A GUIDE FOR LIVING AT QUAIL CREST

2016

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INDEX

ACTIVITIES 7 APPLIANCES 7 ATTICS 8 AWNINGS 8 CARS & PARKING 8 CLUBHOUSE 8 COMMERCIAL ACTIVITIES 9 DECKS 9 DOORS & SLIDERS 9 DRAPERIES & OTHER WINDOW COVERS 10 DRIVEWAYS 10 EAVES TROUGHS 10 ESTATE / GARAGE SALES 10 FENCES 10

FLAGS 10 FOUNDATION CRACKS & LEAKS 11 FURNITURE 11 GARAGES & GARAGE DOOR SYSTEMS 11 INSURANCE 11 LANDSCAPE ORNAMENTS 12 LANDSCAPING 12 LIGHTING 13 MODIFICATIONS 13 PATIOS 13 PEST CONTROL 13 PETS 14 POOL 14 PROPERTY TAXES 14

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RESIDENT RESTRICTIONS 15 ROOFS 15 SALES, LEASES & RENTALS 15 SATELLITE DISHES 15 SECURITY FOR CONDO KEYS 15 SEX OFFENDERS 16 SIDEWALKS 16 SIGNS 16 SNOW REMOVAL 16 SPEED LIMITS 17 STEPS & STOOPS 17 STRUCTURES’ EXTERNAL MAINTENANCE 17

TRASH & RECYCLABLES 17 UTILITIES 18 UTILITY LINES 18 VEHICLES 18 WEBSITE 18 WILDLIFE AREAS 18 WIND & SOLAR DEVICES 18 WINDOWS & DOORS 19

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Guide for Living Quail Crest Condominiums

(Reviewed and approved by the Board on December 14, 2015)

Table of Contents I ………. GENERAL INFORMATION II …….... SPECIFIC ITEMS

I — GENERAL INFORMATION Note: This Guide addresses condo living in general and residing at Quail Crest in particular. The Guide summarizes many of the rules and regulations from the Association’s Master Deed, Condominium “Bylaws,” Association "Bylaws," “Rules and Regulations,” and policies adopted by the Board of Directors. Contact the Property Manager if you need a digital or printed copy. CONDOMINIUM LIVING Condo living differs greatly from dwelling in a private house. All condo owners (“Co-owners”) control the interior of their own condos, and they jointly own the rest of Quail Crest, such as the streets, Clubhouse, and pool. In general, Co-owners maintain the inside of their own units

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and the Quail Crest Association (“Association”) cares for the outside. THE ASSOCIATION Each Co-Owner automatically becomes a member of the Association. All Co-owners are governed by a Board of Directors (“Board”) elected from among and by Co-owners. Each of the seven Directors is elected to a two-year term. The Directors elect a President, Treasurer, and Secretary. The Association is a Michigan non-profit corporation regulated by Michigan law. The Association retains both a Certified Public Accounting firm and Legal Counsel. The Board contracts with a Property Manager (“PM”) who maintains the Association’s office and records, manages the common Association property including all exterior maintenance and landscaping, and advises Association members as needed on internal property changes that might affect property exteriors. Co-owners should always contact the PM regarding possible structural and landscaping changes; the best way to do this is by submitting to the PM an “Action Request and Repair Form” (“ARRF”). Each Board member, along with the PM, overseas a specific type of maintenance, improvement, or activity. The Directors’ names, contact information, and areas of responsibility are listed in the Quail Crest Directory (Directory).

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BOARD MEETINGS The Board usually meets monthly in the Clubhouse. Meetings are announced via newsletter or special e-mail. All Co-owners are welcome at Board meetings. ANNUAL ASSOCIATION MEETING The Association’s annual meeting is held on the fourth Monday of October. Advance materials include a notice, agenda, ballot for the election of Directors, and a financial report. At the meeting the Board announces the election of Directors, reviews Association finances, and discusses with attendees other topics of interest. Association members may vote by proxy, as governed by the By-Laws. MEMBERSHIP DUES Each Co-owner is obligated to pay dues monthly via a direct bank deposit system. The Board sets monthly dues, which cover day-to-day operating costs and reserves used to fund major projects such as roofing and roads. Dues are payable on the first of the month. Each month that a Co-owner fails to pay dues, the Co-owner will be charged $25 plus 10% interest per annum. The Board has the authority to place a lien on a home. SPECIAL ASSESSMENTS If a major financial need arises which cannot be covered by the Association’s operating and/or reserve funds, the Board has the authority to make a special assessment which every Co-owner is obligated to pay.

