Article III
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ELDRIDGE PARK

DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS 

 

ARTICLE III 

ASSESSMENTS

 

            Section 1.  Covenants for Assessments.   The Declarant, for each Lot owned by it within the Property (being all Lots within the Property), hereby covenants to pay and each purchaser of any such Lot by acceptance of a deed  therefor, whether or not it shall be so expressed by any such deed or any conveyance, shall be deemed to covenant and agree to pay, to the Association:  (1) Regular Annual Assessments or charges (as specified in Section 3 of this Article III) ;  (2) Special Assessments (as specified  in Section 4 of this Article III), and (3)  Special Member Assessments (as specified in Section 5 of this Article III), all of such assessments to be fixed, established and collected as hereinafter provided. 

            Section 2.  Purpose of Assessments.  The assessments levied by the Association shall be used exclusively for the purpose of protecting and promoting the comfort, collective mutual enjoyment, health, safety, and welfare of the Owners of the Property, or any? thereof, and for carrying out the purposes of the Association stated in its Articles of Incorporation and this Declaration. 

The judgment of the Board of Directors of the Association in determining the functions to be performed by the Association, in determining the amount of Regular Annual Assessments, Special Assessments and Special Member Assessments, and in the expenditure of funds shall be final and conclusive so long as its judgment is exercised in good faith. 

            Section 3.  Regular Annual Assessments.  Each Owner of a Lot shall pay Regular Annual Assessments to the Association. 

(1)  Purpose.  Regular Annual Assessments shall be levied upon each Lot to provide funds for the use and benefit of the Owners in the Property.  Regular Annual Assessments may be used to finance in particular, but not by way of limitation, the following: 

i.  Operation, maintenance, repair, and improvement of the Common Areas, the Common Facilities, and the Common Property, including funding of appropriate reserves for future repair, replacement and improvement of same; 

ii.  Payment of taxes and premiums for insurance coverage in connection with the Common Areas, Common Facilities and Common Property and any other property owned by the Association. 

iii.  Paying the cost of labor, equipment, (including expense of leasing any equipment), material, and any associated management or supervisory services and fees required for management and supervision of the Common Areas, Common Facilities, and Common Property; 

iv.  Paying the cost and fees of a manager or firm retained to carry out the duties of the Association or to manage the affairs and property of the Association; 

            v.  Maintaining or replacing any Landscaping in the Common Areas; 

vi.  Designing, purchasing and installing any improvements to the Common Areas and the Detention Areas; 

vii.  Mowing and routine maintenance of the Common Areas and the East/West Pipeline Easement; 

viii.  Mowing and routine maintenance of the Detention Areas unless such maintenance is performed by a municipal utility district or other governmental entity; 

ix.  Removing debris from the Common Areas, the East/West Pipeline Easement, and Detention Areas; 

            x. Repairing all areas of erosion within the Detention Areas. 

xi.  Lighting, improving and maintaining streets, alleyways, sidewalks, and paths in the Property; 

xii.  Collecting and disposing of trash, garbage, ashes, rubbish and other similar materials; 

xiii.  Payment of legal fees and expenses incurred to collect assessments and enforce this Declaration; 

            xiv.  Employing policemen or watchmen and/or a security service; 

            xv.  Carrying out the duties of the Board of Directors of the Association; and 

xvi.  Carrying out such purposes of the Association as generally benefit all of the Association. 

            (2)  Basis for Assessment.  Subject to the provisions of paragraph 4 below, Regular Annual Assessments    shall be levied equally against each Lot by the Board of Directors of the Association on an annual basis.  After consideration of current costs, and future needs of the Association, the Board shall fix the Regular Annual Assessment at any amount not in excess of the hereinafter stated maximum. 

            (3)  Maximum Annual Assessment.  Until January 1, 1995, the maximum Regular Annual Assessment shall be $425 for each Lot.  From and after January 1, 1995, the maximum Regular Annual Assessment may be increased each year not to more than ten percent (10%) (such percentage may be cumulative from year to year) above the maximum assessment for the previous year by the Board of Directors of the Association without a vote of the Members.  The maximum Regular Annual Assessment may be increased above such amount with the approval of a majority of the total eligible votes of each class of the membership of the Association by Members voting in person or by proxy at a meeting called for such purpose. 

