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EXHIBIT "B"
INITIAL USE RESTRICTIONS 
 
The following Use Restrictions shall apply to all of the Properties until such time as they are amended, modified, repealed, or limited by the Association pursuant to Article III of the Declaration.
 
  1. General. The Properties shall be used only for residential, recreational, and related purposes (which may include, without limitation, offices for any property manager retained by the Association or business offices for Declarant, approved Builders, or the Association consistent with this Declaration and any Supplemental Declaration). Any Supplemental Declaration or additional covenants imposed on the property within any Neighborhood may impose stricter standards than those contained in the Declaration and the Association shall have standing and the power to enforce such standards.

  2. Restrictions. The following are prohibited within the Properties unless expressly authorized by, and then subject to such conditions as may be imposed by, the Board:

    1. Temporary Structures Prohibited. No basement, tent, shack, garage, barn or other outbuilding or buildings or any structure of a temporary or moveable character erected or placed on the Properties shall at any time be used as living quarters except as specifically authorized by the PIC.

    2. Nuisances. No noxious or undesirable thing, activity or use of any Unit in the Properties shall be permitted or maintained. If the PIC shall determine that a thing or use of any Unit or any part of the Properties is undesirable or noxious, such determination shall be conclusive. The PIC may recommend and the Board may direct that steps be taken as is reasonably necessary including, without limitation, the institution of legal action or the imposition of fines in the manner authorized by RCW Chapter 64.38, to abate any activity, remove anything or terminate any use of property which is determined by the PIC or described in this Declaration to constitute a nuisance.

    3. Limitation on Animals. No animal, livestock or poultry of any kind shall be raised, bred or kept on any Lot, except cats, dogs, birds or fish may be kept if they are not kept, bred or maintained for any commercial purpose, and they shall not be kept in numbers or under conditions reasonably objectionable in a closely built-up residential community. Animals shall not be allowed to roam loose outside the limits of any Unit on which they are kept. Provided, however, the Board in its discretion may designate certain tracts as off-leash dog areas, subject to reasonable rules, so long as (i) the dog(s) are under voice command; (ii) the dog(s) are non-aggressive; and (iii) all solid waste is removed by the Owner utilizing the Tract for such purposes. Any dogs must be kept so as to minimize excessive noise from barking or otherwise shall be considered a nuisance according to the terms of this Declaration. Each Owner shall be responsible for cleaning up after his or her animal for any waste or damage to any area outside of the Owner's Unit.

    4. Limitation on Signs. The Association may regulate or prohibit all signs, to the full extent allowed by State law. The Association may establish guidelines or restrictions including duration, location and appearance of signs. In addition to other rights reserved to Declarant in the Declaration, Declarant hereby reserves for itself and all Builders, so long as Declarant or any Builders own any Lot, the right to maintain upon the Properties such signs as in the opinion of Declarant are required, convenient or incidental to the merchandising and sale of the Lots.

    5. Completion of Construction Projects. The work of construction of all building and structures shall be pursued diligently and continuously from commencement of construction until the structures are fully completed and painted. All structures shall be completed as to external appearance, including finish painting, within one year of the date of commencement of construction, except such construction as is performed by Declarant, which shall be exempt from the limitations contained in this Section. Front yard landscaping must be completed within 90 days of completion of a Unit, and rear yard landscaping must be completed within six months of completion of a Unit. Except with the approval of the Board, no person shall reside on the premises of any Unit until such time as the improvements to be erected on the Unit in accordance with the plans and specifications approved by the Board have been completed.

    6. Unsightly Conditions. No unsightly conditions shall be permitted to exist on any Unit. Unsightly conditions shall include, without limitation, laundry hanging or exposed in view for drying, litter, trash, junk or other debris; inappropriate, broken or damaged furniture or plants; non-decorative gear, equipment, cans, bottles, ladders and other such items; and no awnings, air conditioning units, heat pumps or other projections shall be placed on the exterior walls of any Unit unless prior written approval shall have been obtained from the PIC. Garbage containers and recycle bins are to be stored so as not to be seen from the street, except on pick-up days. Owners should insure garbage containers are secure from overflowing or spills and to keep litter and debris picked up around their property at all times.

