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Declaration of Covenants, Conditions and Restrictions of Sterling Woods Homeowners Association

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DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS OF STERLINGWOODS

ARTICLE I – Definitions

ARTICLE II – Development Period

Management by Declarant

Temporary Board

Management Authority

Expenditures During Development Period

Expiration of Development Period

ARTICLE III – Sterling Woods Homeowner’s Association

Formation

Membership

Classes and Voting Rights

Meetings of Members

Board of Directors

ARTICLE IV – Assessments

Personal Obligations and Creation of Lien Assessments

Common Area and Declarant Lots Exempt

Purpose of Assessments

Establishing Assessments

Annual Assessment

Special Assessments

Reserves for Repair or Replacement

Uniform Rate

Date of Commencement of Assessments; Due Dates

Effect of Non-Payment of Assessments; Remedies

Subordination of the Lien to First Mortgages

Budget Deficits During Development Period

ARTICLE V – Common Areas

Conveyance of Common Area

Association to Maintain Common Area

Use of the Common

Rights-of-Way Within the Plat

Repair of Common Area

Management

ARTICLE VI – Easements and Maintenance

Easements for Utilities

Drainage, Easements

Private Access and Utilities Easements

Sight Easements

Tree-Preservation-and Retention Easement

Easement for Association

ARTICLE VII – Maintenance of Lots

Exterior Maintenance by Owner

Lot Maintenance by the Association

ARTICLE VIII – Land Use' Restrictions

Residential Restrictions

Nuisances

Temporary Structures

Changing Lot Contours

Maintenance by Owners

Plantings and Fences

Signs

Underground Utilities

Antennas

Animals

Garbage Disposal

Clothesline s

Vehicles

Trash and Accumulations

Restriction Against Wells

Woodpiles

Protection of Trees

Deviation

Additional Restrictions

Easements and Restrictions on Final Plat

Sales and Construction Facilities

ARTICLE IX – Building. Restrictions

Plans for Residences Must be Approved

Building Setbacks

Minimum Size Requirements

Maximum Height Restrictions

Landscaping

Construction

Building Materials

Permits

Codes

Entry for Inspection

Exclusions

ARTICLE X – Architectural Control

Declarant Control

Architectural Control Committee

Submission of Plans

Review of Plans

Approval Procedures

Exclusions

Compliance with Codes

Enforcement

ARTICLE XI – Rules and Regulations

ARTICLE XII – Taxes

ARTICLE XIII – Indemnification and Liability

Indemnification

Limitation of Liability

ARTICLE XIV – General Provisions

Covenants Running With the Land

No Abandonment

Enforcement

Attorney’s Fee

Notices

Severability

Non-waiver

Amendment

Declarant Right to Assign

Successors and Assigns

Annexation

Liberal Construction

EXHIBIT A – Legal Description

 

 


DECLARATION
OF
COVENANTS, CONDITIONS AND RESTRICTIONS
OF
STERLINGWOOD

THIS DECLARATION is made on the date hereinafter set forth by Chaffey Corporation, a ,Washington corporation, ("Declarant"), who is the owner of certain land situated in the State of Washington, County of King, known as the Plat of Sterlingwood (the "Subdivision"), which is more particularly described in Exhibit "A" attached hereto and incorporated herein by this reference.

 

Declarant agrees and covenants that the Subdivision and improvements now existing or hereafter constructed thereon shall be held, sold, conveyed subject to, and burdened by the following covenants, conditions, restrictions, reservations, limitations, liens and easements, all of which are for the purpose of enhancing and protecting the value, desirability and attractiveness of such property for the benefit of all of the owners thereof and their heirs, successors, grantees and assigns. All provisions of this Declaration shall be binding upon all parties having any right, title or interest in the Subdivision, or any portion thereof, and shall inure to the benefit of each owner thereof and to the benefit of the Sterlingwood Homeowners Association and shall otherwise in all respects be regarded as covenants running with the land.

