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PZ - Sundance CCR'S ADA COUNTY RECORDER J.DAVID NAVARRO AMOUNT 132.00 44 BOISE IDAHO 07110107 03:45 PM I ffkk tt II ! DEPUTY Neava Raney RECORDED—REQUEST OP 107097757 Seillers Crossing LLC DECLARATION OF COVENANTS, CONDITIONS, EASEMENTS AND . RESTRICTIONS FOR SUNDANCE SUBDIVISION NO. 5 i TABLE OF CONTENTS � 3 Page ARTICLEI -RECITALS................................................................................................................ I 1.1 Property Covered.........................................................:...................---................ 1 1.2 Purpose of Declaration--...................................................................................... 1 1.3 Other Declarations..........................................................................................--- 1 ARTICLE2-DECLARATION..........................................................................................I............I ARTICLE 3 -DEFINITIONS..........................................................................................................2 3.1 ACC Guidelines....................................................................................................2 3.2 Allowable Floor Area............................................................................................2 3.3 Architectural Control Committee or ACC. 3.4 Articles.................................................................. ...............................................2 3.5 Assessment......................................................._..............................._....................2 3.6 Association................. ..................... ....................................................................2 3.7 Association Rule(s)...............................................................................................3 j3.8 Board.....................................................................................................................3 3.9 Building. ................................................................................ ..............................3 3,10 Building Area........................................................................................................3 3.11 Bylaws................... ......................................................... ....................................3 3.12 Common Area.................................................................................................. ..3 3.13 Declarant.-.-................................................................ .......................................4 3.14 Declarant's Delegate.............................................................................................4 3.15 Declaration............................................................................................................4 3.16 Floor Ara. .................................................................................... ....................4 3.17 Improvement. ................................................................... ....................................4 3.18 Irrigation Manual................................................................................... ....--....5 i3.19 Irrigation System.............. ..................... ................................................ .............5 3.20 Limited Assessment..........................................................................................-.5 3.21 Lot......................................................................................................................... 5 3.22 Member.......................................................................... ......................................5 3.23 Occupant.................................................--...........................................................6 3,24 Owner................................... ........... ....................................................................6 3.25 Permanent Access Easement.................................................................................6 3.26 Permittee................................................................................................................ 6 3.27 Person....................................................................................................................6 3 3.28 Plat.. ...................................................................................................................7 3.29 Property.................................................................................................................7 3.30 Project Documents. ...............................................................................................7 3.31 Regular Assessment. . .......................................... ................-...... .....................7 i3.32 Restrictions.................................... .. ...................................................................7 3.33 Service Facilities......................................... ........................................................... 7 3.34 Site Plan. S I 3.35 Special Assessment........1............................. ........ .................. 8 ,1'A8f,E OF CONTENTS-i ARTICLE 4-USES AND REGULATION OF USES.........................................................I.........8 4.1 Uses- Generally..........................................................................................--.- 8 4.2 Prohibited Uses. .................................................................................................... 8 4.3 Improvements-Generally..................................................................................... 8 4.4 Nuisances. .............................--.................................................. ................>........9 4,5 Storage Areas. .................................................. ....................................................9 4.6 Drainage....,..-........... ...................................................I................................................9 4.7 Grading.......................---..................----.......................................................9 4.8 Owner's Insurance.................................................. ...... .........--..........................9 4.9 Insurance Rates. .......................................................................... ....................... 10 4.10 Landscaping. ....................................................................................................... 10 ARTICLE 5-RIGHTS TO COMMON AREAS;DESIGNATION OF COMMON AREAS. 10 5.1 Use of Common Area.......................................................................................... 10 5.2 Designation of Common Area............................................................................. 10 5.3 Damages to Common Area,.............................................................................- 11 ARTICLE 6-COMMON AREA DEVELOPMENT,OPERATION AND MAINTENANCEI I 6.1 Construction of Common Area Improvements................................................... '11 6.2 Protection of Common,Areas.............................................................................. 12 6.3 Employee Parking........................................................................................:...... 12 6AParking. ............................................................................................................... 12 6.5 Maintenance of Common Area........................................................................... 12 ARTICLE 7-BUILDING AREAS; CONSTRUCTION AND MAINTENANCE OF IMPROVEMENTS................................................................................................... 13 7.1 Building Areas;Allowable Floor Area;and Minimum Parking......................... 13 7.2 Construction within Building.Areas.................................................. ................. 14 7.3 Maintenance of Improvements,.......... .................................................. ...........- 14 7A Construction Staging and Maintenance During Construction.......................--. 14 i 7.5 Destruction and Restoration of Owner's Improvements.-,........... .................... 15 7.6 Condemnation..................................................................................................... 15 ARTICLE8-SIGNS....................................................................................................................... 15 8.1 Building Signs..................................................................................................... 15 8.2 Temporary Signs......... ...................................................................................... 15 8.3 Infoniaational Signs............................................................................................. 16 ARTICLE 9-EASEMENTS.......................................................................................................... 16 1. 9.1 Owners: Easements of Enjoyment............................................................... ...... 16 9.2 Ingress,Egress and Parking. ............................................................................... 16 9.3 Permanent Access Easement.......... ...... ............. 16 9.4 Easements Shown on Plat, 16 9.5 Blanket Utility Easement. ................................................................................... 17 9.6 Draittage and Utility Eason-tents.......................................................................... 17 9.7 Rights and Duties Concerning Utility Easements. ...... 17 9.8 Easements of Encroachment........................................ ................................... 18 9.9 Maintenance and Use Easement Between Watts and Property........................... 18 9.10 Disputes as to Sharing of Costs........................................................................... 18 TABLE OF CONTENTS-ii I I 9.11 General Landscape Basement................................................. .. ......................... 18 9,12 Declarant's Rights Incident to Construction........................................................ 19 9.13 Reservation for Expansion.................................................................................. 19 9,14 Emergency Easement.......................................................................................... 19 9.15 Maintenance Easement........................................................................................ 19 ARTICLE 10-BUSINESS OWNERS ASSOCIATION.............................................................19 10.1 Organization of Association................................................................................ 19 10.2 Members.-.................... ................................ .. . ..............................................20 10.3 Membership Voting.......................................................................................---20 10.4 Voting. ...........................................,....................................................-............,20 10.5 Board of Directors and Officers..........................................................................20 10.6 Powers of Association,........ ......................................... ....... .............................21 10.7 Duties of Association................................................... ....................................22 10.8 Destruction of Common Area.............................................................................24 10.9 Manager............................................................... ................................ .......25 10,10 Common Area Maintenance Contractor. ............................................................25 10.11 Liability of Declarant,Board Members and Officers. ........................................25 10,12 Dissolution of Association................................,.................................................26 ARTICLE 11 -ARCHITECTURAL CONTROL COMMITTEE.............................................26 11.1 Creation; Declarant's Right of Appoint-Went.......................................................26 11.2 Improvements Generally.............................. ...... ..............................................26 11.3 Expenses....... ......---....... ....... .......................................................................-27 11.4 Non-Liability of ACC Members.................................................................. .. ..27 11.5 Variances............................................................................................................. 27 11.6 Declarant's Exemption. .......................................................................................28 ARTICLE12-ASSESSMENTS.................................................................................4..................28 12.1 Covenant to Pay Assessments.......,..... ..........................................................-..28 12.2 Assessment Constitutes Lien...............................................................................28 12.3 Regular Assessments...........................................................................................28 12.4 Special Assessments................... ............ ......... ............... ................................29 12.5 Limited Assessments........................ ..................................................................29 12.6 Assessments Against Declarant. .........................................................................29 12.7 Rate of Assessment. ............................................................................................ 30 12.8 Interest and Penalties........................................................................................... 30 12.9 Assessment Period-. ........... ...............................................................................30 12.10 Notice and Assessment Due Date. .... ................................................................30 12.11 Estoppel Certificate............................................................................................. 30 ARTICLE 13-ENFORCEMENT OF ASSESSMENTS.............................................................31 13.1 Right to Enforce............................. . ..................................................................31 13.2 Creation of Assessment Liens..............................................................................31 13.3 Enforcement...............,........................................................................................31 13.4 Non-Exclusive Remedy.......................................................................................31 ARTICLE 14-INSPECTION OF ASSOCIATION'S BOOKS AND RECORDS...................32 14..1 Member's Right of Inspection............