[{"_1":2,"_88":-5,"_89":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6251320,"mediaKeyId","3195902-41d39c9a8cb181b976f9d2031f8b8e82","parentId",3195902,"title","Advisory committee calls proposed 288‑site RV resort a high financial risk, asks for fuller assurances","audioSeconds",1278,"startMs",6070000,"endMs",7348000,"viewUrl","/Search/View?dp=1&key=3195902-41d39c9a8cb181b976f9d2031f8b8e82&start=6070&end=7348","thumbnailUrl","https://assets.pipeline.soar.com/3195902-41d39c9a8cb181b976f9d2031f8b8e82/thumbnail_6070000.jpg","articleUrl","/articles/6251320/Florida/Advisory-committee-calls-proposed-288site-RV-resort-a-high-financial-risk-asks-for-fuller-assurances","mediaUrl","https://secure.pipeline.soar.com/6251320-4a55336b0997f39ab4d96cb8dab429c1/orig.mp4?Expires=1770864595&Signature=CjsdkiUhmMlvIswD0rOREkHmOCGw6E96mdC~kbEqmKSjBRZqcwkUkCGvRrpjaAsTSDppQ9Vfg9X3~2acLhYZ7uqXZbxLdlvo942BYyPubvlX9dMZspShakoVJOLgr6QG6M8R49cc~BudrT88X2Dqt4M2jAQF~KGLY4Cl9n8w0ycjDHp1YUn6tdo551TghL5s7WuxQvdWqONpxOxw98fM25NU1ZOtupNAkkr5l32pUssBZH1yqDC~93~AgtJb8YaHKcbubXSw1lL8o5jaiduV-9~V1qNLn2ZmJ~BEpK0pyJIGxNQfc-DSCBOhh5vC9zxccdNiBucPcL-rtCQPfpMAIA__&Key-Pair-Id=KUT5TJCACFTXG","author","Town of Loxahatchee Groves, FL","date","2025-05-06T08:36:52.287Z","article","The Town of Loxahatchee Groves Financial Advisory Committee (FACT) examined a proposed 288‑site RV resort and advised the town council that, based on the materials provided, the project appears to present substantial financial risk to the developer and potential secondary costs to the town.

Committee Chairperson Manish Sood described the committee's analysis of the developer's assumptions and said the proposal, as presented, does not demonstrate sufficient free cash flow to cover likely financing costs. \"You will bring 1,200 to 1,500 people to our town,\" Sood said, raising concerns about added service costs and public‑safety and roadway impacts. Sood also ran a debt example during discussion: with a $45,000,000 project and 60% debt, he said, the interest burden at commercial rates could amount to roughly $2,000,000 a year — a figure he said the developer's pro forma did not clearly cover.

The developer, identified in the meeting as \"Mr. Bo,\" defended the underwriting and clarified the town would not be a financial partner. \"The town is not a partner,\" he said, describing options that would provide an up‑front impact fee and recurring non‑ad valorem payments to the town under some contract options.

Committee members and the auditor questioned the project's assumptions: occupancy levels, achievable rates, the project's cap‑rate assumptions (the developer cited a 7.5% cap rate), and whether a bank commitment for the construction debt had been secured. Members asked for documentation — lender commitment letters, detailed pro forma cash flows, evidence of escrow or performance guarantees, and a scenario analysis showing municipal impacts in a down market.

After discussion the committee voted 4–0 to transmit the committee's analysis to the council with this conclusion: based on the materials supplied, FACT judges the project to be high financial risk for the town to rely on and requests additional, verifiable financial assurances before the council considers any agreement or approval language that would grant fiscal expectations to the developer.

