Powers, Rights & Duties

Powers

Common Area Rules & Regulations

The Board of Directors shall have the power to adopt and publish rules and regulations governing the use of the Common Areas, including any improvements and amenities located thereon, and the personal conduct of the Members and their guests thereon, and to establish penalties for the infraction thereof.

See By-Laws ARTICLE VI - Section 1(a)

Suspend Rights of Member in Default

The Board of Directors shall have the power to suspend the voting rights and right to use of any recreational facilities located on any Common Areas of a Member during any period in which such Member shall be in default in the payment of any assessment levied by the Association. Such rights may also be suspended, after notice and hearing. for a period not to exceed sixty (60) days for infraction of published rules and regulations or any provisions of the Declaration, or a longer period than sixty (60) days while the infraction remains uncured.

See By-Laws ARTICLE VI - Section 1(b)

The Board of Directors shall have the power to exercise for the Association all powers, duties and authority vested in or delegated to this Association and not reserved to the membership by other provisions of these By-Laws, the Articles of Incorporation or the Declaration.

See By-Laws ARTICLE VI - Section 1(c)

The Board of Directors shall have the power to declare the office of a member of the Board of Directors to be vacant in the event such member shall be absent from three (3) consecutive regular meetings of the Board of Directors.

See By-Laws ARTICLE VI - Section 1(d)

The Board of Directors shall have the power to employ a manager, independent contractor, or such other individuals, entities or employees as they deem necessary and to prescribe their duties.

See By-Laws ARTICLE VI - Section 1(e)

Duties of the Board of Directors

Budget

The Board of Directors shall prepare a pro-forma operating statement (“Budget”), for each fiscal year, which Budget shall be distributed to each Owner not less than thirty (30) days prior to its adoption at an open meeting of the Board. A copy of the Budget and notice of such Board meeting to adopt the Budget shall be given to each Owner. In addition to the notice methods provided by Article III, Section 3. of the By-Laws, notice of such Board meeting and a copy of the Budget may be delivered personally, placed in the first class United States mail, postage prepaid, to the most recent address furnished by such Owner in writing to the Association for the purpose of notice, by electronic transmission, by posting on the Association’s webpage, if any, or by inclusion in the Association’s newsletter, if any. In addition to any information required to be included in the Budget in accordance with the HOA Act, the Budget shall contain the amount of the Annual Assessment for each Lot.

See Declaration of Covenants: Section 8.6(b)

For current budget, see Operating Budget

Annual Assessment

Commencing with the first fiscal year of the Association, the Board of Directors shall annually determine the amount of the Annual Assessment, but may do so at more frequent intervals should circumstances so require. Upon a resolution of the Board of Directors, installments of Annual Assessments may be levied and collected on either an annual, semi-annual, quarterly or monthly basis. Any Member may elect to prepay one or more installments of any Annual Assessment levied by the Association, without premium or penalty.

See Declaration of Covenants: Section 8.6(a)

For current budget, see Operating Budget

Set Annual Assessment

It shall be the duty of the Board of Directors to fix the amount of the annual assessment against each Lot at least thirty (30) days in advance of each annual assessment period.

See By-Laws ARTICLE VII - Section 2(c)1

Notice of Assessment

It shall be the duty of the Board of Directors to send written notice of each assessment to every Owner subject thereto at east thirty (30) days in advance of each annual assessment period.

See By-Laws ARTICLE VII - Section 2(c)2

Lien for Non-Payment

It shall be the duty of the Board of Directors to foreclose the lien against any Lots for which assessments are not paid within thirty (30) days after the due date thereof or to bring an action at law against the Owner personally obligated to pay the same.

See By-Laws ARTICLE VII - Section 2(c)3

Certification of Paid Assessment

The Association shall, upon demand at any time, furnish to any Record 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 payment of any assessment therein stated as having been paid. A charge not to exceed ten dollars ($10.00) may be levied in advance by the Association for each certificate so delivered.