ARTICLE I

Definitions

For the purposes of this Declaration, certain words and phrases shall have particular meanings as follows:

 

Section 1.          "Association" shall mean Sterlingwood Homeowners Association, a Washington nonprofit corporation, its successors and assigns.

 

Section 2. "Board" shall mean and refer to the Board of Directors of the Association, as provided for in Article X. For purposes of exercising the powers and duties assigned in this Declaration to the Board, this term shall also mean the "Temporary Board" of "Declarant" as provided in Article II, unless the language or context clearly indicates otherwise.

 

Section 3. "Plat" shall mean and refer to the Plat of Sterlingwood, as recorded on August 24, 1999, in the records of King County, State of Washington, under Recording No. 19990824000670, Volume 9 of Plats, pages 93 through 99, inclusive


Section 4.          "Subdivision' " shall mean that certain real property described in the Plat, and such additions thereto as may be hereafter brought within the jurisdiction of the Association.

 

Section 5. "Declarant" shall mean Chaffey Corporation, a Washington corporation, its successors and assigns, if such successors and assigns should acquire more than one undeveloped lot from the Declarant for the purpose of development.

 

Section 6. "Common Area" shall mean those portions of all real property (including the improvements thereto) designated in the Plat as common areas, sensitive areas, open space, or signage or landscape tracts, or otherwise owned, used and maintained by the Association for the benefit of its members. The areas to be owned and maintained by the Association at the time of recording this Declaration are Tracts A, B, E, F, G, H, I, J, K, L, and M, as shown on the Plat.

 

Section 7. "Lot" shall mean and, refer to any parcel of land shown upon the Plat of the Subdivision, with the exception of the Common. Area and any land conveyed of dedicated to King County, the City of Sammamish or local municipal corporations

 

Section 8. "Owner" shall mean the record owner, whether one or more persons or entities and specifically including the Declarant, of the fee interest in any Lot or Lots which are a part of the Subdivision, but shall not include a contract seller or mortgagee Purchasers or assignees under recorded real estate contracts shall be deemed Owners as against their respective sellers or assignors.

 

Section 9.  "Member" shall mean every person or entity who holds a membership in the Association.

 

Section 10. "Architectural Control Committee" shall mean the duly appointed or elected committee of the Board of Directors as outlined in Article XIV of this Declaration.

 

Section 11. "Development Period" shall mean that period of time beginning on the date of recording of this Declaration and ending at the earlier of: (i) ten (10) years from the date of recording of this Declaration, (ii) the thirtieth (30th) day after Declarant has transferred title to individual residential owners of ninety percent (90%) of the Lots, or (iii) written notice from the Declarant to the Association in which the Declarant elects to terminate the Development Period.

 

Section 12. "Residence" shall mean the single family residence occupying any Lot and shall be subject to the limitations set forth in Article XI.

ARTICLE II

Development Period

Section 1. Management by Declarant. Until termination of the Development Period, either upon the sale of the required number of Lots, the expiration of ten (10) years, or at the election of the Declarant as provided above, the Subdivision shall be managed and the Association organized at the sole discretion of the Declarant. Management by the Declarant during the Development Period is for the purpose of ensuring that the Subdivision is adequately administered in the initial stages of development and that there is an orderly transition to Association operations. Each Owner accepts this management authority in Declarant. Notwithstanding anything to the contrary herein, or in the Bylaws of the Association, Lots owned, by Declarant shall not be subject to assessment and the development of such Lots shall not be subject to review or approval of the Architectural Control Committee.

Section 2. Temporary Board. Declarant may, in its sole discretion, and at such times as the Declarant deems appropriate, appoint three persons who may be Lot Owners, or are representatives of corporate entities or other entities which are Lot Owners, as a Temporary Board. This Temporary Board shall have full authority and all rights, responsibilities, privileges and duties to manage the Subdivision under this Declaration and shall be subject to all provisions of this Declaration, and the Articles of Incorporation and Bylaws of the Association, provided that after selecting a Temporary Board, the Declarant, in the exercise of its sole discretion, may at any time terminate the Temporary Board and reassume its management authority or select a new Temporary Board.

