New Port-Tampa Bay Community Development District

ANNUAL FINANCIAL REPORT

September 30, 2021

New Port-Tampa Bay Community Development District	
ANNUAL FINANCIAL REPORT	
September 30, 2021	
TABLE OF CONTENTS	
Page Number	
REPORT OF INDEPENDENT AUDITORS	1-2	
MANAGEMENT’S DISCUSSION AND ANALYSIS	3-8	
BASIC FINANCIAL STATEMENTS:
Government-wide Financial Statements: Statement of Net Position Statement of Activities
Fund Financial Statements:
Balance Sheet – Governmental Funds Reconciliation of Total Governmental Fund Balances
to Net Position of Governmental Activities
Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities
Statement of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual – General Fund	

9
10

11

12

13

14

15	
Notes to Financial Statements	16-28	
INDEPENDENT AUDITORS’ 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	

29-30	
MANAGEMENT LETTER	31-34	
INDEPENDENT ACCOUNTANTS’ REPORT/COMPLIANCE WITH SECTION 218.415 FLORIDA STATUTES	
35	

REPORT OF INDEPENDENT AUDITORS

To the Board of Supervisors
New Port-Tampa Bay Community Development District Tampa, Florida

Report on the Financial Statements

We have audited the accompanying financial statements of New Port-Tampa Bay Community Development District (the “District”) as of and for the year ended September 30, 2021, and the related notes to financial statements, which collectively comprise the District’s basic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Accounting Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

- 1 -

To the Board of Supervisors
New Port-Tampa Bay Community Development District
Opinion
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 New Port- Tampa Bay Community Development District, as of September 30, 2021, and the respective changes in financial position and the budgetary comparison for the General Fund for the year then ended in conformity with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management Discussion and Analysis be presented to supplement the basic financial statements. Such information, 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 Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued a report dated May 17, 2022 on our consideration of the District’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations and contracts. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering New Port-Tampa Bay Community Development District’s internal control over financial reporting and compliance.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida May 17, 2022

- 2 -

Management’s discussion and analysis of New Port-Tampa Bay Community Development District (the “District”) financial performance provides an objective and easily readable analysis of the District’s financial activities. The analysis provides summary financial information for the District and should be read in conjunction with the District’s financial statements.

OVERVIEW OF THE FINANCIAL STATEMENTS

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

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

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

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

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

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

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

The government-wide financial statements and the fund financial statements provide different pictures of the District. The government-wide financial statements provide an overall picture of the District’s financial standing. These statements are comparable to private-sector companies and give a good understanding of the District’s overall financial health and how the District paid for the various activities, or functions, provided by the District. All assets of the District, including capital assets are reported in the statement of net position. All liabilities, including principal outstanding on bonds are included. The statement of activities includes depreciation on all long-lived assets of the District, but transactions between the different functions of the District have been eliminated in order to avoid “doubling up” the revenues and expenses. The fund financial statements provide a picture of the major funds of the District. In the case of governmental activities, outlays for long lived assets are reported as expenditures and long-term liabilities, such as general obligation bonds, are not included in the fund financial statements. To provide a link from the fund financial statements to the government-wide financial statements, reconciliations are provided from the fund financial statements to the government- wide financial statements.

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

Financial Highlights

The following are the highlights of financial activity for the year ended September 30, 2021.

The District’s total assets exceeded total liabilities by $3,487,615 (net position). Net investment in capital assets for the District was $185,203. Unrestricted net position for Governmental Activities was $(11,545). Governmental activities restricted net position was $3,313,957.

Governmental activities revenues and debt cancellation totaled $7,569,626 while governmental activities expenses totaled $908,676.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Financial Analysis of the District

The following schedule provides a summary of the assets, liabilities and net position of the District and is presented by category for comparison purposes.

Net Position
Governmental Activities 2021	2020

Current assets	$	101,141	$	427,264	
Restricted assets	4,260,628	-	
Capital assets		11,099,231 		3,912,750 	
Total Assets		15,461,000 		4,340,014 	

Current liabilities	
393,385	
7,513,349	
Non-current liabilities		11,580,000 		- 	
Total Liabilities		11,973,385 		7,513,349 	

Net Position
Net investment in capital assets	

185,203	

2,753,828	
Restricted	3,313,957	427,147	
Unrestricted		(11,545)		(6,354,310)	
Total Net Position	 $	3,487,615 	 $	(3,173,335) The decrease in current assets is related to the decrease in cash.

The increase in capital assets is related to the additions to construction in progress in the current year.