            (4)  Lots owned by Declarant and Builders.   Lots owned by the Declarant shall be subject to the obligation of payment of Regular Annual Assessments at the rate of 25% of the amount assessed against the Lots owned by Class A Members.  Lots owned by a Builder shall be subject to the obligation of payment of Regular Annual Assessments at the rate of 50% of the amount assessed against the Lots owned by the Class A Members who are not Builders during the 12-month period after the purchase of each Lot by a Builder and thereafter at 100% of the amount assessed against the Lots owned by Class A Members who are not Builders. 

            Section 4.  Special Assessments.  In addition to the annual assessments authorized by Section 3 hereof, the Association may, by vote of its members as set out in Section 6 hereof in any year or years, levy Special Assessments. 

            (1)  Purpose.  Special Assessments may be levied for the following purposes: 

(a)  Defraying the cost of any new construction or reconstruction, unexpected repair or extraordinary maintenance, or replacement of capital investments for and within the Detention Areas, Common Areas, Common Facilities, and Common Property, including the necessary fixtures and personal property related thereto; 

(b)  Responding to unusual or emergency needs of the Association as a whole as may be expected to occur from time to time; 

(c)  Satisfying the obligations and responsibilities of replenishing all or part of any escrow funds held by any other third party which have been withdrawn to pay for obligations incurred or assumed by the Association under agreements with such third party and/or any other governmental authorities; 

d)   Indemnifying a director, officer, agent or employee of the Association pursuant to the indemnification provisions of the Articles of Incorporation and Bylaws of the Association or this Declaration; 

(e)  Carrying out any other purposes that benefit the Association as a whole as stated in its Articles of Incorporation, Bylaws or as stated herein. 

(2)  Basis for Assessment.  Special Assessments shall be allocated and prorated among the Owners at the date each such Special Assessment is levied in the same manner as Regular Annual Assessments are allocated and prorated among the Lots pursuant to Section 3 of this Article. 

            Section 5.  Special Member Assessments.  In addition to the Regular Annual Assessment and any Special Assessments authorized in this Article III, the Association, by vote of its Board of Directors may levy a Special Member Assessment in accordance with, and as provided in Section 2 of Article VII hereof and the Bylaws of the Association, as such Bylaws presently exist or are subsequently modified or amended. 

            Section 6.  Vote Required for Special Assessments.  The Special Assessments authorized by Section 4 hereof must be approved by two-thirds (2/3rds) of the total eligible votes of each class of the membership of the Association by Members voting in person or by proxy, at a meeting duly called for such purpose, a written notice of which shall be given to all Members at least fifteen (15) days in advance and shall set forth the purpose of such meeting. 

            Section 7.  Commencement Date of Annual Assessments.  The first Regular Annual Assessment provided for herein shall commence on a date in 1993 fixed by the Board of Directors of the Association and shall continue thereafter from year to year.  The assessment for 1993 shall be adjusted according to the number months remaining in such year and shall be due and payable thirty (30) days after notice is sent to the Owners of the Lots. 

            Section 8.  Due Date of Assessments.   On or before November 30 of each year commencing November 1, 1993, the Board of Directors shall fix the Regular Annual Assessment for the following calendar year which shall become due and payable on January 1 of such year and delinquent if not paid by March 1 of such year.  The due date of any Special Assessments under Section 4 hereof shall be fixed in the resolution authorizing such assessment. 

            Section 9.  Owner’s Personal Obligation for Payment of Assessments.  The Regular Annual Assessments and all Special Assessments provided for herein shall be the personal and individual debt of the Owner of the Lot covered by such assessments.  No Owner may, for any reason, exempt himself from liability for such assessments.  In the event that any assessment or installment thereof is not paid when due, then the unpaid amount of any such assessment  or installment thereof shall become delinquent and shall, together with interest thereon as herein provided and costs of collection thereof,  be a continuing personal obligation and debt of the non-paying Owner secured by the continuing lien imposed by this Declaration on the Lot, including all improvements thereon, to which such assessment or installment thereof pertains. 

