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President’s Message | 1 Second Quarter Recap | 4 Hurricane Prep | 9 2015 Conference Recap | 12 Dealing with Angry Customers | 17

A Quarterly Publication of: New & Renewed Members | 2 Stripping Liens | 6 Second Hand Smoke | 10 Insurer Stability | 14

President’s Message Cindy Craft Dunlop Dear Northeast Florida CAI Members, Happy summer to you! It is my hope that this newsletter finds you vacationing on a sandy beach somewhere sipping the fruity beverage of your choice. How nice to address the Northeast Florida CAI members! Please help us get the word out to our neighboring counties that we are now the Northeast Florida Chapter of CAI and we are here as an educational resource for them. Feel free to forward chapter emails about events to invite your contacts to the next luncheon or upcoming events. Inviting guests to our socials is a great way to get folks involved and see the lighter side of our members. Be on the look-out for upcoming socials at Jax Beach and St. Augustine. Thank you and well wishes to our Chapter Executive Director (CED), Brittany Lamoureux, who made the decision to resign as CED to focus on her full-time position and her two little ones. We wish you nothing but the best Brittany. It is my pleasure to welcome Stephanie Peluyera back as our Chapter Executive Director. Stephanie served as our CED in 2012 and 2013 prior to having her daughter, Isabella, and we are excited she has decided to join us once again. Stephanie has many great ideas and her bubbly personality is contagious! Please contact Stephanie at with questions, to refer a new member, share ideas, volunteer for a committee, or to learn more about event sponsorship and advertising opportunities. Save the date! You won’t want to miss our upcoming Education Event and Expo “Back to School” on September 10th which will be held at the Schultz Center. Keynote speaker Betsy Barbieux from the Florida CAM School will share her wisdom regarding “Dealing with Difficult People”, which is sure to provide valuable tips for every member category with the bonus of receiving credit for a 2-hour continuing education (CEU) course for our managers. PRESIDENT CONT.


W: E: M: 9802 Baymeadows Rd #12 PMB201 Jacksonville, FL 32256

2015 Chapter Sponsors PLATINUM

Angius & Terry, LLP Lake, Brown, Williams CPAs and Consultants, Inc.

GOLD CNLBank Kings III Emergency Communications

SILVER Aquatic Systems BB&T First Coast Association Management Mosquito Joe Union Bank

If you are interested in becoming a chapter sponsor, please visit for details.

Amy Layne is chairing the committee with detailed information to come very soon. Amy and her committee are dedicated to making the event affordable (just a $5 entry fee) and focused on education with several CEU classes included. There are many opportunities for all our members at the event, so please reach out to Stephanie at if you are interested in sponsorship opportunities or teaching a CEU course. Best Regards, Cindy Craft Dunlop CAI NE Florida Chapter President “If you change the way you look at things, the things you look at change�

Dr. Wayne Dyer

WELCOME NEW MEMBERS First Coast Management Management Company Marilyn Clayton Universal Protection Services James Dycus

Vesta Property Services Management Company Robert Stevens John Tancredi CAVL

Florida Paints Gene Ponder Bullard, Herndon & Brown, P.A. Randy Herndon Bernard Vargas Vila Community Manager

2015 Top Recruiters First Quarter Leslie Pragasam Aquatic Systems

Second Quarter Cindy Craft Dunlop CNLBank

Third Quarter YOU? 2

WELCOME BACK REJOINED MEMBERS Driveway Maintenance Kerry Barnes

Kings III Emergency Communications Candace Harrison

Jerre Breitbart Community Manager

VanDyke Norman Insurance Andy Norman

THANK YOU TO THE MEMBERS WHO HAVE CHOSEN TO RENEW THEIR CHAPTER MEMBERSHIP William Tech, CMCA, AMS, PCAM Community Manager Kerri Van Pelt, CMCA, AMS, PCAM Community Manager BCM Services, Inc. Management Company Denise Wallace Lynn Salcedo, CMCA Community Manager Patty Stewart Community Manager

