POLICIES AND PROCEDURES OF

ADOPTION AND AMENDMENT OF POLICIES, PROCEDURES AND RULES

Policies, procedures and rules shall be adopted, amended or repealed at the discretion of the board of directors.

Notification of such action shall be posted on the Association web site and by notice at the annual meeting.

COLLECTION POLICY

Assessments are delinquent if not paid by Aug. 1 each year.

Liens in the amount of assessments in arrears plus $15 filing fee per lien plus a $15 filing fee for release of lien shall be recorded on or about 30 days after the annual meeting on the second Sunday in August.

In order to assist property owners with their Association status, properties that are in arrears shall have Lot numbers only posted on the Association web page and on invoices included in the next annual meeting notice sent by regular mail.

MEETINGS POLICY (BOARD AND MEMBER MEETINGS)

Notices of annual meetings shall be posted on the Association web page and in the annual meeting notice sent to property owners by regular mail. Notice of special meetings shall be posted on the Association web page and on the Jade Road message board.

Officers shall be elected by secret ballot if requested by at least 20% of the Participating Property Owners present at the meeting or represented by proxy. Hand counting is permitted in other proceedings that require a vote unless at least 20% of the Participating Property Owners present at the meeting or represented by proxy requests a secret ballot. Written proxies by absentee Participating Property Owners are allowed at annual and special meetings. Secret ballots must be counted by a neutral third party or committee of volunteer property owners who are not Board members or candidates.

Property Owners in Good Standing may attend meetings of the board of directors. Property Owners not in good standing may attend annual or board meetings but will not be allowed to speak, participate or vote unless they become Property Owners in Good Standing prior to the beginning of the meeting.

In any event, a majority of the board of directors may say who shall or shall not speak at board meetings.

EXAMINATION, INSPECTION AND COPYING OF ASSOCIATION RECORDS

Association records, including meeting minutes, board and committee reports, and financial reports and statements shall be kept in the Association office according to the provisions of Senate Bill 100 passed in 2005.

Property Owners in Good Standing wanting to examine, inspect or copy Association records may do so provided such notification is delivered to the board of directors in writing at least five business days in advance, specifying what record is to be examined, inspected or copied.

Property Owners in Good Standing shall pay the actual cost, including personnel time, of copying Association records before records are provided.

4.  Property Owners in Good Standing who request a list of other Property Owners

within the subdivision must reveal the purpose of obtaining the list, and must be             in the requesting Property Owner’s interest as a member in the Association.  If the requesting Property Owner cannot provide a valid reason for requesting the list, the requesting member will be referred to the Teller County website where they may review the county public records and obtain the desired information.

5.  Property Owners in Good Standing may request a list of subdivision lot numbers

with assessments in arrears as it pertains to the member’s interest in the corporation.

ENFORCEMENT POLICY

Fines for covenant non-compliance shall be assessed at the rate of $5 per day and imposed as a lien on the offending property.

Members requesting a hearing on this policy shall meet with the board at a time and place convenient to all parties.

Complaints of covenant non-compliance shall be investigated and parties shall

be notified of the board’s  findings. Board decisions are final.   Upon receipt of notification by the Board of a covenant violation by a Property Owner, the Board members shall meet at the earliest convenient time, or at the next regularly scheduled Board meeting if within 30 days, to review the alleged violation.  If it is determined by the Board that a violation has occurred, a certified letter will be sent to the offending Property Owner notifying the Property Owner of the covenant violation, and outlining a request for Covenant compliance.  If no action has been taken by the Property Owner to contact the Board or bring the Covenant violation into compliance within 30 days of receipt of the first letter, a second certified letter will be sent and a copy will be sent to the Association’s attorney.  If, after another 30 days has passed, and still no action has been taken or the Covenant violation brought into compliance, the matter will be turned over to the Association’s attorney for possible legal proceedings.

HANDLING BOARD MEMBER CONFLICTS OF INTEREST

If any contract or action taken by the board will financially benefit a board member, board member's parent, grandparent, spouse, child or sibling, or the parent or spouse of any of those persons, the board member must disclose the conflict of interest at an open meeting prior to any action being taken. The board member may participate in discussions, and shall be allowed to vote on that issue.

Any contract in violation of conflicts of interest is void unless:

The transaction is fair to the Association; and

Disclosure is made to the Board and the Board authorizes, approves, or ratifies it; or

The transaction is disclosed to the Property Owners, and subsequently approved.

RESERVE FUND AND INVESTMENT POLICY

Twin Rock Improvement Association will adopt a reserve fund and investment policy when it becomes applicable. In the meantime, Association assets consist of an interest bearing checking account and weed eater.

Financial statements are available without charge upon written notice from any Property Owner in Good Standing.

Weed eaters and any other equipment may be kept in a member’s garage provided the board is kept advised of the location. Whatever equipment is owned is available for reasonable use by any Property Owner in Good Standing.

ARCHITECTURAL REVIEW STANDARDS

The Architectural Control Committee shall review all applications to build homes, home additions, garages, sheds, barns, or any other structure on any Lot in Twin Rock Subdivision. All structures shall comply with provisions of the Twin Rock restrictive covenants.

Applications shall be on forms provided by the Association and accompanied by blueprints and other documents.

Where covenants do not stipulate building requirements, county codes shall apply.

Applications shall be considered approved if not disapproved in writing within 30 days of receipt.

Building criteria are found in Twin Rock restrictive covenants.

POLICY REGULATING FLAGS/FLAGPOLES AND POLITICAL SIGNS

Teller County codes shall prevail regarding flags, flagpoles and political signs.

Except for “For Sale,” “Private Property,” owner name signs and numerical addresses, no other signage is allowed unless approved by a majority of the board of directors.

PROCEDURES TO BE USED BY ASSOCIATION IN COOPERATING WITH OWNERS SELLING UNITS

The Board shall assist owners selling units by providing copies of bylaws and covenants, and by assisting the owner with logging onto the Association’s web page.

A charge consisting of actual costs, including personnel time, of copying Association records shall be paid in advance.

The Association’s property owners list may not be used by a person for a purpose unrelated to the owner’s interest as a property owner without the consent of the Board.

ALTERNATIVE DISPUTE RESOLUTION POLICY

The board shall attempt an amicable resolution of disputes between the board and an owner, or between an owner and an owner that involves the board of directors.  In the event of any dispute involving the Association and owner, the owner is invited and encouraged to meet with the Board and resolve the dispute informally and without the need for litigation.  If the owner requests to meet with the Board, the Board shall make a reasonable effort to comply with the owner’s request.

Nothing in this policy shall be construed to require any specific form of alternative dispute resolution, such as mediation or arbitration, or require the parties to meet.  Neither the Association nor the Owner waives any right to pursue whatever other legal or remedial actions are available to either party.

FINANCIAL REVIEW

1.  The books & financial records of the Association may be audited or reviewed

upon the request of at least 1/3 of the Participating Property Owners.  The audit or review must be performed by an individual appointed by the board, but not a member of the board, with a basic understanding of accounting from prior business experience, education above the high school level, or a bona fide home study program.  The review must be completed and submitted to the board within 30 days of the official request for inclusion in the Association’s records.

PROCEDURES FOR BOARD MEMBERS TO REQUEST REIMBURSEMENT FOR DIRECTOR EDUCATION EXPENSES

The president shall have broad discretion in determining board member requests for training and education.

Board members seeking additional training or education shall submit a written request to the board.