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HomeMy WebLinkAbout02.07 Binder 1 - Section 8• Declaration of Golf Facilities Development, Construction and Operational Easement • • DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL EASEMENTS THIS DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL EASEMENTS (this "Declaration") is made this day of , 2007, by SPRING VALLEY HOLDINGS, LLC a Delaware limited liability company, whose address is , its successors and assigns forever, a Delaware limited liability company (the "Declarant"). WHEREAS, Declarant is the owner of real property located in Garfield County, Colorado, more specifically described on Exhibit "A" attached hereto and by this reference made a part hereof (the "Golf Course Property"); WHEREAS, Declarant is also the owner of real property located in Garfield County, Colorado, more specifically described on Exhibit "B" attached hereto and by this reference made a part hereof (the "Development Property"); WHEREAS, Declarant desires to develop and construct a residential real estate development, together with associated common areas, streets, roads, and other incidental uses within the Development Property consisting of individual Lots for sale ("Lots") and various common areas (the Lots and common areas collectively referred to as the "Community"); WHEREAS, Declarant has caused to be prepared and recorded that certain Final Plat of Spring Valley Ranch P.U.D. (Phase I), as recorded , 2007 at Reception No. in the Office of the Clerk and Recorder of Garfield County, Colorado, as said Final Plat may be amended from time to time (the "Plat"). WHEREAS, Declarant may, in its sole discretion, develop and construct, or cause to be developed and constructed, golf courses, golf driving range, clubhouse, restaurants, locker room and club facilities, athletic clubs, pools, tennis courts, pro shops, maintenance facilities, offices, conference facilities, commercial facilities, other recreational and community improvements and everything related to or necessary therefore on the Golf Course Property and may, from time to time, in its sole discretion, reconstruct or cause certain improvements and upgrades thereto (collectively the "Golf Course Facilities"); WHEREAS, to facilitate the construction, reconstruction, maintenance, and ongoing operation of the Golf Course Facilities, Declarant desires to create certain easements and to place certain restrictions on the Development Property for the benefit of the Golf Course Property; and WHEREAS, in order to facilitate the construction and future operation of the Community, Declarant desires to create certain easements and to place certain burdens on the Golf Course Property for the benefit of the Development Property; -1- 10313\1\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH,GARFIELD COUNTY, CO NOW, THEREFORE, Declarant does hereby create, grant, and reserve, for the mutual benefit of the Golf Course Property and the Development Property, the following easements, restrictions and obligations: ARTICLE 1 GOLF COURSE TEMPORARY CONSTRUCTION EASEMENTS Declarant hereby burdens the Development Property for the benefit of the Golf Course Property with a temporary non-exclusive easement and right of ingress and egress onto portions of the Development Property for the construction of the improvements described in Sections 1.1 and 12 below as follows: 1.1 Construction of Golf Cart Paths, Utilities and Drainage Features. A non- exclusive temporary construction easement is hereby granted and reserved for the construction of water supply lines, drainage features, irrigation lines, sanitary and storm sewer lines, electric and gas supply tines, telephone lines, cable television lines, other utility service lines, golf cart paths, and other improvements related to and reasonably necessary for the operation and support of the Golf Course Facilities (collectively "Support Facilities") over the Development Property. The easements granted in this Section 1.1 are collectively referred to as the "Support Facilities Construction Easement". 1.2 Construction of Golf Club Support Facilities. A non-exclusive temporary construction easement is hereby granted and reserved for the construction of the Golf Course Facilities and Support Facilities, and all other related improvements under, over, and across portions of the Development Property adjacent to and abutting the Golf Course Property (the "Golf Course Construction Easement"). The Golf Course Construction Easement shall extend for a distance of twenty feet (2O') onto the Development Property from, within and along the common property line (the "Conunon Boundary") between the Development Property and the Golf Course Property. The Golf Course Construction Easement and the Support Facilities Construction Easement are collectively hereinafter referred to as the "Construction Easement". 1.3 Privileges and Obligations. The easement rights created and reserved herein shall include: (a) the right to cut, trim, or remove any trees or other obstructions which may interfere with the construction, reconstruction, maintenance, or operation of the Support Facilities or the Golf Course Facilities, to pile dirt and materials, and to operate equipment on the surface of the land, within the real property burdened by the Construction Easement only during periods of construction of the Golf Course Facilities and Support Facilities; and (b) the right of ingress and egress onto said real property for the purpose of exercising the rights herein granted. All such work in connection with the Construction Easement (including restoration work below) granted and reserved herein shall be done in a good and workmanlike manner, free of all liens, in accordance with all applicable laws and at the owner of the Golf Course Property's sole cost and expense and conducted in such a manner as to prevent injury to person or property. The owner of the Golf Course Property and/or all persons or entities under contract with it shall exercise all reasonable precautions to prevent injury as a result of any open trench and/or construction, -2- 10313%1\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • • maintenance and/or repair of the Golf Course Facilities and Support Facilities, including, but not limited to, barricades. 1.4 Non -Exclusive Rights. The easement rights created and reserved herein shall be non-exclusive and the owner of the Development Property and subsequent owners of residential, commercial or other lots or tracts within the Development Property shall have the right to use the land burdened by said Construction Easement for all purposes not inconsistent with the rights herein conveyed, including, without limitation, the granting of additional easements within the boundaries of the Construction Easement. 1.5 Underground Facilities. All utility services comprising the Support Facilities are to be maintained and kept underground and shall be buried at least twenty-four inches (24") below the surface grade or deeper if required by applicable law or regulation or practice of the applicable utility provider. 1.6 Restoration. The surface of any areas damaged or disturbed during the course of construction shall be restored as near as practicable to the condition existing prior to the construction of such portion of the Golf Course Facilities or Support Facilities, including,. without limitation, ground cover, plantings, roads, sidewalks, irrigation systems, utilities and other improvements promptly after such damage or disturbance has occurred. 1.7 Termination of Temporary Easement. The right to enter onto the Development Property for the purposes described in this Article 1 shall begin as of the date of commencement of construction of such facilities and shall terminate thirty (30) days following the date on which said facilities are placed in service, but in no event later than December 31, 2025. 1.8 Liability During Construction. If the exercise of the rights granted pursuant to this Article 1 results in any damage or destruction to any improvements located on the Development Property, the owner of the Golf Course Property shall, upon receipt of written notice of such damage or destruction, repair or replace the damaged improvements to the condition the same were in prior to such damage or a better condition, within a reasonable period of time following receipt of such notice. Contracts with contractors and sub -contractors governing the construction of Support Facilities or Golf Course Facilities shall include provisions obligating said contractors and sub -contractors to report damage for which they are responsible. ARTICLE 2 TEMPORARY CONSTRUCTION EASEMENTS FOR BENEFIT OF DEVELOPMENT PROPERTY Declarant hereby burdens the Golf Course Property for the benefit of the Development Property with a temporary easement and right of entry onto portions of the Golf Course Property for the construction of the improvements described in Sections 2.1, and 2.2 below as follows: 2.1 Construction of Utilities. A non-exclusive temporary construction easement is hereby granted and reserved for the construction of water supply lines, irrigation lines, sanitary 10313\1\1087701.2 _3 - DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO and storm sewer lines, electric and gas supply lines, telephone lines, cable television lines, and other utility service lines over the Golf Course Property. All such construction shall be conducted so as to minimize impact to the Golf Course Facilities and the play of golf, to the extent reasonably possible. 2.2 Construction of Roadways. A non-exclusive temporary construction easement is hereby granted and reserved for construction activity incidental to the construction of roadways, bridges, culverts, drainage ways, curbs, gutters, sidewalks, and other improvements necessary and incidental to the construction of thereof within the Golf Course Property. Said construction easement shall be thirty feet (30') on each side of all rights-of-way depicted on the Plat, 2.3 Privileges and Obligations. The easement rights created and reserved herein shall include: (a) the right to cut, trim or remove trees or other obstructions which may interfere with the construction, reconstruction, or operation of the utilities or roadways, to pile dirt and materials, and to operate equipment on the surface of the land, within areas burdened by the temporary easement only, during periods of construction of the utilities and roadways; and (b) the right of ingress and egress to the areas burdened by the temporary construction easement for the purpose of exercising the rights herein granted. All such work in connection with the easements (including restoration work below) granted and reserved herein shall be done in a good and workmanlike manner, free of all liens, in accordance with all applicable laws and at the owner of the Development Property's sole cost and expense and conducted in such a manner as to prevent injury to person or property. All such work in connection with temporary easement granted herein shall be conducted in such a manner as to prevent injury to person or property. The owner of the Development Property and/or all persons or entities under contract with it shall exercise all reasonable precautions to prevent injury as a result of any open trench and/or construction, maintenance and/or repair of the utilities and roadways, including, but not limited to barricades. 2.4 Non-Exelusive Rights. The easement rights created and reserved herein shall be non-exclusive and the owner and subsequent owners of the Golf Course Property have the right to use the land within said temporary construction easement tracts for all purposes not inconsistent with the rights herein conveyed, including, without limitation, the right to grant additional easements within the areas of the easements granted herein. 2.5 Underground Facilities. All utility services comprising the utilities are to be maintained and kept underground and shall be buried at least twenty-four inches (24") below the surface grade or deeper if required by applicable law or regulation or practice of the applicable utility provider. 2.6 Restoration. Within a reasonable time after completion of any portion of utilities and/or roadways, any surface areas burdened by the temporary construction easement granted herein shall be restored as near as practicable to the condition existing prior to the construction of such portion of utilities and/or roadways, including, without limitation, ground cover, plantings, roads, sidewalks, and other improvements. -4- I0313\I\1087701,2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • • • • • 2.7 Termination of Temporary Construction Easement. With respect to all or any part of the improvements described in Sections 2.1, 2.2 and 2.33 hereof to be constructed on and after the date of this Declaration, the right to enter upon the Golf Course Property for the purposes described in Section 2.4 hereof shall begin as of the date of commencement of construction of said improvements and shall terminate thirty (30) days following the date on which said improvements are placed in service, but in no event later than December 31, 2025. 2.8 Liability During Construction. If the exercise of the rights granted pursuant to this Article 2 results in any damage or destruction to any improvements located on the Golf Course Property, the owner of the Development Property shall, upon receipt of written notice of such damage or destruction, repair or replace the damaged improvements to the condition the same were in prior to such damage or a better condition within a reasonable period of time following receipt of such notice. Contracts with contractors and sub -contractors governing the construction of any such improvements shall include provisions obligating said contractors and subcontractors to repair damage for which they are responsible in accordance with this Section 2.8. ARTICLE 3 GOLF COURSE PERMANENT EASEMENTS Declarant hereby creates and reserves for the mutual benefit of the Golf Course Property and the Development Property, the following non-exclusive permanent easements: 3.1 Utility Easements. Upon the completion of construction of the Support Facilities, a permanent non-exclusive utility easement shall be deemed created and reserved over the Development Property for the benefit of the Golf Course Property for each utility service line constructed ("Utility Easements") for the perpetual maintenance, repair, replacement and reconstruction of the Support Facilities. It is expressly agreed and understood that such Utility Easements are non-exclusive and that the Declarant, its successors and assigns shall have the right to dedicate such Utility Easements to the appropriate public utility companies. Said Utility Easements shall be twenty-two feet (2T) wide with eleven feet (11') on each side of the centerline of said Utility Easement. None of these utility service lines shall be located outside the utility easements defined in any applicable final plat. 3.2 Easements for Water, Irrigation and Drainage Features. Certain lakes, ponds, and other nonpotable water impoundment structures, streams, creeks, irrigation ditches, ditch laterals, drainage easements and other water delivery and drainage features ("Water Features") shall be constructed, operated and maintained by Declarant or the owner of the Golf Course Property, their successor and/or assigns, upon the Development Property. The location of these Water Features will be determined by Declarant, in Declarant's sole discretion, in the future and may be set forth on subsequent plats for the Development Property. Declarant hereby grants and reserves permanent non-exclusive easements on the Development Property for the benefit of the Golf Course Property for the location, construction, reconstruction, repair, replacement, improvement, and ongoing operation of existing and future Water Features on the Development Property. Said easements for the Water Features shall be permanent, perpetual, non-exclusive 10313\111087701.2 -5- DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO easements. The location and nature of the Water Features shall not unreasonably interfere with the development and operation of the Development Property. 3.3 Ingress!ERress Easement. A non-exclusive permanent easement is hereby granted and reserved for the benefit of the Golf Course Property for ingress and egress over, under, across, and through: (a) any security gates or other entry -way facilities located on any street or roadway rights-of-way within the Development Property; and (b) those streets, roads, and rights-of-way, now or hereinafter existing on the Development Property, necessary to allow access to the Golf Course Facilities to and from adjacent public rights of way to the Development Property for the benefit of the owner of the Golf Course Property, and its employees, tenants, independent contractors, agents, licensees, and all members, patrons, guests, and invitees of the Golf Course Facilities (collectively, the "Club Users"). The Club Users shall have the right to proceed through any such security gate or similar security device without interference or restriction and in no event shall the Club Users or Golf Course Property owner be required to pay any fee or charge for ingress or egress over and across the Development Property. Notwithstanding the foregoing, Declarant and/or the owner and maintainer of streets, roads and rights-of-way may restrict access to (i) any road that is under construction, (ii) any road that, though completed, is not generally open to the public because it is being used as access for construction vehicles, and (iii) any road that is designed for limited emergency access or maintenance access, rather than for general public access, on the conditions that (A) Club Users may still access the Golf Course Property over other roads, and (B) such restrictions do not prevent sequential access between holes on the Golf Course Property. 3.4 Golf Cart Paths. A non-exclusive easement is hereby granted and reserved for the benefit of the Golf Course Property for the purpose of construction, maintenance, repair and replacement of golf cart paths over and across the Development Property designated as "Golf Cart Path Easements" on the Plat to provide ingress and egress by and between portions of the Golf Coarse Property (the "Golf Cart Path Easements"). Declarant shall maintain the Golf Cart Path Easements in a safe and orderly manner. Inclusive within the foregoing grant of Golf Cart Path Easements shall be the right of Declarant to install, replace, maintain and repair directional and safety signage within the Golf Cart Path Easements, as deemed reasonably necessary. Such signage shall be made of materials and of a type as to be reasonably consistent with materials and type of signage utilized for similar purposes on the Development Property and Golf Course Facilities, shall be no larger than reasonably necessary to fulfill their purpose and shall not be located so as to disrupt the view from any Lot. 3.5 Signage. A non-exclusive easement is hereby granted and reserved for the construction, repair, maintenance and replacement of directional and informational signage by the owner of the Golf Course Property within the Development Property along the roads, streets and right-of-ways located therein, and within any area depicted on the Plat for the purpose of directing the Club Users to the Support Facilities and the Golf Course Property. Such signage shall be constructed of materials and of a type of signage utilized for similar purposes on the Development Property and Golf Course Property. All signage must comply with any Garfield County sign regulations and all signage shall not interfere with signage utilized for the -6- 1031311\108770L2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH. GARFIELD COUNTY, CO • • Development Property, shall be no larger than reasonably necessary to fulfill their purpose and shall not be located so as to disrupt the view from any Lot. 3.6 Golf Course Plav Easement. There is hereby granted and reserved to Declarant and to the Club Users, a non-exclusive easement over and across the Development Property for the benefit of the Golf Course Property for the following purposes: (a) Retrieval of Golf Balls. Retrieval of golf balls, including the right to enter on the Development Property and any Lot or tract created thereon, for said purpose, provided the right to retrieve golf balls shall only extend to portions of the Development Property or lots which are not enclosed by habitable structures or not behind any wall or fence, and the person retrieving the golf ball shall do so in a reasonable manner with due regard for the privacy of the occupant of the Lot, and shall repair any damage caused by entry onto the Development Property or lot to retrieve the golf ball; (b) Flight of Golf Balis. Flight of golf balls over, across, and upon the Development Property; (c) Golf Activities. Doing of every act reasonably necessary and incidental to the playing of golf and other recreational activities on the Golf Course Property, including, but not limited to, the operation and lighting of facilities located within the Golf Course Property for operation of tennis, swimming, driving range, and golf practice facilities during hours of darkness and the generation of usual and common noise levels associated with such recreational activities; (d) Noise. Generation of noise related to the normal maintenance and operation of the Golf Course Facilities, including, but not limited to, the operation of mowing and spraying equipment, which may occur from early morning until late evening; (e) Spraying. Over -spray of herbicides, fungicides, pesticides, fertilizers, and water over portions of the Development Property located adjacent to the Golf Course Property. 3.7 Golf Course Open Space Easement. A permanent non-exclusive easement is hereby granted and reserved in, on, upon, over, and through all areas designated as Open Space on the Final Plat or on any recorded future final plat of any portion of the Development Property (the "Golf Course Open Space Easement"). The Golf Course Open Space Easement shall include the following rights: (a) Landscaping; Vegetation. The planting, replacement, maintenance, irrigation, repair and removal or trimming of vegetation, the spraying of herbicides, fungicides, pesticides, insecticides and fertilizers and all other activities necessary for the maintenance and operation of the Golf Course Facilities, including the generation of noise related to the normal maintenance and operation of the Golf Course Facilities, including landscaping; (b) Tournaments; Events. The right to utilize the Golf Course Open Space Easement as an area for observation by tournament galleries, and the further right to utilize the I0313111108770 i .2 -7- DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO Golf Course Open Space Easement for the installation of temporary above -ground utility lines for use solely in conjunction with tournaments and special events conducted on the Golf Course Facilities. Any installations made in connection with this grant of easement set forth in this subsection shall be removed by the owner of the Golf Course Property and all damage repaired promptly upon conclusion of each such tournament or special event; and (c) Structures. The right to landscape and make use of the Golf Course Open Space Easement as set forth in this section shall be non-exclusive to the owner of the Golf Course Property and the Club Users. The owner of the Golf Course Property shall erect no permanent structures or other permanent improvements in or upon the Golf Course Open Space Easement except for landscaping as provided herein and except for construction and maintenance of "out-of-bounds" markers or other signs or markers normally associated with the playing of the game of golf. 3.8 Damage by Errant Golf Balls. Declarant, for itself and each and every subsequent owner of portions of the Development Property, hereby acknowledges and agrees that the existence of a golf course on the Golf Course Property is beneficial and highly desirable for owners of real property within the Development Property. As a consequence of owning or acquiring title to all of any part of the Development Property each such owner acknowledges and agrees that the Development Property, including, without limitation, portions of the Development Property located adjacent to the Golf Course Property, is subject to the risk of damage or injury due to the flight and impact of errant golf balls. Each such owner, his successors and assigns, hereby assumes the risk of such damage and injury and hereby waives any and all claims against Declarant, Declarant, and each of their successors and assigns, for any and all liability for damage or injury caused by the flight, impact, or retrieval of errant golf balls in or around the Development Property, and hereby releases Declarant, Declarant, and each of their successors and assigns, from any and all claims, actions, costs or liability arising from any damage or injury caused, directly or indirectly, by golf balls flying, landing, hitting or resting in or around the Development Property or the retrieval thereof. The foregoing release and waiver shall pass with title to each portion of the Development Property, and once any owner of land within the Development Property has conveyed title to his, her, or its portion of the Development Property, the release and waiver ceases as of the date of the recording of such conveyance for all subsequent occurrences and passes thereafter to the new owner. Nothing contained herein shall be deemed to limit liability of any individual golfer who strikes an errant golf ball for any damages he or she has caused. 3.9 Operation and Maintenance. The owner of the Golf Course Property Declarant and its agents, employees, contractors, representatives, successors and assigns (collectively, "Golf Course Owner's Representatives") shall be permitted to use, maintain and operate the Golf Course Property, even if the same reasonably causes noise or temporary or incidental physical intrusions or nuisances into, over or upon the Development. Property, including, but not limited to, the operation of mowing and spraying equipment, the sprinkling of water and other irrigation, the over -spraying or laying of fertilizer, pesticides, fungicides, and herbicides, the collection of garbage or making of deliveries, the use of any clubhouse or other amenities or facilities for social gatherings, or the illumination of the roads into the Golf Course Property, the -8- 10313\111067701,2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • • • • parking lots, clubhouse, practice putting green, driving range or as otherwise necessary for safety or security, all with no restrictions on the time thereof except that the same shall not violate any applicable governmental regulations and that Golf Course Owner's Representatives shall use reasonable efforts to minimize any such noise or temporary or incidental physical intrusions or nuisances to any residents or guests at the Development Property. 3.10 Other Activities Incidental to Operation and Maintenance. Golf Course Owner's Representatives shall be permitted to do every act reasonable, necessary, appropriate or incidental to the use, operation and maintenance of the Golf Course Property, taking into account the customary and reasonable practices with respect to golf course developments adjacent to residential developments and the legitimate interests of the Declarant and the owner of the Development Property, and provided such acts do not constitute the gross negligence or willful misconduct of the owner of the Golf Course Property or Golf Course Owner's Representatives. 3.11 Modification of Golf Course Property. Declarant, for itself and each and every subsequent owner of any portion of the Development Property (including any Lot therein), hereby acknowledges that the owner of the Golf Course Property makes no guaranty or representation that any view over or across the Golf Course Property from the Development Property will be preserved without impairment. The owner of the Golf Course Property has no obligation to prune or thin trees or other landscaping on the Golf Course Property and may at any time add trees and other landscaping to the Golf Course Property. Declarant, for itself and each and every subsequent owner of any portion of the Development Property (including any Lot therein), hereby acknowledges that the owner of the Golf Course Property has no obligation to plant grass, trees, or perform any other landscaping improvements on the Golf Course Property, but may leave it in a natural state, including portions of the Golf Course Property abutting the Development Property, and Declarant or the owner of the Golf Course Property shall not be liable for the appearance thereof or any encroachment of weeds or natural grass onto the Development Property from the Golf Course Property. Declarant also may, at any time, in its discretion, change the location, configuration, size and elevation of the trees, bunkers, fairways, tee boxes, greens, water and other "hazards," and other features of the Golf Course Property, regardless of whether such changes diminish or obstruct the view or appearance from the Development Property. 3.12 Non -Interference. Neither Declarant nor any person claiming by, through or under Declarant, shall unreasonably interfere with or obstruct the normal course of play on the Golf Course or the use and enjoyment of the Easement by the owner of the Golf Course Property or its agents, employees, contractors, representatives, successor or assigns, nor shall Declarant, or any person claiming by, through or under Declarant, construct any building, improvement, fence, wall, curb or other barrier or structure in or on the Development Property which could in any respect unreasonably impair the rights granted under this Declaration to the owner of the Golf Course Property; provided, however, that nothing contained herein shall restrict the use by Declarant or its successors of the portion of any Lot in Declarant's Property designated as the building envelope for construction of a residence and related improvements on such Lot. In addition, Declarant and any person claiming by, through or under Declarant (including the purchaser of any Lot in Declarant's Property) shall use commercially reasonable efforts to avoid 10313\111087701 2 -9- DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY. CO erosion, displacement or deposit of water, dirt, sand or other sediment onto the Golf Course Property from that portion of the Development Property owned by such person or entity, and shall take reasonably prudent steps necessary to avoid interference with the use, enjoyment and operation of the Golf Course Property, including, but not limited to, avoiding any obstruction of access to or from the Golf Course Property and limiting any noise from the development activities. Declarant and each subsequent owner of any portion of the Development Property (including any Lot therein) shall indemnify and hold harmless Declarant from any damages, liability, costs (including reasonable attorneys' fees), liens, personal injury or property damage (excluding consequential damages and lost profits) occurring to or on the Golf Course Property arising out of, relating to or resulting from such person or entity's development, building or construction on any portion of the Development Property owned by such person or entity, including, but not limited to, the costs of repair of the Golf Course Property. Declarant and each subsequent owner of any portion of the Development Property expressly acknowledge and agree that the owner of the Golf Course Property may repair any such damage and the person or entity owning that portion of the Development Property from which the damage was caused shall be liable therefor. Declarant and subsequent owners of any portion of the Development Property (including any Lot therein) shall not change the grade of any portion of property within the Development Property owned by such person or entity in a manner which increases the run-off or discharge onto any portion of the Golf Course Property in any material way. ARTICLE 4 WATER FEATURES 4.1 Water Features. Declarant agrees, for itself and its successors and assigns, that any Water Feature created by Declarant or owner of the Golf Course Property on portions of the Development Property shall be maintained by the owner of the Golf Course Property as provided in this Article 4. 4.2 Maintenance Standard. Water Features shall be repaired and maintained in such manner as to allow each Water Feature to reasonably function in the manner that it was intended to function. Generally, water shall flow through the Water Feature in a reasonable manner and debris and other foreign materials shall not be allowed to dam or obstruct, in a substantial manner, the flow of water. Ponds or lakes comprising a part of the Water Features shall be maintained such that vegetation shall not be allowed to spread over the surface of such body of water. 4.3 Maintenance and Repair. All costs and expenses associated with construction, reconstruction, repair, maintenance and/or operation of the Water Features shall be paid for by the owner of the Golf Course Property. If any of the Water Features shall require dredging or cleaning to remove sediment or soil arising from runoff or erosion, or damage due to construction activities on the Development Property, the owner of the Golf Course Property shall be responsible for the full costs of such cleaning or removal. Notwithstanding the foregoing, contracts governing construction work on the Development Property shall include provisions obligating contractors and sub -contractors to minimize soil erosion and the generation of such -"10- 1031311\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • • sediment and to pay the full cost of any such cleaning and removal resulting from their violation 41, of such provisions. • • 4.4 Liability. Notwithstanding anything contained herein to the contrary, the owner of the Golf Course Property, its successors and assigns, shall not be liable to the owners of lots, areas, or tracts within the Development Property, for any damage, loss, injury, or costs of expenses, arising from or in any way connected to any damage or injury caused by flooding, rising water, or standing water in connection with the Water Features, unless such damage, loss or injury is directly caused by the willful misconduct or gross negligence of the owner of the Golf Course Property, its successors or assigns, in connection with its repair and maintenance obligations contained herein. Notwithstanding anything contained herein to the contrary, Declarant shall not be required and shall have no duty to install or maintain any type of safety device, railings, warning signs or any type of facility to prevent access to or from the Water Features. 4.5 Drainage Plan. All drainage control structures or Water Features constructed by owner of the Golf Course Property on any portion of the Development Property shall be constructed, operated, and maintained in accordance with any existing or future drainage plan of the Development Property prepared by Declarant. 4.6 Failure to Maintain. In the event owner of the Golf Course Property shall fail to maintain the Water Features in accordance with the standards and provisions contained herein, or as otherwise provided in any drainage plan, the owner of the Development Property on which the Water Feature is constructed shall have the right, after giving written notice of default to owner of the Golf Course Property and its failure to cure such default within ninety (90) days thereafter, in addition to any other rights provided to it herein, to perform any repair or maintenance necessary to maintain the Water Features in accordance with the provisions of this Article 4. The rights of the owner of the Development Property on which the Water Feature is constructed to perform such maintenance and repair activities shall include entrance onto and through the Golf Course Property as reasonably necessary to perform such acts. Owner of the Golf Course Property shall fully reimburse the owner of the Development Property on which the Water Feature is constructed for the cost of such repair or maintenance activities performed on the Water Feature. ARTICLE 5 INSURANCE 5.1 Owner of the Golf Course Property Insurance. Owner of the Golf Course Property shall obtain, keep in force and maintain and cause each of its contractors to obtain, keep in force and maintain, at no cost to Declarant, commercial general liability, combined single limit, bodily injury and property damage and liability insurance (which insurance shall be primary and non-contributing) insuring Declarant and owner of the Golf Course Property against all liability arising out of this Declaration in an amount of not less than $2,000,000 per occurrence and $4,000,000 in the aggregate. Owner of the Golf Course Property also shall obtain, keep in force and maintain a policy or policies of insurance covering loss or damage to 1031311\10877012 -11- DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO the property subject to the easements granted herein, in the amount of the full replacement value thereof against all perils included within the classification of fire, extended coverage, vandalism, malicious mischief, and special extended perils ("all risk" as such term is used in the insurance industry). If the property damage insurance coverage has a deductible clause, the deductible amount shall not exceed $5,000 per occurrence (or five percent (5%) or $500,000 per occurrence, whichever is greater, due to flood or hurricane). All policies required hereunder shall (i) name Declarant and such other parties as Declarant shall require to be named as an additional insured, (ii) contain a waiver of subrogation provision, pursuant to which the insurer(s) waives all expressed and implied rights of subrogation against the named insured and each additional insured and the respective affiliates of each, (iii) name Declarant as loss payee, (iv) shall not be cancelled, lapsed or materially reduced, except where the insurer(s) have provided Declarant at least thirty (30) days advance written notice thereof. In addition, owner of the Golf Course Property shall maintain and cause its contractors to maintain workers' compensation insurance in conformity with applicable state law. The foregoing policies shall all be written by insurance companies licensed to do business in the state in which the Golf Course Property is located and having general policyholder's ratings of at least "A" and a financial. rating of at least "V" or greater in the most current Best's Insurance reports available on the date that the party obtains or renews the insurance policy (or, if such report is no longer published, comparable financial quality of insurance company). Owner of the Golf Course Property and its contractors shall provide before the expiration of any certificates of coverage, up-to-date certificates of such coverage and subsequent renewals or replacement thereof evidencing the above described insurance. Any insurance to be provided hereunder may be effected by a policy or policies of blanket insurance covering additional items or locations or insureds. 5.2 Owner of the Golf Course Property Indemnity. Owner of the Golf Course Property Declarant shall indemnify and hold harmless Declarant from any damages, liability, costs losses and expenses (including reasonable attorneys' fees), liens, personal injury or property damage (excluding consequential damages and lost profits) occurring to or on the Development Property arising out of, relating to or resulting from owner of the Golf Course Property's use of the easements granted to owner of the Golf Course Property in this Declaration or the breach of any representation, warranty or covenant made by owner of the Golf Course Property herein, except to the extent the same was caused by Declarant's negligence, gross negligence or intentional misconduct. ARTICLE 6 ACKNOWLEDGEMENTS, DISCLAIMERS AND WAIVERS 6.1 Notice to Property Owners Within the Development Property. NO OWNER OF ANY PROPERTY OR LOT WITHIN THE DEVELOPMENT PROPERTY SHALL HAVE ANY RIGHTS IN OR TO THE GOLF COURSE PROPERTY, THE GOLF COURSE FACILITATES OR ANY RECREATIONAL ACTIVITIES OCCURRING THEREON, INCLUDING, BUT NOT LIMITED TO, ANY VISUAL OR SIGHT EASEMENT OVER OR ACROSS ANY PORTION OF THE GOLF COURSE PROPERTY, RIGHTS OF MEMBERSHIP IN OR TO THE GOLF COURSE FACILITIES OR RIGHT OF ACCESS TO OR ACROSS THE SAME, UNLESS SUCH RIGHT OR RIGHTS HAVE BEEN GRANTED _12 - 10313\1 \1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY,, CO • • OR CONVEYED IN WRITING BY THE OWNER OF THE GOLF COURSE PROPERTY, ITS SUCCESSORS OR ASSIGNS. 6.2 Acknowledgment, Disclaimer and Waiver. Declarant, for itself and each and every subsequent owner of any portion of the Development Property (including any lot therein), and their successors and assigns, hereby acknowledges and agrees that the configuration of the Golf Course Facilities within the Golf Course Property, and the related conduct of golf course play thereon and therearound, including, but not limited to, fairway routing, numbering, length and width, alignment and location, number of fairways, configuration and location of putting greens and holes, placement of tee box locations, location and placement of fairway hazards, burms and bunkers, nature and location of waterways and landscaping (including, but not limited to, placement of landscaping, fencing and netting intended to reduce hazards associated with golf course play), and golf course signs, lighting and other facilities, improvements and design features are subject to change without notice from time to time at the sole and absolute discretion of owner of the Golf Course Property. DECLARANT AND THE OWNER OF THE GOLF COURSE PROPERTY MAKE ABSOLUTELY NO WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, OR OF ANY OTHER KIND WHATSOEVER, WITH RESPECT TO THE CURRENT, CONTINUED OR FUTURE LOCATION, DESIGN OR CONFIGURATION OF ANY OF THE GOLF COURSE FACILITIES, INCLUDING, BUT NOT LIMITED TO, THE GOLF COURSE FACILITIES DESCRIBED IN THIS SECTION 6.2, INCLUDING, WITHOUT LIMITATION, ANY SUCH FACILITIES LOCATED NEAR OR ADJACENT TO THE DEVELOPMENT PROPERTY. DECLARANT, FOR ITSELF AND EACH AND EVERY SUBSEQUENT OWNER OF ANY ID PORTION OF THE DEVELOPMENT PROPERTY (INCLUDING ANY LOT THEREIN), AND THEIR SUCCESSORS AND ASSIGNS, HEREBY WAIVES, NOW AND FOREVER, ANY CLAIM OR COURSE OF ACTION OF ANY KIND WHATSOEVER NOW OR HEREAFTER ARISING ON ITS BEHALF AGAINST THE DECLARANT, ITS SUCCESSORS AND ASSIGNS, AS A RESULT OF ANY CHANGES IN THE LOCATION, DESIGN AND CONFIGURATION OF ANY SUCH FACILITIES MADE ON OR AFTER THE EFFECTIVE DATE OF THIS DECLARATION. • 6.3 Waiver of Liability; Assumption of Risk. Declarant, for itself and each and every subsequent owner of any portion of the Development Property (including any lot therein), and their successors and assigns, hereby acknowledges and agrees that the existence of a golf course on the Golf Course Property is beneficial and highly desirable; provided, however, each such owner acknowledges and agrees that the Development Property is located near, adjacent to or in the vicinity of the Golf Course Property, and as such, are subject to the inherent risk of purchasing property (including residential property) near, adjacent to or in the vicinity of a golf course. Such inherent risks include, without Limitation, damage or injury to person or property arising out of, related to, or resulting from, the design, construction, operation, maintenance and/or use of the Golf Course Property, noise associated with the Golf Course Property, errant golf balls, golf carts, trespass, negligent acts or omissions of the Club Users and the owner of the Golf Course Property, the service of alcoholic beverages on the Golf Course Property (including the actual golf course), and the existence of water hazards, ditches, ponds and lakes on the Golf Course Property, including seepage therefrom, operation of mowing and spraying equipment, the 1031311\1087741.2 -13- DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO sprinkling of water and other irrigation, the over -spraying of fertilizer, pesticides, fungicides, and herbicides, increased annoyance, traffic and crowds, including during tournaments and other events and other activities incidental to the operation, maintenance and use of the Golf Course (collectively all of the foregoing may be referred to as the "Golf Course Risks"). DECLARANT, FOR ITSELF AND EACH SUBSEQUENT OWNER OF ANY PORTION OF THE DEVELOPMENT (INCLUDING ANY LOT THEREIN), AND THEIR SUCCESSORS AND ASSIGNS, AGREES THAT DECLARANT HAS BEEN WARNED ABOUT THE DANGER OF DAMAGE TO PERSONS AND PROPERTY RESULTING FROM GOLF COURSE RISKS AND WILL CARRY APPROPRIATE INSURANCE (BOTH PROPERTY AND LIABILITY) TO COVER THE RISKS OF SUCH FOREGOING DAMAGE, THAT DECLARANT HAS UNDERTAKEN SUCH ANALYSIS AND STUDY AS NECESSARY TO DETERMINE THE IMPACT OF THE GOLF COURSE RISKS ON THE USE AND ENJOYMENT OF THE DEVELOPMENT PROPERTY, AND HEREBY ASSUMES THE RISK OF DAMAGE AND INJURY FROM THE GOLF COURSE RISKS AND HEREBY RELEASES THE DECLARANT, AND EACH OF THEIR SUCCESSORS AND ASSIGNS, FROM ANY AND ALL LIABILITIES, LOSSES, CLAIMS, DEMANDS FOR COMPENSATION, COSTS, EXPENSES, DAMAGES OR INJURIES, WHETHER PROPERTY DAMAGE, PERSONAL INJURY OR OTHERWISE, ARISING OUT OF, OR RELATED TO OR RESULTING FROM THE GOLF COURSE RISKS. FURTHER, DECLARANT, FOR ITSELF AND EACH SUBSEQUENT OWNER OF ANY PORTION OF THE DEVELOPMENT PROPERTY (INCLUDING ANY LOT THEREIN), AND THEIR SUCCESSORS AND ASSIGNS, AGREES AND COVENANTS NOT TO MAKE ANY CLAIM OR INSTITUTE ANY ACTION WHATSOEVER, INCLUDING, BUT NOT LIMITED TO, AN ACTION FOR NEGLIGENT DESIGN OF THE GOLF COURSE OR THE GOLF COURSE PROPERTY, TRESPASS, NUISANCE, DIMINUTION IN VALUE OF PROPERTY, OR INJUNCTION, AGAINST THE OWNER OF THE GOLF COURSE PROPERTY, THE GOLF COURSE DESIGNERS OR THE GOLF COURSE BUILDERS,. ARISING OUT OF, RELATED TO, OR RESULTING FROM THE GOLF COURSE RISKS. DECLARANT, BY EXECUTING THIS DECLARATION, AND EACH SUBSEQUENT OWNER OF ANY PORTION OF THE DEVELOPMENT PROPERTY (INCLUDING ANY LOT THEREIN), FOR THEIR SUCCESSORS AND ASSIGNS, BY ACQUIRING ANY PORTION OF THE DEVELOPMENT PROPERTY, VOLUNTARILY AND KNOWINGLY RELINQUISHING THE RIGHT TO BRING ANY SUCH ACTION ARISING OUT OF, OR RELATED TO OR RESULTING FROM THE GOLF COURSE RISKS. THESE COVENANTS AND WAIVERS SHALL RUN WITH THE DEVELOPMENT PROPERTY, SHALL BE FOR THE BENEFIT OF DECLARANT AND THE GOLF COURSE AND SHALL BE BINDING UPON ALL SUCCESSIVE OWNERS AND LESSEES OF THE DEVELOPMENT PROPERTY OR ANY PART THEREOF. 6.4 Binding Nature. NOTWITHSTANDING ANYTHING IN THIS DECLARATION TO THE CONTRARY, THE PROVISIONS OF THIS ARTICLE 6 SHALL BE BINDING ON EACH SUBSEQUENT OWNER OF ANY PORTION OF THE DEVELOPMENT PROPERTY, INCLUDING ANY LOT THEREIN. -14- 10313\1v1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • ARTICLE 7 GENERAL PROVISIONS 7.1 Fencing Restrictions. No owner of land within the Development Property shall construct a fence or enclosure located along or next to the Common Boundary without the prior written consent of Declarant and its successors in interest to the Golf Course Property, which may be withheld from any reason or for no reason. This restriction supersedes any fencing standards or rights contained in any Declaration of Covenants, Conditions and Restrictions governing the Development Property (the "CC&Rs"). 7.2 Use of Golf Course Property. Only employees, agents, tenants, independent contractors, contractors, licensees, patrons, invitees, and guests of the Golf Course Property are authorized to use the Golf Course Property. Any cross country skiing, walking, jogging, running, dog walking, use of snowmobiles, ice skating, practicing golf, or other use or entry upon any Golf Course Property by any person is prohibited without the prior written consent of Declarant or Master Association under the CC&Rs, as determined by the CC&Rs. The ownership of any lot, tract or area within the Development Property does not include the grant of any use, right or entitlement in the Golf Course Property. 7.3 Transfer of Development Property. Upon the transfer of the Development Property by Declarant to a third party, all of Declarant's rights, duties and obligations arising under this Declaration as owner of the Development Property shall be deemed transferred and assigned to, and assumed by, such third party, whereupon Declarant's obligations hereunder shall terminate. Declarant shall thereafter no longer have any further liability, obligations or duties arising under this Declaration as a former owner of the Development Property. 7.4 Transfer of Golf Course Property. Upon the transfer of the Golf Course Property by Declarant to a third party, all of Declarant's rights, duties and obligations arising under this Declaration as owner of the Golf Course Property shall be deemed transferred and assigned to, and assumed by, such third party, whereupon Declarant's obligations hereunder shall terminate. Declarant shall thereafter no longer have any further liability, obligations or duties arising under this Declaration as a former owner of the Golf Course Property. 7.5 Duration and Enforceability. Except as otherwise set forth herein, the easements and restrictions set forth in this Declaration shall constitute covenants running with the land in perpetuity, burdening the Development Property and the Golf Course Property and benefiting the Development Property and the Golf Course Property, and shall be binding upon the Declarant, its successors and assigns, including, but not limited to, any property, tract, area or lot owners. 7.6 Persons Entitled to Enforce Declaration. The owner of the Golf Course Property, its successors and assigns, and the owner of the Development Property, its successors and assigns, shall have the right to enforce any and all of the provisions, covenants, conditions, restrictions and equitable servitudes contained within this Declaration. The right of enforcement _15_ 10313\1\108770 .2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO shall include the right to bring an action for actual damages suffered, as well as an action to enjoin any violation of any provision of this Declaration. 7.7 Violations Constitute a Nuisance. Any violation of any provision, covenant, condition, restriction, and equitable servitude contained in this Declaration, whether by act or omission, is hereby declared to be a nuisance and may be enjoined or abated, whether or not relief sought is for negative or affirmative actions, by any person or party, or their successors and assigns, entitled to enforce the provisions of this Declaration. 7.8 Enforcement of Self -Help. Declarant, its successors and assigns, or any authorized agent of either of them, may enforce, by self-help, any of the provisions, covenants, conditions, restrictions and equitable servitudes contained in this Declaration, provided such self- help is preceded by a written notice delivered to the defaulting party, not less than thirty (30) days prior to the exercise of such self-help remedy. 7.9 Remedies Cumulative. Each remedy provided under this Declaration is cumulative and not exclusive. 7.10 Costs and Attorney Fees. If there is any action or proceeding under this Declaration, the prevailing party shall recover its costs and expenses in connection therewith, including reasonable attorneys' fees. 7.11 Liberal Interpretation. The provisions of this Declaration shall be liberally construed as a whole to effectuate the purpose of this Declaration. 7.12 Governing Law. This Declaration shall be construed and governed under the laws of the State of Colorado. 7.13 Severability. Each of the provisions of this Declaration shall be deemed independent and severable, and the invalidity, unenforceability, partial validity or partial enforceability of the provisions or portion thereof shall not affect the validity or enforceability of any other provision. 7.14 Notices. Any notices or other communications required or permitted hereunder to be given to the Declarant shall be sufficiently given if in writing and (a) delivered personally, (b) by overnight mail, or (b) sent by certified mail, return receipt requested, postage prepaid, addressed as shown in the first paragraph of this Declaration, or to such other address as the party concerned may substitute by written notice to the other. All notices personally delivered shall be deemed received on the date of delivery. All notices sent by overnight mail shall be deemed delivered on the first business day after being so sent. All notices forwarded by mail shall be deemed received on a date three (3) business days following date of deposit in the U.S.. mail; provided, however, the return receipt indicating the date upon which all notices were received shall be prima facie evidence that such notices were received on the date on the return receipt. All notices given to owners of any portion of the Development Property (including owners of lots thereon), other than to Declarant, may be given by giving written notice to the Master Association under the CC&Rs. _16 - 10313\1\1087701.2 DECLARATION OF GOLF FACILITES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, Co • • • 7.15 No Dedication. The easements granted herein shall not be deemed to be a gift or dedication of any portion of any property to or for the general public or for any public purposes whatsoever, it being the intention of Declarant that this Declaration shall be strictly limited to and for the purposes herein expressed. 7.16 Captions. The headings and captions used in this Declaration are included for convenience only, and shall be irrelevant to the construction of any provision of this Declaration. 7.17 Amendment. The provisions of this Declaration may be abrogated, modified, rescinded, terminated or amended in whole or in part only by Declarant hereto by a written instrument duly executed and recorded in the real property records of Garfield County, Colorado. 7.18 Estoppel Statement. Declarant agrees that within twenty (20) days after written request from the owner of the Golf Course Property or the Development Property (the "Repuestin; Parte") or the Requesting Party's mortgagee, it shall deliver a written statement which may be relied upon by the Requesting Party or any successor, assignee, transferee, mortgagee or tenant of the Requesting Party, setting forth whether or not the requesting Requesting Party has fully complied with the provisions of this Declaration, and if not, setting forth in reasonable detail the nature of any violations. Failure to deliver such statement within the said twenty (20) day period shall be conclusive evidence against the Declarant failing to deliver such notice (the "Responding Party') that the Requesting Party has fully complied with its obligations under this Declaration, insofar as such obligations affect the Responding Party, as of the date the request was made. 7.19 Recording. Golf Course Declarant, at its cost, shall duly record, or cause to be recorded, this Declaration in the Office of the County Recorder, Garfield County, Colorado. [signature page follows] -17- 103[3\111087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO IN WITNESS WHEREOF, this Declaration is executed this day of , 2007. DECLARANT: SPRING VALLEY HOLDINGS, LLC, a Delaware limited liability company By: Name: Title: STATE OF COLORADO ) ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2007, by , the SPRING VALLEY HOLDINGS, LLC, a Delaware limited liability company. WITNESS my hand and official seal. My Commission expires on: , of Notary Public SIGNATURE PAGE -18 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO • • • EXHIBIT "A" LEGAL DESCRIPTION OF THE GOLF COURSE PROPERTY Club -1 Parcel and OS/G-1 through OS/G-4 Parcels, inclusive, as depicted and described on the Final Plat for Spring Valley Ranch P.U.D. (Phase I), recorded , 2007 at Reception No. in the Office of the Clerk and Recorder of Garfield County, Colorado. 10313\1\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO EXHIBIT "B" LEGAL DESCRIPTION OF THE DEVELOPMENT PROPERTY A parcel of land located in Sections 14, 15, 16, 20, 21, 22, 23, 26, 27, 28, 29, 32, 33, and 34, Township 6 South, Range 88 West, Sixth Principal Meridian being more particularly described as follows: Beginning at the Northwest Corner of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 88°16'08" E 2627.19 feet along the north line of said Section 20 to the North Quarter Corner of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 88°l5'48" E 2625.91 feet along the north line of said Section 20 to the Northeast Corner of said Section 20 being a 2-1/2 inch GLO Brass Cap found in place said corner also being on the west line of said Section 116; thence N 00°00'14" W 2631.77 feet along the west line of said Section 16 to the East Quarter Corner of Section 17, T. 6 S., R. 88 W., 6th P.M. being a 2-1/2 inch GLO Brass Cap found in place; thence N 00°08'04" W 340.70 feet continuing along the west line of said Section 16 to the West Quarter Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 00°01'47" E 1047.99 feet continuing along the west line of said Section 16 to the southwest corner of a parcel of land described in Book 795, Page 980 in the office of the Garfield County Clerk and Recorder; thence the following three courses along the boundary of said parcel described in Book 795, Page 980: 1. thence N 89'1647" E 334.10 feet; 2. thence N 03°35'47" E 252.06 feet; 3. thence N 88°27'52" W 349.87 feet to a point on the west line of said Section 16; thence N 00°01'47" E 977.15 feet along the west line of said Section 16 to the Northeast Corner of said Section 17 being a 2-1/2 inch GLO Brass Cap found in place; thence N 00°01'20" W 344.80 feet continuing along the west line of said Section 16 to the Northwest Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°57'15" E 2703.26 feet along the north line of said Section 16 to the North Quarter Comer of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°57'09" E 2637.87 feet continuing along the north line of said Section 16 to the Northeast Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°58'17" E 2638.56 feet along the north line of said Section 15 to the North Quarter Corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place; thence S 89°59"36" E 1318.31 feet continuing along the north line of said Section 15 to the west line of the NE114NE114 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place whence the northeast corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place bears S 89°59'36" E 1318.3 l feet; thence 5 00°00'09" E 1312.36 feet along the west line of the NE1/4NE1/4 of said Section 15 to the southwest corner of the NE114NE114 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence N 89°55'46" E 1317.67 feet along the south line of the NE114NE114 of said Section 15 to the southeast comer of the NE1/4NE1/4 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence N 00°01'32" E a distance of 1310.58 feet along the west line of said NW 1/4NW 114 to the Northwest Corner of said Section 14 being a 2 -1/2 -inch Government Land Office (GLO) Brass Cap found in place; thence N 89°55'05" E a distance of 1320.66 feet along the north line of said section 14 to the Northeast corner of said NW 114NW 114 of Section 14 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence 5 00°01'34" W a distance of 1312.94 feet along the east line of said NW 114NW 114 to the Southeast corner of said NW 1/4NW 114 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence S 00°01'34" W 1312.94 feet along the east line of the S W 114NW 114 of said Section 14 to the southeast corner of the S W 114NW 114 of said Section 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence 5 00°01'19" E 2647.58 feet along the east line of the W 112SW 114 of said Section 14 to the southeast corner of the W 112SW 114 of said Section 14 being a 2 - inch Aluminum Cap (P.E.L.S. 5933); thence S 89°59'40" E 1318.39 feet along the north line of said Section 23 to the North Quarter Corner of said Section 23 being a 2-1/2 inch GLO Brass Cap found in place; thence S 00°05"23" E 5277.46 feet along the east line of the W1/2 of said Section 23 to the South Quarter Corner of said Section 23 being a 2-1/2 inch GLO Brass Cap found in place; thence S 00°00'49" W 5529.94 feet along the east line of the W1/2 of said Section 26 to the South Quarter Corner of said Section 26 being a 2-1/2 inch GLO Brass Cap found in place; thence S 84°59'30" W 31.37 feet along the south line of said Section 26 to the North Quarter Corner of Section 35, T. 6 S., R. 88 W., 6th P.M., being a 2-1/2 inch GLO Brass Cap found in place; thence S 84°41'15" W 1292.34 feet along the south line of said Section 26 to the southeast corner of Lot 14 of said Section 26 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 00°21'37" E 372.49 feet along the east line of said Lot 14, Section 26 to the northeast corner of said Lot 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 89°53'31" W 1611.72 feet along the DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND GPERATrONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO 10313',1',1087701.2 • • north line of said Lot 14 to the northwest corner of said Lot 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 00"00'14" W 525.17 feet along the west line of said Lot 14 to the Southwest Corner of said Section 26 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89'14'59" W 2647.44 feet along the south line of said Section 27 to the South Quarter Corner of said Section 27 being a 2-112 inch GLO Brass Cap found in place; thence N 89'17'11" W 1319.72 feet along the north line of said Section 34 to the northeast corner of the W 112NW 114 of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S. 5933) whence the Northwest Corner of said Section 34 being a 2 -1/2 -inch GLO Brass Cap found in place bears N 89'17'11" W 1319.72 feet; thence S 00°05'58" E 2466.04 feet along the east line of the W1 2NW1!4 of said Section 34 to the southeast corner of the W 1/2NW L4 of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 89°51'39" W 1389.27 feet along the south line of the W 112NW 114 of said Section 34 to the West Quarter Corner of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88°27'45" W 2511.99 feet along the south line of the NE 1/4 of said Section 33 to the Center Quarter Comer of said Section 33 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 88'27"28" W 1112.41 feet along the south line of Lot 6, of said Section 33 to the southwest corner of said Lot 6 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 01°56'25" E 838.15 feet along the west line of said Lot 6 to the southeast corner of Lot 5 of said Section 33 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 89'14'27" W 1072.10 feet along the south line of said Lot 5 to a point on the northerly right-of-way of Garfield County Road 119; thence the following seventeen courses along the northerly right-of-way of said County Road 119: 1. thence along the arc of a non -tangent curve to the left having a radius of 190.00 feet, and a central angle of 38°53'15" for a distance along the curve of 128.96 feet; the chord of said curve bears N 70°21'49" W a distance of 126.50 feet; 2. thence N 89°4827" W 335.07 feet to a point on the west line of said Section 33 whence the Northwest Corner of said Section 33 being a 3 -inch County Surveyor's Aluminum Cap found in place bears N 01°1421" E [729.72 feet; 3. thence N 89'4827" W 746.63 feet 4. thence along the arc of a curve to the right having a radius of 9975.00 feet, and a central angle of 01'23'23" for a distance along the curve of 241.95 feet; the chord of said curve bears N 89°06'46" W a distance of 241.94 feet; 5. thence N 88°25'04" W 886.82 feet; 6. thence along the arc of a curve to the right having a radius of 30.00 feet, and a central angle of 101°43'17" for a distance along the curve of 53.26 feet; the chord of said curve bears N 3733'26" W a distance of 46.54 feet; 7. thence N 13°18'13" E 1531.48 feet; 8. thence along the arc of a curve to the left having a radius of 715.00 feet, and a central angle of 15'55'12" for a distance along the curve of 198.67 feet; the chord of said curve bears N 05°20'37" E a distance of 198.03 feet to a point on the south line of said Section 29 whence the Southeast Corner of said Section 29 bears S 89°03'23" E 1570.16 feet; 9. thence along the arc of a curve to the left having a radius of 715.00 feet, and a central angle of 29'05'27" for a distance along the curve of 363.03 feet; the chord of said curve bears N 17°09'43" W a distance of 359.14 feet; 10. thence along the arc of a curve to the left having a radius of 1853.11 feet, and a central angle of 14'56'46" for a distance along the curve of 483.40 feet; the chord of said curve bears N 39°10'49" W a distance of 482.03 feet; 11. thence N 46°39'12" W 512.11 feet; 12. thence along the arc of a curve to the left having a radius of 544.29 feet, and a central angle of 29'19'12" for a distance along the curve of 278.53 feet; the chord of said curve bears N 61'18'49" W a distance of 275.50 feet; 13. thence N 75°58'25" W 274.72 feet; 14. thence along the arc of a curve to the right having a radius of 777,56 feet, and a central angle of 10°01'45" for a distance along the curve of 136.11 feet; the chord of said curve bears N 70'57'32" W a distance of 135.93 feet; 15. thence N 65'56'40" W 288.79 feet; 16. thence along the arc of a curve to the right having a radius of 934.49 feet, and a central angle of 12°43'09" for a distance along the curve of 207.45 feet; the chord of said curve bears N 59°35'05" W a distance of 207.03 feet; 17. thence N 53.13'30" W 363.38 feet to a point on the west line of Lot 26 of said Section 29; thence N 00°30'27" E 619.90 feet along the west line of said Lot 26 to the northwest comer of said Lot 26; thence N 90'00'00" W 65.41 feet to a fence post with a pk-nail in the top and accepted as the southwest comer of Lot 20 of said Section 29; thence N 00°34'26" E 2165.03 feet along the accepted west line of Lots 20, 16, and 8 of said Section 29 to a red plastic cap (P.L.S. 27929); thence N 00°32'35" E 431.30 feet to the southwest corner of a parcel of land described in Book 527, Page 951 in the office of the Garfield County Clerk and Recorder; thence along the southerly boundary of said parcel of land described in Book 527, Page 951 S 89°32'20" E 431.36 feet; DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO 10313\1\1087701.2 thence the following two courses along the Southerly boundary of a parcel of land described in Book 872, Page 768 in the office of the Garfield County Clerk and Recorder: 1. thence S 50°51'48" E 497.50 feet; 2. thence S 57°58'2l" E 57.39 feet to a point on the Southerly boundary of a parcel of land described in Book 915, Page 112 in the office of the Garfield County Clerk and Recorder; thence S 57'58'21" E 305.00 feet along the Southerly boundary of said parcel of land described in Book 915, Page 1l2; thence S 33°33'03" E 149.53 feet along the Southwesterly boundary of a parcel of land described in Book 621, Page 219 in the office of the Garfield County Clerk and Recorder; thence S 81'36'23" E 135.95 feet along the Southerly boundaries of parcels of land described in Book 621, Page 219 and Book 965, Page 509 in the office of the Garfield County Clerk and Recorder to a point on the boundary of said parcel of land described in Book 965, Page 509; thence the following three courses along the southeasterly boundary of said parcel described in Book 965, Page 509: 1. thence 5 81°42'23" E 302.25 feet; 2. thence N 05°12'20" E 149.94 feet; 3. thence along the arc of a curve to the right having a radius of 55.23 feet, and a central angle of 40°33'24" for a distance along the curve of 39.09 feet; the chord of said curve bears N 25°28'41" E a distance of 38.28 feet to a point on the southerly boundary of a parcel of land described in Book 808, Page 803 in the office of the Garfield County Clerk and Recorder; thence the following three courses along the easterly boundary of said parcel described in Book 808, Page 803: 1. thence 5 81'42'37" E 123.19 feet; 2. thence N 21'00'23" W 820.84 feet to a point on the south line of said Section 20 whence the South Quarter Comer of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933) bears N 88.32'13" W 248.98 feet; 3. thence N 21°00'23" W 137.24 feet to a point on the northerly right-of-way of Garfield County Road 115; thence the following two courses along the northerly right-of-way of said County Road 115: 1, thence along the arc of a non -tangent curve to the right having a radius of 5288.82 feet, and a central angle of 02'43'04" for a distance along the curve of 250.87 feet; the chord of said curve bears N 73°59'48" W a distance of 250.84 feet; 2. thence N 72'38'16" W 1244.87 feet to a point on the accepted east line of Lot 4 of said Section 20 whence the southeast corner of a parcel of land recorded under reception number 467225 in the office of the Garfield County Clerk and Recorder being a 2 -inch Aluminum Cap (P.E.L.S. 5933) and accepted as a point on the east line of said Lot 4 bears 5 01'51'02" W 9.41 feet; thence N 01'51'02" E 490.79 feet along the accepted east line of said Lot 4 to the northeast corner of said Lot 4 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88°18'52" W 1429.59 feet along the north line of said Lot 4 and Lot 3 of said Section 20 to the northwest corner of said Lot 3 being a 2 - inch Aluminum Cap (P.E.L.S. 5933) whence the Southwest Comer of said Lot 20 being a 2-1/2 inch Aluminum Cap (P.L.S. 27929) found in place bears 5 00°06'31" E 1008.11 feet; thence N 00°06'31" W 1630.93 feet along the west line of said. Section 20 to the West Quarter Comer of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 00'04'12" E 2632.88 feet along the west line of said Section 20 to the Northwest Corner of said Section 20 being the POINT OF BEGINNING containing 6115.31 acres more or less. EXCEPTING THE FOLLOWING TEN PARCELS: 1) MIDDLE EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in the East Half of Section 29 and the Northwest Quarter of Section 28, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being further described as follows: Beginning at a point on the easterly line of said Section 29 whence the Northeast Corner of Section 29 being a 2-1/2 inch GLO Brass Cap found in place bears N 01'09'28" E 1250.72 feet thence S 01°09'28" W 346.32 feet along the east line of said Section 29 to a point on the northerly tine of a parcel of land described in Book 495, Page 596 in the office of the Garfield County Clerk and Recorder, whence the west Quarter Corner of said Section 28 being a 3 inch Aluminum Cap (County Surveyor) bears 5 01°0928" E 987.24 feet; thence S 88°09'033" E 557.11 feet along the northerly line of said parcel of land described in Book 495, Page 596 to a point on the southerly light -of -way line of DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO 10313\1\1087701.2 Garfield County Road 115; thence along the arc ofa non -tangent curve to the left having a radius of 826.12 feet, and • a central angle of 17°50'1 I" for a distance along the curve of 257.17 feet; the chord of said curve bears S 64°07'08" E a distance of 256.14 feet along the southerly right-of-way of said County Road 115; thence S 73°02'14" E 43.18 feet continuing along the southerly right-of-way line of said County Road 115 to a point in the easterly line of said parcel of land described in Book 495, Page 596; thence S 00°01'52" W 114.31 feet along the easterly boundary of said parcel of land described in Book 495, Page 596 to the southeast corner of said parcel of land described in Book 495, Page 596; thence the following four courses along the Southerly Boundary of said parcel of land described in Book 495, Page 596: 1. thence N 89°58'08" W 327.05 feet; 2. thence S 54'10'41" W 185.54 feet; 3. thence N 42'16'19" W 154.20 feet; 4. thence S 59°30'35" W 216.33 feet to a point on the boundary ofa parcel of land described in Book 988, Page 802 in the office of the Garfield County Clerk and Recorder; thence the following six courses around the easterly, northerly, and southerly boundaries of said parcel of land described in Book 988, Page 802: 1. thence S 13°45'40" E 11 1.74 feet; 2. thence S 89°58'08" E 101.60 feet; 3. thence S 00°01'52" W 69.06 feet; 4. thence S 88°48'28" E 25.57 feet; 5. thence S 00'3724" E 148.37 feet; 6. thence S 14°45'31" E 57.78 feet; thence S 58'03'40" W 625.36 feet along the southerly boundaries of parcels of land described in Book 988, Page 802 and Book 736, Page 345 in the office of the Garfield County Clerk and Recorder to a point on the southerly boundary of said parcel of land described in Book 736, Page 345; thence along the southerly and westerly boundaries of said parcel of land described in Book 736, Page 345 the following five courses: 1. thence N 74'5328" W 35.87 feet; 2. thence N 66"59'35" W 380.19 feet; 3. thence N 50°53'55" W 27.02 feet; S 4. thence N 25'54'08" W 19.09 feet; 5. thence N 05'08'09" W 580.16 feet to a point on the westerly boundary of a parcel of land described in Book 886, Page 329 in the office of the Garfield County Clerk and Recorder; thence along the westerly and northerly boundaries of said parcel of land described in Book 886, Page 329 the following three courses: 1. thence N 05°36'42" W 538.91 feet 2. thence N 04'18'35" W 374.95 feet; • 3. thence N 82°52'22" E 323.76 feet to a point on the southerly right-of-way line of said Garfield County Road 115; thence along the said right-of-way line the following three courses: 1. thence along the arc of a non -tangent curve to the left having a radius of 993.47 feet, and a central angle of 03'01'08" for a distance along the curve of 52.35 feet; the chord of said curve bears S 34°41'10" E a distance of 52.34 feet; 2. thence along the arc ofa curve to the left having a radius of 480.00 feet, and a central angle of 36°06'40" for a distance along the curve of 302.52 feet; the chord of said curve bears S 54'15'04" E a distance of 297.54 feet;. 3. thence S 72°18X24" E 273.90 feet to the POINT OF BEGINNING containing 33.49 acres more or less. 2) EAST EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in Section 28, Township 6 South, Range 88 West, of the Sixth Principal Meridian being more particularly described as follows: Beginning at the South Quarter Comer of Section 28 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88°33'15" W 1084.24 feet along the south line of Section 28 to a point on the westerly boundary ofa parcel of land described in Book 938, Page 691 in the office of the Garfield County Clerk and Recorder; whence the Southwest Comer of Section 28 being a 3 inch County Surveyor Aluminum Cap found in place bears S 88'33'15" E 1495.74 feet; thence N 01'00'28" E 2568.63 feet along the westerly boundary of said parcel of land described in Book 938, 1031311 \1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION ANO OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO Page 691 to a point on the westerly boundary of a parcel of land described in Book 638, Page 941 in the office of the Garfield County Clerk and Recorder; thence N 01°0l'i2" E 691.65 feet along the westerly boundary of said parcel of land described in Book 638, Page 941 to a point on the southerly right-of-way line of Garfield County Road 115; thence along the southerly right-of-way line of said County Road 115 the following seven courses: 1. along the arc of a non -tangent curve to the right having a radius of 594.56 feet, and a central angle of 41 °58'28" for a distance along the curve of 435.57 feet; the chord of said curve bears S 43°10'12°' E a distance of 425.90 feet; 2. thence S 22'10'58" E 307.62 feet; 3. thence along the arc of a curve to the left having a radius of 1421.75 feet, and a central angle of 15°49"57" for a distance along the curve of 392.87 feet; the chord of said curve bears S 30'05'57" E a distance of 391.63 feet; 4. thence along the arc of a curve to the right having a radius of 370.00 feet, and a central angle of 32°43'14" for a distance along the curve of 211.30 feet; the chord of said curve bears S 21'39'19" E a distance of 208.44 feet; 5. thence along the arc of a curve to the left having a radius of 2437.42 feet, and a central angle of 28°42'24" for a distance along the curve of 1221.22 feet; the chord of said curve bears S 19°38'54" E a distance of 1208.48 feet; 6. thence S 34°00'06" E 1152.91 feet; 7. thence along the arc of a curve to the left having a radius of 430.00 feet, and a central angle of 23'03'17" for a distance along the curve of 173.02 feet; the chord of said curve bears S 45'3l'45" E a distance of 171.86 feet to a point on the south line of Section 28; whence the Southeast Corner of Section 28 being a 2-1/2 inch GLO Brass Cap found in place bears S 86'11'17" E 1745.44 feet; thence N 86'11'17" W 829.99 feet along the south line of Section 28 to the POINT OF BEGINNING containing 67.91 acres more or less. 3) SECTION 15 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land being the Northwest Quarter of the Southwest Quarter of Section 15, Township 6 South Range 88 West, of the Sixth Principal meridian, said parcel being further described as follows: Beginning at the West Quarter corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place, thence N 89°51'07"E 1323.59 feet along the North line of the N W 1145 W U4 of said Section 15 to the northeast corner of the NW 1145W 114 of said Section 15; thence 5 00°01'49" E 1540.50 feet along the East line of the NW 1145 W [!4 of said Section 15 to the Southeast Corner of the NW 114SW 1!4; thence S 89'5825" W 1323.59 feet along the south line of the NW114SW1/4 of said Section 15 to the southwest corner of the NW114SW114 of said section 15; whence the Southwest Corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place bears S 00°01'49" E 1537.70 feet; thence N 00°0['49" W 1537.70 feet along the west line of the NW 1145 W 114 of said section 15 to the northwest corner of the NW 114SW 114 of said section 15 being the POINT OF BEGINNING containing 46.76 acres more or less. 4) GARFIELD COUNTY ROAD 115 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in Sections 20, 29, 28, 33, and 34, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being a 60 foot wide right-of-way extending thirty feet on each side of the following described centerline for Garfield County Road 115, said centerline being further described as follows: Beginning at a point from whence the Southwest corner of said Section 20 bears S89°59'26"W a distance of 2853.70 feet, said section corner being a 2-1/2 inch Aluminum Cap found in place; thence along the arc of a curve to the left having a radius of 5318.82 feet, and a central angle of 04°16'52" for a distance along the curve of 397.42 feet; the chord of said curve bears 5 77°43'40" E a distance of 397.32 feet; thence 5 79'52'05" E 121.04 feet to a point along the section line common to said Sections 20 and 29 from whence the Quarter comer common to said Sections 20 and 29 being a 2 -inch Aluminum Cap bears N88°32' 13 "W 720.55 feet DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO 10313\1\1087701.2 • • • thence S 79°52'05' E 331.86 feet; thence along the arc of a curve to the right having a radius of 900.00 feet, and a central angle of 20°29'08" for a distance along the curve of 321.79 feet; the chord of said curve bears S 69°37'31 " E a distance of 320.08 feet; thence S 59°22'57" E 217.30 feet; thence along the arc of a curve to the right having a radius of 1081.34 feet, and a central angle of 35'38'00" for a distance along the curve of 672,50 feet; the chord of said curve bears S 411'33'57" E a distance of 661.72 feet; thence S 23°44'57" E 73.66 feet; thence along the arc of a curve to the left having a radius of 963.47 feet, and a central angle of 12°26'47" for a distance along the curve of 209.29 feet; the chord of said curve bears S 29°58'2l" E a distance of 208.88 feet; thence along the arc of a curve to the left having a radius of 450.00 feet, and a central angle of 36°06'40" for a distance along the curve of 283.62 feet; the chord of said curve bears S 54'15'04" E a distance of 278.95 feet; thence S 72°1824" E 264.99 feet to a point along the section line common to said Sections 28 and 29 from whence the Northeast corner of said Section 29 being a 2-112 inch GLO Brass Cap found in place bears N01°09'28"E 1219.42 feet; thence 5 72°18'24" E 167.61 feet; thence along the arc of a curve to the right having a radius of 377.41 feet, and a central angle of 25'33'14" for a distance along the curve of 168.32 feet; the chord of said curve bears 5 59°31'47" E a distance of 166.93 feet; thence S 46°45'10" E 235.64 feet; thence along the arc of a curve to the left having a radius of 796.12 feet, and a central angle of 26°17'03" for a distance along the curve of 365.22 feet; the chord of said curve bears S 59°53'42" E a distance of 362.02 feet; thence S 73'02'14" E 636.67 feet; thence along the arc of a curve to the right having a radius of 624.56 feet, and a central angle of 50°51'15" for a distance along the curve of 554.35 feet; the chord of said curve bears S 4736'36" E a distance of 536.33 feet; thence 5 22'10'58" E 307.62 feet; thence along the arc of a curve to the left having a radius of 1391.75 feet, and a central angle of 15°49'57" for a distance along the curve of 384.58 feet; the chord of said curve bears S 30°05'57" E a distance of 383.36 feet; thence along the arc of a curve to the right having a radius of 400.00 feet, and a central angle of 32°43'14" for a distance along the curve of 228.43 feet; the chord of said curve bears S 21'39'19" E a distance of 225.34 feet; thence along the arc of a curve to the left having a radius of 2407.42 feet, and a central angle of 28°42°24" for a distance along the curve of 1206.18 feet; the chord of said curve bears 5 19°38'54" E a distance of 1193.61 feet; thence 5 34°00'06" E 1152.91 feet; thence along the arc of a curve to the left having a radius of 400.00 feet, and a central angle of 25'53'11" for a distance along the curve of 180.72 feet; the chord of said curve bears 5 46'56'42" E a distance of 179.19 feet; 10313\1\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD CCUNTY, CO thence S 59°53'17" E 38.40 feet to a point along the section line common to said Sections 28 and 33 from whence the Quarter corner common to said Sections 28 and 33 being a 2 -inch Aluminum Cap bears N86°11'17"W 896.52 feet; thence S 59'53'l7" E 421.00 feet; thence along the arc of a curve to the right having a radius of 779.79 feet, and a central angle of 35'42'49" for a distance along the curve of 486.06 feet; the chord of said curve bears S 42°01'52" E a distance of 478.23 feet; thence S 24'1027" E 644.62 feet; thence along the arc of a curve to the right having a radius of 882.82 feet, and a central angle of 26°58'38" for a distance along the curve of 415.67 feet; the chord of said curve bears S 10"41'09" E a distance of 411.84 feet; thence 5 02°48'10" W 238.01 feet; thence along the arc of a curve to the left having a radius of 729.53 feet, and a central angle of 37°41'54" for a distance along the curve of 480.00 feet; the chord of said curve bears S 16°02'47" E a distance of 471.39 feet; thence along the arc of a curve to the Ieft having a radius of 200.00 feet, and a central angle of 53'37'43" for a distance along the curve of 187.20 feet; the chord of said curve bears S 61.42'35" E a distance of 180.44 feet; thence along the arc of a curve to the left having a radius of 2171.07 feet, and a central angle of 08'19'31" for a distance along the curve of 315.47 feet; the chord of said curve bears N 87°18'48" E a distance of 315.19 feet to a point along the section line common to said Sections 33 and 34 from whence the Northeast corner of said Section 33 being a 2-1/2 inch GLO Brass Cap found in place bears N01 °30'32"E 2209.86 feet; thence along the arc of a curve to the left having a radius of 2171.07 feet, and a central angle of 15°20'11" for a distance along the curve of 581.13 feet; the chord of said curve bears N 75°28'57" E a distance of 579.40 feet; thence along the arc of a curve to the right having a radius of 280.00 feet, and a central angle of 55'26'50" for a distance along the curve of 270.97 feet; the chord of said curve bears S 84"27'44" E a distance of260.52 feet; thence S 56'44'19" E 393.81 feet; thence along the arc of a curve to the left having a radius of 669.07 feet, and a central angle of 21°39'21" for a distance along the curve of 252.89 feet; the chord of said curve bears S 6734'00" E a distance of 251.38 feet from whence the said Northeast corner of Section 33 bears N28°52' 13 "W 2741.66 feet; Such parcel being a 60 foot right-of-way (30 feet on each side of the above described centerline) contains 18.19 acres more or less. The right-of-way lines of said right-of-way shall be prolonged or shortened to begin and end on and conform to the property boundary lines. 5) GARFIELD COUNTY ROAD 114 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in the Northeast Quarter of Section 33, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being the right-of-way for Garfield County Road 114 and the intersection of Garfield County Road 114 with Garfield County Road 115, said parcel being further described as follows: DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION ANO OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO 103131111087701.2 • Beginning at a point on the southern line of the Northeast Quarter of said Section 33 whence the East Quarter Corner for said Section 33 being a 2 -inch Aluminum Cap bears 5 88°27'45" E 551.40 feet said point also being a point on the easterly right-of-way of Garfield County Road 114; thence N 88°27'45" W 77.11 feet along said southern line of the Northeast Quarter to a point on the westerly boundary of said County Road 114, whence the Center Quarter for said Section 33 being a 2 -1/2 -inch Aluminum Cap found in place bears N 88°27'45" W 1883.48; thence the following two courses along the westerly right-of-way of said County Road 114: 1. N 40°27'03" E 99.05 feet; 2. thence along the arc of a curve to the left having a radius of 270.00 feet, and a central angle of 69"20'35" for a distance along the curve of 326.77 feet; the chord of said curve bears N 05°46'46" E a distance of 307.19 feet to a point on the southerly right-of-way of Garfield County Road 115; thence the following three courses along the southern right-of-way of County Road 115: 1. along the arc of a non -tangent curve to the left having a radius of 759.53 feet, and a central angle of 06'00'12" for a distance along the curve of 79.58 feet; the chord of said curve bears S 31'53'38" E a distance of 79.55 feet; 2. thence along the arc of a curve to the left having a radius of 230.00 feet, and a central angle of 53°37'43" for a distance along the curve of 215.28 feet; the chord of said curve bears S 61'42'35" E a distance of 207.51 feet; 3. thence along the arc of a curve to the left having a radius of 2201.07 feet, and a central angle of 03'41'58" for a distance along the curve of 142.12 feet; the chord of said curve bears N 89°37134" E a distance of 142.09 feet to a point on the easterly right-of-way of Garfield County Road 114; thence the following two courses along the easterly right-of-way of County Road 114: 1. along the arc of a non -tangent curve to the left having a radius of 470.00 feet, and a central angle of 47'19'32" for a distance along the curve of 388.21 feet; the chord of said curve bears S 64'06'49" W a distance of 37727 feet; 2. thence S 4027'03" W 70.18 feet to the point of beginning containing 0.755 acres more or less. The right-of-way lines of said right-of-way shall be prolonged or shortened to begin and end on and conform to the property boundary lines. 6-10) THE FOLLOWING FIVE PARCELS ACCORDING TO THE "SPRING VALLEY RANCH P.U.D., PHASE 1, FINAL PLAT": 6) 05/0-1 parcel containing 30.064 acres more or less 7) 05/0-2 parcel containing 174.707 acres more or less 8) OS/G-3 parcel containing 105.518 acres more or less 9) 05/0-4 parcel containing 121.130 acres more or less 10) Club -1 parcel containing 16.928 acres more or less The area sum of 6-10 equals : 448.347 acres more or less The Development Property total area minus the exceptions is 5499.84 acres more or less. 1031311\1087701.2 DECLARATION OF GOLF FACILITIES DEVELOPMENT, CONSTRUCTION AND OPERATIONAL AGREEMENT SPRING VALLEY RANCH, GARFIELD COUNTY, CO MASTER DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR SPRING VALLEY RANCH P.U.D. 68U \1088974.3 TABLE OF CONTENTS Page ARTICLE I DECLARATION 2 ARTICLE II DEFINITIONS 3 2.1 Act 3 2.2 Allocated Interests 3 2.3 Annexable Property 4 2.4 Annexation Deed 4 2.5 Articles of Incorporation 5 2.6 Assessment 5 2.7 Association Property 5 2.8 Budget 5 2.9 Building Envelope .. 