See Declaration of Covenants: Section 8.6(d)

It shall be the duty of the Board of Directors to issue, or cause an appropriate officer to issue, upon demand by any person, certificate setting forth whether or not any assessment has been paid. A reasonable charge may be made by the Board of Directors for the issuance of these certificates. If a certificate states an assessment has been paid, such certificate shall be conclusive evidence of such payment.

See By-Laws ARTICLE VII - Section 2(d)

Roster

The Board shall also, at the time of distribution of the proposed Budget, prepare a roster of the Lots and the Annual Assessments applicable thereto which shall be kept in the office of the Association and shall be open to inspection by any Owner upon reasonable notice to the Board of Directors. The omission by the Board of Directors, before the expiration of any assessment period, to fix the amount of the Annual Assessment hereunder for that or the next period, shall not be deemed a waiver or modification in any respect of the provisions of this Article VIII or a release of any member from the obligation to pay the Annual Assessment, or any installment thereof, for that or any subsequent assessment period; but the Annual Assessment fixed for the preceding period shall continue until a new Assessment is fixed. No member may exempt itself from liability for assessments by abandonment of any Lot owned by such member or by the abandonment of such member’s right to the use and enjoyment of the Common Areas.

See Declaration of Covenants: Section 8.6(c)

Records

It shall be the duty of the Board of Directors to cause to be kept a complete record of all its acts and corporate affairs and to present a statement thereof to the Members at the annual meeting of the Members, or at any special meeting when such a statement is requested in writing by one-third (a) of the Class A Members or of the Class B Members who are entitled to vote.

See By-Laws ARTICLE VII - Section 2(a)

Supervise

It shall be the duty of the Board of Directors to supervise all officers, agents and employees of this Association, and to ensure that their duties are properly performed.

See By-Laws ARTICLE VII - Section 2(b)

Liability and Hazard Insurance

It shall be the duty of the Board of Directors to procure and maintain adequate liability and hazard insurance on property owned by the Association.

See By-Laws ARTICLE VII - Section 2(e)

Bond Individuals as Required

It shall be the duty of the Board of Directors to cause all officers or employees having fiscal responsibilities to be bonded as it may deem appropriate and/or as required by law.

See By-Laws ARTICLE VII - Section 2(f)

Maintain Common and Government-Owned, Non-Maintained Areas

It shall be the duty of the Board of Directors to cause to be maintained the Common Areas and any other areas shown on the Plat that may be owned by governmental entities who are not maintaining such areas.

See By-Laws ARTICLE VII - Section 2(g)

Board Meetings Which May Be Closed

A meeting of the Board may be held in closed session only for the purposes set forth in Section 11B-111 of the Real Property Article, Annotated Code of Maryland, as amended from time to time. If a meeting is held in closed session, a statement of the time, place, and purpose of such meeting, the record of the vote of each board member by which such meeting was closed, and the authority under this section for closing such meeting shall be included in the minutes of the next meeting of the Board.

See By-Laws ARTICLE VII - Section 3

Management Agent

The Board may engage for the Association a management agent or manager (the “Management Agent") at a rate of compensation established by the Board to perform such duties and services as the Community Board shall from time to time authorize in writing. Any management agreement entered into by the Association shall provide, inter alia that such agreement may be terminated for cause by either party upon thirty (30) days written notice thereof to the other party. The term of any such management agreement shall not exceed one (1) year; provided, however, that the ten of any such management agreement may be renewable by mutual agreement of the parties for successive one-year periods. If the standards and regulations of FNMA and/or FHLMC prohibit self-management by the Association, and FNMA and/or FHLMC holds an interest in a First Mortgage affecting any Lots, then no such self-management shall be undertaken by the Association, without the prior written consent and approval of all of the holders of the First Mortgages of record on the Lots.

