Friday, November 29, 2013
Oakbrook Townhouses Board Roster
Ken Karch is a registered professional engineer with over 35 years of experience in environmental and organizational management in local and state government, non-profit organizations, private consulting, and industry. He holds an undergraduate degree in Civil Engineering from Illinois Institute of Technology, and Masters degrees in Engineering and in Public Health from the University of Michigan. He is a graduate of the University of Chicago’s Industrial Relations Executive Program and Columbia University’s Executive Program in Business Administration. Ken has served on a variety of high-level nation-, state-, region-, and industry-wide boards, commissions, and councils, chairing many of them. Ken spent the last fifteen years as manager and director of Total Quality for a Fortune 100 company; manager of a 7000 acre conservation organization property, Vice President of a Public Development Authority managing a public water system, and President and General Manager of a 2000 member homeowners association
Friday, November 22, 2013
RCWs Governing Homeowners Associations
Below is the RCW (Revised Code of Washington) governing homeowners associations, including recent changes adopted by the State legislature. In general, the RCW governs except where the associations' CC&Rs and/or bylaws are more specific.Chapter 64.38 RCWHOMEOWNERS' ASSOCIATIONS |
RCW Sections
|
Notes:
| Speed enforcement: RCW 46.61.419. |
64.38.005
Intent.
The intent of this chapter is to provide consistent laws regarding the formation and legal administration of homeowners' associations.[1995 c 283 § 1.]
64.38.010
Definitions.
For purposes of this chapter:(1) "Assessment" means all sums chargeable to an owner by an association in accordance with RCW 64.38.020.
(2) "Baseline funding plan" means establishing a reserve funding goal of maintaining a reserve account balance above zero dollars throughout the thirty-year study period described under RCW 64.38.065.
(3) "Board of directors" or "board" means the body, regardless of name, with primary authority to manage the affairs of the association.
(4) "Common areas" means property owned, or otherwise maintained, repaired or administered by the association.
(5) "Common expense" means the costs incurred by the association to exercise any of the powers provided for in this chapter.
(6) "Contribution rate" means, in a reserve study as described in *RCW 64.34.380, the amount contributed to the reserve account so that the association will have cash reserves to pay major maintenance, repair, or replacement costs without the need of a special assessment.
(7) "Effective age" means the difference between the estimated useful life and remaining useful life.
(8) "Full funding plan" means setting a reserve funding goal of achieving one hundred percent fully funded reserves by the end of the thirty-year study period described under RCW 64.38.065, in which the reserve account balance equals the sum of the deteriorated portion of all reserve components.
(9) "Fully funded balance" means the current value of the deteriorated portion, not the total replacement value, of all the reserve components. The fully funded balance for each reserve component is calculated by multiplying the current replacement cost of the reserve component by its effective age, then dividing the result by the reserve component's useful life. The sum total of all reserve components' fully funded balances is the association's fully funded balance.
(10) "Governing documents" means the articles of incorporation, bylaws, plat, declaration of covenants, conditions, and restrictions, rules and regulations of the association, or other written instrument by which the association has the authority to exercise any of the powers provided for in this chapter or to manage, maintain, or otherwise affect the property under its jurisdiction.
(11) "Homeowners' association" or "association" means a corporation, unincorporated association, or other legal entity, each member of which is an owner of residential real property located within the association's jurisdiction, as described in the governing documents, and by virtue of membership or ownership of property is obligated to pay real property taxes, insurance premiums, maintenance costs, or for improvement of real property other than that which is owned by the member. "Homeowners' association" does not mean an association created under chapter 64.32 or 64.34 RCW.
(12) "Lot" means a physical portion of the real property located within an association's jurisdiction designated for separate ownership.
(13) "Owner" means the owner of a lot, but does not include a person who has an interest in a lot solely as security for an obligation. "Owner" also means the vendee, not the vendor, of a lot under a real estate contract.
(14) "Remaining useful life" means the estimated time, in years, before a reserve component will require major maintenance, repair, or replacement to perform its intended function.
(15) "Replacement cost" means the current cost of replacing, repairing, or restoring a reserve component to its original functional condition.
(16) "Reserve component" means a common element whose cost of maintenance, repair, or replacement is infrequent, significant, and impractical to include in an annual budget.
(17) "Reserve study professional" means an independent person who is suitably qualified by knowledge, skill, experience, training, or education to prepare a reserve study in accordance with *RCW 64.34.380 and 64.34.382.
(18) "Residential real property" means any real property, the use of which is limited by law, covenant or otherwise to primarily residential or recreational purposes.
(19) "Significant assets" means that the current replacement value of the major reserve components is seventy-five percent or more of the gross budget of the association, excluding the association's reserve account funds.
(20) "Useful life" means the estimated time, between years, that major maintenance, repair, or replacement is estimated to occur.
[2011 c 189 § 7; 1995 c 283 § 2.]
Notes:
| Reviser's note: *(1) The references to RCW 64.34.380 and 64.34.382 appear to be erroneous. References to RCW 64.38.065 and 64.38.070, respectively, were apparently intended. (2) The definitions in this section have been alphabetized pursuant to RCW 1.08.015(2)(k). Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.015
Association membership.
The membership of an association at all times shall consist exclusively of the owners of all real property over which the association has jurisdiction, both developed and undeveloped.[1995 c 283 § 3.]
64.38.020
Association powers.
Unless otherwise provided in the governing documents, an association may:(1) Adopt and amend bylaws, rules, and regulations;
(2) Adopt and amend budgets for revenues, expenditures, and reserves, and impose and collect assessments for common expenses from owners;
(3) Hire and discharge or contract with managing agents and other employees, agents, and independent contractors;
(4) Institute, defend, or intervene in litigation or administrative proceedings in its own name on behalf of itself or two or more owners on matters affecting the homeowners' association, but not on behalf of owners involved in disputes that are not the responsibility of the association;
(5) Make contracts and incur liabilities;
(6) Regulate the use, maintenance, repair, replacement, and modification of common areas;
(7) Cause additional improvements to be made as a part of the common areas;
(8) Acquire, hold, encumber, and convey in its own name any right, title, or interest to real or personal property;
(9) Grant easements, leases, licenses, and concessions through or over the common areas and petition for or consent to the vacation of streets and alleys;
(10) Impose and collect any payments, fees, or charges for the use, rental, or operation of the common areas;
(11) Impose and collect charges for late payments of assessments and, after notice and an opportunity to be heard by the board of directors or by the representative designated by the board of directors and in accordance with the procedures as provided in the bylaws or rules and regulations adopted by the board of directors, levy reasonable fines in accordance with a previously established schedule adopted by the board of directors and furnished to the owners for violation of the bylaws, rules, and regulations of the association;
(12) Exercise any other powers conferred by the bylaws;
(13) Exercise all other powers that may be exercised in this state by the same type of corporation as the association; and
(14) Exercise any other powers necessary and proper for the governance and operation of the association.
[1995 c 283 § 4.]
Notes:
| Speed enforcement: RCW 46.61.419. |
64.38.025
Board of directors — Standard of care — Restrictions — Budget — Removal from board.
(1) Except as provided in the association's governing documents or this chapter, the board of directors shall act in all instances on behalf of the association. In the performance of their duties, the officers and members of the board of directors shall exercise the degree of care and loyalty required of an officer or director of a corporation organized under chapter 24.03 RCW.(2) The board of directors shall not act on behalf of the association to amend the articles of incorporation, to take any action that requires the vote or approval of the owners, to terminate the association, to elect members of the board of directors, or to determine the qualifications, powers, and duties, or terms of office of members of the board of directors; but the board of directors may fill vacancies in its membership of the unexpired portion of any term.
(3) Within thirty days after adoption by the board of directors of any proposed regular or special budget of the association, the board shall set a date for a meeting of the owners to consider ratification of the budget not less than fourteen nor more than sixty days after mailing of the summary. Unless at that meeting the owners of a majority of the votes in the association are allocated or any larger percentage specified in the governing documents reject the budget, in person or by proxy, the budget is ratified, whether or not a quorum is present. In the event the proposed budget is rejected or the required notice is not given, the periodic budget last ratified by the owners shall be continued until such time as the owners ratify a subsequent budget proposed by the board of directors.