-... ...........................................................32 I TABLE OF CONTENTS-W 14.2 Rules Regarding Xnspection of Books and Records............................................32 14.3 Director's Rights of Inspection...........................................................................32 ARTICLE I5-GENERAL PROVISIONS...................................................................................32 15.1 Annexation of Other Properties. ....................................--.........—............ ......-32 15.2 Assigmnent by Declarant................................................................. ..................33 15.3 Tenn...................................................................---......................................—33 15.4 Amendment....... .............................................. ....................—...............---...33 15.5 Notices.................................................................................................................34 15.6 Enforcement and Non-Waiver. ...........................................................................34 153 Interpretation.......................................................................................................34 15.8 Recitals and Exhibits........................................................................................... 35 15.9 Consents Required............................................................................................... 35 E TABLE OF CONTENTS-1v DECLARATION OF COVENANTS,CONDITIONS,EASEMENTS AND RESTRICTIONS FOR SUNDANCE SUBDIVISION NO.5 THIS DECLARATION OF COVENANTS, CONDITIONS, EASEMENTS AND RESTRICTIONS FOR SUNDANCE SUBDIVISION NO. 5 ("Declaration") is made this 9`h day of July, 2007, by SETTLERS CROSSING, LLC, an Idaho limited liability company ("Declarant"). ARTICLE I -RECITALS ' 1.1 Proper Covered. The property subject to this Declaration' includes the property legally described on Exhibit A. attached hereto and made a part hereof by this reference(hereafter"Property,"),which is all of the property shown on the Sundance Subdivision No. 5 plat,recorded in the real property records of Ada County,Idaho(hereafter".Plat"). 1.2 Purpose of Declaration. The purpose of dais Declaration is to set forth the basic restrictions, covenants, limitations, easements, conditions and equitable servitudes (collectively"Restrictions') that will apply to the Property and the use of any and all portions of the Property. The Restrictions are designed to protect, enhance and preserve the value, amenities, desirability, and attractiveness of the Property; to ensure a well-integrated, high quality development; and to guarantee adequate maintenance of the Common Area, including any Improvements located thereon, in a cost effective and administratively efficient manner. 1.3 Other Declarations. The Property was initially included as part of the property potentially covered in that certain Declaration of Covenants, Conditions and Restrictions for Sundance Subdivision, recorded on January 30, 2003, as Instrument No. 103015879, in the real property records of Ada County, Idaho, as amended and/or supplemented from time to time ("Sundance Master Declaration"). By that certain Third Amendment to Declaration of Covenants, Conditions and Restrictions for Sundance Subdivision, recorded on February 27, 2004, as Instrument No. 104022616, in the real property records of Ada County, Idaho ("Third Amendment"), the Property was released from the restrictions set forth in the Sundance Master Declaration, except ! as specifically set forth in the Third Amendment. Thus, in addition to the provisions of this Declaration, the Property is subject to those specific covenants,conditions and restrictions of the Sundance Master Declaration as more particularly set forth in the Third Amendment, ARTICLE 2-DECLARATION Declarant hereby declares that the Property, and each. Lot, parcel or portion thereof, is and/or shall be held, sold, conveyed, encumbered, hypothecated, leased, used, occupied and improved subject to the following terms and Restrictions,all of which are declared and agreed to be in furtherance of a general plan for the protection, maintenance, subdivision, improvement DECLARATION-I S:1f.1 IENTSM7G11 0V7eetaralion of Covenams(fnal).00C and sale of the Property, and to enhance the value, desirability acid attractiveness of the Property. The terms and Restrictions set forth herein shall run with the land constituting the Property, and with each estate therein,and shall be binding upon any Person having or acquiring any right,title or interest in the Property or any Lot,parcel or portion thereof; shall inure to the belaefit of every other Lot,parcel or portion of the Property and any interest therein; and skull inure to the benefit of and be binding upon Declarant, each Person or Owner having or holding an interest in the Property and such Person's or Owner's successors in interest,and may be enforced by Declarant, any Owner or Owner's successors in interest, any Verson having or holding an interest in the Propeily or such Person's successors in interest, or by the Association. In the event of any conflict between this Declaration and any other of the Project Documents, this Declaration shall control. ARTICLE 3- DEFINITIONS 3.1 ACC Guidelines. "ACC Guidelines" shall mean the architectural guidelines and rules promulgated, published,amended and supplemented from time to time pursuant to Article l 1. 3.2 Allowable Floor Area. i "Allowable Floor Area" shall mean the maximum Moor Area allowed to be constructed on each Lot as set forth in Section 7.1. 3.3 Architectural Control Committee or ACC. "Architectural Control Committee" or "ACC" shall mean the Architectural Control Committee created by Declarant pursuant to Article I 1 hereof. 3.4 Articles. "Articles" shall mean and refer to the Articles of Incorporation of the Association or other organizational or charter documents of the Association, as the sane may be amended or revised from time to time. 3.5 Assessment. "Assessment" shall mean and refer to a payment levied by and clue to the Association, including Regular,Special or Limited Assessments in accordance with Article 12 hereof. 3.6 Association. "Association" shall mean and refer to the non-,profit corporation organized by Declarant ender the laws.of the State of Idaho in which each Owner shall be a Member. The Association shall be governed and have all the rights and duties as described in Article 10 hereof 1 t DECLARATION-2 S:ICI.€37E�'t'51597fi1t LU7cciral3oE of Covcrttiils{fin»3j.A0C: 3.7 Association Rules?. "Association Rules " or "rules" shall mean and refer to those rules and regulations adopted, amended, repealed and promulgated from time tee time by the Association governing conduct upon and use of all or any portion of the Property, 3.8 Board. "Board"shall mean and refer to the Board of Directors of the Association. 3.9 Buildin . "Buis"shall mean and refer to a permanent structural Improvement on any Lot which is enclosed by exterior walls, floor and roof, and which is designed for the conduct within of the activities and business of the Owner of such Lot, or the Occupant of such Improvement. A Building shall be included in the definition of Improvement. 3.10 Building Area. "Building Area" shall mean those areas within each Lot within which Buildings (which for purposes of this Declaration shal I include any appurtenant canopies, supports, loading docks, truck ramps and other outward extensions)may be constructed,placed or located. The Building Areas are designated oil the Site Plan, attached hereto as Exhibit B and incorporated herein by this reference. If the Building Area is not so designated within a Lot, then the Building Area shall be that portion of the Lot not located within legal setback areas or designated easements. 3.11 By] "Bylaws' shall mean and refer to the Bylaws of the Association, as the same may be amended or revised from time to time. 3.12 Common.Area. "Common Area"shall mean and refer to those portions of the Property as designated on a Plat, in this Declaration, or pursuant to any other instrument recorded in the official records of Ada County, Idaho or which shall be otherwise identified by the Declarant or the Association and any other Owner of such property, from time to time, to be for the benefit, common use and enjoyment of all Owners and the entire Property. Common Area may include easement and license areas granted or reserved to the Association or the public, and any and all other real or personal property owned, held, maintained or operated by tlae Association. Common Area shall be operated and maintained by the Association and the expense thereof shall be assessed against the Owners in accordance with Article 12 hereof. 3,13 Declarant. "Declarant" shall mean and refer to Settlers Crossing, LLC, an Idaho limited Iiability company. "Declarant"shall also include the successors and assigns of Settlers Crossing,LLC,to DECLARATION-3 j S:IC:t.i I:N'l'StiU97UH UI)rcinra€iau of�.nVCn:Sk1[5(tinat),l)t3C i 3 1 the extent the Declarant's rights are specifically and expressly granted to such successors and assigns. 3.14 Declarant's Dele ate. "Declarant's Delegate" shall mean and refer to Declarant's representative designated to represent Declarant as the Class B Member, until the Class B Member Termination Date, at all meetings of the Association. 3.15 Declaration. "Declaration" shall mean and refer to this Declaration of Covenants, Conditions, Easements and Restrictions for Sundance Subdivision No. S which encumbers the entire Property,as may be amended,supplemented and/or restated from time to time. 3.16 Floor Area. ' loor Area' shall mean the total number of square feet of floor space in a Building whether or not actually occupied including basement, subterranean and mezzanine space. The Floor Area shall be measured from the exterior line of the exterior walls and from the center line of any party or common interior walls without deduction for columns, walls or other structural or non-structural components. 3.17 Impr.oyem.e€it. "Improvement" shall mean and include every structure, facility, system or object and all appurtenances thereto of every kind and type and other physical changes upon, over, across, above or under the Property,whether permanent or temporary. This definition shall include,but is not limited to the following: Buildings, outbuildings, roads, parking facilities and structures, drive isles, landscaping and landscaping improvements, living or dead vegetation, rocks,ditches, exterior lighting, signs,canopies, awnings, fences,patios, curbs,walkways, sidewalks,pathways, shelters, screening walls, construction trailers and other temporary construction outbuildings, benches, plantings, exterior appliances, antennas, satellite dishes and other communications equipment including fiber optic cables, and other pumps, wells, tanks, ponds, waterways, ditches, pipes, lines, meters, towers, recreational facilities, grading, road construction and any other new exterior construction or exterior improvement which may not be included in the foregoing. Improvement(s) includes both original improvements existing on the Property on the date hereof and all later changes and additions. 3.18 Irrigation Manual. "Irri ation Manual" shall mean and refer to that certain Sundance Subdivision and Sundance Place Subdivisions' Pressure Irrigation Operation and Maintenance Manual, as amended,which contains the use, operation, and maintenance guidelines governing the Irrigation System. DECLARATION-4 5:1CLILNTS\60611 W)cOaration of Covenan(s(fitw3),DOC i 3.19 Irrhiation.SYStenn. "lrrigation System" shall mean and refer to the Irrigation System contained with the Property, existing separate and apart from the potable water system,including all Improvements and easements associated therewith, which supplies the Property with irrigation water. The Irrigation System shall be Common Area owned and governed by the Association. 3.20 Limited Assessment. "Limited Assessment" shall mean and refer to an Assessment levied by the Association iri accordance with Article 12 hereof upon one or more Lots, but not upon all Lots within the Property for the purpose of securing payment by the Owner(s) thereof of amounts expended by the Association to correct a condition or violation which the Owner has failed to cure or for the purpose of paying costs and expenses for goods or services benefiting less than all Owners. 3.21 Lot. "Lot" shall mean and refer to any portion of the Property subdivided pursuant to a recorded flat or Plats, or otherwise legally created for separate use and/or ownership, upon which Improvements may be constructed. 3.22 Mennber. "Member"shall mean and refer to each Owner holding a membership in the Associations. 3.23 Occupant. "Occupant" shall mean and refer to any Person occupying any portion of a Building or Lot who holds less than a fee simple interest, including without limitation, lessees,licensees and invitees, 3.24 Owner. "Owner" shall mean and refer to any Person who is the record owner of a Lot or any portion thereof or interest therein, but excluding those having any such interest merely as security for the performance of an obligation. 3.25 Permanent Access Easenment. "Permanent Access Easement"shall mean a non:-exclusive perpetual access easement for vehicular and pedestrian ingress and egress on over and across the Common Area as more particularly set forth in Article 9 hereof,and shown on the Site Plan. 3.26 Permittee. "Perrnittee" shall paean all Owners and/or Occupants and the officers, directors, employees, agents, contractors, customers, vendors, suppliers, visitors, invitees, licensees, subtenants, and concessionaires of Owners and/or Occupants insofar as their activities relate to DECLARATION-5 S:IC1.lIsNTSIG97G11 GVkclaratioiF of CorcnanEs(fam)).f]OC the intended development, use and occupancy of the Property. Among others, Persons engaging in the following activities on the Common Area will not be considered to be Permittees: 3.26.1 Exhibiting any placard, sign, or notice except for a Person displaying real estate for sale or rent signs,"coming soon"and similar development signs, and legal notices; 3.26,2 Distributing any circular, handbill,placard,or booklet; 3.26.3 Soliciting memberships or contributions; 3.26.4 Parading, picketing,or demonstrating; and 3.26.5 Failing to follow regulations relating to the use of the Property. 3.27 Person. "Person" shall mean any individual, partnership, corporation, trust, estate or other legal entity,including Declarant. 3.28 Plat. "Plat" shall !Wean any subdivision or condominium plat covering any portion of the Property, including without limitation, the Sundance Subdivision No. 5 Plat, as recorded or to be recorded at the office of the County Recorder, Ada Coixity, Idaho, as the same may be amended or supplemented from time to time. The term "Plat" shall not include any portion of a Plat legally vacated. 