Lake of the Hills Estates

Homeowners Association

Bylaws


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                            ARTICLE I

                               Name

The name of this corporation is and shall be LAKE OF THE HILLS ESTATES HOMEOWNERS ASSOCIATION , and for convenience shall be referred to hereinafter as the “Association”.

 

                            ARTICLE II  

                             Purposes

The Association shall be conducted as a nonprofit corporation for the purposes set forth in the Articles of Incorporation and the declaration of Protective Covenants and Restrictions of LAKE OF THE HILLS ESTATES.  

                           ARTICLE III

                           Definitions

Section 1.  “Association” shall mean and refer to LAKE OF THE HILLS ESTATES HOMEOWNERS ASSOCIATION , its successors and assigns.  

Section 2.  “Properties” shall mean and refer to properties within LAKE OF THE HILLS ESTATES as described in the declaration of Protective Covenants and Restrictions.

Section 3.  “Common area” shall mean property owned, or otherwise maintained, repaired, or administered by the Association.

Section 4.  “Owner” or “lot owner” shall be any person or entity who is a record owner of a fee or undivided fee interest or purchaser under contract of any presently existing or subsequently divided lot or parcel referred to above.  The term “owner” is not intended to include persons or entities holding an interest merely as security for the performance of an obligation.

Section 5.  “Member” shall mean and refer to those persons entitled to membership as provided herein and in the Declaration.  

Section 6.  “Declaration” shall mean the recorded declaration of Protective Covenants and Restrictions of LAKE OF THE HILLS ESTATES as now or hereafter amended.

Section 7.  LAKE OF THE HILLS ESTATES ” means the property described in the declaration of Covenants and Restrictions of LAKE OF THE HILLS ESTATES recorded under Clallam County Auditor’s File No. __________.

Section 8.  “RCW 64.38” means Revised Code of Washington, Chapter 64.38, Homeowner’s Associations.  

                            ARTICLE IV

                            Membership

Section 1.  The privileges as defined in the Declaration of the Association shall be extended to the spouse and children of a member and may be extended to guests under such rules and regulations as the Board of Directors may prescribe.

Section 2.  No membership may be conveyed or transferred except by sale of the lot to which such membership is appurtenant or the making of a contract for the sale thereof.  In the event of the death of a member, his or her membership shall pass in the same manner and to the same person as does the lot to which such membership is appurtenant.  

Section 3.  No memberships shall be forfeited nor any members expelled.  No member may withdraw except under the transfer of title to or upon contracting for the sale of the real property to which his membership is appurtenant.

Section 4.  Each lot in LAKE OF THE HILLS ESTATES , excluding entrance area Lot 12, shall have only one vote.  If a lot has more than one owner, each owner shall have his or her proportionate share of that one vote.  If a lot is divided, each new lot will have one vote.

Section 5.  At all special or regular meetings of the membership a quorum shall consist of fifty (50%) percent of the total votes of the Association present at the beginning of the meeting in person or by proxy.  Proxy votes will be identified to the Secretary at the beginning of the meeting.

Section 6.  The Association shall have an annual meeting of the membership for the purpose of electing Directors, ratifying the proposed annual budget and any other matters listed on the agenda.  The annual meeting shall be held at such time as is provided in Article V, Section 9.4 herein.

Section 7.  Special meetings may be called by the President, a majority of the board of directors, or members representing at least twenty five (25%) percent of the total votes of the Association.  

Section 8.  Notice of annual and special meetings shall state the place, day and hour of the meeting and the purpose or purposes for which the meeting is called and any other matters as are required by RCW 64.38 as now or hereafter amended.  An agenda of matters to be considered shall be included.  In the case of an annual meeting, a summary of the budget shall be included.  The notice shall be given by the Secretary not less than fourteen (14) days nor more than sixty (60) days prior to the meeting by being hand delivered or sent prepaid by first class U.S. mail to the mailing address of each member or to any other mailing address designated in writing by the member.   

                            ARTICLE V

                        Board of Directors

 

Section 1.  Number and Qualifications.  The affairs of the Association shall be governed by a Board of Directors composed of five (5) persons.  

