VIOLATION PROCEDURE POLICY

First NoticeWritten Notice (Email or Regular Mail) of the violation of the CC&R’s; the remedy necessary and the date by which the remedy must be completed.

Second Notice 7 days later, if an adequate response is not received from homeowner; Certified & Regular Mail notice of the violation of the CC&R’s, the remedy necessary and the date by which the remedy must be completed.

Third Notice7 days after the second notice; notice requiring homeowner to attend a Board Meeting to discuss the specific violation. Meeting to be 30 days after third notice is sent (sent via certified & regular mail)

The Board will diligently work with the homeowner to determine a solution that works for all parties. Within 5 business days of the meeting, the Board will notify the homeowner in writing of their decision including fines for non-compliance.

Per the Rivers End HOA “AMENDMENT TO COVENANTS, CONDITIONS AND RESTRICTIONS FOR RIVERS END SUBDIVISION, RIVERS END SUBDIVISION NO. 2 AND RIVERS END SUBDIVISION NO. 3:

“This Amendment modifies the RIVERS END CC&R’s, RIVERS END 2 CC&R’s, and RIVERS END 3 CC&R’s as follows:

  1. ASSESSMENTS AND FINES
  1. Article 8 entitled “Assessments” is hereby modified to read “Assessments and Fines.”
  2. Article 8, Assessments and Fines, is hereby amended by the addition of the following new provision:

8.4 Limited Assessments and Fines. In addition to the above provisions with respect to Regular and Special Assessments, the Board may levy a Limited Assessment and/or a Fine against a Member. Limited Assessments and Fines may be enforced through the same procedure applicable to any Assessment under these CC&R’s.

8.4.1 A Limited Assessment is an assessment levied by the Association on one or more Lots for the purpose of securing payment by the Owner thereof of amounts expended by the Association to correct a condition of the Lot in violation of the CC&R’s that the Owner has failed to cure or for the purpose of paying costs and expenses benefitting less than all Owners in the Property. The amount of any such assessment may include any costs of collection incurred by the Association, such as attorneys’ fees and other administrative costs.

8.4.2 A Fine is a penalty for the Member’s failure to bring either the improvements or uses on the Member’s Lot into compliance with the provisions of the Declaration or other rules, regulations, policies and procedures adopted by the Board as part of the governing instruments for Rivers End Subdivision and No. 2 and No. 3.

8.4.2.1 The Board shall develop and adopt a Fine Assessment Procedure that conforms to the requirements of Idaho law, and in particular, the requirements of Idaho Code § 55-115(2). In the event that any further amendments are

made to Idaho law with respect to the Association’s authority to levy and collect fines, the Board may adopt rules, regulations, policies and procedures to conform to such amendments without further amendment to the CC&R’s.

8.4.2.2 The Board may assess a Fine in such sum as the Board may deem reasonable, appropriate and necessary for the proper enforcement of the CC&R’s per day, for each day that a Member is in violation of any provision of the CC&Rs and/or the condition of the Member’s Lot is not in compliance with the requirements of the CC&R’s. The Fine amounts fixed by the Board shall be set out in the Fine Assessment Procedure distributed to all members with notification of each year’s Annual Member’s Meeting. The Board may assess an increased Fine amount for recurring violations.

8.4.2.3 The imposition of a Fine by the Board shall be subject to the following statutory limitation:

(a)A majority vote by the board shall be required prior toimposing any fine on a member for a violation of anycovenants and restrictions pursuant to the rules andregulations of the homeowner's association.

(b)Written notice by personal service or certified mail of themeeting during which such vote is to be taken shall be madeto the member at least thirty (30) days prior to the meeting.

(c)In the event the member begins resolving the violationprior to the meeting, no fine shall be imposed so long as themember continues to consistently address the violation in good faithuntil fully resolved.

(d)No portion of any fine may be used to increase theremuneration of any board member or agent of the board.

8.4.2.4 Notwithstanding the foregoing statutory limitations, if the Member does not show good cause at the meeting referred to above at which the violation and/or non-compliance is addressed, the Board shall have the authority to impose the Fine retroactive to the original date on which the violation occurred and/or noncompliance was to have been corrected as set out in the Notice of Violation and Imposition of Fine to be delivered to the Member as part of the Fine Assessment Procedure.

Please Note: Failure to respond to a Hearing may result in referral for legal action without further notice.

NOTE: Prior to the new law preventing homeowner associations from levying fines if it was not specifically provided for in the association CC&R’s, the board had assessed a $25 per occurrence fine plus an additional $10 per day for non-compliance after the board meeting referred to in the “Third Notice”. These fines are subject to change by a majority vote of the board of directors per 8.4.3.2 (a) above.

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