3.29 Pro ert , "Pro ert ' shall mean and refer to the real property legally described on the attached Exhibit A. 3.30 Project Documents. "Pro'ect Documentf shall mean the basic documents creating and governing the Property including, without limitation; this Declaration, the Articles and Bylaws of the Association, any Association Rules and any other manuals, procedures, rules, regulations or policies adopted pursuant to such documents by the Association. 3.31 Re ular Assessment. "Regular Assessment" shall mean and refer to an Assessment levied by the Association in accordance with Article 12 against each Lot for the payment of the regular expenses incurred by the Association for the cost of maintenance and operation of the Common Area and the business expenses of such Association. DECLARATION-b S:`CLTI:N'1 S1f 97GU G1[3ccEara€ia�:orCovenasku(Tl€taTa.DUC 3.32 Restrictions. "Restrictions" shall mean and refer to all restrictions, covenants, limitations, easements, conditions. and equitable servitudes that encumber or otherwise apply to the Property or use thereof as set forth in this Declaration,as amended and/or supplemented-from time to time. I 3.33 Service Facilities. "Service Facilities"shall mean and refer to loading docks, trash enclosures,bottle storage areas, trash compactors, exterior coolers and electrical and refrigeration facilities, and other similar facilities providing services to any Improvement upon a Lot. 3.34 Site Plan. i "Site Plan" shall mean and refer to the document attached hereto as Exhibit B shouting the Lots, Building Areas on the Lots, the design and configuration of the Common Area including parking spaces, drive aisles and the Permanent Access Easement, as may be amended from time to time pursuant to the terins hereof. 3.35 Special Assessment. "Special Assessment"shall mean and refer to an Assessment levied by the Association in accordance with Article 12 hereof upon the Lots to defray the cost of construction or reconstruction of Common Area, or Improvements therein or to cure a deficit in Regular Assessments. ARTICLE 4- USES AND REGULATION OF USE, 4.1 Uses-Generally. All Lots(and the Improvements constructed thereon)shall be used exclusively for office, commercial, and light industrial purposes only, in accordance with any and all applicable zoning ordinances,provided such uses are in compliance with any restrictions of record, including those in this Declaration. 4.2 Prohibited Uses. No portion of the Property may be used inconsistently with this Declaration or any applicable law,regulation,rule or ordinance. 4.3 Impzovemaii s-Generally. No Improvement shall be constructed upon any Lot unless such Improvement has been approved by the Architectural Control Committee pursuant to Article 11 hereof, and is in compliance with the design requirements of the City of Meridian. All Improvements shall conform and Harmonize as to external design, quality and type of construction, architectural character, mate ials, color, location within the Building Area, height, grade and finished ground elevation,natural conditions,landscaping and all aesthetic considerations. DECLARATION-7 S:tCLfl"•N"1:51G976Ii1,�1)cclamtion off ovcrrarns(fivai).DOC In the event any Improvement is constructed in violation of this Declaration acid/or in violation of any approval received by the Architectural Control Committee,the Association,after reasonable notice to the Owner and/or the offender, may remove any Improvement so constructed and the Owner of the Improvements shall immediately reimburse the Association for j all expenses incurred with such removal. Each violation of this Declaration is hereby declared to be and to constitute a nuisance, and every public or private remedy allowed for srich violation by law or equity against an Owner and/or Member shall be applicable. I 4.4 Nuisances. No rubbish or debris of any kind shall be placed or permitted to accumulate anywhere upon the Property, including the Common Area or vacant Lots, and no odor shall be permitted to arise from any portion of the Property so as to render the Property or any portion thereof unsanitary, unsightly, offensive or detrimental to the Property or to its Owners or Occupants, or to any other property in the vicinity thereof or to its occupants or residents, No portion of the E Property shall unreasonably interfere with the quiet enjoyment of other Owners or Occupants by reason of odor, fumes, dust, smoke, noise, glare, heat, sound, vibration, electromechanical disturbances, electromagnetic disturbances, radiation, air or water pollution or which may be hazardous by reason of fire, explosion or microwave radiation. Without limiting the generality of any of the foregoing, no whistles, bells or other sound devices (other than security devices used exclusively for security purposes), flashing lights or search lights, shall be located, used or placed on the Property without the prior written approval of the Association. No portion of the Property may be used in a manner that may result in the unlawful discharge of toxic materials into or upon the Property,sewer system or storin drain serving the.Property. 4.5 Stara e Areas. No Owner shall be permitted to store any materials, supplies, inventory, garbage dumpsters, equipment or any other personal property used in connection with the office, commercial, or light industrial purpose conducted in connection with such Lot, except inside a Building or behind a visual barrier. Such barrier must screen such area from the view of adjoining portions of the Property and streets. 4.6 Drainage. All Lots shall be required to drain to the curb or to any drainage easement, and no Lot shall be permitted to drain over any other Lot, unless within a drainage casement. All Buildings on each Lot must have rain gutters around the entire Building that provides drainage to the front of the Building and onto the parking area portions of the Common Area. i 4.7 Grading. The grading of any portion of the Property, or any .modification, alteration or change to such grade, must be made in accordance with applicable laws, rules, regulations and ordinances and approved in writing by the Association. DECLARATION-8 S:t(.1.1�;N]'SlG9Tfi11G11)cclat:ttion of Coecsosus(fissalJ,F)OC: E k 4.8 Owner's Insurance. E Each Owner shall be responsible for its own liability insurance coverage with respect to its Lot, including; Common Area located thereon, as well as all insurance relating to its personal property and personal liability. Any insurance policy obtained by an Owner shall provide that it does not diminish the insurance carrier's coverage for liability arising under insurance policies that the Association obtains pursuant to this Declaration. All such insurance on the Owner's Lot shall waive the insurance company's right of subrogation against the Association, the other Owners,and the servants, agents and guests of any of them. 4.9 Insurance Rates. Nothing shall be done or kept on any Lot which will increase the rate of, or cancel any insurance on any other portion of the Property without the approval of the Owner of such other portion, nor shall anything be done or kept on the Property or a Lot which would result in the cancellation of insurance on any other portion of the Property or which would be in violation of ' any law. 4.10 Landscapin". Each Owner shall make such landscaping Improvements upon such Owner's Lot as shall be required by the City of Meridian in con€iection with the issuance of any building permit and/or certificate of occupancy. Failure to install such landscaping in conformance with the requirements of the City of Meridian shall constitute a default hereunder. ARTICLE 5-RIGHTS TO COMMON AREAS; DESIGNATION OF COMMON AREAS 5.1 Use of Common Area. The Common Area is hereby reserved for the sole and exclusive use of all Owners and/or Occupants of the Property, their tenants, contractors, employees, agents, customers, licensees and invitees and the subtenants,contractors,employees,agents,customers, licensees and invitees of such tenants and for holders of any easement or license granting rights of access or otherwise in the Common Area or any part thereof. The Common Area may be used for vehicular and E pedestrian ingress and egress and vehicular parking, directional signs, sidewalks, walkways, landscaping,perimeter walls and fences,parking lot lighting,recycling centers, utilities and other similar facilities, bike racks and Service Facilities and for no other purpose unless otherwise specifically provided in this Declaration. Except for "permitted improvements," as defined below, no additional Buildings or structural Improvements not shown in the Site Plan shall be placed or constructed in the Common Area without the prior written consent of the Association. "Permitted improvements" are defined as paving, bumper guards or curbs, landscape planters, lighting standards, utility pads and equipment, recycling centers, bicycle racks, sidewalks and Service Facilities (provided that such Service Facilities are located to the rear or sides of any buildings), so long as any such permitted improvements do not (i) reduce the total number of i parking spaces on the Lot involved below the number of parking spaces set forth in Section 7.1; I (ii)significantly alter the parking configuration or the drive aisles as shown on the Site Plan;(iii) DECLARATION-9 5:let 7tEN'f81697G1I G1€Tccfar�3io�i of Covc���iEts{15Eta1),DQC E impede the access to any Lot; (iv) alter the configuration of'the Permanent Access Easement; or (v)impede traffic circulation. 5.2 Designation of Common Area. i The Irrigation System and all areas within the exterior boundaries of the Property, exclusive of(i) Buildings; and (ii) those areas devoted to Service Facilities or drive-up or drive through customer service facilities which areas are not intended for the common use and enjoyment of all Owners and Occupants of the Property, their Perrnittees and the subtenants, contractors, employees,,agents, customers, licensees and invitees of such Permittees are hereby designated as Common Area. 5.3 Dammos.to.Common Area. Each Owner shall be fully liable for any damage to any Common Area which may be sustained by reason of the negligence or willful misconduct of the Owner or Occupant, their tenants, contractors, employees, agents, customers, licensees and invitees and the subtenants, contractors, employees, agents, customers, licensees and invitees of such tenants. The cost of correcting such damage shall be a Limited Assessment against the Lot and may be collected as provided herein for the collection of other Assessments. ARTICLE 6- COMMON AREA DEVELOPMENT,OPERATION AND j MAINTENANCE I 6.1 Construction of Common Area Improvements. 6.1.1 Declarant or Declarants,designee shall construct the Common Area i located Capon any Owner's Lot within the Property in accordance with the Site Plan if Declarant i determines in Declarant's sole discretion that such Common Area Improvements are necessary for the use of all or any portion of the Property. Such Improvements on the Lots may be temporary or permanent in nature. In the event such Improvements are permanent in nature, at such time as such Owner constructs a Building on its Lot, such Owner shall reimburse Declarant the costs of construction of such permanent Improvements as evidenced by Declarant's j construction records. 6.1.2 Following the initial construction of Improvements within the Common Area, no Owner shall make or allow to be inade changes to the Common Area on its Lot without the approval of the Association, except that each Owner may make, from time to time, without obtaining the consent or approval of any other Owner and at its own expense, any insignificant:change,modification or alteration in its portion of the Common Area, including the installation'ofconvenience.facilities such as public telephones and benches,provided that: 6.1.2.1 the accessibility of such Common Area for pedestrian and vehicular traffic (as it relates to the remainder of the Property) is not unreasonably restricted or hindered, and all parking stalls and rows.and vehicular traffic lanes shall remain generally as shown on the Site Plan; i DECLARATION-ro S:SCl.3i�'7'51G37GItGVk>cl7ratioii ofCovcuSe:ss(linal3.pU(: 6.1.2.2 there shall be maintained at all times within such Common Area, the number of vehicular parking spaces as set forth in Section T l or to otherwise meet the parking requirements set forth in this Declaration, as well as all governmental rules,regulations, and/or ordinances relating to parking requirements; 6.1.2.3 no governmental Wile, ordinance or regulation shall be violated as a result of such action, and such action shall not result in any other Owner being in violation of any governmental rule,ordinance or regulation; 6.1.2.4 no change shall be made in the access points between the Common Area and the public streets or the Permanent Access Easement location without the consent of tine Association unless required by governmental authority;and 6.1.2.5 at least thirty (30) days prior to making any such change, modification or alteration, the Owner desiring to do such work shall deliver to each other Owner and the Association copies of the plans therefor. 6.2 Protection of Common Areas. Declarant reserves for itself or for the Association the right at any time and from tinge to time to take such steps as deemed necessary to prevent, exclude and restrain any Person who is not a Permittee from using the Common Area(and to exclude Permittees from using the portions of the Common Area not then developed for common use). 6.3 B nployee.Parking. The Association may designate, from time to time, areas to be used for motor vehicle parking by employees of Occupants of tile, Property. In the event employee parking areas are designated as provided herein, then employees of any Owner or Occupant of any part of tiae Property shall use only those portions of the Common Area designated for such employee parking purposes. The authority herein granted shall be exercised in such manner as not to discriminate against or place any undue burden upon any Owner or Occupant of the Property. 6.4 Parkin . There shall be no charge for parking in the Common Area without the prior written consent of the Association or unless otherwise required by law. 6.5 Maintenance of Common Area. The Association shall maintain, or cause to be maintained, the improved Common .Area in a clean, sightly, safe condition and good state of repair. The standard of maintenance for the improved Common Area shall be comparable to the minimum standard of maintenance followed in other first class commercial developments of comparable size in the Ada County, Idaho area and in compliance with all applicable governmental laws, rules, regulations, orders and ordinances, and the provisions of this Declaration. All Common Area improvements shall be repaired or replaced with materials at least equal to the quality of the materials being repaired or replaced so as to maintain the architectural and aesthetic harmony of the Property as a whole. MCLARATION-I I S.