CBL/BM Port Orange West

Community Development District

FINANCIAL STATEMENTS

September 30, 2016

CARR
CRI RIGGS &
INGRAM

CPAs and Advisors

CRlcpa.com

CBL/BM Port Orange West Community Development District

	Table of Contents	
	September 30, 2016	
REPORT		
Independent Auditors'Report	1	
FINANCIAL STATEMENTS		
Management'sDiscussion And Analysis (required supplemental information)	3	
Basic Financia l Statements		
Government-Wide Financial Statements		
Statement of Net Position	7	
Statement of Activities	8	
Fund Financial Statements		
Balance Sheet - Governmental Funds	9	
Statement of Revenues, Expenditures and Changes in Fund Balances -		
Governmental Funds	10	
Notes to Financial Statements	11	
Req uired Supplemental Information (other than MD&A)		
Budget to Actual Comparison Schedule - General Fund	16	

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

Management Letter

17

19

Attestation Report on Compliance with Section 218.415 Florida Statutes	21	

~l:G~:	Carr, Riggs & Ingram, LLC		
CRI IN GRAM			
	Certified Public Accountants		
			
	500 Grand Boulevard		
CPAs and Advisors	Suite 210		
	Miramar Beach, Florida 32550		
			
	(850) 837-3141		
INDEPENDENT AUDITORS'REPORT	(850) 654-4619 (fax)		
	CR lcpa.com		

To the Board of Supervisors

CBL/BM Port Orange WestDistrictCommunity Development

Port Orange, Florida

Report on the Financial Statements

We have audited the accompanying financial statements of the governmental activities and each major fund of CBL/BM Port Orange West Community Development District (hereinafter referred to as "District"), as of and for the year ended September 30, 2016, and the related notes to the financial statements, which collectively comprise the District'sbasic financial statements as listed in the table of contents.

Management'sResponsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial stat ements 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.

Auditors'Responsibility

Our responsibility is to express opinions 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 Auditing

Standards, issued by the Comptroller General of the ThoUnited States. se standards require that we plan and perform the audit to obtain rea sonable 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 se lected depend on the aud itors' udgment,j 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 consid ers internal control relevant to the entity'spreparation 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'sinternal 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 eva luating 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 opinions.

Opinions

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, 2016, and the respective changes in financial position for the year then ended in accordance 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'sdiscussion and analysis and budgetary comparison information, as listed in the table of contents, be presented to supplement th.e 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 our report dated May 18, 2017, on our consideration of the District'sinternal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. 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 the 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'sinternal control over financial reporting and compliance.

CARR, RIGGS & INGRAM

Miramar Beach, Florida

May 18, 2017

- 2 -

--	-
~1

Management'sDiscussion And Analysis

CBL/BM Port Orange West Community Development District Management'sDiscussion and Analysis

Our discussion and analysis of the CBL/BM Port Orange West Community Development District's financial performance provides an overview of the District'sfinancial activities for the fisca l year ended September 30, 2016. Please read it in conjunction with the District'sfin ancial statements, which begin on page 7.

FINANCIAL HIGHLIGHTS

•	At September 30, 2016, the assets of the District exceeded its liabilities by approximately $4,400.

•	During the year ended September 30, 2016, the District reported minimal revenues and expenditures totaling approximately $40,000.

USING THE ANNUAL REPORT

This annual report consists of a series of financial statements. The Statement of Net Position and the Statement of Activities on pages 7 - 8 provide information about the activities of the District as a whole and present a longer-term view of the District'sfinances. Fund financia l statements start on page 9. For governmental activities, these statements tell how these services were financed in the short-term as well as what remains for future spending. Fund financial statements also report the District' operations in more detail than the government-wide statements by providing information about the District'smost significant funds.

Reporting the District as a Whole

Our analysis of the District as a whole begins on page 4. One of the most important questions asked about the District's finances is, "Is the District as a whole better off or worse off as a result of the year'sactivities?" The Statement of Net Position and the Statement of Activities report information about the District as a whole and about its activities in a way that helps answer this question . These statements include all assets and liabilities using the accrual basis of accounting, which is similar to the accounting used by most private-sector co mpa nies. All of the current year'srevenues and expenses are taken into account regardless of when cash is received or paid.

