COMMONLY ASKED QUESTIONS

Q: I am assuming that the board will consist of three members?

A: Our By-Laws provide for expansion of the board from three directors to seven directors at Turnover. At the October 1 Turnover meeting, the seven newly elected directors will be seated and the three member Developer board will resign.

Q: Should our association payments still go to Evergreen Lifestyle Management.

A: Although we are electing a new homeowner board of directors, the professional management company (Evergreen Lifestyles Management) contracted with the VCA will not be changing. Please continue to send your payments to Evergreen.

Q: Do you have to vote for 7 candidates or just the ones you feel are qualified?

A: Here are some quick bullet points to guide you through the process:

• There are seven open Board seats and eight candidates running.

• Each household may vote for up to seven candidates.

• You may vote for less than seven and still have your ballot counted.

• You cannot vote for a single candidate more than once.

Q: How much money is in the reserves?

A: You can find the 2021 approved budget on the Verandah website:

https://www.verandahlife.com/VCA/Hurricane-Plan/Copy_of_VCA_2021_Approved_Budget.aspx

Q: An email you sent out on July 8th stated Kolter did not see the turnover happening until 2023. I see in this email where the timeline for turn over is still this October. Just looking for some clarification.

A: There are two important committees currently operating within Verandah:

The Committee that you've contacted - VCA Turnover Committee - is working on issues related to the turnover of the Verandah Community Association (VCA) from the Developer to self-governance by residents. This will involve the election of a new, homeowner Board of Directors and will take place on October 1, 2021. Hopefully, you have been receiving updates on the work of our committee from your Neighborhood Representative. The Turnover of the community from Developer control to full self-governance will have no effect on the ownership or operation of the Club. To learn about the work of the VCA Turnover Committee, please visit our website.

The Club Transition Committee is a separate group investigating the possible future purchase of the Club. The Club is a privately owned entity (currently owned by Kolter) located within the Verandah community. There is no timeline for a sale of the Club, as it is Kolter's prerogative to either retain ownership of the Club and its assets (the golf courses, restaurants, fitness center, etc.) or sell whenever they so choose. If and when Kolter should decide to sell the Club, the membership has the "right of first offer." Your confusion may arise from the recent email sent by the Club Transition Committee which mentioned that they do not anticipate Kolter selling the Club before 2023. Visit the Club Transition Committee page on the Verandah website for more information about their work.

Q: I wanted to ask for some additional clarification surrounding the VCA turnover and the possibility of updating some of our association by-laws. Specifically I am referring to lanai lighting. We have also seen an increase in colored lights. I am hopeful that this time of transition would be an opportunity to update our by-laws and keep Verandah the beautiful community that it has been.

A: First, if you have a specific concern and would like to report it, we encourage you to contact the VCA General Manager Lynne Pietrzyk at VCAadmin@evergreen-lm.com. The GM is empowered to work within the current design review process to determine whether or not your concern may actually be a violation, and to take appropriate action based on the design guidelines.

Second, while the VCA Turnover Committee is a fact-finding body and so has no authority to act upon information like this, the new Board of Directors to be elected and seated in October will have the authority to work with the Developer directly on design review concerns. Our governing documents grant the Developer control over design review issues until all homes within Verandah are sold to a buyer other than a builder. However, they have indicated a willingness to allow the new VCA Board jurisdiction over existing homes, and we hope and expect that this will be an area of focus for the new Board.

Q: How many board members are required?

A: Our By-Laws provide for expansion of the board to 7 directors at Turnover (paragraph 3.5).

Q: The Golf, fitness center and clubhouse parking area is in very poor condition. My opinion is that the developer is responsible to leaving the development in good condition with no potential liability situations.

A: The areas mentioned are all part of The Verandah Club rather than the Verandah Community Association (VCA). The Verandah Club is a private entity currently owned by Kolter and managed by Hampton Golf. You can reach out to Jay Severson, Club General Manager at (239) 694-7229 (Ext. 2880) or JayS@verandah.com to share your feedback and concern about those Club properties. The upcoming turnover of governance of the VCA will not affect ownership or operation of The Verandah Club.

Q: Why do we need a voting company for the vote? And what is the cost of such company. We have had Verandah transition committee questionnaires in the past. Why couldn't this be handled the same way?

A: An election process for a homeowners association is governed by Florida Law and is subject to specific legal requirements. A voting company is being utilized to assist the VCA in conforming to these laws, and to provide secure and accessible online voting for those who consent to use it.