�Ct.t GN'i's1G97511 G5�7eL1arapaiE uPt:ovmlpnls(Final).AUC The maintenance and repair obligation of the Association shall include but not be limited to the following: 6.5.1 Drive and Parking.Areas. Maintaining all paved surfaces and curbs in a smooth and evenly covered condition, including, without limitation, replacement of base, skin patch, resealing and resurfacing (for the purpose of this section, an overlay of the drives and parking areas shall be considered a maintenance item). Without in any manner limiting the foregoing, the Association shall cause the parking lot to be striped not less than every two (2) years, a seal coat to be applied to the parking lot and all drive aisles not less than every four(4) years, for all potholes and cracks in the surface of the parking lot and drive aisles to be promptly repaired upon discovery or notification of the same and all directional arrows, crosswalks, and other matters in the drive aisles to be painted not less than every one(1) year. 6.5.2 Debris,Refuse and Snow. Periodic removal of all papers,debris, filth, refuse, ice and snow (1" on the surface and snowing), including vacuum sweeping to the extent necessary to keep the Common Area in a first-class, cleans and orderly condition. All sweeping shall be at appropriate intervals during such times as shall not unreasonably interfere with the conduct of business or use of the Common Area by Permittees. 6.5.3 Non-Occupant Signs and Markers. Maintaining, cleaning and replacing any appropriate directional, stop or handicapped parking signs; restriping parking lots and drive lanes as necessary to maintain parking space designation and traffic direction; and keeping clearly marked fire lanes, loading zones,no parking areas and pedestrian cross-walks. 6.5.4 Li litin . Maintaining, cleaning and replacing Common Area lighting facilities, including light standards, wires, conduits, lamps, ballasts and lenses, time clocks and circuit breakers. 6.5.5 Landsogping. Maintaining and replacing of all landscape plantings, trees and shrubs in an attractive and thriving condition,trimmed and.weed free. Maintaining and replacing landscape planters and performing pest control and extermination therein as needed. 6.5.6 Obstructions. Keeping the Common Area free from any obstructions, unless such obstruction is permitted under the provisions of this Declaration. ARTICLE 7- BUILDING AREAS; CONSTRUCTION AND MAINTENANCE OF IMPROVEMENTS 7.1 Building Areas;Allowable Floor Area;and-M uirauan Parking. All Buildings and other Improvements (except those permitted improvements set forth in Section 7.3 below) shall be placed or constructed upon each Lot only in the Building Areas; provided, however, that canopies, eaves and roof overhangs (including columns or posts supporting same), normal foundations, utility cabinets and meters, signs and doors for ingress and egress may project from the Building Area into the Common Area if shown in the approved design plans. No Building on a Lot shall exceed the Allowable Floor Area for such Lot as determined by the Declarant from time to time, in Declarant's discretion, taking into account existing Improvements, parking ratios and any current development approvals obtained by DECLARATION-12 S:�Ct l]"sN151G97Gt3 LUxciaratioa of Commms(f wal).VoC Declarant from the City of Meridian., The minimum parking required to serve the Improvements on such Lot shall be located on such Lot or be available to such Lot through any shared parking agreement. No Building on a Lot shall cause the Sundance Subdivision No. S, in the aggregate, to have less than the minimum number of parking spaces required by the City of Meridian. Notwithstanding anything to the contrary contained in this Section 7.1, Declarant may(i) modify any Building Area on any Lot owned by Declarant; (ii) adjust any Lot Iine for any Lots owned by Declarant; and (iii)otherwise modify the Site Plan to reconfigure the Common Area to allow such modification to the Building Area, without the consent of any other Owner provided such modified Building Area (a) is not located within legal setback areas or designated easements; (b) does not increase the Allowable Floor Area within the Property or (c) does not decrease the required minimum number of parking spaces within the Property. 7.2 Construction within Building;Areas. All Buildings and other Improvements shall be constructed within the Building Area in accordance with this Declaration and all local, state and federal laws, rules and regulations applicable thereto. Activities associated with the constniction of any Building or Improvement within the Building Area shall not prevent or unreasonably obstruct the passage of pedestrian or vehicular traffic and parking on, over and across those portions of the Common Area improved for common use, whether such Common Area Improvements are permanent or temporary in nature. All Lots or portions thereof upon which neither Buildings nor Common Area Improvements have been constructed shall be kept weed free and clean at the Owner's sole expense in accordance with the terns of this Declaration until such: time as Buildings and/or Common Area Improvements are constructed thereon. 7.3 Maintenance of Ini rovements. Each Owner shall maintain in good order, repair and condition all Improvements located on an Owner's Lot in a first class condition, excluding landscaping and that portion of each Owner's Lot which is designated as Common Area to be maintained pursuant to Section 63 of this Declaration. Each Owner's maintenance obligations shall include without limitation the following;: (i) all windows and exterior surfaces of any Improvement shall be washed and cleaned regularly; and. (ii) all trash and rubbish shall be kept in enclosed containers in the location and manner provided for by the Association. In addition, each Owner shall comply with this Declaration,and all Association rules,as promulgated and amended from time to time by the Declarant or the Association. In the event that any Owner shall permit any Improvement to fall into disrepair so as to create a dangerous, unsafe,unsightly or unattractive condition, or damages property or facilities on or adjoining such Owner's Lot, the Association, upon thirty (30) days prior written notice to such Owner, Shall have the right to correct such condition, and to enter upon such Owner's Lot for the purpose of doing so, and such Owner shall promptly reimburse the Association for the cost thereof, Such cost shall be a Limited Assessment and shall create a lien enforceable in the same manner as other Assessments as set forth herein. The Owner of the offending property shall be personally liable, and such Owner's Lot may be subject to a mechanic's lien for all costs and expenses incurred by the Association in taking such corrective acts,plus all costs incurred in collecting the amounts due, DECLARATION-13 S:�4:i.i13N'!'S�s9761t wllcc[araifon oreovcs,,,uss fru��),�or: i 7.4 eOtllStruCti[)n Staging and Maintenance During Construction. I All construction staging shall take place on the Lot upon which construction is occurring. During the course of construction and following completion of construction of an trnprovement, the Lot on which the Improvement is being or was constructed and adjacent areas and streets impacted by the construction shall be cleaned on a regular basis, and all trash,rubbish and debris shall be promptly removed therefrom. All requirements and standards set forth in this Section 7,.4 shall be,the sole cost and expense of the Owner thereof In addition, all construction activities shall be performed in a manner that minimizes the generation, emission, entrainment,suspension and/or transport of fugitive dust within the Property. 7.5 Destruction and Restoration of Owner's Improvements. If any Improvement located on an Owner's Lot is destroyed by any casualty, excluding landscaping and that portion of such Owner's Lot designated as Common Area, the Owner of such Lot shall promptly restore such Improvement to its original condition at such Owner's cost. To the extent that the Owner of such Lot elects not to restore the destroyed Improvements, such Owner shall promptly raze such damaged Improvements and shall forthwith grade, pave and/or landscape the area on which such Improvement was located in a safe, sightly and attractive condition. 7.6 Condemnation. In the event of a condemnation of part of a Lot, or sale or transfer in lieu thereof that reduces the number of usable parking spaces below that which is required herein, the Owner whose Lot is so affected shall use its best efforts (including using proceeds from the condemnation award or settlement if authorized by such Owner's lender) to restore and/or substitute ground level parking spaces in order to comply with,the parking requirements set forth in this Declaration. If such compliance is not possible, such Owner shall not be deemed in default hereunder, but such. Owner shall not be permitted to expand the amount of Floor Area located upon its Lot unless authorized to do so by the Association. If such Floor Area is thereafter reduced other than by casualty,then the Floor Area on such Lot may not subsequently be increased unless the parking requirement is satisfied or unless otherwise authorized to do so by the Association. ARTICLE 8,-SIGNS 8.1 Building Siggs. Unless otherwise approved by the ACC and in accordance with the master sign plan as submitted to and approved by the City of Meridian, no Owner/Occupant identification sign attached to the exterior of: a Building shall be (i) placed on canopy roofs extending above the Building roof,placed on penthouse walls,or placed so as to project above the parapet,canopy,or top of the wall upon which it is mounted; (ii) placed at any angle to the Building; provided, however, the foregoing shall not apply to any sign located under a sidewalk canopy if such sign is at least eight '(8) feet above the sidewalk; (iii) painted on the surface of any Building; (iv) flashing or audible; (v) signs employing exposed raceways (unless the raceway is the same colon as the Building),exposed ballast boxes,or exposed transformers; or(vi)paper or cardboard DECLARATION 414 S:1CLT1'sN'1'51G97611 Glf?celm;�liu«of C:ovcaanfs f1TnaEy.170C signs, temporary signs(exclusive of contractor signs), stickers or decals; provided, however, the foregoing shall not prohibit the placement at the entrance of each Occupant's space a small sticker or decal, indicating hours of business, emergency telephone numbers, acceptance of credit cards,and other similar items of information. 8.2 TpLn orar Signs, Notwithstanding the above,any Occupant may display professionally prepared temporary signs and banners for in-store promotions provided that no siich individual sign or banner may be displayed for more than 30 days for each promotion and not more than one hundred eighty(180) days cumulative during any calendar year, and such sign complies with the sign ordinance of the City of Meridian. 8.3 Informational Signs. Notwithstanding anything above to the contrary, each Owner/Occupant shall be permitted to place within the Common Area located on its Lot directional signs or informational signs such as "Handicapped Parking,', the temporary display of leasing information and the temporary erection of one sign identifying each contractor working on a construction job. ARTICLE 9- EASEMENTS 9.1 Owners:Easements ofEn'o nrent. Every Owner shall have a nonexclusive easement for the use and enjoyment of the Common Area which shall be appurtenant to and shall pass with the title to every Lot, subject to the Restrictions set forth in this Declaration, as supplemented and amended from time to time. 9.2 Ingress,Egress and.Parking. Declarant hereby establishes, declares and grants, subject to the terms contained in this Declaration, a perpetual, non-exclusive casement for the passage and parking of vehicles on, over and across the parking and driveway areas of those portions of each Lot designated as Common Area, as the same may from time to time be constricted and maintained for such use, and for the passage and accommodation of pedestrians over and across the parking, driveway and sidewalk areas of those portions of each Lot designated.as Common Area, as the same may from time to tine be constructed and maintained for such use for the benefit of each Lot within the Property and for the use of the Owners thereof and their Petmittees, in common with others entitled to use the same. 9.3 Permanent Access Easement. In addition to the foregoing, Declarant hereby establishes, declares and grants, subject to the terms contained in this Declaration, a perpetual, non-exclusive access easement for vehicular and pedestrian ingress and egress over and across the Common Area to and from the public roadways as shown on the Site Plan, which shall be referred to as the "Pernianent Access Easement" for the benefit of each Lot within the Property and for the use of the Owners thereof and their Permittecs, in common with others entitled to use the same. The Association will be DEct,a,rtn,•IJON-is S:1C1.11iN'3"51G97G11Gti�Cc[ar kionofCovenaiM(Goa4)MOC responsible for all maintenance,repair or replacement of such Pennanent Access Easement, and the cost and expense of such maintenance, repair and replacement shall be assessed as a Regular Assessment against al! Owners. 9.4 Recorded Easements. The Property, and all portions thereof, shall be subject to all easements shown on any recorded plat or survey affecting the Property, or any portion thereof, and to any other easements of record or of use, now existing or hereafter created, including without limitation any storm drainage easements, street light easements, sanitary sewer easements or any other public utility easement shown on the PIat. 9.5 Blanket Utility Basement. A blanket utility easement is hereby granted for all utilities, including water, sewer, telephone, cable television and electrical systelrrs, on, over, across, under and through the Common Area for the provision of services to each.Lot. All such utility systems shall be located underground. The Owners of Lots may not construct any Improvements on the Common Area that would interfere with or otherwise prevent the casement form being used for its intended purpose, other than the drive aisles, parking spaces and related Improvements as set forth in Section 5.1. Any damage sustained to Improvements on the easement areas as a result of legitimate use of the easement area shall be the sole and exclusive obligation of the party benefited by such easement or the Association in accordance with any agreement or recorded instrument related thereto. If such cost shall be an expense of the Association, the Association .may impose a Special or Limited Assessment therefore. 