These two statements report the District'snet position and related changes during t he current yea r. You can think of the District'snet position - the difference between assets and liabilities - as one way t o measure the District's financial, health or financial position. Over time, increases or decreases in the District'snet position is one indicator of whether its financia l hea lth is improving or deteriorating. You will need t o consider other nonfinancial factors; however, such as changes in the District'sassessment base and the condition of the District'sinfrastructure, t o assess the overall

health of the District.

- 3 -

CBL/BM Port Orange West Community Development District

Management'sDiscussionAnalysisand

Reporting the District's Most Significant Funds

Our analysis of the District'smajor funds begins on page 5. The fund financial statements begin on page 9 and provide detailed information about the most significant funds - not the District as a whole. Some funds are required to be established by State law and by bond covenants. All of the

District'sarefunds	governmental fund-types.

•	Governmental funds -All of the District'sbasic services are reported in governmental funds, which focus on how money flows into and out of those funds and the ba lances left at year-end that are available for spending. The governmental fund statements provide a detailed short-term view of the District'sgeneral government operations and the basic services it provides. Governmental fund information helps you determine whether there are more or fewer financial resources that can be spent in the near future to finance t he District's programs.

THE DISTRICT AS A WHOLE

The following table reflects the condensed Statement of Net Position and is compared to the prior year.

	September 30,		2016		2015		Change	
	Assets							
	Current and other assets	$	11,494	$	13,091	$	(1,597)	
	Total assets	$	11,494	$	13,091	$	(1,597)	
	Liabilities							
	Current liabilities	$	2,971	$	5,148	$	(2,177)	
	Total liabilities		2,971		5,148		(2,177)	
	Deferred Inflows of Resources							
	Deferred revenue		4,136		4,124		12	
	Total deferred inflows of resources		4,136		4,124		12	
	Net position							
	Unrestricted		4,387		3,819		568	
	Total net position		4,387		3,819		568	
li	Total  abilities, deferred inflows of resources							
	and net position	$	11,494	$	13,091	$	(1,597)	

For more detailed information, see the accompanying Statement of Net Position.

During fiscal year ended September 30, 2016, total assets and liabilities decreased by approximately $1,600 and $2,200, respectively. The decreases in both assets and liabilities are primarily due to timing of developer co ntributions and vendor payments.

- 4 -

CBL/BM Port Orange West Community Development District Management'sDiscussion and Analysis

The following schedule compares the Statement of Activities for the current and previous fiscal year.

Year ended September 30,		2016		2015		Change	
Revenues:							
Program revenues:							
Charges for services	$	39,636	$	62,980	$	(23,344)	
Total revenues		39,636		62,980		(23,344)	
Expenses:							
governmentGeneral		39,068		62,954		(23,886)	
Total expenses		39,068		62,954		(23,886)	
Change in net position		568		26		542	
Net position, beginning		3,819		3,793		26	
Net position, ending	$	4,387	$	3,819	$	568	

For more detailed information, see the accompanying Statement of Activities.

Revenues and expenses both decreased from the prior year by approximately by $23,000. The decrease in expenses occurred primarily due to an decrease in district counsel fees and web site maintenance from prior year. Revenues decreased in a similar manner because the Developer currently funds the District generally to the extent it makes expenditures. The overall result was a

$568 increase in net position for fisca l year 2016.

THE DISTRICT'SFUNDS

As the District completed the year, its governmental funds (as presented in the balance sheet on page 9) reported a combined fund balance of approximately $4,400 which is an increase from last year'sbalance that totaled $3,800. The only significant activity in 2016 was the payment of certain administrative expenditures to maintain operations.

GOVERNMENTAL FUNDS BUDGETARY HIGHLIGHTS

An Operating budget was established by the governing board for the District pursuant to the requirements of Florida Statutes. The budget to actual comparison for the General Fund, including the original budget and final adopted budget, is shown at page 16.

-5 -

CBL/BM Port Orange West Community Development District Management'sDiscussion and Analysis

The District experienced an unfavorable variance of $29,329 in revenues and a favorable variance of $29,897 in expenditures, as compared to the budget. The variance in expenditures occurred primarily due to anticipated operating expenditures that were not incurred during the year. Revenues varied in a similar manner because the Developer currently funds the District generally to the extent it makes expenditures.