Until the Transition Meeting, a Contract (as defined below) entered into by the officers or the Board of Directors may be terminated, at the discretion of the Board and without liability for the termination not later than thirty (30) days after notice. For purposes of this Section 4., "Contract" shall mean an agreement with a company or individual to handle the financial matters, maintenance or services for the Corporation, but excludes an agreement related to the provision of utility services or communication systems.

See By-Laws ARTICLE VII - Section 4

Fiscal Year

The fiscal year of the Association shall be determined by the Board in its discretion

See By-Laws ARTICLE XIV

The Board of Directors set the Fiscal Year of the Association to the Calendar Year.

See MRHOA Resolution 2022-06

Officers and Their Duties

Enumeration of Officers

The officers of this Association shall be a President and Vice-President, who shall at all times be members of the Board of Directors, a Secretary, and a Treasurer, and such other officers as the Board of Directors may from time to time by resolution create.

See By-Laws ARTICLE VIII - Section 1

Election of Officers

The election of officers shall take place at the first meeting of the Board of Directors, and thereafter at the meeting of the Board of Directors following each annual meeting of the Members.

See By-Laws ARTICLE VIII - Section 2

Term

The officers of this Association shall be elected annually by the Board of Directors and each shall hold office for one (I) year unless any officer shall sooner resign, or shall be removed, or otherwise disqualified to serve

See By-Laws ARTICLE VIII - Section 3

Special Appointments

The Board of Directors may elect such other officers as the affairs of the Association may require, each of whom shall hold office for such period, have such authority, and perform such duties as the Board may, from time to time, determine.

See By-Laws ARTICLE VIII - Section 4

Resignation and Removal

Any officer may be removed from office with or without cause by the Board of Directors. Any officer may resign at any time by giving written notice to the Board of Directors, the President or the Secretary. Such resignation shall take effect on the date of receipt of such notice or at any later time specified therein, and unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make it effective.

See By-Laws ARTICLE VIII - Section 5

Vacancies

A vacancy in any office may be filled by appointment by the Board. The officer appointed to such vacancy shall serve for the remainder of the term of the officer he or she replaced.

See By-Laws ARTICLE VIII - Section 6

Multiple Offices

The offices of Treasurer and Secretary may be held by the same person. Except as provided herein, no person shall simultaneously hold more than one (1) of any of the other offices except in the case of offices created pursuant to Section 4 of this Article.

See By-Laws ARTICLE VIII - Section 7

Duties of Officers

The duties of the officers are as follows:

President

The President shall preside at all meetings of the Members and of the Board of Directors and shall see that orders and resolutions of the Board of Directors are carried out. The President shall have the authority to sign all leases, mortgages, deeds and other written instruments and shall.co-sign all checks and promissory notes.

See By-Laws ARTICLE VIII - Section 8

Vice-President

The Vice-President shall act in the place and stead of the President in the event of the President's absence, inability or refusal to act, and shall exercise and discharge such other duties as may be required by the Board of Directors. The Vice-President shall likewise have the authority to sign all leases, mortgages, deeds and other written instruments and co-sign all checks and promissory notes.

See By-Laws ARTICLE VIII - Section 8

Secretary

The Secretary shall record the votes and keep the minutes of all meetings and proceedings of the Board of Directors and the Members; keep the corporate seal of the Association and affix it on all papers requiring said seal; serve notice of meetings of the Board of Directors and of the Members; keep appropriate current records showing the Members of the Association together with their addresses, and shall perform such other duties as required by the Board of Directors.

See By-Laws ARTICLE VIII - Section 8

Treasurer

The Treasurer shall receive and deposit in appropriate bank accounts all monies of the Association and shall disburse such funds as directed by resolution of the Board of Directors; shall sign all books of account; cause an annual report of the Association's books to be made by a public accountant at the completion of each fiscal year; and shall prepare an annual budget and a statement of income and expenditures to be presented to the membership at its regular annual meeting, and deliver a copy of each to the Members upon written request.

See By-Laws ARTICLE VIII - Section 8