APPROVED AND REVISED BY THE BOARD OF DIRECTORS - March 25, 2021 - March 2021

 
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APPROVED AND REVISED BY THE BOARD OF DIRECTORS - March 25, 2021 - March 2021
APPROVED AND REVISED BY
THE BOARD OF DIRECTORS
      March 25, 2021
APPROVED AND REVISED BY THE BOARD OF DIRECTORS - March 25, 2021 - March 2021
RULES, REGULATIONS, POLICIES, PROCEDURES
            AND COMPLIANCE

                        American Ranch Office Hours
                                     Monday through Friday
                                           8:30 a.m. – 4:30 p.m.

                                           Closed for holidays

                              After hours emergency 928-443-3593

Approved by the Board of Directors – Updated March 2021            2
APPROVED AND REVISED BY THE BOARD OF DIRECTORS - March 25, 2021 - March 2021
Table of Contents

RULES AND REGULATIONS
                                                              Page
1.0       SUMMARY                                              4
2.0       PURPOSE                                              4
3.0       GENERAL RULES                                        5
4.0       RANCH HOUSE                                          10
5.0       TENNIS COURT                                         13
6.0       LAKE                                                 14
7.0       POOL                                                 14
8.0       FITNESS ROOM                                         15
9.0       CHILDREN’S PLAY AREA                                 15
10.0      TRAILS                                               16
11.0      ROADS                                                17
12.0      RANCH CAMP                                           17
13.0      COMMUNITY GARDEN                                     18
14.0      EQUESTRIAN CENTER                                    19

POLICIES, PROCEDURES AND COMPLIANCE

15.0      COMPLIANCE PROCEDURE                                24
16.0      FINE POLICY                                         28
17.0      COLLECTION POLICY                                   29
18.0      DISPUTE RESOLUTION POLICY                           30

ATTACHMENTS

   I.       FACILITY EXCLUSIVE RENTAL USE AGREEMENT           32
   II.      TRAIL MAP                                         34
   III.     TIPI RESERVATION FORM                             35
   IV.      GENERAL MEMBER LIABILITY RELEASE                  36
   V.       GUEST LIABILITY RELEASE                           38
   VI.      VIOLATION COMPLAINT FORM                          40

EQUESTRIAN CENTER DOCUMENTS

   I.       HELMET WAIVER                                     41
   II.      EQUESTRIAN LIABILITY WAIVER                       42
   III.     EQUESTRIAN BOARDING CONTRACT                      44
   IV.      EQUESTRIAN MENU OF EXTRA SERVICES                 54

  Approved by the Board of Directors – Updated March 2021          3
American Ranch Community Association Rules

1.0     SUMMARY

        In accordance with the American Ranch Community Association (ARCA) Declaration of
        Covenants, Conditions and Restrictions (CC&Rs), Section 5.3 and Article 1 – Definitions, the
        Board of Directors of the Association (Board) may adopt, amend or repeal rules and
        regulations (Association Rules) pertaining to the management, operation and use of Areas of
        Association Responsibility, including any recreational facilities situated upon the Areas of
        Association Responsibility. Areas of Association Responsibility include all Common Areas of
        the Association.

        These Association Rules, along with the ARCA CC&Rs, Supplemental Declarations, Plats,
        Articles of Incorporation, the Bylaws and Architectural Guidelines, constitute the Project
        Documents of the ARCA. Under Section 5.3 of the ARCA CC&Rs, Association Rules shall be
        enforceable in the same manner and to the same extent as the CC&Rs.

        The Association Rules, as adopted, amended or repealed from time to time, are intended to
        ensure the safe and secure use and enjoyment of Areas of Association Responsibility by
        ARCA members in good standing. Any conflict between Association Rules and ARCA
        CC&Rs shall be resolved in favor of the ARCA CC&Rs. Any conflict between Association
        Rules or ARCA CC&Rs and applicable statutes shall be resolved in favor of the statutes.

        To provide the Board with a manageable means of adopting, amending and repealing
        Association Rules and to provide the Members of the ARCA a convenient means to know
        and understand Association Rules adopted by the Board, expected compliance and the
        consequences of non-compliance, the Board has developed this document, which contains all
        current Association Rules of the ARCA. Association Rules are organized below under the
        categories of “General”, meaning they apply to each and every Area of Association
        Responsibility, along with each of the ARCA’s primary Common Areas as defined below.

        Fitness Room; Billiard Room; Ranch House; Tennis Court; Pool; Pool Area; Sand Volleyball
        Area; Basketball Court; Equestrian Center; Ranch Camp; Grassy Field; Ranch Camp Picnic
        Area; Lake and Surrounding Land; Children’s Playground; Roads; Community Trails

2.0     PURPOSE

        Association Rules are included in the sections following. Beyond defining the rules members
        are expected to comply with, the Board has included the reasoning and basis for the rules as
        presented and the expected outcome of compliance with the rules. Rules fall into the three
        general categories (a) prohibition of certain actions or behaviors that create safety, security or
        liability concerns to the community and its members or the loss or damage of Association
        property and equipment; (b) compliance with certain processes to ensure fair and equitable
        use and enjoyment by the majority of the ARCA members; (c) compliance with behaviors
        and professional conduct to ensure the enjoyment of Areas of Association Responsibility and
        the proper interaction among Association members, employees and contractors as well as the
        protection of minors.

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3.0     GENERAL RULES THAT APPLY TO ALL AREAS OF ASSOCIATION RESPONSIBILITY
        AND LOT OWNER RESPONSIBILITY

        3.1      Improper Treatment of Residents, Employees and Contractors

                 It is the policy of the Association to create and maintain an environment free of
                 harassment. The Association will not tolerate hostility or favoritism toward an
                 individual based on race, color, creed, sex, national origin or age. Furthermore, the
                 Association will not tolerate hostility toward any individual. The Association will not
                 condone such behavior by or from any Member, Resident, Lessee, guest, invitee,
                 Board member, or staff personnel in any form. (For Sections 3.1.1 through 3.1.4, the
                 term “Member” shall collectively mean any Member, Resident, Lessee, guest, or
                 invitee.)

        3.1.1    All Members shall refrain from harassing other Members, Board members,
                 management staff, and contractors of the Association. Members shall not in any way
                 harass threaten, or otherwise attempt to intimidate any Member, Board member,
                 management staff, or contractors of the Association.

        3.1.2    All Members shall refrain from interfering with the duties of Board members,
                 management staff and contractors of the Association. No Member shall interfere with
                 the duties of the management staff or any contractor performing a contract in process.
                 All communications with contractors must go through the President of the Board or
                 management staff, or must otherwise be in accordance with Board policy.