    7. Antennas, Satellite Reception. Satellite dishes of no more than one meter in diameter or diagonal measurement that are visually shielded from most of the view of the residents traveling upon streets located within the Properties are permitted on the Properties without PIC approval. All over-the-air reception devices shall comply with the Residential Design Guidelines or other applicable rules adopted by the Association pertaining to the means, method and location of antennas and satellite dishes. PIC approval will be consistent with FCC regulations.

    8. Setbacks. No building shall be located on any Unit nearer to the front lot line or nearer to the side street than the minimum building setback lines adopted by the governmental authority with jurisdiction over the Properties.

    9. Roofs. Roofs on all buildings must be finished with materials approved for use by the PIC. More than one type of material may be approved.

    10. Fences, Walls. In order to preserve the aesthetics of the Properties, no fence, wall or hedge shall be erected or placed on any Unit unless prior written approval has been obtained from the PIC. The design and color of any fence on the Properties, whether visible to the other Units or not, shall be constructed and finished according to the standard fence detail, as such detail is initially designated by the PIC. If a standard fence detail is attached to this Declaration, such fence detail and any required color for a fence may be modified by the PIC.

    11. Residential Use Only. Except for Declarant's or a Builder's temporary sales, construction offices and model homes, no Unit shall be used for other than one detached single-family residential dwelling, with driveway parking used for not more than three cars.

    12. Underground Utilities Required. Except for any facilities or equipment provided by the Declarant or any utility, all electrical service, telephone lines and other outdoor utility lines shall be placed underground.

    13. Sales and Construction Facilities. Notwithstanding any other provision in this Declaration to the contrary, it is expressly permissible for Declarant, a Builder, and their agents, employees or nominees, to maintain on any portion of the Properties owned by Declarant, a Builder or on the Common Areas such facilities as the they may reasonably feel are required, convenient or incidental to the construction and/or sales of Units or improvements thereon. Declarant may permit, in writing, an individual Owner or third party purchaser to maintain temporary equipment and construction material on the Owner's Unit when the Declarant feels the same is reasonably required, convenient or incidental to construction activities for improvement of the Unit.

    14. Drainage Waters. Following original grading of the roads and ways of the Properties, no drainage waters shall be diverted or blocked from their natural course so as to discharge upon any public road rights-of-way. The Owner of any Unit, prior to making any alteration in the drainage system, must make application to and receive approval from the applicable governmental jurisdiction. Any enclosing of drainage waters in culverts or drains or rerouting thereof across any Unit as may be undertaken by or for the Owner of any Unit shall be done by and at the expense of such Owner.

    15. NBA Restrictions and Maintenance. All areas designated on the Plat as Native Growth Protection Area, Sensitive Area, Buffer, Natural Buffer Area, Wetland or Wetland Buffer (collectively, "NBA") shall be left permanently undisturbed in a substantially natural state. No clearing, grading, filling, building construction or placement, or road construction of any kind shall occur within these areas, except the activities approved by the Local Jurisdiction. Some activities that may be permitted are: (1) underground utility lines and drainage discharge swales may cross such areas, utilizing the shortest alignment possible if and only if no feasible alignment is available which would avoid such a crossing; (2) fences, when the NBA and its buffer are not detrimentally affected; and (3) removal of hazardous vegetation by the Owner of a Unit on which a NBA is located. The Association shall be responsible for operating, maintaining and restoring the condition of the NBA in the event any unauthorized disturbance occurs; however, in the event that this disturbance is determined to be the fault of a party, the Association may pursue a claim for reimbursement of damages to the NBA from the party disturbing the area.