The decrease in current liabilities is primarily related to the cancellation of debt in the current year.

The increase in restricted assets and non-current liabilities is related to the issuance of new bonds in the current year.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)
Financial Analysis of the District (Continued)
The following schedule provides a summary of the changes in net position of the District and is presented by category for comparison purposes.
Change In Net Position
	Governmental Activities	

Program Revenues Charges for services
General Revenues Miscellaneous revenues Investment earnings

General government	57,282	101,359	
Physical environment	133,200	83,250	
Interest and other charges		718,194 		3,230 	
Total Expenses		908,676 		187,839 	

Conveyance of assets	
-	
(21,864,243)	
Cancellation of debt		7,500,000 		52,411,853 	

Total Revenues Expenses

	2021	

$	69,352

29
	245 
	69,626 

	2020	

$	70,407

750
	- 
	71,157 

Change in Net Position

Net Position - Beginning of Year Net Position - End of Year

6,660,950

	(3,173,335)

 $	3,487,615 

30,430,928

	(33,604,263)

$	(3,173,335)

The decrease in conveyance of assets is related to the completion of the capital project in the prior year.
The decrease in cancellation of debt is related to the bondholders reaching an agreement that included the cancellation of all outstanding past due interest and the outstanding bonds payable in the prior year.

The increase in interest and other charges is related to the issuance of new debt in the current year.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Capital Assets Activity

The following schedule provides a summary of the District’s capital assets as of September 30, 2021 and 2020.
Governmental Activities 2021	2020

Construction in progress	$	7,319,681		$	-	
Infrastructure	3,996,000		3,996,000	
Accumulated depreciation	(216,450)		(83,250)	
Total Capital Assets, net	$	11,099,231		$	3,912,750	

In the current year, $7,319,681 was added to construction in progress and depreciation was
$133,200.

General Fund Budgetary Highlights

The budgeted expenditures exceeded actual amounts primarily because dissemination agent expenditures were less than anticipated.

The September 30, 2021 budget was amended to re-allocate certain expenditures to more closely agree to actual amounts.

Debt Management

Governmental Activities debt includes the following:

In December 2016, the District entered into a promissory note for $7,500,000 with an interest rate of 6.75% to complete Phase 1 improvements. If the note is not paid, the loan will automatically terminate on the five-year anniversary date of the note. The note payable was terminated during the year.

In February 2021, the District issued $11,580,000 Series 2021 Special Assessment Bonds. These bonds were issued to finance a portion of the cost of acquisition, construction, installation and equipping of a portion of the 2021 Project. As of September 30, 2021, the balance outstanding was $11,580,000.

OVERVIEW OF THE FINANCIAL STATEMENTS (CONTINUED)

Economic Factors and Next Year’s Budget

New Port-Tampa Bay Community Development District does not expect any economic factors to have a significant effect on the financial position or results of operations of the District in fiscal year 2022.

Request for Information

The financial report is designed to provide a general overview of New Port-Tampa Bay Community Development District’s finances for all those with an interest. Questions concerning any of the information provided in this report or requests for additional information should be addressed to the New Port-Tampa Bay Community Development District, PFM Group Consulting, LLC, 3501 Quadrangle Boulevard, Suite 270, Orlando, Florida 32817.

New Port-Tampa Bay Community Development District	
STATEMENT OF NET POSITION	
September 30, 2021			

Governmental	
Activities	
ASSETS			
Current Assets			
Cash	$	99,798	
Assessments receivable		573	
Interest receivable		20	
Deposits		750 	
Total Current Assets		101,141 	
Non-Current Assets		
Restricted Assets			
Investments		4,260,628	
Capital Assets, Not Being Depreciated			
Construction in progress		7,319,681	
Capital Assets, Being Depreciated			
Infrastructure		3,996,000	
Less: accumulated depreciation		(216,450)	
Total Non-Current Assets		15,359,859 	
Total Assets		15,461,000 	
LIABILITIES			
Current Liabilities			
Accounts payable and accrued expenses		92,179	
Retainage payable		113,946	
Accrued interest payable		187,260 	
Total Current Liabilities		393,385 	
Non-Current Liabilities		
Bonds payable		11,580,000 	
Total Liabilities		11,973,385 	
NET POSITION			
Net investment in capital assets		185,203	
Restricted - capital projects		3,313,957	
Unrestricted		(11,545)	
Total Net Position	 $		3,487,615 	

See accompanying notes to financial statements.

STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2021

Net (Expenses)
	
Program Revenues	Revenues and Changes in
Net Position	

Functions/Programs

Governmental Activities General government Physical environment Interest and other charges
Total Governmental Activities	
Charges for
Expenses	Services

$	(57,282)	$	69,352
(133,200)	-
	(718,194)		- 
 $	(908,676)	 $	69,352 	
Governmental Activities

$	12,070
(133,200)
	(718,194)
(839,324)	

General Revenues Investment income Miscellaneous revenues
Total General Revenues	

245
	29 
	274 	
	Cancellation of debt		7,500,000 	
	Change in Net Position			6,660,950	
	Net Position - October 1, 2020
Net Position - September 30, 2021		
 $		    (3,173,335)
3,487,615 	

See accompanying notes to financial statements.

BALANCE SHEET – GOVERNMENTAL FUNDS
September 30, 2021

ASSETS	

	General		
Debt
	Service		
Capital
	Projects		Total Governmental
	Funds		
Cash	$	79,939	$	-	$	19,859	$	99,798	
Assessments receivable	573	-	-	573	
Interest receivable	-	6	14	20	
Due from other funds	-	-	87,720	87,720	
Deposits	-	-	750	750	
Restricted Assets					
Investments		- 		1,340,130 		2,920,498 		4,260,628 	
Total Assets	 $	80,512 	 $ 1,340,136 	 $ 3,028,841 	 $  4,449,489 	

Accounts payable and accrued expenses	$	4,337	$	-	$	87,842	$	92,179	
Due to other funds	87,720	-	-	87,720	
Retainage payable		- 		-  	113,946 		113,946 	
Total Liabilities		92,057 		-  	201,788 		293,845 	

LIABILITIES AND FUND BALANCES LIABILITIES

FUND BALANCES
Nonspendable - deposits	-	-	750	750	
Restricted:					
Debt service	-	1,340,136	-	1,340,136	
Capital projects	-	-	2,826,303	2,826,303	
Unassigned		(11,545)		- 		- 		(11,545)	
Total Fund Balances		(11,545)		1,340,136 		2,827,053 		4,155,644 	
Total Liabilities and Fund Balances	 $	80,512 	 $ 1,340,136 	 $ 3,028,841 	 $  4,449,489 	

See accompanying notes to financial statements.

RECONCILIATION OF TOTAL GOVERNMENTAL FUND BALANCES TO NET POSITION OF GOVERNMENTAL ACTIVITIES
September 30, 2021

Total Governmental Fund Balances	$	4,155,644	
Amounts reported for governmental activities in the Statement of Net Position are different because:			
Capital assets, construction in progress, $7,319,681, and infrastructure,
$3,996,000, net of accumulated depreciation, $(216,450), used in governmental activities are not current financial resources and therefore, are not reported at the governmental fund level.		

11,099,231	
Long-term liabilities, including note payable, are not due and payable in the current period and therefore, are not reported at the fund level.	
(11,580,000)	
Accrued interest expense for long-term debt is not a current financial use, and therefore, is not reported in the funds.		
    (187,260)	
Net Position of Governmental Activities	 $		3,487,615 	

See accompanying notes to financial statements.

New Port-Tampa Bay Community Development District STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES – GOVERNMENTAL FUNDS
For the Year Ended September 30, 2021

Total
Debt	Capital	Governmental
	General	 	Service	 	Projects	 	Funds	
REVENUES
Special assessments	
$	69,352	
$	-	
$	-	
$	69,352	
Investment income	-	45	200	245	
Miscellaneous revenues		- 		- 		29 		29 	
Total Revenues		69,352 		45 		229 		69,626 	

EXPENDITURES
Current
General government	

57,282	

-	

-	

57,282	
Capital outlay	-	-	7,319,681	7,319,681	
Debt service Interest	
-		
103,617		
-		
103,617	
Other	-		-		427,317		427,317	
Total Expenditures	57,282		103,617		7,746,998		7,907,897	

Revenues over/(under) expenditures	
12,070		
(103,572)		
(7,746,769)		
(7,838,271)	
Other Financing Sources/(Uses) Issuance of long-term debt	
-		
-		
11,580,000		
11,580,000	
Transfers in	-		1,443,708		10,383		1,454,091	
Transfers out	(10,383)		-		(1,443,708)		(1,454,091)	
Total Other Financing Sources/(Uses)	(10,383)		1,443,708		10,146,675		11,580,000	

Net Change in Fund Balances	
1,687		
1,340,136		
2,399,906		
3,741,729	
Fund Balances - October 1, 2020	(13,232)		-		427,147		413,915	

Fund Balances - September 30, 2021	
$	(11,545)		
$	1,340,136		
$	2,827,053		
$	4,155,644	

See accompanying notes to financial statements.

RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2021

Net Change in Fund Balances - Total Governmental Funds	$	3,741,729	
Amounts reported for governmental activities in the Statement of Activities are different because:			
Additions to capital assets are treated as a capital outlay expenditure at the fund level, but are added to capital assets at the government-wide level. This is the amount that depreciation, $(133,200) was exceeded by capital outlay, $7,319,681,
in the current year.		

7,186,481	
The cancellation of debt does not affect cuurrent resources so it is not recognized at the fund level, however, at the government-wide level the debt cancellation does reduce non-current liabilities.		

7,500,000	
The issuance of new debt is reflected as an other financing source at the fund level, however, at the government-wide level it increases long-term liabilities.		
(11,580,000)	
At the government-wide level, interest is accrued on outstanding bonds; whereas at the fund level, interest expenditures are reported
when due. This is the change in accrued interest in the current period.		

     (187,260)	
Change in Net Position of Governmental Activities	 $		6,660,950 	

See accompanying notes to financial statements.

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – GENERAL FUND
For the Year Ended September 30, 2021

REVENUES
Special assessments

EXPENDITURES
Current

Original Budget

 $  67,100 

Final Budget

Actual

 $	69,352 	Variance with Final Budget Positive (Negative)

 $	2,252 	

	57,282 	
	9,818 	
12,070	12,070	

	(10,383)

1,687	
	10,383 

1,687	

 $		   (13,232)

(11,545)	

 $		    (13,232)

(11,545)	

 $  67,100 

General government		67,100 		67,100 	
Excess revenues over/(under) expenditures	-	-	
Other Financing Sources/(Uses) Transfers out	
	- 	
	- 	
Net Change in Fund Balances	-	-	
Fund Balances - October 1, 2020		- 		- 	
Fund Balances - September 30, 2021	 $	- 	 $	- 	

  

See accompanying notes to financial statements.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

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

Reporting Entity

The District was established on August 25, 2005, pursuant to the Uniform Community Development District Act of 1980, Chapter 190, Florida Statutes, and was adopted as City of Tampa Ordinance 2005-233, as a Community Development District. The District was established for the purposes of financing and managing the acquisition, construction, maintenance and operation of the infrastructure necessary for community development within its jurisdiction. The District is authorized to issue bonds for the purpose, among others, of financing, funding, planning, establishing, acquiring, constructing district roads, landscaping, and other basic infrastructure projects within or outside the boundaries of the New Port-Tampa Bay Community Development District. The District is governed by a Board of Supervisors who are elected by qualified electors within the District. The District operates within the criteria established by Chapter 190, Florida Statutes.

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

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

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting

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

Government-wide financial statements

Fund financial statements

Notes to financial statements

Government-wide Financial Statements

The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Government- wide financial statements report all non-fiduciary information about the reporting government as a whole. These statements include all the governmental activities of the primary government. The effect of interfund activity has been removed from these statements.

Governmental activities are supported by special assessments and interest. Program revenues are netted with program expenses in the statement of activities to present the net cost of each program.

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

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

Fund Financial Statements

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

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

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

2. Measurement Focus and Basis of Accounting (Continued)

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

The District has various policies governing the fund balance classifications.

Nonspendable Fund Balance – This classification consists of amounts that cannot be spent because they are either not in spendable form or are legally or contractually required to be maintained intact.

Restricted Fund Balance – This classification includes amounts that can be spent only for specific purposes stipulated by constitution, external resource providers, or through enabling legislation.

Assigned Fund Balance – This classification consists of the Board of Supervisors’ intent to be used for specific purposes but are neither restricted nor committed. The assigned fund balances can also be assigned by the District’s management company.

Unassigned Fund Balance – This classification is the residual classification for the government’s general fund and includes all spendable amounts not contained in the other classifications. Unassigned fund balance is considered to be utilized first when an expenditure is incurred for purposes for which amounts in any of those unrestricted fund balance classifications could be used.

Fund Balance Spending Hierarchy – For all governmental funds except special revenue funds, when restricted, committed, assigned, and unassigned fund balances are combined in a fund, qualified expenditures are paid first from restricted or committed fund balance, as appropriate, then assigned and finally unassigned fund balances.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Measurement Focus and Basis of Accounting (Continued)

b. Fund Financial Statements (Continued) Governmental Funds (Continued)
Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are considered to be available when they are collected within the current period or soon thereafter to pay liabilities of the current period. For this purpose, the District considers revenues to be available if they are collected within 60 days of the end of the current fiscal period.