        3.1.3    All Members shall show respect to fellow Members, Board members, and
                 management staff.

        3.1.4    Members shall report to management staff any inappropriate and discourteous
                 conduct, or conduct believed to be in violation of this Policy, according to procedures
                 established by the Association.

        3.1.5    All Members shall be responsible for the conduct of their Residents, Lessees, guests
                 and invitees while on the Property. Members shall be responsible for ensuring that
                 their Residents, Lessees, guests and invitees comply with this Policy and all
                 governing documents.

        3.1.6    Violations of Policy:

                 Any Member who is found to be in violation of this Section 3.1 will be subject to
                 appropriate remedial action, including, but not limited to, injunctive relief being
                 sought against him/her, fines, and suspension of membership privileges.
                 Furthermore, such Member shall be responsible for any violations of this Section 3.1
                 by such Member’s Residents, Lessees, guests, and invitees, and the Association may
                 pursue the Member for violations by such Member’s Residents, Lessees, guests, and
                 invitees. Such remedial action shall be at the sole discretion of the Board of Directors.
                 Further, the Association shall seek to hold the Member responsible for any attorney’s
                 fees incurred by the Association in such enforcement effort.

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3.2      Members may not under any circumstances represent to anyone they are acting as an
               authorized agent of the Association or the Board. No Member is authorized to enforce
               the governing documents on behalf of the Board.

      3.3      Members are not authorized nor entitled to conduct “patrols” of the Association
               roads or common areas.

      3.4      Any Association member with a past due account (including fines, late fees, interest,
               etc.) that is greater than 60 days in arrears will have their community access card(s)
               deactivated for the use of all amenities. Restriction from the use of community
               amenities will remain in effect until such time as the member’s account is brought to a
               “fully paid” status or payment plan established and current on terms of that plan.

      3.5      Association members with past due accounts may not vote in Board elections or any
               matter pertaining to the Association.

      3.6      All owners shall pay the same monetary amount for assessments per individual lot. If
               an Owner owns multiple lots they will continue to owe full assessments for each lot
               they own in the Association. If the Owner combines adjoining lots through Yavapai
               County (with prior approval from the ARC) to create one parcel they will continue to
               owe full assessments for each lot.

      3.7      Guests

               3.7.1    Owners may have up to 10 guests utilizing Ranch House facilities or any
                        common area (excluding the pool & fitness room) before they are required to
                        reserve and rent the facilities through the Community Manager or Manager’s
                        assistant. This limitation does not apply to meetings of groups or committees
                        sanctioned by the Board of Directors. Members having a group of larger than
                        10 will be required to exclusively reserve and rent all or a portion of the
                        amenity used.

               3.7.2    Pool guests are limited to 5 per lot. Fitness room guests are limited to 2 per lot.
                        Exceptions may be granted by Management staff for a limited number of
                        immediate family members.

               3.7.3    Guests must sign release forms or have signed release forms on file with the
                        Community manager or EC Manager prior to using Ranch equipment or
                        facilities, including the Equestrian Center.

               3.7.4    Guests must register with the Community Management Staff and be
                        accompanied by a resident while enjoying use of amenities at American
                        Ranch.

               3.7.5    Unaccompanied guests must be authorized in advance by the Resident and
                        the Community Management Staff.

      3.8      Residents are responsible for conveying Ranch Policies to their children and guests
               and are accountable for the conduct of their children and guests at all times.

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3.9      American Ranch is not responsible for missing articles. Personal items found by staff
               will be held for three months, after which they will be donated to local charity.

      3.10     American Ranch is located adjacent to the Prescott National Forest and American
               Ranch and the Prescott National Forest contain many species of insects, reptiles and
               other animals. Animals indigenous to the area, including, without limitation,
               scorpions, snakes, spiders, bobcats, hawks, javelina, bears, mountain lions and
               antelope, may be found throughout the Prescott National Forest and the natural areas
               of American Ranch and may enter upon the residential and recreational portions of
               American Ranch from time to time, each Owner, Lessee, and Resident, for itself and
               its families, invitees and licensees, assumes the risk that such animals may be present
               and may present danger. The Association nor any director, officer, agent or employee
               of the Association shall be liable to any Owner, Resident, Lessee or its family, invitees
               or licensees for any claims or damages resulting, directly or indirectly, from the
               existence of such animals within American Ranch.

      3.11     Owner Responsibility

               3.11.1 Residential Use. No lot, property or structure within American Ranch shall be
                      used for the purpose other than as a single-family residence. No gainful
                      occupation, profession, trade or other non-residential use shall be conducted
                      on any such lot unless allowed by Federal Law.

               3.11.2 Rentals. Owners shall have the right to rent their homes in accordance with
                      the laws of Yavapai County with a minimum of a six month lease. Owners
                      who are leasing or renting their property have the responsibility to inform
                      their tenant of the Declaration and Regulations. Owners may be held
                      responsible for tenant or guest who are in violation of the documents.

               3.11.3 Improvements and Alterations. No improvements, alterations, repairs,
                      excavation or other work which in any way alters the exterior appearance of
                      any lot, property or structure within American Ranch, shall be performed
                      without prior approval of the American Ranch Architectural Committee
                      (“ARC”). Please review the American Ranch Architectural Rules and
                      Guidelines for specific information relating to changes to the exterior
                      appearance of any lot, property or structure.

               3.11.4 Landscape Maintenance. It is the duty and obligation of each lot Owner to at
                      all times maintain the yard and the landscaping, shrubs, trees, grass and
                      plantings on the Owner’s lot in a weed free, neat and clean condition and
                      repair. Any damage or destruction to the landscaping, shrubs, trees, grass or
                      plantings thereon, which damage or destruction is visible from any
                      neighboring property or the street, shall be promptly repaired. All lots shall be
                      kept free of dead or infested trees and other vegetation and mowed in an
                      attractive manner. No Owner shall permit anything or condition to exist upon
                      any lot that shall induce, breed or harbor infectious plant diseases or noxious
                      insects. No Owner shall remove, alter, injure or interfere in any way with any
                      landscaping, shrubs, trees, grass or plantings on the Common Area.

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3.11.5 Repair of Buildings. No improvements upon any lot, property or structure
                      shall be permitted to fall into disrepair and each such building and structure
                      shall at all times be kept in good condition and repair and adequately painted
                      or otherwise finished.

               3.11.6 Trash Containers and Collection. No garbage or trash shall be placed or kept
                      on any property except in covered containers of a type, size and style which
                      are approved by ARC. At no time shall such containers be stored or
                      maintained so as to be visible from neighboring property or the street except
                      to make available for collection and then for only the shortest time reasonably
                      necessary to effect such collection. Incinerating trash or rubbish of any kind is
                      prohibited on any lot.

