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HomeMy WebLinkAboutDakota Ridge Sub 39 "19 TkV]A SUSAN S. EASTLAKE, President GARY E. RICHARDSON, Vice President SHERRY R. HUBER, Secretary September 26, 1997 TO: Max A Boesiger Inc 2447 S Vista Boise ID 83705 FROM: Karen Gallagher, Coordinator Planning & Development Services Division SUBJECT: Preliminary Plat -Dakota Ridge/`MPP-02-97 Ustick Road w/o Ten Mile Road On September 24, 1997, the Commissioners of the Ada County Highway District (hereafter called "District") took action on the Preliminary Plat as stated on the attached staff report. In order that the Final Plat may be considered by the District for acceptance, the Developer shall cause the following applicable standard conditions to be satisfied prior to District certification and endorsement: Drainage plans shall be submitted and subject to review and approval by the District. 2. If public street improvements are required: Prior to any construction within the existing or proposed public right-of-way, the following shall be submitted and subject to review and approval by the District: a. Three complete sets of detailed street construction drawings prepared by an Idaho Registered Professional Engineer, together with payment of plan review fee. b. Execute and Inspection Agreement between the Developer and the District together with initial payment deposit for inspection and/or testing services. C. Complete all street improvements to the satisfaction of the District, or execute Surety Agreement between the Developer and the District to guarantee the completion of construction of all street improvements. ada county highway district 318 East 37th • Boise, Idaho 83714-6499 • Phone (208) 345-7680 September 26, 1997 Page 2 3. Furnish copy of Final Plat showing street names as approved by the Local Government Agency having such authority together with payment of fee charged for the manufacturing and installation of all street signs, as required. 4. If Public Rights -of -Way Trust Find deposit is required, make deposit to the District in the form of cash or cashier's check for the amount specified by the District. 5. Furnish easements, agreements, and all other datum or documents as required by the District. 6. Furnish Final Plat drawings for District acceptance, certifications, and endorsement. The final plat must contain the signed endorsement. The final plat must contain the signed endorsement of the Owner's and Land Surveyor's certification. 7. Approval of the plat is valid for one year. An extension of one year will be considered by the Commission if requested within 15 -days prior to the expiration date. Please contact me at 345-7680, should you have any questions. WN cc: Plan & Dev Svcs/Chron John Edney Chuck Rinaldi City of Meridian Stan Mc.Hutchison, Briggs Eng ADA COUNTY HIGHWAY DISTRICT Planning and Development Division Development Application Report Preliminary Plat - Dakota Ridge Ustick Road, w/o Ten Mile Road Dakota Ridge is a 90 -lot residential subdivision on 29.6 -acres. The site is located on the south side of Ustick Road, approximately '/z mile west of Ten Mile Road. This development is estimated to generate 890 additional vehicle trips per day based on the Institute of Transportation Engineers Trip Generation manual. Roads impacted by this development: Ustick Road ACHD Commission Date - September 24, 1997 - 7:00 p.m. Chinden m ca b3 M i SITE c Ustick PE 1( E s rl s 7- H 1>Je. I //. %t_E GM4Ee i J 01'r 6k - USTICK ROAD a 16 15 144 3 2 g BL CK i 2 2 3 17 is Li 13 8 7 6 5Li u I� 12 10 \ W. BISMARK DR 3 G 14 16 ti -*l �L t 0 1 2 3 '�/� 11 6 5 4 13 j 2 1 4 s1 13 4 �q Bl0 4 j 6 9p 5 ~�O 7 8 9 10 11 12 13 5 c 8 T O 13 6 12 7 w 2O 6 J 11 3 > 9 K) 4 8 9 oa 13 `2 11 10 8 7 T > ? s 4 (n 11 Z 14 15 16 17 18 8 z z Y 1 A 2 FUTURE SCHOOL SITE t2 W BEDROCK ST 19 9 $o 12.0 ACRES 13 1415 16 m B K 4 17 18 20 21 ✓ (yU �I � NOT A PART 21 20 119 OF THIS PLAT 22 W. CHERVIL DR 3: � 1 23 Q 5 4 3 2 1 BLO K 2 24 6 7 8 9 10 3 i z W. ANGELICA DR 4 I ( 13 J1JJ211 10 1.9 8 7 514K 6 - -- 1 21 20 19 '8 T 16 13 14 12 11 10 9 { 1 ty7 V W. MOON LAKE ST. L 34 33 32 31 30 7 29 O 6 THE ��uC 29 ^G s N 27 �E�R� 26 Z 4 23 No. OJ 3 3 23 22 24 ti LI m 2 r IA S Z y i 2 m I � X13 2 m � W. TETER ST. V2 � 19 3 C 7 � 8 6 11 18 4 - J o r 4 W. +•ku �n p+.� e W w t• a 'Col -.t 23Nd- Ol7AL6 SW /.G=0 .0 •a _ N a W40 awro zsw • o» nra 'atlrww s uii oenu 'utlnm ra. 'ua tlrwuaM (.1) �, S `J D I tl e ',M •ONY�RIB BOOM 2 lol LN3.Wfj+oo f0 N'ILLlbtl r ii y a- 9 3 MOISIAMEMS SDCII i VIO}IdQ 1'Ild AL10'NIW117Md o r Facts and Findings: A. General Information Owner - Leonard A. & Fred N. Aschenbrenner Applicant - Max A Boesiger, Inc. R-4 - Existing zoning 29.6 - Acres 90 - Proposed building lots 5,400 - Total lineal feet of proposed public streets 260 - Traffic Analysis Zone (TAZ) West Ada - Impact Fee Benefit Zone Western Cities - Impact Fee Assessment District Ustick Road Minor arterial with bike lane designation Traffic count 2,506 on 9/25/96 1,320 -feet of frontage 50 -feet existing right-of-way (25 -feet from centerline) 96 -feet required right-of-way (48 -feet from centerline) Ustick Road is improved with 2 -lanes with no curb, gutter or sidewalk. Sidewalk has been constructed abutting the site's eastern boundary. Ten Mile Road Minor arterial with bike route designation Traffic count 4,029 on 4/23/96 0 -feet of frontage Ten Mile Road is improved with 24 -feet of pavement with no curb, gutter or sidewalk. B. A preliminary plat for Dakota Ridge Subdivision was approved by ACHD's Commission on April 6, 1994, as a 135 -lot subdivision. A new applicant is submitting a revised plat for review by the District. The major difference is the southwest portion of the site has been designated for a school site. C. Utility street cuts in new pavement less than five years old are not allowed unless approved in writing by the District. Contact Construction Services at 345-7667 (with file numbers) for details. D. The applicant is proposing to construct their main project entrance, Praire Way, approximately 110 -feet west of the east property line over the location of an existing sewer line. However, an existing road, Valam Avenue, is located approximately 100 -feet east of DAKOTA.COM Page 2 the east property` line (210 -feet between the two roads). District policy requires 230 -feet of separation between roads/driveways on this section of Ustick Road. The proposed location of Prairie Way does not meet District policy. There is an existing sewer line on south side of Ustick Road located approximately 100 -feet west of the east property line. The sewer line runs south from Ustick Road and also services the parcel to the south of the proposed subdivision. The City of Meridian prohibits residential construction over the existing sewer line. Prairie Way should therefore be located above the existing sewer line. The applicant does not have another location for Prairie Way due to the existing sewer line. Staff recommends a variance for Prairie Way to be located approximately 210 -feet west of Valam Avenue, because there are no competing high volume driveways on the north side of Ustick Road and once there are more driveways and the school is constructed, staff anticipates that the speed will be lowered on Ustick Road. Thus, the separation requirement would also be reduced. E. District staff recommends that the applicant be required to construct Praire Way off Ustick Road with two 21 -foot street sections with curb, gutter and 5 -foot wide sidewalk separated by a center median and located approximately 120 -feet west of the east property line. The median should be constructed a minimum of 4 -feet wide to total a minimum 100 -square foot area and dedicate 54 -feet of right-of-way plus the additional width of the median. The median should be located out of the right-of-way of Ustick Road. F. The applicant should be required to construct all the internal roads as 37 -foot street sections with curb gutter and 5 -foot sidewalks within 50 -feet of right-of-way. G. The applicant is proposing to construct Cedar Creek Avenue to connect to Ustick Road and stubbed to the school site to the south, located adjacent to the west property line. This location meets District policy. The applicant is proposing to construct Cedar Creek Avenue as a 37 -foot street section with curb, gutter and 5 -foot wide concrete sidewalk on both sides within 50 -feet of right-of-way. District staff supports the design of the proposed Cedar Creek. The applicant should be required to construct curb returns on the west side of Cedar Creek Avenue for the future extension of Niemann Drive. Coordinate the design with District staff. H. The applicant is proposing to stub Chervil Drive to the east boundary of the site. District staff recommends that the applicant be required to locate the stub street a minimum of 87 -feet south of the developed subdivision to the east (Englewood Creek No. 1). This will allow Chervil Drive and Valam Avenue to intersect in accordance with District policy and better serve that parcel to the east. The applicant should provide a paved temporary turnaround at the end of the stub abutting the east property line with a temporary easement if the distance is greater than 150 -feet or greater than one -lot deep. Coordinate the turnaround with District Staff. The applicant is proposing to stub Custer Street to the south boundary (through the school site) of the site. District Staff supports the location of the stub street. This stub will connect DAKOTA.COM Page 3 with an approved stub street in the Lake at Cherry Lane Subdivision No. 4. The stub connection is outside of the plat. District staff recommends that the stub be dedicated and constructed with curb, gutter and sidewalk on both sides, with this plat and the applicant agrees. The applicant should provide a paved temporary turnaround at the end of the stub abutting the southeast property line with a temporary easement. Coordinate the turnaround with District Staff. District policy requires the applicant to construct 5 -foot wide concrete sidewalk on Ustick Road abutting the parcel (approximately 1,320 -feet) prior to issuance of any required permits or District approval of a final plat, whichever occurs first. Locate the sidewalk two feet within the new right-of-way of Ustick Road. K. Lots 4 and 5, Block 6, do not have frontage on a public street. The applicant should provide a recorded cross access easement for Lots 4 and 5, Block 7, to use Lot 6, Block 6 to access Custer Street. L. There is an existing dwelling on Lot 9, Block 1, that has direct lot access to Ustick Road. Other than one 20 -foot wide maximum driveway for Lot 9, Block 1, direct lot or parcel access to Ustick Road should be prohibited. M. As required by District policy, restrictions on the width, number and locations of driveways, may be placed on future development of this parcel. N. The existing transportation system will be adequate to accommodate the additional traffic generated by this proposed development with the requirements outlined within this report. The following requirements are provided as conditions for approval: Site Specific Requirements: Dedicate 48 -feet of right-of-way from the centerline of Ustick Road abutting the parcel by means of recordation of a final subdivision plat or execution of a warranty deed prior to issuance of a building permit (or other required permits), whichever occurs first. The owner will be compensated for this additional right-of-way from available impact fee revenues in this benefit zone. If the owner wishes to be paid for the additional right-of-way, the owner must submit a letter of application to the impact fee administrator prior to breaking ground, in accordance with Section 15 of ACHD Ordinance #188. 2. Construct the main project entrance (Prairie Way) at Ustick Road with two 21 -foot street sections with curb, gutter and 5 -foot wide sidewalk separated by a center median and located approximately 110 -feet west of the east property line (approximately 210 -feet west of Valam Avenue). The median shall be constructed a minimum of 4 -feet wide to total a minimum 100 -square foot area and dedicate 54 -feet of right-of-way (minimum) plus the additional width of the median. Locate the median out of the right-of-way of Ustick Road. DAKOTA.COM Page 4 3. Unless otherwise stated, construct all the internal roads within the subdivision as 37 -foot street sections with curb, gutter and 5 -foot sidewalks within 50 -feet of right-of-way. 4. Construct Cedar Creek Avenue as a 37 -foot street with curb, gutter and 5 -foot wide concrete sidewalk within 50 -feet of right-of-way and located as proposed adjacent to the west property line. Construct curb returns on the west side of Cedar Creek Avenue for the extension of Niemann Drive. Coordinate the location of the curb returns with District staff. 5. Stub Chervil Drive to the east boundary of the site and provide a paved temporary turnaround at the end of the stub with a temporary easement (if the distance is greater than 150 -feet or greater than 1 -lot deep or if development/construction of the parcel to the east has not commenced). Locate the stub street 87 -feet south of the south developed subdivision to the east (Englewood Creek No. 1). Coordinate the turnaround with District Staff. 6. Stub Custer Street to the south, through the school site. Dedicate 50 -feet of right-of-way for the entire stub street. Construct the stub street to a 37 -foot street section with curb, gutter and sidewalk on both sides, with this plat. Provide a paved temporary turnaround at the south end of the stub with a temporary easement prior to a final plat of the phase abutting Custer Street. Coordinate the design of the turnaround with District Staff. 