9.6 Drainage and Utility Easements, Declarant hereby reserves for the benefit of the Association the right to grant additional easements and rights-of-way over the Property, as appropriate, to utility companies and public agencies for the installation,repair and maintenance of utility and drainage facilities as necessary or expedient for the proper development of the Property until close of escrow for the sale of the last Lot in the Property. The Owners of Lots are hereby restricted and enjoined from constructing or altering any Improvements upon any drainage or utility easement areas as shown on the Plat(s) or otherwise designated in any recorded document which would interfere with or prevent the easenrent from being used for its intended purpose, provided, however that any damage sustained to Improvements on the easement areas as a result of legitimate use of the easement area shall be the sole and exclusive obligation of the party benefited by such easement or the Association in accordance with any agreement or recorded instrument related thereto. If such cost shall be an expense of the Association, the Association may impose a Special or Limited Assessmelt therefore. 93 Rights and Duties Concerning Utility Easements. Wherever utility connections are installed within the Property, which connections or any portions thereof lie in or upon Lots owned by an Owner other than the Owner of the Lot served DECLARATION-16 S�LCG,E�€V•E'SiG97G1161€)ectalaFlait o€�vcix�rfts£�nA�)•13e?f: by the connections, the Owner of the Lot served by the connections shall have the right, and is hereby granted an easement to the full extent necessary therefor,to enter upon any Lot or to have their agent enter upon any Lot within the Property in or upon which said connections or any portion thereof lie, to repair, replace and generally maintain the connections as and when it may be necessary. Whenever utility connections are installed within the Propcity,which connections serve more than one Lot the Owner of each Lot served by the connections shall be entitled to full use and enjoyment of such portions of said connections as service such Owner's Lot. In the event any installation, Construction, maintenance, operations, repair or replacement ("Installation and Repair") of the casements granted herein disturbs or damages any landscaping or other lmprovoment(s), the Association shall restore the Improvements to a condition reasonably comparable to their condition prior to the Installation and Repair and shall charge all costs associated therewith as a Limited Assessment against the Owner performing the Installation and Repair. 9.8 Easements of Encroachment. There shall be reciprocal appurtenant casements of encroachment as between each Lot and such portion or portions of the Common Area adjacent thereto, or as between adjacent lots, due to the unwillful placement or settling or shifting of the Improvements including, without limitation, structures,walkways,bike paths, sidewalks and driveways constructed, reconstructed or altered thereon in accordance with the ton-as of this Declaration. Easements of encroachment shall be valid only so long as the encroachment exists, and the rights and obligations of Owners shall not be altered in any way because of encroachments, settling or shifting of the Improvements; provided, however, that in no event shall a valid easement for encroachment occur due to the willful or bad faith act(s) of an Owner. In the event a structure on any Lot is partially or totally destroyed, and then repaired or rebuilt, the Owners of each Lot agree that minor encroachments within and over adjoining Lots that existed prior to the destruction may be reconstructed pursuant to the easement granted by this Section. 9.9 Maintenance and Use Easement Between Walls and Pro pert . Whenever the wall of a structure, a fence, eave or overhang constructed on a Lot is located within three (3) foot of the property line of such Lot, the Owner of such Lot is hereby granted ail easement over and on the adjoining Lot(not to exceed three(3) feet from the property line of the Lot) for purposes of maintaining, repairing or replacing such wall, fence, eaves or other overhangs, and the Owner of such adjoining Lot is hereby granted an easement for landscaping purposes over and on the area tying between the,property line and such structure or fence so long as such use does not cause damage to the structure or fence. 9.10 Dis utes as to Sharin of Costs. In the event of a dispute between Owners with respect to the repair, replacement or maintenance of any Improvement or utility connections,or with respect to the sharing of the cost therefor, upon written request of one of such Owners addressed to the Association, the matter shall be submitted to the Board which shall decide the dispute and, if appropriate, make an appropriate Assessment against any or all of the Owners involved on behalf of the prevailing DECLARATION ION-17 S:IC[dtiNTSI(,976%16\Deeiaration Of Covenants 00al).00C Owner(s), which Assessment shall be collected and enforced in the manner provided by this Declaration for Limited Assessments. 9.11 General_Landscape Basement. An easement is hereby reserved to the Association, its contractors, employees, and agents,to enter those portions of Lots designated as Common Area, for the purpose of installing, maintaining, replacing and restoring exterior landscaping, and natural vegetation. and habitat. Such landscaping activity shall include, by way of illustration mid not of limitation, the mowing of lawns, irrigation, sprinkling, tree and shrub trimming and pruning, walkway improvement, seasonal planting and such other landscaping activities within the Property as the Association shall determine to be necessary from time to time. 9.12 Declarant's lights Incident to Construction. Declarant, for itself and its successors and assigns,hereby retains a right and easement of ingress and egress over, in, upon, under, and across the Property and the right to store materials thereon and to make such other use thereof as may be reasonably necessary or incident to the construction of the Improvements on the Property owned by Declarant; provided, however, that no such rights shall be exercised by Declarant in such a way as to unreasonably interfere with the occupancy,use, enjoyment,or access to an Owner's Lot by that Owner or such Owner's,tenants, employees, guests,or invitees. 9.13 .Reservation for Ex ansion. Declarant hereby reserves to itself and for Owners of Lots of the Property a perpetual easement and right-of-way for access over, upon, across and through the Property for construction, utilities, drainage, ingress and egress, and for use of the Common Area. The location of these easements and rights-of-way must be approved and may be documented by Declarant by recorded instruments. 9.14 Enicrgency Easement. A general easement is hereby granted to all police, sheriff, fire protection, ambulance, and all other similar emergency agencies or Persons to enter upon the Property in the proper performance of their duties. 9.15 Maintenance Easement. An easement is hereby reserved to Declarant, which may be granted to the Association, and any member of their Board or their manager, if any, and their respective officers, agents, employees, and assigns, upon, across, over, in, and under the Lots and a right to make such use of the Lots as may be necessary or appropriate to snake emergency repairs or to perform the duties and functions which the Association is obligated or permitted to perform pursuant to the Project Documents, including the right to enter upon any Lot for the purpose of performing maintenance to the landscaping or the exterior of Improvements to such Lot as required or permitted by the Project Documents. DECLARATION-]8 S:K:LiGN'Ps1ri97G11fiU)cciur��iai oFfo�cuanis(iitiat).3)OC ARTICLE 10- BUSINESS OWNERS ASSOCIATION 10.1 Organization of Association. Declarant shall organize the Association, which shall be registered and organized as a nonprofit corporation under the laws of the State of Idaho. The Association shall be charged with the duties and vested with the powers prescribed by law and set forth in its Articles, Bylaws and this Declaration. Neither the Articles nor the Bylaws shall, for any reason, be amended or otherwise changed or interpreted so as to be inconsistent with this Declaration. 102 Members. Each Owner (including the Declarant) by virtue of being an Owner and for so long as such ownership is maintained shall be a Men-.ber of the Association and shall have voting rights as hereafter set forth in this Article 10. A membership in the Association shall be appurtenant to and inseparable from the Lot owned by such Owner. A membership in the Association shall not be assigned, transferred, pledged or alienated in any way except upon the transfer of title to said Lot and then only to the transferee of title to said Lot. Any attempt to make a prohibited transfer of a membership shall be void and shall not be reflected on the books of the Association. 10.3 MembershipV Votin . The Association will have two(2)classes of membership: 10.3.1 Class A Members. Class A Members shall be all Owners with the exception of Declarant, so long as Declarant is the Class B Member. Each Class A Member shall be entitled to a vote,the percentage of which shall be determined by dividing the Allowable Floor Area of such Owner's Building by the total Allowable Floor Area of all Buildings within the Property as certified by the Association. Upon termination of the Class B Member,Declarant shall become a Class A Member to the extent Declarant is an Owner. 10.3,2 Class B Member. Declarant, by and through Declarant's designated representative (hereinafter "Declarant's Delegate"), shall be the Class B Member, and shall be entitled to a vote the percentage of which shall be the Allowable Floor Area of all Buildings within the Property less the Floor Area of all Buildings actually constructed on a Lot and owned by a Person other than Declarant. The Class B Member shall cease to be a voting Member in the Association at the earlier of. (1) the date Declarant owns less than ten percent (10%) of the Allowable Floor Area within the Sundance Subdivision No. 5;(2)on June 1, 2012;or(3)or such earlier date as Declarant shall otherwise determine. This date may be referred to herein as the "Class B Member Termination Date." 10.4 Voting. All matters that are submitted to a vote of the Members shall be determined, made, approved or authorized, upon the vote of Members holding a majority of the voting power entitled to vote,unless otherwise set forth in the Articles or Bylaws. DECLARATION-19 5:1C:L[L"•N1:SIG9761iG1©eclaruign oECoNcita;ttc(Ctea]).i?OC 10.5 Board of Directors and Officers. The affairs of the Association shall be conducted by a Board of Directors consisting of no less than three (3) and no more than five(5) members and such officers as the Board may elect or appoint, in accordance with the Articles or Bylaws, as the same may be amended from time- to-time; provided, however,that so long as the Class B Member exists,the Class B Member shall have the exclusive right to elect and appoint all officers and directors of the Association in the Class B Member's sole and absolute discretion, 10.6 Powers of Association. The Association shall have all the powers of a non-profit corporation organized under the applicable provisions of the Idaho Code subject only to such limitations upon the exercise of such powers as are expressly set forth in the Project Documents. The Association shall have the power and authority to do any and all lawful things which may be authorized, required or permitted to be done by the Association under Idaho law and under the Project Documents, and to do and perform any and all acts which may be necessary to, proper for, or incidental to the proper ownership, management and operation of the Common Area and the Association's other assets, including water rights when and if received froyn Declarant, and the performance of the other responsibilities herein assigned. 10.6.1 Assessments. The power to levy.Assessments pursuant to Article 12, on any Owner of any portion of the Property pursuant to the restrictions enunciated in this Declaration, and to force payment of such Assessments, all in accordance with the provisions of this Declaration. This power shall include the right of the Association to levy Assessments on any Owner of any portion of the Property to cover the operation and maintenance costs of the Common Area. 10.6.2 Right of Enforcement. The power and authority from time to time in its own name, on its own behalf, or on behalf of any Owner(s) who consent thereto, to commence and maintain actions and suits to restrain and enjoin any breach or threatened breach of the Articles, Bylaws, this Declaration or other rules and regulations and to enforce by mandatory injunction or otherwise,all provisions thereof. 10.6.3 Delegation of Powers. The authority to delegate its power and duties to committees, officers, employees, or to any Person to act as manager, and to contract for the maintenance, repair, replacement and operation of any Common Area. Neither the Association nor the rnernbors of its Board shall be liable for any omission or improper exercise by the manager of any such duty or power so delegated. All contracts for management of any Common Area shall be for a term not exceeding one (1) year, and shall be subject to review by the Board upon the Class B Member Termination Date. 10.6A Association Rules. The power to adopt, amend and repeal such rules and regulations, from time to time, as the Association deems appropriate. Such rules shall govern the use by Owners and Occupants or any other person of Common Areas and other property owned or controlled by the Association; provided, however,Association rules shall not discriminate among Owners and shall not be inconsistent with the Articles, Bylaws or this DECLARATION-24 S:1CF,IIiIQ75�G976116tikxliratios7 o€'Cotenants(final).i30C Declaration. A copy of Association rules as they may from time-tv-time be adopted, amended or repealed, shall be mailed or otherwise delivered to each Owner and Occupant. Upon such mailing or delivery said Association rules shall have the same force and effect as if they were set forth in and were part of this Declaration. In the event of any conflict between at) Association rule or any provision of the Articles, Bylaws or this Declaration,the con-flicting provisions of the Association rules shall be deemed superseded to the extent of any such inconsistency. 10.6.5 Eincr_trency Powers. The power, exercised by the Association or by any Person authorized by it, to cater upon any portion of the Property (but not inside any Building constructed thereon)in the event of any emergency involving illness or potential danger , to life or property or when necessary in connection with any maintenance or construction for which the Association is responsible. Such entry shall be made with as little inconvenience to the Owner as practicable, and any daniage caused thereby shall be repaired by and at the expense of the Association, unless said entry was necessitated by a condition caused by the Owner or Occupant. 