               3.11.7 Machinery, Equipment, and Other outside Storage. No machinery or
                      equipment of any kind shall be placed, operated or maintained upon or
                      adjacent to any Lot except as otherwise being utilized for a maintenance or
                      construction of buildings, installation or improvements to landscaping.
                      Personal property other than barbeques and lawn and/or deck furniture may
                      not be stored outside a residence or garage unless totally screened from view
                      from neighboring properties.

               3.11.8 Basketball Goals and Backboards. No basketball hoop, goal or backboard shall
                      be constructed or installed on any Lot without prior written approval of the
                      ARC.

               3.11.9 Playground Equipment. No jungle gyms, swing sets, trampolines or similar
                      playground equipment which would be Visible From Neighboring Property
                      shall be erected or installed on any Lot without the prior written approval of
                      the ARC.

               3.11.10 Lights and Noise. No spotlights, floods lights or other high intensity lighting
                      shall be placed or utilized upon any Lot which in any manner will allow light
                      to be directed or reflected unreasonably upon any other Lot. No radio,
                      television or other speakers or amplifiers shall be installed or operated on any
                      Lot so as to be audible from other Lots, the Common Area or streets.

               3.11.11 Clothes Drying Facilities. Outside clotheslines or other outside facilities for
                       drying, airing or hanging clothes, sheets, blankets or towels shall not be
                       erected, placed or maintained on any Lot or residence.

               3.11.12 Installation and Maintenance of Flags & Flag Poles. Must be submitted and
                       approved by ARC before installation. Please refer to ARC Guidelines for
                       installation requirements.

               3.11.13 Animal Complaint Procedures. The following regulations deal with
                       commonly reported animal related problems but are not meant to be all
                       inclusive. Any written complaint received by the Association or HOAMCO
                       will be dealt with on an individual basis as to the merits of the complaint.

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•    Vicious Dogs/Dog Attacks: Residents are required to immediately
                                      report all incidences of dog attacks to the Prescott Animal Control
                                      and the Yavapai County Sheriff’s Department.

                                 •    Barking Dogs. When a written complaint is received by the
                                      Association or HOAMCO, the complaint shall be directed to seek
                                      the help of the city of Prescott Animal Control department. Upon
                                      presentation of proof that the Animal Control department either
                                      took no action or did not solve the problem, the American Ranch
                                      Compliance Policy may be initiated.

                                 •    If, however, written complaints are received by the Association or
                                      HOAMCO from two or more residents who live in the vicinity of
                                      the home in which the barking dog(s) resides, the Board may direct
                                      that the Compliance Policy be initiated.

               3.11.14 Parking. Overnight parking is NOT PERMITTED on any street in American
                      Ranch. Residents and guests must use the driveway, the garage or an
                      approved designated parking pad on their lot for parking. If daytime on-street
                      parking is necessary because driveway and garage parking is fully utilized,
                      parking is along on one side of the street only with Association approval. The
                      only parking allowed anywhere on a lot is in a garage, in a driveway or on a
                      designated parking pad which has been approved by ARC.

                                 •    RVs may be granted overnight parking from the Association or its
                                      community manager for parking a total of four (4) nights per
                                      month for the purpose of loading, unloading or cleaning, to be
                                      taken one (1) night (24 hours) or two (2) nights (48 hours) periods
                                      at a time (but not consecutively), at the option of the homeowner.
                                      Every effort should be made by the RV owner to park in a
                                      driveway or parking pad on the owner’s or host’s lot, or if that
                                      space is not available on a cul-de-sac, or on a street. In the case of
                                      on-street parking, the RV owner must provide as much clearance
                                      as possible for passing vehicles and acquire a parking pass from
                                      the community manager. RV owners are requested to make a
                                      reasonable effort to minimize RV parking within American Ranch.

               3.11.15 Towing of Vehicles. The Board shall have the right to have any Motor
                      Vehicle, trailer, camper shell, detached camper, boat, boat trailer, horse trailer
                      or similar equipment or vehicle which is parked, kept, maintained,
                      constructed, reconstructed or repaired in violation of the Project Documents
                      towed away at the sole cost and expense of the owner of the vehicle or
                      equipment. Any expense incurred by the Association in connection with the
                      towing of any vehicle or equipment shall be paid to the Association upon
                      demand by the owner of the vehicle or equipment. If the vehicle or equipment
                      is owned by an Owner, any amounts payable to the Association shall be
                      secured by the Assessment Lien, and the Association may enforce collection of

Approved by the Board of Directors – Updated March 2021                                                 9
said amounts in the same manner provided for in this Declaration for the
                          collection of Assessments.

                 3.11.16 Wildfire Protection. Open Burning Restriction. Owners are prohibited from
                        burning any materials on their lot with the exception of burning wood logs in
                        a wood burning unit as approved by the ARC Committee. Open burning of
                        trees, logs, stumps, leaves, grass, brush, or other debris is strictly prohibited.
                        American Ranch and the surrounding National Forest are located in an area
                        subject to extreme fire hazards.

4.0     RANCH HOUSE COMPLEX

The Ranch House Complex has been created to provide a place for resident gatherings to share the
American Ranch lifestyle, and includes the Great Room, the Billiards Room, the Game Room,
Kitchen, Pool, Fitness Center, Children’s Play Area, the Lake, Tennis Courts, Sand Volleyball Area,
and Basketball Court. It is important to respect others who are using any of the areas of the Ranch
House complex. Please note the Ranch House facilities are under 24 hour video camera surveillance.
Failure to comply with the rules or regulations may result in a fine or other significant remedy.

        4.1      Ranch House Rules

                 4.1.1    Facilities hours of operation are from 6 AM - 10 PM, seven days per week.

                 4.1.2    The Community Manager Staff are typically onsite Monday-Friday to provide
                          assistance to owners.

                 4.1.3    During the hours of operation, a controlled access system is available for entry
                          into the Great Room, Billiards Room, Game Room, Fitness Room, and Pool
                          area.

                 4.1.4    Clean up. Please use consideration and clean up personal items after use.

                 4.1.5    Home Theater, Baby Grand Piano/CO feature, sound system programming-
                          please see the Community Manager Staff for special requests.

                 4.1.6    Kitchen - range, oven, microwave, coffee pot, BBQ Grill and other appliances
                          must be properly cleaned and turned off after use.

                 4.1.7    Skateboards, skates, scooters and bicycles may not be ridden under any
                          circumstances on any walkway or porch at the Ranch House, on the tennis
                          courts, sand volleyball area, or in the pool area.

                 4.1.8    Bicycles must be placed in the bike rack when using Ranch house facilities.

                 4.1.9    The Ranch House is Wi-Fi enabled. Please contact Ranch House office staff for
                          further instructions.