7. Construct 5 -foot wide concrete sidewalk on Ustick Road abutting the parcel (approximately 1,320 -feet) prior to issuance of any required permits or District approval of a final plat, whichever occurs first. Locate the sidewalk two feet within the new right-of-way of Ustick Road. 8. Provide a recorded cross access easement for Lots 4 and 5, Block 6, to use Lot 6, Block 6, to access Custer Street. 9. The existing driveway on Lot 9, Block 1, of the proposed subdivision is approved with this application. Pave the driveway 16 to 20 -feet wide with 15 -foot radii pavement tapers to at least 20 -feet beyond the edge of pavement of Ustick Road. 10. Other than one 20 -foot wide (maximum) driveway for Lot 9, Block 1, direct lot or parcel access to Ustick Road is prohibited. Lot access restrictions, as required with this application, shall be stated on the final plat. Standard Requirements: A request for modification, variance or waiver of any requirement or policy outlined herein shall be made in writing to the ACHD Development Services Supervisor. The request shall specifically identify each requirement to be reconsidered and include a written explanation of why such a requirement would result in a substantial hardship or inequity. The written request shall be submitted to the District no later than 9:00 a.m. on the day scheduled for DAKOTA.COM Page 5 ACHD Commission action. Those items shall be rescheduled for discussion with the Commission on the next available meeting agenda. Requests submitted to the District after 9:00 a.m. on the day scheduled for Commission action do not provide sufficient time for District staff to remove the item from the consent agenda and report to the Commission regarding the requested modification, variance or waiver. Those items will be acted on by the Commission unless removed from the agenda by the Commission. 2. After ACHD Commission action, any request for reconsideration of the Commission's action shall be made in writing to the Development Services Supervisor within two days of the action and shall include a minimum fee of $110.00. The request for reconsideration shall specifically identify each requirement to be reconsidered and include written documentation of data that was not available to the Commission at the time of its original decision. The request for reconsideration will be heard by the District Commission at the next regular meeting of the Commission. If the Commission agrees to reconsider the action, the applicant will be notified of the date and time of the Commission meeting at which the reconsideration will be heard. 3. Payment of applicable road impact fees are required prior to building construction in accordance with Ordinance #188, also known as Ada County Highway District Road Impact Fee Ordinance. 4. All design and construction shall be in accordance with the Ada County Highway District Policy Manual, ISPWC Standards and approved supplements, Construction Services procedures and all applicable ACHD Ordinances unless specifically waived herein. 5. The applicant shall submit revised plans for staff approval, prior to issuance of building permit (or other required permits), which incorporates any required design changes. 6. Construction, use and property development shall be in conformance with all applicable requirements of the Ada County Highway District prior to District approval for occupancy. 7. No change in the terms and conditions of this approval shall be valid unless they are in writing and signed by the applicant or the applicant's authorized representative and an authorized representative of the Ada County Highway District. The burden shall be upon the applicant to obtain written confirmation of any change from the Ada County Highway District. 8. Any change by the applicant in the planned use of the property which is the subject of this application, shall require the applicant to comply with all rules, regulations, ordinances, plans, or other regulatory and legal restrictions in force at the time the applicant or its successors in interest advises the Highway District of its intent to change the planned use of the subject property unless a waiver/variance of said requirements or other legal relief is granted pursuant to the law in effect at the time the change in use is sought. DAKOTA.COM Page 6 Conclusion of Law: ACRD requirements are intended to assure that the proposed use/development will not place an undue burden on the existing vehicular and pedestrian transportation system within the vicinity impacted by the proposed development. Should you have any questions or comments, please contact the Development Services Division at 345-7662. Submitted by: Development Services Staff Date of Commission Action: September 24,1997 DAKOTA.COM Page 7 SUBDIVISION EVALUATION SHEET Proposed Development Name DAKOTA RIDGE City Meridian Date Reviewed 11/06/97 Preliminary Stage Final XXX Engineer/Developer Briggs Engr. / Max Boesiger The Street name comments listed below are made by the members of the ADA COUNTY STREET NAME COMMITTEE (under direction of the Ada County Engineer) regarding this development in accordance with the Boise City Street Name Ordinance. The following existing street names shall appear on the plat. "W. USTICK ROAD" "W. NIEMANN DR." "W. BISMARK DR." is approved and shall appear on the plat. "N CEDAR CREEK AVE." is a duplication and cannot be used. It is aligned with "N. NAOMI LN." to the north and shall be named "N. NAOMI AVE." as noted 05/29/97. "N. PRAIRIE WAY" is a duplication and cannot be used. It is aligned with "N. TURNBERRY WAY" and shall carry the name "N. TURNBERRY WAY". "N LAKOTA AVE." is similar to the existing "DAKOTA" and may not be used. Please .choose a new name. The above street name comments have been read and approved by the following agency representatives of the ADA COUNTY STREET NAME COMMITTEE. ALL of the signatures must be secured by the representative or his designee in order for the street names to be officially approved. ADA COUNTY STREET NAME COMMITTEEAGEIVCYzf�PRESENTATIVES OR DESIGNEES Ada County Engineer John Priester 1,� Date //" /" "?> Ada Planning Assoc. Ann Hurley AC`�M , Date 11 -S-94— City S-ci4-- City of Meridian Representative L"�v Date I1� /`e—VII Fire District Meridian Representative Mli_R ��6ate / ! " �- q 7 NOTE: A copy of this evaluation sheet must be presented to the Ada County Engineer at the time of signing the "final plat", otherwise the plat will not be signed M! Sub Index Street Index 3N 1W 3 Section NUMBERING OF LOTS AND BLOCKS �� ���! ✓ / 9 TR\SUBS\S M_C ITY. FRM SUBDIVISION EVALUATION SHEET Proposed Development Name DAKOTA RIDGE City Meridian Date Reviewed 10/16/97 Preliminary Stage Final XXX Engineer/Developer Briggs Engr. / Max Boesiger The Street name comments listed below are made by the members of the ADA COUNTY STREET NAME COMMITTEE (under direction of the Ada County Engineer) regarding this development in accordance with the Boise City Street Name Ordinance. The following existing street names shall appear on the plat. "W. USTICK ROAD" "W. NIEMANN DR." ."W. BISMARK DR." is approved and shall appear on the plat. "N. CEDAR CREEK AVE." is a duplication and cannot be used. It is aligned with "N. NAOMI LN." to the north and shall be named "N. NAOMI AVE." as noted 05/29/97. "N. PRAIRIE WAY" is a duplication and cannot be used. It is aligned with "N. TURNBERRY f2l�l �2,OlrytC�' �e 5�/i'�5��►�D .sir n ter. --_r "pI nreir A%ir " -"'0 R i The above street name comments have been read and approved by the following agency representatives of the ADA COUNTY STREET NAME COMMITTEE. ALL of the signatures must be secured by the representative or his designee in order for the street names to be officially approved. ADA COUNTY STREET NAME COMMITTEE, XGENCY REP,RE,SENTATIVES OR DESIGNEES Ada County Engineer John Priester („6e 4&G�� Date /0- 6(' ?7' Ada Planning Assoc. Ann HurleyDate - City of Meridian Representative % Date 10-1b-97 Fire District Meridian Representative Date /0-o- 97 NOTE: A copy of this evaluation sheet must be presented to the Ada County Engineer at the time of signing the "final plat", otherwise the plat will not be signed !!!! Sub Index Street Index 3N 1W 3 Section NUMBERING OF LOTS AND BLOCK TR\SUBS\SM_CITY.FRM DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS M DAKOTA RIDGE SUBDIVISION NO. 1 THIS DECLARATION is made on the date hereinafter set forth by Steiner Development, LLC, hereafter referred to as "Declarant". WITNESSETH WHEREAS, Declarant is the owner of certain real property in Ada County, State of Idaho, hereinafter referred to as "the Properties," more particularly described as follows: DAKOTA RIDGE SUBDIVISION NO. 1, according to the official plat thereof, recorded in Book _ of Plats at Pages _ and as Instrument No. , recorded on the day of. 19 , records of Ada County, Idaho; and WHEREAS, Declarant desires to subject the above described Properties to certain protective covenants, conditions, restrictions, reservations, easements, liens, and charges for the benefit of the Properties and their present and subsequent Owners as hereinafter specified, and will convey the Properties subject thereto; NOW, THEREFORE, Declarant hereby declares that all of the Properties above described shall be held, sold and conveyed upon and subject to the easements, conditions, covenants, restrictions and reservations hereinafter set forth, all of which are for the purpose of enhancing and protecting the value, desirability and attractiveness of, and which shall run with the Properties and be binding on all parties now or hereafter having any right, title or interest therein or to any part hereof, and shall inure to the benefit of each owner thereof. ARTICLE I: DEFINITIONS The following terms shall have the following meanings: DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 1 Section 1. "ASSOCIATION" shall mean and refer to Dakota Ridge Homeowners Association, Inc. a non-profit corporation organized under the laws of the State of Idaho, its successors and assigns. Section 2. "PROPERTIES" shall mean and refer to that certain real property hereinabove described. Section 3. "COMMON AREA" shall mean all real property and improvements thereon (including private streets, drives, parking areas and recreational facilities) owned by the Association for the common use and enjoyment of the Owners. The Common Areas to be owned by the Association at the time of the conveyance of the first Lot is described as follows: Lots 1 and 16, Block 1, Lots 1 and 9, Block 3, Lot 1, Block 4 and Lot 1, Block 5, Dakota Ridge Subdivision No. 1, according to the official plat thereof. Section 4. "LOT" or "LOTS" shall mean and refer to any plot of land shown upon any recorded subdivision map of the Properties, with the exception of the Common Areas. Section 5. "OWNER" shall mean and refer to the record owner, whether one or more persons or entitles, of the fee simple title to any Lot which is part of the Properties, including contract sellers, but excluding those having such interest merely as security for the performance of an obligation. Section 6. "DECLARANT" shall mean and refer to Steiner Development, LLC, its successors, and subject to the provisions of Article XIV, Section 4, below, its assigns. Section 7. "DECLARATION" shall mean and refer to the Declaration of Covenants, Conditions and Restrictions applicable to the Properties recorded in the office of the County Recorder of Ada County, State of Idaho. Section 8. "DWELLING UNIT" shall mean that portion or part of any structure intended to be occupied by one family as a dwelling unit, together with the vehicular parking garage next thereto, and all projections therefrom. Section 9. "MORTGAGE" shall mean any mortgage, deed of trust or other security instrument by which a Dwelling Unit or any part thereof is encumbered. DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 2 Section 10. "MORTGAGEE" shall mean any person or any successor to the interest of such person named as the mortgagee, trust beneficiary or creditor under any mortgage, as mortgage is defined in Section 9. Section 11. "FIRST MORTGAGEE" shall mean any Mortgagee, as defined in Section 10, possessing a lien on any Dwelling Unit first and prior to any other Mortgage, as that term is defined in Section 8. Section 12. "INSTITUTIONAL HOLDER" shall mean a Mortgagee which is a bank or savings and loan association or established mortgage company, or other entity chartered under federal or state laws, any corporation or insurance company, or any federal or state agency. Section 13. "PLAT" shall mean a final subdivision plat covering any real property in Dakota Ridge Subdivision as recorded in the office of the county recorder, Ada County, Idaho, as the same may be amended by duly recorded amendments thereto. ARTICLE II: PROPERTY RIGHTS Section 1 . Enjoyment of Common Area: Each Owner shall have a right and easement of enjoyment in and to the Common Area, and such easement shall be appurtenant to and shall pass with the title to every Lot, subject, however, to the following provisions: A. The right of the Association to levy reasonable assessments for the maintenance of any landscaping improvement or other facilities situated upon the Common Area. B. The right of the Association to suspend the voting rights and right to use of the recreational facilities by an Owner for any period during which any assessment against his Lot remains unpaid; and for a period not to exceed sixty (60) days for any infraction of its published rules and regulations. C. The right of the Association to limit the number of members permitted to use the Common Area. D. The right of the Association to charge