Sherry McNees Community Manager

Theresa Graeser, CMCA, AMS Community Manager

Envera Kevin Flanagan Fletcher | Stein Insurance Carie Whitcomb

Mitchell Mattocks, CMCA, AMS Community Manager

Ian H Graham Insurance Sylvia Tagle Daniel Brazzano Community Manager

Reserve Study Group Stuart Wilkinson Richard Janusz CAVL Dewey Walker CAVL

May Management Services Management Company Ginger Matlock

We are so proud of our members and are thrilled that you are finding value in your membership. We hope that you continue to be a loyal and involved member for a very long time! 3

Second Quarter Events Recap May 2015 Meeting Many thanks to those who attended our May luncheon & to our Chapter sponsors. We heard from the legislative action committee (LAC) members of our chapter on the most recent Florida Legislative Session. What an informative session on the many changes to look for affecting our industry and our communities. Thank you to Ed Ronsman, Esq., Amy Layne, LCAM CMCA, AMS and Pilar Willis Dixon for serving on this important committee and reporting to our members.

You will not want to miss our upcoming luncheon on July 9th where Mike Buresh, Chief Meteorologist on Action News at WJAX -TV/WFOX-TV, will provide hurricane preparedness tips.

CAI 9 Hole Golf Outing

On May 28 , we hosted our first golf outing at the Golf Club at South Hampton. Special thanks to Kevin Flanagan for coordinating this event on such short notice. A good time was had by all & a few of the attendees discovered a new found love for golf! We look forward to making this event an annual event. th

Sweet Summer Social

On June 3rd, we hosted our first social of the summer & there was a great turn out! Special thanks go to David Robinson & his Social Committee for planning a great event. Attendees enjoyed appetizers, drinks, and a special candy making class & were able to take home lollipops made during the event. Thank you to everyone who made this event a success! We have lots planned for the third quarter—you won’t want to miss these fun events!



Supreme Court Rules that Liens Cannot be Stripped in Chapter 7 Bankruptcy Proceedings By Cynthia Trimmer | Attorney - Ansbacher Law | | 904.737.4600

The Supreme Court of the United States ruled in Bank of America, N.A. v. Caulkett on June 1, 2015 that debtors in a Chapter 7 bankruptcy proceeding cannot void a junior lien even if the first mortgage exceeds the current value of the property.

supported by a security interest in property, regardless of whether the value of that property would be sufficient to cover the claim." Therefore, the Court held that a junior lien cannot be voided under 11 U.S.C. ยง506(d) if the claim is secured by a lien and allowed under ยง502 of the Bankruptcy Code.

This decision is significant because it resolves a split among federal circuits in favor of junior lien holders, which would include condominium and homeowners associations. Previous decisions from the Eleventh Circuit Court of Appeals provided that debtors could use lien striping in a Chapter 7 bankruptcy to eliminate wholly unsecured junior liens. The Supreme Court's ruling in Caulkett fundamentally changes the analysis upon which the earlier decisions relied. Specifically, the Eleventh Circuit decisions focused on the term "secured claim" finding that a determination of whether any equity existed beyond the first mortgage controlled whether a junior interest was secured. These decisions opened the door to lien stripping in Chapter 7 cases where the property was underwater to the detriment of condominium and homeowner associations.

Dicta in the decision suggests that the ruling may be ripe for reconsideration. Until then, an association lien cannot be eliminated in a Chapter 7 case solely on the theory that the value of the property is less than the first mortgage. This decision does not address whether a similar lien in a Chapter 13 proceeding can be avoided.

The new decision changes the focus from the value of the property in question to whether a claim is supported by an underlying security interest. Relying upon the analysis in Dewsnup v. Timm, 502, U.S. 410 (1992), the Court found that "a 'secured claim' is a claim 6

CHAPTER STAFF SPOTLIGHT Stephanie Peluyera C h a p te r E xe c u t i ve D i r e c tor Educational background, where you grew up, info about family (spouse, kids), employer & job title, length of employment at current job I grew up in Orlando, FL where I resided until moving to Jacksonville for college in 2007. I graduated from Trinity Baptist College with a Bachelors in Elementary Education in 2010 and married my husband that same year. We were blessed with our little girl, Isabella (busy Izzy to us) in October of 2013. I currently work at Associa | Community Management Concepts of Jacksonville, Inc. as an Administrative Assistant and Education Coordinator. I have been with CMC for four years in August. Personal stuff, such as hobbies & other organizations you are involved & other things that make you super cool I enjoy all things artistic and colorful and messy! I enjoy most spending time with my husband and daughter, my husband serves in the United States Air Force and any time spent together is special. We enjoy trying new restaurants, going to the zoo and visiting new parks and historical sites. What do you hope to accomplish by working for the NE Florida Chapter? My goal for the chapter is for it to become known as the ‘go-to’ resource for Community Association Education and Information. To build up a solid and far-reaching reputation that surpasses even the loftiest of goals set by board members! Where would you like to see the chapter in 5 years? I’d like to see the chapter grow in classification from a small to a medium chapter and to continue winning awards for innovation and growth at the National Conventions.