Section 3. Management Authority. If Declarant does not appoint a Temporary Board, Declarant or a managing agent selected by the Declarant shall have the power and authority to exercise all the rights, duties and functions of the Board of Directors of the Association and generally exercise all powers necessary to carry out the provisions of this Declaration, including but not limited to, enacting reasonable administrative rules, contracting for required services, obtaining property and liability insurance, executing any and all covenants, easements, or other necessary documentation relating to the Common Area; and collecting and expending all assessments and Association funds. Any such managing agent or the Declarant shall have the exclusive right to contract for all goods and services, payment for which is to be made from any monies collected from assessments.

Section 4. Expenditures During Development Period. During the Development Period, Declarant shall have the sole discretion to use and consume all or so much of the assessments provided for herein as in Declarant's judgment is necessary or expedient in maintaining the Common Area and carrying out the other functions of the Association, including but not limited to, management fees and any legal fees associated with Declarant carrying out any duties during the Development Period, including all costs associated with turning over management to the Association after the expiration of the Development Period.

Section 5. Expiration of Development Period. Upon termination of the Development Period, Declarant shall deliver any funds remaining to the Association. Declarant shall not be liable to the Association or any Owner for monetary damages for conduct as the Declarant and shall be indemnified and held harmless by the Association from any and all legal actions brought by the Association or any Owner for the management of the Subdivision or administration of the Association prior to expiration of the Development Period. After the expiration of the Development Period it shall be the responsibility of the Lot Owners to provide for the operation of the Association.


ARTICLE III

Homeowner’s Association

Section 1. Formation. The Association shall be a non-profit corporation under the laws of the State of Washington The Association may be an unincorporated Association during the Development Period, unless the Declarant elects to incorporate the Association.

Section 2. Membership. Every person or entity who is the contract purchaser or Owner of any Lot or Lots in the Subdivision is and shall be a Member of the Association, provided, however, that if any Lot is held jointly by two (2) or more persons or entities, the several Owners of such interest shall designate one (1) of their number as the "Member." The foregoing is not intended to include persons or entities who hold an interest merely as security for the performance of an obligation. No Lot shall have more than one (1) membership. Membership shall be appurtenant to and may not be separated from ownership of or the contract purchaser's interest in any Lot which is subject to assessment by the Declarant or the Association. Upon transfer of the fee interest to, or upon the execution and delivery of a real estate contract for the sale of (or of an assignment of a contract purchaser's interest in) any Lot, the membership in the Association shall ipso facto be deemed to be transferred to the transferee, grantee, contract purchaser or new contract purchaser. Membership voting rights and the right to use the Common Area and facilities may be suspended in the event of default in the payment of any assessments or violation of any rules and regulations, as provided in the Bylaws of the Association. In the event of suspension, such Member shall continue to incur and remain liable for any and all obligations, including monthly, annual and special assessments.

Section 3. Classes and Voting Rights. The Association shall have the following two (2) classes of voting membership:

Class A. Class A Members shall be all those Owners who qualify to become Members under Section 2 of this Article, with the exception of the Declarant. For matters requiring the approval, consent, or affirmative vote of the Members or the Association, Class A Members shall be entitled to one (1) vote for each Lot in which they hold the interest required for membership under Section 2 of this Article. When more than one person or entity holds such an interest in any Lot, the vote for such Lot shall be exercised as they among themselves, determine, but in no event shall more than one (1) vote be cast with respect to any Lot.

Class B. The sole Class B Member shall be the Declarant (as defined in Article I, Section 5 above). The Class B member shall be entitled to three (3) votes for each Lot Declarant owns and/or in which Declarant holds an interest. The Class B membership shall cease and be converted to Class A membership on the first to occur of the following events: (a) the expiration of the Development Period, (b) the Declarant terminates its involvement in the Subdivision without having assigned its right to another person or entity, or (c) upon written notice from the Declarant to the Association in which the Declarant elects to terminate the Development Period and convert its membership from Class B to Class A.