5 2.10 Bylaws 5 2.11 Club Property 6 2.12 Clubhouse Lot 6 2.13 Clubhouse Lot Assessment 6 2.14 Clubhouse Lot Common Expenses 6 2.15 Common Area 6 2.16 Common Expenses 6 2.17 Common Interest Community 8 2.18 County 8 2.19 Declarant 8 2.20 Declaration of Easements and Rights 8 2.21 Deed of Trust 9 2.22 Design Guidelines 9 2.23 Design Review Committee 9 2.24 Duplex 9 2.25 Estate Lot 9 2.26 Executive Board 9 2.27 Featured Builder 9 2.28 Golf Lot 9 2.29 Household Pets 9 2.30 Improvements 9 2.31 Lease 10 2.32 License Agreement 10 2.33 Limited Common Area 10 2.34 Lot 10 2.35 Master Association 10 2.36 Master Declaration 10 2.37 Master Rules and Regulations 10 2.38 Member 10 2.39 Mortgage 11 68\ 111088974.3 • TABLE OF CONTENTS (continued) Page 2.40 Mortgagee 11 2.41 Mortgagor 11 2.42 Mountain Lot 11 2.43 Notice and Hearing 11 2.44 Occupant 11 2.45 Owner 11 2.46 Permitted Exceptions 11 2.47 Person 11 2.48 Plat 11 2.49 P.U.D. Plan 12 2.50 Real Estate Transfer Assessment 12 2.51 Registered Builder 12 2.52 Record or Recorded 12 2.53 Regular Assessment 12 2.54 Reimbursement Assessment 12 2.55 Shared Driveway 13 2.56 Special Assessment 13 2.57 Special District...... 13 2.58 Subassociation 13 2.59 Subassociation Common Area 13 2.60 Supplemental Declaration 13 2.61 Supplemental Plat 13 2.62 Water System 14 2.63 Wilderness Cabin Interest 14 2.64 Wildfire Mitigation Plan 14 ARTICLE III GENERAL RESTRICTIONS APPLICABLE TO THE COMMON INTEREST COMMUNITY 14 3.1 Master Development Control ..,, 14 3.2 Violation of Law, Insurance, Etc 15 3.3 General Maintenance of Common Interest Community 15 3.4 Residential Use and Occupancy 16 3.5 New Construction Required; No Temporary Buildings or Occupancy 17 3.6 Building Envelopes 17 3.7 Design Guidelines 17 3.8 Annoying Light, Sound or Odor 17 3.9 Noxious or Offensive Activities; Nuisances; Construction Activities 18 3.10 No Hazardous or Unsafe Activities 19 3.11 No Woodbuming Fireplaces or Stoves; Outside Burning; Fire Hazards 19 3.12 No Firearms or Hunting 19 3.13 No Unsightliness; Outside Personal Property Storage and Clothes Drying 19 3.14 Garbage, Trash; Compost, Containers 19 3.15 Vehicle Parking, Storage, Operation and Repair 20 681111088974,3 TABLE OF CONTENTS (continued) Page • 3.16 Garages 22 3.17 Animals 22 3.18 Restrictions on Equipment, Tanks, Antennae, Satellite Dishes, Etc 23 3.19 Restrictions on Mining or Drilling . 24 3.20 Excavations 24 3.21 No Interference with Waterways, Drainage or Irrigation Systems, or with Wetlands/Riparian Habitats 24 3.22 Lakes, Ponds, Creeks, Ditches 24 3.23 Lake Banks; Beaches 25 3.24 Fences and Walls 25 3.25 Tree and Natural Shrub Preservation 25 3.26 Use of Easement Areas; Utility Installation 26 3.27 Landscaping, Irrigation; Weed Control 26 3.28 Tennis Courts and Basketball Goals 27 3.29 Swimming Pools, Spas, and Related Equipment 27 3.30 Signs and Advertising 27 3.31 Camping and Picnicking 28 3.32 Soliciting 28 3.33 No Individual Water Wells or Individual Sewage Disposal Systems; Exceptions ....28 3.34 Regulation of Pesticides 28 3.35 Maintenance of Visibility at Street Intersections 28 3.36 Restoration of Improvements in the Event of Damage or Destruction .. 29 3.37 Leases 29 3.38 Right of Entry 30 3.39 Damage by Owners During Construction 30 3.40 Restrictions on Resubdivision, Property Restrictions, and Rezoning 30 3.41 Health, Safety and Welfare 32 3.42 Implementation and Variances 32 3.43 Declarant Activities 33 ARTICLE IV ROADS AND STREETS IN COMMON INTEREST COMMUNITY 33 4.1 Ownership and Maintenance 33 4.2 Easement for Access 33 4.3 Reserved Declarant Rights 34 4.4 No Liability for Gatehouses or Entry Gate or Security Patrol 34 4.5 Rights Appurtenant to Club Property 35 ARTICLE V WATER AND SEWER SYSTEMS 35 5.1 Water System 35 5.2 Sewer System 35 410 5.3 Ownership and Maintenance of Systems 36 68\1\1088974.3 • TABLE OF CONTENTS (continued) Page 5.4 Sprinkler Irrigation System 36 5.5 Ownership and Maintenance of Sprinkler Irrigation System 36 5.6 Easements 36 ARTICLE VI DESIGN REVIEW COMMITTEE 37 6.1 Establishment of Design Review Committee 37 6.2 Establishment of Subcommittees 37 6.3 Meetings and Action of Committee 37 6.4 Compensation; Expenses 38 6.5 Records of Actions 38 6.6 Approvals in Annexed Areas 38 6.7 Design Guidelines 38 6.8 Design Review Fee 38 6.9 Registration of Builders 39 6.10 Design Review and Construction Process 39 6.11 Submission of Plans, Specifications and Data 40 6.12 Criteria for Approval or Disapproval 40 6.13 Decisions of Committee; Binding Effect 40 6.14 Completion of Work After Approval 40 6.15 Right to Inspect 41 6.16 Notice of Completion; Inspection of Work; Correction of Defects 41 6.17 Certificate of Compliance 42 6.18 Improvements Must Conform to Approvals 42 6.19 Committee Power to Grant Variances 42 6.20 Nonliability for Approval or Disapproval of Plans and Specifications, for Issuance of Certificates of Compliance, or for Registration of Builders 43 6.21 Featured Builders 44 6.22 Enforcement 45 ARTICLE VII ASSOCIATION PROPERTY 45 7.1 Use and Enjoyment of Association Property 45 7.2 Recreational, Health and Social Facilities 45 7.3 Master Association May Regulate Use of Association Property 46 7.4 Master Association to Maintain and Improve Association Property 46 7.5 No Partition of Association Property 47 7.6 Owner Liability for Owner or Occupant Damage to Association Property 47 7.7 Damage or Destruction to Association Property 47 7.8 Condemnation of Association Property 47 7.9 Title to Association Property Upon Dissolution of Master Association 48 7.10 Mechanic's Liens on Association Property 48 68\1\1088974.3 -iv- TABLE OF CONTENTS (continued) Page ARTICLE VIII DECLARANT'S RESERVED RIGHTS 48 8.1 Construction of Improvements 49 8.2 Sales, Marketing and Management 49 8.3 Merger 50 8.4 Declarant Control of Master Association 50 8.5 Annexation of Additional Properties 50 8.6 Annexation Procedure 50 8.7 Annexation of Additional Unspecified Real Estate 51 8.8 Withdrawal Rights and Procedure 51 8.9 Effect of Expansion or Contraction 52. 8.10 Subdivision of Lots or Parcels 53 8.11 Transfer of Additional Property to Master Association 53 8.12 Other Reserved Development Rights 53 8.13 Owner Review, Acceptance and Waiver of Rights Re: P.U.D. Plan and Declarant's Reserved Rights 53 8.14 Declarant As Attorney -in -Fact for Owners 53 8.15 Transfer of Declarant's Reserved Rights 54 8.16 Termination of Declarant's Reserved Rights 54 ARTICLE IX EASEMENTS 54 9.1 Easements for Incidental Encroachments 54 9.2 Blanket Master Association Utility and Drainage Easement Over Streets, Roads, Shared Driveways, and Association Property .... 54 9.3 Master Association Administrative Easement Over Streets Roads Shared Driveways, and Association Property 55 9.4 Declarant Easement Over Streets, Roads, Shared Driveways, and Association Property 55 9.5 Utility. Drainage, and/or Irrigation Easements 55 9.6 Water Body Maintenance Easements 56 9.7 Fence Maintenance Easements 56 9.8 Berm Maintenance Easements 56 9.9 Equestrian/Pedestrian Trail Easement 56 9.10 Pedestrian/Bike Trail Easement 56 9.11 Conservation Easement 56 9.12 Open Space and Wildlife Movement Corridor Easements 57 9.13 Meadow Parcel Easement 57 9,14 Park Easements 58 9.15 Shared Driveway Easements 58 9.16 Easements for Benefit of Club Property 59 9.17 Blanket Emergency Services Easement 59 9.18 Easements Deemed Created 59 9.19 Restrictions on Owners in Easement Areas 59 68\1\1088974.3 -v- • • • • TABLE OF CONTENTS (continued) Page 9.20 Recorded Easements and Licenses 60 ARTICLE X MASTER ASSOCIATION 60 10,1 Master Association 60 10.2 Master Association Executive Board 60 10.3 Membership in Master Association 61 10.4 Voting Rights of Members 61 10.5 Period of Declarant Control of Master Association 62 10.6 Termination of Contracts and Leases of Declarant 64 10.7 Master AssociationlSubassociations 64 ARTICLE XI POWERS AND DUTIES OF MASTER ASSOCIATION 65 11.1 General Powers and Duties of Master Association 65 11.2 Power to Grant Easements 65 11.3 Power to Convey or Encumber Association Property 65 11.4 General Power to Provide Services and Facilities to Owners 66 11.5 Power to Provide Services to Subassociations 66 11.6 Power to Provide Special Services to Owners 66 11.7 Power to Charge for Special Association Property Uses and Special Master Association Services 67 11.8 Power to Acquire Property and Construct Improvements 67 11.9 Power to Adopt Master Rules and Regulations 67 11.10 Power to Contract with Employees, Agents, Contractors, Districts, Consultants and Managers 67 11.11 Power to Assign Future Income 68 11.12 Duty to Accent Property and Facilities Transferred by Declarant 68 11.13 Duty to Maintain and Care for Association Property 69 11.14 Duty to Pay Taxes 69 11.15 Duty to Keep Master Association Records 69 11.16 Duty to Support Design Review Committee 69 11.17 Insurance 69 11.18 Damage to Common Interest Community 74 ARTICLE XII ASSESSMENTS 75 12.1 Assessment Obligation and Lien 75 12.2 Statutory Lien 76 12.3 Lien Superior to Homestead and Other Exemptions 76 12.4 Priority of Lien 76 12.5 Perfection of Lien 77 12.6 Regular Assessments 77 12.7 Clubhouse Assessments 78 68\1\1088974.3 -vi- TABLE OF CONTENTS (continued) Page 12.8 Master Association Budget 79 12.9 Reserves Fund Account 80 12.10 Special Assessments 80 12.11 Reimbursement Assessments 80 12.12 Effect of Nonpayment of Assessments; Remedies of the Master Association 81 12.13 Statement of Unsaid Assessments 81 12.14 Assessments for Tort Liability . 82 12.15 Real Estate Transfer Assessments 82 12.16 Working Capital Fund 87 ARTICLE XIII EMINENT DOMAIN 87 13.1 Definition of Taking 87 13.2 Representation in Condemnation Proceedings of Association Property 87 13.3 Award for Association Property 88 13.4 Taking of Lots 88 13.5 Miscellaneous 88 ARTICLE XIV GENERAL PROVISIONS 88 14.1 Duration of Master Declaration 88 14.2 Termination of Common Interest Community 88 14.3 Amendment of Master Declaration and. Plat 89 14.4 Compliance; Enforcement 90 14.5 Rights of First Mortgagees 91 14.6 Club Property and Facilities 92 14.7 Club Property Hazards, Risks and Liabilities; Disclosure, Assumption of Risk, Release and Indemnification 92 14.8 Notice 94 14.9 No Dedication to Public Use 95 14.10 Interpretation of Master Declaration and Supplemental Declarations, Conflicts with Act 95 14.11 Conflict With Plats 95 14.12 No Express or Implied Covenants on Lands Not Annexed 95 14.13 Violations Constitute a Nuisance 95 14.14 Declarant's Disclaimer of Representations and Warranties 96 14.15 Captions 96 14.16 Singular Includes Plural 96 14.17 Remedies Cumulative 96 14.18 Costs and Attorneys' Fees 96 14.19 Governing Law; Jurisdiction 96 14.20 Severability 97 14.21 Disclaimer Regarding Safety 97 681111 088974.3 -vii- • • • • TABLE OF CONTENTS (continued) Page ARTICLE XV GENERAL PROVISIONS 97 15.1 Alternative Method for Resolving Disputes 97 15.2 Claims 97 15.3 Exemptions 98 15.4 Notice of Claim 98 15.5 Timely Initiation 99 15.6 Right to be Heard 99 15.7 Right to Inspect and Repair 99 15.8 Good Faith Negotiations 100 15.9 Mediation 100 15.10 Arbitration 101 15.11 Consensus for Master Association Action 103 15.12 Liability for Failure to Maintain an Action 104 15.13 Utilization of Funds Resulting from the Cause of Action 104 15.14 Exclusive Remedy 104 15.15 Costs 104 681111088974.3 -viii- MASTER DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR SPRING VALLEY RANCH P.U.D. THIS MASTER DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS FOR SPRING VALLEY RANCH P.U.D. (the "Master Declaration"), effective this day of , 2007, is made and entered into by Spring Valley Holdings, LLC, a Delaware limited liability company (the "Declarant"). RECITALS 1. Declarant is the owner of that certain real property situated in Garfield County, Colorado, known as Spring Valley Ranch P.U.D. (Phase I), as more particularly described on Exhibit A attached hereto and by reference made a part hereof (the "Common Interest Community"). 2. Declarant is also the owner of certain contiguous and non-contiguous real properties that are more particularly described on Exhibit B attached hereto and by reference made a part hereof (the "Annexable Property"). 3. The Common Interest Community and most of the Annexable Property have been approved for development pursuant to a Planned Unit Development by the County of Garfield, State of Colorado, pursuant to Resolution No. 2005-83 dated November 7, 2005, Recorded in Book 1743 at Page 888, Reception No. 686066, and by Resolution No. 2005-84 dated November 7, 2005, Recorded in Book 1743 at Page 894, Reception No. 686067 (the "P.U.D. Plan"). 4. Declarant intends to develop the Common Interest Community as a planned community under the Colorado Common Interest Ownership Act. Declarant reserves the right, but shall have no obligation, to annex to the Common Interest Community from time to time some or, all of (1) the Annexable Property, and/or (ii) additional unspecified real estate to develop such property as part of the planned community. Each such annexation shall be accomplished by the recording of a Supplemental Declaration, together with a Supplemental Plat or Map, which describe and depict any new Lots, Common Areas and/or Subassociation Common Areas thereby added to the Common Interest Community, and which describe any Common Elements or Limited Common Elements and any Wilderness Cabin Interests thereby created. The Supplemental Declaration shall incorporate this Master Declaration by reference and shall set forth such amendments to the Master Declaration and such additional covenants, conditions, uses, restrictions, and reserved development rights as may be applicable to the annexed property. 5. Under the present P.U.D. Pian, ( ) legally separate Lots are permitted to be created and developed. This number does not include the ( ) Employee Housing Units allowed under the P.U.D., as they will not be part of the Common Interest Community. With the potential addition to the Common Interest Community of Annexable Property that is not covered by the P,U.D. Plan, and of additional unspecified real estate, the maximum number of Lots that may realistically be created and that Declarant reserves the right to create within the Common Interest Community is ( ) Lots. Declarant 68\111088974.3 • reserves the right to further divide up to seventy-five (75) of the Clubhouse Lots into undivided interests to be known as "Wilderness Cabin Interests." 6. Spring Valley Ranch Master Association, a Colorado non-profit corporation, has been formed as a master association to exercise the functions set forth herein and to own, lease, hold, operate, care for and manage certain property for the common benefit of Owners and Occupants of Lots within, and of any other person acquiring an interest in, the Common Interest Community. 7. Declarant desires to establish covenants, conditions and restrictions upon the Common Interest Community and all properties that may hereafter be annexed thereto, and certain mutually beneficial restrictions and limitations with respect to the proper use, occupancy, improvement and enjoyment thereof, all for the purposes of enhancing and protecting the value, desirability and attractiveness of the Common Interest Community and enhancing the quality of life within the Common Interest Community. 8. Declarant desires and intends that the Owners, Mortgagees, Occupants and all other Persons hereafter acquiring any interest in the Common Interest Community shall at all times enjoy the benefits of, and shall hold their interests subject to, the covenants, conditions, restrictions, assessments, charges, servitudes, liens, reservations and easements contained in this Master Declaration, as it may be amended from time to time by Supplemental Declaration or otherwise. ARTICLE I DECLARATION NOW, THEREFORE, for the purposes set forth above and herein, Declarant for itself and its successors and assigns hereby declares that the Common Interest Community and all. other property which becomes subject to this Master Declaration in the manner hereinafter provided, and each part thereof, shall be owned, held, transferred, conveyed, sold, leased, rented, hypothecated, encumbered, used, occupied, improved, altered, maintained and enjoyed subject to the covenants, conditions, restrictions, assessments, charges, servitudes, liens, reservations,. exceptions, easements, privileges, rights and other provisions hereinafter set forth, for the duration hereof, all of which are declared to be part of, pursuant to, and in furtherance of a common and general plan of development, improvement, enhancement, use, occupancy and enjoyment of the Common Interest Community, and all of which shall run with the land and be binding upon and inure to the benefit of (i) the Common Interest Community and every part thereof, (ii) Declarant and its successors and assigns, (iii) the Master Association and its successors and assigns, (iv) every Member of the Master Association, and (v) all Owners, Occupants and other Persons having or acquiring any right, title or interest in or to the Common Interest Community or any part thereof, or any Improvement thereon, and their respective heirs, personal representatives, successors and assigns. Provided always, that to the extent this Master Declaration provides that Declarant shall not be bound by or is exempt from the application of certain covenants, conditions and restrictions contained herein, Declarant shall not be considered subject to such covenants, conditions or restrictions. 681111088474.3 2 Notwithstanding the foregoing, in no event shall the Annexable Property or any portion thereof be burdened or benefited by or otherwise subject to any of the terms or provisions of this Master Declaration until such property has been annexed to the Common Interest Community, at Declarant's sole option and discretion, and expressly subjected to the terms and provisions hereof (and any amendments hereof affecting the annexed property as may be contained in the Supplemental Declaration therefore), all as more particularly provided herein. This Declaration shall be recorded in Garfield County, Colorado and shall be indexed in the Grantee's index in the name of Spring Valley Ranch and the Master Association and in the Grantor's Index in the name of Spring Valley Holdings, LLC. ARTICLE II DEFINITIONS Unless otherwise expressly provided herein, the following words and phrases when used in this Master Declaration shall have the meanings hereinafter specified. 2.1 Act. "Act" shall mean the Colorado Common Interest Ownership Act as set forth in C.R.S. 38-33.3-101, et seq., as the same may be amended from time to time. 2.2 Allocated Interests. "Allocated Interests" means the Common Expenses liability and the votes in the Master Association allocated to each Lot and each Wilderness Cabin Interest, which interests are allocated as follows: (a) The Common Expenses liability for each. Lot is calculated on the basis of a fraction, the numerator of which is one (1) and the denominator of which is the total number of Lots in the Common Interest Community as of the date of the calculation. The denominator may be increased from time to time by the Declarant upon the addition of Lots to the Common Interest Community, which can be conveyed to third parties. Such fraction is then multiplied by the Common Expenses or the Assessment in question to determine that Lot's share thereof. The Common Expenses liability of a Lot is determined without reference to the size, location, value or use of the Lot. (b) If a Lot is divided into Wilderness Cabin Interests pursuant to a Supplemental Declaration, the Common Expenses liability for that Lot shall be reallocated in equal shares amongst the Wilderness Cabin Interests created for the Lot. For example, if a Lot is divided into undivided one-fourth (1/4) Wilderness Cabin Interests, the Common Expenses liability for each such Wilderness Cabin Interest shall be 25 percent of the Common Expenses liability allocated to that Lot. (c) Four (4) votes in the Master Association are allocated to each Lot in the Common Interest Community. (d) If a Lot is divided into Wilderness Cabin Interests pursuant to a Supplemental Declaration, the votes allocated to that Lot should be reallocated equally amongst the Wilderness Cabin Interests created for the Lot. For example, if a Lot is divided into undivided one-fourth (1/4) Wilderness Cabin Interests, one (1) vote in the Master Association shall be allocated to each such Wilderness Cabin Interest. 681111088974.3 3 • • • (e) The foregoing allocations may not discriminate in favor of Lots or Wilderness Cabin Interests owned by Declarant or an affiliate of Declarant. (f) If Lots are added to or withdrawn from the Common Interest Community, (i) the Common Expenses liability for each Lot shall be reallocated on the basis of a fraction, the numerator of which is one (1) and the denominator of which is the total number of Lots in the Common Interest Community following the addition or withdrawal of such Lots, and (ii) four (4) votes in the Master Association shall continue to be allocated to each Lot in the Common Interest Community following the addition or withdrawal of such Lots. The Allocated Interests for the Common Interest Community are specifically set forth on Exhibit C attached hereto and made a part hereof by this reference, as said Exhibit C may be amended from time to time. 2.3 Annexable Property. "Annexable Property" means that certain real property described on attached Exhibit B, which property has not yet been annexed to the Common Interest Community or made subject to the terms and provisions of this Master Declaration, In the sole discretion of Declarant, all or a portion of the Annexable Property may from time to time be annexed to, and made a part of, the Common Interest Community in the manner provided in this Master Declaration. 2.4 Annexation Deed "Annexation Deed" means, for each particular portion of the Annexable Property, the first to occur any of (a) the first deed, executed by the Owner of such portion other than the Declarant, which shall be recorded after the recordation of this Declaration by which title to such portion of the Annexable Property shall be conveyed by such Owner to another party, (b) another instrument executed by the Owner of such portion, and if such Owner is other than Declarant, containing the executed and acknowledged written consent of Declarant to such instrument, referring to this Declaration and stating that such instruments shall constitute an Annexation Deed for such portion of the Annexable Property for the purposes hereof, or (c) any deed made in connection with an involuntary transfer of such portion of the Annexable Property, including, without limitation, any treasurer's deed made in connection with a tax sale of such portion of the Annexable Property or any sheriffs deed or public trustee's deed made in connection with any foreclosure, whether a judicial foreclosure or a foreclosure through the public trustee, of a Mortgage, as defined in this Declaration, encumbering such portion of the Annexable Property, or any deed in lieu of foreclosure of any such Mortgage; provided, however that, notwithstanding the foregoing, the term "Annexation Deed" shall, without limitation, not include any of (1) any deed from the Owner, other than Declarant, of such portion of the Annexable Property to another party if such deed shall expressly refer to this Declaration and state that such deed shall not constitute an Annexation Deed for the purposes hereof and shall contain the executed and acknowledged written consent of Declarant that such deed shall not constitute an Annexation Deed for the purposes hereof, or (ii) any bona fide Mortgage encumbering such portion of the Annexable Property, provided that, as is more particularly provided above, a deed made in connection with, or in lieu of, a foreclosure of such Mortgage shall constitute an Annexation Deed for the purposes hereof. 6811\1088974.3 4 2.5 Articles of Incorporation. "Articles of Incorporation" or "Articles" means the Articles of Incorporation of Spring Valley Ranch Master Association, which have been filed with the office of the Secretary of State of the State of Colorado, as the same may be amended from time to time. 2.6 Assessment. "Assessment" means a Regular Assessment, Special Assessment, Reimbursement Assessment, Clubhouse Lot Assessment or Real Estate Transfer Assessment. 2.7 Association Property. "Association Property" means, to the extent of the Master Association's interest therein: (a) all real and personal property, including Improvements, now or hereafter owned or leased by the Master Association, (b) all Common Areas now or hereafter owned, leased or maintained by the Master Association, together with the Improvements thereon; (c) all easements created or reserved on any Plat, or Supplemental Plat, or in this Master Declaration or in any Supplemental Declaration, or in any separate agreement, for the use and benefit of the Master Association and/or the Owners, and (d) any water rights, ditch rights, and water systems, facilities and/or features (or interests therein) that may be owned, leased or maintained by the Master Association or which the Master Association is entitled to use. Association Property may be located within or outside the Common Interest Community. With the exception of easements which are Association Property, Association Property does not include the Lots or the Improvements constructed thereon, and is subject to the Permitted Exceptions. 2.8 Budget. "Budget" means a written itemized estimate of the Common Expenses to be incurred by the Master Association in performing its functions under this Master Declaration and adopted by the Executive Board pursuant to Section 12.8 of this Master Declaration. 2.9 Building Envelope. "Building Envelope" means that portion of a Lot which may be depicted and designated as the "Building Envelope" on a Plat. If a Lot contains a platted Building Envelope, all Improvements on that Lot must be located entirely within the Building Envelope, including but not limited to dwellings, patios, decks, lawns, garages, kennels, approved privacy and garden fences, approved fenced horse enclosures on Mountain Lots, swimming pools, storage buildings, and other out buildings, facilities and amenities associated with the residence, but excluding roof overhangs. No disturbance shall be allowed outside the Building Envelope, including without limitation excavation, grading or clearing activities, Improvements, and landscaping, excepting the minimum disturbance required in connection with underground utilities, irrigation and drainage systems, and access driveways, and driveway features approved by the Design Review Committee including retaining walls, guard rails driveway lighting and landscaping (including vegetation manipulation where required by the Wildfire Mitigation Plan), and gate/entry features on Mountain Lots. In appropriate circumstances, as determined in each instance by the Design Review Committee in the exercise of its sole discretion, individual septic disposal systems may be located partly or wholly outside the Building Envelopes on Mountain Lots. 2.10 Bylaws. "Bylaws" means the Bylaws of the Master Association which have been or will be adopted by the Executive Board of the Master Association, as the same may be amended from time to time. 68\111088974.3 5 • • • • 2.11 Club Property. "Club Property" means those certain properties adjacent to the Common Interest Community which are owned by the Declarant, its successors and assigns (the "Club Property Owner") and which are more particularly described on Exhibit D attached hereto and made a part hereof by this reference, together with all golf, tennis, swimming, clubhouse, other recreational, social and maintenance improvements and facilities that may be located thereon from time to time. In no event shall the Club Property be deemed a part of the Common Interest Community, or be burdened by this Master Declaration. The Club Property is not Association Property. This Master Declaration does not grant or create any rights to or for the benefit of the Owners or Occupants of Lots in the Common Interest Community to use or enjoy the Club Property or any part thereof or improvement or facility thereon for any purpose, except for such limited ingress and egress rights as may be expressly provided in the License Agreement. THE CLUB PROPERTY SHALL NOT BE A COMMON AREA. 2.12 Clubhouse Lot. "Clubhouse Lot" means any Lot which is designated as a Clubhouse Lot or a Clubhouse Cabin Homesite on a Plat, together with all Improvements thereon and appurtenances thereto. 2.13 Clubhouse Lot Assessment. "Clubhouse Lot Assessment" means a charge against a Clubhouse Lot Owner for purposes of covering the Clubhouse Lot Expenses. 2.14 Clubhouse Lot Common Expenses. "Clubhouse Lot. Common Expenses" means and include any and all expenses, which shall not be included in the Common Expenses, incurred by the Association for the improvement, maintenance and upkeep of any portion of the Clubhouse Lots which the Association may hereafter elect to provide. 2.15 Common Area. "Common Area" means any portion of the Common Interest Community designated in this Master Declaration or any Supplemental Declaration or on a Plat or any Supplemental Plat as Common Area or Limited Common Area or Open Space and which is owned or leased or maintained by the Master Association for the common use and enjoyment of the Owners and Occupants or some of them, including, but not limited to, pathways, trails, guard houses, and other security facilities and entry features. 2.16 Common Expenses. "Common Expenses" means any expenditures made or liabilities incurred by or on behalf of the Master Association, together with any allocations to reserves, including, but not limited to the following: (a) The costs of maintenance, management, operation, repair and replacement of the Association Property, and of all other parts of the Common Interest Community which are managed or maintained by the Master Association, but excluding any areas being managed or maintained at the expense ofa Subassociation or a Special District; (b) The costs of Improvements constructed from time to time by the Master Association on or in connection with Association Property, if such costs were included within a duly adopted Budget; (c) Unpaid assessments; 68\ \1088974.3 6 (d) The costs of management and administration of the Master Association, including, but not limited to, compensation paid by the Master Association to managers, accountants, attorneys and employees; (e) The costs of utilities and services (including, but not limited to, treated or untreated water, electricity, gas, sewer, trash pick-up and disposal and recycling), which are provided to the Master Association or the Common Interest Community or parts thereof and not individually metered or assessed to Lots, landscaping maintenance, and other services which generally benefit and enhance the value and desirability of the Common Interest Community or parts thereof and which are provided by or on behalf of the Master Association, but excluding any such utilities or services that may be provided by a Subassociation or a Special District; (f) The costs of insurance maintained by the Master Association as required or permitted herein, but excluding any insurance maintained by a Subassociation; (g) Reasonable reserves for contingencies, replacements and other proper purposes as deemed appropriate by the Executive Board to meet anticipated costs and expenses including, but not limited to, maintenance, repair and replacement of Association Property that must be maintained, repaired or replaced on a periodic basis. (h) The costs of bonding the members of the Executive Board, the officers of the Master Association, any professional managing agent or any other Person handling the funds of the Master Association; (i) Taxes paid by the Master Association; (j) Amounts paid by the Master Association for the discharge of any lien or encumbrance levied against Association Property or any portion thereof; (k) The costs and expenses incurred by the Design Review Committee, and compensation that may be paid by the Master Association to members of the Design Review Committee; (1) The costs and expenses incurred by any committees that may be established from time to time by the Executive Board, and compensation that may be paid by the Master Association to members of such committees; (m) The costs of any security or security systems or services that may be installed, operated, contracted for and/or monitored by the Master Association for the benefit of the Common Interest Community or any part thereof, (n) The costs of maintaining, operating and replacing informational, recreational, cultural, health-related or similar facilities or enterprises available to or for the benefit of all or a portion of the Common Interest Community; 68\1\1088974.3 7 • • • (o) The costs of implementing and administering the Wildlife Mitigation Plan and the Wildfire Mitigation Plan, to the extent such costs are incurred by or on behalf of the Master Association; (p) All expenses expressly declared to be Common Expenses by this Master Declaration or by a Supplemental Declaration, and all expenses lawfully determined to be Common Expenses by the Executive Board; and (q) Other expenses incurred by the Master Association for any reason whatsoever in connection with Association Property, or the costs of any other item or service provided or performed by the Master Association pursuant to this Master Declaration, any Supplemental Declaration, the Articles, Bylaws, Master Rules and Regulations, or Design Guidelines, or in furtherance of the purposes of the Master Association or in the discharge of any duties or powers of the Master Association. In the event that any common services furnished to the Common Interest Community are part of services that are provided to or benefit property in addition to the Common Interest Community, Common Expenses shall only include the cost of such services reasonably allocated to the services provided to the Common Interest Community. Costs and expenses incurred by a Special District shall not be considered Common Expenses, although charges made by a Special District to the Master Association for services provided by the Special District pursuant to a contract with the Master Association shall be Common Expenses. 2.17 Common Interest Community. "Common Interest Community" means the Common Interest Community described on attached Exhibit A and any additional real property which may from time to time be annexed to the Common Interest Community and made subject to this Master Declaration by Supplemental Declaration and Supplemental Plat, including all Lots, Wilderness Cabin, Interests, and Association Property, together with all Improvements and other amenities now or hereafter located thereon, and together with all easements, rights, appurtenances and privileges belonging or in any way pertaining thereto. If any property is subsequently withdrawn from the Common Interest Community pursuant to the provisions of this Master Declaration, the term "Common Interest Community" shall thereafter not include said withdrawn property. 2.18 County. "County" means the County of Garfield, State of Colorado. 2.19 Declarant. "Declarant" means Spring Valley Holdings, LLC, a Delaware limited liability company, its successors, assigns, and affiliates. A Person shall be deemed to be a "successor and assign" of Declarant if specifically designated in a duly Recorded instrument as a successor or assign of Declarant under this Master Declaration and shall be deemed a successor and assign of Declarant only as to the particular rights or interests of Declarant under this Master Declaration which are specifically designated in that written instrument. The term "affiliate of Declarant" shall have the meaning set forth in Section 38-33.3-103 (1) of the Act. 2.20 Declaration of Easements and Rights. "Declaration of Easements and Rights" means that certain Declaration of Golf Facilities Development, Construction and Operational Easement made by Declarant and recorded ; in Book at Page in the 68\1\10889743 8 Office of the Clerk and Recorder of Garfield County, Colorado, which instrument establishes certain easements and restrictions on the Common Interest Community for the benefit of the Club Property and establishes certain easements and restrictions on the Club Property for the benefit of the Common Interest Community, all as more specifically set forth therein. 2.21 Deed of Trust. "Deed of Trust" means a Mortgage. 2.22 Design Guidelines. "Design Guidelines" means the rules, regulations, procedures, standards, guidelines and requirements promulgated from time to time by the Design Review Committee, and all amendments thereto, governing the review and approval or disapproval of proposed Improvements within the Common Interest Community, the performance of construction activities, the registration of Builders, and such other matters as the Design Review Committee considers necessary or appropriate. 2.23 Design Review Committee. "Design Review Committee" means the Design Review Committee provided for in Article 6 of this Master Declaration. 2.24 Duplex. "Duplex" means any structure containing two separate dwelling units that may be constructed on a Lot in the Common Interest Community that has been designated for a duplex by the P,U.D. Plan. A Duplex may be subdivided into two Lots by the Declarant or other Owner thereof in accordance with the procedures described in Section 3.40 hereof. Following the subdivision of a Duplex Lot into two Lots, each of such Lots shall have four (4) votes in the Master Association. 2.25 Estate Lot. "Estate Lot" means any Lot which is designated as an Estate Lot or an Estate Homesite on a Plat, together with all Improvements thereon and appurtenances thereto. 2.26 Executive Board. "Executive Board" or "Board" means the Executive Board of the Master Association. 2.27 Featured Builder. "Featured Builder" means the Owner of a Lot in the Common Interest Community who (a) acquired such Lot from Declarant for the purpose of constructing a residential dwelling for resale to the general public; (b) has submitted to and obtained approval of plans and specifications for such residential dwelling from the Design Review Committee, and has otherwise complied with the provisions of Article 6 of this Master Declaration; and (c) has been designated in writing as a "Featured Builder" by Declarant. In accordance with the provisions of Article 6 hereof, the designation of any Owner of a Lot as a Featured Builder shall be in Declarant's sole and absolute discretion. 2.28 Golf Lot. "Golf Lot" means any Lot which is designated as a Golf Lot or a Golf Homesite on a Plat, together with all Improvements thereon and appurtenances thereto. 2.29 Household Pets. "Household Pets" means generally recognized household pets such as dogs, cats, fish, birds, rodents, and non-poisonous reptiles. 2.30 Improvements. "Improvements"' means any improvements, structural or otherwise, alterations, additions, repairs, excavation, grading, landscaping or other work which in any way alter any property within the Common Interest Community, or the improvements 68111.1088974.3 9 • • • located thereon, from its natural or improved state existing on the date this Master Declaration or a Supplemental Declaration for such property was first Recorded, including, but not limited to, dwelling units, buildings, outbuildings, additions, swimming pools, patio covers, awnings, the painting, staining or other change of any exterior surfaces of any visible structure, walkways, outdoor sculptures or artwork, sprinkler or irrigation systems, garages, carports, roads, driveways, parking areas, ponds, ditches, fences, screening walls, retaining walls, stairs, decks, flag poles, fixtures, landscaping (including the addition, alteration or removal of any tree, shrub or other vegetation), hedges, windbreaks, plantings, planted trees and shrubs, gardens, poles, signs, tanks, solar equipment, wind harnessing or other energy generating equipment, exterior air conditioning, water softener fixtures, utilities, antennae and satellite dishes or receivers. Once an Improvement has been constructed or accomplished on a property within the Common Interest Community, any subsequent alteration of or addition to or removal of that improvement shall also constitute an "Improvement" hereunder. 2.31 Lease. "Lease" means and refers to any agreement for the leasing, rental, use or occupancy of a residential dwelling located on a Lot (including all or one side of a Duplex) within the Common Interest Community. The required terms and procedures for Leases are more particularly set forth in Section 3.37 below. 2.32 License Agreement. "License Agreement" means that certain Pedestrian Egress and Ingress License, given by the Declarant for the benefit of the Lot Owners, which agreement grants to Lot Owners a revocable license for egress and ingress over and across certain portions of the Club Property, all as more particularly described therein. 2.33 Limited Common Area. "Limited Common Area" means a Common Area that is designated by this Master Declaration, by a Supplemental Declaration, on the Plat, or on a Supplemental Plat, for the exclusive use of one or more Lots in the Common Interest Community but fewer than all of the Lots. 2.34 Lot. "Lot" means any part of the Common Interest Community which is designated as a Lot (including without limitation a Mountain Lot, an Estate Lot, or a Golf Lot) on a Plat or any Supplemental Plat or amendment, together with all Improvements thereon and appurtenances thereto. 2.35 Master Association. "Master Association" means the Spring Valley Ranch Master Association, a Colorado nonprofit corporation, its successors and assigns. 2.36 Master Declaration. "Master Declaration" means this instrument and all Supplemental Declarations, as this instrument and such Supplemental Declarations may be amended from time to time. 2.37 Master Rules and Regulations. "Master Rules and Regulations" means rules and regulations adopted from time to time by the Executive Board, as provided in Section 7.3 of this Master Declaration. 2.38 Member. "Member" means each Lot any Wilderness Cabin Interest Owner, including the Declarant. Membership in the Master Association shall be appurtenant to, and may not be separated from, ownership of a Lot or a Wilderness Cabin Interest. 6811 \1088974.3 10 2.39 Mortgage. "Mortgage" means any mortgage, deed of trust or other security instrument, given voluntarily by the Owner of a Lot or a Wilderness Cabin Interest, creating a real property security interest in a Lot or Wilderness Cabin Interest and Recorded in the records of the Clerk and Recorder of the County. "First Mortgage" means a mortgage which is the first and most senior of the Mortgages on the same Lot or Wilderness Cabin Interest. The term "Mortgage" does not mean a statutory, tax or judicial lien. The term "Deed of Trust" when used herein shall be synonymous with the term "Mortgage." 2.40 Mortgagee. "Mortgagee" means a mortgagee under a Mortgage or a beneficiary under a Deed of Trust, as the case may be, and the assignees of such Mortgagee. 2.41 Mortgagor. "Mortgagor" means the maker, obligor or grantor of a Mortgage. The term "Mortgagor" includes a trustor or grantor under a Deed of Trust. 2.42 Mountain Lot. "Mountain Lot" means any Lot which is designated as a Mountain Lot or a Mountain Homesite on a Plat, together with all Improvements thereon and appurtenances thereto. 2.43 Notice and Hearing. "Notice and Hearing" means a written notice and public hearing before the Executive Board, or a panel appointed by the Executive Board, as set forth in the Bylaws. 2.44 Occupant. "Occupant" means any Person who is a tenant in a residence on a Lot, one or both sides of a Duplex, or a Wildemess Cabin Interest, pursuant to a Lease with the Owner thereof. "Occupant" also means any Person who is present within the Common Interest Community as a family member, guest or invitee of an Owner, an Occupant, the Declarant, or the Master Association. 2.45 Owner. "Owner" means the Person, including Declarant, or if more than one, all Persons collectively, who hold fee simple title of record to a Lot or to a Wilderness Cabin Interest, including sellers under executory contracts of sale and excluding buyers thereunder, but does not include a Mortgagee or the holder of an interest in a Lot or a Wilderness Cabin Interest solely as security for a debt. A reference herein to a "Lot Owner" shall also be deemed a reference (where applicable) to the collective Owners of the Wilderness Cabin Interests into which that Lot has been divided. 2.46 Permitted Exceptions. "Permitted Exceptions" means all liens, encumbrances, reservations, restrictions, conditions, easements and other matters of record which encumber the title to all or any part of the Common Interest Community, as of the date this Master Declaration or a Supplemental Declaration is Recorded. This Master Declaration and any Supplemental Declaration shall be subject to such Permitted Exceptions. 2.47 Person. "Person" means a natural person, a corporation, a partnership, a Limited liability company, a trust, or any other entity capable of holding title to real property pursuant to the laws of the State of Colorado. 2.48 Plat. "Plat" means the Final Plat of Spring Valley Ranch P.U.D. (Phase 1), as recorded _ , 2007 at Reception No. in the Office of the Clerk and 681111085974.3 11 Recorder of Garfield County, Colorado, as said Final Plat may be amended from time to time. By this reference, said Final Plat is incorporated in this Master Declaration. The term "Plat" also means each Supplemental Plat Recorded by Declarant and all Recorded amendments thereto. 2.49 P.U.D. Plan. "P.U.D. Plan" means that certain Planned Unit Development Plan for Spring Valley Ranch P.U.D. as approved by the Board of County Commissioners of Garfield County by Resolution No. 2005-83 dated November 7, 2005, Recorded in Book 1743 at Page 888, Reception No. 686066, and by Resolution No. 2005-84 dated November 7, 2005, Recorded in Book 1743 at Page 894, Reception No. 686067 in the records of Garfield County, Colorado, as said P.U.D. Plan may be amended from time to time. A copy of the P.U.D. Plan approvals shall be given to each Owner upon the deliver of a deed to the Owner. All Owners and Occupants shall comply at all times with those restrictions and requirements contained in the P.U.D. Plan that restrict or are to be complied with by Owners or Occupants. 2.50 Real Estate Transfer Assessment. "Real Estate Transfer Assessment" means a change against the transferee of a Lot or Wilderness cabin Interest or interest therein and against said transferee Owner's Lot or Wilderness Cabin Interest, due and payable to the Master Association at the time of transfer, in the amount and pursuant to the procedures set forth in Section 12.14 hereof. 2.51 Registered Builder. "Registered Builder" means a general contractor that has been registered to perform work within Spring Valley Ranch with the Design Review Committee pursuant to the guidelines and procedures set forth herein and in the Design Guidelines. 2.52 Record or Recorded. "Record" or "Recorded" means an instrument of record in. or the act of recording an instrument with, the office of the Clerk and Recorder of Garfield County. 2.53 Regular Assessment. "Regular Assessment" means a charge against an Owner and the Owner's Lot or Wilderness Cabin Interest for purposes of covering the annual costs of operating and administering the Master Association and all other Common Expenses. Regular Assessments are based on a Budget adopted by the Executive Board in accordance with Section 12.6 below, and are allocated to the Lots and Wilderness Cabin Interests in accordance with the Allocated Interests, except that Common Expenses that in the judgment of the Executive Board benefit fewer than all of the Lots or Wilderness Cabin Interests shall be allocated exclusively to the Lots or Wilderness Cabin Interests benefited. 2.54 Reimbursement Assessment. "Reimbursement Assessment" means a charge against a particular Owner and the Owner's Lot or Wilderness Cabin Interest for purpose of reimbursing the Master Association for costs and expenses incurred by the Master Association in connection with the enforcement of any provision hereof or the remedying of any violation by the Owner or an Occupant of this Master Declaration or any amendment hereto or any Supplemental Declaration, the Articles, Bylaws, Master Rules and Regulations, or Design Guidelines, or any approvals granted by the Design Review Committee, or for other purposes set forth in the Master Declaration, pursuant to Section 12.10 hereof, together with late charges and interest as provided for herein. Reimbursement Assessment shall include without limitation any 68\1\1088974.3 12 Common Expense caused by the misconduct of any Lot or Wilderness Cabin Interest Owner or of such Owner's Occupants. 411 2.55 Shared Driveway. "Shared Driveway" means a driveway constructed within a Shared Driveway Easement depicted on the Plat or on any Supplemental Plat. 2.56 Special Assessment. "Special Assessment" means a charge against an Owner and the Owner's Lot or Wilderness Cabin Interest for purposes of reimbursing the Master Association for costs and expenses incurred or to be incurred by the Master Association for the purpose of paying for the construction, reconstruction, repair, maintenance or replacement of capital improvements to or upon or serving the Common Interest Community, the costs of which were not included in a Regular Assessment, or for excess reconstruction costs or other extraordinary expenses, or to acquire Association Property, or for funding any operating deficit of the Master Association, as authorized by the Executive Board from time to time as provided herein. Special Assessments shall be based on a Budget adopted by the Executive Board in accordance with Section 12.8 below. 2.57 Special District. "Special District" means any special district that may be formed under the Colorado Special District Act (C.R.S. Section 32-1-201 et seq.) to assist in constructing, operating, maintaining, improving and/or replacing certain improvements within the P.U.D., including without limitation the Landis Creek Metropolitan Districts No. I and No. 2, and the Spring Valley Sanitation District, as applicable. 2.58 Subassociation. "Subassociation" means any Colorado nonprofit corporation, and its successors and assigns, organized and established by Declarant pursuant to or in connection with any Supplemental Declaration. 2.59 Subassociation Common Area. "Subassociation Common Area" means all real property interests (not just fee title and leasehold interests) and the Improvements or amenities and personal property thereon which may from time to time be owned, leased or maintained by a Subassociation or otherwise held by a Subassociation for the use, enjoyment and benefit of the members of such Subassociation or some of them. 2.60 Supplemental Declaration. "Supplemental Declaration" means an amendment to this Master Declaration which annexes real property to the Common Interest Community, subjects such real property to this Master Declaration, and sets forth such amendments to the Master Declaration and such additional covenants, conditions, uses and restrictions as may be applicable to the annexed property, executed by Declarant and Recorded in the Office of the Clerk and Recorder of the County, and any Recorded amendments thereto. In the discretion of Declarant, Wilderness Cabin Interests may be created with respect to Lots annexed to the Common Interest Community by Supplemental Declaration(s). A Supplemental Declaration may also be used to create a Wilderness Cabin Interest program for Lots that are already within the Common Interest Community, 2.61 Supplemental Plat. "Supplemental Plat" means any land survey plat which is Recorded by Declarant for the purpose of annexing the real property described therein to the Common Interest Community, and any Recorded amendments to such Supplemental Plat. 68\1\1088974,3 13 • Supplemental Plats shall include, without limitation, those Final Plats of subsequent phases of 411 Spring Valley Ranch, or those portions of such Final Plats, as are made subject to this Master Declaration from time to time by Supplemental Declaration. 2.62 Water System. "Water System" means the domestic and irrigation water delivery and augmentation system that serves the Common Interest Community and the Club Property, including all related water rights, and all pumps, water collection and delivery equipment and pipes, conduits, ponds and other water transmission components. 2.63 Wilderness Cabin Interest. "Wilderness Cabin Interest" means each undivided fee simple owners rated with respect to a Lot (including the Improvements thereon) pursuant to a Supplemental Declaration. 2.64 Wildfire Mitigation Plan. "Wildfire Mitigation Plan" means the Wildfire Mitigation Plan, which is attached to and made a part of the Master Rules and Regulations, as it may be amended from time to time, which Wildfire Mitigation Plan is incorporated in this Master Declaration by this reference. A copy of the Wildfire Mitigation Plan shall be given to each Owner upon the deliver of a deed to the Owner. All Owners and Occupants shall comply at all times with the terms and provisions of said Wildfire Mitigation Plan. 2.65 Wildlife Mitigation Plan. "Wildlife Mitigation Plan" means the Wildlife Mitigation Plan, which is attached to and made a part of the Master Rules and Regulations, as it may be amended from time to time, which Wildlife Mitigation Plan is incorporated in this • Master Declaration by this reference. A copy of the Wildlife Mitigation Plan shall be given to each Owner upon the deliver of a deed to the Owner. All Owners and Occupants shall comply at all times with the terms and provisions of said Wildlife Mitigation Plan. • ARTICLE III GENERAL RESTRICTIONS APPLICABLE TO THE COMMON INTEREST COMMUNITY It is the intention of Declarant to establish and impose a common and general plan for the improvement, development, use and occupancy of the Common Interest Community, all in order to enhance the value, desirability, and attractiveness of the Common Interest Community and to promote the marketing, development and enjoyment thereof. Accordingly, Declarant hereby declares the entire Common Interest Community, including but not limited, to all Lots and Wilderness Cabin Interests, shall be owned, held, used, occupied, improved, altered, maintained, conveyed, leased, encumbered and enjoyed subject to the following covenants, conditions, restrictions, reservations, easements, rights and other provisions, and to the further requirements and restrictions set forth in the Design Guidelines, subject to such Declarant exemptions as may be set forth herein. 3.1 Master Development Control. Except as otherwise expressly provided in this Master Declaration or in any Supplemental Declaration, (i) no residence, building, structure, fence, wall, landscaping or other Improvement shall be commenced, made, done, permitted, located, erected, improved, altered or removed within the Common Interest Community without the prior written approval, of the Design Review Committee, and (ii) all subsequent additions to 68\1\1088974.3 14 or changes or alterations in any residence, building, structure, fence, wall, landscaping or other Improvement, including without limitation exterior color scheme, and all changes in the grade of Lots, shall also be subject to the prior written approval of the Design Review Committee. No modifications from the approvals granted by the Design Review Committee shall be made without the prior written approval of the Design Review Committee. Notwithstanding the foregoing, in the event of an emergency or the sudden occurrence of unanticipated conditions which threaten the health, safety or physical well-being of Persons or property within the Common Interest Community, the Executive Board and/or the Design Review Committee shall have the authority (without the prior approvals described above), to take whatever remedial action may be necessary anywhere in the Common Interest Community to protect Persons and property until such time as applicable notice and/or approval procedures can reasonably be utilized. Further notwithstanding the foregoing, Design Review Committee approval shall not be required for Improvements made by Declarant in the exercise of any development rights or special Declarant rights reserved by Declarant in this Master Declaration or in any Supplemental Declaration. 3.2 Violation of Law, Insurance, Etc. No Owner or Occupant or Person shall do any act or cause or permit anything to be done or kept in or upon a Lot or a residence constructed thereon, or the Association Property, which would result in the increase of, or cancellation of, insurance maintained by the Master Association or would be in violation of any federal, state, town or other Iaw, ordinance, regulation or code of any governmental body having jurisdiction, or of any Master Rule or Regulation promulgated by the Master Association, or of any provision of this Master Declaration. 3.3 General Maintenance of Common Interest Community. All property within the Common Interest Community, including without limitation all Lots (including unimproved Lots, and Lots on which Improvements are under construction), Association Property, Improvements, and landscaping, shall be kept and maintained in a clean and attractive condition and in good order, condition and repair. (a) Except as specifically set forth in this Section or in a Supplemental Declaration, maintenance, repair, and upkeep of each Lot and the Improvements thereon (including attractive painting and refinishing thereof at regular intervals) shall be the responsibility of the Owner of the Lot or the Owners of the Wilderness Cabin Interests into which a Lot may be divided. Such maintenance and repair shall be performed by each Owner whenever necessary or appropriate and at regular intervals in order to keep the Lot and Improvements in substantially the same condition and appearance as existed at the time of completion of construction, subject to normal wear and tear that cannot be avoided. Said Owner obligations shall include all maintenance, repair or replacement required as a consequence of any fire, wind, vandalism, theft or other casualty. With respect to a Lot, this maintenance obligation extends to all lands and landscaping within the Lot lines, all landscaping on any adjacent street right-of-way that is bounded by the front Lot line, the paved portion of the street, and the continuation of the side Lot lines between the two, and all landscaping on any land lying between the Lot and the water's edge of any natural or manmade body of water, excepting any areas or elements that are to be maintained by the Master Association or a Special District. Unsightly conditions on a Lot shall constitute a nuisance under this Master Declaration. 681110$8974.3 15 • • • • • (b) Maintenance, repair, and upkeep of Association Property, including any Improvements and landscaping thereon, shall be the responsibility of the Master Association. (c) The individual Owners and the Executive Board shall each use a reasonable standard of care in providing for the repair, management and maintenance of the properties for which they are responsible so that the entire Common Interest Community will reflect a pride of ownership. (d) If an Owner fails to perform any of such obligations within ten (10) days following receipt of a written notice from the Design Review Committee or the Executive Board requesting the same, the Design Review Committee or the Executive Board shall have the right to enter upon the Lot of the Owner to cure the violation, to perform any needed repairs or maintenance, or to otherwise cause compliance with this Section, and to levy and collect a Reimbursement Assessment upon the Owner and its Lot (or Wilderness Cabin Interest) for the costs and expenses incurred by the Master Association in connection therewith. The Design Review Committee or the Executive Board shall have no right to enter into the interior of a residence without the consent of the Owner except in the case of a clear emergency. 3.4 Residential Use and Occupancv. Each Lot shall be improved, occupied and used only for private single-family residential purposes, except that a Duplex may be built and occupied upon a Lot approved therefore under the P.U.D. Plan. The creation of Wilderness Cabin Interests with respect to certain Lots in the Common Interest Community shall not violate this restriction. No structures whatsoever, other than those permitted by the P.U.D. Plan or by other applicable Garfield County zoning regulations and approved in writing by the Design Review Committee, shall be erected, placed or permitted to remain on any Lot. No office, business and/or commercial structures shall be permitted within the Common Interest Community except in those areas where such uses are allowed by applicable provisions of the P.U.D. Plan. No business, professional or other non-residential or commercial use shall be made of any Lot, or conducted in any residence or Duplex constructed on a Lot, excepting in-home businesses or occupations which do not involve (i) employees, (ii) the solicitation or invitation of the general public, or (iii) the servicing of customers, and which activities are conducted entirely within the residence or Duplex side and do not cause any additional traffic or parking within the Common Interest Community or otherwise create a nuisance for neighboring Lots or the Common Interest Community. The leasing of a residence or Duplex side in compliance with the provisions of Section 3.37 below shall not violate this restriction. No equipment or materials incident to any business or occupation (whether conducted within the residence or Duplex or elsewhere) shall be kept or stored on any Lot except within the residence, Duplex, garage, barn, or other outbuilding approved by the Design Review Committee. Notwithstanding the foregoing, activities normally associated with the sale by the Declarant or an Owner of an improved or unimproved Lot or a Wilderness Cabin Interest shall be allowed, subject to any limitations contained in this Master Declaration. 68111I 088974.3 16 3.5 New Construction Required; No Temporary Buildings or Occupancy. All Improvements constructed within or placed upon the Common Interest Community shall be new. No used or temporary house structure, tent, teepee, or non -permanent out -building (specifically including without limitation mobile homes and trailers shall ever be placed, erected or allowed to remain within the Common Interest Community except temporary structures or construction trailers used for construction purposes during the construction of a residence or Duplex, which temporary facilities shall be removed immediately following completion of construction and in any event no later than 18 months following commencement of construction or remodeling unless a written extension is granted by the Design Review Committee. No trailer, mobile home, incomplete residence or other structure other than a residence or Duplex completed in accordance with approved plans shall ever be used or occupied at any time for residential purposes, either temporarily or permanently. No completed residence on a Lot shall be occupied in any manner until all provisions of this Master Declaration and of the Design Guidelines and all conditions of development approval have been complied with, and a Certificate of Compliance has been issued pursuant to Section 6.17 below. The work of constructing, altering or remodeling any residence or Duplex on a Lot or any other Improvement within the Common Interest Community shall be prosecuted diligently from the commencement thereof until the completion thereof. Notwithstanding the foregoing, existing structures may remain or be relocated within the Common Interest Community, in the discretion of Declarant. In addition, used materials (e.g., bamwood) and/or structures may be permitted on a Lot if (i) the Owner makes a specific written request to the Design Review Committee for approval of such used materials and/or structures, and (ii) the Design Review Committee determines that the criteria set forth in the Design Guidelines have been met and specifically approves such request in writing. All construction within Spring Valley Ranch P.U.D. shall in all respects be in accordance with the International Fire Code, as amended and in effect. 3.6 Building Envelopes. See the above definition of this term for the general regulations applicable to Building Envelopes. 3.7 Design Guidelines. All excavation and other land disturbance, construction, landscaping and irrigation activities within the Common Interest Community shall be strictly governed by the procedures, standards, guidelines, restrictions and requirements set forth in the Design Guidelines. A violation of the Design Guidelines shall constitute a violation of this Master Declaration and may be enforced by the Design Review Committee or Executive Board in accordance with the terms hereof. 3.8 Annoying Light, Sound or Odor. All exterior lighting installed or maintained on any Lot or on any Improvement located on a Lot shall be placed so that the light source is screened or shielded from the residence on any other Lot and from the Association Property, and shall comply with the Garfield County Lighting Code. No light shall be emitted from any part of the Common Interest Community (including any Lot) which is unreasonably bright or causes unreasonable glare. Without limiting the generality of the foregoing, no spotlights, floodlights or other high-intensity lights shall be permitted within the Common Interest Community without the prior written approval of the Design Review Committee. The Design Guidelines may 68\1 \1088974.3 17 • • • • • • contain additional standards for exterior lighting including, without limitation, standards for hue and intensity. No sound shall be emitted from any part of the Common Interest Community (including without limitation any Lot) which is unreasonably loud or annoying to others, and no odor shall be emitted from any part of the Common Interest Community (including without limitation any Lot) which is noxious or unreasonably offensive to others. Again without limiting the generality of the foregoing, no exterior speakers, horns, whistles, bells (excepting chimes), or other sound devices, other than security devices used exclusively for security purposes, shall be located or used within the Common Interest Community except with the prior written approval of the Design Review Committee. The Executive Board, in its sole discretion, shall have the right and authority to determine the existence of any violation of this Section including the reasonableness of any light, sound or odor. 3.9 Noxious or Offensive Activities; Nuisances; Construction Activities. No noxious or offensive activity shall occur or be allowed at any time on any property within the Common Interest Community, nor shall anything be done or placed thereon which is or may become a nuisance or cause an unreasonable embarrassment, disturbance, or annoyance to Owners, Occupants, Declarant or the Master Association; or which unreasonably interferes with the peaceful enjoyment or possession and proper use of the Common Interest Community, or any part thereof, by Owners or Occupants. Any activity on a Lot which interferes with satellite dish, television, cable or radio reception on another Lot shall be deemed a nuisance and shall be a prohibited activity. As used herein, the term "nuisance" shall not apply to any activities of Declarant which are reasonably necessary or appropriate to the development, improvement, maintenance, marketing and/or sale of the Common Interest Community or any part thereof. The Executive Board, in its sole discretion, shall have the right and authority to determine the existence of any nuisance or unreasonable embarrassment, disturbance or annoyance under this Section. Each owner shall comply with the Master Rules and Regulations and the requirements of all health authorities and other governmental authorities having jurisdiction over the Common Interest Community. Normal construction activities and parking, during daylight hours, in connection with the building of Improvements on a Lot shall not be considered a nuisance or otherwise prohibited by this Master Declaration unless they are in violation of the Design Guidelines or other requirements of the Design Review Committee, but Lots and Association Property shall be kept in a neat and tidy condition during construction periods, trash and debris shall not be permitted to accumulate, and supplies of brick, block, lumber and other building materials shall be piled only in such areas as may be approved by the Design Review Committee. In addition, construction equipment and building materials may only be stored or kept within the Common Interest Community during and in connection with the construction of Improvements thereon, and then may be kept only in areas approved by the Design Review Committee, which also may require screening of the storage areas. All such equipment and materials shall be removed immediately following completion of construction. 68\111088974.3 18 3.10 No Hazardous or Unsafe Activities. No activity shalt be conducted on, and no Improvement shall be constructed on, any property within the Common Interest Community which is or might be unsafe or hazardous to any Person or property. Without limiting the generality of the foregoing, and except as allowed below, no explosives, gasoline, fireworks, or other volatile and/or incendiary materials or devices or any materials deemed hazardous or toxic substances under applicable environmental laws, rules, or regulations shall ever be used, kept, stored, permitted to remain or be released or disposed of on any Lot or elsewhere within the Common Interest Community. Gasoline or fuel for an Owner's lawn mower, snowblower, and the like may be maintained on an incidental basis in an enclosed structure on a Lot in an amount not to exceed 10 gallons. 3.11 No Woodburning Fireplaces or Stoves; Outside Burning; Fire Hazards. No woodburning fireplaces or woodburning stoves shall be permitted within the Common Interest Community. No exterior fires shall be lighted or permitted on any property within the Common Interest Community except in a contained barbecue unit while attended and in use for cooking purposes or as a part of the operation and maintenance of a ditch or part thereof, No Owner shall cause or permit any condition on his Lot which creates a fire hazard or is in violation of fire prevention regulations, or which would increase insurance rates for Association Property or for other Owners. Notwithstanding the foregoing, the Declarant and any Special District that serves the Common Interest Community shall have the right to perform burning activities in connection with the development, marketing and maintenance of the Common Interest Community. 3.12 No Firearms or Hunting. The use or discharge of firearms, including but not limited to BB guns and pellet guns, on any part of the Common Interest Community (including without limitation the Lots) is expressly prohibited. Hunting on any part of the Common Interest Community (including without limitation the Lots) is expressly prohibited. 3.13 No Unsightliness; Outside Personal Property Storage and Clothes Drying. All unsightly structures, facilities, equipment, objects, and conditions, all sporting equipment (e.g., skis, snow6oards, bikes, mountain bikes, kayaks, etc.), and all snow removal, garden or maintenance equipment except when in actual use, shall be kept in an enclosed structure or .in a screened area approved in writing by the Design Review Committee. Tasteful patio furniture and accessories, barbecue grills, and playground equipment and other outside personal property approved in writing in advance by the Design Review Committee, may be kept on the side or in the rear of a Lot and must be kept in an attractive and good condition. No laundry or wash shall be dried or hung outside on any Lot, excepting in the yard area behind a residence which is screened from view from streets and other residences within the Common Interest Community by screening approved in writing by the Design Review Committee, and then only on portable outdoor clothes -drying facilities approved in writing by the Design Review Committee, which facilities must be stored indoors when not in use. 3.14 Garbage, Trash; Compost, Containers. No refuse, garbage, trash, grass, shrub, or tree clippings, plant waste, compost, metal, bulk materials, scrap, rubbish, or debris of any kind shall be kept, stored, maintained or allowed to accumulate or remain on any Lot or on Association Property except temporarily within an enclosed structure approved by the Design Review Committee, except that any approved container containing such materials may be placed next to the street not earlier than 6:00 a.m. on the designated morning of garbage collection and 6811 I 1088974.3 19 • • • 1 • must be returned to its enclosed structure that same day. Notwithstanding the foregoing, trash or garbage shall not be kept outdoors unless it is within a locked, roofed, "bear proof` enclosure or in a "bear proof' garbage container approved by the Colorado Division of Wildlife and the Design Review Committee. No garbage containers, trash cans or receptacles shall be maintained in an unsanitary or unsightly condition, and except when placed for pickup they shall not be visible from another Lot or Association Property. All such refuse, garbage, trash, plant waste, compost, metal, scrap materials, rubbish and debris shall be promptly removed from the Common Interest Community and shall not be burned thereon. Compost structures and containers may be placed on a Lot or on Association Property in locations and in containers approved by the Design Review Committee, provided that no such structure or container shall be larger than fifty-five (55) gallons. 3.15 Vehicle Parking, Storage, Operation and Repair. (a) Subject to applicable laws, rules and regulations, passenger automobiles (including without limitation vans and SUVs) and one ton or smaller pickup trucks may be parked in designated parking areas on the streets within the Common Interest Community. (b) No boats, trailers, buses, motor homes, mobile homes, campers (on or off supporting vehicles), snowmobiles, recreational vehicles, all terrain vehicles, trucks, industrial or commercial vehicles (both cabs or trailers), abandoned or inoperable vehicles (as defined below), or any other similar vehicles (excepting passenger automobiles and one ton or smaller pick-up trucks shall be parked or stored on a street or upon any Lot in the Common Interest Community. The Master Association shall establish and maintain a designated secure area or facility for the storage of such recreational vehicles, and shall promulgate appropriate fees, rules and regulations governing the use thereof. (c) No motor vehicle of any kind shall be maintained, repaired, repainted, serviced or rebuilt on Association Property or on any Lot except within a completely enclosed garage which fully screens the sight and sound of the activity from the streets and other Lots and Association Property. This restriction shall not prevent the non- commercial washing and polishing of vehicles and boats, together with activities normally incident thereto. (d) No more than two (2) permitted vehicles (passenger automobiles and/or one ton or smaller pick-up trucks) shall be parked at any time in the driveway of any Lot, except during special occasions and then only for the duration thereof, and except for Lots containing Duplexes, which Lots may have two additional permitted vehicles. Permitted vehicles shall not e parked in any location on a Lot except the driveway or an enclosed garage. (e) Notwithstanding the foregoing, vehicles may be temporarily parked on driveways on Lots and on streets within the Common Interest Community for loading, delivery or emergency purposes, but only for the time required to accomplish such 681111088474.3 20 purpose, and as necessary on a daily basis for the construction, maintenance or servicing of Improvements within the Common Interest Community. (f) An "abandoned or inoperable vehicle" shall mean any motorized vehicle which does not display a current motor vehicle license, is on blocks or which has not been driven under its own propulsion for a period of one (1) week or longer (excepting otherwise permitted vehicles parked by Owners or Occupants on their Lot driveways while on vacation or during a period of illness), or which does not have an operable propulsion system within the vehicle. (g) In the event that the Executive Board or the Design Review Committee shall determine that a vehicle is abandoned or inoperable, or is otherwise in violation of the provisions of this Section, a written notice of violation describing said vehicle shall be personally delivered to the vehicle owner (if such owner can be reasonably ascertained and located) or shall be conspicuously placed upon the vehicle (if the owner cannot be reasonably ascertained or located), and if the offending vehicle is not removed within seventy-two (72) hours thereafter, the Executive Board or Design Review Committee (as the case may be) shall have the right to remove and store the offending vehicle, or cause the vehicle to be removed and stored, at the sole expense of the owner of the vehicle if the vehicle is located on a street, or at the sole expense of the Owner of the Lot on which the vehicle is located, and to enter upon an Owner's Lot for such purpose, all without liability on the part of the Executive Board or the Design Review Committee. (h) Snowmobiles, motorcycles, trail bikes, minibikes, dirt bikes, all -terrain vehicles, and similar motorized vehicles shall not be used or operated (but may be transported on trailers) within the Common Interest Community, except that motorcycles properly licensed for operation on public roads may be used on streets within the Common Interest Community. The Master Association shall have the authority to adopt Master Rules and Regulations governing the type and use and storage of golf carts within the Common Interest Community. Notwithstanding the- foregoing, Declarant, the Master Association and/or the Club Property Owner may operate such recreational vehicles within the Common Interest Community solely for maintenance, construction, security or similar purposes or in emergency circumstances. (i) Pursuant to the Declaration of Easements and Rights, authorized users of the Club Property shall have the right to operate golf carts on golf cart paths within the Common Interest Community. The owner of the streets within the Common Interest Community shall have the right to adopt rules and regulations governing the use of golf carts on such streets, and the Master Association shall have the right to adopt Master Rules and Regulations governing the use and storage of golf carts on other areas (including the Lots) within the Common Interest Community. (j) Notwithstanding anything in this Section 3.15 to the contrary, nothing in this Section 3.15 shall be deemed to prohibit or impair the right to parking of any vehicle, the owner of which has the statutory right to park within the Common Interest Community pursuant to Section 106.5(1)(d) of the Act. 6811\1088974.3 21 • • • • 3.16 Garages. All garage doors shall be kept closed when not in use. No garage shall be permanently enclosed, and no portion of a garage originally intended for the parking of an automobile shall be converted into living space or storage space without the express prior written approval of the Design Review Committee. 3.17 Animals. Except as specifically permitted below or by the Master Rules and Regulations, no animals, reptiles, primates, fish, fowl or insects of any kind shall be kept, raised. bred, maintained or boarded within or upon any part of the Common Interest Community by any Owner or Occupant. (a) Each Lot and each side of a Duplex shall be entitled to a maximum of no more, than one (1) dog or one (1) cat and a reasonable number of other Household Pets, so long as such dog, cat or other Household Pets are not kept for any commercial purpose, are not kept in unreasonable numbers, do not cause an unreasonable amount of noise or odor, or do not otherwise become a nuisance to other Owners or Occupants and otherwise complies in all respects with the Wildlife Mitigation Plan. Contractors, subcontractors, and authorized users of the Club Property may not bring dogs or other pets into the Common Interest Community. In the event that the Garfield County Subdivision Regulations are ever amended so as to allow more or less than one (1) dog on some or all of the Lots in the Common Interest Community, then the more restrictive of said Subdivision Regulations or the Wildlife Mitigation Plan shall govern the issue of how many dogs are allowed on each Lot, and this Section shall be deemed automatically amended accordingly. (b) In order for a dog to be permitted on a Lot, the dog must either be kept indoors at all times, or a fenced kennel or dog run (not exceeding 500 square feet in size) must be constructed adjacent to the residence and within the Building Envelope on the Lot pursuant to the prior written approval of the Design Review Committee. Dogs may never be kept outdoors during the night except within an enclosed fencing approved in advance by the Design Review Committee. A permitted dog, cat or other Household Pets must be fenced or restrained at all times within the Owner's or Occupant's Lot or Duplex half, and shall not be permitted outside such Lot or Duplex half, except when leashed (on a leash not exceeding 12 feet in length), unless undergoing obedience training, and accompanied by the pet's owner or the owner's representative. The Executive Board shall have the right to designate specific areas within the Association Property where pets may be walked on leashes. All Household Pets shall be properly immunized and otherwise maintained and cared for as required by applicable laws. (c) The Owner(s) of a Lot or Duplex half where a Household Pet is kept, as well as the legal owner of the pet (if not such Owner shall be jointly and severally liable for any and all damage and destruction caused by the pet, and for any clean-up of the Owner's Lot and of streets, sidewalks, Association Property or other Lots necessitated by such pet. (d) The Executive Board shall be responsible for enforcing the restrictions set forth in this Section, and shall have, and is hereby given, the right and authority to determine in its sole discretion that dogs, cats and other Household Pets are being kept 68\111088974.3 22 for commercial purposes, or are being kept in unreasonable numbers, or are causing an unreasonable amount of noise or odor, or are otherwise a nuisance to other Owners or Occupants, or that an Owner or Occupant is otherwise in violation of this Section or the Wildlife Mitigation Plan, and to take such action or actions as it deems reasonably necessary to remedy the violation, including without limitation the levying of fines and/or Reimbursement Assessments. Also without limiting the generality of the foregoing, the Executive Board may require the owner or custodian of a dog that barks or howls excessively, or of a dog, cat, or other Household Pet with other offensive habits or that otherwise violates the restrictions set forth in this Section, to confine such animal indoors, or to permanently remove such animal from the Common Interest Community, and may adopt Master Rules and Regulations governing pets. Any security company or contractor of the Association shall have the authority to enforce the at -large dog and cat restrictions contained herein. (e) Horses may be permitted on Lots containing one or more acres, subject in each instance to the prior written approval of the Executive Board, and further subject to such rules, regulations and conditions as may be adopted from time to time by the Executive Board and the fencing provisions set forth herein and in the Wildlife Mitigation Plan. 3.18 Restrictions on Equipment, Tanks, Antennae, Satellite Dishes, Etc. Heating, air conditioning (including swamp coolers), air movement, wind collection, or refrigeration equipment must be screened from the view of neighboring properties and must receive the prior written approval of the Design Review Committee. It is expressly understood that except in extenuating circumstances, as determined by the Design Review Committee, only central air conditioning will be allowed within the Common Interest Community. The use of solar energy systems (both passive and active) within the Common Interest Community is encouraged, provided such systems comply with governmental guidelines for residential uses and meet the same architectural criteria as are applied to other Improvements within the Common Interest Community, and are approved in advance by the Design Review Committee. No tanks of any kind, whether elevated or buried, shall be erected, placed or permitted to remain upon any Lot or Association Property except in compliance with applicable federal and state regulations, and then only with the prior written consent of the Design Review Committee. Any approved tank must be located underground or adequately concealed from view by fencing or screening approved by the Design Review Committee. If an Owner wishes to install an antenna to receive video programming, the Owner shall notify the Design Review Committee in writing of the proposed installation and location thereof at least ten days before the installation. The antenna installation and location shall comply with all fire, electrical and other applicable safety codes, and the installing Owner shall to the extent feasible install the antenna in a location that minimizes its visibility from neighboring Lots, Association Property, or Club Property. The installing Owner shall be obligated to paint the antenna so that it blends into the background against which it is mounted and to plant and maintain such reasonable landscaping as will screen the antenna, to the extent feasible, from neighboring Lots, Association Property and the Club Property. Provided always, that in the event that in any particular situation any of the foregoing requirements or restrictions cause an unreasonable delay or cost in the installation, maintenance or use of the antenna, or prevent the 68\111088974.3 23 • • • • • reception of acceptable quality signals, said requirements or restrictions shall be invalid as they apply to that particular situation. Subject to the Telecommunications Act of 1996 and the regulations promulgated thereunder, satellite dishes that exceed one meter in diameter, and MDS antennas that exceed one meter in diameter or diagonal measurement, shall not be allowed within the Common Interest Community. Mast antennas that extend higher than 12 feet above the roof line and antennas that are not used to receive video programming shall only be permitted within the Common Interest Community if they receive the prior written approval of the Design Review Committee as to design, location and screening from neighboring Lots, Association Property, and Club Property. 3.19 Restrictions on Mining or Drilling. No property within the Common Interest Community shall be used for the purpose of mining, quarrying, drilling, boring. or exploring for, developing or removing, water, geothermal resources, oil, gas, or other hydrocarbons, minerals, rocks, stones, gravel, or earth, except drilling, exploring for, removing, distributing or storing underground water by Declarant or the Master Association. Nothing contained herein shall be construed to limit the rights of the owners of mineral interests severed from the surface of any portion of the Common Interest Community prior to the recording of this Master Declaration. 3.20 Excavations. No excavation or other earth disturbance shall be performed or permitted within the Common Interest Community except in connection with the construction of Improvements, and then only with the prior written approval of the Design Review Committee. Upon completion of construction, openings in the ground shall be backfilled and compacted and all disturbed ground shall be graded and landscaped in accordance with the Design Guidelines and the requirements of the Design Review Committee. 