reasonable admission fees for the use of any recreational facility situated upon the Common Area or otherwise controlled by the Association, including, particularly, the right to charge a special use fee for members who desire exclusive short-term DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 3 use of such facility and who are willing to pay a special fee or assessment for such use. E. The rights of the Association, in accordance with its Articles and Bylaws, to borrow money for the purpose of improving the Common Area and facilities; and, in aid thereof, to place a mortgage or trust deed thereon, which shall be a first and prior lien thereagainst; provided that the Common Area may not be mortgaged or conveyed without the consent of at least 66-2/3% of the Owners (excluding Declarant), and that any conveyance or mortgage of Common Area shall be subject to and subordinate to rights of ingress and egress of an Owner to his/her Lot. F. The right of the Association to dedicate or transfer all or any part of the Common Area to any public agency, authority or utility for such purposes and subject to such conditions as may be agreed to by the members; provided, however, that except as to the Association's right to grant easements for utilities and similar or related purposes, no part of the Common Area and facilities may be alienated, released, transferred, hypothecated or otherwise encumbered without the written approval of all First Mortgagees and two-thirds (2/3) of the votes of each class of members who are voting in person or by proxy at a meeting duly held for this purpose. G. The right of the Directors of the Association to promulgate reasonable rules and regulations governing such right of use, from time to time, in the interest of securing maximum safe usage of the Common Area by the members of the Association without unduly infringing upon the privacy or enjoyment of the Owner or occupant of any part of said property, including without being limited thereto, rules restricting persons under or over designated ages from using certain portions of the Common Area during certain times and reasonable regulations and restrictions regarding vehicle parking. Section 2. Delegation of Use: Any member may delegate, in accordance with the rules and regulations adopted from time to time by the directors, his right of enjoyment to the Common Area and facilities to the members of his family, his tenants or contract purchasers, provided they reside on the property at the time of use. DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 4 ARTICLE III: HOMEOWNERS ASSOCIATION Section 1. Membership: Every Owner of a Lot which is subject to assessment shall be a member of the Association. The foregoing is not intended to include persons or entities who hold an interest merely as security for the payment of an obligation. Membership shall be appurtenant to and may not be separated from ownership of any Lot which is subject to assessment. Such ownership shall be the sole qualification for membership and shall automatically commence upon a person becoming such Owner and shall automatically terminate and lapse when such ownership in said property shall terminate or be transferred. Absolute liability is not imposed on Owners/members for damage to Common Areas or Lots in the subdivision. Section 2. Voting Rights: The Association shall have two classes of voting membership: Class A: Class A members shall be all Owners, with the exception of Declarant, and shall be entitled to one vote for each Lot owned. When more than one person holds an interest in any Lot, all such persons shall be members. The vote for such Lot shall be exercised as they determine, but in no event shall more than one vote be cast with respect to any Lot. Fractional votes shall not be allowed. The vote applicable to any said Lot being sold under contract of purchase shall be exercised by the contract seller, unless the contract expressly provides otherwise. Class B: Class B member(s) shall be Declarant and shall be entitled to three (3) votes for each Lot owned. The Class B membership shall cease and be converted to Class A membership on the happening of either of the following events, whichever occurs first: A. When the total votes outstanding in the Class A membership equal the total votes outstanding in the Class B membership; or B. On December 31, 2008. Section 3. Assessments: A. Creation of Lien and Personal Obligation of Assessments: Each Owner of any Lot, by acceptance of a deed therefor (whether or not it shall be so expressed in such deed), is deemed to covenant and agree to pay to the Association: Regular annual or other regular periodic assessments or charges; and DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 5 2. Special assessments for capital improvements, such assessments to be fixed, established and collected from time to time as hereinafter provided. The regular and special assessments, together with interest, costs of collection and reasonable attorney's fees shall be a charge on the Lot and shall be a continuing lien upon the Lot against which such assessment is made. Each such assessment, together with interest, costs of collection and reasonable attorney's fees, shall also be the personal obligation of the Owner of such Lot at the time when the assessment fell due. The obligation shall remain a lien on the Lot until paid or foreclosed, but shall not be a personal obligation of successors in title, unless expressly assumed. B. Purpose of Assessments: The assessments levied by the Association shall be used for the purpose of promoting the recreation, health, safety and welfare of the residents in the Properties, for the operation, maintenance, repair and improvement of the Common Areas and facilities located thereon, for the reasonable expenses incurred in the operation of the affairs of the Association, for the expenses incurred by the Association in connection with any of its obligations contained in this Declaration or in the Bylaws of the Association, and for any other purpose reasonably authorized by the Directors of the Association. C. Maximum Annual Assessment: Until January 1 of the year immediately following the conveyance of the first Lot to an Owner, the maximum annual assessment shall be $ 1. From and after January 1 of the year immediately following the conveyance of the first Lot to an Owner, the maximum annual assessment may be increased each year not more than ten percent (10%), or the maximum percentage increase allowable by Federal National Mortgage Association (whichever is greater), above the maximum assessment as set forth above. 2. From and after January 1 of the year immediately following the conveyance of the first Lot to an Owner, the maximum annual assessment may be increased above the amount set forth in the preceding paragraph by a vote of two-thirds (2/3) of the votes of each class of members who are voting in person or by proxy at a meeting duly called for this purpose. 3. The Board of Directors of the Association may fix the annual assessment at an amount not in excess of the maximum; and DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 6 said assessments shall be payable to the Association in regular monthly or quarterly installments as may be determined by the Board of Directors. D. Initiation Assessment: Upon the initial conveyance of each lot, the purchaser thereof shall pay an initiation assessment in the amount of E. Special Assessments for Capital Improvements: In addition to the regular assessments authorized above, the Association may levy, in any assessment year, a special assessment applicable to that year only for the purpose of defraying, in whole or in part, the cost of any construction, reconstruction, repair or replacement of a capital improvement upon the Common Area, including fixtures and personal property related thereto, provided that any such assessment shall have the assent of two-thirds (2/3) of the votes of each class of members who are voting in person or by proxy at a meeting duly called for this purpose. Any such special assessment shall be payable over such a period as the Association shall determine. F. Notice and Quorum for Any Action Authorized Under Sections 3C and 3E: Written notice of any meeting called for the purpose of taking any action authorized under Section 3C or 3E, above, shall be sent to all members not less than thirty (30) days nor more than sixty (60) days in advance of the meeting. At the first such meeting called, the presence of members or of proxies entitled to cast sixty percent (60%) of all the votes of each class of membership shall constitute a quorum. If the required quorum is not present, another meeting may be called subject to the same notice requirement, and the required quorum at the subsequent meeting shall be one-half (1 /2) of the required quorum at the preceding meeting. No such subsequent meeting shall be held more than sixty (60) days following the preceding meeting. G. Uniform Rate of Assessment: Both annual and special assessments must be fixed at a uniform rate for non-exempt Lots. H. Date of Commencement of Annual Assessments; Due Dates: The annual assessments provided for herein shall commence as to a Lot sold on the first day of the month following the initial conveyance of the said Lot. The first annual assessment shall be adjusted according to the number of months remaining in the calendar year. The Board of Directors of the Association shall fix the amount of the annual assessment against each Lot at least thirty (30) days in advance of each DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 7 annual assessment period. Written notice of the annual assessment shall be sent to every Owner subject thereto. The due dates shall be established by the Board of Directors. The Association shall, upon demand, and for a reasonable charge, furnish a certificate signed by an officer of the Association setting forth whether the assessments on a specified Lot have been paid. A properly executed certificate of the Association as to the status of assessments on a Lot is binding upon the Association as of the date of its issuance. I. Effect of Nonpayment of Assessments; Remedies of Association: Any assessment not paid within thirty (30) days after the due date shall bear interest from the due date at the rate of twelve percent (12%) per annum. The Association may bring an action at law against the Owner personally obligated to pay the same, or foreclose the lien against the property. No Owner may waive or otherwise escape liability for the assessments provided for herein by non-use of the Common Area or abandonment of his Lot. J. Subordination of the Lien to Mortgages: The lien of the assessments provided for herein shall be subordinate to the lien of any first mortgage. Sale or transfer of any Lot shall not affect the assessment lien. However, the sale or transfer of any Lot pursuant to mortgage foreclosure or any proceeding in lieu thereof shall extinguish the lien of such assessments as to payments which became due prior to such sale or transfer. No sale or transfer shall relieve such Lot from liability for any assessments thereafter becoming due or from the lien thereof. K. Exempt Property: The following property, subject to this Declaration, shall be exempt from the assessments created herein: 1. All property expressly dedicated to and accepted by a Local public authority; 2. The Common Area; 3. All other Properties owned by Declarant or the Association; 4. All Lots owned by Declarant, until title is transferred to another, or until occupancy, whichever occurs first; and DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 8 ARTICLE IV. IRRIGATION WATER SUPPLY SYSTEM Section 1. Irrigation Water Supply: Each Lot shall have access to an Irrigation Water Supply System to be constructed by Declarant and owned and operated by the Nampa Meridian Irrigation District. All Owners to which the system has been extended shall be required to pay any assessment therefore levied by Nampa Meridian Irrigation District. Section 2. Easement For Irrigation Water Supply System: Declarant and the Nampa Meridian Irrigation District shall have a permanent easement for the construction, maintenance and repair of the irrigation water supply system and related wells, pumps, pipes, and any other conveyancing apparatus in the utility easement areas as are depicted on the Plat, together with the right of ingress to and egress from the easement premises over and across the privately owned property of Owners to perform maintenance upon the well, pump, pipes and other conveyancing apparatus comprising the irrigation water supply system together with all rights necessary for the full and complete use, occupation and enjoyment of the easements hereby reserved, and all rights and privileges incident thereto, including the right from time to time to cut, trim and remove trees, brush, overhanging branches and other obstructions which may injure or interfere with the use, occupation or enjoyment of the reserved easement. ARTICLE V. EASEMENTS Section 1. Future Easements: The Association shall have the future right to provide for such easements across, upon and under the surface of its Common Area as platted herein as may be reasonably necessary to serve the interests and convenience of the property Owners of this subdivision for public or private ways, public utilities (including cable television), drainage, access, subterranean irrigation lines, eave and balcony overhangs. Section 2. Encroachments: In the event that, by reason of the construction, settlement or shifting of the building, any part of any Dwelling Unit or drainage water from any Lot or Dwelling Unit encroaches or shall