(4) As part of the summary of the budget provided to all owners, the board of directors shall disclose to the owners:
(a) The current amount of regular assessments budgeted for contribution to the reserve account, the recommended contribution rate from the reserve study, and the funding plan upon which the recommended contribution rate is based;
(b) If additional regular or special assessments are scheduled to be imposed, the date the assessments are due, the amount of the assessments per each owner per month or year, and the purpose of the assessments;
(c) Based upon the most recent reserve study and other information, whether currently projected reserve account balances will be sufficient at the end of each year to meet the association's obligation for major maintenance, repair, or replacement of reserve components during the next thirty years;
(d) If reserve account balances are not projected to be sufficient, what additional assessments may be necessary to ensure that sufficient reserve account funds will be available each year during the next thirty years, the approximate dates assessments may be due, and the amount of the assessments per owner per month or year;
(e) The estimated amount recommended in the reserve account at the end of the current fiscal year based on the most recent reserve study, the projected reserve account cash balance at the end of the current fiscal year, and the percent funded at the date of the latest reserve study;
(f) The estimated amount recommended in the reserve account based upon the most recent reserve study at the end of each of the next five budget years, the projected reserve account cash balance in each of those years, and the projected percent funded for each of those years; and
(g) If the funding plan approved by the association is implemented, the projected reserve account cash balance in each of the next five budget years and the percent funded for each of those years.
(5) The owners by a majority vote of the voting power in the association present, in person or by proxy, and entitled to vote at any meeting of the owners at which a quorum is present, may remove any member of the board of directors with or without cause.
[2011 c 189 § 8; 1995 c 283 § 5.]
Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.028
Removal of discriminatory provisions in governing documents — Procedure.
(1) The association, acting through a simple majority vote of its board, may amend the association's governing documents for the purpose of removing:(a) Every covenant, condition, or restriction that purports to forbid or restrict the conveyance, encumbrance, occupancy, or lease thereof to individuals of a specified race, creed, color, sex, or national origin; families with children status; individuals with any sensory, mental, or physical disability; or individuals who use a trained dog guide or service animal because they are blind or deaf or have a physical disability; and
(b) Every covenant, condition, restriction, or prohibition, including a right of entry or possibility of reverter, that directly or indirectly limits the use or occupancy of real property on the basis of race, creed, color, sex, national origin; families with children status; the presence of any sensory, mental, or physical disability; or the use of a trained dog guide or service animal by a person with a physical disability or who is blind or deaf.
(2) Upon the board's receipt of a written request by a member of the association that the board exercise its amending authority granted under subsection (1) of this section, the board must, within a reasonable time, amend the governing documents, as provided under this section.
(3) Amendments under subsection (1) of this section may be executed by any board officer.
(4) Amendments made under subsection (1) of this section must be recorded in the public records and state the following:
"This amendment strikes from these covenants, conditions, and restrictions those provisions that are void under RCW 49.60.224. Specifically, this amendment strikes:
(a) Those provisions that forbid or restrict use, occupancy, conveyance, encumbrance, or lease of real property to individuals of a specified race, creed, color, sex, or national origin; families with children status; individuals with any sensory, mental, or physical disability; or individuals who use a trained dog guide or service animal because they are blind or deaf or have a physical disability; and
(b) Every covenant, condition, restriction, or prohibition, including a right of entry or possibility of reverter, that directly or indirectly limits the use or occupancy of real property on the basis of race, creed, color, sex, national origin; families with children status; the presence of any sensory, mental, or physical disability; or the use of a trained dog guide or service animal by a person with a physical disability or who is blind or deaf."
(5) Board action under this section does not require the vote or approval of the owners.
(6) As provided in RCW 49.60.227, any owner, occupant, or tenant in the association or board may bring an action in superior court to have any provision of a written instrument that is void pursuant to RCW 49.60.224 stricken from the public records.
(7) Nothing in this section prohibiting discrimination based on families with children status applies to housing for older persons as defined by the federal fair housing amendments act of 1988, 42 U.S.C. Sec. 3607(b)(1) through (3), as amended by the housing for older persons act of 1995, P.L. 104-76, as enacted on December 28, 1995. Nothing in this section authorizes requirements for housing for older persons different than the requirements in the federal fair housing amendments act of 1988, 42 U.S.C. Sec. 3607(b)(1) through (3), as amended by the housing for older persons act of 1995, P.L. 104-76, as enacted on December 28, 1995.
(8) Except as otherwise provided in subsection (2) of this section, (a) nothing in this section creates a duty on the part of owners, occupants, tenants, associations, or boards to amend the governing documents as provided in this section, or to bring an action as authorized under this section and RCW 49.60.227; and (b) an owner, occupant, tenant, association, or board is not liable for failing to amend the governing documents or to pursue an action in court as authorized under this section and RCW 49.60.227.
[2006 c 58 § 2.]
Notes:
| Finding -- Intent -- 2006 c 58: "The legislature finds that some homeowners' associations have governing documents that contain discriminatory covenants, conditions, or restrictions that are void and unenforceable under both the federal fair housing amendments act of 1988 and RCW 49.60.224. The continued existence of these discriminatory covenants, conditions, or restrictions is contrary to public policy and repugnant to many property owners. It is the intent of chapter 58, Laws of 2006 to allow homeowners' associations to remove all remnants of discrimination from their governing documents." [2006 c 58 § 1.] |
64.38.030
Association bylaws.
Unless provided for in the governing documents, the bylaws of the association shall provide for:(1) The number, qualifications, powers and duties, terms of office, and manner of electing and removing the board of directors and officers and filling vacancies;
(2) Election by the board of directors of the officers of the association as the bylaws specify;
(3) Which, if any, of its powers the board of directors or officers may delegate to other persons or to a managing agent;
(4) Which of its officers may prepare, execute, certify, and record amendments to the governing documents on behalf of the association;
(5) The method of amending the bylaws; and
(6) Subject to the provisions of the governing documents, any other matters the association deems necessary and appropriate.
[1995 c 283 § 6.]
64.38.033
Flag of the United States — Outdoor display — Governing documents.
(1) The governing documents may not prohibit the outdoor display of the flag of the United States by an owner or resident on the owner's or resident's property if the flag is displayed in a manner consistent with federal flag display law, 4 U.S.C. Sec. 1 et seq. The governing documents may include reasonable rules and regulations, consistent with 4 U.S.C. Sec. 1 et seq., regarding the placement and manner of display of the flag of the United States.(2) The governing documents may not prohibit the installation of a flagpole for the display of the flag of the United States. The governing documents may include reasonable rules and regulations regarding the location and the size of the flagpole.
(3) For purposes of this section, "flag of the United States" means the flag of the United States as defined in federal flag display law, 4 U.S.C. Sec. 1 et seq., that is made of fabric, cloth, or paper and that is displayed from a staff or flagpole or in a window. For purposes of this section, "flag of the United States" does not mean a flag depiction or emblem made of lights, paint, roofing, siding, paving materials, flora, or balloons, or of any similar building, landscaping, or decorative component.
(4) The provisions of this section shall be construed to apply retroactively to any governing documents in effect on June 10, 2004. Any provision in a governing document in effect on June 10, 2004, that is inconsistent with this section shall be void and unenforceable.
[2004 c 169 § 1.]
64.38.034
Political yard signs — Governing documents.
(1) The governing documents may not prohibit the outdoor display of political yard signs by an owner or resident on the owner's or resident's property before any primary or general election. The governing documents may include reasonable rules and regulations regarding the placement and manner of display of political yard signs.(2) This section applies retroactively to any governing documents in effect on July 24, 2005. Any provision in a governing document in effect on July 24, 2005, that is inconsistent with this section is void and unenforceable.
[2005 c 179 § 1.]
64.38.035
Association meetings — Notice — Board of directors.
(1) A meeting of the association must be held at least once each year. Special meetings of the association may be called by the president, a majority of the board of directors, or by owners having ten percent of the votes in the association.(2) Not less than fourteen nor more than sixty days in advance of any meeting of the association, the secretary or other officers specified in the bylaws shall provide written notice to each owner of record by:
(a) Hand-delivery to the mailing address of the owner or other address designated in writing by the owner;
(b) Prepaid first-class United States mail to the mailing address of the owner or to any other mailing address designated in writing by the owner; or
(c) Electronic transmission to an address, location, or system designated in writing by the owner. Notice to owners by an electronic transmission complies with this section only with respect to those owners who have delivered to the secretary or other officers specified in the bylaws a written record consenting to receive electronically transmitted notices. An owner who has consented to receipt of electronically transmitted notices may revoke the consent at any time by delivering a written record of the revocation to the secretary or other officer specified in the bylaws. Consent is deemed revoked if the secretary or other officer specified in the bylaws is unable to electronically transmit two consecutive notices given in accordance with the consent.
(3) The notice of any meeting shall state the time and place of the meeting and the business to be placed on the agenda by the board of directors for a vote by the owners, including the general nature of any proposed amendment to the articles of incorporation, bylaws, any budget or changes in the previously approved budget that result in a change in assessment obligation, and any proposal to remove a director.