10.6.6 Licenses,, Easement and Rights-of-Way. The power to grant and convey to any third party such licenses, casements and rights-of-way in, on or under the Common Area as may be necessary or appropriate for the orderly maintenance,preservation and enjoyFnent of the same, and for the preservation of the health, safety, convenience and the welfare of the Owners, for the purpose of constructing, erecting, operating or maintaining the following: 10.6.6.1 Underground lines, cables, wires, conduits or other devices for the transmission of electricity or electronic signals for lighting, heating, power, telephone, television or other purposes, and the above ground lighting stanchions, meters, and other facilities associated with the provisions of lighting and services; 10.6.6.2 Public sewers, storno drains, water drains and pipes, water supply systems, sprinkling systems, heating and gas lines or pipes, and any similar public or quasi-public improvements or facilities;and ! 10.6.7 Cure of Defaults. If any Owner defaults in the performance of any of its obligations set forth herein,the Association shall have lbe right, but not the obligation to cure such default at the expense of such Owner and shall be permitted to Enter upon any Owner's Lot to effect such cure. 10.6.8 Other. Such other and further powers as the Board deems reasonable and appropriate, it being the intent of Declarant that the Association have broad power and authority consistent with the Project Documents and applicable law. 10.7 Duties off'Association. In addition to the powers delegated to it by the Articles, Bylaws or this Declaration, without limiting the generality thereof,the Association or its authorized agents,if any,shall have i the obligation to conduct all business affairs of common interest to all Owners and to perfonn each of the following duties: E DECLARATION-21 S;1i~LIFiN'C51G97511GtDccFamtiara ofCovcn©nts(fivaF).1)(SC E 10.7.1 Operation and Maintenance of Common Areas. Operate, maintain, and otherwise manage or provide for the operation, maintenance and management of the Common Area, including the provision of utilities thereto, and the repair and replacement of property damaged or destroyed by casualty loss. The Association shall,at Declarant's discretion, operate and maintain all properties owned by Declarant which are designated by Declarant for temporary or permanent use by Members of the Association. 10.7.2 Maintenance.of LandscMing. Maintain all landscaping located upon any Lot and/or Common Areas within the Property, including the watering, mowing, fertilizing and caring for all shrubs and trees so that no landscaping shall be permitted to deteriorate to a dangerous,unsafe.or unsightly condition. 10.7.3 Taxes and Assessments. Pay all real and personal property taxes and assessments separately levied against the Common Areas owned by the Association or against the Association and/or any property owned by the Association. Such taxes and assessments may be contested or compromised by the Association; provided,however, that they are paid or a bond insuring.payment is posted prior to the sale or disposition of any property to satisfy the payment of such taxes. In addition, the Association shall pay all other taxes, federal, state or local, including incorne or corporate taxes, levied against the Association in the event that the Association is denied the status of a tax exempt corporation, 10.7.4 Identification Signs. Maintain, repair and replace all permanent entry and special identification signs, including without limitation, entrance and monument signs, for the Property whether the same be located within or outside of the boundaries of the.Property. 10.7.5 Insurance. Obtain from reputable insurance companies authorized to do business in the State of Idaho and maintain in effect the following policies of insurance: 10.7.5.1 Fire insurance, including those risks embraced by coverage of the type now known as the broad form "All Risk"or special extended coverage endorsement on a blanket agreement amount basis for the full insurable replacement value of all improvements, equipment, fixtures and other property located within the Common Areas owned or operated by the Association, including such equipment, fixtures and other property not located in the Common Areas,if the same are used or necessary for the use of the Common Areas or easement areas under the control of the Association. 10.7.5.2 Comprehensive public liability insurance insuring the Association, the Board, Officers, the Declarant and the individual Owners, and agents and employees of each of the foregoing, against any liability incident to the ownership and/or use of the Common Areas owned by the Association or easement areas under the control of the Association. The limits of liability of such coverage shall be as determined by the Board. 10.7.5.3 Full coverage directors' and officers' liability insurance in an amount determined by the Board. 10.7.5.4 Such other insurance, including workmen's compensation as required by all applicable Iaws, and other insurances as the Board shall deem necessary or as required to carry out the Association's functions or to insure the Association against any loss DECLARATION-a2 S:�C1.Ir>N7'S1G9761€5!4)cGlarnfion Commits(Anal)DOC from malfeasance or dishonesty of any person charged with the management or possession of any Association funds or other property. 10.7.5.5 The Association shall be deemed a trustee of the interests of all Owners in any insurance proceeds paid to it under such policies, and shall have full power to receive such proceeds and to deal therewith. 10.7.5.6 Insurance; prerniurns for the above insurance coverage shall be deemed a common expense to be included in the Regular Assessments levied by the Association. 10.T6 Rule Making. Make, establish, promulgate, arnend and repeal Association rules. 10.7.7 Reserve Account. Establish and fund a reserve account with a reputable banking institution or savings and loan association or title insurance Company authorized to do business in the State of Tdaho, which reserve account shall be dedicated to the costs of repair,replacement,maintenance and improvement of the Common Area, 10.7.8 Duties .Irn os p ed During_Entitlement Process. Carry out all ditties imposed by any governmental, municipal or other agencies as part of the entitlement process for the development of the Property. 10.79 Enforcement of Restrictions and Rules. Perform such other acts, whether or not expressly authorized by this Declaration, as may be reasonably advisable or necessary to enforce any of the provisions of the Project Documents and any and all laws, ordinances,rules and regulations of the City of Meridian and Ada County also including,without Iimitation, the recordation of any claim of lien with the Ada County Recorder's Office, as more fully provided herein. 10.7.10 Budgets and Financial Statements. Budgets and financial statements for the,Association shall be regularly prepared and copies made available to each Member within ninety(90)days after the close of each fiscal year. The Association,or its agent,shalt cause to be prepared and tirade available to each Owner, a balance sheet as of the last day of the Association's fiscal year and an annual operating statement reflecting the income and expenditures of the Association for that fiscal year. 10.7.11 Maintenance of Public Easements. Maintain, operate, manage and repair all easements designated to the public,as shown on any Plat. 10.7.12 Maintenance of Storm Drainage Facilities' Operate and maintain or otherwise provide for the operation and maintenance of all storm drainage facilities owned by the Association, including, without limitation, drainage pipes, trench chains, collection basins and seepage trenches ("facilities"), located within the Property, and the repair and replacement of such facilities or property damaged or destroyed by casualty loss. 10.8 Destruction of Common Area. DECLARATION-23 S;%CLIGNTSk6976%16\N0araEion oCCoven.aa€s(FaIM),I)OC. i In the event of partial or total destruction of the Improvements within the Common Area, it shall be the duty of the Association to restore and replace the same as promptly and efficiently as practical. The proceeds of any casualty insurance maintained pursuant to this Declaration shall be used for such purpose, subject to the prior rights of Mortgagees whose interest may be protected by such policies. To the extent the insurance proceeds are insufficient to complete i such reconstruction, Assessments for reconstruction may be levied by the Association against each Lot to provide the necessary funds. In the event any excess insurance proceeds remain after any reconstruction by the Association, the Association shall retain such sums and utilize the same to offset future Common Expenses. 10.9 Mier. The Association may employ or contract for the services of a professional manager or management company ("Manager"), provided that no such employment or contract shall have a term of more than one (1) year, and each such contract shall be subject to cancellation by the Association with or without cause and without payment of a termination fee;provided thirty(30) days or more prior written notice is provided. The Manager so employed or contracted with shall not have the authority to snake expenditures chargeable against the Association except upon specific prior written approval and direction by the Board. The Board shall not be liable for any omission or improper exercise by such Manager of any such duty, power or function so delegated by or on behalf of the Board. The Association may contract with Declarant or any affiliate of Declarant to act as Manager pursuant to the teens of this Section 10.9I0.9. 10.10 Common Area Maintenance Contractor. The Association or Manager may employ or contract for the services of a professional maintenance contractor ("Contractor") for the maintenance of all landscaping and Common Areas within the Property, provided that such Contractor has a demonstrated ability to maintain such landscaping,including the watering, mowing, fertilizing and caring for all shrubs and trees so that no landscaping shall be permitted to deteriorate to a dangerous, unsafe or unsightly condition, and to otherwise maintain the Common .Areas in accordance with the terms and conditions of this Declaration. Any such Contractor shall maintain insurance in such amounts as are customary for such Contractors. No contract shall have a terra of more than one(1) year, and each such contract shall be subject to cancellation by the Association or Manager with or without cause and without payment of a termination fee; provided thirty (30) days or more prior written notice is provided. The Contractor so employed or contracted with shall not have the authority to make expenditures chargeable against the Association except upon specific prior written approval and direction by the Board. The Board shall not be liable for any omission or improper exercise by such Contractor of any such duty,power or function so delegated by or on behalf of the Board_ The Association or Manager may contract with Declarant or any affiliate of Declarant to act as Contractor pursuant to the terms of this Section 10,10. 10.11 Liability of Declarant,Board Members and Officers. Neither the Declarant, nor any member of the Board nor any officers of the Association, including all agents and employees of the same, shall be personally liable to any Owner, Member, Occupant or to any other party, for any damage, loss or prejudice suffered or claimed F DECLARATION-24 � S:IC1.fliNTSVGJ7G1iGlE>eclaratioa of Covcnaslu(fitsal�.l�(�; i I on account of any act or omission of the Association, the Declarant, the Board, an officer, including all agents and employees of the same; provided that such person acted in good faith and without intentional misconduct. The Association shall hold harmless,indemnify and defend all such aforementioned persons or entities from any suit or proceeding which may arise as a result of a decision made in good faith and without intentional misconduct within the scope of such person's Association responsibilities. 10.12 Dissolution of Association. I In the event the Association, is dissolved or transfers by separate instrument any of its obligations and responsibilities to another person or entity, such person or entity shall accept responsibility for managing the Common Areas and otherwise assume all obligations and duties of the Association contained herein. ARTICLE I 1 -ARCHITECTURAL.CONTROL COMMITTEE 11.1 Creation,Declarant's Right of Appointment. Within thirty(30) days of the date on which Declarant first conveys a Lot to an Owner, Declarant shall appoint no less than.three(3) and no more than five(5) individuals to serve on an architectural control committee (the "ACC"). Thereafter, at any time, and from time to time, until the Class B Member Termination Date, Declarant shall have the exclusive right, ill Declarant's discretion, to appoint, remove and replace all members of the ACC. Following the Class B Member Termination Date,the Board shall have the right to appoint,remove and replace the members of the ACC. If a vacancy on the ACC occurs and a permanent replacement has not yet been appointed, Declarant or the Board, as the case may be, may appoint an acting member to serve for a specified temporary period not to exceed one(1) year. A member of the ACC need not be an Owner. Members of the ACC may be removed immediately by the Person appointing the€n at any time without cause. The ACC shall be responsible for review and approval,pursuant to this Article 11, of all initial Improvements, any subsequent Improvements or any changes to E any existing Improvements that any Owner proposes to place on any Lot. Pursuant to Section 11.3 below, the ACC shall review, study, and either approve or reject the proposed Improvements on the Property, all in compliance with the Declaration and the ACC Guidelines. The actions of the ACC in the exercise of its discretion by its approval or disapproval of the proposed Improvements on the Property, or with respect to any other matter before it, shall be conclusive and binding on all interested parties. 11.2 I€n rovements Qenerally. The initial ACC, as appointed by the Declarant, shall draft the ACC Guidelines for the construction and reconstruction of all Improvements on the Property. No Improvements on ally portion of the Property shall be constructed, reconstructed, placed on or removed from the Property without prior written consent of the ACC, and without being in compliance with the Project Documents and the ACC Guidelines. The ACC Guidelines shall be developed and used by the ACC to ensure that all Improvements conform and hannonize as to external design, quality and type of construction, architectural character, materials, color, location on the Building Area, height, grade and finished ground elevation, natural conditions, landscaping and i DECLARATION-25 5:5CLE1'si�]'SWS7G515lTaCelnr.