Issuu

A-123 57

DESCHUTES RIVER UNIT

RECREATION

PART

ENGINEER'S CERTIFICATE: l, Emile P. Bachand, a Registered Prof State of Oregon, do hereby certify

thence 50°07'E-328.10.ft

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DESCHUTES COUNTY, OREGON SCALE

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300'

that0rin

surveyed ond marked with legal monuments portions of Sections 2,3&10,T21S, RIOEW.M. Further describedas follows; Beginning a the corner c 3,10 and II,T21S, RIDE WM,marked by abrass cap the ft; thence 90°03'W-330.47 ft: thenc N-3$1.19 f

2,3810, T2IS, RIOE, W.M.

IN SECTIONS

LOCATED

HOMESITES

Section 3 T21 S, R1OE, W.M.

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OREGON

ULY 16. 19540

P. BACH

DEDICATION

s River

trees, lots and

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all Recreation

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A CKNOWLEDGEMENT: STATE

COUNTY

OREGON

32.79

DESCHUTES red that on this

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DANH.

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COUNTY SURVEYOR

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. 60

COUNTY ASSESSOR

(63

Oregon Corporation

sealed in flon by authority of its board of Dir wledged said instrument tob

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Note: Lot 76 BloGk63 to be Recrentia

Hen a dan COUNTY GLE RK

ared All taxes to

Joly Ist

1967 are are paid.

EZhofe

COUNTY COMMISSIONER 1964

fsaid

Not Publid of Ore My COmOTIssionexpires Aure, 12,1968

TRIS, RIOE W.M.

FInitial Point 2"Brass Cap

COUNTY COMMISSIONER

Filedt

° 42

7671 /и30

D.L. SenollOUNTY JUDGE G.7. Baer

was signed and

65 13

day of DECEMBER 194

FILED MAR 5

1965

HELEN M. DACEY, CO. CLERK

ApprovedDECEMBER 30

Chuti

yers

COUNTY SHERIFF

1964

CHAIRMAN, PLANNING COMMISSION

HELEN M o'clock

led:

VOL

DACEY

County Clark

Deputy

142 FACE 476

BUILDING AND USE RESTRICTIONS

DESCHUTES RIVER RECREATION

HOMESITES, INC.

DESCRUTES COUNTY, OREGON

That the undersigned Deschutes River Recreation Khowm to ll nen by these presents: Nomesites, Inc., an Oreron Corporation, is the owner of Deschutes River Recreation Homesites, located in sections 2, 3 and 10, T21 S, R 10 E. W.M., and section 35 T 20 SR 10 EWM; and the following Building and Use Restrictions shall apply to blocks 62 through 84 an Unit 6,

und these blocks shall be subject to the following covenants, conditions, restrictions unless chrnted by a majority vote of the Directors of the above named corporation.

(1)

(2)

The floor area of residences shall be of not less than 700 sq. ft. on the river frontage lots. Lots other than river frontage lots shall have a floor area of not less than 500 square feet, exclusive of one story porches and garages. Tuildings must be suitable for year around use and must be placed on permanent

continuous foundations, consisting of concrete, brick, pumice blocks or stone masonry. Pitch of the roof and size and spacing of rafters and ceiling joists

must be adequate to withstand heavy snow packs. Chimneys must be constructed from ground level and shall consist of pumice or concrete blocks, bricks, stone and

maronry

(3)

comparable fire-resistant materials.

All buildings and fences must be constructed in a work-man-like manner of attractive, properly finished materials that harmonize with the surroundings. No buildin or fonce shall be constructed within 15 feet of river channel. Fences shall not

(4)

exceed

60 inches in height.

A11 dwelling owners must comply with the laws of the State of Oregon, County of Doschutes, as to fire protection, building construction, sanitation and Puolic "ealth and any Deschutes County Health and Sanitation requirements

supplemental hereto.

(5)

(4)

сpers shall be allowed for permanent

residence.

Sowane disvosal systems, septic tanks and domestic water well shall be in eccord:non to snecifications set out by governing agencies, namely the Oregon State Hoard of Health, Deschutes County Sanitarian and Water Master.

(7)

conditions will

exterior latrinc be allowed.

Under no

All wells shall be completed with unperforated well casing that extends to a depth of not less than 18 feet below land surface.

Larba, e Disposal a.

b. c.

Marbage

shall be stored in an insect and rodent proof container.

arbage shall be hauled Under

least

once a

week to

approved area.

conditions will dumping of any refuse in any streams or on

adjoining Federal Lands be permitted. The grounds and buildings shall be maintained in a neat and orderly manner. the

(8)

lio structure of a temporary character, basement, shack, garage, barn or other outshall be used on any lot at any time as a residence either temporarily

buildings or

(6)

permanently.

A time limit is hereby imposed on the length of time required for construction of the residence structure. A period of time not to exceed eighteen months is allowed to complete the residence or dwelling. This period of t'me is from the start of construction to completion of the same.

(10)

VOL

142 %:47L

оbnоxious or ofTensive activity shall be carried on upon any lot, nor shall anything be done thereon which may be or nay become any annoyance or nuisance o

to the neighborhood.

(11) (12)

Cuttin; of parcels into smaller lots is prohibited. lNo cutting of trees will be permitted except whiere nocessary for construction of buildings and landseaping or authorized by the board of directors of the above named Corporation Those restrictions shall be deemed to be for the protection and benefit of each

of the owners or occupants of any portion of the sub-division, it is intendcd horeby that any such oerson shall have the right to prosecute sich procuedins

at law or in

(13)

equity as may be apuropriate to enforce restrictions herein set forth.

Invelidation of any of these foregoing covenants, restrictions or conditions or

portion thereof by court order, judgement or decree shall in no way effect of the other remaining provisions thereof which shall in such a case contince to remain in full orce and effect. any

(14)

The foregoing covenants, restrictions

conditions are to be in effect

ntil

January 1, 1970 and are automatically extended for saccessive periods of five

years unless the owners of a four onths before the final

majority of the parcels

agree

in writing at least

expiration date thereof to change them.

Dated this 5th dey of March, 1965 DESCHUTES RIVER RECREATION HOMESITES, INC.

An skicrar

Dan H. Heicrman, President

Bill

8te of Or

Hayfield

olel

on 83

Cnty of 1k.scmbcs) On this 5tl day of arch, 195, before me appoared Dan li. Helerman and Hill Hayfield ob to me personally known, wio bein; duly sworn, cid say that he, the said Dan". "ierwn is the President, and he, the said Bill Mayfield is the assistant Secretary of acxubes ivr Recrention Homesites, Inc. the within named Corpration by authority of its oard of Directors, nd Dan. Heiermen and 3ill Hayfield acknowled,red said instrument so frce act and deed of said corporation.

IN TESTI ONY WHEREOF, I have hereto set my hand end seal the day and year last above

written.

eein oJ

Hotary Publib for Oregon

1y Coranitsion oitres Coug 1s,1968

144

388

AUENDED

145

BUILDING AND USE RESTRICTIONS

Deschutes River Recreation Homesites, Inc. Deachutes County, Oregon

Knowi to all men by these presentst That the undersigned Descimtes River Recreation Homesites, Inc. an Oregon corporation, is the owner of Deschutes River Recreation Homesites, located in Sections 2, 3, and 10, T. 21 S,, R 10 E.W.K., and Section 35, T 203., R. 10 E.W.H; and the following Building and Use Restrictions shall apply to Blocks 62 through B in Unit 6, and these blocks shall be subject to the following covenants, conditions, restrictions unless changed by a majority vote of the Directors of the above named corporation. On March 15, 1965 in Book 1h2 Page One (1) through Fourteen (14) were

throug Nineteen

L76; Building and Use Restrictions itemns mumbered filed, these amended restrictions Fifteen (15)

(19) are additional to itemns 1 through 14.

15. The owner has caused to be formed a non-profit organization, known as the River Recreation Homesites Property Owners Association (hereinafter referred to as "Association") which organization has been formed for the purpose of providing for the operation, maintenance, repair, rebuilding or rehabilition of roads, streets and public ways of Deschutes River Recreation Homesites, Deschutes County, Oregon, for the benefit of members of the Association who have purchased lots from the owner. The Association has a board of directors of five persons, initially selected by the ownor to serve until April 10, 1966, or until their successors are duly elected by the membership at its orgenizational meeting. Deschutes

16. All owners of a parcel of property within the above described premises shall automatically become members of the Association, and shall receive a certificate evidencing such membership. Any person purchasing any parcel within said area under an agreement of sale and/or land sales contract shall be deemed the owner of said parcel for the purposes of such memberahip, and joint owners of any lot shall be entitled to one membership.

17. There shall be no dues to the membership of the Association, and in lieu thereof the directors shall annually assess each lot in the subdivision its proportionate share The costs of said of the costs for maintenance of said roads, streets and public ways. operation and maintenance shall include the necessary amounts incurred by the directors for insurance, bond premiums, equipment rental,materials and labor required in such The owner of the subdivision shall pay a like asaessment oneration and maintenance. for each lot remaining unsold in said subdivision, it being the intention hereof that all assessments shall be uniform as much as is practicable. At such time as Deschutes County or any other political subdivision of the State of Oregon shall assume the responsibility for such operation and maintenance, there shall be no further assessments. 18. A copy of the Articles of Association for said organization will be mailed to any member of the Association upon request. These restrictions shall be deemed to be for the protection and benefit of each 15. of the owners or occupants of any portion of the subdivision. It is intended hereby that any such person shall have the right to prosecute such proceeding at law or in equity as may be appropriate to enforce restrictions herein set forth. Dated this 12th day of July, 1965 REEREATION HOMESITES, INC., AN Oregon Corporation DESCHUTES RIVER REEREAT

hann IN. IdEsma N.I. Smanson

Secretary

ГИАЧМОD TDARTSA ТВЯТА ONOR

CВЕРСИ

Attest:wans

President

201

BEND

Da. H. Helerman

ADED .I

anide

edle

439

9‫ד‬

veli and unna

le innna and

7009

pmgani

FORM Ne. 14-ACKNOWLEDGMENT-CORPORATION

06381

STEVEKE-NEZI LAY

STATE OF OREGON, 83.

County of

DESCHUTES

'On this....12th.

day of. July

ond

..Dan...H..Helerman..

N.I. Swanson.