3.21 No Interference with Waterways, Drainage or Irrigation Systems, or with Wetlands/Riparian Habitats. No Owner or Occupant shall construct, install, maintain or permit any fence or other improvement or obstruction or plant trees or take any other action which damages or interrupts or interferes in any way with (i) the normal flow of water through and along waterways and water features within the Common Interest Community, (ii) any irrigation ditch, lateral, lake, pond or other water collection, storage or distribution system within or serving the Common Interest Community or the Club Property, (iii) normal drainage patterns within the Common Interest Community or the CIub Property, or (iv) wetlands areas or within 75 feet of the high water mark of riparian corridors, subject always to the rights of owners of ditches and other water rights and the requirements of the Design Review Committee. The Master Association shall have the authority to take such action as may be necessary to abate or enjoin any such damage or interference, and shall have the right to enter upon a Lot for purposes of correcting or removing the same, and any costs incurred by the Master Association in connection with such abatement, injunctive or corrective activities shall be assessed to the subject Lot Owner in the form of a Reimbursement Assessment. 3.22 Lakes, Ponds, Creeks, Ditches. No swimming or boating or ice skating activities shall be conducted or allowed on any lakes, ponds, creeks or ditches within the Common Interest Community, excepting in recreational areas within Association Property that may be established from time to time by the Master Association in its sole discretion, and then subject to such Master Rules and Regulations as may be adopted by the Executive Board. 681111088974.3 24 Fishing may be allowed in designated areas, but only in the sole discretion of the Master Association, and then subject to such Master Rules and Restrictions as may be adopted by the Executive Board. 3.23 Lake Banks; Beaches. All lake banks within the Common Interest Community shall be properly sodded by the adjacent property owner promptly following completion of construction of Improvements on the adjacent property, unless the Design Review Committee otherwise directs in writing. No beach or sandy area contiguous to any lake, pond or canal shall be created within the Common Interest Community without the prior written approval of the Design Review Committee and any appropriate Governmental authority. 3.24 Fences and Walls. Fencing is restricted throughout the Common Interest Community to facilitate wildlife movement, to optimize habitat availability, and to reduce wildlife mortality. Perimeter fences around Lots and Building Envelopes are prohibited. Privacy fences or walls attached to the residence shall be permitted to enclose a maximum area of 4,500 square feet on Mountain Lots, 3,500 square feet on Estate Lots, and 2,500 square feet on Golf Lots, for purposes of screening lawns, patios and similar features within the Building Envelope on the Lot, Wildlife -proof fences approved by the Design Review Committee shall also be permitted to protect small garden plots within the Building Envelopes. Finally, each Mountain Lot shall be permitted to have a fenced horse enclosure containing a maximum of 3,000 square feet of corral area within the Building Envelope on the Lot, which fencing must meet Colorado Division of Wildlife standards. No more than four (4) horses may be kept in any such coral. No other fences or walls shall be permitted on Lots within the Common Interest Community unless expressly authorized in writing by the Design Review Committee. All permitted fences must first receive the prior written approval of the Design Review Committee in each instance as to location, height, type and materials. In considering an application for approval of a fence or wall, the Design Review Committee shall first determine that it complies with the Wildlife Mitigation Plan, and may consider such other matters as easements, drainage, landscaping, and other physical characteristics of the subject Lot, and the impact of the proposed fence or wall on neighboring Lots, streets, Association Property, and/or the Club Property. All approved fences must be maintained by the Lot Owner in a good and attractive condition at all times. 3.25 Tree and Natural Shrub Preservation. All Improvements within the Common Interest Community shall be located, designed, and constructed so as to preserve and protect trees and natural shrubs. Unless otherwise required by the Wildfire Mitigation Plan, in order to conserve the natural beauty of the area, no existing trees or natural shrubs (e.g., pine, cedar, pifion, other evergreens, gamble oak or sage brush) may be removed or trimmed except with the prior, written approval of the Design Review Committee. This restriction shall not apply to the removal or trimming of dead or diseased vegetation, or to essential clearing by an Owner in connection with the construction of a residence (but not other Improvements) on a site previously approved by the Design Review Committee. Any violation of this Section shall subject the offending Owner to such penalties, fines and/or other conditions as the Design Review Committee considers appropriate, including without limitation the withdrawal or modification of previously granted development approvals, or the requirement that replacement trees or shrubs of equivalent or different size and type be planted and maintained by the Owner. On Ranch and Estate Lots; the existing native vegetation shall be preserved in all areas lying outside the platted 68\1\1088974.3 25 • Building Envelopes, except for such minimum disturbance as may be required in connection with underground utilities, irrigation and drainage systems, and access driveways and approved driveway features. 3.26 Use of Easement Areas; Utility Installation. All easements shown on a Plat or Supplemental Plat covering any portion of the Common Interest Community have been created or reserved for the purposes indicated on such Plat and/or in this Master Declaration. No Owner or Occupant may erect any structure of any type whatsoever in such easement areas, nor may an Owner or Occupant use the surface of such easement areas for any private use, other than landscaping which will not interfere with the use of said easement by the Persons or entities for whose benefit it has been created or reserved and which receives the prior written approval of the Design Review Committee. With respect to easements created for access and/or utility purposes either by the terms of this Master Declaration or any other Recorded agreement or on a Plat, any and all bona fide public and private utility service companies, Special Districts, and the Club Property Owner (but only to the extent set forth in the Declaration of Easements and Rights), shall have the right of access, ingress, egress, and use of such easement areas for the installation, operation and maintenance of utility facilities serving the Common Interest Community and/or the Club Property, subject to the following limitations. Except as to special street lighting or other aerial facilities which may be required by the County, no aerial utility lines or facilities of any type (except meters, risers, service pedestals and other surface installations necessary to maintain or operate appropriate underground facilities) shall be erected or installed within the Common Interest Community, whether upon Lots, Association Property, easements, streets, or rights-of- way ights-ofway of any type, either by a utility company, a Special District, an Owner, the Master Association, the Club Property Owner or any other person or entity (including but not limited to any person owning or acquiring any part of the Common Interest Community) and all utility lines and facilities (including but not limited to water, sewer, gas, electricity, telephone, and cable tv) shall be buried underground. Provided, that during the construction of a residence on a Lot a temporary overhead power line may be installed which shall be promptly removed upon completion of construction. 3.27 Landscaping, Irrigation; Weed Control. No landscaping shall be performed on any Lot or on Association Property unless a landscaping plan therefore has received the prior written approval of the Design Review Committee, and all landscaping shall comply with the Design Guidelines. No lawn or other landscaping shall be permitted outside of the Building Envelope on a Lot. A landscaping plan for each Lot must be, approved by the Design Review Committee before construction is commenced on the residence on that Lot. Such landscaping plan must include landscaping to the waterline or any abutting lake or pond or ditch and to the pavement edge of any abutting road or parking area. Any substantial change in the type or location of approved landscaping vegetation shall require the further approval of the Design Review Committee. No artificial grass, plants or other artificial vegetation shall be placed or permitted to remain within the Common Interest Community (except indoors) without the prior written approval of the Design Review Committee. 681111088974.3 26 All irrigation practices within the Common Interest Community shall be governed by the Design Guidelines. Each Lot shall be allowed a maximum amount of irrigated area, as more specifically set forth in the Design Guidelines. Each Owner shall diligently maintain, trim, weed, cultivate, husband, protect, preserve and otherwise keep in a healthy and attractive condition the shrubs, trees, hedges, grass, planters, gardens and other landscaping upon or abutting the Owner's Lot, including, without limitation, the removal of dead and diseased branches and brush and the performance of other tasks necessary to remove or eliminate material which constitutes or creates a fire hazard or nuisance, and shall keep the Owner's Lot and abutting landscaped areas free of noxious weeds. The Master Association will inspect the Lots periodically, and may give written notice to the Owner or Occupant of a Lot containing a noxious weed infestation that corrective measures are required. If the weed infestation is not corrected within 10 days following the giving of such notice, the Master Association may enter upon the subject Lot to perform the work itself, or may contract to have the work performed by a third party, and all associated costs and expenses shall be assessed to the Lot Owner in the form of a Reimbursement Assessment. Each Owner shall cooperate with the Master Association in its brush clearing and fire protection husbandry program for reduction of fire hazard within the Common Interest Community. Each Owner shall also maintain all paved, concrete and other synthetically surfaced areas within the Owner's Lot, including but not limited to, driveway and parking areas, in good condition and repair. 3.28 Tennis Courts and Basketball Goals. Tennis courts, basketball goals, backboards and nets shall not be allowed unless they comply with the Design Guidelines and the written approval of the Design Review Committee is first obtained. Any permitted basketball backboards must be professionally manufactured, and must be installed on Hack poles, with a white or clear backboard. No garage or roof mounted basketball backboards shall be permitted. 3.29 Swimming Pools, Snas, and Related Equipment. Pools, spas or hot tubs may be erected, constructed or installed on Lots within the Common Interest Community, provided they comply with the Design Guidelines and receive the prior written consent of the Design Review Committee. If a pool, spa or hot tub is approved, all service equipment shall be fenced and located in either (a) a side yard between the front and rear boundaries of the residence, or (b) in the rear yard adjacent to the residence, and shall be adequately screened from any neighboring Lots, the Association Property, the Club Property, and all streets in the Common Interest Community. 3.30 Signs and Advertising. With the exception of one entry/identification sign per Lot during the period of actual construction on the Lot, which sign shall comply with the Design Guidelines, no sign, poster, billboard or advertising device of any kind shall be allowed or displayed upon any Lot or any Association Property within the Common Interest Community except: (a) such signs as may be used by the Declarant in connection with the development, marketing and sale of Lots or Wilderness Cabin Interests in the Common Interest Community; (b) such signs as may be required by legal proceedings, or the prohibition of which is precluded by law; (c) such signs as may be required for traffic control and for regulation of Association Property; (d) neighborhood monuments (e.g., entrance and directional signs) which are 684141 088974.3 27 • • compatible with the architecture of the area (e) such other signs as may be specifically authorized and regulated by the Design Guidelines; and (f) signs, the prohibition of which is prohibited by the Act. All permitted signs must comply with the Design Guidelines. 3.31 Camping and Picnicking. No camping or picnicking shall be allowed on Association Property except in areas, if any, that may be designated for such purpose by the Master Association. 3.32 Soliciting. No soliciting shall be permitted at any time within the Common Interest Community. 3.33 No Individual Water Wells or Individual Sewage Disposal Systems= Exceptions. No individual water wells, and no cesspools, septic tanks or other individual sewage disposal systems, shall be drilled, constructed, maintained or permitted to remain within the Common Interest Community, except such water and/or septic systems as may be installed by Declarant or Declarant's successor, assign or designee or the Master Association or a Special District to serve the Common Interest Community or portions thereof. Notwithstanding the foregoing, individual sewage disposal systems ("ISDS") shall be permitted on Ranch Lots or Mountain Lots as designated on the Final Plat, provided they comply with the Design Guidelines and receive the prior written approval of the Design Review Committee. Each Owner of a Ranch Lot or Mountain Lot with an allowable individual sewage disposal system must comply with all applicable requirements of the ISDS Operation and Maintenance Plan adopted by the Landis Creek Metropolitan District, which shall be incorporated into the Design Guidelines. Each such Owner of a Ranch Lot or Mountain Lot with an allowable individual sewage disposal system shall execute a contract with the Landis Creek Metropolitan District No. 1 for the performance of such responsibilities. The obligations of such Lot Owners shall be enforceable by either the Master Association or the Landis Creek Metropolitan District No. 1. In accordance with the P.U.D Plan, the Master Association shall contract with a third party operator, who must be at least a "Class C" operator to operate and maintain the Ranch Lot and Mountain Lot ISDS. The operator and the contract employing the operator must be acceptable to Garfield County Board of County Commissioners. 3.34 Regulation of Pesticides. The Design Review Committee may adopt reasonable rules and regulations governing the use and application of pesticides, herbicides, fertilizers and fungicides within the Common Interest Community. 3.35 Maintenance of Visibility at Street Intersections. No hedge, shrub, or planting which obstructs the sight lines between two and six feet above the street shall be placed or permitted to remain on any corner Lot within the triangular area formed by the street property lines and the line connecting them at -points twenty-five feet (25') from the intersection of the street lines or in the case of a rounded property corner from the intersection of the street lines as extended. The same sight line limitation shall apply to any portion of a Lot lying within ten feet (10') of the intersection of a street property line with the edge of a driveway pavement. No tree shall be permitted to remain within the above-described restricted areas unless the foliage line is maintained at or above six feet (6') above the street intersection elevation to prevent the obstruction of sight lines. 6811\1088974.3 28 3.36 Restoration of Improvements in the Event of Damage or Destruction. In the event of damage to or destruction of any Improvement on any Lot the Owner(s) thereof shall cause the damaged or destroyed Improvement to be promptly restored or replaced to its original condition or such other condition as may be approved in writing by the Design Review Committee, or the Owner(s) shall cause the damaged or destroyed Improvement to be promptly demolished and the Lot to be suitably landscaped, subject to the approval of the Design Review Committee, so as to present a pleasing and attractive appearance. Such Improvements shall be repaired, restored or otherwise demolished and suitably landscaped within such reasonable time frame as may be established by the Design Review Committee. 3.37 Leases. The leasing/rental of Wilderness Cabin Interests shall be governed by the Wilderness Cabin Interest ownership documents, and shall not be affected by this Section (except that a Wilderness Cabin Interest shall not be leased for any term of one week or less). Any Owner shall have the right to Lease his Lot or Duplex half under the following conditions: (a) All Leases shall be in writing, and must cover the entire Lot or Duplex half (i.e., no Leases of bedrooms alone or otherwise covering less. than all of the Lot or Duplex half shall be permitted). (b) No lease shall be for a term of less than one month, and no Owner may lease a Lot or Duplex half more than six times in any consecutive 12 -month period without the prior written consent of the Executive Board. The foregoing notwithstanding, and Owner may from time to time permit guests to occupy the residence or Duplex half, without consideration, provided the Master Association is given prior written notice of such occupancy, and further provided that such guest occupancies (in the aggregate) shall not exceed six instances in any consecutive 12 -month period without the prior written consent of the Executive Board. (c) All Leases shall provide (i) that the terms of the Lease and the tenant's (Occupant's) use of the Lot or Duplex half shall be subject in all respects to the provisions of this Master Declaration or any pertinent Supplemental Declaration, and the Articles, the Bylaws, and the Master Rules and Regulations, and the Design Guidelines, (ii) that the Occupant has received and reviewed copies of said documents, and (iii) that any failure by the Occupant to comply with any of the aforesaid documents, in any respect, shall be a default by Occupant under the Lease and a default by Occupant and Owner under said documents which may be enforced against Occupant and/or Owner by the Executive Board. (d) Each Owner shall notify the Master Association immediately upon the leasing of his Lot or Duplex half and shall provide the Master Association with a copy of the Lease and with the name and mailing address of the Occupant and the mailing address (if changed) of the Owner. (e) Each Owner who [eases a Lot or Duplex half shall be responsible for assuring compliance by the Occupant with all of the provisions of this Master Declaration, any pertinent Supplemental Declaration, the Articles, the Bylaws, the Master 68l1\1088974.3 29 • • • • • Rules and Regulations, and the Design Guidelines, and shall be jointly and severally responsible with the Occupant for any violations thereof by the Occupant. (f} Each Lease shall expressly provide that the Master Association (via the Executive Board) shall have the right to give the Occupant written notice that the Occupant is in violation of one or more of the documents listed in subsection (c) above, which notice shall specify a period of time (at least 5 days) in which the Occupant may cure the violation. If the violation continues uncured, or if it is repeated within the 3 -month period following the date of the first notice, the Lease shall provide that the Owner gives to the Master Association an irrevocable power of attorney to act on the Owner's behalf to give such statutory notices to the Occupant and to take such other actions as may be necessary or appropriate to terminate the Lease and to evict the Occupant from the Premises. If a Lease does not contain such provisions, the Owner hereby irrevocably appoints the Master Association as its attorney-in-fact to act on its behalf as set forth herein. 3.38 Right of Entry. During reasonable hours and upon reasonable notice to the Owner or Occupant of a Lot or Duplex half, any member of the Design Review Committee, any member of the Executive Board, and any authorized representative of either of them, shall have the right to enter upon and inspect any Lot or Duplex half, and the Improvements thereon, except for the interior portions of any occupied dwelling (which shall require the permission of the Owner or Occupant, except in case of emergency, when no notice or permission shall be required), for the purpose of ascertaining whether or not the provisions of this Master Declaration (or of any Supplemental Declaration) and of the Design Guidelines have been or are being complied with, or for the purpose of exercising any rights or performing any responsibilities (maintenance, repair, etc) established by this Master Declaration or any Supplemental Declaration, and such individuals shall not be deemed guilty of trespass by reason of such entry. 339 Damage by Owners During Construction. Each Owner is responsible for any damage caused to roads, streets, ditches, fences, trails, natural or constructed drainage courses, utilities, Association Property, or to other Lots or Improvements thereon, during the construction or alteration of Improvements upon the Owner's Lot, including without limitation damage caused by any construction vehicles using the roads or streets within the Common Interest Community. Damage shall include any degradation in the appearance or condition of such roads, streets, Association Property, or other Lots or Improvements. The responsible Owner shall promptly repair and clean up any such damage, at its sole expense. Each Owner shall also be responsible for any damage caused by utility cuts in roads, and for washouts and runoff damage caused by failure to properly install culverts, and to promptly repair any such damage. If the Owner fails to repair any such damage within 10 days following receipt of a written notice from the Executive Board requesting the same, the Executive Board shall have the right to perform such repairs on behalf of the Owner, and to levy a Reimbursement Assessment upon the Owner and its Lot to recover the costs thereof. 3.40 Restrictions on Resubdivision, Property Restrictions, and Rezoning. Except as expressly permitted in this Master Declaration or in a Supplemental Declaration by which additional property is annexed to the Common Interest Community, (i) no Lot shall ever be 68\I\1088974.3 30 further subdivided or replatted by an Owner into smaller Lots, (ii) no physical portion less than all of any such Lot, nor any easement or divided interest therein, shall be conveyed, transferred or encumbered by the Owner, and (iii) no Lot may be combined with any other Lot nor the boundary lines adjusted between any two Lots. (a) Declarant reserves the right to subdivide or replat a Lot, or to subdivide a Duplex, or to combine two Lots owned by Declarant, or to adjust or remove boundary lines between Lots owned by Declarant, provided any necessary County approvals are obtained, all Declaration and Plat amendments required by the Act andlor local land use laws are prepared, executed and Recorded, and the necessary reallocation of Allocated. Interests of the Owners is accomplished. The specific requirements for subdividing a Duplex are set forth in subsection (b) below. Similarly, the Owner of a Lot on which a Duplex has been legally constructed shall have the right to subdivide the same upon compliance with such requirements. In the case of the subdivision of a Lot or Duplex into two or more Lots, each Lot created thereby shall constitute a Lot for purposes of reallocation of Common Expense liability and voting interests. In the case of the combination of two Lots, such interests shall be reallocated to reflect the fact that two Lots have been eliminated and one Lot created in its place, unless the Executive Board requires that the combined Lots continue to pay two Assessments. All costs relating to the foregoing activities shall be the sole responsibility and obligation of Declarant, or of the Owner performing the same. Declarant's rights under this subsection (a) shall terminate upon the first to occur of (i) the date which is 30 years after the Recording of this Master Declaration, or (ii) Declarant's relinquishing of these rights by a Recorded instrument. (b) Subdivision of a Duplex shall be accomplished by the recording of a Plat Amendment signed by the County and the Declarant or other Lot Owner that subdivides the Lot into two Lots along the center of the common wall in the Duplex, and a Duplex Declaration signed by the Declarant or other Lot Owner which (i) establishes the Lot designations for the two new Lots created by the Plat Amendment (e.g., Lots 5A and 5B) and amends the Allocated Interests to reflect the creation of two Lots in place of one Lot, (ii) establishes the respective rights and obligations of the Lot Owners with respect to the insuring, use, maintenance, repair and replacement of common structural elements and utility systems of the Duplex and of exterior surfaces, yard areas and landscaping, (iii) provides for a reasonable allocation between the Lot Owners of the common costs and expenses associated with the Duplex, and (iv) establishes a procedure for billing and paying such common expenses and for collecting the same (including interest) from a delinquent Owner. Master Association Regular and Special Assessments shall, of course, be allocated in accordance with the Allocated Interests, as amended. (c) The boundaries between adjoining Lots may also be adjusted or removed (i.e., the Lots combined) by the Owner(s) thereof other than Declarant, if (i) the written consent of the Executive Board is first obtained, in the sole discretion of the Executive Board, (ii) all applicable regulations and codes are complied with and all necessary County approvals are obtained, (iii) the proposed adjustment or removal does not violate the terms of any document evidencing a security interest in the subject Lots, (iv) all Declaration and Plat amendments required by the Act andlor local land use laws are 6811\1088974.3 3I • • • • • • prepared, executed and Recorded, and (v) the necessary reallocation of Allocated Interests of the Owners is accomplished pursuant to the guidelines set forth above or as otherwise required by the Executive Board. All costs relating to such activity (including the attorneys' fees and costs incurred by the Executive Board in reviewing and acting upon the matter) shall be the sole responsibility and obligation of the Owner(s) applying for the same. (d) No Owner of a Lot shall grant or convey any easement rights affecting any portion of the Lot without the prior written consent of the Executive Board. (e) With the exception of a Duplex Declaration, no further covenants, conditions, restrictions or easements shall be Recorded by any Owner (except Declarant in the exercise of its reserved rights) or other Person against any Lot or any Wilderness Cabin Interest without the provisions thereof having been first approved in writing by the Executive Board for consistency with the Master Declaration, any applicable Supplemental Declaration, and the general plan of development for the Common Interest Community. Any covenants, conditions, restrictions or easements Recorded without such approvals being evidenced thereon shall be null and void. This provision does not apply to Mortgages. (f) No application for rezoning of any Lot, and no application for any variance or special use permit for any Lot, shall be filed with any governmental authority by any Owner (except Declarant in the exercise of any reserved rights) unless the proposed use of the Lot has first been approved in writing by the Executive Board and the proposed use otherwise complies with the Master Declaration and any applicable Supplemental Declaration.. 3.41 Health, Safety and Welfare. In the event any uses, activities, or facilities within the Common Interest Community are deemed by the Executive Board to be an unreasonable annoyance or nuisance, or to adversely affect the health, safety or welfare of Owners or Occupants, the Executive Board may amend the Master Rules and Regulations in order to appropriately restrict and regulate such uses, activities or facilities within the Common Interest Community. Such rules shall be consistent with the purposes and provisions of this Master Declaration. 3.42 Implementation and Variances. The Executive Board may implement the restrictions set forth in this Article 3, or otherwise restrict and regulate the use and occupancy of the Common Interest Community and the Lots and Wilderness Cabin Interests by reasonable Master Rules and Regulations of general application adopted by the Executive Board from time to time. The Executive Board may, in its sole discretion and in extenuating circumstances, grant variances from any of the restrictions set forth in this Article 3 (excepting any such restrictions with respect to which the Design Review Committee has the authority to grant variances under Section 6.19 below), if the Executive Board determines, in its sole discretion, (a) either (i) that a particular restriction creates a substantial hardship or burden on an Owner or Occupant, which hardship or burden was not caused by said Owner or Occupant, or (ii) that a change of circumstances since the Recordation of this Master Declaration has rendered such restriction obsolete, and (b) that the activity permitted under the variance, in the judgment of the Executive 68\111088974.3 32 Board, will not have any material adverse effect on the Owners and Occupants of the Common Interest Community (including neighboring Lots) and is consistent with the high quality of living 411/ intended to be promoted hereby throughout the Common Interest Community. When an Owner applies for a variance, the Board must give at least ten (10) days advance written notice of the variance hearing, and of the nature of the variance requested, postage prepaid, by certified mail, return receipt requested, to all Owners of Lots (including Wilderness Cabin Interests) that are situated within a radius of 300 feet of the Lot for which the variance is sought, at the current addresses for such Owners reflected in the Master Association files. The applying Owner roust provide the Committee with an accurate list of the Owners to be so notified. If the foregoing notice requirements are complied with, it is not necessary that the Owners actually receive the notice that is mailed to them, such notices being deemed received upon mailing. No variance shall conflict with the P.U.D. Plan or with ordinances or regulations of the County. If a variance from the P.U.D. Plan, County laws or regulations is also required in connection with a matter for which a variance is desired hereunder, it shall be the Owner's responsibility to obtain such County variance before submitting a variance application to the Executive Board. 3.43 Declarant Activities. Nothing contained in this Master Declaration is intended or shall be construed to prevent, restrict, regulate or delay in any way Declarant's right and ability to develop, improve, maintain, repair, regulate, operate, administer, manage; market, sell, lease, encumber or dispose of the Common Interest Community, the Lots, the Wilderness Cabin Interests, the Association Property, the Annexable Property, additional unspecified real estate, or any part thereof, including the right to construct Improvements and install signs thereon, all in the complete discretion of Declarant. ARTICLE IV ROADS AND STREETS IN COMMON INTEREST COMMUNITY 4.1 Ownership and Maintenance. Declarant reserves the right from time to time to convey some or all of the platted roads and streets in the Common Interest Community, together with any associated road drainage easements and facilities, to Garfield County for the use of the public, or to a Special District, or to the Master Association. Whatever entity holds title to a road or street shall be responsible for the maintenance, repair and replacement thereof, although such entity may contract to have such services performed by a third party including, in the case of Master Association ownership, by a Special District. With respect to any roads or streets that are not conveyed or dedicated to Garfield County or a Special District, the Master Association shall formally adopt a maintenance and repair plan for the maintenance and repair of such privately owned roads or streets. 4.2 Easement for Access. There is hereby created, granted and reserved for the use and benefit of Declarant, the Master Association, all Owners and Occupants, and the Club Property Owner and all Club Members and other authorized users or employees of the Club Property, perpetual, nonexclusive easements and rights-of-way over, across and along all platted roads and streets in the Common Interest Community for purpose of access, ingress and egress to and from their respective properties. No road or street shall be used for access to any lands lying 68\1\10889743 33 • • • outside the Common Interest Community, except the Club Property, unless Declarant expressly grants such access rights to neighboring lands. 4.3 Reserved Declarant Rights. Declarant reserves the following rights with respect to roads and streets in the Common Interest Community, which rights may be exercised by Declarant from time to time in its sole discretion, and without requiring the consent of any Owner or Mortgagee or Special. District or the Master Association, to wit: (a) The right to redesignate, relocate, replat or close any such roads or streets that have not been conveyed to the County, so long as no Owner is denied reasonable ingress and egress from its Lot to a public road by reason thereof. In the event Declarant exercises such right, the access easement over such replatted (etc.) road or street shall automatically terminate, and if necessary the Master Association or Special District shall reconvey the original road or street to Declarant. (b) The right to limit, restrict or deny entry to and/or access over the roads and streets or some of them to any person or persons (except Owners and Occupants) who, in the sole judgment of Declarant, do not have legitimate business in the Common Interest Community, or who may create or participate in a disturbance or nuisance within the Common Interest Community, or who is otherwise undesirable, through use of a controlled or guarded entrance way or limited access gate, or through such other means and upon such terms and conditions as Declarant may determine to be reasonably appropriate; the right to control and regulate all forms of vehicular and non -vehicular traffic and parking on all or some of said roads and streets; the right to require the removal of any shrub, bush, fence, wall, tree or other item of any sort which might, in the sole judgment of Declarant, impair, or obstruct a motorist's vision on any road or street within or adjacent to the Common Interest Community; and the right to adopt and enforce such other rules and regulations governing the use of such roads and streets as Declarant may consider necessary or appropriate form time to time. (c) The right to grant temporary or permanent non-exclusive access easements over roads and streets (or some of them) in the Common Interest Community for the use and benefit of lands lying outside the Common Interest Community on such terms and conditions as Declarant may consider appropriate. (d) The right to assign any one or more of these reserved rights to the Master Association or to a Special District. (e) All of the foregoing rights shall be permissive only, and neither Declarant nor any assignee of such rights shall have any obligation to exercise any of such rights. 4.4 No Liability for Gatehouses or Entry Gate or Security Patrol. If one or more gatehouse (manned or unmanned) or limited access entry gates are provided at entrances to the Common Interest Community, and/or if same form of security patrol is provided within the Common Interest Community or any part thereof, neither the Declarant, the Master Association, nor any Special District shall have any liability to any person for any injury, loss or damage of any kind or nature whatsoever arising from the fact that any gatehouse is not manned or from the 681111 088474.3 34 failure of any person staffing a gatehouse or any mechanical or electrical entry system or any security patrol personnel to prevent or detect a theft, burglary, or any other unauthorized entry into or activity within the Common Interest Community. 4.5 Rights Appurtenant to Club Property. In addition to the access easement established in Section 4.2 above, all platted roads and streets in the Common Interest Community are subject to the access, parking and other rights granted to and enjoyed by the Club Property Owner and all authorized users, invitees (including the public) and employees of the Club Property as set forth in the Declaration of Easements and Rights, including without limitation the right to use such roads and streets for ingress and egress to the Club Property and for parking at, reasonable times before, during and following golf tournaments and other functions held upon the Club Property. All such access, parking and other rights shall be subject at all times to such reasonable rules and regulations as may be promulgated from time to time by the owner or owners of the roads and streets (i.e., the Declarant, the County, the Master Association or a Special District) governing the use of and parking upon the roads and streets, provided such rules and regulations do not substantially impair the rights granted to the Club Property Owner under the Declaration of Easements and Rights. ARTICLE V WATER AND SEWER SYSTEMS 5.1 Water System. The Water System shall be used as the sole source of potable water within the Common Interest Community, unless another source is expressly authorized by the owner of the Water System. The Water System shall be constructed, maintained and operated in conformance with the rules, regulations, approvals and permitting procedures of all applicable governmental authorities, and the operation thereof shall be governed by such reasonable rules and regulations as may be promulgated from to time by the owner/operator of the Water System. Each Owner shall pay the tap fees and user charges established from time to time by the owner/operator of the Water System. No Owner shall make, install, use, maintain or permit to exist any cross connection between the Water System, including the portion of the Water System that is contained within an Improvement on a Lot, and any pipe, plumbing, fixture, tank, receptacle, equipment or other appurtenance on or serving the Owner's Lot that is a source of contaminated or polluted water, unless the Water System is protected with a backflow prevention assembly that is approved in advance by the owner/operator of the Water System. No water service connection to any Improvement shall be installed, maintained or used unless the Water System is protected in the matter required by the owner/operator of the Water System. Said owner/operator shall discontinue water service to any Improvements if it is determined that an unprotected cross connection exists or that a proper backflow prevention assembly has not been installed or tested or that any such assembly has been removed, bypassed, otherwise rendered ineffective, or improperly maintained or tested. Service shall not be restored until such conditions or defects have been corrected to the satisfaction of the owner/operator of the Water System. 5.2 Sewer System. The central sewage collection and treatment system for the Common Interest Community (excepting the Mountain Lots) shall be constructed, maintained and operated in conformance with the rules, regulations, approvals, and permitting procedures of 68\1\1088974.3 35 • • • all applicable governmental authorities, and the operation thereof shall be governed by such reasonable rules and regulations as may be promulgated from time to time by the owner/operator of the system. Each Owner shall pay the user charges established from time to time by the owner/operator of the system. 5.3 Ownership and Maintenance of Systems. The Water and/or Sewer Systems or portions thereof may be conveyed at any time and frorn time to time to the County or other appropriate governmental or quasi -governmental entity, a Special District, or the Master Association, and shall be maintained, repaired, improved, replaced, operated and managed by the owner(s) thereof from time to time or by a third party pursuant to contract. Provided, that each Owner shall be responsible for maintaining and repairing all portions of the Water System and the Sewer System that are located within the boundaries of the Owner's Lot. 5.4 Sprinkler Irrigation System. An underground sprinkler system shall be installed, maintained and used to irrigate all landscaping on Lots within the Common Interest Community and all other landscaped areas which an Owner is responsible for maintaining. Said Sprinkler Irrigation System shall be connected to and supplied by the Water System, unless expressly prohibited by the County or other applicable authority or by the owner/operator of the Water System, or unless another source is approved by the Master Association. If well water is approved for irrigation use by applicable Colorado law and by the Master Association, any underground sprinkler system which utilizes well water shall employ a rust inhibitor system approved by the Design Review Committee so that rust deposits will not accumulate on any building, wall or paved area. No Owner may have a connection between the Water System and a line carrying water from a source other than the Water System, including a well. Each Owner shall pay all user charges levied from time to time by the owner/operator of the Sprinkler Irrigation System. 5.5 Ownership and Maintenance of Sprinkler Irrigation System. The Sprinkler Irrigation System or portions thereof may be conveyed at any time and from time to time to the Master Association or to a Special District, and shall be maintained, repaired, improved, replaced, operated and managed by the owner(s) thereof from time to time or by a third party pursuant to contract. Provided, that each Owner shall be responsible for maintaining and repairing all portions of the Sprinkler Irrigation System (including the sprinkler heads) that are located within the boundaries of the Owner's Lot. Each Owner shall also be responsible for repairing (or paying for the repair of by the owner/operator of the System) any damage to the Sprinkler Irrigation System caused by the Owner or any Occupant of the Owner's Lot. No Owner shall make any Improvements to the Owner's Lot which damage or impair the functioning of the Sprinkler Irrigation System as it serves the Lot or other parts of the Common Interest Community, and any alterations in or changes that an Owner may wish to make to the Sprinkler Irrigation System located on the Owner's Lot shall first receive the prior written approval of the owner/operator of the System. 5.6 Easements. There are hereby created. granted and reserved to the Declarant, the Master Association, and any applicable Special District, perpetual, non-exclusive easements along the as -built alignment and in the as -built location of all elements and components of said Water System, Sewer System, and Sprinkler Irrigation System, throughout the entire Common 68\111088974 3 36 Interest Community, for the construction, installation, operation, use, maintenance, repair, removal and/or replacement thereof and for access thereto for such purposes. ARTICLE VI DESIGN REVIEW COMMITTEE 6.1 Establishment of Design Review Committee. The Common Interest Community shall have a Design Review Committee, which shall consist of an odd number of members with a minimum of three (3) members and a maximum of seven (7) members, each of whom shall either be (i) a representative of the Declarant, (ii) an Owner or Occupant of a Lot or a Wilderness Cabin Interest in the Common Interest Community, or (iii) a local architect, landscape architect or engineer. For so long as Declarant owns any Lots in the Common Interest Community (including annexations thereto), or until Declarant relinquishes said right to the Master Association by written notice thereto, Declarant hereby reserves and shall have the sole right to appoint, and to remove without cause, all members of the Design Review Committee, for such terms as Declarant considers appropriate. Following the expiration or relinquishment or other termination of Declarant's right to appoint members of the Design Review Committee, all such members shall be appointed and removed from time to time by the Executive Board in its discretion, and shall serve for such term as may be established by the Executive Board from time to time. A member appointed by the Executive Board may be removed by the Executive Board at any time upon written notice, without cause. Subject to the three (3) member minimum and seven (7) member maximum, and to the membership criteria set forth above, Declarant, or following termination of Declarant's rights under this Section the Executive Board, may increase or decrease the size of the Design Review Committee from time to time in its discretion, The Executive Board may hire or appoint a secretary for the Design Review Committee and shall provide appropriate compensation for any such secretarial services. 6.2 Establishment of Subcommittees. The Design Review Committee shall have the right but never the obligation to establish one or more subcommittees to perform one or more of the functions of the Design Review Committee. For purposes of this Master Declaration, all references to the Design Review Committee shall also refer to any subcommittee established by the Design Review Committee. The procedures for establishment of subcommittees, the rights and duties thereof, and the limitations thereon may be established and adopted by the Design Review Committee from time to time, in its discretion. 6.3 Meetings and Action of Committee. The Design Review Committee shall meet from time to time as necessary to perform its duties hereunder. The Design Review Committee may from time to time, by resolution in writing adopted by a majority of the members, designate a Committee Representative (who may but need not be one of its members) to take any action or perform any duties for or on behalf of the Design Review Committee, except the granting of approval for any Improvements and the granting of variances. The action of such Committee Representative within the authority of such Committee Representative shall constitute the action of the Design Review Committee. A majority of the members of the Design Review Committee shall constitute a quorum of the Committee. Actions of the Committee may be taken (without a meeting) by the written consent of a majority of the members thereof, or at a meeting at which a quorum is present in person, by .the vote of a majority of such members constituting the quorum, but in no event less than two (2) members, 681111 088974.3 37 • 1 • • • 6.4 Compensation; Expenses. The members of the Design Review Committee shall be entitled to reasonable compensation for their services on the Design Review Committee, which compensation shall be set by the Design Review Committee from time to time. The members of the Design Review Committee shall also be entitled to reimbursement for reasonable expenses incurred by them in the performance of their duties hereunder. All expenses of the Design Review Committee, including reasonable compensation of the members thereof, shall be paid by the Master Association and shall constitute a Common Expense. 6.5 Records of Actions. The Design Review Committee shall keep a permanent record of all final actions of the Design Review Committee. 6.6 Approvals in Annexed Areas. The Design Review Committee shall also be responsible for reviewing and approving all proposed Improvements on Lots within properties hereafter annexed to the Common Interest Community, unless a different reviewing body or procedure is established in the Supplemental Declaration which annexes such property. 6.7 Design Guidelines. The Design Review Committee has established an initial set of rules, procedures, standards, guidelines and requirements, including without limitation architectural, design and development standards and guidelines, which shall govern the review and approval or disapproval of proposed Improvements within the Common Interest Community, and other matters provided for therein (the "Design Guidelines"). The Design Review Committee may make such amendments, deletions or additions to the Design Guidelines as the Committee deems necessary or appropriate from time to time to accomplish the purposes of (and as are not in conflict with) this Master Declaration and of any pertinent Supplemental Declaration and to ensure the orderly and attractive development of the Common Interest Community. Upon its adoption, each such amendment shall be provided to the Executive Board. The Design Guidelines (as they may be amended from time to time) are hereby incorporated herein and shall be deemed to be a part of this Master Declaration and of all Supplemental Declarations and shall be binding on the Common Interest Community, and on all Lot and Wilderness Cabin Interest Owners, Occupants, Members or other Persons as if expressly set forth herein. A copy of the current Design Guidelines shall, at all times, be a part of the Master Association's records. The Design Review Committee, in its sole discretion, shall have the authority and obligation to determine the existence of any violation of the Design Guidelines or of any approvals granted or other decisions made by, or other requirements of, the Design Review Committee, which determination shall be binding on the Owners. The Design Review Committee, in its sole discretion, shall also have the authority and obligation to resolve disputes involving any Shared Driveway Easement designated on a Plat or on a Supplemental Plat, between the Owners of Lots served by the Shared Driveway Easement, which resolution shall be binding on such Owners. as provided in Section 9.16 below. The Design Guidelines shall at all times include "best management practices" which minimize directly connected impervious areas for storm water runoff within Lots and shall be consistent and comply with the P.U.D. Plan and Wildlife Mitigation Plan. 6.8 Design Review Fee. The Design Review Committee shall adopt, and may from time to time amend, a design review fee schedule which shall apply to requests for the original construction of a residential improvement, and for each subsequent request for approval of an Improvement on a Lot including remodels, renovations or other alterations of the original 68\1\1088974.3 38 approval, except that no fee shall be charged for any proposed alteration or addition to an approved landscaping plan. The design review fee schedule shall be set forth in the Design Guidelines. The applicable fee must accompany each request for approval of any proposed Improvement. The Design Review Committee shall, not take any action on a request for approval until all required fees are paid in connection therewith. All fees collected by the Design Review Committee shall be remitted to the Master Association to help defray the expenses of the Design Review Committee's operation. 6.9 Registration of Builders. The construction or renovation of residential improvements on Lots within the Common Interest Community shall be accomplished only by general contractors who are "Registered Builders" as provided in this Section. Subcontractors need not be Registered Builders. In order to register as a Registered Builder, a contractor must submit to the Design Review Committee a signed "Registered Builder Statement" which recites as follows: (a) That the builder is a licensed general contractor in Garfield County, Colorado; (b) The names and addresses of the Iast 5 clients for whom the builder has constructed homes or other structures; (c) That the builder expressly authorizes each of said clients to speak to representatives of the Design Review Committee and/or the Owner regarding the builder's performance for that client, and further authorizes the Design Review Committee to pass on any such performance information to the Owner; (d) That the builder will provide the Owner with, a current financial statement, if requested by the Owner; (e) That the builder will allow the Owner to obtain a credit report on the builder, if requested by the Owner; and (f) That the builder will furnish the Owner with such other information about the builder as the Owner may reasonably request. Upon delivery of a Registered Builder Statement containing all of the required information to the Design Review Committee, a contractor shall be deemed to be a Registered Builder for purposes hereof. Before commencing work on the construction or renovation of a residential improvement on a Lot, the Registered Builder shall obtain a Builder's Risk Insurance Policy covering all Improvements to be constructed on the Lot, with the benefits payable to the Owner, and shall deliver copies of the Policy to the Design Review Committee and to the Owner. In the case of minor renovations where the Design Review Committee does not consider such Policy necessary, the Design Review Committee may waive this requirement, in its sole discretion. 6.10 Design Review and Construction Process. Every Owner proposing to make Improvements on its Lot must comply with the design review and construction procedures that are set forth in the Design Guidelines. 68\1\1088974.3 39 • • • • • 6.11 Submission of Plans, Specifications and Data. Prior to commencement of work to accomplish any proposed Improvements, the Owner proposing to make such Improvements shall submit to the Design Review Committee such descriptions, surveys, plot plans, excavation plans, drainage plans. elevation drawings, construction plans, landscaping plans, waterscaping plans, specifications, and samples of materials and colors as the Design Review Committee shall reasonably request showing among other things the nature, kind, shape, height, width, exterior design, color, materials, and location of the proposed Improvements. The Owner shall also inform the Design Review Committee of the identity of the Owner's proposed Builder, who shall be a Registered Builder. All submissions shall conform to and be in accordance with the Design Guidelines established pursuant to Section 6.7. The Owner shall be entitled to receive a receipt for the same from the Design Review Committee or its authorized agent. The Design Review Committee may require submission of additional plans, specifications, or other information prior to approving or disapproving, the proposed Improvements. Until receipt by the Design Review Committee of all required information and materials in connection with the proposed Improvements and Builder, the Design Review Committee may postpone review of the application. 6.12 Criteria for Approval or Disapproval. The Design Review Committee shall approve any proposed Improvements only if it determines in the exercise of its reasonable judgment that the P.U.D. Plan and the Design Guidelines have been complied with; that the proposed Improvements will not be detrimental to the value or enjoyment of the surrounding areas in the Common Interest Community; that the siting, design, appearance and overall aesthetic impact of the proposed Improvements will be in harmony with the surrounding areas in the Common Interest Community; that the proposed Improvements will enhance the quality, wholesomeness, and attractiveness of the Common Interest Community and the enjoyment thereof by Lot and Wilderness Cabin Interest Owners; that the upkeep and maintenance of the proposed Improvements will not become a burden on the Master Association; and that in the case of construction or renovation of a residential dwelling, the work will be performed by a Registered Builder. The Design Review Committee may condition its approval of any proposed Improvements upon the making of such changes therein as the Design Review Committee may deem reasonably appropriate, and may require that additional landscaping be performed on the subject Lot. The approval by the Committee of any Improvement shall in no event imply or require that such approval will be granted again in the future for the same or a similar Improvement, and the Committee shall have complete discretion, consistent with the standards and criteria contained herein and in the Design Guidelines, to grant or deny such approval in each instance on the merits of the particular application or proposal and considering the circumstances surrounding the same. 6.13 Decisions of Committee; Binding Effect. Decisions of the Design Review Committee shall be made in accordance with the procedures established in the Design Guidelines, and shall be conclusive and binding on all interested parties. 6.14 Completion of Work After Approval. Following the approval of any proposed Improvements by the Design Review Committee (and identification of the Registered Builder, where required), the proposed Improvements shall be completed by the Lot Owner (using the 68\1\1088974.3 40 Registered Builder): (a) as promptly and diligently as possible but in no event in excess of the time periods set forth below; (b) in compliance with the Design Guidelines and with all applicable laws, regulations and codes, (c) in strict conformance with all plans and specifications and other materials furnished to and approved by the Design Review Committee; and (d) in accordance with any and all conditions imposed by the Design Review Committee. All Improvements approved by the Design Review Committee shall be completed, including issuance of a Certificate of Compliance and the removal of all construction equipment, materials and debris (i) within 18 months from the date of approval of such Improvements by the Design Review Committee, or (ii) within such other time period as the Design Review Committee may prescribe in its discretion. Provided, however, that any and all landscaping anti/or gardening approved by the Design Review Committee which is related to the initial construction of a residence on a Lot shall be completed no later than 90 days immediately following the issuance of the Certificate of Occupancy for such residence. In all cases, the Design Review Committee must issue a "Certificate of Compliance" before an Owner or Registered Builder applies to the County for a Certificate of Occupancy. Failure to comply with the terms and conditions of this Section shall constitute noncompliance with the terms and provisions of this Master Declaration and the Design Review Committee and/or the Executive Board shall have the right to invoke all rights and remedies provided to them hereunder, including but not limited to, the right to seek injunctive relief and/or to impose fines and penalties. 6.15 Right to Inspect. Any member or authorized consultant of the Design Review Committee or of the Executive Board, or any authorized officer, employee or agent of the Declarant or of the Master Association, may (but shall not be obligated to) at any reasonable time enter upon any Lot, without being deemed guilty of trespass, in order to inspect Improvements constructed or being constructed on such Lot, to ascertain whether such Improvements have been or are being built or changed in compliance with the Design Guidelines, the approvals granted by the Design Review Committee, and this Master Declaration. 6.16 Notice of Completion; Inspection of Work; Correction of Defects. (a) Upon the completion of any Improvements (excepting the related landscaping) for which plans and specifications have been approved by the Design Review Committee, the Owner or the Registered Builder shall submit to the Committee a written Notice of Completion, on a form to be provided by the Committee, which Notice shall certify that the Improvements have been completed in accordance with all plans, specifications and other materials furnished to and approved by the Committee, any conditions imposed by the Committee, and with the Design Guidelines. Until receipt of such Notice, the Committee shall not be deemed to have any notice regarding completion of the Improvements. (b) Within fourteen (14) days following receipt of the Notice of Completion, the Design Review Committee or its duly authorized representative shall inspect the Improvements. If the Committee finds that the Improvements have not been completed as set forth in the Notice of Completion, it shall notify the Lot Owner in writing of such noncompliance within said fourteen (14) day period, specifying the particulars of noncompliance, and shall require the Owner to remedy the same. If for any reason other 68\1 \1088974.3 41 • • than the Lot Owner's act or neglect, the Committee fails to notify the Owner of any noncompliance prior to the expiration of said fourteen (14) day period, the Improvements shall be deemed in compliance if the Improvements were, in fact, completed as of the date of the Notice of Completion and the Owner or Registered Builder may proceed to request a Certificate of Occupancy from the County. (c) If upon the expiration of thirty (30) days from the date of such notification of non-compliance the Lot Owner shall have failed to remedy such noncompliance, the Design Review Committee shall notify the Executive Board in writing of such failure. Thereupon the Executive Board (and its duly authorized representatives), at the Executive Board's option, may enter upon the Lot at any reasonable time after notice to the Owner, without being deemed guilty of trespass, and remove the noncomplying Improvement or otherwise remedy the noncompliance, and the Owner shall reimburse the Master Association, upon demand, for all expenses, including interest on monies expended and attorneys' fees incurred in connection therewith. If such expenses are not repaid by the Owner to the Master Association within thirty (30) days following delivery of a written demand therefore to the Owner, the Executive Board may levy a Reimbursement Assessment against such Owner and the Owner's Lot for all such costs and expenses. The right of the Master Association to remedy or remove any noncompliance shall be in addition to all other rights and remedies which the Master Association may have at law, in equity, or under this Master Declaration or any Supplemental Declaration; and the Lot Owner shall have no claim for damages or otherwise on account of the entry upon the property and remedying or removal of the noncomplying Improvement. 6.17 Certificate of Compliance. When the Design Review Committee is satisfied that the Improvements have been completed in accordance with all plans, specifications and other materials furnished to the Design Review Committee, any conditions imposed by the Committee, and with the Design Guidelines, it shall issue to the Owner a Certificate of Compliance with respect to said Improvements. Upon receipt of such Certificate, the Owner or Registered Builder may proceed to request a Certificate of Occupancy from the County. No newly constructed residence on a Lot shall be occupied until a Certificate of Compliance has been issued therefore by the Design Review Committee and a Certificate of Occupancy has been issued therefore by the County. 6.18 Improvements Must Conform to Approvals.. No building, fence, wall, structure, landscaping or other Improvement of whatever type shall be commenced, constructed, erected, placed, installed, located, maintained or removed within the Common Interest Community, nor shall there be any additions or changes to the exterior of any residence or other structure or Improvement upon a Lot or the landscaping, grading or drainage thereof, including without limitation, the painting or staining (other than painting or staining with the same color and type of paint or stain as previously existed) of exterior walls, patio covers and fences, except in accordance with plans and specifications therefore which have been submitted to and approved by the Design Review Committee and in compliance with the Design Guidelines. 6.19 Committee Power to Grant Variances. The Design Review Committee may grant variances from any of the restrictions set forth in this Master Declaration or any Supplemental Declaration or the Design Guidelines pertaining to proposed Improvements and 68111 i 088974.3 42 the criteria therefore, including restrictions upon height, size, floor area, setbacks, location or placement of structures, or similar restrictions, when (i) unique circumstances not created by the Lot Owner, such as topography, natural obstructions, or aesthetic or environmental considerations would otherwise result in substantial hardship or burden which is not suffered by other similarly -situated Lots, or (ii) when a change of circumstances since the Recording of this Master Declaration has rendered such restriction obsolete, and (iii) in either case, when the Design Review Committee determines that the activity allowed by the variance will not have any material adverse effect on the Owners and Occupants of the Common Interest Community (including neighboring Lots) and is consistent with the high quality of living intended to be promoted hereby throughout the Common Interest Community. When an Owner applies for a variance, the Committee must give at least ten (10) days written notice of the variance hearing, and of the nature of the variance requested, postage prepaid, by certified mail, return receipt requested, to all Owners of Lots (including Wilderness Cabin Interests) that are situated within a radius of 300 feet of the Lot for which the variance is sought, at the current addresses for such Owners reflected in the Master Association files. The applying Owner must provide the Committee with an accurate list of the Owners to be so notified. If the foregoing notice requirements are complied with, it is not necessary that the Owners actually receive the notice that is mailed to them, such notices being deemed received upon mailing. All variances that are granted by the Design Review Committee must be evidenced in writing, must specify the Lot for which the variance is granted and the unique circumstances or change in circumstances justifying the variance, and must be signed by at least a majority of the members of the Committee. If any such variance is granted, no violation of the covenants, conditions and restrictions contained in this Master Declaration or any Supplemental Declaration or the Design Guidelines shall be deemed to have occurred with respect to the matter for which the variance was granted. The granting of such a variance shall not operate to waive any of the terms and provisions of this Master Declaration or of any Supplemental Declaration or the Design Guidelines for any purpose except as to the particular property and particular provision hereof covered by the variance. A copy of each variance request and approval, or denial, will be kept on file at the Master Association offices. The granting of a variance in a particular instance shall in no event imply or require that such a variance will be granted again in the future in a similar situation, and the Committee shall have complete discretion, consistent with the standards and criteria contained herein and in the Design Guidelines, to grant or deny a variance in each instance on the merits of the particular application and considering the circumstances surrounding the same. No variance shall conflict with the P.U.D. Plan or with ordinances or regulations of the County. If a variance from the P.U.D. Plan or County laws or regulations is also required in connection with a matter for which a variance is desired hereunder, it shall be the Owner's responsibility to obtain such County variance before submitting a variance application to the Design Review Committee. 6,20 Nonliability for Approval or Disapproval of Plans and Specifications, for Issuance of Certificates of Compliance, or for Registration of Builders. The criteria for Design Review Committee approval of plans and specifications are set forth in Section 6.12 above. The Design Review Committee shall not be responsible for reviewing plans and 68\1\1088974.3 43 • specifications with respect to engineering design or for compliance with zoning, building ordinances, environmental laws, or any other applicable laws or regulations. By its approval of any such plans and specifications, neither the Design Review Committee, the members thereof, the Master Association, any Member, the Executive Board nor the Declarant assumes or shall have any liability or responsibility with respect to engineering design or for compliance with zoning, building ordinances, environmental laws, or any other applicable laws or regulations, or for any defect in any Improvement constructed from such plans and specifications. Neither the Design Review Committee, any member thereof, the Master Association, the Executive Board nor the Declarant shall be liable to any Lot or Wilderness Cabin Interest Owner, Occupant or other Person for any injury, damage, loss or prejudice suffered or claimed on account of (a) the approval or disapproval of any plans, drawings or specifications, whether or not defective, (b) the construction or performance of any work, whether or not pursuant to approved plans, drawings and specifications, (c) the issuance of a Certificate of Compliance, or (d) the development, or manner of development of any property within the Common Interest Community. The approval of plans and specifications by the Design Review Committee, and/or the issuance of a Certificate of Compliance by the Design Review Committee, shall not under any circumstances constitute or be deemed to be a representation or warranty that the plans, specifications or completed Improvements comply with applicable laws, resolutions, ordinances or regulations, including but not limited to, zoning ordinances and building codes and environmental laws. Likewise, Builders shall register with the Design Review Committee in the manner set forth in Section 6.9 above and in the Design Guidelines. By registering a Builder, the Design • Review Committee does not represent or warrant, either expressly or by implication, and hereby disclaims any representations or warranties, that the Registered Builder will in fact complete the Improvements on schedule, within the Owner's budget, or in a competent and workmanlike manner, or that the Registered Builder is or will remain financially sound, and the Lot Owners assume all risks regarding such matters. Neither the Design Review Committee, the members thereof, the Master Association, any Member, the Executive Board nor the Declarant shall be liable to any Lot or Wilderness Cabin Interest Owner, Occupant or other Person for any injury, damage, loss or prejudice suffered or claimed on account of (a) the registration of any Builder, (b) defects or delays in the work performed by a Registered Builder, (c) financial difficulties experienced by a Registered Builder, and/or (d) any other problems arising from an Owner's use of a Registered Builder. 6.21 Featured Builders. Upon compliance with the provisions of this Article 6 and the obtaining of all requisite Design Review Committee approvals, Featured Builders shall have the right to construct or alter Improvements on any Lot(s) owned by the Featured Builder within the Common Interest Community, and to post a sign incident to such activity, which sign has been approved in advance by the Design Review Committee. Nothing contained herein shall obligate the Declarant to designate a Lot Owner as a Featured Builder hereunder, and the designation of any Person as a "Featured Builder" shall be in Declarant's sole and absolute discretion. Furthermore, in no event shall the terms and provisions hereof be construed to obligate Declarant to implement or, once initiated, to continue the Featured Builder program contemplated hereby, which implementation and/or continuation shall be in Declarant's sole discretion. DECLARANT HEREBY DISCLAIMS ANY REPRESENTATIONS OR WARRANTIES, WHETHER EXPRESS OR IMPLIED, RELATING TO THE 68\1\1088974.3 44 DESIGNATION OF ANY PERSON AS A FEATURED BUILDER HEREUNDER, AND DECLARANT SHALL HAVE NO LIABILITY OF ANY KIND ARISING FROM OR RELATING IN ANY WAY TO THE DESIGNATION OF, OR FAILURE TO DESIGNATE, ANY PERSON AS A FEATURED BUILDER. 6.22 Enforcement. The requirements and provisions of this Article 6 and/or of the Design Guidelines shall be enforceable in accordance with the rights and procedures set forth herein. ARTICLE VII ASSOCIATION PROPERTY 7.1 Use and Enjoyment of Association Property_ With the exception of Limited Common Areas, and except as otherwise provided in this Master Declaration, in any Supplemental Declaration, or in the Master Rules and Regulations, each Owner shall have the non-exclusive right to use and enjoy Association Property in common with all other Owners. This right to use and enjoy Association Property shall extend to each Owner, Occupant, and the family members, guests and invitees of each Owner, and to such other users as may be authorized by this Master Declaration or by the Executive Board from time to time, and shall be appurtenant to each Lot or Wilderness Cabin Interest, subject at all times to the provisions of this Master Declaration (including Declarant's reserved rights hereunder), any applicable Supplemental Declaration, the Articles, Bylaws, and the Master Rules and Regulations. No Owner or Occupant shall place any structure or store or leave any materials or personal property upon Association Property, nor shall any Owner or Occupant engage in any activity which will temporarily or permanently impair free and unobstructed access to all parts of the Association Property (excepting Limited Common Areas) by all Owners. Use of the Association Property is also subject to any applicable terms of the Declaration of Easements and Rights. With respect to Limited Common Areas, each Owner and Occupant of a Lot designated by Declaration or Plat for the use of such Limited Common Area shall have the non-exclusive right to use and enjoy the same in common with all other Owners and Occupants of Lots so designated, for all purposes for which the Limited Common Area was created, subject to any Master Rules and Regulations relating thereto. 7.2 Recreational, Health and Social Facilities. Declarant plans to provide certain recreational, health and social facilities for the use and benefit of Owners and Occupants and other persons authorized from time to time by Declarant or the Master Association, which facilities may include, without limitation, an equestrian center, a trail system, parks, picnic areas, and similar facilities. The location, design, timing, kind, value and nature of such facilities shall be determined by Declarant in the exercise of its sole discretion, and Declarant reserves the right to increase or add to such facilities or to expand or enlarge the facilities, without the consent of the Owners, Mortgagees, or the Master Association. Such facilities may be located within or outside the Common Interest Community, and if and when transferred to the Master Association they shall constitute Association Property. Notwithstanding any other provisions of this Master Declaration, Declarant and/or the Master Association expressly reserve and shall have the following rights with respect to such facilities: 68\1\1088 743 45 • • • • (a) Declarant shall have the right at any time and from time to time to use any such facility, or portion thereof, for office or sales or professional purposes or functions, in Declarant's sole discretion, for so long as Declarant owns any Lots or Wilderness Cabin Interests in the Common Interest Community (including annexations thereto). (b) The Master Association shall have the right to impose a fee or charge for the use and enjoyment of any of such recreational, health or social facilities, or any services offered therein, and may permit the use of any part thereof for private, charitable or professional functions. (c) The Master Association shall have the right to lease or grant concessions or to contract with others to provide programs or services within such facilities for the benefit of Owner and Occupants and such other persons as the Master Association may authorize from time to time. (d) Declarant, for so long as it owns any Lots or Wilderness Cabin Interests in the Common Interest Community (including annexations thereto), and the Master Association, shall have the right to authorize and permit persons who are not Owners or Occupants in the Common Interest Community (including, without limitation, the public) to use the recreational, health or social facilities upon such conditions, and for such fees and charges payable to the Master Association, as Declarant or the Master Association may determine to be appropriate from time to time, in their discretion. 7.3 Master Association May Rezulate Use of Association Property. The Master Association, acting through the Executive Board, shall have the right and authority to regulate the use of Association Property by the promulgation, enforcement and interpretation from time to time of such Master Rules and Regulations relating thereto as the Master Association considers necessary or appropriate for the protection and preservation of Association Property and the enhancement of the use and enjoyment thereof by Owners and Occupants and other authorized users, subject always to any rights or interests created by the Declaration of Easements and Rights. The Master Association, acting through the Executive Board, may for good cause suspend the right of any person to use and enjoy Association Property, including without limitation the right of a Member who or which is delinquent in the payment of any Assessments, and the right of any Member or other authorized user who is in violation of the terms and provisions of this Master Declaration or any Supplemental Declaration, the Articles, Bylaws, Master Rules and Regulations, Design Guidelines or the terms and provisions of any approvals granted by the Design Review Committee. 7.4 Master Association to Maintain and Improve Association Property. The Master Association, its agents and employees, or a Special District, shall maintain and repair, snowplow as necessary, and otherwise manage the Association Property (including the Limited Common Areas), including, but not limited to, any Improvements, postal kiosks, landscaping, paths, trails, parking areas, drives, lighting, signage, and recreational and other facilities located thereon. The Master Association may construct, alter and remove such Improvements and landscaping upon Association Property as the Master Association in its discretion considers 6811\1088974.3 46 necessary, desirable or appropriate from time to time, and may do all such other and further acts which the Executive Board deems necessary or appropriate to preserve, protect and enhance the Association Property and the beauty thereof in accordance with the general objectives for the Common Interest Community reflected in this Master Declaration. Separate bids shall be let for the maintenance of Limited Common Areas so that the costs thereof can be assessed exclusively to the Lots benefited thereby. As provided in Section 11.14 below, the Master Association may contract with third parties, including a Special District, to perform any of the foregoing responsibilities. 7.5 No Partition of Association Property. No Owner or other Person shall have any right to partition or to seek the partition of Association Property or any part thereof. 7.6 Owner Liability for Owner or Occupant Damage to Association Property. Each Owner shall be liable to the Master Association for any damage to Association Property or for any expense, loss or liability suffered or incurred by the Master Association in connection with Association Property arising from (a) the negligence or willful misconduct of such Owner or of any Occupant, agent, employee, family member, guest or invitee of such Owner, or (b) any violation by such Owner or any Occupant, agent, employee, family member, guest or invitee of such Owner of any law, regulation, or code, including without limitation any environmental law, or of any provisions of this Master Declaration, any Supplemental Declaration, or the Master Rules and Regulations, relating to Association Property. Each Owner shall indemnify, defend and hold the Master Association harmless from any loss, damage, expense or liability arising from the circumstances described in subsections (a) or (b) immediately above. The Master Association shall have the power to levy and collect a Reimbursement Assessment against a Lot Owner to recover the costs, expenses, damages, losses or liabilities incurred by the Master Association as a consequence of any such negligence, willful misconduct or violations. 7.7 Damage or Destruction to Association Property. In the event of damage to or destruction of Association Property, including Improvements thereon, by fire or other casualty, the Master Association shall repair or replace the same in accordance herewith. Repair, reconstruction, or replacement of Association Property shall be accomplished under such contracting and bidding procedures as the Master Association shall determine are appropriate. If insurance proceeds available to the Master Association on account of damage or destruction exceed the cost of repair, reconstruction, and replacement, the Master Association may use the same for future maintenance, repair, improvement, and operation of Association Property or for any other use deemed appropriate by the Executive Board. 7.8 Condemnation of Association Property. If any Association Property or part thereof or interest therein is taken under exercise of the power of eminent domain or by purchase in lieu thereof, the portion of any award in condemnation or the price payable for the deed in lieu that is attributable to the Association. Property taken or purchased shall be paid to the Master Association. The Master Association shall have the exclusive right to participate in such condemnation proceedings and to represent the interests of all Owners and Occupants and other Persons therein. Any award or funds received by the Master Association shall be held by the Master Association for the purposes stated in Section 7.7 above or as a reserve for future maintenance, repair, reconstruction, or replacement of Association Property or may be used for Improvements or additions to or operation of Association Property or for such other uses as may 68\1\1088974.3 47 • • • be deemed appropriate by the Executive Board. Except as may otherwise be provided by the Act, no Owner or other Person shall be entitled to participate as a party or otherwise in any condemnation proceedings nor to receive any proceeds therefrom. 7.9 Title to Association Property Upon Dissolution of Master Association. In the event of dissolution of the Master Association, the Association Property shall, to the extent permitted by law and reasonably possible. be conveyed or transferred to an appropriate public, governmental or quasigovernmental agency or organization or to a nonprofit corporation, association, trust, or other organization, to be used, in any such event, for the common benefit of Owners for the purposes for which the Association Property was held by the Master Association. If the foregoing is not possible, the Association Property shall be sold or disposed of and the proceeds from the sale or disposition shall be distributed to Owners in proportion to each Owner's Allocated Interest in the Common Expenses of the Master Association. 7.10 Mechanic's Liens on Association Property. Declarant shall be responsible for the release of mechanics' liens filed with respect to Association Property, or any part thereof, if such liens arise from labor performed or materials furnished at the instance of Declarant, its agents, contractors or subcontractors. Likewise, the Master Association shall be responsible for the release of mechanics' liens filed with respect to Association Property, or any part thereof, if such liens arise from labor performed or materials furnished at the instance of the Master Association, its directors, officers, agents, contractors or subcontractors. No labor performed or materials furnished with respect to a Lot at the instance of the Lot Owner shall be the basis for filing a lien against Association Property. No labor performed or materials furnished with respect to Association. Property at the instance of the Executive Board shall be the basis for filing a lien against any Lot. ARTICLE VIII DECLARANT'S RESERVED RIGHTS Declarant hereby expressly reserves to itself and its successors and assigns the following described rights, which include development rights and special Declarant rights, any one or more of which rights may be exercised, in the sole and absolute discretion of Declarant, at any time and from time to time during the period commencing upon the Recording of this Master Declaration in the County and ending on the date of termination of such rights established under Section 8.16 below. It is expressly understood that Declarant shall not be obligated to exercise any of these reserved rights, and that no consent shall be required from any Owner, Mortgagee, Special District or the Master Association for the effective exercise of any of these reserved rights. Except as limited by this Article 8, such reserved rights may be exercised upon or in connection with all or any portion of the Common Interest Community described on attached Exhibit A, the Annexable Property described on attached Exhibit B, and/or the additional unspecified real estate referred to in Section 8.7 below. Such rights may be exercised with respect to different parcels of said real estate at different times, and in connection therewith Declarant hereby states that (i) no assurances are made regarding the boundaries of said different parcels or with respect to the order in which such parcels may be subjected to the exercise of these reserved rights, even if a reference to a phase or phasing appears in a legal description, 68\111088974.3 48 Plat, P.U.D. Plan or other agreement relating to the property, and (11) if a particular reserved right is exercised in any portion of the real estate subject to that reserved right, that reserved right is not required to be exercised in all or any portion of the remainder of that real estate. The reserved rights hereinafter set forth shall be prior and superior to any other provisions of this Master Declaration or of any Supplemental Declaration, and may not be amended, modified, terminated or otherwise altered in any way without the express prior written consent of Declarant. All conveyances of Lots and Wilderness Cabin Interests and other portions of the Common Interest Community hereafter made, whether by Declarant or otherwise, shall be deemed and construed to reserve to Declarant and/or to grant to Declarant all of the rights reserved by and to Declarant in this Article 8 and elsewhere in this Master Declaration or in any Supplemental Declaration, even though no specific reference to such rights appears in the conveyancing instruments. Nothing in this Article 8 shall limit or impair any other rights granted or reserved to Declarant by other provisions of this Master Declaration or of any Supplemental Declaration. The following rights are hereby reserved to Declarant and its successors and assigns: 8.1 Construction of Improvements. The right, but not the obligation, to construct additional Improvements on Association Property at any time and from time to time for the improvement and enhancement thereof for the benefit of the Master Association, the Owners, or some of them, and/or pursuant to the Declaration of Easements and Rights. Furthermore, the right throughout the Common Interest Community to complete Improvements indicated on the Plat filed with this Master Declaration, and on any Supplemental Plats filed with any Supplemental Declarations, as such Plats and Declarations may be amended from time to time. Furthermore, the right to construct and complete Improvements required by the terms of the Subdivision Improvements Agreement Recorded , in Book at Page in the Office of the Clerk and Recorder of Garfield County, Colorado, and by the terms of any other such Subdivision Improvements Agreements that may hereafter be executed by Declarant in connection with annexations to the Common Interest Community, as said Agreement or Agreements may be amended from time to time. Furthermore, the right to create, grant and/or use and enjoy additional non-exclusive easements, and to relocate existing platted or other easements, upon or across any portion of the Common Interest Community (including Lots, but excepting Building Envelopes), as may be reasonably required for the construction by Declarant of the above-described Improvements or the effective exercise by Declarant of any of the other reserved rights described in this Article 8. 