(4) Except as provided in this subsection, all meetings of the board of directors shall be open for observation by all owners of record and their authorized agents. The board of directors shall keep minutes of all actions taken by the board, which shall be available to all owners. Upon the affirmative vote in open meeting to assemble in closed session, the board of directors may convene in closed executive session to consider personnel matters; consult with legal counsel or consider communications with legal counsel; and discuss likely or pending litigation, matters involving possible violations of the governing documents of the association, and matters involving the possible liability of an owner to the association. The motion shall state specifically the purpose for the closed session. Reference to the motion and the stated purpose for the closed session shall be included in the minutes. The board of directors shall restrict the consideration of matters during the closed portions of meetings only to those purposes specifically exempted and stated in the motion. No motion, or other action adopted, passed, or agreed to in closed session may become effective unless the board of directors, following the closed session, reconvenes in open meeting and votes in the open meeting on such motion, or other action which is reasonably identified. The requirements of this subsection shall not require the disclosure of information in violation of law or which is otherwise exempt from disclosure.
[2013 c 108 § 1; 1995 c 283 § 7.]
64.38.040
Quorum for meeting.
Unless the governing documents specify a different percentage, a quorum is present throughout any meeting of the association if the owners to which thirty-four percent of the votes of the association are allocated are present in person or by proxy at the beginning of the meeting.[1995 c 283 § 8.]
64.38.045
Financial and other records — Property of association — Copies — Examination — Annual financial statement — Accounts.
(1) The association or its managing agent shall keep financial and other records sufficiently detailed to enable the association to fully declare to each owner the true statement of its financial status. All financial and other records of the association, including but not limited to checks, bank records, and invoices, in whatever form they are kept, are the property of the association. Each association managing agent shall turn over all original books and records to the association immediately upon termination of the management relationship with the association, or upon such other demand as is made by the board of directors. An association managing agent is entitled to keep copies of association records. All records which the managing agent has turned over to the association shall be made reasonably available for the examination and copying by the managing agent.(2) All records of the association, including the names and addresses of owners and other occupants of the lots, shall be available for examination by all owners, holders of mortgages on the lots, and their respective authorized agents on reasonable advance notice during normal working hours at the offices of the association or its managing agent. The association shall not release the unlisted telephone number of any owner. The association may impose and collect a reasonable charge for copies and any reasonable costs incurred by the association in providing access to records.
(3) At least annually, the association shall prepare, or cause to be prepared, a financial statement of the association. The financial statements of associations with annual assessments of fifty thousand dollars or more shall be audited at least annually by an independent certified public accountant, but the audit may be waived if sixty-seven percent of the votes cast by owners, in person or by proxy, at a meeting of the association at which a quorum is present, vote each year to waive the audit.
(4) The funds of the association shall be kept in accounts in the name of the association and shall not be commingled with the funds of any other association, nor with the funds of any manager of the association or any other person responsible for the custody of such funds.
[1995 c 283 § 9.]
64.38.050
Violation — Remedy — Attorneys' fees.
Any violation of the provisions of this chapter entitles an aggrieved party to any remedy provided by law or in equity. The court, in an appropriate case, may award reasonable attorneys' fees to the prevailing party.[1995 c 283 § 10.]
64.38.055
Governing documents — Solar panels.
(1) The governing documents may not prohibit the installation of a solar energy panel by an owner or resident on the owner's or resident's property as long as the solar energy panel:(a) Meets applicable health and safety standards and requirements imposed by state and local permitting authorities;
(b) If used to heat water, is certified by the solar rating certification corporation or another nationally recognized certification agency. Certification must be for the solar energy panel and for installation; and
(c) If used to produce electricity, meets all applicable safety and performance standards established by the national electric code, the institute of electrical and electronics engineers, accredited testing laboratories, such as underwriters laboratories, and, where applicable, rules of the utilities and transportation commission regarding safety and reliability.
(2) The governing documents may:
(a) Prohibit the visibility of any part of a roof-mounted solar energy panel above the roof line;
(b) Permit the attachment of a solar energy panel to the slope of a roof facing a street only if:
(i) The solar energy panel conforms to the slope of the roof; and
(ii) The top edge of the solar energy panel is parallel to the roof ridge; or
(c) Require:
(i) A solar energy panel frame, a support bracket, or any visible piping or wiring to be painted to coordinate with the roofing material;
(ii) An owner or resident to shield a ground-mounted solar energy panel if shielding the panel does not prohibit economic installation of the solar energy panel or degrade the operational performance quality of the solar energy panel by more than ten percent; or
(iii) Owners or residents who install solar energy panels to indemnify or reimburse the association or its members for loss or damage caused by the installation, maintenance, or use of a solar energy panel.
(3) The governing documents may include other reasonable rules regarding the placement and manner of a solar energy panel.
(4) For purposes of this section, "solar energy panel" means a panel device or system or combination of panel devices or systems that relies on direct sunlight as an energy source, including a panel device or system or combination of panel devices or systems that collects sunlight for use in:
(a) The heating or cooling of a structure or building;
(b) The heating or pumping of water;
(c) Industrial, commercial, or agricultural processes; or
(d) The generation of electricity.
(5) This section does not apply to common areas as defined in RCW 64.38.010.
(6) This section applies retroactively to a governing document in effect on July 26, 2009. A provision in a governing document in effect on July 26, 2009, that is inconsistent with this section is void and unenforceable.
[2009 c 51 § 1.]
64.38.060
Adult family homes.
(1) To effectuate the public policy of chapter 70.128 RCW, the governing documents may not limit, directly or indirectly:(a) Persons with disabilities from living in an adult family home licensed under chapter 70.128 RCW; or
(b) Persons and legal entities from operating adult family homes licensed under chapter 70.128 RCW, whether for-profit or nonprofit, to provide services covered under chapter 70.128 RCW. However, this subsection does not prohibit application of reasonable nondiscriminatory regulation, including but not limited to landscaping standards or regulation of sign location or size, that applies to all residential property subject to the governing documents.
(2) This section applies retroactively to any governing documents in effect on July 26, 2009. Any provision in a governing document in effect on or after July 26, 2009, that is inconsistent with subsection (1) of this section is unenforceable to the extent of the conflict.
[2009 c 530 § 4.]
64.38.065
Reserve account and study.
(1) An association is encouraged to establish a reserve account with a financial institution to fund major maintenance, repair, and replacement of common elements, including limited common elements that will require major maintenance, repair, or replacement within thirty years. If the association establishes a reserve account, the account must be in the name of the association. The board of directors is responsible for administering the reserve account.(2) Unless doing so would impose an unreasonable hardship, an association with significant assets shall prepare and update a reserve study, in accordance with the association's governing documents and this chapter. The initial reserve study must be based upon a visual site inspection conducted by a reserve study professional.
(3) Unless doing so would impose an unreasonable hardship, the association shall update the reserve study annually. At least every three years, an updated reserve study must be prepared and based upon a visual site inspection conducted by a reserve study professional.
(4) The decisions relating to the preparation and updating of a reserve study must be made by the board of directors in the exercise of the reasonable discretion of the board. The decisions must include whether a reserve study will be prepared or updated, and whether the assistance of a reserve study professional will be utilized.
[2011 c 189 § 9.]Notes:
| Effective date -- 2011 c 189: "This act takes effect January 1, 2012." [2011 c 189 § 15.] |
64.38.070
Reserve study — Requirements.
(1) A reserve study as described in RCW 64.38.065 is supplemental to the association's operating and maintenance budget. In preparing a reserve study, the association shall estimate the anticipated major maintenance, repair, and replacement costs, whose infrequent and significant nature make them impractical to be included in an annual budget.(2) A reserve study must include:
(a) A reserve component list, including any reserve component that would cost more than one percent of the annual budget of the association, not including the reserve account, for major maintenance, repair, or replacement. If one of these reserve components is not included in the reserve study, the study should provide commentary explaining the basis for its exclusion. The study must also include quantities and estimates for the useful life of each reserve component, remaining useful life of each reserve component, and current major maintenance, repair, or replacement cost for each reserve component;
(b) The date of the study, and a statement that the study meets the requirements of this section;
(c) The following level of reserve study performed:
(i) Level I: Full reserve study funding analysis and plan;
(ii) Level II: Update with visual site inspection; or
(iii) Level III: Update with no visual site inspection;
(d) The association's reserve account balance;
(e) The percentage of the fully funded balance that the reserve account is funded;
(f) Special assessments already implemented or planned;
(g) Interest and inflation assumptions;
(h) Current reserve account contribution rates for a full funding plan and baseline funding plan;
(i) A recommended reserve account contribution rate, a contribution rate for a full funding plan to achieve one hundred percent fully funded reserves by the end of the thirty-year study period, a baseline funding plan to maintain the reserve balance above zero throughout the thirty-year study period without special assessments, and a contribution rate recommended by the reserve study professional;
(j) A projected reserve account balance for thirty years and a funding plan to pay for projected costs from that reserve account balance without reliance on future unplanned special assessments; and
(k) A statement on whether the reserve study was prepared with the assistance of a reserve study professional.