19.65, before me appeared

both to me personally known, who being duly sworn, did say that he, the said.. Dan. H. Heierman .is the.the President, and he, the said N.I. Swanson ..is the Secretary of DESCHUTES RIVER RECREATION HOMESITES,.. ...INC..... .....the within named Corporation, and that the seal affized to said instrument is the corporate seal of said Corporation, and that the said instru ment was signed and sealed in behalf of said Corporation by authority of its Board of Directors, and N.I. Swangon... and Dan H. Maierman.... Acknowledded said instrument to be the free act and deed of said Corporation. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my official seal, this the day and year first in this, my certificate, written.

Notary Public for Oregon.

My commission expires. Cg at tee

sid

usat nt so! ona

ad! to

auh sg

Ifens

OF OREGo

Ceanty

388

dereby certify the tche within in

D. 195

on paget

end reorded in buok

BEND, OREGON

County Cl

1050 BOND STREET

lhee Jsoiri

BEND ADSTRACT COMPANY

вироs

છે-*

1968

DESCHUTES COUNTY OFFICIAL RECORDS NANCY BLANKENSHIP, COUNTY CLERK

2003-70781 $56.00

00211839200300707810060084 Cnt=1 Stn=2 PAT $30.00 $11.00 $10.00 $5.00 D-BY

After recording return to:

10/14/2003 08:24:15 AM

Francis & Martin LLP

1199 NW Wall Street

Bend, OR 97701

These Restated Bylaws supercede the Bylaws recorded at Vol. 346. Page 597. Deschutes County. Oregon. RESTATED BYLAWS

OF DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS

UNIT 6, PART 1 & 2

ARTICLE 1. NAME AND PURPOSE

Section 1.1

Name.

The corporation shall be called: "DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS

ASSOCIATION, UNIT 6, PART 1 & 2" (the "Association"). Section 1.2

Purpose.

The purposes and objects ofthis Association shall be to provide improvements of a recreational and/or community oriented nature for the benefit of the members of the Association.

ARTICLE 2. MEMBERSHIP Section 2.1

Membership in the Association.

All owners of a parcel of property within Deschutes River Homesites Unit 6, Part 1 & 2 shall automatically become

members of this Association. Any person or entity purchasing any parcel within Deschutes River Homesites Unit 6,

Part 1 & 2 under an Agreement of Sale and/or Land Sales Contract shall be deemed the owner of the parcel for the purposes. Joint owners of any lot shall be entitled to one (1) membership.

ARTICLE 3. POWERS Section 3.1

Powers of the Association.

The Association may:

3.1.1

Adopt and amend Bylaws and Rules and Regulations.

3.1.2

Adopt and amend budgets for revenues, expenditures and reserves, and levy and collect

assessments for common expenses from property owners.

3.1.3

BYLAWS-1 (09/29/03)

Hire and terminate managing agents and other employees, agents and independent contractors.

3.1.4 Institute, defend or intervene in litigation or administrative proceedings in its own name on behalf of itself or on behalf of two (2) or more property owners on matters affecting the Association. 3.1.5

Make contracts and incur liabilities.

3.1.6

Regulate the use, maintenance, repair, replacement and modification of common elements.

3.1.7

Cause additional improvement to be made as a part of the common elements.

3.1.8 Acquire by purchase, lease, devise, gift or voluntary grant real property or any interest therein and take, hold, possess and dispose of real property or any interest therein. 3.1.9

elements.

Impose and receive any payments, fees or charges for the use, rental or operation of the common

3.1.10 Impose charges for late payments of assessments and, after giving notice and an opportunity to be heard, levy reasonable fines for violations of the Articles, Bylaws, Rules and Regulations of the Association.

3.1.11

or statements of

Impose reasonable charges for the preparation and recordation of amendments to the Declaration

unpaid assessments.

3.1.12

Provide for the indemnification of its officers and executive board and maintain Directors' and

3.1.13

Exercise all other powers conferred by the Articles or these Bylaws.

3.1.14

Exercise all other powers that may be exercised in this State by any such Association.

3.1.15

Exercise any other powers determined by the Association to be necessary and proper for the

Officers' liability insurance.

governance and operation of the Association.

3.2

Execution of Documents.

3.2.1 Subject to Section 3.2.2, the Association has the authority to execute, acknowledge, deliver and record on behalf of the property owners easements, rights of way, licenses and other similar interests affecting the

general common elements. 3.2.2

The granting of any interest pursuant to Section 3.2.1 shall be first approved by at least seventy-

five percent (75%) of the property owners.

3.2.3 The instrument granting an interest pursuant to Section 3.2.1 shall be executed by the Chairman and Secretary of the Association and acknowledged in the manner provided for acknowledgement of such instruments and shall state that such grant was approved by at least seventy-five percent (75%) of the property owners.

ARTICLE 4. FEES AND DUES Section 4.1

Assessments.

The Board of Directors shall annually assess each lot in the subdivision its proportionate share of the costs for

improvements and maintenance. The costs of maintenance shall include the necessary amounts incurred by the Directors for insurance, bond premiums, equipment rental, materials and labor required for such operation and

BYLAWS-2

(09/29/03)

maintenance. The owner of the subdivision shall pay a like assessment for each lot remaining unsold in said subdivision, it being the intention that all assessments shall be uniform, as much as is practicable.

Section 4.2

Payment.

The assessments shall become due and payable by the first of each calendar year and shall be considered delinquent sixty (60) days thereafter The Association shall have the powers and follow the procedure Oregon Planned

Community Act (ORS 94.550 -94.785) in assessing and collecting assessments.

Section 4.3

Lien.

In the event any member shall fail to pay his/her assessments when due and payable, the amount thereof, together with interest at the rate determined by the Board of Directors from such date, and the costs of collection, shall

become a part of and constitute a lien against the parcel or parcels owned by said delinquent member. The lien shall attach upon filing, a claim of lien in the office of the County Clerk of Deschutes County, Oregon, particularly describing said parcel or parcels and mailing to the delinquent member at his/her last known address, a copy of said

claim of lien. Said lien may be foreclosed. Where a claim has been filed and recorded pursuant to this Section and

the property owner of the property or undivided interest subject to the claim thereafter fails to pay any assessment

chargeable to such property or undivided interest, then so long as the original or any subsequent unpaid assessment

remains unpaid such claim shall automatically accumulate the subsequent unpaid assessments and interest thereon

without the necessary of further filings under this Section.

ARTICLE 5. MEMBERHIP MEETINGS Section 5.1

Annual Meetings.

The annual membership meeting shall be held in August of each year. Section 5.2

Special Meetings.

Special membership meetings shall be called by the Secretary upon resolution of the Board or upon petition of five

percent (5%) of the voting members. The petition shall state the purpose of the special meeting and may fix а

period of two (2) weeks during which the meeting may be held; provided however, that the petition be delivered to the Secretary not less than two (2) weeks before the designated period. Section 5.3

Quorum.

At any annual meeting a quorum shall consist of five percent (5%) of the membership. The act of a majority of a quorum shall be the act of the members.

Section 5.4

Powers of Meetings.

At a membership meeting declarative resolutions may be adopted and instructions may be issued to the Board provided they do not abridge powers specifically granted to the Board by these Articles. At a special membership meeting no business may be transacted other than that stated as the purpose of the meeting without the unanimous consent of the members present. Section 5.5

Voting Rights.

Each member shall be entitled to one (1) vote for each tax lot owned by a member. The vote may be cast in person,

by proxy or by mail.

BYLAWS-3

(09/29/03)

Section 5.6

Notice of Meetings.

There shall be not less than ten (10) days written notice given of any meeting of the membership, mailed by regular mail, postage prepaid, to the last known address ofeach member of the Association stating the date, time, place and

purpose of such meeting.

ARTICLE 6. DIRECTORS AND OFFICERS

Section 6.1

Directors.

The management of the Association shall be vested in a Board of Directors of five (5) persons, who shall be elected by the membership, which Directors shall serve for a period of one (1) year and until their successors are duly elected and qualified.

Directors shall hold office until their successors have been elected and shall have entered upon the discharge oftheir

duties.

The Directors shall have the right to the reasonable entry upon any parcel in the district for the purpose of such operation and maintenance without being deemed guilty in any manner of trespass or unlawful entry. Section 6.2

Duties of Directors.

The Directors shall administer all business carried on by the Association under the direction and control of any special or regular meeting of the members. They shall arrange an impartial audit by a public accountant of the books of the Association at least once a year and shall issue a financial statement to the membership. They shall also issue annually to the membership a full report of its work during the year and of the progress and condition of

the Association.

The Board may create advisory committees composed of individuals interested in one (1) or more phases of the

work of the Association.

Section 6.3

Officers.

The Officers shall be: President, Vice-President, Secretary, Treasurer, and such others as the Board may deem

necessary. The President, Vice-President and Secretary shall be appointed by the Board of Directors from their

number at the first regular board meeting following the annual election. All Officers shall hold office at the discretion of the Board.

If the Treasurer is not a member ofthe Board he may speak, but not vote at board meetings. Section 6.4

Duties of Officers.

The Officers shall perform the duties usually appertaining to such offices and such other duties as may be delegated by the Board.

to them

Section 6.5

Bonds.

All officers and employees of the Association handling funds of the Association shall be bonded.

BYLAWS-4

(09/29/03)

Section 6.6

Quorum.

At any regular, special or annual meeting a quorum of the Board shall consist of at least sixty percent (60%) ofthe Board members. The act of at least fifty-one percent (51%) ofthe Board members then in office shall be the act of the Board.

Section 6.7

Notice.

For other than emergency meetings, notice of the Board of Directors meeting shall be posted at a place or places within the Association property at least three (3) days prior to the meeting or notice shall be provided by a method

otherwise reasonably calculated to inform the owners ofthe meetings. Emergency meetings may be held without notice if the reason for the emergency is stated in the Minutes of the meeting. Section 6.8

Open Meetings.

All meetings of the Board of Directors of the Association shall be open to owners except at the discretion of the

Board the following matters may be considered an executive concession: (1) consultation with legal counsel; (2)

personnel matters; and, (3) negotiation of contracts with third parties.

ARTICLE 7. MAIL VOTE

Whenever in the judgment of the Board of Directors any question arises which it considers should be put to a vote of the membership, and when it deems it inexpedient to call a special meeting for that purpose, it may submit the matter to the membership in writing by mail for vote and decision, and the question thus presented shall be

determined according to a majority of the votes received by mail within two (2) weeks after such submission to the membership; provided that in each case votes of at least five percent (5%) of the members shall be received. Action taken in this matter shall be as effective as action taken at a duly called meeting. ARTICLE 8. LIABILITIES

Nothing herein shall constitute members ofthe Association as partners for any purpose. No member, officer, agent or employee shall be liable for the acts or failure to act of any other member, officer, agent or employee of the Association. Nor shall any member, officer, agent or employee be liable for his acts or failure to act under these Articles, except only acts or omissions arising out of his willful misfeasance.