[iinn of Covenai:ts(Gnal).1)GC' i all aesthetic considerations, and may also include guidelines designed to encourage creative design, by providing general architectural, design and construction guidelines (including Building Area guidelines), landscape guidelines (including a description of existing, natural conditions and vegetation), submittal and review procedures„ and fees and charges for review. The ACC Guidelines shall be drafted to conform to this Declaration, the Articles and Bylaws, and must be approved by the Board prior to implementation.. In the event of a conflict between the ACC Guidelines and this Declaration, the Articles or the Bylaws, this Declaration, the Articles or Bylaws,as the case may be, shall govern. The content of the ACC Guidelines may be modified and amended from time to time as provided in the ACC Guidelines, and in all events can be modified and changed by a majority vote of the Board. Nothing contained in this Article I I limits any Owner's obligation and duty to ensure that the Owner's Lot development is in compliance with this Declaration, the ACC Guidelines, any other Project Documents and applicable city,county and state laws,rules,regulations and ordinances. 11.3 Expenses. All expenses of the ACC shall be paid by the Association. The ACC shall have the right to charge a fee for each application submitted to it for review in an amount which may be established by the ACC from time to time and such fees shall be collected by the ACC and remitted to the Association to help defray the expenses of the ACC's operation, including reasonable paymmnt to each member of the ACC for their services as provided herein. 11.4 Non-LiabilityofACC Members. Approval by the ACC does not assure approval of the Improvements by ally appropriate governmental or quasi-governmental agency,board or commission. Neither the ACC nor any of its members shall be responsible or liable to the Association or to any Person, Owner, or Declarant with respect to any loss, liability, claim or expense that may arise by reason of any approval or denial of any Improvements. Neither the Board, ACC or any agent thereof nor Declarant or any of its partners,employees, agents or consultants shall be responsible in any way for any defects in any plans or specifications submitted, revised or approved, nor for any structural or other defects in any work done according to such plans and specifications. In any and all events, the ACC shall be defended, indemnified and held harmless by the Association ill any such suit or proceeding which may arise by reason of the ACC's decision. The Association, however, shall not be obligated to defend,indemnify and hold harmless ally member of the ACC to the extent any such member of the ACC shall be adjudged (after exhausting any appeal rights) to be liable for willful misconduct or bad faith in the performance of such member's duty as a member of the ACC,unless and only to the extent that the court in which such action or suit may be brought shall determine that, despite the adjudication of liability, but iii view of all circumstances of the case, such member is fairly and reasonably entitled to indemnification and defense for such expense if such court shall deem it proper. 11.5 Variances. 3 The ACC may authorize variances from compliance with any of the ACC Guidelines, j including restrictions upon height, size, floor area or placement of structures, or similar restrictions, when circumstances such as topography, natural obstructions, hardship, aesthetic or 3 DECLARA,TION-26 S:}GL11:�''k'5�497G5JG1Exnlnr�Sian n1'Ga�;rrsnlx(CnZ!),I�UC environmental considerations may require. Such variances must be evidenced in writing, must be signed by at least three(3) members of the ACC, If such variances are granted, no violation of the covenants, conditions and restrictions contained in this Declaration, or the ACC Guidelines shall be deemed to have occurred with respect to the matter for which the variance was granted. The granting of such a variance shall not operate to waive any of the terms and provisions of this Declaration, or the ACC Guidelines for any purpose except as to the particular property and particular provision hereof covered by the variance, nor shall it affect in any way the Owner's obligation to comply with all governmental laws and regulations affecting the Owner's use of the Property,including but not limited to zoning ordinauccs and lot set-back lines or requirements imposed by any governmental or municipal authority. 11.6 Deelarant's Exci-n tion. Any and all Improvements constructed by Declarant on or to the Property are not subject to review and approval by the ACC. ARTICLE 12-ASSESSMENTS 12.1 Covenant to Pay Assessments. By acceptance of a deed to any Lot, each Owner of such Lot thereby covenants and agrees to pay when due all Assessments or charges made by the Association, including all Regular, Special and Limited Assessments and charges trade against such Owner pursuant to the provisions of this Declaration or other applicable Project Document. Assessments shall begin to accrue with respect to any Lot upon the date of recordation of the deed of conveyance from Declarant to the Owner of such Lot. In addition, each Owner covenants and agrees to pay when due all assessments or charges made against said Owner's Lot pursuant to the Sundance Master Declaration,as amended by the Third Amendment. 12.2 Assessment Constitutes Lien. Such Assessments and charges together with interest,costs and reasonable attorneys'.fees which tray be incurred in collecting the saute, shall be a charge on the laid and shall be a continuing lien upon the property against which each such Assessment or charge is made. Each such Assessment, together with interest, costs and reasonable attorneys' fees, shall also be the personal obligation of the Owner of such property beginning with the time when the Assessment falls due. The personal obligation for delinquent Assessments shall not pass to such Owner's successors in title unless expressly assured by their but shall remain such Owner's personal obligation regardless of whether he or she remains an Owner. No Owner may waive or otherwise avoid liability for any Assessment by non-use of the Common Areas or by abandonment of such Owner's Lot_ 12.3 Regular Assessments. Regular Assessment shall be made by the Association at tithes and intervals deemed appropriate by the Board. The Regular Assessments shall be based upon, advance estimates of cash requirements as determined by the Board for the maintenance and operation of the Common Areas and other areas, if any, controlled by the Association and for the perfonnanee by the DE,CLARAT)ON 27 5:1CI.1€3N7'SY,976\146U3ealaralioii of Covenadls(final),DOC Association of its other duties and responsibilities. Such estimates may include, but shall not be limited to, expenses of management, taxes and special assessments of local governments, premiums for all insurance which the Association is required or permitted to maintain, landscaping and care of grounds, legal and accounting fees, and any deficit remaining from previous periods. 12.4 Special Assessments, In addition to Regular Assessments, the Association may levy at any time a Special Assessment payable over such period as the Board may deem appropriate for the following purposes: 12.4.1 To defray, in whole or in part, the cost of any construction or reconstruction of improvements on a Common Area, unexpected repair or replacement of a Common Area or any facility located thereon or an easement area controlled by the Association, the furnishing of special service(s)(other than those appropriate for Limited Assessments) or for any other expenses incurred or to be incurred as provided in this Declaration, 12.4.2 To defray a deficit in the common and ordinary expense of the Association for which Regular Assessments for a given calendar or fiscal year are or will be inadequate to pay,as determined by the Board. 12.5 Limited Assessments. In addition to Regular and Special Assessments, Owners shall pay Limited Assessments as follows: 12.5.1 Management and Repair. The Association shall have the power to incur expenses for maintenance and repair of any Lot or any Improvements on a Lot, if such maintenance and repair is necessary, in the opinion of the Board,to protect the Common Area or any other portion of the Property and if the Owner of said Lot has failed or refused to perform said maintenance or repair within a reasonable time after written notice of the necessity thereof has been delivered by the Board to said Owner. The Board shall levy a Limited Assessment against the Lot and the Owner thereof shall pay for the costs of such maintenance and repair and any other costs and expense, including attorneys' fees arising out of or incident to such maintenance and repair and the Assessment therefor. 12.5.2 Correction of Violations, In addition to maintenance and repair, the Association,upon the failure or refusal of an Owner to correct a violation of this Declaration or other rules and regulations, shall have the power to correct any violation on a Lot or an Improvement on a Lot. The cost of such corrective action, together with interest, related expenses and attorneys fees shall be assessed and collected as set forth in this Declaration. 12.6 Assessments Against Declarant. For two (2) years following the date Assessments are assessed against the Owners pursuant hereto,Declarant shall not be assessed any Regular Assessments for each Lot within the Property of which Declarant is an Owner. However, during such two (2) year period, Declarant DECLARATION-28 S:tC1.lI,N'I'S1G97Gt}��t�CoEnmtion of Covcaon€s(i'snal},�(X: shall pay an amount equal to the Operating Expenses shortfall of the Association (the"Shortfall Payment"), which Shortfall Payment shall be the lesser of the Operating Expenses shortfall or that percentage of the total Assessments determined by dividing the Floor .Area of Declarant's Buildings by the total Floor Area of all Building's constructed within the Property. Declarant's Shortfall Payment shall end two (2) years after the date Assessments within the Property begin. Thereafter, Declarant shall be assessed Regular Assessments for all Lots of which Declarant is an Owner. 12.7 Rate of Assessment. Each Owner small pay that percentage of the total Assessments as determined by dividing the allowable Floor Area of such Owner's Building by the total Allowable Floor Area of all Buildings to be constructed within the Property as designated on the Site Plan. 12.8 Interest and Penalties. Any Assessment,not paid when due, shall bear interest at an annual rate as shall be set by the Board from time to time. Such interest shall commence on the elate the Assessment becomes due and payable. The right of the Board to charge interest shall be in addition to,and not in lieu of,any other right of enforcement or sanction available to the Board in the event of non-payment of an Assessment. 12.9 Assessment Period. Unless otherwise provided in the Project Documents, the Assessment period for the Association shall be determined by the Board. The first Assessment shall be prorated according to the number of months remaining in the fiscal year and shall be payable in equal installments or in a single payment due at closing on the sale of a Lot, at the discretion of the Board. 12.10 Notice and Assessment Due Date. Except with regard to the first Assessment, thirty (30) days prior written notice of Regular mid Special Assessments shall be sent to the Owner of every Lot subject thereto, and to any Person in possession of such Lot by the Association. The Association shall determine if payments for all Assessments shall be due monthly, quarterly, semi-annually or annually. The due dates for installment payment of Regular Assessments and Special Assessments shall be the first day of each month or quarter unless some other due date is established by the Board. Each installment of the Regular Assessment or Special Assessment shall become delinquent if not paid within ten(10) days after the due date. There may accrue, at the Board's discretion,within each delinquent installment payment a late charge equal to ten percent (10%) of the delinquent installment. In addition, each installment payment which is delinquent for more than twenty(20) days may accrue, at the Board's discretion, interest at eighteen percent (lS%) per annurn calculated from the date of delinquency to and including the date full payment is received by the Association. The Association may bring an action against the delinquent Owner and may foreclose the lien against such Owner's Lot as more fully provided herein. DECLARATION-29 5:1CLEli�'151fi97G11 G1�cc6•uatian of C:av���ants(fiiral).C�C 12.11 Esto e1 Certificate. The Association,upon not less than twenty(20)days prior written request, shall execute, acknowledge and deliver to the party malting such request a written statement stating whether or not a particular Owner is in default under the provisions of this Declaration and the amount of any Assessments due or previously paid as to such Lot and such other matters as the Board deems reasonable to respond. The Association shall have the right to charge a reasonable fee for the certification herein provided. ARTICLE 13-ENFORCEMENT OF ASSESSMENTS 13.1 Right to Enforce. The right to levy, collect and enforce payment of the Assessments made by the Association pursuant to Section 10.6 above is vested in the Association. Each Owner of a Lot hereby agrees to the enforcement of the payment of all Assessments in the manner herein provided. In the event an attorney or attorneys are employed for the collection of any Assessment,whether by suit or otherwise,or to enforce compliance with or specific performance of any of the terms and conditions of this Declaration or other rules and regulations, the Owner against whom such enforcement is sought shall pay reasonable attorney's fees and all other costs and fees in connection therewith. 13.2 Creation of Assessment Liens. There is hereby created a continuing claim of lien with power of sale on each and every Lot to secure payment of any and all Assessments levied against any and all Lots pursuant to this Declaration, together with interest thereon and all costs of collection which may be paid or incurred by the Association in connection therewith, including reasonable attorneys' fees. Said lien shall be prior to and superior to all other liens or claims created subsequent to the recordation of this Declaration except only for- (i) valid tax and other government assessments or liens; (ii) a lien for all sums unpaid and secured by a first Mortgage or first Deed of Trust duly recorded in. Ada County, Idaho; and (iii) labor or materialman's liens. All other Iien holders acquiring liens on any Lot after recordation of this Declaration shall be inferior liens to the lien levied by the Association whether or not such consent is set forth in the instruments creating other such liens. 