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MAINTENANCE REQUESTS For all non-emergency maintenance requests and for general property and grounds information, Co-owners should submit an ARRF. This form is available at the Clubhouse, online, or by e-mail from the PM. Co-owners should submit all completed AARFs to the PM by e-mail attachment or drop them off at the Clubhouse. For emergencies, call the PM immediately. MAINTENANCE POLICIES 1. Co-owners should contact the PM before making any changes that affect a condo’s exterior. These include items like condo wiring, dryer vents, furnace and other venting, piping, and satellite dishes. Co-owners do not need permission to put up holiday lights. 2. For both structures and landscaping, the Association uses and pays for “standard” materials (comparable to the original or installed materials). In most cases, Co-owners have the option to upgrade by paying the cost differential. 3. Co-owners should not contract for any maintenance or improvements that are the responsibility of the Association. The Association will not reimburse Co-owners for such unapproved expenditures, and the Association can alter or remove unapproved work that has already been performed. 4. Co-owners are responsible for damage they cause to Association property, including accidental damage.

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PROBLEM RESOLUTION If a conflict between the Association and a Co-owner cannot be settled by the PM or individual Board members, the Co-owner has the right to meet with the entire Board. The Board’s action is final. COMMUNICATION AND PRIVACY The Board and PM communicate with Co-owners through various media, such as e-mail, the United States Postal Service, posters, telephone, and Web-based media. The Board and PM seek to keep Co-owners’ personal information secure. Co-owners are encouraged to use e-mail to communicate with the Board and the PM, and to publish their email addresses in the Directory. Members should not share Directory information with those who are not Association members.

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II — SPECIFIC ITEMS ACTIVITIES A volunteer Social Committee plans and sponsors social events, activities, and classes. APPLIANCES Co-owners are responsible for all building appliances, including air conditioners, furnaces (including flues and ducts), sump pumps, and water heaters. The Association repairs the exterior parts of chimney caps and sump pump discharge lines. ATTICS Co-owners are responsible for all added attic insulation (beyond existing insulation). The Association maintains adequate attic ventilation. AWNINGS Retractable awnings are allowed but regulated with the PM’s advice and Board actions. Co-owners are responsible for maintaining all permitted awnings. CARS AND PARKING Co-owners should park vehicles in closed garages. Co-owners may park cars in driveways unless it interferes with snow removal. Co-owners should ask guests and service-vehicle drivers not to park with any tires on the grass because it can damage expensive ground sprinklers.

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CLUBHOUSE Co-owners receive keys to the front door of the Clubhouse for access to the seasonal pool and restrooms. Co-owners may use the clubroom for meetings and social events such as Quail Crest neighborhood parties. Co-owners pay rent for Clubhouse use only when guests include non-residents or when the room is used for personal purposes. The pool and the patio around the pool may not be used for non-Association events. Co-owners should contact the volunteer Rental Director, listed in the Directory, to tour the Clubhouse facilities, determine rental cost, and schedule events. COMMERCIAL ACTIVITIES (Solicitations) Door-to-door soliciting is not allowed. Co-owners should inform solicitors that all for-profit and nonprofit soliciting is subject to trespassing laws and that solicitors must immediately leave Quail Crest. DECKS Co-owners are responsible for all deck carpeting and related damage. The Association maintains decks, including cleaning, painting, and rebuilding, based on the PM’s deck-maintenance schedule or some special needs. DOORS AND SLIDERS The Association and Co-owners split 50/50 the cost to repair or replace external hinged and sliding doors, including sills, frames and weather stripping. With Board

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approval, Co-owners may upgrade doors at their own additional expense. Co-owners are responsible for maintaining and replacing storm/screen doors and screens, maintaining and replacing external door locks and hinges, and painting door interiors. The Association paints door exteriors. DRAPERIES AND OTHER WINDOW COVERS Co-owners must use solid, light-colored linings and window coverings as visible from outside their homes. Wooden blinds are permitted. DRIVEWAYS The Association repairs or resurfaces asphalt driveways as needed. Co-owners may enhance their driveways by having them sealed at their own expense. EAVES TROUGHS The Association cleans eaves troughs (gutters and downspouts) and maintains and repairs associated drainage problems. ESTATE/GARAGE SALES The Association does not permit garage sales, but it allows estate sales under strict requirements explained in a permit form available from the PM.