            The obligation of any Owner to pay any assessment imposed on a Lot during such Owner’s period of ownership shall remain such Owner’s personal obligation, and a sale or other transfer of title to such Lot shall not release such former Owner from said liability notwithstanding an assumption of liability by the purchaser or transferee.  The lien imposed by this Declaration for any unpaid assessments shall be unaffected by any sale or transfer of full or partial ownership interests in a Lot, or portion thereof, and shall continue in full force and effect. 

            The unpaid amount of ay assessment shall bear interest from its due date at eighteen percent (18%) per annum or the maximum legal rate of interest then prevailing, whichever is lesser.  In addition, the Board of Directors of the Association may elect to retain the services of an attorney of its choice for the purposes of collecting any unpaid assessment and interest charges thereon, any and all collection costs incurred by the Association, whether judicial or non-judicial, and including, but not limited to, reasonable attorney’s fees and costs of legal suit. 

            Section 10.  Assessment Lien and Foreclosure.  Declarant hereby imposes upon each and every Lot of land within the Property a continuing lien enforceable by the Association to secure the payment to the Association of the Regular Annual Assessments, Special Assessments and Special Member Assessments (together with interest and the cost of collection, including reasonable attorneys’ fees as provided in Section 9 hereof) attributable to the Owner of that Lot of land in the Property (the “Association’s Lien”).  Each Owner of each Lot, by acceptance of the deed therefor and whether or not it shall be so expressed in such deed, is deemed to covenant, and agree to accept such Lot subject to the Association’s Lien.  Each Owner of each Lot, by acceptance of the deed therefor and whether or not it shall be so expressed in such deed, hereby expressly vests in the Board of Directors of the Association, or its agents, the right and power to bring all actions against each such Owner personally for the collection of all such assessments as a debt and to enforce the aforesaid Association’s Lien by all methods available for he enforcement of such liens, including non-judicial foreclosure pursuant to 51.002 of the Texas Property Code, as same presently exists or as it is subsequently amended; and each such Owner hereby expressly grants to the Board of Directors of the Association a power of sale in connection with said Association’s Lien.  The Board of Directors of the Association may designate a trustee in writing from time to time to post or cause to be posted the required notices and to conduct non-judicial foreclosure sale.  The trustee may be changed at any time and from time to time by an instrument in writing signed by the President or a Vice-President of the Association and attested by the Secretary or any Assistant Secretary of the Association and filed for record in the official public records of real property of Harris County, Texas.  The initial designation of a trustee by the Board of Directors of the Association shall be by an instrument in writing that is executed and filed in the same manner as an instrument changing the designated trustee.  In any foreclosure proceedings, whether judicial or non-judicial, the Owner shall be required to pay the costs, expenses and reasonable attorney’s fees incurred by the Association, and the Association shall have the right and power to bid on the property being foreclosed.  The aforesaid Association’s Lien shall be superior to all other liens and charges against the Property, except only for ad valorem tax liens and all sums unpaid on a first mortgage lien or first deed of trust lien of record, securing in either instance sums borrowed for the improvement and/or purchase of the property in questions, to which said liens the Association’s lien shall be subordinate and inferior.  Provided, however, that such subordination shall apply only to the assessments which have become due and payable prior to a foreclosure sale (whether public or private) of any such Lot pursuant to the terms and conditions of any such mortgage or deed of trust.  Any foreclosure and sale of a Lot pursuant to said superior liens shall not relieve any such Lot’s Owner of personal liability for the sums owing under this Article nor the new Owner thereof from liability for the amount of any assessments thereafter becoming due nor from the continuing lien imposed hereby securing payment of any such subsequent assessments.  The Association, acting through its Board of Directors, shall have the power to subordinate the aforesaid Association’s Lien to any other lien. 

            Section 11.  Common Properties Exempt.  The Common Areas and any common properties of any other association which may merge or consolidate with the Association, and any common properties contained or defined within a Supplementary Declaration filed as provided in Article I, Section 3 of this Declaration, and all portions of the Property owned by or otherwise dedicated to any political subdivision, shall be exempted from the assessments and lien created herein. 

            Section 12.  Certificate of Payment.  The Board of Directors of the Association shall, upon the request of an Owner and the payment of reasonable charge established by said Board, cause to be furnished to any such Owner liable for assessments, a certificate in writing signed by an officer of the Association setting forth whether said assessments have been paid.  Such certificate shall be conclusive evidence of the payment of any assessments therein stated to have been paid.