                 4.1.10 Smoking is not permitted except outdoors and away from the company of
                        non- smokers.

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4.1.11 All children under the age of 5 must be accompanied by an adult at all times.

               4.1.12 No pets allowed inside facilities (other than Personal Assistance Animals).

               4.1.13 The Member Directory and Ranch facilities may not be used for business
                      solicitation, commercial purposes or political purposes without prior approval
                      of the Board.

      4.2      Regulations for Ranch House Reservations for Resident Gatherings (exclusive
               events). Members of the American Ranch Community Association (ARCA) may
               reserve the Ranch House for private events for the entertainment of relatives and
               friends. Members may not sponsor events for individuals who are not immediate
               family members unless pre-approved by the Board of Directors. The member accepts
               Full Responsibility for any and all actions of those present at the event. The
               sponsoring member must also be present for the entire duration of the event. The
               Ranch House is not permitted to be used for any commercial, for-profit business, or
               political activities without specific approval from the Board of Directors. The Board of
               Directors (BOD) reserves the right to decline rental of the Ranch House to any group,
               organization, association, or member determined to be in non-compliance from a
               previous Facility Use Agreement. A minimum of a forty eight (48) hour notice, during
               business hours, is required to rent the Ranch House.

               4.2.1    All reservations will be on a first-come, first-serve basis.

               4.2.2    In consideration of others living at American Ranch, the Ranch House will
                        only be available for rental two (2) weekend days and two (2) week days per
                        month.

               4.2.3    For large events (over 10 attendees), a proposal is to be submitted to the
                        Management Staff for consideration, including a fully-executed Facility Use
                        Agreement.

               4.2.4    All American Ranch events will be scheduled through the Community
                        Management Staff.

               4.2.5    The Facility Use Agreement, including specific event details, deposits and
                        fees, is to be submitted directly to the Community Manager or Manager’s
                        assistant.

               4.2.6    The following dates are restricted from exclusive rental: Easter, Memorial Day,
                        4th of July, Labor Day, Thanksgiving and Christmas. Non-available dates shall
                        include any of the adjacent days when the holiday date creates a three day
                        weekend.

               4.2.7    The Ranch House facility is rented for exclusive use for a fee of $100.00 per
                        hour, including time for set-up and take-down. Use of the pool and Ramada
                        facilities is open to all ARCA members and guests during regular hours except
                        for rare total facility functions that have prior Board of Director approval.

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Ranch house hours of availability are from 7:00 AM to 10:00 PM. Members
                          renting the facility will make a realistic estimate of the total time for set-up,
                          event and take-down. Payment is required in advance. In addition, a $1,000.00
                          refundable damage and cleaning deposit must be presented together with the
                          rental fee two weeks prior to the event (Check made payable to the American
                          Ranch Community Association). At the time the cleaning deposit and rental
                          fees are collected, the staff and Member will conduct a pre-event walk-
                          through to review event details, inspect the premises for any existing issues or
                          defects, and review post-event cleanup requirements. Post event checklist
                          shall be completed on the day following the event with an AR staff member
                          and must be signed by both member and AR staff. In no event will refundable
                          deposits be dispersed prior to a post event inspection by the AR Manager or
                          designated staff.

                 4.2.8    Following the event, facilities shall be cleaned per the checklist provided to the
                          member at the time of the pre-event walk-through. The facilities must be left
                          in presentable and satisfactory condition suitable for resumption of normal
                          use by the membership. Cleanup must be no more than 12 hours after the
                          event. Furniture or other items brought to the Ranch house for an event shall
                          in all cases be removed no later than 10:00 AM the following day of an
                          evening event (Including Sundays). Day events shall remove additional items
                          prior to leaving the premises. Rental damage deposit will be returned within
                          the week following the event as long as: 1) The facilities are cleaned in a
                          manner satisfactory to AR Manager or designated staff (requiring no
                          additional cleanup); and 2) There are no damages to the facilities, furniture, or
                          equipment as a result of the event and 3) The event is in compliance with the
                          rental agreement.

                 4.2.9    If the facilities are not properly cleaned or there is apparent damage, or the
                          event is found by the BOD to be in non-compliance, the deposit or a portion
                          thereof shall be automatically forfeited and the entire cost for any cleaning or
                          repairs shall be the sole responsibility of the Member who executed the
                          Facility Use Agreement. The Board of Directors reserves the right to charge a
                          Member for damage and loss over and above the cleaning or damage deposit.

                 4.2.10 Non-Compliance violations are as follows:

                                   •    Member Sponsor not present for entire event. (Excludes set-up and
                                        take- down).
                                   •    Misrepresentation of activities on Facility Use Agreement.
                                   •    Significant number of guests in excess of that indicated on Facility
                                        Use Agreement.
                                   •    Damage in excess of $1,000.
                                   •    Law enforcement officials required at event for any reason.

By signing the rental agreement, Member consents to the terms contained herein and agree to abide
by the following additional rules to the Facility Use Agreement:

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4.2.11 No pets or animals are allowed within the Ranch House complex.

                 4.2.12 Member is responsible for providing his/her own cleaning supplies. Only
                        those approved and listed in the clean-up checklist shall be used.

                 4.2.13 Nothing is to be hung or attached to the ceiling fans, lights, chandeliers, or any
                        other fixture.

                 4.2.14 No nails, tacks, tape or staples are to be attached or placed on the walls, wood
                        or wood trim.

                 4.2.15 No glitter or confetti is to be used.

                 4.2.16 No soap, paint, wax or any other materials are to be placed on the glass
                        windows or screens. Any and all event decorations must be reviewed and
                        approved by staff at the pre-event walk-through.

                 4.2.17 Furnishings may not be moved without the express permission of the staff.
                        Any furnishings moved with permission shall be returned to their original
                        position after the event. Personal property left on site after the event shall be
                        held for a period of three days and will be considered abandoned if not picked
                        up within that time frame.

                 4.2.18 Kitchen appliances are to be used for warming only, not for full preparation.
                        The microwave must be cleaned, if used. The range top must be cleaned with
                        a smooth top cleaner provided by the clubhouse.

                 4.2.19 All trash containers and pails must be emptied and all party refuse and trash
                        must be hauled to the dumpster by Member.

                 4.2.20 Member shall be furnished with a cleaning check list and care instructions for
                        all facilities and appointments. Member shall be responsible for cleaning as
                        per the recommended instructions.

                 4.2.21 Dangerous Materials: Member shall not keep or have on the premises any
                        article or item of a dangerous, flammable, or explosive nature that might
                        increase the danger of fire on the leased premises or that might be considered
                        hazardous.