2015 Hurricane Preparedness Guide James M. Dycus, Sr. | Business Development Manager—Universal Protection Service | (407) 758-3130

Hurricanes are a type of tropical cyclone or low pressure system that is accompanied by thunderstorms. They can create violent waves, winds, rains and floods, and often lead to major damage and loss of life. Hurricanes are categorized by their wind strength and are given names when their winds reach 39 mph. Category 1 storms have the lowest wind speeds, while Category 5 hurricanes have the strongest. However, lower category storms can sometimes cause greater damage than higher category storms due to flooding and location.

Before a hurricane □ Determine if you live in a hurricane– prone area and prepare a written plan for your home or business. Know where you and your family or employees will go if required to evacuate. □ At the beginning of hurricane season in June, check your emergency kit supplies, rotate your food and water stocks and replace all batteries. □ Monitor the National Weather Service broadcasts ( throughout the season (June 1 through Nov. 30). □ Know the difference between a “watch” and a “warning.” A hurricane watch means that the possibility exists for a hurricane within the next 48 hours and you should initiate protective measures, while a hurricane warning means that winds of at least 74 mph are expected within 36 hours or less and you should consider your safest location for shelter. Emergency training □

Learn what you can do before, during and after any disaster. Visit for tips and info. Community Emergency Response Team (C.E.R.T.) classes are usually available through your local fire department. C.E.R.T. classes equip average citizens to deal with most types of disasters based on your area.

Emergency kits for your office, home and vehicle Include the following items: jumper cables, battery-powered radio, road flares, oil, antifreeze, first aid kit, blanket, fuses, flashlight and batteries, gloves, screwdrivers, pliers, wrench, tire inflator, rags, paper towels, duct tape, pocketknife, pen/paper, any personal medications, matches, energy bars and bottled water. Secure your home or business □ Contact your local building code official to find out what you will need to do to initiate improvement projects. □ Use hurricane straps to secure the roof to its structure frame. □ Consider adding permanent storm shutters to your windows or board them using pre-cut ½” thick plywood and screws with anchors. □ Trim trees and shrubbery around your property and clear out clogged gutters and downspouts. □ Tie down or secure any loose items outside and ask your neighbors to do the same. □ Take an inventory of everything you own and keep the list in a safe place away from the property. □ If your own insurance does not cover flood damage, call the National Flood Insurance Program at (888) 379-9531 for information regarding how to qualify for pre-disaster insurance.

During a hurricane □ Pre-select an evacuation destination that is near your home or business. If you decide to leave the region, be prepared to encounter 9

traffic. □ If you plan to stay at a hotel, call ahead to reserve a room. If you are unable to stay at a hotel or with family/friends, then take your emergency supply kit with you and head for a shelter. □ If you are ordered to evacuate, fill your vehicle with gas and leave immediately, as even a slight delay can result in longer travel times due to traffic congestion.

After a hurricane □ Check yourself and others for injuries and seek medical attention immediately, if necessary. Apply pressure to any bleeding wounds. □ If you or others are trapped, do not try to move them unless there is immediate danger. Instead, call for medical assistance. □ Be aware of possible structural, electrical or gas-leak hazards in your home or business. Also be on the lookout for and stay clear of contaminated water, downed power lines and broken glass. □ If you smell gas in your home, turn off the main gas valve, open all windows and leave immediately. Notify the gas company, police or fire department and do not return until you are told it is safe to do so.

When the Smoke Clears...