hereafter encroach upon any part of the Common Area or any adjacent Lot, easements for the maintenance of such encroachment and for such use of the areas encroached upon are hereby established and shall exist for the benefit of said Dwelling Unit, so long as all or any part of the buildings shall remain standing; provided, however, that in no event shall a valid easement for any encroachment or use of the Common Area or adjacent Dwelling Units be created in favor of any Owner of such encroachment or use if it is detrimental to or interferes with the reasonable use and enjoyment of the property by other Owners and if it occurred due to the willful conduct of any Owner. DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 9 Section 3. Easement for Maintenance: Declarant and the Association shall have a permanent easement to go upon the privately owned property of Owners in this subdivision to perform maintenance upon the Properties and the Common Area, including, but not limited to, snow removal, landscape maintenance, utility service and drainage system maintenance, subterranean irrigation water system maintenance and perimeter fence maintenance, together with all rights of ingress and egress necessary for the full and complete use, occupation and enjoyment of the easements hereby reserved, and all rights and privileges incident thereto, including the right from time to time to cut, trim and remove trees, brush, overhanging branches and other obstructions which may injure or interfere with the use, occupation or enjoyment of the reserved easement and the operation, maintenance and repair of utility service connections and drainage systems. ARTICLE VI: MAINTENANCE RESPONSIBILITY The Association shall provide maintenance to and be responsible for the Common Areas and improvements thereon. In the event the need for maintenance or repair is caused through the willful or negligent act of an Owner, his family, guests or invitees, the costs of such maintenance or repairs shall be added to and become part of the assessment to which such Owner's Lot is subject. Each Owner shall be responsible for maintaining and keeping in good order and repair the exterior of his Dwelling Unit and any private decks, fences (if permitted as herein provided), courtyards, landscaping and lawn contiguous to his Dwelling Unit, except any perimeter fence which may be constructed around the Properties, the maintenance of which shall be done by the Association. The Association reserves an easement for ingress, egress and maintenance as may be reasonably necessary to perform the maintenance duties of the Association. In the event of damage or destruction of a Dwelling Unit by fire or other casualty, the owner must complete repair and/or replacement of the Dwelling Unit within one hundred -twenty (120) days of the damage or destruction. ARTICLE VII: PROPERTY USE RESTRICTIONS The following restrictions shall be applicable to the Properties and shall be for the benefit of and limitations upon all present and future Owners of said property, or of any interest therein: A. Lot Use: No Lot, with the exception of the Common Area shall be used except for single-family residential purpose. No Lot or the Common Area shall be used for the conduct of any trade, business or professional activity. All Lots and improvements constructed thereon must comply DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 10 with all applicable governmental rules, ordinances, laws, statutes and regulations. The Owner of each Lot shall complete construction of a Dwelling Unit as permitted herein within one (1) year after the date of the first conveyance of the Lot to an Owner by Declarant. B. Animals: No animals, livestock or poultry of any kind shall be raised, bred or kept on any part of said Properties, except that two dogs, cats or other household pets may be kept within a Dwelling Unit or within a fenced area as may be approved by the Architectural Control Committee. Any animals outside a Dwelling Unit or fenced area must be on leashes, and the Owner or custodian of the animal shall be responsible for the immediate cleanup of the animal's droppings. The term "fenced area" as used in this paragraph shall be interpreted to include any electronic pet containment system; provided, however, that the boundary of any such system shall be approved by the Architectural Control Committee pursuant to the provisions of Article VIII below and that in no event shall the said boundary extend beyond the front plane of the Dwelling Unit constructed on said Lot. C. Garbage and Refuse Disposal: No part of said Properties shall be used or maintained as a dumping ground for rubbish, trash or other waste. No garbage, trash or other waste shall be kept or maintained on any part of said Properties except in a sanitary container. Any incinerators or other equipment for the storage or disposal of such material must not violate setback restrictions, must be enclosed with an aesthetic screen or fence, as may be approved by the Architectural Control Committee and shall be kept in a clean and sanitary condition. D. Nuisance: No noxious or offensive or unsightly conditions shall be permitted upon any part of said Properties, nor shall anything be done thereon which may be or become an annoyance or nuisance to the neighborhood. No exposed antennae or satellite dishes shall be erected on the Properties without the prior approval of the Architectural Control Committee, which approval may be withheld in its sole discretion. E. Outbuildings: No trailer, truck camper, tent, garage, barn, shack or other outbuilding shall at any time be used as a residence temporarily or permanently on any part of said Properties. F. Parking and Storage of Vehicles and Equipment: Parking of boats, trailers, motorcycles, trucks, truck campers, motorhomes, recreational vehicles, and like equipment, or junk cars or other unsightly vehicles, shall not be allowed on any Lot nor on the Common Area, including but DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 11 not limited to the Private Streets, except in fully enclosed buildings or under such circumstances, if any, as may be prescribed in writing by, and in the sole discretion of the Board of Directors of the Association, which discretion may not be challenged for having been exercised unreasonably. All other parking or storage of any other equipment shall be prohibited, except as approved in writing by the Board of Directors of the Association. Any vehicle awaiting repair or being repaired shall be removed from the subdivision within 48 hours. G. Sight Distance at Intersections: No fence, wall, hedge or shrub planting which obstructs sight lines at elevations between three feet (3') and eight feet (8') above the roadways shall be placed or permitted to remain on any corner Lot within the triangular area formed by the street property lines and a line connecting them at points 30 feet from the intersection of the street lines, or in the case of a rounded property corner, from the intersection of the street property lines extended. The same sight -line limitations shall apply on any Lot within ten feet (10') from the intersection of a street property line with the edge of a driveway or alley pavement. H. Leasing Restrictions: Any lease (as defined below) between an Owner and his tenant shall provide that the terms of the lease shall be subject in all respects to the provisions contained in this Declaration, the Association's Articles of Incorporation and its Bylaws, and that any failure by said tenant to comply with the terms of such documents shall be a default under such lease. For the purposes of this Declaration, a "lease" shall mean any agreement for the leasing or rental of a Dwelling Unit (including a month-to-month rental agreement); and all such Leases shall be in writing. Other than the foregoing, there is no restriction on the right of any Owner to lease his Dwelling Unit. I. Sewer Restrictions: All bathroom, sink and toilet facilities shall be located inside the Dwelling Unit or other suitable appurtenant building, and shall be connected by underground pipe to wet line sewer connection lines which have been provided to each Lot. J. Fences: Fences, including fences around swimming pools, dog runs or other uses, may be permitted under such circumstances, if any, as may be prescribed by and in the sole discretion of the Architectural Control Committee. K. Parking Rights: Subject to the provisions of paragraph F. above, any automobile or other vehicle used by any Owner shall be parked in the DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 12 driveway or garage which is a part of his Dwelling Unit. L. Mail Boxes: All mail boxes and shall be of consistent design, material and coloration and shall be located on or adjoining building Lot lines and places designated by Declarant or the Architectural Control Committee. ARTICLE VIII. BUILDING RESTRICTIONS Section 1. Building Restrictions: With the exception of Common Area Lots, no buildings shall be erected, altered, placed or permitted to remain on any Lot other than one (1) detached single-family dwelling which may not exceed thirty-five feet (35') in height, and a private garage for two (2) or more motor vehicles. Each dwelling unit may not be occupied by more than one (1) family. The minimum square footage of living space (excluding the garage) of each dwelling unit shall be 1400 square feet. Section 2. Setbacks: No improvements may be constructed or maintained on a Lot within the minimum building setback lines as set forth on the Plat. Section 3. Construction Requirements: Each Dwelling Unit may have wood siding (redwood, cedar or spruce which may be stained or painted) or a combination of wood, stone, manufactured or synthetic stone, stucco, masonry or masonite siding with a maximum of eight inch reveal. Each Dwelling Unit must have exterior brick, stone, manufactured or synthetic stone or stucco on the front elevation. All roofs shall be comprised of wood shake shingles, asphalt shingles (as may be approved by the Architectural Control Committee) or tile with a minimum 5/12 pitch. The exterior, surfaces of each Dwelling Unit shall have such colors as may be approved by the Architectural Control Committee. All windows shall be of the anodized type or better (no raw aluminum frames). All fireplace chimneys must be of masonry or metal and, if metal, shall be wrapped with the same materials as exist on other areas of the exterior of the Unit to within one foot of the top cap. Each Dwelling Unit must have at least two exterior lights illuminating the garage door openings and one exterior light for the front entryway(s). Section 4. Landscaping: Within sixty (60) days after occupancy or substantial completion of the Dwelling Unit located thereon (whichever first occurs), each Lot shall be fully landscaped in the front yard with grass (seeded or rolled sod), at least two (2) deciduous trees of at least one and one-half (1-1/2) inches in diameter or conifer trees at least six feet in height and ten (10) 1 gallon and five (5) 5 gallon shrubs or bushes; in the rear yard with grass (seeded or rolled sod), at least two deciduous trees at least one and one-half (1-1/2) inches in diameter or conifer trees at least six (6) feet in height and five (5) 1 gallon and five (5) 5 gallon shrubs or bushes; and in the street side yard, if any, with at least two (2) deciduous trees at DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 13 least one and one half (1-1 /2) inches in diameter or conifer trees at least six (6) fee in height and ten (10) 1 gallon and five (5) gallon shrubs or bushes, all as has been approved by the Architectural Control Committee. As used herein, the front yard shall include that portion of each Lot to the side of the Dwelling Unit constructed thereon which is between the public right of way and the rear plane of the Dwelling Unit or a fence which extends from the side of the Dwelling Unit to the side lot line. During construction of the Dwelling Unit, there shall be installed in the front yard within ten feet (10') of the front boundary line, a photosensitive pole light designed to switch on automatically at sunset and off at sunrise with a minimum bulb power of 60 watts, including a minimum sixteen (16) inch diameter masonry or stucco base to match the Dwelling Unit. ARTICLE IX. ARCHITECTURAL CONTROL Section 1. Architectural Control Committee: In order to protect the quality and value of the homes built on the Properties, and for the continued protection of the Owners thereof, an Architectural Control Committee is hereby established consisting of three or more members to be appointed by the Board of Directors of the Association. The Board of Directors of the Association shall appoint members to the Architectural Control Committee at each annual meeting of the Board. Section 2. Approvals Required: No building, fence, wall, patio cover, window awning or other structure or landscaping improvements of any type shall be commenced, built, constructed, placed, or maintained upon any Lot, Common Area or other property, nor shall any exterior addition, change or alteration of existing improvements be made, until the plans and specifications showing the nature, kind, shape, configuration, height, materials, location and such other detail as the Architectural Control Committee may require, shall have been submitted to and approved in writing by the Architectural Control Committee as to harmony of external design and location in relation to surrounding structures and topography and as to conformity with requirements of this Declaration. In the event the Architectural Control Committee fails to approve, disapprove, or specify