Section 2.  Election and Term of Office.  The Directors shall be elected by a majority of the members at the annual meeting in which a quorum is present.  The term of office of each Director or Directors shall be fixed at two (2) years.  The election of three Directors shall be held in odd years and two in even years. 

Section 3.  Vacancies.  Vacancies in the Board of Directors caused by any reason shall be filled by vote of the majority of the remaining Directors, even though they may constitute less than a quorum; each person so selected shall serve for the unexpired term of his predecessor and until a successor is elected and seated at an annual meeting of the Association.

Section 4. Removal of Directors.  Any Director may be removed with or without cause by a majority vote of the membership at a special meeting of the members called for that purpose at which a quorum is present.  

Section 5.  Nomination of Directors.   Nomination for election to the Board of Directors shall be made from the floor at the annual meeting. 

Section 6. Special Meetings.  Special meetings of the Board of Directors may be called by the President on three (3) days’ notice to each Director, given personally or by mail, addressed to his residence or by telephone, which notice shall state the time, place and purpose of the meeting.  Special meetings of the Board of Directors may be called by the President or Secretary in a like manner and on like notice upon the written request of a majority of the Directors.  

Section 7.  Board of Directors’ Quorum.  At all such meetings of the Board of Directors a majority of the Directors shall constitute a quorum for the transaction of business, and the acts of the majority of the Directors present at a meeting at which a quorum is present shall be the acts of the Board of Directors. Directors may participate in a meeting by means of a conference telephone or other communication equipment whereby all persons participating in the meeting can hear each other at the same time.

Section 8.  Power of the Board of Directors.  The Board of Directors shall have the power to:

8.1 To establish annual assessments, including special assessments approved by a majority vote of the homeowners, for the common benefit of the land for utilities, roadways, property protection, drainage, landscaping, insurance, improvements, payment of taxes upon common property, or otherwise for common purposes, including the enforcement of the covenants and restrictions.  Annual maintenance assessments shall be initially set at $200 per year per lot, and may be adjusted by the Board of Directors with a maximum increase of 5% per year.  Normal due dates for the assessment will be July 1st of each year.  Delinquent charges of 10% of the delinquent amount per month will be imposed 30 days after the due date.  The Directors shall not allow unreasonable accumulation of funds and shall adjust the annual assessment accordingly.

8.2  To adopt reasonable rules and regulations governing use of the common areas and for enforcement of the Protective Covenants.

8.3  To enforce the provisions of this Declaration and such Articles, Bylaws or rules and regulations as may be adopted.

8.4  To supervise the ownership, repair, maintenance and improvements of the common areas.

8.5.  To institute or defend all forms of lawsuits or other proceedings as may be necessary to further protect the interests of the Association or the common areas and to incur reasonable attorneys’ fees and costs on such activities.

8.6  To purchase supplies or services which may be necessary for administration of the common areas or to any functions allocated to the Association.

8.7  To grant easements to any other property or individual, across the common areas, upon such conditions as may be reasonable.

 Section 9.  Duties of the Board of Directors.  It shall be the specific duties of the Board of Directors to:

9.1  Hold one annual meeting of the Board.  The Board may hold other regular meetings during the year as the Board by majority vote may agree upon.

9.2  Cause to be kept a complete record of all its acts and corporate affairs, including minutes of all meetings which shall be available to all members and their authorized agents upon request.  All meetings of the Board shall be open for all members and their authorized agents as provided in and subject to closed executive sessions as authorized by RCW 64.38 as now or hereafter amended.

9.3  To supervise the care and maintenance of the common areas and facilities.

9.4  Adopt an annual proposed budget, set a date for the annual meeting of the members, and give notice as provided in Article IV, Section 8 (which notice shall include a budget summary). 

9.5  Issue, or cause the appropriate officer to issue, upon demand, by any person, a certificate setting forth whether or not any assessments have been paid.  A reasonable charge may be imposed by the Board for the issuance of these certificates. 

9.6  Procure and maintain adequate liability and hazard insurance.

9.7  To keep financial and other records sufficiently detailed to enable the Association to fully declare to each member the true statement of its financial status.

9.8  To prepare or cause to be prepared at least annually a financial statement of the Association.  A copy of the annual financial statement shall be submitted to the members of the Association at the annual meeting.