(3) A reserve study must also include the following disclosure: "This reserve study should be reviewed carefully. It may not include all common and limited common element components that will require major maintenance, repair, or replacement in future years, and may not include regular contributions to a reserve account for the cost of such maintenance, repair, or replacement. The failure to include a component in a reserve study, or to provide contributions to a reserve account for a component, may, under some circumstances, require you to pay on demand as a special assessment your share of common expenses for the cost of major maintenance, repair, or replacement of a reserve component."
[2011 c 189 § 10.]
Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.075
Reserve account — Withdrawals.
An association may withdraw funds from its reserve account to pay for unforeseen or unbudgeted costs that are unrelated to maintenance, repair, or replacement of the reserve components. The board of directors shall record any such withdrawal in the minute books of the association, cause notice of any such withdrawal to be hand delivered or sent prepaid by first-class United States mail to the mailing address of each owner or to any other mailing address designated in writing by the owner, and adopt a repayment schedule not to exceed twenty-four months unless it determines that repayment within twenty-four months would impose an unreasonable burden on the owners. Payment for major maintenance, repair, or replacement of the reserve components out of cycle with the reserve study projections or not included in the reserve study may be made from the reserve account without meeting the notification or repayment requirements under this section.[2011 c 189 § 11.]Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.080
Reserve study — Demand for preparation and inclusion in budget.
(1) When more than three years have passed since the date of the last reserve study prepared by a reserve study professional, the owners to which at least thirty-five percent of the votes are allocated may demand, in writing, to the association that the cost of a reserve study be included in the next budget and that the study be prepared by the end of that budget year. The written demand must refer to this section. The board of directors shall, upon receipt of the written demand, provide the owners who make the demand reasonable assurance that the board will include a reserve study in the next budget and, if the budget is not rejected by a majority of the owners, will arrange for the completion of a reserve study.(2) If a written demand under this section is made and a reserve study is not timely prepared, a court may order specific performance and award reasonable attorneys' fees to the prevailing party in any legal action brought to enforce this section. An association may assert unreasonable hardship as an affirmative defense in any action brought against it under this section. Without limiting this affirmative defense, an unreasonable hardship exists where the cost of preparing a reserve study would exceed five percent of the association's annual budget.
(3) An owner's duty to pay for common expenses is not excused because of the association's failure to comply with this section or this chapter. A budget ratified by the owners is not invalidated because of the association's failure to comply with this section or this chapter.
[2011 c 189 § 12.]
Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.085
Reserve account and study — Liability.
Monetary damages or any other liability may not be awarded against or imposed upon the association, the officers or board of directors of the association, or those persons who may have provided advice or assistance to the association or its officers or directors, for failure to: Establish a reserve account; have a current reserve study prepared or updated in accordance with the requirements of this chapter; or make the reserve disclosures in accordance with this chapter.[2011 c 189 § 13.]
Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
64.38.090
Reserve study — Exemptions.
An association is not required to follow the reserve study requirements under RCW 64.38.025 and RCW 64.38.065 through 64.38.085 if the cost of the reserve study exceeds five percent of the association's annual budget, the association does not have significant assets, or there are ten or fewer homes in the association.[2011 c 189 § 14.]
Notes:
| Effective date -- 2011 c 189: See note following RCW 64.38.065. |
Ken Karch is a registered professional engineer with over 35 years of experience in environmental and organizational management in local and state government, non-profit organizations, private consulting, and industry. He holds an undergraduate degree in Civil Engineering from Illinois Institute of Technology, and Masters degrees in Engineering and in Public Health from the University of Michigan. He is a graduate of the University of Chicago’s Industrial Relations Executive Program and Columbia University’s Executive Program in Business Administration. Ken has served on a variety of high-level nation-, state-, region-, and industry-wide boards, commissions, and councils, chairing many of them. Ken spent the last fifteen years as manager and director of Total Quality for a Fortune 100 company; manager of a 7000 acre conservation organization property, Vice President of a Public Development Authority managing a public water system, and President and General Manager of a 2000 member homeowners association
Oakbrook Townhouses "House Rules"
Attached is a set of "house rules", or governing rules and policies, adopted by the Oakbrook Townhouses, Inc. Board on December 6, 2010. The introduction provides additional information.
Oakbrook Townhouses, Inc., House Rules
Adopted by the Board on December 6, 2010
INTRODUCTION
These House Rules have been established to provide guidelines which will contribute to
the enjoyment of townhouse living and the cooperative management and operation of
our homeowners association.
The basic rules and regulations governing this Association are set down in the
Declarations and Bylaws of Oakbrook Townhouses, Inc. Fundamental house rules are
outlined in Article XI of the Declarations. Subsequent policies established by the Board
of Directors are also binding. All individuals are responsible for knowledge of and
compliance with these governing rules and policies.
PLEASE KEEP YOUR COVENANTS AND BY-LAWS WHERE YOU CAN LOOK UP
ANY OF YOUR MAINTENANCE QUESTIONS. LET YOUR RENTERS KNOW OF ALL
THESE RULES SO THEY TOO CAN TAKE CARE OF YOUR PROPERTY.
We reference the following items to the Articles X and XI of the Covenants, Conditions
and Restrictions plus Article IV, Section III of the By-Laws of Oakbrook Townhouse, Inc.
GENERAL MAINTENANCE
1. Maintaining the exterior of the units requires the cooperation of all the owners
and renters to take reasonable care of their own unit so that costly repairs will be
avoided.
2. The decks, front and back, need to be cleaned of debris and articles
which promote rotting of the wood. Carpeting traps moisture and promotes
rotting. It should be removed periodically to let the wood dry out.
3. The care and replacement of the wood decking boards on the front decks are the
responsibility of the owners. If repairs to roofing of the front or back decks is
caused by the decking boards, carpeting, planters, or any other deterioration not
related to normal weathering conditions, the cost of such repairs will be the
owners responsibility.
4. Planters and other heavy objects must be movable and weigh less than
40 pounds per square foot. Removal of containers or furniture from the front or
back decks for scheduled repairs are the owner's responsibility after notification
of the scheduled repairs.
5. Ivy destroys. Keep it off walls, foundations, mail box posts, and trees. It will kill
trees and plants if not controlled.
6. A 2-foot right of way needs to be maintained for fire fighters. All plantings in the
path of the right of way will need to be removed by the owners or, if not, will be
removed by the landscaper and his invoice will be sent to the owners. Any fence
owners must put in gates at both ends of the fence so fire fighters and
maintenance people can traverse the back in the process of their duties.
PETS, LIVESTOCK, AND POULTRY
1. No animals (including exotic birds, livestock, or poultry of any kind) other than
household pets, shall be kept or maintained on any part of said property. Dogs
and cats, not to exceed a total of two, may be kept in any unit, provided that they
are not kept, bred or maintained for any commercial use or purpose. No reptiles
shall be kept upon the premises. All dogs must be kept so as to minimize
excessive noise from barking or otherwise shall be considered a nuisance
according to the terms of the Declaration. Owners are required to immediately
clean up all pet waste from the property. No animal may be tied to or housed
upon the common elements except on decks or within fenced yards. Dogs and
cats shall be in compliance with all applicable laws and regulations.
CONFORMITY OF APPEARANCE
In order to preserve a pleasant and reasonable exterior appearance to the building,
the Board may prohibit, require or regulate any modification or decoration of the
building and decks, patios or balconies undertaken or proposed by an owner.
1. Any alteration of the common areas must be approved by the Board. Such
approval carries with it a responsibility of the owner to maintain the appearance.
2. Items on the decks shall be in keeping with preserving a pleasant and
reasonable external appearance.
3. All screens, windows, and doors (including garage doors) must have board
approval.
4. All painting of external surfaces requires prior Board approval (i.e., color, texture,
composition)
5. No satellite dishes shall be installed by an owner without prior written consent of
the Board
6. Owners/tenants who are considered by the Board to be in violation of these
policies will receive a letter from the Board requesting compliance. In the event
of non-compliance, the Board retains the authority to remove the offending items
at the owner’s expense.
PARKING REGULATIONS
1. No structure of a temporary character, trailer, basement, tent, shack, garage,
barn, or other outbuildings shall be used on any lot at any time as a residence,
either temporarily or permanently. No trailer, camper, boat, recreational vehicle,
truck larger than one (1) ton or similar equipment shall be permitted to remain
upon any property within the properties, unless placed or maintained within an
enclosed garage.
2. No vehicle shall be left standing in a parking space in a non-operative condition
or without a current license for more than 30 consecutive days.