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FENCES Fences of any kind, including underground and aboveground pet fences, are not permitted. FLAGS Flagpoles must be attached to a house and not placed in the lawn. The Association suggests that Co-owners follow the Federal Flag Code. FOUNDATION CRACKS AND LEAKS The Association repairs condo foundation cracks and leaks. FURNITURE (Outdoor) Furniture on decks, patios, and porches must be removed annually by November 30. GARAGES AND GARAGE DOOR SYSTEMS Co-owners are responsible for painting garage walls and ceilings, and painting or sealing floors. The Association repairs significant floor breaks. The Association maintains the door, track system, and spring balance. Co-owners are responsible for electronic door openers, remote controls, and interior switches and wiring. INSURANCE The Association carries insurance for liability and property damage to all buildings, including condos. Co-owners should insure all personal assets inside their homes and garages, including paint, wallpaper, carpeting, appliances,

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light fixtures, and the entire lower level down to the studs. The Association does not carry earthquake or flood insurance. Co-owners should consult their insurance agents for proper coverage. The Association maintains Officers and Directors’ Liability insurance. LANDSCAPE ORNAMENTS Co-owners may place small sculptures and other ornaments near their homes, but not in the grassy areas mowed by the Association. Ornaments must be unobtrusive and fit in with Quail Crest’s overall aesthetic appeal. The Association reserves the right to remove landscape ornaments, especially if neighbors object to them or Co-owners fail to maintain them. LANDSCAPING The Association provides sprinkling, weed control, fertilizing, and trimming of the bushes and trees. The Association will spread mulch purchased by Co-owners (please contact the PM for information about the proper types of mulch to use). The Association encourages Co-owners to beautify condos’ established planting areas by purchasing, planting, and maintaining annuals and perennials (contact the PM to determine the established areas). Co-owners may not change Association-provided plantings without Board approval. The Association replaces dead plantings with “standard” plants, but Co-owners may request more-costly plants and, if the plants are Board approved, must pay the cost differential. The Association

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reserves the right to approve, change, or remove all plants or other landscape items. The Directory lists Board members responsible for landscaping. LIGHTING (Unit Exteriors) Co-owners replace exterior bulbs. The Association maintains exterior light fixtures. MODIFICATIONS (Exterior) Co-owners may add to or modify home exteriors provided they gain approval from neighbors and the Board. The Association recommends that Co-owners seek ongoing advice from the PM. All exterior condo modifications must be made by licensed and insured contractors and are subject to inspection and approval by the PM. Co-owners are responsible—with some exceptions—for maintaining modifications for three years or until the condo is sold—whichever comes first. Thereafter the Association assumes maintenance responsibility. Board approval can take up to 30 days. PATIOS Co-owners are responsible for general patio maintenance and for the cost of purchasing and applying special patio coatings (e.g., River Rock). The Association repairs condo patios.

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PEST CONTROL Co-owners should promptly contact the PM and complete an ARRF at the sign of any pest-related issues. The Association addresses all insect infestations, provides critter control, and repairs any external home damage caused by animals, insects, or birds. Co-owners are responsible for preventing moles, but the Association repairs mole-caused damage. PETS The Association permits household pets, but only one dog per home except when a Co-owner already owned two dogs when initially joining the Association. Cascade Township requires that all dogs be leashed when outdoors. The Association maintains a play area near the Clubhouse where dogs can run without leashes. Co-owners must clean up after their dogs. POOL The pool opens in spring and is available for use from 10 AM to dusk through Labor Day. Only Co-owners, their families, and their guests may use the pool. Co-owners or other adult family members must supervise and are responsible for guests; they must supervise all children under 16 years of age at all times. The following are prohibited from entering the pool: incontinent persons, pets, babies without special swimming diapers, and people with infectious and/or communicable diseases. Additional restrictions and responsibilities are listed at the pool.