the deficiency in such plans, specifications and location within thirty (30) days after submission to the Architectural Control Committee in such form as they may require, it shall be deemed approved. The Architectural Control Committee shall have the right to refuse to approve any design, plan or color for such improvements, construction or alterations which, in its opinion, are not suitable or desirable for any reason, aesthetic or otherwise. In so passing in such design, the Committee shall have the privilege in the exercise of its discretion to take into consideration the suitability of the proposed structure or alteration, the materials of which it is to be built, and the exterior color scheme in DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 14 relation to the site upon which it is proposed to be erected. The Architectural Control Committee may also consider whether the design of the proposed structure or alteration is in harmony with the surroundings, the effect of the structure or alteration when viewed from adjacent or neighboring property, and any and all other facts which, in the Architectural Control Committee's opinion, shall affect the desirability of such proposed improvement, structure or alteration. Actual construction shall comply substantially with the plans and specifications approved. Section 3. Submissions: Requests for approval of the Architectural Control Committee shall consist of such documents and other materials as may be reasonably requested by the Architectural Control Committee including, without limitation, the following: A. Site Plan. A site plan showing the location of buildings and all other structures and improvements, including fences and walls on the Lot, Lot drainage and all setbacks and other pertinent information related to the improvements. B. Building Plan. A building plan which shall consist of preliminary or final blueprints, elevation drawings of the north, south, east, and west sides, detailed exterior specifications for each building which shall indicate, by sample, if required by the Architectural Control Committee, all exterior colors, material and finishes, including roof, to be used. Garage, accessory and outbuildings to be located on a Lot shall be architecturally and visually compatible and harmonious with the principal building on the Lot as to style and exterior colors and shall not be higher than ten feet above the roof line of the principal building on the Lot. C. Landscape Plan. A landscape plan for that portion of the Lot to be landscaped which shall show the location, type and size of trees, plants, ground cover, shrubs, berms and mounding, grading, drainage, sprinkler system, fences, free standing exterior lights, driveways, parking areas and walk ways. Section 4. Rules and Regulations: The Architectural Control Committee is hereby authorized to adopt rules and regulations to govern its procedures and the requirements for making submissions and obtaining approval as the Committee deems appropriate and in keeping with the spirit of due process of law. The Architectural Control Committee is further hereby empowered to adopt such rules and regulations as it shall deem appropriate, consistent with the provisions of this Declaration, pertaining to matters of design, materials, colors, and aesthetic interests. Any such rules and regulations may be amended from time to time, in the sole discretion of the Architectural Control Committee. The failure of the Architectural DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 15 Control Committee to adopt any such rules and regulations shall not form the basis for an attack upon the exercise of Architectural Control Committee's discretion, it being the intent of this Declaration to provide the Architectural Control Committee with as broad discretion as is permissible under the law. Section 5. Fees: The Architectural Control Committee may establish, by its adopted rules, a fee schedule for an architectural review fee to be paid by each owner submitting plans and specifications for approval. No submission for approval will be considered complete until such fee has been paid. Such fee shall not exceed such reasonable amount as may be required to reimburse the Architectural Control Committee for the costs of professional review of submittals and the services of a consultant to administer the matter to its completion, including inspections which may be required. Section 6. Waivers: The approval of any plans, drawings or specifications for any structure, improvement, or alteration, or for any matter requiring the approval of the Architectural Control Committee, shall not be deemed a waiver of any right to withhold approval of any similar plan, drawing, specifications, or matters subsequently submitted for approval. Section 7. Liability: Neither the Architectural Control Committee nor any member thereof shall be liable to the Association, any Owner, or any other party, for any damage suffered or claimed on account of any act, action or lack thereof, or conduct of the Architectural Control Committee or any members thereof, so long as the Architectural Control Committee, or the respective members thereof, acted in good faith on the basis of information they then possessed. Section 8. Certification by Secretary: The records of the Secretary of the Association shall be conclusive evidence as to all matters shown by such records and the issuance of a certificate of completion and compliance by the Secretary or Assistant Secretary of the Association showing that the plans and specifications for the improvement or other matters therein provided for have been approved and that said improvements have been made in accordance therewith, or a certificate as to any matters relating to and within the jurisdiction of the Association by the Secretary thereof, shall be conclusive evidence that shall fully justify and protect any title company certifying, guaranteeing or insuring title to said property, or any portion thereof or any lien thereon and/or any interest therein as to any matters referred to in said certificate, and shall fully protect any purchaser or encumbrancer from any action or suit under this Declaration. After the expiration of one (1) year following the issuance of a building permit therefor by municipal or other governmental authority, any structure, work, improvement or alteration shall, as to any purchaser or encumbrancer in good faith and for value and as to any title company which shall have insured the title thereof, be deemed to be in compliance with all the provisions DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 16 hereof unless a notice of noncompliance executed by the Association shall have appeared of record in the office of the County Recorder of Ada County, State of Idaho, or unless legal proceedings shall have been instituted to enforce completion or compliance. Section 9. Construction and Sales Period Exception: During the course of construction of any permitted structures or improvements and during the initial sales period, the restrictions (including sign restrictions) contained in this Declaration or in any Supplemental Declaration shall be deemed waived to the extent necessary to permit such construction and the sale of all Dwelling Units; provided that, during the course of such construction and sales, nothing shall be done which will result in a violation of these restrictions upon completion of construction and sale. Further, Declarant shall have the right to select and use any individual Dwelling Units owned by it as models for sales purposes. ARTICLE X: INSURANCE AND BOND Section 1. Required Insurance: The Association shall obtain and keep in full force and effect at all times the following insurance coverage provided by companies duly authorized to do business in Idaho. The provisions of this Article shall not be construed to limit the power or authority of the Association to obtain and maintain insurance coverage in addition to any insurance coverage required hereunder in such amounts and in such forms as the Association may deem appropriate from time to time. A. A multi -peril -type policy covering any Common Area improvements, providing as a minimum fire and extended coverage and all other coverage in the kinds and amounts commonly required by private institutional mortgage investors for projects similar in construction, location and use on a replacement cost basis in an amount not less than one hundred percent (100%) of the insurable value (based upon replacement cost). B. A comprehensive policy of public liability insurance covering all of the common areas, commercial spaces and public ways in the properties. Such insurance policy shall contain a severability of interest endorsement which shall preclude the insurer from denying the claim of a Dwelling Unit Owner because of negligent acts of the Association or other Owners. The scope of coverage must include all other coverage in the kinds and amounts required by private institutional mortgage investors for projects similar in construction, location and use. If the properties contain more than one hundred (100) Units, coverage shall be for at least $1,000,000 per occurrence, for personal injury and/or property damage. DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 17 C. Workmen's compensation and employer's liability insurance and all other similar insurance with respect to employees of the Association in the amounts and in the forms now or hereafter required by law. Section 2. Optional Insurance: The Association may obtain and keep in full force and effect at all times the following insurance coverage provided by companies duly authorized to do business in Idaho. A. Liability insurance affording coverage for the acts, errors and omissions of its directors and officers, including members of the Architectural Control Committee and other committees as may be appointed from time to time by the Board of Directors of such association in such amount as may be reasonable in the premises. B. The Association may obtain bonds and insurance against such other risks, of a similar or dissimilar nature, as it shall deem appropriate with respect to the protection of the properties, including any personal property of the Association located thereon, its directors, officers, agents, employees and association funds. Section 3. Additional Provisions: The following additional provisions shall apply with respect to insurance: A. Insurance secured and maintained by the Association shall not be brought into contribution with insurance held by the individual Owners or their mortgages. B. Each policy of insurance obtained by the Association shall, if possible, provide: A waiver of the insurer's subrogation rights with respect to the Association, its officers, the Owners and their respective servants, agents and guests; that it cannot be canceled, suspended or invalidated due to the conduct of any agent, officer or employee of the Association without a prior written demand that the defect be cured; that any "no other insurance" clause therein shall not apply with respect to insurance held individually by the Owners. C. All policies shall be written by a company licensed to write insurance in the state of Idaho and all hazard insurance policies shall be written by a DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 18 hazard insurance carrier holding financial rating by Best's Insurance Reports of Class VI or better. D. Notwithstanding anything herein contained to the contrary, insurance coverage must be in such amounts and meet other requirements of the Federal Home Loan Mortgage Corporation. ARTICLE XI: CONDEMNATION Section 1. Consequences of Condemnation: If at any time or times, all or any part of the Common Area shall be taken or condemned by any public authority or sold or otherwise disposed of in lieu of or in avoidance thereof, the following provisions shall apply. Section 2. Proceeds: All compensation, damages, or other proceeds therefrom, the sum of which is hereinafter called the "condemnation award," shall be payable to the Association owing the condemned Common Area. Section 3. Apportionment: The condemnation award shall be apportioned among the Owners having an interest in the condemned Common Area equally on a per -Lot basis. The Association shall, as soon as practicable, determine the share of the condemnation award to which each Owner is entitled. Such shares shall be paid into separate accounts, one account for each Lot. Each such account shall remain in the name of the appropriate Association and shall be further identified by Lot number and the name of the Owner thereof. From each separate account, the Association, as attorney-in-fact, shall use and disburse the total amount of such accounts, without contribution from one account to the other, first to Mortgagees and other lienors in the order of priority of their Mortgages and other liens and the balance remaining to each respective Owner. ARTICLE XII: MORTGAGEE PROTECTION Notwithstanding anything to the contrary contained in this Declaration or in the Articles or Bylaws of the Association: A. The Association shall maintain an adequate reserve fund for the performance of its obligations, including the maintenance, repairs and replacement of those common elements and improvements thereon, and such reserve shall be funded by at least quarterly assessments. B. The holders of First Mortgages shall have the right to examine the books and records of any Association and to require annual reports or other appropriate financial data. DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 19 C. Any management agreement for the Properties or Common Area, or any other contract providing for services of the developer, sponsor or builder, shall be terminable (i) by the contracting Association for cause upon thirty (30) days' written notice thereof, and (ii) by either party without cause and without payment of a termination fee on ninety (90) days' or less written notice thereof, and the term of any such agree- ment shall not exceed one (1) year. D. Any lien which the Association may have on any Dwelling Unit for the payment of assessments attributable to such Unit will be subordinate to the lien or equivalent security interest of any Mortgage on the Unit recorded prior to the date notice of such assessment lien is duly recorded. E. Unless all institutional holders of First Mortgages have given their prior written approval, no Association shall: 1. By act or omission seek to abandon, partition, subdivide, encum- ber, sell or transfer the Common Area property owned, directly or indirectly, by such Association for the benefit of the Owners. (The granting of easements for public utilities or for other public purposes consistent with the intended use of such Common Area property shall not be deemed a transfer within the meaning of this clause.) 