Notwithstanding anything to the contrary herein, during the Development Period, Class A Members shall not be entitled to vote on any matters and the Subdivision shall be managed by the Declarant, as provided in Article II above, and the Declarant may, in its sole discretion, take any action on behalf of the Association without a vote of the members of the Association.

Section 4. Meetings of Members. Meetings of Members shall be held and conducted in accordance with the provisions of the Bylaws of the Association. The presence at the meeting of Members entitled to cast, or of proxies entitled to cast, thirty-four percent (34%) of the votes of the entire membership shall constitute a quorum for any action except as otherwise provided in the Articles of Incorporation, the Bylaws, or this Declaration. Except as otherwise provided in the Articles of Incorporation, the Bylaws, or this Declaration, passage of any matter submitted to vote at a meeting or adjourned meeting duly called, where a quorum is in attendance in person or by proxy, shall require the affirmative vote of more than fifty percent (50%) or more of the total votes present in person or by proxy.

Section 5. Board of Directors. Upon expiration of the Declarant's management authority under Article II, all administrative power and authority shall vest in a Board of three (3) Directors who shall be nominated and elected in accordance with, and serve for the terms set forth in, the Bylaws of the Association. The Association, by amendment of the Bylaws, may increase the number of directors. The Board, for the benefit of the Subdivision and all of the Owners, shall enforce the provisions of this Declaration and the Bylaws. Meetings of the Board of Directors shall be held and conducted in accord with the provisions of the Bylaws of the Association. In addition to the duties and powers imposed by the Bylaws and any resolution of the Association that may be hereafter adopted, the Board shall have the power and be responsible for the following, in way of explanation, but not limitation:

 

(a)       Insurance. Obtain policies of general liability insurance.

(b)       Legal and Accounting Services. Obtain legal and accounting services as deemed necessary by the Board for the administration of Association affairs, administration of the Common Area, or the enforcement of this Declaration.

(c)       Maintenance. Pay all costs of maintaining the Common Area.

(d)       Maintenance of Lots. If necessary, maintain any Lot if such maintenance is reasonably necessary in the judgment of the Board to (1) protect the Common Area, or (2) to preserve the appearance and value of the Subdivision or Lot. The Board may authorize such maintenance activities if the Owner of the Lot has failed or refused to perform maintenance within a reasonable time after written notice of the necessity of such maintenance has been delivered by the Board to the Owner of such Lot, provided that the Board shall levy a special assessment against the Owner of such Lot for the cost of such maintenance.

(e)       Discharge of Liens. Pay any amount necessary to discharge any lien or encumbrance levied against the entire Subdivision or any part thereof which is claimed or may, in the opinion of the Board, constitute a lien against the Subdivision or against the Common Area rather than merely against the interest therein of particular Owners. Where one or more Owners are responsible for the existence of such liens, they shall be jointly and severally liable for the cost of discharging it and any costs or, expenses, including reasonable attorney’s fees and costs of title search incurred by the Board by reason of such lien or liens. Such fees and costs shall be assessed against the Owners responsible (and their respective Lots) to the extent of their responsibility.

(f)        Utilities. Pay all utility charges attributable to Common Area.

(g)       Security. Pay all costs deemed appropriate by the Board to ensure adequate security for the Lots and Common Area.

(h)       Right to Contract. Have the exclusive right to contract for all goods, services, maintenance, and capital improvements deemed appropriate by the board for the administration of Association affairs and the administration of the Common Area.

(i)         Improvement of Common Area. Improve the Common Area with capital improvements to such Common Area; provided that for those capital improvements exceeding $10,000, twenty-five percent (25%) of the Owners must approve the addition of such capital improvements to the Common Area.