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PROPERTY TAXES Co-owners are responsible for paying their homes’ property taxes. RESIDENT RESTRICTIONS The Association limits all condos to single-family, residential use. In most cases, only one or two residents occupy individual units, but housing laws allow for up to two residents per unit bedroom. The Association does not discriminate on the basis of race, color, national origin, religion, or sexual orientation. ROOFS The Association repairs and re-roofs condos as scheduled or otherwise needed. SALES, LEASES, AND RENTALS Condo sales, leases, and rentals require written Board approval. Co-owners should contact the PM when they first think about selling, leasing, or renting. The PM supplies detailed information and the necessary forms to complete. SATELLITE DISHES The Association permits small (18” or smaller) satellite dishes but closely regulates their placement. Co-owners should contact the PM before purchasing and installing one.

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SECURITY FOR CONDO KEYS Co-owners may give a house key to the PM, who keeps all keys in the PM office under a coding system that prevents others from using a key to access a condo. At a Co-owner’s request, the PM can check on a home when the Co-owner is absent. The PM also may use the key in an emergency. Co-owners who prefer instead to keep an emergency key with a neighbor should tell the PM which neighbor has the key. SEX OFFENDERS Registered sex offenders may not live in Quail Crest. SIDEWALKS (Walkways) The Association paves and maintains all sidewalks/walkways. SIGNS Signs may not be displayed either on lawns or in condo windows. This includes FOR SALE signs. Sole exceptions are OPEN HOUSE and ESTATE SALE signs, which may be displayed only during the event. SNOW REMOVAL The Association contracts with a private service to shovel sidewalks and plow streets and driveways whenever snowfall exceeds 1½ inches. Co-owners may salt their own walkways and driveways at their own cost, but should use

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products that will not harm the lawn, plantings, and asphalt. SPEED LIMITS The maximum vehicle speed is 20 mph. Pedestrians should walk on the side of the street facing oncoming traffic. When approaching pedestrians, drivers should slow to reduce speed to 10 mph and should pass pedestrians on the opposite (far) side of the street. The Board may levy speeding fines. STEPS AND STOOPS Co-owners are responsible for purchasing, installing, and maintaining carpeting and special coatings on steps and stoops. The Association repairs the structural (underlying) steps and stoops. STRUCTURES’ EXTERNAL MAINTENANCE The PM annually schedules and regularly maintains the external appearance of all buildings, including roofing, siding, and decking. TRASH AND RECYCLABLES The Association contracts with a private service to pick up trash and garbage weekly, and recycled items every two weeks. Co-owners should place yard waste in the special dumpster next to the PM’s garage near the Clubhouse—not in regular waste containers; this yard-waste service is

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available during the summer or by special scheduling with the PM. UTILITIES The Association pays for water and sewer service for multiple (attached) units. All other utilities, including water and sewer in single-home units, are Co-owners’ own responsibilities. UTILITY LINES Utility companies are responsible for all utility lines. VEHICLES The Association does not permit the storage of special vehicles—such as RV’s, boats, trailers, and snowmobiles—outside of condos for more than 24 hours. With PM permission, such vehicles may be parked overnight at the Clubhouse parking lot. WEBSITE—www.quailcrestcondos.com WILDLIFE AREAS Wildlife areas contiguous to Quail Crest are controlled by government environmental regulations. Co-owners must not remove or trim trees or other wild plants, or dump trash, clippings, or cuttings in such areas; there are potentially harsh penalties.

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WIND AND SOLAR DEVICES The Association does not permit outdoor wind and solar devices. WINDOWS AND DOORS Condo windows and doors are a special category of responsibility because they are both inside and outside of each unit. The Association splits the cost 50/50 with each Co-owner for replacing and repairing condo windows and doors. Co-owners are fully responsible for purchasing and maintaining all storm doors and screens.