Options for the Regulation of Second Hand Smoke in Community Associations "Secondhand smoke," means smoke emitted from lighted, smoldering, or burning tobacco when the smoker is not inhaling; smoke emitted at the mouthpiece during puff drawing; and smoke exhaled by the smoker. The U.S. Environmental Protection Agency has reported that second hand smoke is known to cause cancer in humans, even healthy nonsmokers. Second hand smoke is the third leading cause of preventable deaths in the United States and may cause, or be a contributing cause, of Sudden Infant Death Syndrome, miscarriages, nasal sinus cancer, lung cancer, heart disease, and chronic respiratory problems. Due to the many negative health impacts of second hand smoke, states have taken action to eliminate smoking in public places.

Declarations are "clothed with a very strong presumption of validity", which arises from the fact that each owner purchases their property knowing of and accepting the restrictions to be imposed. Such restrictions will usually not be invalidated, unless they are entirely subjective in their application, are in violation of public policy, or negate some fundamental constitutional right. Furthermore, an amendment would express the will of the community and is likely to withstand judicial scrutiny. Since second hand smoke is so controversial, an amendment would be the better avenue to pursue. Robyn M. Severs, Senior Attorney 100 Whetstone Place, Suite 101 St. Augustine, FL 32086 | Tel: 904.423.5372 | Fax: 904.239.5938 E-Mail | Website

It may also be prudent for community associations to regulate or ban smoking. Recently, a jury in a California case, Chauncey v. Bella Palermo Homeowners' Association, Inc., Orange County Superior Court Case No. 30-2011-00461681, found a condominium association partially liable for failing to prevent a resident from smoking on his patio and sidewalks in front of the units. While the association's covenants and rules did not restrict smoking, it had a nuisance provision and the jury found that the association should have prevented the incessant smoking based upon the nuisance provision. On the other hand, in Maine, the Supreme Judicial Court, in America v. Sunspray Condominium Association, Inc., 61 A.3d 1249 (2013), found that a unit owner could not proceed forward with his case because he failed to show that the association had not enforced its ban on smoking or that he had been injured by any second hand smoke. Instead, the unit owner had only shown that the association did not enforce the smoking ban how the unit owner had requested it be enforced. Based upon these cases, an association may want to consider the following restrictions for its community: 1. A ban on smoking on the common areas or common elements, and/or on limited common element balconies, lanais, and patios; 2. Require smokers to use smokeless ashtrays, or to install air purifiers or fans to reduce the transmission of second-hand smoke from their immediate vicinity; and/or 3. A ban on smoking in the entire community. Even if an association's board has authority to adopt a rule as to smoking, it may be better to adopt an amendment to the Declaration. Covenants and restrictions found in 10


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YOUR COMPANY AD COULD BE HERE! We have one more quarterly newsletter this year, don’t miss your last opportunity to advertise in the 2015 Chapter Newsletters. If you are interested in advertising or writing an informative article for the upcoming newsletter please contact the Newsletter Committee Chairperson, Leslie Pragasam at 11

2015 National Conference Each year chapters from across the country compete for Chapter Achievement and Excellence Awards in various categories. We are so proud to announce that our chapter was recognized and awarded at this years conference. We were named as the winner in the Member Services category for our Chapter ENewsletter! President Elect, Ed Ronsman, Esq. accepted the award on behalf of the chapter. Thank you to our Newsletter Committee Members and all of the hard work they put into ensuring that we have an award-winning e-newsletter each quarter!

Rosen Shingle Creek—9939 Universal Blvd, Orlando, FL 32819 CLICK HERE FOR HOTEL RESERVATIONS AT THE CAI REDUCED RATE Register Online at Full Conference Registration Includes: - All education sessions - All general sessions - Wednesday welcome reception - Thursday expo luncheon - Friday expo luncheon - Friday awards event

WHO SHOULD ATTEND? Community Manager | Management Company Executives Product and Service Providers | Association Board Members Through shared perspectives, experience and knowledge, a strong peer network is one of the best resources for creating community legacies. Shape your future success and strengthen your personal and professional connections by meeting colleagues from around the world and building on their collective wisdom. The Annual Conference features plenty of opportunities to develop connections and expand your network with small-group interactions and large social events. Receptions, meetings, exchanges and ShopTalks offer a variety of venues for advancing ideas and cultivating the professional contacts that can be as critical to success as education and experience. 12


Navigating Insurer Stability: It’s More Than Just a Rating

Sim Bridges, CPCU, CPL | Vice President—Underwriting, Coastal Insurance Underwriters (904) 395-5912 |