(j)         Right of Entry. Enter any Lot or Residence, when reasonably necessary, in the event of emergencies or in connection with any maintenance, landscaping or construction for which the Board is responsible. Except in cases of emergencies, the Board, its agents or employees shall attempt to give notice to the Owner or occupant of any Lot or Residence twenty-four (24) hours prior to such entry. Such entry must be made with as little inconvenience to the Owners as practicable, and any damage caused thereby shall be repaired by the Board if the entry was due to an emergency (unless the emergency was caused by the Owner of the Lot entered, in which case the cost shall be specially assessed to the Lot). If the repairs or maintenance activities were necessitated by the Owner's neglect of the, Lot, the cost of such repair or maintenance activity shall be specially assessed to that Owner and Lot. If the emergency or the need for maintenance or repair was caused by another Owner of another Lot, the cost thereof shall be spatially assessed against the Owner of the other Lot.

(k)        Employment of Manager. Employ a manager, an independent contractor, or such other
employee as the Board deems necessary and describe the duties of such employees.

(l)         Payment for Goods and Service. Pay for all goods and services required for the proper functioning of the Common Area.

(m)     Impose Assessments. Impose annual and special assessments.

(n)       Bank Account. Open a bank account on behalf of the Association and designate the signatories required.

(o)       Easements. Execute any and all covenants, easements, or other necessary documentation relating to the use of Common Area.

(p)       Exercise of Powers, Duties and Authority. Exercise for the Association all powers, duties and authority vested in or delegated to the Association and not reserved to the membership by other provisions of the Bylaws, Articles of Incorporation, or this Declaration. The Board shall have all powers and authority permitted to it by law and under this Declaration and the Bylaws. However, nothing herein contained shall be construed to give the Board authority to conduct a business for profit on behalf of all the Owners or any of them.


ARTICLE IV

Assessments

Section 1. Personal Obligations and Creation of Lien Assessments. Subject to the provisions of Section 2 -below, each Owner of any Lot, by acceptance of a deed therefore, whether or not it shall be so expressed in such deed, is deemed to covenant and agree to pay to the Association, or to' Declarant or any designated managing agent during the. Development Period:

(a)       annual or monthly assessments or charges; and

 

(b)       special assessments as authorized herein or in the Declaration.

The assessments, together with such interest thereon and cost of collection thereof, as hereinafter provided, shall be a continuing lien upon the Lot against which each such assessment is made and shall run with the land. Each such assessment, together with interest thereon and costs incurred in collecting the assessment (including reasonable attorney’s fees), shall also be the personal obligation of the person who was the Owner or contract purchaser of such property at the time when, the assessment fell due. No Owner or contract purchaser shall be relieved of liability for the assessments by non-use of the Common Area or abandonment of any Lot. The personal obligation for delinquent assessments shall not pass to successors in title unless expressly assumed by them. The Association may take any action deemed appropriate too effectuate collection of unpaid assessments.

Section 2. Common Area and Declarant Lots Exempt. The Common Area and all portions of the Property dedicated to and accepted by a government or public authority, and all Lots owned by Declarant, shall be exempt from assessments by the Association.

Section 3. Purpose of Assessments. The assessments shall be used for the purpose of promoting the recreation, health, safety and welfare of the Owners and/or their guests, including without limitation: the construction, establishment, improvement, repair, maintenance and other expenses of the Common Area and the services and facilities related to the use and enjoyment of the Common Area; the payment of utility charges, taxes and insurance; maintenance of sensitive areas, open space, and native growth protection easements and other obligations related thereto, if any, as set forth in the Plat or otherwise required of the Declarant and/or the Association by governmental agencies; installation and maintenance of any properties, landscaping or improvements desired or required in the Plat or this Declaration; and other items deemed necessary and proper by the Declarant or the Association to keep the Subdivision in a good, clean, attractive and safe condition in compliance with all applicable codes, laws, rules and regulations. Assessments may also be levied to pay for any professional services, advice or consultation incurred by the Declarant or by the Association in carrying out its duties.