The committee asked the developer to supply detailed underwriting, proof of financing commitments, and explicit answers to potential municipal liabilities if the project underperforms. FACT noted the committee's role is advisory, and the council — not the committee — will determine whether to accept any of the developer's proposed payment or partnership options.","mediaType","Video","parentTitle","5/5/2025 Finance Advisory and Audit Committee","oneSentenceSummary","The FACT committee reviewed a developer presentation for a proposed high-end 288‑site RV resort and, citing financing, occupancy and community‑impact concerns, voted to tell the council it cannot support the project as presented and requested more detailed financial assurances.","taxTitle","Town of Loxahatchee Groves, Palm Beach County, Florida","taxId",75779,"location","Florida","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6251325,"Loxahatchee Groves advisory committee flags recurring budget overruns, backs travel controls and CFO search",3018,1162000,4180000,"/Search/View?dp=1&key=3195902-41d39c9a8cb181b976f9d2031f8b8e82&start=1162&end=4180","https://assets.pipeline.soar.com/3195902-41d39c9a8cb181b976f9d2031f8b8e82/thumbnail_1162000.jpg","/articles/6251325/Florida/Loxahatchee-Groves-advisory-committee-flags-recurring-budget-overruns-backs-travel-controls-and-CFO-search","https://secure.pipeline.soar.com/6251325-1977f1e388366103d904d9ce6d7f7c19/orig.mp4?Expires=1770864595&Signature=cZpXiryOyhUsjmdMRQOrT~8BEd9wUN9rIemtRCDG7L9yD80dve8A2cLeuFhozmVXxiENlXwlGgV~LaSysYuzaDObH0uMOY64MnWfGAUP1wI96gYiwJMxqL8zHKLehQWGF0lb~876GstfBYXxcL1MJ61AbU2EqQIJnJZ6JSGxXU8VGM5c2o3a~PEH2sN3qHZpwSB7uISH5XTuNGSAK9rSx9MSbCVGaju5P5eEcd297kv~0sgr1FK8w09vU1~jlwknX-C4f8vLqUpuaaY-menqg2xVUeERKUXQ2CfwwNFcx5IryJqlKBRhi02jMPaMwvsIS0QY22bQEUocogSuJR1ZOg__&Key-Pair-Id=KUT5TJCACFTXG","The Financial Advisory Committee (FACT) of the Town of Loxahatchee Groves reviewed the town's 2024 audit and 2025 year-to-date financial reports and voted to recommend a formal travel-and-expense policy and the selection of a CFO with a cost‑reduction focus.

Committee Chairperson Manish Sood told the committee that while some revenues exceeded expectations in 2024, recurring expense overshoots and the budget's continued reliance on reserves pose a risk to the town's cash flow and capital program. \"Ten percent of our operating budget is going towards legal,\" Sood said, urging clearer budget controls and documentation of large items such as legal invoices and capital purchases.

Sood's presentation identified specific categories with significant variances: legal fees, capital equipment leases, engineering, machinery maintenance and subscriptions. He told the committee that legal fees were roughly $130,000 over budget; a capital equipment lease for a utility vehicle was recorded at about $239,346; bank merchant fees and office-supply categories also exceeded their budgets. Sood said that the 2025 year-to-date picture (through March) showed weaker revenue collections and ongoing overspending in the same categories, producing an estimated general‑fund gap of $250,000–$500,000 if trends continue.

Auditor David Fairman, who participated by Zoom, said the auditors perform sampling and walk‑throughs to form an opinion on the town's financial statements and independence: \"We are independent of the town,\" Fairman told the committee, describing the audit scope and noting that budget-to-actual variances are reported in the notes and required supplementary information of the financial statements.

Committee members raised concerns about travel, training and credit-card expenditures and voted to recommend a tighter travel-and-expense policy. The committee also voted to forward the analysis of 2024 and 2025 observations and to recommend that the council prioritize hiring a CFO with explicit responsibilities for cash-flow management, procurement compliance and cost controls. Motions carried by voice vote with recorded outcomes of 4–0 in each case.

Members stressed that pending reimbursements and grants — cited during the presentation as pending FEMA and other reimbursements — do not remove the need for stronger internal controls and monthly budget reviews. Sood urged formal policies on intra‑fund transfers and clearer procurement authorizations for capital expenditures to avoid repeating the pattern of using one fund to plug gaps in another.

The committee asked staff and the auditors for follow-up details: line‑by‑line backup for the large overages (legal, capital purchases), evidence of pre‑audit communications with the auditors, and a fund‑flow (cash‑flow) statement showing how operating results fund capital projects. The committee voted to send its presentation and recommendations to the town council for consideration and directed staff to supply the requested documentation in advance of the council review.

Next steps: FACT will deliver its report and recommendations to the council. Committee members asked town management for monthly budget variance reports, more granular backup for large expense categories and confirmation of reimbursements expected from FEMA and other external sources.","At a recent meeting of the Town of Loxahatchee Groves Financial Advisory Committee (FACT), members reviewed the 2024 audit and 2025 year-to-date finances, identified repeated over-budget spending in several categories and voted to recommend a travel/expense policy and a targeted chief financial officer hire to the town council.","actionData","errors"]

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Advisory committee calls proposed 288‑site RV resort a high financial risk, asks for fuller assurances

Loxahatchee Groves advisory committee flags recurring budget overruns, backs travel controls and CFO search