These Articles shall not be construed to include responsibility of the Association for any individual property improvement. ARTICLE 9. AMENDMENTS

These Bylaws may be amended, repealed or altered in whole or in part by a majority vote at any duly organized meeting of the Association.

ARTICLE 10. ARTICLES OF ASSOCIATION AND BYLAWs These Bylaws supercede all previous Articles of Association and Bylaws including, but not limited to, the following documents:

BYLAWS-5

(09/29/03)

10.1

Revised Articles of Association recorded at Volume 30, Page 798;

10.2

Revised Articles of Association recorded at Volume 186, Page 0978; and,

10.3

Bylaws recorded at Volume 346, Page 597.

The undersigned President and Secretary of the Association certify that these Restated Bylaws were adopted in accordance with the Bylaws procedures.

dayof Dedo ker,2003.

DATED this

DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2

likeung

Mike Swope, President

By:

Thomas H. Tongue, Secretary

STATE OF OREGON SS.

County of Deschutes

On this

day of

((etofi

2003, personally appeared before me, Mike Swope,who

being duly sworn, states he is the President of DESCHUTES RIVER RECREATION HOMESITE PROPERTY

OWNERS UNIT 6, PART 1 & 2, an Oregon non-profit corporation, and that the foregoing instrument was signed and sealed on behalf of said corporation and he acknowledged said instrument to be the voluntary act and deed of said

corporation.

OFFICIAL SEAL GINA R WHIPKEY NOTARY PUBLIC-OREGON COMMISSION NO. 338239 MY COMMISSION EXPIRES OCТ. 30, 2004

STATE OF OREGON

lupker

Notary Public for Oregon

)

) ss. County of Multnomah On this day of Oct, 2003, personally appeared before me, Thomas H. Tongue, who being duly sworn, states he is the Secretary of DESCHUTES RIVER RECREATION HOMESITE PROPERTY

OWNERS UNIT 6, PART 1 & 2, an Oregon non-profit corporation, and that the foregoing instrument was signed and sealed on behalf of said corporation and he/she acknowledged said instrument to be the voluntary act and deed of said

corporation.

OFFICIAL SEAL

KAREN N OSGOOD

NOTARY PUBLIC-OREGON COMMISSION NO. 329302

MY COMMISSION EXPIRES DEC 19, 2003

BYLAWS-6

(09/29/03)

Karen

Dagod

Deschutes County Official Records 2020-63518 Nancy Blankenship, County Clerk AUTES CO

After Recording Return To: Deschutes River Recreation Homesite

Property Owners Association, Unit 6, Part 1&2 16245 Mountain Sheep Lane

01333494202000635180160169 11/24/2020 11:17 AM

D-BYLAWS

Cnt=1 Stn=2 AS

$80 00 $11 00 $61.00 $10 00 $6 00

Bend OR 97707-2669

RESTATED BYLAWS

DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2

ARTICLE 1. NAME

‫بار‬

The name of the association shall be "DESCHUTES RIVER RECREATION HOMESITE

PROPERTY OWNERS ASSOCIATION, UNIT 6, PART 1 & 2" (the "Association"). These Restated Bylaws are a complete restatement ofthe Bylaws recorded in Deschutes County as document 2003-70781.

ARTICLE 2. Section 2.1

OBJECT

Purpose.

The object of the Association is to protect and enhance all properties lying within the boundaries of Deschutes River Recreation Homesites Unit 6, Part 1 & 2 in Deschutes County, Oregon

("Property").

Organization of the Association.

Section 2.2

The Association shall be a non-profit corporation under ORS Chapter 65, the Oregon Nonprofit Corporations Act. Section 2.3

Powers of the Association.

The Association shall have all the power granted to it by the Declarations, these Bylaws and the Oregon Planned Community Act as amended from time to time. Section 2.4

Applicability.

The provisions of these Bylaws are applicable to the Property, the Association, and all present or future Owners, tenants, occupants, or their employees, or any other person that might use the facilities of Deschutes River Recreation Homesites Unit 6, in any manner.

BYLAWS

$168 00

Section 2.5

Definitions.

2.5.1 "Articles" shall mean the Articles of Incorporation for the non-profit corporation, DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 &

2, as filed with the Oregon Corporation Commissioner. 2.5.2

"Association" shall

mean and

refer

DESCHUTES RIVER RECREATION

HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2, its successors and assigns.

2.5.3

"Bylaws" shall mean and refer to the Bylaws of the Association. "Сommon Area" shall mean and refer to that area of land shown on the recorded

2.5.4 plat of the Property, including any improvements, which are intended to be devoted to the common use and enjoyment of the members and which land has been conveyed to the

Association.

"Declarations" shall mean the covenants, restrictions, and all other provisions set forth in the Building and Use Restrictions recorded in the official records in Deschutes County

2.5.5

Book 142 Page 476 CCRs for DESCHUTES RIVER RECREATION HOMESITES, UNIT 6, PART 1 & 2.

2.5.6

"Living Unit" or "Unit" shall mean and refer to any portion of a structure situated designed and intended for use and occupancy as a residence by a single

2.5.7

"Lot" shall mean

upon the Property

family.

Area.

Tax Lot in the Property.

Lot shall not include Common

2.5.8 "Оccupant" shall mean and refer to the occupant of a Living Unit who shall be either the owner, lessee or any other person authorized by the owner to occupy the premises. 2.5.9

"Oregon Planned Community Act" shall mean ORS 94.550 to 94.783 as amended.

2.5.10 "Owner" shall mean and refer to the record owner, whether one or more persons or entities, of the fee simple title to any Lot or a purchaser in possession under a land sale contract. The foregoing does not include persons or entities who hold an interest in any Lot merely as security for the performance of an obligation.

2.5.11 "Property" shall mean and refer to all real property, the Common Area and all improvements located on the real property subject to the Declarations, together with such additional real property as may, from time to time, be annexed to the Association.

2.5.12 "Rules and Regulations" shall mean and refer to the rules, regulations and policies adopted by the Board of Directors of the Association. 2.5.13 Any terms used in these Bylaws that are not defined in these Bylaws shall have the same meaning as set forth in the Declarations or shall have their common, ordinary meaning.

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ARTICLE 3. MEMBERSHIP Section 3.1

Membership in the Association.

Membership in the Association shall be by ownership, either by deed or purchase under a contract of sale, of one or more Lots. Each Owner shall automatically be a Member of the Association and shall remain a Member ofthe Association until such time as the ownership of all Lots terminates. Section 3.2

Voting Rights.

Members. Members shall be entitled to one (1) vote for each Lot owned by the Member with respect to all matters upon which Owners are entitled to vote. 3.2.1

3.2.2

Lot. When more than one (1) person or entity owns a Lot, the vote for such Lot

may be cast as they shall determine, but fractional voting is not allowed. Fractionalized or split votes shall be

disregarded, except for purposes of determining

Section 3.3

Majority of Owners.

As used in these

quorum.

Bylaws, the term "Majority" shall mean those Owners holding more than fifty

percent (50%) of the voting rights allocated to the Owners in accordance with the Declarations

and these Bylaws. "Majority of Owners present" shall mean Owners holding over fifty percent (50%) of the votes present in person or by proxy. Section 3.4

Quorum.

Except as otherwise provided in these Bylaws, the presence, in person, or by timely absentee

ballot or proxy, of Owners holding twenty percent (20%) or more of the outstanding votes in the

Association, as defined in these Bylaws, shall constitute a quorum. A legal meeting is one duly called pursuant to these Bylaws where a quorum is present. Unless otherwise stated in these Bylaws, the act of a Majority of Owners present shall be the act of the Members.

Section 3.5

Written Ballot.

Any action that may be taken at any annual, regular or special meeting of the Association may be

taken without a meeting if the Association mails a written ballot to every Association Member that is entitled to vote on the matter. The written ballot shall set forth each proposed action and provide an opportunity to vote for or against each proposed action. Matters proposed in the

written ballot shall be deemed approved or rejected as provided by the Oregon Planned Community Act. Pursuant to ORS 94.647 the board of directors must provide owners with at least 10 days' notice before written ballot are mailed or otherwise delivered. The notice required shall state: the general subject matter of the vote by written ballot; the right of owners to request secrecy procedures; the date after which ballots may be distributed; the date and time by which any petition requesting secrecy procedures must be received by the board; and the address where any petition must be delivered. If approval of a proposed action otherwise would require a meeting at which a certain quorum must be present and at which a certain percentage of total

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votes cast is required to authorize the action, the proposal shall be deemed to be approved when

the date for the return of ballots has passed, a quorum of owners has voted and the required percentage of approving votes has been received. Otherwise, the proposal shall be deemed to be

rejected; or if approval of a proposed action otherwise would require a meeting at which a specified percentage of owners must authorize the action, the proposal shall be deemed to be approved when the percentage of total votes cast in favor of the proposal equals or exceeds the required percentage. The proposal shall be deemed to be rejected when the number of votes cast in opposition renders approval impossible or when both the date for return of ballots has passed and the required percentage has not been met.

Section 3.6.

Electronic Ballot.

The Board of Directors, in its discretion, may provide that a vote, approval or consent of a Unit Owner may be given by electronic ballot. An electronic ballot may be accompanied by or

contained in an electronic notice as described below. If an electronic ballot is posted on a website, a notice of posting shall be sent to each Owner and shall contain instructions for obtaining access to the posting on the website. A vote made by electronic ballot is effective when it is electronically transmitted to an address, location or system designed by the Board of Directors for that purpose unless otherwise provided by the Declaration, Bylaws or Rules adopted by the Board of Directors. A vote by electronic ballot may not be revoked. Section 3.7

Proxy.

The vote or votes of a Lot may be cast by absentee ballot or pursuant to a proxy executed by the

Owner. Owner may not revoke a proxy, except by actual notice of revocation to the person

presiding over a meeting of the Association. A proxy shall not be valid if it is undated or purports to be revocable without notice. A proxy shall terminate one year after its date unless the proxy specifies a shorter term. Section 3.8

Place of Meetings.