Expenditures generally are recorded when a liability is incurred, as under accrual accounting. Interest associated with the current fiscal period is considered to be an accrual item and so has been recognized as revenue of the current fiscal period.

Under the current financial resources measurement focus, only current assets and current liabilities are generally included on the balance sheet. The reported fund balance is considered to be a measure of “available spendable resources”.

Governmental fund operating statements present increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Accordingly, they are said to present a summary of sources and uses of “available spendable resources” during a period.

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

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

Debt service expenditures are recorded only when payment is due.

Basis of Presentation

Governmental Major Funds

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

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Basis of Presentation (Continued)

Governmental Major Funds (Continued)

Debt Service Funds – Accounts for debt service requirements to retire the special assessment bonds which were used to finance the construction of District infrastructure improvements.

Capital Projects Funds – Accounts for financial resources to be used in the acquisition and construction of infrastructure improvements within the boundaries of the District.

Non-current Governmental Assets/Liabilities

GASB Statement 34 requires that non-current governmental assets, such as land and improvements, and non-current governmental liabilities, such as general obligation bonds and due to developer be reported in the governmental activities column in the government-wide Statement of Net Position.

Assets, Liabilities, and Net Position or Equity

Cash and Investments

Florida Statutes require state and local governmental units to deposit monies with financial institutions classified as "Qualified Public Depositories," a multiple financial institution pool whereby groups of securities pledged by the various financial institutions provide common collateral from their deposits of public funds. This pool is provided as additional insurance to the federal depository insurance and allows for additional assessments against the member institutions, providing full insurance for public deposits.

The District is authorized to invest in those financial instruments as established by Section 218.415, Florida Statutes. The authorized investments consist of:

Direct obligations of the United States Treasury;

The Local Government Surplus Funds Trust or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperative Act of 1969;

Interest-bearing time deposits or savings accounts in authorized qualified public depositories;

Securities and Exchange Commission, registered money market funds with the highest credit quality rating from a nationally recognized rating agency.

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

4. Assets, Liabilities, and Net Position or Equity (Continued)

Restricted Net Position

Certain net position of the District is classified as restricted assets on the statement of net position because their use is limited either by law through constitutional provisions or enabling legislation; or by restrictions imposed externally by creditors. In a fund with both restricted and unrestricted assets, qualified expenses are considered to be paid first from restricted net position and then from unrestricted net position.

Capital Assets

Capital assets, which include construction in progress and infrastructure, are reported in the governmental activities column.

The District defines capital assets as assets with an initial, individual cost of $5,000 or more and an estimated useful life in excess of two years. The valuation basis for all assets is historical cost.

The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend its useful life are not capitalized.

Major outlays for capital assets and improvements are capitalized as projects are constructed.

Depreciation of capital assets is computed and recorded by utilizing the straight-line method. Estimated useful lives of the various classes of depreciable capital assets are as follows:

Infrastructure	30 years

Budgets

Budgets are prepared and adopted after public hearings for the governmental funds, pursuant to Chapter 190, Florida Statutes. The District utilizes the same basis of accounting for budgets as it does for revenues and expenditures in its various funds. The legal level of budgetary control is at the fund level. All budgeted appropriations lapse at year end. Formal budgets are adopted for the general and debt service funds. As a result, deficits in the budget columns of the accompanying financial statements may occur.

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS

Explanation of Differences Between the Governmental Fund Balance Sheet and the Government-wide Statement of Net Position

“Total fund balances” of the District’s governmental funds, $4,155,644, differs from “Net Position” of governmental activities, $3,487,615, reported in the Statement of Net Position. This difference primarily results from the long-term economic focus of the Statement of Net Position versus the current financial resources focus of the governmental fund balance sheet. The effect of the differences is illustrated below.

Capital related items

When capital assets (land, buildings and improvements and infrastructure that are to be used in governmental activities) are purchased or constructed, the cost of those assets is reported as expenditures in governmental funds. However, the Statement of Net Position included those capital assets among the assets of the District as a whole.