2. Change the method of determining the obligations, assessments, dues or other charges which may be levied against an Owner. 3. By act or omission change, waive or abandon any scheme of regulations, or enforcement thereof, pertaining to the architectural design or the exterior appearance of Dwelling Units, the maintenance of the Common Area property, party walls, or common fences and driveways, or the upkeep of lawns and plantings in the subdivision. 4. Fail to maintain fire and extended coverage on insurable Common Area property on a current replacement cost basis in an amount not less than one hundred percent (100%) of the insurable value (based on current replacement cost). DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 20 5. Use hazard insurance proceeds for losses to any Common Area property for other than the repair, replacement or reconstruction of such Common Area property. 6. Amend materially this Declaration, the Association's Articles of Incorporation, or its Bylaws. 7. Terminate professional management and assume self- management of the Properties. ARTICLE XIII: ANNEXATION Section 1. Time for Annexation; Land Subject to Annexation: Declarant hereby reserves the right to annex the real property described in Exhibit A attached hereto, or any portion thereof, into the project by recording a Notice of Annexation or Supplemental Declaration particularly describing the real property to be annexed and added to the project created by this Declaration, pursuant to the provisions of this Article XIII. Upon the recording of a Notice of Annexation containing the provisions set forth in this Section (which Notice may be contained within a Supplemental Declaration affecting such property), except as may be provided for therein, the covenants, conditions and restrictions contained in this Declaration shall apply to the added land in the same manner as if it were originally covered by this Declaration and originally constituted a portion of the project; and thereafter, the rights, privileges, duties and liabilities of the parties to this Declaration with respect to the added land shall be the same as with respect to the original land, and the rights, privileges, duties and liabilities of the Owners, lessees and occupants of Lots and Units within the added land shall be the same as in the case of the original land. Notwithstanding the foregoing, any Supplemental Declaration may provide a special procedure for amendment of any specified provision thereof, e.g., by a specified vote of only the owners of Dwelling Units within the area subject thereto. Any provision of a Supplemental Declaration for which no special amendment procedure is provided shall be subject to amendment in the manner provided in this Declaration. Section 2. Procedure for Annexation: Any of the above-described real property may be annexed into the project by the recordation of a Notice of Annexation executed by Declarant and containing the following information: A. A reference to this Declaration, which reference shall state the date of recordation hereof and the Recorder's instrument number or the book and page of the official records of Ada County where this Declaration is recorded; DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 21 B. An exact legal description of the added land; C. A statement that the provisions of this Declaration shall apply to the added land, except as set forth therein; and D. A statement of the use restrictions applicable to the annexed property, which restrictions may be the same or different from those set forth in this Declaration. ARTICLE XIV: GENERAL PROVISIONS Section 1 . Enforcement: The Association or any Owner or the owner of any recorded mortgage upon any part of said property, shall have the right to enforce, by any proceedings at law or in equity, all restrictions, conditions, covenants, reservations, liens and charges now or hereafter imposed by the provisions of this Declaration. Failure by the Association, or by any Owner to enforce any covenant or restriction herein contained shall in no event be deemed a waiver of the right to do so thereafter. Section 2. Severability: Invalidation of any one of these covenants or restrictions by judgment or court order shall in no way affect any other provisions which shall remain in full force and effect. Section 3. Amendment: The covenants and restrictions of this Declaration shall run with the land and shall inure to the benefit of and be enforceable by the Association or the legal Owner of any Lot subject to this Declaration, their respective legal representatives, heirs, successors and assigns, for a term of twenty-five (25) years from the date this Declaration is recorded, after which time said covenants shall be automatically extended for successive periods of ten (10) years. Except as otherwise provided herein, any of the covenants and restrictions of this Declaration, except the easements herein granted, may be amended by an instrument signed by members entitled to cast not less than sixty-six and two-thirds percent (66-2/3%) of the votes of membership. Any amendment must be recorded. Section 4. Assignment by Declarant: Any or all rights, powers and reservations of Declarant herein contained may be assigned to the Association or to any other corporation or association which is now organized or which may hereafter be organized and which will assume the duties of Declarant hereunder pertaining to the particular rights, powers and reservations assigned, and upon any such corporation or association evidencing its intent in writing to accept such assignment, have the same rights and powers and be subject to the same obligations and duties as are given to and assumed by Declarant herein. All rights of Declarant hereunder DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 22 reserved or created shall be held and exercised by Declarant alone, so long as it owns any interest in any portion of said property. IN WITNESS WHEREOF, Declarant has caused its corporate name to be hereunto subscribed and its corporate seal affixed this day of , 1998. DECLARANT: STEINER DEVELOPMENT, LLC Louis J. Steiner STATE OF CALIFORNIA ) ss. County of ) On this day of , 1998, before me, the undersigned Notary Public in and for said State, personally appeared LOUIS J. STEINER, known or identified to me to be the Managing Member of Steiner Development, LLC, the limited liability company that executed the within instrument, or the person who executed the instrument in behalf of said limited liability company, and acknowledged to me that such limited liability company executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate first above written. NOTARY PUBLIC, State of Idaho Residing at Boise, Idaho My Commission Expires: DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 23 EXHIBIT A (Description of Property to be Annexed) DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS, Page 24 ARTICLES OF INCORPORATION [Sig DAKOTA RIDGE HOMEOWNERS ASSOCIATION, INC. The undersigned, acting as incorporator of a corporation under the Idaho Nonprofit Corporation Act, adopts the following Articles of Incorporation for such corporation. ARTICLE 1. NAME: The name of the corporation shall be Dakota Ridge Homeowners Association, Inc. This corporation is a nonprofit corporation. ARTICLE 2. DURATION: The duration of this corporation shall be perpetual. ARTICLE 3. PURPOSE AND POWERS: The purposes for which the corporation is organized are to engage in all such activities as are incidental or conducive to the attainment of the objectives of the corporation and any other activities which are permitted to be done by a nonprofit corporation under any laws that may now or hereafter be applicable or available to this corporation. Without limiting the foregoing, it is expressly provided hereby that: (a) The corporation shall exercise all of the powers and privileges and perform all of the duties and obligations of the corporation as set forth in the Declaration of Covenants, Conditions and Restrictions (hereinafter "Declaration") applicable to the property and recorded or to be recorded in the Office of the Ada County Recorder, as the same may be amended from time to time as therein provided, said Declaration being incorporated herein as if set out at length. (b) The corporation shall fix, levy, collect and enforce payment by any lawful means, all charges or assessments, periodic or special, authorized to be made under the Declaration. ARTICLES OF INCORPORATION, Page 1 (c) Annexation of additional properties, mergers and consolidations, mortgaging of Common Area, dissolution and amendment of these Articles shall require prior approval of the United States Department of Housing and Urban Development and/or the United States Veterans Administration as long as there is a Class B membership and provided that the said agencies then have an interest in the property which is subject to the Declaration. ARTICLE 4. MEMBERSHIP: Every person or entity who is a record owner of a fee or undivided fee interest in any lot which is subject by covenants of record to assessment by the corporation, including contract sellers, shall be a member of the corporation. The foregoing is not intended to include persons or entities who hold an interest merely as security for the performance of an obligation. Membership shall be appurtenant to and may not be separated from ownership of any lot which is subject to assessment by the corporation. ARTICLE 5. VOTING RIGHTS: The corporation shall have two classes of voting membership. CLASS A. Class A members shall be all Owners, with the exception of the Declarant, and shall be entitled to one vote for each lot owned. When more than one person holds an interest in any lot, all such persons shall be members. The vote for such lot shall be exercised as they determine, but in no event shall more than one vote be cast with respect to any lot. Fractional votes shall not be allowed. The vote applicable to any said lot being sold under contract of purchase shall be exercised by the contract seller, unless the contract expressly provides otherwise. CLASS B. Class B member(s) shall be the Declarant, as defined in the Declaration, and shall be entitled to three (3) votes for each lot owned. The Class B membership shall cease and be converted to Class A membership on the happening of either of the following events, whichever occurs first: (a) When the total votes outstanding in the Class A membership equal the total votes outstanding in the Class B membership, or (b) On December 31, 2008. ARTICLE 6. REGISTERED OFFICE AND AGENT: The address of the initial registered office of this corporation is 2485 North Ten Mile Road, Meridian, Idaho 83642, and the name of its initial registered agent at such address is Doug Campbell. ARTICLES OF INCORPORATION, Page 2 ARTICLE 7. DIRECTORS: The number of directors of this corporation shall be fixed by the bylaws and may be increased or decreased from time to time in the manner specified therein. The initial board of directors shall consist of three (3) directors. The names and addresses of the persons who shall serve as directors until the first meeting of the members and until their successors are elected and qualify, or unless they resign or are removed, are: Doug Campbell Gary Newman Paul Newman 2485 North Ten Mile Road Meridian, Idaho 83642 2485 North Ten Mile Road Meridian, Idaho 83642 2485 North Ten Mile Road Meridian, Idaho 83642 ARTICLE 8. INCORPORATOR: The name and address of the incorporator are as follows: Doug Campbell 2485 North Ten Mile Road Meridian, Idaho 83642 ARTICLE 9. AMENDMENT OF ARTICLES AND BYLAWS: These Articles may not be amended without at least 66-2/3% of the membership votes being cast in support of such amendment. ARTICLE 10. DISSOLUTION: Upon dissolution or final liquidation of the corporation, the assets of the corporation shall be dedicated to a public body or conveyed to a nonprofit organization with similar purposes. ARTICLE 11. LIMITATION OF LIABILITY: A director of this corporation shall not be personally liable to this corporation or its members for monetary damages for breach of fiduciary duty as a director, except for liability (i) for any breach of the director's duty of loyalty to this corporation or its members, (ii) for acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law, or (iii) for any transaction from which the director derived any improper personal benefit. If the Idaho Nonprofit Corporation Act (the "Act") is amended to authorize corporate action further