Section 4. Establishing Assessments. The regular budget and any revised or special budget of the Association, including any reserves as provided herein, shall be adopted by the Board of Directors and shall be ratified by the Members of the Association as set forth herein or otherwise. permitted under, Washington law. Within thirty (30) days after adoption by the Board of Directors of any proposed regular or special budget, the Board, shall set a date for a meeting of the Members to consider ratification of the budget. Written notice of the meeting shall be sent to all Owners not less than fourteen (14) days, nor more than sixty (60) days in advance of the meeting, setting forth the purpose of the meeting. Unless at that meeting a majority vote of the voting power of the Members who are present, in person or by proxy, and entitled to vote at such meeting rejects the budget, the budget shall be deemed, ratified, whether or not a quorum is present. During the Development Period, the approval of the Declarant shall be required for ratification of any proposed budget. The Board shall cause the ratified budget and the assessments to be levied against each Lot for the following year to be delivered to each Member at least thirty (30) days prior to the end of the current fiscal year. In the event the proposed budget is not ratified or the Board fails for any reason to determine the budget for the succeeding year, then and until such time as a budget shall have been determined, as provided herein, the budget in effect for the then current year shall continue for the succeeding year.

Section 5. Annual Assessment. Until January 1, 2001, the annual assessment is estimated to be $300.00 per Lot; fifteen percent (15%) of which, or such higher percentage as may be charged, shall be allocated and paid to the Declarant for management services provided to the Association by the Declarant or by a professional management firm. Such allocation of funds to the Declarant shall cease when the Development Period expires and the Association assumes collection costs, bookkeeping, and other management responsibilities.

Section 6. Special Assessments. In addition to the annual assessments authorized above, the Association may levy special assessments through the use of a special budget adopted by the Board of Directors and ratified by the Members in accordance with Section 4 above. The special assessments may be used to cover (1) unanticipated financial shortfalls, maintenance or liability expenses, including without limitation the cost of legal fees and costs incurred in legal actions in which the Association is a party, or in which a member of either the Board or the Architectural Control Committee is named as a party as a result of a decision made or action performed while acting on behalf of the Association, (2) extraordinary expenses such as the cost of any construction, reconstruction, repair or replacement of a capital improvement of the Common Area, property, street lighting, fixtures or improvements of the Association, including repairs or renovation, or (3) any other reasonable expenses incurred by the Association.

Section 7. Reserves for Repair or Replacement. As a common expense and as a part of any:. regular or special budget of the Association, the Declarant or the Association may establish and maintain a reserve,, fund for repair or replacement of improvements and community facilities thereon. The reserve fund shall be expended only for the purpose of repair, replacement or improvement to the Common Area and any improvements and community facilities for which the Association is responsible, and for start up expenses and operating contingencies of a nonrecurring nature. The proportional interest of any Owner in any such reserve shall be considered an appurtenance of such Owner's Lot and shall be deemed to be transferred with such Lot in the event of a transfer or sale.

Section 8. Uniform Rate. All assessments shall be fixed at a uniform rate for P C\ all Lots subject to assessment; provided however, that Lots owned by the Declarant are not subject to any assessment or charge hereunder.

Section 9. Date of Commencement of Assessments; Due Dates. The assessments provided for.. herein shall. not commence prior to the first day of the month O following the conveyance of the first' Lot from the Declarant. As to each particular Lot involved, the liability for the assessments shall begin on the first day of the calendar month following the date that any deed or real estate contract for the Lot is transferred or recorded, or on the first day of the calendar month following occupancy of the premises, whichever is earlier. Said assessment shall be due and .payable on such date and on the first day of each calendar month thereafter, or on a monthly, quarterly or annual date designated by the Declarant or the Board of Directors.