FUTURE FINANCIAL FACTORS

CBL/BM Port Orange West Community Development District is an independent special district that operates under the provisions of Chapter 190, Florida Statutes. The District operates under an elected Board of Supervisors, which establishes policy and sets assessment rates. Developer contributions are anticipated for fiscal year 2017 to provide for the operations of the District.

CONTACTING THE DISTRICT'SFINANCIAL MANAGEMENT

This financial report is designed to provide a general overview of the District'sfinances. If you have questions about this report or need additional financia l information, contact the CBL/BM Port Orange West Community Development District'smanagement company at 12051 Corporate Blvd, Orlando, Florida 32817.

- 6 -

Basic Financial Statements

CBL/BM Port Orange West Community Development District Statement of Net Position

September 30,

Assets

Cash and cash equivalents

Due from developer

Prepaid expenses

Total assets

Liabilities

Accounts payable

Total liabilities

Deferred Inflows of Resources

Deferred revenue

Total deferred inflows of resources

Net Position

Unrestricted

2016

Governmental

Activities

$	4,387

2,971
4,136

11,494

2,971

2,971

4,136

4,136

4,387

Total net position	$	4,387

The accompanying notes are an integral part of these financial statements.

- 7 -

CBL/BM Port Orange West Community Development District Statement of Activities

Year ended September 30,				2016				
							Net (Expense)	
							Revenue and	
								Changes in	
				Program Revenues		Net Position	
					Operating				
			Charges for	Grants and		Governmental	
Functions/Programs		Expenses		Services	Contributions		Activities	
Primary government:									
Governmental activities:									
General government	$	{39,068)	$	39,636	$	-	$	568	
Total governmental activities	$	{39,068)	$	39,636	$			568	

Change in net position		568	
Net position - beginning of year		3,819	
Net position - end of year	$	4,387	

The accompanying notes are an integral part of these financial statements.

- 8 -

-.,·

CBL/BM Port Orange West Community Development District Balance Sheet - Governmental Funds

September 30,

Assets

Cash and ca sh equivalents

Due from developer

Prepaid expenditures

Total assets

Liabilities, Deferred Inflows of Resources and Fund Balance

Liabilities

Accounts payable

Total liabilities

Deferred Inflows of Resources

Deferred revenue

Total deferred inflows of resources

Fund balances

Nonspendable

Unassigned

Total fund balances

2016

General Fund

$	4,387

2,971

4,136

$	11,494

$	2,971

2,971

4, 136

4,136

4,136

251

4,387

Total liabilities, deferred inflows of resources and fund balances	$	11,494

The accompanying notes are an in tegral part of these finan cial statements.

- 9 -

----.,- -

CBL/BM Port Orange West Community Development District Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds

Year en ded September 30,	2016	
l	Genera	Fund	
Revenues			
Developer contributions	$	39,636	
Total revenues		39,636	
Expenditures			
Current:			
General government		39,068	
Total expenditures		39,068	
Net change in fund balances		568	
Fund balances, beginning of year		3,819	
Fund ba lances, end of year	$	4,387	

The accompanying notes are an integral part of these financial statements.

-10-

_--....:;-,_--

CBL/BM Port Orange West Community Development District Notes to Financial Statements

NOTE 1: NATURE OF ORGANIZATION

The CBL/BM Port Orange WestDistrictCommunity Development	(the "District") was established on

June 24, 2008 pursuant to the Uniform Community Development District Act of 1980, otherwise known as Chapter 190, Florida Statutes, by City of Port Orange Ordinance 2008-18. 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 va lorem 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 has not commenced any significant infrastructure activity as of the date of this report.

The District is governed by a Board of Supervisors ("Board"), which is comprised of five members. The Supervisors are elected on an at large basis by the owners of the property within the District. Certain supervisors are affiliated with CBL/BM Port Orange West, LLC (the "Developer"). The Board of Supervisors of the District exercise all powers granted to the District pursuant to Chapter 190,

Florida Statutes.