Construction in progress	$	7,319,681	
Infrastructure	3,996,000	
Accumulated depreciation		(216,450)	
Total	$	11,099,231	
Long-term debt transactions		
Governmental Activities long-term	liabilities are not due and payable in the current	
period and are not reported as fund liabilities. All liabilities (both current and long-term) are reported in the Statement of Net Position. Balances at September 30, 2021 were:

Bonds payable	$  (11,580,000)

Accrued liabilities in the Statement of Net Position differ from the amount reported in governmental funds due to the accrued interest on bonds.
Accrued interest	$	(187,260)

NOTE	B	–		RECONCILIATION	OF	GOVERNMENT-WIDE	AND	FUND	FINANCIAL STATEMENTS (CONTINUED)
Explanation of Differences Between the Governmental Fund Operating Statements and the Statement of Activities
The “net change in fund balances” for government funds, $3,741,729, differs from the “change in net position” for governmental activities, $6,660,950, reported in the Statement of Activities. The differences arise primarily from the long-term economic focus of the Statement of Activities versus the current financial resources focus of the governmental funds. The effect of the differences is illustrated as follows.
Capital related items
When capital assets that are to be used in governmental activities are purchased or constructed, the resources expended for those assets are reported as expenditures in governmental funds. However, in the Statement of Activities, the costs of those assets are capitalized and the cost is allocated over their estimated useful lives as depreciation.

Capital outlay	$	7,319,681	
Depreciation		(133,200)	
Total	$	7,186,481	
Long-term debt transactions
Proceeds from the issuance of debt are recognized as an other financing source at the fund level and increase long-term debt at the government-wide level. Repayments of bond principal are reported as an expenditure in the governmental funds and, thus, have the effect of reducing fund balance because current financial resources have been used.

Cancellation of debt	$	7,500,000	
Issuance of long-term debt	$ (11,580,000)	
Change in accrued interest	$	(187,260)	

NOTE C – CASH AND INVESTMENTS
All deposits are held in qualified public depositories and are included on the accompanying balance sheet as cash and investments.

Custodial Credit Risk – Deposits
Custodial credit risk is the risk that in the event of a bank failure, the District's deposits may not be returned to it. The District does not have a formal deposit policy for custodial credit risk; however, they follow the provisions of Chapter 280, Florida Statutes regarding deposits and investments. As of September 30, 2021, the District's bank balance was $99,898 and the carrying value was $99,798. Exposure to custodial credit risk was as follows. The District maintains all deposits in a qualified public depository in accordance with the provisions of Chapter 280, Florida Statutes, which means that all deposits are fully insured by Federal Depositors Insurance or collateralized under Chapter 280, Florida Statutes.

NOTE C – CASH AND INVESTMENTS (CONTINUED)
As of September 30, 2021, the District had the following investments.

Investment		Maturities		Fair Value	
U.S. Bank Money Market		N/A		$	4,260,628	
The District categorizes its fair value measurements within the fair value hierarchy recently established by generally accepted accounting principles. The fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The District uses a market approach in measuring fair value that uses prices and other relevant information generated by market transactions involving identical or similar assets, liabilities, or groups of assets and liabilities.
Assets or liabilities are classified into one of three levels. Level 1 is the most reliable and is based on quoted price for identical assets, or liabilities, in an active market. Level 2 uses significant other observable inputs when obtaining quoted prices for identical or similar assets, or liabilities, in markets that are not active. Level 3 is the least reliable and uses significant unobservable inputs that uses the best information available under the circumstances, which includes the District’s own data in measuring unobservable inputs.
Based on the criteria in the preceding paragraph, the District listed above is a level one asset. Interest Rate Risk
The District does not have a formal investment policy that limits investment maturities as a
means of managing its exposure to fair value losses arising from increasing interest rates. Credit Risk
The District has no investment policy that would further limit its investment choices. As of September 30, 2021, the District’s investment in U.S. Bank Money Market was not rated.
The types of deposits and investments and their level of risk exposure as of September 30, 2021 were typical of these items during the fiscal year then ended. The District considers any decline in fair value for certain investments to be temporary.

NOTE D – RELATED PARTIES
The Board of Supervisors is comprised entirely of individuals affiliated with the project.

NOTE E – CAPITAL ASSETS

Capital asset activity for the year ended September 30, 2021 was as follows:

		Balance					Balance	
	October 1,				September 30,	
		2020		  Additions			Deletions				2021		
Governmental activities:					
Construction in progress	$	-	$ 7,319,681	$	-	$	7,319,681	
Infrastructure		3,996,000	-		-		3,996,000	
Accumulated depreciation		(83,250)		(133,200)		- 		(216,450)	
Total Capital Assets, net	 $		3,912,750 	 $ 7,186,481 	 $		- 	 $ 11,099,231 	

Depreciation of $133,200 was charged to physical environment.