    16. Deviation by Consent of Declarant. Declarant hereby reserve the right to enter into an agreement with the Owner of any Unit (without the consent of the Owner of any other Unit) to deviate from the conditions, restrictions, limitations or agreements contained in this Declaration. Any deviation shall be manifested in an agreement in writing and shall not constitute a waiver of any such condition; restriction, limitation, or agreement as to the remaining Lots located on the Properties; and the condition, restriction, limitation or agreement waived by Declarant shall remain fully enforceable as to all other Lots located in the Properties.

    17. Timeshares. No operation of a timesharing, fraction-sharing, or similar program whereby the right to exclusive use of the Unit rotates among participants in the program on a fixed or floating time schedule over a period of years, is permitted. However, the Declarant may operate such a program and may permit others to operate such a program in the Plat.

    18. Conversion of Carports or Garages. Conversion of any carport, garage, attic, or other unfinished space, other than a basement, to finished space for use as an apartment or other integral part of the living area on any Unit is prohibited.

    19. Irrigation Systems. No sprinkler or irrigation systems or wells of any type may draw upon water from lakes, creeks, streams, rivers, ponds, wetlands, canals, or other ground or surface waters within the Properties, except that Declarant and its designees shall have the exclusive right to draw water from such sources and to reduce the level of such bodies of water, if and to the extent allowed by the Permits.

    20. Burning. No open-air burning or use of wood stoves is permitted, except in compliance with Local Jurisdiction Ordinances. However, outdoor cooking facilities, such as barbeques, are permissible subject to rules, regulations, and Local Jurisdiction Ordinances.

    21. Limitation on Storage of Vehicles — Temporary Permits for RVs. Except as hereinafter expressly provided, the Units, Common Areas and/or streets located on the Properties shall not be used for the storage and/or overnight parking of any vehicle other than private family automobiles, trucks, motorcycles and commercial vehicles operated by a person residing at the Unit (provided that such commercial vehicles contain a single rear axle). Vehicles shall not be parked on a driveway or street in lieu of being parked in an available space in a garage, except as otherwise provided by Rules established by the Board. Boats, boat trailers, house trailers, campers, trucks, trucks with a camper, or other recreational vehicles or similar object may not be stored and/or parked overnight on any part of the Properties, except as specified herein, or as may be permitted by Rules established by the Board. No inoperable vehicles of any kind shall be parked, stored, maintained, or constructed on any Unit or street unless stored in a garage. Tracts C, D, E and F are designated fire lanes and parking in those Tracts is restricted consistent with Auburn City Code Section 10.36.175. Notwithstanding the foregoing, Owners who have guests visiting them intending to stay in a camper, trailer, or other form of recreational vehicle, may secure written permission from the PIC for guests to park a vehicle on the driveway of a Unit for a period of up to 72 hours, and not to exceed two weeks in any calendar year. The privilege shall only exist, however, after the written permission has been obtained from the PIC or its authorized representative to park at the Unit. An Owner that stores a recreation vehicle off-site may park the vehicle on the driveway of a Unit for 48 hours for the purpose of preparing for departure or upon return, to facilitate preparation and return from travel.

    22. Changing Unit Contours and Drainage; Subdivisions. The surface grade or elevation of the various Units shall not be substantially altered or changed in any manner which would affect the relationship of such Unit with other Units, or which would result in materially obstructing the view from any other Unit, or which would otherwise produce an effect out of harmony with the general development of the immediate area in which said Unit is located. Whether or not such alteration or change in the elevation or grade of any Unit would be prohibited shall be determined by the Declarant during the Class "B" Control Period in its sole and uncontrolled discretion. No further subdivision of any Unit without resubmitting for formal plat procedure is allowed. The sale or lease of less than a whole Unit in the Plat is expressly prohibited.

    23. Garbage Disposal. The Owners of the Units shall ensure that no garbage can or other receptacle will be visible from any place outside the residence except on collection day.

    24. Prohibited Materials. In order to protect the environment, sensitive areas and water quality precautions must be taken with the storm drainage system on site. The following materials shall not be allowed to enter any surface or subsurface part of the public and/or private drainage system.

