NOTICE OF RECEIPT OF PETITION

THREE CREEKS COMMUNITY DEVELOPMENT DISTRICT

On March 30, 2007, the Florida Land and Water Adjudicatory Commission (“FLWAC” or “Commission”) received a petition to establish the Three Creeks Community Development District (the “District”). The Commission will follow the requirements of Chapter 42-1, Florida Administrative Code (F.A.C.), as amended, and Chapter 190, Florida Statutes (F.S.), as amended, in ruling on this petition.

SUMMARY OF CONTENTS OF PETITION: The petition, filed by The St. Joe Company, requests the Commission establish a community development district located entirely within the incorporated limits of the City of Port St. Joe, in Gulf County, Florida. The land area proposed to be served by the District comprises approximately 1,812.999 acres. A general location map is contained as Exhibit 1 to the petition to establish the District. The proposed land area is generally located on U.S. 98/S.R. 30 between S.R. 386 and the City of Port St. Joe. There are no parcels within the external boundaries of the proposed District which are to be excluded from the District. The Petitioner has obtained written consent to establish the District from the landowners of 100% of the real property located within the proposed District. The proposed infrastructure plan consists of roadways; landscaping, irrigation and entrance features; recreation; stormwater management; and potable water and sanitary sewer. SUMMARY OF ESTIMATED REGULATORY COSTS: The statement of estimated regulatory costs (SERC) supports the petition to establish the District. The complete text of the SERC is contained as Exhibit 8 to the petition. The requirements for a SERC are found in Section 120.541(2), F.S. A SERC must contain (a) a good faith estimate of the number of individuals and entities likely to be required to comply with the rule, together with a description of the types of individuals likely to be affected by the rule; (b) a good faith estimate of the costs to the agency, and to any other state and local government entities, of implementing and enforcing the proposed rule, and any anticipated effect on state or local revenues; (c) a good faith estimate of the transactional costs likely to be incurred by individuals and entities, including local governmental entities, required to comply with the requirements of the rule; (d) an analysis of the impact on small businesses as defined by Section 288.703, F.S., and an analysis of the impact on small counties and small cities as defined by Section 120.52, F.S.; (e) any additional information that the agency determines may be useful; and (f) any good faith written proposal submitted under section (a) and either a statement adopting the alternative or a statement rejecting the alternative in favor of the proposed rule. Addressing section (a), the District, the State of Florida, and the City of Port St. Joe are principal entities that are likely to be required to comply with the rule. In addition, current and future property owners will be affected by the establishment of the proposed District. Under section (b), FLWAC and the State of Florida will incur administrative costs. The City of Port St. Joe and Gulf County will incur costs resulting from the initial review and on-going costs resulting from the on-going administration of the District. There is a $15,000 filing fee paid to the City of Port St. Joe and Gulf County to offset any costs it may incur. Adoption of the proposed rule to approve the formation of the District will not have an adverse impact on State and local revenues. Addressing section (c), the District may levy non-ad valorem special assessments on properties within its boundaries to finance infrastructure that the District funds and to defray the costs of operating and maintaining the infrastructure and associated community facilities. The District may issue notes, bonds, or other indebtedness to fund its improvement program. Prospective future land owners would be required to pay off such indebtedness over time in the form of non-ad valorem special assessments or other rates, fees or charges. The District may also impose an annual levy for the operation and maintenance of the District. Under section (d), approval of the petition to establish the District will have no impact or a positive impact on small businesses. The City of Port St. Joe has a population of 3,644 and is therefore defined as a “small” city according to Section 120.52, F.S. The petition to establish the District will not unduly burden the City of Port St. Joe by the development of land within the District and any impact will be mitigated by the additional tax, shared and other revenues available to the City to provide municipal services. Under section (e), the analysis provided in the SERC was based on a straightforward application of economic theory. Input was received from the Petitioner’s engineer and other professionals associated with the Petitioner

A LOCAL HEARING WILL BE HELD AT THE TIME, DATE AND PLACE SHOWN BELOW:

DATE AND TIME: Friday, June 1, 2007, 10:00 a.m. (EDST)

PLACE:      County Administration Office

                    Board Room

                    1000 Cecil G. Costin Senior Boulevard

                    Port St. Joe, Florida

Any person requiring a special accommodation to participate in the hearing because of a disability should contact Brian A. Crumbaker, (850)222-7500, at least two (2) business days in advance in order to provide sufficient opportunity to make appropriate arrangements.

Copies of the petition may be obtained by contacting: Brian A. Crumbaker, Hopping, Green & Sams, P.A., 123 South Calhoun Street, Post Office Box 6526, Tallahassee, Florida 32314, (850)222-7500, or Barbara Leighty, Florida Land and Water Adjudicatory Commission, Office of Policy and Budget, Executive Office of the Governor, The Capitol, Room 1801, Tallahassee, Florida 32399-0001, (850)487-1884.