NOTE F – LONG-TERM DEBT

The following is a summary of debt activity for the District for the year ended September 30, 2021:
Balance	Balance
October 1,	September
	2020	 	Additions	  Reductions  	30, 2021	
Governmental Activites: Notes payable:
Bond Anticipation Note	$ 7,500,000	$	-	$ (7,500,000)	$	- Bonds payable:
Series 2021		-  	11,580,000  	-  	11,580,000 

Bonds Payable, Net	 $ 7,500,000   $ 11,580,000   $ (7,500,000)  $ 11,580,000 

District debt is comprised of the following at September 30, 2021:

Special Assessment Revenue Bonds

$11,580,000	Series	2021	Special	Assessment	Bonds maturing through 2052, at various interest rates between
2.875% and 4.125%, payable May 1 and November 1.	$	11,580,000

NOTE F – LONG-TERM DEBT (CONTINUED)

The annual requirements to amortize the principal and interest of bonded debt outstanding as of September 30, 2021 are as follows:

Year Ending

2023	215,000		449,425		664,425	
2024	225,000		443,244		668,244	
2025	230,000		436,775		666,775	
2026	235,000		430,163		665,163	
2027-2031	1,310,000		2,028,306		3,338,306	
2032-2036	1,575,000		1,770,369		3,345,369	
2037-2041	1,925,000		1,439,250		3,364,250	
2042-2046	2,335,000		1,024,650		3,359,650	
2047-2051	2,880,000		500,363		3,380,363	
2052	650,000		26,813		676,813	
Totals	$ 11,580,000		$ 8,998,783		$ 20,578,783	

September 30,		Principal			Interest		Total 2022	$		-	$		449,425	$		449,425

Summary of Significant Bonds Resolution Terms and Covenants

Special Assessment Bonds, Series 2021

Significant Bond Provisions

The Series 2021 Bonds are subject to redemption at the option of the District prior to their maturity, in whole or in part, at any time after May 1, 2031 a price equal to the par amount of the Series 2021 Bonds thereof, together with accrued interest to the date of redemption. The Series 2021 Bonds are subject to extraordinary mandatory redemption prior to maturity in the manner determined by the Bond Registrar if certain events occurred as outlined in the Trust Indenture.

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

NOTE F – LONG-TERM DEBT (CONTINUED)

Depository Funds

The bond resolution establishes certain funds and determines the order in which revenues are to be deposited into these funds. A description of the significant funds, including their purposes, is as follows:

Reserve Funds – The Series 2021 Reserve Account was funded from the proceeds of the Series 2021 Bonds in an amount equal to the maximum annual debt service required for Series 2021 Bonds at the date of issue until the Reserve Account Release Conditions have been satisfied as established in the Trust Indenture. Once the Release Conditions have been satisfied as established in the Trust Indenture the Reserve Account shall be reduced to an amount equal to 50% of the maximum annual debt service requirement outstanding. Monies held in the reserve accounts will be used only for the purposes established in the Trust Indenture.

The following is a schedule of required reserve balances as of September 30, 2021:

Special Assessment Bonds, Series 2021	

$	Reserve
  Balance	
665,972	Reserve
 Requirement 
$	665,972	
NOTE G – RISK MANAGEMENT				

The District is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the government carries commercial insurance. Settled claims from these risks have not exceeded commercial insurance coverage over the past three years.

NOTE H – INTERFUND ACTIVITY

Interfund balances at September 30, 2021, consisted of the following:

Payable Fund
Receivable Fund		General Fund Capital Projects Fund	$		87,720

The balances relate to construction proceeds held in the General Fund operating account. Interfund transfers for the year ended September 30, 2021, consisted of the following:
	Transfers In	

Transfers Out	Debt Service
Fund	Capital Projects	Total Fund	
General Fund		$	-		$	10,383		$	10,383	
Capital Projects Fund		1,443,708		-		1,443,708	
Total		$ 1,443,708		$	10,383		$ 1,454,091	

Transfers relate to activity related to the new construction and servicing of the related bonds.

INDEPENDENT AUDITORS’ 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
New Port-Tampa Bay Community Development District Tampa, 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 New Port-Tampa Bay Community Development District, as of and for the year ended September 30, 2021, and the related notes to the financial statements, and have issued our report thereon dated May 17, 2022.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered New Port-Tampa Bay Community Development District's internal control over financial reporting (internal control) as a basis for designing 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 New Port-Tampa Bay Community Development District’s internal control. Accordingly, we do not express an opinion on the effectiveness of New Port-Tampa Bay Community Development 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 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 may exist that have not been identified.