The Board has the final responsibility for:

1.	Assessing and levying assessments.

2.	Approving budgets.

3.	Exercising control over facilities and properties.

4.	Controlling the use of funds generated by the District.

5.	Approving the hiring and firing of key personnel.

6.	Financing improvements.

In evaluating how to define the government, for financial reporting purposes, management has considered all potential component units. The decision to include or exclude a potential component unit in the reporting entity was made by applying the criteria set forth by Generally Accepted Accounting Principles (GAAP) as defined by the Governmental Accounting Standards Board (GASB) in Statements Nos. 14 and 61. Based on the criteria identified therein, no potential component units were found.

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Th e accounting policies of the Distri ct conform to GAAP as applicable to governments in accordance with those promulgated by GASB. The following is a summary of the more significant policies:

- 11-

CBL/BM Port Orange West Community Development District Notes to Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

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 the non-fiduciary activities of the primary government. Governmental activities, which normally are supported by assessments, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The business-type activities are reported separately in government-wide financial statements; however, at September 30, 2016, the District did not have any significant business-type activities. Therefore, no business-type activities are reported. Assessments and other items not properly included as program revenues (i.e., charges to customers or applicants who purchase, use, or directly benefit from goods or services) are reported as general revenues.

Separate financial statements are provided for governmental funds. Major individual governmental funds are reported as separate columns in the fund financial statements.

Measurement Focus, Basis of Accounting and Basis of 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 the related cash flows. Assessments are recogn ized as revenues in the year for which they are levied. Grants and other 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 District considers revenues to be available if they are collected within 60 days of the end of the current fisca l period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures are recorded only when payment is due.

Developer contributions and interest associated with the current fiscal period are all considered to

ible be suscept	to accrual and have been recognized as revenues of the current fiscal period. All

other revenueare items considered to be measurable and available only when cash is received by the District.

- 12-

CBL/BM Port Orange West Community Development District Notes to Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

The District reports the following major governmental funds:

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

For the year ended September 30, 2016, the District does not report any proprietary funds.

As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements.

When both restricted and unrestricted reso urces are available for use, it is the District'spolicy to use restricted resources first, then unrestricted resources as they are need ed . When committed, assigned, or unassigned resources are available for use in the governmental fund financial statements, it is the government'spolicy to use committed resources first, fo llowed by assigned resources, then unassigned resources as needed.

Cash, Deposits and Investments

The District maintains deposits with "Qualified Public Depositories" as defined in Chapter 280, Florida Statutes. All Qualified Public Depositories must place with the Treasurer of the State of Florida securities in accordance with collateral requirements determined by the State's Chief Financial Officer. In the event of default by a Qualified Public Depository, the State Treasurer will pay public depositors all losses. Losses in excess of insurance and collateral will be paid through assessments between all Qualified Public Depositories.

Under this method, all the District'sdeposits are fully insured or collateralized at the highest level of security as defin ed by GASB, Statement Number 40, Deposits and In vestment Disclosures (An

Amendment of GASB, Statement Number 3).

The District is authorized toestinv in financial instruments as established by Section 218.415, Florida Statutes. The authorized investments include among others negotiable direct or indirect obligations which are secured by the United States Gove rnment; the Local Government Su rplus Trust Funds as created by Section 218.405, Florida Statutes; SEC registered money market funds with the highest credit quality ra ting from a nationally recognized rating agency; and interest-bearing time deposits or savings accounts in authorized fin ancial institutions.

Estimates

The preparation of finan cial statements in conformity with accounting principles genera lly accepted in the U.S. requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estim ates.

-13-

---c_-

CBL/BM Port Orange West Community Development District Notes to Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Deferred Outflows/Inflows of Resources

In addition to assets, the Statement of Net Position will sometimes include 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. The District does not have any of this type of item at September 30, 2016.

In addition to liabilities, the Statement of Net Position and Balance Sheet - Gov't Funds 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

Thethat time.	District has one item, deferred revenue, which qualifies for treatm ent at September

30, 2016.

Fund Equity

Net position in the government-wide financial statements is 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, net of any related debt. Restricted net position represents net position restricted by outside entities. At September 30, 2016, all of the District'snet position is classified as unrestricted.