Understanding insurance companies’ financials can be very difficult and a tough task for associations. Associations often rely on an A.M. Best rating or a Demotech rating solely when choosing the appropriate insurer for our associations. There are multiple items to consider when choosing the insurer that is the best fit for your association when it comes to financial stability and protecting your association.

the insurers they have reviewed for a rating while other rating insurers accept approximately ninety percent of their applicants.

licensing examination, catastrophe model reports, reinsurance placement, and base insurance rates prior to assigning the rating. The company had its rating process examined and approved by Fannie Mae in 1989, Freddie Mac in 1990, and HUD in 1994. Demotech reports that they have assigned an FSR to seventy percent of

All admitted insurers in Florida are members of the Florida Insurance Guaranty Association (FIGA). FIGA is a non-profit, state based, and statutorily created system to protect policyholders in the event an insurance company

You may ask yourself, how does an insurance company insure our association if our property values exceed their surplus? This is where reinsurance comes into play. It is important to understand that property insurers rely on reinsurance to protect their surplus. Reinsurance What is a Financial Strength Rating? An is insurance for the insurance company. FSR is an indicator on the financial stability of an Transferring the risk of large losses to reinsurers insurance insurer. There are six rating agencies, allows Florida insurers to have access to but we see most often A.M. Best or Demotech additional capital and build up reserves to pay rated insurers in Florida. claims. In 2012, it was reported that ninety eight percent of Florida insurers purchased reinsurance to manage at least a 1 in 80 year A.M. Best is the best known of the storm. Putting that into perspective, this is much financial rating companies in the industry. The company was founded in 1899 so it has well over larger than Hurricane Andrew. one hundred years of history. A.M. Best utilizes an insurer’s balance sheet strength, operating It is important to understand what your performance, and business profile when insurer has gone through to operate in Florida. assigning the appropriate rating for the insurer. Florida’s insurers go through meticulous evaluations by the Florida Office of Insurance Regulation (OIR) and it is considered one of the Demotech, founded in 1985 assigns toughest states to get approval in. The OIR has financial stability ratings to a lot of the domestic and regional insurers throughout the country as to approve insurance companies to do business in our state, whether admitted or non admitted. well as larger nation wide companies. They go The state reviews the financials of a company through an extensive financial analysis of the along with other aspects prior to providing them insurance company to determine a rating. Like A.M. Best, Demotech looks over balance sheets with a license to do business. An admitted insurer has to have all property forms and rates as well as other factors such as pro forma approved by the state prior to doing business financial statements, key personnel bios, a review of the initial state department of insurance and they are monitored thereafter.


becomes insolvent and immediately take responsibility of all outstanding claims when it happens. FIGA is similar to the FDIC for banks. Condominium and homeowners associations are protected with a limit of the lesser of the policy limits or $100,000 per unit. For example, a 100 unit condominium associated is covered for up to $10 million of limit by FIGA.

which rating agency they have an assignment by. A deceptive insurance agent may convince you otherwise by telling you AM Best is the only credible rating firm or that a certain insurer does not have the capital to pay your claim. Florida Statute 626.9541 prohibits insurance agents from using these types of deceptive and unfair sales practices as a sales ploy. It is recommended to report these violations to the Florida Department of Financial Services Division of Consumer Services.

It is important when choosing the insurer that fits your association’s needs the best, to review all of these aspects when reviewing the different insurers’ stability. By all means, insurance agents can help you to obtain financial information about Florida insurers. Don’t be fooled into making a decision on the insurer based solely on the FSR and 15

PARTNERSHIP OPPORTUNITIES Expo Booth - $400 (Non-Members: $550) - Expo table with tablecloth and 2 chairs (Can be upgraded to a double booth for An additional $300) - Customized Digital Marketing Packet - 2 Lunch/General Session Tickets - Logo/Name on Chapter Expo Event Web Page - Logo/Name in Event Program


Course Provider/Sponsor - $250 per hour (Max. 2 hours) Non-member: $300 per hour - One-on-One with course attendees - Logo/Name permitted on all course material handed out (as laws permit) - Customized Digital Marketing Packet - Logo/Name Outside Classroom during entire event - Logo/Name on Chapter Event Web Page - Logo/Name in Event Program - Logo/Name on Stage During General Session/Expo