ACTIVITY
1. Article XI, Section 3 of the Declarations provides that “no noxious or offensive
activity shall be carried on upon any lot or any part of the properties, nor shall
anything be done thereon which may be or may become an annoyance or
nuisance to the neighborhood, or which shall in any way interfere with the quiet
enjoyment of each of the owners of his/her respective dwelling unit, or which
shall in any way increase the rate of insurance.”
SAFETY
1. Due to the potential liability for the Homeowners Association, residents and
guests are not allowed to play in the walkways, on the landscaped areas, or
around parked cars. Bike/skateboard riding is prohibited in the common areas.
SIGNS
1. Article XI, Section 2 of the Declarations provides that “no sign or billboard of any
kind shall be displayed to the public view on any portion of the properties or any
lot, except one sign for each building site of not more than eighteen inches by
twenty-four inches advertising the property for sale or rent.”
MISCELLANEOUS
1. Fireworks — Due to potential fire damage or injury, lighting of any fireworks of
any kind is not allowed on Oakbrook Townhouses, Inc. property.
2. Noise — Because of the close proximity of buildings in the complex, excessive or
extended noise by music, loud conversation, a musical instrument, etc. can be
very annoying to other residents. Residents must be considerate of neighbors
when playing stereos, radios, and TVs at all times. Use of noisy appliances
(washers, dryers, dishwashers, etc) is discouraged after 10:00PM.
3. Concerns andRequests - All concerns and requestsmust be submitted inwriting to the
board. The board will act on concerns in a timelymanner and in a consistentmanner.A
timelywritten responsewill be issued to the homeownerwho filed the request/concern form.
4. Grievances — Grievances of any unit owner may be submitted to the Board, in
writing and signed. The Board will address each grievance in accordance with its
grievance procedure (to be developed). If you are disturbed by the actions
(noise, pets, violations of declarations, etc.) of another resident, you should first
make personal contact with the offending party, verbally or by written note, to
make them aware that you are being disturbed. If you do not feel comfortable
making personal contact or if results are not achieved with prior attempts, call the
property management company and voice your complaint followed by a written
notice. The board will review the claim and if the complaint is substantiated, will
send a letter or call the offending party. The offending party will be offered an
opportunity to appeal before the board personally or submit documents to show
their non-violation at the next scheduled board meeting. If found in violation, the
board shall initiate a violation notification procedure, by providing a first warning
notice. If the violation is not corrected in a reasonable time period, a second
warning notice will be issued, giving a reasonable time period for correction and
warning the violator that the Board may initiate corrective action on its own and
place a lien on the property for the amount of the corrective action. If a
homeowner fails to correct the violation, the board may place a lien against the
unit owner's residence at the unit owner's expense.
5. Additions, Alterations, or Improvements -- any personal plants, flowers, etc.
planted in the common area shall be maintained by the unit owners. Unit owners
must have prior written approval from the Board for any major transformation of
the common elements (e.g., plantings, ornamental or decorative fixtures).
6. Solicitors— Remind solicitors who come to your door that this is a "closed
complex" and that soliciting is not allowed. If this person is suspicious looking
and/or acting, don't hesitate to call the police.
7. Cable TV — Oakbrook Townhouses has a group arrangement with Comcast for
basic cable service. If you have problems with your cable TV service, please call
Comcast.
8. Rubbish, Trash, Recycleable, and Garbage Collection – all rubbish, trash and
garbage shall be regularly removed from the properties and shall not be allowed
to accumulate thereon. All refuse containers, wood piles, storage areas and
machinery and equipment shall be prohibited upon any lot, unless obscured from
view of adjoining lots and streets by a fence or appropriate screen approved by
the Architectural Control Committee. Costs for removal of any rubbish, trash and
garbage generated by the owner of any lot shall be borne by such owner. Unit
owners are expected to comply with the rules and regulations of Lakewood
refuse management agencies.
9. Monthly Dues - The monthly charges and assessments shall be used
exclusively for the benefit of the residents of the properties and to carry out such
purposes as are covered in the By-Laws. Each owner or contract purchaser shall
pay to the Association a monthly charge as established by the membership at its
annual meeting or at a special meeting called for that purpose. The monthly
charge may be increased by the Association with the consent of two-thirds (2/3)
of the members voting in person or by proxy. In addition to the monthly charges,
the Association may levy any assessment for any purpose as authorized herein
by the assent of two-thirds (2/3) of the votes of all members who are voting in
person or by proxy at the annual meeting or at a special meeting called for this
purpose. The monthly charges are due and payable on the first day of each
month. The due date of any assessment shall be fixed by the Association in the
resolution authorizing such assessment. If any monthly charge or assessment is
not paid within fifteen (15) days after it was first due, a late fee in the amount set
by the Board shall be levied. No owner or contract purchaser shall be relieved of
liability for the assessments provided herein by non-use of the Common Area or
abandonment of his/her Lot.
10.Roof or Ceiling Leaks — All such leaks should be reported to the property
management company, Northwest Properties Agency, 9527 Bridgeport Way SW,
Lakewood, WA 98499 (Phone 253 584-3633).
11.Leases —All leases or rental agreements shall be in writing and by its terms
shall provide that the terms of the lease are subject in all respects to the
provisions of the Declaration and Bylaws of the Association, and all rules and
regulations thereunder. Any failure by the lessee to comply with said documents
shall be a default in any lease or rental agreement. No owner may lease less
than their entire unit. The association shall supervise all leasing or renting of
units to insure compliance with this paragraph. Any lease or rental agreement
to which the association does not consent due to noncompliance with this
paragraph shall be null and void. Finally, the association shall not be held liable
for any damages resulting from the rejection of any lease or rental agreement
they deem to be out of compliance with this paragraph. Owners are totally
responsible to assure that their renter or lessee is provided with a copy of
these house rules, and that the lease or rental agreement states that the
renter or lessee agrees to comply with all house rules. All owners are
responsible to assure that the association is provided a copy of said
written agreement.
12.Townhouse Keys — Neither the Association Board nor the property
management company has any keys or master keys for any of the units.
Homeowners and tenants are responsible for maintaining their own keys.
13.Entry for Repairs — The Board or its agents, acting for the Association, may
enter any unit when necessary in connection with any maintenance, emergency or
other necessary repairs, replacement, construction, or other activity for which the
association is responsible or for which the unit owner is responsible, but failed to
perform. Whenever possible, the Board or its agents will attempt to notify unit
owners before gaining access.
14.Mail Boxes – Throughout the history of Oakbrook Townhouses, we have been
subject to periodic problems with mail theft and vandalism. The Board urges
member to consider installing lockable mailboxes, prompt removal of mail,
reporting of any suspicious activity in the vicinity of our mailboxes to the police or
postal authorities. Bear in mind that any deposit of material other than mail in a
mail box is a Federal offense.
15.Architectural Control – Article IX of the Declaration of Covenants, Conditions,
and Restrictions reflect the requirement for homeowners to secure approval for any
significant modification of their units, and reads as follows:
“…No building, fence, wall or other structure shall be commenced,
erected or maintained upon the properties, nor shall any exterior
addition to or change or alteration therein be made until the plans and
specifications showing the nature, kind, shape, height, materials, and
location of the same shall have been submitted to and approved in
writing as to harmony of external design and location in relation to
surrounding structures and topography by an Architectural Control
Committee of the Board of Trustees of the Association. In the event the
Architectural Control Committee fails to approve or disapprove such
design and location within 30 days after said plans and specifications
have been submitted to it, approval will not be required and this Article
will be deemed to have been fully complied with…”
16. Winterizing of Units – Members are reminded that they are responsible for
taking appropriate actions to winterize their units, and the Board offers the
following suggestions:
Disconnect all hoses and sprinklers
Wrap all outside pipes and faucets/install foam freeze caps
Keep the heat at 60 degrees F. or more
When temperatures drop below freezing, open doors to cabinets that have
any plumbing on the outside walls (eg., kitchen, bath)
It is also a good time to change smoke detector batteries and furnace filters.
Approved by Oakbrook Townhouses Board 12/6/2010
Ken Karch is a registered professional engineer with over 35 years of experience in environmental and organizational management in local and state government, non-profit organizations, private consulting, and industry. He holds an undergraduate degree in Civil Engineering from Illinois Institute of Technology, and Masters degrees in Engineering and in Public Health from the University of Michigan. He is a graduate of the University of Chicago’s Industrial Relations Executive Program and Columbia University’s Executive Program in Business Administration. Ken has served on a variety of high-level nation-, state-, region-, and industry-wide boards, commissions, and councils, chairing many of them. Ken spent the last fifteen years as manager and director of Total Quality for a Fortune 100 company; manager of a 7000 acre conservation organization property, Vice President of a Public Development Authority managing a public water system, and President and General Manager of a 2000 member homeowners association
Tuesday, November 19, 2013
Oakbrook Townhouses CC&Rs
Below is a copy of
the CC&Rs of Oakbrook Townhouses, Inc., as of November 19, 2013. Bear in mind
that the following is not an official, legal copy (though it was scanned from
such a document), so should not be used in place of such original copy,
available from Northwest Properties Agency, 9527 Bridgeport Way SW, Lakewood, WA
98499.