Meetings of the Association shall be held at such suitable place convenient to the Owners as may be designated by the Board of Directors. Section 3.9

Annual Meetings.

The Association shall hold an Annual Meeting as directed by the Board of Directors. At such meeting, Members shall be elected to the Board of Directors in accordance with these Bylaws. The Owners may transact such other business of the Association as may properly come before

them.

Section 3.10

Special Meetings.

Special Meetings may be called by the President ofthe Association, the Board of Directors or by Petition signed by thirty percent (30%) or more of the Owners.

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Section 3.11

Notice of Meetings.

Notice of each annual, special or meeting by ballot, stating the purpose, time and place ofthe

meeting shall be mailed or hand-delivered to all Owners. Notice shall be mailed at least ten (10) days but not more than fifty (50) days prior to such meeting. The notice shall be mailed to the Owner's address last given the Secretary in writing by the Owner. If Lot ownership is split or the Lot has been sold on contract, notice shall be sent to a single address ofwhich the Secretary has been notified in writing by such parties. The Notice shall state the time and place ofthe meeting and the items on the agenda, including the general nature of any proposed amendment to the Declarations or Bylaws, any budget changes, or any proposal to remove a Director or Officer. ARTICLE 4. BOARD OF DIRECTORS

Section 4.1

Number and Qualification.

The affairs ofthe Association shall be governed by a Board of Directors composed of five (5)

persons, all of whom shall be an Owner or Co-Owner of a Lot.

Section 4.2

Powers and Duties.

The Board of Directors shall have the powers and duties necessary for the administration ofthe affairs ofthe Association. The Board of Directors may act on behalf of the Association and may do all such acts and things as are not by law, or these Bylaws, directed to be exercised and done by the

Owners.

Section 4.3

Other Duties.

The Board of Directors shall have the authority to carry out and be responsible for the following matters:

4.3.1

Care, upkeep and supervision of the Common Area. The Board shall adopt a

program for maintenance, upkeep, repair and replacement of the Common Area.

Adopting a method of approving payment vouchers for expenses related to the Common Area. The Board shall adopt a method of payment for expenses of maintenance, upkeep, repair and replacement of the Common Area and other expenses of the Association. 4.3.2

4.3.3

Establishment and maintenance of replacement reserve accounts and other reserves.

4.3.4

Annually conducting a reserve study for review or updating an existing study of

4.3.5

Designation and collection of assessments from the Owners.

4.3.6

Establishment of a budget and payment of all common expenses of the Association.

the Common Area components, to determine reserve account requirements.

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4.3.7

Reviewing and maintaining hazard and liability insurance policies with respect to

4.3.8

Establishment of reasonable fines for violation of the Declarations, Bylaws, Rules

the Common Area.

and Regulations of the Association.

Designation, employment and dismissal of personnel necessary for the administration of the planned community, maintenance, upkeep and repair of the Common Area. 4.3.8

Preparing and distributing annual financial statements of the Association to the

4.3.9

Owners.

4.3.11 Causing the Association to comply with the Oregon Planned Community Act

relating to maintenance and distribution of financial statements and maintaining copies suitable for duplication of the following: CCRs, Bylaws, Association Rules and Regulations, most recent annual financial statement, and the current operating budget of the Association. 4.3.12 Additional duties imposed by the Oregon Planned Community Act, the CCRs, the Bylaws, or by resolution of the Association. Section 4.4

Income Tax Returns; Determination of Fiscal Year.

The Board of Directors shall determine the manner in which all necessary income tax returns are filed, shall select persons to prepare and file such returns, and shall cause the necessary income tax

returns for the Association to be filed annually.

Section 4.5

Budgets and Financial Statements.

The Board of Directors, at least annually, shall adopt a budget for the planned

4.5.1

community. Within thirty (30) days after adopting the annual budget for the planned community, the Board of Directors shall provide a summary of the budget to all Owners. If the Board of Directors fails to adopt a budget, the last adopted annual budget shall continue in effect.

The summary budget shall contain the information suggested by the Board. It may contain an estimate of revenue expenses, amount of total cash reserves currently available to the Association, and a Balance Sheet at the end of the fiscal year. 4.5.2

Within ninety (90) days after the end of the fiscal year, the Board of Directors shall distribute to each Owner and upon written request any mortgagee of a Lot, a copy of the Annual Financial Statement consisting of a Balance Sheet and Income and Expenses Statement for the preceding fiscal year. 4.5.3

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Section 4.6

Election and Term of Office.

A Director's term shall be one (1) year. The Association may increase or decrease the number of Directors and length of terms for which each is elected upon amendment of this Section. The

Board of Directors may be elected by a single ballot with each owner permitted to vote the number of times there are for each vacancy. The nominees receiving the highest number of votes shall be Directors. Section 4.7

Quorum.

At all meetings of the Board of Directors, a Majority of the existing Directors shall constitute a

quorum for the transaction of business, and the acts of the Majority of the Directors present shall be

the acts of the Board of Directors. If at any meeting of the Board of directors there is less than a

quorum present, the Majority of those present may adjourn the meeting from time-to-time. At any such adjourned meeting, any business which might have been transacted at the meeting as originally called may be transacted without further notice.

Section 4.8

Vacancies.

Vacancies on the Board of Directors caused by any reason, other than the removal of a Director by a vote of the Association, shall be filled for the balance of the term by vote of a Majority of the

remaining Directors, even though they may constitute less than a quorum.

Section 4.9

Removal of Directors.

At any legal Annual or Special Meeting, other than a meeting by ballot, any one or more of the

Directors may be removed with or without cause, by Majority vote of the Owners. Owners may

not remove Members appointed by the Declarant or persons who are ex-official Directors.

Removal of a Director is not effective unless the matter of removal is an item on the agenda and

stated in the notice for the meeting. Any Director whose removal is considered at the meeting,

shall be given the opportunity to be heard at the meeting prior to a vote on such Director's removal. In the event a Director is removed, a successor Director may be elected to fill the

vacancy.

Section 4.10

Regular Meetings.

Regular Meetings ofthe Board of Directors may be held at such time and place as shall be

determined, from time-to-time, by a Majority ofthe Directors. Notice of Regular Meetings ofthe

Board of Directors may be called by the President of the Association on three (3) days' notice to each Director, given personally, by mail, telephone, fax or e-mail, which notice shall state the time, place and purpose of the meeting.

Section 4.11

Special Meetings.

Special Meetings of the Board of Directors may be called by the President or Secretary of the Association or on the written request of a majority of Directors. Special Meetings of the Board of

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Directors may be called on three (3) days' notice to each Director given personally, by mail, telephone, fax or e-mail, which notice shall state the time, place and purpose of the meeting. Section 4.12

Emergency Meetings.

means of a "conference call" in which each Director may speak with any of the other Directors. The Directors shall keep telephone numbers on file with the President of the Association to be used for Telephonic Meetings. No notice to either Directors or Association Members shall be

required for a Telephonic Meeting of the Board of Directors to be held for any emergency action; provided, however, no such Telephonic Meeting shall occur unless at least seventy-five percent (75%) of the Board of Directors participate in the same and after an attempt has been made to call each Director at the telephone number maintained on file with the Board of Directors for such purpose. Section 4.13

Notice to Association Members of Board of Directors.

For other than an emergency meeting, notice of Board of Directors meetings shall be posted at a place on the Common Area at least three (3) days prior to the meeting or notice shall otherwise be provided to each Member of the Association reasonably calculated to inform all Members of such meeting. The posting of such notice shall be at a reasonable location which has been generally publicized to the Owners. Section 4.14

Waiver of Notice to Directors.

Before, at or after any meeting of the Board of Directors, any Director may, in writing, waive notice of such meeting and such waiver shall be deemed equivalent to the giving of such notice. The attendance by a Director at any meeting of the Board shall be a waiver of notice by him or her. If all the Directors are present at any meeting of the Board, no notice to Directors shall be required and any business may be transacted at such meeting. Section 4.15

Board of Directors Meetings Open to All Association Members.

4.15.1 All meetings of the Board of Directors shall be open to any and all Members of the Association, except that at the discretion of the Board of Directors the following matters may be considered an executive session:

4.15.1.1 Сonsultation with legal counsel;

and

4.15.1.2 Personnel matters including salary negotiations and employee discipline; 4.15.1.3 Negotiation of contracts with third parties.

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4.15.2 Except in the case of an emergency, the Board of Directors shall vote in an open meeting whether to meet in executive session. If the Board of Directors votes to meet in executive session, the presiding Officer of the Board of Directors shall state the general nature of the action to be considered and, as precisely as possible, when and under what circumstances the deliberations can be disclosed to others.

4.15.3 No Association Member shall have a right to participate in the Board of Directors meetings unless such Member is also a Member of the Board of Directors or is allowed to participate by the Board of Directors. The President of the Association shall have the authority to exclude any Association Member who disrupts the proceedings at a meeting of the Board of Directors.

Section 4.16

Compensation of Directors.

Directors shall not be compensated in any manner, except for out-of-pocket expenses, unless such compensation is approved by vote of the Owners.

Section 4.17

Written Statement of Assessments.

The Association shall provide, within fifteen (15) business days of receipt of a written request from an Owner, a written statement that provides: (1) the amount of the assessment due from the Owner and unpaid at the time the written request was received, including regular and special assessments, fines and other charges, accrued interest, and late payment charges; (2) the percentage rate at which interest accrues on the assessments that were not paid when due; and,

(3) the percentage rate used to calculate the charges for late payment or amount of a fixed charge for late payment. The Association is not required to provide this information if the Association has commenced litigation by filing a Complaint against the Owner and the litigation is pending

when the statement would otherwise be due.

ARTICLE 5. OFFICERS

Section 5.1

Designation.

The principal Officers of the Association shall be a President, Vice-President, Secretary and

Treasurer, and such others as the Board may deem necessary. Section 5.2

Election of Officers.

The Officers of the Association may be elected by the Board of Directors from its members, and shall hold office at the pleasure of the Board. Section 5.3

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 or her successor elected at any regular or special meeting of the Board of Directors.

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Section 5.4

President.

The President shall be the Chief Executive Officer of the Association. The President shall

preside at all meetings of the Association and Board of Directors. The President shall have all of

the general powers and duties which are usually vested in the office of president of an association, including, but not limited to, the power to appoint committees from among the Owners from time-to-time as he or she may in his or her discretion decide is appropriate to assist in the conduct of the affairs of the Association. Section 5.5

Vice-President.