9.9  To keep funds of the Association only in accounts in the name of the Association and not commingle those funds with other persons or legal entities.

                            ARTICLE VI

                             Officers

Section 1.  Designation.  The executive officers of the Association shall be a President, Vice President, Secretary and Treasurer, and Architectural Control Coordinator, all of whom shall be elected by and from the Board of Directors.

Section 2.  Election of Officers.  The officers of the Association shall be elected annually by the Board of Directors at the organizational meeting of each new Board after the annual election and shall hold office at the pleasure of the Board, and/or until their successors be elected and qualified.

Section 3. Removal of Officers.  Upon an affirmative vote of a majority of the members of the Board of Directors, any officer may be removed, either with or without cause and his successor elected at any regular meeting of the Board of Directors or at any special meeting of the Board of Directors called for that purpose.  Removal of such officer, however, shall not affect a removal from his position as a member of the Board of Directors.

Section 4.  Vacancies.  A vacancy in any office may be filled by appointment by the Board of Directors.  The officer appointed to such vacancy shall serve for the remainder of the unexpired term of the officer whom he replaces.

Section 5.  President.  The President shall be the chief executive officer of the Association.  He or she shall preside at all meetings of the Association and of the Board of Directors.  He or she shall have all of the general powers and duties which are usually vested in the office of the President of an Association, including, but not limited to, the power to appoint committees from among the members from time to time as he may in his discretion decide is appropriate to assist in the conduct in the affairs of the Association.

Section 6.  Vice President.  The Vice President shall take the place of the President and perform his or her duties whenever the President shall be absent or unable to act.  If neither the President or Vice President is able to act, the Board of Directors shall appoint some other member of the Board to do so on a interim basis.  The Vice President shall also perform such other duties as shall from time to time be imposed upon him by the Board of Directors.

Section 7.  Treasurer.  The Treasurer shall receive, keep faithfully, and deposit in such bank or banks as may be designated by the Board of Directors, all funds, securities and liquid assets of the Association in its name for its account and shall disburse funds of the Association under the direction of the Board of Directors on checks signed in the manner from time to time determined by the Board of Directors.  He or she shall keep full and accurate books of account and shall make such reports of the finances and transactions of the Association as may be required by the Board of Directors and shall prepare and present to the annual meeting of the members a full statement showing in detail the financial condition of the Association.  He or she shall file appropriate tax returns as necessary.

Section 8.  Secretary.  The Secretary shall attend and keep the minutes of all meetings of the Board of Directors or of the Association, shall give all notices as provided by the Bylaws, and shall have such other powers and duties as may be incidental to the office of Secretary, given him by these Bylaws, or assigned to him from time to time by the Directors.  If the Secretary shall not be present at any meeting, the presiding officer shall appoint a Secretary pro-tempore who shall keep the minutes of such meeting and record them in the books provided for that purpose.

Section 9. Architectural Control Coordinator. The Architectural Control Coordinator (ACC) shall be responsible for receiving and coordinating the evaluation process for disposition of building plans and requests for homes, satellite structures, fences, driveways and any structural activity related to the building restrictions and limitations as stated in the Protective Covenants, Conditions, and Restrictions.  ACC liaison activities shall occur between the Board of Directors and the Homeowner Association members submitting written plans and requests for approval.  The final APPROVAL/DISAPPROVAL of building plans and requests will be determined by the Board of Directors.  The ACC is responsible for generating and maintaining files of building plans and requests submitted for approval along with the Director’s disposition of the submittals.   

            ARTICLE VII

                        Books and Records

The books and records and papers of the Association, including the Articles of Incorporation, Bylaws, and the Protective Covenants and Restrictions shall be subject to inspection and copying by any member of the Association or their respective authorized agents.

  

                  ARTICLE VIII

                            Accounting

Section 1.  Budget.  Compatible with the terms and conditions of the Protective Covenants and Restrictions contained in each member’s deed or contract of purchase and of the levy of assessments required to be made pursuant thereto, the Board of Directors shall adopt a proposed annual budget.  Such proposed annual budgets and any proposed special budgets will be submitted to the membership for ratification.  In the event the proposed annual or special budget is rejected or the required notice is not given, the periodic budget last ratified by the members shall be continued until such time as the members ratify a subsequent budget proposed by the Board.