8.2 Sales, Marketing and Management. The right to construct, locate or operate, and to maintain upon, and to remove from, any part of the Common Interest Community including Lots owned by Declarant and Association Property, in the discretion of Declarant, and in such number, size and location as may be reasonably required by Declarant in connection with the completion of Improvements, the management of the development, and/or the promotion, marketing, sale or rental of Lots or Wilderness Cabin Interests, the following: (a) Sales offices, management offices, and/or construction offices, and structures containing or relating to the same. Such offices, to the extent they are not situated on a Lot, are hereby declared to be personal property of the Declarant and shall 681111 088974.3 49 • • in any case be removable by Declarant or its successors or assigns promptly upon the Declarant or its successors or assigns ceasing to be a Lot or Wilderness Cabin Interest Owner; (b) Signs identifying and advertising the Common Interest Community and the Lots and/or Wilderness Cabin Interests therein, or relating to development or construction thereon; (c) Model residences constructed or to be constructed on Lots; (d) Parking areas and facilities, and lighting, necessary or desirable in the marketing of the Common Interest Community and the Lots and Wilderness Cabin Interests; (e) Employees in offices; equipment; vehicles; and marketing and construction materials. Together with the right to attract, invite or bring prospective purchasers of Lots and/or Wilderness Cabin Interests into the Common Interest Community at all times, and to permit them to use and enjoy the Association Property. 8.3 Merger. The right to merge or consolidate the Common Interest Community with another common interest community of the same form of ownership. 8.4 Declarant Control of Master Association. The right to appoint or remove any Executive Board member or officer of the Master Association, as more specifically set forth in Section 10.5 below, but only for and during the "Period of Declarant Control of Master Association" as defined in said section 10.5. 8.5 Annexation of Additional Properties. The right to annex to the Common Interest Community all or any part of the Annexable Property described on attached Exhibit B. Each Owner hereunder hereby grants to Declarant the right to annex all or any part of the Annexable Property to the Common Interest Community and to modify such Owner's Allocated Interests accordingly. Alternatively, Declarant shall have the right and is authorized to develop portions of the Annexable Property and/or to convey, lease or mortgage portions of the Annexable Property to such third party or parties as Declarant may deem appropriate, without annexing them to the Common Interest Community, whether for purposes consistent with this Master Declaration or otherwise. Declarant makes no assurances that all or any portion of the Annexable Property will be added to the Common Interest Community and Declarant reserves the right to annex all or any portion of the Annexable Property to the Common Interest Community in any order it deems appropriate in its sole and absolute discretion. 8.6 Annexation Procedure. The annexation of additional real property to the Common Interest Community shall be accomplished by the Recording by Declarant with the Clerk and Recorder of Garfield County of an Annexation Deed or a Supplemental Declaration containing a legal description of the land area to be added to the Common Interest Community and amending this Master Declaration accordingly, together with a Supplemental Plat thereof. In no event shall any annexation increase the number of Lots in the Common Interest Community 68. f\i088974.3 50 beyond the maximum stated in the Recitals to this Master Declaration. The Supplemental Declaration shall describe any Association Property (including Limited Common Areas) thereby created, and any Common Elements and any Limited Common Elements thereby created. The annexation of the Annexable Property may be accomplished by successive Annexation Deeds or Supplemental Declarations, in no particular or pre -established order, and may provide that property annexed thereby (the "Annexed Property") is phased so that it is made subject to this Master Declaration at different times. Upon Recording of an Annexation Deed or Supplemental Declaration, the Annexed Property described therein shall be subject to all of the covenants, conditions, restrictions, limitations, reservations, exceptions, equitable servitudes, and other provisions set forth in this Master Declaration. Any such Annexation Deed or Supplemental Declaration may impose on the Annexed Property described therein additional covenants, conditions, restrictions, limitations, reservations, exceptions, equitable servitudes, and other provisions than those set forth in this Master Declaration, taking into account the unique and particular aspects of the Annexed Property covered thereby and of the proposed development thereof. Furthermore, Declarant shall have the right to reserve in such Annexation Deed or Supplemental Declaration any development rights that Declarant considers necessary or appropriate; provided that such provision shall not extend the termination date for the exercise of Declarant's development rights as set forth in Section 8.16 below. A Supplemental Declaration may provide for a Subassociation of Owners within the Annexed Property described in the Supplemental Declaration and for the right of the Subassociation to assess such Owners for common expenses unique to those Owners. 8.7 Annexation of Additional Unspecified Real Estate. The right to annex additional, unspecified real estate to the Common Interest Community to the fullest extent permitted by the Act. In the event that Declarant elects to annex any such additional unspecified real estate, Declarant shall annex such property to the Common Interest Community in accordance with the provisions of Section 8.6 above. 8.8 Withdrawal Rights and Procedure. The right at any time and from time to time to withdraw from the Common Interest Community (and any annexations thereto) any Declarant - owned Lot(s) or Association Property. Withdrawal may only be accomplished by the recording by Declarant of an amendment to this Master Declaration or any Supplemental Declaration affected by the withdrawal, and an amendment to the Plat or any Supplemental Plat affected by the withdrawal. Upon the recording of such amendments, the withdrawn Lots and/or Association Property shalt no longer be part of the Common Interest Community or subject to this Master Declaration or any applicable Supplemental Declaration in any way. Each Declarant -owned Lot, and each Declarant -owned Association Property, is hereby described and declared to be a separate portion of real estate that is subject to this right of withdrawal, and Declarant expressly reserves the right to withdraw one or more Declarant - owned Lots and/or all or a portion of any Declarant -owned Association Property from the Common Interest Community. Once a Lot has been conveyed to a Lot Owner other than Declarant, that portion of the real estate is no longer subject to this right of withdrawal. Likewise, once an Association Property has been conveyed to the Master Association, a Special 681111488974.3 51 • • • • District, or the County, that portion of the real estate is no longer subject to this right of withdrawal. The withdrawn property shall be subject to whatever easements, if any, may be reasonably necessary for access or utility service to, or operation or management or use or enjoyment of, the Common Interest Community or any part thereof. Similarly, the owner(s) of the withdrawn property shall have whatever easements, if any, are reasonably necessary for access or utility service to or for use or enjoyment of the withdrawn property over and across Special District and/or Association Property within the Common Interest Community. At the time any withdrawal of real estate is accomplished, Declarant shall record whatever documents are necessary to establish such reciprocal easements in the Garfield County records. 8.9 Effect of Expansion or Contraction. In the event any real property is annexed to the Common Interest Community as provided herein, or if any real property is withdrawn from the Common Interest Community as provided herein, the definitions used in this Master Declaration shall be automatically expanded or contracted to encompass and refer to the Common Interest Community as expanded or contracted, e.g., "Common Interest Community" shall mean the real property described herein plus any additional real property annexed thereto and/or minus any real property withdrawn therefrom; similarly, "Association Property" and "Lots" shall mean and include those areas as described herein as well as or less those so designated on any Supplemental Declaration or Supplemental Plat (or any amendment to a Declaration or Plat) relating to any real property which is annexed or withdrawn pursuant to this Article 8. Association Property shall also mean and include all properties located from time to time within the Annexed Property that fall within the definition of Association Property contained in this Master Declaration, less any Association Property removed by withdrawal. References to this Master Declaration shall mean this Master Declaration as so supplemented by any Supplemental Declaration and any Supplemental Plat, or as amended. Every Owner of a Lot or Wilderness Cabin Interest in the area annexed to the Common Interest Community shall, by virtue of ownership of such Lot or Wilderness Cabin Interest and upon recordation of the Supplemental Declaration annexing such property to the Common Interest Community, be a member of the Master Association and, except as may be otherwise provided in the Supplemental Declaration, shall be entitled to the same rights and privileges and subject to the same duties and obligations as any other Master Association Member. Regular Assessments for Lots or Wilderness Cabin Interests within the Annexed Property shall commence as of the date of the Recording of the Supplemental Declaration and shall be prorated as of such date. The recording of amendments to the Master Declaration and Plat, whether in the form of Supplemental Declarations and Supplemental Plats or otherwise, which reallocate the Allocated Interests in the Common Interest Community, shall automatically: (a) Vest in each existing Owner the reallocated Allocated Interests appurtenant to the Owner's Lot or Wilderness cabin Interest; and (b) Vest in each existing Mortgagee a perfected security interest in the reallocated Allocated Interests appurtenant to the encumbered Lot or Wilderness Cabin Interest. 68\111088974.3 52 8.10 Subdivision of Lots or Parcels. Declarant shall have and hereby reserves the right to subdivide any Declarant -owned Lot or parcel located within the Common Interest Community to create additional Lots, Association Property, and/or streets, subject to the maximum number of Lots set forth in the Recitals to this Master Declaration; provided, however, that such subdivision is consistent with the P.U.D. Plan or that said P.U.D. Plan is amended if necessary, and that the subdivision is accomplished in compliance with County subdivision requirements. Upon the subdivision of any Lot or parcel in accordance with the terms and conditions contained herein, the Allocated Interests of all Owners shall be reallocated in accordance with the definition of Allocated Interests contained in this Master Declaration. 8.11 Transfer of Additional Property to Master Association. The right, but not the obligation, to transfer additional real and personal property, and Improvements thereon, to the Master Association from time to time in furtherance of this Master Declaration. 8.12 Other Reserved Development Rights. Subject to compliance with any applicable County requirements, the right with respect to all or any Declarant -owned portion of the Common Interest Community (including the Lots) to (a) create Association Property (including Limited Common Areas); (b) create additional Lots, subject to the maximum set forth in the Recitals to this Master Declaration; (c) create Wilderness Cabin Interests; (d) subdivide Lots as set forth in Section 8.10 above; (e) combine Lots; (f) reconfigure Lots and/or Association Property, or otherwise modify or amend recorded Plats; (g) amend the P.U.D. Plan; (h) convert Lots into Association Property and/or streets; and (i) convert Association Property into Lots and/or streets. Additionally, in order to effectively exercise the rights reserved to Declarant under this Article 8, the right to amend this Master Declaration (without the consent of Owners, Mortgagees or the Master Association being required) for purposes of complying with or qualifying for federal or state registration of the project (ii) satisfying title insurance requirements, or (iii) bringing any provision or provisions of the Master Declaration into compliance with the Act. 8.13 Owner Review, Acceptance and Waiver of Rights Re: P.U.D. Plan and Declarant's Reserved Rights. Each Owner, by its acceptance of a deed or other conveyance vesting in the Owner an interest in a Lot or Wilderness Cabin Interest in the Common Interest Community, acknowledges that the Owner has carefully reviewed and understands the P.U.D. Plan (as it may be amended from time to time) and the Declarant's reserved rights as set forth in this Article 8 or elsewhere in this Master Declaration or in any Supplemental Declaration, that the Owner accepts and approves such matters and appreciates any potential impacts that the implementation of the P.U.D. Plan and/or the exercise of such reserved rights may have on the Owner's Lot or Wilderness Cabin Interest, and expressly waives any rights the Owner may have to object to or to interfere in any way with the implementation of such P.U.D. Plan or the exercise of such rights. 8.14 Declarant As Attorney -in-Fact for Owners. Each Owner, by its acceptance of a deed or other conveyance vesting in the Owner an interest in a Lot or Wilderness Cabin Interest in the Common Interest Community, does hereby irrevocably constitute and appoint Declarant (with full power of substitution) as said Owner's attorney-in-fact, in said Owner's name, place and stead, to take any and all actions and to execute and deliver any and all instruments as may be necessary or appropriate to Declarant's exercise of the various rights reserved to Declarant 68\1\1088974.3 53 • • • • • • under this Article 8 or elsewhere in this Master Declaration or in any Supplemental Declaration, specifically including without limitation Declarant's reserved right to use all existing easements within the Common Interest Community, or to create, grant, use and/or replat and relocate additional or existing easements across any portion of the Common Interest Community excepting platted Building Envelopes. 8.15 Transfer of Declarant's Reserved Rights. Any one or more rights created or reserved for the benefit of Declarant under this Article 8 or elsewhere in this Master Declaration or in any Supplemental Declaration may be transferred to any Person by an instrument describing the right or rights transferred and Recorded in Garfield County. Such instrument shall be executed by the transferor Declarant and the transferee. The provisions of Section 38-33.3-304 of the Act shall apply to any transfer of special declarant rights. 8.16 Termination of Declarant's Reserved Rights. With the exception of Declarant's right to appoint or remove Executive Board members and officers of the Master Association, which is addressed in Section 10.5 below, the rights reserved to Declarant in this Article 8 shall automatically terminate and expire upon the first to occur of (i) the date which is thirty (30) years after the Recording of this Master Declaration, or (ii) Declarant's relinquishment and surrender of such rights by Recorded instrument. Declarant may from time to time relinquish and surrender one or more but less than all of the reserved rights, in which event the unrelinquished reserved rights shall remain fully valid and effective for the remainder of the term thereof. The Master Association may extend the time period for exercise of a development right, or reinstate a lapsed development right, subject to whatever terms, conditions and limitations the Master Association may impose on the subsequent exercise of the development right. The extension or renewal of a development right and any terms, conditions and limitations shall be included in an amendment executed by Declarant or the owner of the real estate subject to the development right and the Master Association. ARTICLE IX EASEMENTS 9.1 Easements for Incidental Encroachments. If any portion of an Improvement approved by the Design Review Committee encroaches in its approved location upon an Association Property; including any future encroachments arising or resulting from the repair or reconstruction of an Improvement subsequent to its damage, destruction or condemnation, a valid easement on the surface and for subsurface support below such surface and for the maintenance of same, so long as it stands, shall and does exist for such incidental encroachment. 9.2 Blanket Master Association Utility and Drainage Easement Over Streets, Roads, Shared Driveways, and Association Property. There is hereby created, granted and reserved to the Master Association, its agents, employees and assigns, a perpetual, non-exclusive blanket easement over, across, upon and under all streets and roads and Shared Driveways in the Common Interest Community and all Association Property for the construction, installation, testing, operation, monitoring, management, administration, maintenance, repair, removal and replacement of utilities and utility lines, irrigation lines and systems, water features, wetlands areas, and drainage systems, pipes, wires, circuits, conduits, meters, facilities and systems for the benefit of the Common Interest Community or any part thereof or neighboring lands, including 681111488974.3 54 but not limited to drainage, domestic water, irrigation water, sewer, gas, telephone, electricity, cable TV and other master TV and communication systems, if any, together with an easement for access, ingress and egress to accomplish such purposes, and together with the right to grant any such easement rights to utility companies and/or Special Districts. The Master Association or other person or entity exercising such utility and drainage easement rights shall be obligated to restore, reseed, replant and/or re -landscape the surface of the disturbed area to as close to its original condition as possible, as promptly as possible following completion of any utility or drainage work. 93 Master Association Administrative Easement Over Streets Roads Shared Driveways, and Association Property. There is hereby created, granted and reserved to the Master Association, its agents, employees and assigns, a perpetual, non-exclusive easement over, across, upon and under all streets and roads and Shared Driveways in the Common Interest Community and all Association Property and a right to use the same for purposes of enabling the Master Association to perform the duties and functions which it is obligated or permitted to perform pursuant to this Master Declaration. 9.4 Declarant Easement Over Streets, Roads, Shared Driveways, and Association Property. There is hereby created, granted and reserved to Declarant and its successors and assigns a non-exclusive easement over, across, upon and under all streets and roads and Shared Driveways in the Common Interest Community and all Association Property (including without limitation all easements benefiting the Master Association), including a right of access, ingress and egress thereto, and a right to use such streets, roads, Shared Driveways and Association Property, and each and every part thereof, for all purposes reasonably related to (a) Declarant's development, improvement, maintenance, management, marketing and sale of the Common Interest Community and all portions thereof, including any annexations thereto, and/or (b) Declarant's exercise and implementation of the rights reserved to Declarant under this Master Declaration or any Supplemental Declaration, and/or (c) the discharge by Declarant of any of its obligations under this Master Declaration or any Supplemental Declaration or under the Subdivision Improvement Agreement recorded , in Book at Page and any other Subdivision Improvement Agreements that may be executed by Declarant in connection with properties annexed to the Common Interest Community, or any other Declarant obligations relating to the Common Interest Community. Declarant's rights with respect to this easement shall terminate upon the first to occur of (i) the date which is thirty (30) years after the Recording of this Master Declaration, or (ii) Declarant's relinquishment of all or a portion of this easement right by Recorded instrument. 9.5 Utility. Drainage, and/or Irrigation Easements. There are hereby created, granted and reserved for the use and benefit of the Declarant, the Master Association, the Club Property Owner, appropriate public utilities, and Special Districts, if any, perpetual, non- exclusive easements over, upon, across and under those portions of the Common Interest Community that are designated "Utility Easement", "Irrigation Easement", or "Drainage Easement" on the Plat or any Supplemental Plat. Utility Easements may be used for the installation, operation, maintenance, repair, removal or replacement of underground utility lines (and related surface facilities). Drainage Easements and Irrigation Easements may be used for the installation, operation, maintenance, repair, removal or replacement of drainage and irrigation systems and facilities, respectively. Except as may otherwise be provided in any Subdivision 68\1110889743 55 • • • • • Improvements Agreement between Declarant and the County or in any other separate agreement between Declarant and a utility supplier, the party causing the disturbance shall be obligated to restore, repair, reseed and/or relandscape any area disturbed by the exercise of these easement rights to as close to its original condition as possible, as promptly as possible following the completion of any work within a Utility, Drainage or Irrigation Easement. 9,6 Water Body Maintenance Easements. There are hereby created, granted and reserved for the use and benefit of Declarant and the Master Association perpetual, non- exclusive "Water Body Maintenance Easements" in the locations shown on the Plat or on any Supplemental Plat, for purposes of operating; maintaining, repairing and improving the bodies of water (reservoirs, lakes, ponds, etc.) and associated improvements and facilities served by such easements, as may be deemed necessary or appropriate from time to time by the Declarant or the Master Association. 9.7 Fence Maintenance Easements. There are hereby created, granted and reserved for the use and benefit of Declarant and the Master Association perpetual, non-exclusive " Fence Maintenance Easements" in the locations shown on the Plat or on any Supplemental Plat, for purposes of maintaining, repairing and improving fences, and for the control of vegetation within the easements, as may be deemed necessary or appropriate from time to time by Declarant or the Master Association. 9.8 Berm Maintenance Easements. There are hereby created, granted and reserved for the use and benefit of Declarant and the Master Association perpetual, non-exclusive "Berm Maintenance Easements" in the locations shown on the Plat or any Supplemental Platt. for purposes of maintaining, repairing and improving berms, and for the control of vegetation within the easements, as may be deemed necessary or appropriate from time to time by Declarant or the Master Association. 9.9 Equestrian/Pedestrian Trail Easement. There is hereby created, granted and reserved for the use and benefit of the Declarant, the Master Association, and all Owners and Occupants, a perpetual, non-exclusive "Equestrian/Pedestrian Trail Easement" in the location shown on the Plat and on any Supplemental Plat, for purposes of constructing, using and maintaining an equestrian and pedestrian trail. Members of the public shall also have the right to use the Equestrian/Pedestrian Trail Easement, for equestrian purposes only, provided they first check in at the Equestrian Center. The Master Association shall be responsible for maintaining the Equestrian/Pedestrian Trail Easement. 9.10 PedestrianlBike Trail Easement. There is hereby created, granted and reserved for the use and benefit of the Declarant, the Master Association and all Owners and Occupants, but not members of the public, a perpetual, non-exclusive "PedestrianlBike Trail Easement" in the location shown on the Plat and on any Supplemental Plat, for purposes of constructing, using and maintaining a non -motorized bicycle and pedestrian trail. The Master Association shall be responsible for maintaining the PedestrianlBike Trail Easement. 9,11 Conservation Easement. There is hereby created, granted and reserved for the use and benefit of the Master Association a perpetual. non-exclusive "Conservation Easement" upon all portions of the Mountain Lots that lie outside of the platted Building Envelopes, for 68\1\1488974.3 56 purposes of preserving an enhancing the wildlife habitat in the Conservation Easement area and the open space character of the Conservation Easement area. No disturbance shall be allowed in the Conservation Easement area, including without limitation excavation, grading or clearing activities, Improvements, and landscaping, excepting the minimum disturbance required in connection with underground utilities, irrigation and drainage systems, and access driveways, and driveway features approved by the Design Review. Committee including retaining walls, guard rails, driveway lighting and landscaping (including vegetation manipulation where required by the Wildfire Mitigation Plan), and gate/entry features. Deadfall may be removed from the Conservation Easement area, and selective thinning of vegetation may be allowed with the prior written approval of the Design Review Committee. In appropriate circumstances, as determined in each instance by the Design Review Committee in the exercise of its sole discretion, individual septic disposal systems may be located partly or wholly within the Conservation Easement area. The Master Association shall have the obligation and authority to enforce these restrictions, and shall be responsible for managing, administering and maintaining the Conservation Easement areas in accordance with the purposes described above and in compliance with the Wildlife Mitigation Plan. 9.12 Open Snace and Wildlife Movement Corridor Easements. There are hereby created, granted and reserved for the use and benefit of the Master Association perpetual, non- exclusive Open Space and Wildlife Movement Corridor Easements over, across and upon those portions of the Common Interest Community that are designated as "©pen Space" or "Wildlife Movement Corridor" on the Plat or on any Supplemental Plat, for purposes of preserving and enhancing wildlife habitat and the open space character of the Open Space areas and of preserving and enhancing wildlife movement along the Wildlife Corridor areas. In addition to activities necessary or appropriate for the furtherance of such purposes, permitted uses in the Open Space areas will be such trail uses as may be depicted on the Plat or any Supplemental Plat, and permitted uses in the Wildlife Corridor areas will be such trail uses as may be depicted on the Plat or any Supplemental Plat. The Master Association shall have the obligation and authority to enforce these restrictions, and shall be responsible for managing, administering and maintaining the Open Space and Wildlife Movement Corridor areas in accordance with the purposes described above and in compliance with the provisions of the Wildlife Mitigation Plan. The Declarant, in its sole discretion, and without requiring the consent of any Owner or Mortgagee or Special District or the Master Association, may subject the Open Space areas to conservation easements or allow the Open Space areas to be held for resource or wetland mitigation land banking. 9.13 Meadow Parcel Easement. There is hereby created, granted and reserved for the use and benefit of the Master Association a perpetual, non-exclusive "Meadow Parcel Easement" over, across and upon the portion of the Common Interest Community that is designated as the "Meadow Parcel" on the Plat, for purposes of preserving and enhancing the open -space character of the Meadow Parcel. Permitted uses of the Meadow Parcel shall be in the discretion of the Master Association, and may include without limitation the grazing of cattle and/or horses, agricultural (hay or wheat) production, sleigh rides and hay rides, and underground utilities, and such trail uses as may be depicted on the Plat. The Master Association shall have the obligation and authority to enforce these restrictions, and shall be responsible for managing, administering and maintaining the Meadow Parcel in accordance with the purposes generally described above and in compliance with the provisions of the Wildlife Plan. 6811110889743 57 • • • 9.14 Park Easements. There are hereby created, granted and reserved for the use and benefit of the Declarant, the Master Association and all Owners and Occupants, but not members of the public, perpetual, non-exclusive "'Park Easements" over, across and upon all portions of the Common Interest Community that are designated as "Parks" on the Plat or on any Supplemental Plat, for such park and recreational purposes as may be determined to be appropriate from time to time by the Master Association. Permitted uses of the Parks may include, without limitation, picnicking, picnic areas and shelters, gazebos, recreational activities and facilities such as softball, soccer, volleyball and horseshoes, and such trail uses as may be depicted on the Plat or any Supplemental Plat. The Master Association shall have the obligation and authority to enforce these restrictions, and shall be responsible for managing, administering and maintaining the Parks in accordance with the purposes generally described above. 9.15 Shared Driveway Easements. There are hereby created, granted and reserved for the use and benefit of the Lots and Lot Owners served thereby, the Declarant, the Master Association, and any Special Districts, perpetual, non-exclusive easements and rights-of-way over, across, along and under the Shared Driveway Easements depicted on the Plat or on any Supplemental Plat, for purposes of access, ingress and egress (both vehicular and pedestrian, but not parking) to and from the Lots served thereby and for the installation, operation, maintenance, repair and replacement of underground utilities that serve said Lots. The Declarant shall be responsible for constructing a driveway within each Shared Driveway Easement. The Master Association (or a Special District pursuant to a contract with the Master Association) shall be responsible for snowblowing the driveways within the Shared Driveway Easements, and for maintaining and repairing the driveways as closely as possible to the condition that existed upon completion of construction thereof, ordinary wear and tear excepted. The costs and expenses incurred by the Master Association in the performance of such services (or the charges made by a Special District to the Master Association for performing such services) shall be Common Expenses which shall be assessed in equal shares among all Lots (and Lot Owners) served by Shared Driveway Easements, regardless of the length of particular driveways, the number of Lots served thereby, the improved or unimproved state of the Lots served thereby, or how much of a given driveway is actually used by a Lot Owner. The annual Assessments for such Lot Owners shall also include a reasonable reserve for the estimated cost of periodically resurfacing the driveways within the Shared Driveway Easements. If an Owner or Occupant (or an employee, contractor or agent thereof) damages a driveway within a Shared Driveway Easement, whether during the construction of improvements on the Owner's Lot or otherwise, said Owner shall be responsible for promptly repairing and restoring the damaged driveway as closely as possible to the condition that existed immediately prior to the occurrence of the damage. If an Owner fails to repair and restore a damaged driveway within 30 days following receipt of written notice from the Design Review Committee requesting the same, the Master Association shall have the authority and obligation to accomplish such repair and restoration and to levy a Reimbursement Assessment on the Owner and the Owner's. Lot for all costs and expenses incurred by the Master Association (or a Special District pursuant to contract) in connection therewith, together with attorney's fees and other costs of collection. 68\1\1488974.3 58 If an Owner of a Lot served by a Shared Driveway Easement wishes to make additional driveway improvements within the Shared Driveway Easement; he shall have the right to do so at his sole cost (or to share such cost with any other Lot Owners that agree to do so), provided that such improvements do not obstruct or interfere in any way with the driveway or with the free flow of vehicular and pedestrian traffic over and upon the driveway, and provided that any such improvements are consistent with the Design Guidelines and receive the prior written approval of the Design Review Committee. Each Owner of a Lot served by a Shared Driveway Easement shall be responsible for obtaining and maintaining in effect at all times a policy of comprehensive public liability insurance against claims for bodily injury, death or property damage occurring in or upon or in connection with the use of the Shared Driveway Easement and the improvements thereon, in the minimum amount of $1,000,000.00. In the event of a dispute between the Owners of Lots served by a Shared Driveway Easement relating to the use, maintenance or improvement of the Shared Driveway Easement, which dispute cannot be resolved by good faith negotiations, any such Owner may submit the dispute to the Design Review Committee for resolution, which resolution shall be binding on the affected Owners. The Design Review Committee shall have exclusive jurisdiction with respect to such disputes. 9.16 Easements for Benefit of Club Property. The Declaration of Easements and Rights establishes certain non-exclusive easements over, across and upon portions of the Common Interest Community for the use and benefit of the Club Property. Said easements shall be used for the purposes and in the manner provided in the Declaration of Easements and Rights. 9.17 Blanket Emergency Services Easement. There is hereby created, granted and reserved for the use and benefit of all police, sheriff, fire protection, ambulance and other similar emergency agencies or persons, now or hereafter serving the Common Interest Community and its Owners and Occupants, a perpetual, non-exclusive blanket Emergency Services Easement over, upon, along and across all streets, roads, Shared Driveways, properties and areas within the Common Interest Community, for use in the lawful performance of their duties. 9.18 Easements Deemed Created. All conveyances of Lots and Wilderness Cabin Interests and Association Property hereafter made, whether by Declarant or otherwise, shall be deemed and construed to grant and reserve all of the easements referred to in this Article 9 and elsewhere in this Master Declaration and in any Supplemental Declaration, even though no specific reference to such easements appears in the conveyancing instruments. 9.19 Restrictions on Owners in Easement Areas. Owners of Lots and Wilderness Cabin Interests that are subject to any easements created by this Master Declaration, a Supplemental Declaration, or a recorded Plat, shall acquire no right, title or interest in any cables, conduits, mains, lines, or other equipment or facilities or improvements that may be installed upon, over or under the easement area by a beneficiary of said easement rights. Moreover, Owners and Occupants of Lots and Wilderness Cabin Interests that are subject to any such easements are hereby prohibited from constructing any improvements upon the easement areas, altering or obstructing the flow of any water or drainage thereon. or landscaping the same, 68\1\1088974.3 59 • • • • in any manner that might interfere with the full and proper exercise of said easement rights by any beneficiary thereof. Finally, said Owners and Occupants are hereby prohibited from violating any of the restrictions relating to the use of the easement areas as may be set forth in this Master Declaration, any Supplemental Declaration, or in the Wildlife Mitigation Plan. Any Owner or Occupant violating any of these restrictions shall be obligated to remove the offending improvement or Landscaping and to restore the surface of the area to its original condition at the Owner's cost and expense, or otherwise to remedy the violation, within 30 days following a written request therefor from any easement beneficiary. If said Owner or Occupant fails to comply with the request in a timely manner, the Master Association shall have the right to enter upon the Owner's Lot to perform the necessary work and may assess the costs thereof against the Owner and the Owner's Lot in the form of a Reimbursement Assessment. 9.20 Recorded Easements and Licenses. In addition to the easements described in this Article 9 and elsewhere in this Master Declaration, the recorded easements and licenses appurtenant to or included in the Common Interest Community are set forth on Exhibit E attached hereto and made a part hereof by this reference. ARTICLE X MASTER ASSOCIATION 10.1 Master Association. The Master Association has been formed as a Colorado nonprofit corporation under the Colorado Revised Nonprofit Corporation Act to manage the affairs of the Common Interest Community. The Master Association shall serve as the governing body for all of the Owners and Occupants for the protection, improvement, alteration, maintenance, repair, replacement, administration and operation of Association Property, the levying and collection of Assessments for Common Expenses and other expenses of the Master Association, and such other matters as may be provided in this Master Declaration, any Supplemental Declaration, the Articles, Bylaws, and Master Rules and Regulations. The Master Association shall not be deemed to be conducting a business of any kind, and all funds received by the Master Association shall be held and applied by it on behalf of the Owners in accordance with the provisions of this Master Declaration, any Supplemental Declaration, the Articles and the Bylaws. 10.2 Master Association Executive Board. The affairs of the Master Association shall be managed by an Executive Board. The number, term, and qualifications of the members of the Executive Board shall be fixed in the Articles of Incorporation or the Bylaws. A quorum shall be deemed present throughout any meeting of the Executive Board if persons entitled to cast at least fifty percent (50%) of the votes on the Executive Board are present at the beginning of the meeting or grant their proxy as provided in C.R.S. Section 7-128-205(4). With the exception of matters that may be discussed in executive session, as set forth in Section 38-33.3-308(3-7) of the Act, all regular and special meetings of the Executive Board or any committee thereof shall be open to attendance by all Members of the Master Association or their representatives. Without limiting the generality of the foregoing, no Master Rule or Regulation may be validly adopted during an executive session. Agendas for meetings of the Executive Board shall be made reasonably available for examination by all Members of the Master Association or their representatives. 6811 J 088974.3 60 The Executive Board shall have all of the powers, authority and duties granted or delegated to it by the Act, this Master Declaration, any Supplemental Declaration, the Articles or Bylaws. Except as provided in the Act, this Master Declaration, any Supplemental Declaration, the Articles or Bylaws, the Executive Board may act in all instances on behalf of the Master Association. The Executive Board may not, however, act on behalf of the Master Association to amend this Master Declaration, to terminate the Common Interest Community, or to elect members of the Executive Board or determine the qualifications, powers and duties, or terms of office of Executive Board members, but the Executive Board may fill vacancies in its membership for the unexpired portion of any term. The Executive Board may, by resolution, delegate portions of its authority to officers of the Master Association, but such delegation of authority shall not relieve the Executive Board of the ultimate responsibility for management of the affairs of the Master Association. If appointed by Declarant, in the performance of their duties, the members of the Executive Board and the officers of the Master Association are required to exercise the care required of fiduciaries of the Lot and Wilderness Cabin Interest Owners. If not appointed by Declarant, no member of the Executive Board and no officer shall be liable for actions taken or omissions made in the performance of such member's or officer's duties except for wanton and willful acts or omissions. 10.3 Membership in Master Association. There shall be one Membership in the Master Association for each Lot and each Wilderness Cabin Interest within the Common Interest Community. The Person or Persons who constitute the Owner of a Lot or Wilderness Cabin Interest shall automatically be the holder of the Membership appurtenant to that Lot or Wilderness Cabin Interest, and shall collectively be the "Member" of the Master Association with respect to that Lot or Wilderness Cabin Interest, and the Membership appurtenant to that Lot Or Wilderness Cabin Interest shall automatically pass with fee simple title to the Lot or Wilderness Cabin Interest. Declarant shall hold a Membership in the Master Association for each Lot or Wilderness Cabin Interest owned by Declarant. Membership in the Master Association shall not be assignable separate and apart from fee simple title to a Lot or Wilderness Cabin Interest, and may not otherwise be separated from ownership of a Lot or Wilderness Cabin Interest. 10.4 Voting Rights of Members. Each Lot in the Common Interest Community shall be entitled to four (4) votes in the Master Association. If a Lot is divided into Wilderness Cabin Interests pursuant to a Supplement Declaration, the votes allocated to that Lot shall be reallocated equally amongst the Wilderness Cabin Interests created for the Lot, e.g., an undivided one-fourth Wilderness Cabin Interest shall have one vote in the Master Association. Occupants of Lots shall not have voting rights. If title to a Lot or Wilderness Cabin Interest is owned by more than one (1) Person, such persons shall collectively cast their allocated vote(s). If only one of the multiple owners of a Lot or Wilderness Cabin Interest is present at a Master Association meeting, such owner is entitled to cast the vote(s) allocated to that Lot or Wilderness Cabin Interest. If more than one of the multiple owners is present, the vote(s) allocated to that Lot or Wilderness Cabin Interest may be cast only in accordance with the agreement of a majority in interest of the owners. There is a majority agreement if any of the multiple owners casts the vote(s) allocated to that Lot or Wilderness Cabin Interest without protest being made 6811\11188974.3 61 • • • • promptly to the person presiding over the meeting by any of the other owners of the Lot or Wilderness Cabin Interest. In the event of a protest made by one or more multiple owners, and a majority of the multiple owners of the Lot or Wilderness Cabin Interest cannot agree on how to cast their votes, any votes cast for that Lot or Wilderness Cabin Interest shall nevertheless be counted in determining the presence of a quorum with respect to the issue being voted upon. In accordance with Section 38-33.3-309 of the Act, and except as may otherwise be provided in the Bylaws, a quorum is deemed present throughout any meeting of the Members of the Master Association if persons entitled to cast at least twenty percent (20%) of the total allocated votes in the Master Association are present, in person or by proxy, at the beginning of the meeting. Provided a quorum of allocated votes entitled to vote is present in person or by proxy, the affirmative vote of a majority of the total allocated votes so present shall constitute approval of any matter voted upon unless a different number is required on a particular matter by the Act, this Master Declaration, any Supplemental Declaration, the Articles, or the Bylaws. The vote(s) allocated to a Lot or Wilderness Cabin Interest may be cast pursuant to a proxy duly executed by a Lot or Wilderness Cabin Interest Owner. If a Lot or Wilderness Cabin Interest is owned by more than one person, each owner of the Lot or Wilderness Cabin Interest may vote or register protest to the casting of a vote by the other owners of the Lot or Wilderness Cabin Interest through a duly executed proxy. A Lot or Wilderness Cabin Interest Owner may not revoke a proxy given pursuant to this Section except by actual notice of revocation to the person presiding over a meeting of the Master Association. A proxy is void if it is not dated or purports to be revocable without notice. A proxy shall terminate eleven (11) months after its date, unless a different termination date is otherwise set forth on its face. No vote(s) allocated to a Lot or Wilderness Cabin Interest owned by the Master Association may be cast. The Lot and Wilderness Cabin Interest Owners, by a vote of sixty-seven percent (67%) of all allocated votes present and entitled to vote at any meeting of the Lot and Wilderness Cabin Interest Owners at which a quorum is present, may remove any member of the Executive Board with or without cause, other than a member appointed by Declarant. 103 Period of Declarant Control of Master Association. Notwithstanding any other provisions hereof, Declarant shall have and hereby reserves the power to appoint and remove, in its sole discretion, the members of the Executive Board and the officers of the Master Association during the period commencing upon the Recording of this Master Declaration and terminating no later than the earlier of (a) sixty (60) days after conveyance of seventy-five percent (75%) of the Lots that may be created to Owners other than Declarant; or (b) two (2) years after the last conveyance of a Lot by the Declarant in the ordinary course of business; or (c) two (2) years after any right to add new Lots was last exercised by Declarant. For purposes of determining said "Period of Declarant Control" under this Master Declaration and the Articles of Incorporation and Bylaws of the Master Association, a Lot which is divided into Wilderness Cabin Interests shall be deemed conveyed by Declarant only upon the conveyance by Declarant of one hundred percent (100%) of the Wilderness Cabin Interests in such Lot. 68\111088974.3 62 During said Period of Declarant Control of the Master Association: (a) Not later than sixty (60) days after conveyance of twenty-five percent (25%) of the Lots that may be created to Owners other than Declarant, at least one (1) member and not less than twenty-five percent (25%) of the members of the Executive Board must be elected by Lot and Wilderness Cabin Interest Owners other than Declarant. (b) Not later than sixty (60) days after conveyance of fifty percent (50%) of the Lots that may be created to Owners other than Declarant, not less than thirty-three and one-third percent (33-1/3%) of the members of the Executive Board must be elected by Lot and Wilderness Cabin- Interest Owners other than Declarant. At any time prior to the termination of the Period of Declarant Control of the Master Association, the Declarant may voluntarily surrender and relinquish the right to appoint and remove officers and members of the Executive Board, but in such event Declarant may require, for the duration of the Period of Declarant Control of the Master Association, that specified actions of the Master Association or the Executive Board, as described in a Recorded instrument executed by Declarant, be approved by Declarant before they become effective. As to such actions, Declarant may give its approval or disapproval in its sole discretion and option, and its disapproval shall invalidate any such action by the Executive Board or the Master Association. Not later than the termination of the Period of Declarant Control of the Master Association, the Owners (including Declarant) shall elect an Executive Board of at least three (3) members, at least a majority of whom must be Owners other than Declarant or designated representatives of Owners other than Declarant, and the Executive Board shall elect the officers, with such Executive Board members and officers to take office upon election. Pursuant to Section 38-33.3-303(9) of the Act, within sixty (60) days after Owners other than Declarant elect a majority of the members of the Executive Board, Declarant shall deliver to the Master Association all property of the Owners and of the Master Association held or controlled by Declarant, including without limitation the following items: (a) The original or a certified copy of the recorded. Master Declaration as amended, the Master Association's Articles of Incorporation, Bylaws, minute books, other books and records, and any rules and regulations which may have been promulgated; (b) An accounting for Master Association funds and financial statements from the date the Master Association received funds and ending on the date the Period of Declarant Control ends. The financial statements shall be audited by an independent certified public accountant and shall be accompanied by the accountant's letter, expressing either the opinion that the financial statements present fairly the financial position of the Master Association in conformity with generally accepted accounting principles or a disclaimer of the accountant's ability to attest to the fairness of the presentation of the financial information in conformity with generally accepted accounting principles and the reasons therefor. The expense of the audit shall not be paid for or charged to the Master Association. 6811 \ 1088974,3 63 • • • • (c) The Master Association funds or control thereof; (d) All of the Declarant's tangible personal property that has been represented by the Declarant to be the property of the Master Association or all of the Declarant's tangible personal property that is necessary for, and has been used exclusively in, the operation and enjoyment of Association Property, and inventories of these properties; (e) A copy, for the nonexclusive use by the Master Association, of any plans and specifications used in the construction of the improvements in the Common Interest Community; (f) All insurance policies then in force, in which the Owners, the Master Association, or its directors and officers are named as insured persons; (g) Copies of any certificates of occupancy that may have been issued with respect to any improvements comprising the Common Interest Community; (h) Any other permits issued by governmental bodies applicable to the Common Interest Community and which are currently in force or which were issued within one year prior to the date on which Lot and Wilderness Cabin Interest Owners other than the Declarant took control of the Master Association; (i) Written warranties of the contractor, subcontractors, suppliers, and manufacturers that are still effective; (j) A roster of Owners and Occupants and Mortgagees and their addresses and telephone numbers, if known, as shown on the Declarant's records; (k) Employment contracts in which the Master Association is a contracting party; and (1) Any service contract in which the Master Association is a contracting party or in which the Master Association or the Owners have any obligation to pay a fee to the persons performing the services. 10.6 Termination of Contracts and Leases of Declarant. The following contracts and leases, if entered into before the Executive Board elected by the Owners pursuant to Section 38-33.3-303(7) takes office, may be terminated without penalty by the Master Association at any time after the Executive Board elected by the Owners pursuant to said Section 38-33.3-303(7) takes office, upon not, less than ninety (90) days notice to the other party: (1) Any management contract, employment contract or lease of recreational or parking areas or facilities; (ii) Any other contract or lease between the Master Association and Declarant or an affiliate of Declarant; or (iii) Any contract or lease that is not bona fide or was unconscionable to the Owners at the time entered into under the circumstances then prevailing. 10.7 Master Association/Subassociations. Every Supplemental Declaration in which a Subassociation is organized and/or established shall contain sufficient language pursuant to Section 38-33.3(220) of the Act delegating responsibilities and control and subordinating it to the 68\1\1088974.3 64 Master Association and to this Master Declaration to effectuate the purposes of this Master Declaration. Each Supplemental Declaration shall provide that the Executive Board shall be elected after the termination of the Period of Declarant Control of the Master Association by all Owners of all Common Interest Communities subject to the Master Declaration. If both a Subassociation and the Master Association have liens for Assessments created at any time on the same Lots or Wilderness Cabin Interests, the lien of the Master Association shall take priority over the lien of any Subassociation. ARTICLE XI POWERS AND DUTIES OF MASTER ASSOCIATION 11.1 General Powers and Duties of Master Association. The Master Association shall have and may exercise all of the powers and rights and duties of a Colorado corporation formed under the Colorado Revised Nonprofit Corporation Act, and all of the powers and duties provided for in the Act including those enumerated in Section 38-333-302 of the Act, as such laws may be amended from time to time, subject only to the limitations upon such powers as are contained in this Master Declaration. More specifically, and without limiting the generality of the foregoing, the Master Association shall have all of the powers and duties necessary (i) for the administration, management, governance and operation of the Common Interest Community and the Master Association, (ii) to own, operate, improve, maintain, repair, manage, lease, encumber, and otherwise deal with Association Property, (iii) to improve, maintain and repair the Limited Common Areas, and (iv) to do any and all lawful things that may be authorized, required or permitted to be done by the Master Association under the Act and/or under the provisions of this Master Declaration and of any Supplemental Declarations. 11.2 Power to Grant Easements. The Master Association shall have the power to grant access, utility, drainage, irrigation, and such other easements upon, over, across or under Association Property as it deems necessary or desirable for the benefit of the Common Interest Community or parts thereof, or for the benefit of all or less than all of the Owners, or for the benefit of lands situated outside the Common Interest Community. 11.3 Power to Convey or Encumber Association Property. The Master Association shall have the power to convey, or subject to a security interest, portions of the Association Property if Owners entitled to cast at least sixty-seven percent (67%) of the allocated votes in the Master Association, including sixty-seven percent (67%) of the votes allocated to Lots or Wilderness Cabin Interests not owned by Declarant, agree to that action, except that all Owner(s) of Lots to which any Limited Common Area is allocated must agree in order to convey that Limited Common Area or to subject it to a security interest. Proceeds of the sale are an asset of the Master Association. An agreement to convey, or subject to a security interest, Association Property must be evidenced by the execution of an agreement, in the same manner as a deed, by the Master Association. The agreement must specify a date after which the agreement will be void unless approved by the required percentage of allocated votes. Any grant, conveyance or deed executed by the Master Association must be Recorded in the County, and is effective only upon Recordation. The Master Association, on behalf of the Owners, may contract to convey an interest in an Association Property, but the contract is not enforceable against the Master 681111 088974.3 65 • • • • • Association until approved, executed and ratified pursuant to this Section. Thereafter, the Master Association shall have all the powers necessary and appropriate to effect the conveyance or encumbrance, including the power to execute deeds or other instruments. Unless in compliance with this Section any purported conveyance, encumbrance, judicial sale, or other transfer of Association Property is void. A conveyance or encumbrance of Association Property pursuant to this Section shall not deprive any Lot of its rights of (i) access, ingress and egress to the Lot, and (11) support of the Lot. A conveyance or encumbrance of Association Property pursuant to this Section shall not affect the priority or validity of preexisting encumbrances. 11.4 General Power to Provide Services and Facilities to Owners. The Master Association shall have the power, but not the obligation, to acquire, construct, operate, manage, maintain, repair and administer services and facilities for the benefit of the Owners, or some of them, including, without limitation, security, animal control, vegetation control, insect and pest control, television service, parking facilities, transportation facilities, snow removal, signage, (including entry monuments), lighting, (including seasonal lighting), fencing, landscape walls, landscaping services and facilities, drainage facilities, including retention and detention ponds, irrigation facilities; water features, trash and solid waste disposal services, including recycling programs, utility services, recreational facilities and services, maintenance, and such other services, functions and facilities as are deemed appropriate by the Executive Board. The foregoing list shall not be deemed to be a representation by Declarant of services or facilities that will in fact be available for use by the Owners. The Master Association may enter into such agreements and arrangements as it may deem appropriate with any provider of utilities or services to the Common Interest Community or any portion thereof, including any Special Districts that provide such services, and may form or join any districts created to provide such services, The Master Association shall also have the right, but no obligation to enter into a "bulk rate contract" for cable television and/or security monitoring services, in which case the Master Association shall pay the contractual charges as a Common Expense. 11.5 Power to Provide Services to Subassociations. The Master Association shall have the power, but not the obligation, to provide services to Subassociations. Such services to any Subassociation shall be provided pursuant to an agreement in writing between the Master Association and such Sub -association which shall provide for the payment by such Subassociation to the Master Association of the costs and expenses of the Master Association of providing such services to the Subassociation including a fair share of the overhead expenses of the Master Association. Services which may be provided to a Subassociation may include, without limitation, (a) the construction, care, operation, management, maintenance, repair, and replacement of Improvements owned by the Subassociation; (b) the providing of services to the area covered by the Subassociation; (c) the enforcement of the provisions of any Supplemental Declaration for, on behalf of, and in the name of the Subassociation; (d) the collection of assessments for, in the name of, and on behalf of a Subassociation; (e) the payment of taxes for a Subassociation with funds of the Subassociation; (t) the obtaining of insurance for a Subassociation; (g) the collection of charges for use of facilities of a Subassociation; and (h) the appointment and supervision of a manager or managers for a Subassociation. 11.6 Power to Provide Special Services to Owners. The Master Association shall have the power to provide services to an Owner or group of Owners. Any service or services to an Owner or group of Owners shall be provided pursuant to an agreement in writing, or through 68\1\1088974.3 66 one or more Supplemental Declarations, which shall provide for payment to the Master Association by such Owner or group of Owners of the costs and expenses of the Master Association in providing such services, including a fair share of the overhead expenses of the Master Association, and shall contain reasonable provisions assuring that the obligation to pay for such services shall be binding upon any heirs, personal representatives, successors and assigns of the Owner or group of Owners and that the payment for such services shall be secured by a lien on the Lot(s) or Wilderness Cabin Interest(s) of the Owner or a group of Owners. 11.7 Power to Charge for Special Association Property Uses and Special Master Association Services. The Master Association shall have the power to establish reasonable admission or other fees or charges for any special or extraordinary Association Property uses or Master Association services such as special parking privileges, special recreation facilities, conference rooms, instruction, or similar uses beyond the ordinary use of Association Property and ordinary Master Association services. Such charges or fees shall be set forth in schedules of charges and fees adopted from time to time by the Executive Board. 11.8 Power to Acquire Property and Construct Improvements. The Master Association may acquire, hold, encumber and/or convey any right, title or interest in or to real or personal property, including Improvements. The Master Association may construct Improvements on Association Property and may demolish existing Improvements thereon. 11.9 Power to Adopt Master Rules and Regulations. The Master Association may adopt, amend, repeal, and enforce such Master Rules and Regulations as the Executive Board may consider necessary, desirable or appropriate from time to time with respect to the interpretation and implementation of this Master Declaration, the operation of the Master Association, the use and enjoyment of Association Property (including Limited Common Areas), and the use of any other property within the Common Interest Community, including Lots and Wilderness Cabin Interests. Any such Master Rules and Regulations shall be effective only upon adoption by resolution at an open meeting of the Executive Board. Notice of the adoption, amendment, or repeal of any Master Rule or Regulation shall be given in writing to each Owner, and copies of the currently effective Master Rules and Regulations shall be made available to each Owner and Occupant upon request and payment of the reasonable expense of copying the same. Each Owner and Occupant (and all other Persons who are authorized users of Association Property) shall comply with such Master Rules and Regulations, and each Owner shall see that Occupants claiming through such Owner comply with such Master Rules and Regulations. Such Master Rules and Regulations shall have the same force and effect as if they were set forth in and were part of this Master Declaration. In the event of conflict between the Master Rules and Regulations and the provisions of this Master Declaration, the provisions of this Master Declaration shall govern. Such Master Rules and Regulations may establish reasonable and uniformly applied penalties (including the levying and collection of fines) for the violation of such Master Rules and Regulations or of any provision of this Master Declaration, the Articles, or the Bylaws. 11.10 Power to Contract with Employees, Agents, Contractors, Districts Consultants and Managers. The Master Association shall have the power to contract with, and/or to employ and discharge employees, agents, independent contractors and consultants, including lawyers and accountants, and Special Districts, to perform any of the responsibilities of 68\1\1088974.3 67 • • • • • the Master Association under this Master Declaration, including without limitation maintenance responsibilities. The Master Association shall also have the power to retain and pay for the services of a manager or managers, which may be an affiliate of Declarant, to undertake any of the administrative or managerial responsibilities for which the Master Association may have responsibility under this Master Declaration, to the extent deemed advisable by the Master Association, and may delegate any of its duties, powers, or functions to any such manager. Notwithstanding any delegation to a manager of any duties, powers, or functions of the Master Association, the Master Association and its Executive Board shall remain ultimately responsible for the performance and exercise of such duties, powers, and functions. 11.11 Power to Assign Future Income. The Master Association shall have the power to assign its right to future income, including the right to receive Regular Assessments, but only following the affirmative vote of at least fifty-one (51) percent of the total allocated votes in the Master Association, at a duly -called meeting of the Members of the Master Association. 11.12 Duty to Accent Property and Facilities Transferred by Declarant. The Master Association shall accept title to any real property, or interests in real property, including any Improvements and personal property thereon, transferred to the Master Association by Declarant, or Declarant's successors or assigns. Property interests transferred to the Master Association by Declarant or its successors or assigns may include fee simple title, undivided interests, easements, leasehold interests and licenses to use. Except as may otherwise be approved by the Executive Board, any property or interest in property transferred to the Master Association by Declarant or its successors or assigns shall be within the boundaries of the Common Interest Community; provided, however, that Declarant shall be entitled to transfer and convey the beneficial use of an easement, subject to any obligations thereunder, located outside of the Common Interest Community but which benefits the Master Association and the Owners. Any property or interest in property transferred to the Master Association by Declarant shall, except to the extent otherwise specifically approved by resolution of the Executive Board. be transferred to the Master Association free and clear of all monetary obligations, liens and encumbrances (other than the lien of property taxes and assessments not then due and payable), but shall be subject to the terms of this Master Declaration, and easements, covenants, conditions, restrictions, and equitable servitudes or other encumbrances of record or otherwise in existence. Except as otherwise specifically approved by resolution of the Executive Board, no property or interest in property transferred to the Master Association by Declarant shall impose upon the Master Association any obligation to make monetary payments to Declarant or any affiliate of Declarant, including, but not limited to, any purchase price, rent, charge, or fee. Any Improvements or personal property transferred to the Master Association by Declarant shall be in good working order, ordinary wear and tear excepted, and at the time of transfer Declarant shall make any repairs reasonably required to bring the transferred property into good working order. Subject only to the foregoing, the Master Association shall accept all properties transferred to it by Declarant in their "Where Is, As Is" condition, without recourse of any kind, and Declarant disclaims and shall not be deemed to make or to have made any representations or warranties, express or implied, by fact or law, with' respect to the transferred properties or any aspect or element thereof, including without limitation warranties of merchantability, habitability, fitness for a particular purpose, or workmanlike construction. 68\1\1088974.3 68 11.13 Duty to Maintain and Care for Association Property. The Master Association shall manage, operate, care for, maintain, repair and replace all Association Property and keep the same in a functional, clean and attractive condition for the benefit and enjoyment of the Owners. Except as otherwise specifically provided in this Master Declaration or in any Supplemental Declaration, the Master Association shall also manage, operate, care for, maintain and repair the Limited Common Areas. 11.14 Duty to Pay Taxes. The Master Association shall pay any taxes and assessments levied upon Association Property (excepting Limited Common Areas) and any other taxes and assessments payable by the Master Association before they become delinquent. The Master Association shall have the right to contest any such taxes or assessments by appropriate legal proceedings provided no sale or foreclosure of any lien for such tax or assessment occurs and provided further that the Master Association shall keep and hold sufficient funds to pay and discharge the taxes and assessments, together with any interest and penalties which may accrue with respect thereto, if the contest of such taxes is unsuccessful. 11.15 Duty to Keep Master Association Records. The Master Association shall keep financial records in sufficient detail to enable the Master Association to carry out its responsibilities under this Master Declaration and to comply with the requirements of the Act, including, but not limited to, current records of paid and unpaid Assessments for each Lot and Wilderness Cabin Interest. All financial and other records of the Master Association shall be made reasonably available for examination by the Owners and the authorized agents of the Owners. 11.16 Duty to Support Design Review Committee. The Master Association shall take such actions, provide such funds, and do such other things as may be necessary or appropriate from time to time to support and assist the Design Review Committee in the performance of its responsibilities under this Master Declaration, and shall cooperate with said Committee to the fullest extent possible in such matters. 11.17 Insurance. Commencing not later than the time of the first conveyance of a Lot or Wilderness Cabin Interest to a Person other than Declarant, the Master Association shall maintain and keep in effect at all times the following types of insurance, and the cost of said coverage shall be paid by the Master Association as a Common Expense: (a) Casualty Insurance. To the extent reasonably available, property insurance on all Association Property, including but not limited to Improvements and personalty, owned or Leased by the Master Association, and on all property that must become Association Property. Such insurance shall be for broad form covered causes of loss, including casualty, fire, and extended coverage insurance including, if available at reasonable cost, coverage for vandalism and malicious mischief and, if available and if deemed appropriate, coverage for flood, earthquake, and war risk. Such insurance shall, to the extent reasonably obtainable, be for the full insurable replacement cost of the insured property, less applicable deductibles at the time the insurance is purchased and at each renewal date, exclusive of land, excavation, foundations and other items normally excluded from property policies. 68\1\1088974.3 69 (b) Liability Insurance. Comprehensive general liability insurance against claims and liabilities arising in connection with the ownership, existence, use, maintenance or management of the Association Property (including the Limited Common Areas), and covering public liability or claims of liability for injury to persons and/or property, and death of any person or persons, and, if the Master Association owns or operates motor vehicles, public liability or claims of liability for bodily injury (including death) and property damage arising as a result of the ownership and operation of motor vehicles. Such liability insurance for other than motor vehicle liability shall, to the extent reasonably obtainable, (a) have limits of not less than Five Million Dollars ($5,000,000.00) per person and Five Million Dollars ($5,000,000.00) per occurrence; (b) insure the Executive Board, the Design Review Committee, the Master Association and its officers, the manager, if any, and their respective employees, agents and all Persons acting as agents; (c) include the Declarant as an additional insured as its interests may appear; (d) include the Owners as additional insureds, but only for claims and liabilities arising in connection with the ownership, existence, use, maintenance or management of Association Property; (e) cover claims of one or more insured parties against other insured parties; (f) be written on an occurrence basis; and (g) shall name as additional insureds such other parties as may be required by specific agreements. (c) Contractual Liability Insurance. To the extent reasonably available, contractual liability insurance covering such contractual obligations and liabilities, indemnifications, hold harmless agreements, and agreements to defend, as the Master Association may have or be a party to from time to time, with coverage of at least Two Million Dollars ($2,000,000.00) or such greater amount as the Executive Board shall determine to be appropriate from time to time. (d) Fidelity Bonds. To the extent reasonably available, fidelity bond coverage against dishonest acts on the part of directors, officers, managers, trustees, agents, employees or volunteers responsible for handling funds belonging to or administered by the Master Association. If funds of the Master Association are handled by a management agent, then fidelity bond coverage may also be obtained for the officers, employees, or agents thereof handling or responsible for Master Association funds. The fidelity bond or insurance must name the Master Association as the named insured and shall be written to provide protection in an amount no less than the lesser of (a) one-half times the Master Association's estimated annual operating expenses and reserves, (b) a sum equal to three (3) months aggregate Regular Assessments, plus reserves, as calculated from the current Budget of the Master Association; or (c) the estimated maximum amount of funds, including reserves, in the custody of the Master Association (and its management agent) at any one time. In connection with such coverage, an appropriate endorsement to the policy to cover any person who serves without compensation shall be added if the policy would not otherwise cover volunteers. (e) Worker's Compensation. A Worker's Compensation policy, if necessary, to meet the requirements of law. (f) Directors and Officers Liability Insurance. Directors and officers liability insurance with coverage of at least Two Million Dollars ($2,000,000.00) or such greater 68\1\3088474.3 70 amount as the Executive Board shall approve for all Master Association, Executive Board and Design Review Committee directors, officers, members and managers, for any and all errors and/or omissions and other covered actions that occur during their tenure in office or employment. This insurance coverage shall be mandatory. (g) Other Insurance. Such other insurance in such amounts as the Executive Board shall determine, from time to time, to be appropriate to protect the Master Association or the Owners, or as may be required by the Act. (h) General Provisions Respecting Insurance. Insurance obtained by the Master Association may contain such deductible provisions as good business practice may dictate. If the insurance described is not reasonably available, or if any policy of such insurance is canceled or not renewed without a replacement policy therefor having been obtained by it, the Master Association shall promptly cause notice of that fact to be delivered or sent prepaid by U.S. Mail to all Owners. Insurance policies carried pursuant to Sections (a) and (b) above shall provide that (1) each Owner is an insured Person under the policy with respect to liability arising out of such Owner's interest in the Association Property or membership in the Master Association; (ii) the insurer waives its rights of subrogation under the policy against the Master Association, each Owner, and any Person claiming by, through, or under such Owner or any other director, agent, or employee of the foregoing; (c) no act or omission by any Owner, unless acting within the scope of such Owner's authority on behalf of the Master Association, will void the policy or be a condition to recovery under the policy, and (d) if at the time of a loss under the policy, there is other insurance in the name of an Owner covering the same risk covered by the policy, the Master Association's policy shall be the primary insurance. An insurer that has issued an insurance policy for the insurance described in Sections (a) and (b) above shall issue certificates or memoranda of insurance to the Master Association and, upon request, to any Owner or holder of a security interest. Unless otherwise provided by statute, the insurer issuing the policy may not cancel or refuse to renew it until thirty (30) days after notice of the proposed cancellation or nonrenewal has been mailed to the Master Association, and each Owner and holder of a security interest to whom a certificate or memorandum of insurance has been issued, at their respective last -known addresses. Any loss covered by the property insurance policy described in Section (a) above must be adjusted with the Master Association, but the insurance proceeds for that loss shall be payable to any insurance trustee designated for that purpose, or otherwise to the Master Association, and not to any holder of a security interest. The insurance trustee or the Master Association shall hold any insurance proceeds in trust for the Master Association, Owners and lienholders as their interests may appear. Subject to the provisions of Section 38.33.3-313(9) of the Act, the proceeds must be disbursed first for the repair or restoration of the damaged property, and the Master Association, Owners, and lienholders are not entitled to receive payment of any portion of the proceeds unless there is a surplus of proceeds after the property has been completely repaired or restored or the Common Interest Community is terminated. 68\111088974.3 71 • • • • • • The Master Association may adopt and establish written nondiscriminatory policies and procedures relating to the submittal of claims, responsibility for deductibles, and any other matters of claims adjustment. To the extent the Master Association settles claims for damages to real property, it shall have the authority to assess negligent Owners causing such loss or benefiting from such repair or restoration for all deductibles paid by the Master Association. In the event more than one Lot is damaged by a loss, the Master Association in its reasonable discretion may assess each Lot Owner a pro rata share of any deductible paid by the Master Association. Insurance obtained by the Master Association shall, to the extent reasonably possible, and provided Declarant reimburses the Association for any additional premium payable on account thereof, name Declarant as an additional insured and shall contain a waiver of rights of subrogation as against Declarant. Insurance policies and insurance coverage shall be reviewed at least annually by the Executive Board to ascertain whether coverage under the policies is sufficient in light of the current values of the Association Property and in light of the possible or potential liabilities of the Master Association and other insured parties. The aforementioned insurance may be provided under blanket policies covering the Association Property and property of Declarant. In no event shall insurance coverage obtained or maintained by the Master Association obviate the need for Owners and Occupants to obtain insurance for their own benefit. Furthermore, to the extent reasonably available, insurance policies obtained by the Master Association shall contain the following provisions: (i) The coverage afforded by such policies shall not be brought into contribution or proration with any insurance which may be purchased by an Owner, Occupant or Mortgagee. (ii) The conduct of any one or more Owners or Occupants shall not constitute grounds for avoiding liability on any such policies. (iii) Each policy must contain a waiver of any defenses based on coinsurance or on invalidity arising from the acts of the insured. (iv) A "severability of interest" endorsement shall be obtained which shall preclude the insurer from denying the claim of an Owner or Occupant because of the conduct or negligent acts of the Master Association and its agents or other Owners or Occupants. (v) Any "no other insurance" clause shall exclude insurance purchased by Owners, Occupants or Mortgagees. (vi) Coverage must not be prejudiced by (i) any act or neglect of Owners or Occupants when such act or neglect is not within the control of the Master Association, or (ii) any failure of the Master Association to comply with any warranty or condition regarding any portion of the Common Interest Community over which the Master Association has no control. 68\ 111088974.3 72 (vii) Coverage may not be canceled or substantially modified without at least thirty (30) days (or such lesser period as the Master Association may reasonably deem appropriate) prior written notice to the Master Association. (viii) Any policy of property insurance which gives the carrier the right to elect to restore damage in lieu of a cash settlement must provide that such election is not exercisable without the prior written approval of the Master Association, or when in conflict with the insurance trust provisions contained herein, or any requirement of law. (ix) A recognition of any insurance trust agreement entered into by the Master Association. (x) Each hazard insurance policy shall be written by a hazard insurance carrier which has a financial rating as designated in Best's Key Rating Guide of Class VI or better, or if such rating service be discontinued, an equivalent rating by a successor thereto or a similar such rating service. Each insurance carrier must be specifically licensed or authorized by law to transact business within the State of Colorado. (i) Nonliability of Master Association or Executive Board. Notwithstanding the duty of the Master Association to obtain insurance coverage, as stated herein, neither the Master Association nor any Executive Board member, nor the Declarant, shall be liable to any Owner, Occupant, Mortgagee or other Person, if any risks or hazards are not covered by insurance, or if the appropriate insurance is not obtained because such insurance coverage is not reasonably obtainable on the Master Association's behalf, or if the amount of insurance is not adequate, and it shall be the responsibility of each Owner and Occupant to ascertain the coverage and protection afforded by the Master Association's insurance and to procure and pay for such additional insurance coverage and protection as the Owner or Occupant may desire. (j) Master Premiums. Premiums for insurance policies purchased by the Master Association and other expenses connected with acquiring such insurance shall be paid -by the Master Association as a Common Expense, except that (i) liability insurance on Limited Common Areas shall be separately bid and the cost thereof shall only be included in the Regular Assessments of the Lots entitled to use such Limited Common Areas, and (ii) the amount of increase over any annual or other premium occasioned by the use, misuse, occupancy or abandonment of a Lot or its appurtenances, or Association Property, by an Owner or Occupant, may at the Executive Board's election, be assessed against that particular Owner and his Lot or Wilderness Cabin Interest as a Reimbursement Assessment. (k) Insurance Claims. The Master Association is hereby irrevocably appointed and authorized, subject to the provisions contained herein, to adjust all claims arising under insurance policies purchased by the Master Association and to execute and deliver releases upon the payment of claims, and to do all other acts reasonably necessary to accomplish any of the foregoing. The Executive Board has full and complete power to act for the Master Association in this regard. and may, in its discretion; appoint an authorized representative, or enter into an insurance trust agreement, wherein the trustee 681! 11088974.3 73 • • • shall have the authority to negotiate losses under any policy purchased by the Master Association. (1) Benefit. Except as otherwise provided herein, all insurance policies purchased by the Master Association shall be for the benefit of, and any proceeds of insurance received by the Master Association or any insurance trustee shall be held or disposed of in trust for the Master Association, the Owners, or the Occupants, as their interests may appear. (rn) Other Insurance to be Carried by Lot Owners. Insurance coverage on the furnishings and other items of personal property belonging to a Lot or Wilderness Cabin Interest Owner or Occupant, public liability insurance coverage upon each Lot or Wilderness Cabin Interest, and casualty insurance coverage on the Improvements constructed on Lots, shall be the responsibility of the Owner or Occupant of the Lot or Wilderness Cabin Interest. No Lot or Wilderness Cabin Interest Owner or Occupant shall maintain any insurance, whether on its Lot or Wilderness Cabin Interest or otherwise, which would limit or reduce the insurance proceeds payable under the casualty insurance maintained by the Master Association in the event of damage to the Improvements or fixtures on Association Property. 