The Trails at Hiwan Rules & Regulations Revised September 28, 2012

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1 GOOD NEIGHBOR POLICY The Trails at Hiwan Rules & Regulations Revised September 28, 2012 The Rules and Regulations as stated herein are brief and are not inclusive of all facets of the Restrictive Covenants and Bylaws of the Hiwan 6 th Filing, Phases I & II. They are proved as a reference summary. Please refer to those specific documents for further clarification. The most important factor for every homeowner is consideration for your friends and neighbors in the Hiwan 6 th Filing. Please be aware of how your property alterations and actions affect those around you. Thank you for your help and cooperation in keeping the Hiwan 6 th Filing a strong community for the benefit of every homeowner. Any information varying from original content has been (a) compressed for inclusion in this document or (b) grammatical variation. These documents are intended to remain with your property. Additional sets, including Declaration of Restrictive Covenants, Bylaws, and Design and Construction Guidelines are available from our website ( Your realtor should provide a set when you purchased your home. Hiwan 6 th Filing Homeowner s Association consists of all homeowners residing in Hiwan 6 th Filing, Phases 1 and 2 who share the expenses and responsibilities of this community. The common interest of all who reside in the community is to maintain the highest quality of life for all residents, and the highest values of the homes and property. Bylaws of Homeowners Association for Hiwan 6 th Filing, Phases 1 and 2, Article VIII allow the Board of Directors to adopt and amend from time to time, reasonable uniform rules and regulations. All owners shall obey the rules and regulations as promulgated by the Board (Bylaws, page 14, Article 8). The following Rules and Regulations are summarized, and are not all-inclusive, from Declaration of Restrictive Covenants, Articles of Incorporation, Bylaws and Community Rules, Regulations, Ordinances, and Laws. They are applicable to all areas within the community of Hiwan 6 th Filing, Phases 1 & 2, whether owner by the Association, or individual homeowners. Lack of knowledge of these documents will not excuse homeowners of violations of these documents. These rules apply to all homeowners, residents, guests, invitees, and licensees. All homeowners are responsible for the conduct of the above mentioned. Any damage or HOA Board Page 1 10/10/2012

2 destruction to common area is the responsibility of the home involved, and will be billed to that homeowner accordingly. The Board of Directors and Design Review Committee herein will enforce the Rules and Regulations. Penalties for infractions will be levied in accordance therein. Any uncertainty or questions regarding the Rules and Regulations should be directed to the Management Company, who will forward the information to the appropriate committee, Design Review Committee or the Board of Directors. Hiwan 6 th Filing, as an Association, will not involve itself in personal and neighborhood disputes. GENERAL Hiwan 6 th Filing is strictly residential. Commercial enterprises are not allowed if they involve the solicitation or invitation of the general public to the lot or residence. Each residence is a single-family dwelling. No room or rooms in any residence may be rented or leased to any person. However, the owner may rent the entire residence to a single family. No loud or disturbing noises (music, television, shouting, etc.) are permitted in the community. Any complaints or notices of disturbances should be directed to the Jefferson County Sheriff s Office. No built-in barbeque cooking facility shall be located nearer than 25 feet from either side or real lot lines, unless made part of the residence. Because we are located in a high fire hazard area, no trash, garbage, pine needles, slash pile, or leaves shall be burned on the premises. This disallows burn barrel or pile permits or open slash burning (pine needles, leaves, trees and limbs). Slash pile drop offs which accept trees and limbs up to 8 long and 6 in diameter, but no pine needles or leaves, are available from June through August in Jefferson County. Look for ads in your local newspaper. Recreational fires are restricted to outdoors fireplaces constructed of stone, brick, or other decorative fireproof material and installed with a screened firebox, chimney spark arrestor, and protected hearth. Building permits from Jefferson County and Design Review Committee approval are required. No open pit fires, such as ground fires, are permitted. Note of caution on indoor wood burning fireplaces, they should be cleaned yearly to avoid chimney fires which are the most common response for the Evergreen Fire Department. Again, do not burn trash, rubbish, pine needles, or leaves in your indoor fireplace or stove. HOA Board Page 2 10/10/2012

3 Each lot, at all times, shall be kept in a clean, sightly, and wholesome condition. No trash cans, trash, litter, junk boxes, containers, bottles, cans, implements, machinery, lumber or other building materials shall be permitted to remain exposed on any lot so as to be visible from any neighboring lot or road. For the preservation of open spaces and the safety of homes, no fireworks or firearms may be discharged with the community in conjunction with Jefferson County ordinances. Any damage, destruction, or adaptation for personal use of the common areas is a violation and is subject to the fines and penalties in Section 5 of these Rules and Regulations. In addition the homeowner will be liable for all repair costs, and/or fire fighting costs, and damages occurring in the common areas including the circles. The trash pickup for most homeowners is Monday. We ask that you not put your trash out prior to your pickup day to eliminate animals spilling it and blowing winds spreading the rubbish. Contain trash, i.e., boxes; bags; and trashcans; in proper wind proof containers. Any trash or emptied cans must be removed from the roadside within 24 hours after pickup and shall not be permitted to remain exposed on any lot so as to be visible from any neighboring lot or road. Association open space is available to all members of the Hiwan 6 th Filing, Phases 1 & 2 Homeowners Association. Any encroachment of this open space by any member or members by maintaining or improving this property or installing fences or other installations without a License Agreement is a violation and is subject to the fines and penalties in Section 5 of these Rules and Regulations. POND INFORMATION The pond areas north of the residences along Broadmoor Drive and Interlocken Drive are restricted areas. The ponds are not be used for any type of recreational use, including swimming, ice skating, or fishing. The Association s insurance is expensive, and while the Association owns the underlying land, The Hiwan Golf Club owns the water. ARCHITECTURAL VARIANCES Refer to Design and Construction Guidelines. These rules are enforced to assure that all improvements will be good and attractive designs in harmony with other development within the subdivision, and consistent with the goal to create an open mountain residential environment preserving and enhancing the property values of the subdivision. No exterior or architectural change of any kind may be made without first submitting for and receiving approval in writing from the Design Review Committee. See Design and Construction Guidelines for details. Failure to secure approval may result in fines to the homeowner as detailed later in this document. HOA Board Page 3 10/10/2012