The Vice-President shall act in the stead of the President if the President is unable or fails to act. Section 5.6

Secretary.

The Secretary shall keep the Minutes of all meetings of the Board of Directors and the Minutes of

all meetings of the Association; he or she shall have charge of such books and papers as the Board

of Directors may direct; and he or she shall, in general, perform all the duties incident of the office of the Secretary.

Section 5.7

Treasurer.

The Treasurer shall have responsibility for Association funds and securities not otherwise held by the managing agent as directed by the Board of Directors, and shall be responsible for keeping

complete and accurate accounts of all receipts and disbursements in books belonging to the Association. He or she shall be responsible for the deposit of all monies and other valuable effects in the name, and to the credit, of the Association in such depositories as may from time-to-time be designated by the Board of Directors. Section 5.8

Directors as Officers.

Any Director may be an Officer of the Association. ARTICLE 6. OBLIGATIONS OF THE OWNERS. Section 6.1

Assessments.

All Owners shall pay assessments imposed by the Association to meet the Association's general common expenses as described in the Declarations, Bylaws, and Oregon Planned Community Act. Assessments shall be payable on a periodic basis as determined by the Board of Directors. Generally, general and special assessments shall be allocated equally among the Lots. However, the following assessments may be assessed in different manners: (1) improved and unimproved Lots; (2) any common expense or any part of a common expense benefiting fewer than all of the Lots may be assessed exclusively against the Lots or the Lots benefited; (3) if the Board of Directors determines that any common expense is the fault of any Owner the Association may assess the expense exclusively against the Lot of the Owner.

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Special Assessments.

Section 6.2

The Board of Directors shall have the power to levy special assessments against an owner or all owners in the following manner for the following purposes: 6.2.1

Upon vote of a majority of the Board to correct a deficit in the operating budget;

6.2.2

Upon vote of a majority of the Board to collect amounts due to the Association

from an owner for breach of the owner's obligations under the Declarations, these Bylaws, or the Association's rules and regulations;

6.2.3 Upon vote of a majority of the Board of Directors, to make repairs or renovations to the Common Area or those portions of the buildings for which the Association has

maintenance responsibility if sufficient refunds are not available from the operating budget or replacement reserve accounts; or 6.2.4

Section 6.3

To make capital acquisitions, additions or improvements. Maintenance and Repair.

6.3.1 Each Owner shall perform promptly all maintenance and repair work within his or her own Lot, which if omitted would affect Common Area, and shall be responsible for the damages and liabilities that his or her failure to do so may cause. 6.3.2 An Owner shall reimburse the Association for any expenditures incurred in repairing or replacing any Common Area and/or facility damaged through his or her fault, not otherwise covered by insurance policies carried by the Association for the Owner's and Association's benefit. The Association shall have no obligation to carry such insurance policies. Section 6.4

Default.

Failure by an Owner to pay any assessment of the Association when due shall be a default by such

Owner of his or her obligations pursuant to these Bylaws, the CCRs and the Oregon Planned Community Act. Any assessment or any installment of assessment that is past due shall bear

interest at the rate of one and one half percent (1.5%) per month. The Board of Directors may impose interest at its option. The Association shall be entitled to any remedy at law, including a

lien, which may be enforced upon compliance with the provisions of the Oregon Planned Community Act and the Declarations. In any foreclosure suit by the Association with respect to such lien, the Association shall be entitled to collect reasonable rent from the defaulting Owner for the use of his or her Lot or shall be entitled to the appointment of a receiver. Any default by the

Owner under any provisions of the Declarations, these Bylaws or the Oregon Planned Community Act shall be deemed to be a default by the Owner of any mortgage to which the Owner is a party or to which the Lot is subject.

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ARTICLE 7. INSURANCЕ

The Board of Directors shall obtain and maintain at all times insurance of the type and kind and in the amounts referred by Oregon Planned Community Act or as determined by the Board of

Directors from time-to-time. Insurance shall include (1) replacement insurance for all insurable improvements in the Common Area against loss or damage by fire or other hazards, including extended coverage, vandalism and malicious mischief; (2) a public liability policy covering all Common Area and all damage or injury caused by the negligence ofthe Association; and, may include (3) Directors insurance. The Board of Directors shall, if reasonably available, obtain terms in insurance policies which provide a waiver of subrogation by the insurer as to any claims against the Board of Directors of the Association, any Owner or any guest of an Owner. ARTICLE 8. AMENDMENT Amendments to the Bylaws may be proposed by a majority of the Board of Directors or by at least thirty percent (30%) of the Owners of the planned community. Amendments shall be

approved either by a Majority of Owners present in person or by proxy at a duly constituted meeting or by ballot vote certified by the President and Secretary of the Association as having been adopted in accordance with the Bylaws. Amendments shall be recorded in the office of the Deschutes County recorder's office. ARTICLE 9. FINES AND CHARGES Section 9.1 Association.

Fines for Violation of Declarations, Bylaws, Rules and Regulations of the

The Board of Directors may levy reasonable fines against a Member for any violation of the

Declaration of Covenants, Conditions and Restrictions, the Bylaws, the Rules and Regulations,

or the Oregon Planned Community Act. Fines may be levied due to the action of a Member, Member's guest or invitee or an Occupant of a property owned by the Member.

9.1.1

Notice and Hearing: In the event of a violation, the Association shall provide the

Member with notice of the violation. The Member shall be given a reasonable opportunity, under the circumstances, to correct the violation. If the violation is a first-time and unintentional

offense, the Board may, in their sole discretion, accept assurances that the violation will not be repeated. The Member shall be entitled, upon request made within ten (10) days of notice by the Association, to a hearing before the Board of Directors or any designated committee to contest the violation or fine. At the hearing, the Member may be represented by legal counsel and have a reasonable amount of time to produce statements, evidence, and witnesses. The minutes of the hearing shall contain a written statement of the results of the hearing and the fine, if any, that is imposed. The Association is not required to provide notice and opportunity to be heard for recurring or continuing violations unless at least ninety (90) days have passed from the time of the previous violation. If a hearing is not requested within the ten (10) day period the violation and/or fine shall be noted and imposed.

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9.1.2 Continuing Violations: In the case of a continuing or persistent violation: (1) Each day the violation continues after written notice shall be deemed a separate and distinct

violation and, subject to a separate fine, every thirty (30) days; and (2) The Board may require the Member to post a bond or other form of security in order to ensure future compliance. For any such violation that cannot be cured immediately, no further fines shall be levied after such time as the Member begins a good faith cure.

Lien Against Lot: Fines shall constitute a personal obligation of the Member, as well as a lien upon the property of the Member, which lien may be foreclosed in the same manner as a lien for unpaid Association assessments pursuant to the Oregon Planned Community 9.1.3

Act.

Fees and Costs: The Member shall be liable for all attorney fees, costs and

9.1.4

expenses of any nature incurred by the Association incident to the levy or collection of the fine,

including appellate proceedings.

9.1.5 Crediting Payments: The Association shall apply all partial payments by the Member to the Member's outstanding balance in the following order:

Attorney's fees and costs; Late fees and interest; Fines and Charges; Special assessments; and Regular assessments, with payment being applied to the oldest balance first. Partial payments will not waive the Association's right to pursue full payment and/or enforce its

bylaws, declaration, and rules and regulations. Schedule of Fines:

9.1.6

The schedule of fines is attached hereto as Exhibit " A".

Charges.

Section 9.2

In the event any assessments are not received when due, the Association may charge up to five percent (5%) of the payment or Fifty Dollars ($50.00), whichever is greater. Unpaid assessments shall bear interest at the rate of eighteen percent (18%) per annum. Owner shall reimburse the

Association for all costs and attorney fees expended (including at trial and on appeal) incurred by the Association in collecting assessments. ARTICLE 10. INDEMNIFICATION OF DIRECTORS,

OFFICERS, EMPLOYEES AND AGENTS

The Association shall indemnify any Director, Officer, and may indemnify any employee or agent who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative, or investigative (other than an action by the Association) by reason of the fact that he or she is or was a Director, Officer, employee or agent of the Association or is or was serving at the request of the Association as a

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Director, Officer, employee or agent of another corporation, partnership,joint venture, trust or other enterprise, against expenses (including attorney fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by the person in connection with such suit, action or proceeding, if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interest of the Association, and, with respect to any criminal action or

proceedings, had no reasonable cause to believe his or her conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or with a plea of no contest or its equivalent, shall not of itself create a presumption that a person did not act in good faith and in a manner which he or she reasonably believed to be in, or not opposed to, the best interest of the Association, and, with respect to any criminal action or proceedings, had reasonable cause to believe his or her conduct was unlawful. Payment under this clause may be made during the pendency of such claim, action, suit or proceeding as and when incurred, subject only to the right of the Association, should it be proven at a later time that the person had no right to such payments or to reclaim any payments made during the proceeding. All persons who are ultimately held liable for their actions on behalf of the Association as a Director or Officer shall have a right of contribution over and against all other Directors or Officers and Members of the Association who participated with or benefited from the acts which created said liability. ARTICLE 11. COMPLIANCE WITH BYLAWS AND OTHER RESTRICTIONS

REQUIRED, EFFECT OF NONCOMPLIANCE Section 11.1

Compliance.

Each Owner and the Declarant shall comply with the Declarations, Bylaws and administrative Rules and Regulations adopted by the Association. Failure to comply shall be grounds for an action maintainable by the Association or by an aggrieved Owner. Section 11.2

Assessment Collection Costs; Suits and Actions.

Owners shall be obliged to pay reasonable fees and costs including, but not limited to, attorney fees incurred in connection with efforts to collect any delinquent unpaid assessments. In addition to the regular assessments for operating expenses and the funding ofreserves, such assessments may include fees, late charges, fines, charges and interest imposed pursuant to Oregon

law.

ARTICLE 12. MISCELLANEOUS

Section 12.1

Rules of Order.

Meetings of the Association and the Board of Directors shall be conducted according to the latest

edition of Robert's Rules of Order published by the Robert's Rules Association.

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Section 12.2

Notices.

12.2.1 All notices to any Owner shall be sent to such address as may have been designated

by him or her from time-to-time, in writing, to the Board of Directors, or if no address has been designated, then to the Owner's Lot. 12.2.2 All notices to the Board of Directors shall be sent to such address as may be

designated by the Board of Directors from time-to-time.

Section 12.3

Waiver.

No restriction, condition, obligation or provision contained in these Bylaws shall be abrogated or

waived by failure to enforce the same irrespective of the number of violations or breaches which

may occur.