eliminating or limiting the personal liability of directors, then the liability of a director of this corporation shall be eliminated or limited to the fullest extent permitted by the Act as so amended. Any repeal or modification of this Article 11 by the members of the corporation shall not adversely affect any right or protection of a director of the corporation existing at the time of such repeal or modification. ARTICLES OF INCORPORATION, Page 3 EXECUTED in duplicate this day of 1998, by the undersigned incorporator. Doug Campbell ARTICLES OF INCORPORATION, Page 4 BYLAWS OF DAKOTA RIDGE HOMEOWNERS ASSOCIATION, INC. ARTICLE I. NAME AND LOCATION. The name of the corporation is DAKOTA RIDGE HOMEOWNERS ASSOCIATION, INC., hereinafter referred to as the "Association." The principal office of the Association shall be located at 2485 North Ten Mile Road, Meridian, Idaho 83642, but meetings of Members and directors may be held at such places within the State of Idaho, as may be designated by the Board of Directors. ARTICLE II. DEFINITIONS. The following terms shall have the following meanings: Section 1. "ASSOCIATION" shall mean and refer to Dakota Ridge Homeowners Association, Inc., a nonprofit corporation organized under the laws of the State of Idaho, its successors and assigns. Section 2. "COMMON AREA" shall mean all real property and improvements thereon owned by the Association for the common use and enjoyment of the Owners. Section 3. "DECLARANT" shall mean and refer to Steiner Development, LLC, its successors and, subject to the provisions of the Declaration, its assigns. Section 4. "DECLARATION" shall mean and refer to the Declaration of Covenants, Conditions and Restrictions applicable to the Properties recorded in the Office of the County Recorder of Ada County, State of Idaho. Section 5. "LOT" shall mean and refer to any plot of land shown upon any recorded subdivision map of the Properties. Section 6. "MEMBER" shall mean and refer to those persons entitled to membership as provided in the Declaration. Section 7. "OWNER" shall mean and refer to the record Owner, whether one or more persons or entities, of the fee simple title to any Lot which is part of BYLAWS, Page 1 the Properties, including contract sellers, but excluding those having such interest merely as security for the performance of an obligation. Section 8. "PROPERTIES" shall mean and refer to that certain real property in Canyon County, State of Idaho, more particularly described as Dakota Ridge Subdivision No. 1 according to the official plat thereof, records of Ada County, Idaho, and such additions thereto as may hereafter be brought within the jurisdiction of the Association. ARTICLE III. MEETINGS OF MEMBERS, Section 1. Annual Meetings: The first annual meeting of the Members shall be held within one (1) year from the date of incorporation of the Association. The annual meeting of the Members for the election of directors whose terms have expired and for the transaction of such other business as may properly come before the meeting shall be held as such hour and on such day as shall be determined by the Board of Directors. Each Lot Owner shall be deemed a Member of the Association, and shall be entitled to cast such votes are provided for in the Declaration. Section 2. Special Meetings: Special meetings of the Members may be called at any time by the president or by the Board of Directors, or upon written request of the Members who are entitled to vote one-fourth (1/4) of all of the votes of the Class A membership. Section 3. Notice of Meetings: Written notice of each meeting of the Members shall be given by, or at the direction of, the secretary or person authorized to call the meeting, by mailing a copy of such notice, postage prepaid, at least fifteen (15) days before such meeting to each Member entitled to vote thereat, addressed to the Member's address last appearing on the books of the Association, or supplied by such Member to the Association for the purpose of notice. Such notice shall specify the place, day and hour of the meeting and, in the case of a special meeting, the purpose of the meeting. Section 4. Quorum: The presence at the meeting of Members entitled to cast, or of proxies entitled to cast, one-tenth (1/10) of the votes of each class of membership shall constitute a quorum for any action except as otherwise provided in the Article of Incorporation, the Declaration, or these Bylaws. If, however, such quorum shall not be present or represented at any meeting, by vote of a majority of the membership votes entitled to be cast then present or represented thereat, the meeting may be adjourned from time to time, without notice other than announcement at the meeting, until a quorum as aforesaid shall be present or be represented. BYLAWS, Page 2 Section 5. Proxies: At all meetings of Members, each Member may vote in person or by proxy. All proxies shall be in writing and filed with the secretary. Every proxy shall be revocable and shall automatically cease upon conveyance by the Member of his Lot. ARTICLE IV. BOARD OF DIRECTORS; SELECTION; TERM OF OFFICE. Section 1. Number: The affairs of this Association shall be managed by a board of three (3) directors, who need not be Members of the Association. Section 2. Term of Office: Until the first annual meeting of Members, the directors of the Association shall be those individuals named in the Articles of Incorporation or their successors determined in accordance with this Article. At such meeting, and at each annual meeting of Members thereafter, the directors shall be elected by the Members; provided however, that if for any reason any such annual meeting is not held, or the directors are not elected thereat, the directors may be elected at any special meeting of Members held for that purpose. All directors shall hold office until their respective successors are elected. Section 3. Removal: Any director may be removed from the Board, with or without cause, by a majority vote of the Members of the Association. In the event of death, resignation or removal of a director, his successor shall be selected by the remaining Members of the Board and shall serve for the unexpired term of his predecessor. Section 4. Compensation: No director shall receive compensation for any service he may render to the Association. However, any director may be reimbursed for his actual expenses incurred in the performance of his duties. Section 5. Action Taken Without A Meeting: The directors shall have the right to take any action in the absence of a meeting which they could take at a meeting by obtaining the written approval of all the directors. Any action so approved shall have the same effect as though taken at a meeting of the directors. ARTICLE V. NOMINATION AND ELECTION OF DIRECTORS. Section 1. Nomination: Nomination for election to the Board of Directors shall be made from the floor at the annual meeting. Such nominations may be made from among Members or nonmembers. Section 2. Election: Election to the Board of Directors shall be by secret written ballot. At such election the Members or their proxies may cast, in respect to each vacancy, as many votes as they are entitled to exercise under the provisions of the Declaration. The persons receiving the largest number of votes shall be elected. Cumulative voting is not permitted. BYLAWS, Page 3 ARTICLE VI. MEETING OF DIRECTORS. Section 1 . Regular Meetings: Regular meetings of the Board of Directors shall be held monthly without notice, at such place and hour as may be fixed from time to time by resolution of the Board. Should said meeting fall upon a legal holiday, then that meeting shall be held at the same time on the next day which is not a legal holiday. Section 2. Special Meetings: Special meetings of the Board of Directors shall be held when called by the president of the Association, or by any two directors, after not less than three (3) days notice to each director. Section 3. Quorum: A majority of the number of directors shall constitute a quorum for the transaction of business. Every act or decision done or made by a majority of the directors present at a duly held meeting at which a quorum is present shall be regarded as the act of the Board. ARTICLE VII. POWERS AND DUTIES OF BOARD OF DIRECTORS. Section 1 . Powers: The Board of Directors shall have power to: A. Adopt and publish rules and regulations governing the use of the Common Area and facilities, and the personal conduct of the Members and their guests thereon, and to establish penalties for the infraction thereof; B. Suspend the voting rights of a Member during any period in which such Member shall be in default in the payment of any assessment levied by the Association. C. Exercise for the Association all powers, duties and authority vested in or delegated to this Association and not reserved to the membership by other provisions of these Bylaws, the Articles of Incorporation or the Declaration; D. Declare the office of a Member of the Board of Directors to be vacant in the event such Member shall be absent from three (3) consecutive regular meetings of the Board of Directors; and E. Employ managers, independent contractors or such other employees as the board deems necessary and to prescribe their duties. Section 2. Duties: It shall be the duty of the Board of Directors to: BYLAWS, Page 4 A. Cause to be kept a complete record of all its acts and corporate affairs and to present a statement thereof to the Members at the annual meeting of the Members, or at any special meeting when such statement is requested in writing by one-fourth (1/4) of the Class A Members who are entitled to vote. B. Supervise all officers, agents and employees of this Association, and to see that their duties are properly performed; C. As more fully provided in the Declaration to: 1. Fix the amount of the annual assessment against each Lot at least thirty (30) days in advance of each annual assessment period; 2. Send written notice of each assessment to every Owner subject thereto at least thirty (30) days in advance of each annual assessment period; and 3. Foreclose the lien against any property for which assessments are not paid within thirty (30) days after due date or to bring an action at law against the Owner personally obligated to pay the same. D. Issue, or to cause an appropriate officer to issue, upon demand by any person, a certificate setting forth whether or not any assessment has been paid. A reasonable charge may be made by the board for the issuance of these certificates. If a certificate states an assessment has been paid, such certificate shall be conclusive evidence of such payment; E. Procure and maintain adequate liability and hazard insurance on property owned by the Association; F. Cause all officers or employees having fiscal responsibilities to be bonded, as it may deem appropriate; and G. Cause the Common Area to be maintained as more fully provided for in the Declaration. ARTICLE VIII. OFFICERS AND THEIR DUTIES. Section 1. Enumeration of Offices: The officers of this Association shall be a president and vice president, who shall at all times be Members of the Board BYLAWS, Page 5 of Directors, a secretary and a treasurer, and such other officers as the Board may from time to time create by resolution. Section 2. Election of Officers: The election of officers shall take place at the first meeting of the Board of Directors following each annual meeting of the Members. Section 3. Term: The officers of this Association shall be elected annually by the Board and each shall hold office for one (1) year unless they shall sooner resign or shall be removed or otherwise disqualified to serve. Section 4. Special Appointments: The Board may elect such other officers as the affairs of the Association may require, each of whom shall hold office for such period, have such authority and perform such duties as the Board may from time to time determine. Section 5. Resignation and Removal: Any officer may be removed from office with or without cause by the Board. Any officer may resign at any time, giving written notice to the Board, the president or the secretary. Such resignation shall take effect on the date of receipt of such notice or at any later time specified therein, and unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make effective. Section 6. Vacancies: A vacancy in any office may be filled by appointment by the Board. The officer appointed to such vacancy shall serve for the remainder of the term of the officer replaced. Section 7. Multiple Offices: The offices of secretary and treasurer may be held by the same person. No person shall simultaneously hold more than one of any of the other offices, except in the case of special offices created pursuant to Section 4 of this Article. Section 8. Duties: The duties of the officers are as follows: A. President: The president shall preside at all meetings of the Board of Directors; shall see that orders and resolutions of the Board are carried out; shall sign all leases, mortgages, deeds and other written instruments and shall co-sign all checks and promissory notes. B. Vice President: The vice president shall act in the place and stead of the president in the event of his absence, inability or refusal to act, and shall exercise and discharge such other duties as may be required of him by the Board. BYLAWS, Page 6 C. Secretary: The secretary shall record the votes and keep the minutes of all meetings and proceedings of the Board and of the Members; keep the corporate seal of the Association and affix it on all papers requiring said seal; serve notice of meetings of the Board and of the Members; keep appropriate current records showing names of Members