DECLARATION
OF COVENANTS, CONDITIONS AND RESTRICTIONS
THIS
DECLARATION, made an the date hereinafter set forth by OAKBROOK TOWNHOUSES, INC., a Washington nonprofit corporation,
WITHESSETH:
WHEREAS,
Association and members are owners of certain property in Pierce County,
Washington, more particularly described as:
A
plat of Oakbrook Townhouses, records of Pierce County, Washington, being a
replat of a subdivision of Lots 1 through 21, Block 8, Oakbrook 4th Addition as
recorded in Volume 31, pages 52 to 60, records of Pierce County.
In
addition, that part of the north half of SECTION 27, Township 20 North Range 2
East. W. M., described as follows:
Beginning
at the most easterly corner of the plat of Oakbrook Townhouses, according to
plat recorded in Book 34 of Plats at pages 55 and 56, thence due north to the
center line of Chambers Creek; thence southwesterly following the center line
of Chambers Creek, to a point which is due north of the most westerly corner of
said Oakbrook Townhouses; thence easterly along the northerly line of said
Oakbrook Townhouses to the point of beginning.
ANO
WHEREAS, twenty-one years have passed since the original version of this
document was filed and the developer, United Homes Corporation, has no further
interest in said property. The present Association and members hereby amend this
document.
NOW,
THEREFORE, Association and members hereby declare that all of the properties
described above shall be held, sold and conveyed subject to the following
easements, restrictions, covenants, and conditions, all of which are for the
purpose of enhancing and protecting the value, desirability, and attractiveness
of the real property. These easements,
covenants, restrictions, and conditions shall run with the real property and
shall be binding on all parties having or acquiring any right, title or
interest in the described properties or any part thereof, and shall inure to
the benefit of each owner thereof.
Furthermore,
this Association was formed APRIL 11, 1968, prior to the enactment of certain
laws of the State of Washington relating to condominiums or townhouse
associations.
This
Association was formed as a nonprofit corporation under the laws of the State
of Washington and continues to operate in accordance with those laws.
The
members of this Association choose not to be governed or regulated by any other
laws of the State of Washington relative to condominium townhouse associations.
The
members of this Association acknowledge that certain provisions of the RCW as
enacted by Chapter 43, Washington Laws of 1989, specifically apply to the
operations of this Association even though this Association was formed prior to
that enactment. The sections of that law that do apply to the operation are as
follows (references are to the Sections contained in Chapter 43, Washington Laws
of 1989:
1-103
(Definitions); 1-105 (Separate Titles & Taxation); 1-106 (Applicability of
Local Ordinances, Regulations, and Building Codes); 1-107 (Condemnation); 2-103
(Construction & Validity of Declaration and By Laws); 2-104 (Description of
Units); 3-102 (Powers of Unit Owners' Association) (1)(a) through (f) and (k)
through (q); 3-112 (Tort and Contract Liability); 3-117 (Lien for Assessments);
3-119 (Association Records); 4-107 (Resale of Units); 4-115 (Effect of
Violations on Rights of Action: Attorneys' Fees).
ARTICLE I
Definitions
SECTION 1.
"Association" shall mean and refer to OAKBROOK TOWNHOUSES, INC., a
Washington nonprofit corporation, its successors and assigns.
SECTION 2.
"Properties" shall mean and refer to that certain real property,
hereinbefore described, and such additions thereto as may hereafter be brought
within the jurisdiction of the Association.
SECTION 3. “Townhouse”,
"Dwelling Unit", "Lot", "Common Area". The
properties are zoned PRD (Planned Residential Development) and shall be used in
compliance with regulations established by Pierce County with respect to such a
district and the site plan for the properties heretofore approved by the
Planning Commission and the County Commissioners of Pierce County. The site
plan contemplates the erection of twelve Townhouses encompassing a total of 65
Dwelling Units. A "Townhouse" means a building containing two or more
Dwelling Units which share one or more common walls with other Dwelling Units
and with each Dwelling Unit individually occupying an individually owned Lot. A
"Dwelling Unit" means any portion of a Townhouse designed and
intended for use and occupancy as a residence by a single family. A
"Lot" shall mean any plot of land shown upon the recorded subdivision
map of the properties with the exception of the Common Area. The recorded
subdivision map of the properties shows 65 of such Lots. "Common
Area" shall mean all the properties except the Lots and is designated on
the plat of Oakbrook Townhouses as "Tract A". The Common Area is to
be owned by the Association for the common use and enjoyment of the members of
the Association.
SECTION 4. °Member° shall mean
and refer to every person or entity who holds membership in the Association.
SECTION 5. "Owner' shall
mean and refer to the record owner, whether one or more persons or entities, of
a fee simple title to any Lot, including contract sellers, but excluding those
having such interest merely as security for the performance of an obligation.
ARTICLE II
Annexation of Additional Properties
Annexation
of additional property shall require the assent of two-thirds (2/3) of the
members of the Association at a meeting duly called for the purpose. written
notice of which shall be sent to all members not less than 30 days nor more
than 60 days in advance of the meeting setting forth the purpose of the
meeting. The presence of members or of proxies entitled to cast sixty percent
(60%) of the votes of the entire membership shall constitute a quorum. If the
required quorum is not forthcoming at any meeting, another meeting may be
called, subject to the notice requirement set forth above, and the required
quorum at such subsequent meeting shall be one-half of the required quorum of
the preceding meeting. No such subsequent meeting shall be held more than 60
days following the preceding meeting. In the event that two-thirds (2/3) of the
members are not present in person or by proxy, members not present may give their
written assent to the action taken thereat.
ARTICLE Ill
Membership
Every
person or entity who is a record owner of a fee or undivided fee interest in
any Lot which is subject by covenants of record to assessment by the
Association, including contract sellers, shall be a member of the Association;
provided, however, that if any Lot is held jointly by two (2) or more persons, the
several owners of such interest shall designate one of their number as the 'Member'.
The foregoing is not intended to include persons or entities who hold an interest
merely as security for the performance of an obligation. Membership shall be
appurtenant to and may not be separated from ownership of any Lot which is
subject to assessment by the Association. Ownership of such Lot shall be the
sole qualification for membership.
ARTICLE IV
Voting Rights
Voting
shall be according to the number of Lots owned, that is, members shall be
entitled to one vote for each Lot in which they hold the interest required for
membership by Article III. When more than one person holds such interest in any
Lot, the vote for such Lot shall be exercised as they among themselves determine,
but in no event shall more than one vote be cast with respect to any Lot.
ARTICLE V
Powers of Unit Owners' Association and Property Rights
SECTION 1. The Association
may:
(a)
adopt and amend bylaws, rules, and regulations;
(b)
adopt and amend budgets for revenues, expenditures, and reserves, and impose
and collect assessments for common expenses from unit owners (wherever the term
"monthly charge" appears in this Declaration or in the By-Laws, it
shall be construed to be an assessment);
(c)
hire and discharge or contract with managing agents and other employees,
agents, and independent contractors;
(d)
institute, defend, or intervene in litigation or administrative proceedings in
it own name on behalf of itself or two or more unit owners on matters affecting
the condominiums;
(e)
make contracts and incur liabilities;
(f)
regulate the use, maintenance, repair, replacement and modification of common
elements;
(g)
impose and collect charges for late payment of assessments pursuant to SECTION
3-117(10) of Chapter 43, Washington Laws of 1989. and, after notice and an
opportunity to be heard by the Board of Trustees or by such representative
designated by the Board of Trustees and in accordance with such procedures as
provided in the Declaration or By-Laws or rules and regulations adopted by the
Board of Trustees and approved by a majority of a quorum of the members, levy
reasonable fines in accordance with a previously established schedule thereof
adopted by the Board of Trustees and furnished to the owners for violations of
the Declaration, By-Laws, and rules and regulations of the Association;
(h)
impose and collect reasonable charges for the preparation and recording of
amendments to the Declaration, resale certificates required by SECTION 4-109 of
Chapter 43, Washington Laws of 1989, and statements of unpaid assessments;
(i)
provide for the indemnification of its officers and Board of Trustees and maintain
directors'/trustees' and officers' liability insurance;
(j)
assign its right to future income, including the right to receive common
expense assessments, but only to the extent the Declaration provides;
(k)
exercise any other powers conferred by this Declaration or By-Laws;
(l)
exercise all other powers that may be exercised in this state by the same type
of corporation as the Association;
(m)
exercise any other powers necessary and proper for the governance and operation
of the Association;
(n)
to borrow money solely for Association purposes; and
(o)
acquire, hold encumber and convey in its own name any right, title, or interest
to real or personal property.