Section 12.4

Compliance.

These Bylaws are intended to comply with the provisions of the Oregon Planned Community Act

and the Declarations. In case any of the provisions of these Bylaws conflict with the provisions of the Oregon Planned Community Act, the statutory provisions shall apply. In case of any conflict between the provisions of these Bylaws and the Declarations, the provisions of the Declarations shall apply.

The Bylaws have been adopted by the Declarants of DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS ASSOCIATION, UNIT 6, PART 1 & 2.

DATED this

day of November

2020.

DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT

6, PART 1 & 2

Nadine Rutk

Nadine Ruth, President

Binrary Murinchact Lindsey Swinehart

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STATE OF OREGON)

County of Deschutes

) ss.

20th

2020, personally appeared before day of Novem ber, me, Nadine Ruth, who being duly sworn, states he/she is the President of DESCHUTES On this

RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2, an Oregon non-profit corporation, and that the foregoing instrument was signed and sealed on behalf of said corporation and he/she acknowledged said instrument to be the voluntary act and deed of said corporation. OFFICIAL STAMP

OF OR

VALERIE KIM PHARR

NOTARY PUBLIC -OREGON 1859

COMMISSION NO. 994268 MY COMMISSION EXPIRES DECEMBER 01, 2023

valeim Kim Phars Notary Public for Oregon

STATE OF OREGON)

) ss. County of Deschutes) On this

Nivember,2020, personally appeared before

20th day of

me, Lindsey Swinehart, who being duly sworn, states he/she is the Secretary of

DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2, an Oregon non-profit corporation, and that the foregoing instrument was signed and sealed on behalf of said corporation and he/she acknowledged said instrument to be the voluntary act and deed of said corporation.

raluie Kim Phan

OFFICIAL STAMP

VALERIE KIM PHARR

NOTARY PUBLIC-OREGON

COMMISSION NO. 994268 MY COMMISSION EXPIRES DECEMBER

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01, 2023

Notary Public for Oregon

Deschutes County Official Records 2021-03429 Nancy Blankenship, County Clerk RECORDING COVER SHEET (Please print or typе)

This cover sheet was prepared by the person presenting the instrument for recording. The information on this sheet is a reflection of the attached instrument and was added for the

01345563202100034290220221

purpose of meeting first page recording requirements in the State

of Oregon, and does NOT affect the instrument.

01/19/2021 10:44 AM

D-BYLAWS Cnt=1 Stn=11 JS $110.00 $11.00 $61.00 $10.00 $6.00

ORS 205.234

$198.00

AFTER RECORDING RETURN TO: ORS 205.234(1)(c) PESCHUTES RIVER RECREATION HENESITE

PROPERTY OWNERS ASSOCIATION, INIT& PART1+Z

14245 MOUNTAIN SHEEP LANE

BEND, OR

97707

1. TITLE(S) OF THE TRANSACTION(S)

ORS 205.234(1)(a)

2. DIRECT PARTY(IES) / GRANTOR(S)

ORS 205.234(1)(b)

By LAWS

Deschutes RiweR Reoreat,on Homesite PRopERTY OWWERS

3. INDIRECT PARTY(IES) / GRANTEE(S)

ORS 205.234(1)(b)

4. TRUE and ACTUAL CONSIDERATION

5. SEND TAX STATEMENTS TO:

N/A

Amount in dollars or other value/property ORS 205.234(1)(d)

☐OtherValue ☐ Other Property

Other value/property is Whole

or Part

of the consideration

7. The amount of the monetary obligation

6. SATISFACTION of ORDER or WARRANT

Check one if applicable:

imposed by the order or warrant: ORS 205.234(1)(f)

ORS 205.234(1)(f)

PARTIAL

☐FULL

ORS 205.234(1)(e)

ORS 205.244(2). DESCHUTES RIUER REOREATION

8. If this instrument is being Re-Recorded, complete the following statement:

Re-recrded at the request OF NADINE RUTH,PCESIDENT, of

to correctESTATED

BYLAWS OF DESCHUTES RIVER RECREATION HOMESITE,

UNIT 6

PART 1+2

previously recorded in Book/Volume 2020-63518 and Page

or as

Fee Number Print Form

Reset Form

Deschutes County

Official Records 2020-63518

Nancy Blankenship, County Clerk

After Recording Return To:

01333494202000635180160169

Deschutes River Recreation Homesite

Property Owners Association, Unit 6, Part 1&2 16245 Mountain Sheep Lane

D-BYLAWS

Cnt=1 Stn=2 AS

11/24/2020 11:17 AM

$80.00 $11.00 $61.00 $10.00 $6.00

Bend OR 97707-2669

RESTATED BYLAWS

OF DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS

UNIT 6, PART 1 & 2

ARTICLE 1. NAME The name of the association shall be "DESCHUTES RIVER RECREATION HOMESITE

PROPERTY OWNERS ASSOCIATION, UNIT 6, PART 1 & 2" (the "Association"). These Restated Bylaws are a complete restatement of the Bylaws recorded in Deschutes County as document 2003-70781.

ARTICLE 2. OВJЕCТ

Purpose.

Section 2.1

The object of the Association is to protect and enhance all properties lying within the boundaries of Deschutes River Recreation Homesites Unit 6, Part 1 & 2 in Deschutes County, Oregon ("Property").

Organization of the Association.

Section 2.2

The Association shall be a non-profit corporation under ORS Chapter 65, the Oregon Nonprofit

Corporations Act. Powers of the Association.

Section 2.3

The Association shall have all the power granted to it by the Declarations, these Bylaws and the Oregon Planned Community Act as amended from time to time.

Applicability.

Section 2.4

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$168.00

Section 2.5

Definitions.

"Articles" shall mean the Articles of Incorporation for the non-profit corporation, DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2, as filed with the Oregon Corporation Commissioner. 2.5.1

"Association" shall mean and refer to DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT 6, PART 1 & 2, its successors and assigns. 2.5.2

2.5.3 2.5.4

"Bylaws" shall mean and refer to the Bylaws of the Association.

"Сommon Area" shall mean and refer to that area of land shown on the recorded

plat of the Property, including any improvements, which are intended to be devoted to the common use and enjoyment of the members and which land has been conveyed to the Association.

2.5.5 "Declarations" shall mean the covenants, restrictions, and all other provisions set forth in the Building and Use Restrictions recorded in the official records in Deschutes County Book 142 Page 476 CCRs for DESCHUTES RIVER RECREATION HOMESITES, UNIT 6, PART 1 & 2. 2.5.6

"Living Unit" or "Unit" shall mean and refer to any portion of a structure situated designed and intended for use and occupancy as a residence by a single

upon the Property

family.

Area.

2.5.7

"Lot" shall mean a Tax Lot in the Property.

Lot shall not include Common

"Осcupant" shall mean and refer to the occupant of a Living Unit who shall be either the owner, lessee or any other person authorized by the owner to occupy the premises. 2.5.8

2.5.9

"Oregon Planned Community Act" shall mean ORS 94.550 to 94.783 as amended.

2.5.10 "Owner" shall mean and refer to the record owner, whether one or more persons entities, of the fee simple title to any Lot or a purchaser in possession under a land sale contract. The foregoing does not include persons or entities who hold an interest in any Lot merely as security for the performance of an obligation. or

2.5.11 "Property" shall mean and refer to all real property, the Common Area and all

improvements located on the real property subject to the Declarations, together with such additional real property as may, from time to time, be annexed to the Association.

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ARTICLE 3. MEMBERSHIP Section 3.1

Membership in the Association.

Membership in the Association shall be by ownership, either by deed or purchase under a contract of sale, of one or more Lots. Each Owner shall automatically be a Member of the Association and shall remain a Member of the Association until such time as the ownership of all Lots terminates. Section 3.2

Voting Rights.

3.2.1 Members. Members shall be entitled to one (1) vote for each Lot owned by the Member with respect to all matters upon which Owners are entitled to vote. Lot. When more than one (1) person or entity owns a Lot, the vote for such Lot

3.2.2

may be cast as they shall determine, but fractional voting is not allowed. Fractionalized or split

votes shall be disregarded, except for purposes of determining a quorum.

Section 3.3

Majority of Owners.

As used in these Bylaws, the term "Majority" shall mean those Owners holding more than fifty percent (50%) of the voting rights allocated to the Owners in accordance with the Declarations

and these Bylaws. "Majority of Owners present" shall mean Owners holding over fifty percent

(50%) of the votes present in person or by proxу. Section 3.4

Quorum.

Except as otherwise provided in these Bylaws, the presence, in person, or by timely absentee ballot or proxy, of Owners holding twenty percent (20%) or more of the outstanding votes in the Association, as defined in these Bylaws, shall constitute a quorum. A legal meeting is one duly called pursuant to these Bylaws where a quorum is present. Unless otherwise stated in these Bylaws, the act of a Majority of Owners present shall be the act of the Members. Section 3.5

Written Ballot.

Any action that may be taken at any annual, regular or special meeting ofthe Association may be taken without a meeting if the Association mails a written ballot to every Association Member that is entitled to vote on the matter. The written ballot shall set forth each proposed action and provide an opportunity to vote for or against each proposed action. Matters proposed in the written ballot shall be deemed approved or rejected as provided by the Oregon Planned

Community Act. Pursuant to ORS 94.647 the board of directors must provide owners with at

least 10 days' notice before written ballot are mailed or otherwise delivered. The notice required

shall state: the general subject matter of the vote by written ballot; the right of owners to request secrecy procedures; the date after which ballots may be distributed; the date and time by which

any petition requesting secrecy procedures must be received by the board; and the address where

any petition must be delivered. If approval of a proposed action otherwise would require a meeting at which a certain quorum must be present and at which a certain percentage of total

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votes cast is required to authorize the action, the proposal shall be deemed to be approved when

the date for the return of ballots has passed, a quorum of owners has voted and the required percentage of approving votes has been received. Otherwise, the proposal shall be deemed to be rejected; or if approval of a proposed action otherwise would require a meeting at which a specified percentage of owners must authorize the action, the proposal shall be deemed to be approved when the percentage of total votes cast in favor of the proposal equals or exceeds the required percentage. The proposal shall be deemed to be rejected when the number of votes cast in opposition renders approval impossible or when both the date for return of ballots has passed and the required percentage has not been met.

Section 3.6.

Electronic Ballot.