Course Provider/Sponsor Bundle Deal - $800



(Available ONLY to Members) - 2 Hours of course time with all benefits listed above - One Expo Booth (Can be upgraded to a double booth for $300)



Registration Sponsor—$1,000 (2 Available) - Display table at entrance to event - Logo on all bags and lanyards provided to attendees - Logo on stage during general session - Logo on all marketing for event - Logo on Chapter Expo Event Web Page - 5 minutes to address attendees at general session

Teacher’s Lounge (Happy Hour) Sponsor—$500 (2 Available) - Logo displayed near bar - Logo on all marketing for event - Logo on stage during general session - Logo on napkins during Happy Hour





5pm 16

Morning Session 1

Morning Session 2 Lunch General Session "Dealing with Difficult People" 2HR or ELE Credits

Chapter Expo & Raffles

Afternoon Session 1

Afternoon Session 2

Seven Steps for Dealing with Angry Customers Daniel Cobreiro, District Manager | KW Property Management | 904-371-1912 | Customers get rude or angry for a variety of reasons—some justified, some not. But since we’re in business to serve customers, you’ll likely encounter rude or angry individuals at one time or another. How you respond can make the difference between a customer who feels satisfied with the resolution and one who vows never to patronize your business again.



Find a solution. Once you understand why the customer is unhappy, it is time to offer a solution. Put forward your own fair and realistic answer to the problem. In most cases, that’s all the customer is looking for—and may result in providing some degree of satisfaction.


Take a few minutes on your own. After the situation has been resolved and the customer is on her way, it’s helpful for you to take your own “time-out.” Even if you’ve handled the situation in the most professional way possible, Remain calm. When a customer starts yelling or being otherwise rude, there is nothing to be gained by it’s still a stressful experience. Rather than let that stress linger inside you, take a short walk, treat yourself to a snack responding in a similar manner. In fact, that will probably or find someone to talk to who makes you laugh. Then escalate hostilities. Maintain control of yourself, even if the you’ll be ready to once again engage with your customers. customer’s tirade makes you feel like yelling yourself. Here are tips for coping with a tense situation and hopefully resolving it to everyone’s satisfaction:

1. 2.

Don’t take it personally. Remember, the customer is not angry with you, they are displeased with the performance of your product or the quality of the service you provide. Your personal feelings are beside the point.


Use your best listening skills. The first thing an angry customer wants is to vent. To do so, they need someone to listen—and, for better or worse, you are that person. Listening patiently can defuse a situation, as long as the customer feels acknowledged in his or her complaint. Hear them out. When they are done talking, summarize what you’ve heard and ask any questions to further clarify their complaint. Body language can be critically important here. Keep eye contact. Stand or sit up straight. Keep your arms uncrossed. Show how closely you’re paying attention to their problem.


Actively sympathize. After the customer vents, he wants to know you understand where he’s coming from and how he or she feels. Express sympathy for their unpleasant customer experience. Respect and understanding go a long way toward smoothing things over.


Apologize gracefully. Whether the customer’s complaint is legitimate or not is really irrelevant. If you want her to stay a customer, you need to express an apology for the problem they are having (or perceive to be having). A simple, straightforward statement is often all that’s needed: “I’m sorry you’re not happy with our service. Let’s see what we can do to make things 17

NE FL Chapter 2015 Board of Directors Cindy Craft Dunlop President Edward Ronsman, Esq. President-Elect Donna Clawson Treasurer Leslie Pragasam Secretary Mitchell Mattocks, LCAM, CMCA速, AMS速 Director Stephanie Peluyera Executive Director If you would like to be involved in one of our various committees contact our Executive Director at to be put in contact with the committee chairperson. 18

UPCOMING CHAPTER EVENTS CHAPTER MEETINGS 11:30am | Maggiano’s Little Italy | 10367 Mid Town Parkway July 9th—Severe Weather and Flooding Presented by Mike Buresh from Action First News October 8th—Topic to Be Determined More Details to Follow

SOCIAL EVENTS 9 Hole Golf Outing July 23rd The Golf Club at South Hampton | 5:30pm

Summer Send-off Mixer August 21st | 5pm Casa Marina Hotel



Profile for CAI - NE Florida

Community Connection | V2 I3  

Community Connection | V2 I3