BOD · May 28, 2026 TAO Sawgrass
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Item 01 · Treasurer's Report

Above $5M for the first time.

Cash crossed $5M this period. Reserves grew again. Insurance and investment income are both ahead of budget, and the year that was supposed to break even now looks set to land in the black.

If you only read one paragraph

We're above $5M in cash for the first time, with reserves at $4.2M and growing every month. New insurance saves us about $53K a year and our bond portfolio is paying roughly 48% more interest than the budget assumed. The year that was budgeted to break even should finish around $120K in the black.

One item needs the Board tonight: three units now owe $120,136 combined, growing $6K a month. Legal escalation is overdue.

01 Key Figures

As of April 30, 2026
Total Cash
$5.04M
First time above $5M
Reserve Balance
$4.20M
Up $137K from March
April Net Income
$682
Positive month
YTD Net Income
($28,277)
Timing — see projection

02 Year-End Projection

Budget was breakeven
Projected Year-End Surplus — FY2026
~$120,000

Budget called for breakeven. We're tracking about $120K over that, mostly from insurance savings and investment income. Trash and gas are running a little hot but the rest of the year absorbs them.

+$52,997
Insurance savings
+$43,849
Reserve interest above budget
+$15,000
Gas savings (summer)
($14,000)
Trash over budget
($28,277)
YTD loss to recover

03 What's Working

Favorable this year
Insurance
New Policies Save $53K This Year
$622,003

Property policy renewed April 30 at $264K/year ($23,888/mo). Liability package — covering General Liability, Garage, Umbrella, Equipment Breakdown, and Management Liability — runs Dec–Dec at $183K/year ($15,274/mo). Combined full year cost is $622,003 vs $675,000 budgeted.

Reserve Interest
Portfolio Earning 48% Above Budget
$133,849

$3.19M in investment-grade corporate bonds, throwing off about $133,849 a year vs the $90,000 we budgeted. Now recorded correctly every month going forward.

Electricity — Capital Improvements Paying Off
$43,925 Under Budget — VFD Systems Delivering
$93,575

The VFD (Variable Frequency Drive) units we put on the AC equipment and the domestic water pumps are doing the work. Spend is $43,925 below the $137,500 YTD budget through April. Management is working with the Maintenance Supervisor on the next round — garage lighting is up next.

Total Cash
$5 Million Milestone Reached
$5,040,290

First time we've crossed $5M in total cash. Reserves are at $4.2M and have gone up every single month this fiscal year.

04 Items to Watch

Needs attention
Delinquencies
$120,136 — Growing $6K/Month
3 Units

888 Coin LLC (2305N), RKMO LLC (1101S), Hilda Hall (0801N). The 90+ day portion is $102,832. We need the Board's authorization tonight to escalate to counsel.

Trash Removal
22% Over Budget — City Rate Increase
($9,352) YTD

City rates went up more than we budgeted for. Management confirmed it. We'll correct it in next year's budget.

Gas / Utilities
Overcharge Resolved — Normalizing
($9,328) YTD

The city's 3x overcharge credit posted in April. What's left is real usage from the cold winter. Pool temp and water-heater settings were turned down to keep summer use lower.

05 Reserve Funding

On track — fully funded
LineYTD ActualYTD BudgetStatus
Pooled Reserve Transfer$400,000$400,000On budget
SIRS Reserve Transfer$254,166$254,165On budget
Reserve Interest IncomeBooks show $40,650 received. About $32,500 more is accrued in Truist but not yet paid out. Bonds pay semi-annually, so income arrives in lumps, not monthly. Full-year projection: $133,849 vs $90,000 budget.$40,650$37,500+$43,849 FY est.
Total Reserve Funding$694,816$691,665+$3,151 ahead
Fully funded reserves · SIRS + Pooled + Interest income

06 Action Items

Board attention required
1
Authorize legal counsel on chronic delinquencies 888 Coin LLC, RKMO LLC, Hilda Hall. $120,136 outstanding, growing $6K a month. We should have escalated already.
Critical