                 4.2.22 Music volume may not be audible on the inside of nearby houses.

5.0     TENNIS COURTS

        5.1      Court reservations are one hour for singles, one and a half hours for doubles.

        5.2      Players may forfeit their court if more than 10 minutes late for their scheduled
                 reservation.

        5.3      Courts may not be available during scheduled events.

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5.4      Pets are not allowed on the courts.

        5.5      Rubber soled shoes required.

        5.6      Skateboards, skates, scooters and bicycles may not be ridden under any
                 circumstances and are not allowed on the courts at any time.

6.0     LAKE

In addition to the beauty provided by the lake at American Ranch it also is a holding reservoir for
recycled water from the “Domestic Water Improvement District”. The lake is the source of water for
irrigation that takes place around the Ranch House Complex.

        6.1      Swimming or wading in the lake is prohibited. This restriction includes dogs.

        6.2      Please ensure all fishing items are removed when fishing is complete. Extra care
                 should be taken to make certain no fishing hooks are left on the property.

        6.3      The lake at American Ranch is a catch and release fishing lake.

7.0     POOL

The pool at American Ranch may have numerous residents simultaneously using the facility. Early
morning and late afternoon will likely be the least crowded.

        7.1      There are no lifeguards at the American Ranch pool, therefore owners and their
                 guests use the pool and facilities at their own risk. Members may not have more than
                 5 pool guests per lot. Exceptions may be granted by the Community Manager for a
                 limited number of immediate family members.

        7.2      Jumping the fence may result in suspension of pool privileges.

        7.3      Residents are responsible for the safety of their children and guests.

        7.4      A shower before entering the pool is requested and encouraged.

        7.5      Glass and breakable objects are not allowed in pool area.

        7.6      No running on pool decks.

        7.7      No diving. (Pool depths between 3’- 4’)

        7.8      Open umbrellas must be returned to the closed position before leaving the pool area.

        7.9      Personal items should be stored in lockers. Please bring your own lock. Do not leave
                 items in lockers overnight. They will be place in lost and found if left. Storage is only
                 for use while at the pool. Do not leave locks on lockers if not in the pool area.

  Approved by the Board of Directors – Updated March 2021                                            14
7.10     Over-sized inflatable of floatation devices, including, without limitation, automobile
                 inner tubes, surfboard, and floating chairs, are not permitted in the swimming pool.

        7.11     Food and beverage (no chewing gum) is allowed in designated areas.

        7.12     Smoking is not permitted at the pool area.

        7.13     No pets are allowed inside the pool or pool house area.

        7.14     Those who are not toilet trained or who are incontinent must wear diapers designated
                 for swimming purposed while in the water.

        7.15     Children under 14 years of age are not permitted in pool area without a supervising
                 adult (over the age of 17 present).

        7.16     Proper swim attire is required and is not permitted in the Ranch House.

        7.17     Pool hours are from 6:00 A.M. to 10:00 P.M.

        7.18 Pool privileges may be suspended due to violation of any pool area rules.

8.0     FITNESS ROOM

The Fitness Room is a small but well equipped facility for use by Residents at their own risk. Guests
limited to no more than 2 per lot. Hours are from 5:30 am to 10:00 pm.

        8.1      Prior to use, a fully-executed Release Indemnity Agreement must be on file at the AR
                 office.

        8.2      For their safety, children under the age of 5 are not allowed in the Fitness Room.

        8.3      Children from the ages of 6 through 13 must be accompanied by an adult.

        8.4      Please wipe off equipment after use.

        8.5      Use of cardiovascular equipment is limited to 30 minutes when other residents are
                 waiting.

        8.6      Return weights, dumbbells and miscellaneous weight room equipment to their
                 proper place after use.

        8.7      Appropriate attire is required.

        8.8      Room temperature is controlled remotely and decided by a consensus of fitness room
                 users.

        8.9      Fitness room hours are 5:30 a.m. to 10:00 p.m.

  Approved by the Board of Directors – Updated March 2021                                             15
9.0     CHILDREN’S PLAY AREA

The Children’s Play Area at American Ranch is restricted to children 13 years old and under.

        9.1      Parental supervisor is required and residents use this facility at their own risk.

        9.2      Please report any “wear and tear” issues to the Community Manager.

10.0    TRAIL RULES

The American Ranch trail map outlines trail uses and restrictions for pedestrians as well as
equestrians. (Attachment II)

        10.1     Walkers, runners, bike riders and horse riders should stay to the right of the trail.

        10.3     AQHA Trail Etiquette - Click here for AQHA Trail Riding Etiquette for Horse and
                 Rider.

        10.6     Motorized vehicles are not allowed on American Ranch trails with the exception of
                 vehicles used by maintenance, landscaping, sanitary district and the Manager, unless
                 you have Manager or Board approval. Horses are allowed only on trails designated as
                 Equestrian Trails on the American Ranch Trail Map.

        10.7     Equestrian animals are only permitted on equestrian approved trails.

        10.10    Residents are welcome to walk their dogs on the Ranch trails provided animal waste
                 is removed and animals are on a leash.

        10.11    Equestrian riders shall use common sense in crowded areas or when encountering
                 another horse, dog, human or wild animal on a trail. (Cantering, galloping and
                 trotting on a crowded trail can endanger everyone.) Please use caution when
                 determining the speed of your horse on the trails.

        10.12    Horses always have the right of way on equestrian trails. Horses are not permitted on
                 non-equestrian trails.

        10.13    Even though horses have the right of way on ALL equestrian trails, not everyone may
                 know this. If you can yield to your neighbors on foot or bicycle then do so. Please
                 remember to be kind and courteous while doing so, yelling or using foul language is
                 not permitted.

        10.14    To avoid accidents, announce your intention to pass other trail users, and reduce
                 speed if you are moving faster than a walk in order to pass safely.

        10.15    We encourage you to carry a cell phone while on the trail in case of an emergency

  Approved by the Board of Directors – Updated March 2021                                                16
11.0    ROADS

American Ranch Roads and the adjacent easement are private and owned by the Community
Association. They are used not only by motorists but also by runners, walkers and bicyclists. In some
areas horses are not allowed because of limited sight as a result of blind curves and hilly conditions.

        11.1     Maximum speed is 25 mph.

        11.2     Members may not accost, waive down, flag down, stop or confront drivers on
                 community roads for any reason. The Association owns the roads. Members have no
                 legal right to use such roads for the purpose of enforcing the governing documents of
                 the Association.

        11.3     Motorists must stay to the right at all times and be alert to blind curves and hilly
                 conditions.

12.0    RANCH CAMP

The Ranch Camp has been created to provide a place for Resident gatherings to share the American
Ranch lifestyle, and includes the Tipi Camp Sites, Tree Forts, Sports Field, Outdoor Grill and Fire Pit,
and Restrooms. It is important to respect others who may be hosting a private event in one of the
areas provided at the Ranch Camp. Dogs are allowed at the Ranch Camp if residents have their pet
on a leash and remove pet waste immediately.

