<p> July 2017</p><p>Grand Lake Estates Home Owners’ Association Financial Report: Cash Basis Revenues Calendar Years: 2016, 2017</p><p>Table #1: 2016 Cash Receipts & 2017 Cash Receipts through 7/15/2017 2016 2016 2017 2017 2017 2017 2017 Received Receivabl Received Receivable Received Received Total e Annual HOA dues $ 2,975 $3,100 Annual HOA dues $ 7,603 $ 7,210 $ 7,210 Home owners’ dock $ 16,900 $19,500 $19,500 fees Non-member dock fees $ 27,775 $25,450 $25,450 Other Total Cash Revenue $52,278 $ 7,210 $19,500 $25,450 $52,160*</p><p>Table #2 Grand Lake Estates Home Owners’ Association</p><p>Cash Balance 2017</p><p>Bank Balance, 1/1/2017 $85,008.71 Deposits: through 7/15/17 52,160.00* Checks in-transit ----- Less: actual 2017 expenditures through 7/15/17 < 16,885.14> Bank Balance, 7/15/17 $120,283.57 Outstanding checks < 180.00> Sub-total $120,103.57 Estimated dock fees receivable $ ----- Page 1 of 4 Dues receivable $ 3, 100 Est. uncollectible < 2,650> 450.00 2017 estimated payables <116,319.66> incl. $18,000.00 to Forest Service in Dec. for 2018</p><p>Estimated cash balance, 12/31/2017 $ 4,233.91 </p><p>Grand Lake Estates Home Owners’ Association Financial Report: Cash Basis Expenses Calendar Years 2016, 2017</p><p>Table #3 Expenses 2016 Actual 2017 Est.4 & Actual3 Fees to U.S. Forest Service for Marina Permit $17,688.003 $18,000.004  Note: new permit is for 20 years after 2009</p><p>Other Operating Expenses: Web site $ -0- $ 222.103 Mountain Parks Electric 319.00 329.403 Donations -0- -0- P.O. Box Rental 110.00 116.003 Postage 49.00 229.603 Property tax, Grand County 3,763.16 3,805.563 Income tax, U.S. Treasury -0- 1,954.733 Corp. registration - Sec. of State + DORA HOA fee 55.00 50.003 Insurance, property & directors’ liability 3,471.00 3,471.004 Director expenses 1,093.44 1,675.003 Tax return & report preparation fees 500.00 500.003 Attorney fees -0- 7,000.004 Office supplies, stickers, labels, copies 194.67 331.383 Membership in 3 Lakes Watershed Association 25.00 25.003 Maintenance: docks, stairs, clean-up 1,805.02 10,000.004,3 Maintenance: landscape & weed abatement 1,092.50 1,121.003 Subtotal $ 30,165.79 $ 48,830.774,3 Dredging $ 88,075.00 4 </p><p>Total Annual Expenses $ 30,165.79 $136,905.774,3 </p><p>Page 2 of 4 3 Actual 4 Estimated</p><p>Grand Lake Estates Home Owners’ Association Income Statement: Pro Forma for the year 2017 Table #4: HOA Dues / Marina Fees & Expenses, as of 7/15/17 HOA Dues Marina Revenue $ 52,160.00 $ 7,210.003 $44,950.003 Operating Expenses: Web site $ 222.103 $ -0- Mountain Parks Electric - 0- 329.403 Donations -0- -0- P.O. Box Rental 116.003 -0- Postage 131.603 98.003 Property tax, Grand County -0- 3,805.563 Income tax, U.S. Treasury -0- 1,954.733 Corp. registration - Sec. of State + DORA HOA fee 50.003 -0- Insurance, property & directors’ liability 3,471.004 -0- Director expenses 1,175.003 500.003 Tax return & report preparation fees 500.003 -0- Attorney fees -0- 7,000.004 Office supplies, stickers, labels, copies 129.493 201.893 Membership in 3 Lakes Watershed Association 25.003 -0- U.S. Forest Service Fee 18,000.00 4 Maintenance: cleanup, dock repair 10,000.004,3 Maintenance: landscape, weed abatement 1,121.003</p><p>Marina expense before dredging estimate $ 43,010.583,4 HOA expense total $ 5,820.193,4 $ 48,830.77 Page 3 of 4 Net income $ 3,329.23 $ 1,389.813,4 $ 1,939.423,4</p><p>Page 4 of 4 Grand Lake Estates Home Owners’ Association Table #5: Marina Annual Operations & Estimated Expenses As of 7/15/17 On-going, Annual Estimated Expenses Mountain Parks Electric $ 330 Postage 98 Property tax, Grand County 3,805 Income tax, U.S. Treasury 2,500 Office supplies, stickers, labels, copies 220 Director expense 500 U.S. Forest Service Fee 18,000 Maintenance: cleanup, dock repair 1,000 Maintenance: landscape, weed abatement 1,150</p><p>Total estimated marina on-going expenses $ 27,603 </p><p>One-time Estimated Marina Expenses Survey of depth & sediment composition $ 1,000 Dock removal for dredging {est. in-process} 9,000 Dredging * 88,075 Dock replacement {est. in-process} ** ?? Chain link fence removal and reforestation *** 3,200 Storage shed for materials & installation 2,500</p><p>Total estimated marina one-time expenses $ ?? </p><p>*5,500 Cubic yards of sediment (two estimates in-process: one using scuba divers and one with barge -- both use vacuum & bagging with drainage) 15-20 days vs. 30-45 days **Alternatives: new docks or refurbished old docks + reconfiguration *** Fence removal could occur at same time as dock removal using a loader </p><p>Page 5 of 4</p>