Section 2.  Depository.  The depository of the Association shall be such bank or banks as shall be designated from time to time by the Board of Directors and in which the monies of the Association shall be deposited.  Withdrawal of monies from such accounts shall be only by check signed by two Directors.  The Board of Directors shall, from time to time, in their discretion, advise and direct the Treasurer, or other person charged with the responsibility of investment or accumulated funds, as to the investment of such funds.

                            ARTICLE IX

                           Assessments

Section 1.  There shall be annually levied and collected, assessments, including special assessments, as fixed by the Board of Directors pursuant to the provisions of Article IX hereof.  Assessments shall be deemed to be charges levied by the Association on an annual basis, against each and every lot, except the entrance area Lot 12, to be used to defray the administrative costs and expense of the Association, and for the common benefit of the properties for utilities, roadways, property protection, drainage, landscaping, insurance, improvements, payment of taxes upon any common areas and the holding of ownership or otherwise for common purposes.  Except as is provided in the Declarations, assessments shall be made to apply equally to each lot without regard to the size thereof or any other factors or circumstances which might be considered in the absence of this provision.

Section 2.  Each owner is obligated to pay to the Association annual and special assessments which shall be secured by a continuing lien upon the property against which the assessment is made.  Any assessment which is not paid when due, shall be deemed delinquent.  Written notice of the lien may be filed with the Clallam County Auditor by the Board of Directors. If the assessment is not paid within thirty (30) days after the due date, a delinquency charge of 10% per month will be added until paid, and the Association may bring an action at law against the owner personally obligated to pay the same, or foreclose the lien against the property, and interest, expenses of title examination and insurance, costs and attorney’s fees of any such action shall be added to the amount of such assessment. No owner may waive or otherwise except liability for assessments provided for herein by non-use of the services or property available or by abandonment of his property, or by any other means whatsoever.  Assessments may be collected on an annual, semi-annual, quarterly or monthly basis as the Board of Directors shall from time to time fix and determine.  

                            ARTICLE X

                     Miscellaneous Provisions

Section 1.  Rules of Conduct.  Rules, regulations and restrictions concerning the use of any common areas and facilities may be promulgated and amended by the Board of Directors from time to time.  Copies of such rules, regulations and restrictions shall be furnished by the Board to each owner prior to their effective date.  Such rules, regulations and restrictions shall be in addition to the restrictions that are set forth in the protective covenants and restrictions of each owner’s deed or contract of purchase.

Section 2.  Invalidity.  The invalidity of any part of these Bylaws shall not impair or effect in any manner the validity, enforceability or effect of the balance thereof.

Section 3.  Captions.  The captions herein are inserted only as a matter of convenience and for reference and in no way confine, limit or describe the scope of these Bylaws or the intent of any provision thereof.

Section 4.  The Use of Section, Number and Gender.  The use of the masculine gender in these Bylaws shall be deemed to include the feminine gender and the use of the singular shall be deemed to include the plural where the context so requires.

Section 5.  Waiver.  No restriction, condition, obligations or provision contained in these Bylaws shall be deemed to have been abrogated or waived by reason of any failure to enforce the same, irrespective of the number of violations or breaches thereof which may occur.

Section 6.  Conflicts.  In case of any conflict between the Articles of Incorporation and these Bylaws, the Articles shall control.  In the case of conflict among the Articles, Bylaws and Declaration, the Declaration shall control.

Section 7.  Amendment of Bylaws.  These Bylaws may be amended, modified or revoked in any respect from time to time by a majority vote of the Board of Directors in a regular or special meeting called for that purpose; provided, that any such amendment prior to becoming effective shall first be submitted to the general membership for their consideration and approval or disapproval by majority vote at the next following annual meeting of the Association, or at a special meeting called for that purpose at which a quorum is present.

 

                        ADOPTION OF BYLAWS

The foregoing Bylaws were adopted by a majority vote of the

Directors of the Association on the _____ day of _________, 2000.

 

LAKE OF THE HILLS ESTATES

 HOMEOWNERS ASSOCIATION

 

 

____________________________

Ray Kawal, President

ATTEST:

 

 

_________________________

Soeren Poulsen, Secretary