Section 10. Effect of Non-Payment of Assessments; Remedies. If any assessment is not paid within thirty (30) days after it was first due and payable, the assessment shall bear interest from the date on which it was due at the rate of twelve percent (12%) per annum. Unpaid assessments, plus interest, costs and attorney fees incurred by the Association in collecting assessments, filing and recording liens, enforcing the provisions of the Bylaws and this Declaration, or defending itself in any litigation shall constitute a lien on the property as provided in the Bylaws and this Declaration. The Association may bring an action against the one personally obligated to pay the same and/or foreclose the lien against the property, and interest, costs and reasonable attorney's fees of any such action shall be included in any judgment or decree entered in such suit. Each Owner hereby expressly vests in the Association or its agents the right and power to bring all actions against such Owner personally for the collection of such assessments as debts and to enforce lien rights of the Association by all methods available for the enforcement of such liens, including foreclosure by an action brought in the name of the Association in like manner as a mortgage of real property. Each Owner hereby expressly grants to the Association the power of sale in connection with such liens. The liens provided for in this Section shall be in favor of the Association and shall be for the benefit of the Association. The Association shall have the power to bid in an interest at foreclosure sale and to acquire, hold, lease, mortgage and convey the same.

Section 11. Subordination of the Lien to First Mortgages. The lien of the assessment provided for herein shall be subordinate to the lien of any first mortgage (and to the lien of any. second mortgage given to secure payment of the purchase price) now or hereafter placed on the Lot, only in the event that: the lien for delinquent assessments has not been recorded with the King County Auditor at the time of the recording of the mortgage lien. Sale or transfer of any Lot shall not affect the assessment lien. No sale or transfer .shall relieve such Lot from liability for any assessments thereafter becoming due or from the lien thereof.

Section 12. Budget Deficits During Development Period. During the Development Period, Declarant may: (a) advance funds to the Association sufficient to satisfy the deficit, if any, between the actual operating expenses of the Association (but specifically not including an allocation for capital reserves), and the sum of the annual and special assessments (including reserves) collected by the Association in any fiscal year, and such advances shall be evidenced by promissory notes from the Association in favor of the Declarant; or (b) cause the Association to borrow. such amount from a commercial lending institution at the then prevailing rates for such a loan. " The Declarant in its sole discretion may guarantee repayment of such. loan, if required by the lending institution, but no mortgage secured by the Common Area or any of the improvements maintained by the Association shall be given in connection with such loan.

ARTICLE V

Common Areas

Section 1. Conveyance of Common Area. Declarant hereby transfers and conveys to the Association for the common use and enjoyment of the Association and the Owners, the Common Area, as defined in Article I, Section 6 above, including Tracts A, B, E, F, G, H, I, J, K, L, and M, as shown on the Plat. Tracts A and B are designated as sensitive areas and are subject to the restrictions and obligations set forth in the Plat.

Section 2. Association to Maintain Common Area. The Association shall have the obligation of maintaining and preserving the character and function of the Common Area, and shall pay the actual cost of the same from annual or special assessments as appropriate.

Section 3. Use of the Common. Nothing shall be altered or constructed in, or removed from the Common Area except upon prior written consent of the Architectural Control Committee, or the Declarant during the Development Period. No trash, plant or grass clippings or other debris of any kind shall be dumped, deposited or placed on or within' the Common Area. No structures of any kind, including fences and walls, may be built or placed within' any right-of-way or easement delineated on the Plat except as deemed appropriate by the Architectural Control Committee, or the Declarant during the Development Period, and King County or the City of Sammamish.

Section 4. Rights-of-Way Within the Plat. King County or the City of Sammamish shall be responsible for maintaining all rights-of-way within the Subdivision. All street trees planted adjacent to streets or sidewalks within the Subdivision shall be maintained by the Association.;: ' The landscape planter island within N. E. 21s' Street shall be equally maintained by the Owners of Lots 4, 5, 6, 7, 8 and 9, and the landscape planter island' within the traffic bubble on 205th Place N.E. near Tracts C and D shall be equally .maintained by the Owners of Lots 58, 59, 60, 61, 62, 63, 64, 65, 66 and 67.