Governmental fund equ ity is classified as fund ba lance. Fund balance is further classified as nonspendable, restricted, committed, assigned, or unassigned. Nonspendable fund balance cannot be spent because of its form. Restricted fund balance has limitations imposed by cred itors, grantors, or contributors or by enabling legislation or constitutional provisions. Committed fund balance is a limitation imposed by the District board through approval of resolutions. Assigned fund ba lance is a limitation imposed by a designee of the District board. Unassigned fund balance in the General Fund is ther net esources in excess of what can be properly classified in one of the above four categories. Negative unassigned fund balance in other governmental funds represents excess expenditures incurred over the amounts restricted, committed, or assigned to those purposes.

Budgets

The District is required to establish a budgetary system and an approved annual budget. Annual budgets are lega lly adopted on a basis consistent with GAAP for the General Fund. Any revision to the budget must be approved by the District Board. Th e budgets are compared to actual expenditures. In instances where budget appropriations and estimated revenues have been revised during the year, budget data presented in the financial statements represent final authorization

amounts.

- 14-

--~
CBL/BM Port Orange West Community Development District Notes to Financial Statements

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

The District follows these procedures in establishing the budgetary data reflected in the financial statements:

A.	Each year the District Manager submits to the District Board a proposed operating budget for the fiscal year commencing the following October 1.
	B.  A public hearing is conductedcommentstoobtain.

	C. Prior to October 1, the budget is legally adopted by the District Board. D. All budget changes must be approved by the District Board.

	E. Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America.

NOTE 3: RISK MANAGEMENT

The District is exposed to various risks of loss related to torts; theft of, damage t o, and destruction of assets; errors and omissions; and natural disasters. The District maintains commercial insurance coverage to mitigate the risk of loss. Coverage may not extend to all situations. Management believes such coverage is sufficient to preclude any significant uninsured losses to the District. Settled claims have not exceeded this commercial coverage in the previous three yea rs.

NOTE 4: MANAGEMENT COMPANY

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 compa ny also serve as officers (Board appoi nted non-voting positions) of the District . Under the agreement, the District compensates the management compa ny for management, accounting, financial reporting, and other administrative costs.

NOTE 5: RELATED PARTY TRANSACTIONS

The Developer has agreed to fund the general operations of the District. For the year ended September 30, 2016, t he Developer co ntributed $39,636 to the General Fund, of which $2,971 is re corded as Due from developer on the accompanying Statement of Net Position and Balance Sheet - Governmental Funds.

A significant portion of the District'sactivity is dependent upon the continu ed involvement of the Developer, CBL/BM Port Orange West, LLC, the loss of which could have a material adverse effect on the District'soperations.

-15-

Required Supplemental Information

(Other Than MD&A)

CBL/BM Port Orange West Community Development District Budget to Actual Comparison Schedule - General Fund

Year ended September 30,				2016			
		Original and		Actual	Variance wit h	
		Final Budget		Amounts	Final Budget	
Revenues							
Developer contributions	$	68,965	$	39,636	$	(29,329)	
Total revenues		68,965		39,636		(29,329)	
Expenditures							
General government		68,965		39,068		29,897	
Totc;1I expenditures		68,965		39,068		29,897	
Excess of revenues over expenditures	$	-	$	568	$	568	

-16-

~l:G;:	Carr, Riggs & Ingram, LLC		
CRI INGRAM			
	Certified Public Accountants		
			
	500 Grand Bou leva rd		
CPAs and Advisors	Suite 210		
	Miramar Beach, Florida 32550		
			
	(850) 837-3141		
	(850) 654 -4619 (fax)		
	CRlcpa.com		
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER		
MATTERS BASED ON AN AUDIT OFPERFORMEDFINANCIAL STATEMENTS	IN ACCORDANCE WITH		

GOVERNMENT AUDITING STANDARDS

To the Board of Supervisors

CBL/BM Port Orange West Community Development District

Port Orange, Florida

haveWe 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 CBL/BM Port Orange West Community Development District (hereinafter referred to as the " District"), as of and for the year ended September 30, 2016, and the related notes to the financial statements, which co llectively comprise the District'sbasic financial statements, and have issued our report thereon dated May 18, 2017.