The Board of Directors, in its discretion, may provide that a vote, approval or consent of a Unit Owner may be given by electronic ballot. An electronic ballot may be accompanied by or contained in an electronic notice as described below. If an electronic ballot is posted on a website, a notice of posting shall be sent to each Owner and shall contain instructions for

obtaining access to the posting on the website. A vote made by electronic ballot is effective when it is electronically transmitted to an address, location or system designed by the Board of Directors for that purpose unless otherwise provided by the Declaration, Bylaws or Rules adopted by the Board of Directors. A vote by electronic ballot may not be revoked. Section 3.7

Proxу.

The vote or votes of a Lot may be cast by absentee ballot or pursuant to a proxy executed by the Owner. Owner may not revoke a proxy, except by actual notice of revocation to the person presiding over a meeting of the Association. A proxy shall not be valid if it is undated or purports to be revocable without notice. A proxy shall terminate one year after its date unless the proxy specifies a shorter term.

Section 3.8

Place of Meetings.

Meetings of the Association shall be held at such suitable place convenient to the Owners as may

be designated by the Board of Directors.

Annual Meetings.

Section 3.9

The Association shall hold an Annual Meeting as directed by the Board of Directors. At such

meeting, Members shall be elected to the Board of Directors in accordance with these Bylaws. The Owners may transact such other business of the Association as may properly come before them.

Section 3.10

Special Meetings.

Special Meetings may be called by the President ofthe Association, the Board of Directors or by Petition signed by thirty percent (30%) or more of the Owners.

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Section 3.11

Notice of Meetings.

Notice of each annual, special or meeting by ballot, stating the purpose, time and place of the meeting shall be mailed or hand-delivered to all Owners. Notice shall be mailed at least ten (10)

days but not more than fifty (50) days prior to such meeting. The notice shall be mailed to the Owner's address last given the Secretary in writing by the Owner. If Lot ownership is split or

the

Lot has been sold on contract, notice shall be sent to a single address of which the Secretary has

been notified in writing by such parties. The Notice shall state the time and place of the meeting

and the items on the agenda, including the general nature of any proposed amendment to the Declarations or Bylaws, any budget changes, or any proposal to remove a Director or Officer.

ARTICLE 4. BOARD OF DIRECTORS Number and Qualification.

Section 4.1

The affairs of the Association shall be governed by a Board of Directors composed of five (5) persons, all of whom shall be an Owner or Co-Owner of a Lot. Section 4.2

Powers and Duties.

The Board of Directors shall have the powers and duties necessary for the administration of the

affairs of the Association. The Board of Directors may act on behalf of the Association and may do

all such acts and things as are not by law, or these Bylaws, directed to be exercised and done by the Owners.

Section 4.3

Other Duties.

The Board of Directors shall have the authority to carry out and be responsible for the following matters:

4.3.1 Care, upkeep and supervision of the Common Area. The Board shall adopt a program for maintenance, upkeep, repair and replacement of the Common Area.

4.3.2 Adopting a method of approving payment vouchers for expenses related to the Common Area. The Board shall adopt a method of payment for expenses of maintenance, upkeep, repair and replacement of the Common Area and other expenses of the Association.

Establishment and maintenance of replacement reserve accounts and other reserves.

4.3.3

4.3.4 Annually conducting a reserve study for review or updating an existing study of the Common Area components, to determine reserve account requirements. 4.3.5

Designation and collection of assessments from the Owners.

4.3.6

Establishment of a budget and payment of all common expenses of the Association.

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4.3.7 Reviewing and maintaining hazard and liability insurance policies with respect to the Common Area.

4.3.8 Establishment of reasonable fines for violation of the Declarations, Bylaws, Rules and Regulations of the Association.

4.3.8 Designation, employment and dismissal of personnel necessary for the administration of the planned community, maintenance, upkeep and repair of the Common Area. 4.3.9

Owners.

Preparing and distributing annual financial statements of the Association to the

4.3.10 Adoption and amendment of administrative rules and regulations governing the details of operation and use of the Common Area; provided, however, any such Rules or Regulations remain subject to rescission or amendment by the Association upon Majority vote of Owners present at any properly called meeting. 4.3.11 Causing the Association to comply with the Oregon Planned Community Act relating to maintenance and distribution of financial statements and maintaining copies suitable for duplication of the following: CCRs, Bylaws, Association Rules and Regulations, most recent annual financial statement, and the current operating budget of the Association.

4.3.12 Additional duties imposed by the Oregon Planned Community Act, the CCRs, the Bylaws, or by resolution of the Association. Section 4.4

Income Tax Returns; Determination of Fiscal Year.

The Board of Directors shall determine the manner in which all necessary income tax returns are

filed, shall select persons to prepare and file such returns, and shall cause the necessary income tax returns for the Association to be filed annually. Section 4.5 4.5.1

Budgets and Financial Statements. The Board of Directors, at least annually, shall adopt a budget for the planned

community. Within thirty (30) days after adopting the annual budget for the planned community, the Board of Directors shall provide a summary ofthe budget to all Owners. If the Board of Directors fails to adopt a budget, the last adopted annual budget shall continue in effect. 4.5.2

The summary budget shall contain the information suggested by the Board. It

may contain an estimate of revenue expenses, amount of total cash reserves currently available to

the Association, and a Balance Sheet at the end of the fiscal year.

4.5.3

Within ninety (90) days after the end of the fiscal year, the Board of Directors

shall distribute to each Owner and upon written request any mortgagee of a Lot, a copy of the Annual Financial Statement consisting of a Balance Sheet and Income and Expenses Statement for the preceding fiscal year.

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Section 4.6

Election and Term of Office.

A Director's term shall be one (1) year. The Association may increase or decrease the number of

Directors and length of terms for which each is elected upon amendment of this Section. The Board of Directors may be elected by a single ballot with each owner permitted to vote the number of times there are for each vacancy. The nominees receiving the highest number of votes shall be

Directors.

Section 4.7

Quorum.

At all meetings of the Board of Directors, a Majority of the existing Directors shall constitute a

quorum for the transaction of business, and the acts of the Majority of the Directors present shall be

the acts of the Board of Directors. If at any meeting of the Board of directors there is less than a

quorum present, the Majority of those present may adjourn the meeting from time-to-time. At any

such adjourned meeting, any business which might have been transacted at the meeting as originally called may be transacted without further notice. Section 4.8

Vacancies.

Vacancies on the Board of Directors caused by any reason, other than the removal of a Director by a vote of the Association, shall be filled for the balance ofthe term by vote of a Majority of the remaining Directors, even though they may constitute less than a quorum.

Section 4.9

Removal of Directors.

At any legal Annual or Special Meeting, other than a meeting by ballot, any one or more of the

Directors may be removed with or without cause, by Majority vote of the Owners. Owners may

not remove Members appointed by the Declarant or persons who are ex-official

Directors.

Removal of a Director is not effective unless the matter of removal is an item on the agenda and

stated in the notice for the meeting. Any Director whose removal is considered at the meeting, shall be given the opportunity to be heard at the meeting prior to a vote on such Director's removal. In the event a Director is removed, a successor Director may be elected to fill the

vacancy.

Section 4.10

Regular Meetings.

Regular Meetings of the Board of Directors may be held at such time and place as shall be

determined, from time-to-time, by a Majority of the Directors. Notice of Regular Meetings of the Board of Directors may be called by the President of the Association on three (3) days' notice to

each Director, given personally, by mail, telephone, fax or e-mail, which notice shall state the time,

place and purpose of the meeting. Section 4.11

Special Meetings.

Special Meetings ofthe Board of Directors may be called by the President or Secretary of the

Association or on the written request of a majority of Directors. Special Meetings of the Board of

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Directors may be called on three (3) days' notice to each Director given personally, by

mail,

telephone, fax or e-mail, which notice shall state the time, place and purpose of the meeting. Section 4.12

Emergency Meetings.

Emergency Meetings may be held without notice if the reason for the Emergency Meeting is stated in the Minutes of the meeting. Only Emergency Meetings of the Board of Directors may be conducted by telephonic communication. Such telephonic meetings shall be carried on by means of a "conference call" in which each Director may speak with any of the other Directors. The Directors shall keep telephone numbers on file with the President of the Association to be used for Telephonic Meetings. No notice to either Directors or Association Members shall be required for a Telephonic Meeting of the Board of Directors to be held for any emergency action; provided, however, no such Telephonic Meeting shall occur unless at least seventy-five percent (75%) of the Board of Directors participate in the same and after an attempt has been made to call each Director at the telephone number maintained on file with the Board of Directors for

such purpose. Section 4.13

Notice to Association Members of Board of Directors.

For other than an emergency meeting, notice of Board of Directors meetings shall be posted at a

place on the Common Area at least three (3) days prior to the meeting or notice shall otherwise be provided to each Member ofthe Association reasonably calculated to inform all Members of such meeting. The posting of such notice shall be at a reasonable location which has been generally publicized to the Owners.

Section 4.14

Waiver of Notice to Directors.

Board of Directors Meetings Open to All Association Members.

4.15.1 All meetings of the Board of Directors shall be open to any and all Members of the Association, except that at the discretion ofthe Board of Directors the following matters may be considered an executive session:

4.15.1.1 Consultation with legal counsel;

and

4.15.1.2 Рersonnel matters including salary negotiations and employee discipline;

4.15.1.3 Negotiation of contracts with third parties.

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Directors.

Compensation of Directors.

Section 4.16

Directors shall not be compensated in any manner, except for out-of-pocket expenses, unless such compensation is approved by vote of the Owners. Section 4.17

Written Statement of Assessments.

The Association shall provide, within fifteen (15) business days of receipt of a written request

from an Owner, a written statement that provides: (1) the amount of the assessment due from the Owner and unpaid at the time the written request was received, including regular and special

assessments, fines and other charges, accrued interest, and late payment charges; (2) the percentage rate at which interest accrues on the assessments that were not paid when due; and,

Designation.

Section 5.1

The principal Officers of the Association shall be a President, Vice-President, Secretary and Treasurer, and such others as the Board may deem necessary. Election of Officers.

Section 5.2

The Officers of the Association may be elected by the Board of Directors from its members, and

shall hold office at the pleasure of the Board.

Section 5.3

Removal of Officers.

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Section 5.4

President.

The President shall be the Chief Executive Officer of the Association. The President shall preside at all meetings of the Association and Board of Directors. The President shall have all of the general powers and duties which are usually vested in the office of president of an

association, including, but not limited to, the power to appoint committees from among the Owners from time-to-time as he or she may in his or her discretion decide is appropriate to assist in the conduct of the affairs of the Association.