While very useful for informal, non-binding survey purposes, the legal requirements for notification, consent and security of an election are beyond the scope of a platform such as Survey Monkey.

In conjunction with the Turnover Committee, the VCA is in the process of reviewing the capabilities of several major voting companies utilized by other Florida homeowner associations. VCA legal counsel will provide guidance, and recommendations will be provided to the current Board of Directors for review and selection. A definitive cost is not known at this time.

Q: Is there a published document of what is required to be eligible for the Board of Directors?

A: Eligibility is addressed in Florida Statute and our Bylaws. The Bylaws (Section 3.1) state that co-owners of a unit may not serve on the Board at the same time. Florida Statute provides more detailed guidance in 720.306 (9) (a)(b). The things that can bar a candidate from running, and can serve as reason to remove a sitting Director, are being delinquent in any fee, fine or other monetary obligation to the Association, and being a felon. That’s a brief synopsis of what the Statute and Bylaws say, so please feel free to read the actual text at the links provided above.

Q: Why do we need a voting company for the vote? And what is the cost of such company. We have had Verandah transition committee questionnaires in the past. Why couldn't this be handled the same way?

A: An election process for a homeowners association is governed by Florida Law and is subject to specific legal requirements. A voting company is being utilized to assist the VCA in conforming to these laws, and to provide secure and accessible online voting for those who consent to use it.

While very useful for informal, non-binding survey purposes, the legal requirements for notification, consent and security of an election are beyond the scope of a platform such as Survey Monkey.

In conjunction with the Turnover Committee, the VCA is in the process of reviewing the capabilities of several major voting companies utilized by other Florida homeowner associations. VCA legal counsel will provide guidance, and recommendations will be provided to the current Board of Directors for review and selection. A definitive cost is not known at this time.

Q: What is the connection of this board to the board that was voted on a year and a half ago by the owners to do this process? This is very confusing. Only four people are elected on this committee. And none representing condos. I am in favor of this process of voting you set up, but again confused with the other Committee that had been set up.

A: These two committees have been easily confused.

In short, there is no connection between the Verandah Turnover Committee

and the committee that you are referencing which is the Verandah Club Transition Committee (voted on by the community approx. 18 months ago). They are completely separate with very distinct and different missions.

The Verandah Turnover Committee (the mission statement can be found on the website) was established by the current VCA Board of Directors who also decided on the number of participants. In August 2020, all VCA Neighborhood Representatives, as the duly elected representatives for each neighborhood, were solicited to serve; and those who indicated interest were considered for selection by the current VCA Board. After being established in October of 2020, the Turnover Committee subsequently reached out to all Neighborhood Reps for volunteers to form the necessary working subcommittee - which has provided a turnover team of 22 individuals.

While not every neighborhood may have individuals working directly on a subcommittee, the Turnover Committee holds regular update meetings with the all Neighborhood Reps. At the meeting held on April 28, VCA Neighborhood Reps from each of the 3 condo neighborhoods were present. Their input is sought and feedback is welcomed at each meeting. We are working closely with the VCA Neighborhood Reps throughout this process to ensure representation for all residents.

We also have a great website that you may find informative and helpful: https://sites.google.com/view/vcaturnover

The Verandah Club Transition Committee has been formed to gather and evaluate information concerning the value, operation, and long term viability of the Verandah Club. You can learn more about their work and receive updates on their webpage link found on Verandahlife.com (https://www.verandahlife.com) under Member Central.

Q: Any chance you can get Kolter to participate in the expense of a signal at our west exit?

I have worked with the FL DOT since 2012 to get studies done and finally we have been approved to get a signal at our west exit. However, since Verandah Blvd. is owned by the community, the financial responsibility is ours. Other communities have made it part of the negotiations with their developer when the developer turned the VCA over to the owners. The cost could be as much as $500,000. We still need a Traffic Impact Study (done by an engineering firm, the original one in 2002 was done by Johnson Engineering) at our expense and would also need a Signal Warrant Analysis (at our expense) and then we would need a Intersection Control Evaluation that the state would do at their expense. Very complicated but most of the homeowners I have spoken with think it is necessary. Please respond and let me know if this is important to the turnover committee.

A: Over the years, the goal of getting a light at the west gate has been something residents have expressed an interest in. Kolter has previously made it clear they will not participate in funding the costs associated with a light and thus the expense would fall to the VCA.

While any such decisions are beyond our scope of work, the Committee’s Operational Plan includes fact finding and understanding the current status of a traffic light. All information developed will be provided to the new homeowner-controlled Board of Directors.