11.18 Damage to Common Interest Community. Any portion of the Common Interest Community for which insurance is required under Section 38-33.3-313 of the Act (except any portion on which insurance is carried by a Subassociation) which is damaged or destroyed must be repaired or replaced promptly by the Master Association unless: (i) repair or replacement is the responsibility of a Subassociation under a Supplemental Declaration, (ii) the Common Interest Community is terminated; (iii) repair or replacement would be illegal under any state or local statute or ordinance governing health or safety; (iv) sixty-seven percent (67%) of the Lot Owners, including owners of every Lot that will not be rebuilt, vote not to rebuild; or (v) prior to the conveyance of any Lot or Wilderness Cabin Interest to a person other than Declarant, a Mortgagee on the damaged portion of the Common Community rightfully demands all or a substantial part of the insurance proceeds. The cost of repair or replacement in excess of insurance proceeds and reserves is a Common Expense. If the entire Common Interest Community is not repaired or replaced, the insurance proceeds attributable to (he damaged Association Property must be used to restore the damaged area to a condition compatible with the remainder of the Common Interest Community, and, except to the extent that other Persons will be distributees, the insurance proceeds attributable to Lots that are not rebuilt must be distributed to the Owners of those Lots, or to lienholders, as their interests may appear, and the remainder of the proceeds must be distributed to all Owners or lienholders as their interests may appear in proportion to the Common Expense liabilities of all the Lots and Wilderness Cabin Interests. In the event of damage to or destruction of all or a portion of the Association Property due to fire or other adversity or disaster, the insurance proceeds, if sufficient to reconstruct or repair the damage, shall be applied by the Master Association to such reconstruction and repair. If the insurance proceeds with respect to such Association Property damage or destruction are insufficient to repair and reconstruct the damage or destruction, the Master Association may levy 68\111088974.3 74 a Special Assessment in the aggregate amount of such deficiency, or if any Owner or group of Owners is liable for such damage, may levy a Reimbursement Assessment against the Owner or group of Owners responsible therefor, and shall proceed to make such repairs or reconstruction. Such Assessment shall be due and payable as provided by resolution of the Executive Board, but not sooner than sixty (60) days after written notice thereof. The Assessment provided for herein shall be a debt of each Owner assessed and a lien on his Lot or Wilderness Interest, and may be enforced and collected in the same manner as any Assessment Lien provided for in this Master Declaration. If the entire damaged Association Property is not repaired or replaced, the insurance proceeds attributable to the damaged Association Property must be used to restore the damaged area to a condition compatible with the remainder of the Common Interest Community. No distributions of insurance proceeds shall be made unless made jointly payable to the Owners and first Mortgagees of their respective Lots or Wilderness Cabin Interests, if any. 11.19 Limited Liability. Neither the Master Association nor its past, present or future officers or directors, nor any other employee, agent or committee member of the Master Association shall be liable to any Owner or Occupant or to any other Person for actions taken or omissions made except for wanton and willful acts or omissions. Without limiting the generality of the foregoing, the Master Association, the Executive Board and the Design Review Committee shall not be liable to any Owner or Occupant or other Person for any action or for any failure to act with respect to any matter if the action taken or failure to act was in good faith and without malice. Acts taken upon the advice of legal counsel, certified public accountants, registered or licensed engineers, architects or surveyors shall conclusively be deemed to be in good faith and without malice. To the extent insurance carried by the Master Association for such purposes shall not be adequate, the Owners severally agree to indemnify and to defend the Master Association, the Executive Board and the Design Review Committee against claims, damages or other liabilities resulting from such good faith action or failure to act. ARTICLE XII ASSESSMENTS 12.1 Assessment Obligation and Lien. Declarant, for each Lot and Wilderness Cabin Interest, shall be deemed to covenant and agree, and each Lot and Wilderness Cabin Interest Owner, by acceptance of a deed therefor (including a public trustee"s or sheriffs deed), whether or not it shall be so expressed in any such deed or other instrument of conveyance, shall be deemed to covenant and agree, to pay to the Master Association: (I) Regular Assessments or charges, (2) Special Assessments, (3) Clubhouse Lot Assessments, with respect to each Clubhouse Lot, (4) Reimbursement Assessments, and (5) Real Estate Transfer Assessments, such assessments to be established and collected as hereinafter provided (collectively the "Assessments"). No Owner shall have any right to set-off against an Assessment any claims that the Owner may have or may claim to have against the Master Association. The Assessments, together with interest, late charges, costs, and reasonable -attorneys' fees, shall be a continuing lien and security interest upon the Lot or Wilderness Cabin Interest against which each such Assessment is charged. The obligation for such payments by each Lot or Wilderness Cabin Interest Owner to the Master Association is an independent covenant, with all amounts due from time to time payable in full without notice (except as otherwise expressly provided in this Declaration) or demand, and without set-off or deduction of any kind or nature. Each Lot and Wilderness Cabin Interest Owner is Iiable for Assessments made against such Owner's Lot or 68\1110889743 75 • • • • • Wilderness Cabin Interest during his period of ownership of the Lot or Wilderness Cabin Interest. Each Assessment, together with interest, late charges, costs and reasonable attorneys' fees, shall also be the joint, several and personal obligation of each Person who was an Owner of such Lot or Wilderness Cabin Interest at the time when the Assessment became due. Upon the transfer of title to a Lot or Wilderness Cabin Interest, the transferor and the transferee shall be jointly, severally and personalty liable for all unpaid Assessments and other charges due to the Master Association prior to the date of transfer, and the transferee shall be personally liable for all such Assessments and charges becoming due thereafter. 12.2 Statutory Lien. The Master Association has a statutory lien pursuant to Section 38-33.3-316 of the Act on the Lot or Wilderness Cabin Interest of an Owner for all Assessments levied against such Lot or Wilderness Cabin Interest or fines imposed against such Lot's or Wilderness Cabin Interest's Owner from the time the Assessment or fine becomes due (the "Assessment Lien"). Fees, charges, late charges, attorneys' fees, fines and interest charged by the Master Association pursuant to the Act or this Master Declaration or any Supplemental Declaration are enforceable as Assessments. The amount of the lien shall include all such items from the time such items become due. If an Assessment is payable in installments, the Master Association has an Assessment Lien for each installment from the time it becomes due, including the due date set by the Executive Board's acceleration of installment obligations. An Assessment Lien is extinguished unless proceedings to enforce the lien are instituted within 6 years after the full amount of Assessments becomes due. 12.3 Lien Superior to Homestead and Other Exemptions. An Assessment Lien shall be superior to any homestead exemption now or hereafter provided by the laws of the State of Colorado or any exemption now or hereafter provided by the laws of the United States. The acceptance of a deed subject to this Master Declaration shall constitute a waiver of the homestead and any other exemption as against said Assessment Lien. 12.4 Priority of Lien. With the exception of Assessment Liens relating to Real Estate Transfer Assessments, an Assessment Lien is prior to all other liens and encumbrances on a Lot or Wilderness Cabin Interest except as follows: (a) Liens and encumbrances Recorded before the recordation of this Master Declaration; (b) A security interest on the Lot or Wilderness Cabin Interest which has priority over all other security interests on the Lot or Wilderness Cabin Interest and which was Recorded before the date on which the Assessment sought to be enforced became delinquent. An Assessment Lien is prior to the security interest described in the preceding sentence to the extent of an amount equal to the Regular Assessments (based on a Budget adopted by the Master Association pursuant to Section 12.8 below) which would have become due, in the absence of any acceleration, during the six (6) months immediately preceding institution by the Master Association or any party holding a lien senior to any part of the Master Association lien created under this Article 12 of an action or a nonjudicial foreclosure either to enforce or to extinguish the lien; 68\1\1088974.3 76 (c) Liens for real estate taxes and other governmental assessments or charges against the Lot or Wilderness Cabin Interest; and (d) As may otherwise be set forth in the Act. The priority of mechanics' and materialmen's liens is not affected by the Act. This Article 12 does not prohibit an action or suit to recover sums for which this Article 12 creates a lien or prohibit the Master Association from taking a deed in lieu of foreclosure. Sale or transfer of any Lot or Wilderness Cabin Interest shall not affect the lien for an Assessment. 12.5 Perfection of Lien. The Recording of this Master Declaration and of each Supplemental Declaration constitutes record notice and perfection of the statutory lien. No further Recordation of any claim of lien for Assessments is required; however, a claim may be Recorded at the Master Association's option, in which event costs and attorneys' fees incurred in connection with the preparation and filing of such claim shall be assessed against the Lot or Wilderness Cabin Interest as a Reimbursement Assessment. 12.6 Regular Assessments. (a) A Regular Assessment shall be made annually against each Lot and Wilderness Cabin Interest, based upon an annual Budget prepared by the Executive Board, for purposes paying (i) the annual costs of operating and administering the Master Association and all other Common Expenses, (ii) reasonable reserves for contingencies, replacements, and other proper purposes, (iii) the costs of services rendered or expenditures incurred by the Master Association to or for less than all Lots or Wilderness Cabin Interests, (iv) the costs of improving or maintaining Limited Common Areas, and reasonable reserves for such costs, which costs shall be assessed only to the Lots designated for the use of said Limited Common Areas, (unless such costs are for the general benefit of the Common Interest Community), and (v) such other matters as may be reasonably determined by the Executive Board to be the subject of a Regular Assessment; (b) Regular Assessments shall be allocated in accordance with the Allocated Interests of each Lot and Wilderness Cabin Interest in the Common Interest Community, Any Common Expense or portion thereof benefiting fewer than all of the Lots or Wilderness Cabin Interests shall be assessed exclusively against the Lots or Wilderness Cabin Interests benefited. If Common Expense liabilities are reallocated, Common Expense Assessments and any installment thereof not yet due shall be reallocated in accordance with the reallocated Common Expense liabilities. (c) Regular Assessments shall be levied on a calendar year basis, except that the initial Regular Assessment period shall commence on the first day of the calendar month or quarter in which the first Lot or Wilderness Cabin Interest is conveyed by Declarant to a Person other than Declarant. Regular Assessments shall be paid in installments on a monthly, quarterly or semi-annual basis, as the Executive Board may determine from time to time, and shall be due either on the first day of each calendar month or on the first day of each calendar year quarter (January 1, April 1, July 1 and 681111088974.3 77 • • October 1), or on the first day of a semi-annual period (e.g., January 1, July 1) as appropriate. Unless and until changed to a monthly or semiannual system by the Executive Board, Regular Assessments shall be due and payable on the first day of each calendar quarter. Any Lot or Wilderness Cabin Interest Owner acquiring a Lot or Wilderness Cabin Interest between installment due dates shall pay a pro rata share of the immediately preceding installment. (d) The Executive Board shall fix the amount of the Regular Assessment, using the Budget procedure described below, at least thirty (30) days before the end of each calendar year. Written notice of the Regular Assessment shall be sent to each Owner. Failure of the Executive Board timely to fix and levy the Regular Assessments for any year or to send a notice thereof to any Owner shall not relieve or release any Owner from liability for payment of Regular Assessments or any installments thereof for that or subsequent years as soon as the Executive Board levies the Regular Assessment and provides notice thereof. If a duly adopted Budget is amended during the calendar year, the Executive Board shall provide written notice to the Owners of any changes caused thereby in the remaining Regular Assessments due during that year. (e) The Executive Board shall also mail to each Owner at least ten (10) days prior to the due date thereof a written notice of the amount of the next quarterly (or monthly or semi annual, as the case may be) installment of Regular Assessment that is due from such Owner, and the date on which such installment is due pursuant to paragraph 12.6(d) above. Failure of the Executive Board to send timely notice to any Owner of an installment of Regular Assessment due shall not relieve or release any Owner from liability for payment of that installment as soon as the Executive Board in fact provides such notice. (f) In accordance with Section 38-33.3-314 of the Act, any surplus funds remaining after payment of or provision for Master Association expenses and any prepayment of or provision for reserves shall be carried forward as a credit against the next year's budget. 12.7 Clubhouse Assessments. (a) A Clubhouse Assessment shall be made annually against each Clubhouse Lot, based upon an annual Budget prepared by the Executive Board; (b) Clubhouse Lot Common Expenses shall be levied only on the Clubhouse Lots, but shall be levied equally on all Clubhouse Lots. (c) Clubhouse Assessments shall be levied on a calendar year basis, except that the initial Clubhouse Assessment period shall commence on the first day of the calendar month or quarter in which the first Clubhouse Lot or Wilderness Cabin Interest is conveyed by Declarant to a Person other than Declarant. Clubhouse Assessments shall be paid in installments on a monthly, quarterly or semi-annual basis, as the Executive Board may determine from time to time, and shall be due either on the first day of each calendar month or on the first day of each calendar year quarter (January 1, April 1, July 68\111488974.3 78 1 and October 1), or on the first day of a semi-annual period (e.g., January 1, July 1) as appropriate. Unless and until changed to a monthly or semiannual system by the Executive Board, Clubhouse Assessments shall be due and payable on the first day of each calendar quarter. Any Clubhouse Lot or Wilderness Cabin Interest Owner acquiring a Clubhouse Lot or Wilderness Cabin Interest between installment due dates shall pay a pro rata share of the immediately preceding installment. (d) The Executive Board shall fix the amount of the Clubhouse Assessment, using the Budget procedure described below, at least thirty (30) days before the end of each calendar year. Written notice of the Clubhouse Assessment shall be sent to each Owner. Failure of the Executive Board timely to fix and levy the Clubhouse Assessments for any year or to send a notice thereof to any Owner shall not relieve or release any Owner from liability for payment of Clubhouse Assessments or any installments thereof for that or subsequent years as soon as the Executive Board levies the Clubhouse Assessment and provides notice thereof. If a duly adopted Budget is amended during the calendar year, the Executive Board shall provide written notice to the Owners of any changes caused thereby in the remaining Clubhouse Assessments due during that year. (e) The Executive Board shall also mail to each Clubhouse Lot Owner at least ten (10) days prior to the due date thereof a written notice of the amount of the next quarterly (or monthly or semi annual, as the case may be) installment of Clubhouse Assessment that is due from such Owner, and the date on which such installment is due pursuant to paragraph 12.6(d) above. Failure of the Executive Board to send timely notice to any Owner of an installment of Clubhouse Assessment due shall not relieve or release any Owner from liability for payment of that installment as soon as the Executive Board in fact provides such notice. 12.8 Master Association Budget. Commencing in 2000, and during the last three (3) months of each year thereafter, the Executive Board shall prepare or cause to be prepared an operating budget (the "Budget") for the next calendar year. The Budget shall provide for the allocation of any surplus funds remaining from any previous Budget period. The annual Budget may provide for a Special Assessment in any calendar year, if considered necessary or appropriate by the Executive Board. Alternatively, the Executive Board may at any time adopt a Special Budget that provides for a Special Assessment. Within thirty (30) days after adoption of any proposed Budget for the Master Association, the Executive Board shall mail, by ordinary first-class mail, or otherwise deliver, a summary of the Budget to all Owners and shall set a date for a meeting of the Owners to consider ratification of the Budget not less than fourteen (I4) nor more than sixty (60) days after the mailing or other delivery of the summary. Such meeting may, but need not be, concurrent with the annual meeting of the Members as provided in the Bylaws. Unless at that meeting sixty-seven percent (67%) of all allocated votes in the Master Association reject the Budget, the Budget shall be ratified, whether or not a quorum of Owners is present. In the event that the proposed Budget is rejected, the Budget last ratified by the Owners shall be continued until such time as the Owners ratify a subsequent Budget proposed by the Executive Board. 681111088974.3 79 • • • • • If the Executive Board considers it necessary or appropriate, a duly adopted Budget may be amended during the calendar year by the Executive Board, provided the same notice and ratification procedure is followed for the Amended Budget as is required for the annual Budget. 12.9 Reserves Fund Account. The Executive Board shall establish a separate bank account (the "Reserves Fund Account") for Master Association funds designated by the Executive Board as reserves for the future periodic maintenance, repair or replacement of the major components of the Common Elements. Declarant makes no representation or warranty that the amount of in the Reserves Fund Account from time to time will fully or adequately fund, the reserves required for the future periodic maintenance, repair or replacement of the items for the reserves are maintained.. Neither Declarant nor any member, director, officer, employee or agent of Declarant nor any person serving as a director or officer of the Master Association shall be liable to the Master Association, any Member or any other Person as a result of such reserves not being funded in excess of the amount of reserves held in the Reserves Fund Account. 12.10 Special Assessments. In addition to the other Assessments authorized in this Article 12, the Executive Board may levy, in any assessment year, a Special Assessment applicable to that year only for the purpose of defraying, in whole or in part, the cost of any construction, reconstruction, repair, maintenance or replacement of capital improvements (including related fixtures and personal property and including without limitation irrigation systems), to or upon or serving the Common Interest Community, or for excess reconstruction costs or other extraordinary expenses, or to acquire Association Property, or for funding any operating deficit of the Master Association. Special Assessments shall be allocated in the same manner as Regular Assessments, that is, in accordance with the Allocated Interests of each Lot and Wilderness Cabin Interest in the Common Interest Community, and shall be due and payable to the Master Association on the due date fixed by the Executive Board in the notice given to the Owners of such Special Assessment, which due date shall be no earlier than thirty (30) days after the giving of such notice. Any Special Assessment for an Improvement or other expenditure which will benefit fewer than alI of the Lots or Wilderness Cabin Interests shall only be levied against the Lots or Wilderness Cabin Interests benefited; provided, that expenditures in connection with Association Property (excepting Limited Common Areas) shall be deemed for the general benefit of all Lots and Wilderness Cabin Interests, wherever located. If fewer than all of the Interests will be subject to the Special Assessment, then such Special be allocated equally amongst those Lots and Wilderness Cabin Interests. 12.11 Reimbursement Assessments. In addition to the other Assessments authorized in this Article 12, the Executive Board may levy against any Owner or Owners, at any time and from time to time, a Reimbursement Assessment for purposes of reimbursing the Master Association for all costs and expenses incurred by it in enforcing any provision of or in remedying any violation of this Master Declaration, or of any Supplemental Declaration. the Articles, Bylaws, Master Rules and Regulations or Design Guidelines, or any approvals granted by the Design Review Committee, by such Owner or Owners, their Occupant(s), or their agents, employees or contractors. Reimbursement Assessments may also be made by the Executive Board for any other purposes for which this Master Declaration provides for the levying of a Reimbursement Assessment. Finally, and in addition to the foregoing, a Reimbursement Assessment may also be levied in the form of a reasonable fine against an Owner for a violation of this Master Declaration, a Supplemental Declaration, the Articles, Bylaws, or the Master 68 \ I \ 1088974.3 80 Rules and Regulations, but only after the Owner(s) to be so fined have been provided with Notice and Hearing. Reimbursement Assessments shall be due and payable to the Master Association on the due date fixed by the Executive Board in the notice given to the Owner(s) of such Reimbursement Assessment. which date shall be no earlier than thirty (30) days after the giving of such notice. 12.12 Effect of Nonpayment of Assessments; Remedies of the Master Association. Any Assessment or portion or installment thereof which is not paid when due (or for which a bad check is issued) shall be deemed delinquent and shall bear interest from and after the due date at the rate of interest set by the Executive Board from time to time, which shall not be less than twelve percent (12%) nor more than twenty-one percent (21%) per year, and the Executive Board may also assess a bad check charge in the amount of 10 percent (10%) of the bad check or $50.00, whichever is greater. The interest rate on delinquent Real Estate Transfer Assessments is established in Section 12.14(e) below. The Executive Board may also elect to accelerate the installment obligations of any Regular Assessment for which an installment is delinquent. The Executive Board may also suspend the delinquent Owner's use of Association Property and Master Association services or benefits. The delinquent Owner shall also be liable for all costs, including attorneys' fees, which may be incurred by the Master Association in collecting a delinquent Assessment, which collection costs shall be added to the delinquent Assessment. The Executive Board may but shall not be required to record a Notice of Delinquent Assessment or charge against any Lot or Wilderness Cabin Interest as to which an Assessment or charge is delinquent. The Notice shall be executed by an officer of the Executive Board, and shall set forth the amount of the unpaid. Assessment or charge, the name of the delinquent Owner and a description of the Lot or Wilderness Cabin Interest. The Assessment Lien may be foreclosed by the Master Association in the same manner as a mortgage on real property. The Master Association shall be entitled to purchase the Lot or Wilderness Cabin Interest at foreclosure. The Master Association may also bring an action at law against the Owner personally obligated to pay the delinquent Assessment and/or foreclose the lien against said Owner's Lot or Wilderness Cabin Interest in the discretion of the Master Association. No Owner may exempt himself or otherwise avoid liability for the Assessments provided for herein by waiver of the use or enjoyment of any of the Association Property or by abandonment of the Lot or Wilderness Cabin Interest against which the Assessments are made. In any action by the Master Association to collect Assessments or to foreclose a lien for unpaid Assessments, the court may appoint a receiver to collect all sums alleged to be due from the Lot or Wilderness Cabin Interest Owner prior to or during the pending of the action. The court may order the receiver to pay any sums held by the receiver to the Master Association during the pending of the action to the extent of the Master Association's Regular Assessments. 12.13 Statement of Unsaid Assessments. The Master Association shall furnish to an Owner or such Owner's designee or to a holder of a security interest or its designee upon written request, delivered personally or by facsimile transmittal or by certified mail, first class postage prepaid, return receipt requested, to the Master Association, a written statement setting forth the amount of unpaid Assessments currently levied against such Owner's Lot or Wilderness Cabin Interest, whether delinquent or not. The statement shall be furnished within fourteen (14) days after receipt of the request and is binding on the Master Association, the Executive Board, and 6811\10889743 81 • • • • • every Owner. If no statement is furnished either delivered personally or by facsimile transmission or by certified mail, first-class postage prepaid, return receipt requested, to the inquiring party, then the Master Association shall have no right to assert a lien upon the Lot or Wilderness Cabin Interest for unpaid Assessments which were due as of the date of the request. 12.14 Assessments for Tort Liability. In the event of any tort liability against the Master Association, which is not covered completely by insurance, each Owner shall contribute for the payment of such liability as a Special Assessment. The Master Association may, however, require a larger contribution from fewer than all Owners under any legal or equitable principles regarding liability for negligent or willful acts or omissions. 12.15 Real Estate Transfer Assessments. (a) Purpose and Use of Transfer Assessments. Transfer Assessments shall be levied on transfers of Lots or Wilderness Cabin Interests (or interests therein) in the manner provided in this Section for purposes of (i) the protection, management and enhancement of wildlife as set forth in the Wildlife Mitigation Plan, by providing funding to a nonprofit organization established for such purposes and known as the Spring Valley Wildlife Trust, and (ii) defraying Common Expenses of the Master Association. (b) Assessable Transfers and Allocation. Upon the occurrence of any transfer, as defined below, the transferee in such transfer shall pay to the Master Association a Real Estate Transfer Assessment equal to one percent (1%) of the fair market value, as defined below, of the Lot or Wilderness Cabin Interest (or interest therein) transferred. The Master Association shall in turn allocate and deliver the Transfer Assessment funds received by it as follows: (i) Twenty percent (20%), i.e., 02% of the fair market value, to the Spring Valley Wildlife Trust; and (ii) Eighty percent (80%), i.e., 0.8% of the fair market value, to the Master Association general account. (c) Definitions. (i) Transfer. For purposes of this Section, "transfer"' means and includes, whether in one transaction or in a series of related transactions, any conveyance, assignment, lease or other transfer of beneficial ownership of any improved or unimproved Lot or Wilderness Cabin Interest (or interest therein), including but not limited to (1) the conveyance of fee simple title to any Lot or Wilderness Cabin Interest or interest therein (including any conveyance arising out of an installment land contract or a lease containing an option to purchase), (ii) the transfer of more than 50 percent of the outstanding shares of the voting stock of a corporation (other than Declarant) which, directly or indirectly, owns one or more Lots or Wilderness Cabin Interests or interests therein, and (iii) the transfer of more than interest in net profits or net losses of any partnership, limited liability company, joint venture or other entity (each referred to hereinafter as a "Business Association") which, directly or indirectly, owns one or more 681111088974.3 82 Lots or Wilderness Cabin Interests or interests therein, but "transfer" shall not mean or include the transfers excluded under Subsection (d) below. (ii) Transferee. For purposes of this Section, "transferee" means and includes all parties to whom any interest in a Lot or Wilderness Cabin Interest passes by a transfer, and each party included in the term "transferee shall have joint and several liability for all obligations of the transferee under this Section. (iii) Fair Market Value. The "fair market value" of the Lot or Wilderness Cabin Interest or interest therein subjected to transfer shall be the consideration, as such term is defined below, given for the transfer. (iv) Consideration. For purposes of this Section, "consideration" means and includes the total of money paid and the fair market value of any property delivered, or contracted to be paid or delivered, in return for the transfer of any Lot or Wilderness Cabin Interest or interest therein, and includes any money or property paid or delivered to obtain a contract right to purchase any Lot or Wilderness Cabin Interest or interest therein, and the amount of any note, contract indebtedness (including without limitation, obligations which could be characterized as contingent land gain), or rental payment received in connection with such transfer, whether or not secured by' any lien, mortgage, or other encumbrance, given to secure the transfer price or any part thereof, or remaining unpaid on the property at the time of transfer, whether or not assumed by the transferee. The term "consideration" does not include the amount of any outstanding lien or encumbrance for taxes, special benefits or improvements in favor of the United States, the State of Colorado, or a municipal or quasi -municipal governmental corporation or district. (d) Exclusions. The Transfer Assessment shall not apply to any of the following, except to the extent that they are used for the purpose of avoiding the Transfer Assessment: (i) Any transfer to the United States, or any agency or instrumentality thereof, the State of Colorado, any county, city and county, municipality, district or other political subdivision of the State of Colorado. (ii) Any transfer to Declarant, to any successor or assign of Declarant, to any affiliate of Declarant, or to the Master Association: (iii) Any transfer, whether outright or in trust, that is for the benefit of the transferor or his or her relatives, but only if there is no more than nominal consideration for the transfer. For the purposes of this exclusion, the relatives of a transferor shall include without limitation all lineal descendants of any grandparent of the transferor, and the spouses of the descendants. Any person's stepchildren and adopted children shall be recognized as descendants of that person for all purposes of this exclusion. For the purposes of this exclusion, a distribution from a trust shall be treated as a transfer made by the grantors of the trust, in the proportions of their respective total contributions to the trust; 68\1\1088974.3 83 • • • (iv) Any transfer arising solely from the termination of a joint tenancy or the partition of property held under common ownership, except to the extent that -additional consideration is paid in connection therewith; (v) Any transfer or change of interest by reason of death, whether provided for in a will, trust or decree of distribution; (vi) Any transfer made (aa) by a majority-owned subsidiary to its parent corporation or by a parent corporation to its majority-owned subsidiary, or between majority-owned subsidiaries of a common parent corporation, in each case for no consideration other than issuance, cancellation or surrender of the subsidiary's stock; or (bb) by a partner, member or a joint venturer (each a "Business Association Member") to a Business Association in which the Business Association Member has not less than a 50 percent interest, or by a Business Association to a Business Association Member holding not less than a 50 percent interest in such Business Association, in each case for no consideration other than the issuance, cancellation or surrender of the interests in the Business Association, as appropriate; or (cc) by a corporation to its shareholders, in connection with the liquidation of such corporation or, distribution of property or dividend in kind to shareholders, if the Lot or Wilderness Cabin Interest is transferred generally pro rata to its shareholders, and no consideration is paid other than the cancellation of such corporation's stock; or (dd) by a Business Association to its Business Association Members, in connection with a liquidation of the Business Association or other distribution of property to the Business Association Members, if the Lot or Wilderness Cabin Interest is transferred generally pro rata to its Business Association Members, and no consideration is paid other than the cancellation of the Business Association Members' interests; or (ee) to a corporation or Business Association where such entity is owned in its entirety by the persons transferring the Lot or Wilderness Cabin Interest and such persons have the same relative interests in the transferee entity as they had in the Lot or Wilderness Cabin Interest immediately prior to such transfer, and no consideration is paid other than the issuance of each such persons' respective stock or other ownership interests in the transferee entity; or (ft) by any person(s) or entity(ies) to any other person(s) or entity(ies), whether in a single transaction or a series of transactions where the transferor(s) and the transferee(s) are and remain under common ownership and control as determined by the Executive Board in its sole discretion applied on a consistent basis; provided, however, that no such transfer or series of transactions shall be exempt unless the Executive Board finds that such transfer or series of transactions (x) is for no consideration other than the issuance, cancellation or surrender of stock or other ownership interest in the transferor or transferee; as appropriate, (y) is not inconsistent with the intent and meaning of this Subsection, and (z) is for a valid business purpose and is not for the purpose of avoiding the obligation to pay the Transfer Assessment. In connection with considering any request for an exception under this Subsection, the Executive Board may require the applicant to submit true and correct copies of all relevant documents relating to the transfer setting forth all relevant facts regarding the transfer, stating that in their opinion the transfer is exempt under said subsection, and setting forth the basis for such opinion. 68\1\1088974.3 84 (vii) Any transfer made solely for the purpose of confirming, correcting, modifying or supplementing a transfer previously recorded, making minor boundary adjustments, removing clouds on titles, or granting easements, rights-of-way or licenses, and any exchange of Lots or Wilderness Cabin Interests between Declarant and any original purchaser from Declarant of the one or more Lots or Wilderness Cabin Interests being transferred to Declarant in such exchange. To the extent that consideration in addition to previously purchased Lots or Wilderness Cabin Interests is paid to Declarant in such an exchange, the additional consideration shall be a transfer subject to Assessment. To the extent that Declarant, in acquiring by exchange Lots or Wilderness Cabin Interests previously purchased from Declarant, pays consideration in addition to transferring Lots or Wilderness Cabin Interests, the amount of such additional consideration shall be treated as reducing the original assessable transfer original purchaser from Declarant, who exchanges with Declarant Lots or Wilderness Cabin Interests previously purchased from Declarant, to a refund steer Association of the amount of the Transfer Assessment originally paid on that portion of the original transfer; (viii) Any transfer pursuant to any decree or order of a court of record determining or vesting title, including a final order awarding title pursuant to a condemnation proceeding, but only where such decree or order would otherwise have the effect of causing the occurrence of a second assessable transfer in a series of transactions which includes only one effective transfer of the right to use or enjoyment of a Lot or Wilderness Cabin Interest; (ix) Any lease of any Lot or Wilderness Cabin Interest (or assignment or transfer of any interest in any such lease) for a period of less than thirty (30) years; (x) Any transfer to secure a debt or other obligation or to release property which is security for a debt or other obligation, including transfers in connection with foreclosure of a deed of trust or mortgage or transfers in connection with a deed given in lieu of foreclosure; (xi) The subsequent transfer(s) of a Lot or Wilderness Cabin Interest involved in a "tax free" or "tax deferred" exchange under the Internal Revenue Code wherein the interim owner acquires property for the sole purpose of reselling that property within thirty (30) days after the trade. In these cases, the first transfer of title is subject to Transfer Assessment, and subsequent transfers will only be exempt as long as a Transfer Assessment has been paid in connection with the first transfer of such Lot or Wilderness Cabin Interest in such exchange; (xii) The transfer of a Lot or Wilderness Cabin Interest to an organization which is exempt from federal income taxation under Section 501(c)(3) of the Internal Revenue Code, as amended (or any comparable statute), provided that the Executive Board specifically approves such exemption in each particular case; (xiii) Any transfer made by a corporation or other entity, for consideration, (1) to any other corporation or entity which owns 100 percent of its equity securities (a 68\111088974.3 85 • • • • "Holding Company"), or (2) to a corporation or entity whose stock or other equity securities are owned, directly or indirectly, 100 percent by such Holding Company; (xiv) Any transfer from a partially -owned direct or indirect subsidiary corporation to its direct or indirect parent corporation where no consideration is paid for, or in connection with, such transfer; however, unless such transfer is otherwise exempt. such exemption shall apply only to the extent of the direct or indirect beneficial interest of the transferee in the transferor immediately prior to the transfer. For example, if corporation A owns 60 percent of corporation B, and corporation B owns 100 percent of corporation C and corporation C conveys a Lot or Wilderness Cabin Interest to corporation A for $2,000,000, 60 percent of the price would be exempt and a Transfer Assessment would be payable only on $800,000 (i.e., 40 percent of the $2,000,000 consideration); (xv) The consecutive transfer of a Lot or Wilderness Cabin Interest or interest therein wherein the interim owner acquires such Lot or Wilderness Cabin Interest or interest for the sole purpose of immediately reconveying such Lot or Wilderness Cabin Interest or interest, but only to the extent there is no consideration to such interim owner receives no right to use or enjoyment of such Interest, provided the Executive Board specifically approves such exemption each particular case. To the extent that consideration is paid to, or for the benefit of, the interim owner, the additional consideration shall be a transfer subject to Assessment. In these cases, the first transfer of title is subject to the Transfer Assessment and subsequent transfers will only be exempt as long as a Transfer Assessment has been paid in connection with the first transfer of such Lot or Wilderness Cabin Interest or interest in such consecutive transaction and only to the re is no consideration to the interim owner; and (e) Payment and Reports. The Transfer Assessment shall be due and payable by the transferee to the Master Association on the same day as the transfer giving rise to such Transfer Assessment. With such payment, the transferee shall make a written report to the Master Association on forms prescribed by the Master Association, fully describing the transfer and setting forth the true, complete and actual consideration for the transfer, the names of the parties thereto, the legal description of the Lot or Wilderness Cabin Interest or interest transferred, and such other information as the Master Association may reasonably require. If the full amount of the Transfer Assessment, properly calculated, is not paid to the Master Association at the time of transfer of the Lot or Wilderness Cabin Interest (or interest therein) as provided herein, the delinquent Transfer Assessment shall bear interest at the rate of twenty percent (20%) per annum from the date of transfer until paid in full, shall constitute the personal, joint and several obligation and liability of the transferee(s), and the Master Association shall have an Assessment Lien on the transferee's Lot or Wilderness Cabin Interest for such delinquent amount (together with accrued interest, and costs and attorneys' fees incurred in collecting the same) as provided in Section 12.2 above. The Master Association shall obtain periodic reports of or check all transfers of record in the Office of the Clerk and Recorder of Garfield County, Colorado for the purpose of verifying the Transfer Assessments due. 6811\1088974.3 86 12.16 Working Capital Fund. In addition to the various Assessments provided for, at the time of closing of each conveyance of a Lot or Wilderness Cabin Interest in the Common Interest Community, including initial conveyances to the Lot or Wilderness Cabin Interest Owners, and all subsequent resales, the Lot or Wilderness Cabin Interest purchaser shall be obligated to pay to the Master Association a non-refundable contribution to the Master Association's working capital fund in the amount of two (2) times the most recently adopted regular monthly assessment. Said working capital fund may be used by the Master Association from time to time for any Master Association purpose deemed appropriate by the Executive Board, and need not be segregated or accumulated. Such payment shall not be deemed to be a prepayment of any Assessment, and shall not relieve the Owner from the obligation to pay all Assessments as and when due. At the time of closing of a reconveyance of an Owner's Lot or Wilderness Cabin Interest to a new Owner, the selling Owner shall forfeit any right to the working capital fund and the new Owner shall pay an additional non-refundable contribution to the working capital fund in the amount calculated as above set forth. Notwithstanding the foregoing, any builder acquiring an undeveloped Lot from Declarant for the purpose of constructing a residential dwelling thereon and selling the same in the ordinary course of the builder's business, and not for the builder's own residence, shall not be required to pay the above-described contribution to the working capital fund until the first to occur of the following: (a) the new residence on the Lot is occupied by a tenant or otherwise; or (b) the Lot is sold to a third party, in which case the purchaser shall make the payment to the working capital fund. The following conveyances shall be exempt from the working capital fund contribution obligation: Gift transfers and other transfers for no consideration, transfers for estate planning purposes or public purposes, transfers by court order (including foreclosure sales) or by will or intestacy, and transfers to a successor or assign of Declarant or an affiliate of Declarant. If a working capital fund contribution is not timely paid to the Master Association as above required, the delinquent contribution shall bear interest at the rate of twenty percent (20%) from the date of the conveyance until paid in full, shall constitute the personal, joint and several obligation and liability of the transferee(s), and the Master Association shall have a lien and security interest on the title to the transferee's Lot or Wilderness Cabin Interest in the amount of the delinquent contribution, accrued interest thereon, and costs and attorneys' fees incurred in collecting the same, which may foreclosed by the Master Association in the same manner as a mortgage on real property. ARTICLE XIII EMINENT DOMAIN 13.1 Definition of Taking. The term "taking", as used in this Article 13, shall mean condemnation by eminent domain or sale under threat of condemnation. 13.2 Representation in Condemnation Proceedings of Association Property. In the event of a threatened taking of all or any portion of the Association Property, the Owners hereby appoint the Master Association through such persons as the Executive Board may designate to represent the Master Association and all of the Owners in connection therewith. The Master 681111088974.3 87 • • • • • • Association shall act in its sole discretion with respect to any awards being made in connection with the taking and shall be entitled to make a voluntary sale to the condemnor in lieu of engaging in a condemnation action. Service of process on the Master Association shall constitute sufficient notice to all Owners, and service of process on each individual Owner shall not be necessary. 13.3 Award for Association Property. Any awards received by the Master Association on account of the taking of Association Property shall be paid to the Master Association. The Master Association may, in its sole discretion, retain any award in the general funds of the Master Association or distribute all or any portion thereof to the Owners as their interests may appear. The rights of an Owner and the Mortgagee of a Lot or Wilderness Cabin Interest as to any such distribution shall be governed by the provisions of the Mortgage encumbering the Lot or Wilderness Cabin Interest. 13.4 Taking of Lots. If a Lot is acquired by eminent domain or part of a Lot is acquired by eminent domain leaving the Owner with a remnant which may not practically or lawfully be used for any purpose permitted by this Master Declaration, the award must include compensation to the Owner for that Lot and its Allocated Interests whether or not any Association Property was acquired. Upon acquisition, unless the decree otherwise provides, that Lot's Allocated Interests are automatically reallocated to the remaining Lots (as appropriate) in proportion to the respective Allocated Interests of those Lots before the taking. Any remnant of a Lot remaining after part of a Lot is taken is thereafter Association Property. Otherwise, if part of a Lot is acquired by eminent domain, the award must compensate the Owner for the reduction in value of the Lot and its interest in the Association Property whether or not any Association Property was acquired. Upon acquisition, unless the, decree otherwise provides: (a) That Lot's Allocated Interests are reduced in proportion to the reduction in the size of the Lot; and (b) The portion of Allocated Interests divested from the partially acquired Lot is automatically reallocated to that Lot and to the remaining Lots (as appropriate) in proportion to the respective interests of those Lots before the taking, with the partially acquired Lot participating in the reallocation on the basis of its reduced Allocated Interests. 13.5 Miscellaneous. The court decree shall be recorded in Garfield County. The reallocations of Allocated Interests pursuant to this Article shall be confirmed by an amendment to the Master Declaration prepared, executed, and recorded by the Master Association. ARTICLE XIV GENERAL PROVISIONS 14.1 Duration of Master Declaration. The term of this Master Declaration shall be perpetual. 14.2 Termination of Common Interest Conirnunitr. The Common Interest Community may be terminated only by the agreement of (i) Owners to which at least eighty percent (80%) of the Master Association are allocated, and (ii) the holders of all First Mortgages 681 f 11088974.3 88 on Lots and n Interests. In the event of such termination, the provisions of Section 38-313-218 of the Act shall apply. 14.3 Amendment of Master Declaration and. Plat. This Master Declaration and the Plat may be amended pursuant to Section 38-33.3-217 of the Act. Under the Act, the Master Declaration may be amended by Declarant in certain defined circumstances, including without limitation (a) when the Declarant is exercising reserved rights under Article 6 hereof, (b) for purposes of correcting clerical, typographical or technical errors, or (c) to comply with the requirements, standards, or guidelines of recognized secondary mortgage markets, the Department of Housing and Urban Development, the Federal Housing Administration, the Veterans Administration, the Federal Home Loan Mortgage Corporation, the Government National Mortgage Association, or the Federal National Mortgage Association. The Act also provides that the Master Declaration may be amended by the Master Association in certain defined circumstances. Otherwise, and subject always to (i) any provisions of this Master Declaration requiring the consent of Declarant, and (ii) the provisions above allowing Owners to amend this Master Declaration (with the consent of the Master Association) in certain circumstances (subdivision of Duplexes, lot line adjustments), this Master Declaration and any Supplemental Declarations (including the Plat and any Supplement Plats) may be amended only by the vote or agreement of Owners to which more than fifty percent (50%) of the votes in the Master Association are allocated. No amendment shall be effective to change, limit, impair, reduce or eliminate any right of Declarant as provided in this Master Declaration or in any Supplemental Declaration unless such amendment is approved in writing by Declarant. Furthermore, Section 38-33.3-217(4) of the Act provides that except to the extent expressly permitted or required by other provisions of the Act (e.g., permitted Declarant or Master Association amendments), no amendment may (i) create or increase special Declarant rights, (ii) increase the number of Lots, or (iii) change the boundaries of any Lot or the Allocated Interests of a Lot or Wilderness Cabin Interest in the absence of a vote or agreement of Owners to which at least sixty-seven percent (67%) of the votes in the Master Association are allocated, including sixty-seven percent (67%) of the votes allocated to Lots and Wilderness Cabin Interests not owned by Declarant. Further, Section 38-33.3-217(4.5) of the Act provides that except to the extent expressly permitted or required by other provisions of the Act, no amendment may change the uses to which any Lot is restricted in the absence of a vote or agreement of Owners to which at least sixty-seven percent (67%) of the votes in the Master Association are allocated. No consent of any mortgage or trust deed holder shall be required to accomplish any such amendments. With the exception of amendments accomplished by Supplemental Declaration (when lands are annexed to the Common Interest Community), an amendment to this Master Declaration shall be in the form of a "First (or Second, etc.) Amendment to Master Declaration and Plat of Spring Valley Ranch P.U.D." With the exception of Declarant amendments, amendments to this Master Declaration shall be duly executed by the President and Secretary of the Master Association and Recorded in the Office of the Clerk and Recorder of Garfield County. All amendments to this Master Declaration shall be indexed in the Grantee's index in 681111©88974.3 89 the names of the Common Interest Community and the Master Association, and in the Grantor's index in the name of each Person executing the amendment. 14.4 Compliance; Enforcement. Every Owner and Occupant in the Common Interest Community and every other Person who may be an authorized user of Association Property, shalt fully and faithfully observe, abide by, comply with and perform all of the covenants, conditions and restrictions set forth in this Master Declaration, any Supplemental Declaration, the Articles, Bylaws, Master Rules and Regulations, the P.U.D. Plan, the Design Guidelines and all approvals granted by the Design Review Committee, as the same or any of them may be amended from time to time. In addition to any other rights or remedies that may be provided to any Person under the terms and provisions of this Master Declaration or of any Supplemental Declaration, Declarant (for so long as it holds any of the rights set forth in Articles 6 and 8 hereof), the Master Association through its Executive Board, the Design Review Committee as to matters involving (i) Improvements within the Common Interest Community, (ii) the Design Guidelines, or (iii) any other matters arising under Article 6 hereof or with respect to which the Design Review Committee is otherwise expressly given enforcement authority under this Master Declaration or any Supplemental Declaration, and every Owner (except an Owner that is delinquent in the payment of Assessments hereunder) shall have the right, acting alone or together with others having such right, to enforce, by any proceeding at law or in equity, any or all of the covenants, conditions, restrictions, assessments, charges, liens, servitudes, easements and other provisions now or hereafter imposed by this Master Declaration, any Supplemental Declaration, the Articles, Bylaws, Master Rules and Regulations, the P.U.D. Plan, the Design Guidelines, and approvals granted by the Design Review Committee. Such enforcement rights shall include without limitation the right to bring an injunctive action for any form of injunctive relief available under Colorado law (including specific performance), or an action for damages, or both. Injunctive relief may include, without limitation, orders to stop work, orders to remove Improvements constructed in violation hereof, orders to compel performance, and any other orders appropriate under the circumstances. The Executive Board shall have the further right (a) to levy and collect, after Notice and Hearing, reasonable fines for the violation of any of the foregoing matters, (b) to levy and collect a Reimbursement Assessment against any Owner, (c) to enter upon any Lot or Duplex half within the Common Interest Community, after giving the Owner or Occupant at least five (5) days' written notice of the nature of the violation, (unless an emergency exists, in which case without notice), without liability to the Owner or Occupant thereof, to enforce or cause compliance with such matters, at the cost and expense of the Owner or Occupant in violation, and/or (d) where the violation has continued for more than ninety (90) days after the Executive Board has given the Owner or Occupant written notice of the violation, the Executive Board may temporarily cut off any or all Master Association services or benefits to the subject Owner or Occupant and his Lot or Wilderness Cabin Interest or Duplex half, including the right to use Association Property (except access roads), until the violation is cured. In any action brought under this Section, the prevailing party shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection therewith. Failure by any party entitled to do so to exercise in a particular instance any of the rights available to it under this Section shall in no event be deemed a waiver of the right to do so in any other instance. 68\1\1088974.3 90 Provided always, that no Owner shall have the right to bring an enforcement action against another Owner or Occupant for a breach by that Owner or Occupant of any of such matters, or against Declarant, the Master Association or the Design Review Committee for a breach by Declarant. the Master Association or the Design Review Committee of any of such matters or for a. failure by the Declarant, Master Association or the Design Review Committee to enforce compliance with such matters by others, until the aggrieved Owner has given the offending Owner or Occupant, or Declarant, the Master Association and/or the Design Review Committee at least thirty (30) days prior written notice of the aggrieved Owner's complaint and the opportunity to resolve the problem during that thirty (30) day period. And further provided, that notwithstanding any law to the contrary, no action shall be commenced or maintained to enforce the terms of any building restriction contained in the provisions of this Master Declaration or any Supplemental Declaration, the Bylaws, the Articles of Incorporation, the P.U.D. Plan, the Design Guidelines, or the Master Rules and Regulations, or to compel the removal of any building or Improvement because of the violation of the terms of any such building restriction, unless the action is commenced within one year from the date from which the person commencing the action knew or in the exercise of reasonable diligence should have known of the violation for which the action is sought to be brought or maintained. 14.5 Rights of First Mortgagees. Upon the filing of a written request therefor with the Master Association, the holder of a First Mortgage on any Lot or Wilderness Cabin Interest in the Common Interest Community shall be entitled to: (a) Written notice from the Master Association that the Owner of the subject Lot or Wilderness Cabin Interest is delinquent in the payment of Assessments thereon; (b) Inspect the books and records of the Master Association during normal business hours; (c) Receive copies of annual Master Association financial statements; (d) Receive written notice of meetings of the Master Association where matters will be considered that, if approved, will require the consent of First Mortgagees or some of them; (e) Receive written notice of condemnation proceedings affecting any Association Property; and (f) Receive written notice of the lapse of any insurance that the Master Association is required to maintain under this Master Declaration. In addition, any First Mortgagee shall be entitled to pay any taxes or other charges which are in default and which may or have become a lien against Association Property and may pay any overdue premiums on hazard or general liability insurance policies covering Association Property, and shall be entitled to immediate reimbursement therefor from the Master Association, unless the Master Association is contesting any unpaid taxes or other charges and has set aside sufficient funds to pay the contested amounts if necessary. 68\I11088974.3 91 • • • • 14.6 Club Property and Facilities. In no event and for no purpose shall the Club Property or any golf course improvements or other irnprovements or facilities constructed thereon or related thereto, be deemed to be a part of the Common Interest Community, to constitute Association Property, or to be burdened by this Master Declaration or any Supplemental Declaration. This Master Declaration does not grant or create any rights or privileges to or for the benefit of the Owners or Occupants in the Common Interest Community to use or enjoy the Club Property or any part thereof or improvements or facilities thereon for any purpose, except for such limited ingress and egress rights as may be expressly provided in the License Agreement. Without limiting the generality of the foregoing, no Lot or Wilderness Cabin Interest shall have any right (i) to have golf course or other improvements or facilities constructed on the Club Property or some of them, or to have them constructed in any particular Iocation on the Club Property, (ii) to have or preserve a visual or sight easement over and across any portion of the Club Property, and/or (iii) to have access to or across the Club Property in any particular location or alignment. The Club Property is private property owned and operated by the Declarant or its successors or assigns and administered according to membership policies and rules and regulations adopted by the Club Property Owner from time to time. The Club Property may include, without limitation, golf courses, practice facilities, clubhouses, tennis courts, swimming pools, and other recreational, social, maintenance and administrative improvements and facilities. These facilities shall be developed and provided at the discretion of the Club Property Owner. The Club Property Owner has the exclusive right to determine from time to time, in its sole discretion and without notice or approval of any change, how and by whom these facilities shall be used, if at all: By way of example, but not limitation, the Club Property Owner shall have the right to approve users and determine eligibility for use, to reserve use rights, to terminate any or all use rights, to change, eliminate or cease operation of any or all of the facilities, to transfer any or all of the Club Property or the operation thereof to anyone (including without limitation a member -owned or equity club) and on any terms, to limit the availability of use privileges, and to require the payment of a purchase price, membership contribution, initiation fee, membership deposit, dues, use charges and other charges for use privileges. Ownership of a Lot or Wilderness Cabin Interest or membership in the Master Association does not give any vested right. or easement, prescriptive or otherwise, to use the Club Property, and does not grant any ownership or membership interest therein. 14.7 Club Property Hazards, Risks and Liabilities; Disclosure, Assumption of Risk, Release and Indemnification. The Club Property may be used as private or public golf courses and related improvements, facilities and uses. By acceptance of a deed to a Lot or Wilderness Cabin Interest, each Owner acknowledges (i) that the use and operation of the Club Property as golf courses and related facilities will involve certain risks to the Common Interest Community, including but not limited to damage to property and improvements and personal injury and death caused by errant golf balls that may be hit into the Common Interest Community, and (ii) that while the Common Interest Community has been designed to minimize these risks to the extent reasonably possible, it would be impossible to render the Common Interest Community free of all golf course -related risks. Certain of the more common hazards associated with the operation of a golf course are more particularly described in subsections (a) through (g) below (collectively the "Golf Course Hazards"): 68\111088974.3 92 (a) Errant Golf Balls. Owners of Lots or Wilderness Cabin Interests, particularly Lots or Wilderness Cabin Interests abutting the Club Property, acknowledge the inherent risks of errant golf balls (including without limitation property damage, personal injury and death), and assume and accept such risks, including the associated trespasses. Owners acknowledge that golfers have the right to enter upon Lots in the Common Interest Community to retrieve golf balls that are visible from the fairway, and each Owner agrees to release and waive any claims said Owner may have against the Declarant or the Club Property Owner as a result of such entry and retrieval and any trespass associated therewith. (b) View Impairment/Impairment of Privacy. Owners of Lots or Wilderness Cabin Interests, including Owners of Lots or Wilderness Cabin Interests abutting the Club Property, have no guarantee that their views over and across the Club Property or any part thereof will be forever preserved without impairment, that the views from the Club Property will not be impaired, or that their privacy will not be impaired. The Club Property Owner has no obligation to the Owners to prune or not prune trees or other landscaping and such Club Property Owner may change, add to or reconfigure the golf course(s) and related or unrelated facilities and improvements on the Club Property, including without limitation structural improvements, fences, trees, landscaping, practice facilities, tees, bunkers, fairways, greens, clubhouses, tennis courts, swimming pools, and other recreational, social, maintenance and administrative improvements and facilities, in any manner or location and at any time deemed appropriate by said Club Property Owner, without liability or obligation to the Owners. (c) Pesticides and Fertilizers. Pesticides, fertilizers and other chemicals may be utilized in connection with the operation and maintenance of the Club Property and related landscaping and the Owners acknowledge, accept and assume the risks associated with the use of pesticides, fertilizers and other chemicals. (d) Overspray. Owners of Lots or Wilderness Cabin Interests, particularly Lots or Wilderness Cabin Interests abutting the Club Property, may experience "overspray" from the Club Property irrigation system, and such Owners acknowledge, accept and assume the risks associated with such "overspray". (e) Noise and Light; Tournaments. Owners of Lots or Wilderness Cabin Interests, particularly Lots or Wilderness Cabin Interests in proximity to the golf course clubhouse(s), may be exposed to lights, noises or activities resulting from the use of the golf course(s) for tournaments, from the use of the clubhouse(s) for dining and entertainment, and from use of the parking lot(s), and such Owners acknowledge, accept and assume the risks associated with such uses. (#) Maintenance. The Club Property and related improvements and facilities will require daily maintenance, including mowing, irrigation and grooming, during early morning, evening and night hours, including without limitation the use of tractors, mowers, blowers, pumps, compressors and utility vehicles. Owners of Lots or Wilderness Cabin Interests, particularly Lots or Wilderness Cabin Interests in proximity to the Club Property, will be exposed to the noise and other effects of such maintenance, 68\1\1088974.3 93 • and such Owners acknowledge, accept and assume the risks associated with such maintenance activities. IN CONSIDERATION FOR THE ABOVE -ACKNOWLEDGED ENHANCEMENT IN VALUE, AND WITH FULL AWARF THESE AND OTHER RISKS, BY ACCEPTING THE DEED TO A LOT OR WILDERNESS CABIN INTEREST EACH LOT OR WILDERNESS CABIN INTEREST OWNER FOR HIMSELF AND HIS OCCUPANTS, INVITEES, LICENSEES, SUCCESSORS AND ASSIGNS (COLLECTIVELY THE "OWNER'S RELATED PARTIES") HEREBY (I) ACKNOWLEDGES, ACCEPTS AND ASSUMES THE RISKS ASSOCIATED WITH SAID GOLF COURSE HAZARDS AND OF ANY DAMAGE TO PROPERTY OR TO THE VALUE OF PROPERTY, DAMAGE TO IMPROVEMENTS, PERSONAL INJURY OR DEATH, OR THE CREATION OR MAINTENANCE OF A TRESPASS OR NUISANCE, CAUSED BY OR ARISING IN CONNECTION WITH ANY OF SAID GOLF COURSE HAZARDS OR OTHER RISKS, HAZARDS AND DANGERS ASSOCIATED WITH THE OPERATION OF PRIVATE OR PUBLIC GOLF COURSES OR ARISING FROM THE DESIGN OF SUCH GOLF COURSES (COLLECTIVELY THE "ASSUMED RISKS"), AND (II) RELEASES, WAIVES, DISCHARGES, COVENANTS NOT TO SUE, INDEMNIFIES AND AGREES TO DEFEND AND HOLD HARMLESS THE DECLARANT, THE MASTER ASSOCIATION, AND THE CLUB PROPERTY OWNER, AND EACH OF THEIR RESPECTIVE OFFICERS, DIRECTORS, PARTNERS, SHAREHOLDERS, MEMBERS, AFFILIATES, EMPLOYEES, CONTRACTORS, CONSULTANTS, AGENTS, SUCCESSORS AND ASSIGNS (COLLECTIVELY, THE "RELEASED PARTIES") EACH OF THEM, FROM ANY AND ALL LIABILITY TO THE LOT OR WILDERNESS CABIN INTEREST OWNER OR OWNER'S RELATED PARTIES FOR ANY DAMAGES, LOSSES, COSTS (INCLUDING, WITHOUT LIMITATION, ATTORNEYS' FEES), CLAIMS, DEMANDS, SUITS, JUDGMENTS, ORDINARY NEGLIGENCE, OR OTHER OBLIGATIONS ARISING OUT OF OR CONNECTED IN ANY WAY WITH ANY OF THE ASSUMED RISKS. THIS RELEASE IS INTENDED TO BE A COMPREHENSIVE RELEASE OF LIABILITY BUT IS NOT INTENDED TO ASSERT DEFENSES WHICH ARE PROHIBITED BY LAW. NOTWITHSTANDING THE FOREGOING, HOWEVER, THIS SECTION SHALL NOT LIMIT THE LIABILITY OF INDIVIDUAL GOLFERS USING THE CLUB PROPERTY. In addition to the foregoing, the Declaration of Easements and Rights also establishes certain easements and restrictions upon portions of the Common Interest Community for the benefit of the Club Property Owner and the Club Property, and each Owner acknowledges having read that document and being familiar with the terms thereof The acknowledgments, assumptions of risk and agreements contained in this Section shall be deemed to run with the title to each Lot and Wilderness Cabin Interest within the Common Interest Community. 14.8 Notice. Each Owner, and each First Mortgagee if it so elects, shall register its mailing address from time to time with the Master Association. Except as otherwise specifically • provided in this Master Declaration, any notice permitted or required to be given hereunder shall be in writing and may be delivered either personally, or by facsimile transmission, or by mail. 68\1%088974.3 1088974.3 94 Notices delivered personally or sent by facsimile transmission shall be deemed given on the date so delivered or sent. If delivery is made by mail, it shall be deemed to have been delivered two (2) business days after a copy of the same has been posted in the first-class U.S. Mail with adequate postage affixed, addressed to the receiving party at the address last registered by such party with the Master Association, or in the case of an Owner that has not provided such an address, to the Lot of that Owner. Notices to the Master Association shall be sent to such address as it may from time to time designate in writing to each Owner. 14.9 No Dedication to Public Use. Except as otherwise expressly provided herein or therein to the contrary, nothing contained in this Master Declaration or in any Supplemental Declaration shall be deemed to be or to constitute a dedication of all or any part of the Common Interest Community to the public or to any public use. 14.10 interpretation of Master Declaration and Supplemental Declarations, Conflicts with Act. The provisions of this Master Declaration and of all Supplemental Declarations shall be liberally construed to effectuate their purpose of creating a common and general plan for the development, improvement, enhancement, protection and enjoyment of the Common Interest Community, and to the extent possible, shall be construed so as to be consistent with the Act. In the event that any of the terms and conditions of this Master Declaration or of any Supplemental Declaration are determined to be inconsistent with the Act, the Act shall control. Notwithstanding anything to the contrary in this Master Declaration or in any Supplemental Declaration, no rights or powers reserved to Declarant hereunder or in any Supplemental Declaration shall exceed the time limitations upon or the permissible extent of such rights or powers under the Act, and in the event any of such reserved rights or powers are determined to be inconsistent with the Act, the related provisions shall not be invalidated but. shall be modified to the extent required to comply with the Act. 14.11 Conflict With Plats. In the event of any conflict or inconsistency between the provisions of this Master Declaration or any Supplemental Declaration and the Plat, or any Supplemental Plat, including the Plat notes thereon, the provisions of said Plat or Supplemental Plat or Plat notes, as the case may be, shall govern and control and this Master Declaration or any Supplemental Declaration shall automatically be amended, but only to the extent necessary to conform the conflicting provisions hereof with the provisions of said Plat, Supplemental Plat or Plat notes. 14.12 No Express or Implied Covenants on Lands Not Annexed. Nothing in this Master Declaration or in any Supplemental Declaration shall create, or be deemed to create, any express or implied covenants upon or with respect to any real property or interest therein not actually annexed to the Common Interest Community in the manner provided herein, including without limitation the properties described in attached Exhibit D. 14.13 Violations Constitute a Nuisance. Any violation of any provision, covenant, condition, restriction or equitable servitude contained, in this Master Declaration, or in any Supplemental Declaration, whether by act or omission, is hereby declared to be a nuisance and may be enjoined or abated, whether or not the relief sought is for negative or affirmative action, by any Person entitled to enforce the provisions of this Master Declaration. This provision does not limit the remedies that may be available under this Master Declaration or at law or in equity. 68\1\1088974.3 95 • • • • • Failure of the Master Association to bring enforcement action to correct any violation of this Master Declaration or any Supplemental Declaration shall not constitute a waiver of or estop the Master Association from bringing a future or subsequent enforcement action to correct such violation or any other similar violation. 14.14 Declarant's Disclaimer of Representations and Warranties. No representations or warranties of any kind, express or implied, have been given or made or shall be deemed to have been given or made by Declarant or its agents or employees in connection with the Common Interest Community, the Club Property, or any portion thereof or any Improvements thereon, its or their physical condition, zoning, compliance with applicable laws, fitness for intended use or operation, adequacy or availability of utilities, or in connection with the subdivision, sale, improvement, operation, maintenance, cost of maintenance, taxes or regulation thereof, unless and except as shall be specifically set forth in writing herein, in any registration statement or purchase and sale agreement executed by Declarant, or in any closing document related thereto. Furthermore, no such representations or warranties have been given or made or shall be deemed to have been given or made by Declarant or its agents or employees that the plans presently envisioned for the complete development of the Common Interest Community, the Association Property, and/or the Club Property, can or will be carried out, or that any land now owned or hereafter acquired by Declarant is or will be subjected to this Master Declaration or that any such land (whether or not it is subjected to this Master Declaration) is or will be committed to or developed for a particular (or any) use, or that if such land is once used for a particular use, such use will continue in effect, unless and except as shall be specifically set forth in writing herein, in any registration statement or purchase and sale agreement executed by Declarant, or in any closing document related thereto. 14.15 Captions. Captions given to various Articles and Sections herein are for convenience only and are not intended to modify or affect the meaning of any of the substantive provisions hereof and shall not be considered in interpreting any of the provisions hereof. 14.16 Singular Includes Plural. Unless the context requires a contrary construction, as employed in this Master Declaration the singular shall include the plural and the plural the singular; and the masculine, feminine or neuter shall each include the masculine, feminine and neuter. 14.17 Remedies Cumulative. Each remedy provided under this Master Declaration and any Supplemental Declaration is cumulative and not exclusive. 14.18 Costs and Attorneys' Fees. In any action or proceeding involving the interpretation or enforcement of any provision of this Master Declaration or of any Supplemental Declaration, the prevailing party shall be entitled to recover its reasonable attorneys' fees and costs incurred in connection therewith. 14.19 Governing Law; Jurisdiction. The laws of the State of Colorado shall govern the interpretation, validity, performance, and enforcement of this Master Declaration and any Supplemental Declaration. Any legal action brought in connection with this Master Declaration or any Supplemental Declaration shall be commenced in the District Court for Garfield County, 6811\1088974.3 96 Colorado, and by acceptance of a deed to a Lot or Wilderness Cabin Interest each Lot and Wilderness Cabin Interest Owner voluntarily submits to the jurisdiction of such court. 14.20 Severability. Any determination by any court of competent jurisdiction that any provision of this Master Declaration or of any Supplemental Declaration is invalid or unenforceable shall not affect the validity or enforceability of any of the other provisions hereof. Where any provision of this Master Declaration or of any Supplemental Declaration is alleged to be or declared by a court of competent jurisdiction to be unconscionable, Declarant shall have the right by amendment to this Master Declaration or Supplemental Declaration to replace such provision with a new provision, as similar thereto as practicable but which in Declarant's reasonable opinion would be considered not to be unconscionable. 14.21 Disclaimer Regarding Safety. DECLARANT AND THE MASTER ASSOCIATION HEREBY DISCLAIM ANY OBLIGATION REGARDING THE SECURITY OF ANY PERSONS OR PROPERTY WITHIN THE COMMON INTEREST COMMUNITY. ANY OWNER OF PROPERTY WITHIN THE COMMON INTEREST COMMUNITY ACKNOWLEDGES THAT DECLARANT AND THE MASTER ASSOCIATION ARE ONLY OBLIGATED TO DO THOSE ACTS SPECIFICALLY ENUMERATED HEREIN, OR IN THE ARTICLES OF INCORPORATION AND BYLAWS, AND ARE NOT OBLIGATED TO DO ANY OTHER ACTS WITH RESPECT TO THE SAFETY OR PROTECTION OF PERSONS OR PROPERTY WITHIN THE COMMON INTEREST COMMUNITY. ARTICLE XV DISPUTE RESOLUTION 15.1 Alternative Method for Resolvint: Disputes. Declarant, the Master Association, its officers and directors and all Owners (each of the foregoing entities being referred to as a "Party"), agree to encourage the amicable resolution of disputes involving the Common Interest Community and all of its improvements and agrees to submit all Claims to the procedures set forth in this Article XV. 15.2 Claims. Except as specifically excluded in Section 15.3 below, and except as provided by applicable law, all claims, disputes and other controversies between the Master Association and any Owner, or between two or more Owners, or between any Owner and Declarant or between the Master Association and Declarant, including, without limitation, the following: (a) any purchase agreement between Declarant and any Owner (except as may be expressly provided otherwise therein); (b) purchase of a Lot or Wilderness Cabin Interest from Declarant; (c) interpretation, application or enforcement of Governing Documents (except as provided in Section 15.3 below); (d) the soils of any property that lies within the Common Interest Community, including the Lots and Wilderness Cabin Interests and Common Areas; 68\1\1088974.3 97 • • • (e) land development, design, construction, and/or alteration of the improvements within the Common Interest Community, including the Lot or Wilderness Cabin Interests and Common Areas and/or any alleged defect therein; (t) any rights, obligations and duties of any Party under the Governing Documents; (g) any personal injury or property damage that any Owner alleges to have sustained on the Common Interest Community, including the Lot or Wilderness Cabin Interests and Common Areas; (h) any limited warranty issued in connection with the sale of a Lot or Wilderness Cabin Interest by Declarant; and (i) any breach of any of the foregoing. 15.3 Exemptions. The following shall not be Claims and shall not be subject to the provisions of this Policy: (a) the levying and collection of Assessments; (b) any action by the Master Association enforce any provision of the this Declaration or any of the other documents governing the Common Interest Community or where time is of the essence in order to comply with applicable law or contractual provision of a contract or lease or in the case of emergency; and (c) any dispute that involves or that includes, through joinder, interpleader or otherwise, any third parties, who are not Parties. 15.4 Notice of Claim. Any Party alleging a Claim ("Claimant") against any other Party ("Respondent") shall submit all of its Claims by written notification delivered to each Respondent, stating plainly and concisely: (a) the nature of the Claim, including a list of any alleged construction defects, the Persons involved and Respondent's role in the Claim; (b) the legal or contractual basis of the Claim (i.e., the specific authority out of which the Claim arises); (c) the date on which the Claim first arose; (d) the name and address of every Person, including without limitation any current or former employees of Respondent, whom Claimant believes does or may have information relating to the Claim; and 6811\1088974.3 98 (e) the specific relief and/or proposed remedy sought. 15.5 Timely Initiation. All Claims shall be initiated by the Claimant within a reasonable time after the Claim has arisen, but in no event later than two years after the Claim arises, regardless of the nature of the Claim. 15.6 Right to be Heard. Upon receipt of a Claim and prior to the Master Association or any Owner asserting the Claim commencing any mediation or arbitration, Respondent shall have the right to make a written response and be heard by Claimant, affected Owners, and Master Association in an effort to resolve the Claim. 15.7 Right to Inspect and Repair. If the Claim is based on the land development, design, construction and/or alteration of any improvements within the Common Interest Community then, upon reasonable notice to any affected Owners (or the Master Association if the affected area is owned by the Master Association), Respondent shall have the right to access the affected area at a reasonable time(s) for purposes of inspecting the condition complained of including but not be limited to, any investigative, invasive or destructive testing. In the exercise of the inspection rights contained herein, the Party causing the inspection to be made ("Inspecting Party") shall: (a) be careful to avoid any unreasonable intrusion upon, or harm, damage or costs to the other party including, without limitation, using its best efforts to avoid causing any damage to, or interference with, any improvements on the property being inspected ("Affected Property"); (b) minimize any disruption or inconvenience to any person who occupies the Affected Property; (c) remove daily all debris caused by the inspection and located on the Affected Property; and (d) in a reasonable and timely manner, at the Inspecting Party's sole cost and expense, promptly remove all equipment and materials from the Affected Property and repair and replace all damage, and restore the Affected Property to the condition of the Affected Property as of the date of the inspection, unless the Affected Property is to be immediately repaired. (e) In the event the Inspecting Party wishes to make repairs to resolve the subject matter of the Claim, the Inspecting Party shall have the right, at its option, to do so and to enter the Affected Property at a reasonable time(s) and upon reasonable notice for such purpose. The Inspecting Party shall not permit any claim, lien or other encumbrance arising from the exercise of its right to inspect and/or repair to accrue against or attach to the Affected Property. 68\111088974.3 99 • 15.8 Good Faith Negotiations. The Parties shall make every reasonable effort to meet in person and confer for the purpose of resolving the Claim by good faith negotiation. Any party may be represented by attorneys and independent consultants (at such Party's cost) to assist such party in negotiations and to attend meetings. 15.9 Mediation. (a) If the Parties do not resolve the Claim through negotiations within 30 days after the date of submission of the Claim to Respondent(s), as may be extended upon agreement of all affected Parties, any Party shall have 30 additional days to submit the Claim to mediation under the auspices of an independent mediation service reasonably acceptable to all Parties. If no Party submits the Claim to mediation within such time, or does not appear for the mediation, Claimant shall be deemed to have waived the Claim, and all Respondent(s) shall be released and discharged from any and all liability to Claimant on account of such Claim. (b) Any settlement of the Claim through mediation shall be documented in writing by the mediator and signed by the Parties. (c) If the Parties do not settle the Claim within 30 days after submission of the matter to the mediation, or within such other time as determined by the mediator or agreed to by the Parties, the mediator shall issue a notice of termination of the mediation proceedings ("Termination of Mediation"). The Termination of Mediation notice shall state that the Parties are at an impasse and the date that mediation was terminated. (d) Within 10 days after issuance of a Termination of Mediation, Claimant shall make a final written Settlement Demand to the Respondent(s), and the Respondent(s) shall make a final written Settlement Offer to the Claimant. If the Claimant fails to make a Settlement Demand, Claimant's original Claim shall constitute the Settlement Demand. If the Respondent(s) fail to make a Settlement Offer, Respondent(s) shall be deemed to have made a "zero" or "take nothing" Settlement Offer. (e) Each Party shall bear its own costs, including attorney's fees, and each Party shall share equally all charges rendered by the mediator(s) and all filing fees and costs of conducting the mediation proceeding. (f) If the Parties agree to a resolution of any Claim through negotiation or mediation in accordance with this Policy and any Party thereafter fails to abide by the terms of such agreement, then any other affected Party may file suit to enforce such agreement without the need to again comply with the procedures set forth in this Policy. In such event, the Party taking action to enforce the agreement shall be entitled to recover from the non -complying Party all costs incurred in enforcing such agreement. including, without limitation, reasonable attorney's fees and court costs. 6811\1088974.3 100 15.10 Arbitration. (a) If the Parties do not reach a settlement of the Claim within fifteen days after issuance of any Termination of Mediation and reduce the same to writing, the Claimant shall have fifteen addition& days to submit the Claim to binding arbitration in accordance with the Procedures contained below ("Arbitration Procedures") and in accordance with the Uniform Arbitration Act. (h) The Parties agree that where any Claim, dispute or other controversy existing between them is submitted to arbitration, and any other Party may have liability with respect thereto, all Parties including any third Parties agree that the third Parties may be joined as additional Parties in the arbitration, or if a separate arbitration exists or is separately initiated, to the consolidation of all arbitrations. It is the intent of the Parties to resolve all rights and obligations of all interested Parties at one time in one forum rather than in multiple proceedings. (c) Within 60 days after submission of the Claim, Claimant shall file with the arbitrator and deliver to Respondent(s) a certified list of construction defects that are the subject of the Claim, if applicable, which list shall be signed by the attorney for Claimant, or if Claimant does not have an attorney, by Claimant, and shall include: (i) a statement that (A) the Claimant, or his attorney, has consulted with a Person not a Party to the Claim with expertise in the area of each construction defect that is the subject of the Claim (the "Construction Consultant") and (B) the Construction Consultant has inspected the improvements for which the construction defects are claimed, has reviewed the known facts, including such records, documents and other materials the Construction Consultant has found to be relevant to the construction defects, and has concluded that the Claim has substantial justification based on the Construction Consultant's inspection and review of the known facts; (ii) a certification that the Construction Consultant can demonstrate by competent evidence that, as a result of training, education, knowledge and experience, the Construction Consultant is competent to testify as an expert and render an opinion as to the alleged construction defects; (iii) a certification signed by the Construction Consultant stating (A) such Person's name, address, qualifications and credentials that render him or her competent to express an expert opinion as to the alleged construction defect, (B) that he or she has inspected each improvement and reviewed the known facts, including such records, documents and other materials which he or she has found to be relevant to the construction defects at issue, and (C) as to each improvement for which a construction defect Claim is asserted, an identification of the owner of the improvement, the location and date of construction of the improvement, and an identification of each claimed construction defect and its specific location; 68\111088974,3 101 • • (iv) a computation of the damages alleged for each construction defect; (v) an identification, with respect to each improvement and construction defect, of each Party alleged to be responsible for such defect; (vi) a certification that each Party alleged to be responsible for the alleged construction defect has been given written notice of the defect and an opportunity to remedy the defect under the foregoing provisions of this Article and that the defect has not been remedied; and (vii) a copy of the notice of Claim served by Claimant on each Person that is named as a Party to the Claim. (d) If the parties are unable to agree upon an Arbitrator within 30 days from the date of the Arbitration Notice, the presiding judge of the District Court in which the Common Interest Community is located shall appoint a qualified arbitrator upon application of a party. (e) The award rendered by the Arbitrator shall be final and binding, may be filed with any court of competent jurisdiction in the County in accordance with applicable law and judgment obtained thereon, and execution may issue. (f) Claimant shall notify Respondent(s) prior to retaining any Person or entity as an expert witness for purposes of any arbitration or authorized litigation. (g) All Claims subject to arbitration shall be decided by a single private party arbitrator to be appointed by the parties. (h) If the Claim is not timely submitted to arbitration, if Claimant fails to appear for the arbitration proceeding, or if Claimant fails to file and deliver the certified list of construction defects as provided in subparagraph (c) above, the Claim shall be deemed abandoned, and Respondent(s) shall be released and discharged from any and all liability to Claimant arising out of such Claims. (i) No person shall serve as the arbitrator where that person has any financial or personal interest in the result of the arbitration or any family, social or significant professional acquaintance with any other party to the arbitration. Any person designated as an arbitrator shall immediately disclose in writing to all Parties any circumstance likely to affect the appearance of impartiality, including any bias or financial or personal interest in the outcome of the arbitration ("Arbitrator Disclosure"). If any Party objects to the service of any arbitrator within 14 days after receipt of that Arbitrator's Disclosure, such arbitrator shall be replaced in the same manner in which that arbitrator was selected. (j) The Arbitrator shall fix the date, time and place for the hearing. The arbitration proceedings shall be conducted in the County in which the Common Interest Community is located unless otherwise agreed by the Parties. 