      1. Petroleum products including, but not limited to, oil, gasoline, grease, fuel oil and heating oil.
      2. Trash and/or debris.
      3. Animal waste.
      4. Chemicals and/or paint.
      5. Steam cleaning waste.
      6. Washing uncured concrete for cleaning and/or finishing purposes or to expose aggregate.
      7. Laundry wastes or other soaps.
      8. Pesticides, herbicides, or fertilizers.
      9. Sewerage.
      10. Heated water.
      11. Chlorinated water or chlorine.
      12. Degreasers and/or solvents.
      13. Bark or other fibrous material.
      14. Antifreeze and/or other automotive products.
      15. Lawn clippings, leaves or branches.
      16. Animal carcasses.
      17. Silt.
      18. Acids or alkalis.
      19. Recreation vehicle wastes.
      20. Dyes, unless prior permission has been granted by the Local Jurisdiction.
      21. Construction materials.

        Any Owner found to not be in compliance with the use, handling or storage of these items shall immediately remove and remedy the matter, upon written notice of the Association or the Local Jurisdiction.

    25. Day Care Facilities for Children. An Owner may operate a licensed child day care business in a Unit, if approved by the Board. Such approval may only be granted, in the sole discretion of the Board, if the Owner can establish that: 1) all applicable governmental zoning and land use classifications lawfully permit such usage, 2) the business and Owner are licensed to operate such a day care business by the governmental authorities with jurisdiction over such operation, 3) the day care business will be operated only between the hours of 7 a.m. and 6 p.m. and only on Monday through Friday, 4) no more than (4) children, in addition to those children in the Owner's immediate family, are enrolled in either a part or full-time capacity in such day care program, 5) the Owner of the Unit operating such day care facility will fully oversee, restrict and supervise all children enrolled and will limit such activities strictly within the confines of their Unit, 6) the Owner of the Unit indemnifies and holds the Declarant, the Board and the Association fully harmless from any and all liability and causes of action of whatever kind arising by virtue of the Owner's operation of a day care, 7) prior to commencing such business operations and continuing for all times the business operates, the Owner of the Unit makes the Association an additional insured in a policy of liability insurance in an amount not less than $1,000,000.00, and 8) such day care operation does not interfere or otherwise violate any other provisions of this Declaration, including, but not necessarily limited to vehicle parking and signage restrictions. The Declarant, the Board, and the Association shall not be deemed to be a partner or joint venturer, nor shall be deemed to hold an interest in such business operation, because permission to operate such a day care business was given by the Board.

    26. Storage Sheds. All storage sheds and/or outbuildings require prior PIC approval of construction materials, location, design, and overall aesthetic appearance. All sheds or outbuildings need to be of "stick-built" construction and shall match the appearance of the main dwelling.

  3. Street Trees. Street Trees are those trees planted by Declarant, or at the Declarant's direction, to comply with the requirements contained in the Plat. Street Trees may be located on Units near the public right of ways that lie within and along the boundaries of the Plat. Street Trees that are located within Common Areas are owned by the Association. A pre-existing tree or a tree planted by the Declarant on a Unit at the time it is purchased by an Owner is considered a Street Tree. Any tree located within twenty (20) feet of a public right of way (whether such right of way is located within or outside the Plat), shall be presumed to be a Street Tree subject to the restrictions contained herein, unless the Association, the Declarant or the Local Jurisdiction confirm otherwise in writing to the Owner.

    1. Easement Granted. The Association, the Declarant (and any Builder or person who has posted a bond related to the planting, maintenance or replacement of Street Trees with any government jurisdiction, and who has agreed to carry out the Declarant's duties as they pertain to Street Trees — who for the purpose of this Section may exercise the Declarant's rights related to Street Trees) are granted an easement to place, care for and maintain Street Trees on each Unit on the Properties, in locations adjacent to the public right of ways and sidewalks, whether such public right of ways are located along the front, side or back boundary of a Unit. The easement granted herein shall extend onto a Unit for a distance sufficient for a Street Tree (of a variety approved by the Local Jurisdiction or its successor) to be planted, maintained and pruned in manner consistent with good nursery practices. The Association and the Declarant are also granted such temporary easements that are needed to reach the location of any Street Tree, across any Unit or Common Areas on the Properties.

