BLUE LAKE CDD UPDATE
December 2025

The following is a communication from the Blue Lake (Vista) CDD to

the residents of Vistablue.

The Vistablue HOA is sending to all

residents as a courtesy and does not have any input or opinion on the
information provided

Objective — The purpose of this document is to
correct false information currently being dispersed

Is the CDD open to public input?
Did the public have the opportunity for budget input?
Does the CDD plan to raise fees to $9,000 per home or more?
Why can’t the CDD just restore the retaining wall as it was originally
constructed?
Why isn’t the CDD negotiating with Lennar?
What is the current plan and why is it the best option?

The CDD welcomes and encourages public
participation
All CDD meetings to date have been open to the public

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CDD encourages public attendance and participation at every meeting
Meetings are also available via telephone for those who can’t attend in
person
Meetings may be recorded and are available when recorded

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Public comment and participation is on all agendas and encouraged

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Public input is taken at every agenda item
Open comment for non-agenda items is held at every meeting Comments can also be submitted in writing

CDD provides multiple opportunities for
public budget input
Annual budget was presented at the May 27 CDD meeting (open to public and advertised)
Direct mail was sent to each household with invite to Public Hearing
August 12 public hearing was held to get public comments prior to finalizing budget
Budget timing is dictated by Florida Statutes

The CDD budget included an increase of
approx. $1600 per household

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This is the only increase in your bill from the CDD. Other increases are from Lee County property values and adjustments.
74% of the CDD increase is for legal fees to litigate with Lennar, design professionals and contractors to recover funds for proper shoreline protection
2026 CDD fees are $4311-4976 with most residents on the lower end; no one is paying over $5000
Claims that CDD fees have tripled in 4 years are false
CDD fees are up a little more than double in 6 years
At this time, we do not anticipate any future fee increases for legal costs
If Lennar, design professionals and contractors agree to fund repairs at a
satisfactory level, expenses to residents will be reduced
It is critical to get Lennar and others to fund the repairs; if the community has to pay the entirety of the cost, it will be very expensive

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Claims that the CDD will raise assessments to
$9,000 per year are false
The CDD has no plans to increase fees as claimed
The CDD has NOT issued a $20 million dollar outstanding bond, this claim is false
The CDD does NOT have an outstanding $2.5M loan
The CDD has drawn $133,400 against a line of credit, only the interest payment of $677 is due this year. ($1.71 per household)
The CDD does not anticipate further fee increases for legal fees

The CDD violated no Florida statutes selecting
attorneys
NO ONE ON THE CURRENT CDD WAS INVOLVED WITH ATTORNEY SELECTION
Attorneys were selected when CDD was composed of 100% Lennar employees
Attorney selection is not included in Florida 190 as claimed
There is no required process for selected an attorney
Attorney fees are included in O&M contrary to claim

Resident boats did not cause the wall to fail

3 marine engineering firms analyzed the wall. resident boats caused the failure
100% concluded the wall failure was due to insufficient design to withstand normal weather conditions on Blue Lake — the retaining wall would have failed in sub-hurricane conditions
They also concluded the wall was not constructed to even the inadequate design standards

None concluded

Just “putting the wall back as it was” has been
determined to not be a viable option

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The wall around the lake is defective and is likely to fail again without proper shoreline protection.
Multiple engineering firms have evaluated the current design (trex and vinyl) and construction — 100% have concluded Lennar’s wall is defective
The wall design is inadequately designed and constructed even in the absence of storm impacts
When storm impacts are considered, the wall is extremely susceptible to damage and will likely experience
significant degradation in tropical storm conditions, let alone hurricane conditions
Rebuilding the wall to previous condition is not viable and would likely lead to more expense for residents
Ian was not a “once in a lifetime” storm here
While a Category 5 storm at the coast, Ian degraded to category 1 storm by the time it got to Blue Lake
Historical meteorological data shows storms of this intensity hit Blue Lake once every 7-8 years
The original Lennar permit application was to construct a rock breakwater, similar to the revetment CDD engineers recommending we do now
Lennar initially permitted a rock breakwater
Lennar later requested and received 2 deviations to construct the defective wall
The county did not investigate Lennar’s claims that the deviations did not impact wall viability. Rather, the
county simply accepted Lennar’s claims (county is not staffed with engineers to do independent analysis)

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CDD has made good faith efforts to settle
Lennar

On September 23, 2024, Lennar made an offer of settlement. the majority of CDD supervisors were Lennar employees

At the time,

The offer was for $2.9 million and included a number of conditions that made it impossible to accept

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HOA required to relinquish all claims, leaving residents to pay for road top coat, dock
repairs, etc.
Homeowners required to surrenders builder claims, including warranty
CDD required to defend Lennar against any future homeowner claims.
This amount is less than 15% of the estimated costs to install proper shoreline protection and would leave the HOA with no funds for their claims

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The LENNAR CONTROLLED CDD WITH MAJORITY LENNAR EMPLOYEES did
not accept the offer

CDD has made good faith efforts to settle
with Lennar
Lennar withdrew the offer shortly after WildBlue voted to start legal action against Lennar
Blue Lake CDD was not part of the WildBlue legal action and preferred a negotiated settlement with Lennar. Lennar did not initially respond to our requests for meetings.
Finally in August 2025, a CDD representative and Darin McMurray, Lennar met at the request of our CDD

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Lennar stated they would not negotiate
Their offer was “take it or leave it”
Lennar suggested that the CDD should sue if they wanted a better deal

With no other option, Blue Lake CDD voted 4-0 to initiate legal action against Lennar

CDD is starting repairs now which will help
prevent further property damage
CDD is pursuing engineering recommendation to construct a rock revetment across the northern 1/3 of the lake to protect against normal conditions
It is possible to wait for legal settlement prior to starting construction, however that risks further property damage
CDD has elected to begin construction immediately
More than $100,000 in emergency repairs have already been completed, more are coming
Construction now will help prevent further property damage
CDD is simultaneously pursuing legal action against Lennar and others to fund proper shoreline protection and save homeowners from bearing the entire repair costs