6811\1 088974.3 102 (k) No formal discovery shall be conducted in the absence of an order of the Arbitrator or express written agreement among all the Parties. Oral statements, not made during the arbitration proceeding, unless verified or authorized by a written document, shall not be admissible in any arbitration proceeding. (I) Unless directed by the Arbitrator, there will be no post -hearing briefs. (m) The Arbitration Award shall address each specific Claim to be resolved in the arbitration, provide a summary of the reasons therefore and the relief granted, and be rendered promptly after the close of the hearing and no later than 14 days from the close of the hearing, unless otherwise agreed by the Parties. The Award shall be in writing and shall be signed by the Arbitrator. (n) The Arbitrator shall award the prevailing party such party's costs and expenses, including reasonable attorney's fees. In the event that the arbitration is between the Master Association and an Owner or Owners, and the Owner or Owners are the prevailing parties, then the attorneys fees awarded shall be Common Expenses, but shall not be assessed against those Owners that were the prevailing parties. 15.11 Consensus for Master Association Action. Except as otherwise provided for in this Policy, the Master Association shall not commence any action, mediation or arbitration against any Party for a Claim unless the Owners to which at least 67% of the votes in the Master Association are allocated agree to such proceedings. However, such Owner consent must be obtained by the Master Association only after the Board delivers written notice to all Members of the Master Association in accordance with the procedures set forth in the Bylaws with respect to meetings of Members; which notice shall include: (a) a description of the nature of the Claim and the relief sought; (b) a copy of any written response thereto, including any settlement proposal; (c) a statement advising Owners of their duties to disclose to prospective purchasers and lenders the Claim that the Master Association proposes to assert; (d) a statement that any recovery from the action may not result in receipt of funds to pay all costs of remedying the Claim as estimated by experts retained by the Master Association; (e) an estimate of the expenses and fees to the Master Association that the Board anticipates will be incurred in prosecuting the claim; (0 a description of the agreement with the attorneys whom the Board proposes to retain to prosecute the cause of action; and 68\1\10889743 103 • • • (g) any other information required to be disclosed pursuant to C.R.S. § 38- 33.3-303.5. 15.12 Liability for Failure to Maintain an Action. No director or officer of the Master Association shall be liable to any Person for failure to institute or maintain or bring to conclusion a cause of action, mediation or arbitration for a Claim if the following criteria are satisfied: (a) the director or officer was acting within the scope of his or her duties; (b) the director or officer was acting in good faith; and (c) the act or omission was not willful, wanton or grossly negligent. 15.13 Utilization of Funds Resulting from the Cause of Action. In the event the Master Association receives funds as a result of any settlement, mediation, arbitration or judgment based upon a cause of action, after payment of fees and costs incurred in connection with prosecution of such action, the Master Association shall: (a) deposit the proceeds in a special, interest-bearing account; and (b) utilize the proceeds only for the purpose of performing remedial or repair work on the conditions which were the subject of the Claim or otherwise for purposes of remedying the Claim. 15.14 Exclusive Remedy. The provisions contained in this Article shall be the sole and exclusive remedy that the Master Association and other Parties shall have against Declarant for any Claim, and Declarant, the Master Association and each Owner expressly waives any right it may have to seek resolution of any Claim contemplated by this Article in any court of law or equity and any right to trial by jury. 15.15 Costs. Should any Party commence litigation or any other action against any other Party, in violation of the terms of this Article, such Party shall reimburse the costs and expenses, including attorneys' fees, incurred by the other Party seeking dismissal of such litigation or action. If Claim involves Declarant or the Master Association, no Party shall record a memorandum or notice of lis pendens or similar instrument that would encumber or create a lien on real property owned by either Declarant or the Master Association, and any recording of the same shall be null and void and of no force or effect. 68\111088974.3 104 IN WITNESS WHEREOF, Declarant has executed this Master Declaration as of the day and year first above written. Spring Valley Holdings, LLC, a Delaware Limited Liability Company By: Its: 681111088974.3 • • STATE OF COUNTY OF ) ss. ) The foregoing Master Declaration was acknowledged before me this day of , by as of Spring Valley Holdings, LLC, a Delaware Limited Liability Company, Declarant. WITNESS my hand and official seal. My commission expires: (SEAL) Notary Public 68\111088974,3 2 EXHIBIT A LEGAL DESCRIPTION OF COMMON INTEREST COMMUNITY Spring Valley Ranch P.U.D. (Phase I), according to the Final Plat of said Phase I recorded , 2007 at Reception No. in the Office of the Clerk and Recorder of Garfield County, Colorado, excepting and excluding: (a) Club -1 Parcel, as depicted and described on said Final Plat. (b) OS/G-1 through OS/G-4 Parcels, inclusive, as depicted and described on said Final Plat. (c) Metro -1 Parcel and Metro -2 Parcel, as depicted and described on said Final Plat. (d) Office -1 Parcel and Office -2 Parcel, as depicted and described on said Final Plat. (e) IF -1 Parcel, as depicted and described on said Final Plat. 681111088974.3 • • • EXHIBIT "B" LEGAL DESCRIPTION OF ANNEXABLE PROPERTY A parcel of land located in Sections 14, 15, 16, 20, 21, 22, 23, 26, 27, 28, 29, 32, 33, and 34, Township 6 South, Range 88 West, Sixth Principal Meridian being more particularly described as follows: Beginning at the Northwest Corner of said Section 20 being a 2 -inch AIuminum Cap (P.E.L.S. 5933); thence S 88°16'08" E 2627.19 feet along the north line of said Section 20 to the North Quarter Corner of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 88.15'48" E 2625.91 feet along the north line of said Section 20 to the Northeast Corner of said Section 20 being a 2-1/2 inch GLO Brass Cap found in place said corner also being on the west line of said Section 16; thence N 00°00'14" W 2631.77 feet along the west line of said Section 16 to the East Quarter Corner of Section 17, T. 6 S., R. 88 W., 6th P.M. being a 2-1/2 inch GLO Brass Cap found in place; thence N 00°08'04" W 340.70 feet continuing along the west line of said Section 16 to the West Quarter Corner of said Section 16 being a 2- 1/2 inch GLO Brass Cap found in place; thence N 00°01'47" E 1047.99 feet continuing along the west line of said Section 16 to the southwest corner of a parcel of land described in Book 795, Page 980 in the office of the Garfield County Clerk and Recorder; thence the following three courses along the boundary of said parcel described in Book 795, Page 980: 1. thence N 89'16'47" E 334.10 feet; 2. thence N 03°35'47" E 252.06 feet; 3. thence N 88°27'52" W 349.87 feet to a point on the west line of said Section 16; thence N 00°01'47" E 977.15 feet along the west line of said Section 16 to the Northeast Corner of said Section 17 being a 2-1/2 inch GLO Brass Cap found in place; thence N 00°0l'20" W 344.80 feet continuing along the west line of said Section 16 to the Northwest Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°57'15" E 2703.26 feet along the north line of said Section 16 to the North Quarter Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°57'09" E 2637.87 feet continuing along the north line of said Section 16 to the Northeast Corner of said Section 16 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°58'17" E 2638.56 feet along the north line of said Section 15 to the North Quarter Corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place; thence S 89°59'36" E 1318.31 feet continuing along the north line of said Section 15 to the west line of the NE 1/4NE 1/4 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place whence the northeast comer of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place bears S 89°59'36" E 1318.31 feet; thence S 00°00'09" E 1312.36 feet along the west line of the NE1/4NE1/4 of said Section 15 to the southwest corner of the NEI/4NE1/4 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence N 89°55'46" E 1317.67 feet along the south line of the NEI /4NE 1/4 of said Section 15 to the southeast corner of the NEI/4NE 1/4 of said Section 15 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; ; thence N 00°01'32" E a distance of 1310.58 feet along the west line of said N W 1 /4NW 1/4 to the Northwest Corner of said Section 14 being a 2 -1/2 -inch Government Land Office (GLO) Brass Cap found in place; thence N 89°55'05" E a distance of 1320.66 feet along the north line of said section 14 to the Northeast corner of said NWI/4NW1/4 of Section 14 being a 3 -inch Aluminum Cap (L.S. 15710) found in place; thence S 00°01'34" W a distance of 1312.94 feet along the east line of said NWI/4NW l /4 to the Southeast corner of said N W 1 /4NW 1/4 being a 3 -inch Aluminum Cap (L.S. 15710) found in place: thence S 00"01'34" W 1312.94 feet along the east line of the S W 1/4NW 1/4 of said Section 14 to the southeast corner of the SWI /4NW 1 /4 of said Section 14 being a 2 - inch Aluminum Cap (P.E.L.S. 5933); thence 5 00°01'19" E 2647,58 feet along the east line of the W1/2SW1/4 of said Section 14 to the southeast corner of the W1/2SW1/4 of said Section 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 89°59'40" E 1318.39 feet along the north line of said Section 23 to the North Quarter Corner of said Section 23 being a 2-1/2 inch GLO Brass Cap found in place; thence 5 00°05'23" E 5277.46 feet along the east line of the W1/2 of said Section 23 to the South Quarter Corner of said Section 23 being a 2-1/2 inch GLO Brass Cap found in place; thence S 00°00'49" W 5529.94 feet along the east line of the W1/2 of said Section 26 to the South Quarter Corner of said Section 26 being a 2- 1/2 inch GLO Brass Cap found in place; thence S 84°59'30" W 31.37 feet along the south line of said Section 26 to the North Quarter Corner of Section 35, T. 6 S., R. 88 W., 6th P.M., being a 2-1/2 inch GLO Brass Cap found in place; thence S 84°41'15" W 1292.34 feet along the south line of said Section 26 to the southeast corner of Lot 14 of said Section 26 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 00°21'37" E 372.49 feet along the east line of said Lot 14, Section 26 to the northeast corner of said Lot 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 89°53'31" W 1611.72 feet along the north line of said Lot 14 to the northwest corner of said Lot 14 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 00,0014" W 525.17 feet along the west line of said Lot 14 to the Southwest Corner of said Section 26 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89'14'59" W 2647.44 feet along the south line of said Section 27 to the South Quarter Corner of said Section 27 being a 2-1/2 inch GLO Brass Cap found in place; thence N 89°17'11" W 1319.72 feet along the north line of said Section 34 to the northeast corner of the W l/2NW I/4 of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S, 5933) whence the Northwest Corner of said Section 34 being a 2 -1/2 -inch GLO Brass Cap found in place bears N 89°17'11" W 1319.72 feet; thence S 00°05'58" E 2466.04 feet along the east line of the W1/2NW1/4 of said Section 34 to the southeast corner of the W1/2NW1/4 of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence S 89'51'39" W 1389,27 feet along the south line of the W1/2NW1/4 of said Section 34 to the West Quarter Corner of said Section 34 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88°27'45" W 2511.99 feet along the south line of the NE1/4 of said Section 33 to the Center Quarter Corner of said Section 33 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 88°27'28" W 1112.41 feet along the south line of Lot 6, of said Section 33 to the southwest corner of said Lot 6 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 01°56'25" E 838.15 feet along the west line of said Lot 6 to the southeast corner of Lot 5 of said Section 33 being a 3 inch Aluminum Cap (County Surveyor) found in place; thence N 89°14'27" W 1072.10 feet along the south line of said Lot 5 to a point on the northerly right-of-way of Garfield County Road 119; thence the following seventeen courses along the northerly right-of-way of said County Road 119: 1. thence along the arc of a non -tangent curve to the left having a radius of 190.00 feet, and a central angle of 38°53'l5" for a distance along the curve of 128.96 feet; the chord of said curve bears N 70°21'49" W a distance of 126,50 feet; 2. thence N 89'4827" W 335.07 feet to a point on the west line of said Section 33 whence the Northwest Corner of said Section 33 being a 3 -inch County Surveyor's Aluminum Cap found in place bears N 01°1421" E 1729.72 feet; 3. thence N 89°48'27" W 746.63 feet 4. thence along the arc of a curve to the right having a radius of 9975.00 feet, and a central angle of 01°23'23" for a distance along the curve of 241.95 feet; the chord of said curve bears N 89°06'46" W a distance of 241.94 feet; 5. thence N 88°25"04" W 886.82 feet; 6. thence along the arc of a curve to the right having a radius of 30.00 feet, and a central angle of 101°43'17" for a distance along the curve of 53.26 feet; the chord of said curve bears N 37°33'26" W a distance of 46.54 feet; 7. thence N 13°18'13" E 1531.48 feet; 8. thence along the arc of a curve to the left having a radius of 715.00 feet, and a central angle of 15'55'12" for a distance along the curve of 198.67 feet; the chord of said curve bears N 05°20'37" E a distance of 198.03 feet to a point on the south line of said Section 29 whence the Southeast Corner of said Section 29 bears 5 89'03'23" E 1570.16 feet; 9. thence along the arc of a curve to the left having a radius of 715.00 feet, and a central angle of 29°05'27" for a distance along the curve of 363.03 feet; the chord of said curve bears N 17°09'43" W a distance of 359.14 feet; 10. thence along the arc of a curve to the left having a radius of 1853.11 feet, and a central angle of 14°56'46" for a distance along the curve of 483.40 feet; the chord of said curve bears N 39°10'49" W a distance of482.03 feet; 11. thence N 46°39'12" W 512.11 feet; 12. thence along the arc of a curve to the left having a radius of 544.29 feet, and a central angle of 29°19'12" for a distance along the curve of 278.53 feet; the chord of said curve bears N 61°18'49" W a distance of 275.50 feet; 13. thence N 75°5825" W 274.72 feet; 14. thence along the arc of a curve to the right having a radius of 777.56 feet, and a central angle of 10'01'45" for a distance along the curve of 136.11 feet; the chord of said curve bears N 70°57'32" W a distance of 135.93 feet; 15. thence N 65°56'40" W 288.79 feet; • • • • 16. thence along the arc of a curve to the right having a radius of 934.49 feet, and a central angle of 12°43'09" for a distance along the curve of 207.45 feet; the chord of said curve bears N 59°35'05" W a distance of 207.03 feet; 17. thence N 53°13'30" W 363.38 feet to a point on the west line of Lot 26 of said Section 29; thence N 00°3027" E 619.90 feet along the west line of said Lot 26 to the northwest corner of said Lot 26; thence N 90°00'00" W 65.41 feet to a fence post with a pk-nail in the top and accepted as the southwest corner of Lot 20 of said Section 29; thence N 00°34'26" E 2165.03 feet along the accepted west line of Lots 20, 16, and 8 of said Section 29 to a red plastic cap (P.L.S. 27929);. thence N 00°32'35" E 431.30 feet to the southwest corner of a parcel of land described in Book 527, Page 951 in the office of the Garfield County Clerk and Recorder; thence along the southerly boundary of said parcel of land described in Book 527, Page 951 S 89°3220" E 431.36 feet; thence the following two courses along the Southerly boundary of a parcel of land described in Book 872, Page 768 in the office of the Garfield County Clerk and Recorder: 1. thence 5 50°51'48" E 497.50 feet; 2. thence S 57°58'21" E 57.39 feet to a point on the Southerly boundary of a parcel of land described in Book 915, Page 112 in the office of the Garfield County Clerk and Recorder; thence S 57°5821" E 305.00 feet along the Southerly boundary of said parcel of land described in Book 915, Page 112; thence 5 33°33'03" E 149.53 feet along the Southwesterly boundary of a parcel of land described in Book 621, Page 219 in the office of the Garfield County Clerk and Recorder; thence S 81°36'23" E 135.95 feet along the Southerly boundaries of parcels of land described in Book 621, Page 219 and Book 965, Page 509 in the office of the Garfield County Clerk and Recorder to a point on the boundary of said parcel of land described in Book 965, Page 509; thence the following three courses along the southeasterly boundary of said parcel described in Book 965, Page 509: 1. thence S 8l°42'23" E 302.25 feet; 2. thence N 05°12'20" E 149.94 feet; 3. thence along the arc of a curve to the right having a radius of 55.23 feet, and a central angle of 40°33'24" for a distance along the curve of 39.09 feet; the chord of said curve bears N 25°28'41" E a distance of 38.28 feet to a point on the southerly boundary of a parcel of land described in Book 808, Page 803 in the office of the Garfield County Clerk and Recorder; thence the following three courses along the easterly boundary of said parcel described in Book 808, Page 803: 1. thence S 81°42'37" E 123.19 feet; 2. thence N 21'00'23" W 820.84 feet to a point on the south line of said Section 20 whence the South Quarter Corner of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933) bears N 88'32'13" W 248.98 feet; 3. thence N 21°00'23" W 137.24 feet to a paint on the northerly right-of-way of Garfield County Road 115; thence the following two courses along the northerly right-of-way of said County Road 115: 1. thence along the arc of a non -tangent curve to the right having a radius of 5288.82 feet, and a central angle of 02°43'04" for a distance along the curve of 250.87 feet; the chord of said curve bears N 73°59'48" W a distance of 250.84 feet; 2. thence N 72'38'16" W 1244.87 feet to a point on the accepted east line of Lot 4 of said Section 20 whence the southeast comer of a parcel of land recorded under reception number 467225 in the office of the Garfield County Clerk and Recorder being a 2 -inch Aluminum Cap (P.E.L.S. 5933) and accepted as a point on the east line of said Lot 4 bears S 01'51'02" W 9.41 feet; thence N 01.51'02" E 490.79 feet along the accepted east line of said Lot 4 to the northeast corner of said Lot 4 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88'18'52" W 1429.59 feet along the north line of said Lot 4 and Lot 3 of said Section 20 to the northwest corner of said Lot 3 being a 2 -inch Aluminum Cap (P.E.L.S. 5933) whence the Southwest Corner of said Lot 20 being a 2-1/2 inch Aluminum Cap (P.L.S. 27929) found in place bears S 00'06'31" E 1008.11 feet; thence N 00'06'31" W 1630.93 feet along the west line of said Section 20 to the West Quarter Corner of said Section 20 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 00°04'12" E 2632.88 feet along the west line of said Section 20 to the Northwest Corner of said Section 20 being the POINT OF BEGINNING containing 6115.31 acres more or less. EXCEPTING THE FOLLOWING TWENTY PARCELS: 1) MIDDLE EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in the East Half of Section 29 and the Northwest Quarter of Section 28, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being further described as follows: Beginning at a point on the easterly line of said Section 29 whence the Northeast Corner of Section 29 being a 2-1/2 inch GLO Brass Cap found in place bears N 01'09"28" E 125032 feet thence S 0I°09'28" W 346.32 feet along the east line of said Section 29 to a point on the northerly line of a parcel of land described in Book 495, Page 596 in the office of the Garfield County Clerk and Recorder, whence the west Quarter Corner of said Section 28 being a 3 inch Aluminum Cap (County Surveyor) bears S 01°09'28" E 987.24 feet; thence S 88°09'03" E 557.11 feet along the northerly line of said parcel of land described in Book 495, Page 596 to a point on the southerly right-of-way line of Garfield County Road 115; thence along the arc of a non -tangent curve to the left having a radius of 826.12 feet, and a central angle of 17'50'11" for a distance along the curve of 257.17 feet; the chord of said curve bears S 64°07'08" E a distance of 256.14 feet along the southerly right-of-way of said County Road 115; thence S 73`02'14" E 43.18 feet continuing along the southerly right-of-way line of said County Road 115 to a point in the easterly line of said parcel of land described in Book 495, Page 596; thence S 00°01'52" W 114.31 feet along the easterly boundary of said parcel of land described in Book 495, Page 596 to the southeast corner of said parcel of land described in Book 495, Page 596; thence the following four courses along the Southerly Boundary of said parcel of land described in Book 495, Page 596: I. thence N 89°58'08" W 327.05 feet; 2. thence S 54'10'41" W 185.54 feet; 3. thence N 42'16'19" W 154.20 feet; 4. thence S 59°30'35" W 216.33 feet to a point on the boundary of a parcel of land described in Book 988, Page 802 in the office of the Garfield County Clerk and Recorder; thence the following six courses around the easterly, northerly, and southerly boundaries of said parcel of land described in Book 988, Page 802: 1. thence S 13°45'40" E 111.74 feet; 2. thence S 89°58'08" E 101.60 feet; 3. thence S 00°01'52" W 69.06 feet; 4. thence S 88'48'28" E 25.57 feet; 5. thence 5 00`3724" E 148.37 feet; 6. thence 5 14°45'31" E 57.78 feet; thence S 58°03'40" W 625.36 feet along the southerly boundaries of parcels of land described in Book 988, Page 802 and Book 736, Page 345 in the office of the Garfield County Clerk and Recorder to a point on the southerly boundary of said parcel of land described in Book 736, Page 345; thence along the southerly and westerly boundaries of said parcel of land described in Book 736, Page 345 the following five courses: 1. thence N 74°53'28" W 35.87 feet; 2. thence N 66°59'35" W 380.19 feet; 3. thence N 50°53'55" W 27.02 feet; 4, thence N 25°54'08" W 19.09 feet; 5. thence N 05°08'09" W 580.16 feet to a point on the westerly boundary of a parcel of land described in Book 886, Page 329 in the office of the Garfield County Clerk and Recorder; thence along the westerly and northerly boundaries of said parcel of land described in Book 886, Page 329 the following three courses: 1. thence N 05'36'42" W 538.91 feet 2. thence N 04°18'35" W 374.95 feet; 3. thence N 82°52'22" E 323.76 feet to a point on the southerly right-of-way line of said Garfield County Road 115; thence along the said right-of-way line the following three courses: 1. thence along the arc of a non -tangent curve to the left having a radius of 993.47 feet, and a central angle of 03°01'08" for a distance along the curve of 52.35 feet; the chord of said curve bears 5 34°41'10" E a distance of 52.34 feet; 2. thence along the arc of a curve to the left having a radius of 480.00 feet, and a central angle of 36'06'40" for a distance along the curve of 302.52 feet; the chord of said curve bears S 54'15'04" E a distance of 297.54 feet; • 3. thence S 72'18'24'' E 273.90 feet to the POINT OF BEGINNING containing 33.49 acres more or less, 2) EAST EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in Section 28, Township 6 South, Range 88 West, of the Sixth Principal Meridian being more particularly described as follows: Beginning at the South Quarter Corner of Section 28 being a 2 -inch Aluminum Cap (P.E.L.S. 5933); thence N 88'33'15" W 1084.24 feet along the south line of Section 28 to a point on the westerly boundary of a parcel of land described in Book 938, Page 691 in the office of the Garfield County Clerk and Recorder; whence the Southwest Corner of Section 28 being a 3 inch County Surveyor Aluminum Cap found in place bears 5 88°33'15" E 1495.74 feet; thence N 01'00'28" E 2568.63 feet along the westerly boundary of said parcel of land described in Book 938, Page 691 to a point on the westerly boundary of a parcel of land described in Book 638, Page 941 in the office of the Garfield County Clerk and Recorder; thence N 01'01'12" E 691.65 feet along the westerly boundary of said parcel of Iand described in Book 638, Page 941 to a point on the southerly right-of-way line of Garfield County Road 115; thence along the southerly right-of-way line of said County Road 115 the following seven courses: 1. along the arc of a non -tangent curve to the right having a radius of 594.56 feet, and a central angle of 41°58'28" for a distance along the curve of 435.57 feet; the chord of said curve bears S 43°10'12" E a distance of 425.90 feet; 2. thence 5 22°10'58" E 307.62 feet; 3. thence along the arc of a curve to the lett having a radius of 1421.75 feet, and a central angle of 15°49'57" for a distance alone the curve of 392.87 feet; the chord of said curve bears S 30°05'57" E a distance of 391.63 feet; 4. thence along the arc of a curve to the right having a radius of 370.00 feet, and a central angle of 32"43'14" for a distance along the curve of 211.30 feet; the chord of said curve bears S 21°39'19" E a distance of 208.44 feet; 5. thence along the arc of a curve to the left having a radius of 2437.42 feet, and a central angle of 28°42'24" for a distance along the curve of 1221.22 feet; the chord of said curve bears S 19°38'54" E a distance of 1208.48 feet; 6. thence S 34°00'06" E 1152.91 feet; 7. thence along the arc of a curve to the left having a radius of 430.00 feet, and a central angle of 23°03'17" for a distance along the curve of 173.02 feet; the chord of said curve bears 5 45°31'45" E a distance of 171.86 feet to a point on the south line of Section 28; whence the Southeast Corner of Section 28 being a 2- 1/2 inch GLO Brass Cap found in place bears 5 86°11'17" E 1745.44 feet; thence N 86°11'17" W 829.99 feet along the south line of Section 28 to the POINT OF BEGINNING containing 67.91 acres more or less. 3) SECTION 15 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land being the Northwest Quarter of the Southwest Quarter of Section 15, Township 6 South Range 88 West, of the Sixth Principal meridian, said parcel being further described as follows: Beginning at the West Quarter corner of said Section 15 being a 2-1/2 inch GLO Brass Cap found in place, thence N 89°51'07" E 1323.59 feet along the North line of the NWI/4SW114 of said Section 15 to the northeast corner of the N W 1145 W1/4 of said Section 15; thence 5 00°01'49" E 1540.50 feet along the East line of the NW1/4SW1/4 of said Section 15 to the Southeast Corner of the NW 1145 W 114; thence S 89°58'25" W 1323.59 feet along the south line of the NW1/4SW1/4 of said Section 15 to the southwest corner of the NW1/4SW1/4 of said section 15; whence the Southwest Corner of said Section 15 being a 2- 1/2 inch GLO Brass Cap found in place bears S 00°0l'49" E 1537.70 feet; thence N 00°01'49" W 1537.70 feet along the west line of the NW1/4SW1/4 of said section 15 to the northwest corner of the NW I /4SW I /4 of said section 15 being the POINT OF BEGINNING containing 46.76 acres more or less. 4) GARFIELD COUNTY ROAD 115 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in Sections 20, 29, 28, 33, and 34, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being a 60 foot wide right-of-way extending thirty feet on each side of the following described centerline for Garfield County Road 115, said centerline being further described as follows: Beginning ata point from whence the Southwest corner of said Section 20 bears 589°59'26"W a distance of 2853.70 feet, said section corner being a 2-1/2 inch Aluminum Cap found in place; thence along the arc of a curve to the left having a radius of 5318.82 feet, and a central angle of 04°16'52" for a distance along the curve of 397.42 feet; the chord of said curve bears S 77°43'40" E a distance of 397.32 feet; thence 5 79°52'05" E 121.04 feet to a point along the section line common to said Sections 20 and 29 from whence the Quarter corner common to said Sections 20 and 29 being a 2 -inch Aluminum Cap bears N88°32' 13"W 720.55 feet; thence S 79'52'05" E 331.86 feet; thence along the arc of a curve to the right having a radius of 900.00 feet, and a central angle of 20°29'08" for a distance along the curve of 321,79 feet; the chord of said curve bears S 69°37'31" E a distance of 320.08 feet; thence S 59'22'57" E 217.30 feet; thence along the arc of a curve to the right having a radius of 1081.34 feet, and a central angle of 35°38'00" for a distance along the curve of 672.50 feet; the chord of said curve bears 5 41°33'57" E a distance of 661.72 feet; thence S 23°44'57" E 73.66 feet; thence along the arc of a curve to the left having a radius of 963.47 feet, and a central angle of 12°26'47" for a distance along the curve of 209.29 feet; the chord of said curve bears S 29°58'21" E a distance of 208.88 feet; thence along the arc of a curve to the left having a radius of 450.00 feet, and a central angle of 36°06'40" for a distance along the curve of 283.62 feet; the chord of said curve bears S 54°15'04" E a distance of 278.95 feet; thence S 72°18'24" E 264.99 feet to a point along the section line common to said Sections 28 and 29 from whence the Northeast corner of said Section 29 being a 2-1/2 inch GLO Brass Cap found in place bears N01 °09'28"E 1219.42 feet; thence S 72°18'24" E 167.61 feet; thence along the arc of a curve to the right having a radius of 377.41 feet, and a central angle of 25°33'14" for a distance along the curve of 168.32 feet; the chord of said curve bears S 59°31'47" E a distance of 166.93 feet; thence 5 46°45'10" E 235.64 feet; • • thence along the arc of a curve to the left having a radius of 796.12 feet, and a central angle of 26'17'03" for a distance along the curve of 365.22 feet; the chord of said curve bears S 59°53'42" E a distance of 362.02 feet; thence S 73°02'14" E 636.67 feet; thence along the arc of a curve to the right having a radius of 624.56 feet, and a central angle of 50°51'15" for a distance along the curve of 554.35 feet; the chord of said curve bears S 47°36'36" E a distance of 536.33 feet; thence S 22°10'58" E 307.62 feet; thence along the arc for a distance along 383.36 feet; thence along the arc for a distance along 225.34 feet; thence along the arc for a distance along 1193.61 feet; of a curve to the left having a radius of 1391.75 feet, and a the curve of 384.58 feet; the chord of said curve bears S of a curve to the right having a radius of 400.00 feet, and a the curve of 228.43 feet; the chord of said curve bears S of a curve to the left having a radius of 2407.42 feet, and a the curve of 1206.18 feet; the chord of said curve bears S thence S 34°00'06" E 1152.91 feet; central angle of 15°49'57" 30°05'57" E a distance of central angle of 32°43'14" 2.1°39'19" E a distance of central angle of 28°42'24" 19°38'54" E a distance of thence along the arc of a curve to the left having a radius of 400.00 feet, and a central angle of 25'53'11" for a distance along the curve of 180.72 feet; the chord of said curve bears S 46°56'42" E a distance of 179.19 feet; thence S 59°53'17" E 38.40 feet to a point along the section line common to said Sections 28 and 33 from whence the Quarter corner common to said Sections 28 and 33 being a 2 -inch Aluminum Cap bears N86°11'17"W 896.52 feet; thence S 59°53'17" E 421.00 feet; thence along the arc of a curve to the right having a radius of 779.79 feet, and a central angle of 35°42'49" for a distance along the curve of 486.06 feet; the chord of said curve bears S 42°0l'52" E a distance of 478.23 feet; thence S 24°1027" E 644.62 feet; thence along the arc of a curve to the right having a radius of 882.82 feet, and a central angle of 26°58'38" for a distance along the curve of 415.67 feet; the chord of said curve bears S 10°41'09" E a distance of 411.84 feet; thence S 02°48'10" W 238.01 feet; thence along the arc for a distance along 471.39 feet; thence along the arc for a distance along 180.44 feet; of a curve to the left having a radius of 729.53 feet, and a central angle of 37°41'54" the curve of 480.00 feet: the chord of said curve bears S 16°02'47" E a distance of of a curve to the left having a radius of 200.00 feet, and a central angle of 53°37'43" the curve of 187.20 feet; the chord of said curve bears S 61'42'35" E a distance of thence along the arc of a curve to the left having a radius of 2171.07 feet, and a central angle of 08°19'31" for a distance along the curve of 315.47 feet; the chord of said curve bears N 87°18'48" E a distance of 315.19 feet to a point along the section line common to said Sections 33 and 34 from whence the Northeast corner of said Section 33 being a 2-1/2 inch GLO Brass Cap found in place bears NO1°30'32"E 2209.86 feet; thence along the arc of a curve to the left having a radius of2171.07 feet, and a central angle of 15°20'11" for a distance along the curve of 58113 feet; the chord of said curve bears N 75'28'57" E a distance of 579.40 feet; thence along the arc of a curve to the right having a radius of 280.00 feet, and a central angle of 55°26'50" for a distance along the curve of 270.97 feet; the chord of said curve bears S 84°27'44" E a distance of 260.52 feet; thence S 56°44'19" E 393.8 l feet; thence along the arc of a curve to the left having a radius of 669.07 feet, and a central angle of 21°39'21" for a distance along the curve of 252.89 feet; the chord of said curve bears S 67'34'00" E a distance of 251.38 feet from whence the said Northeast corner of Section 33 bears N28°52'13"W 2741.66 feet; Such parcel being a 60 foot right-of-way (30 feet on each side of the above described centerline) contains 18.19 acres more or less. The right-of-way lines of said right-of-way shall be prolonged or shortened to begin and end on and conform to the property boundary lines. 5) GARFIELD COUNTY ROAD 114 EXCEPTION PARCEL LEGAL DESCRIPTION A parcel of land located in the Northeast Quarter of Section 33, Township 6 South, Range 88 West, of the Sixth Principal Meridian, said parcel being the right-of-way for Garfield County Road 114 and the intersection of Garfield County Road 114 with Garfield County Road 115, said parcel being further described as follows: Beginning at a point on the southern line of the Northeast Quarter of said Section 33 whence the East Quarter Corner for said Section 33 being a 2-ineh Aluminum Cap bears S 88'27'45" E 551.40 feet said point also being a point on the easterly right-of-way of Garfield County Road 114; thence N 88'27'45" W 77.11 feet along said southern line of the Northeast Quarter to a point on the westerly boundary of said County Road 114, whence the Center Quarter for said Section 33 being a 2 -1/2 - inch Aluminum Cap found in place bears N 88°27'45" W 1883.48; thence the following two courses along the westerly right-of-way of said County Road 114: 1. N 40°27'03" E 99.05 feet; 2. thence along the arc of a curve to the left having a radius of 270.00 feet, and a central angle of 69°20'35" for a distance along the curve of 326.77 feet; the chord of said curve bears N 05°46'46" E a distance of 307.19 feet to a point on the southerly right-of-way of Garfield County Road 115; thence the following three courses along the southern right-of-way of County Road 115: 1. along the arc of a non -tangent curve to the left having a radius of 759.53 feet, and a central angle of 06°00'12" for a distance along the curve of 79.58 feet; the chord of said curve bears S 31'53'38" E a distance of 79.55 feet; 2. thence along the arc of a curve to the left having a radius of 230.00 feet, and a central angle of 53°37'43" for a distance along the curve of 215.28 feet; the chord of said curve bears S 61°42'35" E a distance of 207.51 feet; • • • • • 3. thence along the arc of a curve to the left having a radius of 2201.07 feet, and a central angle of 03'41'58" for a distance along the curve of 142.12 feet; the chord of said curve bears N 89°37'34" E a distance of 142.09 feet to a point on the easterly right-of-way of Garfield County Road 114; thence the following two courses along the easterly right-of-way of County Road 114: 1. along the arc of a non -tangent curve to the left having a radius of 470.00 feet, and a central angle of 47"19'32" for a distance along the curve of 388.21 feet; the chord of said curve bears S 64°06'49" W a distance of 377.27 feet; 2. thence S 40°27'03" W 70.18 feet to the point of beginning containing 0.755 acres more or less. The right-of-way lines of said right-of-way shall be prolonged or shortened to begin and end on and conform to the property boundary lines. 6-20) THE FOLLOWING FIFTEEN PARCELS ACCORDING TO THE "SPRING VALLEY RANCH P.U.D., PHASE 1, FINAL PLAT": 6) Parcel A containing 8.45 acres more or less 7) Parcel B containing 78.93acres more or less 8) Parcel C containing 676.81 acres more or less 9) Parcel D containing 1.26 acres more or less 10) Parcel E containing 10.96 acres more or less 11) Parcel F containing 1,019.00 acres more or less 12) Parcel G containing 2.66 acres more or less 13) Parcel H containing 8.47 acres more or less 14) Parcel I containing 0.27 acres more or less 15) Parcel J containing 1.58 acres more or less 16) Parcel K containing 2.14 acres more or less 17) Parcel L containing 34.34 acres more or less 18) Parcel M containing 2.57 acres more or less 19) Parcel N containing 3.15 acres more or less 20) Parcel 0 containing 4.07 acres more or less The area sum of 6-20 equals : 1,854.67 acres more or less The Annexable Property total area minus the exceptions is 4,093.52 acres more or Tess. EXHIBIT C ALLOCATED INTERESTS SPRING VALLEY RANCH P.U.D. (PHASE I) Lots Golf Lots D-97 through G-146, inclusive 6811\1088974.3 Common Expense Liability Votes 1/50 each Lot 4 votes each Lot • • • EXHIBIT D LEGAL DESCRIPTION OF CLUB PROPERTY Club -1 Parcel and OS/G-1 through OS/G-4 Parcels, inclusive, as depicted and described on Spring Valley Ranch P.U.D. (Phase 1), according to the Final Plat of said Phase 1 recorded , 2007 at Reception No. in the Office of the Clerk and Recorder of Garfield County, Colorado. 68U 1.1088974.3 EXHIBIT E RECORDED EASEMENTS AND LICENSES 1. OVERHEAD UTILITY EASEMENT (HOLY CROSS ENERGY) located in Sections 28, 29 and 33, Township 6 South, Range 88 West of the Sixth Principal; Meridian as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 2. TRAIL EASEMENTS located in Sections 15, 16, 20, 21, 22, 23, 26, 27, 28, 29, 32, 33, and 34, Township 6 South, Range 88 West, Sixth Principal Meridian as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 3. PRIVATE WATERLINE EASEMENT located in Sections 28 and 29, Township 6 South, Range 88 West, Sixth Principal Meridian as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 4. XCEL ENERGY UTILITY EASEMENT located in Sections 16, 21, 22, 26 and 27, Township 6 South, Range 88 West, Sixth Principal Meridian as depicted in SPRING VALLEY RANCH P.U.D., PHASE I - FINAL PLAT and described in Book 1090, Page 657 and Book 908, Page 836 in the office of the Garfield County Clerk and Recorder. 5. LANDIS CREEK ROAD EASEMENT located in Sections 14, 15, 16, 20, 21, 22, 26 and 27, Township 6 South, Range 88 West, Sixth Principal Meridian as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT 6. CENTERLINE OF ACCESS ROAD located in Sections 28 and 29, Township 6 South, Range 88 West, Sixth Principal Meridian as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 7. 30FT ACCESS EASEMENT located in Section 15, Township 6 South, Range 88 West, Sixth Principal Meridian as described in Book 889, Page 681 in the office of the Garfield County Clerk and Recorder. 8. PIPELINE EASEMENT as described in Book 502, Page 387, Book 502, Page 467 and Book 504, Page 751 in the office of the Garfield County Clerk and Recorder. 9. UTILITY EASEMENTS 1 THROUGH 5 as described in SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 10. BLANKET UTILITY, DRAINAGE, IRRIGATION AND ACCESS EASEMENTS ACROSS OPEN SPACE as described in Plat Note #9 of the SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. 11. BLANKET UTILITY, DRAINAGE AND IRRIGATION EASEMENTS WITHIN PLATTED LOTS THAT LIE OUTSIDE OF THE DESIGNATED BUILDING ENVELOPES as described in Plat Note #10 of the SPRING VALLEY RANCH P.U.D., PHASE 1 - FINAL PLAT. • • • • Master Rules and Regulations MASTER RULES AND REGULATIONS OF • SPRING VALLEY RANCH MASTER ASSOCIATION, INC. • 1. Introduction. It is in the interest, and for the benefit of, all Owners at Spring Valley Ranch P.U.D (the "Project") that Master Rules & Regulations ("Master Rules") be promulgated, adopted and disseminated to all members of the Master Association. Capitalized terms, not otherwise defined herein, shall have the same meanings as assigned to them in the Master Declaration of Covenants, Conditions and Restrictions For Spring Valley Ranch P.U.D. (the "Master Declaration") or if not defined in the Master Declaration, then in the Bylaws or Articles of the Master Association, as applicable. 2. Authorization And Enforcement. (a) Authority. These Master Rules have been developed, adopted, and implemented by the Executive Board through the authority given them under Section 7.3 of the Master Declaration and Section 4.8 of the Bylaws. (b) Professional Management. The Master Association may employ professional management under contract with the Master Association to manage the affairs of the Master Association ("Managing Agent"), together with all related support personnel necessary to conduct the affairs of the Master Association. The Managing Agent reports to the Executive Board. The Executive Board and the Managing Agent are authorized to enforce these Master Rules. 3. Effective Date. These initial Master Rules will be considered as in effect immediately and any modifications, additions, or deletions to these Master Rules will be considered as in effect 14 days after final approval by the Executive Board. Copies of these Master Rules can be obtained through the Managing Agent's office. Copies will be limited to one copy per request. 4. Applicability/Responsibility. These Master Rules apply to all Owners regardless of where they may actually reside and all of Persons who are authorized to reside or otherwise occupy their respective Lots, Wilderness Cabin Interests or Duplexes (collectively, "Permittees"). All Owners are responsible for providing their lessees with a copy of these Master Rules, the Master Declaration, the Bylaws and all other documents governing the Master Association (the "Governing Documents"). Neither the Master Association nor its Executive Board will be responsible for notifying non -Owner Occupants residents, guests, visitors, etc. of these Master Rules. In all cases, Owners will be held responsible for the actions of the Occupants of their Lots and Wilderness Cabin Interests and such Owners' and Occupants' Permittees. 5. Interpretation Of These Master Rules. The interpretation of these Master Rules will be at the sole discretion of the Executive Board and/or its Managing Agent. Their judgment will be the sole criteria as to whether an infraction or violation has occurred. No failure by the Master Association to insist upon the strict performance of any provision of these Master Rules will constitute a waiver of any such provision. No waiver of a breach of these Master Rules shall 10313\111087148. l prevent a subsequent breach from having the full force and effect of a violation or prevent the Master Association from exercising all of the remedies found in these Master Rules. 6. Scope Of These Master Rules. Notwithstanding enumeration of these Master Rules, in all cases, good judgment and respect for the property, safety and welfare of other Owners and resident lessees should — and will — be the general rule expected of all Owners, Occupants and Permittees. 7. Proof Of Ownership/Address Of Record. Every person becoming an Owner shall immediately furnish to the Managing Agent a photocopy of the recorded deed or other instrument vesting legal title to the Lot and Wilderness Cabin Interests with that (those) person(s). Inasmuch as all correspondence with an Owner can only be accomplished if the Master Association and its Managing Agent are aware of the Owner's address, each Owner shall keep the Master Association, through its Managing Agent, apprized of any changes to his or her address where notices and other communications may be sent. 8. Move -In / Move -Out Policy. (a) No Obstruction. Vehicles used in connection with moving shall not obstruct parking areas of the flow of traffic on roads or parking areas. Professional moving companies used for moves must be properly bonded and insured. (b) Damage and Restoration. If, in connection with any move by an Owner or Occupant, damage is done to Common Areas, the applicable Owner shall reimburse the Master Association for all costs of repair and restoration thereof. (c) Clean Up. Moving parties will be responsible for the clean-up of packing materials, litter, debris, etc. left in the any portion of the Common Areas. Boxes and any other material used in the move must be broken-down and disposed of in accordance with trash collection procedures for the Project. Owners will be assessed for any clean-up required as a result of the move. 9. Rentals And Leased Lot And Wilderness Cabin Interests and Duplexes. (a) Copies. Owners who lease their Lot, Duplex and Wilderness Cabin Interests will be required to provide the Managing Agent with a legible copy of the lease agreement. The penalty for failure to provide the Master Association with a legible copy of the lease will be imposed as follows: (i) Written warning informing advising the Owner to provide the required lease by a date certain; (ii) $25.00 fine if the lease is not provided within seven days after the date set forth in the warning; is not provided. 10313/11 0x7148.1 (iii) $50.00 for each seven-day increment thereafter during which lease 2 • • • (b) Contact Information. Owners will be required to provide the Managing Agent with the name(s) of their lessee(s) and a means — preferably a telephone number — that can be used to contact them in cases of emergency. (c) Restrictions. The leasing of Lot, Duplex and Wilderness Cabin Interests are subject to the restrictions and conditions set forth in the Master Declaration. Under no circumstance may Owners or their agents use their Lot and Wilderness Cabin Interests for "'hotel" purposes, or rent their Lot and Wilderness Cabin Interests on a day-to-day or week -to - week basis. 10. Fire Inspections. All Owners will be required to provide access to their Lot and Wilderness Cabin Interests for the purpose of fire inspections mandated by governmental authorities having jurisdiction over the Project. 11. Vehicles And Parking. In addition to the covenants, conditions and restrictions on the parking of motor vehicles set forth in the Master Declaration, the following rules apply to the parking of vehicles. (a) Valid Tags. All vehicles parked anywhere within the Project must have current, valid license tags. In accordance with Colorado State law, out-of-state vehicles must be properly plated within 30 days. (b) Statutory Rights. Notwithstanding the forgoing, the Master Association may not prohibit the parking of a motor vehicle by an Owner if the vehicle is required to be available at designated periods at the Owner's residence as a condition of the Owner's employment and all of the following criteria are met: (a) the vehicle has a gross weight rating of 10,000 pounds or less; (b) the Owner is a bona fide member of a volunteer fire department or is employed by an emergency service provider, as defined in C.R.S. § 29-11-191(1.6); (c) the vehicle bears an official emblem or other visible designation of the emergency service provider; and (d) parking of the vehicle can be accomplished without obstructing emergency access or interfering with the reasonable needs of other Owners to use streets and driveways within the Project. (e) Access. All vehicles shall be parked in such a manner so as to not impede or prevent ready access to others using the parking areas. Neither should vehicles be parked in a manner such that they impede or constrain pedestrian traffic in any garage facility. (d) Towing. Except in those cases of a second infraction or in which a vehicle must be removed immediately, vehicles which are tagged for towing will have 24 hours within which to "cure" the infraction, after which they may be towed. Vehicles that have earlier been tagged, i.e., tagged for previous infractions, may be towed without warning. Neither tagging nor towing will require prior approval by the Executive Board. Both tagging and towing may be enforced by the Managing Agent. The towing of any vehicle will be done at the expense of the owner of the vehicle. The location of vehicles that have been towed may be obtained from the Managing Agent. 12. General Restrictions. 103 1 31111 087 148.1 3 (a) Clean Condition. The home sites within our Project must be kept in a neat and clean condition. No trash, litter, junk, boxes, etc. may be permitted to remain exposed so that it is visible from any neighboring home, the common area or any street. Trash must be disposed of in accordance with the Master Declaration. (b) Landscaping Maintenance. The landscaping of each home site must be maintained in a clean, attractive, and sightly condition and in good repair. All landscaping shall be regularly maintained in a neat and trim manner. Dead or dying trees and plant materials should be removed and replaced as soon as possible. (c) Window Coverings. Appropriate window coverings, including but not limited to curtains, drapes, blinds, shades or temporary coverings shall be installed within 90 days of the purchase of a Lot or Wilderness Cabin Interests. Unacceptable window coverings include but not limited to bed sheets, tarps, burlap, aluminum foil or any other material not specifically designed to act as a window covering. (d) Prohibitions. In addition, the following shall be prohibited: (i) "For Sale" signs or other advertising signs on or about any parked vehicle; (ii) Activity within or without a Lot that violates any local, state or federal laws or regulations; however, the Executive Board shall have no obligation to take enforcement action in the event of a violation; (iii) Pursuing hobbies or other activities that tend to cause an unclean, unhealthy or untidy condition to exist outside of a Lot and Wilderness Cabin Interests; (iv) Any noxious or offensive activity which in the Executive Board's reasonable determination tends to cause embarrassment, discomfort, annoyance or nuisance to persons using the Common Areas or to the Occupants of other Lot, Duplex or Wilderness Cabin Interests; (v) Outside burning of trash, leaves, debris or other materials; (vi) Outside storage of household goods or furniture, lawn maintenance equipment, recreation equipment, vehicles of any type or construction materials; (vii) Using or discharging any firearms firecrackers or other fireworks; provided the Executive Board shall have no obligation to take action to prevent or stop such discharge; (viii) Accumulating rubbish, trash or garbage except between regular garbage pickups, and then only in approved containers; (ix) On-site storage of fuel, except, subject to the terms of the Master Declaration, that a reasonable amount of fuel may be stored on each lot for emergency purposes, for outside cooking (BBQ's) and operation of lawn mowers and similar tools or equipment, and [43131111487148.1 4 • • the Master Association shall be permitted to store fuel for operation of maintenance vehicles, generators and similar equipment; (x) Keeping of flammable, combustible or explosive fluids, chemicals or substances except those required for normal household use. In no case shall flammable, combustible or explosive fluids, chemicals or substances be stored in exterior patios, parking spaces or storage Lot and Wilderness Cabin Interests; (xi) Any activities that materially disturb or destroy the vegetation, landscaping or air quality within the Project or which use excessive amounts of water or which result in unreasonable levels of sound or light pollution; (xii) Outside auto repair work may be conducted within view of other Lot and Wilderness Cabin Interests, parks, open spaces or public rights-of-way or which drain fluids that leave the boundary of the Owners' Lot or otherwise drain into or onto the Common Areas; (xiii) No clothing or household fabrics or other articles may be hung, dried or aired on or around any Lot and Wilderness Cabin Interests or Common Element in a place or manner that is visible from any other Lot and Wilderness Cabin Interests, Common Element or public right-of-way or open space; (xiv) Structures, equipment or other items on the exterior portions of a Lot and Wilderness Cabin Interests which have become rusty, dilapidated or otherwise fallen into disrepair. 13. Use Of The Common Areas. (a) No Obstruction or Unauthorized Use. The Common Areas may neither be obstructed or used by any Owner or Permittee for any purpose other than that for which they are intended. All sidewalks, driveways, entrances and passageways shall not be obstructed or used for any purpose other than ingress and egress. (b) Damage. Owners will he held responsible for any damage to the Common Areas or common personal property caused by the Owner, Occupant or Permittee. (c) No Storage. No Owner or Occupant shall place any article of any kind on or in any of the Common Areas for storage or for any other purpose. (d) Smoking. Smoking is not permitted anywhere in the Common Areas. (e) Use at Own Risk. Owners, Occupants and Permittees shall use the Common Areas with care and solely at their own risk. Owners, Occupants and Permittees expressly assume the risk of using the Common Areas. (f) No Work Authorized. No Owner shall perform any kind of work upon the Common Areas. Such work is the responsibility of the Executive Board. 10313\111087148J 5 (g) Separate Rules. Separate rules and regulations for the use of certain Common Areas, amenities, social, health or recreational facilities may be posted in the area of the Common Area amenity or social, health or recreational facility and such rules and regulations shall have the same force and effect as these Master Rules. 14. Home Business Policy. No office, business and/or commercial structures shall be permitted within the Project except in those areas where such uses are allowed by applicable provisions of the P.U.D. Plan. No business, professional or other non residential or commercial use shall be made of any Lot, or conducted in any residence or Duplex constructed on a Lot, excepting in home businesses or occupations which do not involve (i) employees, (ii) the solicitation or invitation of the general public, or (iii) the servicing of customers, and which activities are conducted entirely within the residence or Duplex side and do not cause any additional traffic or parking within the Projector otherwise create a nuisance for neighboring Lots or the Project. No equipment or materials incident to any business or occupation (whether conducted within the residence or Duplex or elsewhere) shall be kept or stored on any Lot except within the residence, Duplex, garage, barn, or other outbuilding approved by the Design Review Committee. Notwithstanding the foregoing, activities normally associated with the sale by the Declarant or an Owner of an improved or unimproved Lot or a Wilderness Cabin Interest shall be allowed, subject to any limitations contained in the Master Declaration. 15. Pets. (a) Indemnification. Any Owner or tenant who keeps or maintains any pet shall be deemed to have agreed to indemnify the Master Association, each of its Members, the Executive Board, and the Managing Agent, from any loss, claim, or liability of any kind or character whatsoever arising by reason of keeping or maintaining such pet within the Project. (b) No Commercial Purposes. Under no circumstances are pets to be used for commercial purposes. (c) Removal. In those instances in which a pet is determined to have proved to be either vicious, a nuisance or health hazard, the Master Association reserves the right to have such pet permanently removed from the Project. Except in those circumstances in which the health and safety of the residents of the Project is at issue and thus require immediate attention, such action will require majority approval of the Executive Board. (d) Leashing. Dogs are not permitted in or on any of the Common Areas unless controlled by leash. (e) Clean -Up. Pet owners are required to clean up after their pets. (f) Licenses and Tags. All pets are required to wear current license and current immunization tags. (g) Control of Pets. Owners and residents shall take appropriate steps to prevent pets from barking, howling, whining, or making other noises for such a time, or at such a time, so as to disturb a resident's rest or peaceful enjoyment. 10313\111087148A 6 • • • • (h) Liability For Damage. Pet owners shall be held liable for any damage or injury as their pets may inflict or cause. (i) inoculations. Owners agree to comply with current inoculations of pets as required by applicable Department of Health guidelines; and all other applicable governmental laws and regulations pertaining to keeping, maintaining or raising a pet. (j) Pet Doors. Pet doors shall not be permitted to open onto areas where there is no approved or permitted pet run pursuant to the Master Declaration. 16. Littering And Trash Disposal. (a) Prohibition Against Litter. No trash of any kind shall be deposited or left on the Common Areas by any Owner, Occupant or Permittee. (b) Designated Containers. Each Owner shall dispose of the garbage into containers of such dimensions and at such locations as the Master Association shall from time to time designate, and in any event, in accordance with the Master Declaration. (c) Breaking Down of Boxes. Large boxes must be broken down and flattened before they are put out for disposal. (d) Trash Service Provider. If the Master Association establishes, retains or otherwise provides trash removal services within the Project, all Owners shall be obligated to use such trash removal service. (e) Large Materials. Furniture, large appliances, building materials, and large objects of any kind are not to be put out for pick-up by the Master Association's waste removal provider unless otherwise permitted by the Master Association. Owners will have to make arrangements for the removal and disposal of such material. (t) Limitations on Placement of Trash For Pickup. Approved trash containers may be placed next to the street not earlier than 6:00 a.rn. on the designated morning of garbage collection and must be returned to its enclosed structure that same day. Notwithstanding the foregoing, trash or garbage shall not be kept outdoors unless it is within a locked, roofed, "bear proof' enclosure or in a "bear proof" garbage container approved by the Colorado Division of Wildlife. No garbage containers, trash cans or receptacles shall be maintained in an unsanitary or unsightly condition, and except when placed for pickup they shall not be visible from another Lot or Association Property. All such refuse, garbage, trash, plant waste, compost, metal, scrap materials, rubbish and debris shall be promptly removed from the Common Interest Community and shall not be burned thereon. Compost structures and containers may be placed on a Lot or on Association Property in locations and in containers approved by the Design Review Committee, provided that no such structure or container shall be larger than fifty-five (55) gallons. 17. Alcoholic Beverages. Any disturbance caused by the excessive use of or consumption of alcoholic beverages may be reported to the appropriate authorities. The Master Association will not be held responsible or accountable for any action stemming from the use of 103131111087148.1 7 alcoholic beverages consumed anywhere in the Project. Alcoholic beverages of any kind are expressly prohibited at any official meeting of the Master Association. Any attendee at such function who is under the influence of alcohol (such influence to be determined by the presiding official) will be required to leave. 18. Noise, Lights, And Odors. (a) Loud Noise. Owners, tenants, and their guests shall exercise reasonable care to avoid making, or permitting to be made, loud, disturbing, or objectionable noises and shall neither play, nor permit to be played, musical instruments, radios, television sets, or any other device in such a manner as may disturb other residents. Complaints about noise should first be reported to the local authorities and then the Managing Agent. (b) Odors. Owners and Occupants shall not permit, or cause, the emission from any Lot, Duplex and Wilderness Cabin Interests any odor which either noxious or unreasonably offensive to others. (c) Lights. With the sole exception of reasonable holiday seasonal lighting, any exterior lighting will require the written consent of the Executive Board or Architectural Control Committee. Seasonal holiday lighting may be installed only after Thanksgiving and removed before January 31$t of the following year. 19. Signs. (a) Common Areas. Except as otherwise provided in the Master Declarations or the Act, no signage of any kind may be placed on the Common Areas by an Owner. (b) Political Signs. The display of a political sign (as defined by the Act) on an Owner's property or in a window of the Owner's Lot, Duplex or Wilderness Cabin Interest shall be permitted, subject to the following conditions: (i) Such political sign may not be displayed earlier than 45 days before the day of an election, and later than seven days after an election day; and (ii) Such political sign conforms to the size and number requirements for such signage as mandated by the City in which the Lot, Duplex or Wilderness Cabin Interest is located, but in no event shall be larger than 36 inches by 48 inches. (c) Wildlife Mitigation Plan. Attached hereto as Attachment A is the Wildlife Mitigation Plan defined by the Master Declaration. The terms, provisions and restrictions of the Wildlife Mitigation Plan are expressly incorporated into these Master Rules by this reference. Each Owner and Occupant shall be required to comply with each and every restriction, provision and term of the Wildlife Mitigation Plan to the extent the same restrict or require acts of omissions of Owners and Occupants, as if each such restriction, provision and term were set forth in full in the body of these Master Rules. In the event of any inconsistency between the body of these Master Rules and the Wildlife Mitigation Plan, the Wildlife Mitigation Plan shall prevail. 103131I\1087148.1 8 • • 21. Wildfire Mitigation Plan. Attached hereto as Attachment B is the Wildfire Mitigation Plan defined by the Master Declaration. The terms, provisions and restrictions of the Wildfire Mitigation Plan are expressly incorporated into these Master Rules by this reference. Each Owner and Occupant shall be required to comply with each and every restriction, provision and term of the Wildfire Mitigation Plan to the extent the same restrict or require acts of omissions of Owners and Occupants, as if each such restriction, provision and term were set forth in full in the body of these Master Rules. In the event of any inconsistency between the body of these Master Rules and the Wildfire Mitigation Plan, the Wildfire Mitigation Plan shall prevail. 22. Road Maintenance and Repair Plan. Attached hereto as Attachment C is a Road Maintenance and Repair Plan. The terms, provisions and restrictions of the Road Maintenance and Repair Plan are expressly incorporated into these Master Rules by this reference. Each Owner and Occupant shall be required to comply with each and every restriction, provision and term of the Road Maintenance and Repair Plan to the extent the same restrict or require acts of omissions of Owners and Occupants, as if each such restriction, provision and term were set forth in full in the body of these Master Rules. In the event of any inconsistency between the body of these Master Rules and the Road Maintenance and Repair Plan, the Wildfire Mitigation Plan shall prevail. The Landis Creek Metropolitan District No. i may adopt maintenance and repair plans and protocols for roads within and serving the Common Interest Community, in which event such plans and protocols shall supersede the Road Maintenance and Repair Plan attached hereto as Attachment C. 23. Non -Compliance, (a) Issuance Of Warning. Except in those instances in which an infraction of these Master Rules or any of the other Governing Documents would warrant otherwise, Owners will first be given a written warning of an infraction. Such warning will include, at a minimum, the specific infraction and the factual basis of the infraction. Warnings may take the form of either mailing or posting. (b) Curing Non -Compliance. Violators will be provided with reasonable time for curing non-compliance. Inasmuch as the time required to cure non-compliance may vary with the situation, reasonable time will be determined at the sole discretion of the Executive Board. If, at the end of such time, compliance is not undertaken (or if a similar infraction occurs before such time), the Executive Board may impose a penalty as it deems appropriate. (c) Request For Hearing. Any Owner charged with a violation of the Governing Documents is entitled to an opportunity for a hearing. If the Owner desires a hearing, the Owner must proceed as follows: (i) Timing of Reuuest. Within seven (7) days after the notice of the violation has been delivered on the Owner, the Owner must request a hearing in writing, and return it to the Association or its manager. If no request for a hearing is filed within seven (7) days, a hearing will be considered waived, the allegations in the notice of violation delivered upon the Owner shall be deemed admitted by default, and appropriate sanctions shall be imposed 10313\1\1057145. I 9 at a meeting of the Executive Board. The Owner shall be notified by the Association of any such determination. (ii) Timing of Hearing. If a request for a hearing is timely filed, a hearing on the complaint shall be held before the Executive Board. The hearing shall be conducted no later than twenty-one (21) days after receipt of the Request for a Hearing, as determined by the Executive Board. (iii) Hearing Procedures. At the beginning of any such hearing, the presiding officer may introduce the case by describing the alleged violation and the procedure to be followed during the hearing. Each party or designated representative, may, but is not required to, make an opening statement, present evidence and testimony, present witnesses and make a closing statement. The presiding officer shall also impose such other rules and conduct as shall be appropriate under the circumstances. Neither the person making the compliant nor the alleged violator need to be present at the hearing. The Executive Board shall hear and consider arguments, evidence or statements regarding the alleged violation and the results of any investigation the Executive Board has undertaken with respect to the matter. Following a hearing, the Executive Board shall issue its determination in writing regarding the alleged violation. A decision shall be by a majority of the members of the Executive Board present at the hearing. Failure to strictly follow the hearing procedures set forth herein shall not constitute grounds for appeal of the hearing committee's decisions absent a showing of denial of due process. (d) Penalties. (i} Approval For Penalty. The imposition of any fine, forfeiture, or any other form of penalty will require the majority approval of the Executive Board in accordance with the Bylaws. The abrogation or forgiveness of penalties will also require the majority approval of the Executive Board. Forgiveness of a penalty on any one occasion shall not be deemed to be waived of the violation or of any future violation by any Owner or Permittee. may include: (ii) Possible Penalties. Penalties imposed by the Executive Board (1) imposition of fines (see below, "Schedule of Fines"); (2) imposition of a Reimbursement Assessment to reimburse the Master Association for costs of cleanup, repair, or replacement of damages, attorneys fees and costs caused by violations and infractions; (3) court-ordered injunctions; (4) suspension of voting rights and/or the right to use Amenities; (5) any other reasonable and appropriate remedial action as the Executive Board deems necessary, subject to the Master Declaration. 103131111087148.1 10 • • • • • • (iii) Collection Agencies. Collection agencies and attorneys may be employed to collect any monies owed to the Master Association, including any and all costs incurred through the use of a collection agency. (iv) Costs. Any and all additional costs associated with the collection of fines or imposition of other penalties will be passed on to the responsible Owner as a Reimbursement Assessment. (v) No Liability. Neither the Master Association, its Members nor the Managing Agent will be held responsible for any unfavorable credit ratings that may result from any action undertaken to collect monies owed to the Master Association. (e) Schedule Of Fines. In addition to the acts and enforcement mechanisms available to the Executive Board above, if an Owner is found guilty or is deemed to have been found guilty of the violation, the following shall apply. (i) First Offense. Ten days following notification of the violation, the violator will be issued a formal notice of noncompliance ("Notice of Noncompliance"), which specifies commission of a first offense, and a fine of $50.00 plus any and all costs incurred by the Association as a result of the violation. The Notice of Noncompliance will be filed in the Owner's property file for 12 months and the facts of the case given to the Executive Board. (ii) Second Offense. Ten days following notification of violation, a fine of $100.00 plus any and all costs incurred by the Association as a result of the violation will be imposed on the violator by a formal Notice of Noncompliance, which specifies commission of a second offense. The Notice of Noncompliance plus all related documents will be filed in the Owner's property file for 12 months and the facts of the case given to the Executive Board. (iii) Third Offense. Ten days following notification of violation, the violator will be directed by a Notice of Violation, specifying commission of a third offense, to appear before the Executive Board which will determine (1) a monetary fine. not less than $150.00 plus any and all costs incurred by the Association as a result of the violation, appropriate to the circumstances and (2) further penalties. A copy of a formal description of the proceedings will be placed in the Owner's property file for 12 months, and all facts of the incident will be cited in the Minutes of the Executive Board meeting. (iv) Application of Fines. Monies paid to the Master Association will be applied as follows: (I) Earliest Fines. Unless otherwise specified on the check or scheduled Assessment payment coupon, all monies received by the Managing Agent will be applied to the earliest recorded fines, late fees, legal fees, or interest fees, whichever is earliest. Any remaining monies will be applied to the earliest unpaid Assessment. (2) Effect on Current Assessment Obligation. The normal late penalty will be applied in those instances in which fines, late fees, legal fees or interest fees are deducted from the Regular Assessment and the balance is insufficient to cover the current 10313\ 11087148.1 11 scheduled installment of the Regular Assessment. Thus, failure to make sufficient payment to cover fines, late fees, legal fees, interest fees and other past -due balances may have an effect on the current installment of the Regular Assessment. If the remaining monies are insufficient to cover the Regular Assessment, late penalties will continue to accumulate. (f) Responsibility For Payment Of Fines And Other Costs. Owners will be held responsible for the payment of fines and attendant costs which are assessed because of an infraction or violation of the Governing Documents either by themselves and/or their guests. In the case of a leased Lot and Wilderness Cabin Interests, the Owner will be held responsible for the payment of fines and attendant costs that are assessed because of an infraction by his or her lessees and/or guests. In all cases, the Master Association will turn to the Owner for the payment of fines and any other costs attendant upon an assessed penalty. Neither the Master Association, the Executive Board, nor the Managing Agent will be responsible for the "pass-through" collection of fines, etc. (i.e., the direct collection of monies from a non -Owner). (g) Appeal Procedures. (1) Right to Appeal. Upon notification of a penalty, Owners or their designated representative may appeal such penalty. (ii) Procedures. All appeals must be in writing and include a brief statement as to the basis of the appeal. Appeals can be either mailed or hand delivered to any member of the Executive Board or the Managing Agent. Appeals must be made available to the Executive Board prior to the next regularly scheduled meeting of the Executive Board. (iii) Timing of Appeal. The deadline for filing an appeal will be ten calendar days prior to the time of the next regularly scheduled meeting of the Executive Board. Should the Owner fail to fife an appeal as prescribed above, the facts surrounding the issue will be taken to be true as presented and any penalty imposed will remain in effect. 24. Amendment. These Master Rules may be amended from time to time by the Executive Board. Proposed amendments shall be provided to the Owners at the regularly scheduled meeting of the Master Association. At such meeting, there will be a reading of the proposed amendment. Owners may then submit written comments regarding the proposed amendments to either the Executive Board or the Managing Agent for consideration by the Executive Board. Amendments may be incorporated into these Master Rules at the next regularly scheduled meeting of the Master Association, at which time there will be a reading of the proposed amendments. Copies of any amendment to these Master Rules will be distributed promptly to all members of the Master Association prior to the date when these Master Rules shall become effective. 25. Miscellaneous. (a) Documents and Records. All Master Association records and documents, including budgets, financial statements, minutes, and Governing Documents, are kept at the management company's office and are available for inspection by Owners, as set forth in the Bylaws and the Colorado Nonprofit Corporations Act, during normal business hours. 10313\1\1087148.1 12 Copies are available for a charge equal to the Master Association's actual cost of making such • copies. • • (b) Severable Provisions. The provisions of these Master Rules shall be deemed to be independent and severable, and the invalidity of any one or more of the provisions hereof, or any portion thereof, by judgment or decree of any court of competent jurisdiction, shall in no way affect the validity or enforceability of the remaining provisions, which provisions shall remain in full force and effect. (c) Supplement To Master Declaration. These Master Rules shall be supplemental to and in addition to the covenants, conditions, restrictions and rules contained in the Master Declaration. In the event of any inconsistency between these Master Rules and the Master Declaration, the Master Declaration shall control. 10313\1\1087148.1 13 IN WITNESS WHEREOF, the undersigned, being the initial Directors, have approved and executed these Master Rules and Regulations as of the day of , 2007. 14313\111087148.1 By: By: By: 14 , Board Member , Board Member , Board Member • • ATTACHMENT A WILDLIFE MITIGATION PLAN SPRING VALLEY RANCH PLANNED UNIT DEVELOPMENT TO BE INCORPORATED BY REFERENCE INTO THE MASTER DECLARATION OF CONVENANTS, CONDITIONS, AND RESTRICTIONS THE SPRING VALLEY RANCH PLANNED UNIT DEVELOPMENT This Wildlife Mitigation Plan is developed to avoid, minimize, and compensate for impacts to wildlife resulting from residential and recreational development within the Spring Valley Ranch P.U.D. All definitions and terms used herein shall have their common and ordinary meaning and as defined in said Master Declaration of Covenants, Conditions and Restrictions for the Spring Valley Ranch P.U.D. Notwithstanding the foregoing, in no event shall the Annexable Property or any portion thereof be burdened or benefited by or otherwise subject'to any of the terms or provisions of this Wildlife Mitigation Plan until such property has been annexed to the Common Interest Community, at Declarant's sole option and discretion, and expressly subjected to the terms and provisions hereof (and any amendments hereof affecting the annexed property as may be contained in the Supplemental Declaration therefore), all as more particularly provided herein. The HOA will have the responsibility and authority for enforcing this plan within the entire • residential PUD and the owner/operator of the golf course will have the responsibility and authority for enforcing this plan with respect to the golf course parcels. In some instances, the HOA or owner/operator of the golf course may contract with third parties for performing or enforcing specific responsibilities and commitments. The Covenants, Conditions and Restrictions for the Spring Valley Ranch P.U.D. reference this Wildlife Mitigation Plan, and this Plan is incorporated into and made a part of such Covenants, Conditions and Restrictions. 1. MITIGATION RELATIVE TO DEER AND ELK PRODUCTION AREAS AND ADJACENT HABITAT The mosaic of aspen, conifers, and meadows in portions of the higher elevations of the site is production (fawning and calving) habitat for mule deer and American elk. This habitat is connected to and part of similar habitats located on private and pubic lands adjacent to the site. 1.1 Ranch Lots The development plan for Spring Valley Ranch includes only low-density (approximately 16- to 56 -acre) ranch lots within the higher elevation areas. Large lots in these areas have the effect of minimizing habitat loss and human disturbance and allowing for continued wildlife movement. The proposed plan has used clustering of building envelopes close to roadways (except where constrained by topography and geology) to further reduce habitat loss, habitat fragmentation, and human disturbance. In addition to these aspects of project design, the following restrictions shall apply to the ranch lots: • 103131!11087148.1 15 Building Envelopes - Potential building envelopes range from approximately 1 to 3 acres in size (average = 1.25 acres) for each ranch lot. The house, patio, deck, lawn, kennel, out -buildings, or other amenities and facilities associated with the residence must be confined to this area. No disturbance will be permitted on any lot outside the approved building envelope, consistent with the conservation easement placed thereon. Landscaped Areas - Lawns and associated landscaping will be confined to the building envelopes. Irrigation will be limited to no more than 4,000 square feet per lot and only within building envelopes. Fences - Perimeter fences around lots will not be permitted. Privacy fences or walls attached to a residence may enclose a maximum area of 4,500 square feet of patio, lawn, or similar areas. Wildlife -proof fences are permitted to protect small garden plots, which must be confined to the building envelopes. Existing internal barbed wire fences used in the current ranching operation will be removed. Fenced Horse Enclosures - The primary equestrian facilities will be located at the equestrian center and meadow ranch lots. Limited equestrian opportunities will exist among the ranch lots. These lots may have fenced enclosures up to 3,000 square feet in size to allow for a corral within the building envelope. Horses or other livestock will not be maintained outside these fenced enclosures. Retention of Existing Native Vegetation - Areas of lots outside the building envelopes must be retained in the existing native vegetation, consistent with the conservation easement placed thereon. Seasonal Closures of Trails - The only trail proposed near the deer/elk production habitat is an equestrian/pedestrian path that loops through the northern and eastern portions of the site. This trail will be closed to bicycle and equestrian use during the deer fawning and elk calving season (May 1 to June 30). Wetland Habitats and Riparian Corridors - These sources of water and lush forage can be important to deer and elk during the fawning/calving season. Impacts on wetlands will be negligible, if any. No improvements will be constructed in areas identified as wetlands unless permitted by the U.S. Army Corps of Engineers. Except to the extent expressly approved in the development plan for the project or shown on applicable plats, no improvements will be constructed within 75 feet of the high water mark of identified riparian corridors. Weed Control - The resident of each ranch lot will be responsible for maintaining healthy vegetation free of infestations of noxious weeds. The HOA will inspect ranch lots periodically and will notify the resident of any lot with a noxious weed infestation that corrective measures must be taken. If the weed infestation is not corrected within 10 days, the HOA may contract for the corrective work to be performed by a third party. Dogs and Cats - As required by Garfield County, each ranch lot resident will be permitted to have up to one dog, plus offspring up to 3 months old. The same restriction will apply to cats. Residents will be prohibited from harboring dogs or cats on their lots unless they have adequate, fenced outdoor facilities or unless the animals are maintained indoors at all times. Outdoor facilities must be located within the building envelopes and must not exceed 500 square feet. At no time will pets be allowed to run at -large. When outdoors and not within a fenced enclosure, pets must be kept on a leash no more than 12 feet long, except for dogs undergoing 10313\111087148.1 16 • • • • obedience training. Contractors, subcontractors, and golf visitors will not be allowed to bring pets onsite. Guests of residents may bring pets onsite, but subject to the same restrictions as apply to residents. The HOA will enforce dog restrictions and levy fines for violations as provided in this plan. Any security company contracted by the HOA shall have the authority to enforce these regulations. 2. MITIGATION RELATIVE TO DEER AND ELK WINTER RANGE AND ADJACENT HABITAT Mountain brush habitats on southwest -facing slopes at middle and lower elevations of the site are deer and elk winter range. This habitat is connected to and a part of similar habitats located on private and pubic lands adjacent to the site. The development plan has addressed this issue by locating golf courses within existing pastures; by not placing lots on the lowest -elevation, southwest -facing shrubland that parallels County Road 115; and by preserving movement corridors within and to/from the winter range. 2.1 Estate Lots The estate lots and associated roadways have been laid out with building envelopes at the front of lots (near roads) to allow the back portions to remain as native vegetation. In addition to this aspect of project design, the following restrictions shall apply to the ranch lots: Building Envelopes - Potential building envelopes range from 0.5 to 1.8 acres (average = 0.7 acres) for each estate lot. The house, patio/deck, and other outdoor appurtenances or improvements must be confined to this area. Landscaped Areas - Lawns and associated landscaping will be confined within the building envelopes. Irrigation will be limited to no more than 4,000 square feet on each lot and only within building envelopes. Fences - Perimeter fences will not be permitted around estate lots. Privacy fences or walls must be attached to the residence and will enclose a maximum of 3,500 square feet of patio, lawn, and similar areas. Wildlife -proof fences are permitted to protect small garden plots, which also are confined to the building envelopes. Retention of Existing Native Vegetation - Areas of lots outside building envelopes must be retained in the existing native vegetation subject to the location of driveways, utilities, and associated improvements. Weed Control - The resident of each estate lot will be responsible for maintaining healthy vegetation free of infestations of noxious weeds. The HOA will inspect the estate lots periodically and will notify the resident of any lot with a noxious weed infestation that corrective measures must be taken. If the weed infestation is not corrected within 10 days, the HOA may contract for the corrective work to be performed by a third party. Dogs and Cats - The same restrictions pertaining to dogs and cats will apply as described above for ranch lots. The HOA will enforce dog restrictions and levy fines for violations as provided in this plan. Horses - No horses or other livestock will be permitted within estate lots. 2.2 Golf Lots 1031311\1087148.1 17 Because of their smaller size, development of the golf lots will result in substantially less retention and greater fragmentation of existing vegetation than the ranch lots or estate lots. Nonetheless, the following mitigation measures are important for minimizing impacts: Landscaped Areas - Lawns and associated landscaping will be confined to the building areas. Irrigation will be limited to no more than 3,000 square feet per lot. Native Vegetation - All non -landscaped and undeveloped areas of each lot will be kept in the existing native vegetation. Fences - Perimeter fences will not be permitted around golf lots. Privacy fences or walls must be attached to the residence and will enclose a maximum of 2,500 square feet of patio, lawn, and similar areas. Fences are also permitted around small garden plots. Weed Control - The resident of each golf lot will be responsible for maintaining healthy vegetation free of infestations of noxious weeds. The HOA will inspect the golf lots periodically and will notify the resident of any lot with a noxious weed infestation that corrective measures must be taken. If the weed infestation is not corrected within 10 days, the HOA may contract for the corrective work to be performed by a third party. Dogs and Cats - The same restrictions pertaining to dogs will apply as described above for ranch and estate lots. The HOA will enforce dog restrictions and levy fines for violations as provided in this plan. Horses - No horses or other livestock will be permitted within golf lots. 2.3 Golf Courses The golf courses are to be located primarily in areas that currently consist of non-native pasture or small -grain fields. However, some areas of native vegetation/winter range will be affected, and the following mitigation measures will therefore be implemented: Retention of Native Vegetation - Golf course construction will minimize loss of existing shrubs, trees, and herbaceous plants (grasses and fortis) in areas to serve as buffers. Adjacent areas of native vegetation will be protected by silt fencing during construction to avoid inadvertent damage from operation of equipment. Native Landscaping - Areas of agricultural land to be converted to buffers will be planted with native trees, shrubs, and herbaceous plants selected on the basis of potential value to wildlife, including species that are used by deer or elk as winter browse or early spring forage, or that produce fruits consumed by wildlife. Fences - Any fences around the golf courses will utilize a wildlife -friendly design. Wildlife - proof fences are permitted to protect tees and greens. Dogs and Cats - The same restrictions apply as described above for residential areas. Horses - No horses or other livestock will be permitted on the golf course, except for equestrian use of a designated trail. 