        12.1     Tipi Camp Sites

                 12.1.1 All activities at the Ranch Camp are at your own risk. An American Ranch
                        Release of Liability must be signed and on file prior to use.

                 12.1.2 Tipi camp sites are for everyday use for American Ranch residents.

                 12.1.3 Please call the Ranch office at (928) 777-0561 to reserve a Tipi camp site.

                 12.1.4 Tipi reservation forms must be returned to the Community Manager or
                        Manager's assistant at least two (2) days prior to use.

                 12.1.5 All residents must keep camp sites clean. Please be sure to keep all food
                        inside of durable and sealed containers to avoid attracting animals to your
                        camp site.

                 12.1.6 Use consideration for other campers and residents by keeping music, lights,
                        and fires down or off after 10:00 PM.

                 12.1.7 Children must have parent or adult supervision before entering the Tipis.

                 12.1.8 Music volume may not be audible on the inside of nearby houses.

        12.2     Fire Consent - American Ranch and the surrounding National Forest are located in an
                 area subject to extreme fire hazards.

  Approved by the Board of Directors – Updated March 2021                                             17
12.2.1 Fires - All campfires must be approved by the Central Yavapai County Fire
                        District prior to camping. Call (928)777-0561 for proper paperwork and
                        consent by Community Manager or Manager's assistant.

                 12.2.2 All restrictions by the Forest Service or Fire Department will be adhered to at
                        the Ranch Camp.

                 12.2.3 All fires must be completely out after use. Water is available at the Ranch
                        Camp standpipes.

                 12.2.4 Children must be supervised by an adult at all times around campfires.

                 12.2.5 Campfires are limited to fire pits only for warming fires and cooking.

        12.3     Sports Field - Sports field may be reserved for group use. Please check schedules for
                 planned community events by calling (928) 777-0561.

        12.4     Tree Forts - Tree forts are for the enjoyment of residents and their children and
                 guests. Use of the tree forts is at your own risk.

        12.5     Restrooms - Please leave restrooms as clean as possible. If the restrooms need
                 attention, please call the Ranch office at (928) 777-0561.

13.0    COMMUNITY GARDEN

The Community Garden at American Ranch is regulated by residents who have garden plots.

        13.1     The community garden is for use by American Ranch Property Owners only.

        13.2     A fee of $75 is required to help cover consumable garden expenses.

        13.3     Something is to be planted in a garden plot by May 15th and will be planted all
                 summer long.

        13.4     If a member must abandon a plot for any reason, they will notify Management.

        13.5     Weeds will be kept at a minimum and the areas immediately surrounding the
                 member plot if any will be maintained.

        13.6     If a member plot becomes unkempt, member understands they will be given one
                 weeks’ notice to clean it up. At that time, it will be re-assigned or tilled in.

        13.7     Trash and litter will be kept out of the plot, as well as from adjacent pathways and
                 fences.

        13.8     The fall cleanup of the garden will be supported by all garden members.

        13.9     Tall crops will be planted only where they will not shade neighboring plots.

  Approved by the Board of Directors – Updated March 2021                                         18
13.10    Member will pick only own crops unless given permission by another plot user.

        13.11    Fertilizers, insecticides, weed repellents or chemicals not certified as organic will not
                 be used.

        13.12    Member agrees to volunteer hours toward community gardening efforts.

        13.13    Pets are not to enter the garden.

        13.14    Member is responsible for all garden costs, including seeds, fertilizer, mulch etc.
                 Irrigation will be managed by the Association and will be the Member’s responsibility
                 inside of the bed. Do not change or touch irrigation timers.

        13.15    Member understands that neither the garden group nor owners of the land are
                 responsible for member actions. Member therefore agrees to hold harmless the
                 garden group and owners of the land for any liability, damage, loss or claim that
                 occurs in connection with use of the garden by member or any member guests.

14.0    EQUESTRIAN CENTER
Equestrian Center Rules and Regulations may restrict and govern the use of the Equestrian Center
Amenities by any Member, Occupant, Boarder or Resident; provided, however, that the Equestrian
Center Rules and Regulations shall not be inconsistent with CC&R’s, the Articles or the Bylaws.
Upon adoption, the Equestrian Center Rules and Regulations shall have the same force and effect as
if they were set forth in and were a part of the Declaration of Covenants, Conditions, Restrictions,
Reservations and Easements for American Ranch Community Association.

It is the guiding principle of the American Ranch Equestrian Center that horses are treated with
kindness. Gentle and humane treatment of horses is the primary concern of our staff and this policy
will be enforced at all times. For purposes of these Rules and Regulations, all capitalized terms have
the meaning as defined in the Association’s Declaration and Boarding Agreement unless otherwise
defined herein.

Furthermore, it is the policy of the American Ranch Equestrian Center to create and maintain an
environment free of harassment. The Association will not tolerate hostility or favoritism toward an
individual based on race, color, creed, sex, national origin or age. Furthermore, the Association will
not tolerate hostility toward any individual.

        14.1     The Equestrian Center is for the exclusive use of ARCA Members and Residents in
                 good standing, Boarders in good standing, and guests of those Members, Residents,
                 and Boarders when accompanied by the Member, Resident, or Boarder. Unless
                 specifically approved by the Manager, no one else is permitted at the Equestrian
                 Center.

        14.2     Members, Residents, and Boarders are responsible for the conduct of their guests
                 while at the Equestrian Center and Association property. Members, Residents, and
                 Boarders are responsible for ensuring their guests comply with these Rules and

  Approved by the Board of Directors – Updated March 2021                                            19
Regulations. Any guest’s violation of these Rules and Regulations will be imputed to
               the Member, Resident, or Boarder.

      14.3     The horse owner(s) (“Owner”) understands that the Equestrian Center is to be a
               suitable place for the entire family of all horse owners and that no belligerent,
               malicious, vulgar, profane, or otherwise objectionable conduct or language will be
               tolerated.

      14.4     Each User must sign a Release of Liability on their first ride or visit to American
               Ranch Equestrian Center and this Release must be on file with the Manager prior to
               using American Ranch equipment or facilities. Liability Waivers must be re-executed
               on an annual basis for ongoing Equestrian Center Users.

      14.5     All Boarders must have signed and have in full force and affect the most current
               version of a Boarding Agreement. An Owner who fails to sign the most current
               version of a Boarding Agreement within 15 days of receipt will not be allowed to
               board the horse. If an Owner is currently a Boarder, failure to sign the current
               Boarding Agreement will be deemed a violation of these Rules and Regulations.