Internal Control Over Financial Reporting

In planning and performing our audit of the financial statements, we considered the Dist rict's internal control over financial reporting (internal control) to determine the audit procedures t hat 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 reasonab le possibility that a material misstatement of the entity'sfinancial 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 contro l that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control th at we consider to be material weaknesses. However, materi al weaknesses may exist that have not been identified.

- 17-

Compliance and Other Matters

As part of obtaining reasonable assurance about whetherfinancialthe District's	statements are free

from 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. The results of our tests disclosed no instances of noncompliance or
other matters that are required to be reported under

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 District'sinternal control or on compliance. This report is an integral part of an audit performed in

accordance with	in considering the District'sinternal control and

compliance. Accordingly, this communication is not suitable for any other purpose.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida

May 18, 2017

-18-

~l:G: ~		Carr, Riggs & Ingram, LLC		
				
CRI INGRAM		Certified Public Accountants		
		500 Grand Boulevard		
CPAs and Advisors		Suite 210		
		Miramar Beach, Florida 32550		
				
	MANAGEMENT LETTER	(850) 837-3141		
		(850) 654-4619 (fax)		
				
		CRlcpa .com		
To the Board of Supervisors

CBL/BM Port Orange WestDistrictCommunity Development

Port Orange, Florida

Report on the Financial Statements

We have audited the financial statements of CBL/BM Port Orange West Community Development District ("District") as of and for the fiscal year ended September 30, 2016, and have issued our report thereon dated May 18, 2017.

Auditors'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 Auditor General.

Other Reports

We have issued our Independent Auditors'Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance with Government Auditing Standards and Independent Accountant's Report on an examination conducted in accordance with A/CPA Professional Standards, Section 601, regarding complian ce requirements in accordance with Chapt er 10.550, Rules of the Auditor General. Disclosures in these reports, which are dated May 18, 2017, shou ld 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 taken to address findings and recommendations made in the preceding annual financial audit report. There were no findings or recommendations made in the preceding annual audit report.

Official Title and Legal Authority

Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements . The information required is disclosed in the notes to the financial statements.

-19-

Financial Condition

Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, require that we apply appropriate procedures and report the results of our determination as to whether or not the District has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific condition(s) met. In connection with our audit, we determined that the District did not meet any of the conditions described in Section 218.503(1), Florida Statutes.

Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures. It is management's responsibility to monitor the District's 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.

Annual Financial Report

Section 10.554(1)(i)5.b. and 10.556(7), Rules of the Auditor General, require that we apply appropriate procedures and report the results of our determination as to whether the annual financial report for the District for the fiscal year ended September 30, 2016, filed with the Florida Department of Financial Services pursuant to Section 218.32(1)(a), Florida Statutes, is in agreement with the annual financial audit report for the fiscal year ended September 30, 2016. In connection with our audit, we determined that these two reports were in agreement.

Other Matters

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

Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address 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 did not have any such findings.

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.

CARR, RIGGS & INGRAM

Miramar Beach, Florida

May 18, 2017

-20-

CARR	Carr, Riggs & Ingram, LLC		
			
CRI INGRAM	Certified Public Accountants		
RIGGS &			
	500 Grand Boulevard		
CPAs and Advisors	Suite 210		
	Miramar Beach, Florida 32550		
	(850) 837-3141		
	(850) 654-4619 (fax)		
INDEPENDENT ACCOUNTANT'S REPORT	CR lcpa.com		
			
To the Board of Supervisors			
CBL/BM Port Orange West Community Development District			
Port Orange, Florida			

We have examined CBL/BM Port Orange West Community Development District'scompliance w ith the requirements of Section 218.415, Florida Statutes, Local Government Investment Policies, during the year ended September 30, 2016. Management is responsible for the District'scompliance w ith those requirements. Our responsibility is to express an opinion on the District'scompliance 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 the District'scompliance w ith 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 the District'scompliance with specified requirements.

In our opinion, the District complied, in all material respects, with the aforementioned requirements for the year ended Sept ember 30, 2016.

This report is intended solely for the info rmation and use of management and the State of Florida Auditor General and is not intended to be and should not be used by anyone other than these

specified parties.

CARR, RIGGS & INGRAM, LLC

Miramar Beach, Florida

May 18, 2017

- 21-