of the Association, together with their addresses, and shall perform such other duties as required by he Board. D. Treasurer: The treasurer shall receive and deposit in appropriate bank accounts all monies of the Association and shall disburse such funds as directed by resolution of the Board of Directors; shall sign all checks and promissory notes of the Association; keep proper books of account; cause an annual audit of the Association books to be made by a public accountant at the completion of each fiscal year; and shall prepare an annual budget and a statement of income and expenditures to be presented to the membership at its regular annual meeting, and deliver a copy of each to the Members. ARTICLE IX. COMMITTEES The Association shall appoint an Architectural Control Committee, as provided in the Declaration. In addition, the Board of Directors shall appoint other committees as deemed appropriate in carrying out its purpose. ARTICLE X. BOOKS AND RECORDS The books, records, and papers of the Association shall at all times, during reasonable business hours, be subject to inspection by any Member. The Declaration, the Articles of Incorporation and the Bylaws of the Association shall be available for inspection by any Member at the principal office of the Association, where copies may be purchased at reasonable cost. ARTICLE XI. ASSESSMENTS As more fully provided in the Declaration, each Owner is obligated to pay to the Association annual and special assessments which are secured by a continuing lien upon the property against which the assessment is made. Any assessments which are not paid when due shall be delinquent. If the assessment is not paid within thirty (30) days after the due date, the assessment shall bear interest from the date of delinquency at the rate of twelve percent (12%) per annum, and the Association may bring an action at law against the Owner personally obligated to pay the same or foreclose the lien against the property, and interest, costs and reasonable attorney's fees of any such action shall be added to the amount of such assessment. No Owner may waive or otherwise escape liability for the BYLAWS, Page 7 assessments provided for herein by non-use of the Common Area or abandonment of his Lot. ARTICLE XII. CORPORATE SEAL The Association shall have a seal in circular form having within its circumference the words: Dakota Ridge Homeowners Association, Inc. ARTICLE XIII. AMENDMENTS The Bylaws of the Association may be altered, amended, or new Bylaws adopted at any regular meeting or at any special meeting of the Members thereof, called for that purpose, by the affirmative vote of two-thirds (2/3) of the Members present at such meeting; provided, that a quorum as specified herein or in the laws of the State of Idaho be present; provided further, however, that notwithstanding the foregoing, Declarant may amend these Bylaws from time to time for the purpose of adopting any amendment which may reasonably be requested by any proposed mortgagee or by any institutional holder intending to purchase a mortgage, in order to assure such mortgagee or institutional holder that its interests are adequately protected, or in order to comply with the requirements or regulations of any governmental or quasi -governmental entity or institution holding or insuring a mortgage. In the case of any conflict between the Articles of Incorporation and these Bylaws, the Articles shall control; and in the case of any conflict between the Declaration and these Bylaws, the Declaration shall control. ARTICLE XIV. INDEMNIFICATION OF DIRECTORS, OFFICERS, EMPLOYEES AND OTHER AGENTS Section 1 . Directors and Executive Officers: The corporation shall indemnify its directors and officers to the full extent permitted by the Idaho Nonprofit Corporation Act (the "Act"), as the same exists or may hereafter be amended (but, in the case of any such amendment, only to the extent that such amendment permits the corporation to provide broader indemnification rights than the Act permitted the corporation to provide prior to such amendment); provided, however, that the corporation may limit the extent of such indemnification by individual contracts with its directors and officers; and, provided further, that the corporation shall not be required to indemnify any director or officer in connection with any proceeding (or part thereof) initiated by such person or any proceeding by such person against the corporation or its directors, officers, employees or other agents unless (1) such indemnification is expressly required to be made by law; (ii) the proceeding was authorized by the Board of Directors of the corporation, or (iii) such indemnification is provided by the corporation, in its sole discretion, pursuant to the powers vested in the corporation under the Act. BYLAWS, Page 8 Section 2. Other Officers, Employees and Other Agents: The corporation shall have the power to indemnify its employees and other agents as set forth in the Idaho Nonprofit Corporation Act. Section 3. Good Faith: For purposes of any determination under this Article XIV, a director or officer shall be deemed to have acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of the corporation and, with respect to any criminal action or proceeding, to have had no reasonable cause to believe that this conduct was unlawful, if his action is based on the records or books of account of the corporation or another enterprise, or on information, opinions, reports or statements, including financial statements and other financial data, prepared or presented (1) the officers of the corporation or another enterprise whom the director or officer reasonably believes to be reliable and competent in the matters present, or (ii) legal counsel, a public accountant or other person as to matters which the director or officer believes to be within such person's professional or expert competence. The term "other enterprise" as used in this Section 3 shall mean any other corporation or any partnership, joint venture, trust or other enterprise, including any employee benefit plan, of which such person is or was serving at the request of the corporation as a director, officer, employer or other agent . The provisions of this Section 3 shall not be deemed to be exclusive and/or to limit in any way the circumstances in which a person may be deemed to have met the applicable standard of conduct set forth by the Act. Section 4. Expenses: The corporation shall advance, prior to the final disposition of any proceeding, promptly following request therefor, all expenses incurred by any director or officer in connection with such proceeding upon receipt of any undertaking by or on behalf of such person to repay such amount if it should be determined ultimately that such person is not entitled to be indemnified under this Article XIV or otherwise. Section 5. Enforcement: Without the necessity of entering into an express contract, all rights to indemnification and advances under this Article XIV shall be deemed to be contractual rights and to be effective to the same extent as if provided for in a contract between the corporation and the director or officer who serves in such capacity at any time while this Article XIV and other relevant provisions of the Act and other applicable law, if any, are in effect. Any right to indemnification or advances granted by this Article XIV to a director or officer shall be enforceable by or on behalf of the person holding such right in any court of competent jurisdiction if (i) the claim for indemnification or advances is denied, in whole or in part, or (ii) no disposition of such claim is made within ninety(90) days of request therefor. The claimant in such enforcement action, if successful in whole or in part, shall be entitled to be paid also the expense of prosecuting his claim. It shall be a defense to any such action that the claimant has not met the standards of conduct which make it permissible under the Act for the corporation BYLAWS, Page 9 to indemnify the claimant for the amount claimed; but the burden of proving such defense shall be on the corporation. Neither the failure of the corporation (including its Board of Directors, its independent legal counsel, or its Members) to have made a determination prior to the commencement of such action that indemnification of the claimant is proper in the circumstances because he has met the applicable standard of conduct set forth in the Act, nor an actual determination by the corporation (including its Board of Directors, its independent legal counsel or its Members) that the claimant has not met such applicable standard of conduct, shall be a defense to the action or create a presumption that claimant has not met the applicable standard of conduct. Section 6. Non -Exclusivity of Rights: The rights conferred on any person by this Article XIV shall not be exclusive of any other right which such person may have or hereafter acquire under any statute, provision of the Articles of Incorporation, Bylaw, agreement, vote of Members or disinterested directors or otherwise, both as to action in this official capacity and as to action in any other capacity while holding office. The corporation is specifically authorized to enter into individual contracts with any or all of its directors, officers, employees or agents respecting indemnification and advances, as provided by law. Section 7. Survival of Rights: The rights conferred on any person by this Article XIV shall continue as to a person who has ceased to be a director, officer, employee or other agent and shall inure to the benefit of the heirs and personal representatives of such a person. Section 8. Amendments: Any repeal or modification of this Article XIV shall only be prospective and shall not affect the rights under this Article XIV in effect at the time of the alleged occurrence of any act or omission to act that is the cause of any proceeding against any director, officer, employee or agent of the corporation. Section 9. Savings Clause: If this Article XIV or any portion hereof shall be invalidated on any ground by any court of competent jurisdiction, then the corporation shall nevertheless indemnify each director or officer to the full extent permitted by any applicable portion of this Article XIV that shall not have been invalidated, or by any other applicable law. ARTICLE XV. MISCELLANEOUS Unless otherwise determined by the Association's Board of Directors, the fiscal year of the Association shall begin on the first day of January and end on the BYLAWS, Page 10 31" day of December of every year, except that the first fiscal year shall begin on the date of incorporation. The foregoing Bylaws shall be effective the _ day of DOUG CAMPBELL, Director GARY NEWMAN, Director PAUL NEWMAN, Director BYLAWS, Page 11 CONSENT OF DIRECTORS IN LIEU OF ORGANIZATIONAL MEETING OF DAKOTA RIDGE HOMEOWNERS ASSOCIATION, INC. The undersigned, constituting all of the Directors of Dakota Ridge Homeowners Association, Inc., an Idaho Nonprofit Corporation, do hereby consent to, adopt, ratify and approve in writing the following corporate actions, without a meeting, in accordance with the provisions of the Idaho Nonprofit Corporation Act: BE IT RESOLVED, that the Articles of Incorporation of this Corporation, as filed, are approved and adopted and shall be inserted in the minute book of the Corporation, together with a Certificate of Incorporation issued by the Secretary of the State of Idaho. BE IT FURTHER RESOLVED, that the Bylaws for the regulation of the affairs of the Corporation are hereby ratified, confirmed and approved and adopted as the Bylaws of this Corporation and shall be found in the corporate record book. BE IT FURTHER RESOLVED, that the following persons are hereby elected as the officers of this Corporation, to hold office for the ensuing year or until such time as their respective successors are duly elected and qualified: President: Vice -President: Secretary Treasurer: Doug Campbell Gary Newman Paul Newman Paul Newman CONSENT OF DIRECTORS IN LIEU OF ORGANIZATIONAL MEETING - 1 BE IT FURTHER RESOLVED, that the following persons are hereby appointed as the members of the Architectural Control Committee, to hold office for the ensuing year or until such time as their respective successors are duly elected and qualified: Doug Campbell Bob Campbell Louis Steiner BE IT FURTHER RESOLVED, that a corporate seal, the impression of which is affixed in the margin hereof, be and the same shall be the corporate seal of the Corporation. BE IT FURTHER RESOLVED, that the secretary of this Corporation shall procure all such records, transfer books, books of account, stationery, and other office supplies as may be necessary, for the proper conduct of this Corporation's business. BE IT FURTHER RESOLVED, that the treasurer be, and hereby is authorized and directed to pay out of any funds belonging to this Corporation the expenses incurred in connection with its incorporation and for the supplies ordered or to be purchased in connection with the organization of the Corporation and the establishment of its business, and such other obligations, if any, as the Corporation has incurred incidental to its organization. BE IT FURTHER RESOLVED, that this Corporation will open a banking account for its general banking business with a bank to be selected, and the standard banking resolutions used by said bank for a corporation account is hereby adopted as if said resolution had been set forth herein in full. CONSENT OF DIRECTORS IN LIEU OF ORGANIZATIONAL MEETING - 2 DATED this day of 1998. Doug Campbell, Director Gary Newman, Director Paul Newman, Director CONSENT OF DIRECTORS IN LIEU OF ORGANIZATIONAL MEETING - 3