4 VEHICLES, PARKING & TRAFFIC Boats, campers, campers on or off a truck, mobile homes, trucks (other than pick-up trucks), recreational vehicles, horse trailers and other trailers, and other large vehicles shall not be permitted on any lots or streets in the subdivision for more than 72 hours unless they are stored or parked within a structure approved by the Design Review Committee for such purposes. On or off street parking (easement) for more than 24 hours or for extended periods of time is unsightly. Please be considerate of your neighbors. Parking off driveways or paved surfaces is not allowed. ANIMALS Owners may keep dogs, cats, or other animals that are bona fide household pets. Horses, cattle, sheep, goats, pigs, rabbits, poultry, or other livestock shall not be kept on any part of the lot. In consideration of the community, pet owners should immediately remove animal feces from the common areas when walking their pets. Dogs are not permitted to bark excessively or run loose. Dog owners should be aware that your neighbors are encouraged to report these violations to the Jefferson County Animal Control or Jefferson County Sheriff s Office. Any pet that inflicts injury upon any person, pet, or wildlife will be considered vicious and will be reported to the Jefferson County Animal Control Division for proper action ( ). Breeding of animals of any type is strictly prohibited. A maximum of three pets is allowed at any residence in Jefferson County. Construction and/or alteration to any pet house or runs outside the main residence shall require approval from the Design Review Committee. ASSESSMENTS AND COLLECTIONS Yearly assessments are due and payable on the 1 st day of July through September 30. They are late when received after September 30. A late charge of $15.00 will be charged to the owner of the lot on the 1 st day of October and will accrue monthly. The first late notice will be sent to the homeowner during the same month. Beginning November 1 and additional 2% per month will be charged on the total unpaid balance and will accrue monthly. HOA Board Page 4 10/10/2012

5 In addition, failure to make payments will result in the filing of a lien on November 1 st and a $ filing fee will be applied to the homeowner s account. The attorney, and or Association, may send a demand letter at this time. Subsequent charges to the lien will accrue additional filing fees or $ each. All collection costs, including legal fees, will be applied to the homeowner s account. Audience with the Design Review Committee or the Board of Directors regarding complaints of design changes may also be refused until the homeowner s account has been paid current. However, the Board of Directors will discuss financial arrangements with any delinquent homeowner. FINES AND PENALTIES Enforcement procedures under these Rules and Regulations may be exercised independently of any enforcement action taken by governmental authorities. Failure to enforce any covenant or rule and regulation is in no event to be considered a waiver to the right to do so in the future. According to State Statute, in the event the Association, its Board of Directors, the Design Review Committee and volunteers incur any expenses in the collection of any debts, or in the enforcement of any rule or covenant, the violating unit will be liable for costs. Even if settlement is negotiated, witness fees and attorney fees become a part of the homeowner s debt to the Association. Complaints of rule violations can be made verbally or in writing by contacting the management company directly. Penalties for violations of large vehicles (see paragraph1, Vehicle, Parking and Traffic), trash, and empty garbage can removal, and offenses that are deemed easy and quick to correct, will accrue at 7-day intervals. A hearing can be called within one week of issuance of a warning letter at the request of the violator. Penalties for all other violations accrue at 30-day intervals. Penalties per violation are as follows: 1 st Courtesy call or warning letter 2 nd $50.00 Fine 3 rd $75.00 Fine 4 th $ Fine 5 th $ Fine, plus 2% of outstanding balance HOA Board Page 5 10/10/2012

6 There is no cap on the number of fines. Failure to make payment will result in the filing of a lien after 120 days and a $ filing fee. Subsequent changes to the accrued total will result in additional lien filing fees of $ each. The Attorney, and or Association, may send a demand letter at this time or at any time forward. If the demand letter is not satisfied, the attorney may be asked to pursue a judgment against the homeowner that may include lawsuit, garnishment of wages, and foreclosure. First offenses will result in a courtesy call or warning letter. At this time there is no penalty or fine, however, succeeding violations for the same offense will be in effect for one year after the issuance of the warning letter. The letter will state as much information regarding the infraction as possible and will notify the homeowner that any future violations will result in penalty fines. Upon receipt of the warning letter, the violating homeowner may make a written response to the warning letter. A copy of the letter with response will be submitted to the Board of Directors and another copy with response placed in the homeowner s file. Second and subsequent offenses will result in a letter of notification of fines placed against the violating home based on the fine schedule noted above. This letter will also state the penalty for future violations. The response letter from the violating homeowners must be received within 10 days of date of the warning or fine letter. A late letter will be cause the violation to move to the next offense level. In order to limit additional fines on large vehicle violations, and other violations noted in the 7 day interval, it is recommended that response letters be preceded by immediate phone call by the homeowner to the Management Company. See the website for the current phone number. At this time the violating homeowner has the opportunity to contest the penalty fine during a hearing by the Board of Directors. The homeowner must contact the Management Company to be placed on the hearing agenda. HOA Board Page 6 10/10/2012