13.3 Enforcement_ Upon the failure of an Owner to pay an Assessment, the lien for Assessments herein created may be enforced by the sale of such Owner's Lot by the Association, such sale to be conducted in the manner provided by law for the exercise of the power of sale in Deeds of Trust or in any other manner elected by the Board. In any such foreclosure, the Owner shall be required to pay the costs and expenses associated therewith, including all attorneys' fees. All such costs and expenses shall be secured by the lien being foreclosed. The Owner shall also be required to pay any Assessments against the Lot arising during the proceedings. The Association shall have the right to bid at the foreclosure sale or other legal sale and to acquire and thereafter hold,convey,lease,rent,encumber, and otherwise use the Lot as the Owner thereof. DECLARAVON-30 . S:1Cf.IfihrC51697GiiGtBeclaraion orCovoianls(tinal).DOC i i 13.4 Non-Exclusive Rernedy. The remedies set forth in this Article 13 or elsewhere in this Declaration shall not be deemed to be an exclusive remedy and the Association may pursue all other remedies available E at law or equity. ARTICLE 14-INSPECTION OF ASSOCIATION'S BOOKS AND RECORDS 14.1 Member's Right of Inspection.. The membership register, books of account and minutes of meetings of the Board and committees of the Association shall be made available for inspection and copying; by any Member of the Association or by such Member's duly appointed representatives, at any reasonable time and for a purpose reasonably related to such Member's interest as a Member at the office of the Association or at such other place as the Board shall prescribe. No Member or any other Person, excluding Declarant, shall copy the membership register for the purposes of solicitation of or direct mailing to any Member of the Association.. 14.2 Rules Regarding Inspection of Books and Records. The Board shall establish reasonable rules with respect to (1) notice to be given to the custodians of the records by the Persons desiring to make the inspection; (2) hours and clays of the week when such an inspection may be made; and (3) payment of the cost of reproducing; copies of documents requested pursuant to this Article 14, 14.3 Director's Rights of Inspection. Every director of the Board shall Have the absolute right at airy reasonable time to inspect all books, records and documents of the Association, and the physical properties owned or. controlled by the Association. The right of inspection by a director includes the right to make extracts and copies of documents. ARTICLE 15-GENERAL PROVISIONS 15.1 Annexation of Other Properties. 15.1.1 Right,of Declarant to Annex Other Properties. Declarant may, in its discretion, at any time and from time to time, and without having;to obtain the consent, approval or signature of any Person or Association (other than the title holder of such additional real property), elect to bring additional real property (whether or not owned by it) within the jurisdiction of this Declaration (hereinafter "Annexed Property"); provided However, that the addition of any Annexed Property must be consistent with the general purposes and intent of the Project Documents. Declarant is not obligated in any manner by this Declaration to annex additional real property or to annex any particular tract, or to annex tracts in any particular sequence, or to annex continuous tracts, it being,the intention hereof that Declarant may decline to exercise the rights granted in this Article 1S or may elect to exercise such rights only to a limited extent. No real property shall become Annexed Property or be included within the DECLARATION-31 ' S:�('iil;N't'S1697G11 GlpeclttraEio€€of Cove€€an€s{(tang).{30C jurisdiction of this Declaration without the prior express written consent and approval of Declarant. 15.1.2 Supplement. The additions authorized by the provisions of this Article i 15 shall be made by recording in the County Records a supplement to this Declaration with respect to any Annexed Property, which shall extend the jurisdiction of this Declaration to the property to be annexed and shall be executed by the fee title holder(s) of such Annexed Property, as well as by Declarant (hereinafter "Supplement"). 1n addition, each Supplement for Annexed Property shall contain such Restrictions as are not inconsistent with the intent and purpose of this Declaration. Upon recording any Supplement for Annexed Property, the provisions of this Declaration (except as modified, altered, limited or supplemented in the Supplement)small apply to such Annexed Property as if such Annexed Property had been part of the Property upon the effective date of this Declaration. 15.2 Assignment by Declarant. Any or all rights,powers and reservations of Declarant herein contained may be assigned to the Association or to any other entity which is now organized or which may hereafter be E organized and which will assume the duties of Declarant hereunder pertaining to the particular rights, powers and reservations assigned, and upon any such entity 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 reserved or created shall be held and exercised by Declarant alone, so long as it owns any interest in any portion of the Property. 15.3 Term, The easements created hereunder shall be perpetual, subject only to extinguishment by the holders of such casements as provided by law. The covenants, conditions, restrictions and equitable servitudes of this Declaration shall run until December 31, 2050, unless amended as herein provided. After December 31, 2050, such covenants, conditions and restrictions shall be j automatically extended for successive periods of ten (10) years each, unless amended or extinguished by a written instrument executed by Owners holding at least a majority of the voting power of the Association wid such written instrument is recorded in the real property records of Ada County. 15.4 Amendment. i 15.4.1 By Declarant. Until the Class B Member Tenxrination Date, the provisions of this Declaration may be amended, modified, clarified, supplemented or restated (collectively such actions shall be referred to as an"amendment'')by Declarant by recordation of a written instrument setting forth such amendment. 15.4.2 By Owners. Upon and after the Class B Member Termination Date, any amendment to any provision of this Declaration,other than to this Section 15.4.2, shall be by an instrument in writing signed and acknowledged by the president and secretary of the Association coitifyip.,g and attesting that such amendment has been approved by the vote or written consent of Owners representing more than fifty percent (50%) of the total voting power DECLARATION-32 S:ICL[f'[d7'SlGh7G1iG1€))eclarasio:�of Ca�cnams(fs�ia�.11()C: i i in the Association, except where a greater percentage is required by express provision in this ; Declaration, and such amendment shad be effective upon its recordation with the Ada County Recorder's Office. Any amendment to this Section 15.4.2 shall require the vote or written consent of Owners holding ninety-five percent(95%)of the voting power of the Association. 15.4.3 Effect of Amendment. Any amendment of this Declaration approved in the manner specified above shall be binding on and effective as to all Owners and their respective properties notwithstanding that such Owners may not have voted for or consented to such amendment. Such amendments may add to and increase the covenants, conditions, restrictions, obligations and casements applicable to the Property but shall not prohibit or unreasonably interfere with the permitted uses which existed prior to the said amendment. 15.5 Notices. Any notice, request, demand, claim, appeal grid other communication permitted or j required to be delivered hereunder shall be deemed received when personally delivered, or when personally deposited in the United States Mail,postage prepaid,return receipt requested,or upon deposit with a recognized overnight courier service. All notices sent pursuant to this Section 15.5 shall be at the addresses listed in the Association records, as changed from time to time. 15.6 Enforcement and Non-Waiver. 15.6.1 Right of Enforcement. Except as otherwise provided herein, any Owner, the Association, or Declarant shall have the right to enforce any or all of the provisions hereof against any Lot within the Property and against the Owners thereof. This general right of enforcement shall be in addition to any other enforcement rights contained in this Declaration.. 15.6.2 Violations and Nuisances. The failure of any Owner to comply with any provision hereof, or any other applicable rule, is hereby declared a nuisance and will give rise to a cause of action in Declarant, the Association,or any Owner for recovery of damages or for negative or affirmative injunctive relief or both. 15.63 Violation of Law. Any violation of any state, municipal or local law, ordinance or regulation pertaining to the ownership, occupation or use of any Lot within the Property is hereby declared to be a violation of this Declaration and subject to any or all of the enforcement procedures set forth in this Declaration and any or all enforcement procedures in law and equity. 15.6.4 Remedies Cumulative. Each remedy provided herein is cumulative and not exclusive. I 15.6.5 Non-Waiver, The failure to enforce any of the provisions herein at any time shall not constitute a waiver of the right to enforce any such provision. DECLARATION-33 $:u.:3.��i13rS1597G\1G51)Cclar�[iUn oCCovenants(r,»J?)Dwc I 15.7 Interpretation. The provisions of this Declaration shall be liberally construed to effectuate its purpose of creating a uniform plan for the development and operation of the Property. This Declaration shall be construed and governed under the laws of the State of Idaho. 15.7.I Restrictions Construed Together. All of the provisions hereof shall be „ ,.„ liberally construed together to promote and effectuate the fundamental concepts of tine development of the Property as set forth in the recitals of this Declaration. 15.7.2 Restrictions Severable. Notwithstanding the provisions of the foregoing Section 15.7.1, each of the provisions of this Declaration shall be deemed independent and severable,and the invalidity or partial invalidity of any provision or portion thereof shall not affect the validity or enforceability of any other provision herein. 15.7.3 Singular Includes PluW, Ge►ider. Unless the context requires a contrary construction, the singular shall include the plural and the plural the singular, and the masculine, feminine or neuter shall each include the masculine, feminine and neuter. 15.7.4 Ca. ptions. All captions and titles used in this Declaration are intended solely for convenience of reference and shall not affect that which is set forth in any of the provisions hereof. 15.8 Recitals and Exhibits. The recitals to this Declaration and any exhibits attached hereto are incorporated herein by this reference, 15.9 Consents Required. Any agreements, approvals or consents required or contomplated herein must be in writing and executed by the individual or entity whose consent, approval or agreement is required. In no event shall an Owner's required consent or approval be unreasonably withheld, conditioned or delayed. In the event the consent or approval of the Association is required for an activity, Improvement or otherwise, in addition to an Owner's approval or consent, the consent or approval of the Association shall establish a rebuttable presumption that an Owner's refusal to provide, conditions or delays in providing the required consent or approval is unreasonable. [end of text] 1 DECLARATION»34 S:\CLIIsTvTSIG97G1t61(1cc�arnsioar of Covei�aE3�.s(fii:at}.E)UC IN WITNESS WHEREOF, the undersigned has executed this Declaration as of the date first written above. SETTLERS CROSSING,LLC An Idaho limited liability company I B Will.David Evans,Manager STATE OF IDAHO } )Ss' County of Ada } On this I V day of July, in the year 2007, before me, the undersigned., a Notary ' Public in and for the State of Idaho, personally appeared Win. David Evans, known or identified to nee to be the Manager of Settlers Crossing, LLC, the manager, who executed the same on behalf of said company and that said company executed it. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year first above written. t � Notary Pub ' fo Idaho Rcsiding at: My commission expires: 3.7-!/ Q� r UID DECLARATION-35 1 S:1CL1L•'�+}tS1G�J7G51 GSUeclarativ�E ofCo�•ci�a�ets(!'i»}j.UUt: { 1 EXHIBIT A Legal Description of the Property A parcel of land situated in the SW '/ of Section 31, Township 4 North, Range 1 East, Boise Meridian, City of Meridian,Ada County, Idaho, Being all of Lots 21,22, 25 and 26, Block 7 of Sundance Subdivision No. 3,as filed in book 88 of flats at Pages 10025 and 10026,records of Ada.County, Idaho described as follows: Commencing at the corner common to Sections 6 and 31, Township 4 North, Range 1 East, Boise Meridian, and Sections 1 and 36,Township 4 North, Range 1 West, Boise Meridian, Ada County, Idaho, from which the 14 corner common to said Sections 6 and 31 bears S89134'40"E, 2406.44 feet; thence along the line common to said Sections 6 and 31, f A)S.89°34140"E.,477.16 feet; to a point;thence, leaving said common line, B) N.00°51'27"E., 48.00 feet to the POINT OF BEGINNING; thence, along the southerly line of said Lots 25 and 22, Block 7 of Sundance Subdivision No. 3, the following courses: i 1)N.89"34140"W., 30.00 feet;thence, 2)N.00°5177"E.,30.00 feet; thence, 3)N.89°34'40"W., 155.01 feet; thence, 4)S.00"51'24"W.,30.00 feet;thence, 5)N.89°34'40"W.,30.00 feet; thence, 6)NA0°51'24"E.,30.00 feel;thence, 7)N.89°34'40"W., 179.15 feet; thence, along the westerly line of said Lots 22,21 and 26 of said Block 7,the following courses: 8)N.00051'27"E., 185.00 feet;thence, 9)N.89"34'40"W.,35.00 feet;thence, 10)N.00°5127"E.,30.00 feet;thence, 11) 5.89034'40"E.,35.00 feet;to a point;thence, 12)N.00051'27"E., 170.83 feet;to a point;thence, 13)N.89°08'33"W., 35.00 feet;to a point; thence, 14)N.00°5127"E., 30.00 feet; to a point; thence, along the Northerly line of said Lot 26, Block 7, 15) S.89008'33"E., 429.15 feet; to a point; thence, along the Easterly line of said Lots 26 and 25,Block 7, 16)S.00°51'27"W.,442.85 feet to the POINT OF BEGINNING. 3 EX1,I1BI'T'A-1 S�CLII�+T'1'S1f9'FG11GV�eelaratiot af�ou4nanls{�i»a}).190C CONTAINING: 3.84 acres,more or less. 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