SECTION 2. Every member shall
have a right and easement of enjoyment in and to the Common Area and for
ingress and egress over and through the Common Area and such easement shall be
appurtenant to and shall pass with the title to every assessed Lot, subject to
the following provisions:
(a)
the right of the Association to limit the number of guests;
(b)
the right of the Association to charge reasonable admission and other fees for
the use of any recreational facility situated upon the Common Area;
(c)
the right of the Association to suspend the voting rights and right to use of
the recreational facilities by a member for any period during which any
assessment against his Lot remains unpaid; and far a period not to exceed 30
days for any infraction of its published rules and regulations;
(d)
the right of the Association to dedicate or transfer all or any part of the
Common Area to any public agency, authority, or utility for such purposes and
subject to such conditions as may be agreed to by the members. No such
dedication or transfer shall be effective unless agreed to by a vote of two-thirds
(2/3) of a quorum of the members entitled to vote at a meeting called for
making such a decision and unless written notice of the proposed action is sent
to every member not less than 30 days nor more than 60 days in advance of such
meeting. Provided, that any vote cast at such a meeting based on a proxy shall
have a clear written indication of the grantor of the proxy that he/she favors
or opposes the proposed dedication or transfer and the vote based on the proxy
shall be cast as the grantor has designated.
SECTION 3. Delegation of Use.
Any member may delegate, in accordance
with
the By-Laws, his right of enjoyment to the Common Area and facilities to the members
of his family, his tenants, or contract purchasers who reside on the property.
SECTION 4. Title to the Common
Area. The Association shall hold the Common Area in trust for the benefit and
enjoyment of the residents of the properties.
ARTICLE VI
Lien for Assessments
SECTION 1. The Association has
a lien on a unit for any unpaid assessments levied against a unit from the time
the assessment is due. Unless this declaration provides otherwise, fees, late charges,
fines and interest charged pursuant to Article V, SECTION 1(f) and (g) of this
declaration are enforceable as assessments under this section. If an assessment
is payable in installments, the Association has a lien for the full amount of
the assessment from the time the first installment thereof is due.
SECTION 2. A lien under this
section shall be prior to all other liens and encumbrances on a unit except:
(a) Liens and encumbrances recorded before the recording of this declaration;
(b) a mortgage on the unit recorded before the date on which the assessment
sought to be enforced became delinquent and (c) liens for real property taxes and
other governmental assessments or charges against the unit.
SECTION 3. Recording of this
declaration constitutes record notice and perfection of the lien for
assessments. While no further recording of any claim of lien for assessment
under this section shall be required to perfect the Association's lien, the
Association may record a notice of claim of lien for assessments under this
section in the real property records of Pierce County. Such recording shall not
constitute the written notice of delinquency to a mortgagee referred to in SECTION
2 of this Article.
SECTION 4. A lien for unpaid
assessments is extinguished unless proceedings to enforce the lien are
instituted within three years after the amount of the assessments sought to be
covered becomes due.
SECTION 5. The lien arising
under this section shall be enforced according to law.
SECTION 6. In addition to
constituting a lien on the unit, each assessment shall be the joint and several
obligation of the owner or owners of the unit to which the same are assessed as
of the time the assessment is due. Suit to recover a personal judgment for any
delinquent assessment shall be maintainable in any court of competent
jurisdiction without foreclosing or waiving the lien securing such sums.
SECTION 7. The Association may
from time to time establish reasonable late charges and a rate of interest to
be charged on all subsequent delinquent assessments or installments thereof. In
the absence of another established nonusurious rate, delinquent assessments shall
bear interest from the date of delinquency at the maximum rate permitted under
RCW 19.52.020 on the date on which the assessments became delinquent.
SECTION 8. The Association
shall be entitled to recover any costs and reasonable attorneys' fees incurred
in connection with the collection of delinquent assessments, whether or not
such collection activities result In suit being commenced or prosecuted to
judgment. In addition, the Association shall be entitled to recover costs and
reasonable attorneys' fees if it prevails an appeal and in the enforcement of a
judgment.
SECTION 9. In addition to the
collection and lien rights referred to above, the Association shall have the
right, after 10 days notice to the unit owner, to discontinue providing water
and cable television to the unit If maintenance or assessment fees are not
current. The monthly maintenance fees are used to provide water and cable to
each unit and the Association can thus exercise its right to discontinue these
services if it is not properly reimbursed by the unit owner.
SECTION 10. The Association
upon written request shall furnish to a unit owner or a mortgagee a statement
signed by an officer or authorized agent of the Association setting forth the
amount of unpaid assessments against that unit. The statement shall be
furnished within fifteen days after receipt of the request and is binding on
the Association, the Board of Trustees, and every unit owner, unless and to the
extent known by the recipient to be false.
SECTION 11. All monthly charges
and assessments must be fixed at a uniform rate for all lots.
SECTION 12. Exempt Property.
The following property subject to this Declaration shall be exempt from the
assessments or monthly charges created herein: (a) all properties dedicated to
and accepted by a local public authority; (b) all Common Area.
However,
no land or Improvements devoted to dwelling use shall be exempt from said
assessments.
ARTICLE VII
Party Walls
SECTION 1. General Rules of
Law to Apply. Each wall which is built as a part of the original construction
of the Townhouses and placed on the dividing line between Dwelling Units shall
constitute a party wall, and, to the extent not inconsistent with provisions of
this Article, the general rules of law regarding party walls and liability for
property damage due to negligence or willful acts or omissions shall apply
thereto.
SECTION 2. Sharing of Repair
and Maintenance. The cost of reasonable repair and maintenance of a party wall
shall be shared by the Owners who make use of the wail in proportion to such
use.
SECTION 3. Destruction by Fire
or Other Casualty. If a party wall is destroyed or damaged by fire or other
casualty, any Owner who has used the wall may restore it, and if the other
Owner(s) thereafter make use of the wall, they shall contribute to the cost of
restoration thereof in proportion to such use without prejudice; however, to
the right of any such Owner(s) to call for a larger contribution from the
others under any rule of law regarding liability for negligent or willful acts
or omissions.
SECTION 4. Weatherproofing.
Not withstanding any other provision of this Article, an owner who by his/her
negligent or willful act causes the party wall to be exposed to the elements
shall bear the whole cost of furnishing the necessary protection against such
elements.
SECTION 5. Right to
Contribution Runs with Land. The right of any owner to contribution from any
other owner under this Article shall be appurtenant to the land and shall pass
to such Owner's successors in title.
SECTION 6. Arbitration. In the
event of any dispute arising concerning a party wall, or under the provisions
of this Article, each party shall choose one arbitrator, and such arbitrators
shall choose one additional arbitrator, and the decision shall be by a majority
of all the arbitrators.
ARTICLE VIII
Encroachments
Each
lot within the properties is hereby declared to have an easement over all
adjoining lots and the common area for the purpose of accommodating any
encroachment due to engineering errors, errors in original construction,
settlement or shifting of a Townhouse or Dwelling Unit. There shall be valid
easements for the maintenance of said encroachments so long as they shall
exist, and the rights and obligations of owners shall not be altered in any way
by said encroachment, settlement or shifting. In the event any townhouse or
dwelling unit on any lot is partially or totally destroyed and then repaired
and rebuilt substantially in accordance with the original plans thereof, the
owners of each lot agree that minor encroachments over adjoining lots and the
common area shall be permitted and that there shall be valid easements for the
maintenance of said encroachments so long as they shall exist.
ARTICLE IX
Architectural Control
No
building, fence, wall or other structure shall be commenced, erected or
maintained upon the properties, nor shall any exterior addition to or change or
alteration therein be made until the plans and specifications showing the
nature, kind, shape, height, materials, and location of the same shall have
been submitted to and approved in writing as to harmony of external design and
location in relation to surrounding structures and topography by an
Architectural Control Committee of the Board of Trustees of the Association. In
the event the Architectural Control Committee fails to approve or disapprove
such design and location within 30 days after said plans and specifications
have been submitted to it, approval will not be required and this Article will
be deemed to have been fully complied with.
ARTICLE X
Exterior Maintenance
In
addition to maintenance upon the common area, the Association shall provide
exterior maintenance upon each dwelling unit which is subject to assessment or
monthly charges hereunder, as follows: paint, repair, replace and care for roofs,
gutters, downspouts, exterior building surfaces, driveways, walks, and other
exterior improvements as required by the By-Laws of the Association. Such
exterior maintenance shall not include glass surfaces.