Thank you for providing the Turnover Committee with this valuable information as we work to achieve understanding.

Q: Potentially, what will this mean to each of us financially? In reviewing the information on the impending turnover, this one question is of the highest importance to each of us. I'd appreciate any information you can provide.

A: You raise a question which we’re sure all Verandah residents are anxious to understand.

First, to be clear, the turnover process does not involve the Verandah Club. There is a separate Club Transition Committee working on that and you can find more information on that effort on the verandahlife.com website.

Post-turnover the community, via the Verandah Community Association (VCA), will be responsible to self-govern in all respects, including financially. The VCA Turnover Committee and its subcommittee on Finance will be working to understand the budgetary and financial aspects of the VCA. Our work in this regard will be provided to the new, homeowner-controlled Board of Directors to assist them in finalizing the budget for 2022.

Regular updates regarding our work will be provided via your neighborhood rep and on the VCA Turnover Website.

Q: Are the members of the VCA turnover committee appointed or elected? Who are these individuals?

A: The Turnover Committee was established by the current VCA Board of Directors after considering Neighborhood Representatives who indicated interest in serving. The Neighbor Reps were used as a source for volunteers as they are the duly elected representatives for each neighborhood. Since the Committee’s establishment, a number of the Neighborhood Reps have also volunteered to serve on subcommittees. While every Neighborhood Rep may not a member of the Turnover Committee or subcommittee, all will be consulted and informed as the work of the Committee progresses.

Q: When we cast ballots for the VCA, does each homeowner or household cast a vote? Is there a distinction between golf and non golf members? (We do understand that the VCA turnover is completely apart from The Verandah Club turnover. We were informed at the time of our purchase that Golf members have 3 votes to 1 vote for non Golf members.)

A: You are correct in your understanding of the separate nature of the Club and the VCA. For voting purposes in the VCA, each home is considered a “unit” and each unit is allocated one vote. There is nothing related to golf membership in the VCA voting process.

Q. Why is this being scheduled to occur when minimal number of homeowners are present in Verandah? In the interest of transparency this should be postponed until at least December and ideally January 0f 2022 so that the community is fully aware of the developer's remaining obligations to the community and the community may comment on other obligations the developer may have as identified by community review. This timing would also allow for informational meetings where q&a could be presented so that property owners will be able to make an informed vote for directors.

A. The timeline for turnover was announced in the October 2020 Annual Meeting. If you were unable to attend the Annual Meeting, which was held as a Zoom call due to COVID, you can watch a recording at this link:

https://evergreen-lm.zoom.us/rec/share/V9R15R-P7uUkZHBaYqrIEUh0lpqM0pDP6ZLerQhoBuOGp8JldHnTWP-c631cf3dQ.dfTVFvsqPrv_k0gP?startTime=1603817908000 [Passcode: 1T*kBd9I]

The Turnover Committee was also announced at that meeting. While our governing documents provide some flexibility as to the date of an annual meeting, a budget for the coming year must be prepared at least 60 days prior to the beginning of the new fiscal year (which starts in January) and notice of the new budget given to homeowners at least 30 days prior to its effective date. The October timing allows for the Board to conduct the Annual Meeting and budget approval concurrently and fill these requirements simultaneously. This has been the current Board’s practice for the past three years.

The Turnover Committee is actively working to gain an understanding of the current status of VCA operations. We will benefit from the fact that our work is happening between now and October when many seasonal residents are present. And we are working closely with the VCA Neighborhood Reps throughout this process to ensure representation for all residents. Subcommittees have been formed and will be starting their work within the next week or so. Again, these subcommittees are comprised of Neighborhood Reps who volunteered their time and talent as well as residents nominated by their Reps.

Q: Does "turnover" involve The Verandah Club?

A: No, the Verandah Club (The River House, The Golf House, Fitness Center, Pool, two Golf Courses, etc.) is currently owned by the Developer and is not a part of the Verandah Community Association (VCA). Therefore, its assets are not a part of turnover. However, there are several documents and agreements outlining use rights, easements, and covenants to share costs between these two entities which will be reviewed by VCA legal counsel.

A separate committee, the Verandah Club Transition Committee (VCTC), has been formed to gather and evaluate information concerning the value, operation, and long term viability of the Verandah Club. You can learn more about their work and receive updates on their webpage link found on Verandahlife.com (https://www.verandahlife.com) under Member Central.