10313\1\1087148.1 18 • • 2.4 Winter Trail Closures The proposed dirt path southwest of some estate lots contiguous with the golf lots and golf course area, adjacent to the open space northeast of County Road 115 and parallel to such road is located within winter range. Therefore, this trail will be closed from December 1 through March 31 to minimize disturbance of wildlife. The proposed bicycle lane around the golf course does not traverse winter habitat and may be maintained in winter as a packed cross-country ski and snowshoe trail. This trail will be closed to human use from sunset to sunrise to minimize disturbance of wildlife. 3. MITIGATION RELATIVE TO TRAVEL CORRIDORS Maintaining travel corridors is important to allow access by wildlife to suitable habitats and to accommodate daily or seasonal movement patterns. The development plan preserves the important upper Landis Creek corridor and provides additional wildlife travel routes between daily and seasonal use areas. The following provisions are designed to ensure that important wildlife movement patterns are maintained: Preservation of Upper Landis Creek Corridor - The Landis Creek corridor has been identified as an important travel route for wildlife because it provides a relatively gentle gradient through otherwise steep terrain and connects the highest and lowest elevations of the site. The upper portion of Landis Creek - i.e., upstream from the historic agricultural diversion point - is especially important because the persistent surface flows provide water, cover, and lush forage and support plant and wildlife species not otherwise present onsite. Mitigation measures relative to the Landis Creek corridor include the following: • The proposed Landis Creek trail will follow the existing ranch road. • Trail use will be restricted during the late spring fawning/calving season from May 1 to June 30. This restriction will also minimize potential disturbance of nesting by raptors or neotropical migrant songbirds along the creek. • The Landis Creek trail above the portion to be used as a road access to the site will be closed to motorized vehicles throughout the year, except for continued access to the existing seasonal home within an in -holding that is not a part of the project. Provision for Travel Routes through Golf and Estate Lots - The following mitigation measures are intended to ensure continued wildlife movement between native habitats uphill and downhill from the golf courses: • Three travel corridors shown on the proposed development plan will be preserved to allow access through the row of golf lots northeast of the golf course. One of these is near a clump of trees that offers thermal and hiding cover for wildlife. Two additional corridors through the golf lots are located at the mouths of minor drainages that are expected to receive preferential use by wildlife. • Travel corridors will also be preserved along the minor drainages through estate lots southwest of the golf course, as shown on the proposed development plan 10313\1\1087148.1 19 Preservation of Northwestern Portion of Property - An area in the northwestern portion of the property will be preserved in its existing condition to facilitate' wildlife movement and habitat preservation adjacent to neighboring public lands. 4. MITIGATION RELATIVE TO GENERAL WILDLIFE ISSUES 4.1 HOA Conservation Easement In the Covenants, Conditions and Restrictions, a conservation easement is placed on portions of individual ranch lots that are outside of the building envelopes. The easement will run to the benefit of the HOA, which will have responsibility for enforcing the easement in accordance with its terms and its authority as set forth in the Master Declaration of Covenants, Conditions and Restrictions for Chenoa. The primary purpose of the conservation easement will be to preserve and enhance the wildlife habitat in the easement areas. It is understood that only defined improvements such as utilities, driveways, trails, and associated facilities will be allowed between the building envelopes and the primary access roads of the project. These easement lands will be managed and administered similar to those areas designated as dedicated open space through the use of the wildlife fund created herein. 4.2 Open Space and Wildlife Movement Corridors The HOA will be responsible for administering and managing the dedicated open spaces in the project for the preservation and enhancement of wildlife habitat and wildlife movement through the use of the wildlife fund created herein. The HOA will also work with the wildlife fund to restore and maintain the wildlife habitat in the dedicated open spaces. The HOA will also be responsible for the enforcement of the restrictions and uses of the open spaces. 4.3 Wildlife Mitigation Fund Notwithstanding design features and mitigation measures developed to avoid or minimize the potential for adverse impacts on wildlife, some adverse impacts are an inevitable consequence of a change in land use from agricultural to residential/recreational. Therefore, the Covenants, Conditions and Restrictions provide for a real-estate transfer fee in the amount of 0.2 percent of the purchase price for deposit into the Spring Valley Wildlife Trust. The HOA shall establish and manage the Spring Valley Wildlife Trust. The priority for expenditure of mitigation fund monies will be as follows: first, within undeveloped portions of the PUD; second, on public land adjacent to the PUD; and third, on public land or private land elsewhere within Garfield County. Decisions as to the type and location of mitigation fund expenditures will be made by a management committee comprising of a representative of the HOA, a representative of CDOW, and a representative of Garfield County. 4.4 Fencing Fencing will be restricted throughout the Spring Valley Ranch properties, as described above, to facilitate wildlife movement, optimize habitat availability, and reduce wildlife mortality. Some fencing attached to the residence is permitted for privacy, and in specific instances some is permitted for the containment of horses. In both of these cases, however, the fences and fenced 10313\1\1087148.1 20 • • • areas must be wholly confined to the building envelope. Approval of fencing location and design will be under the purview of the HOA Design Review Board and subject to provisions of this Wildlife Mitigation Plan. If fencing is required to prevent domestic livestock from entering the site from adjacent properties, lot owners andlor the HOA will install a three -strand fence in accordance with CDOW guidelines (i.e., with strands at 18, 30, and 42 inches above the mean ground level) and Colorado law. 4.5 Bears and Mountain Lions, Trash Removal, and Nuisance Wildlife The Spring Valley Ranch PUD contains some quality black bear habitat and potential mountain lion habitat. Problems generally arise when predators find a source of food that entices them and emboldens them relative to encounters with people and their residences. When this happens and wildlife authorities are notified, the predators may be killed to protect human safety. In order to minimize or eliminate such encounters, the following measures shall be implemented: • Trash may not be kept outdoors, unless within a locked, roofed "bear -proof enclosure or in a "bear -proof trash can approved by CDOW. • No dumps or disposal areas for trash will be permitted within the development. Residents may not place edible refuse ("food scraps") in compost piles. • Pet food may not be kept outdoors overnight. Bird feeders may not be kept outdoors overnight except during the bear hibernation season. This specifically prohibits keeping of hummingbird feeders outdoors overnight in summer. • With the exception of bird feeders, the feeding, baiting, salting, or other means of attracting wildlife to individual yards or development facilities will be prohibited. • Restrictions against keeping dogs outdoors overnight unless within a fenced and roofed enclosure also apply to cats. • Residents will be provided with the CDOW pamphlets such as those titled "Living with Wildlife in Bear Country" and "Living with Wildlife in Mountain Lion Country" together with other educational materials regarding wildlife and a copy of this Plan. Most of the provisions listed above for minimizing problems with bears and mountain lions will have the same benefits relative to other wildlife such as skunks and raccoons. 4.6 Active Raptor Nests Prior to initiation of construction, a qualified biologist will be retained by Spring Valley to conduct a raptor nesting survey. If an active raptor nest is located, heavy outdoor construction (e.g., earth -moving and exterior house construction) will be prohibited within a radius of either 300 feet (if in a conifer) or 400 feet (if in an aspen or cottonwood) until the young have fledged or the nest naturally fails. A typical fledging date for the area is July 1. 4.7 Wetlands and Riparian Areas 143131111087148,1 21 These habitats provide an accessible and predictable source of water, sustain a variety of plants, not otherwise found in the area, and support some of the most important, intensive, and sensitive wildlife uses. After cessation of grazing by livestock, both the Landis Creek riparian corridor and a variety of wetland areas onsite will gradually improve as woody species and/or lush herbaceous plants increase in abundance. Measures to protect wetland and riparian habitats will include the following: Livestock will not be allowed within the PUD, except for horses in specified areas and, potentially, cattle in lower pastures south of the county road. • Plowing and storing of snow will not be permitted to encroach into any wetland or riparian area, except on bridges across such areas. • Except to the extent expressly approved in the development plan for the project or shown on applicable plats, no development will occur within 75 feet of high water mark of the riparian portions of Landis Creek. • Any bridge construction work that may impact streams will be restricted to the period from July 15 to October 15, when flows are normally lowest. Best management practices will be used to minimize the discharge of silts, sediments, herbicides, and insecticides into streams or wetlands from roadways, the golf courses, and construction projects. ▪ Through the use of the wildlife fund. Spring Valley proposes to protect a portion of wetlands within the lower pastures south of the county road from grazing and to enhance existing wetland vegetation. Specific areas to be protected will be identified. 4.8 Waiver and Release of CDOW against Wildlife Damage Spring Valley, for itself and its successors and assigns, hereby waives and releases any and all future claims in regard to wildlife damage within the PUD against CDOW. 4.9 Golf Course and Open Space Management All persons within the PUD are prohibited from chasing, scaring, frightening, disturbing, or otherwise harassing wildlife as a part of efforts to force wildlife off golf courses and open space areas during the winter feeding and spring/summer production seasons. The owner/operator of the golf course has the right to locally restrict wildlife from golf course tees, greens, landscaping clumps, and other sensitive areas by using temporary fencing and other passive means. Any fencing erected will not restrict free movement of wildlife but will be used only in small, isolated areas to help direct wildlife and/or people. The Best Management Practices (BMP) Plan for the golf course will be implemented to apply the proper procedures for the application of fertilizers, herbicides, insecticides, and any other chemicals. Drainage has been designed to ensure that water quality measures are in place to prevent adverse impacts to streams, riparian corridors, ponds, wetlands, or other sensitive areas. 10313\1\1087148.1 22 • • • Disturbed ground caused by road construction will be reclaimed using vegetation that is not palatable to large mammals. • • 4.10 Educating Residents Homeowners moving to Spring Valley Ranch will do so partly because of the natural setting and the wildlife it contains. Many homeowners will be unfamiliar with the wildlife of Colorado and its mountains and the responsibility that goes with living in this setting. Homeowners generally do not want to disturb, harass, or impact wildlife, but they may unknowingly do so. Spring Valley, with the assistance of its wildlife consultant and the CDOW, will develop educational materials to inform residents about the local wildlife community, the planning that went into the design of the PUD to accommodate future needs of wildlife, and the steps that the residents should take to ensure that current types of wildlife use continue during and following development. Such materials will include those specifically referenced in Section 4.5. Educational information will also address the issue of increased wildlife mortality, damage to personal property, and possible injury to motorists associated with wildlife- vehicle collisions. Vehicle speeds on roads within Spring Valley Ranch will be slow enough to avoid killing most wildlife that may be crossing roads. Obeying posted speed limits will not only reduce wildlife mortality but also reduce the risk of damage to personal property and injury to motorists. A resident, for the purpose of this Wildlife Mitigation Plan and future restrictive covenants, means any person residing in the Spring Valley Ranch PUD, whether an actual owner, renter, lessee, tenant, or guest. 4.11 Enforcement of Provisions The authority to enforce the terms of this plan is granted to the HOA. The HOA will also authorize any security company contracted for purpose of enforcement to enforce the terms of this plan. In the event of a violation of this Plan by an owner within the Spring Valley Ranch PUD, the following procedures will be taken by the HOA to enforce the terms of the plan: • The owner violating the Plan will first receive a written warning of the violation. • If a second offense of the same type is caused by an owner, or if the first violation is not corrected within 3 days after receiving notice (except for 15 days in the event of a major action, such as weed control or fence repair), a fine of $250 will be assessed. • Upon the occurrence of a third offense of the same type or the continuation of a violation in excess of 10 calendar days after assessment of the first fine, a second fine of $500 will be assessed. • Upon the occurrence of a fourth offense of the same type or the continuation of a violation in excess of 10 days after assessment of the second fine, a third fine of $1,000 will be assessed. Thereafter, the HOA may take such action as is reasonably necessary to cause the violation to cease, including entry on the property of the owner to undertake a corrective measure. 10313\111087148.1 23 • Each homeowner and resident will be required to sign an acknowledgment that he/she has received and reviewed a copy of the restrictive covenants for the PUD and this Plan and will waive any claim against the HOA for entry on the property to correct a measure if not remedied by the resident after notice has been provided as set forth herein except in the event of gross negligence by the HOA or any third party retained by the HOA to undertake the corrective measure. All fines collected shall be deposited in the wildlife fund. IN WITNESS WHEREOF, Declarant has executed this Wildlife Mitigation Plan as of the day and year first above written. 103131111087148.1 Spring Valley Holdings, LLC, a Delaware Limited Liability Company By: Its: 24 • • • • • STATE OF COUNTY OF ) ) ss. The foregoing Wildlife Mitigation Plan was acknowledged before me this day of by _ as of Spring Valley Holdings, LLC, a Delaware Limited Liability Company, Declarant. WITNESS my hand and official seal. My commission expires: (SEAL) 10313\111087148 I Notary Public 25 • • • ATTACHMENT B WILDFIRE MITIGATION PLAN SPRING VALLEY RANCH PLANNED UNIT DEVELOPMENT TO BE INCORPORATED BY REFERENCE INTO THE MASTER DECLARATION OF CONVENANTS, CONDITIONS, AND RESTRICTIONS THE SPRING VALLEY RANCH PLANNED UNIT DEVELOPMENT This Wildfire Mitigation Plan is developed to avoid, minimize, and compensate for impacts to wildlife resulting from residential and recreational development within the Spring Valley Ranch P.U.D. All definitions and terms used herein shall have their common and ordinary meaning and as defined in said Master Declaration of Covenants, Conditions and Restrictions for the Spring Valley Ranch P.U.D. Notwithstanding the foregoing, in no event shall the Annexable Property or any portion thereof be burdened or benefited by or otherwise subject to any of the terms or provisions of this Wildfire Mitigation Plan until such property has been annexed to the Common Interest Community, at Declarant's sole option and discretion, and expressly subjected to the terms and provisions hereof (and any amendments hereof affecting the annexed property as may be contained in the Supplemental Declaration therefore), all as more particularly provided herein. The HOA will have the responsibility and authority for enforcing this plan within the entire residential PUD and the owner/operator of the golf course will have the responsibility and authority for enforcing this plan with respect to the golf course parcels. In some instances, the HOA or owner/operator of the golf course may contract with third parties for performing or enforcing specific responsibilities and commitments. The Covenants, Conditions and Restrictions for the Spring Valley Ranch P.U.D. reference this Wildfire Mitigation Plan, and this Plan is incorporated into and made a part of such Covenants, Conditions and Restrictions. TABLE OF CONTENTS SECTION PAGE I GENERAL INFORMATION 4 1.1 LOCATION 4 1.2 SIZE/DESCRIPTION 4 II. WILDFIRE HAZARD MITIGATION PLAN 4 III. STATEMENT OF PURPOSE 5 IV. SCOPE 5 V. WILDFIRE HAZARD ANALYSIS 5 VI. WILDFIRE HAZARD MITIGATION 6 6.1 ACCESS 6 A. DEFINITIONS 6 B. DRIVEWAY GUIDELINES 7 C. ROADWAY GUIDELINES 7 D. CUL-DE-SAC GUIDELINES E. TURNAROUND GUIDELINES F. INTERSECTION GUIDELINES G. HAMMERHEAD GUIDELINES 8 8 6.2 WATER SUPPLY 8 6.3 BUILDING LOCATION/PLACEMENT 10 6.4 BUILDING DESIGN AND MATERIALS 10 6.5 VEGETATION MANAGEMENT 11 A. DEFENSIBLE SPACE 11 B. FUELBREAKS 12 2 • • • C. FIREBREAES 13 D. SAFETY ZONES 13 E. MODIFICATION 14 F. MAINTENANCE 14 G. ENFORCEMENT 15 6.6 UTILITIES 15 6.7 SPARE ARRESTORS 15 6.8 LIQUIFIED PETROLEUM GAS 15 6.9 IGNITION SOURCES 15 6.10 COMBUSTIBLE MATERIALS STORAGE 15 6.11 COMPLIANCE ALTERNATIVES/ENFORCEMENT 16 6.12 HAZARD EVALUATION 16 6.13 RESPONSE PLAN 16 6.14 EVACUATION PLAN 16 6.15 MISCELLANEOUS 16 ATTACHMENTS: - List of Guidelines - SVRMD Open Burning Restrictions - Wildfire Hazard Analysis - Maps - Water - Roads & Driveways Fire Station - Colorado State Forest Service Wildfire Area Hazard Map (WHAM) - Details - Hammerhead - Intersection - 60' Radius Turnaround -- 45' Radius Turnaround 3 • I. GENERAL INFORMATION A. LOCATION: • The Spring Valley Ranch (SVR) Planned Unit Development (PUD) is located in Garfield County in the Roaring Fork Valley on the western end of Missouri Heights near the towns of Carbondale and Glenwood Springs, Colorado. The property lies approximately ten miles Southeast of the town of Glenwood Springs and ten miles North of the town of Carbondale. Primary access is via Interstate 70, State Highway 82 and Garfield County Road 114. B. SIZE%.DESCRIPTION: The project consists of 5,948 privately owned, southwest facing acres divided into three distinct areas encompassing 2 golf courses, an equestrian center and 577 residential units. The first area consists of approximately 600 agricultural acres on the valley floor at an elevation of 6900' with minimal development planned. The second area is a plateau approximately 400 vertical feet above the valley floor and is characterized by gently rolling terrain with gladed pastures and benches intermixed with stands of oakbrush, sagebrush and aspen trees. The majority of the development density including the 2 golf courses is located in this area. The third and uppermost. area, located in the northern portion of the site is forested with Aspen, conifers and interspersed with alpine meadows and ponds. Less dense, "Ranch Lot" development is planned for this area. The three areas are separated by relatively steep slopes vegetated with oak and sage brush at the lower elevations and aspens and conifers in the higher elevations. II. WILDFIRE HAZARD MITIGATION PLAN: The SVR Wildfire Hazard Mitigation Plan and companion Wildfire Hazard Analysis, provides information and direction for the voters, taxpayers and Board Of Directors of the SVR Metropolitan District (SVRMD) as well as other interested parties, as t© the nature, type and amount of wildfire hazard associated with the SVR, as well as the means by which the hazard may be mitigated. This plan is part of and an essential component to the SVR Metropolitan District Service Plan. 4 This document provides a level of detail sufficient to demonstrate the relationship and continuity between the severity of the wildfire hazard and the specific measures necessary to appropriately mitigate the hazard. In this way, the voters, taxpayers and elected officials are provided with the necessary and required information integral to identifying and implementing the essential measures needed to appropriately mitigate the wildfire hazard associated with the SVR PUD. The Colorado Revised Statutes (CRS) assigns the statutory responsibility for wildfire suppression to the county Sheriff. The Garfield County Sheriff has the statutory/ jurisdictional responsibility for wildfire suppression but has limited functional capability. By and through the approval of this Wildfire Hazard Mitigation Plan, the Sheriff acknowledges that the functional capability for the implementation of the measures outlined in the Wildfire Hazard Mitigation Plan as well as the SVRMD Service Plan will be the responsibility of and performed by the SVRMD and that SVRMD wishes to assume functional responsibility for the provision of these services. This relationship will be formally documented in an Intergovernmental Agreement between the SVRMD and the Garfield County Sheriff. III. STATEMENT OF PURPOSE: The purpose of the SVRMD Wildfire Hazard Mitigation Plan is to set forth the guidelines to provide appropriate, meaningful, cost effective wildfire hazard mitigation and vegetation management measures for the protection of life and property to residents and visitors of the SVR PUD. IV. SCOPE: The scope of this plan shall encompass wildfire hazard mitigation and vegetation management measures within the geographic boundaries of the SVRMD. This does not preclude the SVRMD Board Of Directors from entering into Intergovernmental Agreements with other agencies or entities for the provision of wildfire hazard mitigation measures outside the boundaries of the SVRMD. V. WILDFIRE HAZARD ANALYSIS: The analysis of the wildfire hazard associated with the SVR PUD is contained in the attached SVR Wildfire Hazard Analysis which is an essential component of the Wildfire Hazard Mitigation Plan. • VI. WILDFIRE HAZARD MITIGATION: Based on the analysis of the wildfire hazard associated with the SVR PUD area, through the combination, aggregation and implementation All the following wildfire hazard mitigation measures, the wildfire hazards associated with the SVR PUD may be appropriately mitigated. These measures are based upon the expected case scenario analysis as outlined in the Hazard Analysis. Given a worst case scenario of wildfire behavior, these measures may not be adequate to prevent or minimize the loss of life and/or property. NOTE: IT Is ANTICIPATED THAT THERE WILL BE AREAS WITHIN THE SVR PUD, WHERE DUE TO A VARIETY OF PHYSICAL CONSTRAINTS ASSOCIATED WITH THE PROPERTY, NOT ALL OF THE GUIDELINES CAN BE MET IN ALL CIRCUMSTANCES. AN APPROPRIATE COMBINATION OF MITIGATION ALTERNATIVES FOR THESE SPECIFIC AREAS WILL BE DETERMINED ON A SITE SPECIFIC BASIS BY THE APPROPRIATE REVIEW AGENCIES AND APPROVED BY THE FIRE CHIEF). 6.1 ACCESS: (ref. attached Fire and EMS Service Map) Roads and Driveways shall be constructed in accordance with the following guidelines as depicted on the attached Fire and EMS Service Map and following details: A. ROAD & DRIVEWAY DEFINITIONS: APPROVED: Approve by the Fire Chief. DRIVEWAY: • A means of vehicular access from a roadway serving not greater than one lot. SHARED DRIVEWAY: A means of vehicular access from a roadway serving not greater than three lots. ROADWAY: A means of vehicular access serving more than three lots. DEAD END: Roadway greater than 150' in length without an approved turnaround @ the end. CUL-DE-SAC: Roadway with an approved turnaround @ the end. 6 • • • B. DRIVEWAY GUIDELINES: 1. All residences shall be served by a driveway. 2. Driveways shall serve no more than 3 lots. 3. Driveways serving single lots shall have not less than 16' wide all weather driving surface. 4. Shared driveways serving 2 to 3 lots shall have not less than 24' wide all weather driving surface. 5. Driveways shall have not less than 15' vertical clearance. 6. Driveways shall have not greater than 10% grade. 7. Driveway curve radius shall not be less than 50' at centerline. 8. Driveways greater than 150' in length shall have an approved turnaround or hammerhead at the end. 9. Turnarounds/hammerheads at the end of driveways shall be within 50' of the structure. 10. Turnarounds shall meet "Turnaround Guidelines." 11 Hammerheads shall meet "Hammerhead Guidelines." 12. Driveway/roadway intersections shall meet "Intersection Guidelines." 13. Fuelbreak vegetation management shall be incorporated into driveways in accordance with Section 6.5 of this plan. C. ROADWAY GUIDELINES: 1. Roadway specifications shall apply if roadway serves greater than 3 lots. 2. Roadways shall have not less than 24' wide all weather driving surface (does not include shoulders). 3. Roadways shall have not less than 4' wide all weather drivable surface shoulders on each side. 4. Roadways shall have not less than 15' vertical clearance. 5. Roadways shall have not greater than 10% grade. 6. Roadway curve radius shall not be less than 65' at center line. 7. Dead end roadways greater than 150' in length shall have an approved turnaround at the end. 8. Dead-end roadways greater than 600' shall meet "Cul -de -Sac Guidelines." 7 9. Roadway intersections shall meet "Intersection Guidelines.." 10. Turnarounds shall meet "Turnaround Guidelines." 11. Fuelbreak vegetation management shall be incorporated into roadways & turnarounds in accordance with Section 6.5 of this plan. 12, Turnarounds shall meet "Safety Zone Guidelines" for vegetation management in accordance with Section 6.5 of this plan. 13. Where Ranch Road is within High Wildfire Hazard Areas, there shall be strategically placed approved turnarounds. D CUL-DE-SAC GUIDELINES: 1. Dead end roadways greater than 600' conform to Cul -de -Sac Guidelines. 2. The end of all Cul-de-sacs shall be with a turnaround at the end having outside turning radius of 60'. 3. Dead end roadways greater than 600' have turnarounds spaced not greater every 600'. 4. Cul -de -Sacs roadways shall meet all Guidelines." E. TURNAROUND GUIDELINES: shall provide a minimum shall than "Roadway A circle with an all weather driving surface of not less than 60' outside radius in areas having a natural cross slope less than 15% and an all weather driving surface of not less than 45' outside radius in areas having a cross slope of greater than 15% but less than 30% per the attached detail. F. INTERSECTION GUIDELINES: Driveway/Roadway intersections shall be within 7 degrees of perpendicular. In no case shall the inside turn radius be less than 30' per the attached detail. G. HAMMERHEAD GUIDELINES: Hammerheads shall be constructed in accordance with the attached Hammerhead detail. • • 6.2 WATER SUPPLY: (ref. attached Fire and EMS Service Map) A. Water supply, as depicted on the attached Fire and EMS Service Map, shall be designed and constructed in accordance with UFC 1997, Appendix III A & B in addition but not limited to the following guidelines for single and two family dwellings not greater than 2 stories in height (25') assuming Type V (wood frame) construction: 1. Water system shall conform to 1997 UFC. 2. Structures shall be separated by no less than 50' 3. Residential structures shall not be greater than 2 stories in height (25'). 4. Fire hydrants shall have not less than 1500 GPM for two hours with a minimum system residual pressure of 20 psi. 5. Minimum required fire flows shall conform to UFC 1997 Appendix III -A. 6. Fire hydrants shall have a maximum of 120 psi static pressure. 7. All structures greater than 200 sq.ft. located within Residential Ranch, Estate, Equestrian, Golf, Duplex, Cabin, Golf Club House District and Real Estate Sales District shall be sprinklered according to NFPA 13 R. 8. All residential structures greater than 3600 sq.ft. located within the Residential/ Commercial/Mixed Use District shall be sprinklered according to NFPA 13 R. 9. All non-residential structures located within the Residential/Commercial/Mixed Use District shall be sprinklered according to NFPA 13. 10. Fire hydrant spacing shall conform to UFC 1997 Appendix III -B. 11. All structures shall not be greater than 1000' from a fire hydrant. 12. Ranch lots shall have fire hydrant(s) located within 100' of the residence. 13. Structures greater than 18,000 sq.ft. on Ranch Lots shall have a minimum of 2 fire hydrants per structure and shall conform with UFC 97 Appendix III --B. 14. Fire hydrant spacing on the Ranch Road shall not be greater than 1000' and shall conform with UFC 97 Appendix III -B. 15. Fire hydrant spacing on Estate/Golf Lots shall not be not greater than 500' and shall conform with UFC 97 Appendix III -B. 16. Final fire hydrant location shall be approved by the Fire Chief. 17. Looped water systems shall be installed where practical & feasible. 18. The minimum diameter of the water main pipe within the distribution system shall be 8". 19. Water storage tanks shall be sized to provide a minimum of one day's normal domestic water usage and the maximum amount of fire storage based on required UFC, 97 fire flows. 20. Year around Fire Department access shall be provided w/dry hydrants per NFPA 1231 for following surface water/helicopter dip site sources: Hopkins Reservoir Unnamed Pond # 1 Unnamed Pond # 2 Unnamed Pond # 3 Shaky Lake: Access shall be seasonal only on existing unimproved roads. 6.3 BUILDING LOCATION/PLACEMENT: Absent other site specific mitigation measures, buildings and structures shall be located in the following manner: Avoiding draws, canyons, gullies, ridge tops, chimneys, saddles or slopes greater than 30% Set back a minimum of 130' from the top of the slope. Set back from the edges of the proposed building envelopes and/or lot lines to ensure adequate room for defensible space requirements. Final building location and placement shall be reviewed by the CSFS and approved by the Fire Chief. 6.4 BUILDING DESIGN AND MATERIAL* Building design and materials shall be incorporated in accordance with the CSFS Firewise Construction Design And Materials guidelines as well as IFCI Chapter 5 Special Building Construction Regulations with the following amendments/modifications: IFCI SECTION 502 - FIRE HAZARD SEVERITY shall be amended to read as follows: • The initial Fire Hazard Severity shall be determined from the CSFS Spring Valley Ranch Wildfire Hazard Areas Maps. Prior to building permit application, a final determination of actual site specific wildfire hazard shall be made by the CSFS and approved by the Fire Chief. 410 10 IFCI SECTION 503 - IGNITION -RESISTANT CONSTRUCTION shall be amended to read as follows: IFCI Table 503.1 equivalent conversions shall be IFCI Hazard Classification to CSFS Wildfire Hazard Classification as follows: IFCI Moderate = CSFS Low IFCI High = CSFS Medium IFCI Extreme = CSFS High - "Conforming" Defensible Space requirements shall be in accordance with the CSFS Defensible Space Thinning Standards. - "Nonconforming" Defensible Space requirements shall not be less than 1/2 of the CSFS Defensible Space Thinning Standards. SECTION 504.2 Roof Covering shall be amended to read as follows: - Roof covering (exposed roof surface) shall be non --combustible (no wood shake/shingles) material with no flat roofs. Final determination of Building Design and Materials shall be reviewed by the CSFS and approved by the Fire Chief. 6.5 VEGETATION MANAGEMENT: Based on the analysis of the wildfire hazard associated with the SVR PUD area, the following vegetation management will be necessary in order to appropriately mitigate the hazard. A. DEFENSIBLE SPACE: 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, defensible space vegetation management essential to achieve "stand alone structures" shall be incorporated around all buildings and structures in areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B -- Medium Hazard, C - High Hazard: Trees or X - High Hazard: Brush. 11 2. Defensible space vegetation management shall be in accordance with the terms outlined in this plan and the CSFS Firewise Construction Design And Materials guidelines as well as IFCI Section 603 - Defensible Space with the following amendments/modifications: IFCI Table 603.2 shall be substituted with the CSFS Defensible Space Thinning Standards 3. Brush, debris and non -ornamental, flammable vegetation shall be removed within a 15' perimeter around the structure measured from the outside edge of the structures' eaves and any attached structures, decks etc. 4. Ornamental "fire wise" vegetation within the 15' perimeter of a structure w/non- combustible exterior siding shall not be planted beneath windows or next to vents. 5. Weeds and grasses within the 15' perimeter shall be maintained to a height not more than 6". 6. All branches which extend over the roof eaves shall be trimmed and all branches within 15' of the chimneys shall be removed. 7. All stressed, diseased, dead or dying trees, brush & shrubs within the defensible space area shall be removed. 8. Vegetation management within the building envelopes shall be performed prior to the start of construction. 9. Final defensible space vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. B. FtJELBREAXS : 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, fuelbreak vegetation management shall be incorporated adjacent to and contiguous with roads and driveways within areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B - Medium Hazard, C - High Hazard: Trees or X - High Hazard: Brush. 12 • • • • 2. Approximately 32.7 miles of road may require some degree of fuelbreak vegetation management. 3. Fuelbreak vegetation management shall be in accordance with the terms outlined in this plan and the guidelines listed in the Fuelbreak Guidelines For Forested Subdivisions by Frank Dennis, Colorado State Forest Service, Colorado State University, 1983 and the CSFS Defensible Space Thinning Standards. 5. Fuelbreak vegetation management shall be performed in conjunction with road and driveway construction. 6. Final fuelbreak vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. C. FIREBREAKS: 1. Approximately 33.7 miles of 32' wide mineral surface roadways as well as the individual 16' & 24' wide mineral surface driveways shall serve as firebreaks. D. SAFETY ZONES: 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, Safety Zone vegetation management shall be incorporated surrounding the Roadway Turnarounds in accordance with the terms outlined in this plan and the Safety Zone Guidelines as specified in the NWCG Incident Response Pocket Guide. 2. Safety Zone vegetation management shall be incorporated adjacent to and contiguous with roadway turnarounds within areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B - Medium Hazard, C -- High Hazard: Trees or X - High Hazard: Brush. 3. Approximately 62 turnarounds may require some degree of safety zone vegetation management. 13 4. Safety Zone vegetation management shall be performed in conjunction with road and driveway construction. 5. Final Safety Zone vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. E. VEGETATION MODIFICATION: 1. Defensible Space, Fuelbreak and Safety Zone vegetation shall be modified in accordance with the guidelines listed in this plan. 2. Vegetation modification methods may include but not be limited to a single or combination of the following alternatives: a. Removal b. Reduction c. Replacement 3. Methods with which the vegetation modification will be accomplished may include but not be limited to a single or combination of the following alternatives: a. Biological b. Chemical c. Mechanical d. Natural (replacement w/less hazardous vegetation) 4. The selected alternative(s) for vegetation modification shall be reviewed by the CSFS and approved by the Fire Chief. 5 Actual vegetation modification to meet the guidelines set forth in this plan may not be necessary where the natural vegetation patterns have already fulfilled the specified conditions. F. MAINTENANCE: 1. Defensible Space: Initial as well as continued maintenance of the defensible space vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the landowner.. 14 • • • • 2. Fuelbreaks: Initial as well as continued maintenance of the fuelbreak vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the SVR Metropolitan District. 3. Safety Zones: Maintenance of the safety zone vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the SVR Metropolitan District. G. ENFORCEMENT: 1. Enforcement of compliance with the terms, conditions and guidelines for initial and continued maintenance of the vegetation management as outlined in this plan shall be the responsibility of the Fire Chief. 6.6 UTILITIES: All utilities will be underground. 6.7 SPARK ARRESTORS: Chimneys shall be in conformance with IFCI Section 605. 6.8 LIQUIFIED PETROLEUM GAS: Bulk Liquified Petroleum Gas containers shall be buried below ground in an approved container. 6.9 IGNITION SOURCES: In order to appropriately mitigate potential sources of ignition, open burning restrictions as outlined in the Open Burning Restrictions attachment shall be adopted by the Fire Chief. 6.10 COMBUSTIBLE MATERIALS STORAGE: All firewood, combustible and flammable materials shall not be stored in unenclosed spaces beneath buildings or structures, or on decks or under eaves, canopies or other projections or overhangs. Firewood shall be stored on a contour a minimum of 30' away from any structure and all flammable vegetation removed within a 10' horizontal and 15' vertical perimeter. 15 6.11 COMPLIANCE ALTERNATIVES/ENFORCEMENT: Compliance, enforcement and alternatives to this plan shall be administered by the Fire Chief under IFCI Section 103 as well as through the adoption of UFC, IFCI as amended in this plan and other applicable guidelines. 6.12 HAZARD EVALUATION: Ongoing wildfire hazard evaluation and mitigation measures shall be reviewed by the CSFS and Garfield County Sheriff and conducted by the Fire Chief. 6.13 RESPONSE PLAN: A Wildfire Incident Response Plan shall be reviewed by the CSFS, generated by the Fire Chief and approved by the Garfield County Sheriff. 6.14 EVACUATION PLAN: A Wildfire Incident Evacuation Plan shall be generated by the Fire Chief, and reviewed by the CSFS and approved by the Garfield County Sheriff. 6.15 MISCELLANEOUS: 1. Roofs and gutters shall be kept clear of debris. 2. Yards shall be kept clear of all litter, slash, and flammable debris. 3. Pools/ponds shall be accessible to fire department vehicles. 4. Fences shall be kept clear of brush and debris. 5. Wood fences shall not connect to the structures. 6. Any outbuildings or additional structures shall adhere to the same guidelines as structures. 7. Fuel tanks shall be installed underground and in an approved container. 8. Propane tanks shall be installed according to NFPA 48 guidelines and on a contour away from the structure w/standard defensible space vegetation mitigation around any above -ground tank. Any wood enclosure around the tank shall be constructed with materials approved for 2 hr. fire -resistive construction on the exterior side of the walls. • 16 9. Each structure shall have a minimum of one 10 lb. ABC fire extinguisher. 10. Address shall be clearly marked and visible according to NFPA 299 guidelines installed on a non-combustible post and sign as reviewed and approved by the jurisdictional Fire Chief. Attachments: - List Of Guidelines - SVRMD Open Burning Restrictions Wildfire Hazard Analysis - Maps: - Water - Roads & Driveways - Fire Station -- Colorado State Forest Service Wildfire Area Hazard Map (WHAM) Details: - Hammerhead - Intersection - 60' Radius Turnaround - 45' Radius Turnaround 17 • LIST OF GUIDELINES The following is a list of approved Industry Guidelines referenced as guidelines in developing the Spring Valley Ranch PUD Wildfire Hazard Mitigation and Vegetation Management Plan. Colorado State Forest Service: CSFS Driveway Standards CSFS Defensible Space Thinning Standards CSFS Firewise Construction Design And Materials Fuelbreak Guidelines For Forested Subdivisions by Frank Dennis, Colorado State Forest Service, Colorado State University, 1983 Wildfire Safety: Model Regulations For Protecting People And Homes From Wildfire In Subdivisions And Developments by Ronald J. Zeleny CSFS #123-0588, Revised April, 1988 Notes of Conversation with Ron Z. On 1/21/92 Regarding 1041 by John Denison, CSFS, Grand Junction District Forester - CSFS Wildfire Fuel Types International Fire Code Institute 1997 Urban-Wildland Interface Uniform Fire Code 1997 Insurance Service Office (ISO) NFPA Guidelines: Code, First Edition 1201 Developing Fire Protection Services for the Public 13 Automatic Fire Sprinkler System 13R Automatic Fire Sprinkler Systems For Single Family And Duplex Residential Buildings 22 Standard For Water Tanks For Fire Protection '98 24 Private Fire Service Mains And Appurtenances 18 • • • - 25 Inspection, Testing And Maintenance Of Water Systems For Fire Protection '98 - 37 Installation And Use Of Stationary Combustion Engine '98 • 72 National Fire Alarm Code '99 - 80A Fire Protection Of Buildings From Exterior Fire Exposure '96 295 Wild -fire Control '98 - 299 Protection Of Life And Property From Wild- fire '97 & '91 - 395 Storage Of Flammable And Combustible Liquids At Isolated Sites '93 1901 Standard for Automotive Fire Apparatus '99 1906 Standard for Wildland Fire Apparatus '95 - 820 Standard for Fire Protection in Wastewater Treatment and Collection Facilities '99 National Wildfire Coordinating Group - Incident Response Pocket Guide 19 SPRING VALLEY RANCH PUD METROPOLITAN DISTRICT OPEN BURNING RESTRICTIONS In order to appropriately mitigate potential sources of ignition within the SVRMD, the following open burning restrictions shall be adopted by the SVRMD and enforced by the Fire Chief. I. DEFINITIONS: AGRICULTURAL OPEN BURNING: The open burning of cover vegetation for the purpose of preparing the sail for crop production, weed control, and other agricultural purpose. BONFIRE: The open burning of cut trees, vegetation or lumber. INCINERATOR: A structure, ar portion thereof, container, device or other appliance designed, used or intended to be used for the disposal of combustible rubbish by burning. OPEN BURNING: The burning of a bonfire, rubbish fire, agricultural fire or other fire in an outdoor location where the fuel being burned is not contained in an incinerator, outdoor fireplace, barbecue grill or barbecue pit. RECREATIONAL FIRE: The burning of materials other than rubbish where fuel being burned is not contained in an incinerator, outdoor fireplace, barbecue grill or barbecue pit and with a total fuel area of 3 feet or less in diameter and 2 feet or less in height for pleasure, religious, ceremonial cooking ar similar purposes. RUBBISH: Waste material including, but not limited to garbage, waste paper and debris from construction or demolition. 20 • • • • II_ RESTRICTIONS: An Open Burning Permit as administered by the Fire Chief shall be required to conduct all open burning within the SVRMD with the following exceptions: - Fires contained within liquid fuel or gas fuel stoves, outdoor fires within a permanent fireplace, fire or barbecue pit, fire ring, grate or charcoal grill @ private residence, developed recreation site, picnic area or designated campground. - Federal, state or local official or member of an organized rescue or firefighting agency in the performance of an official duty Recreational fires III. VIOLATIONS: Violations for conducting open burning without a valid permit shall administered by the Fire Chief. svrwhmp9.wpd 21 JEROME GAMBA & ASSOCIATES, INC. CONSULTING ENGINEERS & LAND SURVEYORS • 113 9TH STREET, SUITE 214 P0. BOX 1458 GLENWOOD SPRINGS, COLORADO 81602-1458 PHONE: (970) 945-2550 FAX: (970) 945-1410 SPRING VALLEY RANCH GARFIELD COUNTY, COLORADO FIRE/EMS MITIGATION DESIGN CRITERIA. REPORT March 14, 2000 PREPARED FOR: Bill Peacher Spring Valley Development, Inc. 411 East Main Street, Suite 205 Aspen, Colorado 81611 PREPARED BY: Jerome Gamba Associates, Inc. Consulting. Engineers and Land Surveyors 113 Ninth Street - Suite 214 Glenwood Springs, Colorado 81601 Phone: (970) 945-2550 Fax: (970) 945-1410 Michael Gamba P.E. 28036 fliFire/EMS mitigation design criteria for Spring Valley Ranch PUD March 14, 2000 Page 1 of 7 JEROME GAMBA 8c ASSOCIATES, INC CONSULTING ENGINEERS & LAND SURVEYORS 113 9TH STREET, SUITE 214 RO. BOX 1459 GLENWOOD SPRINGS, COLORADO 916021459 PHONE (970) 945.2550 FAX. (970) 945-1410 March 14, 2000 Bill Peacher Spring Valley Development, Inc. 411 East Main Street, Suite 205 Aspen, Colorado 81611 Re: Fire/EMS mitigation design criteria for Spring Valley Ranch PUD Dear Mr. Peacher: The topographic character of the Spring Valley Ranch PUD and the surrounding mountain regions of Colorado. challenge land development designers with the question of balance between the need for sate, convenient road access to home sites by residents and emergency service providers and the desire to minimize surface disturbance and environmental degradation. Ideally, where topographic conditions permit, roads are looped to provide redundant access to ail driveways. In conditions where the construction of redundant access will result in substantial earthwork and associated environmental degradation. single road cul- de-sac access is provided. Cul-de-sac roads present concerns to emergency service providers. in that, without mitigation, conditions may occur on cul-de-sacs that inhibit access. This engineering report is submirted to respond to various engineering issues related to fire and EMS services. A wildfire hazard mitigation and vegetation management plan will be submitted with the Preliminary Plan. Following is an outline of proposed design standards related to fire and emergency management for the roads and water distribution system for the Spring Valley Ranch PUD. We believe that the implementation of these design standards will mitigate the potential problems created by the cul-de-sacs proposed for the Spring Valley Ranch PUD. This outline is based on the application of the design standards that were previously discussed with Steve Crocket and in the design group meetings related to the physical and political constraints associated with the project. We believe that these design standards as proposed will meet or exceed all Garfield County regulations and significantly comply with all other applicable regulations and standards. We also believe that the application of the design standards outlined below will present Garfield County with the most comprehensive design standards related to fire and emergency management for any development to date. Fire/EMS mitigation design criteria for Spring Vallev Ranch PUD March 14, 2000 Page 2 of 7 Water Distribution System and Fire Protection Design Standards: 1. All structures shall be separated by no less than 50 -feet. 2, All residential structures shall have no more than two stories and shall be not more than 25 -feet in height (based on Garfield County building height standards) 3. Roof coverings on all structures shall be non-combustible materials. 4. All structures shall be not more than 1000 -feet from a fire hydrant. 5. All fire hydrants shall have a minimum fire flow capacity of 1500 GPM for two hours, 6. All structures larger than 2,500 square feet shall be sprinkled in accordance with NFPA. 7. The initial fire station will be constructed at the Village Center near the intersection of County Road 115 and County Road 114. 100% of the Village Center, Affordable Housing, and Equestrian Facilities will be within 5 -miles of the initial fire station. 430 of the 502 or 85.6% of the residential units within the upper portions of the development (Golf Lots, Estate Lots, Duplex Lots, Meadow Lots, Cabins, and Ranch Lots) will be within a driving distance of 5 -miles of the initial fire station. A parcel of land is reserved for a future fire: station to be located within the Ranch Lot Area and to be constructed at the time to be determined by the Fire District. Following the construction of the second fire station. 1005 of the Spring Valle,' Ranch PUG will be within a 5 -mile driving distance of a fire station. 8. The total length of ail internal roads within the protect is J S 1.592-fe .t. or 34.392 miles. Fire hydrants are positioned along the internal road system so that 176.137 -feet or 33.359 miles (97.0%) of the internal roadways are within 1000 -feet of a fire hydrant. 9. All Ranch Lots will be provided with a fire hydrant within 100 -feet of the proposed building envelope. The Codes, Covenants & Restrictions for the project will require that any house constructed with a floor area in excess of 18,000 square feet must be provided with an additional fire hydrant within 100 -feet -of the residence. 10. The fire hydrant spacing within the Golf Lot and Estate Lot area will not exceed 500 - feet. 11. Fire Hydrants will be capable of providing the following flows for each area of development: • Cabin Site - Max. 4,000 sq.ft. house Min. 1500 GPM for 2 hours • Golf Lot - Max. 12,000 sq.ft. house . Min. 1500 GPM for 2 -hours • Estate Lot - Max 15,000 sq.ft. house Min. 1625 GPM for 2 -hours :ire/EMS mitigation design criteria for Spring Valley Ranch PUD March 14, 2000 JEROME 'SAMBA & ASSOCIATES. INC. Page 3 of 7 CONSULTING ENGINEERS & LAND SURVEYORS • Ranch Lot — Max 25,000 sq.ft. house Min. 2125 GPM for 2 -hours • Duplex Lot Min. Fireflow per UFC 97 Table 3A • Multi -family Housing at the Village Min. Fireflow per UFC 97 Table 3A • Commercial at the Village Min. Fireflow per UFC 97 Table 3A • Equestrian Center at the Village Min. Fireflow per UFC 97 Table 3A • Affordable Single Family Housing Min. Fireflow per UFC 97 Table 3A 12. Water storage tanks shall be sized to provide a minimum of one day's normal domestic water usage and the maximum amount of fire storage calculated from the fireflows stated above. 13. The water distribution system will be looped wherever practical and feasible. 14. The minimum diameter of water main pipe within the distribution system shall be 8 - inches. 15. As stated above, all fire hydrants shall have a minimum fire flow capacity of 1500 GPM for two hours with a minimum residual system pressure of 20 psi. 16. Wherever practical and feasible. fire hydrants within the project shall have a maximum static pressure of 120 -psi. 17. Year round fire department access shall he provided to surface water at four reservoirs within the project and these four reservoirs shall be equipped with dry hydrants. 18. Fuel break vegetation modification. relative to structures will be accomplished in accordance with the specifications outlined in the design guidelines. Roadway Design Standards: Driveway Design Standards: 1. Driveways shall be provided to all structures that are more than 150 -feet from the roadway. 2. Driveways serving only one residence shall have an all-weather driving surface with a minimum width of 16 -feet. Driveways serving two or three residences shall have an aIl- weather driving surface with a minimum width of 24 -feet. Driveways shall not serve more than three residences. 3. Driveways shall be provided with no less than I5 -feet of vertical clearance. 4. The maximum allowable grade for a driveway shall be 10%. ire/EMS mitigation design criteria for Spring Valley Ranch PUD March 14, , JEROME GAMBA & ASSOCIATES, INC. Page 4 of 7 CONSULTING ENGINEERS & LAND SURVEYORS 5. Any driveway in excess of 150 -feet in length shall be equipped with a turn -around in accordance with the design standards for a turn -around as stated below. 6. Any driveway in excess of 400 -feet in length shall be equipped with a turnout in accordance with the turnout design standards as stated below. 7. As stated above, a single driveway shall not serve more than three residences. 8. Intersections of driveways with roads shall be within 7 -degrees of perpendicular wherever practical and feasible. 9. In areas with a natural cross slope less than 15%, turn-arounds shall have a minimum radius of 60 -feet. In areas where the natural cross slope is in excess of 15%, but less than 30%, turn -grounds shall have a minimum radius of 45 -feet (per Garfield County Regulations). Turn-arounds at the end of driveways shall adhere to the criteria stated above wherever practical and feasible, however, the ends of all driveways in excess of 150 -feet in length shall be provided with a hammerhead turn -around at a minimum. The minimum dimensions of a hammerhead turn around shall be in accordance with the attached hammerhead turnaround detail. 10. All driveways shall extend to within 50 -feet of the residence. Roadway Design Standards: 1. Roadway standards shall be required for all roads serving more than 3 residences.. 2. Roadways shall have an all-weather driving surface with a minimum width of 24 -feet. 3. Roadways shall be provided with no less than 15 -feet of vertical clearance. 4. The maximum allowable grade for a roadway shall be 10%. 5. Roadways shall be provided with shoulders having a minimum width of 4 -feet along each side of the 24 foot all weather driving surface, thus creating a 32 foot wide drivable surface. 6. All dead-end (cul-de-sac) roadways shall be equipped with a turn -around in accordance with the design standards for a turn -around as stated below. 7. Intersections of two roads shall be within 7 -degrees of perpendicular wherever practical and feasible. The road system depicted on the Master Plan Map contains 35 road intersections. of which, 34 (97.14%) are within 7 -degrees of perpendicular. ire/EMS mitigation design criteria for Spring Valley Ranch PUD March 14, aoao JEROME GAMBA & ASSOCIATES, INC. Page 5 of 7 CONSULTING ENGINEERS & LAND SURVEYORS S. In areas with a natural cross slope less than 15%, tum-arounds shall have a minimum radius of 60 -feet. In areas where the natural cross slope is in excess of 15%, but Iess than 30%, turn-arounds shall have a minimum radius of 45 -feet (per Garfield County Regulations). 9. The minimum allowable roadway centerline radius curve shall be 65 -feet. Any roadway curves with a radius less than 100 -feet shall be widened to adequately accommodate the turning path of all emergency vehicles. 10. Where roadway and or driveway intersections are within areas having a natural cross slope less than 30%, the roadway and driveway intersections shall be constructed in accordance with the dimensions of the hammerhead turn -around detail. 11. An emergency vehicle access roadway shall be constructed between the cul-de-sac at Lot R62 and the main Ranch Road at Lot R55. The emergency access roadway shall be constructed in accordance with the driveway standards for a driveway serving more than one residence. CUL-DE-SAC ROADWAY STANDARDS (RANCH LOTS DISTRICT) 1. Dead end roadways in excess of 150 feet in length shall conform to cul-de-sac standards and requirements. 2. The end of all cul-de-sac roadways shall be provided with a turn -around having a minimum radius of 60 -feet. 3. On dead end roadways, which are longer than 600 feet. turn-arounds shall be provided at intervals. not greater than 600 feet in accordance with the design standards for a turn -around as stated below, where practical and feasible. The total length of road on the Ranch Lots contained in cul-de-sacs is 6.23 miles. Of this length. 5.66 miles (92.1 %) is within 600 feet of a turn -around 4. In areas with a natural cross slope less than 15%, turn-arounds shall have a minimum radius of 60 -feet. In areas where the natural cross slope is in excess of 15%, but less than 30%, turn-arounds shall have a minimum radius of 45 -feet (per Garfield County Regulations). In areas where the natural cross slope is in excess of 30%, a hammer head turn around shall be provided at all road and driveway intersections, in accordance with the attached detail. ire/EMS mitigation design criteria for Spring Valley Ranch PUD March 14, 2000 JEROME GAMBA & ASSOCIATES, INC. Page 6of7 CONSULTING ENGINEERS & LAND SURVEYORS SUMMARY • As noted at the beginning of this letter, we believe that the application of the design standards outlined herein will provide the most comprehensive plan and program related to fire and emergency management that has ever been presented to Garfield County and possibly all of western of Colorado. In some areas, issues important to fire and emergency management conflict with goals of aesthetic design and wild life disturbance mitigation. We believe that the plan, as presented, is a balance of these efforts. Respectfully, Michael J. Gamba F.E. 28036 • re/EMS mitigation design criteria for Spring Ya lley Ranch PSD March 14, 2000 JEROME GAMBA & ASSOCIATES. i NC. Page 7 of 7 CONSULTING ENGINEERS & LAND SURVEYORS CROCKETT & ASSOCIATES 2669 MAROON CREEK ROAD ASPEN, CO 81611 970-925-2890 Fax 970-925-2831 March 15, 2000 Cam Kicklighter Spring Valley Development Company 411 E. Main St. Aspen, CO 81611 Re: Spring Valley Ranch PUD Submittal; Design Criteria Report Fire/EMS Mitigation Dear Cam, As per your request, please find my comments on the Spring Valley Ranch FUD Submittal; Fire/EMS Mitigation Design Criteria Report: Original staff comments expressed concerns in the following three broad & general areas: 1. Cul-de-sac length, width and safety zones. 2. Provision of Fire & EMS services. 3. Mitigation of wildfire hazards. After review of the Spring Valley Ranch PUD Submittal; Fire/EMS Mitigation Design Criteria Report and accompanying map, 1 feel that the above mentioned issues have been adequately addressed to the appropriate level of detail for PUD submission in the following areas: 1. Cul-de-sac length, width and safety zones: - Cul-de-sac length: - 92% of the total cul-de-sacs' lengths will have some form of approved industry standard turnaround every 600'. - Cul-de-sac width: - The proposed widths of the roads and driveways, 16', 24' and 32' will adequately address and allow for the blockage/simultaneous access/egress of emergency vehicles. Safety Zones: The vegetation surrounding the turnarounds will be modified to ensure that the turnaround meets safety zone specifications. 2. Provision of Fire & EMS services: The applicant has committed to form a Metropolitan District incorporating the provision of Fire and EMS services. 3 Mitigation of wildfire hazards. The applicant has committed to develop an approved Wildfire Hazard Mitigation Plan and a vegetation Management Plan. As you are aware at your direction, to follow up on the above mentioned staff concerns, 1 have been working with various review agencies, subcontractors and interested parties in Garfield. County in the development of a Fire/EMS Service Plan, Wildfire Hazard Mitigation Plan and Vegetation Management Plan. All of these documents are in first draft form, have had some. measure of review by the various agencies and parties and will be submitted at the time of preliminary plan. In closing, I would like to re -iterate Mike Gajnba's Summary comments that, based on what I have seen to date, this application incorporates leading edge concepts and standards with respect to emergency services and far exceeds most if not all existing Garfield county standards. Please let me know if you require any additional information or assistance. Sincerely, Stephen S. Crockett svrpudl.wpd -tnya� t•��7: PFG}—� I, • SPRING VALLEY RANCH PUD WILDFIRE HAZARD MITIGATION PLAN PREPARED FOR: Spring Valley Development, Inc. 411 East Main Street Suite 205 Aspen, CO 81611 PREPARED BY: Crockett & Associates 2669 Maroon Creek Road Aspen, CO 81611 Phone: (970) 925-2890 Fax: (970) 925- 2831 • TABLE OF CONTENTS SECTION PAGE I I. GENERAL INFORMATION 4 1.1 LOCATION 4 4 II. WILDFIRE HAZARD MITIGATION PLAN 4 III. STATEMENT OF PURPOSE 5 IV. SCOPE 5 V. WILDFIRE HAZARD ANALYSIS 5 VI. WILDFIRE HAZARD MITIGATION 6 6.1 ACCESS 6 A. DEFINITIONS 6 411 B. DRIVEWAY GUIDELINES 7 C. ROADWAY GUIDELINES 7 D. CUL-DE-SAC GUIDELINES 8 E. TURNAROUND GUIDELINES 8 F. INTERSECTION GUIDELINES s G. SAD GUIDELINES 8 6.2 WATER SUPPLY 8 6.3 BUILDING LOCATION/PLACEMENT 10 6.4 BUILDING DESIGN AND MATERIALS 10 6.5 VEGETATION MANAGEMENT 11 A. DEFENSIBLE SPACE _ 11 B. t U ELBREAES 12 1.2 SIZE/DESCRIPTION • 2 C. FIREBREAKS 13 D. SAFETY ZONES 13 E. MODIFICATION 14 F. MAINTENANCE 14 G. ENFORCEMENT 15 6.6 UTILITIES 15 6.7 SPARE ARRESTORS 15 6.8 LIQUIFIED PETROLEUM GAS 15 6.9 IGNITION SOURCES 15 6.10 COMBUSTIBLE MATERIALS STORAGE 15 6.11 COMPLIANCE ALTERNATIVES/ENFORCEMENT 16 6.12 HAZARD EVALUATION 16 6.13 RESPONSE PLAN 16 6.14 EVACUATION PLAN _ 16 6.15 MISCELLANEOUS 16 ATTACHMENTS: - List of Guidelines SVRMD Open Burning Restrictions - Wildfire Hazard Analysis Maps: Water Roads & Driveways - Fire Station Colorado State Forest Service Wildfire Area Hazard Map (WHAM) -- Details: - Hammerhead Intersection - 60' Radius Turnaround - 45' Radius Turnaround 3 I. GENERAL INFORMATION A. LOCATION: The Spring Valley Ranch (SVR) Planned Unit Development (PUD) is located in Garfield County in the Roaring Fork Valley on the western end of Missouri Heights near the towns of Carbondale and Glenwood Springs, Colorado. The property lies approximately ten miles Southeast of the town of Glenwood Springs and ten miles North of the town of Carbondale. Primary access is via Interstate 70, State Highway 82 and Garfield County Road 114. S. SIZE/DESCRIPTION: The project consists of 5,948 privately owned, southwest facing acres divided into three distinct areas encompassing 2 golf courses, an equestrian center and 577 residential units. The first area consists of approximately 600 agricultural acres on the valley floor at an elevation of 6900' with minimal development planned. The second area is a plateau approximately 400 vertical feet above the valley floor and is characterized by gently rolling terrain with gladed pastures and benches intermixed with stands of oakbrush, sagebrush and aspen trees. The majority of the development density including the 2 golf courses is located in this area. The third and uppermost area, located in the northern portion of the site is forested with Aspen, conifers and interspersed with alpine meadows and ponds. Less dense, "Ranch Lot" development is planned for this area. The three areas are separated by relatively steep slopes vegetated with oak and sage brush at the lower elevations and aspens and conifers in the higher elevations. II. WILDFIRE HAZARD MITIGATION PLAN: The SVR Wildfire Hazard Mitigation Plan and companion Wildfire Hazard Analysis, provides information and direction for the voters, taxpayers and Board Of Directors of the SVR Metropolitan District (SVRMD) as well as other interested parties, as to the nature, type and amount of wildfire hazard associated with the SVR, as well as the means by which the hazard may be mitigated. This plan is part of and an essential component to the SVR Metropolitan District Service Plan. 4 • This document provides a level of detail sufficient to demonstrate the relationship and continuity between the severity of the wildfire hazard and the specific measures necessary to appropriately mitigate the hazard. In this way, the voters, taxpayers and elected officials are provided with the necessary and required information integral to identifying and implementing the essential measures needed to appropriately mitigate the wildfire hazard associated with the SVR PUD. The Colorado Revised Statutes (CRS) assigns the statutory responsibility for wildfire suppression to the county Sheriff. The Garfield County Sheriff has the statutory/ jurisdictional responsibility for wildfire suppression but has limited functional capability. By and through the approval of this Wildfire Hazard Mitigation Plan, the Sheriff acknowledges that the functional capability for the implementation of the measures outlined in the Wildfire Hazard Mitigation Plan as well as the SVRMD Service Plan will be the responsibility of and performed by the SVRMD and that SVRMD wishes to assume functional responsibility for the provision of these services. This relationship will be formally documented in an Intergovernmental Agreement between the SVRMD and the Garfield County Sheriff. III. STATEMENT OF PURPOSE: The purpose of the SVRMD Wildfire Hazard Mitigation Plan is to set forth the guidelines to provide appropriate, meaningful, cost effective wildfire hazard mitigation and vegetation management measures for the protection of life and property to residents and visitors of the SVR PUD. IV. SCOPE: The scope of this plan shall encompass wildfire hazard mitigation and vegetation management measures within the geographic boundaries of the SVRMD. This does not preclude the SVRMD Board Of Directors from entering into Intergovernmental Agreements with other agencies or entities for the provision of wildfire hazard mitigation measures outside the boundaries of the SVRMD. V. WILDFIRE HAZARD ANALYSIS: The analysis of the wildfire hazard associated with the SVR PUD is contained in the attached SVR Wildfire Hazard Analysis which is an essential component of the Wildfire Hazard Mitigation Plan. 5 VI. WILDFIRE HAZARD MITIGATION: Based on the analysis of the wildfire hazard associated with the SAD PUD area, through the combination, aggregation and implementation of the following wildfire hazard mitigation measures, the wildfire hazards associated with the SVR PUD may be appropriately mitigated. These measures are based upon the expected case scenario analysis as outlined in the Hazard Analysis. Given a worst case scenario of wildfire behavior, these measures may not be adequate to prevent or minimize the loss of life and/or property. NOTE: IT IS ANTICIPATED THAT THERE WILL BE AREAS WITHIN THE SVR PUD, WHERE DUE TO A VARIETY OF PHYSICAL CONSTRAINTS ASSOCIATED WITH THE PROPERTY, NOT ALL OF THE GUIDELINES CAN BE MET IN ALL CIRCUMSTANCES. AN APPROPRIATE COMBINATION OF MITIGATION ALTERNATIVES FOR THESE SPECIFIC AREAS WILL BE DETERMINED ON A SITE SPECIFIC BASIS BY THE APPROPRIATE REVIEW AGENCIES AND APPROVED BY THE FIRE CHIEF) - 5 1 ACCESS: (ref. attached Fire and EMS Service Map) Roads and Driveways shall be constructed in accordance with the following guidelines as depicted on the attached Fire and EMS Service Map and following details: A. ROAD & DRIVEWAY DEFINITIONS: APPROVED: Approve by the Fire Chief. DRIVEWAY: A means of vehicular access from a roadway serving not greater than one lot. SHARED DRIVEWAY: A means of vehicular access from a roadway serving not greater than three lots. ROADWAY: A means of vehicular access serving more than three lots. DEAD END: Roadway greater than 150' in length without an approved turnaround @ the end. CUL-DE-SAC: Roadway with an approved turnaround @ the end. 6 B. DRIVEWAY GUIDELINES: 1. All residences shall be served by a driveway. 2. Driveways shall serve no more than 3 lots. 3. Driveways serving single lots shall have not less than 16' wide all weather driving surface. 4. Shared driveways serving 2 to 3 lots shall have not less than 24' wide all weather driving surface. 5. Driveways shall have not less than 15' vertical clearance. 6. Driveways shall have not greater than 10% grade. 7. Driveway curve radius shall not be less than 50' at centerline. 8. Driveways greater than 150' in length shall have an approved turnaround or hammerhead at the end. 9. Turnarounds/hammerheads at the end of driveways shall be within 50' of the structure. 10. Turnarounds shall meet "Turnaround Guidelines." 11 Hammerheads shall meet "Hammerhead Guidelines." 12. Driveway/roadway intersections shall meet "Intersection Guidelines." 13. Fuelbreak vegetation management shall be incorporated into driveways in accordance with Section 6.5 of this plan. C. ROADWAY GUIDELINES: 1. Roadway specifications shall apply if roadway serves greater than 3 lots. 2. Roadways shall have not less than 24' wide all weather driving surface (does not include shoulders). 3. Roadways shall have not less than 4' wide all weather drivable surface shoulders on each side. 4. Roadways shall have not less than 15' vertical clearance. 5. Roadways shall have not greater than 10% grade. 6. Roadway curve radius shall not be less than 65' at center line. 7. Dead end roadways greater than 150' in length shall have an approved turnaround at the end. 8. Dead-end roadways greater than 600' shall meet "Cul -de -Sac Guidelines." 7 9. Roadway intersections shall meet "Intersection Guidelines." 10. Turnarounds shall meet "Turnaround Guidelines." 11. Fuelbreak vegetation management shall be incorporated into roadways & turnarounds in accordance with Section 6.5 of this plan. 12. Turnarounds shall meet "Safety Zone Guidelines" for vegetation management in accordance with Section 6.5 of this plan. 13. Where Ranch Road is within High Wildfire Hazard Areas, there shall be strategically placed approved turnarounds. D. CUL-DE-SAC GUIDELINES: 1. Dead end roadways greater than 600' shall conform to Cul -de -Sac Guidelines. 2. The end of all Cul-de-sacs shall be provide with a turnaround at the end having a minimum outside turning radius of 60'. 3. Dead end roadways greater than 600' shall have turnarounds spaced not greater than every 600'. 4. Cul -de -Sacs roadways shall meet all "Roadway Guidelines." E. TURNAROUND GUIDELINES: A circle with an all weather driving surface of not less than 60' outside radius in areas having a natural cross slope less than 15% and an all weather driving surface of not less than 45' outside radius in areas having a cross slope of greater than 15% but less than 30% per the attached detail. F. INTERSECTION GUIDELINES: Driveway/Roadway intersections shall be within 7 degrees of perpendicular. In no case shall the inside turn radius be less than 30' per the attached detail. G. HAMMERHEAD GUIDELINES: Hammerheads shall be constructed in accordance with the attached Hammerhead detail. 6.2 WATER SUPPLY: (ref. attached Fire and EMS Service Map) A. Water supply, as depicted on the attached Fire and EMS Service Map, shall be designed and constructed in accordance with UFC 1997, Appendix III A & B in addition but not limited to the following guidelines for single and two family dwellings not greater than 2 stories in height (25') assuming Type V (wood frame) construction: 1. Water system shall conform to 1997 UFC. 2. Structures shall be separated by no less than 50'. 3. Residential structures shall not be greater than 2 stories in height (25'). 4. Fire hydrants shall have not less than 1500 GPM for two hours with a minimum system residual pressure of 20 psi. 5. Minimum required fire flows shall conform to UFC 1997 Appendix III -A. 6. Fire hydrants shall have a maximum of 120 psi static pressure. 7. All structures greater than 200 sq.ft. located within Residential Ranch, Estate, Equestrian, Golf, Duplex, Cabin, Golf Club House District and Real Estate Sales District shall be sprinklered according to NFPA 13 R. 8. All residential structures greater than 3600 sq.ft. located within the Residential/ Commercial/Mixed Use District shall be sprinklered according to NFPA 13 R. 9. All non-residential structures located within the Residential/Commercial/Mixed Use District shall be sprinklered according to NFPA 13. 10. Fire hydrant spacing shall conform to UFC 1997 Appendix III -B. 11. All structures shall not be greater than 1000' from a fire hydrant. located 12. Ranch lots shall have fire hydrant(s) within 100' of the residence. 13. Structures greater than 18,000 sq.ft. on Ranch Lots shall have a minimum of 2 fire hydrants per structure and shall conform with UFC 97 Appendix III -B. 14. Fire hydrant spacing on the Ranch Road shall not be greater than 1000' and shall conform with UFC 97 Appendix III -B. 15. Fire hydrant spacing on Estate/Golf Lots shall not be not greater than 500' and shall conform with UFC 97 Appendix III -B. 15. Final fire hydrant location shall be approved by the Fire Chief. 17. Looped water systems shall be installed where practical & feasible. 18. The minimum diameter of the water main pipe within the distribution system shall be 8". 9 19. Water storage tanks shall be sized to provide a minimum of one day's normal domestic water usage and the maximum amount of fire storage based on required UFC, 97 fire flows. 20. Year around Fire Department access shall be provided w/dry hydrants per NFPA 1231 for following surface water/helicopter dip site sources: - Hopkins Reservoir Unnamed Pond # 1 Unnamed Pond # 2 -- Unnamed Pond # 3 - Shaky Lake: Access shall be seasonal only on existing unimproved roads. 6.3 BUILDING LOCATION/PLACEMENT: Absent other site specific mitigation measures, buildings and structures shall be located in the following manner: Avoiding draws, canyons, gullies, ridge tops, chimneys, saddles or slopes greater than 30% Set back a minimum of 130' from the top of the slope. Set back from the edges of the proposed building envelopes and/or lot lines to ensure adequate room for defensible space requirements. Final building location and placement shall be reviewed by the CSFS and approved by the Fire Chief. • • 6.4 BUILDING DESIGN AND MATERIALS: Building design and materials shall be incorporated in accordance with the CSFS Firewise Construction Design And Materials guidelines as well as IFCI Chapter 5 Special Building Construction Regulations with the following amendments/modifications: IFCI SECTION 502 - FIRE HAZARD SEVERITY shall be amended to read as follows: - The initial Fire Hazard Severity shall be determined from the CSFS Spring Valley Ranch Wildfire Hazard Areas Maps. Prior to building permit application, a final determination of actual site specific wildfire hazard shall be made by the CSFS and approved by the Fire Chief. 10 • IFCI SECTION 503 - IGNITION -RESISTANT CONSTRUCTION shall be amended to read as follows: - IFCI Table 503.1 equivalent conversions shall be IFCI Hazard Classification to CSFS Wildfire Hazard Classification as follows: IFCI Moderate = CSFS Low IFCI High CSFS Medium IFCI Extreme CSFS High "Conforming" Defensible Space requirements shall be in accordance with the CSFS Defensible Space Thinning Standards. "Nonconforming" Defensible Space requirements shall not be less than 1/2 of the CSFS Defensible Space Thinning Standards. SECTION 504.2 Roof Covering shall be amended to read as follows: �- Roof covering (exposed roof surface) shall be non-combustible (no wood shake/shingles) material with no flat roofs. Final determination of Building Design and Materials shall be reviewed by the CSFS and approved by the Fire Chief. 6.5 VEGETATION MANAGEMENT Based on the analysis of the wildfire hazard associated with the SVR PUD area, the following vegetation management will be necessary in order to appropriately mitigate the hazard. A. DEFENSIBLE SPACE: 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, defensible space vegetation management essential to achieve "stand alone structures" shall be incorporated around all buildings and structures in areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B - Medium Hazard, C - High Hazard: Trees or X - High Hazard: Brush. 2. Defensible space vegetation management shall be in accordance with the terms outlined in this plan and the CSFS Firewise Construction Design And Materials guidelines as well as IFCI Section 603 - Defensible Space with the following amendments/modifications: IFCI Table 603.2 shall be substituted with the CSFS Defensible Space Thinning Standards 3. Brush, debris and non --ornamental, flammable vegetation shall be removed within a 15' perimeter around the structure measured from the outside edge of the structures' eaves and any attached structures, decks etc. 4. Ornamental "fire wise" vegetation within the 15' perimeter of a structure w/non- combustible exterior siding shall not be planted beneath windows or next to vents. 5. Weeds and grasses within the 15' perimeter shall be maintained to a height not more than 6". 6. All branches which extend over the roof eaves shall be trimmed and all branches within 15' 410 of the chimneys shall be removed. 7. All stressed, diseased, dead or dying trees, brush & shrubs within the defensible space area shall be removed. 8. Vegetation management within the building envelopes shall be performed prior to the start of construction. 9. Final defensible space vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. B. FUELBREAKS: 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, fuelbreak vegetation management shall be incorporated adjacent to and contiguous with roads and driveways within areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B - Medium Hazard, C - High Hazard: Trees or X - High Hazard: Brush. • • 2. Approximately 32.7 miles of road may require some degree of fuelbreak vegetation management. 3. Fuelbreak vegetation management shall be in accordance with the terms outlined in this plan and the guidelines listed in the Fuelbreak Guidelines For Forested Subdivisions by Frank Dennis, Colorado State Forest Service, Colorado State University, 1983 and the CSFS Defensible Space Thinning Standards. 5. Fuelbreak vegetation management shall be performed in conjunction with road and driveway construction. 6 Final fuelbreak vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. C. FIREBREAKS: 1. Approximately 33.7 miles of 32' wide mineral surface roadways as well as the individual 16' & 24' wide mineral surface driveways shall serve as firebreaks. D. SAFETY ZONES: 1. In order to alter the structure of the fuels, break up the vertical and horizontal continuity, and reduce the fuel loading, Safety Zone vegetation management shall be incorporated surrounding the Roadway Turnarounds in accordance with the terms outlined in this plan and the Safety Zone Guidelines as specified in the NWCG Incident Response Pocket Guide. 2. Safety Zone vegetation management shall be incorporated adjacent to and contiguous with roadway turnarounds within areas identified on the attached CSFS SVR Wildfire Hazard Area (WHAM) Maps as A - Low Hazard, B - Medium Hazard, C - High Hazard: Trees or X - High Hazard: Brush. 3. Approximately 62 turnarounds may require some degree of safety zone vegetation management. 13 4. Safety Zone vegetation management shall be performed in conjunction with road and driveway construction. 5. Final Safety Zone vegetation management alternatives shall be reviewed by the CSFS and approved by the Fire Chief. E. VEGETATION MODIFICATION: 1. Defensible Space, Fuelbreak and Safety Zone vegetation shall be modified in accordance with the guidelines listed in this plan. 2. Vegetation modification methods may include but not be limited to a single or combination of the following alternatives: a. Removal b. Reduction c. Replacement 3. Methods with which the vegetation modification will be accomplished may include but not be limited to a single or combination of the following alternatives: a. Biological b. Chemical c. Mechanical d. Natural (replacement w/less hazardous vegetation) 4. The selected alternative(s) for vegetation modification shall be reviewed by the CSFS and approved by the Fire Chief. 5. Actual vegetation modification to meet the. guidelines set forth in this plan may not be necessary where the natural vegetation patterns have already fulfilled the specified conditions. F. MAINTENANCE: 1. Defensible Space: Initial as well as continued maintenance of the defensible space vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the landowner. • • 2. Fuelbreaks: Initial as well as continued maintenance of the fuelbreak vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the SVR Metropolitan District. 3. Safety Zones: Maintenance of the safety zone vegetation to ensure compliance with the guidelines listed in this plan shall be the responsibility of the SVR Metropolitan District. G. ENFORCEMENT: 1. Enforcement of compliance with the terms, conditions and guidelines for initial and continued maintenance of the vegetation management as outlined in this plan shall be the responsibility of the Fire Chief. 6.6 UTILITIES: All utilities will be underground. 6.7 SPARK ARRESTORS: Chimneys shall be in conformance with IFCI Section 605. 6.8 LIQUIFIED PETROLEUM GAS: Bulk Liquified Petroleum Gas containers shall be buried below ground in an approved container. 6.9 IGNITION SOURCES: In order to appropriately mitigate potential sources of ignition, open burning restrictions as outlined in the Open Burning Restrictions attachment shall be adopted by the Fire Chief. 6 10 COMBUSTIBLE MATERIALS STORAGE: All firewood, combustible and flammable materials shall not be stored in unenclosed spaces beneath buildings or structures, or on decks or under eaves, canopies or other projections or overhangs. Firewood shall be stored on a contour a minimum of 30' away from any structure and all flammable vegetation removed within a 10' horizontal and 15' vertical perimeter. 15 6.11 COMPLIANCE ALTERNATIVES/ENFORCEMENT: Compliance, enforcement and alternatives to this plan shall be administered by the Fire Chief under IFCI Section 103 as well as through the adoption of UFC, IFCI as amended in this plan and other applicable guidelines. 6.12 HAZARD EVALUATION: Ongoing wildfire hazard evaluation and mitigation measures shall be reviewed by the CSFS and Garfield County Sheriff and conducted by the Fire Chief. 6.13 RESPONSE PLAN: A Wildfire Incident Response Plan shall be reviewed by the CSFS, generated by the Fire Chief and approved by the Garfield County Sheriff. 6.14 EVACtUATION PLAN: A Wildfire Incident Evacuation Plan shall be generated by the Fire Chief, and reviewed by the CSFS and approved by the Garfield County Sheriff. 6.15 MISCELLANEOUS: 1. Roofs and gutters shall be kept clear of debris. 2. Yards shall be kept clear of all litter, slash, and flammable debris. 3. Pools/ponds shall be accessible to fire department vehicles. 4. Fences shall be kept clear of brush and debris. 5. Wood fences shall not connect to the structures. 6. Any outbuildings or additional structures shall adhere to the same guidelines as structures. 7. Fuel tanks shall be installed underground and in an approved container. 8. Propane tanks shall be installed according to NFPA 48 guidelines and on a contour away from the structure w/standard defensible space vegetation mitigation around any above -ground tank. Any wood enclosure around the tank shall be constructed with materials approved for 2 hr. fire -resistive construction on the exterior side of the walls. 16 • • 9. Each structure shall have a minimum of one 10 lb. ABC fire extinguisher. 10. Address shall be clearly marked and visible according to NFPA 299 guidelines installed on a non --combustible post and sign as reviewed and approved by the jurisdictional Fire Chief. Attachments: - List Of Guidelines SVRMD Open Burning Restrictions Wildfire Hazard Analysis - Maps: - Water Roads & Driveways Fire Station - Colorado State Forest Service Wildfire Area Hazard Map (WHAM) - Details: Hammerhead - Intersection - 60' Radius Turnaround 45' Radius Turnaround LIST OF GUIDELINES The following is a list of approved Industry Guidelines referenced as guidelines in developing the Spring Valley Ranch PUD Wildfire Hazard Mitigation and Vegetation Management Plan. Colorado State Forest Service: CSFS Driveway Standards CSFS Defensible Space Thinning Standards - CSFS Firewise Construction Design And Materials Fuelbreak Guidelines For Forested Subdivisions by Frank Dennis, Colorado State Forest Service, Colorado State University, 1983 Wildfire Safety: Model Regulations For Protecting People And Homes From Wildfire In Subdivisions And Developments by Ronald. J. Zeleny CSFS #123-0588, Revised April, 1988 Notes of Conversation with Ron Z. On 1/21/92 Regarding 1041 by John Denison, CSFS, Grand Junction District Forester - CSFS Wildfire Fuel Types -- International Fire Code Institute - 1997 Urban-Wildland Interface Code, First Edition - Uniform Fire Code 1997 Insurance Service Office (ISO) • • - NFPA Guidelines: - 1201 Developing Fire Protection Services for the Public - 13 Automatic Fire Sprinkler System - 13R Automatic Fire Sprinkler Systems For Single Family And Duplex Residential Buildings 22 Standard For Water Tanks For Fire Protection '98 - 24 Private Fire Service Mains And Appurtenances 0 18 - 25 Inspection, Testing And Maintenance Of Water Systems For Fire Protection '98 - 37 Installation And Use Of Stationary Combustion Engine '98 72 National Fire Alarm Code '99 - 80A Fire Protection Of Buildings From Exterior Fire Exposure '96 -- 295 Wild-fire Control '98 - 299 Protection Of Life And Property From Wild- fire '97 & '91 - 395 Storage 0f Flammable And Combustible Liquids At Isolated Sites '93 - 1901 Standard for Automotive Fire Apparatus '99 - 1906 Standard for Wildland Fire Apparatus '95 820 Standard for Fire Protection in Wastewater Treatment and Collection Facilities '99 National Wildfire coordinating Group - Incident Response Pocket Guide 19 SPRING VALLEY RANCH PUD METROPOLITAN DISTRICT OPEN BURNING RESTRICTIONS In order to appropriately mitigate potential sources of ignition within the SVRMD, the following open burning restrictions shall be adopted by the SVRMD and enforced by the Fire Chief. I. DEFINITIONS: AGRICULTURAL OPEN BURNING: The open burning of cover vegetation for the purpose of preparing the soil for crop production, weed control, and other agricultural purpose. BONFIRE: The open burning of cut trees, vegetation or lumber. INCINERATOR: A structure, or portion thereof, container, device or other appliance designed, used or intended to be used for the disposal of combustible rubbish by burning. OPEN BURNING: The burning of a bonfire, rubbish fire, agricultural fire or other fire in an outdoor location where the fuel being burned is not contained in an incinerator, outdoor fireplace, barbecue grill or barbecue pit. RECREATIONAL FIRE: The burning of materials other than rubbish where fuel being burned is not contained in an incinerator, outdoor fireplace, barbecue grill or barbecue pit and with a total fuel area of 3 feet or less in diameter and 2 feet or less in height for pleasure, religious, ceremonial cooking or similar purposes. RUBBISH: Waste material including, but not limited to garbage, waste paper and debris from construction or demolition. 