Section 5.5

Vice-President.

The Vice-President shall act in the stead of the President if the President is unable or fails to act. Section 5.6

Secretary.

The Secretary shall keep the Minutes of all meetings ofthe Board of Directors and the Minutes of all meetings ofthe Association; he or she shall have charge of such books and papers as the Board of Directors may direct; and he or she shall, in general, perform all the duties incident ofthe office of the Secretary. Section 5.7

Treasurer.

The Treasurer shall have responsibility for Association funds and securities not otherwise held by

the managing agent as directed by the Board of Directors, and shall be responsible for keeping

Directors as Officers.

Any Director may be an Officer of the Association. ARTICLE 6. OBLIGATIONS OF THE OWNERS. Section 6.1

Assessments.

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against the Lot of the Owner.

Special Assessments.

Section 6.2

The Board of Directors shall have the power to levy special assessments against an owner or all owners in the

following manner for the following purposes:

Upon vote of a majority of the Board to correct a deficit in the operating budget;

6.2.1

Upon vote of a majority of the Board to collect amounts due to the Association from an owner for breach of the owner's obligations under the Declarations, these Bylaws, or the Association's rules and regulations; 6.2.2

Upon vote of a majority of the Board of Directors, to make repairs or renovations to the Common Area or those portions of the buildings for which the Association has maintenance responsibility if sufficient refunds are not available from the operating budget or replacement reserve accounts; or 6.2.3

6.2.4

To make capital acquisitions, additions or improvements.

Section 6.3

Maintenance and Repair.

6.3.2

An Owner shall reimburse the Association for any expenditures incurred in

repairing or replacing any Common Area and/or facility damaged through his or her fault, not otherwise covered by insurance policies carried by the Association for the Owner's and

Association's benefit. The Association shall have no obligation to carry such insurance policies. Section 6.4

Default.

Failure by an Owner to pay any assessment of the Association when due shall be a default by such Owner of his or her obligations pursuant to these Bylaws, the CCRs and the Oregon Planned Community Act. Any assessment or any installment of assessment that is past due shall bear

interest at the rate of one and one half percent (1.5%) per month. The Board of Directors may

impose interest at its option. The Association shall be entitled to any remedy at law, including a lien, which may be enforced upon compliance with the provisions ofthe Oregon Planned Community Act and the Declarations. In any foreclosure suit by the Association with respect to such lien, the Association shall be entitled to collect reasonable rent from the defaulting Owner for the use of his or her Lot or shall be entitled to the appointment of a receiver. Any default by the Owner under any provisions of the Declarations, these Bylaws or the Oregon Planned Community Act shall be deemed to be a default by the Owner of any mortgage to which the Owner is a party or to which the Lot is subject.

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ARTICLE 7. INSURANCE

The Board of Directors shall obtain and maintain at all times insurance ofthe type and kind and in the amounts referred by Oregon Planned Community Act or as determined by the Board of Directors from time-to-time. Insurance shall include (1) replacement insurance for all insurable improvements in the Common Area against loss or damage by fire or other hazards, including extended coverage, vandalism and malicious mischief; (2) a public liability policy covering all Common Area and all damage or injury caused by the negligence of the Association; and, may include (3) Directors insurance. The Board of Directors shall, if reasonably available, obtain terms in insurance policies which provide a waiver of subrogation by the insurer as to any claims against the Board of Directors of the Association, any Owner or any guest of an Owner. ARTICLE 8. AMENDMENT

Amendments to the Bylaws may be proposed by a majority of the Board of Directors or by at least thirty percent (30%) of the Owners of the planned community. Amendments shall be approved either by a Majority of Owners present in person or by proxy at a duly constituted meeting or by ballot vote certified by the President and Secretary of the Association as having been adopted in accordance with the Bylaws. Amendments shall be recorded in the office of the Deschutes County recorder's office. ARTICLE 9. FINES AND CHARGES

Section 9.1 Association.

Fines for Violation of Declarations, Bylaws, Rules and Regulations of the

The Board of Directors may levy reasonable fines against a Member for any violation of the Declaration of Covenants, Conditions and Restrictions, the Bylaws, the Rules and Regulations, or the Oregon Planned Community Act. Fines may be levied due to the action of a Member, Member's guest or invitee or an Occupant of a property owned by the Member.

9.1.1 Notice and Hearing: In the event of a violation, the Association shall provide the Member with notice of the violation. The Member shall be given a reasonable opportunity, under the circumstances, to correct the violation. If the violation is a first-time and unintentional offense, the Board may, in their sole discretion, accept assurances that the violation will not be repeated. The Member shall be entitled, upon request made within ten (10) days of notice by the Association, to a hearing before the Board of Directors or any designated committee to contest the violation or fine. At the hearing, the Member may be represented by legal counsel and have a reasonable amount of time to produce statements, evidence, and witnesses. The minutes of the hearing shall contain a written statement of the results of the hearing and the fine, if any, that is imposed. The Association is not required to provide notice and opportunity to be heard for recurring or continuing violations unless at least ninety (90) days have passed from the time of the previous violation. If a hearing is not requested within the ten (10) day period the violation and/or fine shall be noted and imposed.

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Continuing Violations: In the case of a continuing or persistent violation: (1)

9.1.2

Each day the violation continues after written notice shall be deemed a separate and distinct

violation and, subject to a separate fine, every thirty (30) days; and (2) The Board may require the Member to post a bond or other form of security in order to ensure future compliance. For

any such violation that cannot be cured immediately, no further fines shall be levied after such time as the Member begins a good faith cure.

Lien Against Lot: Fines shall constitute a personal obligation of the Member, as well as a lien upon the property of the Member,which lien may be foreclosed in the same manner as a lien for unpaid Association assessments pursuant to the Oregon Planned Community 9.1.3

Act.

Fees and Costs: The Member shall be liable for all attorney fees, costs and

9.1.4

expenses of any nature incurred by the Association incident to the levy or collection of the fine,

including appellate proceedings.

9.1.5 Crediting Payments: The Association shall apply all partial payments by the Member to the Member's outstanding balance in the following order:

Attorney's fees and costs; Late fees and interest; Fines and Charges;

Special assessments; and Regular assessments, with payment being applied to the oldest balance first.

Partial payments will not waive the Association's right to pursue full payment and/or enforce its bylaws, declaration, and rules and regulations. Schedule of Fines:

9.1.6

Section 9.2

The schedule of fines is attached hereto as Exhibit “A".

Charges.

In the event any assessments are not received when due, the Association may charge up to five

percent (5%) of the payment or Fifty Dollars ($50.00), whichever is greater. Unpaid assessments shall bear interest at the rate of eighteen percent (18%) per annum. Owner shall reimburse the

Association for all costs and attorney fees expended (including at trial and on appeal) incurred by the Association in collecting assessments.

ARTICLE 10. INDEMNIFICATION OF DIRECTORS, OFFICERS, EMPLOYEES AND AGENTS The Association shall indemnify any Director, Officer, and may indemnify any employee or agent

who was or is a party or is threatened to be made a party to any threatened, pending or completed

action, suit or proceeding, whether civil, criminal, administrative, or investigative (other than an action by the Association) by reason of the fact that he or she is or was a Director, Officer,

employee or agent of the Association or is or was serving at the request ofthe Association as a

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Director, Officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, against expenses (including attorney fees), judgments, fines and amounts paid in

settlement actually and reasonably incurred by the person in connection with such suit, action or

proceeding, if he or she acted in good faith and in a manner he or she reasonably believed to be in, or not opposed to, the best interest of the Association, and, with respect to any criminal action or proceedings, had no reasonable cause to believe his or her conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or with a plea of no contest or its equivalent, shall not of itself create a presumption that a person did not act in good faith and in a manner which he or she reasonably believed to be in, or not opposed to, the best

interest of the Association, and, with respect to any criminal action or proceedings, had reasonable her conduct was unlawful. Payment under this clause may be made during the pendency of such claim, action, suit or proceeding as and when incurred, subject only to the right of the Association, should it be proven at a later time that the person had no right to such payments or to reclaim any payments made during the proceeding. All persons who are ultimately held liable for their actions on behalf of the Association as a Director or Officer shall have a right of contribution over and against all other Directors or Officers and Members of the Association who cause to believe his or

participated with or benefited from the acts which created said liability. ARTICLE 11. COMPLIANCE WITH BYLAWS AND OTHER RESTRICTIONS

REQUIRED, EFFECT OF NONCOMPLIANCE Section 11.1

Compliance.

Each Owner and the Declarant shall comply with the Declarations, Bylaws and administrative

Rules and Regulations adopted by the Association. Failure to comply shall be grounds for an action maintainable by the Association or by an aggrieved Owner. Section 11.2

Assessment Collection Costs; Suits and Actions.

Owners shall be obliged to pay reasonable fees and costs including, but not limited to, attorney fees incurred in connection with efforts to collect any delinquent unpaid assessments. In addition to the regular assessments for operating expenses and the funding of reserves, such assessments may include fees, late charges, fines, charges and interest imposed pursuant to Oregon law.

ARTICLE 12. MISCELLANEOUS

Rules of Order.

Section 12.1

Meetings of the Association and the Board of Directors shall be conducted according to the latest edition of Robert's Rules of Order published by the Robert's Rules Association.

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Section 12.2

Notices.

12.2.1 All notices to any Owner shall be sent to such address as may have been designated by him or her from time-to-time, in writing, to the Board of Directors, or if no address has been designated, then to the Owner's Lot.

12.2.2 All notices to the Board of Directors shall be sent to such address as may be designated by the Board of Directors from time-to-time.

Section 12.3

Waiver.

No restriction, condition, obligation or provision contained in these Bylaws shall be abrogated or

waived by failure to enforce the same irrespective of the number of violations or breaches which may occur.

Section 12.4

Compliance.

These Bylaws are intended to comply with the provisions of the Oregon Planned Community Act

shall apply.

The Bylaws have been adopted by the Declarants of DESCHUTES RIVER RECREATION

HOMESITE PROPERTY OWNERS ASSOCIATION, UNIT 6, PART 1 & 2.

DATED this

day of NIvember

2020.

DESCHUTES RIVER RECREATION HOMESITE PROPERTY OWNERS UNIT

6, PART 1 & 2

Nadine Rutk

Nadine Ruth, President

Bndsey Achack Lindsey Swinehart

BYLAWS -15