      14.6     When visiting the Equestrian Center, please remember horses are sensitive to loud
               noises. No shouting, yelling or running in the facility.

      14.7     No bicycles, motorcycles, scooters, Segway’s or off-road vehicles are allowed inside
               the barns. Exception will be made for barn management’s equipment.

      14.8     No children under 14 are allowed inside the Barns without adult supervision.
               Children of Boarders may enter the barns; however, Boarder accepts full
               responsibility for their minors.

      14.9     Keep young children in hand at all times! They can easily frighten the horses and
               create dangerous conditions for themselves and the animals.

      14.10    Use of the Hot Walkers and Round Pen is limited to 30 minutes and Turnouts are
               normally shared but are limited to 30 minutes. Owners must remain with their horses
               while the horses are in the Hot Walker or in the Round Pen. Horses turned out by
               staff will be turned out in a designated turnout based off of the need for the day. A
               sign will be posted while the turnout is in use by staff; please do not use the turnout
               when the sign is posted.

      14.11    Users must remain at the equestrian center while their horse(s) is turned out.

      14.12    The round pen is not permitted to be used as a turnout at any time.

      14.13    The covered arena is not to be used as a turnout.

      14.14    No tying or hanging anything over the pipes over the stalls.

      14.15    No User or User’s agent shall feed, turn-out, walk, work, ride, saddle, injure, whip,
               harass, or otherwise use or interact with any other horse, at the Equestrian Center

Approved by the Board of Directors – Updated March 2021                                          20
without permission of Equestrian Center or that horse's owner. Written permission
               may be required.
      14.16    Horses must not be loose at the Equestrian Center.

      14.17    Horses must be controlled at all times by reins or by halter with attached lead rope
               when walking in the Equestrian Center Barn areas and when walking to the Wash
               Rack. Over neck lead ropes are not an acceptable means of control, but may be used
               as a temporary means of control before a halter is placed on the horse.

   14.18       Horses must not be left unattended at the Wash Racks or Cross Ties.

   14.19       Remove your horse’s manure after using Cross Ties and Wash Racks.

   14.20       Do not tie horses to the stall bars, sliding stall doors or inside the arena fence, as this
               is dangerous.

   14.21       Non-Boarders may participate in lessons and other activities at the Equestrian Center
               when accompanied by a Member, Resident, Boarder, or when invited by the
               Manager. The Manager may ask any non-Boarder to leave the Equestrian Center at
               any time.

   14.22       All riders are encouraged to wear Helmets. Riders who choose not to wear Helmets
               must sign a Helmet Waiver.

   14.23       Helmets must be worn by riders when jumping.

   14.24       No Boarder is permitted to hire an outside contractor for stall cleaning, feeding or
               grooming.

   14.25       Children under 14 years of age are required to wear a Safety Helmet when riding at
               American Ranch.

   14.26       Please contact the Manager or the Assistant Manager with any problems pertaining to
               your horse’s stall or feed. Do not interfere with the responsibilities or duties of the
               staff.

   14.27       American Ranch is not responsible for missing items. To report a missing item,
               contact the onsite Administrator (928) 777-0561. Personal articles found by staff will
               be held in the office for one month and will be donated thereafter.

   14.28       Dogs shall be on a leash at all times.

   14.29       Equestrian Center hours are between 6:00 a.m. and 10:00 p.m. every day. Access is
               limited to that time period unless emergency circumstances (such as a sick horse that
               is being boarded in the Equestrian Center) require otherwise. To be allowed access
               anytime between 10:00 p.m. and 6:00 a.m., an Owner must receive prior written
               approval from Equestrian Center staff, and the reason for such access must be an
               emergency. Lights in the covered arena are available until 10:00 p.m.

Approved by the Board of Directors – Updated March 2021                                              21
14.30       Smoking is not permitted at the Equine Center. Smoking is only allowed in an
               Owner’s personal vehicle.

   14.31       All Members shall refrain from harassing other members, Board members,
               management staff, and contractors of the Association. Members shall not in any way
               harass, threaten, or otherwise attempt to intimidate any Member, Board member,
               management staff, or contractors of the Association.

   14.32       All Members, Residents, and Boarders shall show respect to fellow Members,
               Residents, and Boarders, Board members, and management staff.

   14.33       All Members shall refrain from interfering with the duties of Board members,
               management staff and contractors of the Association. No Owner shall interfere with
               the duties of the management staff or any contractor performing a contract in process.
               All communications with contractors must go through the President of the Board or
               management, or must otherwise be in accordance with Board policy.

   14.34       All Members, Residents, and Boarders shall report any inappropriate and
               discourteous conduct, or conduct to be believed to be in violation of this Policy,
               according to procedures established by the Association.

   14.35       Boarders or Residents are not allowed to take hay from the hay barn or from the
               Ranger.

   14.36       Boarders or Residents are not permitted in the hay barn without Manager approval.

   14.37       Resident Owners in violation of these Rules shall be subject to the Compliance
               Procedures set forth in the American Ranch Rules, Regulations, Policies and/or
               termination of the Boarding Agreement, if applicable.

   14.38       Upon termination of the boarding agreement, by either party, the Owner shall pay all
               expenses due and owing, including any fines, and remove the Horse from the
               Equestrian Center. All unpaid balances as of the termination date will constitute a
               lien as allowed by this agreement, Section U. If the Owner fails to remove the Horse
               or has failed to pay all amounts owing by the termination date, the Association may
               elect to retain the Horse, in which case the Owner will be charged a Special Use Fee of
               $20.00 per day intended to cover the costs of Basic Services. A fine may also be
               charged in addition to the Special Use Fee. The Special Use Fees and fines, if any, will
               be considered a lien as allowed by this Agreement, Section U.

   14.39       All equestrian trainers who use, give instruction, ride their horse for training
               purposes or a student’s horse for training purposes, or train in any way at the Equine
               Center are required to have equine liability insurance. The Association shall be listed
               as an additional insured with adequate liability coverage per the Manager. A copy of
               the liability insurance shall be required and must be given to the Association prior to
               the trainer giving any lessons or riding within the Association.

   14.40       The Equine Lockdown/Quarantine Protocol is recommended by the Association’s
               Veterinarian and/or the Arizona Department of Agriculture. If the potential health

Approved by the Board of Directors – Updated March 2021                                           22
hazard meets the protocol requirements for a lockdown or quarantine it will be
               communicated by the American Ranch Manager to all Members and Boarders of
               American Ranch. All Members and Boarders shall adhere to the lockdown or
               quarantine order whether they are boarding at the Equestrian Center or house their
               horses on their individual lot. If a Member and/or Boarder does not comply, penalties
               can be assessed and future boarding of horses at the Equestrian Center could be
               denied.