20 • • • I1. RESTRICTIONS: An Open Burning Permit as administered by the Fire Chief shall be required to conduct all open burning within the SVRMD with the following exceptions: Fires contained within liquid fuel or gas fuel stoves, outdoor fires within a permanent fireplace, fire or barbecue pit, fire ring, grate or charcoal grill @ private residence, developed recreation site, picnic area or designated campground. -- Federal, state or local official or member of an organized rescue or firefighting agency in the performance of an official duty Recreational fires III. VIOLATIONS: Violations for conducting open burning without a valid permit shall administered by the Fire Chief. svrwhmp9.wpd 21 SPRING VALLEY RANCH PUD WILDFIRE HAZARD ANALYSIS PREPARED FOR: Spring Valley Development, Inc. 411 East Main. Street Suite 205 Aspen, CO 81611 PREPARED BY: Crockett & Associates 2669 Maroon Creek Road Aspen, CO 81611 Phone: (970) 925-2890 Fax: (970) 925- 2831 • • • • TABLE OF CONTENTS SECTION PAGE # PURPOSE 4 II. INTRODUCTION TO WILDFIRE HAZARD ANALYSIS 4 III. WILDFIRE HAZARD ANALYSIS 5 IV. EXECUTIVE SUMMARY 6 A. TOPOGRAPHY 7 1. SLOPE 7 2. ASPECT 7 3. TERRAIN FEATURES 7 4. ELEVATIONS 7 B. VEGETATION 7 1. FUEL TYPES 7 2. DISTRIBUTION 9 3. NFFL MODEL FUEL GROUPS 10 4. NFFL FUEL MODELS 10 5. CSFS WILDFIRE HAZARD AREAS 11 6. VEGETATION SUMMARY 13 7. FUELBREAXS 14 C. WEATHER 15 1. FIRE FAMILY PLUS WORKING SET 15 2. FIRE FAMILY PLUS STATION SETTINGS 36 3. DATA ACQUISITION 17 4. INDICES 18 5. CRITCAL WEATHER SUMMARIES 19 2 D. WILDFIRE BEHAVIOR CALCULATIONS 19 1. BEHAVE INPUTS 19 2. BEHAVE CALCULATIONS 20 E. FUEL LOAD REDUCTION 20 F. WILDFIRE HISTORY 21 G. CONCLUSIONS 22 H. SUMMARY 22 Attachments: Behave outputs: Fuel Models 1,2,4,5,6,8,10 for "Houses" & "Roads" - Moderate Extreme Size Spotting Distance Fuel Models 1,2,4,5,6,8,10 Probability of Ignition Fire Family Plus: Percentile Weather Report for RERAP: Crown RAWS Station McClure RAWS Station Event Locator Report: Winds 1 Hour Timelag Fuel Moisture 3 • I PURPOSE OF SVR PUD WILDFIRE HAZARD ANALYSIS: The purpose of performing a wildfire hazard analysis of the SVR PUD area is to determine if the proposed wildfire hazard mitigation measures will be appropriate- II. INTRODUCTION TO HAZARD ANALYSIS: Mitigation measures are developed in relationship to the hazard, in this case the predicted wildfire behavior within the SVR PUD area. Like most forecasting, wildfire behavior prediction is based upon inductive reasoning of combining past experiences to reach a general conclusion of probability. Contemporary inductive logic incorporates the use of computer models which integrate accumulated, archived data and objectively predict future "performance" based on past "performance." In other words, in the past under a given set of environmental circumstances, this is what occurred; therefore it is a reasonable conclusion that under the same set of environmental circumstance in the future the expected behavior would be similar. The environmental circumstances or data used for the SVR PUD area is gathered by two Remote Area Weather Stations (RAWS), the Crown and McClure Pass RAWS Stations, located in similar elevations, aspects and fuel types to those found in the SVR PUD area. These RAWS stations gather and document the weather and the affect that the weather has on the surrounding fuels. It is important to note that the accumulated data or indices used for the predictions were assimilated in relationship to each other and not acquired independently ie. the environmental circumstances have a dynamic and interactive relationship to each other. An example would be that when the 1 hour fuel moisture content was at a certain level, at that same time the temperature and relative humidity were at certain corresponding levels. By compiling and analyzing the archived data in this way, a historical mean, average or "moderate" as well as an "extreme" set of environmental circumstances was established for the SVR PUD area. These indices were then applied as inputs to generate the predicted wildfire behavior in the two scenarios of "moderate" and "extreme." Like any other computer model, especially those that attempt to predict with any degree of accuracy a weather related event, the programs are encumbered by some basic assumptions that typically do not remain static when applied to something as interactive and dynamic as wildfire behavior. It is important to note that assumptions such as continuous and similar fuels, consistent weather and topography are all limitations to fire behavior computer modeling. 4 However, to date, short of arbitrary and subjective conclusions, this alternative remains an accepted industry standard as a tool in the process of quantifying the hazard and determining the appropriateness of mitigation measures. This is not to say that there does not exist the exception to the principle ie. that there exists a set of environmental circumstance that could overwhelm the mitigation measures. The alternative to applying an inductive reasoning process is the arbitrary selection of random data applied in a subjective manner. In this way a set of environmental circumstance may be created that will most certainly overwhelm the mitigation measures. However, given the arbitrary and subjective nature of this process coupled with the lack of quantifyable supporting data, it becomes infeasible to determine it's likelihood or probability and as a result serves little purpose in the determination of the appropriateness of the mitigation measures. Historically, this type of "worst case" scenario typically occurs in the level of probability or frequency that exists outside the range of reasonableness. III. WILDFIRE HAZARD ANALYSIS: Heat, Fuel and Oxygen combine and interact to support fire. By removing any one of these three components, the fire goes out. Given an ignition source, fuel, weather and topography then interact to determine the behavior of a wildfire. When a wildfire occurs within a developed area, mitigation measures are necessary to prevent or minimize the loss of life and/or property. In order to determine the appropriate wildfire mitigation measures, the ingredients of fuel, weather and topography along with the resulting fire behavior must first be analyzed. The site specific analysis of the fuel, weather and topography of the SVR PUD is contained in this Hazard Analysis. This analysis forms the foundation for the development of appropriate wildfire mitigation measures. Of the three ingredients of.wil.dfire behavior, fuel, weather and topography, the emphasis in wildfire mitigation is focused on the ingredient over which we may exercise some measure of control: the fuel componeht. By modifying the fuel component, we may then influence the fire behavior. Wildfire suppression is based for the most part on removing and/or separating the fuel from the other components of oxygen and heat, thus allowing for suppression. By first analyzing the separate ingredients of fuel, weather and topography, we may be able to predict the fire behavior and then determine the type, location and amount of fuel that needs to be managed in order to bring the fire under control. 5 • It is through the implementation of the appropriate, vegetation (fuel) management in advance of a wildfire occurring in a developed area, that we may provide an enhanced, safer opportunity to control or suppress a fire in order to protect lives and property. The following is a detailed analysis of the site specific ingredients of Topography, Fuel and Weather within the SVR PUD area. 6 A. TOPOGRAPHY: 1. SLOPE: ref: CSFS WHAM maps CSFS Slope Classifications: l: 0 - 5 % 2: 6 - 20 % 3: 21 - 40 % 4: greater than 40 % Acreages for Slope Classes: Slope Class Acres 1 1288 2 1574 3 1940 4 358 Total 5160 2. ASPECT: Predominantly Southwest facing. 3. TERRAIN FEATURES: Gently sloping benches and terraces separated by relatively steep slopes vegetated with oak and sage brush at the lower elevations and aspens and conifers in the higher elevations. A narrow, deep creek bisects the northwest half of the property. 4. ELEVATION: Elevation ranges from approximately 6900'to 9400'. B. VEGETATION: ref: CSFS WHAM maps 1. FUEL TYPES: The following primary fuel." types are found within the SVR PUD area: Aspen Douglas Fir Subalpine Fir Pinion -juniper Oakbrush Sagebrush 5erviceberry Snowberry Grass 7 • • The primary fuel types are broken down into the following CSFS sub -groups: ASI: Aspen, low density, probably some brush in understory AS2: Aspen, medium density, possibly some brush in understory AS3: Aspen, closed canopy, very little brush in understory DF1: Douglas -fir, low density, likely has heavy brush in understory DF2: Douglas -fir, medium density, possibly heavy brush in understory DF3: Douglas -fir, closed canopy, probably light brush in understory MG: Grass meadow, may be natural or cultivated, may have low density sagebrush OBI: oakbrush, low density, probably mixed with sage/grass OB2: Oakbrush, medium density, mixed with sage/grass OB3: oakbrush, closed canopy, may be small patches of sage/grass PJ1: Pinion -juniper, low density, probably some brush in understory PJ2: Pinion -juniper, medium density, possibly some brush in understory PJ3: Pinion -juniper, closed canopy, light understory of brush SF3: Subalpine fir, closed canopy, likely mixed with Aspen SG: Sagebrush WI: Willow/riparian, may have small cottonwoods mixed in A Note: brush as mentioned in above descriptions commonly refers to a mix of oakbrush, serviceberry, and snowberry. Acreage for each vegetation type: Type Acres AS1_ 31.5 AS2 182.5 AS3 768.6 DF1 26.7 DF2 48.9 DF3 9.4 MG 266.1 OBI 396.4 OB2 772.0 OB3 2061.7 PJ1 6.1 PJ2 19.0 SF3 326.4 SG 230.2 WA 5.6 WI 8.9 Total 5160.0 2. DISTRIBUTION: ref: CSFS WHAM maps a. Aerial.: (A) Type Acres DF2 48.9 DF3 9.4 OB2 772.0 OB3 2061.7 PJ2 19.0 SF3 326.4 b. Surface: (S) Type Acres AS1 31.5 AS2 182.5 AS3 768.6 DF1 26.7 061 396.4 PJ1 6.1 MG 266.1 SG 230.2 WI 8.9 9 • • c. Shaded: (S) Type Acres AS2 182.5 AS3 768.6 DF2 48.9 DF3 9.4 ©B2 772.0 OB3 2061.7 PJ2 19.0 SF3 326.4 WI 8.9 d. Unshaded: (U) Type Acres AS1 31.5 DF1 26.7 MG 256.1 OB1 396.4 PJ1 6.1 SG 230.2 3. NFFL MODEL YLIEL GROUPS: a. Grass and Grass Dominated b. Shrub c. Timber Litter d. Slash 4. NFFL FUEL MODELS: (FM) The following NFFL Fuel Models are present within the Spring Valley Ranch PUD area. Fuel Models (FM): 1,2,4,5,6,8,10 Veq Type NFFL Fuel Model Acres ASI 6 31.5 AS2 5 182.5 AS3 8 768.6 DF1 6 26.7 DF2 5 48.9 DF3 10 9.4 MG 1 266.1 O31 2 396.4 O32 6 772.0 OB3 4 2061.7 PJ1 6 6.1 10 PJ2 6 19.0 5F3 10 326.4 SG 5 230.2 WA N/A 5.6 WI 5 8.9 5. CSFS WILDFIRE HAZARD AREAS: CSFS fuel types are classified as 0, A, B, C, or X, in order of increasing hazard potential. The following is a brief description of these types: 0 - NO HAZARD: No fuels present; eg. water, bare rock, ploughed fields etc. A - LOW HAZARD: Grass, shrubs and brush less than 1'; dead wood in contact with ground or open -spaced conifers; also includes Aspen, Cottonwood, Willow and riparian habitats, grasslands, meadows and all low brush except Oak, Sage and Ceanothus. FIRE BEHAVIOR: Flames generally under 5', flareups rare and brief; spread generally slow but faster with increasing slope and wind (1-40 acres/hr.). Spotting is rare and short range. Humans can run through front with relative safety; Burnt area can be occupied in less than 1/2 hr. B -- MEDIUM HAZARD: Medium density conifers (pine, spruce, fir etc.) with crowns mostly separated with surface fuels as litter and herbaceous plants, some reproduction and deadwood on ground. NOTE: if slash has needles attached (green or red) this category moves to Class C. FIRE BEHAVIOR: Flareups intermittent but often higher than treetops but usually of short duration; short and medium range spotting common; behavior between flareups similar to Class A. Front may be passable but risky. Burnt area useable after 1/2 hour. 11 • • • C - HIGH HAZARD - TREES: Dense conifer (crowns touching) with moderate to heavy surface fuels present, or medium density with "X" - Type fuels in understory, or with heavy "red" slash. FIRE BEHAVIOR: Flareups higher than treetops, frequent; Spread up to several hundred acres/hr; Front impassable; Spots from several hundred yards up to several miles. Burnt area untenable for more than 1 hr. X - HIGH HAZARD - BRUSH: Dense brushy vegetation (not trees), less than 10' tall, sage, oak, Ceanothus, coniferous reproduction or other "oily", highly flammable vegetation. FIRE BEHAVIOR: Flames 5' - 20'; spread feet (40 + acres/hr.), spot fires common but relatively short range. Front impassable. Oak brush in Colorado will meet or beat the rates of spread for California Chaparral. Burnt area usable after 15-30 min. Acreage for each Wildfire Hazard area: Hazard Area Acres A 1178 g 972 C 298 X 2706 0 6 Closest comparable NFFL fuel model for each Hazard Area Class: Hazard Class NFFL Fuel Model A 1 5 C 10 X 6 0 N/A 12 ,. VEGETATION SUMMARY: (WAF = Wind Adjustment Factor) Jeg Type Slope Class Hazard Class Acres FM S/A S/U WAF AS1 1 B 11.2 6 S U U/.4 AS1 2 X 18.4 6 S U U/.4 AS1 3 X 1.9 6 S U U/.4 AS1 4 X 0 6 S U U/.4 AS2 1 B 24.5 5 S S P/.3 AS2 2 B 69.3 5 S S P/.3 AS2 3 X 75.2 5 S S P/.3 AS2 4 X 13.1 5 S 5 P/.3 AS3 1 A 122.7 8 S S F0/.2 AS3 2 A 211.1 8 S 5 F0/.2 AS3 3 A 389.3 8 S S F0/.2 AS3 4 A 43.9 8 5 S F0/.2 DF1 1 B 0 6 S U U/.4 DF1 2 C 2.3 6 S U U/.4 DF1 3 C 12.7 6 5 U U/.4 DF1 4 0 11.2 6 S U U/.4 DF2 1 B 7.9 5 A S P/.3 DF2 2 C 7.9 5 A S P/.3 -+F2 3 C 29.2 5 A 5 P/.3 JF2 4 0 3.9 5 A S P/.3 DF3 1 C 0 10 A S FD/.1 DF3 2 C 0 10 A S FD/.1 DF3 3 C 4.9 10 A S FD/.1 DF3 4 0 4.5 10 A S FD/.1 MG 1 A 210.3 1 S U U/.4 MG 2 A 38.9 1 S U U/.4 MG 3 A 14.0 1 S U U/.4 MG 4 A 2.1 1 S U U/.4 031 1 B 69.3 2 S U U/.4 031 2 B 102.8 2 S U U/.4 081 3 X 208.5 2 S U U/.4 +OB1 4 X 13.8 2 S U U/.4 082 1 B 174.8 6 A S U/.4 DB2 2 X 282.4 6 A S U/.4 OB2 3 X 265.3 6 A S U/.4 082 4 X 47.5 6 A S U/.4 033 1 X 359.1 4 A S U/.6 083 2 X 658.0 4 A S U/.6 083 3 X 836.6 4 A S U/.6 )33 4 X 205.6 4 A S U/.6 13 • • • PJ1 1 B 3.3 6 S U U/.4 PJ1 2 B 2.8 6 S U U/.4 PJ1 3 B 0 6 S U U/.4 1 4 C 0 6 S U U/.4 PJ2 1 B 0 6 A S P/.3 PJ2 2 B 2.9 6 A S P/.3 PJ2 3 C 15.0 6 A S P/.3 PJ2 4 C 0 6 A S P/.3 SF3 1 B 133.7 10 A 5 FD/.1 SF3 2 C 110.8 10 A S FD/.1 SF3 3 C 74.7 10 A S FD/.1 SF3 4 C 6.5 10 A S FD/.1 SG 1 B 162.0 5 S U U/.4 SG 2 B 58.3 5 S U U/.4 SG 3 B 9.4 5 S U U/.4 SG 4 8 0 5 S U 13/.4 WI 1 A 0 5 S S U/.4 WI 2 A 3.8 5 5 S U/.4 WI 3 A 1.1 5 S S U/.4 WI 4 A 3.9 5 S S U/.4 7. FUELBREAKS: Veer Type Slope Class Hazard Class Acres Length (miles) •A51 1 B 2.0 0.08 AS1 2 X 2.2 0.09 AS1 3 X 0.5 0.02 ASI 4 X 0 0 AS2 1 B 5.1 0.2 AS2 2 B 12.8 0.5 AS2 3 X 8.6 0.4 AS2 4 X 0 0 AS3 1 A 29.9 1.2 AS3 2 A 41.5 1.7 AS3 3 A 43.5 1.8 AS3 4 A 2.8 0.1 DF2 1 B 0.9 0.04 DF2 2 C 0.1 0.004 DF2 3 C 0.6 0.02 DF2 4 C 0 0 MG 1 A 46.9 1.9 MG 2 A 8.1 0.3 MG 3 A 0 0 MG 4 A 0 0 081 1 B 19.3 0.8 081 2 B 14.7 0.6 081 3 X 4.7 0.2 081 4 X 1.3 0.05 14 082 1 8 31.0 1.3 JB2 2 X 60.5 2.5 0B2 3 X 22.5 0.9 ©B2 4, X 0.1 0.004 OB3 1 X 92.5 3.8 0B3 2 X 171.9 7.1 OB3 3 X 75.5 3.1 Q$3 4 X 1.7 0.1 PJ1 1 B 0 0 PJ1 2 8 .9 0 PJ1 3 B 0 0 PJ1 4 C 0 0 PJ2 1 B 0 0 PJ2 2 B 0.6 0.02 PJ2 3 C 0 0 PJ2 4 C 0 0 SF3 1 B 29.7 1.2 SF3 2 C 18.3 0.8 SF3 3 C 5.9 0.2 SF3 4 C 0 0 SG 1 B 30.9 1.3 SG 2 B 8.2 0.3 SG 3 B 0.1 0.004 SG 4 8 0 0 WI 1 A 0 0 WI 2 A 1.3 0.05 WI 3 A 0 0 WI 4 A 0 0 Total 797.1 32.7 C. WEATHER ANALYSIS: Weather data was complied using the Fire Family Plus program incorporating the data from both the Crown and McClure Remote Area Weather Stations (RAWS) with the following parameters: 1. WORKING SET: 1985 - 1999 June 1 - October 31 WX samples taken between 1:00 & 2:00 P.M. daily 28 day periods averaged 15 • • • • Crown RAWS Station # 051506 - State: Colorado - County: Garfield - NFDRS Fuel Model: F - Intermediate Brush Cover: Dwarf Mountain Shrub Climate Zone: Colorado Rocky Mountains - Elevation: 8303' - Aspect: 140 - Recorded data since 1991 - McClure Pass RAWS Station # 052810 State: Colorado * - County: Gunnison NFDRS Fuel Model: G - Short Needle Pine * - Cover: Climate Zone: Colorado Rocky Mountains - Elevation: 9426' Aspect: 180 - Recorded data since 1985 - Crown and McClure Data was combined with a 2:1 emphasis given to the Crown data. 2. STATION SETTINGS: - Position on slope: Crown: midslope McClure: upper - Elevation: Crown: McClure: - Climate class: Crown: 8303' 9426' 2 - subhumid McClure: 3 - sub-humid/humid - Aspect: Crown: 5 southwest/140 degrees McClure: 5 - southwest/180 degrees - Slope Class: Crown: 2 - 26% to 40% McClure: 1 - 0 to 25% 16 Green up - Earliest date: Crown: McClure: freeze date: 5/1 5/1 Crown: McClure: - Start 1000 hr. F.M.: Crown: 20% Start KBDI: - Cover: McClure: 20% Crown: McClure: Crown: McClure: Climate Zone: 100 100 10/15 10/15 Dwarf Mountain Shrub Crown: Colorado Rocky Mountain McClure: Colorado Rocky Mountain - Average precipitation: Crown: 3. DATA ACQUISITION: 20 McClure: 25 The Fire Family Plus Weather/Seasonal Reports/ Percentile Weather/Burning Index program was used.In order to attain the greatest possible number of weather samplings from both the Crown and McClure Pass RAW Stations, the following settings were used: Winds: 360 degrees Median Class: Crown: 0-12, 13-47, 48-80, 81-176 McClure: 0-24, 25-52, 37-62, 63-94 It is important to note that by using the Weather/Seasonal Reports/Percentile Weather Burning Index program of Fire Family Plus computer software program, the data or indices are acquired in relationship to each other rather than acquiring the data independently through the utilization of the Climatology program ie. the environmental circumstances have a dynamic and interactive relationship to each other. An example would be that when the 1 hour fuel moisture content was at a certain level, at that same time the temperature and relative humidity were at certain corresponding levels. By compiling and analyzing the archived data in this way, a historical mean, average or "moderate" as well as an "extreme" set of environmental circumstances was established for the SVR PUD area. The Climatological Probability of "moderate" is 75% and 3% for "extreme." These indices were then applied as inputs to generate the predicted wildfire behavior in the two scenarios of "moderate" and "extreme." 17 • • • • 4. INDICES: a. 20' WIND: 1) Speed: Moderate: 7 Extreme: 10 2) Direction: Southwest (225 degrees) b. RELATIVE HUMIDITY: - Moderate: 46.5 - Extreme (low): 12.26 c. TEMPERATURE (dry burr): Moderate: 66.5 Extreme (high): 78.5 d. ru hL CLASSES/TIMELAG : 1) 1 hour % fuel moisture content: - Moderate: 6 % - Extreme: 3 % 2) 10 hour % fuel moisture content: Moderate: 9 % Extreme: 5 % 3) 100 hour % fuel moisture content: - Moderate: 11 % - Extreme: 6 % 4) 1000 hour % fuel moisture content: Moderate: 14 % Extreme: 10 % 5) Herbaceous fuel moisture content: Moderate: 77 % - Extreme: 46 % 6) Woody fuel moisture content: Moderate: 103 % Extreme: 69 % 18 5. CRITICAL WEAIHEE SUMMARIES: a. FIRE WEATHER WATCH DAYS: RED FLAG WATCH OR WARNING: The total environ- mental condition such as: wind gusts in excess of 20 mph, relative humidity of 20% or less, air temperature of 80 degrees Fairenheight or more and a high pressure zone predicted for the area for 12 hours or more. -- 23 "Red Flag" Watch days between 1989 & 1999 for Colorado Fire Weather Zone 206 (Source: NWS/Grand Junction Office) b. The Fire'Family Plus/Weather/Event Locator program was used to gather the following weather summaries: 1) WIND SPEEDS: =< 10 mph 73% => 10 mph 19% => 15 mph 4% 2) 1 HOUR TIMELAG rUELS : => 3% 86% -- =< 3% 4% D. WILDFIRE BEHAVIOR PREDICTIONS: Predicted fire behavior was calculated using the BEHAVE fire modeling program with the following fixed parameters: 1. BEHAVE INPUTS: Fuel Models: 1,2,4,5,6,8,10 Both "Moderate" and "Extreme" data from Section I., C., 4. - Slope class/Roads: CSFS 1: 0 - 5 % average 5 % CSFS 2: 6 - 20 % average 15 % CSFS 3: 21 - 40 % average 30 % CSFS 4: greater than 40 % average 45 % Slope Class/Houses: 5%, 10%, 15%, 20%, 25%, 30% 19 • • • Direction of wind vector degrees clockwise from uphill: SW (0) - Direction of spread calculations degrees clockwise from uphill: Maximum direction of spread (0) -- Elapsed time: .5 hrs. - Wind driven surface fire Ridge/valley elevation difference: 2500' - Ridge/valley horizontal distance: 3 miles - Spotting location: Midslope, windward side Total of 98 BEHAVE model "runs" 2. BEHAVE OUTPUTS: (see attachments) Flame length: Rate of spread: Heat per unit area: Fireline intensity: Size: Perimeter: Length to width ratio: Forward spread distance Backing spread distance Maximum width: Spotting distance: Probability of ignition: E. r uEL LOAD REDUCTION: NFFL Fuel Models are determined in part not only by the type of fuel but by the amount of fuel as defined as Fuel Load and measures in tons per acre. By implementing vegetation modification techniques identified in the SVR Wildfire Hazard Mitigation Plan, the overall fuel loading of the affected area can be reduced, the structure of the fuel altered and the vertical & horizontal continuity of the fuel broken thus affecting the predicted wildfire behavior. In this way the NFFL fuel models used to predict wildfire behavior change in the following manner: 20 Fuel Models Prior to vegetation After vegetation modification modification 1 remains a 1 2 remains a 2 4 becomes a 2 5 remains a 5 6 becomes a 2 8 remains a 8 10 remains a 10 F. FIRE HISTORY: Fire history was compiled using the data from the Fire Family Plus program using both the USFS Region 2, White River National Forest, Aspen, Sopris and Rifle Ranger Districts and the Colorado BLM Grand Junction District data collected between 1970 and 1999. a. Fire months: Peak month(s): June 1 - October 31 (90%) b. Fires: - 2030 (1970-1998) c.. Fire Size: -- 67% 0 - 1/4 acres -- 21% 1/4 - 10 acres - 07% 10 - 50 acres 05% > 50 acres d. Fire Cause: 79% lightning 6% Campfires -� 15% Other e. Slope Class: * - Moderate: * f. Aspect: * g. Actual Fires: -- South Canyon Spring Valley Panorama Battlement 1-4 21 • ATTACHMENT C TO THE MASTER RULES AND REGULATIONS SPRING VALLEY RANCH PUD - PHASE 1 GARFIELD COUNTY, COLORADO ROAD MAINTENANCE AND REPAIR PLAN October 15, 2007 PREPARED FOR: Spring Valley Holding, LLC. 4000 County Road 115 Glenwood Springs, Colorado 81601 PREPARED BY: Gamba & Associates, Inc. Consulting Engineers and Land Surveyors 113 Ninth Street — Suite 214 Glenwood Springs, Colorado 81601 Phone: (970) 945-2550 Fax: (970) 945-1410 Michael J. Gamba P.E. & P.L.S. 28036 T. Carter Page, P.E. 35161 • INTRODUCTION AND LOCATION This report provides procedures for the maintenance and repair of the on-site roads for Phase 1 of Spring Valley Ranch PUD. This report was prepared to meet the requirements of the Garfield County Board of County Commissioners Preliminary Plan Resolution 2005-84, regarding the requirement that a Road Maintenance and Repair Plan be included in the covenants of the master homeowners association. Spring Valley Ranch PUD is located at the intersection of Garfield County Roads 114 and 115. ROAD LENGTHS AND SECTION The total length of all on-site roads in Phase 1 of the Spring Valley Ranch P.U.D. is approximately 28,900 -feet. The pavement sections of the roads will be constructed in accordance with the Subgrade Investigation and Pavement Design — Phase 1 Roads — Spring Valley Ranch, Garfield County, Colorado prepared by CTL/Thompson, Inc. The pavement design report provides three alternate pavement section designs for each of two different subgrade soil types. The final decision regarding the specific pavement section design will be made by the owner in concert with the engineers and the road and asphalt contractors, to achieve the most long-lived and cost effective pavement. Regardless of the final pavement section chosen for the site, the final driving surface will be Asphalt Concrete. The road maintenance schedule proposed here is intended to maintain the final driving surface in good condition such that the drivability, surface friction and water resistance of the surface is preserved. The preservation of these qualities in the driving surface should largely prevent damage to the aggregate base course and subgrade layers below. Once road damage has been allowed to reach below the Asphalt Concrete driving surface, more significant road failures may occur, which are substantially more expensive to repair. PAVEMENT MAINTENANCE SCHEDULE In order to properly maintain any paved roadway, a schedule of routine maintenance is required. This maintenance program is to occur even in the absence of any other repairs that may be required. By adhering to this maintenance schedule, the overall life of the pavement should be maximized, thereby reducing the high costs for complete replacement of the pavement. The following is the recommended schedule of maintenance for all roads in Spring Valley Ranch P.U.D. All maintenance should be performed by qualified experts, and if any base course or subgrade damage is suspected, a qualified geotechnical firm should be employed to evaluate the base course and subgrade to recommend if additional stabilization should be employed. Any repairs to the base course or subgrade must be inspected and tested for moisture content and compaction before any pavement is placed over the repair area. Spring Valley Ranch PUD - Phase 1 - Rood Maintenance and Repair Plan October 15, 2007 Page 2 of 5 Schedule Maintenance Recommended Annually Weed Spray, Rout, Hot -Air Lance, and Crack -Seal all Pavement Cracks. Inspect and clean all storm drainage infrastructure. @ 3 years Apply First Seal Coat To Sustain Pavement Flexibility and Reduce Permeability. @ 6 years Apply Second Seal Coat. @ 10 years Apply First Asphalt Overlay. Begin new schedule as above, repeat until asphalt overlay thickness begins to create drainage or other problems, such as along curb and gutter sections, and at manholes and water valves, or until Pavement Cracking is so Extensive as to make Crack -Sealing Impractical, then proceed as noted below: If pavement cracking is extensive throughout the asphalt surface, then the entire asphalt surface is to be removed with a Roto -mill, the aggregate base course surface is to be moisture treated and compacted as necessary, and a new asphalt layer is to be placed and compacted. If the pavement cracking is not extensive, then the asphalt surface is to be Rota -milled to a depth at least 1.5 -inches below the original grade of the asphalt surface, or to sound asphalt, whichever is lower, then additional asphalt is to be placed and compacted to bring the resulting asphalt surface up to the original asphalt grades, then the maintenance schedule is to start over at year one. The annual road maintenance should also include regular snow removal during the winter months and sweeping and removal of trash and debris during the remainder of the year. The metropolitan district could purchase the equipment and keep properly trained personnel who could conduct the annual road maintenance operations. This may prove to be the most cost effective option for frequent maintenance requirements such as snow removal and street sweeping. However for most of the pavement maintenance operations such as crack -sealing, seal -coat applications, roto -milling, and paving it is typically most cost effective to contract for these services with experienced road maintenance contractors. Most road maintenance operations should occur only when the ground temperature is at least 50 -degrees Fahrenheit and rising. Therefore, in this climate it is important that the schedule of inspections should allow for adequate time to prepare bids and contracts, if necessary for larger, unanticipated repairs, and/or coordinate with and schedule operations with the pavement maintenance contractor, so that the maintenance operations are able to be performed during suitable weather conditions. We recommend that the best times for road inspections are immediately after the spring thaw in Tate -April through the end of May, when any water damage to the roads should be most apparent, and then again in late summer to early fall, well before the local asphalt concrete plants shut down for the winter, and the temperature prohibits any operations. Spring Valley Ranch PUD — Phase 1 — Road Maintenance and Repair Pian October 15, 2007 Page 3 of 5 PAVEMENT REPAIR PROGRAM Qualified experts, such as the engineer for the district, should conduct at least bi-annual inspections to identify any problem areas and flag these areas for repair. These bi- annual inspections should be based on an overall inventory and data base of the roadways throughout the Spring Valley Ranch PUD. This database should include a list of all roads, their pavement section, lengths, original construction dates, dates and types of maintenance performed, and any special features that may require additional attention, such as the following: • Broken or settling curb and gutter • Damaged guard rail • Damaged or debris-filled drainage structures • Damaged retaining walls • Significant erosion of cut or fill slopes • Curves where drivers are cutting the corners and driving past the edge of shoulder. • Areas which have had previous repairs. • Along guardrails where weeds may encroach on the edge of pavement. • Areas damaged by falling rocks or home construction equipment. • Driveway entrances prior to paving, where vehicles may tend to track mud and rocks onto the pavement. • Other areas which may become apparent as time passes, requiring special attention. During the bi-annual inspections, areas which require maintenance or repairs should be noted on a form that identifies the road by name, centerline station, the location of the area by distance from the nearest intersection, or by distance and direction from the nearest readily identifiable feature, such as driveway or utility structure. A report should be prepared and submitted to the metropolitan district listing the problems observed and the recommended maintenance solution. It will be incumbent upon the district to understand that the cost of properly maintaining the roadways is substantially Tess expensive than the cost of totally replacing the roads, and even Tess expensive than the cost for conducting significant repairs on the roads. INSPECTION DURING REGULAR OPERATIONS During the more frequent road maintenance activities such as snow removal and sweeping, the snow plow and street sweeper operators should observe and note any areas experiencing any problems. A list of potential problems that operators should be trained to observe are as follows: • Winter icing problems where ice seems to accumulate more than other areas or is more difficult to remove with regular snow removal operations Spring Valley Ranch PUD - Phase 1 - Road Maintenance and Repair Plan October 15, 2007 Page 4 of 5 • • • • Summer drainage ponding problems where water ponds on the pavement surface or in the gutters or ditches following or during rain storms • Damage to utility and drainage infrastructure (sewer manhole lids, water valve boxes, storm drain inlets, etc.) within or adjacent to the roadway • Sudden settling or bulging of any portion of the roadway surface • Damage to the roadway surface caused by construction equipment, vehicle accidents, fuel spills, rock falls, fallen trees, etc. • Significant erosion of cut or fill slopes, particularly erosional features that threaten the stability of the road surface or retaining walls ROAD MAINTENANCE FEES In addition to the bi-annual inspections, qualified experts, such as the district's engineer, can estimate the annual cost of road maintenance and repairs. Based on these estimates, the district can annualize the costs, and establish a monthly fee for road maintenance that can be assessed against the property owners. Over time the assessed fees can be adjusted up or down to more closely reflect the actual cost of the road maintenance, while maintaining a reserve amount for unexpected repairs and for up -coming significant maintenance items. Again, as noted above, the cost of properly maintaining the roadway is substantially less expensive than the cost of pre -maturely replacing the roads. However, the monthly fees also should include the annualized cost of eventually replacing and reconstructing the roads throughout the Spring Valley Ranch PUD. By properly estimating, then annualizing these costs, the property owners should not experience massive unexpected increases in the monthly road maintenance fees when roads reach their serviceable life -span and require complete reconstruction. CONCLUSION The road maintenance and repair program outlined above should provide the Landis Creek Metropolitan District No. 1 with adequate information to properly maintain and repair the road network throughout the Spring Valley Ranch PUD. Spring Valley Ranch PUD - Phase 1 - Road Maintenance and Repair Plan October 75, 2007 Page 5 of 5 Design Guidelines Spring Valley Ranch P.U.D. • Design Guidelines • Spring Valley Ranch P.U.D. — Site and Architectural Guidelines October , 2007 10313\1\1088923.2 1 INTRODUCTION The following is an outline for the Design Guidelines, which will control all construction on private property within the Spring Valley Ranch P.U.D. This outline will be expanded into a more detailed and illustrated document prior to final plat but will serve as a review draft for the substance and process for the guidelines. THE PURPOSE OF THE GUIDELINES IS TO: • Ensure that development is consistent with the rural mountain character of the setting; • Minimize the visibility of structures and driveways; • Encourage design that is complementary to and preserves the natural character of the landscape; • Protect and enhance property values, and • Allow maximum design latitude for individual homeowners while adhering to the highest standards of land stewardship and building quality. DESIGN REVIEW BOARD ("DRB") The Design Review Board (DRB) will be created to review sitework and building plans on behalf of the Spring Valley Community Association (The "Association") for their adherence to the Design Guidelines. The three members of DRB, or the consultants, whom the members may engage, will have expertise in site planning and architectural design. (Please refer to the Master Declaration of Covenants, conditions and Restrictions For Spring Valley Ranch P.U.D. (the "Master Declaration") for information on DRB's responsibilities and procedures.) DRB is responsible for reviewing all development within Spring Valley Ranch P.U.D. This includes, but may not be limited to, the following development activities. • Any sitework, grading, building construction, or other site modification within an owner's development envelope; • Any renovation, expansion or refinishing of the exterior of an existing structure; Any site modification outside a development envelope in areas where driveways or low impact uses are permitted; • Any changes to the natural landscapes, including the clearing of native vegetation, anywhere within a homestead. The DRB review process is not in lieu of, but is in addition to the Garfield County review process. Any application for a building or site modification permit within the development must be reviewed by DRB to determine that it complies with the Design Guidelines. DRB approval is necessary before access to water service is granted to the homeowner by The Association. Proof 10313\1\10889232 2 • • • of a water connection is a prerequisite to the acceptance and approval of a building permit • application by Garfield County. • There are three steps in the DRB design review process: STEP ONE - THE PRE -PLANNING MEETING The DRB review process commences with an informal work session with the DRB board, DRB's designated planning consultants, the owner(s) and the owner's architect or design professional. The purpose of this meeting is to agree on basic parameters for development of the homestead that fully respond to the desires of the owner and the land use philosophy and operating policies of Spring Valley Ranch P.U.D.. At the discretion of DRB, the requirement for this meeting may be waived for applications that concern minor changes to existing structures or landscape. SUBMISSION REQUIREMENTS FOR THE PRE -PLANNING MEETING • A certified site survey of the homestead showing platted property boundaries and, at least within the development envelope and the driveway corridor, topography at 2 -foot contour intervals. The survey must indicate creeks, riparian areas, designated wetlands, and all mature trees within the area to be developed. STEP TWO - CONCEPTUAL DESIGN REVIEW Formal DRB review begins with the owner's submittal of conceptual site and building plans. Conceptual review is intended to provide more detailed direction and guidance to the owner and the owner's design team by the specific identification of any site or development issues and concerns that, in the opinion of DRB, must be resolved. SUBMISSION REQUIREMENTS FOR CONCEPTUAL REVIEW: • A conceptual site/grading plan indicating the proposed boundary of the development envelope, the driveway corridor, and the driveway alignment within it, the location of all planned improvements and structures, including outdoor activity areas, fencing, retaining walls, and water features, the preliminary location of the septic cistern and leach field, all utility lines, and any related utility easements required by service providers. The plan shall also indicate the estimated limits of grading and site disturbance within the development envelope and preliminary finish grades and floor elevations at doorways and paved surfaces. Drainage intent should be clearly depicted through the indication of swales and culverts. The site plan shall be at a minimum scale of one inch = 20 feet and shall indicate existing and proposed 2 foot contours for all affected areas. • Conceptual floor plans, roof plans, sections, and elevations of all structures including accessory buildings. Building plans and elevations shall be at a minimum scale of 1/8 inch = I foot. • A preliminary landscape plan showing all trees and other native vegetation to be removed 103E31111088923.2 3 and illustrating overall landscape and revegetation concepts on the site. The plan shall. show new plant rnassings and describe generally the types and quantities of plants (trees, shrubs, and ground covers) to be added to the site. • A description of desired exterior finishes, building and paving materials, and colors. • A simple foam block study model of the building within the development envelope is strongly recommended, though not required, as an effective means of evaluating conceptual massing and sitting of the house. A Layout of proposed lighting for the site indicating fixture types (submit cut sheets), locations, types of lamps and wattage for both landscape and architectural lighting. STEP THREE - FINAL PLAN REVIEW SCHEDULING THE FINAL MEETING WITH DRB Final plan review cannot occur prior to the completion of conceptual review. Upon request by the applicant, an on-site field visit and a final review meeting of DRB will be scheduled. The final review by DRB is an open meeting. Prior to the meeting, individual notices will be mailed to all adjacent property owners and a general notice will be posted inviting any interested property owner in Spring Valley Ranch P.U.D. A complete package of final plans must be submitted to DRB no later than one week prior to the scheduled meeting. Within fourteen (14) days of the meeting, DRB, in its sole discretion, shall approve, approve with conditions, or disapprove the final plan in writing. Written notice of approval, conditioned approval or disapproval will be sent to the applicant and to the Garfield. County Building Department. SUBMISSION REQUIREMENTS FOR FINAL REVIEW The final submission package shall respond to issues raised by DRB in earlier phases of review and shall include the materials listed below: • Final site plan at a minimum scale of one inch = 20 feet for the overall lot and 1/4 inch = 1 foot for the building envelope, indicating layout and dimensions of the development envelope, all building and accessory elements, the driveway, all utilities, the septic leach field, and all landscaped areas. All utility or other easements must be surveyed and clearly indicated on the plan with bearings and distances, which dimensions must correspond to a legal description. • Final building floor plans, roof plans, sections, and elevations at a minimum scale of 1/4 inch = 1 foot • Final grading and drainage plan. • Final landscape plan detailing all plantings by species, size and quantity. Native, low-water plant species are strongly recommended. A list of species suited to the 10313\1\1088423.2 4 • microclimates found at Spring Valley Ranch P.U.D. is included. • Irrigation plans, indicting water source and, if served from Spring Valley Ranch P.U.D.'s central water system, the estimated water usage. • Final material samples, specifications, product cut sheets, and color samples for all exterior finishes. Construction details, sections and elevations as needed to illustrate design intent and any accessory elements such as swimming pools, spas and other outdoor facilities. • Exterior lighting plan, with cut sheets or details of all fixtures. • Development phasing plan, if appropriate. • Construction Management Plan, tree protection, dust control, and erosion control plan. • A revised study model is not required but would be helpful in the final review. In addition to all drawings and materials listed above, the applicant shall survey and stake the corners of the primary structures, the centerline and edges of the proposed driveway, and the limits of site disturbance. Staking shall indicate the actual height of the structures at each corner. Trees to be removed are to be flagged. DRB will conduct an on-site review of the staking in conjunction with the final review meeting with the applicant. SQUARE FOOT LOT STANDARDS & PERMITTED USES There are six residential types within Spring Valley Ranch P.U.D.; • Ranch Lots • Estate Lots • Golf Lots • Wilderness Cabins • Duplex Units • Employee Housing The Wilderness Cabins, the Duplex units and the employee units may be designed and built by the developer and are part of the PUD plan. Because of the site-specific requirements of these housing types, they are not included in the Design Guidelines though they will be subject to the same review process as all other construction. The Ranch, Estate and Golf lots are comprised of three zones; the building envelope, the construction zone and the open space zone. 10313\111088923.2 5 The Building Envelopes are designated on the PUD plan in response to detailed site analysis (slopes, soils, geologic constraints, wildlife concerns, wetlands, etc.), relationship to neighboring residences (privacy, visibility etc.), road access, the location/relationship to recreation facilities and to minimize off-site visual impact. Building envelopes may be adjusted slightly based on owner desires but will not, under any circumstances, be allowed to intrude into environmentally sensitive areas, to negatively impact neighboring properties or community facilities or to violate off-site visual criteria. Modifications to building envelopes must first be approved by the DRB. Upon approval by the DRB, then the Homeowner shall apply (at their costs) to Garfield County for a minor plat amendment. Owners should discuss this modification with the Planning staff of Garfield County prior to submitting a proposed building envelope change to the DRB. The Construction Zone is the area disturbed during construction including the driveway, parking, buildings, paved areas, (terraces, decks etc.), horse facilities (barns, corrals, paddocks etc. where allowed), and any other permitted uses that require disturbance of the site. The Construction Zone will occur solely within the building envelope, with the exception of the driveway and utility extensions, which will disturb no more terrain than necessary for efficient and attractive access. The total permissible disturbed area ("Construction Zone") is defined by the amount of space required for the permitted uses. No disturbance of natural terrain will be permitted outside that prescribed zone including fencing. The intent is to maximize the total amount of open space, provide owners the space required to accommodate their needs and to avoid unnecessary removal of natural vegetation. The Construction Zone must be fenced during construction to insure that no unintended damage occurs outside the Construction Zone. Following completion of improvements, the Construction Zone becomes the building envelope and no further improvements will be allowed without approval of DRB. No fencing will be allowed outside the Construction Zone, including along driveways, and no further removal of vegetation permitted except by the Association for purposes of wildlife and/or fire prevention management and trail construction and maintenance. The Open Space Zone is defined as all the remaining lot area outside the building envelope. This area belongs to the homeowner, however, no improvements can be made in this zone without the approval of DRB and only very low impact uses will be permitted (narrow trails, picnic tables etc.). Under no circumstances will fencing, grading or vegetation removal be allowed. 10313\111088923.2 6 • • • • • SITE DESIGN STANDARDS PERMITTED USES WITHIN THE DRIVEWAY CORRIDOR RANCH ESTATE GOLF Vegetation Removal and Re -Vegetation with Native x x x Plants Road Bed Grading and Paving x x x Drainage Improvements and Erosion Control Measures x x x Retaining Walls and Other x x x Slope Stabilization Measures Utility Service Extensions x x x Low -Level Lighting to Illuminate the Address Signage x x x THE NATURAL OPEN SPACE ZONE PERMITTED LOW IMPACT USES RANCH ESTATE GOLF Hiking, Biking and Equestrian trails x x Ponds x x Picnic Tables x x Maintenance by Association x x x PROHIBITED USES RANCH ESTATE GOLF Site Work or Grading not Approved by DRB & Garfield x x x County Fencing x x x Exterior Lighting x x x Vegetation Removal Except as Approved by DRB x x x 103131111088923 2 7 DEVELOPMENT STANDARDS Development Envelope Size Construction Envelope Size Maximum Permitted Floor Area • All Buildings Single Family Homes RANCH ESTATE 3 AC 2AC 2AC 1AC 25,000 SF 10,000 SF PERMITTED USES WITHIN THE ENVELOPE RANCH ESTATE x x Guest House (not to exceed 1500 sq. ft_) Accessory Out Buildings Barns Corrals Caretaker Units Recreational Facilities Such as Swimming Pools and Spas Approved Ranch Fencing Other Uses Permitted by Garfield County All Uses Listed Under Driveway Corridor DRIVEWAYS AND PARKING x x x x x x GOLF 314- 1 + AC 3/4 AC 6,000 SF GOLF x Access driveways and surface -parking areas will have significant impacts on any mountain site. These necessary functional elements must be located to minimize disturbance of vegetation, avoid unnecessary cuts and fills, and reduce their visibility from roads. The primary goal in planning the driveway is to work with, not against, variations in the natural topography and to avoid scars on the land that would be difficult to revegetate or restore to a natural appearance. It is recommended that the grades on driveways should not exceed 10%. The first 20 feet from the road should not exceed 5%. In no event shall the gradient exceed 12% unless approved by the Fire District. Maximum driveway width shall be sixteen (16) feet of driving surface except in the case of extremely long driveways, where the Fire District may require a wider dimension and turnouts. 10313\I\1088923.2 8 • • Paving of driveways is recommended but not required unless specified by Fire District. If the driveway will not be paved, special care must be taken to provide proper drainage and to control erosion and dust. All lots must provide for their own parking requirements within their development envelopes, as no parking will be permitted along the roads within the community (except in the case of large special events, such as weddings, which must be approved in advance by the Association .) To minimize impervious surfaces, paving of large areas for parking is not encouraged; gravel, unit paving on sand, and other permeable materials are recommended. Exterior parking of accessory vehicles, such as vans, boats, trailers, mobile homes, recreational vehicles or tractors, is prohibited, except in the designated vehicle storage area at the Equestrian Center. Grading shall occur only within the development envelope and the driveway corridor. In exceptional circumstances, grading elsewhere may be approved by DRB, but only when the work is carried out by the Association as part of its land management responsibilities. As much as possible, cut and fill grading quantities should balance to minimize heavy truck traffic to the construction site. Overlot grading intended to create a large flat building pad on sites steeper than ten percent is not permitted, all development must generally conform to the existing landform. The maximum gradient allowed on cut and fill slopes shall not exceed 2:1. All cut and fill slopes shall be revegetated by the placement of topsoil and plant materials appropriate for slope stabilization. No exposed cuts and fills will be allowed. The maximum total vertical exposure of cuts and fills shall not exceed six (6) feet. Retaining walls are required where a regraded slope would exceed a gradient of 2:1 or where disturbed areas cannot regain existing grade within six (6) vertical feet. Topsoil should be separated from other excavated material and stockpiled on site for later re -use. Newly constructed berms, if used to screen parking or accessory elements, must appear as natural landforms. Side slopes should not exceed 3:1, and the sides and top of the berm should undulate. Where construction and development will obstruct natural drainage patterns, surface runoff should be carefully redirected to existing streambeds or new swales designed to look natural. Swales may be required above new cut or fill slopes to protect them from erosion. Paved and impermeable surfaces should be minimized. Concentrated drainage onto neighboring properties in excess of pre-existing, naturally occurring volumes is not permitted. Where driveways cross natural drainage and road drainage swales, intake and outfall ends must be screened with stone and cobble to make them more natural in appearance. 10313N1 \1088923.2 9 RETAINING WALLS All retaining walls must be approved by DRB, and shall be used wherever total vertical exposure of cuts and fills is greater than six (6) feet. If walls will exceed four feet in height, the wall design must be certified by a civil or structural engineer. Wherever possible, retaining walls should be constructed of materials compatible with those employed in the residence. Otherwise, natural stacked stone walls are preferred. Sedimentary sandstone, indigenous to the Spring Valley Ranch P.U.D. area is strongly recommended. Unfaced, poured -in-place concrete, concrete block, brick and railroad ties are not permitted materials for retaining walls. UTILITIES Applicants shall provide a site utilities and drainage plan, which conforms to the following standards: All utility lines shall be underground and contained within the driveway corridor or the development envelope unless an exception is approved by DRB. Any approved utility alignments that do not follow the driveway corridor must be revegetated with native plantings to restore them to a natural appearance. All above -ground utility appurtenances shall be approved by DRB and must be screened from view and sited according to guidelines for service and emergency access provided by each utility. Electrical transformers shall be located where they are not visible from the main road and should be screened from view with vegetation, stone walls, or earthforms. Satellite dishes, if approved by DRB, shall be coated with a non -reflective black finish. SEPTIC SYSTEMS The Ranch lots will be served by individual sewage disposal systems (ISDS). Owners are required to engage the services of a civil engineer to assure that these systems are designed in accordance with State of Colorado and Garfield County health regulations and standards. Owners will be required to provide individual septic plans to the Design Review Board and to verify that soils at the specific Locations selected by the owner are capable of percolating at projected wastewater flow rates. Each Ranch Lot sewage treatment system will conform to the following specific performance standards. The treatment plant shall utilize the aerobic digestion process of sewage treatment. It shall be designed specifically for treatment of wastewater from individual dwelling units. It shall be designed to be contained underground with the possible exception of blower equipment which may be at a location remote from the treatment plant. The treatment plant system shall have been tested by independent testing facilities and shall demonstrate the ability, when operated in accordance manufacturer's specifications, to achieve a minimum 5 day BOD reduction of 90%, a minimum TSS reduction of 90% and a minimum total nitrate (including Nitrites) reduction of 70%. 1031311\10889232 IO • The bacteria contact media in the treatment plant shall be manufactured of rigid PVC or polyethylene and it shall be supported by a polyethylene tank insert. The media shall be designed to promote and sustain uniform bacterial growth over all surfaces. The media shall be fixed in position and have no moving parts. The media shall not be subject to corrosion from sewage. The media shall be designed and installed in a configuration to insure that sloughed solids immediately descend through the media to the bottom of the tank. The treatment plant shall be equipped with regenerative type blowers capable of delivering a minimum of 22 CFM. The blower assembly shall include an inlet filter with a metal filter element. The system shall be capable of being monitored for operation by remote telemetry to a central community location. The treatment plant shall bear the National Sanitation Foundation Standard 40 Certification. Leach fields must be contained within the development envelope and preferably on flatter ground within the area that will already have been disturbed by construction. Revegetation of the leach field with appropriate species is required so that the area is less noticeable and blends into the natural landscape. PLANTING The emphasis on planting throughout Spring Valley Ranch P.U.D. shall be to create the appearance of an undisturbed natural landscape. Planting compositions that echo natural vegetative patterns and plant species that are indigenous to the local area are required everywhere outside the development envelope and strongly recommended within it. No tree removal is permitted anywhere within a lot without DRB approval. DRB may approve thinning of trees within a primary view corridor from the main house, but will not allow clearing where forest cover is essential for screening from neighboring home sites or from key points along roads. Mature forest specimen trees (trees over 4 inches in caliper/diameter measured at a 4 -foot height, or shrubs in excess of 6 -foot height) within the development envelope and the driveway corridor must be identified on a site survey. DRB will not approve their removal unless there are no feasible alternatives. Trees deemed unhealthy may be felled with DRB approval. All disturbed areas that are not paved or graveled shall be revegetated with appropriate native plant materials from the approved plant list. Homeowners are encouraged to utilize plant materials that require little water other than that initially required for their establishment and to use slope stabilizing shrubs and ground covers on new cut and fill banks. Within the development envelope, plantings in areas immediately adjacent to the residence (within 30 feet of any vertical wall surface) are not restricted and may include ornamental plants that are not native to the local area. However, because the natural landscape is considered the most important character -giving feature of Spring Valley Ranch P.U.D., manicured or groomed yards and lawns shall be enclosed by buildings, walls or natural screening elements so that they are visible only from within the owner's own lot. Trees within the development envelope shall be selected from the approved plant list. 103131111088923.2 11 Trees proposed for landscaping shall be no smaller than 3 -inch caliper/diameter (deciduous) or 10 feet height (evergreen). A layer of mulch at Least three inches deep is recommended in all plant beds to reduce evaporation of moisture from the soil. In addition, the following wildfire mitigation shall be provided; 1. Establishment of a defensible space area, in which flammable vegetation, known as ladder fuels, should be removed, reduced or replaced. On lots located on slopes of 21%-40%, a defensible space of 40' will be established. On lots located on slopes of 0%-20%, a defensible space of 20' will be established. Within the defensible space, dead and flammable vegetation will be removed entirely, branches and thickets of shrubs such as serviceberry and sage and trees, such as oakbrush, will be thinned, and grass/weeds will be mowed to a height of 6" or less. Flammable plant materials, such as oakbrush, serviceberry and sage will be replaced with less flammable species. 2. Establishment of an area of at least 50' from the house in which the vegetation is maintained more stringently than in other areas. This includes keeping the area clean of dead vegetation and other flammable debris, and maintaining plant material that is green and healthy throughout the fire season. WATER CONCERNS AND IRRIGATION Water is scarce in Colorado and must not be wasted. The Spring Valley Water and Sanitation District serve Spring Valley Ranch P.U.D., and the total annual water supply is limited. Each lot will be allowed to consume a limited amount of water from the central water supply system for irrigation use. All homes must be equipped with a water meter, and owners will be subject to fines for excessive water use as determined by the District. All methods of water conservation are strongly recommended to minimize the amount consumed by each home. Only drip or spray irrigation systems are permitted. A soil monitoring device that automatically shuts off irrigation when adequate soil moisture levels are attained is required on all systems. Maximum Irrigated Areas Ranch Lots Estate Lots Golf Lots 4,000 sq. ft. 4,000 sq. ft. 4,000 sq. ft. SWIMMING POOLS If the source of water for any swimming pool is the central water system, then the amount of water consumed by the operation of the pool shall be deducted from the allowance allocated to that lot. EXTERIOR LIGHTING Outdoor lighting will be carefully reviewed to assure that neighboring properties are protected from direct light sources and that everyone can enjoy an undiminished night sky. Site lighting 103131I11088923.2 12 • will be approved where it is necessary for safety and easy identification of driveway and building entries and only when it cannot be seen from nearby homes. Exterior lighting will not be permitted anywhere outside the building envelope and the driveway access corridor. In the driveway corridor, one low -intensity light with a hidden source is allowed where the entry drive intersects the road for the sole purpose of locating the entry and illuminating the address sign. Within the building envelope, the illumination of vegetation or structures with up -lights will be approved only if not visible from off-site. Fixtures should shield the lamps so that the light source cannot be seen. Clear glass lenses are acceptable only with low wattage bulbs. Floodlighting and `moonlighting' (lights suspended from trees) are prohibited. In order to minimize light "trespass," the maximum light levels at the edge of any building envelope shall be 0.20 foot-candles. In addition, all exterior lighting shall be placed on motion sensors that will initiate lighting and for a period of no longer than 30 minutes. All exterior lighting shall be designed so that the bulb (point light source) is not directly visible from neighboring properties or roadways. No outdoor lighting shall be placed in excess of 14 feet above natural grade. All fixtures shall be fully shielded and downward directed. Maximum wattage shall not exceed 80 watts per lamp or 150 watts per fixture. Floodlights are not allowed. al FENCING There are two categories of permitted fencing; Privacy fencing that is within the construction envelope and perimeter fencing at the edge of the construction envelope to discourage wildlife and to demark privacy. Corral and perimeter fencing must be one of the approved types of wood rail fencing and DRB approval is required to construct it. The fencing should be coordinated with existing fences in the immediate neighborhood. Garden walls, dog runs and privacy walls must appear as architectural extensions of the building and be constructed of the same or compatible materials. No fencing of any kind is permitted outside the construction envelope. SIGNAGE Spring Valley Ranch P.U.D, has developed a unifying motif of natural stone monuments and retaining walls that occur throughout the community. Owners will be permitted to install an approved address sign at their driveway entries, but their design must conform to this natural stone motif and cannot be larger than four feet in any dimension. 10313\111088923.2 13 Trail markers for private and public trails within Spring Valley Ranch P.U.D. and "No Trespassing" signs where required will be posted and maintained by the Association. Signs advertising property for sale and all other signage are prohibited everywhere within Spring Valley Ranch P.U.D. PETS AND WILDLIFE On Ranch lots, horses may be permitted if it can be conclusively demonstrated to DRB that their presence will not negatively affect neighboring lots. The presence of horses is, in any case, a conditional use that may be revoked if the owner does not comply with the conditions of approval. Horses may be ridden only on trails and in common areas specifically designated for horses. Corrals may not exceed 3000 sq. ft., must be adjacent to a barn (if any), must have less than 15% gradient and the short dimension may not exceed 30 feet. The long dimension of a corral must parallel the contours. Dog runs and animal pens must be enclosed and covered to protect pets from predators. To protect birds and wildlife, dogs and cats must be accompanied and on a leash at all times when outside the immediate residence compound. Owners will be assessed severe fines for free roaming pets. All outdoor trash containers must be of approved, animal -proof designs. All trash must be kept in completely enclosed structures. Barbecue grills should not be left outside when not in use. Additional Wildlife Restrictions are as follows; Fencing on residential or ranch lots will be restricted to the building envelope to facilitate the free movement of Mule Deer and Elk. Perimeter fencing will meet the DOW height standard of 42" above mean ground level; however, privacy fences will be allowed to enclose areas adjacent to the main residence. In the ranch zone, areas of 4.500 s.f. may be enclosed. In the estate zone, areas of up to 3,500 s.f may be enclosed. In the golf zone, areas of up to 2,500 s.f may be enclosed. 2. No land disturbance within the lots will be allowed outside the building envelope, with the exception of driveway access, utilities, landscape treatments, drainages, and associated retaining walls. 3. The Association will enforce weed control measures. 4. Motorized vehicles will be restricted to established roads and development envelopes, with the exception of maintenance vehicles. 5. The applicant will participate in a wildlife mitigation trust and details of this program are contained in the Wildlife Mitigation Plan (Appendix ). 6. Residents will be given a pamphlet related to living with wildlife prior to purchase of a lot. All residents will be required to obtain bear -proof trash containers, and to not feed or bait animals (with the exception of birds). 10313\1\1088923.2 14 • • • 7. No outside storage of trash or garbage will be allowed on any property. 411 8. No compost piles are allowed unless they are contained within a bear -proof receptacle. • 9. All dogs will be contained in yards or kennels, and will be kept on a leash at all times when out of the kennel. A maximum of one dog per Lot, consistent with Garfield County ordinances will be allowed. 10. Development within wetland areas will be avoided to every extent possible. 11. Hay and other feed will be enclosed via the proper methods. 12. Wildlife will be locally restricted from golf course tees, greens and landscaped areas with temporary fencing and other passive means. SNOWMOBILES The operation of snowmobiles within Spring Valley Ranch F.U.D. is strictly prohibited except by the Association for wintertime land management and maintenance purposes. ARCHITECTURAL DESIGN STANDARDS Spring Valley Ranch F.U.D. architectural design standards focus on how buildings meet the ground, work with natural grades and harmonize with the rural alpine landscape. The primary objective of the architectural guidelines is to reduce off-site visual impacts of development through sensitive massing, colors, and selection of materials. Within these general parameters, they are intended to give owners and their architects as much flexibility as possible to design living envirorunents that suit the owners' individual needs and tastes. ARCHITECTURAL THEME AND STYLE These guidelines do no not mandate an architectural style or theme. Instead, owners are required to design with materials and forms that reflect the mountain character of the site and its climate in order to create places intimately connected with nature, and to be as invisible as possible from off site. Certain "styles" of architecture are not consistent with the intent and goals of the Spring Valley Ranch P.U.D. "Tudor", Santa Fe", "Tyrolean" and "Victorian" are not allowed. All structures shall be designed to reflect styles that are regional to western Colorado ranches, homesteads and towns. Where owners anticipate multiple structures within the development envelope, the buildings should be unified by a consistent vocabulary of architectural design elements, materials, and colors. Building compounds should be organized in a clustered site plan to minimize site disturbance and visual impact. BUILDING FORM, HEIGHT AND MASSING It is essential that buildings appear harmonious with the mountain environment and that they • allow the natural landscape to dominate the distant views of the community. Important natural 1031311 11088923.2 15 features, such as mature forest stands and rock outcroppings, should be preserved and used as organizing elements in the sitting and massing of buildings. Building massing should reflect natural variations in the topography and use these in the placement and massing of the structures. Using the method prescribed by Garfield County, building height is measured from the mid part of the roof pitch to the existing grade immediately below that point. Existing grade means the ground surface elevation prior to construction. In no event shall the building heights above existing grade exceed the maximum of 25 feet allowed by current Garfield County standards. Building heights above existing and proposed grades must be clearly marked on the applicant's site plan. All existing grades shall be confirmed by a certified field survey required for the preplanning meeting, step one of the review process. ROOF DESIGN From a distance, roofs are often the most visible architectural element of a building. Roof design should reflect the forms of the adjacent landscape steeply pitched roofs in tall, dense tree stands; low pitched roofs in broader valleys and open grassland sites. Primary roofs shall be pitched at not less than 4:12 and not steeper than 14:12. Roof pitches as low as 2:12 will be allowed for attached sheds or secondary roof plans. At the discretion of DRB, flat roofs may be approved in certain cases if they will not be visible from adjacent properties. Eve lines that project beyond the building walls are recommended in order to minimize reflection from glazing, create shadow patterns on the building walls, and protect South -facing interior spaces from heat gain and glare caused by the low angle of the winter sun. A minimum overhang of eighteen (18") inches is required. Roof materials must be non -reflective, with color values and hues that match the darkest values and hues of the landscape in the immediate vicinity. Roofs that hold snow (cold roofs) are required, as they will be less visible in winter. The use of non-combustible roofing materials is required by the approvals granted to Spring Valley Ranch P.U.D. Glazed or ban -el tiles are not permitted. Samples of the roofing materials are required as part of the submittal package. EXTERIOR WALLS AND WINDOWS Wall materials should reflect the natural surroundings. Allowed exterior materials include stained or natural wood, stone, shingles, and logs. Stucco is also permitted, but only when used in combination with these other natural materials and large unbroken surfaces of stucco are strongly discouraged. Other materials proposed by the owner may be considered by DRB. A minimum of 15% of each building face shall be comprised of natural stone. Exterior walls shall match the medium color and values of the immediate natural landscape. Color samples are required at both Conceptual Design Review and Final Plan Review. Careful detailing of window treatments is encouraged. Untreated aluminum window frames are prohibited. Mirrored glass windows are not permitted. Windows shall be broken by rnuntins or mullions. No single panel piece of glass shall exceed 6 feet by 8 feet. 14313\31108,5923.2 16 • BUILDING FOUNDATION WALLS Buildings must be genuinely subordinate to the natural landscape and should appear to grow out of the site, never perched or suspended above the site. In well-grounded buildings, the foundations become a platform that defines the exterior perimeter of both indoor and outdoor living spaces and sets the character of the transition between nature and the built environment. Solid foundation materials that express durability in a harsh climate are a key element in the architecture of mountain environments. Exposed foundation walls must be constructed of durable materials such as masonry, stone, or heavy timbers. Colored or exposed concrete, split face concrete block, aluminum siding, and brick are not permitted. Exposed posts and cross -bracing are not permitted as the means to support building projections. However, knee bracing, large timbers, and substantial stone columns that arc part of the architectural vernacular are permitted as the structural support for projecting elements. Foundations for garden fences and walls shall employ the same materials as the buildings, strengthening the architectural connection among the various built elements as well as their connection to the natural landscape. FIREPLACES, CHIMNEYS, FLUES, AND ROOF VENTS Chimneys shall be clad in masonry, stone or other inflammable material. Flues and roof vents shall be non -reflective if exposed or enclosed with materials compatible with the building, Any fuel -burning appliance must be equipped with spark arresters or screens on stovepipes and chimney outlets. Rooftop equipment and vents that project through the roof must be grouped and concealed. Vents should be located near the roof ridge or protected by a cricket so that snow shedding from the roof cannot shear them off. ENERGY CONSERVATION Owners are strongly encouraged to respect the harsh winter climate in the design of their residences and to utilize all possible energy conserving technologies. Among the methods owners might wish to consider are: • Proper sitting and the use of heat -retaining materials to maximize passive solar gain and re -radiation. • Active solar systems, where solar panels can be reasonably concealed. • Thermopane glazing and the reduction of window area on the north and Northwest facing elevations. 10313 A11088923 2 17 • Super insulated or cold roof design. • Wall insulation of a minimum R-30 value. • Innovative heating systems, such as radiant floor elements. • Electronically controlled and programmable thermostats. • Airlock entries and vestibules. • Avoidance of wind -exposed sites. • The use of trees as windbreaks and deciduous trees on South facing elevations. • Water conserving toilets and flow restricted faucets. FIRE PROTECTION The following wildfire mitigation shall be provided for; 1. All homes and structures will be required to be pre -wired for monitoring fire, health/safety, burglary, freezing temperatures and sewage treatment and transmission failures. 2. All structures shall be separated by a minimum of 50 feet distance. 3. All residential structures shall be limited to two stories above grade. 4. All roof structures shall be made from non-combustible materials and be able to obtain a Class A fire rating. 5. AU structures will be required to keep and maintain a minimum of two fire extinguishers. 6. Spring Valley Ranch P.U.D. will construct a fire station at the Village Center to support the Fire/EMS District. 7. Any residence in the Ranch lot area of the development that is constructed in excess of 18,000 square feet will be required to construct an additional fire hydrant within 100 feet of the residence. 8. Minimum fireflows within the development are as follows; Wilderness Cabins and Golf lots (1500 gpm), Estate Lots (1625 gpm), Ranch Lots (2125 gpm). All other areas of the PUD will be provided with minimum fireflows in accordance with UFC 1997/Table 3A. Each lot will be provided with a water line stub at the lot line that will be a minimum of one and a half inches in diameter. The service line to the residence may need to be larger to provide adequate flow and pressure to meet fire demands. The fire district will determine line size. 10313\111088923.2 18 • In the Spring Valley Ranch P.U.D., habitable structures over 2,500 square feet must be constructed with a modified NFPA 13 fire sprinkler system installed as required and approved by the fire district. In some instances, building exteriors will be fire sprinkled depending on the wildfire hazard -rating, types of vegetation, fuel break clearing limits, slope gradients, and orientation or types of building materials being used. CONSTRUCTION MANAGEMENT STANDARDS LICENSING Builders must be licensed contractors with bonding and / or insurance as mandated by the State of Colorado. COMPLIANCE DEP©SITS Each owner is responsible for any damage caused to roads, ditches, fences, trails, natural drainage courses, utilities, Association property or other lots or property during the construction of improvements or other activities on his homestead. Each owner is also responsible for any damage caused by utility cuts in roads, washouts and runoff damage caused by failure to install culverts properly and to repair any such damage in a timely manner. MANAGEMENT OF CONSTRUCTION ACTIVITY Efficient management of construction activity is necessary in order to minimize site disturbance and protect each owner's privacy and views. Construction personnel are the responsibility of the owner. The owner must provide his contractors with handouts explaining construction regulations specific to Spring Valley Ranch P.U.D. The contractor is responsible for erecting any required construction signs and displaying the building permit. Construction staging and storage of building materials shall take place only within the development envelope, and building materials must be delivered directly to a storage area at the construction site. The staging area, all construction materials, and trash disposal bins shall be located in as compact an area as possible close to the approved building site, where they are the least visible. The contractor may maintain a small job office on the site until thirty days after completion of the permanent structure, Construction personnel are permitted to park only within the driveway corridor and the development envelope. No construction vehicles may park on roads outside the areas specified, nor is trespassing by workers permitted outside these areas. The general contractor is responsible for providing a temporary, enclosed chemical toilet at the construction site, preferably screened from view and located away from neighbors. No firearms or unchained dogs shall be allowed on construction sites. 10313101088923.2 19 Noise from radios and other electronic devices shall not be audible more than 300 feet from the center of the construction site. PROTECTION OF THE CONSTRUCTION SITE Plans detailing fugitive dust control measures, temporary erosion control measures, and staging locations and procedures during construction are required for approval by DRB before application for a building permit may be submitted to the County and before construction may begin. To avoid unnecessary, damage to the landscape, snow fencing or chainlink fence must be erected around the area within the development envelope that will be affected by construction. The fenced area of disturbance must be the minimum required for the DRB approved construction activity and must be defined on the site plans that are submitted to DRB for review. in addition, the contractor must clearly flag all trees to be retained and erect a protective barrier at the tree's dripline and will be responsible for replacing any damaged vegetation with plants of equal value. The contractor is responsible for disposing of excess dirt and vegetation cleared from the building site and is expected to keep the community's main roads clean and unpaved access must be watered for dust control during construction. Construction access on-site should be graveled to reduce airborne dust. 103131111088923.2 20 • • • • APPENDIX A: RESIDENTIAL APPLICATION FORM SPRING VALLEY RANCH P.U.D. SITE AND ARCHITECTURAL REVIEW COMMITTEE (DRB) Lot Number: Application Date: Application Fee: Check the appropriate box(es) for this application Type of Reviews Pre -Planning Meeting Conceptual Design Review Final Plan Review New Single -Family Residence New Accessory Structure • Guest House • Barn • Other (Specify) Structure Renovation N/A Site/Landscape Modification N/A Miscellaneous (Specify) GENERAL SUBMITTAL INFORMATION • An application will be deemed complete and accepted only after all information requested below is provided to the Site and Architectural Review Committee (DRB) • All plans must conform to the provisions of the Covenants, Conditions and Restrictions of Spring Valley Ranch F.U.D. • The appropriate fee must accompany the application. • Please contact a DRB representative with any questions about the application. As the owner of the above referenced homestead 1 hereby authorize this application and 1 acknowledge that 1 have read and will comply with all of the provisions contained in the Master Declaration and Guidelines including the Construction Management Standards. Owner's Signature: Printed Name of Signatory: 10313\1110889232 A- I SECTION I - CONTACT INFORMATION A. Name of Owner(s): Mailing Address: Telephone: Fax: ( ( B. Name of Applicant: Relationship to Owners: Mailing Address: Telephone: Fax: ( ( C. Name of Architect: Mailing Address: Telephone: Fax: ) ) Lot Number: SECTION II - PROJECT DATA A. Lot Acreage B. Development Envelope Acreage C. Proposed Site Areas: Primary Unit: Accessory Unit: Barn:. Corral: Irrigated Area: Hardscape: Other: Undeveloped: Total Disturbed Area: D. Number of Bedrooms, all units: E. Number of Covered Parking Spaces: Number of Uncovered Spaces: 10313\1\1088923.2 A-2. • • • Total Parking: F. Number of Kitchens Number of Bathrooms Number of Fireplaces G. Maximum Slope of Driveway % (First 20 feet of driveway is % slope.) (Last 20 feet of driveway is % slope.) H. Proposed Building Height feet. (Submit drawing of building height calculations drawn over building elevations.) I. List of Materials Building Type of Material Specifications, Product Color Roof (Pitch is ) Other Wall Materials Utility Meters (locate on plans) Fascia Soffits Windows Window Trim Exterior Doors Garage Doors Door Trim Hand or Deck Rails Flues, Caps Flashings Chimney Enclosures Trash Enclosures 10313\1\1088923.2 A-3 (locate on plans) Greenhouses Exterior Lighting Fixtures (attach cut sheets) Gutters SECTION III - STRUCTURE RENOVATION A. Describe structure(s) and proposed renovation: • B. Plan Requirements: 1) Submit photographs or previously approved plans, 2) Submit two (2) full size sets and six (6) 11" X 17" reduction sets of plans as appropriate. SECTION IV - SITE/LANDSCAPE MODIFICATION A. Describe proposed siteflandscape modifications B. Plan Requirements: 1) Submit photographs or previously approved plans, 2) Submit two (2) full size sets and six (6) 11" X 17" reduction sets of plans as appropriate. 1031311\1088423.2 A-4 SECTION V - MISCELLANEOUS REVIEW A. Describe review requested: B. Contact DRB representative for plan requirements. 10313\1\1088923.2 A-5 .4 INIEWKS.,;;;.g.T17 VEGETATION MAP EXHIBIT G-4 SPRING VALLEY RANCH P.U.D. MASTER PLAN PLANNER: DESIGN WORKSHOP, INC. 120 EAST MAIN STREET ASPEN, CO 81611 (970) 925-8354 CIVIL ENGINEERING: JEROME GAMBA & ASSOCIATES, INC. COMM eros & LAND SUFNEYORS POST OFFICE BOX 1458 113 NINTH STREET - SUITE 214 GLENWOOD SPRINGS, COLORADO 81602 (970) 945-2550 lkdv ye'7K %4111, tS1fr1kt - 7.111ka 'gee Jill l0(I((((((0111L DATE: DECEMBER 15, 2000 600 0 600 1200 GRAPHIC SCALE IN FEET 1 INCH = 600 FEET 1800 75'.1111 TY EASEIdtNT DUPLEX2 R17 VEGETATION LEGEND ASPEN, LOW CROWN DENSITY ASPEN, MEDIUM CROWN DENSITY ASPEN, HIGH CROWN DENSITY ■ DOUGLAS -FIR, LOW CROWN DENSITY ■ DOUGLAS -FIR, MEDIUM CROWN DENSITY ■ DOUGLAS -FIR, HIGH CROWN DENSITY MOUNTAIN GRASSLAND OAKBRUSH, LOW CROWN DENSITY ■ OAKBRUSH, MEDIUM CROWN DENSITY ■ OAKBRUSH, HIGH CROWN DENSITY ■ PINYON -JUNIPER, LOW CROWN DENSITY ■ PINYON -JUNIPER, MEDIUM CROWN DENSITY ■ SPRUCE -FIR. HIGH CROWN DENSITY SAGEBRUSH OPEN WATER ■ WILLOW -RIPARIAN SALE NOTE: SLOPE, VEGETATION, AND WILDFIRE HAZARD DATA PREPARED AND PROVIDED BY COLORADO STATE FOREST SERVICE COLORADO STATE FOREST SERVICE SLOPE MAP EXHIBIT G-3 SPRING VALLEY RANCH P.U.D. MASTER PLAN PLANNER: DESIGN WORKSHOP, INC. 120 EAST MAIN STREET ASPEN, CO 81611 (970) 925-8354 CIVIL ENGINEERING: JEROME GAMBA & ASSOCIATES, INC. CONSULT/4O ENGINEERS & LAND SURVEYORS POST OFFICE BOX 1458 113 NINTH STREET - SUITE 214 GLENWOOD SPRINGS, COLORADO 81602 (970) 945-2550 ( ( It fillS'"IF \ ; ii(i-ea/'';; 7St S %Vt'S%ft,rr_cir ////r i, i, %%Illillill.l _ �tir "//i/Ar___k__,,,,%,- `\ ‘ Nb(tra - Jil v ri r• te,14/ „,,, fif- DATE: DECEMBER 15, 2000 600 0 600 1200 1800 GRAPHIC SCALE IN FEET 1 INCH = 600 FEET -R58 \ /01-5 15 1 SLOPE LEGEND 0% TO 5% 6% TO 20% 21% TO 40% 40% + $$$ I c_nwrilit, 'N‘1:1 -24 NOTE: SLOPE, VEGETATION, AND WILDFIRE HAZARD DATA PREPARED AND PROVIDED BY COLORADO STATE FOREST SERVICE 7 WILDFIRE HAZARDS AREA MAP (WHAM) - EXHIBIT G-2 SPRING VALLEY RANCH PLANNER: DESIGN WORKSHOP, INC_ 120 EAST MAIN STREET ASPEN, CO 81611 (970) 925-8354 JEROME GAMBA & ASSOCIATES, INC. ConSUu.IO BrO11 48 at. LMS SURVEYORS POST OFFICE BOX 1458 113 NINTH STREET — SUITE 214 GLENWOOD SPRINGS, COLORADO 81602 (970) 945-2550 z 1/42::) \\k ti`�`, t1i ll�IdEmw ' Aft GRAPHIC SCALE IN FEET 1 INCH = 600 FEET NOTE: SLOPE, VEGETATION, AND WILDFIRE HAZARD IDATA PREPARED AND PROVIDED BY COLORADO STATE FOREST SERVICE MILIMMISMilraWAURitiiter FIRE AND EMS SERVICE MAP EXHIBIT G-1 SPRING VALLEY RANCH P.U_D- ■ R7'II 1.167.952. sale' 26.61 acres 2,539,661. sq.11. 58.30 acres R70 1.421,275. 1,091,584. sq.ft 25.05 acres 32.62 PLANNER: DESIGN WORKSHOP, INC_ 120 EAST MAIN STREET ASPEN, CO 81611 (970) 925-8354 CIVIL ENGINEERING: JEFIOME GAMBA & ASSOCIATES, INC. 0018311[3 ENGINEERS & LAND SURVEYORS POST OFFICE BOX 1458 113 NINTH STREET - SUITE 214. GLENWOOD SPRINGS. COLORADO 81602 (970) 945-2550 9 1,575.445. sq.ft 36.16 acres 7- J I 2,265,283. sq.it 52.00 acres 6%,066. sq.ft. 1 acres 400 410. 1. \_i ▪ 1 36.34 acres 4.00 GRA VEL 2.129.068- sq ft. ▪ '® 48.87 acres '5✓ I; 1.168.491. APIETL 26.82 aorta 1500 -1- .200 RGAV SHARED DRIVEWAY 12.00 .1,101,434_ sq.ft. 25.28 arses B Mite -Village 1,'0,043. ,.ft. 25.71 acres 60.1TO ISDN 4.00 IDITAND- SITOULIaR i RANCH ROAD 1,113,642. sq.ft. 25.56 acres i 735 476_ sq ft_ 43.- 1 acres 1,525,670. sq.fL 35.02 acres 1,335,33. sq.ft. 30.65 ticres 1,091,097_ sq_R 25.04 acres 1,604,579 sq. ft. 36.83 acres 1,729,981. sq.ft 39.71 acres DATE: DECEMBER 15, 2000 1,092,188- sq.ft. 25.08 acres 2,481,463. sq.ft 56.96 acre's 1,274,482. sq.fL 29.25 acres IFIEDESTRIAN SII.D0 RCN/ i MINOR ROAD :141.011 PAVEMENT1200 1 2-00 AA. RACE 6�� COLLECTOR ROAD 5 -001 1.190,146. sq_t 27.32 acres x.ao e� AdiED ERRE TRAP - ,zoo 80.00 R1GMTT OF WAY ENTRANCE ROAD 807.872. sq.ft 18.54 acres M10_8 05101'\ 1,092,434. sq.ft. 25.07 acres R52 1.183.111. sq.ft 27.16 acres 1,164,729. sq.ft 26.73 acres 1,299,08. sq.ft 29.82 Cres 2.172.592. sq.ft 49.87 acres El 18 zs7.yr5 n. apes El 15 196,417. sq.R 4.48 aeras El 07 /2011,115. sq.ft 4.68 acres_. ti 1.150,764. sq.ft. 26.41 acres 1,105,078. sq.ft 25,36 acres 1,109,850. sq.fL 25.47 acres E 119 26,099. sq� 131 312_ sq. 1,138,514. sq.ft. 26.13 acres 1,153,128. sq.fL 26.47 acres 178,497.sg- 4.0 19.9 2 E72 217,315. sq.ft 4.98 ares 233 37 sq 11 5.3 acres 245.006. 5q" 5.62 acres 2.670. 19.m 1.089.485 sq ft.. 25.01 acres 1.096.394. sq.ft. 25.16 acres lE� 215'1 1t1,292.sgIR 1.128,578. sq.ft. 25.90 acres {, 1,446,783. sq.ft 33.21 acres 1.117.033. sq.ft, 25.64 acres 243,198. 09.11 186,313. Sq. E83 S7 E74 14x. 14 x111115 1,211,360. sq.ft. 27.80 acres 4.33 acres 1,221.112. sq.ft 28.03 acres 1,632,831. sq.ft. 37.48 acres 1,103.744. sq.fl. 25.33 acres 1 Mile -Ranch 1,461,650. sq. 33.55 acres 6.11 arcs 195,456. sq -R 4.48 asses 1,101,087. sq.ft 25.27 ares .3 Mile -Village 249,023, salt - 5.71 asses DUPLEX2 350.811. sq.A 8.05 alas t 1,114,274. sq.ft_ 25.58 acres 11 717,565. sq.ft. 16.47 acres 1,125,824. sq ft 25.84 acres 1.293.016. sq.fL 29.68 acres 237,237. sq.11, '3riving 2ange 1,598.274_ sq. ft_ 36 69 acres SLOPE LEGEND l I 0% TC) 15% 15% TO 30% 30% + 200 O r' 218,095. s ..R 5.00 acres 2,212.837. sq.it 50.79 acnes LUBHOUSE 1 737.302. sq.ft. 15.92 eves 454.445. sq.2 10 43 arse, 75' UTILI EASEMENT 1.684.567. sq. 38.67 acres 5 Mi/e� vin .9a OUT PARCEL El 8 511,58. sq.tt_ 11.74 -mss Ell 429,517. sq.fL 9.06 acres 1,255,646. sq.ft. 28.82 acres 200 400 600 GRAPHIC SCALE IN FEET 1 INCH - 200 FEET LEGEND Zr Propoaad X Mile -Village - -X Mile -Ranch - - TANK CB FIRE HYDRANT WITH A FLOW 0E1500 GPM 442,555. sq.ft 10.15 acres El 5 243.017. salt 5.59 ave, OUT PARCEL Ell 430,71 .R 75' UTILITY EASEMENT 1 ' 71.935. sq.ft. .79 acres FIRE HYDRANT WITH A FLOW OF 1875 GPM FIRE HYDRANT WITH A FLOW OF 2125 GPM FIRE HYDRANT W1TH A FLOW OF 2125 GPM (TO BE CONSTRUCTED WITH RESILIENCE) F1136 HYDRANT WITH A MINIMUM FLOW PER UFC 97 TABLE 3.4. EXISTING LAKE LOCATION FOR DRY HYDRANT PROPOSED LAKE LOCATION FOR DRY HYDRANT DISTANCE FROM VILLAGE FIRE STATION DISTANCE FROM RANCH FIRE SUBSTATION WATER TANK FIRE STATION HAMMERHEAD TURN -AROUND ROAD NOT WITHIN 600 FT OF A TURN -AROUND EQUESTRIA55! CENTER RV -BOAT STORAGE AREA 1 METRO DISTRICT PROPERTY BOUNDARY FIRE 1 STATION CHURCH/CEMETERY CUL-DE-SAC LENGTHS NAME LENGTH E. CONUNDRUM TRAIL 1218.57 11 W. CONUNDRUM TRAIL 826.94 ft SHAVANO COURT 6516,27 R POLAR STAR COURT 504.49 ft JACKSON COURT 829.66 ft RIPPLE LANE VARAIN COURT 1315.1911 380.12 ft AZURE COURT 1133.3611 BOX ELDER COURT 1041145 ft CHI PETA COURT 333.09 ft SUNSET COURT 320.53 ft DEFIANCE COURT 399.72 11 SHEPERD LANE 546.3311 MARSTON DRIVE 1701.59 ft KEEFE TRAIL 821.53 11 ROSE CROWN COURT 224 30 ft SEVERO COURT 1064.3815 LANDIS COURT 2163.37 ft OURAY ROAD 503.35 ft SAPHIRE WAY 1061.35 ft HUBBARD LANE 2271.6615 HAGERMAN COURT 1446.50 ft YAMPA ROAD 2596.5611 TABER NASH COURT 2040.67 ft MOSS COURT 3255.15 ft WEST MAROON DRIVE 3825.99 ft TAYLOR C01112T 1754.5811 EAST MAROON DRIVE 3288.33 ft COLOROW LANE 1698.56 ft ROAD LEGEND - ENTRANCE ROAD - COLLECTOR ROAD - MINOR ROAD 116 TOTAL LENGTH OF ALL ROADS WITHIN THE PROJECT IS 217.209.51 FEET OR 41.14 MILES. TURNAROUNDS ARE IITIONED ALONG THE INTERNAL ROAD SYSTEM SO THAT 213,722.56 FEET OR 40.48 MILES (98.4 %) OF THE IRNAL ROADWAYS ARE WITHIN 600 -FEET FROM A TURNAROUND. 1L STRUCTURES IN THE RESIDENTIAL/RANCH LOTS DISTRICT, RESIDENTIAL/ESTATE LOTS DISTRICT, IDENTIALJEQU ESTRIAN LOT DISTRICT, RESIDENTIAL/GOLF LOTS DISTRICT. REST DENTIAL/OUPLEX LOTS DISTRICT, IDENTIAL/CCIOPERATIVE OWNERSHIP CABINS DISTRICT, GOLF CLUB HOUSE DISTRICT, REAL ESTATE SALES IRICT, OPEN SPACE/AGRICULTURE DISTRICT, OPEN SPACE GOLF DISTRICT LARGER THAN 200 SQUARE FEET LL BE SPRINKLERED IN ACCORDANCE WITH NFPA 13. ALL RESIDENTIAL STRUCTURES IN THE IDENTIAL/COMMERICIAL/MIXED USE DISTRICT LARGER THAN 3,600 SQUARE FEET SHALL BE SPRINKLERED IN ,ORDANCE WITH NFPA 13. ALL OTHER STRUCTURES AND USES N THE RESIDENTIALJCOMMERICALJMIXED USE fRICT SHALL BE SPRINKLERED N ACCORDANCE WITH NFPA 13. JEL BREAK VEGETATION MODIFICATION. RELATIVE TO STRUCTURES WILL BE ACCOMPLISHED IN ACCORDANCE 1 SECTION 16. 1997 UNIFORM FIRE CODE. APPENDIX II -A_ RANCH ROAD SHARED DRIVEWAY