    2. Responsibility for Planting and Maintenance of Street Trees. The Declarant shall, in their sole discretion (but consistent with the requirements of the Local Jurisdiction), plant the Street Trees in such locations on the Units along the right of ways and in the Common Areas that the Declarant determines. The Owners and the Association shall have primary responsibility for the maintenance of the Street Trees after they are planted, unless such responsibility is assumed by the Local Jurisdiction. The division of responsibility between the Owners, the Association and the Local Jurisdiction for different aspects of maintenance of the Street Trees may be established by notations on the face of the Plat, or if there are no such notations, by rule promulgated by the Board or ordinance adopted by the Local Jurisdiction. The Owners and the Association shall provide such maintenance to the Street Trees that is appropriate, based upon good nursery practices and requirements imposed by the Declarant or the Local Jurisdiction. The Owners and the Association shall be prohibited from (1) voting to abandon or ceasing the maintenance of the Street Trees, or (2) removing or altering (other than appropriate pruning) the Street Trees without permission of Declarant, until such date that the Declarant's performance and maintenance bonds posted with any governmental jurisdiction related to the Street Trees is released and fully exonerated, without charge or reduction, or upon the bonds' forfeiture.

    3. Remedies for Failure to Maintain Street Trees. In the event that any Owner and the Association fail to maintain the Street Trees, a Declarant may elect to maintain the Street Trees and may charge the Association and the Owners, as a special assessment, the cost of such maintenance. The special assessment arising under this section shall be a lien on the Properties in favor of Declarant, which Declarant may enforce (in place of the Association) in the manner described in the Declaration. In the alternative, Declarant may elect to charge any sums deducted from the Declarant's performance bond as a special assessment against the Association and the Owners, impose the special assessment as a lien on the Properties in favor of Declarant, and enforce such special assessment (in place of the Association) in the manner described in the Declaration. This provision may not be amended without the permission of Declarant, until the Declarant's performance and maintenance bonds posted with any governmental jurisdiction related to the Street Trees are released and fully exonerated, without charge or reduction, or such bonds are forfeited.

    4. Remedies Upon Removal or Alteration of Street Trees. In the event that an Owner removes or alters inappropriately a Street Tree without written permission of a Declarant (until the Declarant's performance and maintenance bonds are released or forfeited, and then the Association or the Local Jurisdiction, if the Local Jurisdiction assumes responsibility for the Street Trees), the removal shall be a violation of this Declaration and of RCW 64.12.030. Declarant, (until Declarant's performance and maintenance bonds are released in full without claim, and then the Association or the Local Jurisdiction), may bring an action to restrain the removal of any Street Tree, or for damages arising from such removal, including such additional, treble damages and attorney's fees that are available under this Declaration or state law.

    5. Termination or Alteration of Restrictions on Removal of Street Trees. Declarant's rights and duties described herein shall cease and automatically terminate upon (1) release in full, without claims, of the Declarant's performance and maintenance bonds, (2) recovery of compensation by Declarant for all sums deducted from the bond, or (3) a date six years from the date of any bond forfeiture, whichever event occurs first. After Declarant's performance and maintenance bonds are released or forfeited, and the Declarant has received the full exoneration of the bonds without claims, or compensation for any payments made from the bonds, the Association may apply to the Local Jurisdiction or its successor for approval to terminate or alter the restrictions imposed upon the removal or alteration of Street Trees described in this Section. Such application may be made if a majority of the Owners approve of the Association's application for termination or alteration of the Street Tree restrictions. Upon written notification from the Local Jurisdiction of the termination or alteration of the restrictions upon Street Trees contained herein, the Association shall record a copy of the written notice in the Recorder's Office of the Local Jurisdiction in which the Plat is located. Upon recordation of such notice, the provisions of this related to Street Trees shall terminate or be amended in the manner described in the notice.