In
the event that the need for maintenance or repair is caused through the willful
or negligent act of the owner, his family, or guests, or invitees, the cost of
such maintenance or repairs shall be added to and become a part of the
assessment or monthly charge to which such lot is subject.
ARTICLE XI
Use Restrictions
SECTION 1. None of the lots
shall be used except for residential purposes. No building shall be erected,
altered, placed or permitted to remain on any such lot other than a row or
townhouse used as a single family dwelling, and no such building shall exceed
the height above ground level specified in the original plans and
specifications for the improvements to be erected on each Lot. No building or
structure shall be built closer than three (3) feet to the front property line,
provided, that this restriction shall only apply to foundations of buildings or
structures and not to overhangs or steps.
SECTION 2. No sign or
billboard of any kind shall be displayed to the public view on any portion of the
properties or any lot, except one sign for each building site of not more than
eighteen inches by twenty-four inches advertising the property for sale or
rent.
SECTION 3. No noxious or
offensive activity shall be carried on upon any lot or any part of the
properties, nor shall anything be done thereon which may be or may become an
annoyance or nuisance to the neighborhood, or which shall in any way interfere
with the quiet enjoyment of each of the owners of his/her respective dwelling
unit, or which shall in any way increase the rate of insurance.
SECTION 4. No structure of a
temporary character, trailer, basement, tent, shack, garage, barn, or other
outbuildings shall be used on any lot at any time as a residence, either
temporarily or permanently. No trailer, camper, boat, recreational vehicle, truck
larger than one (1) ton or similar equipment shall be permitted to remain upon
any property within the properties, unless placed or maintained within an
enclosed garage.
SECTION 5. No animals or fowl
shall be raised, kept or permitted upon the properties or any part thereof,
excepting only domestic dogs or cats and excepting caged pet birds kept within
the dwelling unit, provided, said dogs, cats and pet birds are not kept, bred,
or raised for commercial purposes or in unreasonable numbers. Any dispute as to
the raising or keeping of domestic dogs, cats or caged pet birds shall be
submitted to the Association Trustees, and the decision of the Trustees in such
matters shall be final.
SECTION 6. No dwelling unit
shall be rented for transient or hotel purposes, which shall be defined as
rental for any period less than thirty (30) days.
SECTION 7. The Trustees of the
Association shall have jurisdiction over activities permitted in the common
area. All disputes and complaints regarding such use will be submitted to the
Trustees for arbitration. The judgment of the Trustees shall be final and
binding as to all parties concerned.
SECTION 8. All rubbish, trash
and garbage shall be regularly removed from the properties and shall not be
allowed to accumulate thereon. All clotheslines, refuse containers, wood piles,
storage areas and machinery and equipment shall be prohibited upon any lot,
unless obscured from view of adjoining lots and streets by a fence or appropriate
screen approved by the Architectural Control Committee. Costs for removal of
any rubbish, trash and garbage generated by the owner of any lot shall be borne
by such owner.
SECTION 9. Each owner of a lot
shall pay any real or personal property taxes or charges assessed against his
respective lot, and the utility charges for said lot, all costs of maintaining
said lot and his dwelling unit except for the exterior thereof.
SECTION 10. Installation of
outside antennas or similar devices is prohibited.
ARTICLE XII
Easements
Utility
easements are reserved as shown on the recorded plat of Oakbrook Townhouses.
Additional easements for installation, maintenance, repair and replacement of
utilities (including sanitary sewer and water, electricity, gas, telephone and
master TV antennas) and drainage facilities as originally installed are hereby
reserved.
The
rights and duties of the owners of lots within the properties with respect to
utilities and drainage facilities shall be governed by the following:
(a)
Whenever utility and drainage lines are installed within the properties, which
connections or any portions thereof lie in or upon lots or dwelling units owned
by others than the owner of a lot or dwelling unit served by said connections,
the owners of any lot or dwelling unit served by said connection shall have the
full right, and are hereby granted an easement to the full extent necessary
therefor, to enter upon lots and dwelling units or to have the utility
companies or the Association enter upon the lots or dwelling units within the
properties in or upon which said connections, or any portion thereof, lie, to
repair, replace and generally maintain said connections as and when the same may
be necessary as set forth below.
(b)
utility or drainage lines installed within the properties, which connections
serve more than one lot or dwelling unit, the owner of each lot or dwelling
unit served by said connection shall be entitled to the full use and enjoyment
of such portions of said connections as service his lot or dwelling unit; and
(c)
In the event of a dispute between owners with respect to the repair or
rebuilding of said connections or with respect to the sharing of the cost
thereof, then upon written request of one of such owners addressed to the
Association, the matter shall be submitted to the Board of Trustees who shall
decide the dispute and make an assessment against any or all of the owners
involved, which shall constitute an assessment within the meaning of Article VI
hereof.
ARTICLE XIII
Obligation by Owners To Repair or Rebuild Unit
In
the event a dwelling unit is damaged or destroyed the owner shall be obligated
to repair such damage or rebuild said dwelling unit. Insurance funds and
Association funds available will be used for that purpose and to the extent they
are available.
The
exterior is to be restored to the condition that existed prior to the damage or
destruction.
The
interior of the unit will be repaired or rebuilt so that it is as habitable as
it was prior to the damage or destruction. The owner need not replace the same
floor plan that existed previously, but the new floor plan must be such that it
wit not depreciate the market value of the unit.
The
Architectural Control Committee shall approve, in writing, all repairs and
reconstruction prior to commencement of work.
ARTICLE XIV
General Provisions
SECTION 1. Enforcement. The
Association, or any owner shall have the right to enforce, by any proceeding at
law or in equity, all restrictions, conditions, covenants, reservations, liens
and charges now or hereafter imposed by the provisions of this Declaration.
Failure by the Association or by any owner to enforce any covenant or
restriction herein contained shall in no event be deemed a waiver of the right
to do so thereafter.
SECTION 2. Severability.
Invalidation of any one of these covenants or restrictions by judgment or court
order shall in no way affect any other provisions which shall remain in full
force and effect.
SECTION 3. Amendment. The
covenants and restrictions of the Declaration shall run with the land, and
shall inure to the benefit of and be enforceable by Association, or the owner
of any lot subject to the Declaration, their respective legal representatives,
heirs, successors and assigns. The covenants and restrictions of this
Declaration may be amended by a vote of at least two-thirds (2/3) of a quorum
at a meeting called for that purpose by written notice to all owners at least
thirty (30) days and not more than sixty (60) days in advance of such meeting.
Any amendment hereof must be legally recorded.
SECTION 4. Insurance. The
Association shall provide insurance for protection against such risks as are
provided in the By-Laws.
SECTION 5. Arbitration. It is
the intent of the Association and its members to pursue private out of court
dispute resolution whereby the Association or any member having any type of
claim, grievance, demand, cause of action or dispute of any kind arising out of
the maintenance, ownership, occupancy, management, use or habitation of any
member's lot or dwelling unit against the Association, another dwelling unit
owner, purchaser, or tenant may submit that claim or grievance to final and binding
arbitration as specified in the By-Laws. The availability of such dispute
resolution programs is discussed in the By-Laws, however, the preference for
such means of dispute resolution shall not prohibit other forms of legal action
by either the Association or its individual owners or authorized residents if
arbitration is not deemed feasible.
(All
costs of arbitration, mediation or legal action shall be borne by the loosing
party, entitling the prevailing party to reasonable costs and attorney's fees
in connection with the action.)
SECTION 6. All provisions of
the Declarations and By-Laws are severable. In the event of any conflict
between the provisions of the Declaration and the provisions of the By-laws,
the provisions of the Declaration will control so long as those provisions are
not inconsistent with law.
IN
WITNESS WHEREOF, the undersigned, being the Vice President, Board of Trustees,
has hereunto set his hand and seal this 20th day of April, 1991.
OAKBROOK
TOWNHOUSES, INC.
/s/
DANIEL
R. COMSIA, Vice President
Notarized
by Lois Agrelius, Notary
April
20, 1991
Ken Karch is a registered professional engineer with over 35 years of experience in environmental and organizational management in local and state government, non-profit organizations, private consulting, and industry. He holds an undergraduate degree in Civil Engineering from Illinois Institute of Technology, and Masters degrees in Engineering and in Public Health from the University of Michigan. He is a graduate of the University of Chicago’s Industrial Relations Executive Program and Columbia University’s Executive Program in Business Administration. Ken has served on a variety of high-level nation-, state-, region-, and industry-wide boards, commissions, and councils, chairing many of them. Ken spent the last fifteen years as manager and director of Total Quality for a Fortune 100 company; manager of a 7000 acre conservation organization property, Vice President of a Public Development Authority managing a public water system, and President and General Manager of a 2000 member homeowners association
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