- 29 -

To the Board of Supervisors
New Port-Tampa Bay Community Development District

Compliance and Other Matters

As part of obtaining reasonable assurance about whether New Port-Tampa Bay Community Development District's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion.

Purpose of this Report

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

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida May 17, 2022

- 30 -

MANAGEMENT LETTER
To the Board of Supervisors
New Port-Tampa Bay Community Development District Tampa, Florida
Report on the Financial Statements

We have audited the financial statements of the New Port-Tampa Bay Community Development District as of and for the year ended September 30, 2021, and have issued our report thereon dated May 17, 2022.
Auditor’s Responsibility

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

We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards and our Independent Auditor’s Report on an examination conducted in accordance with AICPA Professionals Standards, AT-C Section 315 regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in that report, which is dated May 17, 2022, should be considered in conjunction with this management letter.
Prior Audit Findings

Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been made to address findings and recommendations made in the preceding financial audit report. The following findings or recommendations were made in the preceding financial audit report:

- 31 -

To the Board of Supervisors
New Port-Tampa Bay Community Development District

2020-01

Finding: The actual expenditures in the General Fund exceeded the budget which is a violation of Section 189.016, Florida Statutes.

Response: Management will review spending to ensure that expenditures do not exceed appropriations in the future.

Current Status: This finding was corrected in the current year.

Financial Condition

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

Pursuant to Sections 10.554(1)(i)5.b. and 10.556(8), Rules of the Auditor General, we applied financial conditions assessment procedures as of September 30, 2021 for the New Port-Tampa Bay Community Development District. It is management’s responsibility to monitor the New Port-Tampa Bay Community Development District’s financial condition; our financial condition assessment was based in part on the representations made by management and the review of the financial information provided by the same.

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

- 32 -

To the Board of Supervisors
New Port-Tampa Bay Community Development District

Specific Information

The information provided below was provided by management and has not been audited; therefore, we do not express an opinion or provide any assurance on the information.
As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)(i)6, Rules of the Auditor General, the New Port-Tampa Bay Community Development District reported:
The total number of district employees compensated in the last pay period of the District’s fiscal year: 0
The total number of independent contractors to whom nonemployee compensation was paid in the last month of the District’s fiscal year: 10
All compensation earned by or awarded to employees, whether paid or accrued, regardless of contingency: N/A
All compensation earned by or awarded to nonemployee independent contractors, whether paid or accrued, regardless of contingency: $3,761,235
Each construction project with a total cost of at least $65,000 approved by the District that is scheduled to begin on or after October 1, 2020, together with the total expenditures for such project: Capital Project 2021, $6,875,516 spent during the current year.
A budget variance based on the budget adopted under Section 189.016(4), Florida Statutes, before the beginning of the fiscal year being reported if the District amends a final adopted budget under Section 189.016(6), Florida Statutes: The budget was not amended.

As required by Section 218.39(3)(c), Florida Statutes, and Section 10.554(1)(i)8, Rules of the Auditor General, the New Port-Tampa Bay Community Development District reported:

The rate or rates of non-ad valorem special assessments imposed by the District: General Fund $44.68.
The amount of special assessments collected by or on behalf of the District: Total special assessments collected was $69,352.
The total amount of outstanding bonds issued by the District and the terms of such bonds. Series 2021 Bonds, $11,580,000 maturing in November 2052.

Additional Matters

Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we noted no such findings.

- 33 -

To the Board of Supervisors
New Port-Tampa Bay Community Development District

Purpose of this Letter

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

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida May 17, 2022

- 34 -

INDEPENDENT ACCOUNTANTS’ REPORT/COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES

To the Board of Supervisors
New Port-Tampa Bay Community Development District Tampa, Florida

We have examined New Port-Tampa Bay Community Development District's compliance with Section 218.415, Florida Statutes during the year ended September 30, 2021. Management is responsible for New Port-Tampa Bay Community Development District’s compliance with those requirements. Our responsibility is to express an opinion on New Port-Tampa Bay Community Development District’s compliance based on our examination.

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

In our opinion, New Port-Tampa Bay Community Development District complied, in all material respects, with the aforementioned requirements during the year ended September 30, 2021.

Berger, Toombs, Elam, Gaines & Frank Certified Public Accountants PL
Fort Pierce, Florida May 17, 2022

- 35 -