MINUTES OF MEETING
DUNES COMMUNITY DEVELOPMENT DISTRICT

The regular meeting of the Board of Supervisors of the Dunes Community Development District was held Friday, January 9, 2026, at 9:30 a.m. at the Dunes Administrative Office, 101 Jungle Hut Road, Palm Coast, Florida.

Present and constituting a quorum were:

Gary Crahan	Chairman
George DeGovanni	Vice Chairman
Kevin Porter	Assistant Secretary
Bill White	Assistant Secretary
Rich DeMatteis	Treasurer

Also present were:

Greg Peugh	District Manager
Darrin Mossing by Zoom	District Representative
Michael Chiumento	District Counsel
Dave Ponitz	District Utilities Manager
Daniel Harvey	GMS
Brian Porter by Zoom	CDM Smith
KC Cole by Zoom	CDM Smith

The following is a summary of the discussions and actions taken at the January 9, 2026 meeting.

FIRST ORDER OF BUSINESS	Roll Call
Mr. Harvey called the meeting to order at 9:30 a.m.

SECOND ORDER OF BUSINESS	Approval of Minutes
December 12, 2025 Meeting
It was noted the motion on the first page was seconded by Mr. Porter, not Mr. DeMatteis.

On MOTION by Mr. DeGovanni seconded by Mr. White with all in favor the December 12, 2025 meeting minutes were approved as revised.

THIRD ORDER OF BUSINESS	Audience Comments

There being none, the next item followed.

FOURTH ORDER OF BUSINESS	Reports and Discussion Items Discussion of 2025 Year End Budget
Mr. Peugh reminded the Board that the rate study was completed about a year ago and the rates were subsequently adjusted. CDM Smith put a presentation together to go over what was projected (anticipated to be collected) versus what was actually collected.
Mr. Brian Porter stated that between fiscal year 2024 to fiscal year 2025, the total revenue went up by $867,000. The actual revenue came in a little higher than what was projected. In total, the expenses were also higher than previously projected, which is due to expenditure on additional capital items. The projected beginning balance was $3.4 million, and the balance ended up being closer to $3.7 million. The end balance is $140,000 in the positive.
Mr. Crahan requested these figures, along with graphs of the summary data, be included in future budget discussions. Mr. Crahan also questioned whether there was a correlation between the OHPOA fee adjustments and Dunes CDD utility rate adjustments.

Old Business
The Board requested staff erect a sign at the European Village parking area.
Prior to the signs getting installed, the European Village paid what they owed and provided a certificate of insurance. Gates were also installed to make future shutdown of European Village parking easier.
Mr. Peugh informed the Casa Bella Association that the District would not be repairing the fountain.

Discussion of the Golf Tournament at Hammock Beach
There being no new updates on this item, the next item followed.

Discussion of Stormwater Utility
Mr. Peugh informed the Board that the contractor making the repairs to the catch basin in Island Estates had found a solution to clean the pipe from the road as opposed to clearing the easement.

Discussion of Bridge Accident Mediation
There being no new updates on this item, the next item followed.

Discussion of European Village
This item was discussed under Old Business.

Discussion of Bridge / Intersection
Mr. Peugh reported that upcoming high traffic periods, such as bike week, speed week and spring break, will be a ‘stress test’ to see if the intersection modifications have helped. After considering traffic impacts for the spring season events, the Board can decide if they would like to move forward with the SunPass system or signalization. The District’s traffic consultant stated that new traffic counts were not needed to evaluate the intersection.
Mr. DeGovanni asked if it could be requested that the Sheriff’s Office patrol the intersection occasionally as there have been issues with drivers running the stop signs. Mr. Peugh will discuss with the Sheriff’s office.
Mr. Peugh informed the Board that some signage will be installed prohibiting parking on the westbound shoulder of the bridge.

FIFTH ORDER OF BUSINESS	Staff Reports Attorney
Mr. Chiumento reported that he is working on the Oasis plat and utility transfer of ownership documentation. A conveyance package will be presented at the next meeting.
Mr. Crahan asked that staff ensure homeowners would be made aware of easements located on their properties.
Mr. Peugh reported that beginning January 20th, Hammock Dunes Parkway will be closed between 16th Road East and Hammock Beach Parkway. There is a slight depression due to a leaking reclaimed line that needs to be investigated and repaired.
Next, Mr. Peugh informed the Board there was an accident on December 20th in which a driver struck a trailer being used by the landscaping vendor. The District’s insurance company has been notified.

Engineer’s Report
A copy of the engineer’s report was included in the agenda package for the Board’s review.

Manager Bridge Report
Mr. Peugh reported the following data:
Vehicle trips were up 2.7%, and revenue was up 2.6% from December of 2025.
There are around 30,000 accounts.
There are 18,150 web users.
There were $32,128 in credit card transactions.
There were 285 new bridge pass accounts added.
In January, 853 accounts were closed with a total balance of $11,432.56 remaining.

Miscellaneous Items
Seats 1 and 5, currently held by George DeGovanni and Kevin Porter are up for election in November of 2026.
Coastal Gateway Real Estate asked Mr. Peugh to do a presentation for agents wanting to sell property within the District. The Board preferred he provide the firm with a presentation used previously for other organizations.
Mr. Ponitz plans to retire in July. A notice will be placed in the newspaper to solicit resumes.

Additional Budget Items Report
There being no new items to discuss, the next item followed.

SIXTH ORDER OF BUSINESS	Supervisors’	Requests	and	Audience
Comments
There being none, the next item followed.

Follow Up-Items
Gary Crahan requested a preliminary schedule be prepared for the Sun Pass project.

George DeGovanni inquired about requesting occasional Sheriff patrol of HD Parkway & Camino del Mar intersection to monitor motorists practices through intersection. The Sheriff’s Department has been contacted to increase patrols.
Gary Crahan requested the Hammock Beach Club be informed about upcoming roadway closure activity scheduled for January 20. This was completed.
Gary Crahan requested that previous presentations of Dunes CDD Updates be placed on District website. In progress.

SEVENTH ORDER OF BUSINESS	Financial Reports
Balance Sheet & Income Statement
Assessment Receipts Schedule
Approval of Check Register
Copies of the financial statements as of November 30, 2025 were included in the agenda package for the Board’s review along with a copy of the check register totaling $253,302.54.

On MOTION by Mr. DeMatteis seconded by Mr. DeGovanni with all in favor the check register was approved.

EIGHTH ORDER OF BUSINESS	Next Scheduled Meeting: February 13, 2026 at
9:30 a.m. at the Dunes Administrative Office, 101 Jungle Hut Road, Palm Coast, Florida

NINTH ORDER OF BUSINESS	Adjournment

On MOTION by Mr. Crahan seconded by Mr. White with all in favor the meeting was adjourned.

Secretary/Assistant Secretary	Chairman/Vice Chairman