community Development District	
Capital Projects Fund Series 2024 Pod 7	

1. Recap of Capital Project Fund Activity Through November 30, 2025	
Opening Balance in Construction Account	

$	4,487,278

Interest Earned	
Developer Contribution	
Interfund Transfer In/(Out)	

$174,890	
$0	
$11,669	

Source of Funds:

Use of Funds:	
Disbursements:	

Roadways Improvements	
Stormwater Management	
Water Distribution System	
Streetlighting & Landcscaping	
Professional Fees	
 Cost of Issuance	
Total	

$	-	
-	
-	
-	
-	
      (288,000)	
$	(288,000)	

Adjusted Balance in Construction Account at November 30, 2025		$4,385,836 

 Funds Available For Construction at November 30, 2025
Book Balance of Construction Fund November 30, 2025	$

4,385,836

Construction Funds available at November 30, 2025	 $	4,385,836 

 Investments - US Bank

November 30, 2025	
Construction Fund:	

Principal
$	4,385,836

Contracts Payable		-		
Balance at 11/30/2025	 $	4,385,836 	

Verano #2
Community Development District Summary Tax Collections
Fiscal Year Ending September 30, 2026

	Verano #5	Verano #2		Verano #2	Verano #2	Verano #2		Verano #2	Verano #2	Verano #2	
gross	$300,762.91	$441,415.26		$396,070.69	$295,598.32	$231,531.00		$234,798.50	$331,906.29	$261,498.86	
net	$276,701.88	$406,102.04		$364,385.03	$271,950.45	$213,008.52		$216,014.62	$305,353.79	$240,578.95	
	9.31%	13.66%		12.26%	9.15%	7.17%		7.27%	10.27%	8.09%	
				Series 2017	Series 2017	Series 2017		Series 2020	Series 2020	Series 2020	
Date Received	Description	Gross Tax Received	Discounts/ (Penalties)	
Commissions	Property Appraisal	
Interest	Net Amount Received	
General Fund	
General Fund		Debt Service Fund	Debt Service Fund	
Service Fund		Debt Service Fund	Debt Service Fund	Debt Service Fund	
				
2.00%				A/B/C/D/E Master O&M	
Pod C only		
Pod A	
Pod B	
Pod C		
Pod C	
Pod D	
Pod E	

11/10/25	
02/28-11/01/25	
$28,925	
$1,373	
$551	
$0	
$0	
$27,001	
$2,485	
$4,871		
$5,556	
$4,146	
$3,248		
$1,898	
$2,683	
$2,114	
11/17/25	11/01-11/06/25	$126,580	$5,063	$2,430	$0	$0	$119,086	$11,020	$18,848		$17,287	$12,902	$10,105		$9,807	$13,863	$10,922	
11/21/25	11/07-11/13/25	$201,006	$8,040	$3,859	$0	$0	$189,107	$17,583	$26,759		$25,520	$19,046	$14,918		$13,351	$18,873	$14,869	
TOTALS		$356,511	$14,476	$6,841	$0	$0	$335,194	$31,088	$50,478		$48,362	$36,094	$28,271		$25,056	$35,419	$27,905	
	YTD collected %	13.59%	18.35%		19.63%	19.63%	19.63%		19.63%	17.08%	17.08%	
	YTD Gross collected	$40,875	$80,996		$77,766	$58,039	$45,460		$40,108	$56,696	$44,669	
	YTD Oustanding	$259,888	$360,419		$318,304	$237,559	$186,071		$194,691	$275,211	$216,830	

Verano #2
$737,091.82
$678,124.47	
22.82%
Series 2024
Debt Service Fund

Pod D 4,5,6	

$0
$14,333
$38,189	
$52,522	
14.04%	
$103,518	
$633,574	

Total
$3,230,673.65
$2,972,219.76	
100.00%

Total	

$27,001
$119,086
$189,107	
$335,194	
16.97%	
$548,127	
$2,682,547	

Master O&M	GF POD C	PS 85	PS 85	PS 85	PS86	PS86	PS86	PS88

Page 17