Section 5. Repair of Common Area. Any damage to the Common Area or improvements thereon, including landscape plantings, sprinkler systems, fences, berms, etc., by the Owners or. their children,. or guests shall be repaired within one week by the Owner who caused the area to be ,.damaged. If such repairs are not made timely, the Association shall execute the repair and the Owner shall be obliged to immediately remit funds for the repair. If the Owner fails to promptly make payment for such repairs, the Owner shall be charged interest at the rate of twelve (12%) percent per annum.

Section 6. Management. Each Owner expressly covenants that the Board, and the Declarant, during the Development Period, may delegate all or any portion of their management authority to a managing agent, manager or officer of the Association and may enter into such management contracts or other service contracts to provide for maintenance and the operation of Common Area and any portion thereof. Each Owner is bound to observe the terms and conditions of any such management agreement or employment contract, all of which shall be made available for inspection by any Owner on request.


ARTICLE VI

Easements and Maintenance

Section 1. Easements for Utilities. The easements granted to King County, Puget Sound Energy, U.S. West, Northeast Sammamish Sewer and Water District, and T.C.I. Cable T.V. Company for sidewalks and utilities, as shown on the Plat (the "Utility Easements"), are incorporated herein and hereby reserved on each Lot or Tract as set forth on the Plat. No Lot Owner shall allow or permit any structure, fill or landscaping to be located, installed or grown upon the area subject to the Utility Easements which might in any way damage or interfere with the installation and operation of such utilities and systems. Each person utilizing the Utility Easements shall restore such area to a condition as close to its original condition as reasonably practical after making such use. Each Lot Owner shall maintain the area of his Lot subject to the Utilities in a condition which will not interfere with the operation and maintenance of said utilities and systems. Lot Owners may not relocate, remove or disturb any utilities, including utility boxes, without the express written consent of the Association and current holders of the Utility Easements.

Section 2. Drainage, Easements. Various drainage easements are indicated on the Plat. Structures, fills or obstructions, including, but not limited to, decks, patios, outbuildings or overhangs, shall not be permitted within drainage easements. Additionally, grading and the construction of fencing shall not be allowed within drainage easements unless otherwise approved by King. County or the City of Sammamish and the Architectural Control Committee, or the Declarant during the Development Period. The private storm drainage easements identified on the Plat shall be maintained as follows:

 

(a)          The private storm drainage easement within Lot 57 is for the benefit of Lot 56. Lots 56 and 57 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(b)         The private storm drainage easement within Lot 35 is for the benefit of Lot 34. Lot 34 shall be responsible for the cost of maintenance, repairs of reconstruction of the storm drainage system.

(c)          The private storm drainage easement with Lots 54 and 55 is for the benefit of Lots 53 and 54. Lots 53, 54 and 55 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(d)         The private storm drainage easement within Lot 52 is for the benefit of Lot 51. Lots 51 and 52 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(e)          The private storm drainage easement within Lot 44 is for the benefit of Lot 45. Lots 44 and 45 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(f)           The private storm drainage easement within Lots 46 and 47 is for the benefit of Lots 47 and 48. Lots 46, 47 and 48 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(g)         The private storm drainage easement within Lot 49 is for the benefit of Lot 50. Lots 49 and 50 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(h)          The private storm drainage easement within Lot 4 is for the benefit of Lot 5. Lots 4 and 5 shall be, responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(i)            The private storm drainage easement within Lots 7, 8 and 9 is for the benefit of Lots 6, 7 and 8. Lots 6, 7, 8 and 9 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(j)            The private storm drainage easement within Lots 16, 17 and 18 is for the benefit of Lots 15, 16 and 17. Lots 15, 16,17 and 18 shall be responsible for the cost of maintenance, repairs or reconstruction of that portion of the storm drainage system used in common.

(k)          The private storm drainage easement within Lots 19 and 20 is for the benefit of Lots 18 and 19. Lots 18, 19 and 20 shall be responsible for the cost of maintenance, repairs or reconstruction, of that portion of the storm drainage system used in common.