                        •    All horse Owners shall be notified of any quarantined animal(s) via e-mail
                             or text.
                        •    Horses that are quarantined are not permitted to use the hot walker, round
                             pen, wash racks, turn outs, or any other shared areas. If your horse needs
                             to be turned out, Management will arrange for a turn out area to be used
                             at agreed upon times and dates.
                        •    Horses that are quarantined will be fed last and stable areas cleaned last
                             by the Equestrian Center staff.
                        •    Only quarantined horse owners or their agents are to handle quarantined
                             horses and neither should handle any other horses at the boarding facility
                             until they have followed a sterilization protocol. See Management for a
                             copy.

      14.41    Equestrian Center Trailer Parking lot is available for Equestrian trailers by reservation
               only through management. Members are required to sign the trailer parking liability
               waiver. Non equestrian trailers are not permitted.

      14.42    Rental for exclusive use of the Covered Arena at the Equestrian Center for ARCA
               Members is $35.00 per hour including time for set up and take down. Maximum
               allowed for rental per day is three (3) hours. In consideration of others living at
               American Ranch, the Covered Arena will only be available for rental four (4) days per
               month.

      14.43    Any and all motorized vehicle(s) for equine activities shall be limited to the Outdoor
               Arena and are prohibited in the Covered Arena. Excluding equipment required for
               use for maintenance of the Covered Arena.

      14.44    The Equestrian Center includes such facilities as boarding stables for horses, corrals,
               storage barns for feed, hay and equipment, equestrian event facilities, offices and
               meeting rooms and living quarters for an Equestrian Center employees. Each owner,
               Lessee and Resident, for himself and his family, invitees and licenses, acknowledges,
               understands and agrees that activities at the Equestrian Center may create noise,
               odors and dust and attract insects associated with horses.

Approved by the Board of Directors – Updated March 2021                                            23
15. COMPLAINT AND VIOLATION PROCESS

The Enforcement Procedures for violations of the American Ranch Community Association
Declaration, the Bylaws, the Rules and Regulations and the other governing documents of the
American Ranch Community Association shall be imposed according to the procedures set forth as
follows:

        15.1    Any Member, Board Member or agent of the Association may file a Complaint against
                another Member for violation of any provision of the Association governing
                documents by such other Member, his family, tenants or guests. A Complaint must be
                in writing, must be signed, dated and must include a description of the alleged
                violation of the community documents and the identity of the alleged violator, if
                known. A Complaint from a Member is considered filed when the written Complaint
                is received (i) by a Member of the Board or a Board Member or (ii) by the
                Association’s management company. A copy or record of all Complaints shall be
                provided to the Board. Any Complaint received by the Association shall be
                forwarded to the Association’s management company, HOAMCO and the Board. In
                all cases where HOAMCO other than the Board receives the Complaint, the recipient
                thereof shall forward a copy of management company the Complaint to the Board.
                Upon its receipt of a Complaint, HOAMCO shall take the following action (i)
                immediately if it determines that the complained of situation constitutes an
                emergency requiring immediate action, or (ii) within ten (10) business days of its
                receipt of a Complaint if it determines that the complained of situation does not
                constitute an emergency requiring immediate action:

                 15.1.1   Conduct an investigation of the Complaint to confirm that there is reason to
                          believe that the conditions complained about actually exist, and

                 15.1.2 If the management company determines that there is reason to believe that the
                        conditions complained about actually exist, it shall attempt to contact the
                        Member and try to resolve the Complaint informally.

                 15.1.3    If the violation is informally resolved, HOAMCO shall document in writing
                          for the related Member file what the alleged violation was and how the issue
                          was resolved. If HOAMCO is unable to resolve the violation informally, the
                          following enforcement process shall be begun.

        15.2     GENERAL: These Enforcement Procedures are intended as a guideline for the
                 Association. Excepting only the amounts set forth in the Fine Schedule as to any
                 particular violation by a Member, the Board retains the right to vary the enforcement
                 process when it in its sole discretion determines that any such variance is appropriate.
                 The Board further retains the right to amend or replace all or any portion of these
                 Enforcement Procedures. The assessment of fines by the Association does not relieve
                 the Member from the obligation to correct the violations or comply with Association
                 governing documents. These Enforcement Procedures and the remedies set forth
                 herein do not constitute an election of remedies by the Association which reserves all
                 such remedies available at law and in equity. The Association shall have the right to
                 enforce the Association governing documents through any other remedies available

  Approved by the Board of Directors – Updated March 2021                                           24
to the Association, including court action, concurrently with the Enforcement
               Procedures set forth herein.

      15.3      COURTESY NOTICE (First Notice): In the event that HOAMCO or its agent
               determines that a violation of the Association’s governing documents exists and such
               violation is not informally resolved, a written Courtesy Notice may be sent by first
               class mail to the Member at the mailing address as it appears on the records of the
               Association at the time of notice. No fine will be imposed with this notice. Consistent
               with Arizona law as may be amended, the Courtesy Notice shall include at a
               minimum the following information:

                        •    The provision of the governing documents that has allegedly been
                             violated.
                        •    The date of the violation or the date the violation was observed.
                        •    The first and last name of the person or persons who observed the
                             violation.
                        •    The date by which the violation must be corrected (21 calendar days).
                        •    A description of the process the Member must follow to contest the
                             courtesy notice.
                        •    Notice of the Member’s right to petition for an administrative hearing with
                             the Arizona Department of Real Estate pursuant to A.R.S. § 32-2199.01.
                        •    Notice of possible suspension of amenities cards and/or specific areas
                             of the community if violation continues.

      15.4     VIOLATION NOTICE (Second Notice): If the violation is not corrected within the
               period set forth in the Courtesy Notice, a Violation Notice may be sent to the Member
               via first class mail. The Violation Notice shall include at a minimum the following
               information:

                        •    The provision of the governing documents that has been violated.
                        •    The date of the violation or the date the violation was observed.
                        •    The date of any Courtesy Notice.
                        •    The date by which the violation must be corrected (10 calendar days).
                        •    A description of the process the Member must follow to contest the
                             violation notice.
                        •    The right of the Member to petition for an administrative hearing on the
                             violation in the Arizona Department of Real Estate pursuant to Arizona
                             Revised Statutes § 32- 2199.01.
                        •    Notice that a fine in an amount to be determined in accordance with the
                             Fine Schedule may be imposed for failure to correct the violation by the
                             required deadline.
                        •    Suspension of amenities cards and/or specific areas of the community.

      15.5     FINE NOTICE (Third Notice): Depending on the violation, the Board in its sole
               discretion may determine that a Courtesy Notice and/or a Violation Notice
               will not be sent to the Member and may commence the enforcement process

Approved by the Board of Directors – Updated March 2021                                              25
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